MINI-CAP FUND
(A PORTFOLIO OF FEDERATED INDEX TRUST)
PROSPECTUS
Federated Index Trust (the "Trust") is an open-end, management investment
company (a mutual fund). Its Mini-Cap Fund (the "Fund") seeks to provide
investment results corresponding to the aggregate price and dividend performance
of publicly traded common stocks comprising the small-stock capitalization
sector of the United States equity market.
THE SHARES OFFERED BY THIS PROSPECTUS ARE NOT DEPOSITS OR OBLIGATIONS OF ANY
BANK, ARE NOT ENDORSED OR GUARANTEED BY ANY BANK, AND ARE NOT INSURED BY THE
FEDERAL DEPOSIT INSURANCE CORPORATION, THE FEDERAL RESERVE BOARD, OR ANY OTHER
GOVERNMENT AGENCY. INVESTMENT IN THESE SHARES INVOLVES INVESTMENT RISKS,
INCLUDING THE POSSIBLE LOSS OF PRINCIPAL.
This prospectus contains the information you should read and know before you
invest in the Fund. Keep this prospectus for future reference.
The Fund has also filed a Statement of Additional Information, dated March 31,
1994, with the Securities and Exchange Commission. The information contained in
the Statement of Additional Information is incorporated by reference into this
prospectus. You may request a copy of the Statement of Additional Information
free of charge by calling 1-800-235-4669. To obtain other information or to make
inquiries about the Fund, contact the Fund at the address listed in the back of
this prospectus.
THESE SECURITIES HAVE NOT BEEN APPROVED OR DISAPPROVED BY THE SECURITIES AND
EXCHANGE COMMISSION OR ANY STATE SECURITIES COMMISSION NOR HAS THE SECURITIES
AND EXCHANGE COMMISSION OR ANY STATE SECURITIES COMMISSION PASSED UPON THE
ACCURACY OR ADEQUACY OF THIS PROSPECTUS. ANY REPRESENTATION TO THE CONTRARY IS A
CRIMINAL OFFENSE.
Prospectus dated March 31, 1994
TABLE OF CONTENTS
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SUMMARY OF FUND EXPENSES 1
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FINANCIAL HIGHLIGHTS 2
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GENERAL INFORMATION 3
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INVESTMENT INFORMATION 3
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Investment Objective 3
Investment Policies 3
Acceptable Investments 4
U.S. Government Securities 4
Repurchase Agreements 5
Money Market Instruments 5
Stock Index Futures and Options 5
Lending of Portfolio Securities 6
When-Issued and Delayed
Delivery Transactions 6
Investment Risks 6
Investment Limitations 6
FEDERATED INDEX TRUST INFORMATION 7
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Management of the Trust 7
Board of Trustees 7
Fund's Manager 7
Management Fees 8
Manager's Background 8
Sub-Manager 8
Sub-Management Fees 8
Sub-Manager's Background 9
Distribution of Fund Shares 9
Administration of the Fund 9
Administrative Services 9
Shareholder Services Plan 9
Custodian 9
Transfer Agent and Dividend
Disbursing Agent 9
Legal Counsel 9
Independent Auditors 9
Brokerage Transactions 10
NET ASSET VALUE 10
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INVESTING IN THE FUND 10
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Share Purchases 10
By Wire 10
By Mail 10
Minimum Investment Required 10
What Shares Cost 11
Exchanging Securities for Fund Shares 11
Sub-Accounting Services 11
Certificates and Confirmations 11
Dividends 11
Capital Gains 12
REDEEMING SHARES 12
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Telephone Redemption 12
Written Requests 12
Signatures 12
Receiving Payment 13
Accounts with Low Balances 13
SHAREHOLDER INFORMATION 13
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Voting Rights 13
Massachusetts Partnership Law 13
TAX INFORMATION 14
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Federal Income Tax 14
Pennsylvania Corporate and
Personal Property Taxes 14
PERFORMANCE INFORMATION 15
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FINANCIAL STATEMENTS 16
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REPORT OF ERNST & YOUNG,
INDEPENDENT AUDITORS 100
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ADDRESSES Inside Back Cover
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SUMMARY OF FUND EXPENSES
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<TABLE>
<S> <C> <C>
SHAREHOLDER TRANSACTION EXPENSES
Maximum Sales Load Imposed on Purchases (as a percentage of offering price)........... None
Maximum Sales Load Imposed on Reinvested Dividends
(as a percentage of offering price)................................................. None
Contingent Deferred Sales Charge (as a percentage of original
purchase price or redemption proceeds, as applicable)............................... None
Redemption Fee (as a percentage of amount redeemed, if applicable).................... None
Exchange Fee.......................................................................... None
ANNUAL FUND OPERATING EXPENSES
(As a percentage of average net assets)
Management Fee (after waiver)(1)...................................................... 0.00%
12b-1 Fee............................................................................. None
Total Other Expenses (after expense reimbursement).................................... 0.75%
Shareholder Services Fee(2).................................................. 0.06%
Total Fund Operating Expenses(3)................................................. 0.75%
</TABLE>
(1) The management fee has been reduced to reflect the voluntary waiver of the
management fee. The Manager can terminate this voluntary waiver at any time at
its sole discretion. The maximum management fee is 0.50%
(2) The maximum shareholder servicing fee is 0.25%.
(3) The Total Fund Operating Expenses in the table above are based on expenses
expected during the fiscal year ending October 31, 1994. The Total Fund
Operating Expenses were 0.37% for the fiscal year ended October 31, 1993 and
were 1.23% absent the voluntary waiver of the management fee and reimbursement
of certain other operating expenses.
THE PURPOSE OF THIS TABLE IS TO ASSIST AN INVESTOR IN UNDERSTANDING THE
VARIOUS COSTS AND EXPENSES THAT A SHAREHOLDER OF THE FUND WILL BEAR, EITHER
DIRECTLY OR INDIRECTLY. FOR MORE COMPLETE DESCRIPTIONS OF THE VARIOUS COSTS AND
EXPENSES, SEE "FEDERATED INDEX TRUST INFORMATION." Wire-transferred redemptions
of less than $5,000 may be subject to additional fees.
<TABLE>
<CAPTION>
EXAMPLE 1 year 3 years 5 years 10 years
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<S> <C> <C> <C> <C>
You would pay the following expenses on a $1,000
investment assuming (1) 5% annual return and (2)
redemption at the end of each time period................. $ 8 $ 24 $ 42 $ 93
</TABLE>
THE ABOVE EXAMPLE SHOULD NOT BE CONSIDERED A REPRESENTATION OF PAST OR
FUTURE EXPENSES. ACTUAL EXPENSES MAY BE GREATER OR LESS THAN THOSE SHOWN.
1
MINI-CAP FUND
FINANCIAL HIGHLIGHTS
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(FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD)
Reference is made to the Report of Ernst & Young, Independent Auditors on page
100.
<TABLE>
<CAPTION>
YEAR ENDED
OCTOBER 31,
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1993 1992*
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<S> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD $10.39 $10.00
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INCOME FROM INVESTMENT OPERATIONS
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Net investment income 0.17 0.02
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Net realized and unrealized gain on investments 2.27 0.38
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Total from investment operations 2.44 0.40
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LESS DISTRIBUTIONS
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Dividends to shareholders from net investment income (0.17) (0.01)
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NET ASSET VALUE, END OF PERIOD $12.66 $10.39
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TOTAL RETURN** 23.73% 4.00%
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RATIOS TO AVERAGE NET ASSETS
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Expenses 0.37% 0.00%(b)
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Net investment income 1.48% 2.04%(b)
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Expense waiver/reimbursement(a) 0.86% 0.87%
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SUPPLEMENTAL DATA
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Net assets, end of period (000 omitted) $76,139 $7,751
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Portfolio turnover rate 48% 1%
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</TABLE>
* Reflects operations for the period from August 10, 1992 (commencement of
operations) to
October 31, 1992.
** Based on net asset value which does not reflect the sales load or redemption
fee, if applicable.
<TABLE>
<S> <C>
(a) This expense decrease is reflected in both the expense and net investment income ratios
shown above (Note 5).
(b) Computed on an annualized basis.
</TABLE>
Further information about the Fund's performance is contained in the Fund's
annual report dated December 31 1993, which can be obtained free of charge.
(See Notes which are an integral part of the Financial Statements)
GENERAL INFORMATION
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The Trust was established as a Massachusetts business trust under a Declaration
of Trust dated January 30, 1990. The Declaration of Trust permits the Trust to
offer separate series of shares of beneficial interest representing interests in
separate portfolios of securities. The shares in any one portfolio may be
offered in separate classes. This prospectus relates only to the Fund. The Fund
is designed primarily for institutions investing on behalf of their customers. A
minimum initial investment of $25,000 over a 90-day period is required.
Fund shares are currently sold and redeemed at net asset value without a sales
charge or redemption fee being imposed by the Fund. The Fund's net asset value
per share fluctuates.
INVESTMENT INFORMATION
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INVESTMENT OBJECTIVE
The investment objective of the Fund is to provide investment results that,
generally correspond to the aggregate price and dividend performance of the
approximately 2,000 publicly traded common stocks that are ranked in terms of
capitalization below the top 1,000 stocks that comprise the large and mid-range
capitalization sector of the United States equity market. The investment
objective of the Fund cannot be changed without the approval of shareholders.
These stocks comprise the Russell 2000(R)Index (the "Index"), an index of small
capitalization stocks. While there is no assurance that the Fund will achieve
its investment objective, it endeavors to do so by following the investment
policies described in this prospectus.
The Fund is neither affiliated with nor promoted, sponsored or endorsed by the
Frank Russell Company. Frank Russell's only relationship to the Fund is the
licensing of the use of the Index. Frank Russell Company is the owner of the
trademarks and copyrights relating to the Index. The Russell 2000(R)Index is a
trademark/service mark of the Frank Russell Company. Russell(TM)is a trademark
of the Frank Russell Company. Frank Russell Company is not responsible for and
has not reviewed the Fund or any associated literature or publications and Frank
Russell Company makes no representation or warranty, express or implied, as to
their accuracy, or completeness, or otherwise.
INVESTMENT POLICIES
The investment policies described below may be changed by the Board of Trustees
("Trustees") without shareholder approval. Shareholders will be notified before
any material changes in these policies become effective.
The Fund pursues its investment objective by investing primarily in a pool of
securities that will duplicate the investment characteristics of the Index.
Under normal market circumstances, the Fund will invest at least 80% of its
assets in the common stock included in the Index.
In pursuit of its investment objective, the Fund uses a "passive" versus an
"active" investment approach. In the case of a fund using an active investment
approach, the fund would be managed by buying and selling securities based upon
economic, financial and market analysis as well as active
investment judgment. In contrast, the Fund uses a passive approach that attempts
to approximate the investment performance of the Index. Stocks are selected for
inclusion in the Fund's portfolio in the order of their contribution to the
Fund's market capitalization, industry and fundamental characteristics. Thus,
small stocks with the highest market capitalizations will comprise the highest
percentage of the Fund's investment portfolio, and those with the lowest market
capitalizations will comprise the lowest percentage of the Fund's investment
portfolio.
The Fund will not attempt to duplicate or approximate the composition of the
Index, although at least 80% of the assets comprising the Fund's portfolio will
be invested in stocks included in the Index. It is expected that by investing in
a pool of the issues that comprise the Index, the Fund's portfolio will closely
resemble the characteristics of the small stock capitalization sector of the
United States equity market. It is also anticipated that the Fund's performance
will achieve at least a 95% correlation to the performance of the Index, even
though the Fund will not, and does not seek to, duplicate the Index's
performance precisely.
The Index is updated monthly, which results in a significant annual turnover
rate. The Fund would incur high transaction costs if it rebalanced its portfolio
each time the Index was updated. Consequently, adjustments will be made to the
Fund's portfolio less frequently. As a result, portfolio turnover is expected to
be well below that encountered in actively managed investment company
portfolios. Therefore, the accompanying costs, including accounting costs,
brokerage fees, custodial expenses, and transfer taxes are expected to be
relatively low. Factors such as the size of the Fund's portfolio, the size and
timing of cash flows into and out of the Fund, and changes in the securities
markets as well as in the composition of the Index will determine how frequently
the Fund's portfolio will be rebalanced to resemble the characteristics of the
Index.
In order to accommodate cash flows into and out of the Fund's portfolio, the
Fund may enter into stock index futures contracts, options and options on
futures contracts. This will allow the Fund to simultaneously maximize the level
of the Fund assets used to track the performance of the small stock
capitalization sector of the United States equity market. The Fund can sell
futures contracts and options in order to close out a previously established
position. The Fund will not enter into stock index futures contracts, options
and options on futures contracts for speculative purposes.
ACCEPTABLE INVESTMENTS. Under normal market circumstances, the Fund will invest
80% of its assets in stocks that comprise the Index. In addition, the Fund may
hold cash reserves which may, for other than defensive purposes, be invested in,
but not limited to, the following:
U.S. GOVERNMENT SECURITIES. The Fund is permitted to invest in U.S.
government securities which are either issued or guaranteed by the U.S.
government, its agencies or instrumentalities. These securities include,
but are not limited to:
- direct obligations of the U.S. Treasury, such as U.S. Treasury bills,
notes, and bonds; and
- notes, bonds, and discount notes of U.S. government agencies or
instrumentalities, such as Federal Home Loan Banks, the Federal
National Mortgage Association, the Federal Home Loan Mortgage
Corporation, the Federal Farm Credit System, and the Student Loan
Marketing Association.
REPURCHASE AGREEMENTS. The U.S. government securities and other securities
in which the Fund invests may be purchased pursuant to repurchase
agreements. Repurchase agreements are arrangements pursuant to which banks,
broker/dealers and other recognized financial institutions sell U.S.
government securities or other securities to the Fund and agree at the time
of sale to repurchase them at a mutually agreed upon time and price. To the
extent that the original seller does not repurchase the securities from the
Fund, the Fund could receive less than the repurchase price on any sale of
such securities.
MONEY MARKET INSTRUMENTS. The Fund may also invest in:
- commercial paper; and
- instruments of domestic banks and savings and loans (such as
certificates of deposit and bankers' acceptances).
STOCK INDEX FUTURES AND OPTIONS. The Fund may utilize stock index futures
contracts, options, and options on futures contracts, subject to the
limitation that the value of these futures contracts and options will not
exceed 20% of the Fund's total assets. Also, the Fund will not purchase
options to the extent that more than 5% of the value of the Fund's total
assets would be invested in premiums on open put option positions. These
futures contracts and options will be used to handle cash flows into and
out of the Fund and to potentially reduce transactional costs, since
transactional costs associated with futures and options contracts can be
lower than costs stemming from direct investments in stocks.
There are several risks accompanying the utilization of futures contracts
to effectively anticipate market transactions. First, positions in futures
contracts may be closed only on an exchange or board of trade that
furnishes a secondary market for such contracts. While the Fund plans to
utilize futures contracts only if there exists an active market for such
contracts, there is no guarantee that a liquid market will exist for the
contracts at a specified time. Furthermore, because, by definition, futures
contracts look to projected price levels in the future and not to current
levels of valuation, market circumstances may result in there being a
discrepancy between the price of the stock index future and the movement in
the stock index. The absence of a perfect price correlation between the
futures contract and its underlying stock index could stem from investors
choosing to close futures contracts by offsetting transactions, rather than
satisfying additional margin requirements. This could result in a
distortion of the relationship between the index and futures market. In
addition, because the futures market imposes less burdensome margin
requirements than the securities market, an increased amount of
participation by speculators in the futures market could result in price
fluctuations.
In view of these considerations, the Fund will comply with the following
restrictions when purchasing and selling futures contracts. First, the Fund
will not participate in futures transactions if the sum of its initial
margin deposits on open contracts will exceed 5% of the market value of the
Fund's total assets, after taking into account the unrealized profits and
losses on those contracts into which it has entered. Second, the Fund will
not enter into these contracts for speculative purposes. Third, since the
Fund does not constitute a commodity pool, it will not market itself as
such, nor serve as a vehicle for trading in the commodities futures or
commodity options markets. In this regard, the Fund will disclose to all
prospective investors the limitations on its futures and
options transactions, and will make clear that these transactions are
entered into only for bona fide hedging purposes or such other purposes
permitted under regulations promulgated by the Commodity Futures Trading
Commission ("CFTC"). Also, the Fund intends to claim an exclusion from
registration as a commodity pool operator under the regulations promulgated
by the CFTC.
LENDING OF PORTFOLIO SECURITIES. The Fund may lend its portfolio securities on a
short-term or long-term basis up to one-third of the value of its total assets
to broker/dealers, banks, or other institutional borrowers of securities. The
Fund will only enter into loan arrangements with broker/dealers, banks or other
institutions which the managers have determined are creditworthy under
guidelines established by the Trustees. The Fund will receive collateral in the
form of cash or U.S. government securities equal to at least 100% of the value
of the securities loaned.
WHEN-ISSUED AND DELAYED DELIVERY TRANSACTIONS. The Fund may purchase short-term
U.S. government securities on a when-issued or delayed delivery basis. These
transactions are arrangements in which the Fund purchases securities with
payment and delivery scheduled for a future time. The Fund engages in
when-issued and delayed delivery transactions only for the purpose of acquiring
portfolio securities consistent with the Fund's investment objective and
policies, not for investment leverage. In when-issued and delayed delivery
transactions, the Fund relies on the seller to complete the transaction. The
seller's failure to complete the transaction may cause the Fund to miss a price
or yield considered to be advantageous.
INVESTMENT RISKS
As with other mutual funds that invest primarily in equity securities, the Fund
is subject to market risks. That is, the possibility exists that common stocks
will decline over short or even extended periods of time, and the United States
equity market tends to be cyclical, experiencing both periods when stock prices
generally increase and periods when stock prices generally decrease. However,
because the Fund invests primarily in small capitalization stocks, there are
some additional risk factors associated with investments in the Fund. In
particular, stocks in the small capitalization sector of the United States
equity market have historically been more volatile in price than larger
capitalization stocks, such as those included in the Standard & Poor's 500
Index. This is because, among other things, small companies have less certain
growth prospects than larger companies; have a lower degree of liquidity in the
equity market; and tend to have a greater sensitivity to changing economic
conditions. Further, in addition to exhibiting greater volatility, the stocks of
small companies may, to some degree, fluctuate independently of the stocks of
large companies. That is, the stocks of small companies may decline in price as
the price of large company stocks rises or vice versa. Therefore, investors
should expect that the Fund will be more volatile than, and may fluctuate
independently of, broad stock market indices such as the Standard & Poor's 500
Index.
INVESTMENT LIMITATIONS
The Fund will not:
- borrow money directly or through reverse repurchase agreements
(arrangements in which the Fund sells a money market instrument for at
least a percentage of its cash value with an agreement to buy it back on
a set date) except, under certain circumstances, the Fund may
borrow up to one-third of the value of its total assets and pledge up to
10% of the value of those assets to secure such borrowings.
The above investment limitation cannot be changed without shareholder approval.
The following investment limitations, however, may be changed by the Trustees
without shareholder approval. Shareholders will be notified before any material
change in these policies becomes effective.
The Fund will not:
- invest more than 5% of its total assets in securities of issuers that
have records of less than three years of continuous operations; or
- invest more than 15% of its net assets in securities that are illiquid.
FEDERATED INDEX TRUST INFORMATION
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MANAGEMENT OF THE TRUST
BOARD OF TRUSTEES. The Trust is managed by a Board of Trustees. The Board of
Trustees is responsible for managing the business affairs of the Trust and for
exercising all of the powers of the Trust except those reserved for the
shareholders. The Executive Committee of the Board of Trustees handles the
Trustees' responsibilities between meetings of the Trustees.
FUND'S MANAGER. Federated Management serves as the Fund's manager (the
"Manager"). The Trust has entered into a management contract (the "Management
Contract") with the Manager, which, in turn, has entered into a sub-management
contract (the "Sub-Management Contract") with ANB Investment Management and
Trust Company ("ANB" or the "Sub-Manager") (ANB and the Manager are collectively
referred to herein as "Managers"). It is the Manager's responsibility to select
the Sub-Manager, subject to the review and approval of the Trustees, and to
review and evaluate the Sub-Manager's continued performance. The Manager is also
responsible for providing administrative services to the Fund.
Subject to the supervision and direction of the Trustees, the Manager provides
to the Fund investment management evaluation services principally by performing
initial due diligence on the Sub-Manager for the Fund and thereafter monitoring
and evaluating the performance of the Sub-Manager through quantitative and
qualitative analyses. In addition, the Manager conducts periodic in-person,
telephonic and written consultations with the Sub-Manager. In initially
evaluating the Sub-Manager, the Manager considered, among other factors, the
Sub-Manager's level of expertise; relative performance over a minimum period of
five years; level of efficiency; level of adherence to investment discipline or
philosophy; personnel, facilities and financial strength; and quality of service
and client communications. On an ongoing basis, the Manager is responsible for
communicating performance expectations and evaluations to the Sub-Manager;
monitoring and tracking errors; monitoring and analyzing the use of futures
contracts; monitoring the futures holdings of the Fund as a percentage of Fund
assets; monitoring market timing in the Fund; discussing with the Sub-Manager
the portfolio sampling techniques employed by the Sub-Manager; defining with the
Sub-Manager the universe of stocks that comprise the small capitalization sector
of the United States equity market; and ultimately recommending to the Trustees
whether the Sub-Management Contract should be renewed, modified or
terminated. The Manager provides written reports to the Trustees regarding the
results of its evaluation and monitoring functions. In addition, the Manager is
responsible for providing the Fund with administrative services, including, but
not limited to, shareholder servicing and certain legal and accounting services.
The Manager is also responsible for conducting all operations of the Fund,
except those operations contracted to the Sub-Manager, custodian, transfer agent
and dividend disbursing agent. As described below, the Manager receives an
annual fee from the Fund for performing its responsibilities under the
Management Contract.
MANAGEMENT FEES. The Fund's Manager receives an annual management fee equal
to 0.50 of 1% of the Fund's average daily net assets. Under the Management
Contract, which provides for the voluntary waiver of the management fee by
the Manager, the Manager will voluntarily waive some or all of the
management fee. The Manager can terminate this voluntary waiver of some or
all of its management fee at any time in its sole discretion. The Manager
has also undertaken to reimburse the Fund for operating expenses in excess
of limitations established by certain states.
MANAGER'S BACKGROUND. Federated Management, a Delaware business trust
organized on April 11, 1989, is a registered investment adviser under the
Investment Advisers Act of 1940. It is a subsidiary of Federated Investors.
All of the Class A (voting) shares of Federated Investors are owned by a
trust, the trustees of which are John F. Donahue, Chairman and Trustee of
Federated Investors, Mr. Donahue's wife, and Mr. Donahue's son, J.
Christopher Donahue, who is President and Trustee of Federated Investors.
Federated Management and other subsidiaries of Federated Investors serve as
investment advisers to a number of investment companies and private
accounts. Certain other subsidiaries also provide administrative services
to a number of investment companies. Total assets under management or
administration by these and other subsidiaries of Federated Investors are
approximately $70 billion. Federated Investors, which was founded in 1956
as Federated Investors, Inc., develops and manages mutual funds primarily
for the financial industry. Federated Investors' track record of
competitive performance and its disciplined, risk averse investment
philosophy serve approximately 3,500 client institutions nationwide.
Through these same client institutions, individual shareholders also have
access to this same level of investment expertise.
SUB-MANAGER. Under the terms of the Sub-Management Contract between the Manager
and ANB, ANB serves as the Fund's Sub-Manager. The Sub-Manager will develop,
maintain and run the computer program designed to determine which securities
will be purchased and sold so as to replicate the composition of the Index to
the extent feasible, and, subject to the Manager's oversight has complete
discretion to purchase and sell portfolio securities for the Fund within the
Fund's investment objective, restrictions and policies.
SUB-MANAGEMENT FEES. For its services under the Sub-Management Contract,
ANB receives an annual fee from the Manager of .065 of 1% of the Fund's
average daily net assets. This fee is paid by the Manager out of its
resources and is not an incremental Fund expense. No performance or
incentive fees are paid to the Sub-Manager.
SUB-MANAGER'S BACKGROUND. ANB, incorporated in the State of Illinois on
July 1, 1988, is a registered investment adviser under the Investment
Advisers Act of 1940. ANB is a wholly-owned subsidiary of American National
Bank and Trust Company of Chicago, which, in turn, is an indirect
wholly-owned subsidiary of First Chicago Corporation. It serves as
investment adviser principally to corporate defined benefit and defined
contribution plans which have, as of September 30, 1993, placed
approximately $18 billion in assets with ANB. Since 1973, when American
National Bank and Trust Company of Chicago introduced its first commingled
equity index fund, ANB has developed and managed a family of equity and
bond index funds in which some 390 nationwide non-financial institution
clients invest. In total, ANB manages 62 commingled/common trust funds.
Also, since 1990, ANB has served as Sub-Manager for the Max-Cap Fund
(formerly the S&P 500 Fund), which is another portfolio of the Trust. ANB
also serves as Sub-Manager for the Mid-Cap Fund, another portfolio of the
Trust.
DISTRIBUTION OF FUND SHARES
Federated Securities Corp. is the principal distributor for shares of the Fund.
It is a Pennsylvania corporation organized on November 14, 1969, and is the
principal distributor for a number of investment companies. Federated Securities
Corp. is a subsidiary of Federated Investors.
ADMINISTRATION OF THE FUND
ADMINISTRATIVE SERVICES. Federated Administrative Services, Inc., which is a
subsidiary of Federated Investors, provides the Manager with the administrative
personnel and services necessary to provide shareholder servicing and certain
legal and accounting services to the Fund.
SHAREHOLDER SERVICES PLAN. The Trust has adopted a Shareholder Services Plan
(the "Services Plan") on behalf of the Fund under which it may make payments up
to 0.25 of 1% of the average daily net asset value of the Fund to obtain certain
personal services for shareholders and the maintenance of shareholder accounts
("shareholder services"). The Trust has entered into a Shareholder Services
Agreement with Federated Shareholder Services, a subsidiary of Federated
Investors, under which Federated Shareholder Services will either perform
shareholder services directly or will select Financial Institutions to perform
shareholder services. Financial Institutions will receive fees based upon shares
owned by their clients or customers. The schedules of such fees and the basis
upon which such fees will be paid will be determined from time to time by the
Trust and Federated Shareholder Services.
CUSTODIAN. State Street Bank and Trust Company, Boston, Massachusetts is
custodian for the securities and cash of the Fund.
TRANSFER AGENT AND DIVIDEND DISBURSING AGENT. Federated Services Company,
Pittsburgh, Pennsylvania, is transfer agent for the shares of the Fund, and
dividend disbursing agent for the Fund.
LEGAL COUNSEL. Legal counsel is provided by Houston, Houston & Donnelly,
Pittsburgh, PA, and Dickstein, Shapiro & Morin, Washington, D.C.
INDEPENDENT AUDITORS. The independent auditors for the Fund are Ernst & Young,
Pittsburgh, Pennsylvania.
BROKERAGE TRANSACTIONS
When selecting brokers and dealers to handle the purchase and sale of portfolio
instruments, the Managers look for prompt execution of the order at a favorable
price. In working with dealers, the Managers will generally utilize those who
are recognized dealers in specific portfolio instruments, except when a better
price and execution of the order can be obtained elsewhere. In selecting among
firms believed to meet these criteria, the Managers may give consideration to
those firms which have sold or are selling shares of the Fund and other funds
distributed by Federated Securities Corp. The Managers make decisions on
portfolio transactions and select brokers and dealers, subject to review by the
Trustees.
NET ASSET VALUE
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The Fund's net asset value per share fluctuates. It is determined by dividing
the sum of the market value of all securities and other assets, less
liabilities, by the number of shares outstanding.
INVESTING IN THE FUND
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SHARE PURCHASES
Fund shares are sold on days on which the New York Stock Exchange is open.
Shares of the Fund may be purchased either by wire or mail. To purchase shares
of the Fund, open an account by calling Federated Securities Corp. Information
needed to establish the account will be taken over the telephone. The Fund
reserves the right to reject any purchase request.
BY WIRE. To purchase shares of the Fund by Federal Reserve wire, call the Fund
to place an order. Shareholders have until 4:00 p.m. (Boston time) to call the
Fund for settlement on the next business day. The order is considered received
immediately. Payment by federal funds must be received before 4:00 p.m. (Boston
time) on the next business day following the order. Federal funds should be
wired as follows: State Street Bank and Trust Company, Boston, Massachusetts;
Attention: EDGEWIRE; For Credit to: Federated Index Trust, Mini-Cap Fund; Group
Number or Order Number; Nominee or Institution Name; ABA Number 011000028.
BY MAIL. To purchase shares of the Fund by mail, send a check made payable to
Federated Index Trust, Mini-Cap Fund, to Federated Services Company, C/O State
Street Bank and Trust Company, P.O. Box 8602, Boston, Massachusetts 02266-8602.
Orders by mail are considered received after payment by check is converted by
State Street Bank into federal funds. This is generally the next business day
after State Street Bank receives the check.
MINIMUM INVESTMENT REQUIRED
The minimum initial investment in the Fund is $25,000. However, an account may
be opened with a smaller amount as long as the $25,000 minimum is reached within
90 days. An investor's minimum investment will be calculated by combining all
accounts that the institution maintains with the Fund.
WHAT SHARES COST
Fund shares are sold at their net asset value next determined after an order is
received. There is no sales charge imposed by the Fund.
The net asset value is determined at 4:00 p.m. (Boston time), Monday through
Friday, except on: (i) days on which there are not sufficient changes in the
value of the Fund's portfolio securities that its net asset value might be
materially affected; (ii) days during which no shares are tendered for
redemption and no orders to purchase shares are received; and (iii) the
following holidays: New Year's Day, Presidents' Day, Good Friday, Memorial Day,
Independence Day, Labor Day, Thanksgiving Day, and Christmas Day.
EXCHANGING SECURITIES FOR FUND SHARES
Investors may exchange certain securities or a combination of securities and
cash for shares of the Fund. The securities and any cash must have a market
value of at least $25,000. The Trust reserves the right to determine the
acceptability of securities to be exchanged. On the day the securities are
accepted by the Trust, they are valued in the same manner as the Trust values
its assets. Investors wishing to exchange securities should first contact
Federated Securities Corp.
Shares purchased by exchange of securities cannot be redeemed by telephone for
five business days to allow time for the transfer to settle.
SUB-ACCOUNTING SERVICES
Institutions are encouraged to open single master accounts. However, certain
institutions may wish to use the transfer agent's sub-accounting system to
minimize their internal recordkeeping requirements. The transfer agent charges a
fee based on the level of sub-accounting services rendered. Institutions holding
Fund shares in a fiduciary, agency, custodial, or similar capacity may charge or
pass through sub-accounting fees as part of or in addition to normal trust or
agency account fees. They may also charge fees for other services provided which
may be related to the ownership of Fund shares. This prospectus should,
therefore, be read together with any agreement between the customer and the
institution with regard to the services provided, the fees charged for those
services, and any restrictions and limitations imposed.
CERTIFICATES AND CONFIRMATIONS
As transfer agent for the Fund, Federated Services Company maintains a share
account for each shareholder. Share certificates are not issued unless requested
by contacting the Fund.
Detailed confirmations of each purchase or redemption are sent to each
shareholder. Quarterly confirmations are sent to report dividends paid during
the quarter.
DIVIDENDS
Dividends are declared and paid quarterly. Unless shareholders request cash
payments by writing to the Fund, dividends are automatically reinvested in
additional shares of the Fund on payment dates at the ex-dividend date net asset
value without a sales charge.
CAPITAL GAINS
Capital gains realized by the Fund, if any, will be distributed at least once
every 12 months.
REDEEMING SHARES
- --------------------------------------------------------------------------------
The Fund redeems shares at their net asset value next determined after the Fund
receives the redemption request. Redemptions will be made on days on which the
Fund computes its net asset value. Redemption requests must be received in
proper form and can be made by telephone request or written request.
TELEPHONE REDEMPTION
Shareholders may redeem their shares by telephoning the Fund before 4:00 p.m.
(Boston time). The proceeds will normally be wired the following business day,
but in no event more than seven days, to the shareholder's account at a domestic
commercial bank that is a member of the Federal Reserve System. If at any time,
the Fund shall determine it necessary to terminate or modify this method of
redemption, shareholders will be promptly notified.
An authorization form permitting the Fund to accept telephone requests must
first be completed. Authorization forms and information on this service are
available from Federated Securities Corp.
In the event of drastic economic or market changes, a shareholder may experience
difficulty in redeeming by telephone. If such a case should occur, another
method of redemption should be considered, such as by "Written Requests."
If reasonable procedures are not followed by the Fund, it may be liable for
losses due to unauthorized or fraudulent telephone instructions.
WRITTEN REQUESTS
Fund shares may also be redeemed by sending a written request to the Fund. Call
the Fund for specific instructions before redeeming by written request. The
shareholder will be asked to provide in the request his name, the Fund name, his
account number, and the share or dollar amount requested. If share certificates
have been issued, they must be properly endorsed and should be sent by
registered or certified mail with the written request.
SIGNATURES. Shareholders requesting a redemption of $50,000 or more, a
redemption of any amount to be sent to an address other than that on record with
the Fund, or a redemption payable other than to the shareholder of record must
have signatures on written redemption requests guaranteed by:
- a trust company or commercial bank whose deposits are insured by the Bank
Insurance Fund ("BIF"), which is administered by the Federal Deposit
Insurance Corporation ("FDIC");
- a member firm of the New York, American, Boston, Midwest, or Pacific
Stock Exchange;
- a savings bank or savings and loan association whose deposits are insured
by the Savings Association Insurance Fund ("SAIF"), which is administered
by the FDIC; or
- any other "eligible guarantor institution," as defined in the Securities
Exchange Act of 1934.
The Fund does not accept signatures guaranteed by a notary public.
