- --------------------------------------------------------------------------------
FEDERATED
- --------------------------------------------------------------------------------
MAX-CAP
- --------------------------------------------------------------------------------
FUND
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
SEMI-ANNUAL REPORT
TO SHAREHOLDERS
APRIL 30, 1995
FEDERATED SECURITIES CORP.
(LOGO)
- ---------------------------------------------
Distributor
A subsidiary of FEDERATED INVESTORS
FEDERATED INVESTORS TOWER
PITTSBURGH, PA 15222-3779
31420E106
31420E403
2052905 (6/95)
PRESIDENT'S MESSAGE
- --------------------------------------------------------------------------------
Dear Shareholder:
I am pleased to present the Semi-Annual Report to Shareholders of Federated
Max-Cap Fund for the six-month period ended April 30, 1995. This report includes
our investment review as well as the financial statements, which contain a
listing of the fund's portfolio of investments.
Federated Max-Cap Fund seeks performance that tracks that of the Standard &
Poor's 500 Index* (the S&P 500), which consists of 500 common stocks issued by
the nation's largest companies. The S&P 500 includes industrial, financial,
transportation, and public utilities stocks. Stocks in Federated Max-Cap Fund
are weighted in the same proportions as stocks that comprise the S&P 500.
The fund's net assets increased from $452.4 million on October 31, 1994 to
$585.8 million on April 30, 1995. Between the first and last days of the period,
the fund's net asset value rose from $12.02 to $13.06 for Institutional Shares
and from $12.02 to $13.05 for Institutional Service Shares.** The fund paid
dividends of $0.17 per share for Institutional Shares and $0.16 for
Institutional Service Shares. Capital gains of $0.02 per share were paid for
both Institutional Shares and Institutional Service Shares over the six-month
period.
Thank you for your confidence in the fund. We will continue to provide you with
quality investment products and the highest level of service. As always, we
invite your comments and suggestions.
Sincerely,
Glen R. Johnson
President
June 15, 1995
* The S&P 500 is unmanaged.
** Performance quoted represents past performance. Investment return and
principal value will fluctuate, so that an investor's shares, when redeemed,
may be worth more or less than their original cost.
INVESTMENT REVIEW
- --------------------------------------------------------------------------------
The total return for Institutional Shares of the Federated Max-Cap Fund for the
six months ended April 30, 1995 was 10.36%.*
The total return for the Institutional Service Shares of the Federated Max-Cap
Fund for the six months ended April 30, 1995 was 10.15%.*
The main concern six months ago was that the economy was too strong, that the
Federal Reserve would be forced to keep raising interest rates to stop inflation
from accelerating, and that equity markets would remain under pressure. Since
then the interest rate on 30-year Treasury bonds have fallen more than 100 basis
points, and the dollar has declined more than 15% against the mark and the yen.
Operating rates are now below the critical 85% level, lessening the concern over
inflation, and Gross Domestic Product growth has slowed from 5.1% in the 4th
quarter of 1994 to 2.7% in the 1st quarter of 1995. The "soft landing" scenario
is now seen as the most likely one.
This change produced the expected reaction from the U.S. equity markets. For the
past six months the total returns of the Standard & Poor's 500 Index (S&P 500),
Standard & Poor's MidCap 400
(S&P MidCap 400), and the Russell 2000 Small Stock Index (Russell 2000) were
10.46%, 6.37%, and 5.53% respectively.** The S&P 500 outperformed the smaller
capitalization indexes because more companies in the S&P 500 will likely benefit
from increased exports due to the weaker dollar. However, if the dollar
strengthens from here it is likely that some, if not all, of this outperformance
would be reversed.
* Performance quoted represents past performance. Investment return and
principal value will fluctuate, so that an investor's shares, when redeemed,
may be worth more or less than their original cost.
** The S&P 500, S&P MidCap 400, and Russell 2000 are unmanaged.
FEDERATED MAX-CAP FUND
(FORMERLY, MAX-CAP FUND)
PORTFOLIO OF INVESTMENTS
APRIL 30, 1995 (UNAUDITED)
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<TABLE>
<CAPTION>
SHARES VALUE
- ----------- ---------------------------------------------------------------- ------------
<C> <C> <S> <C>
COMMON STOCKS--86.0%
- -----------------------------------------------------------------------------------
COMMERCIAL SERVICES--1.1%
----------------------------------------------------------------
7,300 Alco Standard Corp. $ 517,387
----------------------------------------------------------------
11,100 Deluxe Corp. 342,712
----------------------------------------------------------------
20,400 Donnelley (R.R.) & Sons Co. 693,600
----------------------------------------------------------------
13,200 Dow Jones & Co. 462,000
----------------------------------------------------------------
22,800 Dun & Bradstreet Corp. 1,188,450
----------------------------------------------------------------
5,000 Fleming Cos., Inc. 121,250
----------------------------------------------------------------
6,800 Grainger (W.W.), Inc. 411,400
----------------------------------------------------------------
4,500 Handleman Co. 47,812
----------------------------------------------------------------
4,100 Harland (John H.) Co. 91,225
----------------------------------------------------------------
10,300 Interpublic Group Cos., Inc. 391,400
----------------------------------------------------------------
6,700 McGraw-Hill, Inc. 499,988
----------------------------------------------------------------
13,400 Moore Corp. Ltd. 264,650
----------------------------------------------------------------
6,500 Ogden Corp. 132,438
----------------------------------------------------------------
7,750 Safety-Kleen Corp. 131,750
----------------------------------------------------------------
9,500 Super Valu Stores, Inc. 250,563
----------------------------------------------------------------
24,500 Sysco Corp. 686,000
---------------------------------------------------------------- ------------
Total 6,232,625
---------------------------------------------------------------- ------------
CONSUMER DURABLES--3.5%
----------------------------------------------------------------
10,000 American Greetings Corp., Class A 272,500
----------------------------------------------------------------
1,937 Bassett Furniture Industries, Inc. 51,815
----------------------------------------------------------------
11,400 Black & Decker Corp. 342,000
----------------------------------------------------------------
3,900 Briggs & Stratton Corp. 136,987
----------------------------------------------------------------
12,800 Brunswick Corp. 273,600
----------------------------------------------------------------
3,800 Centex Corp. 91,200
----------------------------------------------------------------
47,600 Chrysler Corp. 2,052,750
----------------------------------------------------------------
</TABLE>
FEDERATED MAX-CAP FUND
(FORMERLY, MAX-CAP FUND)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ----------- ---------------------------------------------------------------- ------------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- -----------------------------------------------------------------------------------
CONSUMER DURABLES--CONTINUED
----------------------------------------------------------------
11,200 Cooper Tire & Rubber Co. $ 274,400
----------------------------------------------------------------
45,600 Eastman Kodak Co. 2,622,000
----------------------------------------------------------------
8,000 Echlin, Inc. 292,000
----------------------------------------------------------------
6,200 Fleetwood Enterprises, Inc. 142,600
----------------------------------------------------------------
137,500 Ford Motor Co. 3,712,500
----------------------------------------------------------------
101,100 General Motors Corp. 4,562,137
----------------------------------------------------------------
16,500 Genuine Parts Co. 639,375
----------------------------------------------------------------
20,300 Goodyear Tire & Rubber Co. 771,400
----------------------------------------------------------------
11,800 Hasbro, Inc. 374,650
----------------------------------------------------------------
6,100 Jostens, Inc. 122,763
----------------------------------------------------------------
4,300 Kaufman & Broad Homes Corp. 56,438
----------------------------------------------------------------
29,940 Mattel, Inc. 711,075
----------------------------------------------------------------
14,400 Maytag Corp. 248,400
----------------------------------------------------------------
21,200 Newell Co. 500,850
----------------------------------------------------------------
2,600 Outboard Marine Corp. 57,525
----------------------------------------------------------------
6,200 Polaroid Corp. 210,800
----------------------------------------------------------------
3,700 Pulte Corp. 80,013
----------------------------------------------------------------
21,600 Rubbermaid, Inc. 637,200
----------------------------------------------------------------
1,500 Skyline Corp. 26,625
----------------------------------------------------------------
5,800 Snap-On Tools Corp. 216,050
----------------------------------------------------------------
1,700 SPX Corp. 23,163
----------------------------------------------------------------
6,000 Stanley Works 237,750
----------------------------------------------------------------
10,100 Whirlpool Corp. 552,975
----------------------------------------------------------------
6,100 (a) Zenith Electronics Corp. 45,750
---------------------------------------------------------------- ------------
Total 20,339,291
---------------------------------------------------------------- ------------
</TABLE>
FEDERATED MAX-CAP FUND
(FORMERLY, MAX-CAP FUND)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ----------- ---------------------------------------------------------------- ------------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- -----------------------------------------------------------------------------------
CONSUMER NON-DURABLES--9.8%
----------------------------------------------------------------
3,700 Alberto-Culver Co., Class B $ 116,550
----------------------------------------------------------------
25,600 American Brands, Inc. 1,036,800
----------------------------------------------------------------
34,800 Anheuser-Busch Companies, Inc. 2,022,750
----------------------------------------------------------------
9,300 Avon Products, Inc. 588,225
----------------------------------------------------------------
2,400 Brown Group, Inc. 66,600
----------------------------------------------------------------
9,300 Brown-Forman Corp., Class B 306,900
----------------------------------------------------------------
33,400 Campbell Soup Co. 1,711,750
----------------------------------------------------------------
7,100 Clorox Co. 417,125
----------------------------------------------------------------
172,500 Coca-Cola Co. 10,026,562
----------------------------------------------------------------
19,500 Colgate-Palmolive Co. 1,369,875
----------------------------------------------------------------
33,300 ConAgra, Inc. 1,107,225
----------------------------------------------------------------
5,100 Coors Adolph Co., Class B 83,512
----------------------------------------------------------------
19,700 CPC International, Inc. 1,154,912
----------------------------------------------------------------
21,200 General Mills, Inc. 1,293,200
----------------------------------------------------------------
29,700 Gillette Co. 2,435,400
----------------------------------------------------------------
4,400 Hartmarx Corp. 24,200
----------------------------------------------------------------
32,700 Heinz (H.J.) Co. 1,373,400
----------------------------------------------------------------
11,600 Hershey Foods Corp. 609,000
----------------------------------------------------------------
15,000 International Flavors & Fragrances, Inc. 770,625
----------------------------------------------------------------
29,800 Kellogg Co. 1,892,300
----------------------------------------------------------------
10,500 Liz Claiborne, Inc. 189,000
----------------------------------------------------------------
9,700 Nike, Inc., Class B 743,263
----------------------------------------------------------------
1,800 OshKosh B'Gosh, Inc., Class A 29,700
----------------------------------------------------------------
106,300 PepsiCo, Inc. 4,424,738
----------------------------------------------------------------
114,300 Philip Morris Cos., Inc. 7,743,825
----------------------------------------------------------------
92,100 Procter & Gamble Co. 6,435,488
----------------------------------------------------------------
18,000 Quaker Oats Co. 645,750
----------------------------------------------------------------
</TABLE>
FEDERATED MAX-CAP FUND
(FORMERLY, MAX-CAP FUND)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ----------- ---------------------------------------------------------------- ------------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- -----------------------------------------------------------------------------------
CONSUMER NON-DURABLES--CONTINUED
----------------------------------------------------------------
13,500 Ralston Purina Co. $ 641,250
----------------------------------------------------------------
10,900 Reebok International Ltd. 340,625
----------------------------------------------------------------
5,400 Russell Corp. 159,300
----------------------------------------------------------------
64,300 Sara Lee Corp. 1,792,363
----------------------------------------------------------------
50,000 Seagram Co. Ltd. 1,356,250
----------------------------------------------------------------
6,600 Stride Rite Corp. 78,375
----------------------------------------------------------------
21,500 Unilever N.V. 2,872,938
----------------------------------------------------------------
27,000 UST, Inc. 759,375
----------------------------------------------------------------
8,700 V.F. Corp. 439,350
----------------------------------------------------------------
15,600 Wrigley (Wm.), Jr. Co. 692,250
---------------------------------------------------------------- ------------
Total 57,750,751
---------------------------------------------------------------- ------------
CONSUMER SERVICES--3.6%
----------------------------------------------------------------
6,300 (a) Bally Entertainment Group 65,362
----------------------------------------------------------------
14,100 Block (H&R), Inc. 593,962
----------------------------------------------------------------
20,700 Capital Cities/ABC, Inc. 1,749,150
----------------------------------------------------------------
8,240 CBS, Inc. 528,390
----------------------------------------------------------------
32,150 Comcast Corp., Class A 506,362
----------------------------------------------------------------
943 (a) Cox Communications, Inc., Class A 14,381
----------------------------------------------------------------
69,700 Disney (Walt) Co. 3,859,637
----------------------------------------------------------------
18,700 Gannett Co., Inc. 984,087
----------------------------------------------------------------
6,500 Hilton Hotels Corp. 496,437
----------------------------------------------------------------
4,950 King World Productions, Inc. 199,238
----------------------------------------------------------------
7,200 (a) Knight-Ridder, Inc. 390,600
----------------------------------------------------------------
3,250 Luby's Cafeterias, Inc. 61,750
----------------------------------------------------------------
16,700 Marriott Corp. 601,200
----------------------------------------------------------------
93,700 McDonald's Corp. 3,279,500
----------------------------------------------------------------
3,700 Meredith Corp. 92,500
----------------------------------------------------------------
</TABLE>
FEDERATED MAX-CAP FUND
(FORMERLY, MAX-CAP FUND)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ----------- ---------------------------------------------------------------- ------------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- -----------------------------------------------------------------------------------
CONSUMER SERVICES--CONTINUED
----------------------------------------------------------------
13,400 New York Times Co., Class A $ 303,175
----------------------------------------------------------------
13,750 (a) Promus Cos., Inc. 529,375
----------------------------------------------------------------
7,200 (a) Ryan's Family Steak Houses, Inc. 50,400
----------------------------------------------------------------
12,600 Service Corp. International 355,950
----------------------------------------------------------------
5,600 (a) Shoney's, Inc. 64,400
----------------------------------------------------------------
84,900 (a) Tele-Communications Inc., Class A 1,623,713
----------------------------------------------------------------
50,840 Time Warner, Inc. 1,862,015
----------------------------------------------------------------
15,000 Times Mirror Co., Class A 271,875
----------------------------------------------------------------
9,000 Tribune Co. 532,125
----------------------------------------------------------------
47,968 (a) Viacom, Inc., Class B 2,200,532
----------------------------------------------------------------
13,600 Wendy's International, Inc. 231,200
---------------------------------------------------------------- ------------
Total 21,447,316
---------------------------------------------------------------- ------------
ELECTRONIC TECHNOLOGY--8.3%
----------------------------------------------------------------
14,500 (a) Advanced Micro Devices, Inc. 522,000
----------------------------------------------------------------
15,600 (a) Amdahl Corp. 185,250
----------------------------------------------------------------
28,200 AMP, Inc. 1,205,550
----------------------------------------------------------------
5,150 (a) Andrew Corp. 254,925
----------------------------------------------------------------
16,200 Apple Computer, Inc. 619,650
----------------------------------------------------------------
11,300 (a) Applied Materials, Inc. 696,362
----------------------------------------------------------------
45,700 Boeing Co. 2,513,500
----------------------------------------------------------------
6,000 (a) Ceridian Corp. 207,000
----------------------------------------------------------------
36,100 (a) Cisco Systems, Inc. 1,439,487
----------------------------------------------------------------
35,100 (a) Compaq Computer Corp. 1,333,800
----------------------------------------------------------------
7,400 (a) Computer Sciences Corp. 365,375
----------------------------------------------------------------
3,400 (a) Cray Research, Inc. 67,150
----------------------------------------------------------------
4,900 (a) Data General Corp. 38,587
----------------------------------------------------------------
19,700 (a) Digital Equipment Corp. 908,662
----------------------------------------------------------------
</TABLE>
FEDERATED MAX-CAP FUND
(FORMERLY, MAX-CAP FUND)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ----------- ---------------------------------------------------------------- ------------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- -----------------------------------------------------------------------------------
ELECTRONIC TECHNOLOGY--CONTINUED
----------------------------------------------------------------
15,200 (a) DSC Communications Corp. $ 562,400
----------------------------------------------------------------
4,100 E Systems, Inc. 261,887
----------------------------------------------------------------
7,400 EG & G, Inc. 124,875
----------------------------------------------------------------
8,420 General Dynamics Corp. 390,477
----------------------------------------------------------------
5,200 Harris Corp. 244,400
----------------------------------------------------------------
68,500 Hewlett-Packard Co. 4,529,562
----------------------------------------------------------------
55,600 Intel Corp. 5,692,050
----------------------------------------------------------------
6,000 (a) Intergraph Corp. 64,500
----------------------------------------------------------------
78,800 International Business Machines Corp. 7,466,300
----------------------------------------------------------------
30,688 Lockheed Martin Corp. 1,772,232
----------------------------------------------------------------
11,400 Loral Corp. 535,800
----------------------------------------------------------------
3,500 (a) M/A Communications, Inc. 40,688
----------------------------------------------------------------
15,900 McDonnell-Douglas Corp. 985,800
----------------------------------------------------------------
13,800 Micron Technology, Inc. 1,135,050
----------------------------------------------------------------
78,700 Motorola, Inc. 4,476,063
----------------------------------------------------------------
16,700 (a) National Semiconductor Corp. 382,013
----------------------------------------------------------------
33,900 Northern Telecom Ltd. 1,233,113
----------------------------------------------------------------
6,600 Northrop Corp. 327,525
----------------------------------------------------------------
49,200 (a) Novell, Inc. 1,070,100
----------------------------------------------------------------
5,600 Perkin-Elmer Corp. 174,300
----------------------------------------------------------------
16,500 Raytheon Co. 1,200,375
----------------------------------------------------------------
29,100 Rockwell International Corp. 1,269,488
----------------------------------------------------------------
10,200 Scientific-Atlanta, Inc. 232,050
----------------------------------------------------------------
19,300 (a) Silicon Graphics, Inc. 723,750
----------------------------------------------------------------
12,800 (a) Sun Microsystems, Inc. 510,400
----------------------------------------------------------------
15,500 (a) Tandem Computers, Inc. 197,625
----------------------------------------------------------------
4,100 Tektronix, Inc. 186,550
----------------------------------------------------------------
</TABLE>
FEDERATED MAX-CAP FUND
(FORMERLY, MAX-CAP FUND)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ----------- ---------------------------------------------------------------- ------------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- -----------------------------------------------------------------------------------
ELECTRONIC TECHNOLOGY--CONTINUED
----------------------------------------------------------------
12,400 Texas Instruments, Inc. $ 1,314,400
----------------------------------------------------------------
23,100 (a) Unisys Corp. 236,775
----------------------------------------------------------------
16,500 United Technologies Corp. 1,206,563
---------------------------------------------------------------- ------------
Total 48,904,409
---------------------------------------------------------------- ------------
ENERGY MINERALS--7.9%
----------------------------------------------------------------
12,500 Amerada-Hess Corp. 632,812
----------------------------------------------------------------
66,700 Amoco Corp. 4,377,187
----------------------------------------------------------------
8,200 Ashland, Inc. 303,400
----------------------------------------------------------------
21,600 Atlantic Richfield Co. 2,473,200
----------------------------------------------------------------
17,000 Burlington Resources, Inc. 665,125
----------------------------------------------------------------
87,500 Chevron Corp. 4,145,312
----------------------------------------------------------------
166,700 Exxon Corp. 11,606,487
----------------------------------------------------------------
6,900 Kerr-McGee Corp. 357,938
----------------------------------------------------------------
4,500 Louisiana Land & Exploration Co. 164,813
----------------------------------------------------------------
53,100 Mobil Corp. 5,037,863
----------------------------------------------------------------
41,900 Occidental Petroleum Corp. 963,700
----------------------------------------------------------------
13,300 (a) Oryx Energy Co. 182,875
----------------------------------------------------------------
6,200 Pennzoil Co. 303,025
----------------------------------------------------------------
35,100 Phillips Petroleum Co. 1,228,500
----------------------------------------------------------------
5,600 Pittston Co. 133,000
----------------------------------------------------------------
71,900 Royal Dutch Petroleum Co., ADR 8,915,600
----------------------------------------------------------------
12,112 (a) Santa Fe Energy Resource, Inc. 113,550
----------------------------------------------------------------
14,400 Sun Co., Inc. 433,800
----------------------------------------------------------------
34,800 Texaco, Inc. 2,379,450
----------------------------------------------------------------
32,700 Unocal Corp. 940,125
----------------------------------------------------------------
38,500 USX Corp.-Marathon Group 721,875
---------------------------------------------------------------- ------------
Total 46,079,637
---------------------------------------------------------------- ------------
</TABLE>
FEDERATED MAX-CAP FUND
(FORMERLY, MAX-CAP FUND)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ----------- ---------------------------------------------------------------- ------------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- -----------------------------------------------------------------------------------
FINANCE--9.5%
----------------------------------------------------------------
15,100 AEtna Life & Casualty Co. $ 860,700
----------------------------------------------------------------
15,700 Ahmanson (H.F.) & Co. 329,700
----------------------------------------------------------------
5,900 Alexander & Alexander Services, Inc. 140,862
----------------------------------------------------------------
66,500 American Express Co. 2,310,875
----------------------------------------------------------------
27,300 American General Corp. 900,900
----------------------------------------------------------------
42,462 American International Group, Inc. 4,532,818
----------------------------------------------------------------
54,525 Banc One Corp. 1,608,487
----------------------------------------------------------------
14,300 Bank of Boston Corp. 479,050
----------------------------------------------------------------
3,200 Bank of New York Co., Inc. 105,200
----------------------------------------------------------------
50,276 BankAmerica Corp. 2,488,662
----------------------------------------------------------------
10,500 Bankers Trust New York Corp. 569,625
----------------------------------------------------------------
13,000 Barnett Banks, Inc. 607,750
----------------------------------------------------------------
7,000 Beneficial Corp. 285,250
----------------------------------------------------------------
17,100 Boatmen's Bancshares, Inc. 568,575
----------------------------------------------------------------
23,800 Chase Manhattan Corp. 1,041,250
----------------------------------------------------------------
32,790 Chemical Banking Corp. 1,368,982
----------------------------------------------------------------
11,700 Chubb Corp. 936,000
----------------------------------------------------------------
9,700 CIGNA Corp. 704,462
----------------------------------------------------------------
52,800 Citicorp 2,448,600
----------------------------------------------------------------
7,400 Continental Corp. 146,150
----------------------------------------------------------------
19,400 Corestates Financial Corp. 632,925
----------------------------------------------------------------
22,921 Dean Witter, Discover & Co. 971,277
----------------------------------------------------------------
24,200 Federal Home Loan Mortgage Corp. 1,579,050
----------------------------------------------------------------
36,700 Federal National Mortgage Association 3,238,775
----------------------------------------------------------------
11,000 First Fidelity Bancorporation 530,750
----------------------------------------------------------------
10,600 First Interstate Bancorp 814,875
----------------------------------------------------------------
23,600 First Union Corp. 1,067,900
----------------------------------------------------------------
</TABLE>
FEDERATED MAX-CAP FUND
(FORMERLY, MAX-CAP FUND)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ----------- ---------------------------------------------------------------- ------------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- -----------------------------------------------------------------------------------
FINANCE--CONTINUED
----------------------------------------------------------------
18,900 Fleet Financial Group, Inc. $ 618,975
----------------------------------------------------------------
11,000 General RE Corp. 1,401,125
----------------------------------------------------------------
8,100 Golden West Financial Corp. 370,575
----------------------------------------------------------------
18,000 Great Western Financial Corp. 380,250
----------------------------------------------------------------
12,900 Household International, Inc. 604,687
----------------------------------------------------------------
25,400 J.P. Morgan & Co., Inc. 1,666,875
----------------------------------------------------------------
6,550 Jefferson-Pilot Corp. 371,713
----------------------------------------------------------------
32,300 KeyCorp. 864,025
----------------------------------------------------------------
12,700 Lincoln National Corp. 517,525
----------------------------------------------------------------
9,900 Marsh & McLennan Cos., Inc. 775,913
----------------------------------------------------------------
19,950 MBNA Corp. 603,488
----------------------------------------------------------------
19,700 Mellon Bank Corp. 773,225
----------------------------------------------------------------
25,200 Merrill Lynch & Co., Inc. 1,146,600
----------------------------------------------------------------
19,800 National City Corp. 542,025
----------------------------------------------------------------
37,146 NationsBank Corp. 1,857,300
----------------------------------------------------------------
21,450 NBD Bancorp, Inc. 656,906
----------------------------------------------------------------
41,400 Norwest Corp. 1,097,100
----------------------------------------------------------------
31,500 PNC Financial Corp. 791,438
----------------------------------------------------------------
13,000 Providian Corp. 443,625
----------------------------------------------------------------
10,600 Ryder Systems, Inc. 247,775
----------------------------------------------------------------
8,400 SAFECO Corp. 474,600
----------------------------------------------------------------
14,200 Salomon, Inc. 512,975
----------------------------------------------------------------
16,200 Shawmut National Corp. 429,300
----------------------------------------------------------------
11,300 St. Paul Companies, Inc. 543,813
----------------------------------------------------------------
15,800 SunTrust Banks, Inc. 857,150
----------------------------------------------------------------
9,550 Torchmark Corp. 372,450
----------------------------------------------------------------
9,400 Transamerica Corp. 532,275
----------------------------------------------------------------
</TABLE>
FEDERATED MAX-CAP FUND
(FORMERLY, MAX-CAP FUND)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ----------- ---------------------------------------------------------------- ------------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- -----------------------------------------------------------------------------------
FINANCE--CONTINUED
----------------------------------------------------------------
42,978 Travelers, Inc. $ 1,778,215
----------------------------------------------------------------
13,250 U.S. Bancorp. 366,031
----------------------------------------------------------------
9,700 UNUM Corp. 415,888
----------------------------------------------------------------
12,700 USF&G Corp. 187,325
----------------------------------------------------------------
3,100 USLIFE Corp. 117,800
----------------------------------------------------------------
22,900 Wachovia Corp. 804,363
----------------------------------------------------------------
6,900 Wells Fargo & Co. 1,144,538
---------------------------------------------------------------- ------------
Total 55,537,318
---------------------------------------------------------------- ------------
HEALTH SERVICES--0.8%
----------------------------------------------------------------
11,500 (a) Beverly Enterprises, Inc. 165,312
----------------------------------------------------------------
48,638 Columbia HCA Healthcare Corp. 2,042,796
----------------------------------------------------------------
5,900 (a) Community Psychiatric Centers 78,175
----------------------------------------------------------------
8,350 Manor Care, Inc. 245,281
----------------------------------------------------------------
26,800 (a) National Medical Enterprises, Inc. 455,600
----------------------------------------------------------------
3,100 Shared Medical Systems Corp. 117,025
----------------------------------------------------------------
21,500 U.S. Healthcare, Inc. 575,125
----------------------------------------------------------------
23,100 United Healthcare Corp. 837,375
---------------------------------------------------------------- ------------
Total 4,516,689
---------------------------------------------------------------- ------------
HEALTH TECHNOLOGY--7.2%
----------------------------------------------------------------
107,600 Abbott Laboratories 4,236,750
----------------------------------------------------------------
8,500 (a) Allergan, Inc. 230,562
----------------------------------------------------------------
11,000 (a) Alza Corp. 214,500
----------------------------------------------------------------
41,000 American Home Products Corp. 3,162,125
----------------------------------------------------------------
17,800 (a) Amgen, Inc. 1,293,837
----------------------------------------------------------------
7,000 Bard (C.R.), Inc. 203,875
----------------------------------------------------------------
7,900 Bausch & Lomb, Inc. 306,125
----------------------------------------------------------------
37,800 Baxter International, Inc. 1,313,550
----------------------------------------------------------------
</TABLE>
FEDERATED MAX-CAP FUND
(FORMERLY, MAX-CAP FUND)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ----------- ---------------------------------------------------------------- ------------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- -----------------------------------------------------------------------------------
HEALTH TECHNOLOGY--CONTINUED
----------------------------------------------------------------
9,000 Becton, Dickinson & Co. $ 501,750
----------------------------------------------------------------
15,600 (a) Biomet, Inc. 273,000
----------------------------------------------------------------
20,100 (a) Boston Scientific Corp. 547,725
----------------------------------------------------------------
68,500 Bristol-Myers Squibb Co. 4,461,062
----------------------------------------------------------------
86,200 Johnson & Johnson 5,603,000
----------------------------------------------------------------
39,200 Lilly (Eli) & Co. 2,930,200
----------------------------------------------------------------
10,300 Mallinckrodt Group, Inc. 370,800
----------------------------------------------------------------
15,500 Medtronic, Inc. 1,152,813
----------------------------------------------------------------
168,900 Merck & Co., Inc. 7,241,588
----------------------------------------------------------------
42,200 Pfizer, Inc. 3,655,575
----------------------------------------------------------------
25,000 Schering-Plough, Corp. 1,884,375
----------------------------------------------------------------
6,200 St. Jude Medical, Inc. 266,600
----------------------------------------------------------------
7,600 United States Surgical Corp. 169,100
----------------------------------------------------------------
23,200 Upjohn Co. 841,000
----------------------------------------------------------------
18,100 Warner-Lambert Co. 1,443,475
---------------------------------------------------------------- ------------
Total 42,303,387
---------------------------------------------------------------- ------------
INDUSTRIAL SERVICES--1.3%
----------------------------------------------------------------
18,900 Baker Hughes, Inc. 425,250
----------------------------------------------------------------
26,500 Browning-Ferris Industries, Inc. 874,500
----------------------------------------------------------------
11,100 Fluor Corp. 571,650
----------------------------------------------------------------
4,800 Foster Wheeler Corp. 177,600
----------------------------------------------------------------
15,300 Halliburton Co. 587,137
----------------------------------------------------------------
3,300 Helmerich & Payne, Inc. 97,762
----------------------------------------------------------------
37,200 Laidlaw, Inc., Class B 334,800
----------------------------------------------------------------
7,200 McDermott International, Inc. 198,000
----------------------------------------------------------------
4,400 (a) Morrison Knudsen Corp. 34,650
----------------------------------------------------------------
11,300 (a) Rowan Companies, Inc. 77,688
----------------------------------------------------------------
</TABLE>
FEDERATED MAX-CAP FUND
(FORMERLY, MAX-CAP FUND)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ----------- ---------------------------------------------------------------- ------------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- -----------------------------------------------------------------------------------
INDUSTRIAL SERVICES--CONTINUED
----------------------------------------------------------------
32,500 Schlumberger Ltd. $ 2,043,438
----------------------------------------------------------------
7,100 (a) Western Atlas, Inc. 319,500
----------------------------------------------------------------
64,900 WMX Technologies, Inc. 1,768,525
---------------------------------------------------------------- ------------
Total 7,510,500
---------------------------------------------------------------- ------------
NON-ENERGY MINERALS--1.9%
----------------------------------------------------------------
30,200 Alcan Aluminum Ltd. 856,925
----------------------------------------------------------------
24,000 Aluminum Co. of America 1,077,000
----------------------------------------------------------------
14,100 (a) Armco, Inc. 98,700
----------------------------------------------------------------
5,600 ASARCO, Inc. 152,600
----------------------------------------------------------------
47,000 Barrick Gold Corp. 1,133,875
----------------------------------------------------------------
14,700 (a) Bethlehem Steel Corp. 207,637
----------------------------------------------------------------
12,450 Cyprus Amax Minerals 347,044
----------------------------------------------------------------
15,100 Echo Bay Mines Ltd. 143,450
----------------------------------------------------------------
12,100 Georgia-Pacific Corp. 960,437
----------------------------------------------------------------
18,500 Homestake Mining Co. 312,187
----------------------------------------------------------------
15,700 Inco Ltd. 406,237
----------------------------------------------------------------
6,000 Inland Steel Industries, Inc. 152,250
----------------------------------------------------------------
15,100 Louisiana-Pacific Corp. 385,050
----------------------------------------------------------------
11,511 Newmont Mining Corp. 482,023
----------------------------------------------------------------
11,700 Nucor Corp. 561,600
----------------------------------------------------------------
5,900 (a) Owens-Corning Fiberglass Corp. 216,088
----------------------------------------------------------------
9,500 Phelps Dodge Corp. 537,938
----------------------------------------------------------------
32,000 Placer Dome, Inc. 760,000