The Fund and its transfer agent have adopted standards for accepting signature
guarantees from the above institutions. The Fund may elect in the future to
limit eligible signature guarantors to institutions that are members of a
signature guarantee program. The Fund and its transfer agent reserve the right
to amend these standards at any time without notice.
RECEIVING PAYMENT. Normally, a check for the proceeds is mailed within one
business day, but in no event more than seven days, after receipt of a proper
written redemption request.
ACCOUNTS WITH LOW BALANCES
Due to the high cost of maintaining accounts with low balances, the Fund may
redeem shares in any account and pay the proceeds to the shareholder if the
account balance falls below a required minimum value of $25,000. This
requirement does not apply, however, if the balance falls below $25,000 because
of changes in the Fund's net asset value.
Before shares are redeemed to close an account, the shareholder is notified in
writing and allowed 30 days to purchase additional shares to meet the minimum
requirement.
SHAREHOLDER INFORMATION
- --------------------------------------------------------------------------------
VOTING RIGHTS
Each share of the Fund gives the shareholder one vote in Trustee elections and
other matters submitted to shareholders for vote. All shares of each portfolio
in the Trust have equal voting rights except that only shares of the Fund are
entitled to vote on matters affecting only the Fund. As a Massachusetts business
trust, the Trust is not required to hold annual shareholder meetings.
Shareholder approval will be sought only for certain changes in the Trust's or
the Fund's operations and for the election of Trustees under certain
circumstances.
Trustees may be removed by the Trustees or by shareholders at a special meeting.
A special meeting of the shareholders shall be called by the Trustees upon the
written request of shareholders owning at least 10% of the outstanding shares of
all series of the Trust.
MASSACHUSETTS PARTNERSHIP LAW
Under certain circumstances, shareholders may be held personally liable as
partners under Massachusetts law for acts or obligations of the Trust on behalf
of the Fund. To protect shareholders of the Fund, the Trust has filed legal
documents with Massachusetts that expressly disclaim the liability of
shareholders of the Fund for such acts or obligations of the Trust. These
documents require notice of this disclaimer to be given in each agreement,
obligation, or instrument that the Trust enters into or its Trustees enter into
or sign on behalf of the Fund.
In the unlikely event a shareholder of the Fund is held personally liable for
the Trust's obligations on behalf of the Fund, the Trust is required to use the
property of the Fund to protect or compensate the shareholder. On request, the
Trust will defend any claim made and pay any judgment against a shareholder for
any act or obligation of the Trust on behalf of the Fund. Therefore, financial
loss
resulting from liability as a shareholder of the Fund will occur only if the
Trust itself cannot meet its obligations to indemnify shareholders and pay
judgments against them from the assets of the Fund.
TAX INFORMATION
- --------------------------------------------------------------------------------
FEDERAL INCOME TAX
The Fund will pay no federal income tax because it expects to meet the
requirements of the Internal Revenue Code applicable to regulated investment
companies and to receive the special tax treatment afforded to such companies.
The Fund will be treated as a single, separate entity for federal income tax
purposes so that income (including capital gains) and losses realized by the
Trust's other portfolios, if any, will not be combined for tax purposes with
those realized by the Fund.
Unless otherwise exempt, shareholders are required to pay federal income tax on
any dividends and other distributions, including capital gains distributions,
received. This applies whether dividends and distributions are received in cash
or as additional shares. Distributions representing long-term capital gains, if
any, will be taxable to shareholders as long-term capital gains no matter how
long the shareholders have held their shares.
PENNSYLVANIA CORPORATE AND PERSONAL PROPERTY TAXES. In the opinion of Houston,
Houston & Donnelly, counsel to the Trust:
- neither the Trust nor the Fund is subject to Pennsylvania corporate or
personal property taxes; and
- Fund shares may be subject to personal property taxes imposed by
counties, municipalities, and school districts in Pennsylvania to the
extent that the portfolio securities in the Fund would be subject to such
taxes if owned directly by residents of those jurisdictions.
Shareholders are urged to consult their own tax advisers regarding the status of
their accounts under state and local tax laws.
PERFORMANCE INFORMATION
- --------------------------------------------------------------------------------
From time to time the Fund advertises its total return and yield.
Total return represents the change, over a specified period of time, in the
value of an investment in the Fund after reinvesting all income and capital gain
distributions. It is calculated by dividing that change by the initial
investment and is expressed as a percentage.
The yield of the Fund is calculated by dividing the net investment income per
share (as defined by the Securities and Exchange Commission) earned by the Fund
over a thirty-day period by the offering price per share of the Fund on the last
day of the period. This number is then annualized using semi-annual compounding.
The yield does not necessarily reflect income actually earned by the Fund and,
therefore, may not correlate to the dividends or other distributions paid to
shareholders.
The Fund is sold without any sales load or other similar non-recurring charges.
From time to time, the Fund may advertise its performance using certain
financial publications and/or compare its performance to certain indices.
MINI-CAP FUND
PORTFOLIO OF INVESTMENTS
OCTOBER 31, 1993
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--83.9%
- ----------------------------------------------------------------------------------
AEROSPACE--0.0%
----------------------------------------------------------------------
2,400 * Abex Inc. $ 9,000
---------------------------------------------------------------------- -----------
AUTOMOTIVE--0.1%
----------------------------------------------------------------------
100 * ADESA Corp. 1,650
----------------------------------------------------------------------
1,200 * Alpha Beta Technology 36,900
----------------------------------------------------------------------
600 * Astec Industries, Inc. 8,250
---------------------------------------------------------------------- -----------
Total 46,800
---------------------------------------------------------------------- -----------
BASIC INDUSTRIES--4.4%
----------------------------------------------------------------------
860 Aceto Corp. 11,610
----------------------------------------------------------------------
500 * Acme Metals, Inc. 7,750
----------------------------------------------------------------------
2,467 ADAC Laboratories 32,071
----------------------------------------------------------------------
500 AEP Industries 10,000
----------------------------------------------------------------------
1,300 * Allied Products 15,763
----------------------------------------------------------------------
2,200 American Colloid Co. 52,250
----------------------------------------------------------------------
300 American Filtrona Corp. 7,800
----------------------------------------------------------------------
1,100 * American Pacific Corp. 15,125
----------------------------------------------------------------------
1,200 Amcast Industrial Corp. 21,750
----------------------------------------------------------------------
4,100 * AMSCO International, Inc. 51,250
----------------------------------------------------------------------
2,100 * Applied Microbiology 13,125
----------------------------------------------------------------------
1,000 Athlone Industries, Inc. 17,250
----------------------------------------------------------------------
1,800 * Bayou Steel, Class A 6,413
----------------------------------------------------------------------
400 * Bio Rad Laboratories, Inc., Class A 5,000
----------------------------------------------------------------------
3,650 Birmingham Steel Corp. 84,863
----------------------------------------------------------------------
300 Blessings Corp. 6,600
----------------------------------------------------------------------
2,700 Brush Wellman, Inc. 37,125
----------------------------------------------------------------------
3,100 CalMat Co. 55,800
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
BASIC INDUSTRIES--CONTINUED
----------------------------------------------------------------------
700 Cambrex Corp. $ 14,000
----------------------------------------------------------------------
3,600 * Canyon Resources Corp. 12,600
----------------------------------------------------------------------
3,500 Caranstar Industries, Inc. 55,125
----------------------------------------------------------------------
1,300 * Carlisle Plastics, Inc. 9,100
----------------------------------------------------------------------
1,400 Carpenter Technology Corp. 76,650
----------------------------------------------------------------------
500 Castle A M & Co. 7,000
----------------------------------------------------------------------
600 Chaparral St. Louis Co. 5,325
----------------------------------------------------------------------
2,000 Cleveland Cliffs, Inc. 72,000
----------------------------------------------------------------------
3,000 Coeur d'Alene Mines Corp. 60,375
----------------------------------------------------------------------
1,700 Commercial Intertech Corp. 35,275
----------------------------------------------------------------------
1,500 Commercial Metals Corp. 56,063
----------------------------------------------------------------------
400 * Continental Can Co., Inc. 8,100
----------------------------------------------------------------------
2,300 * Crown Resources Corp. 11,500
----------------------------------------------------------------------
2,200 * Dravo Corp. 24,750
----------------------------------------------------------------------
800 * Ecogen, Inc. 5,600
----------------------------------------------------------------------
2,000 Embrace Systems Corp. 26,000
----------------------------------------------------------------------
700 Fansteel, Inc. 5,250
----------------------------------------------------------------------
1,100 * FirstMiss Gold, Inc. 7,150
----------------------------------------------------------------------
3,400 First Mississippi Corp. 39,100
----------------------------------------------------------------------
1,400 FMC Gold Co. 7,525
----------------------------------------------------------------------
2,500 Fuller (H.B.) Co. 80,625
----------------------------------------------------------------------
8,200 * Gaylord Container Corp., Class A 24,088
----------------------------------------------------------------------
2,000 Greif Bros. Corp., Class A 80,250
----------------------------------------------------------------------
2,600 Grow Group, Inc. 36,400
----------------------------------------------------------------------
1,000 Guardsman Products, Inc. 14,500
----------------------------------------------------------------------
1,800 * Gundle Environmental Systems, Inc. 17,775
----------------------------------------------------------------------
2,400 Handy & Harmon 31,200
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
BASIC INDUSTRIES--CONTINUED
----------------------------------------------------------------------
5,997 Hanson PLC $ 120,690
----------------------------------------------------------------------
6,100 Hecla Mining Co. 64,813
----------------------------------------------------------------------
1,400 * Imclone Systems,Inc. 10,325
----------------------------------------------------------------------
1,500 * Imco Recycling, Inc. 21,000
----------------------------------------------------------------------
550 Insteel Industries, Inc. 6,188
----------------------------------------------------------------------
3,100 Intermet Corp. 24,025
----------------------------------------------------------------------
300 International Aluminum Corp. 6,675
----------------------------------------------------------------------
800 Kaiser Resources Inc. 13,200
----------------------------------------------------------------------
1,300 Kaiser St. Louis Co. 10,075
----------------------------------------------------------------------
600 * Keystone Consolidated Industries, Inc. 5,925
----------------------------------------------------------------------
400 Laclede St. Louis Co. 5,800
----------------------------------------------------------------------
800 Learonal 11,800
----------------------------------------------------------------------
450 Lesco, Inc. 6,413
----------------------------------------------------------------------
2,600 Lilly Industrial, Inc. 55,250
----------------------------------------------------------------------
3,300 Lone Star Technologies, Inc. 29,700
----------------------------------------------------------------------
1,200 * Lydall, Inc. 25,050
----------------------------------------------------------------------
500 Macdermid, Inc. 13,500
----------------------------------------------------------------------
1,100 * Maxxam, Inc. 35,750
----------------------------------------------------------------------
1,000 Mosinee Paper Corp. 25,500
----------------------------------------------------------------------
1,600 * Mueller Industries, Inc. 52,800
----------------------------------------------------------------------
2,400 * Mycogen Corp. 27,000
----------------------------------------------------------------------
600 NCH Corp. 34,800
----------------------------------------------------------------------
600 National San Supply Co. 7,725
----------------------------------------------------------------------
400 New Jersey Steel Corp. 6,700
----------------------------------------------------------------------
2,800 N L Industries, Inc. 13,300
----------------------------------------------------------------------
1,900 * Nord Resources 8,788
----------------------------------------------------------------------
1,500 N S Group, Inc. 14,063
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
BASIC INDUSTRIES--CONTINUED
----------------------------------------------------------------------
700 Oil Drilling Corp. $ 14,263
----------------------------------------------------------------------
1,400 Oregon Metallurgical Corp. 6,475
----------------------------------------------------------------------
2,900 Oregon Steel Mills 68,513
----------------------------------------------------------------------
400 Penn Virginia Corp. 15,400
----------------------------------------------------------------------
3,300 Pentair, Inc. 103,950
----------------------------------------------------------------------
800 Petrolite Corp. 31,400
----------------------------------------------------------------------
1,900 * Pharmaceutical Resources, Inc. 32,063
----------------------------------------------------------------------
200 Pitt Desmoines, Inc. 5,300
----------------------------------------------------------------------
2,000 Pope & Talbot, Inc. 49,750
----------------------------------------------------------------------
800 Pratt & Lambert, Inc. 15,700
----------------------------------------------------------------------
2,000 Precision Castparts Corp. 53,500
----------------------------------------------------------------------
1,300 Quaker Chemical 22,425
----------------------------------------------------------------------
2,300 Quanex Corp. 46,000
----------------------------------------------------------------------
7,400 * Quantum Chemical Corp. 94,350
----------------------------------------------------------------------
1,000 Quixote Corp. 16,000
----------------------------------------------------------------------
600 Roanoke Electrical St. Louis Corp. 7,950
----------------------------------------------------------------------
3,600 * Scotts Co., Class A 65,700
----------------------------------------------------------------------
3,500 * Sealed Airlines Corp. 104,563
----------------------------------------------------------------------
900 Sealright Co., Inc. 13,725
----------------------------------------------------------------------
2,200 * Shorewood Packaging Corp. 23,100
----------------------------------------------------------------------
600 * Special Devices, Inc. 4,050
----------------------------------------------------------------------
1,000 Steel Technologies, Inc. 19,750
----------------------------------------------------------------------
600 * Steel West Va Inc. 6,300
----------------------------------------------------------------------
5,500 Sterling Chemicals, Inc. 19,938
----------------------------------------------------------------------
27,700 * Sunshine Mining Co. 79,638
----------------------------------------------------------------------
900 * Sybron Chemical Industries Inc. 20,025
----------------------------------------------------------------------
800 * Synetic, Inc. 8,000
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
BASIC INDUSTRIES--CONTINUED
----------------------------------------------------------------------
4,800 Terra Industries, Inc. $ 25,200
----------------------------------------------------------------------
1,500 Texas Industries, Inc. 36,563
----------------------------------------------------------------------
1,500 Tredegar Industries, Inc. 22,125
----------------------------------------------------------------------
1,100 Trenwick Group, Inc. 46,200
----------------------------------------------------------------------
900 Tuscarora, Inc. 13,500
----------------------------------------------------------------------
3,000 * Tyler Corp. 14,250
----------------------------------------------------------------------
1,900 Univar Corp. 20,663
----------------------------------------------------------------------
6,700 UNR Industries, Inc. 50,250
----------------------------------------------------------------------
2,200 Valhi Inc. 10,725
----------------------------------------------------------------------
450 Varlen Corp. 9,900
----------------------------------------------------------------------
3,000 Vigoro Corp. 78,000
----------------------------------------------------------------------
1,200 WD 40 Co. 53,400
----------------------------------------------------------------------
4,800 Weirton Steel Corp. 36,600
----------------------------------------------------------------------
1,900 * Wheeling Pittsburgh Corp. 33,725
---------------------------------------------------------------------- -----------
Total 3,330,655
---------------------------------------------------------------------- -----------
BROADCAST RADIO & TV--0.0%
----------------------------------------------------------------------
1,800 * Ackerley Communication 11,025
---------------------------------------------------------------------- -----------
BROADCASTING & CABLE--0.2%
----------------------------------------------------------------------
3,750 * Infinity Broadcasting 181,875
---------------------------------------------------------------------- -----------
CABLE TV--0.0%
----------------------------------------------------------------------
1,200 * International Cabletel, Inc. 34,650
---------------------------------------------------------------------- -----------
CAPITAL GOODS--5.7%
----------------------------------------------------------------------
2,700 AAR Corp. 37,463
----------------------------------------------------------------------
1,500 AGCO Corp. 40,875
----------------------------------------------------------------------
700 Acme Cleveland Corp. 7,263
----------------------------------------------------------------------
3,500 * Airlines & Water Technologies Corp., Class A 48,563
----------------------------------------------------------------------
5,400 * Allwaste, Inc. 23,625
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
CAPITAL GOODS--CONTINUED
----------------------------------------------------------------------
1,500 * Alkermes, Inc. $ 13,875
----------------------------------------------------------------------
500 * American Ecology, Inc. 5,750
----------------------------------------------------------------------
2,200 * American Waste Savings, Inc., Class A 4,400
----------------------------------------------------------------------
800 Ampco Pittsburgh Corp. 5,600
----------------------------------------------------------------------
1,800 Apogee Enterprises, Inc. 24,750
----------------------------------------------------------------------
1,900 Applied Power, Inc. 32,063
----------------------------------------------------------------------
2,400 Aptargroup, Inc. 50,700
----------------------------------------------------------------------
800 Arrow Int'l, Inc. 18,200
----------------------------------------------------------------------
500 Astro Medical, Inc. 6,125
----------------------------------------------------------------------
700 Atkinson Guy F. Co. 6,825
----------------------------------------------------------------------
2,600 * Atmel Corp. 71,500
----------------------------------------------------------------------
700 * Audiovox Corp., Class A 12,338
----------------------------------------------------------------------
1,900 Baldor Electric Co. 54,150
----------------------------------------------------------------------
700 Barnes Group, Inc. 22,750
----------------------------------------------------------------------
1,200 Bearings, Inc. 34,200
----------------------------------------------------------------------
300 * Bel Fuse, Inc. 2,738
----------------------------------------------------------------------
800 BHA Group, Inc., Class A 8,400
----------------------------------------------------------------------
315 Binks Manufacturing Co. 7,052
----------------------------------------------------------------------
500 Blount, Inc., Class A 10,188
----------------------------------------------------------------------
600 * BMC West Corp. 15,150
----------------------------------------------------------------------
900 Brady W H Co., Class A 33,300
----------------------------------------------------------------------
1,200 Brenco, Inc. 13,650
----------------------------------------------------------------------
4,400 BWIP Holding Inc., Class A 102,850
----------------------------------------------------------------------
600 Cascade Corp. 11,888
----------------------------------------------------------------------
1,600 * C D I Corp. 15,800
----------------------------------------------------------------------
1,600 * Cellpro, Inc. 46,800
----------------------------------------------------------------------
6,800 Chambers Development, Inc., Class A 27,200
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
CAPITAL GOODS--CONTINUED
----------------------------------------------------------------------
1,700 Chart Industries Inc. $ 9,350
----------------------------------------------------------------------
300 Cherry Corp. 5,588
----------------------------------------------------------------------
2,100 * Clark Equipment Co. 109,200
----------------------------------------------------------------------
900 * Clean Harbors, Inc. 6,075
----------------------------------------------------------------------
2,800 * CMI Corp., Class A 17,850
----------------------------------------------------------------------
700 Cohu Inc. 14,350
----------------------------------------------------------------------
2,000 * Cognex Corp. 31,000
----------------------------------------------------------------------
1,600 * Coherent, Inc. 23,200
----------------------------------------------------------------------
1,700 Core Industries, Inc. 22,950
----------------------------------------------------------------------
1,800 Daniel Industries, Inc. 26,100
----------------------------------------------------------------------
1,600 Delta Queen Steamboat 26,000
----------------------------------------------------------------------
1,900 Donaldson, Inc. 80,038
----------------------------------------------------------------------
840 * D R Horton Inc. 12,810
----------------------------------------------------------------------
1,000 * Dovatron International Inc. 25,250
----------------------------------------------------------------------
2,100 Duriron, Inc. 47,250
----------------------------------------------------------------------
1,000 * Electromedics, Inc. 4,625
----------------------------------------------------------------------
600 * Emcon 3,900
----------------------------------------------------------------------
3,500 * Environsource, Inc. 11,375
----------------------------------------------------------------------
2,900 * Envirotest System Corp., Class A 55,100
----------------------------------------------------------------------
2,900 Fisher Scientific International, Inc. 97,513
----------------------------------------------------------------------
2,100 * Flow International Corp. 15,488
----------------------------------------------------------------------
700 Fluke John Manufacturing, Inc. 17,325
----------------------------------------------------------------------
800 * Forshne Group, Inc. 13,200
----------------------------------------------------------------------
800 Franklin Electronics, Inc. 28,000
----------------------------------------------------------------------
1,300 Furon Co. 18,200
----------------------------------------------------------------------
1,700 Galveston Houston Co. 7,438
----------------------------------------------------------------------
900 Gleason Corp. 12,825
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
CAPITAL GOODS--CONTINUED
----------------------------------------------------------------------
900 Gorman Rupp Co. $ 24,075
----------------------------------------------------------------------
3,800 Goulds Pumps Inc. 100,700
----------------------------------------------------------------------
800 Graco, Inc. 25,600
----------------------------------------------------------------------
1,200 * Groundwater Technology, Inc. 13,800
----------------------------------------------------------------------
500 Hach Co. 10,438
----------------------------------------------------------------------
1,400 * Harman International Industries, Inc. 29,925
----------------------------------------------------------------------
1,200 Hexcel Corp. 8,700
----------------------------------------------------------------------
1,000 * Harmon Industries Inc. 18,500
----------------------------------------------------------------------
5,100 Harnischfeger Industries, Inc. 112,838
----------------------------------------------------------------------
900 Horsehead Resource Dev., Inc. 4,050
----------------------------------------------------------------------
400 Hughes Supply, Inc. 7,050
----------------------------------------------------------------------
3,500 * ICF International, Inc. 16,625
----------------------------------------------------------------------
2,100 * Idex Corp. 69,038
----------------------------------------------------------------------
2,900 Imo Industries, Inc. 22,113
----------------------------------------------------------------------
1,166 Insituform Mid American, Inc. 16,033
----------------------------------------------------------------------
1,000 * Integrated Waste Services, Inc. 7,375
----------------------------------------------------------------------
7,600 * Intergraph Corp. 84,550
----------------------------------------------------------------------
3,600 * Interlake Corp. 10,350
----------------------------------------------------------------------
1,200 Intermedia Communications 18,300
----------------------------------------------------------------------
4,400 * International Technology Corp. 16,500
----------------------------------------------------------------------
3,500 * Joy Technologies, Inc. 38,500
----------------------------------------------------------------------
3,100 Juno Lighting, Inc. 62,000
----------------------------------------------------------------------
7,000 * JWP, Inc. 7,438
----------------------------------------------------------------------
2,900 Kaydon Corp. 61,263
----------------------------------------------------------------------
1,700 Kennametal, Inc. 68,213
----------------------------------------------------------------------
1,000 * Kent Electronics Corp. 26,125
----------------------------------------------------------------------
1,000 Kuhlman Corp. 16,750
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
CAPITAL GOODS--CONTINUED
----------------------------------------------------------------------
2,200 * Lamson & Sessions Co. $ 11,000
----------------------------------------------------------------------
1,400 Lawson Products, Inc. 37,800
----------------------------------------------------------------------
700 * Lindsay Manufacturing Co. 23,625
----------------------------------------------------------------------
3,000 * Magnetek, Inc. 45,375
----------------------------------------------------------------------
1,600 Manitowoc, Inc. 52,000
----------------------------------------------------------------------
700 * Martech USA, Inc. 5,600
----------------------------------------------------------------------
1,800 * Material Sciences Corp. 43,650
----------------------------------------------------------------------
1,000 * Maverick Tube Corp. 13,500
----------------------------------------------------------------------
2,500 Measurex Corp. 47,188
----------------------------------------------------------------------
700 * Mestek, Inc. 5,950
----------------------------------------------------------------------
300 * Micros Systems Corp. 5,513
----------------------------------------------------------------------
3,400 Mid American Waste Systems, Inc. 27,625
----------------------------------------------------------------------
1,700 Moorco International, Inc. 26,138
----------------------------------------------------------------------
600 MTS Systems Corp. 18,450
----------------------------------------------------------------------
1,400 NACCO Industries, Inc., Class A 60,375
----------------------------------------------------------------------
600 * NCI Building Systems, Inc. 10,200
----------------------------------------------------------------------
800 Newcor, Inc. 10,600
----------------------------------------------------------------------
2,300 Nortek, Inc. 16,100
----------------------------------------------------------------------
2,500 * Novellus Systems, Inc. 68,750
----------------------------------------------------------------------
900 * Noxso Corp. 7,200
----------------------------------------------------------------------
2,700 * Oaks Industries, Inc. 48,600
----------------------------------------------------------------------
700 * OHM Corp. 8,400
----------------------------------------------------------------------
3,100 * Omega Environment Inc. 44,175
----------------------------------------------------------------------
700 * Osmonics, Inc. 13,825
----------------------------------------------------------------------
500 Park Electrochemical Corp. 8,500
----------------------------------------------------------------------
1,100 * Park-Ohio Industries, Inc. 14,575
----------------------------------------------------------------------
3,200 * PEC Israel Economic Corp. 102,000
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
CAPITAL GOODS--CONTINUED
----------------------------------------------------------------------
200 Penn Engineering & Manufacturing Corp. $ 9,200
----------------------------------------------------------------------
1,700 Pioneer Standard Electronics, Inc. 33,788
----------------------------------------------------------------------
800 * Powell Industries, Inc. 5,800
----------------------------------------------------------------------
600 * Presstek Inc. 15,000
----------------------------------------------------------------------
800 * Raymond Corp. 13,200
----------------------------------------------------------------------
1,700 Regal Beloit Corp. 37,400
----------------------------------------------------------------------
700 Richardson Electronics Ltd. 4,725
----------------------------------------------------------------------
400 Robbins & Myers, Inc. 7,350
----------------------------------------------------------------------
9,900 Rollins Environmental Services, Inc. 51,975
----------------------------------------------------------------------
1,800 Roper Industries Inc. 63,000
----------------------------------------------------------------------
1,300 Saint Mary Ld & Expl Co. 18,850
----------------------------------------------------------------------
2,300 * Sanifill, Inc. 40,825
----------------------------------------------------------------------
1,200 Scotsman Industries, Inc. 14,850
----------------------------------------------------------------------
500 * Sevenson Environmental Services 7,250
----------------------------------------------------------------------
1,100 * Sierra Semi Conductor Corp. 8,800
----------------------------------------------------------------------
2,600 * Silicon Valley Group, Inc. 28,925
----------------------------------------------------------------------
700 SPS Technologies, Inc. 19,688
----------------------------------------------------------------------
2,300 SPX Corp. 39,675
----------------------------------------------------------------------
2,000 Standex International Corp. 43,250
----------------------------------------------------------------------
1,300 Sturm Ruger & Co., Inc. 41,113
----------------------------------------------------------------------
600 Synalloy Corp 8,550
----------------------------------------------------------------------
800 Tennant Co. 33,600
----------------------------------------------------------------------
800 Terex Corp. 6,100
----------------------------------------------------------------------
1,600 * Tetra Technologies, Inc. 12,400
----------------------------------------------------------------------
1,000 * Thermo Fibertek Inc. 14,250
----------------------------------------------------------------------
800 * Thermo Process Systems, Inc. 6,700
----------------------------------------------------------------------
1,800 Thomas Industries, Inc. 22,275
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
CAPITAL GOODS--CONTINUED
----------------------------------------------------------------------
1,000 Tokheim Corp. $ 12,750
----------------------------------------------------------------------
2,600 Trimas Corp. 53,625
----------------------------------------------------------------------
1,100 * U.S. Filter Corp. 26,125
----------------------------------------------------------------------
1,200 * Unique Mobility Inc. 10,200
----------------------------------------------------------------------
1,400 United Industrial Corp. 8,575
----------------------------------------------------------------------
700 * United Waste System Inc. 9,450
----------------------------------------------------------------------
500 * USA Waste Services Inc. 5,438
----------------------------------------------------------------------
1,100 Valmont Industries, Inc. 16,500
----------------------------------------------------------------------
900 * Vans, Inc. 5,400
----------------------------------------------------------------------
4,300 * VMX, Inc. 16,125
----------------------------------------------------------------------
900 * Wahlco Environmental Systems, Inc. 4,725
----------------------------------------------------------------------
1,800 Watts Industries Inc., Class A 82,800
----------------------------------------------------------------------
1,300 * Western Waste Industries 16,900
----------------------------------------------------------------------
900 Wheatley TXT Corp. 10,800
----------------------------------------------------------------------
3,100 Willcox & Gibbs, Inc. 22,475
----------------------------------------------------------------------
1,100 Woodhead Industries 17,050
----------------------------------------------------------------------
2,900 * Worldtex, Inc. 19,575
----------------------------------------------------------------------
1,200 Wyman Gordon Co. 6,000
----------------------------------------------------------------------
1,200 X-Rite, Inc. 25,800
----------------------------------------------------------------------
2,800 Zero Corp. 42,000
----------------------------------------------------------------------
2,100 Zurn Industries, Inc. 56,700
---------------------------------------------------------------------- -----------
Total 4,309,146
---------------------------------------------------------------------- -----------
CONSUMER BASICS--12.3%
----------------------------------------------------------------------
1,900 A L Laboratories, Inc., Class A 30,163
----------------------------------------------------------------------
1,000 * Abbey Healthcare Group, Inc. 24,250
----------------------------------------------------------------------
1,100 * Abiomed, Inc. 9,900
----------------------------------------------------------------------
900 * Advanced Magnetics, Inc. 11,138
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
CONSUMER BASICS--CONTINUED
----------------------------------------------------------------------
600 * Advanced Medical, Inc. $ 900
----------------------------------------------------------------------
4,900 * Advanced Tissue Sciences, Inc. 43,488
----------------------------------------------------------------------
300 * Advantage Health Corp. 3,675
----------------------------------------------------------------------
1,100 * Agouron Pharmaceuticals, Inc. 12,100
----------------------------------------------------------------------
2,400 * Airgas, Inc. 99,000
----------------------------------------------------------------------
600 Alico, Inc. 11,400
----------------------------------------------------------------------
2,700 * Alliance Pharmaceutical Corp. 25,650
----------------------------------------------------------------------
1,200 * Allied Clinical Laboratories, Inc. 21,000
----------------------------------------------------------------------
1,000 * Alpha 1 Biomedicals, Inc. 22,250
----------------------------------------------------------------------
1,500 * Alpine Group, Inc. 13,688
----------------------------------------------------------------------
1,000 * Alteon, Inc. 9,250
----------------------------------------------------------------------
2,500 * American Biogenetic Sciences, Class A 13,438
----------------------------------------------------------------------
3,200 * American Healthcare Management Inc. 20,400
----------------------------------------------------------------------
1,600 * American Healthcorp, Inc. 37,200
----------------------------------------------------------------------
900 American Maize Products Co., Class A 14,963
----------------------------------------------------------------------
2,800 * Amylin Pharmaceuticals, Inc. 36,400
----------------------------------------------------------------------
400 * Andros, Inc. 5,900
----------------------------------------------------------------------
400 * Aphton Corp. 7,900
----------------------------------------------------------------------
5,000 * Applied Bioscience International, Inc. 29,375
----------------------------------------------------------------------
1,574 * Applied Immune Sciences, Inc. 20,856
----------------------------------------------------------------------
200 * Arden Group, Inc. 10,500
----------------------------------------------------------------------
700 Armor All Products Corp. 11,988
----------------------------------------------------------------------
2,700 * Athena Neurosciences, Inc. 32,738
----------------------------------------------------------------------
4,000 * Aura Systems, Inc. 29,250
----------------------------------------------------------------------
1,200 * Auto Immune, Inc. 9,000
----------------------------------------------------------------------
4,700 Ballard Medical Products 79,313
----------------------------------------------------------------------
700 * Barefoot, Inc. 21,788
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
CONSUMER BASICS--CONTINUED
----------------------------------------------------------------------
600 * Barr Laboratories, Inc. $ 13,800
----------------------------------------------------------------------
1,100 * Ben & Jerry's Homemade, Inc. 20,625
----------------------------------------------------------------------
100 * Benson Eyecare Corp. 800
----------------------------------------------------------------------
1,300 Bindley Western Industries, Inc. 15,600
----------------------------------------------------------------------
3,200 * Bio Technology General Corp. 17,000
----------------------------------------------------------------------
900 Biocraft Laboratories, Inc. 30,262
----------------------------------------------------------------------
800 BioWhittaker, Inc. 4,800
----------------------------------------------------------------------
400 Bridgford Food Corp. 4,400
----------------------------------------------------------------------
700 * Buttrey Food & Drug Stores Co. 4,900
----------------------------------------------------------------------
785 * Cabot Medical Corp. 4,612
----------------------------------------------------------------------
4,000 * Calgene, Inc. 68,500
----------------------------------------------------------------------
3,300 * Cambridge Biotech Corp. 11,138
----------------------------------------------------------------------
1,600 * Cambridge Neuroscience, Inc. 14,800
----------------------------------------------------------------------
2,500 * Cardinal Distribution Inc. 107,500
----------------------------------------------------------------------
800 * Carrington Laboratories, Inc. 10,300
----------------------------------------------------------------------
1,300 Casey's General Stores, Inc. 27,625
----------------------------------------------------------------------
3,600 * Cel-Sci Corp. 5,400
----------------------------------------------------------------------
1,100 * Celgene Corp. 9,625
----------------------------------------------------------------------
1,400 * Celtrix Pharmaceuticals 13,650
----------------------------------------------------------------------
7,500 * Centocor, Inc. 97,500
----------------------------------------------------------------------
1,600 * Cephalon, Inc. 25,600
----------------------------------------------------------------------
4,500 * Charter Medical Corp. 113,063
----------------------------------------------------------------------
800 Chattem, Inc. 6,800
----------------------------------------------------------------------
1,600 Chemed Corp. 50,200
----------------------------------------------------------------------
1,300 * Chemtrak Inc. 5,363
----------------------------------------------------------------------
1,751 * Chock Full O'Nuts Corp. 16,853
----------------------------------------------------------------------
3,300 * Circa Pharmaceuticals, Inc. 41,250
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
CONSUMER BASICS--CONTINUED
----------------------------------------------------------------------
600 * Circon Corp. $ 8,400
----------------------------------------------------------------------
800 * Coastal Healthcare Group, Inc. 23,600
----------------------------------------------------------------------
800 Coca Cola Bottling Co. 29,600
----------------------------------------------------------------------
1,700 * Collagen Corp. 45,475
----------------------------------------------------------------------
2,700 * Columbia Laboratories, Inc. 15,863
----------------------------------------------------------------------
1,000 * Community Health Systems, Inc. 26,250
----------------------------------------------------------------------
7,800 Community Psychiatric Centers 109,200
----------------------------------------------------------------------
1,200 * Copley Pharmaceutical 57,600
----------------------------------------------------------------------
2,600 * Cordis Corp. 103,350
----------------------------------------------------------------------
475 Corning Inc. 12,291
----------------------------------------------------------------------
1,700 * Coventry Corp. 66,300
----------------------------------------------------------------------
1,600 Craig Corp. 23,600
----------------------------------------------------------------------
900 Crown Crafts, Inc. 15,638
----------------------------------------------------------------------
3,000 * Cryomedical Sciences, Inc. 13,125
----------------------------------------------------------------------
400 Culbro Corp. 6,200
----------------------------------------------------------------------
800 Curtice-Burns Foods, Inc., Class A 10,900
----------------------------------------------------------------------
1,900 * Cygnus Therapeutic Systems 17,338
----------------------------------------------------------------------
1,400 * Cytel Corp. 7,000
----------------------------------------------------------------------
3,600 * Cytogen Corp. 27,900
----------------------------------------------------------------------
1,300 * Cyto Therapeutics Inc. 16,413
----------------------------------------------------------------------
5,200 * Cytrex Corp. 33,800
----------------------------------------------------------------------
2,200 * Datascope Corp. 36,300
----------------------------------------------------------------------
800 Dekalb Genetics Corp., Class B 21,600
----------------------------------------------------------------------
800 Delchamps, Inc. 19,000
----------------------------------------------------------------------
3,900 * Diagnostek, Inc. 70,200
----------------------------------------------------------------------
1,800 Diagnostic Products Corp. 33,300
----------------------------------------------------------------------
1,800 * Diasonics, Inc. 5,400
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
CONSUMER BASICS--CONTINUED
----------------------------------------------------------------------
2,200 Dibrell Bros., Inc. $ 66,000
----------------------------------------------------------------------
2,900 * DNA Plant Technology 18,125
----------------------------------------------------------------------
1,000 * Doskocil Cos., Inc. 11,000
----------------------------------------------------------------------
2,200 Dreyers Grand Ice Cream, Inc. 66,000
----------------------------------------------------------------------
1,300 Drug Emporium, Inc. 7,150
----------------------------------------------------------------------
1,900 * Eagle Food Centers, Inc. 11,163
----------------------------------------------------------------------
2,900 * Ekco Group, Inc. 23,200
----------------------------------------------------------------------
900 * Empire of Carolina, Inc. 5,513
----------------------------------------------------------------------
1,100 * Employee Benefit Plans, Inc. 10,863
----------------------------------------------------------------------
2,100 * Enzo Biochem Corp. 35,175
----------------------------------------------------------------------
3,100 * Enzon Inc. 15,113
----------------------------------------------------------------------
1,300 * Epitope, Inc. 29,738
----------------------------------------------------------------------
600 Eskimo Pie Corp. 10,650
----------------------------------------------------------------------
200 Farmer Bros. Co. 30,600
----------------------------------------------------------------------
1,800 * Focal Surgery Inc. 1,350
----------------------------------------------------------------------
400 Frankford Corp. 12,200
----------------------------------------------------------------------
1,600 * Franklin Quest Co. 51,200
----------------------------------------------------------------------
100 * Fresenius USA Inc. 825
----------------------------------------------------------------------
700 * Fresh Choice Inc. 18,550
----------------------------------------------------------------------
1,800 * Gencare Health Systems, Inc. 50,850
----------------------------------------------------------------------
2,000 * Genesis Health Ventures, Inc. 35,500
----------------------------------------------------------------------
1,700 * Genetic Therapy, Inc. 31,450
----------------------------------------------------------------------
3,300 * Gensia, Inc. 93,638
----------------------------------------------------------------------
3,100 * Gilead Sciences Inc. 44,175
----------------------------------------------------------------------
1,900 * Glycomed, Inc. 15,200
----------------------------------------------------------------------
800 Golden Enterprises, Inc. 6,400
----------------------------------------------------------------------
660 Golden Poultry, Inc. 5,610
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
CONSUMER BASICS--CONTINUED
----------------------------------------------------------------------
1,000 * Graham Field Health Products, Inc. $ 5,125
----------------------------------------------------------------------
1,600 * Grancare, Inc. 25,200
----------------------------------------------------------------------
4,400 * Greenwich Pharmaceuticals, Inc. 11,000
----------------------------------------------------------------------
1,100 * Grist Mill Co. 6,325
----------------------------------------------------------------------
1,500 * Hallmark Healthcare Co. 20,250
----------------------------------------------------------------------
800 * Hanger Orthopedic Group 5,000
----------------------------------------------------------------------
1,500 * Hauser Chemical Research, Inc. 13,500
----------------------------------------------------------------------
500 * Health Infusion, Inc. 3,438
----------------------------------------------------------------------
3,400 * Health Management Assoc., Class A 126,650
----------------------------------------------------------------------
1,800 * Health Professionals, Inc. 2,700
----------------------------------------------------------------------
6,300 * Healthcare Compare Corp. 138,600
----------------------------------------------------------------------
600 Healthcare Services Group, Inc. 5,775
----------------------------------------------------------------------
2,300 * Healthdyne, Inc. 16,388
----------------------------------------------------------------------
5,200 * Healthsouth Rehabilitation 92,300
----------------------------------------------------------------------
2,350 * Healthsource, Inc. 109,863
----------------------------------------------------------------------
766 * Heartland Express, Inc. 25,661
----------------------------------------------------------------------
800 * Heart Technology Inc. 18,600
----------------------------------------------------------------------
3,500 Herbalife International, Inc. 54,688
----------------------------------------------------------------------
14,900 * Hillhaven Corp. 58,669
----------------------------------------------------------------------
900 * Home Nutritional Services, Inc. 4,725
----------------------------------------------------------------------
500 Home Office Reference Laboratories, Inc. 9,500
----------------------------------------------------------------------
1,600 * Homedco Group, Inc. 48,000
----------------------------------------------------------------------
900 Hooper Holmes, Inc. 11,813
----------------------------------------------------------------------
1,100 * Horizon Healthcare Corp. 17,738
----------------------------------------------------------------------
1,000 Hudson Foods, Inc. 12,750
----------------------------------------------------------------------
1,400 * I-STAT Corp. 25,200
----------------------------------------------------------------------
1,800 ICN Biomedicals, Inc. 9,450
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
CONSUMER BASICS--CONTINUED
----------------------------------------------------------------------
3,400 * ICN Pharmaceuticals, Inc. $ 37,825
----------------------------------------------------------------------
3,000 * ICOS Corp. 19,125
----------------------------------------------------------------------
900 * ICU Medical Inc. 12,375
----------------------------------------------------------------------
2,800 * IDEXX Laboratories, Inc. 70,700
----------------------------------------------------------------------
1,600 * IG Laboratories Inc. 15,000
----------------------------------------------------------------------
1,200 * IGI Inc. 11,850
----------------------------------------------------------------------
1,900 * Immulogic Pharmaceutical Corp. 20,900
----------------------------------------------------------------------
2,200 * Immune Response Corp. 27,775
----------------------------------------------------------------------
2,500 * Immunex Corp. 43,125
----------------------------------------------------------------------
1,900 * Immunogen, Inc. 16,625
----------------------------------------------------------------------
2,700 * Immunomedics, Inc. 17,888
----------------------------------------------------------------------
900 Imperial Holly Corp. 9,000
----------------------------------------------------------------------
1,200 * In Home Health 4,275
----------------------------------------------------------------------
1,300 * Infrasonic, Inc. 7,313
----------------------------------------------------------------------
1,000 Ingles Markets, Inc. 8,750
----------------------------------------------------------------------
6,400 * Instrument System Corp. 57,600
----------------------------------------------------------------------
2,200 * Integrated Health Services, Inc. 64,900
----------------------------------------------------------------------
500 * Intergroup Healthcare 17,250
----------------------------------------------------------------------
2,800 * International Dairy Queen Inc., Class A 43,400
----------------------------------------------------------------------
2,400 * Interneuron Pharmaceuticals 21,300
----------------------------------------------------------------------
3,500 Interstate Bakeries Corp. 49,875
----------------------------------------------------------------------
2,000 Invacare Corp. 50,500
----------------------------------------------------------------------
700 * Invitro International 9,188
----------------------------------------------------------------------
1,000 * Ionics, Inc. 50,250
----------------------------------------------------------------------
1,900 * Isis Pharmaceuticals 15,200
----------------------------------------------------------------------
1,000 * Isomedix, Inc. 19,125
----------------------------------------------------------------------
1,100 * J & J Snack Foods Corp. 21,313
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
CONSUMER BASICS--CONTINUED
----------------------------------------------------------------------
1,350 * Jason, Inc. $ 15,863
----------------------------------------------------------------------
1,000 * Jean Phillippe Fragrances, Inc. 15,000
----------------------------------------------------------------------
1,000 * Jones Medical Industries, Inc. 16,750
----------------------------------------------------------------------
2,500 Life Technologies, Inc. 44,375
----------------------------------------------------------------------
1,800 * Ligand Pharmaceuticals, Class A 22,050
----------------------------------------------------------------------
2,300 * Lincare Holdings Inc. 100,625
----------------------------------------------------------------------
2,800 * Liposome Technology, Inc. 38,500
----------------------------------------------------------------------
4,000 * Liposome, Inc. 28,500
----------------------------------------------------------------------
1,400 * Living Centers American Inc. 31,325
----------------------------------------------------------------------
100 * Longhorn Steaks Inc. 738
----------------------------------------------------------------------
600 * Lunar Corp. 7,050
----------------------------------------------------------------------
132 * Lynx Therapeutic, Inc. 26
----------------------------------------------------------------------
1,800 * Magainin Pharmaceuticals 23,400
----------------------------------------------------------------------
1,000 * Marsam Pharmaceuticals, Inc. 24,250
----------------------------------------------------------------------
800 * Matrix Pharmaceuticals 9,000
----------------------------------------------------------------------
1,800 * Maxicare Health Plans, Inc. 20,700
----------------------------------------------------------------------
800 * Maxxim Medical, Inc. 14,500
----------------------------------------------------------------------
1,100 * Medchem Products, Inc. 7,288
----------------------------------------------------------------------
1,900 * Medco Research, Inc. 22,563
----------------------------------------------------------------------
1,528 Medeva PLC 10,504
----------------------------------------------------------------------
900 Medex, Inc. 13,050
----------------------------------------------------------------------
6,600 * Medical Care America, Inc. 164,175
----------------------------------------------------------------------
900 Medicine Shoppe International, Inc. 20,925
----------------------------------------------------------------------
1,100 * Medimmune, Inc. 23,375
----------------------------------------------------------------------
700 * Mediplex Group, Inc. 17,850
----------------------------------------------------------------------
900 Mediq, Inc. 4,219
----------------------------------------------------------------------
600 * Medrad, Inc. 7,950
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
CONSUMER BASICS--CONTINUED
----------------------------------------------------------------------
113 * Mental Health Management, Inc. $ 464
----------------------------------------------------------------------
1,400 Mentor Corp. 20,650
----------------------------------------------------------------------
700 Meridian Diognostic 6,475
----------------------------------------------------------------------
600 * Meris Laboratories, Inc. 2,925
----------------------------------------------------------------------
1,900 * MGI Pharmaceutical, Inc. 27,550
----------------------------------------------------------------------
2,000 Michaels Foods 18,250
----------------------------------------------------------------------
2,400 * Mid Atlantic Medical Services, Inc. 72,600
----------------------------------------------------------------------
800 Midwest Grain Products, Inc. 19,400
----------------------------------------------------------------------
700 Mine Safety Appliances Co. 31,500
----------------------------------------------------------------------
500 * Minntech Corp. 4,813
----------------------------------------------------------------------
400 * Mitek Surgical Products, Inc. 8,750
----------------------------------------------------------------------
2,000 * Molecular Biosystems, Inc. 49,500
----------------------------------------------------------------------
1,500 * Molecular Dynamics, Inc. 18,275
----------------------------------------------------------------------
800 Monk--Austin, Inc. 12,300
----------------------------------------------------------------------
800 * Mr. Coffee, Inc. 7,200
----------------------------------------------------------------------
1,800 * National Vision Association 19,575
----------------------------------------------------------------------
1,100 * Namic USA Corp. 9,075
----------------------------------------------------------------------
1,900 Nash Finch Co. 38,000
----------------------------------------------------------------------
1,800 National Health Investors, Inc. 52,650
----------------------------------------------------------------------
2,800 * National Intergroup, Inc. 43,050
----------------------------------------------------------------------
800 * Nature's Bounty, Inc. 13,300
----------------------------------------------------------------------
1,233 Natures Sunshine Products, Inc. 13,563
----------------------------------------------------------------------
2,800 * Nellcor, Inc. 63,700
----------------------------------------------------------------------
2,000 * Neorx Corp. 4,938
----------------------------------------------------------------------
2,600 Neutrogena Corp. 50,050
----------------------------------------------------------------------
1,200 * Noven Pharmaceuticals, Inc. 15,450
----------------------------------------------------------------------
1,800 * OEC Medical Systems, Inc. 13,275
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
CONSUMER BASICS--CONTINUED
----------------------------------------------------------------------
1,000 Omega Healthcare Investors $ 25,000
----------------------------------------------------------------------
1,500 Omnicare, Inc. 41,250
----------------------------------------------------------------------
2,300 * Oncogene Science, Inc. 10,063
----------------------------------------------------------------------
2,400 * Oncor, Inc. 21,000
----------------------------------------------------------------------
900 * Optical Radiation Corp. 13,725
----------------------------------------------------------------------
1,500 * Organogenesis, Inc. 12,000
----------------------------------------------------------------------
3,300 * Ornda Healthcorp 48,675
----------------------------------------------------------------------
3,650 Owens & Minor, Inc. 78,475
----------------------------------------------------------------------
2,200 * Oxford Health Plans, Inc. 86,900
----------------------------------------------------------------------
600 * Pacific Physician Services, Inc. 12,900
----------------------------------------------------------------------
1,200 * Patterson Dental Co. 38,700
----------------------------------------------------------------------
1,500 * Penn Traffic Co. 57,000
----------------------------------------------------------------------
1,100 Penwest Ltd. 22,825
----------------------------------------------------------------------
1,100 * Pharmaceutical Marketing Services 15,675
----------------------------------------------------------------------
2,075 * Pharmos Corp. 17,897
----------------------------------------------------------------------
700 * Phycor, Inc. 20,125
----------------------------------------------------------------------
500 * Physicians Clinical Lab 6,250
----------------------------------------------------------------------
900 * Physicians Health Services 15,863
----------------------------------------------------------------------
900 Pilgrims Pride Corp. 7,200
----------------------------------------------------------------------
1,400 PMC Cap, Inc. 18,550
----------------------------------------------------------------------
2,100 * Preferred Healthcare Ltd. 64,575
----------------------------------------------------------------------
3,100 * Primark Corp. 39,913
----------------------------------------------------------------------
4,300 * Primedex Health Systems, Inc. 15,050
----------------------------------------------------------------------
1,400 * Procyte Corp. 22,050
----------------------------------------------------------------------
1,500 * Protein Design Laboratories, Inc. 31,500
----------------------------------------------------------------------
1,000 * Pure Pacific 22,500
----------------------------------------------------------------------
1,900 Puritan Bennett Corp. 31,350
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
CONSUMER BASICS--CONTINUED
----------------------------------------------------------------------
2,000 Purolator Prods Co. $ 38,000
----------------------------------------------------------------------
2,200 * Quantum Health Research, Inc. 59,950
----------------------------------------------------------------------
2,500 * Quidel Corp. 12,500
----------------------------------------------------------------------
3,100 * Radiation Care Inc. 6,588
----------------------------------------------------------------------
1,000 * Ramsay HMO, Inc. 30,250
----------------------------------------------------------------------
800 * Regency Health Services Inc. 9,000
----------------------------------------------------------------------
2,100 * Regeneron Pharmaceuticals, Inc. 38,325
----------------------------------------------------------------------
700 * Rehabclinics Inc. 14,000
----------------------------------------------------------------------
900 * Relife, Ince. 11,025
----------------------------------------------------------------------
1,900 * Ren Corp. USA 20,425
----------------------------------------------------------------------
1,400 * Repligen Corp. 11,550
----------------------------------------------------------------------
1,600 * Research Industries Corp. 13,600
----------------------------------------------------------------------
1,100 * Respironics, Inc. 21,450
----------------------------------------------------------------------
4,300 * Response Technologies, Inc. 10,481
----------------------------------------------------------------------
1,700 * Ribi Immunochem Research, Inc. 12,113
----------------------------------------------------------------------
3,600 Richfood Holdings, Inc. 56,700
----------------------------------------------------------------------
800 * Riser Foods, Inc. 6,800
----------------------------------------------------------------------
500 RLI Corp. 12,500
----------------------------------------------------------------------
1,500 * Roberts Pharmaceutical Corp. 58,125
----------------------------------------------------------------------
400 * Rotech Medical Corp 5,200
----------------------------------------------------------------------
4,200 * Royce Labs 11,550
----------------------------------------------------------------------
2,000 Ruddick Corp. 43,250
----------------------------------------------------------------------
1,800 Rykoff S E & Co. 33,075
----------------------------------------------------------------------
1,000 * Salick Healthcare, Inc. 15,750
----------------------------------------------------------------------
800 Sanderson Farms, Inc. 12,400
----------------------------------------------------------------------
4,500 Savannah Foods & Industries, Inc. 68,625
----------------------------------------------------------------------
300 * Scherer Healthcare, Inc. 6,488
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
CONSUMER BASICS--CONTINUED
----------------------------------------------------------------------
800 * Sciclone Pharmaceuticals $ 19,100
----------------------------------------------------------------------
5,500 * Scios Nova, Inc. 60,500
----------------------------------------------------------------------
100 Seaboard Corp. 18,800
----------------------------------------------------------------------
900 * Seragen Inc. 8,775
----------------------------------------------------------------------
1,600 * Shaman Pharmaceuticals, Inc. 20,400
----------------------------------------------------------------------
1,300 * Sierra Healthservices, Inc. 21,288
----------------------------------------------------------------------
1,900 * Smithfield Foods, Inc. 29,925
----------------------------------------------------------------------
1,900 * Solv Ex Corp. 10,806
----------------------------------------------------------------------
2,200 * Somatix Therapy Corp. 17,050
----------------------------------------------------------------------
1,300 * Somatogen, Inc. 15,275
----------------------------------------------------------------------
1,800 * Spacelabs, Inc. 42,750
----------------------------------------------------------------------
900 Standard Commercial Inc. 14,850
----------------------------------------------------------------------
3,200 Stanhome Inc. 88,800
----------------------------------------------------------------------
1,200 Starrett L S Co., Class A 29,550
----------------------------------------------------------------------
600 Stepan Chemical Co. 17,775
----------------------------------------------------------------------
700 * Sullivan Dental Products, Inc. 13,125
----------------------------------------------------------------------
400 * Summit Care Corp. 6,200
----------------------------------------------------------------------
1,900 Summit Health Ltd. 13,063
----------------------------------------------------------------------
2,900 * Summit Technology, Inc. 74,675
----------------------------------------------------------------------
2,500 Sunrise Medical Inc. 61,875
----------------------------------------------------------------------
800 * Sunrise Technologies, Inc. 4,500
----------------------------------------------------------------------
2,000 Super Food Services, Inc. 23,000
----------------------------------------------------------------------
800 * Super Rite Foods Holdings Corp. 8,400
----------------------------------------------------------------------
3,800 * Sybron Corp. 106,400
----------------------------------------------------------------------
1,500 * Syncor International Corp. 26,250
----------------------------------------------------------------------
4,200 * Synergen Inc. 60,375
----------------------------------------------------------------------
700 * Systemix Inc. 14,000
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
CONSUMER BASICS--CONTINUED
----------------------------------------------------------------------
7,300 * T2 Medical Inc. $ 56,575
----------------------------------------------------------------------
1,800 * Taco Cabana Inc. 37,350
----------------------------------------------------------------------
1,000 * Takecare, Inc. 45,125
----------------------------------------------------------------------
800 Tasty Baking Corp. 11,000
----------------------------------------------------------------------
1,200 * Techne Corp. 15,900
----------------------------------------------------------------------
2,400 * Technological Medical Products, Inc. 40,200
----------------------------------------------------------------------
1,300 Tejon Ranch Co. 20,475
----------------------------------------------------------------------
2,800 * Telios Pharmaceuticals 18,550
----------------------------------------------------------------------
800 * Theratech Inc. Utah 12,600
----------------------------------------------------------------------
1,400 * Thermedics, Inc. 36,050
----------------------------------------------------------------------
800 * Thermo Cardiosystems, Inc. 28,500
----------------------------------------------------------------------
1,950 * Thermotrex Corp. 29,006
----------------------------------------------------------------------
2,900 * Tokos Medical Corp. Del 18,850
----------------------------------------------------------------------
300 Thorn Apple Valley, Inc. 5,250
----------------------------------------------------------------------
2,100 * Total Pharmaceutical Care, Inc. 47,775
----------------------------------------------------------------------
700 * Triconex Corp. 10,150
----------------------------------------------------------------------
1,600 * Trimedyne Corp. 13,000
----------------------------------------------------------------------
5,500 * U.S. Bioscience, Inc. 55,000
----------------------------------------------------------------------
3,300 * Unilab Corp. 19,800
----------------------------------------------------------------------
2,100 Univax Biologies, Inc. 18,900
----------------------------------------------------------------------
2,300 * Universal Health Services, Inc., Class B 47,438
----------------------------------------------------------------------
1,350 Utah Medical Products, Inc. 12,488
----------------------------------------------------------------------
500 * Vallen Corp. 6,875
----------------------------------------------------------------------
2,500 * Vencor Inc. 59,375
----------------------------------------------------------------------
3,500 * Ventritex, Inc. 126,000
----------------------------------------------------------------------
1,300 * Vertex Pharmaceuticals, Inc. 19,500
----------------------------------------------------------------------
1,800 * Vestar, Inc. 14,850
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
CONSUMER BASICS--CONTINUED
----------------------------------------------------------------------
900 * Viratek, Inc. $ 12,375
----------------------------------------------------------------------
1,300 * Visx, Inc. 21,775
----------------------------------------------------------------------
900 * Vital Signs, Inc. 17,100
----------------------------------------------------------------------
2,300 * Vivra, Inc. 75,325
----------------------------------------------------------------------
800 * Whole Foods Markets, Inc. 33,200
----------------------------------------------------------------------
1,600 WLR Foods, Inc. 30,400
----------------------------------------------------------------------
2,700 * Xoma Corp. 18,225
----------------------------------------------------------------------
800 * Zenith Laboratories, Inc. 64,000
----------------------------------------------------------------------
2,800 * Zila, Inc. 9,625
---------------------------------------------------------------------- -----------
Total 9,359,717
---------------------------------------------------------------------- -----------
CONSUMER DURABLES--2.9%
----------------------------------------------------------------------
3,300 Aaron Rents, Inc., Class A 37,538
----------------------------------------------------------------------
3,900 Albany International Corp. 70,200
----------------------------------------------------------------------
3,700 Allen Group, Inc 83,250
----------------------------------------------------------------------
3,300 Arctco, Inc. 76,725
----------------------------------------------------------------------
3,000 * Automotive Industries Holdings, Inc. 83,250
----------------------------------------------------------------------
2,500 * Bassett Furniture Industries, Inc. 75,625
----------------------------------------------------------------------
2,750 * Best Buy Co., Inc. 165,688
----------------------------------------------------------------------
2,400 Carlisle Cos, Inc. 80,100
----------------------------------------------------------------------
900 * Chromcraft Revington Inc. 16,650
----------------------------------------------------------------------
2,500 Clarcor, Inc. 44,375
----------------------------------------------------------------------
900 Coachmen Industries, Inc. 13,050
----------------------------------------------------------------------
200 Dart Group Corp., Class A 16,200
----------------------------------------------------------------------
800 * Discount Auto Parts, Inc. 20,400
----------------------------------------------------------------------
300 Douglas & Lomason Co. 5,250
----------------------------------------------------------------------
600 * Durakon Industries, Inc. 8,100
----------------------------------------------------------------------
600 Dynamics Corp. America 10,200
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
CONSUMER DURABLES--CONTINUED
----------------------------------------------------------------------
900 Excel Industries, Inc. $ 16,650
----------------------------------------------------------------------
600 * Falcon Products, Inc. 6,300
----------------------------------------------------------------------
3,200 Fedders USA Inc. 20,000
----------------------------------------------------------------------
1,600 * Finish Line Inc., Class A 12,800
----------------------------------------------------------------------
1,000 Flexsteel Industries, Inc. 16,000
----------------------------------------------------------------------
2,500 * Genelabs Technologies, Inc. 12,500
----------------------------------------------------------------------
400 General Housewares Corp. 5,350
----------------------------------------------------------------------
660 Genovese Drug Stores, Inc., Class A 7,013
----------------------------------------------------------------------
2,900 * Gentex Corp. 85,550
----------------------------------------------------------------------
1,600 Hayes Wheels International Inc. 38,400
----------------------------------------------------------------------
1,400 * Hi Lo Automotive, Inc. 15,575
----------------------------------------------------------------------
1,000 * Insurance Automotive Auctions, Inc. 40,500
----------------------------------------------------------------------
2,600 Interface Flooring, Inc., Class A 36,075
----------------------------------------------------------------------
1,300 Kinetic Concepts, Inc. 5,038
----------------------------------------------------------------------
800 Knape & Vogt Manufacturing Co. 17,200
----------------------------------------------------------------------
2,100 LA Z Boy Chair Co. 67,200
----------------------------------------------------------------------
3,000 Ladd Furniture, Inc. 29,250
----------------------------------------------------------------------
100 * Larizza Industries Inc. 900
----------------------------------------------------------------------
2,000 * Lechters, Inc. 23,000
----------------------------------------------------------------------
440 * Lifetime Hoan Corp. 7,590
----------------------------------------------------------------------
2,200 * Lo-Jack Corp. 11,688
----------------------------------------------------------------------
900 LSB Industries Inc. 9,675
----------------------------------------------------------------------
400 Lumex, Inc. 4,250
----------------------------------------------------------------------
500 * Monro Muffler Brake, Inc. 7,375
----------------------------------------------------------------------
1,400 Myers Industries, Inc. 32,550
----------------------------------------------------------------------
900 National Presto Industries, Inc. 49,500
----------------------------------------------------------------------
1,300 O'Sullivan Corp. 12,025
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
CONSUMER DURABLES--CONTINUED
----------------------------------------------------------------------
3,700 Oakwood Homes Corp. $ 99,900
----------------------------------------------------------------------
1,300 OshKosh Truck Corp., Class B 12,188
----------------------------------------------------------------------
1,000 * Projectivision Inc. 11,500
----------------------------------------------------------------------
300 Pulaski Furniture Corp. 5,550
----------------------------------------------------------------------
600 * Pure Tech International, Inc. 9,000
----------------------------------------------------------------------
3,100 * Royal Appliance Mfg Co. 20,538
----------------------------------------------------------------------
800 Shelby Williams Industries, Inc. 10,100
----------------------------------------------------------------------
2,100 Simpsons Industries, Inc. 36,750
----------------------------------------------------------------------
1,800 Skyline Corp. 32,175
----------------------------------------------------------------------
1,600 (A.O.) Smith Corp. 44,800
----------------------------------------------------------------------
450 * Southern Electronics Corp. 4,950
----------------------------------------------------------------------
1,500 Spartan Motors, Inc. 25,313
----------------------------------------------------------------------
1,500 Standard Motor Products, Inc., Class A 35,625
----------------------------------------------------------------------
3,025 Standard Products Co. 103,606
----------------------------------------------------------------------
4,950 * TBC Corp. 58,163
----------------------------------------------------------------------
600 Thor Industries, Inc. 12,150
----------------------------------------------------------------------
800 * Tops Appliance City Inc. 18,200
----------------------------------------------------------------------
1,800 Toro Co. 45,675
----------------------------------------------------------------------
2,000 Wabash National Corp. 54,000
----------------------------------------------------------------------
1,200 Walbro Corp. 32,100
----------------------------------------------------------------------
2,700 West, Inc. 64,125
----------------------------------------------------------------------
1,700 * Winnebago Industries, Inc. 12,113
----------------------------------------------------------------------
900 Wynns International, Inc. 17,550
----------------------------------------------------------------------
5,200 * Zenith Electronics Corp. 40,950
---------------------------------------------------------------------- -----------
Total 2,203,576
---------------------------------------------------------------------- -----------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
CONSUMER NON-DURABLES--6.4%
----------------------------------------------------------------------
1,900 * 50 Off Stores, Inc. $ 13,775
----------------------------------------------------------------------
600 * Alexanders, Inc. 35,175
----------------------------------------------------------------------
6,300 * Ames Department Stores, Inc. 10,631
----------------------------------------------------------------------
300 Amoskeag Co. 11,813
----------------------------------------------------------------------
1,000 Amre, Inc. 4,125
----------------------------------------------------------------------
1,500 Angelica Corp. 37,313
----------------------------------------------------------------------
3,800 * Ann Taylor Stores, Inc. 105,450
----------------------------------------------------------------------
1,700 Arbor Drugs, Inc. 33,363
----------------------------------------------------------------------
1,300 * Authentic Fitness Corp. 35,425
----------------------------------------------------------------------
1,400 * Bell Sports Corp. 59,500
----------------------------------------------------------------------
2,200 Baker J., Inc. 38,225
----------------------------------------------------------------------
1,600 Big B, Inc. 20,800
----------------------------------------------------------------------
1,300 Blair Corp. 57,525
----------------------------------------------------------------------
600 * Books-A-Million, Inc. 14,100
----------------------------------------------------------------------
800 * Bon Ton Stores, Inc. 6,900
----------------------------------------------------------------------
1,800 Bradlees, Inc. 24,975
----------------------------------------------------------------------
3,200 Brown Group, Inc. 108,800
----------------------------------------------------------------------
100 * Buckle Inc. 1,813
----------------------------------------------------------------------
1,800 * Cache, Inc. 10,800
----------------------------------------------------------------------
3,000 * Caldor Corp. 96,750
----------------------------------------------------------------------
3,500 * Canandaigua Wine, Inc., Class B 81,813
----------------------------------------------------------------------
8,100 * Carter Hawley Hale 113,400
----------------------------------------------------------------------
4,800 Cash America International Inc. 44,400
----------------------------------------------------------------------
1,200 * Catherines Stores Corp. 21,000
----------------------------------------------------------------------
3,700 Cato Corp. 85,100
----------------------------------------------------------------------
1,900 * Charter Golf, Inc. 22,088
----------------------------------------------------------------------
700 * Chaus Bernard, Inc. 1,750
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
CONSUMER NON-DURABLES--CONTINUED
----------------------------------------------------------------------
3,600 Claire S Stores, Inc. $ 63,900
----------------------------------------------------------------------
1,300 * Clothestime, Inc. 10,400
----------------------------------------------------------------------
700 * Concord Camera Corp. 4,113
----------------------------------------------------------------------
4,400 * Cone Mills 70,400
----------------------------------------------------------------------
2,500 CPI Corp. 43,750
----------------------------------------------------------------------
875 Culp, Inc. 12,250
----------------------------------------------------------------------
600 * Custom Chrome Inc. 14,550
----------------------------------------------------------------------
1,200 * Damark International, Inc., Class A 24,300
----------------------------------------------------------------------
700 Deb Shops, Inc. 4,900
----------------------------------------------------------------------
2,800 Delta Woodside 30,450
----------------------------------------------------------------------
1,950 * Designs, Inc. 29,250
----------------------------------------------------------------------
1,600 Dixie Yarns, Inc. 14,800
----------------------------------------------------------------------
2,400 * Dress Barn, The 31,200
----------------------------------------------------------------------
2,200 Dyersburg Corp. 16,500
----------------------------------------------------------------------
2,800 * Eagle Hardware & Garde 82,950
----------------------------------------------------------------------
600 Elco Industries, Inc. 10,650
----------------------------------------------------------------------
2,100 * ElectroCom Automation 27,038
----------------------------------------------------------------------
1,600 * ERO Inc. 10,400
----------------------------------------------------------------------
1,000 * Ezcorp, Inc., Class A 14,500
----------------------------------------------------------------------
800 Fab Industries 28,300
----------------------------------------------------------------------
800 * Fabric Centers of American, Inc. 12,500
----------------------------------------------------------------------
1,800 Fays, Inc. 11,475
----------------------------------------------------------------------
1,500 Fieldcrest Cannon, Inc. 40,313
----------------------------------------------------------------------
2,300 * Filenes Basement Corp. 25,300
----------------------------------------------------------------------
266 Fredericks of Hollywood, Inc., Class A 1,867
----------------------------------------------------------------------
532 Fredericks of Hollywood, Inc., Class B 3,325
----------------------------------------------------------------------
1,200 Freds Inc., Class A 17,400
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
CONSUMER NON-DURABLES--CONTINUED
----------------------------------------------------------------------
2,300 G & K Services, Class A $ 54,050
----------------------------------------------------------------------
1,700 * Galey & Lord, Inc. 19,125
----------------------------------------------------------------------
600 Garan, Inc. 19,200
----------------------------------------------------------------------
3,000 General Host Corp. 21,750
----------------------------------------------------------------------
3,900 * Genesco, Inc. 25,350
----------------------------------------------------------------------
400 Goody Products, Inc. 9,800
----------------------------------------------------------------------
900 * Goodys Family Clothing, Inc. 12,825
----------------------------------------------------------------------
600 * Gottschalks, Inc. 5,025
----------------------------------------------------------------------
3,700 * Grossmans, Inc. 11,331
----------------------------------------------------------------------
1,600 Guilford Mills, Inc. 32,000
----------------------------------------------------------------------
3,600 Hancock Fabrics,Inc. 35,550
----------------------------------------------------------------------
900 Hancock Holding Co. 31,725
----------------------------------------------------------------------
5,600 Handleman Co. 68,600
----------------------------------------------------------------------
7,900 * Hanover Direct Inc. 56,288
----------------------------------------------------------------------
4,100 Hartmarx Corp. 27,675
----------------------------------------------------------------------
1,350 Haverty Furniture Cos, Inc. 22,781
----------------------------------------------------------------------
5,200 Hechinger Co., Class A 50,050
----------------------------------------------------------------------
700 * Helen of Troy Corp. 11,725
----------------------------------------------------------------------
1,000 Helene Curtis Industries, Inc. 26,500
----------------------------------------------------------------------
2,400 * Hook-Super Px Inc. 16,800
----------------------------------------------------------------------
3,200 House Fabrics, Inc. 26,000
----------------------------------------------------------------------
2,100 Huffy Corp. 41,213
----------------------------------------------------------------------
1,500 * Intertan, Inc. 7,688
----------------------------------------------------------------------
400 Jacobson Stores, Inc. 4,750
----------------------------------------------------------------------
3,300 * Jan Bell Marketing, Inc. 39,188
----------------------------------------------------------------------
700 * Jennifer Convs Inc. 8,663
----------------------------------------------------------------------
600 Johnston Industries, Inc. 11,100
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
CONSUMER NON-DURABLES--CONTINUED
----------------------------------------------------------------------
300 * K-Swiss, Inc., Class A $ 6,675
----------------------------------------------------------------------
2,500 Kellwood Co. 97,500
----------------------------------------------------------------------
3,200 * LA Gear, Inc. 36,800
----------------------------------------------------------------------
1,400 Lands End Inc. 59,500
----------------------------------------------------------------------
2,200 * Leslie Fay Cos, Inc. 6,875
----------------------------------------------------------------------
800 Lillian Vernon Co. 14,500
----------------------------------------------------------------------
400 * Little Switzerland, Inc. 3,100
----------------------------------------------------------------------
700 * Luria L & Son Inc. 8,663
----------------------------------------------------------------------
5,400 * MacFrugal's Bargains CloseOuts, Inc. 86,400
----------------------------------------------------------------------
450 * Mens Wearhouse, Inc. 13,613
----------------------------------------------------------------------
2,200 * Michaels Stores, Inc. 80,850
----------------------------------------------------------------------
3,400 * Mohawk Industries, Inc. 96,050
----------------------------------------------------------------------
2,200 Morningstar Group, Inc. 15,950
----------------------------------------------------------------------
5,100 * Musicland Stores,Inc. 114,750