----------------------------------------------------------------
8,300 Reynolds Metals Co. 418,113
----------------------------------------------------------------
17,635 Santa Fe Pacific Gold 222,642
----------------------------------------------------------------
10,220 USX-U.S. Steel Group, Inc. 311,710
----------------------------------------------------------------
27,600 Weyerhaeuser Co. 1,159,200
----------------------------------------------------------------
</TABLE>
FEDERATED MAX-CAP FUND
(FORMERLY, MAX-CAP FUND)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ----------- ---------------------------------------------------------------- ------------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- -----------------------------------------------------------------------------------
NON-ENERGY MINERALS--CONTINUED
----------------------------------------------------------------
12,150 Worthington Industries, Inc. $ 229,331
---------------------------------------------------------------- ------------
Total 11,132,037
---------------------------------------------------------------- ------------
PROCESS INDUSTRIES--4.8%
----------------------------------------------------------------
15,000 Air Products & Chemicals, Inc. 755,625
----------------------------------------------------------------
69,219 Archer-Daniels-Midland Co. 1,263,247
----------------------------------------------------------------
7,200 Avery Dennison Corp. 292,500
----------------------------------------------------------------
4,000 Ball Corp. 137,000
----------------------------------------------------------------
6,900 Bemis Co., Inc. 191,475
----------------------------------------------------------------
6,300 Boise Cascade Corp. 206,325
----------------------------------------------------------------
12,500 Champion International Corp. 550,000
----------------------------------------------------------------
30,600 Corning, Inc. 1,021,275
----------------------------------------------------------------
12,000 (a) Crown Cork & Seal Co., Inc. 513,000
----------------------------------------------------------------
37,200 Dow Chemical Co. 2,585,400
----------------------------------------------------------------
70,500 Du Pont (E.I.) de Nemours & Co. 4,644,187
----------------------------------------------------------------
11,125 Eastman Chemical Co. 631,344
----------------------------------------------------------------
9,100 Ecolab, Inc. 209,300
----------------------------------------------------------------
12,775 Engelhard Corp. 490,241
----------------------------------------------------------------
5,700 Federal Paper Board Co., Inc. 168,862
----------------------------------------------------------------
2,700 First Mississippi Corp. 67,500
----------------------------------------------------------------
3,500 Goodrich (B.F.) Co. 163,187
----------------------------------------------------------------
12,600 Grace (W.R.) & Co. 675,675
----------------------------------------------------------------
9,200 Great Lakes Chemical Corp. 540,500
----------------------------------------------------------------
15,800 Hercules, Inc. 788,025
----------------------------------------------------------------
16,800 International Paper Co. 1,293,600
----------------------------------------------------------------
11,000 James River Corp. of Virginia 298,375
----------------------------------------------------------------
21,700 Kimberly-Clark Corp. 1,228,763
----------------------------------------------------------------
7,700 Mead Corp. 398,475
----------------------------------------------------------------
</TABLE>
FEDERATED MAX-CAP FUND
(FORMERLY, MAX-CAP FUND)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ----------- ---------------------------------------------------------------- ------------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- -----------------------------------------------------------------------------------
PROCESS INDUSTRIES--CONTINUED
----------------------------------------------------------------
3,100 Millipore Corp. $ 190,263
----------------------------------------------------------------
15,600 Monsanto Co. 1,298,700
----------------------------------------------------------------
19,800 Morton International, Inc. 613,800
----------------------------------------------------------------
9,200 Nalco Chemical Co. 322,000
----------------------------------------------------------------
15,533 Pall Corp. 363,084
----------------------------------------------------------------
11,300 Pioneer Hi-Bred International 423,750
----------------------------------------------------------------
3,900 Potlatch Corp. 166,238
----------------------------------------------------------------
27,700 PPG Industries, Inc. 1,090,688
----------------------------------------------------------------
18,400 Praxair, Inc. 437,000
----------------------------------------------------------------
9,100 Rohm & Haas Co. 528,938
----------------------------------------------------------------
10,100 Scott Paper Co. 900,163
----------------------------------------------------------------
11,400 Sherwin-Williams Co. 406,125
----------------------------------------------------------------
6,700 Sigma-Aldrich Corp. 296,475
----------------------------------------------------------------
2,400 Springs Industries, Inc., Class A 93,300
----------------------------------------------------------------
12,108 (a) Stone Container Corp. 240,647
----------------------------------------------------------------
7,500 Temple-Inland, Inc. 330,000
----------------------------------------------------------------
9,400 Union Camp Corp. 471,175
----------------------------------------------------------------
19,900 Union Carbide Corp. 636,800
----------------------------------------------------------------
9,000 Westvaco Corp. 378,000
---------------------------------------------------------------- ------------
Total 28,301,027
---------------------------------------------------------------- ------------
PRODUCER MANUFACTURING--6.8%
----------------------------------------------------------------
38,000 Allied-Signal, Inc. 1,505,750
----------------------------------------------------------------
5,000 Armstrong World Industries, Inc. 227,500
----------------------------------------------------------------
26,900 Caterpillar, Inc. 1,573,650
----------------------------------------------------------------
4,500 Cincinnati Milacron, Inc. 120,375
----------------------------------------------------------------
2,300 Clark Equipment Co. 196,650
----------------------------------------------------------------
15,700 Cooper Industries, Inc. 612,300
----------------------------------------------------------------
</TABLE>
FEDERATED MAX-CAP FUND
(FORMERLY, MAX-CAP FUND)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ----------- ---------------------------------------------------------------- ------------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- -----------------------------------------------------------------------------------
PRODUCER MANUFACTURING--CONTINUED
----------------------------------------------------------------
4,000 Crane Co. $ 139,000
----------------------------------------------------------------
5,600 Cummins Engine Co., Inc. 250,600
----------------------------------------------------------------
13,300 Dana Corp. 342,475
----------------------------------------------------------------
11,600 Deere & Co. 951,200
----------------------------------------------------------------
12,400 Dial Corp. Del. 299,150
----------------------------------------------------------------
7,700 Dover Corp. 500,500
----------------------------------------------------------------
24,500 Dresser Industries, Inc. 535,937
----------------------------------------------------------------
10,500 Eaton Corp. 602,437
----------------------------------------------------------------
30,000 Emerson Electric Co. 2,017,500
----------------------------------------------------------------
4,900 (a) FMC Corp. 300,737
----------------------------------------------------------------
229,400 General Electric Co. 12,846,400
----------------------------------------------------------------
6,300 General Signal Corp. 233,887
----------------------------------------------------------------
4,600 Giddings & Lewis, Inc. 83,375
----------------------------------------------------------------
6,178 Harnischfeger Industries, Inc. 182,251
----------------------------------------------------------------
17,300 Honeywell, Inc. 668,212
----------------------------------------------------------------
15,300 Illinois Tool Works, Inc. 766,912
----------------------------------------------------------------
14,200 Ingersoll-Rand Co. 507,650
----------------------------------------------------------------
14,300 ITT Corp. 1,494,350
----------------------------------------------------------------
5,500 Johnson Controls, Inc. 298,375
----------------------------------------------------------------
21,500 Masco Industries, Inc. 548,250
----------------------------------------------------------------
56,400 Minnesota Mining & Manufacturing Co. 3,362,850
----------------------------------------------------------------
1,200 NACCO Industries, Inc., Class A 66,450
----------------------------------------------------------------
6,600 National Service Industries, Inc. 186,450
----------------------------------------------------------------
10,070 (a) Navistar International Corp. 142,239
----------------------------------------------------------------
5,240 PACCAR, Inc. 241,040
----------------------------------------------------------------
6,600 Parker-Hannifin Corp. 343,200
----------------------------------------------------------------
20,900 Pitney Bowes, Inc. 775,913
----------------------------------------------------------------
</TABLE>
FEDERATED MAX-CAP FUND
(FORMERLY, MAX-CAP FUND)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ----------- ---------------------------------------------------------------- ------------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- -----------------------------------------------------------------------------------
PRODUCER MANUFACTURING--CONTINUED
----------------------------------------------------------------
5,900 Raychem Corp. $ 210,188
----------------------------------------------------------------
60 (a) Strattec Security Corp. 698
----------------------------------------------------------------
7,400 Teledyne, Inc. 182,225
----------------------------------------------------------------
25,300 Tenneco, Inc. 1,160,638
----------------------------------------------------------------
11,800 Textron, Inc. 672,600
----------------------------------------------------------------
2,600 Thomas & Betts Corp. 165,750
----------------------------------------------------------------
4,200 Timken Co. 169,575
----------------------------------------------------------------
3,900 Trinova Corp. 135,525
----------------------------------------------------------------
8,700 TRW, Inc. 647,063
----------------------------------------------------------------
9,900 Tyco Laboratories, Inc. 519,750
----------------------------------------------------------------
5,780 (a) Varity Corp. 244,205
----------------------------------------------------------------
47,700 Westinghouse Electric Corp. 715,500
----------------------------------------------------------------
14,200 Whitman Corp. 259,150
----------------------------------------------------------------
14,200 Xerox Corp. 1,748,375
----------------------------------------------------------------
1,700 Zurn Industries, Inc. 34,213
---------------------------------------------------------------- ------------
Total 39,789,020
---------------------------------------------------------------- ------------
RETAIL TRADE--4.8%
----------------------------------------------------------------
34,100 Albertsons, Inc. 1,078,412
----------------------------------------------------------------
19,900 American Stores Co. 509,937
----------------------------------------------------------------
10,500 Brunos, Inc. 128,625
----------------------------------------------------------------
13,800 Charming Shoppes, Inc. 75,037
----------------------------------------------------------------
12,900 Circuit City Stores, Inc. 333,787
----------------------------------------------------------------
9,600 Dayton-Hudson Corp. 644,400
----------------------------------------------------------------
15,200 Dillard Department Stores, Inc., Class A 393,300
----------------------------------------------------------------
19,500 Gap (The), Inc. 621,562
----------------------------------------------------------------
7,900 Giant Foods, Inc., Class A 212,312
----------------------------------------------------------------
5,100 Great Atlantic & Pacific Tea Co., Inc. 128,137
----------------------------------------------------------------
</TABLE>
FEDERATED MAX-CAP FUND
(FORMERLY, MAX-CAP FUND)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ----------- ---------------------------------------------------------------- ------------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- -----------------------------------------------------------------------------------
RETAIL TRADE--CONTINUED
----------------------------------------------------------------
9,100 Harcourt General, Inc. $ 371,962
----------------------------------------------------------------
60,800 Home Depot, Inc. 2,538,400
----------------------------------------------------------------
61,300 K Mart Corp. 850,538
----------------------------------------------------------------
15,700 (a) Kroger Co., Inc. 400,350
----------------------------------------------------------------
48,000 Limited, Inc. 1,026,000
----------------------------------------------------------------
2,800 Longs Drug Stores Corp. 94,850
----------------------------------------------------------------
21,400 Lowe's Cos., Inc. 617,925
----------------------------------------------------------------
33,300 May Department Stores Co. 1,207,125
----------------------------------------------------------------
14,200 Melville Corp. 507,650
----------------------------------------------------------------
4,900 Mercantile Stores Co., Inc. 216,825
----------------------------------------------------------------
11,000 Nordstrom, Inc. 423,500
----------------------------------------------------------------
31,200 Penney (J.C.) Co., Inc. 1,365,000
----------------------------------------------------------------
8,200 Pep Boys-Manny Moe & Jack 211,150
----------------------------------------------------------------
8,400 Premark International, Inc. 405,300
----------------------------------------------------------------
26,150 (a) Price Co. 382,444
----------------------------------------------------------------
11,300 Rite Aid Corp. 262,725
----------------------------------------------------------------
52,000 Sears, Roebuck & Co. 2,821,000
----------------------------------------------------------------
9,865 Tandy Corp. 488,318
----------------------------------------------------------------
9,700 TJX Cos., Inc. 111,550
----------------------------------------------------------------
37,200 (a) Toys "R" Us, Inc. 939,300
----------------------------------------------------------------
308,400 Wal-Mart Stores, Inc. 7,324,500
----------------------------------------------------------------
16,500 Walgreen Co. 775,500
----------------------------------------------------------------
10,000 Winn-Dixie Stores, Inc. 553,750
----------------------------------------------------------------
17,800 (a) Woolworth (F.W.) Co. 284,800
---------------------------------------------------------------- ------------
Total 28,305,971
---------------------------------------------------------------- ------------
TECHNOLOGY SERVICES--2.1%
----------------------------------------------------------------
6,300 Autodesk, Inc. 214,594
----------------------------------------------------------------
</TABLE>
FEDERATED MAX-CAP FUND
(FORMERLY, MAX-CAP FUND)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ----------- ---------------------------------------------------------------- ------------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- -----------------------------------------------------------------------------------
TECHNOLOGY SERVICES--CONTINUED
----------------------------------------------------------------
19,200 Automatic Data Processing, Inc. $ 1,233,600
----------------------------------------------------------------
21,500 Computer Associates International, Inc. 1,384,062
----------------------------------------------------------------
16,100 First Data Corp. 905,625
----------------------------------------------------------------
6,400 (a) Lotus Development Corp. 201,600
----------------------------------------------------------------
78,000 (a) Microsoft Corp. 6,386,250
----------------------------------------------------------------
57,700 (a) Oracle Systems Corp. 1,759,850
---------------------------------------------------------------- ------------
Total 12,085,581
---------------------------------------------------------------- ------------
TRANSPORTATION--1.4%
----------------------------------------------------------------
10,200 (a) AMR Corp. 687,225
----------------------------------------------------------------
12,000 Burlington Northern, Inc. 714,000
----------------------------------------------------------------
5,800 Consolidated Freightways, Inc. 147,900
----------------------------------------------------------------
10,600 Consolidated Rail Corp. 579,025
----------------------------------------------------------------
14,100 CSX Corp. 1,122,712
----------------------------------------------------------------
6,800 Delta Air Lines, Inc. 444,550
----------------------------------------------------------------
7,500 (a) Federal Express Corp. 510,000
----------------------------------------------------------------
18,100 Norfolk Southern Corp. 1,219,488
----------------------------------------------------------------
5,300 Roadway Services, Inc. 257,050
----------------------------------------------------------------
20,187 Sante Fe Southern Pacific Corp. 471,871
----------------------------------------------------------------
19,200 Southwest Airlines Co. 444,000
----------------------------------------------------------------
27,600 Union Pacific Corp. 1,514,550
----------------------------------------------------------------
8,100 (a) USAir Group, Inc. 58,725
----------------------------------------------------------------
3,800 Yellow Corp. 68,400
---------------------------------------------------------------- ------------
Total 8,239,496
---------------------------------------------------------------- ------------
UTILITIES--11.2%
----------------------------------------------------------------
66,200 (a) Airtouch Communications, Inc. 1,779,125
----------------------------------------------------------------
25,300 Alltel Corp. 626,175
----------------------------------------------------------------
24,800 American Electric Power Co., Inc. 812,200
----------------------------------------------------------------
</TABLE>
FEDERATED MAX-CAP FUND
(FORMERLY, MAX-CAP FUND)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ----------- ---------------------------------------------------------------- ------------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- -----------------------------------------------------------------------------------
UTILITIES--CONTINUED
----------------------------------------------------------------
74,000 Ameritech Corp. $ 3,330,000
----------------------------------------------------------------
210,578 AT&T Corp. 10,686,833
----------------------------------------------------------------
19,750 Baltimore Gas & Electric Co. 466,594
----------------------------------------------------------------
58,500 Bell Atlantic Corp. 3,210,187
----------------------------------------------------------------
66,600 BellSouth Telecommunications, Inc. 4,079,250
----------------------------------------------------------------
21,000 Carolina Power & Light Co. 577,500
----------------------------------------------------------------
25,500 Central & SouthWest Corp. 627,937
----------------------------------------------------------------
20,840 Cinergy Corp. 523,605
----------------------------------------------------------------
14,100 Coastal Corp. 419,475
----------------------------------------------------------------
6,800 (a) Columbia Gas System, Inc. 200,600
----------------------------------------------------------------
31,500 Consolidated Edison Co. 874,125
----------------------------------------------------------------
12,500 Consolidated Natural Gas Co. 492,187
----------------------------------------------------------------
19,400 Detroit Edison Co. 548,050
----------------------------------------------------------------
23,050 Dominion Resources, Inc. 841,325
----------------------------------------------------------------
27,500 Duke Power Co. 1,086,250
----------------------------------------------------------------
2,800 Eastern Enterprises 83,650
----------------------------------------------------------------
33,900 Enron Corp. 1,152,600
----------------------------------------------------------------
9,000 Enserch Corp. 155,250
----------------------------------------------------------------
30,500 Entergy Corp. 663,375
----------------------------------------------------------------
25,100 FPL Group, Inc. 922,425
----------------------------------------------------------------
15,500 General Public Utilities 441,750
----------------------------------------------------------------
129,100 GTE Corp. 4,405,537
----------------------------------------------------------------
17,600 Houston Industries, Inc. 695,200
----------------------------------------------------------------
91,200 MCI Communications Corp. 1,983,600
----------------------------------------------------------------
19,300 Niagara Mohawk Power Corp. 267,788
----------------------------------------------------------------
7,000 NICOR, Inc. 173,250
----------------------------------------------------------------
16,400 Noram Energy Corp. 100,450
----------------------------------------------------------------
</TABLE>
FEDERATED MAX-CAP FUND
(FORMERLY, MAX-CAP FUND)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ----------- ---------------------------------------------------------------- ------------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- -----------------------------------------------------------------------------------
UTILITIES--CONTINUED
----------------------------------------------------------------
9,000 Northern States Power Co. $ 398,250
----------------------------------------------------------------
56,600 NYNEX Corp. 2,313,525
----------------------------------------------------------------
20,500 Ohio Edison Co. 412,563
----------------------------------------------------------------
3,600 ONEOK, Inc. 68,850
----------------------------------------------------------------
11,000 Pacific Enterprises 270,875
----------------------------------------------------------------
58,000 Pacific Gas & Electric Co. 1,558,750
----------------------------------------------------------------
56,900 Pacific Telesis Group 1,756,788
----------------------------------------------------------------
38,100 Pacificorp 723,900
----------------------------------------------------------------
20,000 Panhandle Eastern Corp. 480,000
----------------------------------------------------------------
29,700 Peco Energy Co. 764,775
----------------------------------------------------------------
4,700 Peoples Energy Corp. 118,675
----------------------------------------------------------------
32,800 Public Service Enterprises Group, Inc. 902,000
----------------------------------------------------------------
60,100 SCE Corp. 1,006,675
----------------------------------------------------------------
11,700 Sonat, Inc. 355,388
----------------------------------------------------------------
87,700 Southern Co. 1,808,813
----------------------------------------------------------------
80,500 Southwestern Bell Corp. 3,552,063
----------------------------------------------------------------
46,800 Sprint Corp. 1,544,400
----------------------------------------------------------------
30,300 Texas Utilities Co. 988,538
----------------------------------------------------------------
61,200 U.S. West, Inc. 2,532,150
----------------------------------------------------------------
28,700 Unicom Corp. 753,375
----------------------------------------------------------------
13,700 Union Electric Co. 488,063
----------------------------------------------------------------
12,200 Williams Companies, Inc. (The) 401,075
---------------------------------------------------------------- ------------
Total 65,425,784
---------------------------------------------------------------- ------------
TOTAL COMMON STOCKS (IDENTIFIED COST $434,803,474) 503,900,839
---------------------------------------------------------------- ------------
</TABLE>
FEDERATED MAX-CAP FUND
(FORMERLY, MAX-CAP FUND)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT VALUE
- ----------- ---------------------------------------------------------------- ------------
<C> <C> <S> <C>
SHORT-TERM U.S. GOVERNMENT OBLIGATIONS--0.8%
- -----------------------------------------------------------------------------------
$ 4,500,000 United States Treasury Bill, 6/1/1995 $ 4,479,570
---------------------------------------------------------------- ------------
TOTAL SHORT-TERM U.S. GOVERNMENT OBLIGATIONS
(IDENTIFIED COST $4,477,680) 4,479,570
---------------------------------------------------------------- ------------
(B)REPURCHASE AGREEMENT--21.6%
- -----------------------------------------------------------------------------------
126,700,000 J.P. Morgan Securities, Inc., 5.97%, dated 4/28/1995, due
5/1/1995
(AT AMORTIZED COST) 126,700,000
---------------------------------------------------------------- ------------
TOTAL INVESTMENTS (IDENTIFIED COST $565,981,154)(C) $635,080,409
---------------------------------------------------------------- ------------
</TABLE>
(a) Non-income producing securities.
(b) The repurchase agreement is fully collateralized by U.S. government
obligations based on market prices at the date of the portfolio. The
investment in the repurchase agreement is through participation in joint
accounts with other Federated funds.
(c) The cost of investments for federal tax purposes amounts to $565,981,154.
The net unrealized appreciation of investments on a federal tax basis
amounts to $69,099,255, which is comprised of $82,219,889 appreciation and
$13,120,634 depreciation at April 30, 1995.
Note: The categories of investments are shown as a percentage of net assets
($585,792,585 at April 30, 1995.
The following abbreviation is used throughout this portfolio:
ADR -- American Depository Receipt
(See Notes which are an integral part of the Financial Statements)
FEDERATED MAX-CAP FUND
(FORMERLY, MAX-CAP FUND)
STATEMENT OF ASSETS AND LIABILITIES
APRIL 30, 1995 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<S> <C> <C>
ASSETS:
- -------------------------------------------------------------------------------------
Investment in repurchase agreements, at amortized cost $126,700,000
- ----------------------------------------------------------------------
Investments in securities, at value 508,380,409
- ---------------------------------------------------------------------- ------------
Total investments, at amortized cost and value
(identified and tax cost $565,981,154) $635,080,409
- -------------------------------------------------------------------------------------
Cash 1,015,358
- -------------------------------------------------------------------------------------
Income receivable 889,340
- -------------------------------------------------------------------------------------
Receivable for shares sold 770,767
- -------------------------------------------------------------------------------------
Receivable for daily variation margin on open futures contracts 220,400
- -------------------------------------------------------------------------------------
Deferred expenses 250
- ------------------------------------------------------------------------------------- ------------
Total assets 637,976,524
- -------------------------------------------------------------------------------------
LIABILITIES:
- -------------------------------------------------------------------------------------
Payable for investments purchased 49,895,900
- ----------------------------------------------------------------------
Payable for shares redeemed 2,231,366
- ----------------------------------------------------------------------
Taxes payable 2,813
- ----------------------------------------------------------------------
Accrued expenses 53,860
- ---------------------------------------------------------------------- ------------
Total liabilities 52,183,939
- ------------------------------------------------------------------------------------- ------------
NET ASSETS for 44,859,384 shares outstanding $585,792,585
- ------------------------------------------------------------------------------------- ------------
NET ASSETS CONSIST OF:
- -------------------------------------------------------------------------------------
Paid-in capital $507,478,592
- -------------------------------------------------------------------------------------
Net unrealized appreciation (depreciation) of investments and futures contracts 72,184,339
- -------------------------------------------------------------------------------------
Accumulated undistributed net realized gain (loss) on investments and futures
contracts 4,670,365
- -------------------------------------------------------------------------------------
Undistributed net investment income 1,459,289
- ------------------------------------------------------------------------------------- ------------
Total Net Assets $585,792,585
- ------------------------------------------------------------------------------------- ------------
NET ASSET VALUE, Offering Price and Redemption Proceeds Per Share:
Institutional Shares (net assets of $564,959,154 / 43,263,476 shares outstanding) $13.06
- ------------------------------------------------------------------------------------- ------------
Institutional Service Shares (net assets of $20,833,431 / 1,595,908 shares
outstanding) $13.05
- ------------------------------------------------------------------------------------- ------------
</TABLE>
(See Notes which are an integral part of the Financial Statements)
FEDERATED MAX-CAP FUND
(FORMERLY, MAX-CAP FUND)
STATEMENT OF OPERATIONS
SIX MONTHS ENDED APRIL 30, 1995 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<S> <C> <C> <C>
INVESTMENT INCOME:
- --------------------------------------------------------------------------------------------
Dividends $ 5,261,275
- --------------------------------------------------------------------------------------------
Interest 2,827,220
- -------------------------------------------------------------------------------------------- -----------
Total investment income 8,088,495
- --------------------------------------------------------------------------------------------
EXPENSES:
- --------------------------------------------------------------------------------------------
Management fee $724,724
- --------------------------------------------------------------------------------
Directors'/Trustees' fees 3,167
- --------------------------------------------------------------------------------
Custodian and portfolio accounting fees 96,630
- --------------------------------------------------------------------------------
Transfer agent and dividend disbursing agent fees and expenses 31,405
- --------------------------------------------------------------------------------
Shareholder services fee 17,470
- --------------------------------------------------------------------------------
Share registration costs 29,480
- --------------------------------------------------------------------------------
Auditing fees 6,679
- --------------------------------------------------------------------------------
Legal fees 4,887
- --------------------------------------------------------------------------------
Printing and postage 24,842
- --------------------------------------------------------------------------------
Insurance premiums 5,792
- --------------------------------------------------------------------------------
Distribution service fees 20,964
- --------------------------------------------------------------------------------
Taxes 4,796
- --------------------------------------------------------------------------------
Miscellaneous 2,896
- -------------------------------------------------------------------------------- --------
Total expenses 973,732
- --------------------------------------------------------------------------------
Deduct--
- --------------------------------------------------------------------------------
Waiver of management fee $185,506
- ---------------------------------------------------------------------
Waiver of distribution service fees 17,470 202,976
- --------------------------------------------------------------------- -------- --------
Net expenses 770,756
- -------------------------------------------------------------------------------------------- -----------
Net investment income 7,317,739
- -------------------------------------------------------------------------------------------- -----------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND FUTURES CONTRACTS:
- --------------------------------------------------------------------------------------------
Net realized gain (loss) on investments 193,559
- --------------------------------------------------------------------------------------------
Net realized gain (loss) on futures contracts 4,867,418
- --------------------------------------------------------------------------------------------
Net change in unrealized appreciation (depreciation) of investments and futures contracts 39,333,917
- -------------------------------------------------------------------------------------------- -----------
Net realized and unrealized gain (loss) on investments and futures contracts 44,394,894
- -------------------------------------------------------------------------------------------- -----------
Change in net assets resulting from operations $51,712,633
- -------------------------------------------------------------------------------------------- -----------
</TABLE>
(See Notes which are an integral part of the Financial Statements)
FEDERATED MAX-CAP FUND
(FORMERLY, MAX-CAP FUND)
STATEMENT OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SIX MONTHS
ENDED
APRIL 30, 1995 YEAR ENDED
(UNAUDITED) OCTOBER 31, 1994
-------------- ----------------
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS:
- --------------------------------------------------------------------
OPERATIONS--
- --------------------------------------------------------------------
Net investment income $ 7,317,739 $ 11,562,305
- --------------------------------------------------------------------
Net realized gain (loss) on investments and futures contracts
($5,060,977 and $973,460 net gains, respectively, as computed for
federal
income tax purposes) 5,060,977 1,155,375
- --------------------------------------------------------------------
Net change in unrealized appreciation (depreciation) of investments
and futures contracts 39,333,917 3,003,321
- -------------------------------------------------------------------- ------------- --------------
Change in net assets resulting from operations 51,712,633 15,721,001
- -------------------------------------------------------------------- ------------- --------------
DISTRIBUTIONS TO SHAREHOLDERS--
- --------------------------------------------------------------------
Distributions from net investment income
- --------------------------------------------------------------------
Institutional Shares (6,640,781) (10,781,243)
- --------------------------------------------------------------------
Institutional Service Shares (178,876) (115,401)
- --------------------------------------------------------------------
Distributions from net realized gains on investments and futures
contracts
- --------------------------------------------------------------------
Institutional Shares (729,209) (11,507,864)
- --------------------------------------------------------------------
Institutional Service Shares (14,188) (108,965)
- -------------------------------------------------------------------- ------------- --------------
Change in net assets resulting from distributions to
shareholders (7,563,054) (22,513,473)
- -------------------------------------------------------------------- ------------- --------------
SHARE TRANSACTIONS--
- --------------------------------------------------------------------
Proceeds from sale of Shares 180,237,625 215,864,930
- --------------------------------------------------------------------
Net asset value of Shares issued to shareholders in payment of
distributions declared 3,024,826 8,535,336
- --------------------------------------------------------------------
Cost of Shares redeemed (94,051,802) (174,914,182)
- -------------------------------------------------------------------- ------------- --------------
Change in net assets resulting from Share transactions 89,210,649 49,486,084
- -------------------------------------------------------------------- ------------- --------------
Change in net assets 133,360,228 42,693,612
- --------------------------------------------------------------------
NET ASSETS:
- --------------------------------------------------------------------
Beginning of period 452,432,357 409,738,745
- -------------------------------------------------------------------- ------------- --------------
End of period (including undistributed net investment income of
$1,459,289 and $961,205, respectively) $585,792,585 $ 452,432,357
- -------------------------------------------------------------------- ------------- --------------
</TABLE>
(See Notes which are an integral part of the Financial Statements)
FEDERATED MAX-CAP FUND
(FORMERLY, MAX-CAP FUND)
FINANCIAL HIGHLIGHTS--INSTITUTIONAL SHARES
- --------------------------------------------------------------------------------
(FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD)
<TABLE>
<CAPTION>
SIX MONTHS
ENDED YEAR ENDED OCTOBER 31,
APRIL 30, 1995 -------------------------------------------------------
(UNAUDITED) 1994 1993 1992 1991 1990(A)
-------------- ------ ------ ------ ------ -------
<S> <C> <C> <C> <C> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD $12.02 $12.24 $11.64 $11.07 $ 8.60 $10.00
- -----------------------------------------
INCOME FROM INVESTMENT OPERATIONS
- -----------------------------------------
Net investment income 0.18 0.32 0.30 0.32 0.37 0.12
- -----------------------------------------
Net realized and unrealized gain (loss)
on investments and futures contracts 1.05 0.10 1.29 0.71 2.46 (1.43)
- ----------------------------------------- --------- ----- ----- ----- ----- ------
Total from investment operations 1.23 0.42 1.59 1.03 2.83 (1.31)
- -----------------------------------------
LESS DISTRIBUTIONS
- -----------------------------------------
Distributions from net investment
income (0.17) (0.30) (0.30) (0.34) (0.36) (0.09)
- -----------------------------------------
Distributions from net realized gains
on investments and futures contracts (0.02) (0.34) (0.69) (0.12) -- --
- ----------------------------------------- --------- ----- ----- ----- ----- ------
Total distributions (0.19) (0.64) (0.99) (0.46) (0.36) (0.09)
- ----------------------------------------- --------- ----- ----- ----- ----- ------
NET ASSET VALUE, END OF PERIOD $13.06 $12.02 $12.24 $11.64 $11.07 $ 8.60
- ----------------------------------------- --------- ----- ----- ----- ----- ------
TOTAL RETURN(B) 10.36% 3.59% 14.35% 9.51% 33.31% (14.46%)
- -----------------------------------------
RATIO TO AVERAGE NET ASSETS
- -----------------------------------------
Expenses 0.31%(d) 0.32% 0.31% 0.30% 0.24% 0.00%(d)
- -----------------------------------------
Net investment income 3.04%(d) 2.70% 2.60% 2.92% 3.74% 5.19%(d)
- -----------------------------------------
Expense waiver/reimbursement(c) 0.08%(d) 0.07% 0.09% 0.18% 0.45% 0.94%(d)
- -----------------------------------------
SUPPLEMENTAL DATA
- -----------------------------------------
Net assets, end of period (000 omitted) $564,959 $443,815 $407,246 $309,614 $144,528 $25,129
- -----------------------------------------
Portfolio turnover 2% 2% 13% 46% 6% 0%
- -----------------------------------------
</TABLE>
(a) Reflects operations for the period from July 5, 1990 (date of initial public
offering) to October 31, 1990.