----------------------------------------------------------------------
1,100 * Natural Wonders, Inc. 12,100
----------------------------------------------------------------------
500 * Nature Food Centres, Inc. 6,313
----------------------------------------------------------------------
3,000 Neiman-Marcus Group 48,375
----------------------------------------------------------------------
2,100 * Nutmeg Industries, Inc. 31,500
----------------------------------------------------------------------
500 * Nutramax Products, Inc. 7,500
----------------------------------------------------------------------
800 * Old America Stores, Inc. 10,600
----------------------------------------------------------------------
400 * One Price Clothing Stores, Inc. 6,800
----------------------------------------------------------------------
1,600 Oneida Ltd. 20,600
----------------------------------------------------------------------
600 Optical Coating Laboratories, Inc. 4,200
----------------------------------------------------------------------
1,900 OshKosh B Gosh, Inc., Class A 34,675
----------------------------------------------------------------------
1,100 Oxford Industries, Inc. 25,988
----------------------------------------------------------------------
1,700 * Perry Drug Stores, Inc. 11,050
----------------------------------------------------------------------
6,300 Pier One Imports, Inc. 66,150
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
CONSUMER NON-DURABLES--CONTINUED
----------------------------------------------------------------------
900 * Peoplesoft, Inc. $ 34,425
----------------------------------------------------------------------
1,000 * Proffitts, Inc. 33,750
----------------------------------------------------------------------
1,100 * Quicksilver, Inc. 12,650
----------------------------------------------------------------------
5,800 * Revco D S Inc. 89,175
----------------------------------------------------------------------
4,700 * Roadmaster Industries, Inc. 24,088
----------------------------------------------------------------------
1,700 Roses Stores, Inc., Class B 1,913
----------------------------------------------------------------------
4,600 * Ross Stores, Inc. 71,875
----------------------------------------------------------------------
1,700 Russ Berrie & Co. 23,163
----------------------------------------------------------------------
600 * S&K Famous Brands Inc. 12,300
----------------------------------------------------------------------
1,300 * Salem Sportswear Corp. 16,575
----------------------------------------------------------------------
2,600 * Scholastic Corp. 135,200
----------------------------------------------------------------------
700 * Score Board Inc. 21,700
----------------------------------------------------------------------
2,700 Shopko Stores Inc. 28,013
----------------------------------------------------------------------
1,200 * Signal Apparel, Inc. 9,300
----------------------------------------------------------------------
1,200 * SLM International, Inc. 52,800
----------------------------------------------------------------------
1,100 * Sports & Recreation Inc. 34,650
----------------------------------------------------------------------
500 Saint Ives Labs Corp. 5,375
----------------------------------------------------------------------
750 * Stein Mart Inc. 16,875
----------------------------------------------------------------------
1,236 Strawbridge & Clothier 25,956
----------------------------------------------------------------------
800 Superior Surgical Manufacturing, Inc. 10,600
----------------------------------------------------------------------
1,500 * Swing-N-Slide Corp. 19,875
----------------------------------------------------------------------
700 Syms Corp. 7,700
----------------------------------------------------------------------
3,500 * Systemed, Inc. 14,438
----------------------------------------------------------------------
900 * Tandy Brands Accessories, Inc. 16,538
----------------------------------------------------------------------
600 * Tandycrafts, Inc. 9,075
----------------------------------------------------------------------
1,800 * The Good Guys, Inc. 23,400
----------------------------------------------------------------------
800 Thomaston Mills, Inc. 15,800
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
CONSUMER NON-DURABLES--CONTINUED
----------------------------------------------------------------------
2,400 Tiffany and Co. $ 78,300
----------------------------------------------------------------------
1,300 * Timberland Co., Class A 102,213
----------------------------------------------------------------------
500 * Todays Man Inc. 7,625
----------------------------------------------------------------------
300 * Trak Auto Corp. 3,825
----------------------------------------------------------------------
500 * Tuesday Morning Corp. 4,625
----------------------------------------------------------------------
4,900 Tultex Corp. 39,200
----------------------------------------------------------------------
6,300 Tyco Toys Inc. 70,875
----------------------------------------------------------------------
700 Unifirst Corp. 23,275
----------------------------------------------------------------------
1,800 * United Retail Group Inc. 22,275
----------------------------------------------------------------------
800 Unitog Co. 19,400
----------------------------------------------------------------------
1,700 * Value City Department Stores, Inc. 28,050
----------------------------------------------------------------------
3,000 Venture Stores Inc. 67,125
----------------------------------------------------------------------
400 * Vista Research, Inc. 10,600
----------------------------------------------------------------------
1,400 VWR Corp. 18,550
----------------------------------------------------------------------
6,000 * Waban Inc. 75,750
----------------------------------------------------------------------
1,600 * Wet Seal, Inc. 7,400
----------------------------------------------------------------------
1,300 * Williams Sonoma Corp. 34,450
----------------------------------------------------------------------
2,300 * Windmere Corp. 18,975
----------------------------------------------------------------------
1,200 Wolverine World Wide, Inc. 37,350
---------------------------------------------------------------------- -----------
1,500 * Younkers Inc. 36,375
----------------------------------------------------------------------
Total 4,850,866
---------------------------------------------------------------------- -----------
CONSUMER PRODUCTS--0.0%
----------------------------------------------------------------------
2,400 Figgie International Holdings, Inc., Class A 36,600
---------------------------------------------------------------------- -----------
CONSUMER SERVICES--2.8%
----------------------------------------------------------------------
600 Airtran, Inc. 5,550
----------------------------------------------------------------------
2,300 Alaska Air Group, Inc. 36,800
----------------------------------------------------------------------
1,000 * AMC Entertainment, Inc. 13,625
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
CONSUMER SERVICES--CONTINUED
----------------------------------------------------------------------
2,700 American Studios, Inc. $ 18,225
----------------------------------------------------------------------
1,000 Anthony Industries, Inc 16,000
----------------------------------------------------------------------
1,125 Apple South, Inc. 25,313
----------------------------------------------------------------------
2,100 Applebees International, Inc. 54,600
----------------------------------------------------------------------
1,500 * Au Bon Pain Co., Inc., Class A 30,000
----------------------------------------------------------------------
6,300 * Aztar Corp. 44,100
----------------------------------------------------------------------
400 * Baldwin Piano & Organ Co. 6,750
----------------------------------------------------------------------
1,300 * Bally Gaming International, Inc. 29,250
----------------------------------------------------------------------
8,400 Bally Manufacturing Corp. 84,000
----------------------------------------------------------------------
1,000 * Bertuccis, Inc. 21,000
----------------------------------------------------------------------
300 Bowl America, Inc., Class A 6,450
----------------------------------------------------------------------
5,500 * Buffets, Inc. 129,250
----------------------------------------------------------------------
1,200 * CCAIR Inc. 8,550
----------------------------------------------------------------------
2,300 Callaway Golf Co. 133,400
----------------------------------------------------------------------
900 * Carmike Cinemas, Inc. 17,213
----------------------------------------------------------------------
900 * Chart House Enterprises, Inc. 9,338
----------------------------------------------------------------------
3,000 Comair Holdings, Inc. 93,750
----------------------------------------------------------------------
1,100 Cooker Restaurant Corp. 15,675
----------------------------------------------------------------------
800 Donnely Corp. 15,900
----------------------------------------------------------------------
2,100 * Elsinore Corp. 14,438
----------------------------------------------------------------------
6,500 * Foodmaker, Inc. 58,500
----------------------------------------------------------------------
300 Frischs Restaurants, Inc. 4,725
----------------------------------------------------------------------
800 * Ground Round Restaurants, Inc. 6,100
----------------------------------------------------------------------
1,800 Hollywood Park Inc. 54,000
----------------------------------------------------------------------
1,300 * IHOP Corp. 35,100
----------------------------------------------------------------------
2,000 * Image Entertainment, Inc. 15,000
----------------------------------------------------------------------
3,700 * International Family Entertainment, Inc., Class B 74,463
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
CONSUMER SERVICES--CONTINUED
----------------------------------------------------------------------
1,500 Jackpot Enterprises, Inc. $ 23,250
----------------------------------------------------------------------
800 * Johnson Worldwide Assoc., Inc. 17,800
----------------------------------------------------------------------
2,800 Karcher Carl Enterprises, Inc. 25,200
----------------------------------------------------------------------
600 * Krystal Co. 7,650
----------------------------------------------------------------------
2,400 La Quinta Motor Inns, Inc. 75,900
----------------------------------------------------------------------
1,200 Marcus Corp. 31,500
----------------------------------------------------------------------
2,700 * National Pizza Co., Class A 18,900
----------------------------------------------------------------------
1,900 * New Line Cinemas Corp. 47,500
----------------------------------------------------------------------
700 * Old Dominion Freight Lines, Inc. 13,475
----------------------------------------------------------------------
3,300 Outboard Marine Corp. 58,163
----------------------------------------------------------------------
500 Petroleum Helicopters, Inc. 8,000
----------------------------------------------------------------------
1,200 Piccadilly Cafeterias, Inc. 14,400
----------------------------------------------------------------------
800 * Players International Inc. 19,000
----------------------------------------------------------------------
500 PS Group, Inc. 5,375
----------------------------------------------------------------------
1,000 * Quantum Restaurant Group 10,500
----------------------------------------------------------------------
1,600 * Rallys, Inc. 15,600
----------------------------------------------------------------------
700 Raven Industries, Inc. 14,350
----------------------------------------------------------------------
666 * Recoton Corp. 15,485
----------------------------------------------------------------------
700 * RHI Entertainment, Inc. 15,838
----------------------------------------------------------------------
3,000 * Rio Hotel & Casino, Inc. 48,750
----------------------------------------------------------------------
4,400 Rollins Truck Leasing Corp. 78,650
----------------------------------------------------------------------
600 Roto Rooter, Inc. 17,850
----------------------------------------------------------------------
9,700 * Ryan's Family Steak Houses, Inc. 80,025
----------------------------------------------------------------------
400 * Sahara Gaming Co. 6,950
----------------------------------------------------------------------
400 Sands Regent 6,100
----------------------------------------------------------------------
1,400 Sbarro, Inc. 60,200
----------------------------------------------------------------------
600 * Sholodge Inc. 13,950
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
CONSUMER SERVICES--CONTINUED
----------------------------------------------------------------------
1,700 * Showbiz Pizza Time, Inc. $ 24,650
----------------------------------------------------------------------
2,000 Showboat, Inc. 39,750
----------------------------------------------------------------------
4,100 Sizzler International, Inc. 41,513
----------------------------------------------------------------------
800 Skywest Inc. 22,900
----------------------------------------------------------------------
1,100 * Sonic Corp. 27,775
----------------------------------------------------------------------
100 * Sportmart Inc. 1,138
----------------------------------------------------------------------
700 * Spaghetti Warehouse, Inc. 7,088
----------------------------------------------------------------------
2,500 TCBY Enterprises, Inc. 14,375
----------------------------------------------------------------------
3,300 * TPI Enterprises Inc. 39,188
----------------------------------------------------------------------
1,000 * United Gaming, Inc. 10,625
----------------------------------------------------------------------
1,500 * Uno Restaurant Corp. 14,625
----------------------------------------------------------------------
1,500 * Vicorp Restaurants, Inc. 31,125
----------------------------------------------------------------------
1,300 * Video Lotteries Technologies, Inc. 21,450
----------------------------------------------------------------------
2,400 * Worldcorp, Inc. 11,700
---------------------------------------------------------------------- -----------
Total 2,135,328
---------------------------------------------------------------------- -----------
ENERGY--3.3%
----------------------------------------------------------------------
1,300 * Addington Resources, Inc. 23,725
----------------------------------------------------------------------
12,600 * American Exploration Co. 18,900
----------------------------------------------------------------------
9,600 * American International Petroleum Corp. 42,000
----------------------------------------------------------------------
2,800 * Arabian Shield Development 7,700
----------------------------------------------------------------------
1,000 Ashland Coal, Inc. 28,000
----------------------------------------------------------------------
1,300 * Amos Energy Corp. 40,463
----------------------------------------------------------------------
800 * Atwood Oceanics, Inc. 9,600
----------------------------------------------------------------------
1,600 * Barrett Resources 19,200
----------------------------------------------------------------------
500 * Basin Exploration 7,375
----------------------------------------------------------------------
2,600 * Benton Oil & Gas Co. 18,200
----------------------------------------------------------------------
2,600 Berry Petroleum Co., Class A 23,725
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
ENERGY--CONTINUED
----------------------------------------------------------------------
2,600 * BJ Services Corp. $ 58,825
----------------------------------------------------------------------
3,000 * Box Energy Corp., Class A 61,500
----------------------------------------------------------------------
3,500 Cabot Oil & Gas Corp., Class A 84,000
----------------------------------------------------------------------
3,500 * Chiles Offshore Corp. 22,750
----------------------------------------------------------------------
1,600 * Coda Energy Inc. 10,000
----------------------------------------------------------------------
1,300 * Coho Energy 7,475
----------------------------------------------------------------------
900 Crown Center Petroleum Corp., Class A 14,175
----------------------------------------------------------------------
400 * Crystal Oil Corp. 10,550
----------------------------------------------------------------------
1,600 Dekalb Energy Co., Class B 27,600
----------------------------------------------------------------------
3,500 Devon Energy Corp. 70,438
----------------------------------------------------------------------
4,900 * Digicon, Inc. 13,475
----------------------------------------------------------------------
1,700 Energen Corp. 44,625
----------------------------------------------------------------------
15,600 * Energy Services, Inc. 54,600
----------------------------------------------------------------------
1,600 * Energy Ventures, Inc. 29,000
----------------------------------------------------------------------
3,300 * Forest Oil Corp. 13,200
----------------------------------------------------------------------
1,800 * Gerrity Oil & Gas Corp. 30,375
----------------------------------------------------------------------
1,100 Getty Petroleum Corp. 14,300
----------------------------------------------------------------------
1,200 Giant Industries, Inc. 14,100
----------------------------------------------------------------------
3,500 * Global Natural Resources, Inc. 30,188
----------------------------------------------------------------------
500 * Hadson Energy Resources Corp. 7,563
----------------------------------------------------------------------
400 Holly Corp. 11,100
----------------------------------------------------------------------
700 * Hondo Oil & Gas Co. 5,338
----------------------------------------------------------------------
1,500 * Hornbeck Offshore Service 27,938
----------------------------------------------------------------------
600 Howell Corp. 6,450
----------------------------------------------------------------------
1,300 * HS Resources, Inc. 31,525
----------------------------------------------------------------------
4,500 * INDRESCO, Inc. 56,813
----------------------------------------------------------------------
1,700 Kcs Group Inc. 49,513
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
ENERGY--CONTINUED
----------------------------------------------------------------------
1,600 * Kelley Oil Corp. $ 18,800
----------------------------------------------------------------------
1,100 Lufkin Industries, Inc. 23,925
----------------------------------------------------------------------
7,100 * Marine Drilling Cos., Inc. 53,250
----------------------------------------------------------------------
1,200 * Matrix Services Co. 11,100
----------------------------------------------------------------------
7,000 * Mesa, Inc. 52,500
----------------------------------------------------------------------
9,400 * Nabors Industries, Inc. 82,250
----------------------------------------------------------------------
5,300 * Noble Drilling Corp. 52,338
----------------------------------------------------------------------
1,200 * Nuevo Energy Co. 27,600
----------------------------------------------------------------------
4,000 * Oceaneering International, Inc. 68,500
----------------------------------------------------------------------
1,400 * Offshore Pipelines, Inc. 23,275
----------------------------------------------------------------------
9,100 * Parker Drilling Co. 62,563
----------------------------------------------------------------------
1,600 Petroleum Heat & Power, Inc., Class B 32,000
----------------------------------------------------------------------
796 Petroleum Heat & Power, Inc., Class A 7,562
----------------------------------------------------------------------
700 * Phoenix Resources Cos, Inc. 23,188
----------------------------------------------------------------------
1,700 Plains Petroleum Co. 41,650
----------------------------------------------------------------------
1,700 * Plains Resources, Inc. 15,088
----------------------------------------------------------------------
800 * Plexus Corp. 12,300
----------------------------------------------------------------------
4,700 * Pogo Producing Co. 85,775
----------------------------------------------------------------------
2,100 * Pool Energy Services, Co. 23,363
----------------------------------------------------------------------
2,600 * Pride Petroleum Services, Inc. 16,900
----------------------------------------------------------------------
1,300 Production Operations Corp. 35,100
----------------------------------------------------------------------
4,600 Quaker State Corp. 63,825
----------------------------------------------------------------------
5,800 * Reading & Bates Corp. 52,200
----------------------------------------------------------------------
1,000 * RPC Energy Services, Inc. 8,000
----------------------------------------------------------------------
6,100 * Smith International, Inc. 67,863
----------------------------------------------------------------------
3,500 Snyder Oil Corp. 70,000
----------------------------------------------------------------------
800 * Southern Union Co. 23,400
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
ENERGY--CONTINUED
----------------------------------------------------------------------
900 * Swift Energy Co. $ 11,475
----------------------------------------------------------------------
1,000 * Tejas Power Corp. 10,250
----------------------------------------------------------------------
2,100 * Tesoro Petroleum Corp. 14,175
----------------------------------------------------------------------
1,100 * Tide West Oil Co. 10,725
----------------------------------------------------------------------
2,700 * Tuboscope Vetco International Corp. 21,938
----------------------------------------------------------------------
3,600 * Unit Corp. 13,950
----------------------------------------------------------------------
1,400 * USX-Delhi Group 27,300
----------------------------------------------------------------------
4,800 * Varco International, Inc. 37,800
----------------------------------------------------------------------
1,500 Vintage Petroleum, Inc. 33,563
----------------------------------------------------------------------
3,200 * Wainoco Oil Corp. 13,600
----------------------------------------------------------------------
9,000 * Weatherford International 102,375
----------------------------------------------------------------------
2,700 * Western Co. Of North America 39,825
----------------------------------------------------------------------
500 Westmoreland Coal Co. 3,375
----------------------------------------------------------------------
1,751 Wilshire Oil Co. 12,038
----------------------------------------------------------------------
1,300 Wiser Oil Co. 23,563
----------------------------------------------------------------------
12,900 * Zapata Corp. 17,738
---------------------------------------------------------------------- -----------
Total 2,494,309
---------------------------------------------------------------------- -----------
FINANCE--15.6%
----------------------------------------------------------------------
600 1st Source Corp. 15,450
----------------------------------------------------------------------
1,600 * Advanced Polymer Systems, Inc. 10,000
----------------------------------------------------------------------
600 * Advantage Bancorp, Inc. 16,350
----------------------------------------------------------------------
2,500 * Albank Financial Corp. 50,000
----------------------------------------------------------------------
2,500 Alex Brown, Inc. 65,938
----------------------------------------------------------------------
3,400 Alfa Corp. 41,650
----------------------------------------------------------------------
800 Allied Capital Corp. 10,000
----------------------------------------------------------------------
2,000 Allied Capital Commercial Corp. 33,250
----------------------------------------------------------------------
1,200 Allied Group, Inc. 35,400
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
FINANCE--CONTINUED
----------------------------------------------------------------------
900 Amcore Financial, Inc. $ 24,750
----------------------------------------------------------------------
2,900 American Bankers Insurance Group, Inc. 76,488
----------------------------------------------------------------------
400 American Financial Enterprises 9,750
----------------------------------------------------------------------
900 American Heritage Life Investments 17,775
----------------------------------------------------------------------
2,500 American Income Holdings, Inc. 65,313
----------------------------------------------------------------------
2,100 * American Residential 48,300
----------------------------------------------------------------------
1,000 * American Savings 18,375
----------------------------------------------------------------------
1,500 * American Travellers Corp. 20,438
----------------------------------------------------------------------
5,300 * Americredit Corp. 41,075
----------------------------------------------------------------------
500 Amerifed Financial Corp. 16,438
----------------------------------------------------------------------
2,300 * Ampal American Israel Corp., Class A 28,463
----------------------------------------------------------------------
100 * Ampex, Inc., Class A 450
----------------------------------------------------------------------
2,400 * AmVestors Financial 25,500
----------------------------------------------------------------------
2,300 Anchor Bancorp Wi, Inc. 59,800
----------------------------------------------------------------------
3,700 Anchor Bancorp, Inc. 56,425
----------------------------------------------------------------------
2,200 * Anthem Electronics 70,675
----------------------------------------------------------------------
500 * Arbor National Holdings, Inc. 9,375
----------------------------------------------------------------------
2,100 Asset Investment Corp. 4,988
----------------------------------------------------------------------
2,090 Associated Banc Corp. 79,420
----------------------------------------------------------------------
1,200 * Atlanta Sosnoff Capital Corp. 12,150
----------------------------------------------------------------------
1,300 Avemco Corp. 26,975
----------------------------------------------------------------------
900 Baldwin & Lyons, Inc., Class B 39,600
----------------------------------------------------------------------
3,000 Baltimore Bancorp 38,250
----------------------------------------------------------------------
1,200 Bancorpsouth, Inc. 48,600
----------------------------------------------------------------------
100 Bank Atlantic 1,588
----------------------------------------------------------------------
800 Bank Granite Corp. 24,000
----------------------------------------------------------------------
7,800 Bank South Corp. 114,075
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
FINANCE--CONTINUED
----------------------------------------------------------------------
930 Bankers Corp. $ 33,248
----------------------------------------------------------------------
1,200 Banknorth Group, Inc. 24,600
----------------------------------------------------------------------
1,100 Bankworcester Corp. 34,925
----------------------------------------------------------------------
1,000 Bay View Capital Corp. 21,375
----------------------------------------------------------------------
1,000 * Bell Bancorp, Inc. 49,750
----------------------------------------------------------------------
1,000 BHC Financial, Inc. 29,000
----------------------------------------------------------------------
100 * BOK Financial Corp. 2,425
----------------------------------------------------------------------
1,600 * Borg-Warner Security Corp. 32,000
----------------------------------------------------------------------
1,100 Boston Bancorp 44,825
----------------------------------------------------------------------
400 Boulevard Bancorp, Inc. 9,725
----------------------------------------------------------------------
500 Brenton Banks, Inc. 14,063
----------------------------------------------------------------------
400 BSB Bancorp, Inc. 17,200
----------------------------------------------------------------------
525 BT Financial Corp. 16,538
----------------------------------------------------------------------
4,120 * California Federal Bank Los Angeles 52,015
----------------------------------------------------------------------
500 Cal Rep Bancorp Inc. 12,750
----------------------------------------------------------------------
2,000 Capital Re Corp. 52,500
----------------------------------------------------------------------
400 Capital Southwest Corp. 14,900
----------------------------------------------------------------------
800 Capitol Transamerica Corp. 14,600
----------------------------------------------------------------------
2,700 Capstead Management Corp. 104,625
----------------------------------------------------------------------
1,100 Cathay Bancorp, Inc. 16,363
----------------------------------------------------------------------
1,300 CCB Financial Corp. 46,800
----------------------------------------------------------------------
1,600 * Centerbank Waterbury Conn. 21,400
----------------------------------------------------------------------
1,100 Central Jersey Bancorp 26,675
----------------------------------------------------------------------
3,100 Centura Banks, Inc. 64,713
----------------------------------------------------------------------
945 Charter Bancshares Inc. 12,876
----------------------------------------------------------------------
2,700 Charter One Financial, Inc. 91,125
----------------------------------------------------------------------
980 Chemical Financial Corp. 46,550
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
FINANCE--CONTINUED
----------------------------------------------------------------------
1,000 Chittenden Corp. $ 18,750
----------------------------------------------------------------------
900 * Citadel Holding Corp. 15,638
----------------------------------------------------------------------
700 Citfed Bancorp Inc. 18,725
----------------------------------------------------------------------
1,900 Citizens Bancorp 53,200
----------------------------------------------------------------------
1,800 Citizens Banking Corp. 45,000
----------------------------------------------------------------------
7,400 Citizens First Bancorp, Inc. 55,500
----------------------------------------------------------------------
1,100 * Citizens, Inc., Class A 8,663
----------------------------------------------------------------------
6,200 City National Corp. 47,275
----------------------------------------------------------------------
1,700 CMAC Investment Corp. 57,588
----------------------------------------------------------------------
1,970 CNB Bancshares, Inc. 63,286
----------------------------------------------------------------------
800 * Coastal Banc Savings Association 10,900
----------------------------------------------------------------------
3,100 Coast Savings Financial, Inc. 45,338
----------------------------------------------------------------------
4,350 Collective Bancorp, Inc. 94,613
----------------------------------------------------------------------
1,100 Colonial Bancgroup, Inc., Class A 23,375
----------------------------------------------------------------------
500 * Columbia First Federal Savings 16,250
----------------------------------------------------------------------
920 Commerce Bancorp, Inc. 15,180
----------------------------------------------------------------------
1,050 * Commercial Assets Inc. 6,694
----------------------------------------------------------------------
2,300 * Commercial Federal Corp. 48,588
----------------------------------------------------------------------
500 Community Banking Systems, Inc. 15,250
----------------------------------------------------------------------
900 Community First Bankshares, Inc. 13,050
----------------------------------------------------------------------
1,800 * Concord EFS, Inc. 40,950
----------------------------------------------------------------------
4,900 Constellation Bancorp 53,900
----------------------------------------------------------------------
3,800 Countrywide Mortgage Investments, Inc. 38,950
----------------------------------------------------------------------
900 CPB, Inc. 23,400
----------------------------------------------------------------------
2,400 * Cragin Financial Corp. 88,200
----------------------------------------------------------------------
900 * Credit Acceptance Corp. 33,750
----------------------------------------------------------------------
1,600 * CSF Holdings, Inc. 36,800
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
FINANCE--CONTINUED
----------------------------------------------------------------------
1,720 Cullen Frost Bankers, Inc. $ 58,050
----------------------------------------------------------------------
400 Cumberland Federal Bancorporation 15,850
----------------------------------------------------------------------
700 CVB Financial Corp. 9,800
----------------------------------------------------------------------
1,400 * Danielson Holding Corp. 10,850
----------------------------------------------------------------------
400 Deerbank Corp. 15,000
----------------------------------------------------------------------
400 * Delphi Financial Group, Inc. 9,300
----------------------------------------------------------------------
3,000 Deposit Guaranty Corp. 87,375
----------------------------------------------------------------------
10,200 Dime Savings Bank New York 82,875
----------------------------------------------------------------------
1,600 Downey Savings & Loan Assn. 42,200
----------------------------------------------------------------------
3,000 Duff & Phelps Corp. 62,625
----------------------------------------------------------------------
1,500 Eaton Vance Corp. 52,500
----------------------------------------------------------------------
800 EMC Insurance Group, Inc. 7,000
----------------------------------------------------------------------
2,800 Enhance Financial Services Group 59,500
----------------------------------------------------------------------
1,500 * Equicredit Corp. 36,000
----------------------------------------------------------------------
500 Evergreen Bancorp, Inc. 6,250
----------------------------------------------------------------------
500 F & C Bancshares, Inc. 9,250
----------------------------------------------------------------------
600 F & M Bancorp 14,100
----------------------------------------------------------------------
1,500 F & M National Corp. 23,813
----------------------------------------------------------------------
400 Falls Financial, Inc. 9,900
----------------------------------------------------------------------
1,200 Farm & Home Financial Corp. 27,600
----------------------------------------------------------------------
600 Farmers Capital Bank Corp. 20,400
----------------------------------------------------------------------
1,050 Fidelity National Financial, Inc. 38,588
----------------------------------------------------------------------
500 * Financial Industries Corp. 9,500
----------------------------------------------------------------------
860 Financial Trust Corp. 36,980
----------------------------------------------------------------------
1,500 First American Financial Corp. 51,000
----------------------------------------------------------------------
800 * First Armarillo Bancorporation 21,200
----------------------------------------------------------------------
4,200 First Bancorp, Inc. 124,950
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
FINANCE--CONTINUED
----------------------------------------------------------------------
1,400 First Citizens Bancshares, Inc. $ 69,300
----------------------------------------------------------------------
1,200 First Colonial Bankshares Corp., Class A 22,200
----------------------------------------------------------------------
100 First Commerce Bancshares, Inc. 1,550
----------------------------------------------------------------------
400 First Commerce Bank 5,700
----------------------------------------------------------------------
2,100 First Commercial Corp. 69,825
----------------------------------------------------------------------
1,500 First Commonwealth Financial Corp. 48,000
----------------------------------------------------------------------
2,100 First Eastern Corp. 52,238
----------------------------------------------------------------------
600 First Federal Capital Corp. 10,650
----------------------------------------------------------------------
1,000 * First Federal Savings Bank 22,500
----------------------------------------------------------------------
** First Fidelity Bancorp 5
----------------------------------------------------------------------
1,200 First Financial Bancorp 66,600
----------------------------------------------------------------------
600 First Financial Caribbean 21,900
----------------------------------------------------------------------
600 First Financial Corp. 18,300
----------------------------------------------------------------------
3,900 First Financial Corp. 68,250
----------------------------------------------------------------------
600 First Financial Holdings, Inc. 9,000
----------------------------------------------------------------------
675 First Indiana Corp. 16,538
----------------------------------------------------------------------
600 First Merchants Corp. 18,600
----------------------------------------------------------------------
1,995 First Michigan Bank Corp. 56,858
----------------------------------------------------------------------
2,100 First Midwest Bancorp, Inc. 57,225
----------------------------------------------------------------------
1,850 First National Bancorp 37,925
----------------------------------------------------------------------
1,327 * First Republican Bancorp, Inc. 20,403
----------------------------------------------------------------------
1,300 * First Savings Bank 22,100
----------------------------------------------------------------------
600 First United Bancshares 17,700
----------------------------------------------------------------------
900 First United Bank Group, Inc. 22,500
----------------------------------------------------------------------
935 First Western Bancorp, Inc. 29,453
----------------------------------------------------------------------
1,000 Firstbank Illinois Co. 37,000
----------------------------------------------------------------------
600 * Firstfed Bancshares Indiana 13,125
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
FINANCE--CONTINUED
----------------------------------------------------------------------
1,800 * Firstfed Financial Corp. $ 32,850
----------------------------------------------------------------------
2,850 Firstfed Michigan Corp. 64,125
----------------------------------------------------------------------
900 F&M Distributors, Inc. 7,650
----------------------------------------------------------------------
2,700 Foothill Group, Inc. 38,138
----------------------------------------------------------------------
1,300 Foremost Corp. 46,800
----------------------------------------------------------------------
700 Fortune Bancorp, Inc. 19,775
----------------------------------------------------------------------
1,300 Fort Wayne National Corp. Inc. 52,000
----------------------------------------------------------------------
2,200 Fremont General Corp. 58,025
----------------------------------------------------------------------
1,070 Frontier Insurance Group, Inc. 53,500
----------------------------------------------------------------------
2,420 Fulton Financial Corp. 62,920
----------------------------------------------------------------------
2,614 Gainsco, Inc. 26,467
----------------------------------------------------------------------
2,700 Gallagher Arthur J & Co. 99,900
----------------------------------------------------------------------
800 GBC Bancorp 14,200
----------------------------------------------------------------------
700 Germantown Savings Bank 36,138
----------------------------------------------------------------------
140 * Glendale Federal Bank 1,068
----------------------------------------------------------------------
841 Great Lakes Bancorp And Federal Savings Bank 18,923
----------------------------------------------------------------------
2,200 Greater New York Savings Bank 16,500
----------------------------------------------------------------------
1,600 Grenada Sunburst Systems Corp. 39,600
----------------------------------------------------------------------
1,000 Guaranty National Corp. 21,250
----------------------------------------------------------------------
600 Harleysville Group, Inc. 15,900
----------------------------------------------------------------------
400 Harleysville National Corp. 16,800
----------------------------------------------------------------------
1,200 Hawkeye Bancorporation 23,100
----------------------------------------------------------------------
1,600 Health Care Retirement, Inc. 39,600
----------------------------------------------------------------------
500 Heritage Bankcorp, Inc. 16,375
----------------------------------------------------------------------
1,000 Heritage Financial Services, Inc. 16,750
----------------------------------------------------------------------
15,100 Hibernia Corp., Class A 118,913
----------------------------------------------------------------------
2,300 Hilb Rogal & Hamilton Co. 28,175
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
FINANCE--CONTINUED
----------------------------------------------------------------------
3,100 Home Beneficial Corp., Class B $ 73,625
----------------------------------------------------------------------
800 Horizon Bank and Savings 14,000
----------------------------------------------------------------------
1,210 Hubco, Inc. 27,830
----------------------------------------------------------------------
810 Huntington Bancshares, Inc. 20,453
----------------------------------------------------------------------
5,500 * I C H Corp. 29,563
----------------------------------------------------------------------
1,235 Imperial Bancorp 16,364
----------------------------------------------------------------------
1,500 * Imperial Credit Industries Inc. 23,625
----------------------------------------------------------------------
1,900 Independence Bancorp, Inc. 52,725
----------------------------------------------------------------------
1,300 Independent, Insurance Group, Inc. 20,800
----------------------------------------------------------------------
533 Indiana Federal Corp. 11,859
----------------------------------------------------------------------
1,400 Integon Corp. 29,225
----------------------------------------------------------------------
800 * Interactive Network Inc. 10,400
----------------------------------------------------------------------
500 Intercontinental Bank 9,813
----------------------------------------------------------------------
1,300 Inter Regional Financial Group, Inc. 40,300
----------------------------------------------------------------------
700 * Intercontinental Life Corp. 10,938
----------------------------------------------------------------------
800 Interwest Savings Bank Oak 11,400
----------------------------------------------------------------------
800 Iowa National Bankshares Corp. 20,000
----------------------------------------------------------------------
600 Irwin Financial Corp. 14,550
----------------------------------------------------------------------
800 Jefferies Group, Inc. 28,400
----------------------------------------------------------------------
2,500 Jefferson Bankshares, Inc. 51,250
----------------------------------------------------------------------
4,200 John Alden Financial Corp. 120,750
----------------------------------------------------------------------
2,200 JSB Financial, Inc. 53,075
----------------------------------------------------------------------
500 Kansas City Life Insurance Co. 27,250
----------------------------------------------------------------------
2,900 Keystone Financial, Inc. 92,438
----------------------------------------------------------------------
400 Keystone Heritage Group, Inc. 12,800
----------------------------------------------------------------------
300 LSB Bancshares, Inc. 6,225
----------------------------------------------------------------------
1,175 Lake Shore Bancorp, Inc. 35,838
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
FINANCE--CONTINUED
----------------------------------------------------------------------
700 Lawrence Insurance Group, Inc. $ 3,588
----------------------------------------------------------------------
1,875 Legg Mason Inc. 45,703
----------------------------------------------------------------------