(b) Based on net asset value, which does not reflect the sales load or
contingent deferred sales charge, if applicable.
(c) This voluntary expense decrease is reflected in both the expense and net
investment income ratios shown above.
(d) Computed on an annualized basis.
(See Notes which are an integral part of the Financial Statements)
FEDERATED MAX-CAP FUND
(FORMERLY, MAX-CAP FUND)
FINANCIAL HIGHLIGHTS--INSTITUTIONAL SERVICE SHARES
- --------------------------------------------------------------------------------
(FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD)
<TABLE>
<CAPTION>
SIX MONTHS
ENDED YEAR ENDED OCTOBER 31,
APRIL 30, 1995 -------------------------
(UNAUDITED) 1994 1993(A)
-------------- ------ -------
<S> <C> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD $12.02 $12.24 $12.12
- --------------------------------------------------------------
INCOME FROM INVESTMENT OPERATIONS
- --------------------------------------------------------------
Net investment income 0.16 0.28(d) 0.07
- --------------------------------------------------------------
Net realized and unrealized gain (loss) on investments and
futures contracts 1.05 0.11 0.12
- -------------------------------------------------------------- --------- ----- ------
Total from investment operations 1.21 0.39 0.19
- --------------------------------------------------------------
LESS DISTRIBUTIONS
- --------------------------------------------------------------
Distributions from net investment income (0.16) (0.27) (0.07)
- --------------------------------------------------------------
Distributions from net realized gains on investment and
futures contracts (0.02) (0.34) --
- -------------------------------------------------------------- --------- ----- ------
Total distributions (0.18) (0.61) (0.07)
- -------------------------------------------------------------- --------- ----- ------
NET ASSET VALUE, END OF PERIOD $13.05 $12.02 $12.24
- -------------------------------------------------------------- --------- ----- ------
TOTAL RETURN(B) 10.15% 3.30% 1.70%
- --------------------------------------------------------------
RATIOS TO AVERAGE NET ASSETS
- --------------------------------------------------------------
Expenses 0.61%(e) 0.62% 0.61%(e)
- --------------------------------------------------------------
Net investment income 2.68%(e) 2.35% 1.52%(e)
- --------------------------------------------------------------
Expense waiver/reimbursement(c) 0.33%(e) 0.26% 0.09%(e)
- --------------------------------------------------------------
SUPPLEMENTAL DATA
- --------------------------------------------------------------
Net assets, end of period (000 omitted) $20,833 $8,617 $2,493
- --------------------------------------------------------------
Portfolio turnover 2% 2% 13%
- --------------------------------------------------------------
</TABLE>
(a) Reflects operations for the period from August 30, 1993 (date of initial
public investment) to October 31, 1993.
(b) Based on net asset value, which does not reflect the sales load or
contingent deferred sales charge, if applicable.
(c) This voluntary expense decrease is reflected in both the expense and net
investment income ratios shown above.
(d) Per share information presented is based upon the monthly average number of
shares outstanding due to large fluctuations in the number of shares
outstanding during the period.
(e) Computed on an annualized basis.
(See Notes which are an integral part of the Financial Statements)
FEDERATED MAX-CAP FUND
(FORMERLY, MAX-CAP FUND)
NOTES TO FINANCIAL STATEMENTS
APRIL 30, 1995 (UNAUDITED)
- --------------------------------------------------------------------------------
(1) ORGANIZATION
Federated Index Trust (the "Trust") is registered under the Investment Company
Act of 1940, as amended (the "Act"), as an open-end management investment
company. The Trust consists of three diversified portfolios. The financial
statements included herein present only those of Federated Max-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. The Fund offers
two classes of Shares: Institutional Shares and Institutional Services Shares.
Effective December 5, 1994, the Board of Trustees ("Trustees") changed the name
of the Fund from Max-Cap Fund to Federated Max-Cap Fund.
(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. These
policies are in conformity with generally accepted accounting principles.
<TABLE>
<S> <C>
INVESTMENT VALUATIONS--Listed equity securities are valued at the last sales price
reported on national securities exchanges. Unlisted securities and short-term securities
are generally valued at the prices provided by an independent pricing service.
Short-term securities with remaining maturities of sixty days or less at the time of
purchase may be valued at amortized cost, which approximates fair market value. Futures
contracts are valued daily at the last sale price provided by the board of trade or
exchange from which they are purchased.
REPURCHASE AGREEMENTS--It is the policy of the Fund to require the custodian bank to
take possession, to have legally segregated in the Federal Reserve Book Entry System, or
to have segregated within the custodian bank's vault, all securities held as collateral
under repurchase agreement transactions. Additionally, procedures have been established
by the Fund to monitor, on a daily basis, the market value of each repurchase
agreement's collateral to ensure that the value of collateral at least equals the
repurchase price to be paid under the repurchase agreement transaction.
The 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 adviser
to be creditworthy pursuant to guidelines and/or standards reviewed or established by
the Trustees. Risks may arise from the potential inability of counterparties to honor
the terms of the repurchase agreement. Accordingly, the Fund could receive less than the
repurchase price on the sale of collateral securities.
</TABLE>
FEDERATED MAX-CAP FUND
(FORMERLY, MAX-CAP FUND)
- --------------------------------------------------------------------------------
<TABLE>
<S> <C>
INVESTMENT INCOME, EXPENSES AND DISTRIBUTIONS--Dividend income and distributions to
shareholders are recorded on the ex-dividend date. Interest income and expenses are
accrued daily. Bond premium and discount, if applicable, are amortized as required by
the Internal Revenue Code, as amended (the "Code").
FEDERAL TAXES--It is the Fund's policy to comply with the provisions of the Code
applicable to regulated investment companies and to distribute to shareholders each year
substantially all of its income. Accordingly, no provisions for federal tax are
necessary.
WHEN-ISSUED AND DELAYED DELIVERY TRANSACTIONS--The Fund may engage in when-issued or
delayed delivery transactions. The Fund records when-issued securities on the trade date
and maintains 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.
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 not to
exceed a period of five years from the Fund's commencement date.
FUTURES CONTRACTS--Upon entering into a financial futures contract with a broker, the
Fund is required to deposit in a segregated account an amount of cash or U.S. government
securities 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 and the price at which the contract was made. On a
daily basis, the value of a financial 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.
Risks of entering into futures contracts include the possibility that a change in the
value of the contract may not correlate with changes in the value of the underlying
securities. Risks may also arise from the inabilities of counterparties to perform under
the terms of the contract.
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.
At April 30, 1995, the Fund had outstanding futures contracts as set forth below:
</TABLE>
<TABLE>
<CAPTION>
UNREALIZED
CONTRACTS TO APPRECIATION
EXPIRATION DATE DELIVER/RECEIVE VALUE (DEPRECIATION)
---------------- ------------------------- ---------------- ----------------
<S> <C> <C> <C>
June 1995 304 S&P 500 Index Futures $78,546,000 $3,085,084
FEDERATED MAX-CAP FUND
(FORMERLY, MAX-CAP FUND)
- --------------------------------------------------------------------------------
</TABLE>
<TABLE>
<S> <C>
OTHER--Investment transactions are accounted for on the trade date.
</TABLE>
(3) 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) for each
class of shares. Transactions in shares were as follows:
<TABLE>
<CAPTION>
SIX MONTHS ENDED YEAR ENDED OCTOBER 31, 1994
APRIL 30, 1995
-------------------------- ----------------------------
INSTITUTIONAL SHARES SHARES DOLLARS SHARES DOLLARS
- ------------------------------------------- ---------- ------------ ----------- -------------
<S> <C> <C> <C> <C>
Shares sold 13,608,001 $167,029,214 17,555,003 $ 207,304,786
- -------------------------------------------
Shares issued to shareholders in payment of
distributions declared 234,320 2,834,791 718,661 8,439,495
- -------------------------------------------
Shares redeemed (7,509,451) (91,229,390) (14,617,884) (172,243,416)
- ------------------------------------------- ---------- ------------ ----------- -------------
Net change resulting from Institutional
Shares transactions 6,332,870 $ 78,634,615 3,655,780 $ 43,500,865
- ------------------------------------------- ---------- ------------ ----------- -------------
</TABLE>
<TABLE>
<CAPTION>
SIX MONTHS ENDED YEAR ENDED OCTOBER 31, 1994
APRIL 30, 1995
-------------------------- ----------------------------
INSTITUTIONAL SERVICE SHARES SHARES DOLLARS SHARES DOLLARS
- ------------------------------------------- ---------- ------------ ----------- -------------
<S> <C> <C> <C> <C>
Shares sold 1,092,758 $ 13,208,411 734,647 $ 8,560,144
- -------------------------------------------
Shares issued to shareholders in payment of
distributions declared 15,469 190,035 8,223 95,841
- -------------------------------------------
Shares redeemed (229,218) (2,822,412) (229,644) (2,670,766)
- ------------------------------------------- ---------- ------------ ----------- -------------
Net change resulting from Institutional
Service Shares transactions 879,009 $ 10,576,034 513,226 $ 5,985,219
- ------------------------------------------- ---------- ------------ ----------- -------------
Net change resulting from share
transactions 7,211,879 $ 89,210,649 4,169,006 $ 49,486,084
- ------------------------------------------- ---------- ------------ ----------- -------------
</TABLE>
(4) MANAGEMENT FEE AND OTHER TRANSACTIONS WITH AFFILIATES
MANAGEMENT FEE--Federated Management, the Fund's Manager (the "Manager"),
receives for its services an annual investment advisory fee equal to .30 of 1%
of the Fund's average daily net assets. Federated Management has entered into a
sub-management contract with ANB Investment Management and Trust Company
("Sub-Manager"). The Manager shall pay the Sub-Manager an investment advisory
fee based on the average daily net assets of the Fund as follows: .05 of 1% on
the first $100 million, .02 of 1% on the next $100 million, and .01 of 1%
thereafter. The Manager may voluntarily
FEDERATED MAX-CAP FUND
(FORMERLY, MAX-CAP FUND)
- --------------------------------------------------------------------------------
choose to waive a portion of its fees. The Manager can modify or terminate this
voluntary waiver at any time at its sole discretion.
DISTRIBUTION AND SHAREHOLDER SERVICES FEE--The Fund has adopted a Distribution
Plan (the "Plan") pursuant to Rule 12b-1 under the Act. Under the terms of the
Plan, the Fund will compensate Federated Securities Corp. ("FSC"), the principal
distributor, from the net assets of the Fund to finance activities intended to
result in the sale of the Fund's Institutional Service Shares. The Plan provides
that the Fund may incur distribution expenses up to .30 of 1% of the average
daily net assets of the Institutional Service Shares, annually, to compensate
FSC.
Under the terms of a Shareholder Services Agreement with Federated Shareholder
Services ("FSS"), the Fund will pay FSS up to .25 of 1% of average daily net
assets of the Institutional Service Shares for the period. This fee is to obtain
certain services for shareholders and to maintain the shareholder accounts.
TRANSFER AGENT AND DIVIDEND DISBURSING AGENT FEES AND EXPENSES--Federated
Services Company ("FServ") serves as transfer and dividend disbursing agent for
the Fund. The fee is based on the size, type, and number of accounts and
transactions made by shareholders.
Certain of the Officers and Trustees of the Trust are Officers and Directors or
Trustees of the above companies.
(5) INVESTMENT TRANSACTIONS
Purchases and sales of investments, excluding short-term securities, for the six
months ended April 30, 1995, were as follows:
<TABLE>
<S> <C>
PURCHASES $110,912,874
- ------------------------------------------------------------------------------ ------------
SALES $ 6,223,237
- ------------------------------------------------------------------------------ ------------
</TABLE>
<TABLE>
<S> <C>
TRUSTEES OFFICERS
- ---------------------------------------------------------------------------------------------
John F. Donahue John F. Donahue
John T. Conroy, Jr. Chairman
William J. Copeland Glen R. Johnson
J. Christopher Donahue President
James E. Dowd J. Christopher Donahue
Lawrence D. Ellis, M.D. Vice President
Edward L. Flaherty, Jr. Richard B. Fisher
Peter E. Madden Vice President
Gregor F. Meyer Edward C. Gonzales
John E. Murray, Jr. Vice President and Treasurer
Wesley W. Posvar John W. McGonigle
Marjorie P. Smuts Vice President and Secretary
David M. Taylor
Assistant Treasurer
J. Crilley Kelly
Assistant Secretary
</TABLE>
Mutual funds are not bank deposits or obligations, are not guaranteed by any
bank, and are not insured or guaranteed by the U.S. government, the Federal
Deposit Insurance Corporation, the Federal Reserve Board, or any other
government agency. Investment in mutual funds involves risk, including possible
loss of principal.
This report is authorized for distribution to prospective investors only when
preceded or accompanied by the fund's prospectus which contains facts concerning
its objective and policies, management fees, expenses and other information.
- --------------------------------------------------------------------------------
FEDERATED
- --------------------------------------------------------------------------------
MID-CAP
- --------------------------------------------------------------------------------
FUND
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
SEMI-ANNUAL REPORT
TO SHAREHOLDERS
APRIL 30, 1995
FEDERATED SECURITIES CORP.
(LOGO)
- ---------------------------------------------
Distributor
A subsidiary of FEDERATED INVESTORS
FEDERATED INVESTORS TOWER
PITTSBURGH, PA 15222-3779
31420E205
3042108 (6/95)
PRESIDENT'S MESSAGE
- --------------------------------------------------------------------------------
Dear Shareholder:
I am pleased to present the Semi-Annual Report to Shareholders of Federated
Mid-Cap Fund for the six-month period ended April 30, 1995. This report includes
our Investment Review as well as the Financial Statements, which contain the
fund's Portfolio of Investments.
Federated Mid-Cap Fund seeks performance that tracks that of the Standard &
Poor's MidCap 400 Index* (the S&P MidCap 400), which consists of 400 common
stocks issued by medium-sized domestic companies with a median market
capitalization of $1.1 billion. Stocks in the fund are weighted in the same
proportions as the stocks that make up the S&P MidCap 400, except when the
percentage is too minor to efficiently replicate.
The fund's net assets increased from $44.0 million on October 31, 1994 to $51.2
million on April 30, 1995. Between the first and last days of the period, the
fund's net asset value rose from $11.02 to $11.36.** Dividends of $.10 per share
and capital gains of $.19 per share were paid over the six-month period.
Thank you for your confidence in the fund. We will continue to provide you with
quality investment products and the highest level of service. As always, we
invite your comments and suggestions.
Sincerely,
Glen R. Johnson
President
June 15, 1995
* The S&P MidCap 400 is unmanaged.
** Performance quoted represents past performance. Investment return and
principal value will fluctuate, so that an investor's shares, when redeemed,
may be worth more or less than their original cost.
INVESTMENT REVIEW
- --------------------------------------------------------------------------------
The total return of the Federated Mid-Cap Fund over the past 6 months was
5.93%.*
The main concern six months ago was that the economy was too strong, that the
Federal Reserve would be forced to keep raising interest rates to stop inflation
from accelerating, and that equity markets would remain under pressure. Since
then the interest rate on 30-year Treasury bonds have fallen more than 100 basis
points, and the dollar has declined more than 15% against the mark and the yen.
Operating rates are now below the critical 85% level, lessening the concern over
inflation, and Gross Domestic Product growth has slowed from 5.1% in the 4th
quarter of 1994, to 2.7% in the 1st quarter of 1995. The "soft landing" scenario
is now seen as the most likely one.
This change produced the expected reaction from the U.S. equity markets. For the
past 6 months the total returns of the Standard & Poor's 500 Index (S&P 500),
Standard & Poor's MidCap 400
(S&P MidCap 400), and the Russell 2000 Small Stock Index (Russell 2000) were
10.46%, 6.37%, and 5.53% respectively.** The S&P 500 outperformed the smaller
capitalization indexes because more companies in the S&P 500 will likely benefit
from increased exports due to the weaker dollar. However, if the dollar
strengthens from here it is likely that some, if not all, of this outperformance
would be reversed.
* Performance quoted represents past performance. Investment return and
principal value will fluctuate, so that an investor's shares, when redeemed,
may be worth more or less than their original cost.
** The S&P 500, S&P MidCap 400, and Russell 2000 are unmanaged.
FEDERATED MID-CAP FUND
PORTFOLIO OF INVESTMENTS
APRIL 30, 1995 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ---------- ------------------------------------------------------------------ -----------
<C> <C> <S> <C>
COMMON STOCKS--87.4%
- ------------------------------------------------------------------------------------
COMMERCIAL SERVICES--3.7%
------------------------------------------------------------------
800 Angelica Corp. $ 20,600
------------------------------------------------------------------
1,800 Banta Corp. 60,300
------------------------------------------------------------------
4,100 Cintas Corp. 157,850
------------------------------------------------------------------
1,500 Ennis Business Forms, Inc. 20,062
------------------------------------------------------------------
6,800 Equifax, Inc. 220,150
------------------------------------------------------------------
2,800 Flightsafety International, Inc. 137,900
------------------------------------------------------------------
3,375 Kelly Services, Inc., Class A 113,906
------------------------------------------------------------------
1,200 Lawson Products, Inc. 32,925
------------------------------------------------------------------
6,600 Manpower, Inc. 220,473
------------------------------------------------------------------
3,700 Olsten Corp. 126,263
------------------------------------------------------------------
3,200 Omnicom Group, Inc. 178,000
------------------------------------------------------------------
2,700 Paychex, Inc. 128,588
------------------------------------------------------------------
3,700 Reynolds & Reynolds Co., Class A 98,050
------------------------------------------------------------------
3,200 Rollins, Inc. 90,000
------------------------------------------------------------------
6,500 Sensormatic Electronics Corp. 193,375
------------------------------------------------------------------
2,500 Standard Register 46,250
------------------------------------------------------------------
2,000 Wallace Computer, Inc. 66,750
------------------------------------------------------------------ -----------
Total 1,911,442
------------------------------------------------------------------ -----------
CONSUMER DURABLES--2.0%
------------------------------------------------------------------
6,000 Callaway Golf Co. 74,250
------------------------------------------------------------------
1,400 Carlisle Cos., Inc. 52,675
------------------------------------------------------------------
6,725 Clayton Homes, Inc. 113,484
------------------------------------------------------------------
1,500 Cross (A.T.) Co., Class A 25,500
------------------------------------------------------------------
1,400 (a) Gibson Greetings, Inc. 14,000
------------------------------------------------------------------
</TABLE>
FEDERATED MID-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ---------- ------------------------------------------------------------------ -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ------------------------------------------------------------------------------------
CONSUMER DURABLES--CONTINUED
------------------------------------------------------------------
6,800 Harley Davidson, Inc. $ 162,350
------------------------------------------------------------------
11,400 International Game Technology 146,775
------------------------------------------------------------------
3,600 Leggett and Platt, Inc. 138,600
------------------------------------------------------------------
700 National Presto Industries, Inc. 32,375
------------------------------------------------------------------
12,800 Shaw Industries, Inc. 168,000
------------------------------------------------------------------
1,700 Stanhome, Inc. 49,300
------------------------------------------------------------------
4,200 (a) Topps Co. 26,250
------------------------------------------------------------------ -----------
Total 1,003,559
------------------------------------------------------------------ -----------
CONSUMER NON-DURABLES--3.6%
------------------------------------------------------------------
1,700 Church and Dwight, Inc. 31,662
------------------------------------------------------------------
11,500 Coca Cola Enterprises, Inc. 257,312
------------------------------------------------------------------
3,500 Dean Foods Co. 99,750
------------------------------------------------------------------
1,400 Dreyers Grand Ice Cream, Inc. 41,650
------------------------------------------------------------------
2,000 First Brands Corp. 77,000
------------------------------------------------------------------
3,300 Flowers Industries, Inc. 57,337
------------------------------------------------------------------
6,700 Fruit of the Loom, Inc., Class A 174,200
------------------------------------------------------------------
4,200 IBP, Inc. 155,400
------------------------------------------------------------------
1,600 International Multifoods Corp. 32,800
------------------------------------------------------------------
2,700 Lance, Inc. 47,250
------------------------------------------------------------------
7,200 McCormick & Co., Inc. 158,400
------------------------------------------------------------------
1,700 Michael Foods, Inc. 21,356
------------------------------------------------------------------
2,400 Phillips Van Heusen Corp. 36,900
------------------------------------------------------------------
2,300 Savannah Foods & Industries, Inc. 22,138
------------------------------------------------------------------
2,600 Smucker (J.M.) Co., Class A 55,900
------------------------------------------------------------------
3,200 Tambrands, Inc. 133,200
------------------------------------------------------------------
13,100 Tyson Foods, Inc., Class A 311,125
------------------------------------------------------------------
</TABLE>
FEDERATED MID-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ---------- ------------------------------------------------------------------ -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ------------------------------------------------------------------------------------
CONSUMER NON-DURABLES--CONTINUED
------------------------------------------------------------------
3,100 Universal Corp. $ 70,913
------------------------------------------------------------------
2,300 Universal Foods Corp. 74,750
------------------------------------------------------------------ -----------
Total 1,859,043
------------------------------------------------------------------ -----------
CONSUMER SERVICES--4.0%
------------------------------------------------------------------
1,800 Belo (A.H.) Corp., Series A 108,225
------------------------------------------------------------------
3,700 Bob Evans Farms, Inc. 75,850
------------------------------------------------------------------
6,175 (a) Brinker International, Inc. 105,747
------------------------------------------------------------------
2,700 (a) Buffets, Inc. 27,337
------------------------------------------------------------------
2,621 (a) Chris Craft Industries, Inc. 88,459
------------------------------------------------------------------
7,600 (a) Circus Circus Enterprises, Inc. 251,750
------------------------------------------------------------------
5,350 Cracker Barrel Old Country Store 113,687
------------------------------------------------------------------
4,000 (a) Hospitality Franchise Systems, Inc. 121,500
------------------------------------------------------------------
1,300 Houghton Mifflin Co. 62,562
------------------------------------------------------------------
2,200 (a) International Dairy Queen, Inc., Class A 41,800
------------------------------------------------------------------
2,000 Lee Enterprises, Inc. 71,750
------------------------------------------------------------------
2,300 Media General, Inc., Class A 74,750
------------------------------------------------------------------
8,100 Mirage Resorts, Inc. 243,000
------------------------------------------------------------------
3,150 Morrison Restaurants, Inc. 71,269
------------------------------------------------------------------
3,300 Multi Media, Inc. 124,163
------------------------------------------------------------------
2,200 (a) NPC International, Inc., Class A 12,788
------------------------------------------------------------------
1,800 Sbarro, Inc. 46,350
------------------------------------------------------------------
2,500 Sizzler International, Inc. 14,063
------------------------------------------------------------------
4,900 Sothebys Holdings, Inc. 65,538
------------------------------------------------------------------
2,200 TCA Cable TV, Inc. 54,725
------------------------------------------------------------------
1,000 Washington Post Co., Class B 257,750
------------------------------------------------------------------
1,900 (a) Western Publishing Group, Inc. 17,456
------------------------------------------------------------------ -----------
Total 2,050,519
------------------------------------------------------------------ -----------
</TABLE>
FEDERATED MID-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ---------- ------------------------------------------------------------------ -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ------------------------------------------------------------------------------------
ELECTRONIC TECHNOLOGY--9.4%
------------------------------------------------------------------
5,000 (a) ADC Telecommunications, Inc. $ 165,000
------------------------------------------------------------------
2,900 (a) AST Research, Inc. 51,475
------------------------------------------------------------------
1,800 (a) Altera Corp. 145,575
------------------------------------------------------------------
6,600 (a) Analog Devices, Inc. 177,375
------------------------------------------------------------------
4,000 (a) Atmel Corp. 176,000
------------------------------------------------------------------
9,762 (a) Bay Networks, Inc. 355,093
------------------------------------------------------------------
2,600 Beckman Instruments, Inc. 70,850
------------------------------------------------------------------
6,300 (a) Cabletron Systems, Inc. 299,250
------------------------------------------------------------------
2,700 (a) Cirrus Logic, Inc. 134,494
------------------------------------------------------------------
4,500 Conner Peripherals, Inc. 47,812
------------------------------------------------------------------
2,300 (a) Convex Computer Corp. 9,487
------------------------------------------------------------------
3,300 (a) Cypress Semiconductor Corp. 99,825
------------------------------------------------------------------
3,400 (a) Dell Computer Corp. 186,150
------------------------------------------------------------------
17,200 (a) EMC Corp. Mass 339,700
------------------------------------------------------------------
1,900 (a) Exabyte Corp. 23,987
------------------------------------------------------------------
2,800 GenCorp, Inc. 35,350
------------------------------------------------------------------
5,300 (a) LSI Logic Corp. 353,112
------------------------------------------------------------------
3,200 Linear Technology Corp. 191,200
------------------------------------------------------------------
4,100 (a) Litton Industries, Inc. 141,962
------------------------------------------------------------------
1,600 Measurex Corp. 40,000
------------------------------------------------------------------
4,300 (a) Mentor Graphics Corp. 72,563
------------------------------------------------------------------
7,000 Molex, Inc. 264,250
------------------------------------------------------------------
1,800 OEA, Inc. 55,125
------------------------------------------------------------------
2,100 (a) Octel Communications Corp. 47,513
------------------------------------------------------------------
4,000 (a) Quantum Corp. 74,000
------------------------------------------------------------------
1,600 (a) Rohr, Inc. 17,200
------------------------------------------------------------------
6,400 (a) Seagate Technology, Inc. 204,000
------------------------------------------------------------------
</TABLE>
FEDERATED MID-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ---------- ------------------------------------------------------------------ -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ------------------------------------------------------------------------------------
ELECTRONIC TECHNOLOGY--CONTINUED
------------------------------------------------------------------
900 (a) Sequa Corp., Class A $ 27,675
------------------------------------------------------------------
2,700 (a) Sequent Computer System, Inc. 44,719
------------------------------------------------------------------
5,380 (a) Storage Technology Corp. 111,635
------------------------------------------------------------------
2,100 (a) Stratus Computer, Inc. 62,475
------------------------------------------------------------------
2,900 Sundstrand Corp. 160,950
------------------------------------------------------------------
2,200 (a) Symbol Technologies, Inc. 72,875
------------------------------------------------------------------
3,200 (a) Teradyne, Inc. 162,000
------------------------------------------------------------------
1,700 Thiokol Corp. 47,388
------------------------------------------------------------------
3,000 Varian Association, Inc. 138,000
------------------------------------------------------------------
2,100 (a) Verifone, Inc. 49,613
------------------------------------------------------------------
2,000 Xilinx, Inc. 153,500
------------------------------------------------------------------ -----------
Total 4,809,178
------------------------------------------------------------------ -----------
ENERGY MINERALS--2.8%
------------------------------------------------------------------
5,200 Anadarko Petroleum Corp. 213,850
------------------------------------------------------------------
5,400 Apache Corp. 145,800
------------------------------------------------------------------
2,600 Diamond Shamrock, Inc. 69,875
------------------------------------------------------------------
7,100 Lyondell Petrochemical Co. 176,612
------------------------------------------------------------------
2,700 Mapco, Inc. 153,562
------------------------------------------------------------------
4,000 Murphy Oil Corp. 175,000
------------------------------------------------------------------
4,400 Noble Affiliates, Inc. 118,800
------------------------------------------------------------------
3,100 Parker & Parsley Petroleum Co. 66,263
------------------------------------------------------------------
2,800 Quaker State Corp. 39,900
------------------------------------------------------------------
8,700 Ranger Oil Ltd. 64,163
------------------------------------------------------------------
3,300 Tosco Corp. 113,025
------------------------------------------------------------------
3,800 Valero Energy Corp. 82,175
------------------------------------------------------------------ -----------
Total 1,419,025
------------------------------------------------------------------ -----------
</TABLE>
FEDERATED MID-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ---------- ------------------------------------------------------------------ -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ------------------------------------------------------------------------------------
FINANCE--15.2%
------------------------------------------------------------------
8,950 AON Corp. $ 330,031
------------------------------------------------------------------
8,850 Aflac, Inc. 365,062
------------------------------------------------------------------
3,750 Bancorp Hawaii, Inc. 105,469
------------------------------------------------------------------
22,000 Bank of New York Co., Inc. 723,250
------------------------------------------------------------------
10,205 Bear Stearns Cos., Inc. 210,478
------------------------------------------------------------------
3,450 Central Fidelity Banks, Inc. 88,191
------------------------------------------------------------------
4,000 City National Corp. 40,500
------------------------------------------------------------------
3,400 Comdisco, Inc. 95,625
------------------------------------------------------------------
10,500 Comerica, Inc. 301,875
------------------------------------------------------------------
3,300 Crestar Financial Corp. 148,500
------------------------------------------------------------------
2,800 Dauphin Deposit Corp. 67,375
------------------------------------------------------------------
5,325 Edwards (AG), Inc. 121,809
------------------------------------------------------------------
5,700 Fifth Third Bancorp 274,312
------------------------------------------------------------------
5,600 First America Bank Corp. 193,900
------------------------------------------------------------------
11,900 First Bank System, Inc. 481,950
------------------------------------------------------------------
4,400 First Security Corp. 105,050
------------------------------------------------------------------
3,000 First Tennessee National Corp. 127,500
------------------------------------------------------------------
2,900 First Virginia Bank, Inc. 98,237
------------------------------------------------------------------
7,200 Franklin Resources, Inc. 289,800
------------------------------------------------------------------
1,800 GATX Corp. 81,000
------------------------------------------------------------------
6,000 Green Tree Financial Corp. 245,250
------------------------------------------------------------------
1,800 Hartford Steam Boiler Insurance 79,650
------------------------------------------------------------------
3,000 Kemper Corp. 135,750
------------------------------------------------------------------
8,700 Marshall & Ilsley Corp. 175,088
------------------------------------------------------------------
3,850 Mercantile Bancorporation, Inc. 140,525
------------------------------------------------------------------
4,100 Mercantile Bankshares Corp. 86,613
------------------------------------------------------------------
5,100 Meridian Bancorp, Inc. 161,925
------------------------------------------------------------------
</TABLE>
FEDERATED MID-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ---------- ------------------------------------------------------------------ -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ------------------------------------------------------------------------------------
FINANCE--CONTINUED
------------------------------------------------------------------
6,800 Morgan Stanley & Co., Inc. $ 472,600
------------------------------------------------------------------
4,700 Northern Trust Corp. 171,844
------------------------------------------------------------------
1,500 PHH Corp. 60,375
------------------------------------------------------------------
8,900 PaineWebber Group, Inc. 152,481
------------------------------------------------------------------
1,800 (a) Policy Management System Corp. 90,675
------------------------------------------------------------------
6,400 Progressive Corp. Ohio 241,600
------------------------------------------------------------------
4,000 Provident Life & Accidental, Inc., Class B 89,000
------------------------------------------------------------------
4,030 Regions Financial Corp. 140,043
------------------------------------------------------------------
7,575 Schwab (Charles) Corp. 259,444
------------------------------------------------------------------
7,100 SouthTrust Corp. 152,650
------------------------------------------------------------------
7,200 State Street Boston Corp. 228,600
------------------------------------------------------------------
2,000 Transatlantic Holdings, Inc. 127,000
------------------------------------------------------------------
4,900 UJB Financial Corp. 134,138
------------------------------------------------------------------
3,100 West One Bancorp. 85,638
------------------------------------------------------------------
3,200 Wilmington Trust Corp. 80,800
------------------------------------------------------------------ -----------
Total 7,761,603
------------------------------------------------------------------ -----------
HEALTH SERVICES--3.3%
------------------------------------------------------------------
2,500 (a) Applied Bioscience International, Inc. 13,750
------------------------------------------------------------------
3,465 Bergen Brunswig Corp., Class A 82,294
------------------------------------------------------------------
3,675 Cardinal Health, Inc. 169,509
------------------------------------------------------------------
3,400 (a) Continental Medical Systems, Inc. 36,550
------------------------------------------------------------------
3,427 (a) Coram Healthcare Corp. 70,253
------------------------------------------------------------------
3,500 (a) FHP International Corp. 83,125
------------------------------------------------------------------
5,000 (a) Foundation Health Corp. 138,750
------------------------------------------------------------------
6,400 (a) HEALTHSOUTH Rehabilitation 126,400
------------------------------------------------------------------
3,000 (a) HealthCare COMPARE Corp. 90,187
------------------------------------------------------------------
2,700 (a) Healthcare & Retirement Corp. 76,275
------------------------------------------------------------------
</TABLE>
FEDERATED MID-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ---------- ------------------------------------------------------------------ -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ------------------------------------------------------------------------------------
HEALTH SERVICES--CONTINUED
------------------------------------------------------------------
2,800 (a) Healthsource, Inc. $ 100,450
------------------------------------------------------------------
3,800 McKesson Corp. 150,575
------------------------------------------------------------------
7,500 National Health Laboratories Holdings 112,500
------------------------------------------------------------------
5,700 (a) NovaCare, Inc. 49,163
------------------------------------------------------------------
2,700 (a) PacifiCare Health System, Inc., Class B 167,400
------------------------------------------------------------------
3,500 Surgical Care Affiliates, Inc. 81,375
------------------------------------------------------------------
3,600 (a) Value Health, Inc. 124,200
------------------------------------------------------------------ -----------
Total 1,672,756
------------------------------------------------------------------ -----------
HEALTH TECHNOLOGY--3.8%
------------------------------------------------------------------
2,500 (a) Acuson Corp. 28,750
------------------------------------------------------------------
1,200 (a) Advanced Technology Labs, Inc. 18,900
------------------------------------------------------------------
2,900 (a) Biogen, Inc. 113,825
------------------------------------------------------------------
4,100 Carter Wallace, Inc. 51,762
------------------------------------------------------------------
4,500 (a) Centocor, Inc. 63,562
------------------------------------------------------------------
3,556 (a) Chiron Corp. 196,469
------------------------------------------------------------------
1,400 (a) Cordis Corp. 100,450
------------------------------------------------------------------
1,400 (a) Datascope Corp. 25,200
------------------------------------------------------------------
2,500 Dentsply International, Inc. 88,125
------------------------------------------------------------------
1,200 Diagnostic Products Corp. 46,500
------------------------------------------------------------------
4,000 (a) Forest Laboratories, Inc., Class A 180,000
------------------------------------------------------------------
2,200 Genzyme Corp. 94,050
------------------------------------------------------------------
10,300 Ivax Corp. 266,512
------------------------------------------------------------------
7,000 Mylan Laboratories, Inc. 215,250
------------------------------------------------------------------
1,500 (a) Nellcor, Inc. 62,250
------------------------------------------------------------------
6,700 (a) Perrigo Co. 74,538
------------------------------------------------------------------
</TABLE>
FEDERATED MID-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ---------- ------------------------------------------------------------------ -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ------------------------------------------------------------------------------------
HEALTH TECHNOLOGY--CONTINUED
------------------------------------------------------------------
2,100 (a) Scherer (R.P.) Corp. $ 100,275
------------------------------------------------------------------
4,300 (a) Stryker Corp. 194,038
------------------------------------------------------------------ -----------
Total 1,920,456
------------------------------------------------------------------ -----------
INDUSTRIAL SERVICES--1.2%
------------------------------------------------------------------
6,659 (a) AES Corp. 114,868
------------------------------------------------------------------
2,800 (a) Air and Water Technology Corp., Class A 12,775
------------------------------------------------------------------
1,400 (a) BJ Services Corp. 32,025
------------------------------------------------------------------
4,300 (a) California Energy Co., Inc. 71,487
------------------------------------------------------------------
2,500 (a) Enterra Corp. 45,625
------------------------------------------------------------------
14,600 (a) Global Marine, Inc. 63,875
------------------------------------------------------------------
1,000 Granite Construction, Inc. 20,000
------------------------------------------------------------------
2,200 (a) Jacobs Engineering Group, Inc. 43,450
------------------------------------------------------------------
7,400 (a) Nabors Industries, Inc. 69,838
------------------------------------------------------------------
4,900 (a) Parker Drilling Co. 23,275
------------------------------------------------------------------
5,400 (a) Rollins Environmental Services, Inc. 24,975
------------------------------------------------------------------
3,500 (a) Smith International, Inc. 60,375
------------------------------------------------------------------
2,600 (a) Varco International, Inc. 21,775
------------------------------------------------------------------ -----------
Total 604,343
------------------------------------------------------------------ -----------
NON-ENERGY MINERALS--1.7%
------------------------------------------------------------------
6,300 Allegheny Ludlum Corp. 142,537
------------------------------------------------------------------
3,900 (a) Alumax, Inc. 110,175
------------------------------------------------------------------
7,100 Battle Mountain Gold Co. 78,100
------------------------------------------------------------------
1,400 Brush Wellman, Inc. 27,650
------------------------------------------------------------------
2,100 CalMat Co. 41,475
------------------------------------------------------------------
700 Carpenter Technology Corp. 42,262
------------------------------------------------------------------
1,100 Cleveland Cliffs, Inc. 40,287
------------------------------------------------------------------
1,300 Lukens, Inc. 42,087
------------------------------------------------------------------
</TABLE>
FEDERATED MID-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ---------- ------------------------------------------------------------------ -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ------------------------------------------------------------------------------------
NON-ENERGY MINERALS--CONTINUED
------------------------------------------------------------------
800 (a) Maxxam, Inc. $ 25,200
------------------------------------------------------------------
1,700 Oregon Steel Mills 30,388
------------------------------------------------------------------
2,600 Rayonier, Inc. 86,125
------------------------------------------------------------------
1,500 (a) Southdown, Inc. 28,500
------------------------------------------------------------------
3,200 Vulcan Materials Co. 185,600
------------------------------------------------------------------ -----------
Total 880,386
------------------------------------------------------------------ -----------
PROCESS INDUSTRIES--7.2%
------------------------------------------------------------------
2,700 Albany International Corp., Class A 59,062
------------------------------------------------------------------
5,800 Albemarle Corp. 79,025
------------------------------------------------------------------
2,500 Betz Laboratories, Inc. 104,375
------------------------------------------------------------------
3,200 Bowater, Inc. 122,400
------------------------------------------------------------------
6,000 (a) Burlington Industries, Inc. 66,000
------------------------------------------------------------------
3,400 CBI Industries, Inc. 84,150
------------------------------------------------------------------
3,300 Cabot Corp. 129,525
------------------------------------------------------------------
3,600 Calgon Carbon Corp. 44,100
------------------------------------------------------------------
2,100 Chesapeake Corp. 65,100
------------------------------------------------------------------
3,900 Consolidated Papers, Inc. 191,100
------------------------------------------------------------------
4,500 Crompton and Knowles Corp. 81,562
------------------------------------------------------------------
2,200 Dexter Corp. 50,325
------------------------------------------------------------------
5,300 Dole Food, Inc. 158,337
------------------------------------------------------------------
2,400 Donaldson Company, Inc. 59,700
------------------------------------------------------------------
10,500 Ethyl Corp. 112,875
------------------------------------------------------------------
2,600 Ferro Corp. 73,775
------------------------------------------------------------------
1,200 Fuller (H.B.) Co. 45,300
------------------------------------------------------------------
3,700 Georgia Gulf Corp. 120,712
------------------------------------------------------------------
3,900 Glatfelter (P.H.) Co. 70,200
------------------------------------------------------------------
3,200 Hanna (M.A.) Co. 79,600
------------------------------------------------------------------
</TABLE>
FEDERATED MID-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ---------- ------------------------------------------------------------------ -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ------------------------------------------------------------------------------------
PROCESS INDUSTRIES--CONTINUED
------------------------------------------------------------------
2,600 IMC Global, Inc. $ 127,725
------------------------------------------------------------------
4,000 Lawter International, Inc. 55,000
------------------------------------------------------------------
3,100 Loctite Corp. 154,225
------------------------------------------------------------------
4,600 Longview Fibre Co. 76,475
------------------------------------------------------------------
5,800 Lubrizol Corp. 202,275
------------------------------------------------------------------
700 NCH, Corp. 44,800
------------------------------------------------------------------
5,000 RPM, Inc. 98,750
------------------------------------------------------------------
3,325 Schulman (A.), Inc. 104,322
------------------------------------------------------------------
1,800 (a) Sealed Air Corp. 76,950
------------------------------------------------------------------
7,700 Sonoco Products Co. 191,538
------------------------------------------------------------------
4,900 (a) Sterling Chemicals, Inc. 61,250
------------------------------------------------------------------
6,300 Unifi, Inc. 158,288
------------------------------------------------------------------
2,614 Wausau Paper Mills Co. 57,181
------------------------------------------------------------------
2,900 Wellman, Inc. 78,300
------------------------------------------------------------------
4,900 Willamette Industries, Inc. 251,125
------------------------------------------------------------------
5,000 Witco Corp. 143,125
------------------------------------------------------------------ -----------
Total 3,678,552
------------------------------------------------------------------ -----------
PRODUCER MANUFACTURING--6.2%
------------------------------------------------------------------
8,100 (a) American Power Conversion Corp. 137,700
------------------------------------------------------------------
4,100 American Premier Group, Inc. 101,475
------------------------------------------------------------------
3,200 Ametek, Inc. 52,000
------------------------------------------------------------------
2,000 Arvin Industries, Inc. 46,500
------------------------------------------------------------------
5,000 Danaher Corp. 148,750
------------------------------------------------------------------
2,675 Diebold, Inc. 111,012
------------------------------------------------------------------
1,700 Duriron, Inc. 36,869
------------------------------------------------------------------
4,000 Federal Signal Corp. 90,500
------------------------------------------------------------------
3,100 Federal-Mogul Corp. 55,800
------------------------------------------------------------------
</TABLE>
FEDERATED MID-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ---------- ------------------------------------------------------------------ -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ------------------------------------------------------------------------------------
PRODUCER MANUFACTURING--CONTINUED
------------------------------------------------------------------
12,200 Freeport McMoRan, Inc. $ 215,025
------------------------------------------------------------------
1,900 Goulds Pumps, Inc. 47,025
------------------------------------------------------------------
2,800 HON Industries, Inc. 73,500
------------------------------------------------------------------
2,200 Harsco Corp. 104,775
------------------------------------------------------------------
2,940 Hubbell, Inc., Class B 158,025
------------------------------------------------------------------
1,500 Kaydon Corp. 41,250
------------------------------------------------------------------
2,300 Kennametal, Inc. 77,050
------------------------------------------------------------------
3,100 Keystone International, Inc. 65,100
------------------------------------------------------------------
2,633 Lancaster Colony Corp. 91,497
------------------------------------------------------------------
2,100 Magnetek, Inc. 31,238
------------------------------------------------------------------
4,962 Mark IV Industries, Inc. 89,321
------------------------------------------------------------------
2,200 Miller Herman, Inc. 43,863
------------------------------------------------------------------
2,600 Modine Manufacturing Co. 88,075
------------------------------------------------------------------
1,700 Nordson Corp. 94,350
------------------------------------------------------------------
1,900 Olin Corp. 106,163
------------------------------------------------------------------
1,600 Pentair, Inc. 73,200
------------------------------------------------------------------
1,750 Precision Castparts Corp. 48,125
------------------------------------------------------------------
2,900 Stewart & Stevenson Services 108,750
------------------------------------------------------------------
2,700 Superior Industries International, Inc. 71,550
------------------------------------------------------------------
1,900 Tecumseh Products Co., Class A 95,475
------------------------------------------------------------------
1,500 Teleflex, Inc. 62,063
------------------------------------------------------------------
4,800 (a) Thermo Electron Corp. 258,600
------------------------------------------------------------------
3,550 Trinity Industries, Inc. 137,119
------------------------------------------------------------------
2,600 Watts Industries, Inc., Class A 58,663
------------------------------------------------------------------
3,300 York International Corp. 135,300
------------------------------------------------------------------ -----------
Total 3,155,708
------------------------------------------------------------------ -----------
</TABLE>
FEDERATED MID-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ---------- ------------------------------------------------------------------ -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ------------------------------------------------------------------------------------
RETAIL TRADE--4.2%
------------------------------------------------------------------
2,000 (a) Ann Taylor Stores, Inc. $ 50,250
------------------------------------------------------------------
3,800 (a) Best Buy Co., Inc. 104,025
------------------------------------------------------------------
4,450 CML Group, Inc. 32,262
------------------------------------------------------------------
1,300 CPI Corp. 21,775
------------------------------------------------------------------
1,800 Claire's Stores, Inc. 24,975
------------------------------------------------------------------
2,200 (a) Diagnostek, Inc. 40,700
------------------------------------------------------------------
5,878 Dollar General Corp. 136,663
------------------------------------------------------------------
2,400 Duty Free International, Inc. 18,000
------------------------------------------------------------------
2,000 Edison Brothers Stores, Inc. 30,000
------------------------------------------------------------------
5,000 Family Dollar Stores, Inc. 59,375
------------------------------------------------------------------
4,100 Fingerhut Companies, Inc. 47,662
------------------------------------------------------------------
1,900 Hancock Fabrics, Inc. 19,000
------------------------------------------------------------------
3,700 Hannaford Brothers Co. 97,587
------------------------------------------------------------------
4,250 Heilig-Meyers Co. 89,250
------------------------------------------------------------------
8,379 (a) Home Shopping Network, Inc. 57,606
------------------------------------------------------------------
3,100 Intelligent Electronics, Inc. 29,837
------------------------------------------------------------------
3,300 (a) Kohl's Corp. 147,675
------------------------------------------------------------------
3,100 Lands' End, Inc. 48,825
------------------------------------------------------------------
2,600 (a) MacFrugal's Bargains CloseOuts, Inc. 38,350
------------------------------------------------------------------
3,100 (a) Nine West Group, Inc. 100,750
------------------------------------------------------------------
13,225 (a) Office Depot, Inc. 300,869
------------------------------------------------------------------
5,900 (a) Revco D. S., Inc. 126,850
------------------------------------------------------------------
2,100 Ruddick Corp. 43,575
------------------------------------------------------------------
8,800 (a) Service Merchandise, Inc. 42,900
------------------------------------------------------------------
5,500 (a) Staples, Inc. 132,688
------------------------------------------------------------------
1,400 Tiffany & Co. 44,975
------------------------------------------------------------------
4,100 U.S. Shoe 114,288
------------------------------------------------------------------
</TABLE>
FEDERATED MID-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ---------- ------------------------------------------------------------------ -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ------------------------------------------------------------------------------------
RETAIL TRADE--CONTINUED
------------------------------------------------------------------
3,800 (a) Vons Companies, Inc. $ 77,900
------------------------------------------------------------------
2,900 (a) Waban, Inc. 48,213
------------------------------------------------------------------ -----------
Total 2,126,825
------------------------------------------------------------------ -----------
TECHNOLOGY SERVICES--4.4%
------------------------------------------------------------------
5,500 Adobe System, Inc. 320,375
------------------------------------------------------------------
4,075 (a) Arrow Electronics, Inc. 189,487
------------------------------------------------------------------
3,600 Avnet, Inc. 160,200
------------------------------------------------------------------
2,300 (a) BMC Software, Inc. 143,175
------------------------------------------------------------------
2,500 (a) Borland International, Inc. 24,062
------------------------------------------------------------------
3,700 (a) Cadence Design Systems, Inc. 119,325
------------------------------------------------------------------
4,100 (a) Compuware Corp. 107,625
------------------------------------------------------------------
3,500 (a) FIserv, Inc. 92,750
------------------------------------------------------------------
5,500 First Financial Management Corp. 402,187
------------------------------------------------------------------
2,300 (a) Information Resources, Inc. 32,344
------------------------------------------------------------------
5,800 (a) Informix Corp. 228,375
------------------------------------------------------------------
3,100 (a) Legent Corp. 84,475
------------------------------------------------------------------
5,000 (a) Parametric Technology Corp. 237,500
------------------------------------------------------------------
2,600 (a) Structural Dynamics Research Corp. 31,525
------------------------------------------------------------------
3,100 (a) Symantec Corp. 72,075
------------------------------------------------------------------ -----------
Total 2,245,480
------------------------------------------------------------------ -----------
TRANSPORTATION--1.6%
------------------------------------------------------------------
1,900 Airborne Freight Corp. 37,050
------------------------------------------------------------------
1,200 (a) Alaska Air Group, Inc. 20,550
------------------------------------------------------------------
4,100 Alexander and Baldwin, Inc. 90,712
------------------------------------------------------------------
2,400 American President Cos., Ltd. 55,800
------------------------------------------------------------------
2,400 Arnold Industries, Inc. 43,200
------------------------------------------------------------------
3,000 Atlantic Southeast Airlines, Inc. 69,000
------------------------------------------------------------------
</TABLE>
FEDERATED MID-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ---------- ------------------------------------------------------------------ -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ------------------------------------------------------------------------------------
TRANSPORTATION--CONTINUED
------------------------------------------------------------------
3,400 Hunt (J.B.) Transportation Services, Inc. $ 64,175
------------------------------------------------------------------
3,800 Illinois Central Corp. 133,475
------------------------------------------------------------------
3,900 Kansas City Southern Industries, Inc. 146,250
------------------------------------------------------------------
3,200 Overseas Shipholding Group, Inc. 64,000
------------------------------------------------------------------
4,700 Tidewater, Inc. 111,625
------------------------------------------------------------------ -----------
Total 835,837
------------------------------------------------------------------ -----------
UTILITIES--13.1%
------------------------------------------------------------------
10,500 Allegheny Power Systems, Inc. 246,750
------------------------------------------------------------------
2,200 Atlanta Gas Light Co. 80,300
------------------------------------------------------------------
4,800 Atlantic Energy, Inc. NJ 87,000
------------------------------------------------------------------
1,300 Black Hills Corp. 28,600
------------------------------------------------------------------
4,200 Brooklyn Union Gas Co. 101,850
------------------------------------------------------------------
7,600 CMS Energy Corp. 177,650
------------------------------------------------------------------
2,000 Central LA Electric Co. 46,000
------------------------------------------------------------------
2,900 Central Maine Power Co. 32,262
------------------------------------------------------------------
4,700 Century Telephone Enterprises, Inc. 139,825
------------------------------------------------------------------
4,100 Comsat Corp. 82,000
------------------------------------------------------------------
5,300 Delmarva Power and Light Co. 103,350
------------------------------------------------------------------
3,300 El Paso Natural Gas 96,525
------------------------------------------------------------------
8,300 Florida Progress Corp. 253,150
------------------------------------------------------------------
7,300 Frontier Corp. 146,912
------------------------------------------------------------------
2,500 Hawaiian Electric Industries, Inc. 86,562
------------------------------------------------------------------
3,300 Idaho Power Co. 80,025
------------------------------------------------------------------
6,700 Illinova Corp. 155,775
------------------------------------------------------------------
2,050 Indiana Energy, Inc. 37,669
------------------------------------------------------------------
2,600 Iowa Illinois Gas and Electric Co. 54,600
------------------------------------------------------------------
3,300 Ipalco Enterprises, Inc. 103,950
------------------------------------------------------------------
</TABLE>
FEDERATED MID-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
- ---------- ------------------------------------------------------------------ -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ------------------------------------------------------------------------------------
UTILITIES--CONTINUED
------------------------------------------------------------------
5,500 Kansas City Power And Light Co. $ 125,125
------------------------------------------------------------------
14,918 (a) LDDS Communications, Inc. 358,032
------------------------------------------------------------------
2,900 LG&E Energy Corp. 112,012
------------------------------------------------------------------
2,900 Lincoln Telecommunications Co. 44,950
------------------------------------------------------------------
5,800 MCN Corp. 111,650
------------------------------------------------------------------
2,800 Minnesota Power And Light Co. 73,150
------------------------------------------------------------------
4,700 Montana Power Co. 108,688
------------------------------------------------------------------
9,100 (a) NEXTEL Communications, Inc. 146,738
------------------------------------------------------------------
5,800 NIPSCO Industries, Inc. 187,050
------------------------------------------------------------------
3,300 National Fuel Gas Co. 95,288
------------------------------------------------------------------
3,800 Nevada Power Co. 75,050
------------------------------------------------------------------
5,800 New England Electric System 174,725
------------------------------------------------------------------
6,300 New York State Electric and Gas Corp. 137,813
------------------------------------------------------------------
11,100 Northeast Utilities Co. 242,813
------------------------------------------------------------------
3,600 Oklahoma Gas and Electric Co. 123,750
------------------------------------------------------------------
7,800 Pinnacle West Capital Corp. 167,700
------------------------------------------------------------------
4,500 Portland General Corp. 93,375
------------------------------------------------------------------
10,500 Potomac Electric Power Co. 204,750
------------------------------------------------------------------
5,500 Public Service Co. Colo 165,688
------------------------------------------------------------------
3,700 (a) Public Service Co. New Mexico 47,175
------------------------------------------------------------------
5,600 Puget Sound Power & Light Co. 119,000
------------------------------------------------------------------
3,600 Questar Corp. 106,650
------------------------------------------------------------------
4,200 SCANA Corp. 180,075
------------------------------------------------------------------
3,200 (a) Seagull Energy Corp. 56,800
------------------------------------------------------------------
5,700 Southern New England Telecommunications 188,813
------------------------------------------------------------------
3,600 Southwestern Public Service Co. 102,600
------------------------------------------------------------------
10,300 TECO Energy, Inc. 218,875
------------------------------------------------------------------
</TABLE>
FEDERATED MID-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT
OR SHARES VALUE
- ---------- ------------------------------------------------------------------ -----------
<C> <C> <S> <C>
COMMON STOCKS--CONTINUED
- ------------------------------------------------------------------------------------
UTILITIES--CONTINUED
------------------------------------------------------------------
4,800 Telephone and Data System, Inc. $ 178,800
------------------------------------------------------------------
3,900 Utilicorp United, Inc. 109,200
------------------------------------------------------------------
3,400 (a) Vanguard Cellular System, Inc., Class A 75,225
------------------------------------------------------------------
2,700 WPL Holdings, Inc. 76,613
------------------------------------------------------------------
1,900 Washington Gas Light Co. 74,100
------------------------------------------------------------------
9,600 Wisconsin Energy Corp. 266,400
------------------------------------------------------------------ -----------
Total 6,689,428
------------------------------------------------------------------ -----------
TOTAL COMMON STOCKS (IDENTIFIED COST $42,934,119) 44,624,140
------------------------------------------------------------------ -----------
SHORT-TERM U.S. GOVERNMENT OBLIGATIONS--0.4%
- ------------------------------------------------------------------------------------
$ 200,000 United States Treasury Bills, 6/29/1995 198,230
------------------------------------------------------------------ -----------
TOTAL SHORT-TERM U.S. GOVERNMENT OBLIGATIONS
(IDENTIFIED COST $198,117) 198,230
------------------------------------------------------------------ -----------
(B)REPURCHASE AGREEMENT--12.0%
- ------------------------------------------------------------------------------------
6,155,000 J.P. Morgan Securities, Inc., 5.97%, dated 4/28/1995, due 5/1/1995
(at amortized cost) 6,155,000
------------------------------------------------------------------ -----------
TOTAL INVESTMENTS (IDENTIFIED COST $49,287,236)(C) $50,977,370
------------------------------------------------------------------ -----------
</TABLE>
(a) Non-income producing securities.