2,000 Liberty Bancorp, Inc. 57,125
----------------------------------------------------------------------
3,100 Liberty Corp. S.C. 81,763
----------------------------------------------------------------------
2,100 Life Re Corp. 49,350
----------------------------------------------------------------------
3,300 * Lomas Financial Corp. 33,825
----------------------------------------------------------------------
1,500 Loyola Capital Corp. 24,938
----------------------------------------------------------------------
450 * MAF Bancorp, Inc. 9,900
----------------------------------------------------------------------
600 Magna Bancorp 24,300
----------------------------------------------------------------------
2,600 Margaretten Financial Corp. 37,700
----------------------------------------------------------------------
4,100 Magna Group, Inc. 79,438
----------------------------------------------------------------------
1,950 Mark Twain Bancshares, Inc. 52,650
----------------------------------------------------------------------
600 * Markel Corp. 23,850
----------------------------------------------------------------------
300 Maryland Federal Bancorp, Inc. 8,025
----------------------------------------------------------------------
1,000 McDonald & Co. Investors, Inc. 14,500
----------------------------------------------------------------------
1,300 * Medstat Group, Inc. 20,150
----------------------------------------------------------------------
400 Merchants Bancshares, Inc. 5,800
----------------------------------------------------------------------
300 Merchants Bank New York 16,500
----------------------------------------------------------------------
1,698 Meridian Bancorp, Inc. 51,789
----------------------------------------------------------------------
700 Meridian Insurance Group, Inc. 8,050
----------------------------------------------------------------------
900 Metro Bancshares, Inc. 15,638
----------------------------------------------------------------------
5,340 Metropolitan Financial Corp. 90,780
----------------------------------------------------------------------
832 Mid American Bancorp 16,016
----------------------------------------------------------------------
1,950 Mid American, Inc. 27,300
----------------------------------------------------------------------
400 * Mid State Federal Savings & Loan 15,700
----------------------------------------------------------------------
200 Midland Co. 9,300
----------------------------------------------------------------------
600 Midland Financial Group, Inc. 14,925
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
FINANCE--CONTINUED
----------------------------------------------------------------------
400 Money Stores, Inc. $ 10,850
----------------------------------------------------------------------
600 * Mobile America Corp. 9,900
----------------------------------------------------------------------
2,150 Morgan Keegan, Inc. 29,831
----------------------------------------------------------------------
400 Mountaineer Bankshares 17,200
----------------------------------------------------------------------
1,135 * Mutual Assurance 27,524
----------------------------------------------------------------------
1,400 N S Bancorp, Inc. 43,750
----------------------------------------------------------------------
700 National Bancorp Alaska, Inc. 39,200
----------------------------------------------------------------------
1,700 National Community Bancorp 61,200
----------------------------------------------------------------------
500 National Insurance Group 8,688
----------------------------------------------------------------------
1,070 National Penn Bancshares, Inc. 42,800
----------------------------------------------------------------------
400 * National Western Life Insurance, Co., Class A 21,800
----------------------------------------------------------------------
600 * Navigators Group, Inc. 23,250
----------------------------------------------------------------------
1,400 NBB Bancorp, Inc. 55,475
----------------------------------------------------------------------
300 NBSC Corp. 6,375
----------------------------------------------------------------------
1,100 NBT Bancorp, Inc. 20,350
----------------------------------------------------------------------
900 New York Bancorp, Inc. 19,688
----------------------------------------------------------------------
700 Neworld Bancorp, Inc. 23,188
----------------------------------------------------------------------
3,100 * Noel Group, Inc. 23,250
----------------------------------------------------------------------
2,800 North American Mortgage Co. 92,750
----------------------------------------------------------------------
2,300 North Fork Bancorp, Inc. 27,888
----------------------------------------------------------------------
720 North Side Savings Bank 15,120
----------------------------------------------------------------------
800 Nymagic, Inc. 21,500
----------------------------------------------------------------------
3,355 Old National Bancorp 126,651
----------------------------------------------------------------------
500 Omega Financial Corp. 12,750
----------------------------------------------------------------------
2,595 Onbancorp, Inc. 92,771
----------------------------------------------------------------------
1,780 One Valley Bancorp West Virginia, Inc. 51,175
----------------------------------------------------------------------
2,125 Orion Capital Corp. 90,313
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
FINANCE--CONTINUED
----------------------------------------------------------------------
2,100 Pacific Western Bancshares, Inc. $ 17,588
----------------------------------------------------------------------
3,000 Penncorp Financial Group, Inc. 62,625
----------------------------------------------------------------------
500 Peoples Bancorp Worcester Inc. 23,375
----------------------------------------------------------------------
1,200 Peoples Bank Bridgeport 10,950
----------------------------------------------------------------------
2,300 Peoples Heritage Financial Group 26,450
----------------------------------------------------------------------
400 Peoples Holding Co. 16,000
----------------------------------------------------------------------
800 Peoples Westchester Savings Bank 30,900
----------------------------------------------------------------------
1,000 Phoenix Resources Corp. 34,250
----------------------------------------------------------------------
375 Piedmont Bankgroup, Inc. 8,438
----------------------------------------------------------------------
500 * Piedmont Management, Inc. 7,375
----------------------------------------------------------------------
600 Pinnacle Banc Group, Inc. 21,000
----------------------------------------------------------------------
1,800 Pioneer Group, Inc. 46,800
----------------------------------------------------------------------
800 Piper Jaffray Cos, Inc. 26,900
----------------------------------------------------------------------
900 Poe & Assoc., Inc. 18,000
----------------------------------------------------------------------
4,620 * Premier Bancorp, Inc. 83,160
----------------------------------------------------------------------
760 Premier Bankshares Corp. 16,720
----------------------------------------------------------------------
2,900 Presidential Life Corp. 28,638
----------------------------------------------------------------------
2,300 Protective Life Corp. 112,125
----------------------------------------------------------------------
1,200 Provident Bancorp, Inc. 32,700
----------------------------------------------------------------------
1,000 Provident Bankshares Corp. 20,375
----------------------------------------------------------------------
2,000 * Quality Medical, Inc. 26,500
----------------------------------------------------------------------
1,040 Quick & Reilly Group, Inc. 37,310
----------------------------------------------------------------------
300 Railroadmens Federal Savings & Loan 12,000
----------------------------------------------------------------------
1,500 Raymond James Financial, Inc. 40,500
----------------------------------------------------------------------
900 Re Capital Corp. 13,500
----------------------------------------------------------------------
200 Reliable Life Insurance Co. 10,250
----------------------------------------------------------------------
3,600 Reliance Group Holdings, Inc. 33,300
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
FINANCE--CONTINUED
----------------------------------------------------------------------
1,540 Republic Bancorp, Inc. $ 23,100
----------------------------------------------------------------------
3,000 * Republic Waste Industries, Inc. 10,125
----------------------------------------------------------------------
2,700 Riggs National Corp. 24,975
----------------------------------------------------------------------
700 River Forest Bancorp 26,600
----------------------------------------------------------------------
2,100 Rochester Community Savings Bank 30,975
----------------------------------------------------------------------
900 Roosevelt Financial Group, Inc. 41,850
----------------------------------------------------------------------
400 RS Financial Corp. 8,100
----------------------------------------------------------------------
900 S & T Bancorp Inc. 32,738
----------------------------------------------------------------------
2,363 St. Paul Bancorp Inc. 65,869
----------------------------------------------------------------------
1,200 Santa Monica Bank California 8,550
----------------------------------------------------------------------
400 Scor U.S. Corp. 6,100
----------------------------------------------------------------------
700 Seacoast Banking Corp., Class A 12,600
----------------------------------------------------------------------
700 * Seacor Holdings, Inc. 17,675
----------------------------------------------------------------------
900 Seafield Capital Corp. 32,850
----------------------------------------------------------------------
1,700 Security Capital Bancorp 23,800
----------------------------------------------------------------------
2,300 Selective Insurance Group, Inc. 70,725
----------------------------------------------------------------------
1,200 SFFED Corp 22,200
----------------------------------------------------------------------
500 Shoreline Financial 14,750
----------------------------------------------------------------------
1,400 Silicon Valley Bancshares 15,050
----------------------------------------------------------------------
300 Simmons 1st National Corp., Class A 8,138
----------------------------------------------------------------------
5,500 Southern National Corp. 114,813
----------------------------------------------------------------------
400 Southwest National Corp. 15,000
----------------------------------------------------------------------
750 Southwest Securities Group, Inc. 9,000
----------------------------------------------------------------------
4,039 Sovereign Bancorp, Inc. 55,029
----------------------------------------------------------------------
1,349 SPI Pharmaceuticals, Inc. 18,543
----------------------------------------------------------------------
1,800 State Auto Financial Corp. 23,400
----------------------------------------------------------------------
1,900 Statesman Group, Inc. 26,363
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
FINANCE--CONTINUED
----------------------------------------------------------------------
700 Stewart Information Services Corp. $ 20,300
----------------------------------------------------------------------
600 Student Loan Corp. 11,700
----------------------------------------------------------------------
500 Suburban Bancorp, Class A 22,500
----------------------------------------------------------------------
300 Sumitomo Bank California 9,225
----------------------------------------------------------------------
4,500 Summit Bancorporation 97,313
----------------------------------------------------------------------
1,625 Susquehanna Bancshares, Inc. 45,906
----------------------------------------------------------------------
2,243 TCF Financial Corp. 80,468
----------------------------------------------------------------------
500 Tompkins County Trust Co. 22,000
----------------------------------------------------------------------
1,000 Trans Financial Bancorp, Inc. 15,500
----------------------------------------------------------------------
3,525 Trustco Bank Corp. 75,869
----------------------------------------------------------------------
4,200 Trustmark Corp. 75,600
----------------------------------------------------------------------
1,600 U.S. Trust Corp. 86,400
----------------------------------------------------------------------
600 * Unicare Financial Corp. 16,800
----------------------------------------------------------------------
3,300 Union Planters Corp. 85,388
----------------------------------------------------------------------
1,900 United Bankshares, Inc. 49,875
----------------------------------------------------------------------
2,400 United Carolina Bancshares 55,200
----------------------------------------------------------------------
1,200 United Companies Financial Corp. 43,800
----------------------------------------------------------------------
200 United Countrys Bancorporation 19,400
----------------------------------------------------------------------
700 United Federal Bancorp, Inc. 22,225
----------------------------------------------------------------------
400 United Fire & Casualty Co. 14,800
----------------------------------------------------------------------
1,000 * United Insurance Cos., Inc. 26,500
----------------------------------------------------------------------
2,000 United MO Bancshares 76,500
----------------------------------------------------------------------
318 United National Bancorp 10,057
----------------------------------------------------------------------
800 United Postal Bancorp 23,000
----------------------------------------------------------------------
1,500 UST Corp. 16,688
----------------------------------------------------------------------
1,700 USLico Corp. 29,963
----------------------------------------------------------------------
3,650 Valley Bancorporation 102,912
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
FINANCE--CONTINUED
----------------------------------------------------------------------
200 Value Line, Inc. $ 8,100
----------------------------------------------------------------------
400 Vermont Financial Services 7,400
----------------------------------------------------------------------
1,000 Victoria Bankshares, Inc. 28,000
----------------------------------------------------------------------
875 Warner Insurance Services, Inc. 4,922
----------------------------------------------------------------------
1,500 Washington National Corp. 35,250
----------------------------------------------------------------------
575 Waterhouse Investment Services, Inc. 27,169
----------------------------------------------------------------------
440 Webster Financial Corp. Waterbury 10,890
----------------------------------------------------------------------
1,300 WestAmerica Bancorporation 35,913
----------------------------------------------------------------------
1,100 Wesbanco, Inc. 34,375
----------------------------------------------------------------------
840 * Western Bank Cos. 14,280
----------------------------------------------------------------------
700 Westcorp, Inc. 7,175
----------------------------------------------------------------------
1,750 Whitney Holding Corp. 62,563
----------------------------------------------------------------------
2,300 Worthen Banking Corp. 55,775
----------------------------------------------------------------------
770 York Financial Corp. 16,748
----------------------------------------------------------------------
2,100 Zenith National Insurance Corp. 55,125
----------------------------------------------------------------------
2,000 Zions Bancorp 87,500
---------------------------------------------------------------------- -----------
Total 11,859,313
---------------------------------------------------------------------- -----------
GENERAL BUSINESS--6.5%
----------------------------------------------------------------------
1,100 * Acxiom Corp 24,475
----------------------------------------------------------------------
4,600 * Adaptec, Inc. 165,600
----------------------------------------------------------------------
400 * Adelphia Communications Corp. 10,200
----------------------------------------------------------------------
400 ADIA Services, Inc. 8,600
----------------------------------------------------------------------
3,300 Advo Inc. 47,850
----------------------------------------------------------------------
1,700 * Agency Rent A Car, Inc. 18,913
----------------------------------------------------------------------
600 * Allied Research Corp. 6,825
----------------------------------------------------------------------
800 American Building Maintenance Industries 13,100
----------------------------------------------------------------------
2,300 * American Business Information 32,200
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
GENERAL BUSINESS--CONTINUED
----------------------------------------------------------------------
1,300 American Business Products, Inc. $ 28,113
----------------------------------------------------------------------
500 * Ameriscribe Corp. 7,375
----------------------------------------------------------------------
2,650 Amtech Corp. 74,863
----------------------------------------------------------------------
900 Analysts International Corp. 15,750
----------------------------------------------------------------------
1,300 * Arch Communications Group, Inc. 20,800
----------------------------------------------------------------------
600 Atlantic Telephone Network, Inc. 8,550
----------------------------------------------------------------------
400 * Aydin Corp. 6,200
----------------------------------------------------------------------
400 * Baker Michael Corp. 3,600
----------------------------------------------------------------------
700 * Barra, Inc. 4,725
----------------------------------------------------------------------
2,500 * Bisys Group, Inc. 60,625
----------------------------------------------------------------------
2,500 Bolt Beranek & Newman, Inc. 33,750
----------------------------------------------------------------------
2,600 Bowne & Co., Inc. 52,975
----------------------------------------------------------------------
900 * Business Records Corporation Holdings Co. 24,525
----------------------------------------------------------------------
1,600 * Caere Corp. 11,200
----------------------------------------------------------------------
1,600 * Catalina Marketing Corp. 75,800
----------------------------------------------------------------------
9,600 * Catellus Development Corp. 74,400
----------------------------------------------------------------------
3,000 * Centex Telemanagement, Inc. 18,750
----------------------------------------------------------------------
700 * Centigram Communications 22,575
----------------------------------------------------------------------
1,500 * Chipcom Corp. 70,875
----------------------------------------------------------------------
4,000 * CIS Technologies, Inc. 16,000
----------------------------------------------------------------------
1,050 * Clear Channel Communications 45,413
----------------------------------------------------------------------
500 * Comcoa, Inc. 7,750
----------------------------------------------------------------------
6,900 * Comdata Holdings Corp. 22,425
----------------------------------------------------------------------
3,900 Commerce Clearing House, Class A 59,963
----------------------------------------------------------------------
2,100 * Compression Labs, Inc. 36,488
----------------------------------------------------------------------
400 Comptek Research, Inc. 7,000
----------------------------------------------------------------------
1,500 Computer Language Research, Inc. 9,375
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
GENERAL BUSINESS--CONTINUED
----------------------------------------------------------------------
700 Computer Task Group, Inc. $ 4,813
----------------------------------------------------------------------
900 * Corrections Corp America 6,975
----------------------------------------------------------------------
2,200 Cross (A.T.) Co., Class A 30,800
----------------------------------------------------------------------
400 * Crown Books Corp. 9,000
----------------------------------------------------------------------
2,300 CRS, Inc. 21,563
----------------------------------------------------------------------
1,200 * CSS Industries, Inc. 23,100
----------------------------------------------------------------------
1,200 * DeVRY, Inc. 33,600
----------------------------------------------------------------------
1,000 * Devon Group, Inc. 18,125
----------------------------------------------------------------------
1,100 Duplex Products, Inc. 11,825
----------------------------------------------------------------------
400 * Electro Rent 7,000
----------------------------------------------------------------------
2,900 Ennis Business Forms, Inc. 36,975
----------------------------------------------------------------------
2,700 * Enterra Corp. 63,450
----------------------------------------------------------------------
1,600 * Envoy Corp. 25,600
----------------------------------------------------------------------
1,100 * Excalibur Technologies Corp. 13,750
----------------------------------------------------------------------
1,210 * Executive Telecard Ltd. 17,243
----------------------------------------------------------------------
1,300 * Express Scripts Inc., Class A 59,150
----------------------------------------------------------------------
500 Fair Issac & Co., Inc. 11,250
----------------------------------------------------------------------
1,600 Foote Cone & Belding Communications 61,000
----------------------------------------------------------------------
1,200 Foxmeyer Corp. 13,950
----------------------------------------------------------------------
1,500 * Genta, Inc. 13,500
----------------------------------------------------------------------
600 * Geraghty & Miller, Inc. 5,850
----------------------------------------------------------------------
2,700 Gibson Greetings, Inc. 54,675
----------------------------------------------------------------------
800 Gilbert Association Inc., Class A 13,300
----------------------------------------------------------------------
850 * Gmis, Inc. 12,325
----------------------------------------------------------------------
800 Graphic Industries, Inc. 5,700
----------------------------------------------------------------------
2,000 * Great American Management & Investment, Inc. 65,000
----------------------------------------------------------------------
900 Greiner Engineering, Inc. 13,275
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
GENERAL BUSINESS--CONTINUED
----------------------------------------------------------------------
200 Grey Advertising, Inc. $ 35,700
----------------------------------------------------------------------
100 * Gymboree Corp. 101,588
----------------------------------------------------------------------
600 Haggar Corp. 10,950
----------------------------------------------------------------------
2,600 * Heritage Media Corp., Class A 44,525
----------------------------------------------------------------------
2,400 Houghton Mufflin Co. 113,700
----------------------------------------------------------------------
1,700 Hunt Manufacturers Co. 26,775
----------------------------------------------------------------------
1,800 * Imageamerica Corp. 6,975
----------------------------------------------------------------------
1,100 * IMRS, Inc. 27,775
----------------------------------------------------------------------
2,200 * Interleaf, Inc. 12,375
----------------------------------------------------------------------
4,300 * International Cablecasting Technology, Inc. 23,113
----------------------------------------------------------------------
3,000 * Intervoice, Inc. 46,500
----------------------------------------------------------------------
2,600 * Jacobs Engineering Group Inc. 61,425
----------------------------------------------------------------------
100 * Jones Spacelink LTD New 175
----------------------------------------------------------------------
1,600 * Kendall Square Research Corp. 26,200
----------------------------------------------------------------------
800 * Kronos Inc. 14,200
----------------------------------------------------------------------
1,300 Landauer, Inc. 20,638
----------------------------------------------------------------------
1,600 Lawyers Title Corp. 31,600
----------------------------------------------------------------------
1,100 Logicon, Inc. 31,488
----------------------------------------------------------------------
2,500 * MB Communications, Inc. 40,625
----------------------------------------------------------------------
1,500 * Mail Boxes, ETC. 19,500
----------------------------------------------------------------------
1,200 McGrath Rentcorp. 17,400
----------------------------------------------------------------------
1,600 * Medaphis Corp. 48,000
----------------------------------------------------------------------
2,400 Media General, Inc., Class A 72,000
----------------------------------------------------------------------
800 * Medical Marketing, Inc. 21,600
----------------------------------------------------------------------
2,100 Meredith Corp. 84,263
----------------------------------------------------------------------
800 Merrill Corp. 20,600
----------------------------------------------------------------------
1,100 * Metricom, Inc. 30,800
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
GENERAL BUSINESS--CONTINUED
----------------------------------------------------------------------
1,200 * Microage, Inc. $ 34,500
----------------------------------------------------------------------
1,300 * Millicom, Inc. 40,300
----------------------------------------------------------------------
1,100 Nashua Corp. 30,663
----------------------------------------------------------------------
2,200 National Data Corp. 39,875
----------------------------------------------------------------------
4,500 * National Education Corp. 26,438
----------------------------------------------------------------------
1,300 National Media Corp. 8,450
----------------------------------------------------------------------
2,700 * National Patent Development Corp. 15,525
----------------------------------------------------------------------
1,800 Nelson Thomas, Inc. 37,350
----------------------------------------------------------------------
2,000 New England Business Service 33,000
----------------------------------------------------------------------
900 * Nichols Research Corp. 11,475
----------------------------------------------------------------------
500 * Norstan, Inc. 8,125
----------------------------------------------------------------------
900 * Outlook Graphics Corp. 10,125
----------------------------------------------------------------------
400 * Park Communications, Inc. 9,400
----------------------------------------------------------------------
1,406 * Paxar Corp. 21,270
----------------------------------------------------------------------
700 * Payco American Corp. 5,600
----------------------------------------------------------------------
800 PCA International, Inc. 16,900
----------------------------------------------------------------------
900 * Perseptive Biosystems, Inc. 22,725
----------------------------------------------------------------------
800 * Pharmacy Management Services, Inc. 6,100
----------------------------------------------------------------------
700 * Pinkertons, Inc. 14,000
----------------------------------------------------------------------
2,300 * Playboy Enterprises, Inc., Class B 21,275
----------------------------------------------------------------------
800 Plenum Publishing Corp. 18,900
----------------------------------------------------------------------
1,200 * Possis Corp. 12,300
----------------------------------------------------------------------
420 Pulitzer Publishing Co. 14,123
----------------------------------------------------------------------
6,100 * Physician Corp. America 126,575
----------------------------------------------------------------------
1,200 * Quarterdeck Office Systems 2,625
----------------------------------------------------------------------
1,500 Radiation Systems, Inc. 23,625
----------------------------------------------------------------------
700 * Regis Corp Minnesota 7,875
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
GENERAL BUSINESS--CONTINUED
----------------------------------------------------------------------
1,400 * Robert Half International, Inc. $ 38,850
----------------------------------------------------------------------
4,500 Safecard Services, Inc. 58,500
----------------------------------------------------------------------
1,100 * Safety 1st Inc. 26,400
----------------------------------------------------------------------
700 * Saga Communications, Class A 13,213
----------------------------------------------------------------------
2,400 SEI Corp. 57,000
----------------------------------------------------------------------
3,600 * SGI International 11,475
----------------------------------------------------------------------
4,300 Spelling Entertainment Group, Inc. 43,000
----------------------------------------------------------------------
2,300 Standard Register 45,425
----------------------------------------------------------------------
900 * State of the Art, Inc. 7,425
----------------------------------------------------------------------
1,100 * Steris Corp. 21,725
----------------------------------------------------------------------
2,300 Stewart Enterprises, Inc., Class A 92,000
----------------------------------------------------------------------
1,600 Stone & Webster, Inc. 47,400
----------------------------------------------------------------------
10,400 Stone Container Corp. 74,100
----------------------------------------------------------------------
1,800 * Stratacom Inc. 29,025
----------------------------------------------------------------------
3,400 * Sun Guard Data Systems 124,950
----------------------------------------------------------------------
2,800 Sun Television & Appliances 63,700
----------------------------------------------------------------------
1,000 * Supercuts, Inc. 16,750
----------------------------------------------------------------------
700 * Syratech Corp 11,550
----------------------------------------------------------------------
2,100 * Systems & Computer Technology 36,225
----------------------------------------------------------------------
2,300 * T Cell Sciences, Inc. 17,250
----------------------------------------------------------------------
2,500 TCA Cable TV Inc. 73,125
----------------------------------------------------------------------
775 * Tetra Technology, Inc. 15,597
----------------------------------------------------------------------
6,800 * Topps Inc. 54,400
----------------------------------------------------------------------
1,100 Total System Services, Inc. 33,413
----------------------------------------------------------------------
500 * Trans World Music Corp. 6,875
----------------------------------------------------------------------
400 Treadco, Inc. 5,800
----------------------------------------------------------------------
600 * TRM Copy Centers Corp. 7,800
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
GENERAL BUSINESS--CONTINUED
----------------------------------------------------------------------
1,600 * U.S. Robotics, Inc. $ 42,600
----------------------------------------------------------------------
8,300 U.S. Shoe 90,263
----------------------------------------------------------------------
800 * Union Corp. 9,300
----------------------------------------------------------------------
2,200 United Stationers, Inc. 34,100
----------------------------------------------------------------------
800 * United Television, Inc. 31,600
----------------------------------------------------------------------
1,850 United Wisconsin Services, Inc. 52,725
----------------------------------------------------------------------
800 Wackenhut Corp. 11,025
----------------------------------------------------------------------
300 Waverly, Inc. 5,700
----------------------------------------------------------------------
2,900 * Western Publishing Group, Inc. 43,138
----------------------------------------------------------------------
1,200 * Weston (Roy F), Inc. 10,800
----------------------------------------------------------------------
600 Wiley (John) Sons, Class A 37,500
----------------------------------------------------------------------
3,000 * Zilog, Inc. 116,250
---------------------------------------------------------------------- -----------
Total 4,928,005
---------------------------------------------------------------------- -----------
HEALTHCARE--0.3%
----------------------------------------------------------------------
4,100 * Acuson Corp. 55,863
----------------------------------------------------------------------
1,300 Allied Healthcare Products 15,600
----------------------------------------------------------------------
800 * American Medical Response 20,600
----------------------------------------------------------------------
1,100 * Atrix Labs, Inc. 6,738
----------------------------------------------------------------------
1,500 * ATS Medical Inc. 8,625
----------------------------------------------------------------------
6,000 * Continental Medical System Inc. 57,750
----------------------------------------------------------------------
832 United Healthcare Corp. 58,136
---------------------------------------------------------------------- -----------
Total 223,312
---------------------------------------------------------------------- -----------
HOSPITAL SUPPLIES--0.1%
----------------------------------------------------------------------
4,300 * Mcgaw Inc. 43,000
---------------------------------------------------------------------- -----------
INDUSTRIAL PRODUCTS--0.1%
----------------------------------------------------------------------
3,100 Kaman Corp. Cl A 29,838
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
INDUSTRIAL PRODUCTS--CONTINUED
----------------------------------------------------------------------
3,100 * Rexnord Corp. $ 56,963
---------------------------------------------------------------------- -----------
Total 86,801
---------------------------------------------------------------------- -----------
INSURANCE--0.1%
----------------------------------------------------------------------
2,200 Acordia, Inc. 54,725
---------------------------------------------------------------------- -----------
MISCELLANEOUS--2.0%
----------------------------------------------------------------------
1,800 Actava Group, Inc. 14,400
----------------------------------------------------------------------
1,200 * Alltrista Corp. 21,600
----------------------------------------------------------------------
800 * Berlitz International, Inc. 10,400
----------------------------------------------------------------------
3,000 * BET Holdings, Class A 54,375
----------------------------------------------------------------------
1,000 * Boomtown, Inc. 19,750
----------------------------------------------------------------------
1,600 * Capsure Holdings Corp. 24,800
----------------------------------------------------------------------
900 * Casino American Inc. 19,800
----------------------------------------------------------------------
3,600 Crimi Mae Inc. 44,100
----------------------------------------------------------------------
900 * Crosscomm Corp. 28,350
----------------------------------------------------------------------
1,200 Dames & Moore Inc. 20,100
----------------------------------------------------------------------
700 * Data Race Inc. 5,775
----------------------------------------------------------------------
3,500 Dentsply International Inc. 133,000
----------------------------------------------------------------------
900 Dial Page Inc. 66,150
----------------------------------------------------------------------
900 * Education Alternatice 37,800
----------------------------------------------------------------------
2,400 * First Pacific Networks Inc. 32,100
----------------------------------------------------------------------
7,700 * Flagstar Cos, Inc. 82,775
----------------------------------------------------------------------
500 * Fritz Cos Inc. 15,125
----------------------------------------------------------------------
4,400 Geotek Industries Inc. 41,800
----------------------------------------------------------------------
1,200 * Global Industries Ltd. 21,600
----------------------------------------------------------------------
4,500 Imp Inc. 7,875
----------------------------------------------------------------------
900 Inacom Corp. 15,975
----------------------------------------------------------------------
900 Intercargo Corp. 13,050
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
MISCELLANEOUS--CONTINUED
----------------------------------------------------------------------
1,500 International Gaming Management $ 12,000
----------------------------------------------------------------------
3,200 International Multifoods Corp. 74,800
----------------------------------------------------------------------
2,900 * Interpool Inc. 57,638
----------------------------------------------------------------------
1,100 Jmc Group Inc. 11,138
----------------------------------------------------------------------
1,200 Katy Industries, Inc. 33,750
----------------------------------------------------------------------
2,700 * Kemet Corp. 40,500
----------------------------------------------------------------------
800 Knogo Corp. 8,500
----------------------------------------------------------------------
2,000 * Landstar System Inc. 33,500
----------------------------------------------------------------------
700 * Marine Harvest International, Inc. 7,350
----------------------------------------------------------------------
3,200 Maybelline, Inc. 74,800
----------------------------------------------------------------------
1,200 McAfee Associates, Inc. 6,750
----------------------------------------------------------------------
1,000 * Nautica Enterprises, Inc. 33,500
----------------------------------------------------------------------
1,300 * Nu-Kote Holdings, Inc., Class A 25,350
----------------------------------------------------------------------
400 Park National Corp. 30,800
----------------------------------------------------------------------
400 People First Corp. 16,600
----------------------------------------------------------------------
700 Pikeville National Corp. 24,150
----------------------------------------------------------------------
600 Puerto Rican Cem Inc. 15,900
----------------------------------------------------------------------
550 Putnam Tr Co. Greenwich 16,019
----------------------------------------------------------------------
2,900 * Retix 22,475
----------------------------------------------------------------------
1,400 Rival Co. 23,275
----------------------------------------------------------------------
1,100 * Sanmina Corp. 23,650
----------------------------------------------------------------------
400 Sanfilippo (John B & Sons), Inc. 5,900
----------------------------------------------------------------------
2,600 * Sepracor 20,475
----------------------------------------------------------------------
600 Suffolk Bancorp. 14,550
----------------------------------------------------------------------
2,500 Telxon Corp. 27,188
----------------------------------------------------------------------
1,300 The Colonial Group, Inc., Class A 40,950
----------------------------------------------------------------------
600 * Universal Studios Medical Labs 9,000
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
MISCELLANEOUS--CONTINUED
----------------------------------------------------------------------
1,800 * USMX Inc. $ 9,225
----------------------------------------------------------------------
1,000 * World Acceptance Corp. 19,750
----------------------------------------------------------------------
1,100 * Zoll Medical Corp. 40,975
---------------------------------------------------------------------- -----------
Total 1,511,158
---------------------------------------------------------------------- -----------
OFFICE EQUIPMENT & SUPPLIES--0.1%
----------------------------------------------------------------------
7,200 * Conner Peripherals, Inc. 87,300
---------------------------------------------------------------------- -----------
REAL ESTATE--1.1%
----------------------------------------------------------------------
1,800 Banyan Strategic Realty 8,325
----------------------------------------------------------------------
4,300 Berkshire Realty, Inc. 48,375
----------------------------------------------------------------------
2,700 Bradley Real Estate Trust 24,975
----------------------------------------------------------------------
200 * Christiana Companies, Inc. 4,600
----------------------------------------------------------------------
1,237 CV REIT, Inc. 11,442
----------------------------------------------------------------------
1,700 Developers Diversified Realty 48,875
----------------------------------------------------------------------
1,400 Dial REIT, Inc. 14,875
----------------------------------------------------------------------
5,400 Health & Rehabilitation Properties, Inc. 87,075
----------------------------------------------------------------------
2,200 Health Equity Properties, Inc. 21,725
----------------------------------------------------------------------
1,700 Koger Equity Inc. 15,513
----------------------------------------------------------------------
1,300 L T C Pptys Inc. 17,550
----------------------------------------------------------------------
1,800 * Mercer International Inc. 23,175
----------------------------------------------------------------------
2,300 Merry Land and Investment Co. 46,288
----------------------------------------------------------------------
1,600 Pennsylvania Real Estate Investment Trust 40,200
----------------------------------------------------------------------
500 Price Reit Inc. 16,125
----------------------------------------------------------------------
1,400 Real Estate Investment Trust 25,200
----------------------------------------------------------------------
3,400 Resource Management Capital, Inc. 108,800
----------------------------------------------------------------------
4,300 RPS Realty Trust 17,738
----------------------------------------------------------------------
800 * Schuler Homes Inc. 22,900
----------------------------------------------------------------------
1,400 Sizeler Property Investment, Inc. 19,075
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
REAL ESTATE--CONTINUED
----------------------------------------------------------------------
3,100 Storage Equities, Inc. $ 44,950
----------------------------------------------------------------------
1,300 Universal Health Realty Trust, Inc. 22,100
----------------------------------------------------------------------
1,600 Vanguard Real Estate 13,800
----------------------------------------------------------------------
4,800 Washington Real Estate Investment Trust 92,400
----------------------------------------------------------------------
1,100 Wellsford Residential Property Trust 32,725
----------------------------------------------------------------------
2,900 Western Investment Real Estate Trust 39,513
---------------------------------------------------------------------- -----------
Total 868,319
---------------------------------------------------------------------- -----------
RETAILERS--0.1%
----------------------------------------------------------------------
7,100 * Payless Cashways Inc. 85,200
---------------------------------------------------------------------- -----------
SHELTER--1.6%
----------------------------------------------------------------------
400 Ameron, Inc. 14,750
----------------------------------------------------------------------
1,700 * Atlantic Gulf Communities Corp. 11,475
----------------------------------------------------------------------
1,200 * Avatar Holdings, Inc. 41,100
----------------------------------------------------------------------
700 * Butler Manufacturing Co. 20,038
----------------------------------------------------------------------
1,100 * Champion Enterprises 20,350
----------------------------------------------------------------------
500 Consolidated Tomoka Co. 7,500
----------------------------------------------------------------------
400 Continental Homes Holdings Co. 8,700
----------------------------------------------------------------------
800 Elcor Chemical Corp. 18,100
----------------------------------------------------------------------
600 Engle Homes, Inc. 7,050
----------------------------------------------------------------------
2,400 Fastenal Co. 73,800
----------------------------------------------------------------------
1,100 Florida Rock Industries, Inc. 32,313
----------------------------------------------------------------------