(b) The repurchase agreement is fully collateralized by U.S. government and/or
agency obligations based on market prices at the date of the portfolio. The
investment in the repurchase agreement is through participation in joint
accounts with other Federated funds.
(c) The cost of investments for federal tax purposes amounts to $49,287,236. The
unrealized appreciation of investments on a federal tax basis amounts to
$1,690,134 which is comprised of $4,449,149 appreciation and $2,759,015
depreciation at April 30, 1995.
Note: The categories of investments are shown as a percentage of net assets
($51,162,506) at April 30, 1995.
(See Notes which are an integral part of the Financial Statements)
FEDERATED MID-CAP FUND
(FORMERLY, MID-CAP FUND)
STATEMENT OF ASSETS AND LIABILITIES
APRIL 30, 1995 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<S> <C> <C>
ASSETS:
- ---------------------------------------------------------------------------------
Investments in repurchase agreements, at amortized cost $ 6,155,000
- -------------------------------------------------------------------
Investments in securities, at value 44,822,370
- ------------------------------------------------------------------- -----------
Total investments at amortized cost and value (identified
and tax cost $49,287,236) $50,977,370
- ---------------------------------------------------------------------------------
Cash 24,159
- ---------------------------------------------------------------------------------
Receivable for investments sold 396,660
- ---------------------------------------------------------------------------------
Income receivable 62,067
- ---------------------------------------------------------------------------------
Receivable for shares sold 21,239
- ---------------------------------------------------------------------------------
Deferred expenses 13,765
- --------------------------------------------------------------------------------- -----------
Total assets 51,495,260
- ---------------------------------------------------------------------------------
LIABILITIES:
- ---------------------------------------------------------------------------------
Payable for investments purchased 259,930
- -------------------------------------------------------------------
Payable for shares redeemed 5,500
- -------------------------------------------------------------------
Accrued expenses 67,324
- ------------------------------------------------------------------- -----------
Total liabilities 332,754
- --------------------------------------------------------------------------------- -----------
NET ASSETS FOR 4,503,027 shares outstanding $51,162,506
- --------------------------------------------------------------------------------- -----------
NET ASSETS CONSIST OF:
- ---------------------------------------------------------------------------------
Paid-in capital $48,881,243
- ---------------------------------------------------------------------------------
Net unrealized appreciation (depreciation) of investments and futures contracts 1,821,259
- ---------------------------------------------------------------------------------
Accumulated undistributed net realized gain (loss) on investments and futures
contracts 400,995
- ---------------------------------------------------------------------------------
Undistributed net investment income 59,009
- --------------------------------------------------------------------------------- -----------
Total Net Assets $51,162,506
- --------------------------------------------------------------------------------- -----------
NET ASSET VALUE, Offering Price and Redemption Proceeds Per Share:
($51,162,506 / 4,503,027 shares outstanding) $11.36
- --------------------------------------------------------------------------------- -----------
</TABLE>
(See Notes which are an integral part of the Financial Statements)
FEDERATED MID-CAP FUND
(FORMERLY, MID-CAP FUND)
STATEMENT OF OPERATIONS
FOR THE SIX MONTHS ENDED APRIL 30, 1995 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<S> <C> <C>
INVESTMENT INCOME:
- --------------------------------------------------------------------------------------
Dividends $ 421,919
- --------------------------------------------------------------------------------------
Interest 157,080
- -------------------------------------------------------------------------------------- ----------
Total investment income 578,999
- --------------------------------------------------------------------------------------
EXPENSES:
- --------------------------------------------------------------------------------------
Management fee $ 92,207
- ---------------------------------------------------------------------------
Directors'/Trustees' fees 964
- ---------------------------------------------------------------------------
Custodian and portfolio accounting fees 51,180
- ---------------------------------------------------------------------------
Transfer agent and dividend disbursing agent fees and expenses 18,248
- ---------------------------------------------------------------------------
Shareholder service fees 6,593
- ---------------------------------------------------------------------------
Share registration costs 17,595
- ---------------------------------------------------------------------------
Auditing fees 7,834
- ---------------------------------------------------------------------------
Legal fees 3,258
- ---------------------------------------------------------------------------
Printing and postage 7,000
- ---------------------------------------------------------------------------
Insurance premiums 2,067
- ---------------------------------------------------------------------------
Taxes 545
- ---------------------------------------------------------------------------
Miscellaneous 6,589
- --------------------------------------------------------------------------- --------
Total expenses 214,080
- ---------------------------------------------------------------------------
Deduct--Waiver of management fee 75,770
- --------------------------------------------------------------------------- --------
Net expenses 138,310
- -------------------------------------------------------------------------------------- ----------
Net investment income 440,689
- -------------------------------------------------------------------------------------- ----------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND FUTURES CONTRACTS:
- --------------------------------------------------------------------------------------
Net realized gain (loss) on investments 495,891
- --------------------------------------------------------------------------------------
Net realized gain (loss) on futures contracts (82,626)
- --------------------------------------------------------------------------------------
Net change in unrealized appreciation (depreciation) of investments and futures
contracts 2,020,415
- -------------------------------------------------------------------------------------- ----------
Net realized and unrealized gain (loss) on investments and futures contracts 2,433,680
- -------------------------------------------------------------------------------------- ----------
Change in net assets resulting from operations $2,874,369
- -------------------------------------------------------------------------------------- ----------
</TABLE>
(See Notes which are an integral part of the Financial Statements)
FEDERATED MID-CAP FUND
(FORMERLY, MID-CAP FUND)
STATEMENT OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SIX MONTHS
ENDED
APRIL 30, 1995 YEAR ENDED
(UNAUDITED) OCTOBER 31, 1994
-------------- ----------------
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS:
- ---------------------------------------------------------
OPERATIONS--
- ---------------------------------------------------------
Net investment income $ 440,689 $ 529,031
- ---------------------------------------------------------
Net realized gain (loss) on investment transactions and
futures contracts ($413,265 and $778,310 net gains
respectively, as computed for federal income tax
purposes) 413,265 804,342
- ---------------------------------------------------------
Net change in unrealized appreciation (depreciation) of
investments and futures contracts 2,020,415 (248,356)
- --------------------------------------------------------- ------------- --------------
Change in net assets resulting from operations 2,874,369 1,085,017
- --------------------------------------------------------- ------------- --------------
DISTRIBUTIONS TO SHAREHOLDERS--
- ---------------------------------------------------------
Distributions from net investment income (435,104) (488,588)
- ---------------------------------------------------------
Distributions from net realized gains on investments and
futures contracts (778,954) (890,225)
- --------------------------------------------------------- ------------- --------------
Change in net assets from distributions to
shareholders (1,214,058) (1,378,813)
- --------------------------------------------------------- ------------- --------------
SHARE TRANSACTIONS--
- ---------------------------------------------------------
Proceeds from sale of Shares 13,753,860 36,764,807
- ---------------------------------------------------------
Net asset value of Shares issued to shareholders in
payment of distributions declared 616,783 531,029
- ---------------------------------------------------------
Cost of Shares redeemed (8,880,034) (9,181,997)
- --------------------------------------------------------- ------------- --------------
Change in net assets resulting from Share
transactions 5,490,609 28,113,839
- --------------------------------------------------------- ------------- --------------
Change in net assets 7,150,920 27,820,043
- ---------------------------------------------------------
NET ASSETS:
- ---------------------------------------------------------
Beginning of period 44,011,586 16,191,543
- --------------------------------------------------------- ------------- --------------
End of period (including undistributed net investment
income of $59,009 and $53,425 respectively) $ 51,162,506 $ 44,011,586
- --------------------------------------------------------- ------------- --------------
</TABLE>
(See Notes which are an integral part of the Financial Statements)
FEDERATED MID-CAP FUND
(FORMERLY, MID-CAP FUND)
FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
(FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD)
<TABLE>
<CAPTION>
SIX MONTHS
ENDED YEAR ENDED OCTOBER 31,
APRIL 30, 1995 -------------------------------
(UNAUDITED) 1994 1993 1992(A)
-------------- ------ ------ -------
<S> <C> <C> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD $11.02 $11.57 $9.99 $10.00
- -------------------------------------------------
INCOME FROM INVESTMENT OPERATIONS
- -------------------------------------------------
Net investment income 0.10 0.21 0.25 0.08
- -------------------------------------------------
Net realized and unrealized gain (loss) on
investments and futures contracts 0.53 (0.07) 1.56 (0.086)
- ------------------------------------------------- ---------- ------ ------ ------
Total from investment operations 0.63 0.14 1.81 (0.006)
- -------------------------------------------------
LESS DISTRIBUTIONS
- -------------------------------------------------
Distributions from net investment income (0.10) (0.19) (0.23) (0.004)
- -------------------------------------------------
Distributions from net realized gains on
investments and futures contracts (0.19) (0.50) -- --
- ------------------------------------------------- ---------- ------ ------ ------
Total distributions (0.29) (0.69) (0.23) (0.004)
- ------------------------------------------------- ---------- ------ ------ ------
NET ASSET VALUE, END OF PERIOD $11.36 $11.02 $11.57 $ 9.99
- ------------------------------------------------- ---------- ------ ------ ------
TOTAL RETURN (B) 5.93% 1.25% 17.33% 0.00%
- -------------------------------------------------
RATIOS TO AVERAGE NET ASSETS
- -------------------------------------------------
Expenses 0.60%(d) 0.54% 0.00% 0.00%(d)
- -------------------------------------------------
Net investment income 1.91%(d) 1.84% 2.33% 0.93%(d)
- -------------------------------------------------
Expense waiver/reimbursement(c) 0.33%(d) 0.59% 1.75% 0.40%(d)
- -------------------------------------------------
SUPPLEMENTAL DATA
- -------------------------------------------------
Net assets, end of period (000 omitted) $51,163 $44,012 $16,192 $3
- -------------------------------------------------
Portfolio turnover 8% 30% 59% 0%
- -------------------------------------------------
</TABLE>
(a) For the period from September 3, 1992 (date of initial public investment) to
October 31, 1992.
(b) Based on net asset value, which does not reflect the sales load or
contingent deferred sales charge, if applicable.
(c) This voluntary expense decrease is reflected in both the expense and net
investment income ratios shown above.
(d) Computed on an annualized basis.
(See Notes which are an integral part of the Financial Statements)
FEDERATED MID-CAP FUND
(FORMERLY, MID-CAP FUND)
NOTES TO FINANCIAL STATEMENTS
APRIL 30, 1995 (UNAUDITED)
- --------------------------------------------------------------------------------
(1) ORGANIZATION
Federated Index Trust (the "Trust") is registered under the Investment Company
Act of 1940, as amended (the "Act"), as an open-end management investment
company. The Trust consists of three diversified portfolios. The financial
statements included herein present only those of Federated Mid-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.
Effective December 5, 1994, the Board of Trustees ("Trustees") changed the name
of the Fund from Mid-Cap Fund to Federated Mid-Cap Fund.
(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. These
policies are in conformity with generally accepted accounting principles.
INVESTMENT VALUATIONS--Listed equity securities are valued at the last sale
price reported on national securities exchanges. Unlisted securities and
short-term securities are generally valued at the prices provided by an
independent pricing service. Short-term securities with remaining
maturities of sixty days or less at the time of purchase may be valued at
amortized cost, which approximates fair market value. Futures contracts are
valued at the last sale price provided by the board of trade or exchange
from which they were purchased.
REPURCHASE AGREEMENTS--It is the policy of the Fund to require the
custodian bank to take possession, to have legally segregated in the
Federal Reserve Book Entry System, or to have segregated within the
custodian bank's vault, all securities held as collateral under repurchase
agreement transactions. Additionally, procedures have been established by
the Fund to monitor, on a daily basis, the market value of each repurchase
agreement's collateral to ensure that the value of collateral at least
equals the repurchase price to be paid under the repurchase agreement
transaction.
The 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 adviser to be creditworthy pursuant to the guidelines and/or
standards reviewed or established by the Trustees. Risks may arise from the
potential inability of counterparties to honor the terms of the repurchase
agreement. Accordingly, the Fund could receive less than the repurchase
price on the sale of collateral securities.
FEDERATED MID-CAP FUND
- --------------------------------------------------------------------------------
INVESTMENT INCOME, EXPENSES AND DISTRIBUTIONS--Dividend income and
distributions to shareholders are recorded on the ex-dividend date.
Interest income and expenses are accrued daily. Bond premium and discount,
if applicable, are amortized as required by the Internal Revenue Code, as
amended (the "Code").
FEDERAL TAXES--It is the Fund's policy to comply with the provisions of the
Code applicable to regulated investment companies and to distribute to
shareholders each year substantially all of its income. Accordingly, no
provisions for federal tax are necessary.
WHEN-ISSUED AND DELAYED DELIVERY TRANSACTIONS--The Fund may engage in
when-issued or delayed delivery transactions. The Fund records when-issued
securities on the trade date and maintains 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.
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 its shares, have been deferred and are being
amortized using the straight-line method not to exceed a period of five
years from the Fund's commencement date.
FUTURES CONTRACTS--Upon entering into a financial futures contract with a
broker, the Fund is required to deposit in a segregated account an amount
of cash or U.S. government securities equal to a percentage of the contract
value. The Fund agrees to receive from or to pay to the broker an amount of
cash equal to a specific dollar amount times the difference between the
closing value and the price at which the contract was made. On a daily
basis, the value of a financial 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.
Risks of entering into futures contracts include the possibility that a
change in the value of the contract may not correlate with changes in the
value of the underlying securities. Risks may also arise from the
inabilities of counterparties to perform under the terms of the contract.
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.
At April 30, 1995 the Fund had outstanding futures contracts as set forth
below:
<TABLE>
<CAPTION>
UNREALIZED
CONTRACTS TO APPRECIATION
EXPIRATION DATE DELIVER/RECEIVE VALUE (DEPRECIATION)
---------------- ------------------------- ----------- ---------------
<S> <C> <C> <C>
June 1995 73 S&P 400 Index Futures $6,807,250 $131,125
</TABLE>
OTHER--Investment transactions are accounted for on the trade date.
FEDERATED MID-CAP FUND
- --------------------------------------------------------------------------------
(3) 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 shares were as follows:
<TABLE>
<CAPTION>
SIX MONTHS ENDED YEAR ENDED
APRIL 30, 1995 OCTOBER 31, 1994
- ------------------------------------------------- ---------------- ----------------
<S> <C> <C>
Shares sold 1,272,500 6,201,460
- -------------------------------------------------
Shares issued to shareholders in payment of
distributions declared 59,149 133,183
- -------------------------------------------------
Shares redeemed (820,625) (3,900,247)
- ------------------------------------------------- ------------- --------------
Net change resulting from share transactions 511,024 2,439,396
- ------------------------------------------------- ------------- --------------
</TABLE>
(4) MANAGEMENT FEE AND OTHER TRANSACTIONS WITH AFFILIATES
MANAGEMENT FEE--Federated Management, the Fund's Manager ("Manager"), receives
for its services an annual management fee equal to 0.40 of 1% of the Fund's
average daily net assets. Federated Management has entered into a sub-management
contract with ANB Investment Management and Trust Company ("Sub-Manager"). The
Manager shall pay the Sub-Manager .035 of 1% of the Fund's average daily net
assets. The Manager may voluntarily choose to waive a portion of its fees. The
Manager can modify or terminate this voluntary waiver at any time at its sole
discretion.
SHAREHOLDER SERVICES FEE--Under the terms of a Shareholder Services Agreement
with Federated Shareholder Services ("FSS") the Fund will pay FSS up to 0.25 of
1% of average daily net assets of the Fund for the period. This fee is to obtain
certain services for shareholders and to maintain shareholder accounts.
TRANSFER AGENT AND DIVIDEND DISBURSING AGENT FEES AND EXPENSES--Federated
Services Company ("FServ") serves as transfer and dividend disbursing agent for
the Fund. The fee is based on the size, type and number of accounts and
transactions made by shareholders.
ORGANIZATIONAL EXPENSES--Organizational expenses of $23,784 were initially borne
by the Manager. The Fund has agreed to reimburse the Manager at an annual rate
of .005 of 1% of average daily net assets for organizational expenses until
expenses initially borne by the Manager are fully reimbursed or the expiration
of five years after July 7, 1992 (the date the Fund's portfolio first became
effective), whichever occurs earlier. For the six months ended April 30, 1995,
the Fund paid $0 pursuant to this agreement.
GENERAL--Certain of the Officers and Trustees of the Trust are Officers and
Directors or Trustees of the above companies.
FEDERATED MID-CAP FUND
- --------------------------------------------------------------------------------
(5) INVESTMENT TRANSACTIONS
Purchases and sales of investments, excluding short-term securities, for the six
months ended April 30, 1995 were as follows:
<TABLE>
<S> <C>
- --------------------------------------------------------------------------------
PURCHASES $7,037,150
- -------------------------------------------------------------------------------- ----------
SALES $3,259,713
- -------------------------------------------------------------------------------- ----------
</TABLE>
<TABLE>
<S> <C>
TRUSTEES OFFICERS
- ---------------------------------------------------------------------------------------------
John F. Donahue John F. Donahue
John T. Conroy, Jr. Chairman
William J. Copeland Glen R. Johnson
J. Christopher Donahue President
James E. Dowd J. Christopher Donahue
Lawrence D. Ellis, M.D. Vice President
Edward L. Flaherty, Jr. Richard B. Fisher
Peter E. Madden Vice President
Gregor F. Meyer Edward C. Gonzales
John E. Murray, Jr. Vice President and Treasurer
Wesley W. Posvar John W. McGonigle
Marjorie P. Smuts Vice President and Secretary
David M. Taylor
Assistant Treasurer
J. Crilley Kelly
Assistant Secretary
</TABLE>
Mutual funds are not bank deposits or obligations, are not guaranteed by any
bank, and are not insured or guaranteed by the U.S. government, the Federal
Deposit Insurance Corporation, the Federal Reserve Board, or any other
government agency. Investment in mutual funds involves risk, including possible
loss of principal.
This report is authorized for distribution to prospective investors only when
preceded or accompanied by the fund's prospectus which contains facts concerning
its objective and policies, management fees, expenses and other information.
FEDERATED
MINI-CAP
FUND
SEMI-ANNUAL REPORT
TO SHAREHOLDERS
APRIL 30, 1995
[LOGO] FEDERATED SECURITIES CORP.
--------------------------
Distributor
A subsidiary of FEDERATED INVESTORS
FEDERATED INVETORS TOWER
PITTSBURGH, PA 15222-3779
31420E304
3052012 (6/95)
PRESIDENT'S MESSAGE
- --------------------------------------------------------------------------------
Dear Shareholder:
I am pleased to present the Semi-Annual Report to Shareholders of Federated
Mini-Cap Fund for the six-month period ended April 30, 1995. This report
includes our investment review as well as the financial statements, which
contain a listing of the fund's portfolio of investments.
Federated Mini-Cap Fund seeks performance that tracks that of the Russell 2000
Small Stock Index* (Russell 2000), which consists of 2,000 common stocks of
companies whose market capitalization generally falls just below the top 1,000
large and mid-cap companies. Typically, the companies in the index have a median
market capitalization of $220 million.
Although the fund's net assets decreased from $98.4 million on October 31, 1994
to $94.6 million on April 30, 1995, the fund's net asset value rose from $11.65
to $12.05 during the same period.** Dividends of $.07 per share and capital
gains of $.07 per share were paid over the six-month period.
Federated Investors will continue to provide you with quality investment
products and the highest level of service. As always, we invite your comments
and suggestions.
Sincerely,
Glen R. Johnson
President
June 15, 1995
*The Russell 2000 is unmanaged.
**Performance quoted represents past performance. Investment return and
principal value will fluctuate, so that an investor's shares, when redeemed,
may be worth more or less than their original cost.
INVESTMENT REVIEW
- --------------------------------------------------------------------------------
The total return of the Federated Mini-Cap Fund over the past six months was
4.70%.*
The main concern six months ago was that the economy was too strong, that the
Federal Reserve would be forced to keep raising interest rates to stop inflation
from accelerating, and that equity markets would remain under pressure. Since
then the interest rate on 30-year Treasury bonds have fallen more than 100 basis
points, and the dollar has declined more than 15% against the mark and the yen.
Operating rates are now below the critical 85% level, lessening the concern over
inflation, and Gross Domestic Product growth has slowed from 5.1% in the 4th
quarter of 1994, to 2.7% in the 1st quarter of 1995. The "soft landing" scenario
is now seen as the most likely one.
This change produced the expected reaction from the U.S. equity markets. For the
past six months the total returns of the Standard & Poor's 500 Index (S&P 500),
Standard & Poor's MidCap 400 (S&P MidCap 400), and the Russell 2000 Small Stock
Index (Russell 2000) were 10.46%, 6.37%, and 5.53%, respectively.** The S&P 500
outperformed the smaller capitalization indexes because more companies in the
S&P 500 will likely benefit from increased exports due to the weaker dollar.
However, if the dollar strengthens from here it is likely that some, if not all,
of this outperformance would be reversed.
*Performance quoted represents past performance. Investment return and
principal value will fluctuate, so that an investor's shares, when redeemed,
may be worth more or less than their original cost.
**The S&P 500, S&P MidCap 400, and Russell 2000 are unmanaged.
FEDERATED MINI-CAP FUND
PORTFOLIO OF INVESTMENTS
APRIL 30, 1995 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ ----------------------------------------------------------------------------------- -------------
COMMON STOCKS--97.9%
- -------------------------------------------------------------------------------------------------
COMMERCIAL SERVICES--3.3%
-----------------------------------------------------------------------------------
1,400 ABM Industries, Inc. $ 32,375
-----------------------------------------------------------------------------------
3,600 ADVO, Inc. 72,450
-----------------------------------------------------------------------------------
2,900 *APS Holding Corp., Class A 64,887
-----------------------------------------------------------------------------------
2,100 *Ackerley Communications, Inc. 21,787
-----------------------------------------------------------------------------------
600 *Adesa Corp. 9,900
-----------------------------------------------------------------------------------
1,400 *American Business Information 33,600
-----------------------------------------------------------------------------------
1,600 American Business Products, Inc. 42,400
-----------------------------------------------------------------------------------
3,700 Amresco, Inc. 26,362
-----------------------------------------------------------------------------------
2,000 Angelica Corp. 51,500
-----------------------------------------------------------------------------------
4,200 Banta Corp. 140,700
-----------------------------------------------------------------------------------
1,600 Bearings, Inc. 49,600
-----------------------------------------------------------------------------------
700 *Berlitz International, Inc. 10,325
-----------------------------------------------------------------------------------
2,500 *Borg Warner Security Corp. 19,375
-----------------------------------------------------------------------------------
3,000 Bowne & Co., Inc. 49,125
-----------------------------------------------------------------------------------
5,100 CCH, Inc., Class A 85,425
-----------------------------------------------------------------------------------
2,300 *CDI Corp. 58,937
-----------------------------------------------------------------------------------
1,500 *CSS Industries, Inc. 25,500
-----------------------------------------------------------------------------------
1,300 Cadmus Communications Corp. 23,643
-----------------------------------------------------------------------------------
1,000 Career Horizons, Inc. 23,500
-----------------------------------------------------------------------------------
1,900 Castle (A.M.) & Co. 27,312
-----------------------------------------------------------------------------------
2,100 *Catalina Marketing Corp. 98,700
-----------------------------------------------------------------------------------
375 Champion Industries, Inc. W VA 7,781
-----------------------------------------------------------------------------------
2,300 *Checkpoint System, Inc. 48,587
-----------------------------------------------------------------------------------
3,200 *Comdata Holdings Corp. 36,800
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
COMMERCIAL SERVICES--CONTINUED
-----------------------------------------------------------------------------------
3,350 *Concord EFS, Inc. $ 100,500
-----------------------------------------------------------------------------------
800 Copart, Inc. 16,300
-----------------------------------------------------------------------------------
2,400 *Corrections Corp. America 78,300
-----------------------------------------------------------------------------------
1,100 *Custom Chrome, Inc. 21,175
-----------------------------------------------------------------------------------
3,200 *Data Broadcasting Corp. 14,600
-----------------------------------------------------------------------------------
600 *Day Runner, Inc. 8,850
-----------------------------------------------------------------------------------
1,200 *Devon Group, Inc. 32,100
-----------------------------------------------------------------------------------
600 *DiMark, Inc. 8,175
-----------------------------------------------------------------------------------
3,500 Duff & Phelps Corp. 38,062
-----------------------------------------------------------------------------------
1,400 *Education Alternatives, Inc. 23,625
-----------------------------------------------------------------------------------
3,500 Ennis Business Forms, Inc. 46,812
-----------------------------------------------------------------------------------
700 Fair Isaac & Co., Inc. 32,375
-----------------------------------------------------------------------------------
3,400 Fisher Scientific International, Inc. 105,825
-----------------------------------------------------------------------------------
1,400 *Forschener Group, Inc. 15,400
-----------------------------------------------------------------------------------
4,250 G & K Services, Inc., Class A 77,562
-----------------------------------------------------------------------------------
1,800 *GRC International, Inc. 26,100
-----------------------------------------------------------------------------------
1,300 Graphic Industries, Inc. 12,837
-----------------------------------------------------------------------------------
200 Grey Advertising, Inc. 34,100
-----------------------------------------------------------------------------------
6,700 Handleman Co. 71,187
-----------------------------------------------------------------------------------
1,900 *Heritage Media Corp., Class A 48,450
-----------------------------------------------------------------------------------
800 Hughes Supply, Inc. 15,500
-----------------------------------------------------------------------------------
1,700 *Insurance Automotive Auctions, Inc. 50,575
-----------------------------------------------------------------------------------
2,400 *Interim Services, Inc. 69,300
-----------------------------------------------------------------------------------
1,700 Lawson Products, Inc. 46,644
-----------------------------------------------------------------------------------
1,100 Merrill Corp. 17,875
-----------------------------------------------------------------------------------
2,300 Nash Finch Co. 36,656
-----------------------------------------------------------------------------------
1,200 *PEC Israel Economic Corp. 33,150
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
COMMERCIAL SERVICES--CONTINUED
-----------------------------------------------------------------------------------
1,800 *Payco American Corp. $ 13,050
-----------------------------------------------------------------------------------
800 *Performance Food Group Co. 13,400
-----------------------------------------------------------------------------------
1,100 *Pinkertons, Inc. 18,150
-----------------------------------------------------------------------------------
2,500 *Primark Corp. 40,625
-----------------------------------------------------------------------------------
4,000 Richfood Holdings, Inc. 80,000
-----------------------------------------------------------------------------------
4,400 Robert Half International, Inc. 116,050
-----------------------------------------------------------------------------------
2,900 *Rykoff Sexton, Inc. 50,750
-----------------------------------------------------------------------------------
2,800 SEI Corp. 52,500
-----------------------------------------------------------------------------------
2,700 Standard Register 49,950
-----------------------------------------------------------------------------------
2,800 Storage USA, Inc. 80,150
-----------------------------------------------------------------------------------
2,300 Super Food Services, Inc. 25,587
-----------------------------------------------------------------------------------
1,200 *Super Rite Foods Holdings Corp. 18,600
-----------------------------------------------------------------------------------
1,400 Sylvan Learning Systems, Inc. 24,325
-----------------------------------------------------------------------------------
4,000 True North Communications, Inc. 76,000
-----------------------------------------------------------------------------------
3,100 Unifirst Corp. 36,812
-----------------------------------------------------------------------------------
95 *United Stationers, Inc. 1,627
-----------------------------------------------------------------------------------
2,700 Univar Corp. 34,425
-----------------------------------------------------------------------------------
2,300 VWR Corp. 22,137
-----------------------------------------------------------------------------------
9,100 *Valassis Communication, Inc. 159,250
-----------------------------------------------------------------------------------
400 Value Line, Inc. 11,900
-----------------------------------------------------------------------------------
800 Wackenhut Corp., Class A 13,100
-----------------------------------------------------------------------------------
3,300 *Westcott Communications, Inc. 46,200
-----------------------------------------------------------------------------------
1,300 *Willcox & Gibbs, Inc. 10,725
----------------------------------------------------------------------------------- -------------
Total 3,137,919
----------------------------------------------------------------------------------- -------------
CONSUMER DURABLES--4.5%
-----------------------------------------------------------------------------------
4,900 *3DO Co. 65,537
-----------------------------------------------------------------------------------
6,400 *Acclaim Entertainment, Inc. 96,000
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
CONSUMER DURABLES--CONTINUED
-----------------------------------------------------------------------------------
3,500 *Aldila, Inc. $ 21,437
-----------------------------------------------------------------------------------
1,400 *American Recreation Co. Holdings, Inc. 11,550
-----------------------------------------------------------------------------------
1,517 Anthony Industries, Inc. 25,220
-----------------------------------------------------------------------------------
2,100 Apogee Enterprises, Inc. 36,225
-----------------------------------------------------------------------------------
6,250 Arctco, Inc. 89,062
-----------------------------------------------------------------------------------
1,700 Armor All Products Corp. 33,575
-----------------------------------------------------------------------------------
4,100 *Atari Corp. 11,018
-----------------------------------------------------------------------------------
700 *Audiovox Corp., Class A 4,375
-----------------------------------------------------------------------------------
4,600 *Autotote Corp. 20,125
-----------------------------------------------------------------------------------
1,300 *Avatar Holdings, Inc. 48,100
-----------------------------------------------------------------------------------
1,500 BIC Corp. 50,812
-----------------------------------------------------------------------------------
2,300 *Bally Gaming International, Inc. 22,425
-----------------------------------------------------------------------------------
700 Barnes Group, Inc. 31,412
-----------------------------------------------------------------------------------
3,000 Bassett Furniture Industries, Inc. 80,250
-----------------------------------------------------------------------------------
1,700 *Bell Sports Corp. 23,375
-----------------------------------------------------------------------------------
1,000 Bush Industries, Inc., Class A 11,625
-----------------------------------------------------------------------------------
3,100 CLARCOR, Inc. 65,100
-----------------------------------------------------------------------------------
2,800 Carlisle Cos., Inc. 105,350
-----------------------------------------------------------------------------------
2,200 *Carlisle Plastics, Inc. 11,550
-----------------------------------------------------------------------------------
1,600 *Champion Enterprises, Inc. 48,000
-----------------------------------------------------------------------------------
1,200 *Chromcraft Revington, Inc. 28,200
-----------------------------------------------------------------------------------
900 *Cincinnati Microwave, Inc. 8,550
-----------------------------------------------------------------------------------
1,600 Coachmen Industries, Inc. 26,800
-----------------------------------------------------------------------------------
900 *Coastcast Corp. 9,337
-----------------------------------------------------------------------------------
2,400 *Cobra Golf, Inc. 52,200
-----------------------------------------------------------------------------------
1,000 Continental Homes Holding Corp. 11,500
-----------------------------------------------------------------------------------
2,700 Cross (A.T.) Co., Class A 45,900
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
CONSUMER DURABLES--CONTINUED
-----------------------------------------------------------------------------------
1,300 Crown Crafts, Inc. $ 21,937
-----------------------------------------------------------------------------------
1,102 *D. R. Horton, Inc. 10,744
-----------------------------------------------------------------------------------
700 *Duracraft Corp. 22,225
-----------------------------------------------------------------------------------
2,200 *ERO, Inc. 17,600
-----------------------------------------------------------------------------------
2,900 *Ekco Group, Inc. 17,037
-----------------------------------------------------------------------------------
800 *Empire of Carolina, Inc. 8,600
-----------------------------------------------------------------------------------
3,000 *Ethan Allen Interiors, Inc. 56,250
-----------------------------------------------------------------------------------
4,100 Exide Corp. 153,750
-----------------------------------------------------------------------------------
1,200 Falcon Products, Inc. 13,800
-----------------------------------------------------------------------------------
6,000 *Fedders Corp. 42,000
-----------------------------------------------------------------------------------
5,000 First Alert, Inc. 61,875
-----------------------------------------------------------------------------------
1,100 Flexsteel Industries, Inc. 12,925
-----------------------------------------------------------------------------------
600 *Fossil, Inc. 10,050
-----------------------------------------------------------------------------------
3,200 Gibson Greetings, Inc. 32,000
-----------------------------------------------------------------------------------
2,600 Harman International Industries, Inc. 94,900
-----------------------------------------------------------------------------------
3,300 *Hovnanian Enterprises, Inc., Class A 17,737
-----------------------------------------------------------------------------------
2,900 Huffy Corp. 42,050
-----------------------------------------------------------------------------------
1,800 *Image Entertainment, Inc. 12,825
-----------------------------------------------------------------------------------
10,500 *Interco, Inc. 66,937
-----------------------------------------------------------------------------------
5,000 *Jan Bell Marketing, Inc. 13,750
-----------------------------------------------------------------------------------
1,000 *Johnson Worldwide Associates, Inc., Class A 22,250
-----------------------------------------------------------------------------------
6,100 Kaufman & Broad Homes Corp. 80,062
-----------------------------------------------------------------------------------
4,300 LADD Furniture, Inc. 23,112
-----------------------------------------------------------------------------------
2,600 La-Z Boy Chair Co. 70,200
-----------------------------------------------------------------------------------
6,100 Lennar Corp. 100,650
-----------------------------------------------------------------------------------
3,200 Libbey, Inc. 62,000
-----------------------------------------------------------------------------------
1,266 *Lifetime Hoan Corp. 15,350
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
CONSUMER DURABLES--CONTINUED
-----------------------------------------------------------------------------------
4,500 *Lo-Jack Corp. $ 42,750
-----------------------------------------------------------------------------------
3,400 M.D.C. Holdings, Inc. 17,850
-----------------------------------------------------------------------------------
1,800 *M/I Schottenstein Homes, Inc. 13,725
-----------------------------------------------------------------------------------
6,000 *Mohawk Industries, Inc. 82,500
-----------------------------------------------------------------------------------
2,325 Myers Industries, Inc. 34,003
-----------------------------------------------------------------------------------
2,800 *NVR, Inc. 18,900
-----------------------------------------------------------------------------------
1,200 National Presto Industries, Inc. 55,500
-----------------------------------------------------------------------------------
3,500 *O'Sullivan Industries Holdings, Inc. 28,000
-----------------------------------------------------------------------------------
4,200 Oakwood Homes Corp. 105,000
-----------------------------------------------------------------------------------
1,900 Oneida Ltd. 28,500
-----------------------------------------------------------------------------------
4,100 Outboard Marine Corp. 90,712
-----------------------------------------------------------------------------------
1,000 *Pillowtex Corp. 10,750
-----------------------------------------------------------------------------------
4,100 Pulte Corp. 88,662
-----------------------------------------------------------------------------------
1,699 *Recoton Corp. 27,184
-----------------------------------------------------------------------------------
1,500 *Redman Industries, Inc. 29,250
-----------------------------------------------------------------------------------
2,000 Rival Co. 32,000
-----------------------------------------------------------------------------------
8,400 *Roadmaster Industries, Inc. 21,000
-----------------------------------------------------------------------------------
4,000 *Royal Appliance Manufacturing Co. 13,000
-----------------------------------------------------------------------------------
2,000 Russ Berrie & Co., Inc. 29,250
-----------------------------------------------------------------------------------
3,300 Ryland Group, Inc. 48,262
-----------------------------------------------------------------------------------
2,100 *SLM International, Inc. 6,300
-----------------------------------------------------------------------------------
2,300 SPX Corp. 31,337
-----------------------------------------------------------------------------------
700 *Safety 1st, Inc. 11,462
-----------------------------------------------------------------------------------
1,100 *Schuler Homes, Inc. 10,862
-----------------------------------------------------------------------------------
3,900 *Scotts Co. 78,000
-----------------------------------------------------------------------------------
3,000 *Sierra On-Line, Inc. 56,625
-----------------------------------------------------------------------------------
2,000 Skyline Corp. 35,500
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
CONSUMER DURABLES--CONTINUED
-----------------------------------------------------------------------------------
700 *Southern Energy Homes, Inc. $ 8,050
-----------------------------------------------------------------------------------
1,700 Standard Motor Products, Inc. 33,150
-----------------------------------------------------------------------------------
5,400 Standard Pacific Corp. 31,725
-----------------------------------------------------------------------------------
4,000 Stanhome, Inc. 116,000
-----------------------------------------------------------------------------------
3,400 Stant Corp. 44,200
-----------------------------------------------------------------------------------
1,500 Starrett (L.S.) Co., Class A 34,500
-----------------------------------------------------------------------------------
1,600 Sturm Ruger & Co., Inc. 48,000
-----------------------------------------------------------------------------------
1,828 *Swing-N-Slide Corp. 6,626
-----------------------------------------------------------------------------------
1,100 *Syratech Corp. 20,487
-----------------------------------------------------------------------------------
5,550 *TBC Corp. 58,968
-----------------------------------------------------------------------------------
1,100 Thor Industries, Inc. 22,962
-----------------------------------------------------------------------------------
3,900 *Toll Brothers, Inc. 46,312
-----------------------------------------------------------------------------------
8,700 Topps Co. 54,375
-----------------------------------------------------------------------------------
2,300 Toro Co. 66,412
-----------------------------------------------------------------------------------
7,300 *Tyco Toys, Inc. 41,062
-----------------------------------------------------------------------------------
4,200 Tyler Corp. 14,175
-----------------------------------------------------------------------------------
2,301 *U.S. Home Corp. 41,993
-----------------------------------------------------------------------------------
1,600 *Video Lottery Technologies, Inc. 14,200
-----------------------------------------------------------------------------------
1,400 WD 40 Co. 61,600
-----------------------------------------------------------------------------------
3,500 Windmere Corp. 26,687
-----------------------------------------------------------------------------------
2,900 Winnebago Industries, Inc. 29,362
-----------------------------------------------------------------------------------
1,200 Wynns International, Inc. 27,900
-----------------------------------------------------------------------------------
2,800 X-Rite, Inc. 54,600
-----------------------------------------------------------------------------------
9,600 *Zenith Electronics Corp. 72,000
----------------------------------------------------------------------------------- -------------
Total 4,219,456
----------------------------------------------------------------------------------- -------------
CONSUMER NON-DURABLES--3.6%
-----------------------------------------------------------------------------------
4,100 Alberto-Culver Co., Class B 129,150
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
CONSUMER NON-DURABLES--CONTINUED
-----------------------------------------------------------------------------------
2,500 *American Safety Razor Co. $ 31,250
-----------------------------------------------------------------------------------
2,500 *Ashworth, Inc. 26,250
-----------------------------------------------------------------------------------
3,100 *Authentic Fitness Corp. 51,150
-----------------------------------------------------------------------------------
1,400 *Ben & Jerry's Homemade, Inc., Class A 17,675
-----------------------------------------------------------------------------------
2,472 Block Drug, Inc., Class A 90,228
-----------------------------------------------------------------------------------
600 Bridgford Foods Corp. 7,687
-----------------------------------------------------------------------------------
2,000 *Brothers Gourmet Coffee, Inc. 27,000
-----------------------------------------------------------------------------------
3,800 Brown Group, Inc. 105,450
-----------------------------------------------------------------------------------
2,300 *Canandaigua Wine Co., Inc., Class B 99,475
-----------------------------------------------------------------------------------
700 *Celestial Seasonings, Inc. 13,300
-----------------------------------------------------------------------------------
2,100 *Chic by H.I.S., Inc. 22,312
-----------------------------------------------------------------------------------
5,600 Chiquita Brands International 74,900
-----------------------------------------------------------------------------------
3,700 Church and Dwight, Inc. 68,912
-----------------------------------------------------------------------------------
900 Coca-Cola Bottling Co. 28,800
-----------------------------------------------------------------------------------
3,500 Converse, Inc. 31,500
-----------------------------------------------------------------------------------
1,300 *Cygne Designs, Inc. 8,125
-----------------------------------------------------------------------------------
1,100 *Cyrk International, Inc. 15,537
-----------------------------------------------------------------------------------
900 *Deckers Outdoor Corp. 15,300
-----------------------------------------------------------------------------------
6,750 Dimon, Inc. 108,000
-----------------------------------------------------------------------------------
1,200 *Donnkenny, Inc. 21,450
-----------------------------------------------------------------------------------
2,500 Dreyers Grand Ice Cream, Inc. 74,375
-----------------------------------------------------------------------------------
1,600 *Farah, Inc. 11,600
-----------------------------------------------------------------------------------
200 Farmer Brothers Co. 24,200
-----------------------------------------------------------------------------------
8,100 Flowers Industries, Inc. 140,737
-----------------------------------------------------------------------------------
800 Garan, Inc. 13,800
-----------------------------------------------------------------------------------
5,100 *Gymboree Corp. 119,850
-----------------------------------------------------------------------------------
1,000 Haggar Corp. 20,250
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
CONSUMER NON-DURABLES--CONTINUED
-----------------------------------------------------------------------------------
5,100 *Hartmarx Corp. $ 28,050
-----------------------------------------------------------------------------------
1,400 Helene Curtis Industries, Inc. 48,125
-----------------------------------------------------------------------------------
3,200 Hudson Foods, Inc., Class A 55,200
-----------------------------------------------------------------------------------
3,400 International Multifoods Corp. 69,700
-----------------------------------------------------------------------------------
4,100 Interstate Bakeries Corp. 59,450
-----------------------------------------------------------------------------------
1,400 *J & J Snack Foods Corp. 16,625
-----------------------------------------------------------------------------------
900 *Jean Philippe Fragrances, Inc. 8,100
-----------------------------------------------------------------------------------
4,000 Justin Industries, Inc. 44,250
-----------------------------------------------------------------------------------
700 K Swiss, Inc., Class A 9,275
-----------------------------------------------------------------------------------
4,400 Kellwood Co. 78,650
-----------------------------------------------------------------------------------
4,800 *LA Gear, Inc. 16,800
-----------------------------------------------------------------------------------
3,300 Lance, Inc. 57,750
-----------------------------------------------------------------------------------
2,992 Maybelline, Inc. 65,824
-----------------------------------------------------------------------------------
2,500 Michael Foods, Inc. 31,406
-----------------------------------------------------------------------------------
800 *Mondavi Robert Corp., Class A 11,400
-----------------------------------------------------------------------------------
1,500 Morningstar Group, Inc. 12,000
-----------------------------------------------------------------------------------
1,100 *Natures Bounty, Inc. 6,187
-----------------------------------------------------------------------------------
1,916 Natures Sunshine Products, Inc. 24,908
-----------------------------------------------------------------------------------
2,100 *Nautica Enterprise, Inc. 57,750
-----------------------------------------------------------------------------------
1,700 *Norton McNaughton, Inc. 29,325
-----------------------------------------------------------------------------------
2,500 OshKosh B'Gosh, Inc., Class A 41,250
-----------------------------------------------------------------------------------
1,600 Oxford Industries, Inc. 30,800
-----------------------------------------------------------------------------------
2,400 *Paragon Trade Brands, Inc. 37,200
-----------------------------------------------------------------------------------
1,000 Pilgrims Pride Corp. 8,000
-----------------------------------------------------------------------------------
3,900 *Playtex Products, Inc. 31,200
-----------------------------------------------------------------------------------
6,100 Ralcorp Holdings, Inc. 141,062
-----------------------------------------------------------------------------------
1,700 Ralston-Continental Baking Group, Inc. 7,012
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
CONSUMER NON-DURABLES--CONTINUED
-----------------------------------------------------------------------------------
1,500 Sanderson Farms, Inc. $ 17,250
-----------------------------------------------------------------------------------
5,500 Savannah Foods & Industries, Inc. 52,937
-----------------------------------------------------------------------------------
100 Seaboard Corp. 27,600
-----------------------------------------------------------------------------------
2,600 *Smithfield Foods, Inc. 59,150
-----------------------------------------------------------------------------------
6,100 Smucker (J.M.) Co., Class A 131,150
-----------------------------------------------------------------------------------
1,500 St. John Knits, Inc. 51,937
-----------------------------------------------------------------------------------
1,019 Standard Commercial Corp. 14,648
-----------------------------------------------------------------------------------
1,900 *Starter Corp. 18,050
-----------------------------------------------------------------------------------
900 *Tandy Brands Accessories, Inc. 8,662
-----------------------------------------------------------------------------------
700 Thorn Apple Valley, Inc. 12,731
-----------------------------------------------------------------------------------
1,600 *Timberland Co., Class A 36,200
-----------------------------------------------------------------------------------
1,854 Tootsie Roll Industries, Inc. 122,132
-----------------------------------------------------------------------------------
5,300 Tultex Corp. 27,162
-----------------------------------------------------------------------------------
1,600 Unitog Co. 30,400
-----------------------------------------------------------------------------------
7,400 Universal Corp. 169,275
-----------------------------------------------------------------------------------
2,200 WLR Foods, Inc. 50,325
-----------------------------------------------------------------------------------
1,300 *Wholesome And Hearty Foods, Inc. 14,300
-----------------------------------------------------------------------------------
2,250 Wolverine World Wide, Inc. 75,375
----------------------------------------------------------------------------------- -------------
Total 3,344,846
----------------------------------------------------------------------------------- -------------
CONSUMER SERVICES--5.5%
-----------------------------------------------------------------------------------
1,800 *ACS Enterprises, Inc. 32,175
-----------------------------------------------------------------------------------
600 *AMC Entertainment, Inc. 6,600
-----------------------------------------------------------------------------------
2,700 Actava Group, Inc. 24,975
-----------------------------------------------------------------------------------
800 *Adelphia Communications Corp., Class A 6,600
-----------------------------------------------------------------------------------
2,100 *Alpha Hospitality Corp. 6,825
-----------------------------------------------------------------------------------
625 *American City Business 11,250
-----------------------------------------------------------------------------------
3,100 *American Telecasting, Inc. 46,500
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
CONSUMER SERVICES--CONTINUED
-----------------------------------------------------------------------------------
500 *Ameristar Casinos, Inc. $ 3,250
-----------------------------------------------------------------------------------
1,400 *Anchor Gaming 22,750
-----------------------------------------------------------------------------------
2,337 Apple South, Inc. 33,886
-----------------------------------------------------------------------------------
4,900 Applebee's International, Inc. 107,800
-----------------------------------------------------------------------------------
2,200 *Argosy Gaming Corp. 25,575
-----------------------------------------------------------------------------------
2,100 *Au Bon Pain Co., Inc., Class A 28,350
-----------------------------------------------------------------------------------
7,900 *Aztar Corp. 73,075
-----------------------------------------------------------------------------------
1,700 *BET Holdings, Inc., Class A 28,900
-----------------------------------------------------------------------------------
9,900 *Bally Entertainment Group 102,712
-----------------------------------------------------------------------------------
3,100 Barefoot, Inc. 35,262
-----------------------------------------------------------------------------------
1,400 *Bertucci's, Inc. 11,900
-----------------------------------------------------------------------------------
1,900 *Boomtown, Inc. 21,018
-----------------------------------------------------------------------------------
9,300 *Boston Chicken, Inc. 184,837
-----------------------------------------------------------------------------------
5,300 *Buffets, Inc. 53,662
-----------------------------------------------------------------------------------
1,800 CAI Wireless Systems, Inc. 23,400
-----------------------------------------------------------------------------------
2,600 CKE Restaurants, Inc. 18,525
-----------------------------------------------------------------------------------
2,000 *Carmike Cinemas, Inc., Class A 44,500
-----------------------------------------------------------------------------------
2,250 *Casino American, Inc. 34,312
-----------------------------------------------------------------------------------
200 *Casino Data Systems 2,650
-----------------------------------------------------------------------------------
3,700 *Casino Magic Corp. 27,750
-----------------------------------------------------------------------------------
8,100 *Checkers Drive-In Restaurant 19,490
-----------------------------------------------------------------------------------
1,700 *Cheesecake Factory, Inc. 33,575
-----------------------------------------------------------------------------------
500 Churchill Downs, Inc. 22,250
-----------------------------------------------------------------------------------
2,000 *Citicasters, Inc., Class A 70,000
-----------------------------------------------------------------------------------
2,087 *Clear Channel Communications, Inc. 117,393
-----------------------------------------------------------------------------------
1,300 *DF&R Restaurants, Inc. 18,525
-----------------------------------------------------------------------------------
1,400 *Davco Restaurants, Inc. 19,075
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
CONSUMER SERVICES--CONTINUED
-----------------------------------------------------------------------------------
1,400 *DeVRY, Inc. $ 53,550
-----------------------------------------------------------------------------------
1,300 EZ Communications, Inc., Class A 21,125
-----------------------------------------------------------------------------------
400 *Emmis Broadcasting Corp., Class A 8,500
-----------------------------------------------------------------------------------
1,400 *Evergreen Media Corp., Class A 26,075
-----------------------------------------------------------------------------------
8,900 *Flagstar Companies, Inc. 48,950
-----------------------------------------------------------------------------------
8,100 *Foodmaker, Inc. 33,412
-----------------------------------------------------------------------------------
1,100 *Fresh Choice, Inc. 8,387
-----------------------------------------------------------------------------------
736 Frisch's Restaurants, Inc. 6,808
-----------------------------------------------------------------------------------
1,200 *GC Cos., Inc. 40,500
-----------------------------------------------------------------------------------
3,600 *Grand Casinos, Inc. 99,900
-----------------------------------------------------------------------------------
10,000 *Greyhound Lines, Inc. 27,500
-----------------------------------------------------------------------------------
3,800 *Harte-Hanks Communications 88,350
-----------------------------------------------------------------------------------
1,200 Harveys Casino Resorts 19,950
-----------------------------------------------------------------------------------
1,500 *Heartland Wireless Communications, Inc. 28,500
-----------------------------------------------------------------------------------
1,400 *Hollywood Casino Corp., Class A 12,075
-----------------------------------------------------------------------------------
2,900 Hollywood Park, Inc. 39,875
-----------------------------------------------------------------------------------
1,600 *Hometown Buffet, Inc. 19,000
-----------------------------------------------------------------------------------
1,700 *IHOP Corp. 37,825
-----------------------------------------------------------------------------------
5,900 *International Cablecasting Technology, Inc. 16,962
-----------------------------------------------------------------------------------
3,600 *International Dairy Queen, Inc., Class A 68,400
-----------------------------------------------------------------------------------
4,200 *International Family Entertainment, Inc., Class B 63,525
-----------------------------------------------------------------------------------
2,100 *International Lottery & Totalizator Systems, Inc. 5,250
-----------------------------------------------------------------------------------
1,900 Jackpot Enterprises, Inc. 16,150
-----------------------------------------------------------------------------------
1,300 *Jacor Communications, Inc., Class A 16,900
-----------------------------------------------------------------------------------
3,982 *Jones Intercable, Inc. 58,734
-----------------------------------------------------------------------------------
2,700 *Kinder-Care Learning Centers, Inc. 36,450
-----------------------------------------------------------------------------------
700 *Krystal Co. 5,600
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
CONSUMER SERVICES--CONTINUED
-----------------------------------------------------------------------------------
2,700 *Lady Luck Gaming Corp. $ 5,568
-----------------------------------------------------------------------------------
600 *Landrys Seafood Restaurants, Inc. 20,775
-----------------------------------------------------------------------------------
1,000 *Learning Co. 26,250
-----------------------------------------------------------------------------------
4,200 *Lone Star Steakhouse & Saloon 128,625
-----------------------------------------------------------------------------------
1,000 *Lottery Enterprises, Inc. 2,375
-----------------------------------------------------------------------------------
5,100 Luby's Cafeterias, Inc. 96,900
-----------------------------------------------------------------------------------
1,800 *Mail Boxes, ETC. 18,225
-----------------------------------------------------------------------------------
1,600 Marcus Corp. 42,600
-----------------------------------------------------------------------------------
4,100 Media General, Inc., Class A 133,250
-----------------------------------------------------------------------------------
4,300 Meredith Corp. 107,500
-----------------------------------------------------------------------------------
700 *Mikohn Gaming Corp. 5,862
-----------------------------------------------------------------------------------
3,600 *NPC International, Inc., Class A 20,925
-----------------------------------------------------------------------------------
4,000 *NTN Communications, Inc. 20,500
-----------------------------------------------------------------------------------
6,200 *National Education Corp. 22,475
-----------------------------------------------------------------------------------
4,200 *Orion Pictures Corp. 23,100
-----------------------------------------------------------------------------------
500 *Papa Johns International, Inc. 17,312
-----------------------------------------------------------------------------------
400 *Park Communications, Inc. 12,150
-----------------------------------------------------------------------------------
1,300 *Peoples Choice TV Corp. 37,050
-----------------------------------------------------------------------------------
5,100 Petroleum Heat & Power, Inc., Class A 36,975
-----------------------------------------------------------------------------------
1,700 Piccadilly Cafeterias, Inc. 14,662
-----------------------------------------------------------------------------------
3,200 *Playboy Enterprises, Inc., Class B 26,000
-----------------------------------------------------------------------------------
3,800 *Players International, Inc. 112,575
-----------------------------------------------------------------------------------
900 Plenum Publishing Corp. 26,325
-----------------------------------------------------------------------------------
1,000 *Pollo Tropical, Inc. 8,625
-----------------------------------------------------------------------------------
500 *Preferred Entertainment, Inc. 9,000
-----------------------------------------------------------------------------------
4,300 President Casinos, Inc. 23,381
-----------------------------------------------------------------------------------
5,800 *Prime Hospitality Corp. 58,000
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
CONSUMER SERVICES--CONTINUED
-----------------------------------------------------------------------------------
900 Pulitzer Publishing Co. $ 36,337
-----------------------------------------------------------------------------------
1,450 *Regal Cinemas, Inc. 39,150
-----------------------------------------------------------------------------------
4,100 *Renaissance Communications Corp. 112,750
-----------------------------------------------------------------------------------
2,800 *Rio Hotel & Casino, Inc. 42,700
-----------------------------------------------------------------------------------
400 Roto-Rooter, Inc. 10,200
-----------------------------------------------------------------------------------
1,100 *Rural / Metro Corp. 20,625
-----------------------------------------------------------------------------------
11,200 *Ryan's Family Steak Houses, Inc. 78,400
-----------------------------------------------------------------------------------