600 Forest City Enterprises, Inc. 24,900
----------------------------------------------------------------------
2,000 Granite Construction, Inc. 38,500
----------------------------------------------------------------------
1,800 * Holnam, Inc. 8,775
----------------------------------------------------------------------
1,300 * Hovnanian Enterprises, Inc., Class A 23,075
----------------------------------------------------------------------
2,600 Justin Industries, Inc. 46,150
----------------------------------------------------------------------
4,900 * Kasler Corp. 37,975
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
SHELTER--CONTINUED
----------------------------------------------------------------------
100 * Kennedy-Wilson Inc. $ 438
----------------------------------------------------------------------
2,800 * M.D.C. Holdings, Inc. 18,200
----------------------------------------------------------------------
3,000 Medusa Corp. 82,500
----------------------------------------------------------------------
100 * Miles Homes, Inc. 800
----------------------------------------------------------------------
900 * Morgan Products LTD 6,975
----------------------------------------------------------------------
1,600 Ply-Gem Industries, Inc. 25,400
----------------------------------------------------------------------
1,000 Republic Gypsum Co. 9,125
----------------------------------------------------------------------
2,600 Ryland Group, Inc. 50,375
----------------------------------------------------------------------
3,100 Southdown, Inc. 75,563
----------------------------------------------------------------------
4,300 Standard Pacific Corp. 40,313
----------------------------------------------------------------------
2,000 TJ International Inc. 62,500
----------------------------------------------------------------------
3,000 * Toll Brothers, Inc. 47,250
----------------------------------------------------------------------
600 * U S Homecare Corp. 2,850
----------------------------------------------------------------------
6,301 * U S Home Corp. Class A 173,278
----------------------------------------------------------------------
55 * U S Home Corp., Class B 791
----------------------------------------------------------------------
6,702 * U.S.G. Corp. 147,444
----------------------------------------------------------------------
2,700 Webb (Del) Corp. 35,100
----------------------------------------------------------------------
600 Wolohan Lumber Co. 9,300
---------------------------------------------------------------------- -----------
Total 1,222,753
---------------------------------------------------------------------- -----------
STEEL--0.0%
----------------------------------------------------------------------
2,100 * Geneva Steel Cl A 30,975
---------------------------------------------------------------------- -----------
TECHNOLOGY--11.1%
----------------------------------------------------------------------
1,000 * ACX Technologies, Inc. 37,750
----------------------------------------------------------------------
700 * Advance Circuits, Inc. 8,138
----------------------------------------------------------------------
600 * Advanced Promotion 7,200
----------------------------------------------------------------------
1,800 * Advanced Technology Labs Inc. 31,050
----------------------------------------------------------------------
1,900 * Aldus Corp. 42,275
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
TECHNOLOGY--CONTINUED
----------------------------------------------------------------------
1,600 * Alliant Techsystems, Inc. $ 46,600
----------------------------------------------------------------------
3,700 * Altera Corp. 102,213
----------------------------------------------------------------------
5,747 * American Annuity Group, Inc. 51,723
----------------------------------------------------------------------
400 * American City Business 9,950
----------------------------------------------------------------------
2,900 * American Management System, Inc. 63,438
----------------------------------------------------------------------
1,000 * America Online, Inc. 60,000
----------------------------------------------------------------------
3,100 American Software, Inc., Class A 22,475
----------------------------------------------------------------------
800 * American Superconductor Corp. 20,200
----------------------------------------------------------------------
4,200 * Amphenol Corp., Class A 57,750
----------------------------------------------------------------------
400 * Amplicon, Inc. 7,700
----------------------------------------------------------------------
5,900 * Anacomp, Inc. 19,175
----------------------------------------------------------------------
1,100 * Analogic Corp. 16,844
----------------------------------------------------------------------
2,100 * Andrew Corp. 79,275
----------------------------------------------------------------------
3,600 * Applied Magnetics Corp. 21,150
----------------------------------------------------------------------
1,700 * Artisoft, Inc. 18,063
----------------------------------------------------------------------
2,700 * ASK Group Inc. 37,800
----------------------------------------------------------------------
1,600 Aspect Telecommunications Corp. 62,800
----------------------------------------------------------------------
4,600 * AST Research, Inc., Class A 94,875
----------------------------------------------------------------------
3,000 * Atari Corp. 25,500
----------------------------------------------------------------------
2,600 Augat, Inc. 51,675
----------------------------------------------------------------------
4,600 * Autotote Corp. Class A 121,900
----------------------------------------------------------------------
800 * Babbages, Inc. 20,800
----------------------------------------------------------------------
1,300 Baldwin Technology, Inc. 6,256
----------------------------------------------------------------------
2,050 * Banctec, Inc. 39,463
----------------------------------------------------------------------
1,100 * Banner Aerospace, Inc. 4,813
----------------------------------------------------------------------
2,000 * Banyan Systems, Inc. 40,500
----------------------------------------------------------------------
2,100 * BE Aerospace Inc. 24,150
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
TECHNOLOGY--CONTINUED
----------------------------------------------------------------------
1,040 Bell Industries $ 19,110
----------------------------------------------------------------------
400 * Benchmark Electros, Inc. 8,250
----------------------------------------------------------------------
200 BGS System, Inc. 5,300
----------------------------------------------------------------------
800 * BMC Industries Inc. 13,000
----------------------------------------------------------------------
600 * Boole & Babbage, Inc. 15,600
----------------------------------------------------------------------
400 Boston Acoustics, Inc. 6,000
----------------------------------------------------------------------
2,200 * Boston Technology, Inc. 21,175
----------------------------------------------------------------------
5,500 * Breed Technologies Inc. 82,500
----------------------------------------------------------------------
1,300 * Broderbund Software, Inc. 73,450
----------------------------------------------------------------------
2,700 * Brooktree Corp. 35,775
----------------------------------------------------------------------
1,200 * Brown Tom Inc. 17,250
----------------------------------------------------------------------
1,600 * Burr Brown Corp. 11,200
----------------------------------------------------------------------
400 * C COR Electros, Inc. 7,100
----------------------------------------------------------------------
7,300 * Cadence Design Systems Inc. 84,863
----------------------------------------------------------------------
1,900 * California Microwave 43,700
----------------------------------------------------------------------
800 * Cambex Corp. 4,800
----------------------------------------------------------------------
1,500 * Cerner Corp. 53,625
----------------------------------------------------------------------
1,600 * Checkpoint System, Inc. 18,800
----------------------------------------------------------------------
1,500 * Chips & Technologies, Inc. 8,625
----------------------------------------------------------------------
2,700 * Chipsoft Inc., Class A 40,500
----------------------------------------------------------------------
4,300 * Cirrus Logic, Inc. 150,500
----------------------------------------------------------------------
1,000 * Clinicom Inc. 21,000
----------------------------------------------------------------------
1,200 Communications System Inc. 18,300
----------------------------------------------------------------------
2,300 * Comptronix Corp. 10,925
----------------------------------------------------------------------
2,600 * Compucom System, Inc. 11,213
----------------------------------------------------------------------
3,200 * Computer Network Technology 27,200
----------------------------------------------------------------------
5,000 Computervision Corp. 13,750
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
TECHNOLOGY--CONTINUED
----------------------------------------------------------------------
3,100 * Comverse Technology Inc. $ 47,663
----------------------------------------------------------------------
1,700 * Continuum Co. 33,150
----------------------------------------------------------------------
2,000 * Control Data Systems Inc. 18,500
----------------------------------------------------------------------
3,700 * Convex Computer Corp. 20,350
----------------------------------------------------------------------
2,900 * Copytele, Inc. 32,625
----------------------------------------------------------------------
1,100 * Corporate Software, Inc. 17,050
----------------------------------------------------------------------
3,300 * Cray Computer Corp. 10,313
----------------------------------------------------------------------
400 CTS Corp. 8,800
----------------------------------------------------------------------
600 Cubic Corp. 12,600
----------------------------------------------------------------------
400 Curtiss Wright Corp. 13,050
----------------------------------------------------------------------
100 * CyCare System Inc. 788
----------------------------------------------------------------------
6,100 * Cypress Semiconductor Corp. 72,438
----------------------------------------------------------------------
800 * DH Technology, Inc. 12,400
----------------------------------------------------------------------
4,200 * Dallas Semiconductor Corp. 69,825
----------------------------------------------------------------------
9,000 * Data General Corp. 85,500
----------------------------------------------------------------------
1,700 * Datapoint Corp. 12,963
----------------------------------------------------------------------
2,200 * Digi International, Inc. 48,950
----------------------------------------------------------------------
1,800 * Digital Communications Assoc. 33,300
----------------------------------------------------------------------
2,100 * Digital Microwave Corp. 48,825
----------------------------------------------------------------------
1,300 * Dionex Corp. 41,925
----------------------------------------------------------------------
1,600 * Dynatech Corp. 36,400
----------------------------------------------------------------------
2,200 * Egghead, Inc. 16,225
----------------------------------------------------------------------
1,400 * Electronics For Imaging 24,850
----------------------------------------------------------------------
1,200 * Empi, Inc. 33,000
----------------------------------------------------------------------
1,400 * Emulex Corp. 9,100
----------------------------------------------------------------------
500 * Essef Industries, Inc. 5,938
----------------------------------------------------------------------
1,400 * Evans & Sutherland Computer Co. 25,900
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
TECHNOLOGY--CONTINUED
----------------------------------------------------------------------
3,800 * Exabyte Corp. $ 60,325
----------------------------------------------------------------------
800 * Exar Corp. 23,800
----------------------------------------------------------------------
300 * Exide Electros Group, Inc. 5,550
----------------------------------------------------------------------
1,200 * Fairchild Corp., Class A 3,750
----------------------------------------------------------------------
400 * Ferrofluidics Corp. 3,100
----------------------------------------------------------------------
1,700 * Filenet Corp. 31,875
----------------------------------------------------------------------
1,700 * Frame Technology Corp. 16,788
----------------------------------------------------------------------
800 * Franklin Electric Publishers, Inc. 11,200
----------------------------------------------------------------------
900 * Future Now Inc. 13,050
----------------------------------------------------------------------
700 * Gates/FA Distributions Inc. 12,338
----------------------------------------------------------------------
5,400 Gencorp, Inc. 85,050
----------------------------------------------------------------------
800 General Binding Corp. 11,600
----------------------------------------------------------------------
2,600 * General Datacomm Industries, Inc. 28,275
----------------------------------------------------------------------
3,200 * Genrad Inc. 15,600
----------------------------------------------------------------------
3,500 Gerber Scientific, Inc. 49,000
----------------------------------------------------------------------
900 * Glenayre Technologies, Inc. 85,725
----------------------------------------------------------------------
1,000 * Government Technology Services, Inc. 12,750
----------------------------------------------------------------------
600 * GTI Corp. 18,000
----------------------------------------------------------------------
1,800 * Gupta Corp. 27,000
----------------------------------------------------------------------
700 * Hadco Corp. 5,338
----------------------------------------------------------------------
2,500 HBO & Co. 97,813
----------------------------------------------------------------------
600 Henry Jack & Assoc., Inc. 9,900
----------------------------------------------------------------------
2,000 Hogan System, Inc. 22,250
----------------------------------------------------------------------
400 * Howtek, Inc. 3,600
----------------------------------------------------------------------
1,000 * Hutchinson Technology, Inc. 26,000
----------------------------------------------------------------------
1,700 * In Focus System, Inc. 26,775
----------------------------------------------------------------------
1,100 * Input/Output, Inc. 22,550
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
TECHNOLOGY--CONTINUED
----------------------------------------------------------------------
2,100 * Insituform Technologies, Inc., Class A $ 33,863
----------------------------------------------------------------------
600 Instron Corp. 8,100
----------------------------------------------------------------------
850 * Integrated Circuit System, Inc. 13,813
----------------------------------------------------------------------
4,200 * Integrated Device Technology 61,950
----------------------------------------------------------------------
5,800 Intelligent Electros, Inc. 126,875
----------------------------------------------------------------------
5,900 * Interdigital Communications Corp. 41,300
----------------------------------------------------------------------
3,200 * International Rectifier Corp. 43,200
----------------------------------------------------------------------
1,600 * Intersolv, Inc. 12,400
----------------------------------------------------------------------
900 * Iomega Corp. 3,375
----------------------------------------------------------------------
1,200 Joslyn Technology Co. 30,150
----------------------------------------------------------------------
1,200 * Keane, Inc. 26,850
----------------------------------------------------------------------
700 * Key Tronic Corp. 5,075
----------------------------------------------------------------------
3,200 * KLA Instruments Corp. 70,400
----------------------------------------------------------------------
1,700 * Knowledgeware, Inc. 27,625
----------------------------------------------------------------------
2,900 * Komag, Inc. 46,400
----------------------------------------------------------------------
1,200 * Kopin Corp. 29,700
----------------------------------------------------------------------
1,300 * Kulicke & Soffa Industries 29,088
----------------------------------------------------------------------
4,200 * Lam Research Corp. 111,300
----------------------------------------------------------------------
1,900 * Landmark Graphics Corp. 46,550
----------------------------------------------------------------------
3,250 * Lattice Semiconductor 50,375
----------------------------------------------------------------------
900 * Learning Co. 17,100
----------------------------------------------------------------------
3,100 * LTX Corp. 15,113
----------------------------------------------------------------------
4,500 * M/A Com, Inc. 38,250
----------------------------------------------------------------------
2,000 MacNeal Schwendler Corp. 28,000
----------------------------------------------------------------------
1,300 * Marcam Corp. 13,975
----------------------------------------------------------------------
1,500 * Marshall Industries 71,063
----------------------------------------------------------------------
2,500 * Maxim Integrated Products, Inc. 101,875
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
TECHNOLOGY--CONTINUED
----------------------------------------------------------------------
4,900 * Maxtor Corp. $ 29,400
----------------------------------------------------------------------
100 * Media Logic, Inc. 550
----------------------------------------------------------------------
1,300 * Medic Computer Systems, Inc. 16,250
----------------------------------------------------------------------
8,400 Mentor Graphics Corp. 98,700
----------------------------------------------------------------------
3,800 * Merisel, Inc. 59,850
----------------------------------------------------------------------
3,200 Methode Electronics, Inc., Class A 40,000
----------------------------------------------------------------------
600 * Micro Warehouse, Inc. 22,650
----------------------------------------------------------------------
2,400 * Microdyne Corp. 12,300
----------------------------------------------------------------------
1,100 * Micronics Computers, Inc. 6,600
----------------------------------------------------------------------
2,400 * Micropolis Corp. 18,900
----------------------------------------------------------------------
3,200 * Molten Metal Technology, Inc. 78,400
----------------------------------------------------------------------
2,300 National Computer System, Inc. 27,600
----------------------------------------------------------------------
1,500 * Netframe System Inc. 23,625
----------------------------------------------------------------------
1,800 * Network Computing Devices 14,850
----------------------------------------------------------------------
2,500 * Network Equipment Technologies 24,375
----------------------------------------------------------------------
2,400 * Network General Corp. 35,700
----------------------------------------------------------------------
5,200 * Network System Corp. 44,850
----------------------------------------------------------------------
700 * New Image Industries, Inc. 10,413
----------------------------------------------------------------------
2,500 OEA, Inc. 72,500
----------------------------------------------------------------------
2,800 * Octel Communications Corp. 70,000
----------------------------------------------------------------------
1,400 QMS Inc. 14,700
----------------------------------------------------------------------
800 * Optical Data System Inc. 8,700
----------------------------------------------------------------------
2,100 * Orbital Sciences Corp. 41,475
----------------------------------------------------------------------
900 Pacific Scientific Co. 16,875
----------------------------------------------------------------------
1,100 * Parallan Computer, Inc. 23,100
----------------------------------------------------------------------
1,300 * PDA Engineering 6,338
----------------------------------------------------------------------
1,000 * Phoenix Technology Ltd. 4,250
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
TECHNOLOGY--CONTINUED
----------------------------------------------------------------------
500 * Photronic, Inc. $ 6,875
----------------------------------------------------------------------
2,500 * Picturetel Corp. 45,625
----------------------------------------------------------------------
1,800 Pittway Corp., Class A 46,125
----------------------------------------------------------------------
1,650 * Platinum Software Corp. 37,950
----------------------------------------------------------------------
2,100 * Platinum Technology I 18,113
----------------------------------------------------------------------
900 * Progress Software Corp. 49,163
----------------------------------------------------------------------
1,800 * Proteon, Inc. 9,225
----------------------------------------------------------------------
2,300 * Pyramid Technology Corp. 34,500
----------------------------------------------------------------------
1,900 * Quadrex Corp. 8,788
----------------------------------------------------------------------
600 * Rainbow Technologies, Inc. 12,600
----------------------------------------------------------------------
1,300 * Rasterop's 10,400
----------------------------------------------------------------------
6,200 * Read-Rite Corp. 73,625
----------------------------------------------------------------------
2,000 * Recognition International Inc. 34,000
----------------------------------------------------------------------
600 * Rex Stores Corp. 12,825
----------------------------------------------------------------------
2,900 * Rohr Industries, Inc. 22,838
----------------------------------------------------------------------
1,400 * Ross System, Inc. 12,075
----------------------------------------------------------------------
700 * Safeguard Scientifics, Inc. 15,225
----------------------------------------------------------------------
4,900 * SCI Systems, Inc. 89,425
----------------------------------------------------------------------
3,000 Sequa Corp., Class A 100,875
----------------------------------------------------------------------
5,400 * Sequent Computer System, Inc. 91,800
----------------------------------------------------------------------
3,800 Shared Medical Systems Corp. 95,000
----------------------------------------------------------------------
1,100 * Sierra On-Line, Inc. 26,125
----------------------------------------------------------------------
2,500 * Silicon General, Inc. 41,563
----------------------------------------------------------------------
2,000 Smith Corona Corp. 12,500
----------------------------------------------------------------------
500 * Software, Etc. Stores Inc. 10,438
----------------------------------------------------------------------
1,500 * Software PUBG Corp. 9,375
----------------------------------------------------------------------
500 * Software Spectrum, Inc. 12,000
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
TECHNOLOGY--CONTINUED
----------------------------------------------------------------------
3,200 * Software Toolworks Inc. $ 48,800
----------------------------------------------------------------------
10,600 * Spectrum Information Technology Inc. 99,375
----------------------------------------------------------------------
1,900 * Standard Microsystems Corp. 40,850
----------------------------------------------------------------------
2,642 * Sterling Software, Inc. 85,855
----------------------------------------------------------------------
5,200 * Structural Dynamics Research Corp. 85,150
----------------------------------------------------------------------
1,500 * Sulcus Computer Corp. 14,438
----------------------------------------------------------------------
1,300 * Supermac Technology Inc. 25,675
----------------------------------------------------------------------
4,800 * Symantec Corp. 97,200
----------------------------------------------------------------------
3,500 * Symbol Technologies Inc. 59,063
----------------------------------------------------------------------
2,400 * Synopsys, Inc. 123,600
----------------------------------------------------------------------
2,000 * Syquest Technology Inc. 24,750
----------------------------------------------------------------------
2,800 System Software Association, Inc. 40,600
----------------------------------------------------------------------
1,200 * T*HQ, Inc. 4,163
----------------------------------------------------------------------
600 * Target Therapeutics Inc. 10,725
----------------------------------------------------------------------
2,900 * Tech Data Corp. 77,213
----------------------------------------------------------------------
1,000 * Tech Sym Corp. 19,875
----------------------------------------------------------------------
1,900 * Technology Solutions Co. 17,575
----------------------------------------------------------------------
2,600 Teleflex Inc. 75,075
----------------------------------------------------------------------
1,500 * Telco System, Inc. 15,000
----------------------------------------------------------------------
2,800 * Telematics International, Inc. 42,700
----------------------------------------------------------------------
2,100 * Tellabs, Inc. 145,950
----------------------------------------------------------------------
3,500 Thiokol Corp. 92,313
----------------------------------------------------------------------
2,200 * Triad System Corp. 11,825
----------------------------------------------------------------------
1,500 * Trident Microsystems Inc. 9,375
----------------------------------------------------------------------
2,400 * Trimble Navigation Ltd. 25,500
----------------------------------------------------------------------
3,000 * Trinzic Corp. 17,250
----------------------------------------------------------------------
2,100 Tseng Labs,Inc. 22,313
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
TECHNOLOGY--CONTINUED
----------------------------------------------------------------------
3,100 * UNC, Inc. $ 24,413
----------------------------------------------------------------------
1,800 * Unitrode Corp. 25,200
----------------------------------------------------------------------
100 * Urethane Technologies 1,088
----------------------------------------------------------------------
1,000 Versa Technologies, Inc. 13,875
----------------------------------------------------------------------
2,600 * Vicor Corp. 48,100
----------------------------------------------------------------------
2,300 * Viewlogic System, Inc. 55,200
----------------------------------------------------------------------
2,000 * Vitesse Semiconductor Corp. 8,500
----------------------------------------------------------------------
6,100 * VLSI Technology, Inc. 85,400
----------------------------------------------------------------------
1,100 * Vmark Software Inc. 18,150
----------------------------------------------------------------------
500 * Volt Information Sciences 9,500
----------------------------------------------------------------------
2,100 * Walker Interactive System 18,900
----------------------------------------------------------------------
4,000 Wallace Computer Inc. 112,500
----------------------------------------------------------------------
1,000 Watkins Johnson Co. 21,500
----------------------------------------------------------------------
1,400 * Weitek Corp. 14,000
----------------------------------------------------------------------
800 * Westcott Communications, Inc. 26,800
----------------------------------------------------------------------
6,400 * Western Digital Corp. 50,400
----------------------------------------------------------------------
900 * Whittaker Corp. 11,813
----------------------------------------------------------------------
2,200 Wyle Labs 37,400
----------------------------------------------------------------------
1,500 * Xircom Inc. 25,125
----------------------------------------------------------------------
900 * Xyplex 15,300
----------------------------------------------------------------------
2,000 York Resh Corp., Class A 12,750
----------------------------------------------------------------------
1,000 * Zebra Technologies Corp., Class A 51,750
---------------------------------------------------------------------- -----------
Total 8,484,083
---------------------------------------------------------------------- -----------
TRANSPORTATION--1.4%
----------------------------------------------------------------------
3,500 Airborne Freight Corp. 105,438
----------------------------------------------------------------------
1,900 Airlines Express International Corp. 39,900
----------------------------------------------------------------------
2,500 * American Freightways Corp. 48,750
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
TRANSPORTATION--CONTINUED
----------------------------------------------------------------------
1,500 Arnold Industries, Inc. $ 60,000
----------------------------------------------------------------------
1,000 Carolina Freight Corp. 12,875
----------------------------------------------------------------------
5,500 Consolidated Freightways, Inc. 119,625
----------------------------------------------------------------------
1,000 Expeditores International Washington, Inc. 31,250
----------------------------------------------------------------------
600 Florida East Coast Industries, Inc. 38,700
----------------------------------------------------------------------
800 Frozen Food Express Industries, Inc. 16,600
----------------------------------------------------------------------
1,500 * GRC International 11,063
----------------------------------------------------------------------
2,400 * Greyhound Lines, Inc. 33,300
----------------------------------------------------------------------
1,800 Harper Group, Inc. 24,750
----------------------------------------------------------------------
900 * Intellicall Inc. 11,925
----------------------------------------------------------------------
300 International Shipbuilding Corp. 6,000
----------------------------------------------------------------------
1,200 Intertrans Corp. 14,700
----------------------------------------------------------------------
4,900 * Kirby Expl Inc. 93,713
----------------------------------------------------------------------
300 * KLLM Transportation Services, Inc. 4,575
----------------------------------------------------------------------
800 Kysor Indl. Corp. Del 13,200
----------------------------------------------------------------------
700 Liqui Box Corp. 27,300
----------------------------------------------------------------------
1,000 * M S Carriers, Inc. 23,500
----------------------------------------------------------------------
800 * Matlack Systems, Inc. 11,700
----------------------------------------------------------------------
3,000 * Offshore Logistics Inc. 49,500
----------------------------------------------------------------------
300 Oglebay Norton Co. 6,300
----------------------------------------------------------------------
4,200 OMI Corp. 26,775
----------------------------------------------------------------------
1,400 Smart & Final, Inc. 16,625
----------------------------------------------------------------------
200 * Swift Transportation, Inc. 6,400
----------------------------------------------------------------------
3,150 TNT Freightways Corp. 70,875
----------------------------------------------------------------------
300 * USA Truck Inc. 9,075
----------------------------------------------------------------------
2,200 Werner Enterprises, Inc. 59,950
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
TRANSPORTATION--CONTINUED
----------------------------------------------------------------------
1,400 * Wisconsin Central Transportation Corp. $ 71,400
---------------------------------------------------------------------- -----------
Total 1,065,764
---------------------------------------------------------------------- -----------
UTILITIES--5.7%
----------------------------------------------------------------------
950 ACC Corp. 18,763
----------------------------------------------------------------------
5,200 * ALC Communications Co. 156,000
----------------------------------------------------------------------
1,200 * Allegheny & Western Energy Corp. 9,300
----------------------------------------------------------------------
2,500 * American Oil & Gas 30,938
----------------------------------------------------------------------
1,000 Aquarion Co. 26,750
----------------------------------------------------------------------
2,200 Associated Natural Gas Corp. 82,775
----------------------------------------------------------------------
1,000 Bangor Hydro Electric Co. 19,875
----------------------------------------------------------------------
2,300 Bay State Gas Co. 72,163
----------------------------------------------------------------------
2,300 Black Hills Corp. 56,063
----------------------------------------------------------------------
800 California Water Service Co. 32,000
----------------------------------------------------------------------
800 Cascade Natural Gas Corp. 21,900
----------------------------------------------------------------------
1,500 * Cellular Communications 36,000
----------------------------------------------------------------------
1,400 * Cellular, Inc. 28,350
----------------------------------------------------------------------
900 * Centennial Cellular, Class A 20,475
----------------------------------------------------------------------
3,000 Central Hudson Gas & Electric Corp. 95,625
----------------------------------------------------------------------
4,000 Central LA Electric Co. 105,500
----------------------------------------------------------------------
1,850 Central VT Public Service Cp 42,781
----------------------------------------------------------------------
3,600 Chesapeake Corp. 79,200
----------------------------------------------------------------------
2,300 Cilcorp, Inc. 91,713
----------------------------------------------------------------------
1,300 Colonial Gas Co. 30,875
----------------------------------------------------------------------
1,900 Commonwealth Energy Systems 91,200
----------------------------------------------------------------------
500 Connecticut Water Service Inc. 14,875
----------------------------------------------------------------------
1,200 Connecticut Energy Corp. 30,150
----------------------------------------------------------------------
1,600 Connecticut Natural Gas Corp. 48,800
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
UTILITIES--CONTINUED
----------------------------------------------------------------------
800 Consumers Water Co. $ 15,200
----------------------------------------------------------------------
1,900 * C TEC Corp. 59,850
----------------------------------------------------------------------
2,100 * DWG Corp., Class A 64,838
----------------------------------------------------------------------
700 E Town 23,100
----------------------------------------------------------------------
3,400 Eastern Utilities Assn. 99,875
----------------------------------------------------------------------
5,300 * El Paso Electric Co. 15,238
----------------------------------------------------------------------
2,200 Empire District Electric Co. 52,525
----------------------------------------------------------------------
300 Energynorth, Inc. 6,600
----------------------------------------------------------------------
700 Green Mountain Power Corp. 24,150
----------------------------------------------------------------------
400 GWC Corp. 7,400
----------------------------------------------------------------------
4,050 Indiana Energy Inc. 92,644
----------------------------------------------------------------------
1,600 Interstate Power Co. 48,400
----------------------------------------------------------------------
800 IWC Resources Corp. 18,600
----------------------------------------------------------------------
2,550 K. N. Energy, Inc. 70,125
----------------------------------------------------------------------
1,300 Laclede Gas Co. 62,725
----------------------------------------------------------------------
6,100 * LDDS Communications, Inc. 306,525
----------------------------------------------------------------------
2,500 Lincoln Telecommunications Co. 100,625
----------------------------------------------------------------------
1,800 Madison Gas & Electric Co. 63,000
----------------------------------------------------------------------
700 Middlesex Water Co. 14,875
----------------------------------------------------------------------
300 Mobile Gas Services Corp. 7,688
----------------------------------------------------------------------
500 National Gas & Oil Co. 8,125
----------------------------------------------------------------------
2,800 New Jersey Resources Corp. 77,000
----------------------------------------------------------------------
1,100 North Carolina Natural Gas Corp. 31,488
----------------------------------------------------------------------
2,200 Northwestern Natural Gas Co. 79,750
----------------------------------------------------------------------
1,300 Northwestern Public Service Co. 38,513
----------------------------------------------------------------------
2,600 * NTN Communications, Inc. 26,000
----------------------------------------------------------------------
1,100 NUI Corp. 31,213
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
UTILITIES--CONTINUED
----------------------------------------------------------------------
1,900 Otter Tail Power Co. $ 64,125
----------------------------------------------------------------------
700 Pennsylvania Enterprises 20,300
----------------------------------------------------------------------
1,200 * Peoples Telephone Co. 15,600
----------------------------------------------------------------------
1,600 Philadelphia Suburban Corp. 31,600
----------------------------------------------------------------------
4,700 Piedmond Nat. Gas Inc. 119,263
----------------------------------------------------------------------
800 Providence Energy Corp. 16,100
----------------------------------------------------------------------
2,700 Public Service Co. N C Inc. 46,575
----------------------------------------------------------------------
7,600 * Public Service Co. Nm 84,550
----------------------------------------------------------------------
4,700 Sierra Pacific Resources 99,875
----------------------------------------------------------------------
400 SJW Corp. 15,150
----------------------------------------------------------------------
1,624 South Jersey Industries, Inc. 40,397
----------------------------------------------------------------------
500 * Southeastern Public Service 11,875
----------------------------------------------------------------------
1,200 Southern California Water Co. 27,300
----------------------------------------------------------------------
2,800 Southern Indiana Gas & Electric Co. 99,400
----------------------------------------------------------------------
1,765 Southeastern Michigan Gas Energy 45,008
----------------------------------------------------------------------
3,500 Southwest Gas Corp. 62,125
----------------------------------------------------------------------
4,600 Southwestern Energy Co. 95,450
----------------------------------------------------------------------
600 St. Joseph Light & Power Co. 21,075
----------------------------------------------------------------------
1,500 * Tanknology Environment, Inc. 6,750
----------------------------------------------------------------------
1,100 * Tejas Gas Corp. 62,975
----------------------------------------------------------------------
1,700 * Thermo Power Corp. 17,213
----------------------------------------------------------------------
1,600 TNP Enterprises, Inc. 27,000
----------------------------------------------------------------------
7,300 Transco Energy Co. 117,713
----------------------------------------------------------------------
27,200 * Tucson Electric Power Co. 115,600
----------------------------------------------------------------------
1,900 * U.S. Long Distance Corp. 39,188
----------------------------------------------------------------------
1,700 United Cities Gas Co. 32,725
----------------------------------------------------------------------
3,500 United Water Resources, Inc. 53,813
----------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ------ ---------------------------------------------------------------------- -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ----------------------------------------------------------------------------------
UTILITIES--CONTINUED
----------------------------------------------------------------------
400 Unitil Corp. $ 8,800
----------------------------------------------------------------------
3,900 Washington Energy Co. 77,513
----------------------------------------------------------------------
2,700 WICOR, Inc. 86,063
----------------------------------------------------------------------
1,800 Yankee Energy Systems, Inc. 51,750
---------------------------------------------------------------------- -----------
Total 4,301,014
---------------------------------------------------------------------- -----------
TOTAL COMMON STOCKS (IDENTIFIED COST $59,950,150) 63,855,269
---------------------------------------------------------------------- -----------
PREFERRED STOCKS--0.7%
- ----------------------------------------------------------------------------------
CONSUMER BASICS--0.0%
----------------------------------------------------------------------
192 * Lynx Therapeutic Inc. Preferred (Series Xxx) A 192
---------------------------------------------------------------------- -----------
REAL ESTATE--0.7%
----------------------------------------------------------------------
3,700 American Health Properties, Inc. 102,675
----------------------------------------------------------------------
1,600 BRE Properties, Inc. 53,200
----------------------------------------------------------------------
2,200 Burnham Pacific Properties, Inc. 43,175
----------------------------------------------------------------------
2,500 Cousins Properties, Inc. 43,125
----------------------------------------------------------------------
1,500 CRI Liquidating REIT, Inc. 14,063
----------------------------------------------------------------------
3,300 First Union Real Estate Equity Rights 37,125
----------------------------------------------------------------------
600 HRE Properties, Inc. 9,000
----------------------------------------------------------------------
4,500 IRT Property Co. 54,000
----------------------------------------------------------------------
1,900 MGI Properties, Inc. 27,313
----------------------------------------------------------------------
6,300 Rockefeller Center Properties, Inc. 41,738
----------------------------------------------------------------------
7,500 United Dominion Realty Trust, Inc. 120,000
---------------------------------------------------------------------- -----------
TOTAL 545,414
---------------------------------------------------------------------- -----------
TOTAL PREFERRED STOCKS (IDENTIFIED COST $545,486) 545,606
---------------------------------------------------------------------- -----------
</TABLE>
MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES
OR
PRINCIPAL
AMOUNT VALUE
- ----------- ------------------------------------------------------------------- -----------
<C> <C> <S> <C>
SHORT-TERM U.S. GOVERNMENT OBLIGATIONS--0.8%
- ------------------------------------------------------------------------------------
$ 50,000 United States Treasury Bill, 2.91%, 12/30/93 $ 248,808
-------------------------------------------------------------------
300,000 United States Treasury Bill, 2.93%, 12/30/93 298,559
-------------------------------------------------------------------
50,000 United States Treasury Bill, 2.94%, 12/23/93 49,788
------------------------------------------------------------------- -----------
TOTAL SHORT-TERM GOVERNMENT OBLIGATIONS (IDENTIFIED COST $597,155) 597,155
------------------------------------------------------------------- -----------
***REPURCHASE AGREEMENT--18.9%
- ------------------------------------------------------------------------------------
$14,395,000 J.P. Morgan Securities, Inc., 2.99%, dated 10/29/93, due 11/1/93
(at amortized cost) (Note 2B) $14,395,000
------------------------------------------------------------------- -----------
TOTAL INVESTMENTS (IDENTIFIED COST $75,487,791) $79,393,030+
------------------------------------------------------------------- -----------
</TABLE>
The following abbreviations are used in this portfolio:
<TABLE>
<S> <C>
REIT-- Real Estate Investment Trust
</TABLE>
* Non-income producing securities.