6,100 Safecard Services, Inc. 106,750
-----------------------------------------------------------------------------------
4,900 *Savoy Pictures Entertainment, Inc. 38,587
-----------------------------------------------------------------------------------
2,450 Sbarro, Inc. 63,087
-----------------------------------------------------------------------------------
2,600 *Scholastic Corp. 145,600
-----------------------------------------------------------------------------------
2,700 Scientific Games Holdings Corp. 65,475
-----------------------------------------------------------------------------------
1,333 *ShoLodge, Inc. 19,245
-----------------------------------------------------------------------------------
1,900 *ShowBiz Pizza Time, Inc. 16,862
-----------------------------------------------------------------------------------
2,700 Showboat, Inc. 41,175
-----------------------------------------------------------------------------------
1,900 *Silver King Communications, Inc. 18,050
-----------------------------------------------------------------------------------
4,700 Sizzler International, Inc. 26,437
-----------------------------------------------------------------------------------
1,200 *Sodak Gaming, Inc. 17,100
-----------------------------------------------------------------------------------
1,500 *Sonic Corp. 38,812
-----------------------------------------------------------------------------------
4,100 Spelling Entertainment Group, Inc. 42,537
-----------------------------------------------------------------------------------
2,900 Starsight Telecast, Inc. 18,125
-----------------------------------------------------------------------------------
3,300 *Station Casinos, Inc. 40,425
-----------------------------------------------------------------------------------
600 *Steck-Vaughn Publishing Corp. 4,350
-----------------------------------------------------------------------------------
4,650 Stewart Enterprises, Inc., Class A 127,875
-----------------------------------------------------------------------------------
3,100 TCA Cable TV, Inc. 77,112
-----------------------------------------------------------------------------------
3,300 TCBY Enterprises, Inc. 17,325
-----------------------------------------------------------------------------------
4,300 *TPI Enterprises, Inc. 26,875
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
CONSUMER SERVICES--CONTINUED
-----------------------------------------------------------------------------------
2,700 *Taco Cabana, Inc., Class A $ 16,368
-----------------------------------------------------------------------------------
2,775 Thomas Nelson, Inc. 52,725
-----------------------------------------------------------------------------------
1,800 Transmedia Network, Inc. 21,825
-----------------------------------------------------------------------------------
4,800 *United International Holdings, Inc., Class A 68,400
-----------------------------------------------------------------------------------
1,000 *United Television, Inc. 63,125
-----------------------------------------------------------------------------------
1,000 *United Video Satellite Group, Inc., Class A 25,750
-----------------------------------------------------------------------------------
1,250 *Uno Restaurant Corp. 13,750
-----------------------------------------------------------------------------------
1,800 *Vicorp Restaurants, Inc. 27,450
-----------------------------------------------------------------------------------
3,600 *WMS Industries, Inc. 67,950
-----------------------------------------------------------------------------------
3,600 *Western Publishing Group, Inc. 33,075
-----------------------------------------------------------------------------------
6,500 *Westwood One, Inc. 82,875
-----------------------------------------------------------------------------------
1,500 Wiley (John) & Sons, Class A 84,000
----------------------------------------------------------------------------------- -------------
Total 5,133,844
----------------------------------------------------------------------------------- -------------
ELECTRONIC TECHNOLOGY--11.9%
-----------------------------------------------------------------------------------
3,300 AAR Corp. 45,375
-----------------------------------------------------------------------------------
6,100 *AST Research, Inc. 108,275
-----------------------------------------------------------------------------------
4,200 *Abex, Inc. 34,650
-----------------------------------------------------------------------------------
3,200 *Actel Corp. 37,200
-----------------------------------------------------------------------------------
600 *Active Voice Corp. 15,600
-----------------------------------------------------------------------------------
1,700 *Alantec Corp. 65,237
-----------------------------------------------------------------------------------
2,700 *Alliance Semiconductor Corp. 110,025
-----------------------------------------------------------------------------------
2,100 *Alliant Techsystems, Inc. 77,437
-----------------------------------------------------------------------------------
3,600 *Alpine Group, Inc. 17,550
-----------------------------------------------------------------------------------
4,400 *Altera Corp. 355,850
-----------------------------------------------------------------------------------
2,850 Amtech Corp. 19,593
-----------------------------------------------------------------------------------
1,600 *Analogic Corp. 28,400
-----------------------------------------------------------------------------------
2,700 *Antec Corp. 66,825
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
ELECTRONIC TECHNOLOGY--CONTINUED
-----------------------------------------------------------------------------------
900 Applied Digital Access, Inc. $ 12,825
-----------------------------------------------------------------------------------
1,600 *Applied Innovation, Inc. 42,400
-----------------------------------------------------------------------------------
4,700 *Applied Magnetics Corp. 19,387
-----------------------------------------------------------------------------------
2,500 *Ascend Communications, Inc. 192,500
-----------------------------------------------------------------------------------
2,100 *Aspect Telecommunications Corp. 87,675
-----------------------------------------------------------------------------------
3,400 Augat, Inc. 69,700
-----------------------------------------------------------------------------------
4,900 *Auspex Systems, Inc. 50,837
-----------------------------------------------------------------------------------
4,100 Aviall, Inc. 31,262
-----------------------------------------------------------------------------------
3,500 Avid Technology, Inc. 141,093
-----------------------------------------------------------------------------------
3,400 *BE Aerospace, Inc. 24,225
-----------------------------------------------------------------------------------
2,350 *BancTec, Inc. 39,950
-----------------------------------------------------------------------------------
3,200 *Banyan Systems, Inc. 46,600
-----------------------------------------------------------------------------------
700 *Benchmark Electronics, Inc. 14,350
-----------------------------------------------------------------------------------
3,400 *Black Box Corp. 53,550
-----------------------------------------------------------------------------------
3,600 *Bolt Beranek & Newman, Inc. 67,500
-----------------------------------------------------------------------------------
3,900 *Boston Technology, Inc. 58,012
-----------------------------------------------------------------------------------
1,900 *Broadband Technologies, Inc. 47,500
-----------------------------------------------------------------------------------
3,100 *Brooktree Corp. 50,762
-----------------------------------------------------------------------------------
2,000 *Burr Brown Corp. 51,250
-----------------------------------------------------------------------------------
2,000 *C-COR Electronics, Inc. 43,125
-----------------------------------------------------------------------------------
3,200 C-Cube Microsystems, Inc. 71,200
-----------------------------------------------------------------------------------
700 CTS Corp. 23,187
-----------------------------------------------------------------------------------
2,600 *California Microwave 80,925
-----------------------------------------------------------------------------------
1,300 *Cellular Technical Services, Inc. 22,912
-----------------------------------------------------------------------------------
1,400 *Centigram Communications Corp. 21,000
-----------------------------------------------------------------------------------
3,500 *Chipcom Corp. 114,625
-----------------------------------------------------------------------------------
1,900 *Cidco, Inc. 68,400
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
ELECTRONIC TECHNOLOGY--CONTINUED
-----------------------------------------------------------------------------------
2,900 *Cognex Corp. $ 87,000
-----------------------------------------------------------------------------------
2,200 *Coherent, Inc. 64,212
-----------------------------------------------------------------------------------
1,500 Communications System, Inc. 21,562
-----------------------------------------------------------------------------------
3,100 *Compression Labs, Inc. 29,062
-----------------------------------------------------------------------------------
4,700 *Computer Network Technology 41,712
-----------------------------------------------------------------------------------
4,200 *Comverse Technology, Inc. 63,000
-----------------------------------------------------------------------------------
5,600 *Convex Computer Corp. 23,100
-----------------------------------------------------------------------------------
4,000 *CopyTele, Inc. 26,500
-----------------------------------------------------------------------------------
800 *Cornerstone Imaging, Inc. 12,500
-----------------------------------------------------------------------------------
5,400 *Cray Research, Inc. 106,650
-----------------------------------------------------------------------------------
1,700 *Credence Systems Corp. 61,625
-----------------------------------------------------------------------------------
1,500 *CrossComm Corp. 18,000
-----------------------------------------------------------------------------------
800 Cubic Corp. 16,300
-----------------------------------------------------------------------------------
500 Curtiss Wright Corp. 18,625
-----------------------------------------------------------------------------------
8,100 *Cypress Semiconductor Corp. 245,025
-----------------------------------------------------------------------------------
1,800 *Cyrix Corp. 42,750
-----------------------------------------------------------------------------------
1,100 *D H Technology, Inc. 27,500
-----------------------------------------------------------------------------------
1,400 DSP Group, Inc. 30,100
-----------------------------------------------------------------------------------
5,300 *Dallas Semiconductor Corp. 106,000
-----------------------------------------------------------------------------------
2,200 Daniel Industries, Inc. 34,375
-----------------------------------------------------------------------------------
7,000 *Data General Corp. 55,125
-----------------------------------------------------------------------------------
3,100 Dialogic Corp. 72,075
-----------------------------------------------------------------------------------
2,500 *Digi International, Inc. 55,625
-----------------------------------------------------------------------------------
900 *Digital Link Corp. 24,750
-----------------------------------------------------------------------------------
2,800 *Digtial Microwave Corp. 31,150
-----------------------------------------------------------------------------------
1,500 *Dionex Corp. 62,250
-----------------------------------------------------------------------------------
1,700 *Dovatron International, Inc. 37,400
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
ELECTRONIC TECHNOLOGY--CONTINUED
-----------------------------------------------------------------------------------
3,700 *Dynatech Corp. $ 64,750
-----------------------------------------------------------------------------------
1,300 *ECC International Corp. 15,437
-----------------------------------------------------------------------------------
1,700 *Electroglas, Inc. 73,950
-----------------------------------------------------------------------------------
1,900 Electronics for Imaging, Inc. 86,450
-----------------------------------------------------------------------------------
5,000 *Encore Computer Corp. 13,125
-----------------------------------------------------------------------------------
1,800 *Evans & Sutherland Computer Co. 28,800
-----------------------------------------------------------------------------------
4,500 *Exabyte Corp. 56,812
-----------------------------------------------------------------------------------
1,450 *Exar Corp. 38,243
-----------------------------------------------------------------------------------
9,000 *Executone Information Systems, Inc. 28,125
-----------------------------------------------------------------------------------
2,300 *Filenet Corp. 77,050
-----------------------------------------------------------------------------------
4,600 *First Pacific Networks, Inc. 19,550
-----------------------------------------------------------------------------------
1,600 Fusion Systems Corp. 50,000
-----------------------------------------------------------------------------------
600 *Gasonics International Corp. 13,800
-----------------------------------------------------------------------------------
5,300 GenCorp, Inc. 66,912
-----------------------------------------------------------------------------------
3,800 *GenRad, Inc. 25,175
-----------------------------------------------------------------------------------
4,200 *General DataComm Industries, Inc. 40,425
-----------------------------------------------------------------------------------
8,400 *Geotek Industries, Inc. 76,650
-----------------------------------------------------------------------------------
4,300 Gerber Scientific, Inc. 66,112
-----------------------------------------------------------------------------------
1,600 *Global Village Communications 21,600
-----------------------------------------------------------------------------------
725 Hach Co. 11,600
-----------------------------------------------------------------------------------
1,400 Harmon Industries, Inc. 19,950
-----------------------------------------------------------------------------------
1,800 Helix Technology Corp. 58,950
-----------------------------------------------------------------------------------
1,100 *Hutchinson Technology, Inc. 36,300
-----------------------------------------------------------------------------------
1,600 *IEC Electronics Corp. 12,800
-----------------------------------------------------------------------------------
1,900 *In Focus Systems, Inc. 50,825
-----------------------------------------------------------------------------------
1,650 *Integrated Circuit System, Inc. 17,118
-----------------------------------------------------------------------------------
1,000 *Inter-Tel, Inc. 15,000
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
ELECTRONIC TECHNOLOGY--CONTINUED
-----------------------------------------------------------------------------------
8,700 *Interdigital Communications Corp. $ 58,725
-----------------------------------------------------------------------------------
9,400 *Intergraph Corp. 101,050
-----------------------------------------------------------------------------------
4,800 *International Rectifier Corp. 121,800
-----------------------------------------------------------------------------------
3,200 *Intervoice, Inc. 48,400
-----------------------------------------------------------------------------------
3,100 *Irvine Sensors Corp. 22,862
-----------------------------------------------------------------------------------
1,300 *Itron, Inc. 32,825
-----------------------------------------------------------------------------------
900 *Jabil Circuit, Inc. 5,737
-----------------------------------------------------------------------------------
1,000 *John Fluke Manufacturing, Co. 40,250
-----------------------------------------------------------------------------------
4,000 *Kemet Corp. 158,000
-----------------------------------------------------------------------------------
3,700 *Komag, Inc. 142,912
-----------------------------------------------------------------------------------
1,700 *Kopin Corp. 13,600
-----------------------------------------------------------------------------------
1,700 *Kulicke & Soffa Industries, Inc. 72,037
-----------------------------------------------------------------------------------
1,200 *Lasermaster Technologies, Inc. 7,950
-----------------------------------------------------------------------------------
3,950 *Lattice Semiconductor Corp. 118,993
-----------------------------------------------------------------------------------
2,600 *Level One Communications, Inc. 39,975
-----------------------------------------------------------------------------------
1,300 Logicon, Inc. 48,100
-----------------------------------------------------------------------------------
5,500 *M/A Communications, Inc. 63,937
-----------------------------------------------------------------------------------
800 MTS Systems Corp. 19,600
-----------------------------------------------------------------------------------
10,700 *Maxtor Corp. 54,837
-----------------------------------------------------------------------------------
2,700 Measurex Corp. 67,500
-----------------------------------------------------------------------------------
1,500 *Megatest Corp. 15,750
-----------------------------------------------------------------------------------
10,200 *Mentor Graphics Corp. 172,125
-----------------------------------------------------------------------------------
4,300 Methode Electronics, Inc., Class A 74,175
-----------------------------------------------------------------------------------
2,300 *Metricom, Inc. 35,650
-----------------------------------------------------------------------------------
2,233 Micom Communications Corp. 16,607
-----------------------------------------------------------------------------------
6,800 *Microchip Technology, Inc. 192,100
-----------------------------------------------------------------------------------
3,200 *Micropolis Corp. 23,200
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
ELECTRONIC TECHNOLOGY--CONTINUED
-----------------------------------------------------------------------------------
800 *Microtest, Inc. $ 16,800
-----------------------------------------------------------------------------------
2,800 National Computer Systems, Inc. 49,700
-----------------------------------------------------------------------------------
2,800 *NETFRAME Systems, Inc. 13,650
-----------------------------------------------------------------------------------
3,300 *Network Equipment Technologies, Inc. 72,187
-----------------------------------------------------------------------------------
3,500 *Network General Corp. 91,437
-----------------------------------------------------------------------------------
1,400 *Norand Corp. 42,700
-----------------------------------------------------------------------------------
3,400 *Novellus Systems, Inc. 206,550
-----------------------------------------------------------------------------------
3,300 OEA, Inc. 101,062
-----------------------------------------------------------------------------------
7,200 *OIS Optical Imaging Systems, Inc. 41,400
-----------------------------------------------------------------------------------
4,440 *Octel Communications Corp. 100,455
-----------------------------------------------------------------------------------
1,100 *Opti, Inc. 16,637
-----------------------------------------------------------------------------------
800 *Optical Data Systems, Inc. 32,400
-----------------------------------------------------------------------------------
4,000 *Orbital Sciences Corp. 67,000
-----------------------------------------------------------------------------------
1,900 *Pairgain Technologies, Inc. 40,375
-----------------------------------------------------------------------------------
900 Park Electrochemical Corp. 33,750
-----------------------------------------------------------------------------------
3,200 *PictureTel Corp. 136,400
-----------------------------------------------------------------------------------
1,300 *Planar Systems, Inc. 25,675
-----------------------------------------------------------------------------------
1,700 *Plantronics, Inc. 46,325
-----------------------------------------------------------------------------------
2,700 *Quickturn Design Systems, Inc. 22,950
-----------------------------------------------------------------------------------
8,800 *Read-Rite Corp. 187,000
-----------------------------------------------------------------------------------
2,900 *Recognition International, Inc. 21,387
-----------------------------------------------------------------------------------
3,700 *Retix 14,800
-----------------------------------------------------------------------------------
3,800 *Rohr, Inc. 40,850
-----------------------------------------------------------------------------------
3,800 *S3, Inc. 87,875
-----------------------------------------------------------------------------------
5,800 *SCI Systems, Inc. 118,175
-----------------------------------------------------------------------------------
1,700 *Sanmina Corp. 58,012
-----------------------------------------------------------------------------------
1,700 *Sequa Corp., Class A 52,275
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
ELECTRONIC TECHNOLOGY--CONTINUED
-----------------------------------------------------------------------------------
6,500 *Sequent Computer System, Inc. $ 107,656
-----------------------------------------------------------------------------------
3,900 *Silicon Valley Group, Inc. 113,100
-----------------------------------------------------------------------------------
4,100 *Stac Electronics 26,137
-----------------------------------------------------------------------------------
2,800 *Standard Microsystems Corp. 51,975
-----------------------------------------------------------------------------------
900 *Stanford Telcommunications, Inc. 14,850
-----------------------------------------------------------------------------------
5,700 *StrataCom, Inc. 209,475
-----------------------------------------------------------------------------------
1,100 *Summa Four, Inc. 25,575
-----------------------------------------------------------------------------------
2,000 *SyQuest Technology, Inc. 22,500
-----------------------------------------------------------------------------------
4,600 *Symbol Technologies, Inc. 152,375
-----------------------------------------------------------------------------------
3,000 *Symmetricom, Inc. 52,500
-----------------------------------------------------------------------------------
1,200 *Tech-Sym Corp. 30,300
-----------------------------------------------------------------------------------
2,100 *Telco System, Inc. 25,725
-----------------------------------------------------------------------------------
3,400 *Telular Corp. 30,600
-----------------------------------------------------------------------------------
3,300 Telxon Corp. 51,975
-----------------------------------------------------------------------------------
2,900 *Tencor Instruments 196,475
-----------------------------------------------------------------------------------
2,900 *Thermedics, Inc. 54,737
-----------------------------------------------------------------------------------
1,150 *Thermotrex Corp. 22,856
-----------------------------------------------------------------------------------
3,600 Thiokol Corp. 100,350
-----------------------------------------------------------------------------------
1,600 *Three-Five Systems, Inc. 38,800
-----------------------------------------------------------------------------------
2,100 *Tracor, Inc. 27,300
-----------------------------------------------------------------------------------
2,700 *Tricord Systems, Inc. 11,306
-----------------------------------------------------------------------------------
3,300 *Trimble Navigation Ltd. 62,700
-----------------------------------------------------------------------------------
2,700 Tseng Laboratories, Inc. 19,237
-----------------------------------------------------------------------------------
3,310 *U S Robotics Corp. 262,317
-----------------------------------------------------------------------------------
3,700 *UNC, Inc. 18,500
-----------------------------------------------------------------------------------
900 *Ultratech Stepper, Inc. 50,400
-----------------------------------------------------------------------------------
2,000 Unitrode Corp. 41,500
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
ELECTRONIC TECHNOLOGY--CONTINUED
-----------------------------------------------------------------------------------
7,600 *VLSI Technology $ 161,975
-----------------------------------------------------------------------------------
5,000 *Verifone, Inc. 118,125
-----------------------------------------------------------------------------------
3,200 *Vicor Corp. 123,200
-----------------------------------------------------------------------------------
6,000 *Wang Laboratories, Inc. 98,625
-----------------------------------------------------------------------------------
1,500 Watkins Johnson Co. 59,437
-----------------------------------------------------------------------------------
9,800 *Western Digital Corp. 156,800
-----------------------------------------------------------------------------------
1,600 *Whittaker Corp. 33,600
-----------------------------------------------------------------------------------
2,400 *Wyman Gordon Co. 21,600
-----------------------------------------------------------------------------------
2,500 *Xircom, Inc. 29,687
-----------------------------------------------------------------------------------
3,900 *Zilog, Inc. 136,987
----------------------------------------------------------------------------------- -------------
Total 11,296,032
----------------------------------------------------------------------------------- -------------
ENERGY MINERALS--1.8%
-----------------------------------------------------------------------------------
1,800 *Addington Resources, Inc. 20,250
-----------------------------------------------------------------------------------
18,100 *American Exploration Co. 19,231
-----------------------------------------------------------------------------------
1,400 Ashland Coal, Inc. 38,675
-----------------------------------------------------------------------------------
2,100 *Barrett Resources 49,350
-----------------------------------------------------------------------------------
5,200 *Benton Oil & Gas Co. 64,025
-----------------------------------------------------------------------------------
4,000 Berry Petroleum Co., Class A 39,500
-----------------------------------------------------------------------------------
3,700 *Box Energy Corp., Class B 30,987
-----------------------------------------------------------------------------------
3,000 *Brown Tom, Inc. 42,375
-----------------------------------------------------------------------------------
4,800 Cabot Oil & Gas Corp., Class A 74,400
-----------------------------------------------------------------------------------
800 *Castle Energy Corp. 6,800
-----------------------------------------------------------------------------------
4,700 *Coda Energy, Inc. 34,662
-----------------------------------------------------------------------------------
2,300 Cross Timbers Oil Co. 37,662
-----------------------------------------------------------------------------------
1,600 *Crown Center Petroleum Corp., Class A 24,000
-----------------------------------------------------------------------------------
2,000 *Dekalb Energy Co., Class B 47,375
-----------------------------------------------------------------------------------
4,100 Devon Energy Corp. 85,075
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
ENERGY MINERALS--CONTINUED
-----------------------------------------------------------------------------------
1,000 *Edisto Resources Corp. $ 8,500
-----------------------------------------------------------------------------------
1,600 *Forest Oil Corp. 3,300
-----------------------------------------------------------------------------------
2,900 *Gerrity Oil & Gas Corp. 14,500
-----------------------------------------------------------------------------------
1,500 Getty Petroleum Corp. 17,062
-----------------------------------------------------------------------------------
1,500 *Giant Industries, Inc. 11,625
-----------------------------------------------------------------------------------
6,200 *Global Natural Resources, Inc. 61,225
-----------------------------------------------------------------------------------
2,300 HS Resources, Inc. 37,950
-----------------------------------------------------------------------------------
600 Holly Corp. 16,050
-----------------------------------------------------------------------------------
600 *Hondo Oil & Gas Co. 7,875
-----------------------------------------------------------------------------------
1,400 *Hugoton Energy Corp. 11,550
-----------------------------------------------------------------------------------
2,000 KCS Energy, Inc. 35,500
-----------------------------------------------------------------------------------
1,600 *Louis Dreyfus Natural Gas Corp. 24,600
-----------------------------------------------------------------------------------
13,500 *Mesa, Inc. 77,625
-----------------------------------------------------------------------------------
3,500 *Newfield Exploration Co. 80,500
-----------------------------------------------------------------------------------
2,000 *Nuevo Energy Co. 38,250
-----------------------------------------------------------------------------------
700 Penn Virginia Corp. 23,450
-----------------------------------------------------------------------------------
1,400 Phoenix Resource Cos., Inc. 39,900
-----------------------------------------------------------------------------------
1,500 Pittston Co. 18,375
-----------------------------------------------------------------------------------
2,100 Plains Petroleum Co. 49,087
-----------------------------------------------------------------------------------
6,600 Quaker State Corp. 94,050
-----------------------------------------------------------------------------------
4,500 Snyder Oil Corp. 64,687
-----------------------------------------------------------------------------------
1,800 St. Mary Land & Exploration Co. 22,950
-----------------------------------------------------------------------------------
1,700 *Stone Energy Corp. 23,587
-----------------------------------------------------------------------------------
5,300 *Tatham Offshore, Inc. 28,487
-----------------------------------------------------------------------------------
5,100 *Tesoro Petroleum Corp. 50,362
-----------------------------------------------------------------------------------
2,200 *Texas Meridian Resources Co. 26,950
-----------------------------------------------------------------------------------
1,300 *Tide West Oil Co. 13,162
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
ENERGY MINERALS--CONTINUED
-----------------------------------------------------------------------------------
5,809 *United Meridian Corp. $ 92,944
-----------------------------------------------------------------------------------
1,700 Vintage Petroleum, Inc. 34,850
-----------------------------------------------------------------------------------
5,100 *Wainoco Oil Corp. 20,400
-----------------------------------------------------------------------------------
1,900 Wiser Oil Co. 28,025
-----------------------------------------------------------------------------------
49,700 *XCL, Ltd. 24,850
----------------------------------------------------------------------------------- -------------
Total 1,716,595
----------------------------------------------------------------------------------- -------------
FINANCE--21.5%
-----------------------------------------------------------------------------------
987 1st Source Corp. 27,759
-----------------------------------------------------------------------------------
1,200 Aaron Rents, Inc. 17,550
-----------------------------------------------------------------------------------
1,700 *Acceptance Insurance Cos., Inc. 25,925
-----------------------------------------------------------------------------------
2,900 Acordia, Inc. 90,262
-----------------------------------------------------------------------------------
2,900 Albank Financial Corp. 75,037
-----------------------------------------------------------------------------------
2,800 Alex Brown, Inc. 114,800
-----------------------------------------------------------------------------------
2,500 Alexander Haagen Properties, Inc. 28,437
-----------------------------------------------------------------------------------
700 *Alexander's, Inc. 36,050
-----------------------------------------------------------------------------------
4,200 Alfa Corp. 48,300
-----------------------------------------------------------------------------------
2,700 Allied Capital Commercial 45,225
-----------------------------------------------------------------------------------
1,300 Allied Group, Inc. 38,025
-----------------------------------------------------------------------------------
2,000 AmVestors Financial Corp. 20,750
-----------------------------------------------------------------------------------
2,150 Amcore Financial, Inc. 41,387
-----------------------------------------------------------------------------------
1,547 American Annuity Group, Inc. 15,276
-----------------------------------------------------------------------------------
3,400 American Bankers Insurance Group, Inc. 107,525
-----------------------------------------------------------------------------------
2,300 American Federal Bank, FSB SC 31,912
-----------------------------------------------------------------------------------
500 American Financial Enterprises 11,000
-----------------------------------------------------------------------------------
4,400 American Health Properties, Inc. 90,200
-----------------------------------------------------------------------------------
1,300 American Heritage Life Investments 24,700
-----------------------------------------------------------------------------------
1,200 *American Savings 24,300
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
FINANCE--CONTINUED
-----------------------------------------------------------------------------------
2,200 *American Travellers Corp. $ 44,000
-----------------------------------------------------------------------------------
6,000 Americredit Corp. 54,000
-----------------------------------------------------------------------------------
1,000 Amfed Financial, Inc. 22,500
-----------------------------------------------------------------------------------
800 Amli Residential Properties Trust 14,600
-----------------------------------------------------------------------------------
400 Amplicon, Inc. 6,200
-----------------------------------------------------------------------------------
900 Anchor Bancorp Wisconsin, Inc. 29,812
-----------------------------------------------------------------------------------
2,690 Associated Banc Corp. 100,202
-----------------------------------------------------------------------------------
2,000 Associated Estates Realty Corp. 39,500
-----------------------------------------------------------------------------------
2,600 *Astoria Financial Corp. 88,400
-----------------------------------------------------------------------------------
2,000 *Atlantic Gulf Communities Corp. 16,000
-----------------------------------------------------------------------------------
2,700 *Autofinance Group, Inc. 39,825
-----------------------------------------------------------------------------------
6,000 Avalon Properties, Inc. 117,750
-----------------------------------------------------------------------------------
1,200 Avemco Corp. 20,100
-----------------------------------------------------------------------------------
1,400 BHC Financial, Inc. 21,087
-----------------------------------------------------------------------------------
724 *BOK Financial Corp. 15,928
-----------------------------------------------------------------------------------
2,300 BRE Properties, Inc., Class A 70,725
-----------------------------------------------------------------------------------
900 BSB Bancorp, Inc. 26,325
-----------------------------------------------------------------------------------
761 BT Financial Corp. 22,354
-----------------------------------------------------------------------------------
2,600 Baldwin & Lyons, Inc., Class B 42,250
-----------------------------------------------------------------------------------
1,300 BancFirst Corp. 19,825
-----------------------------------------------------------------------------------
1,680 Bancorpsouth, Inc. 61,740
-----------------------------------------------------------------------------------
1,250 Bank Granite Corp. 31,406
-----------------------------------------------------------------------------------
700 Bank of New Hampshire Corp. 18,375
-----------------------------------------------------------------------------------
700 Bankatlantic Bancorp, Inc. 11,200
-----------------------------------------------------------------------------------
2,212 Bankers Corp. 36,359
-----------------------------------------------------------------------------------
800 Bankers First Corp. 21,600
-----------------------------------------------------------------------------------
1,400 Banknorth Group, Inc. 34,650
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
FINANCE--CONTINUED
-----------------------------------------------------------------------------------
2,400 Bay Apartment Communities, Inc. $ 43,200
-----------------------------------------------------------------------------------
1,400 Bay View Capital Corp. 34,650
-----------------------------------------------------------------------------------
1,900 Bell Bancorp, Inc. 53,200
-----------------------------------------------------------------------------------
3,000 Berkley, W. R. Corp. 112,500
-----------------------------------------------------------------------------------
5,300 Berkshire Realty, Inc. 49,687
-----------------------------------------------------------------------------------
1,900 Blanch, E. W. Holdings, Inc. 35,625
-----------------------------------------------------------------------------------
1,100 Boston Bancorp 42,350
-----------------------------------------------------------------------------------
1,700 Bradley Real Estate, Inc. 25,712
-----------------------------------------------------------------------------------
1,150 Brenton Bank, Inc. 20,987
-----------------------------------------------------------------------------------
3,500 Burnham Pacific Properties, Inc. 41,562
-----------------------------------------------------------------------------------
3,500 CBL & Associates Properties, Inc. 68,250
-----------------------------------------------------------------------------------
1,200 CBT Corp., KY 27,900
-----------------------------------------------------------------------------------
1,500 CCB Financial Corp. 62,812
-----------------------------------------------------------------------------------
3,000 CCP Insurance, Inc. 63,375
-----------------------------------------------------------------------------------
2,300 CMAC Investment Corp. 85,100
-----------------------------------------------------------------------------------
2,904 CNB Bancshares, Inc. 85,668
-----------------------------------------------------------------------------------
1,000 CPB, Inc. 26,125
-----------------------------------------------------------------------------------
2,700 CRI Liquidating REIT 9,112
-----------------------------------------------------------------------------------
1,300 *CSF Holdings, Inc. 34,287
-----------------------------------------------------------------------------------
1,057 CVB Financial Corp. 14,005
-----------------------------------------------------------------------------------
8,300 CWM Mortgage Holdings, Inc. 89,225
-----------------------------------------------------------------------------------
1,700 California Bancshares, Inc. 31,450
-----------------------------------------------------------------------------------
10,300 *California Federal Bank Los Angeles 126,175
-----------------------------------------------------------------------------------
2,900 Camden Property Trust 60,900
-----------------------------------------------------------------------------------
1,800 Capital Guaranty Corp. 31,950
-----------------------------------------------------------------------------------
2,500 Capital Re Corp. 58,125
-----------------------------------------------------------------------------------
3,700 Capitol American Financial Corp. 80,937
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
FINANCE--CONTINUED
-----------------------------------------------------------------------------------
1,100 Capitol Transamerica Corp. $ 18,150
-----------------------------------------------------------------------------------
3,200 Capstead Management Corp. 77,200
-----------------------------------------------------------------------------------
2,300 *Capsure Holdings Corp. 30,187
-----------------------------------------------------------------------------------
2,800 Carr Realty Corp. 49,700
-----------------------------------------------------------------------------------
11,100 *Catellus Development Corp. 72,150
-----------------------------------------------------------------------------------
1,300 Cathay Bancorp, Inc. 16,575
-----------------------------------------------------------------------------------
1,100 CenterPoint Properties Corp. 20,900
-----------------------------------------------------------------------------------
2,600 *Centerbank Waterbury Conn. 33,800
-----------------------------------------------------------------------------------
4,300 Centura Banks, Inc. 111,262
-----------------------------------------------------------------------------------
4,750 Charter One Financial, Inc. 108,656
-----------------------------------------------------------------------------------
1,200 Chateau Properties, Inc. 24,750
-----------------------------------------------------------------------------------
1,100 Chelsea GCA Realty, Inc. 26,812
-----------------------------------------------------------------------------------
1,893 Chemical Financial Corp. 54,897
-----------------------------------------------------------------------------------
1,300 Chittenden Corp. 30,875
-----------------------------------------------------------------------------------
900 Citfed Bancorp, Inc. 23,625
-----------------------------------------------------------------------------------
2,300 Citizens Bancorp 68,425
-----------------------------------------------------------------------------------
600 *Citizens Bancshares, Inc. 21,225