** Fractional Share.
*** The repurchase agreement is fully collateralized by U.S. government
obligations. The investment in the repurchase agreement is through
participation in a joint account with other Federated Investors funds.
+ The cost for federal tax purposes amounts to $75,487,791. The net unrealized
appreciation of investments on a federal tax basis amounts to $3,905,239,
which is comprised of $7,267,779 appreciation and $3,362,540 depreciation at
October 31, 1993.
Note: The categories of investments are shown as a percentage of net assets
($76,138,965) at October 31, 1993.
(See Notes which are an integral part of the Financial Statements)
MINI-CAP FUND
STATEMENT OF ASSETS AND LIABILITIES
OCTOBER 31, 1993
- --------------------------------------------------------------------------------
<TABLE>
<S> <C> <C>
ASSETS:
- ---------------------------------------------------------------------------------
Investments in repurchase agreement (Note 2B) $14,395,000
- -------------------------------------------------------------------
Investments in securities at value 64,998,030
- ------------------------------------------------------------------- -----------
Total investments at amortized cost and value (Note 2A)
(identified and tax cost $75,487,791) $79,393,030
- ---------------------------------------------------------------------------------
Cash 180,545
- ---------------------------------------------------------------------------------
Receivable for investments sold 8,607,330
- ---------------------------------------------------------------------------------
Receivable for Fund shares sold 264,225
- ---------------------------------------------------------------------------------
Dividends and interest receivable 71,958
- ---------------------------------------------------------------------------------
Receivable for daily variation margin on open futures contracts (Note 2F) 7,655
- ---------------------------------------------------------------------------------
Deferred expenses (Note 2D) 6,616
- --------------------------------------------------------------------------------- -----------
Total assets 88,531,359
- ---------------------------------------------------------------------------------
LIABILITIES:
- -------------------------------------------------------------------
Payable for investments purchased 12,318,972
- -------------------------------------------------------------------
Payable for Fund shares redeemed 3,319
- -------------------------------------------------------------------
Accrued expenses and other liabilities 70,103
- ------------------------------------------------------------------- -----------
Total liabilities 12,392,394
- --------------------------------------------------------------------------------- -----------
NET ASSETS for 6,012,200 shares of beneficial interest outstanding $76,138,965
- --------------------------------------------------------------------------------- -----------
NET ASSETS CONSIST OF:
- ---------------------------------------------------------------------------------
Paid-in capital $67,117,560
- ---------------------------------------------------------------------------------
Net unrealized appreciation on investments and futures contracts (Note 2F) 4,100,653
- ---------------------------------------------------------------------------------
Accumulated undistributed net realized gain on investments and futures contracts
(Note 2F) 4,891,323
- ---------------------------------------------------------------------------------
Undistributed net investment income 29,429
- --------------------------------------------------------------------------------- -----------
Total $76,138,965
- --------------------------------------------------------------------------------- -----------
NET ASSET VALUE, Offering Price and Redemption Price Per Share:
($76,138,965 / 6,012,200 shares of beneficial interest outstanding) $12.66
- --------------------------------------------------------------------------------- -----------
</TABLE>
(See Notes which are an integral part of the Financial Statements)
MINI-CAP FUND
STATEMENT OF OPERATIONS
YEAR ENDED OCTOBER 31, 1993
- --------------------------------------------------------------------------------
<TABLE>
<S> <C> <C> <C>
INVESTMENT INCOME:
- ----------------------------------------------------------------------------------------
INCOME--
- ----------------------------------------------------------------------------------------
Dividends $ 622,873
- ----------------------------------------------------------------------------------------
Interest 230,277
- ---------------------------------------------------------------------------------------- ----------
Total investment income (Note 2G) 853,150
- ----------------------------------------------------------------------------------------
EXPENSES--
- ----------------------------------------------------------------------------------------
Management fee (Note 5) $230,734
- ----------------------------------------------------------------------------
Printing and postage 19,715
- ----------------------------------------------------------------------------
Legal 6,696
- ----------------------------------------------------------------------------
Custodian, transfer and dividend disbursing agent fees and expenses 245,748
- ----------------------------------------------------------------------------
Trustees' fees 2,263
- ----------------------------------------------------------------------------
Auditing fees 12,568
- ----------------------------------------------------------------------------
Fund share registration costs 39,680
- ----------------------------------------------------------------------------
Insurance 5,860
- ----------------------------------------------------------------------------
Taxes 35
- ----------------------------------------------------------------------------
Miscellaneous 2,994
- ---------------------------------------------------------------------------- --------
Total expenses 566,293
- ----------------------------------------------------------------------------
Deduct--
- -----------------------------------------------------------------
Waiver of Management fee (Note 5) $230,734
- -----------------------------------------------------------------
Reimbursement of other operating expenses (Note 5) 163,469 394,203
- ----------------------------------------------------------------- -------- --------
Net expenses 172,090
- ---------------------------------------------------------------------------------------- ----------
Net investment income 681,060
- ---------------------------------------------------------------------------------------- ----------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND FUTURES CONTRACTS:
- ----------------------------------------------------------------------------------------
Net realized gain on investment transactions and futures contracts
(identified cost basis) 4,886,059
- ----------------------------------------------------------------------------------------
Net change in unrealized appreciation on investment transactions and futures contracts 3,911,777
- ------------------------------------------------------------------------------------------------------
Net realized and unrealized gain on investments and futures contracts 8,797,836
- ---------------------------------------------------------------------------------------- ----------
Change in net assets resulting from operations $9,478,896
- ---------------------------------------------------------------------------------------- ----------
</TABLE>
(See Notes which are an integral part of the Financial Statements)
MINI-CAP FUND
STATEMENT OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
YEAR ENDED
OCTOBER 31,
-------------------------
1993 1992*
----------- ----------
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS:
- --------------------------------------------------------------------
OPERATIONS--
- --------------------------------------------------------------------
Net investment income $ 681,060 $ 16,684
- --------------------------------------------------------------------
Net realized gain on investment transactions and futures contracts
($5,086,354 and $384 net gains, respectively, as computed for
federal tax purposes) 4,886,059 5,264
- --------------------------------------------------------------------
Net change in unrealized appreciation on investments and futures
contracts 3,911,777 188,876
- -------------------------------------------------------------------- ----------- ----------
Change in net assets resulting from operations 9,478,896 210,824
- -------------------------------------------------------------------- ----------- ----------
DISTRIBUTIONS TO SHAREHOLDERS (NOTE 3)--
- --------------------------------------------------------------------
Dividends to shareholders from net investment income (661,325) (6,990)
- -------------------------------------------------------------------- ----------- ----------
FUND SHARE (PRINCIPAL) TRANSACTIONS (NOTE 4)--
- --------------------------------------------------------------------
Proceeds from sale of shares 81,602,389 8,129,286
- --------------------------------------------------------------------
Net asset value of shares issued to shareholders electing to receive
payment of dividends in Fund shares 154,900 4,285
- --------------------------------------------------------------------
Cost of shares redeemed (22,187,110) (586,190)
- -------------------------------------------------------------------- ----------- ----------
Change in net assets from Fund share transactions 59,570,179 7,547,381
- -------------------------------------------------------------------- ----------- ----------
Change in net assets 68,387,750 7,751,215
- --------------------------------------------------------------------
NET ASSETS:
- --------------------------------------------------------------------
Beginning of period 7,751,215 --
- -------------------------------------------------------------------- ----------- ----------
End of period (including undistributed net investment income
of $29,429 and $9,694, respectively) $76,138,965 $7,751,215
- -------------------------------------------------------------------- ----------- ----------
</TABLE>
* For the period from August 10, 1992 (commencement of operations) to October
31, 1992.
(See Notes which are an integral part of the Financial Statements)
MINI-CAP FUND
NOTES TO FINANCIAL STATEMENTS
OCTOBER 31, 1993
- --------------------------------------------------------------------------------
(1) ORGANIZATION
Federated Index Trust (the "Trust") is registered under the Investment Company
Act of 1940, as amended, as a diversified, open-end, management investment
company with three portfolios. The financial statements included herein are only
those of Mini-Cap Fund (the "Fund"). 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 Fund in the preparation of its financial statements. The
policies are in conformity with generally accepted accounting principles.
A. INVESTMENT VALUATIONS--Equity portfolio securities listed on the New York
Stock Exchange or any other national securities exchange are valued at the
last sale price or, if there has been no sale on that day, at the mean
between bid and asked prices. Short-term obligations are valued at the mean
between bid and asked prices as furnished by an independent pricing service.
Short-term obligations with maturities of sixty days or less are valued at
amortized cost, which approximates value. All other securities are appraised
at fair value as determined in good faith by the Board of Trustees.
B. REPURCHASE AGREEMENTS--It is the policy of the Trust 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 in support of repurchase agreement
investments. Additionally, procedures have been established by the Trust to
monitor, on a daily basis, the market value of each repurchase agreement's
underlying securities to ensure the existence of a proper level of
collateral.
The Fund will only enter into repurchase agreements with banks and other
recognized financial institutions such as broker/dealers which are deemed by
the Fund's manager to be creditworthy pursuant to guidelines established by
the Trustees. Risks may arise from the potential inability of counterparties
to honor the terms of a repurchase agreement. Accordingly, the Fund could
receive less than the repurchase price on the sale of collateral securities.
C. FEDERAL TAXES--It is the Fund's policy to comply with the provisions of the
Internal Revenue Code applicable to regulated investment companies and to
distribute to shareholders each year all of its taxable income, including any
net realized gains on investments. Accordingly, no provision for federal tax
is necessary.
MINI-CAP FUND
- --------------------------------------------------------------------------------
D. DEFERRED EXPENSES--The costs incurred by the Fund with respect to
registration of its shares in its first fiscal year, excluding the initial
expense of registering the shares, have been deferred and are being amortized
using the straight-line method over a period of five years from the Fund's
commencement date.
E. WHEN-ISSUED AND DELAYED DELIVERY TRANSACTIONS--The Fund may engage in
when-issued or delayed delivery transactions. To the extent the Fund engages
in such transactions, it will do so for the purpose of acquiring portfolio
securities consistent with its investment objectives and policies and not for
the purpose of investment leverage. The Fund will record a when-issued
security and the related liability on the trade date. Until the securities
are received and paid for, the Fund will 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.
F. FUTURES CONTRACTS--Upon entering into a stock index futures contract with a
broker, the Fund is required to deposit in a segregated account an amount
("initial margin") of cash or U.S. government securities approximately equal
to a percentage of the contract value. The Fund agrees to receive from or pay
the broker an amount of cash equal to a specific dollar amount times the
difference between the closing value of the stock index and the price at
which the contract was made. On a daily basis, the value of a stock index
futures contract is determined and any difference between such value and the
original futures contract value is reflected in the "daily variation margin"
account. Daily variation margin adjustments, arising from this "marking to
market" process, are recorded by the Fund as unrealized gains or losses.
The Fund may decide to close its position on a contract at any time prior to
the contract's expiration. When a contract is closed, the Fund recognizes a
realized gain or loss. Risks of entering into futures contracts include the
possibility that there may be an illiquid market and that a change in the
value of the contract may not correlate with changes in the value of the
underlying securities,
G. INCOME--Dividend income is recorded on the ex-dividend date. Interest income
is recorded on the accrual basis. Interest income includes interest, and
discount earned (net of premium) on short-term obligations, and interest
earned on all other debt securities including original issue discount as
required by the Internal Revenue Code. Dividends to shareholders and capital
gain distributions, if any, are recorded on the ex-dividend date.
H. OTHER--Investment transactions are accounted for on the trade date of the
transaction.
(3) DIVIDENDS AND DISTRIBUTIONS
Dividends are declared and paid quarterly to all shareholders invested in the
Fund on the record date. Dividends are paid from the net investment income of
the Fund. Net investment income consists of all dividends or interest received
by the Fund less its expenses. Capital gains realized by the Fund, if any, are
distributed at least once every twelve months.
MINI-CAP FUND
- --------------------------------------------------------------------------------
(4) SHARES OF BENEFICIAL INTEREST
The Declaration of Trust permits the Trustees to issue an unlimited number of
full and fractional shares of beneficial interest (without par value).
Transactions in Fund shares were as follows:
<TABLE>
<CAPTION>
YEAR ENDED OCTOBER
31,
---------------------
1993 1992*
- ----------------------------------------------------------------------- ---------- -------
<S> <C> <C>
Shares outstanding, beginning of period 746,072 --
- -----------------------------------------------------------------------
Shares sold 7,198,018 803,137
- -----------------------------------------------------------------------
Shares issued to shareholders electing to receive payment of dividends
in Fund shares 13,554 422
- -----------------------------------------------------------------------
Shares redeemed (1,945,444) (57,487)
- ----------------------------------------------------------------------- ---------- -------
Shares outstanding, end of period 6,012,200 746,072
- ----------------------------------------------------------------------- ---------- -------
</TABLE>
* The period from August 10, 1992 (commencement of operations) to October 31,
1992.
(5) MANAGEMENT FEE AND OTHER TRANSACTIONS WITH AFFILIATES
Federated Management, the Fund's Manager ("Manager"), receives for its services
an annual management fee equal to .50 of 1% of the Fund's average daily net
assets. Under the Management Contract, which provides for the voluntary waiver
of fee by the Manager, the Manager will voluntarily waive some or all of the
management fee. The Manager can terminate its voluntary waiver of some or all of
its management fee at any time in its sole discretion. For the fiscal year ended
October 31, 1993, the Fund's Manager earned a management fee of $230,734, all of
which was voluntarily waived. In addition, the Manager voluntarily reimbursed
$163,469 of the Fund's other operating expenses.
Organization expenses of $22,217 were borne initially by the Manager. The Fund
has agreed to pay the Manager, at an annual rate .005 of 1% of average daily net
assets for organization expenses until expenses borne by the Manager are
reimbursed. During the year ended October 31, 1993, the Fund paid $2,469
pursuant to this agreement. This commitment will expire five years from the date
the Trust's portfolio became effective.
Certain of the Officers and Trustees of the Fund are Officers and Directors of
the above corporations.
MINI-CAP FUND
- --------------------------------------------------------------------------------
(6) INVESTMENT TRANSACTIONS
Purchases, and sales (excluding short-term obligations) of investments, for the
year ended October 31, 1993, were as follows:
<TABLE>
<S> <C>
- -------------------------------------------------------------------------------
PURCHASES--
- -------------------------------------------------------------------------------
Stocks $70,563,504
- ------------------------------------------------------------------------------- -----------
SALES--
- -------------------------------------------------------------------------------
Stocks $18,945,780
- ------------------------------------------------------------------------------- -----------
</TABLE>
(7) FINANCIAL FUTURES CONTRACTS
At October 31, 1993 open positions in stock index futures contracts were as
follows:
<TABLE>
<CAPTION>
UNREALIZED
EXPIRATION OPEN CONTRACTS POSITION APPRECIATION
- -------------- --------------------------- ---------- ---------------
<S> <C> <C> <C>
December 1993 21 S&P 400 Index Futures Long $ 34,415
December 1993 40 S&P 500 Index Futures Long $161,000
</TABLE>
At October 31, 1993, the Fund has deposited in a segregated account, $400,000 of
U.S. Treasury Bills, to cover margin requirements on open futures contracts.
REPORT OF ERNST & YOUNG, INDEPENDENT AUDITORS
- --------------------------------------------------------------------------------
To the Trustees and Shareholders of
FEDERATED INDEX TRUST:
We have audited the accompanying statement of assets and liabilities, including
the portfolio of investments, of Mini-Cap Fund (a portfolio of Federated Index
Trust), as of October 31, 1993, and the related statement of operations for the
year then ended and the statement of changes in net assets for year-ended
October 31, 1993 and for the period from August 10, 1992 (commencement of
operations) to October 31, 1992, and financial highlights (see page 2 of this
prospectus) for the year ended October 31, 1993 and for the period from August
10, 1992 (commencement of operations) to October 31, 1992. These financial
statements and financial highlights are the responsibility of the Fund's
management. Our responsibility is to express an opinion on these financial
statements and financial highlights based on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements and financial
highlights are free of material misstatement. An audit includes examining, on a
test basis, evidence supporting the amounts and disclosures in the financial
statements. Our procedures included confirmation of securities owned as of
October 31, 1993, by correspondence with the custodian and brokers. An audit
also includes assessing the accounting principles used and significant estimates
made by management, as well as evaluating the overall financial statement
presentation. We believe that our audits provide a reasonable basis for our
opinion.
In our opinion, the financial statements and financial highlights referred to
above present fairly, in all material respects, the financial position of
Mini-Cap Fund of Federated Index Trust at October 31, 1993, the results of its
operations for the year then ended, and the changes in its net assets and
financial highlights for the year then ended and for the period from August 10,
1992 to October 31, 1992, in conformity with generally accepted accounting
principles.
ERNST & YOUNG
Pittsburgh, Pennsylvania
December 10, 1993
ADDRESSES
- --------------------------------------------------------------------------------
<TABLE>
<S> <C> <C>
Mini-Cap Fund Federated Investors Tower
Pittsburgh, Pennsylvania 15222-3779
- --------------------------------------------------------------------------------------------------
Distributor
Federated Securities Corp. Federated Investors Tower
Pittsburgh, Pennsylvania 15222-3779
- --------------------------------------------------------------------------------------------------
Manager
Federated Management Federated Investors Tower
Pittsburgh, Pennsylvania 15222-3779
- --------------------------------------------------------------------------------------------------
Sub-Manager
ANB Investment Management One North LaSalle Street
and Trust Co. Chicago, Illinois 60690
- --------------------------------------------------------------------------------------------------
Custodian
State Street Bank and P.O. Box 8602
Trust Company Boston, Massachusetts 02266-8602
- --------------------------------------------------------------------------------------------------
Transfer Agent and Dividend Disbursing Agent
Federated Services Company Federated Investors Tower
Pittsburgh, Pennsylvania 15222-3779
- --------------------------------------------------------------------------------------------------
Legal Counsel
Houston, Houston & Donnelly 2510 Centre City Tower
Pittsburgh, Pennsylvania 15222
- --------------------------------------------------------------------------------------------------
Legal Counsel
Dickstein, Shapiro & Morin 2101 L Street, N.W.
Washington, D.C. 20037
- --------------------------------------------------------------------------------------------------
Independent Auditors
Ernst & Young One Oxford Centre
Pittsburgh, PA 15219
- --------------------------------------------------------------------------------------------------
</TABLE>
MINI-CAP FUND
(A PORTFOLIO OF FEDERATED INDEX TRUST)
PROSPECTUS
A No-Load, Open-End, Diversified
Management Investment Company
Prospectus dated March 31, 1994
FEDERATED SECURITIES CORP.
(LOGO)
- ---------------------------------------
Distributor
A subsidiary of FEDERATED INVESTORS
FEDERATED INVESTORS TOWER
PITTSBURGH, PA 15222-3779
2062305A (3/94)
MINI-CAP FUND
(A PORTFOLIO OF FEDERATED INDEX TRUST)
STATEMENT OF ADDITIONAL INFORMATION
This Statement of Additional Information should be read with the prospectus of
the Fund dated March 31, 1994.
This Statement is not a prospectus itself. To receive a copy of the prospectus,
write or call the Mini-Cap Fund.
FEDERATED INVESTORS TOWER
PITTSBURGH, PENNSYLVANIA 15222-3779
Statement dated March 31, 1994
FEDERATED SECURITIES CORP.
(LOGO)
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Distributor
2062305B (3/94)
TABLE OF CONTENTS
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GENERAL INFORMATION ABOUT THE FUND 1
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INVESTMENT OBJECTIVE AND POLICIES 1
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Types of Investments 1
When-Issued and Delayed
Delivery Transactions 3
Lending of Portfolio Securities 3
Reverse Repurchase Agreements 3
Portfolio Turnover 3
Investment Limitations 3
TRUST MANAGEMENT 5
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Officers and Trustees 5
Funds 7
Fund Ownership 7
Trustee Liability 8
MANAGEMENT SERVICES 8
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Managers to the Fund 8
Management Fees 8
Other Related Services 8
ADMINISTRATIVE SERVICES 9
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SHAREHOLDER SERVICES PLAN 9
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BROKERAGE TRANSACTIONS 9
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PURCHASING SHARES 9
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Conversion to Federal Funds 9
Exchanging Securities for Fund Shares 9
DETERMINING NET ASSET VALUE 10
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Determining Market Value of Securities 10
REDEEMING SHARES 10
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Redemption in Kind 10
TAX STATUS 10
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The Fund's Tax Status 10
Shareholders' Tax Status 11
Capital Gains 11
TOTAL RETURN 11
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YIELD 11
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PERFORMANCE COMPARISONS 11
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FRANK RUSSELL COMPANY 12
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GENERAL INFORMATION ABOUT THE FUND
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The Mini-Cap Fund (the "Fund") is a portfolio of Federated Index Trust (the
"Trust"), which was established as a Massachusetts business trust under a
Declaration of Trust dated January 30, 1990.
INVESTMENT OBJECTIVE AND POLICIES
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The Fund's investment objective is to provide investment results that correspond
to the aggregate price and dividend performance of the approximately 2,000
publicly traded common stocks that are ranked in terms of capitalization below
the top 1,000 stocks that comprise the large and mid-range capitalization sector
of the United States equity market. These stocks are included in the Russell
2000 Small Stock Index (the "Index"), an index of small capitalization stocks.
The Fund is neither affiliated with nor sponsored by the Frank Russell Company.
Frank Russell's only relationship to the Fund is the licensing of the use of the
Index. Frank Russell Company is the owner of the trademarks and copyrights
relating to the Index.
The investment objective cannot be changed without the approval of shareholders.
The policies described below may be changed by the Board of Trustees
("Trustees") without shareholder approval. Shareholders will be notified before
any material change in these policies becomes effective.
TYPES OF INVESTMENTS
In addition to the common stocks described in the prospectus, the Fund may also
invest in money market instruments and U.S. government obligations and
securities in such proportions as, in the judgment of the sub-manager,
prevailing market conditions warrant.
MONEY MARKET INSTRUMENTS
The Fund may invest in the following money market instruments:
- instruments of domestic banks and savings and loans having capital,
surplus, and undivided profits of over $100,000,000, or if the
principal amount of the instrument is insured in full by the Federal
Deposit Insurance Corporation; and
- prime commercial paper (rated A-1 by Standard and Poor's Corporation,
Prime-1 by Moody's Investors Service, Inc., or F-1 by Fitch Investors
Service).
REPURCHASE AGREEMENTS
The Fund requires its custodian to take possession of the securities
subject to repurchase agreements, and these securities are marked to
market daily. To the extent that the original seller does not repurchase
the securities from the Fund, the Fund could receive less than the
repurchase price on any sale of such securities. In the event that such a
defaulting seller files for bankruptcy or becomes insolvent, disposition
of such securities by the Fund might be delayed pending court action. The
Fund believes that under the regular procedures normally in effect for
custody of the Fund's portfolio securities subject to repurchase
agreements, a court of competent jurisdiction would rule in favor of the
Fund and allow retention or disposition of such securities. The Fund will
only enter into repurchase agreements with banks and other recognized
financial institutions such as broker/ dealers which are deemed by the
Fund's sub-manager to be creditworthy pursuant to guidelines established
by the Trustees.
U.S. GOVERNMENT OBLIGATIONS
The types of U.S. government obligations in which the Fund may invest
generally include direct obligations of the U.S. Treasury (such as U.S.
Treasury bills, notes, and bonds) and obligations issued or guaranteed by
U.S. government agencies or instrumentalities. These securities are
backed by:
- the full faith and credit of the U.S. Treasury;
- the issuer's right to borrow from the U.S. Treasury;
- the discretionary authority of the U.S. government to purchase certain
obligations of agencies or instrumentalities; or
- the credit of the agency or instrumentality issuing the obligations.
Examples of agencies and instrumentalities which may not always receive
financial support from the U.S. government are:
- Federal Land Banks;
- Central Bank for Cooperatives;
- Federal Intermediate Credit Banks;
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- Federal Home Loan Banks;
- Farmers Home Administration; and
- Federal National Mortgage Association.
STOCK INDEX FUTURES AND OPTIONS
The Fund may utilize stock index futures contracts and options on stocks,
stock indices and stock index futures contracts for the purposes of
managing cash flows into and out of the Fund's portfolio and potentially
reducing transactional costs. The Fund may not use stock index futures
contracts and options for speculative purposes.
As a means of reducing fluctuations in the net asset value of shares of
the Fund, the Fund may attempt to hedge all or a portion of its portfolio
through the purchase of listed put options on stocks, stock indices, and
stock index futures contracts. These options will be used as a form of
forward pricing to protect portfolio securities against decreases in
value resulting from market factors such as an anticipated increase in
interest rates. A put option gives the Fund, in return for a premium, the
right to sell the underlying security to the writer (seller) at a
specified price during the term of the option. Put options on stock
indices are similar to put options on stocks except for the delivery
requirements. Instead of giving the Fund the right to make delivery of
stock at a specified price, a put option on a stock index gives the Fund,
as holder, the right to receive an amount of cash upon exercise of the
option.
The Fund may also write covered call options. As the writer of a call
option, the Fund has the obligation upon exercise of the option during
the option period to deliver the underlying security upon payment of the
exercise price.
The Fund may only: (1) buy listed put options on stock indices and stock
index futures contracts; (2) buy listed put options on securities held in
its portfolio; and (3) sell listed call options either on securities held
in its portfolio or on securities which it has the right to obtain
without payment of further consideration (or has segregated cash in the
amount of any such additional consideration). The Fund will maintain its
positions in securities, option rights, and segregated cash subject to
puts and calls until the options are exercised, closed, or expired.
The Fund may also enter into stock index futures contracts. A stock index
futures contract is a bilateral agreement which obligates the seller to
deliver (and the purchaser to take delivery of) an amount of cash equal
to a specific dollar amount times the difference between the value of a
specific stock index at the close of trading of the contract and the
price at which the agreement is originally made. There is no physical
delivery of the stocks constituting the index, and no price is paid upon
entering into a futures contract.
In general, contracts are closed out prior to their expiration. The Fund,
when purchasing or selling a futures contract, will initially be required
to deposit in a segregated account in the broker's name with the Fund's
custodian an amount of cash or U.S. government securities approximately
equal to 5%-10% of the contract value. This amount is known as "initial
margin," and it is subject to change by the exchange or board of trade on
which the contract is traded. Subsequent payments to and from the broker
are made on a daily basis as the price of the index or the securities
underlying the futures contract fluctuates. These payments are known as
"variation margins," and the fluctuation in value of the long and short
positions in the futures contract is a process referred to as "marking to
market." The Fund may decide to close its position on a contract at any
time prior to the contract's expiration. This is accomplished by the Fund
taking an opposite position at the then prevailing price, thereby
terminating its existing position in the contract. Because the initial
margin resembles a performance bond or good faith deposit on the
contract, it is returned to the Fund upon the termination of the
contract, assuming that all contractual obligations have been satisfied.
Therefore, the margin utilized in futures contracts is readily
distinguishable from the margin employed in security transactions, since
the margin employed in futures contracts does not involve the borrowing
of funds to finance the transaction.
RESTRICTIONS ON THE USE OF FUTURES CONTRACTS AND OPTIONS
The Fund will not enter into futures contracts to the extent that,
immediately thereafter, the sum of its initial margin deposits on open
contracts exceeds 5% of the market value of the Fund's total assets.
Further, the Fund will enter into stock index futures contracts only for
bona fide hedging purposes or such other purposes permitted under Part 4
of the regulations promulgated by the Commodity Futures Trading
Commission ("CFTC"). Also, the Fund may not enter into stock index
futures contracts and options to the extent that the value of such
contracts would exceed 20% of the Fund's total net assets and may not
purchase put options to the extent that more than 5% of the value of the
Fund's total assets would be invested in premiums on open put option
positions.
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WHEN-ISSUED AND DELAYED DELIVERY TRANSACTIONS
These transactions are made to secure what is considered to be an advantageous
price and yield for the Fund. Settlement dates may be a month or more after
entering into these transactions, and the market values of the securities
purchased may vary from the purchase prices.
No fees or other expenses, other than normal transaction costs, are incurred.
However, liquid assets of the Fund sufficient to make payment for the securities
to be purchased are segregated at the trade date. These securities are marked to
market daily and are maintained until the transaction is settled. As a matter of
policy, the Fund does not intend to engage in when-issued and delayed delivery
transactions to an extent that would cause the segregation of more than 20% of
the total value of its assets.
LENDING OF PORTFOLIO SECURITIES
The Fund may lend its portfolio securities up to one-third of the value of its
total assets to broker/dealers, banks, or other institutional borrowers of
securities. The Fund will only enter into loan arrangements with broker/dealers,
banks, or other institutions which the sub-manager has determined are
creditworthy under guidelines established by the Trustees and will receive
collateral equal to at least 100% of the value of the securities loaned.
The collateral received when the Fund lends portfolio securities must be valued
daily and, should the market value of the loaned securities increase, the
borrower must furnish additional collateral to the Fund. During the time
portfolio securities are on loan, the borrower pays the Fund any dividends or
interest paid on such securities. Loans are subject to termination at the option
of the Fund or the borrower. The Fund may pay reasonable administrative and
custodial fees in connection with a loan and may pay a negotiated portion of the
interest earned on the cash or equivalent collateral to the borrower or placing
broker. The Fund does not have the right to vote securities on loan, but would
terminate the loan and regain the right to vote if that were considered
important with respect to the investment.
REVERSE REPURCHASE AGREEMENTS
The Fund may also enter into reverse repurchase agreements. A reverse repurchase
transaction is similar to borrowing cash. In a reverse repurchase agreement the
Fund transfers possession of a portfolio instrument to another person, such as a
financial institution, broker, or dealer, in return for a percentage of the
instrument's market value in cash, and agrees that on a stipulated date in the
future the Fund will repurchase the portfolio instrument by remitting the
original consideration plus interest at an agreed upon rate. The use of reverse
repurchase agreements may enable the Fund to avoid selling portfolio instruments
at a time when a sale may be deemed to be disadvantageous, but the ability to
enter into reverse repurchase agreements does not ensure that the Fund will be
able to avoid selling portfolio instruments at a disadvantageous time.
When effecting reverse repurchase agreements, liquid assets of the Fund, in a
dollar amount sufficient to make payment for the obligations to be purchased,
are segregated at the trade date. These securities are marked to market daily
and are maintained until the transaction is settled.
PORTFOLIO TURNOVER
The Fund will not attempt to set or meet a portfolio turnover rate since any
turnover would be incidental to transactions undertaken in an attempt to achieve
the Fund's investment objective. For the fiscal year ended October 31, 1993 and
for the period from August 10, 1992 (commencement of operations) to October 31,
1992, the portfolio turnover rate for the Fund was 48% and 1%, respectively.
INVESTMENT LIMITATIONS
INVESTING IN COMMODITIES
The Fund will not purchase or sell commodities. However, the Fund may
purchase stock index futures contracts and put options on stock indices
and stock index futures contracts to the extent that not more than 5% of
the Fund's total assets are required as initial margin deposit for
futures contracts and not more than 20% of the Fund's total net assets
are invested in futures and options at any time.
SELLING SHORT AND BUYING ON MARGIN
The Fund will not sell any securities short or purchase any securities on
margin, other than in connection with buying stock index futures
contracts and put options on stock index futures contracts, but may
obtain such short-term credits as are necessary for the clearance of
transactions.
LENDING CASH OR SECURITIES
The Fund will not lend any of its assets, except portfolio securities up
to one-third of the value of its total assets. This shall not prevent the
Fund from purchasing or holding U.S. government obligations, money market
instruments, bonds, debentures, notes, certificates of indebtedness or
other debt securities, entering into
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repurchase agreements, or engaging in other transactions where permitted
by the Fund's investment objective and policies and Declaration of Trust
of the Trust.
UNDERWRITING
The Fund will not underwrite any issue of securities, except as it may be
deemed to be an underwriter under the Securities Act of 1933 in
connection with the sale of restricted securities which the Fund may
purchase pursuant to its investment objective, policies, and limitations.
ISSUING SENIOR SECURITIES AND BORROWING MONEY
The Fund will not issue senior securities, except that the Fund may
borrow money and engage in reverse repurchase agreements in amounts up to
one-third of the value of its total assets, including the amounts
borrowed. The Fund will not borrow money or engage in reverse repurchase
agreements for investment leverage, but rather as a temporary,
extraordinary, or emergency measure or to facilitate management of the
portfolio by enabling the Fund to meet redemption requests when the
liquidation of portfolio securities is deemed to be inconvenient or
disadvantageous. The Fund will not purchase any securities while
borrowings in excess of 5% of its total assets are outstanding. During
the period any reverse repurchase agreements are outstanding, but only to
the extent necessary to assure completion of the reverse repurchase
agreements, the Fund will restrict the purchase of portfolio instruments
to money market instruments maturing on or before the expiration date of
the reverse repurchase agreements.
PLEDGING ASSETS
The Fund will not mortgage, pledge, or hypothecate any assets except to
secure permitted borrowings. In those cases, it may pledge assets having
a market value not exceeding the lesser of the dollar amounts borrowed or
10% of the value of total assets at the time of the borrowing.
DIVERSIFICATION OF INVESTMENTS
The Fund will not invest more than 5% of the value of its total assets in
the securities of any one issuer, except U.S. government securities, or
invest in more than 10% of the voting securities of any one issuer.
CONCENTRATION OF INVESTMENTS
The Fund will not invest 25% or more of the value of its total assets in
securities of companies in any one industry. However, investing in U.S.
government obligations shall not be considered investing in any one
industry.
INVESTING IN REAL ESTATE
The Fund will not buy or sell real estate, including partnership
interests in real estate, although it may invest in securities of
companies whose business involves the purchase or sale of real estate or
in securities which are secured by real estate or interests in real
estate.
INVESTING IN RESTRICTED SECURITIES
To comply with requirements of a particular state, the Fund will limit
its investment in restricted securities to 5% of the value of its total
assets in securities subject to restrictions on resale under the Security
Act of 1933.
The above investment limitations cannot be changed without shareholder approval.
The following investment limitations, however, may be changed by the Trustees
without shareholder approval. Shareholders will be notified before any material
change in these policies becomes effective.
INVESTING IN NEW ISSUERS
The Fund will not invest more than 5% of the value of its total assets in
securities of issuers which have records of less than three years of
operating history, including the operation of any predecessor.
INVESTING IN ISSUERS WHOSE SECURITIES ARE OWNED BY OFFICERS AND TRUSTEES OF
THE TRUST
The Fund will not purchase or retain the securities of any issuer if the
Officers and Trustees of the Trust or the Fund's manager or sub-manager
owning individually more than 1/2 of 1% of the issuer's securities
together own more than 5% of the issuer's securities.
WRITING COVERED CALL OPTIONS
The Fund will not write call options on securities unless the securities
are held in the Fund's portfolio or unless the Fund is entitled to them
in deliverable form without further payment or after segregating cash in
the amount of any further payment.
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INVESTING IN PUT OPTIONS
The Fund will not purchase put options on securities, other than put
options on stock, stock indices and stock index futures contracts, unless
the securities are held in the Fund's portfolio and not more than 5% of
the value of the Fund's total assets would be invested in premiums on
open put option positions and not more than 20% of the Fund's total net
assets are invested in put options and future contracts at any time.
INVESTING IN MINERALS
The Fund will not purchase interests in oil, gas, or other mineral
exploration or development programs or leases, although it may purchase
the securities of issuers which invest in or sponsor such programs.
ACQUIRING SECURITIES
The Fund will not purchase securities of other investment companies
except to the extent permitted by the Investment Company Act of 1940, or
except as part of a merger, consolidation, or other acquisition. It will
not invest in securities for the purpose of exercising control or
management.
INVESTING IN ILLIQUID SECURITIES
The Fund will not invest more than 15% of its net assets in securities
which are illiquid, including certain restricted securities and
repurchase agreements providing for settlement more than seven days after
notice.
INVESTING IN WARRANTS
The Fund will not invest in warrants.
Except with respect to borrowing money, if a percentage limitation is adhered to
at the time of investment, a later increase or decrease in percentage resulting
from any change in value or net assets will not result in a violation of such
restriction.
The Fund does not expect to borrow money or pledge securities in excess of 5% of
the value of its net assets during the coming fiscal year.
TRUST MANAGEMENT
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OFFICERS AND TRUSTEES
Officers and Trustees are listed with their addresses, principal occupations,
and present positions, including any affiliation with Federated Investors,
Federated Management, Federated Securities Corp., and Federated Administrative
Services.
<TABLE>
<CAPTION>
POSITIONS WITH PRINCIPAL OCCUPATIONS
NAME AND ADDRESS THE TRUST DURING PAST FIVE YEARS
<S> <C> <C> <C>
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John F. Donahue+* Chairman Chairman and Trustee, Federated Investors; Chairman and Trustee, Federated
Federated Investors and Trustee Advisers, Federated Management, and Federated Research; Director, AEtna Life
Tower and Casualty Company; Chief Executive Officer and Director, Trustee, or
Pittsburgh, PA Managing General Partner of the Funds; formerly, Director, The Standard Fire
Insurance Company. Mr. Donahue is the father of J. Christopher Donahue, Vice
President and Trustee of the Trust.
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John T. Conroy, Jr. Trustee President, Investment Properties Corporation; Senior Vice-President, John R.
Wood/IPC Commercial Wood and Associates, Inc., Realtors; President, Northgate Village
Department Development Corporation; General Partner or Trustee in private real estate
John R. Wood and ventures in Southwest Florida; Director, Trustee, or Managing General
Associates, Inc., Realtors Partner of the Funds; formerly, President, Naples Property Management, Inc.
3255 Tamiami Trail North
Naples, FL
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William J. Copeland Trustee Director and Member of the Executive Committee, Michael Baker, Inc.;
One PNC Plaza Director, Trustee, or Managing General Partner of the Funds; formerly, Vice
23rd Floor Chairman, and Director, PNC Bank, N.A., and PNC Bank Corp. and Director,
Pittsburgh, PA Ryan Homes, Inc.
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</TABLE>
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<TABLE>
<CAPTION>
POSITIONS WITH PRINCIPAL OCCUPATIONS
NAME AND ADDRESS THE TRUST DURING PAST FIVE YEARS
<S> <C> <C> <C>
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J. Christopher Donahue* Vice President President and Trustee, Federated Investors; Trustee, Federated Advisers,
Federated Investors and Trustee Federated Management, and Federated Research; President and Director,
Tower Federated Administrative Services; Trustee, Federated Services Company;
Pittsburgh, PA President or Vice President of the Funds; Director, Trustee or Managing
General Partner of some of the Funds. Mr. Donahue is the son of John F.
Donahue, Chairman and Trustee of the Trust.
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James E. Dowd Trustee Attorney-at-law; Director, The Emerging Germany Fund, Inc.; Director,
571 Hayward Mill Road Trustee, or Managing General Partner of the Funds; formerly, Director, Blue
Concord, MA. Cross of Massachusetts, Inc.
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Lawrence D. Ellis, M.D. Trustee Hematologist, Oncologist, and Internist, Presbyterian and Montefiore
3471 Fifth Avenue Hospitals; Clinical Professor of Medicine and Trustee, University of
Suite 1111 Pittsburgh; Director, Trustee, or Managing General Partner of the Funds.
Pittsburgh, PA
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Edward L. Flaherty, Jr.+ Trustee Attorney-at-law; Partner, Meyer and Flaherty; Director, Eat'N Park
5916 Penn Mall Restaurants, Inc., and Statewide Settlement Agency, Inc.; Director, Trustee,
Pittsburgh, PA or Managing General Partner of the Funds; formerly, Counsel, Horizon
Financial, F.A., Western Region.
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Peter E. Madden Trustee Consultant; State Representative, Commonwealth of Massachusetts; Director,
225 Franklin Street Trustee, or Managing General Partner of the Funds; formerly, President,
Boston, MA State Street Bank and Trust Company and State Street Boston Corporation and
Trustee, Lahey Clinic Foundation, Inc.
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Gregor F. Meyer Trustee Attorney-at-law; Partner, Meyer and Flaherty; Chairman, Meritcare, Inc.;
5916 Penn Mall Director, Eat'N Park Restaurants, Inc.; Director, Trustee, or Managing
Pittsburgh, PA General Partner of the Funds; formerly, Vice Chairman, Horizon Financial,
F.A.
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Wesley W. Posvar Trustee Professor, Foreign Policy and Management Consultant; Trustee, Carnegie
1202 Cathedral of Endowment for International Peace, RAND Corporation; Online Computer Library
Learning Center, Inc., and U.S. Space Foundation; Chairman, Czecho Slovak Management
University of Pittsburgh Center; Director, Trustee, or Managing General Partner of the Funds;
Pittsburgh, PA President Emeritus, University of Pittsburgh, formerly, Chairman, National
Advisory Council for Environmental Policy and Technology.
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Marjorie P. Smuts Trustee Public relations/marketing consultant; Director, Trustee, or Managing
4905 Bayard Street General Partner of the Funds.
Pittsburgh, PA
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Glen R. Johnson President Trustee, Federated Investors; President and/or Trustee of some of the Funds;
Federated Investors staff member, Federated Securities Corp., Federated Administrative Services
Tower and Federated Administrative Services.
Pittsburgh, PA
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Richard B. Fisher Vice President Executive Vice President and Trustee, Federated Investors; Chairman and
Federated Investors Director, Federated Securities Corp.; President or Vice President of the
Tower Funds; Director or Trustee of some of the Funds.
Pittsburgh, PA
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</TABLE>
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<TABLE>
<CAPTION>
POSITIONS WITH PRINCIPAL OCCUPATIONS
NAME AND ADDRESS THE TRUST DURING PAST FIVE YEARS
<S> <C> <C> <C>
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Edward C. Gonzales Vice President Vice President, Treasurer and Trustee, Federated Investors; Vice President
Federated Investors and Treasurer and Treasurer, Federated Advisers, Federated Management, and Federated
Tower Research; Executive Vice President, Treasurer, and Director, Federated
Pittsburgh, PA Securities Corp.; Chairman, Treasurer, and Director, Federated
Administrative Services; Trustee or Director of some of the Funds; Vice
President and Treasurer of the Funds.
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John W. McGonigle Vice President Vice President, Secretary, General Counsel, and Trustee, Federated
Federated Investors and Secretary Investors; Vice President, Secretary and Trustee, Federated Advisers,
Tower Federated Management, and Federated Research; Executive Vice President,
Pittsburgh, PA Secretary, and Director, Federated Administrative Services; Director and
Executive Vice President, Federated Securities Corp.; Vice President and
Secretary of the Funds.
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John A. Staley, IV Vice President Vice President and Trustee, Federated Investors; Executive Vice President,
Federated Investors Federated Securities Corp.; President and Trustee, Federated Advisers,
Tower Federated Management, and Federated Research; Vice President of the Funds;
Pittsburgh, PA Director, Trustee, or Managing General Partner of some of the Funds;
formerly, Vice President, The Standard Fire Insurance Company and President
of its Federated Research Division.
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</TABLE>
* This Trustee is deemed to be an "interested person" of the Fund or the Trust
as defined in the Investment Company Act of 1940.
+ Members of the Trust's Executive Committee. The Executive Committee of the
Board of Trustees handles the responsibilities of the Board of Trustees
between meetings of the Board.
THE FUNDS
"The Funds" and "Funds" mean the following investment companies: A.T. Ohio
Municipal Money Fund; American Leaders Fund, Inc.; Annuity Management Series;
Automated Cash Management Trust; Automated Government Money Trust; The Boulevard
Funds; California Municipal Cash Trust; Cash Trust Series II; Cash Trust Series,
Inc.; DG Investor Series; Edward D. Jones & Co. Daily Passport Cash Trust; FT
Series, Inc.; Federated ARMs Fund; Federated Exchange Fund, Ltd.; Federated GNMA
Trust; Federated Government Trust; Federated Growth Trust; Federated High Yield
Trust; Federated Income Securities Trust; Federated Income Trust; Federated
Index Trust; Federated Intermediate Government Trust; Federated Master Trust;
Federated Municipal Trust; Federated Short-Intermediate Government Trust;
Federated Short-Term U.S. Government Trust; Federated Stock Trust; Federated
Tax-Free Trust; Federated U.S. Government Bond Fund; First Priority Funds; Fixed
Income Securities, Inc.; Fortress Adjustable Rate U.S. Government Fund, Inc.;
Fortress Municipal Income Fund, Inc.; Fortress Utility Fund, Inc.; Fund for U.S.
Government Securities, Inc.; Government Income Securities, Inc.; High Yield Cash
Trust; Insight Institutional Series, Inc.; Insurance Management Series;
Intermediate Municipal Trust; Investment Series Funds, Inc.; Investment Series
Trust; Liberty Equity Income Fund, Inc.; Liberty High Income Bond Fund, Inc.;
Liberty Municipal Securities Fund, Inc.; Liberty U.S. Government Money Market
Trust; Liberty Utility Fund, Inc.; Liberty Term Trust, Inc.-1999; Liberty U.S.
Government Money Market Trust; Liberty Utility Fund, Inc.; Liquid Cash Trust;
Managed Series Trust; Mark Twain Funds; Money Market Management, Inc.; Money
Market Obligations Trust; Money Market Trust; Municipal Securities Income Trust;
New York Municipal Cash Trust; 111 Corcoran Funds; Peachtree Funds; The Planters
Funds; Portage Funds; RIMCO Monument Funds; The Shawmut Funds; Short-Term
Municipal Trust; Signet Select Funds; Star Funds; The Starburst Funds; The
Starburst Funds II; Stock and Bond Fund, Inc.; Sunburst Funds; Targeted Duration
Trust; Tax-Free Instruments Trust; Trademark Funds; Trust for Financial
Institutions; Trust For Government Cash Reserves; Trust for Short-Term U.S.
Government Securities; Trust for U.S. Treasury Obligations.
FUND OWNERSHIP
Officers and Trustees own less than 1% of the Fund's outstanding shares.
As of November 29, 1993, the following shareholders of record owned 5% or more
of the outstanding shares of the Fund: Citizens Trust Co., Providence, Rhode
Island, owned approximately 610,124 shares (9.6%), JATO, Minneapolis,
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Minnesota, owned approximately 517,456 shares (8.1%); and Bozworth Company,
Little Rock, Arkansas, owned approximately 1,027,044 shares (16.2%).
TRUSTEE LIABILITY
The Trust's Declaration of Trust provides that the Trustees will not be liable
for errors of judgment or mistakes of fact or law. However, they are not
protected against any liability to which they would otherwise be subject by
reason of willful misfeasance, bad faith, gross negligence, or reckless
disregard of the duties involved in the conduct of their office.
MANAGEMENT SERVICES
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MANAGERS TO THE FUND
The Fund's Manager is Federated Management. It is a subsidiary of Federated
Investors. All the voting securities of Federated Investors are owned by a
trust, the trustees of which are John F. Donahue, his wife, and his son, J.
Christopher Donahue. John F. Donahue is Chairman and Trustee of Federated
Management, Chairman and Trustee of Federated Investors and Chairman and Trustee
of the Trust. John A. Staley, IV is President and Trustee of Federated
Management, Vice President and Trustee of Federated Investors, Executive Vice
President of Federated Securities Corp., and Vice President of the Trust. J.
Christopher Donahue, Trustee of Federated Management, is President and Trustee
of Federated Investors, President and Director of Federated Administrative
Services, Inc., and Vice President and Trustee of the Trust. John W. McGonigle,
Vice President, Secretary and Trustee of Federated Management, is Trustee, Vice
President, Secretary, and General Counsel of Federated Investors, Executive Vice
President, Secretary, and Director of Federated Administrative Services,
Director and Executive Vice President of Federated Securities Corp. and Vice
President and Secretary of the Trust.
The Fund's sub-manager is ANB Investment Management and Trust Company ("ANB").
It is a wholly-owned subsidiary of American National Bank and Trust Company of
Chicago. American National Bank and Trust Company of Chicago is a wholly-owned
subsidiary of American National Corporation, which, in turn, is a wholly-owned
subsidiary of First Chicago Corporation. The sub-manager's directors are John R.
Tilton, Thomas P. Michaels, Olivia C. Martinez, Stephen P. Manus, Neil R.
Wright, Peter J. Kartalia, and Ronald J. Grayheck. The officers of ANB are John
R. Tilton, President and Chief Investment Officer, and Thomas P. Michaels,
Secretary, Treasurer, and Legal Counsel.
Neither the manager nor the sub-manager shall be liable to the Trust, the Fund,
or any shareholder of the Fund for any losses that may be sustained in the
purchase, holding, or sale of any security or for anything done or omitted by
the manager or sub-manager, except acts or omissions involving willful
misfeasance, bad faith, gross negligence, or reckless disregard of the duties
imposed upon either of them by their respective contracts.
MANAGEMENT FEES
For their management services, Federated Management receives an annual fee as
described in the prospectus. ANB receives an annual fee for its services, which
will be paid by the manager, as described in the prospectus.
For the fiscal year ended October 31, 1993 and for the period from August 10,
1992 (commencement of operations) to October 31, 1992 the manager earned
$230,734, and $4,073 all of which was voluntarily waived due to undertaking to
limit the funds expenses.
STATE EXPENSE LIMITATIONS
The Manager has undertaken to comply with the expense limitation
established by certain states for investment companies whose shares are
registered for sale in those states. If the Fund's normal operating
expenses (including the management fee, but not including brokerage
commissions, interest, taxes, and extraordinary expenses) exceed 2 1/2%
per year of the first $30 million of average net assets, 2% per year of
the next $70 million of average net assets, and 1 1/2% per year of the
remaining average net assets, the Manager will reimburse the Fund for its
expenses over the limitation.
If the Fund's monthly projected operating expenses exceed this expense
limitation, the management fee paid will be reduced by the amount of the
excess, subject to an annual adjustment. If the expense limitation is
exceeded, the amount to be reimbursed by the Manager will be limited, in
any single fiscal year, by the amount of the management fee.
This arrangement is not part of the Management Contract and may be
amended or rescinded in the future.
OTHER RELATED SERVICES
Affiliates of the manager may, from time to time, provide certain electronic
equipment and software to institutional customers in order to facilitate the
purchase of shares of funds offered by Federated Securities Corp.
ADMINISTRATIVE SERVICES
- --------------------------------------------------------------------------------
Federated Administrative Services, Inc., a subsidiary of Federated Investors,
provides administrative personnel and services to the Fund at approximate cost
through an agreement with the Fund's manager. John A. Staley, IV, an officer of
the Trust, and Dr. Henry J. Gailliot, an officer of Federated Management, the
adviser to the Fund, each hold approximately 15% and 20%, respectively, of the
outstanding common stock and serve as directors of Commercial Data Services,
Inc., a company which provides computer processing services to Federated
Administrative Services, Inc. For the fiscal years ended October 31, 1993, and
1992, Federated Administrative Services, Inc. paid approximately $165,431 and
$189,941 for services provided by Commercial Data Services, Inc.
SHAREHOLDER SERVICES PLAN
- --------------------------------------------------------------------------------
This arrangement permits the payment of fees to Federated Shareholder Services
and, indirectly, to Financial Institutions to cause services to be provided to
shareholders by a representative who has knowledge of the shareholder's
particular circumstances and goals. These activities and services may include,
but are not limited to, providing office space, equipment, telephone facilities,
and various clerical, supervisory, computer, and other personnel as necessary or
beneficial to establish and maintain shareholder accounts and records;
processing purchase and redemption transactions and automatic investments of
client account cash balances; answering routine client inquiries; and assisting
clients in changing dividend options, account designations, and addresses.
BROKERAGE TRANSACTIONS
- --------------------------------------------------------------------------------
The managers may select brokers and dealers who offer brokerage and research
services. These services may be furnished directly to the Fund or to the
Managers and may include:
- - advice as to the advisability of investing in securities;
- - security analysis and reports;
- - economic studies;
- - industry studies;
- - receipt of quotations for portfolio evaluations; and
- - similar services.
The Managers and their affiliates exercise reasonable business judgment in
selecting brokers who offer brokerage and research services to execute
securities transactions. They determine in good faith that commissions charged
by such persons are reasonable in relationship to the value of the brokerage and
research services provided.
Research services provided by brokers and dealers may be used by the Managers or
by affiliates of Federated Investors in advising Federated Funds and other
accounts. To the extent that receipt of these services may supplant services for
which the Managers or their affiliates might otherwise have paid, it would tend
to reduce their expenses.
For the fiscal year ended October 31, 1993, and for the period from August 10,
1992 (commencement of operations) to October 31, 1992, the Fund paid $165,152,
and $11,504 in commissions on brokerage transactions.
PURCHASING SHARES
- --------------------------------------------------------------------------------
Shares are sold at their net asset value without a sales charge on days the New
York Stock Exchange is open for business. The procedure for purchasing shares of
the Fund is explained in the prospectus under "Investing in the Fund."
CONVERSION TO FEDERAL FUNDS
It is the Fund's policy to be as fully invested as possible so that maximum
interest may be earned. To this end, all payments from shareholders must be in
federal funds or be converted into federal funds. State Street Bank acts as the
shareholder's agent in depositing checks and converting them to federal funds.
EXCHANGING SECURITIES FOR FUND SHARES
Investors may exchange securities they already own for Fund shares, or they may
exchange a combination of securities and cash for Fund shares. Any securities to
be exchanged must meet the investment objective and policies of the Fund, must
have a readily ascertainable market value, must be liquid, and must not be
subject to restrictions on resale. An investor should forward the securities in
negotiable form with an authorized letter of transmittal to Federated Securities
Corp. The Fund will notify the investor of its acceptance and valuation of the
securities within five business days of their receipt by State Street Bank.
The Fund values such securities in the same manner as the Fund values its
assets. The basis of the exchange will depend upon the net asset value of Fund
shares on the day the securities are valued. One share of the Fund will be
issued for each equivalent amount of securities accepted.
- --------------------------------------------------------------------------------
Any interest earned on the securities prior to the exchange will be considered
in valuing the securities. All interest, dividends, subscription, conversion, or
other rights attached to the securities become the property of the Fund, along
with the securities.
TAX CONSEQUENCES
Exercise of this exchange privilege is treated as a sale for federal
income tax purposes. Depending upon the cost basis of the securities
exchanged for Fund shares, a gain or loss may be realized by the
investor.
DETERMINING NET ASSET VALUE
- --------------------------------------------------------------------------------
Net asset value generally changes each day. The days on which net asset value is
calculated by the Fund are described in the prospectus.
DETERMINING MARKET VALUE OF SECURITIES
Market values of the Fund's portfolio securities are determined as follows:
- - for equity securities, according to the last sale price on a national
securities exchange, if available;
- - in the absence of recorded sales for equity securities, according to the mean
between the last closing bid and asked prices; if no bid or asked prices are
available on a given date, the security will be valued at the same price as
its price on its most recent trade date;
- - for bonds and other fixed income securities, at the last sale price on a
national securities exchange if available, otherwise as determined by an
independent pricing service;
- - for short-term obligations, according to the mean between bid and asked prices
as furnished by an independent pricing service or for short-term obligations
with remaining maturities of less than 60 days or less at the time of purchase
at amortized cost; or
- - for all other securities, at fair value as determined in good faith by the
Trustees.
Prices provided by independent pricing services may be determined without
relying exclusively on quoted prices and may reflect: institutional trading in
similar groups of securities, yield, quality, coupon rate, maturity, type of
issue, trading characteristics, and other market data.
The Fund will value stock index futures contracts and options on stocks, stock
indices and stock index futures contracts at their market values established by
the exchanges at the close of option trading on such exchanges unless the
Trustees determine in good faith that another method of valuing option positions
is necessary to appraise their fair value.
REDEEMING SHARES
- --------------------------------------------------------------------------------
The Fund redeems shares at the next computed net asset value after State Street
Bank receives the redemption request. Redemption procedures are explained in the
prospectus under "Redeeming Shares."
REDEMPTION IN KIND
Although the Fund intends to redeem shares in cash, it reserves the right under
certain circumstances to pay the redemption price in whole or in part with
securities from the Fund's portfolio.
Such securities will be valued with the same valuation techniques employed in
determining net asset value, and the securities will be selected in a manner the
Trustees determine to be fair and equitable.
The Fund has elected to be governed by Rule 18f-1 of the Investment Company Act
of 1940 under which the Fund will redeem shares for any one shareholder in cash
up to the lesser of $250,000 or 1% of the Fund's net asset value during any
90-day period.
TAX STATUS
- --------------------------------------------------------------------------------
THE FUND'S TAX STATUS
The Fund will pay no federal income tax because the Fund expects to meet the
requirements of Subchapter M of the Internal Revenue Code applicable to
regulated investment companies and to receive the special tax treatment afforded
to such companies. To qualify for this treatment, the Fund must, among other
requirements:
- - derive at least 90% of its gross income from dividends, interest, and gains
from the sale of securities;
- - derive less than 30% of its gross income from the sale of securities held less
than three months;
- - invest in securities within certain statutory limits; and
- - distribute to its shareholders at least 90% of its net income earned during
the year.
- --------------------------------------------------------------------------------
SHAREHOLDERS' TAX STATUS
Shareholders are subject to federal income tax on dividends received as cash or
additional shares. No portion of any income dividend paid by the Fund is
eligible for the dividends received deduction available to corporations. These
dividends, and any short-term capital gains, are taxable as ordinary income.
CAPITAL GAINS
Shareholders will pay federal tax at capital gains rates on long-term
capital gains distributed to them regardless of how long they have held
the Fund shares.
TOTAL RETURN
- --------------------------------------------------------------------------------
The Fund's average annual total return for the one-year period ended October 31,
1993, and for the period from September 16, 1992 (the effective date of the
Fund's registration statement) to October 31, 1993, was 23.73% and 24.50%,
respectively.
The average annual total return for the Trust is the average compounded rate of
return for a given period that would equate a $1,000 initial investment to the
ending redeemable value of that investment. The ending redeemable value is
computed by multiplying the number of shares owned at the end of the period by
the offering price per share at the end of the period. The number of shares
owned at the end of the period is based on the number of shares purchased at the
beginning of the period with $1,000, adjusted over the period by any additional
shares, assuming the monthly/ quarterly reinvestment of all dividends and
distributions.
YIELD
- --------------------------------------------------------------------------------
The Fund's yield for the thirty-day period ended October 31, 1993 was 1.14%.
The yield for the Fund is determined by dividing the net investment income per
share (as defined by the Securities and Exchange Commission) earned by the Fund
over a thirty-day period by the offering price per share of the Fund on the last
day of the period. This value is annualized using semi-annual compounding. This
means that the amount of income generated during the thirty-day period is
assumed to be generated each month over a twelve month period and is reinvested
every six months. The yield does not necessarily reflect income actually earned
by the Fund because of certain adjustments required by the Securities and
Exchange Commission and, therefore, may not correlate to the dividends or other
distributions paid to shareholders.
To the extent that financial institutions and broker/dealers charge fees in
connection with services provided in conjunction with an investment in the Fund,
performance will be reduced for those shareholders paying those fees.
PERFORMANCE COMPARISONS
- --------------------------------------------------------------------------------
The Fund's performance depends upon such variables as:
- - portfolio quality;
- - average portfolio maturity;
- - type of instruments in which the portfolio is invested;
- - changes in interest rates and market value of portfolio securities;
- - changes in Fund expenses;
- - the relative amount of Fund cash flow; and
- - various other factors.
Investors may use financial publications and/or indices to obtain a more
complete view of the Fund's performance. When comparing performance investors
should consider all relevant factors such as the composition of any index used,
prevailing market conditions, portfolio compositions of other funds, and methods
used to value portfolio securities and compute offering price. The financial
publications and/or indices which the Fund uses in advertising may include:
- - LIPPER ANALYTICAL SERVICES, INC. ranks funds in various fund categories by
making comparative calculations using total return. Total return assumes the
reinvestment of all capital gains distributions and income dividends and takes
into account any change in offering price over a specific period of time. From
time to time, the Fund will quote its Lipper ranking in the "index funds"
category in advertising and sales literature.
- - RUSSELL 2000 INDEX--is a broadly diversified index consisting of approximately
2,000 small capitalization common stocks that can be used to compare to the
total returns of funds whose portfolios are invested primarily in small
capitalization common stocks.
- --------------------------------------------------------------------------------
- - STANDARD & POOR'S DAILY STOCK PRICE INDEX OF 500 COMMON STOCKS--is a composite
index of common stocks in industry, transportation, and financial and public
utility companies that can be used to compare to the total returns of funds
whose portfolios are invested primarily in common stocks. In addition, the
Standard & Poor's index assumes reinvestments of all dividends paid by stocks
listed on its index. Taxes due on any of these distributions are not included,
nor are brokerage or other fees calculated in Standard & Poor's figures.
- - WILSHIRE 5000 EQUITY INDEXES--consists of nearly 5,000 common equity
securities, covering all stocks in the U.S. for which daily pricing is
available, and can be used to compare to the total returns of funds whose
portfolios are invested primarily in common stocks.
- - MORNINGSTAR, INC., an independent rating service, is the publisher of the
bi-weekly Mutual Fund Values. Mutual Fund Values rates more than 1,000
NASDAQ-listed mutual funds of all types, according to their risk-adjusted
returns. The maximum rating is five stars, and ratings are effective for two
weeks.
Advertisements and other sales literature for the Fund may quote total returns
which are calculated on nonstandardized base periods. These total returns also
represent the historic change in the value of an investment in the Fund based on
quarterly reinvestment of dividends over a specified period of time.
FRANK RUSSELL COMPANY
- --------------------------------------------------------------------------------
Frank Russell Company reserves the right, at any time and without notice, to
alter, amend, terminate or in any way change its Index. Frank Russell Company
has no obligation to take the needs of any particular fund or its participants
or any other product or person into consideration in determining, composing or
calculating the index.
Frank Russell Company's publication of the Index in no way suggests or implies
an opinion by Frank Russell Company as to the attractiveness or appropriateness
of investment in any or all securities upon which the Index is based. FRANK
RUSSELL COMPANY MAKES NO REPRESENTATION, WARRANTY, OR GUARANTEE AS TO THE
ACCURACY, COMPLETENESS, RELIABILITY, OR OTHERWISE OF THE INDEX OR ANY DATA
INCLUDED IN THE INDEX. FRANK RUSSELL COMPANY MAKES NO REPRESENTATION OR WARRANTY
REGARDING THE USE OR THE RESULTS OF USE, OF THE INDEX OR ANY DATA INCLUDED
THEREIN, OR ANY SECURITY (OR COMBINATION THEREOF) COMPRISING THE INDEX. FRANK
RUSSELL COMPANY MAKES NO OTHER EXPRESS OR IMPLIED WARRANTY, AND EXPRESSLY
DISCLAIMS ANY WARRANTY, OF ANY KIND, INCLUDING, WITHOUT MEANS OF LIMITATION, ANY
WARRANTY OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE WITH RESPECT TO
THE INDEX OR ANY DATA OR ANY SECURITY (OR COMBINATION THEREOF) INCLUDED THEREIN.
2062305B (3/94)