-----------------------------------------------------------------------------------
2,300 Citizens Banking Corp. 62,100
-----------------------------------------------------------------------------------
7,600 Citizens Corp. 129,200
-----------------------------------------------------------------------------------
1,800 *Citizens, Inc., Class A 15,075
-----------------------------------------------------------------------------------
660 City Holding Co. 17,985
-----------------------------------------------------------------------------------
7,900 City National Corp. 79,987
-----------------------------------------------------------------------------------
3,900 *Coast Savings Financial, Inc. 80,925
-----------------------------------------------------------------------------------
700 Coastal Bancorp, Inc. 10,150
-----------------------------------------------------------------------------------
700 Cobancorp, Inc. 15,400
-----------------------------------------------------------------------------------
4,250 Collective Bancorp, Inc. 77,031
-----------------------------------------------------------------------------------
1,700 Colonial BancGroup, Inc. 41,225
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
FINANCE--CONTINUED
-----------------------------------------------------------------------------------
2,000 Colonial Properties Trust $ 45,750
-----------------------------------------------------------------------------------
800 *Columbia First Federal Savings 45,600
-----------------------------------------------------------------------------------
2,400 Columbus Realty Trust 43,200
-----------------------------------------------------------------------------------
2,160 Commerce Bancorp, Inc. 36,720
-----------------------------------------------------------------------------------
8,000 Commerce Group, Inc. 139,000
-----------------------------------------------------------------------------------
2,700 *Commercial Federal Corp. 70,537
-----------------------------------------------------------------------------------
2,500 Commercial Net Lease Realty 30,312
-----------------------------------------------------------------------------------
1,400 Community First Bankshares, Inc. 20,300
-----------------------------------------------------------------------------------
4,000 *Coral Gables Fedcorp, Inc. 104,500
-----------------------------------------------------------------------------------
600 Corvel Corp. 14,850
-----------------------------------------------------------------------------------
3,900 Cousins Properties, Inc. 65,325
-----------------------------------------------------------------------------------
5,200 Crawford & Co., Class B 85,150
-----------------------------------------------------------------------------------
3,100 *Credit Acceptance Corp. 62,000
-----------------------------------------------------------------------------------
5,500 Criimi Mae, Inc. 40,562
-----------------------------------------------------------------------------------
4,000 Crown American Realty Trust 50,000
-----------------------------------------------------------------------------------
2,320 Cullen Frost Bankers, Inc. 85,260
-----------------------------------------------------------------------------------
3,200 *Danielson Holding Corp. 23,200
-----------------------------------------------------------------------------------
600 Deerbank Corp. 26,325
-----------------------------------------------------------------------------------
700 *Delphi Financial Group, Inc., Class A 11,900
-----------------------------------------------------------------------------------
3,800 Deposit Guaranty Corp. 131,575
-----------------------------------------------------------------------------------
3,200 Developers Diversified Realty 88,000
-----------------------------------------------------------------------------------
20,727 *Dime Bancorp, Inc. 199,497
-----------------------------------------------------------------------------------
2,000 Downey Financial Corp. 36,000
-----------------------------------------------------------------------------------
4,300 Duke Realty Investments, Inc. 117,175
-----------------------------------------------------------------------------------
1,600 Eaton Vance Corp. 50,600
-----------------------------------------------------------------------------------
1,100 *Electro Rent Corp. 20,625
-----------------------------------------------------------------------------------
3,600 Emphesys Financial Group, Inc. 94,950
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
FINANCE--CONTINUED
-----------------------------------------------------------------------------------
2,600 Enhance Financial Services Group, Inc. $ 44,200
-----------------------------------------------------------------------------------
2,300 Excel Realty Trust, Inc. 43,987
-----------------------------------------------------------------------------------
2,100 Executive Risk, Inc. 37,012
-----------------------------------------------------------------------------------
882 F & M Bancorp 23,483
-----------------------------------------------------------------------------------
2,855 F & M National Corp. 46,393
-----------------------------------------------------------------------------------
1,600 FNB Corp. 26,800
-----------------------------------------------------------------------------------
2,200 Factory Stores of America, Inc. 43,175
-----------------------------------------------------------------------------------
700 Farmers Capital Bank Corp. 25,550
-----------------------------------------------------------------------------------
2,075 Fidelity National Financial, Inc. 22,306
-----------------------------------------------------------------------------------
1,380 Financial Trust Corp. 37,605
-----------------------------------------------------------------------------------
5,800 Finova Group, Inc. 195,750
-----------------------------------------------------------------------------------
2,950 FirsTier Financial, Inc. 98,825
-----------------------------------------------------------------------------------
2,000 First American Financial Corp. 39,250
-----------------------------------------------------------------------------------
1,800 First Citizens Bancshares, Inc., Class A 84,600
-----------------------------------------------------------------------------------
1,100 First Commerce Bancshares, Inc., Class A 18,837
-----------------------------------------------------------------------------------
4,462 First Commercial Corp. 112,107
-----------------------------------------------------------------------------------
4,700 First Commmonwealth Financial Corp. 71,675
-----------------------------------------------------------------------------------
1,090 First Federal Capital Corp. 16,895
-----------------------------------------------------------------------------------
1,300 First Federal Savings Bank of Colorado 31,200
-----------------------------------------------------------------------------------
2,616 First Financial Bancorp 86,328
-----------------------------------------------------------------------------------
1,000 First Financial Corp. 29,250
-----------------------------------------------------------------------------------
5,400 First Financial Corp. Wisconsin 84,375
-----------------------------------------------------------------------------------
1,200 First Financial Holdings, Inc. 23,100
-----------------------------------------------------------------------------------
1,166 First Indiana Corp. 20,405
-----------------------------------------------------------------------------------
700 First Merchants Corp. 22,662
-----------------------------------------------------------------------------------
3,704 First Michigan Bank Corp. 89,831
-----------------------------------------------------------------------------------
2,100 First Midwest Bancorp, Inc. 50,925
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
FINANCE--CONTINUED
-----------------------------------------------------------------------------------
2,750 First National Bancorp $ 58,781
-----------------------------------------------------------------------------------
1,100 *First Palm Beach Bancorp, Inc. 19,800
-----------------------------------------------------------------------------------
1,366 *First Republican Bancorp, Inc. 16,562
-----------------------------------------------------------------------------------
3,800 First Union Real Estate Equity 27,550
-----------------------------------------------------------------------------------
900 First United Bancshares 29,250
-----------------------------------------------------------------------------------
900 First United Corp. 16,875
-----------------------------------------------------------------------------------
1,135 First Western Bancorp, Inc. 31,496
-----------------------------------------------------------------------------------
2,100 FirstBank Puerto Rico 42,000
-----------------------------------------------------------------------------------
2,000 *FirstFed Financial Corp. 33,750
-----------------------------------------------------------------------------------
3,250 FirstFed Michigan Corp. 78,812
-----------------------------------------------------------------------------------
2,100 Firstbank Illinois Co. 56,175
-----------------------------------------------------------------------------------
6,400 Firstmerit Corp. 148,000
-----------------------------------------------------------------------------------
3,400 Foothill Group, Inc., Class A 73,950
-----------------------------------------------------------------------------------
2,000 Foremost Corp. 75,500
-----------------------------------------------------------------------------------
800 Forest City Enterprise, Inc., Class A 27,100
-----------------------------------------------------------------------------------
1,650 Fort Wayne National Corp. 43,725
-----------------------------------------------------------------------------------
2,300 Fremont General Corp. 50,887
-----------------------------------------------------------------------------------
1,805 Frontier Insurance Group, Inc. 45,350
-----------------------------------------------------------------------------------
5,175 Fulton Financial Corp. 106,087
-----------------------------------------------------------------------------------
1,600 *Fund American Enterprises, Inc. 115,400
-----------------------------------------------------------------------------------
1,300 GBC Bancorp 15,925
-----------------------------------------------------------------------------------
2,200 Gables Residential Trust 40,425
-----------------------------------------------------------------------------------
3,498 Gainsco, Inc. 37,166
-----------------------------------------------------------------------------------
3,200 Gallagher (Arthur J.) & Co. 109,600
-----------------------------------------------------------------------------------
4,300 General Growth Properties, Inc. 87,075
-----------------------------------------------------------------------------------
8,540 *Glendale Federal Bank 104,615
-----------------------------------------------------------------------------------
3,500 Glimcher Realty Trust 67,812
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
FINANCE--CONTINUED
-----------------------------------------------------------------------------------
3,500 Great Financial Corp. $ 62,125
-----------------------------------------------------------------------------------
2,900 *Greater New York Savings Bank 25,737
-----------------------------------------------------------------------------------
1,300 Guaranty National Corp. 21,450
-----------------------------------------------------------------------------------
1,400 *HCC Insurance Holdings, Inc. 32,200
-----------------------------------------------------------------------------------
1,300 Hancock Holding Co. 38,675
-----------------------------------------------------------------------------------
1,300 Harleysville Group, Inc. 31,525
-----------------------------------------------------------------------------------
1,255 Harleysville National Corp. 33,885
-----------------------------------------------------------------------------------
600 Harris Savings Bank, PA 9,675
-----------------------------------------------------------------------------------
2,600 Hawkeye Bancorporation 58,987
-----------------------------------------------------------------------------------
2,400 Health Care REIT, Inc. 52,200
-----------------------------------------------------------------------------------
2,700 Healthcare Realty Trust, Inc. 50,625
-----------------------------------------------------------------------------------
1,400 Heritage Financial Services, Inc. 24,150
-----------------------------------------------------------------------------------
3,100 Hilb Rogal & Hamilton Co. 36,425
-----------------------------------------------------------------------------------
2,600 Home Beneficial Corp., Class B 52,000
-----------------------------------------------------------------------------------
5,127 *Home Financial Corp. 64,728
-----------------------------------------------------------------------------------
2,600 *Home Holdings, Inc., Class A 25,350
-----------------------------------------------------------------------------------
1,100 Homeland Bankshares Corp. 24,543
-----------------------------------------------------------------------------------
2,200 Horizon Outlet Centers 48,400
-----------------------------------------------------------------------------------
2,015 Hubco, Inc. 35,514
-----------------------------------------------------------------------------------
5,300 IRT Property Co. 50,350
-----------------------------------------------------------------------------------
1,806 *Imperial Bancorp 28,896
-----------------------------------------------------------------------------------
1,250 *Imperial Credit Industries, Inc. 12,187
-----------------------------------------------------------------------------------
2,000 Independent Insurance Group, Inc. 24,250
-----------------------------------------------------------------------------------
2,100 *Insignia Financial Group, Inc., Class A 48,825
-----------------------------------------------------------------------------------
1,600 Integon Corp. 25,000
-----------------------------------------------------------------------------------
1,700 Inter Regional Financial Group, Inc. 42,925
-----------------------------------------------------------------------------------
800 Intercontinental Bank 18,000
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
FINANCE--CONTINUED
-----------------------------------------------------------------------------------
1,700 *Interpool, Inc. $ 25,075
-----------------------------------------------------------------------------------
2,500 Irvine Apartment Communities, Inc. 39,375
-----------------------------------------------------------------------------------
700 Irwin Financial Corp. 22,225
-----------------------------------------------------------------------------------
1,400 JDN Realty Corp. 25,900
-----------------------------------------------------------------------------------
2,400 JP Realty, Inc. 45,600
-----------------------------------------------------------------------------------
2,300 JSB Financial, Inc. 68,425
-----------------------------------------------------------------------------------
1,100 Jefferies Group, Inc. 38,087
-----------------------------------------------------------------------------------
3,200 Jefferson Bankshares, Inc. 66,000
-----------------------------------------------------------------------------------
1,000 *Kaiser Resources, Inc. 7,375
-----------------------------------------------------------------------------------
700 Kansas City Life Insurance Co. 30,800
-----------------------------------------------------------------------------------
4,866 Keystone Financial, Inc. 139,289
-----------------------------------------------------------------------------------
3,700 *Koger Equity, Inc. 27,981
-----------------------------------------------------------------------------------
2,200 Kranzco Realty Trust 37,675
-----------------------------------------------------------------------------------
3,700 LTC Properties, Inc. 48,100
-----------------------------------------------------------------------------------
1,800 Lawyers Title Corp. 26,550
-----------------------------------------------------------------------------------
2,100 *Leader Financial Corp. 56,700
-----------------------------------------------------------------------------------
2,175 Legg Mason, Inc. 53,559
-----------------------------------------------------------------------------------
1,200 Liberty Bancorp, Inc.-Oklahoma 36,300
-----------------------------------------------------------------------------------
3,200 Liberty Corp. 89,600
-----------------------------------------------------------------------------------
1,030 Liberty Financial Cos., Inc. 25,621
-----------------------------------------------------------------------------------
3,200 Life Partners Group, Inc. 62,400
-----------------------------------------------------------------------------------
2,700 Life Re Corp. 50,962
-----------------------------------------------------------------------------------
3,300 *Life USA Holdings, Inc. 31,762
-----------------------------------------------------------------------------------
4,200 *Lomas Financial Corp. 6,825
-----------------------------------------------------------------------------------
1,800 Loyola Capital Corp. 51,525
-----------------------------------------------------------------------------------
950 MAF Bancorp, Inc. 22,562
-----------------------------------------------------------------------------------
2,400 MGI Properties, Inc. 33,900
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
FINANCE--CONTINUED
-----------------------------------------------------------------------------------
1,800 MMI Companies, Inc. $ 32,850
-----------------------------------------------------------------------------------
1,500 Macerich Co. (The) 30,188
-----------------------------------------------------------------------------------
1,500 Magna Bancorp 29,250
-----------------------------------------------------------------------------------
5,800 Magna Group, Inc. 121,800
-----------------------------------------------------------------------------------
5,100 Manufactured Home Communities, Inc. 80,325
-----------------------------------------------------------------------------------
1,500 Mark Centers Trust 18,938
-----------------------------------------------------------------------------------
2,550 Mark Twain Bancshares, Inc. 80,006
-----------------------------------------------------------------------------------
900 *Markel Corp. 46,575
-----------------------------------------------------------------------------------
700 Maryland Federal Bancorp, Inc. 20,038
-----------------------------------------------------------------------------------
4,000 McArthur Glen Realty Corp. 53,000
-----------------------------------------------------------------------------------
1,400 McDonald & Co. Investors, Inc. 20,300
-----------------------------------------------------------------------------------
1,500 McGrath Rentcorp. 23,438
-----------------------------------------------------------------------------------
400 Merchants Bank New York 20,800
-----------------------------------------------------------------------------------
5,500 Merry Land and Investment Co. 103,813
-----------------------------------------------------------------------------------
3,526 Mid Am, Inc. 48,916
-----------------------------------------------------------------------------------
1,496 Mid American Bancorp 25,993
-----------------------------------------------------------------------------------
1,800 Mid-American Apartment Communities, Inc. 45,000
-----------------------------------------------------------------------------------
300 Midland Co. 14,175
-----------------------------------------------------------------------------------
1,000 Midland Financial Group, Inc. 18,750
-----------------------------------------------------------------------------------
3,600 Mills Corp. 61,200
-----------------------------------------------------------------------------------
1,000 Money Stores, Inc. 23,375
-----------------------------------------------------------------------------------
2,150 Morgan Keegan, Inc. 33,863
-----------------------------------------------------------------------------------
1,896 *Mutual Assurance, Inc. 49,770
-----------------------------------------------------------------------------------
1,500 N.S. Bancorp, Inc. 44,438
-----------------------------------------------------------------------------------
2,800 NAC Re Corp. 92,400
-----------------------------------------------------------------------------------
1,732 NBT Bancorp, Inc. 28,145
-----------------------------------------------------------------------------------
2,400 *National Auto Credit, Inc. 26,400
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
FINANCE--CONTINUED
-----------------------------------------------------------------------------------
800 National Bancorp Alaska, Inc. $ 40,200
-----------------------------------------------------------------------------------
800 National City Bancshares, Inc. 32,600
-----------------------------------------------------------------------------------
4,050 National Community Bancorp 99,225
-----------------------------------------------------------------------------------
2,200 National Golf Properties, Inc. 42,900
-----------------------------------------------------------------------------------
2,900 National Health Investors, Inc. 76,125
-----------------------------------------------------------------------------------
1,328 National Penn Bancshares, Inc. 33,200
-----------------------------------------------------------------------------------
2,800 National Re Holdings Corp. 84,700
-----------------------------------------------------------------------------------
400 *National Western Life Insurance Co., Class A 14,400
-----------------------------------------------------------------------------------
800 Navigators Group, Inc. 11,300
-----------------------------------------------------------------------------------
2,574 New York Bancorp, Inc. 48,584
-----------------------------------------------------------------------------------
3,200 North American Mortgage Co. 57,600
-----------------------------------------------------------------------------------
3,000 North Fork Bancorp, Inc. 52,500
-----------------------------------------------------------------------------------
1,014 North Side Savings Bank 22,942
-----------------------------------------------------------------------------------
2,900 *Northeast Federal Corp. 31,538
-----------------------------------------------------------------------------------
1,200 Nymagic, Inc. 19,200
-----------------------------------------------------------------------------------
3,400 Oasis Residential, Inc. 74,375
-----------------------------------------------------------------------------------
500 Old Second Bancorp, Inc. 19,000
-----------------------------------------------------------------------------------
1,200 Omega Financial Corp. 31,650
-----------------------------------------------------------------------------------
3,239 Omega Healthcare Investors 77,331
-----------------------------------------------------------------------------------
2,995 Onbancorp, Inc. 78,619
-----------------------------------------------------------------------------------
2,980 One Valley Bancorp West Virginia, Inc. 90,518
-----------------------------------------------------------------------------------
2,956 Orion Capital Corp. 103,830
-----------------------------------------------------------------------------------
1,500 *Oxford Resources Corp., Class A 18,563
-----------------------------------------------------------------------------------
3,500 PHH Corp. 140,875
-----------------------------------------------------------------------------------
1,400 PXRE Corp. 33,950
-----------------------------------------------------------------------------------
800 Park National Corp. 37,100
-----------------------------------------------------------------------------------
4,000 Penncorp Financial Group, Inc. 69,000
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
FINANCE--CONTINUED
-----------------------------------------------------------------------------------
1,600 Pennsylvania Real Estate Investment Trust $ 33,600
-----------------------------------------------------------------------------------
1,400 People First Corp. 25,200
-----------------------------------------------------------------------------------
1,500 Peoples Bank Bridgeport 22,125
-----------------------------------------------------------------------------------
3,500 Peoples Heritage Financial Group 48,125
-----------------------------------------------------------------------------------
520 Peoples Holding Co. 20,085
-----------------------------------------------------------------------------------
1,450 Pikeville National Corp. 32,988
-----------------------------------------------------------------------------------
700 Pinnacle Banc Group, Inc. 21,963
-----------------------------------------------------------------------------------
4,400 Pioneer Group, Inc. 111,100
-----------------------------------------------------------------------------------
2,100 Piper Jaffray Cos., Inc. 26,775
-----------------------------------------------------------------------------------
1,100 Poe & Brown, Inc. 25,713
-----------------------------------------------------------------------------------
3,600 Post Properties, Inc. 106,650
-----------------------------------------------------------------------------------
7,120 *Premier Bancorp, Inc. 121,040
-----------------------------------------------------------------------------------
4,900 Presidential Life Corp. 28,788
-----------------------------------------------------------------------------------
600 Prime Retail, Inc. 7,425
-----------------------------------------------------------------------------------
2,600 Protective Life Corp. 117,975
-----------------------------------------------------------------------------------
2,100 Provident Bancorp, Inc. 70,875
-----------------------------------------------------------------------------------
1,575 Provident Bankshares Corp. 39,572
-----------------------------------------------------------------------------------
1,350 Queens County Bancorp, Inc. 41,175
-----------------------------------------------------------------------------------
1,292 Quick & Reilly Group, Inc. 52,488
-----------------------------------------------------------------------------------
5,000 RFS Hotel Investors, Inc. 72,500
-----------------------------------------------------------------------------------
800 RLI Corp. 19,800
-----------------------------------------------------------------------------------
2,300 ROC Communities, Inc. 46,288
-----------------------------------------------------------------------------------
6,000 RPS Realty Trust 27,000
-----------------------------------------------------------------------------------
2,750 Raymond James Financial, Inc. 48,125
-----------------------------------------------------------------------------------
2,000 Real Estate Investment Trust of California 31,500
-----------------------------------------------------------------------------------
1,300 Regency Realty Corp. 20,638
-----------------------------------------------------------------------------------
600 *Regional Acceptance Corp. 8,400
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
FINANCE--CONTINUED
-----------------------------------------------------------------------------------
3,600 Reinsurance Group of America $ 89,550
-----------------------------------------------------------------------------------
9,600 Reliance Group Holdings, Inc. 52,800
-----------------------------------------------------------------------------------
2,774 Republic Bancorp, Inc. 31,901
-----------------------------------------------------------------------------------
2,636 *Resource Bancshares Mortgage Group, Inc. 27,673
-----------------------------------------------------------------------------------
4,200 *Resource Mortgage Capital, Inc. 67,725
-----------------------------------------------------------------------------------
4,200 *Riggs National Corp. 42,000
-----------------------------------------------------------------------------------
800 River Forest Bancorp 29,000
-----------------------------------------------------------------------------------
2,900 Rochester Community Savings Bank 54,013
-----------------------------------------------------------------------------------
8,000 Rockefeller Center Properties, Inc. 49,000
-----------------------------------------------------------------------------------
8,250 Rollins Truck Leasing Corp. 90,750
-----------------------------------------------------------------------------------
7,313 Roosevelt Financial Group, Inc. 117,008
-----------------------------------------------------------------------------------
2,400 S & T Bancorp, Inc. 52,200
-----------------------------------------------------------------------------------
1,600 SFFED Corp. 29,400
-----------------------------------------------------------------------------------
2,500 Saul Centers, Inc. 42,188
-----------------------------------------------------------------------------------
800 Scor U.S. Corp. 6,400
-----------------------------------------------------------------------------------
1,500 *Search Capital Group, Inc. 1,500
-----------------------------------------------------------------------------------
2,500 Security Capital Bancorp 50,938
-----------------------------------------------------------------------------------
2,200 *Security Capital Corp. 103,400
-----------------------------------------------------------------------------------
12,400 Security Capital Industrial Trust 193,750
-----------------------------------------------------------------------------------
1,800 Security Connecticut Corp. 45,000
-----------------------------------------------------------------------------------
2,900 Selective Insurance Group, Inc. 84,463
-----------------------------------------------------------------------------------
1,050 Shoreline Financial Corp. 19,031
-----------------------------------------------------------------------------------
1,900 Sizeler Property Investment, Inc. 19,000
-----------------------------------------------------------------------------------
3,300 South West Property Trust, Inc. 39,188
-----------------------------------------------------------------------------------
7,700 *Southwestern Life Corp. 7,219
-----------------------------------------------------------------------------------
9,232 Sovereign Bancorp, Inc. 78,472
-----------------------------------------------------------------------------------
4,300 Spieker Properties, Inc. 83,850
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
FINANCE--CONTINUED
-----------------------------------------------------------------------------------
1,300 *St. Francis Capital Corp. $ 24,050
-----------------------------------------------------------------------------------
4,044 St. Paul Bancorp, Inc. 89,979
-----------------------------------------------------------------------------------
800 State Auto Financial Corp. 13,400
-----------------------------------------------------------------------------------
1,150 Stewart Information Services Corp. 21,275
-----------------------------------------------------------------------------------
6,100 Storage Equities, Inc. 98,363
-----------------------------------------------------------------------------------
800 Student Loan Corp. 19,900
-----------------------------------------------------------------------------------
500 Sumitomo Bank California 12,000
-----------------------------------------------------------------------------------
6,520 Summit Bancorporation 125,510
-----------------------------------------------------------------------------------
2,600 Summit Properties, Inc. 43,225
-----------------------------------------------------------------------------------
2,000 Sun Communities, Inc. 42,750
-----------------------------------------------------------------------------------
2,225 Susquehanna Bankshares, Inc. 51,175
-----------------------------------------------------------------------------------
1,358 Synovus Financial Corp. 28,009
-----------------------------------------------------------------------------------
2,400 T R Financial Corp. 39,600
-----------------------------------------------------------------------------------
3,608 TCF Financial Corp. 154,693
-----------------------------------------------------------------------------------
1,100 *TFC Enterprises, Inc. 10,450
-----------------------------------------------------------------------------------
1,100 Tanger Factory Outlet Centers, Inc. 25,713
-----------------------------------------------------------------------------------
6,200 Taubman Centers, Inc. 59,675
-----------------------------------------------------------------------------------
3,300 The Trust Company of New Jersey 43,313
-----------------------------------------------------------------------------------
2,500 Thornburg Mortgage Asset Co. 27,500
-----------------------------------------------------------------------------------
650 Tompkins County Trust Co. 22,750
-----------------------------------------------------------------------------------
3,300 Town & Country Trust 47,025
-----------------------------------------------------------------------------------
2,400 Trans Financial Bancorp, Inc. 34,500
-----------------------------------------------------------------------------------
1,200 *Transnational Re Corp., Class A 24,300
-----------------------------------------------------------------------------------
1,400 Trenwick Group, Inc. 62,344
-----------------------------------------------------------------------------------
2,300 Trinet Corporate Realty Trust, Inc. 57,500
-----------------------------------------------------------------------------------
3,115 Trustco Bank Corp. 65,415
-----------------------------------------------------------------------------------
5,000 Trustmark Corp. 82,500
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
FINANCE--CONTINUED
-----------------------------------------------------------------------------------
2,300 Tucker Properties Corp. $ 27,888
-----------------------------------------------------------------------------------
1,700 U.S. Trust Corp. 116,450
-----------------------------------------------------------------------------------
2,990 UMB Financial Corp. 94,933
-----------------------------------------------------------------------------------
3,200 *UST Corp. 34,800
-----------------------------------------------------------------------------------
8,460 Union Planters Corp. 203,040
-----------------------------------------------------------------------------------
2,500 United Bankshares, Inc. 69,375
-----------------------------------------------------------------------------------
3,100 United Carolina Bancshares 92,613
-----------------------------------------------------------------------------------
2,190 United Companies Financial Corp. 83,494
-----------------------------------------------------------------------------------
300 United Countrys Bancorporation 37,725
-----------------------------------------------------------------------------------
10,600 United Dominion Realty Trust, Inc. 148,400
-----------------------------------------------------------------------------------
700 United Fire & Casualty Co. 19,075
-----------------------------------------------------------------------------------
1,400 *United Insurance Cos., Inc. 57,400
-----------------------------------------------------------------------------------
1,800 Universal Health Realty Trust, Inc. 29,475
-----------------------------------------------------------------------------------
2,800 Urban Shopping Centers, Inc. 55,650
-----------------------------------------------------------------------------------
1,400 Vallicorp Holdings, Inc. 21,000
-----------------------------------------------------------------------------------
1,900 Vesta Insurance Group, Inc. 63,413
-----------------------------------------------------------------------------------
1,100 Victoria Bankshares, Inc. 27,500
-----------------------------------------------------------------------------------
2,100 Walden Residential Properties, Inc. 40,425
-----------------------------------------------------------------------------------
1,800 Washington National Corp. 33,075
-----------------------------------------------------------------------------------
5,900 Washington Real Estate Investment Trust 91,450
-----------------------------------------------------------------------------------
1,162 Waterhouse Investment Services, Inc. 18,156
-----------------------------------------------------------------------------------
3,000 Webb (Del) Corp. 57,375
-----------------------------------------------------------------------------------
940 Webster Financial Corp. Waterbury 23,618
-----------------------------------------------------------------------------------
3,550 Wellsford Residential Properties 71,888
-----------------------------------------------------------------------------------
1,800 Wesbanco, Inc. 45,000
-----------------------------------------------------------------------------------
1,700 WestAmerica Bancorporation 57,375
-----------------------------------------------------------------------------------
1,648 *Westcorp, Inc. 20,600
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
FINANCE--CONTINUED
-----------------------------------------------------------------------------------
1,181 Western Bank $ 16,682
-----------------------------------------------------------------------------------
3,500 Western Investment Real Estate Trust 42,000
-----------------------------------------------------------------------------------
1,100 *White River Corp. 36,300
-----------------------------------------------------------------------------------
3,025 Whitney Holding Corp. 78,272
-----------------------------------------------------------------------------------
200 Winthrop Resources Corp. 2,350
-----------------------------------------------------------------------------------
1,300 *World Acceptance Corp. 36,725
-----------------------------------------------------------------------------------
1,167 York Financial Corp. 21,444
-----------------------------------------------------------------------------------
2,400 Zenith National Insurance Corp. 48,900
-----------------------------------------------------------------------------------
3,100 Zions Bancorp 132,138
-----------------------------------------------------------------------------------
2,400 *Zurich Reinsurance Centre Holdings, Inc. 71,700
----------------------------------------------------------------------------------- -------------
Total 20,373,697
----------------------------------------------------------------------------------- -------------
HEALTH SERVICES--4.9%
-----------------------------------------------------------------------------------
2,258 *Abbey Healthcare Group, Inc. 89,756
-----------------------------------------------------------------------------------
900 *Advantage Health Corp. 25,200
-----------------------------------------------------------------------------------
2,200 *American Medical Response 56,375
-----------------------------------------------------------------------------------
5,900 *Applied Bioscience International, Inc. 32,450
-----------------------------------------------------------------------------------
1,100 *Arbor Health Care Co. 22,550
-----------------------------------------------------------------------------------
8,305 Bergen Brunswig Corp., Class A 197,244
-----------------------------------------------------------------------------------
1,600 Bindley Western Industries, Inc. 23,800
-----------------------------------------------------------------------------------
3,200 *Careline, Inc. 22,400
-----------------------------------------------------------------------------------
2,100 *Cerner Corp. 111,563
-----------------------------------------------------------------------------------
5,800 *Charter Medical Corp. 102,950
-----------------------------------------------------------------------------------
900 *Clinicom, Inc. 17,775
-----------------------------------------------------------------------------------
2,400 *Coastal Healthcare Group, Inc. 37,500
-----------------------------------------------------------------------------------
3,600 *Community Health Systems, Inc. 125,100
-----------------------------------------------------------------------------------
9,200 Community Psychiatric Centers 121,900
-----------------------------------------------------------------------------------
8,100 *Continental Medical Systems, Inc. 87,075
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
HEALTH SERVICES--CONTINUED
-----------------------------------------------------------------------------------
5,300 *Coventry Corp. $ 124,550
-----------------------------------------------------------------------------------
1,800 *Employee Benefit Plans, Inc. 15,300
-----------------------------------------------------------------------------------
1,400 *Evergreen Healthcare, Inc. 17,675
-----------------------------------------------------------------------------------
3,594 *Foxmeyer Health Corp. 68,286
-----------------------------------------------------------------------------------
3,100 *Genesis Health Ventures, Inc. 84,475
-----------------------------------------------------------------------------------
2,100 *GranCare, Inc. 34,388
-----------------------------------------------------------------------------------
1,400 *Gulf South Medical Supplies, Inc. 58,800
-----------------------------------------------------------------------------------
1,950 *Health Management Systems, Inc. 44,850
-----------------------------------------------------------------------------------
1,500 Health Management, Inc. 27,188
-----------------------------------------------------------------------------------
1,200 *HealthWise of America, Inc. 33,600
-----------------------------------------------------------------------------------
1,400 Healthcare Services Group, Inc. 16,975
-----------------------------------------------------------------------------------
2,800 *Healthdyne, Inc. 30,450
-----------------------------------------------------------------------------------
5,080 *Hillhaven Corp. 139,700
-----------------------------------------------------------------------------------
2,700 *Homedco Group, Inc. 154,575
-----------------------------------------------------------------------------------
6,000 *Horizon Healthcare Corp. 125,250
-----------------------------------------------------------------------------------
4,100 *Integrated Health Services, Inc. 141,963
-----------------------------------------------------------------------------------
1,500 *Isomedix, Inc. 22,313
-----------------------------------------------------------------------------------
500 Labone, Inc. 6,625
-----------------------------------------------------------------------------------
2,900 *Lincare Holdings, Inc. 89,538
-----------------------------------------------------------------------------------
2,700 *Living Centers of America, Inc. 76,613
-----------------------------------------------------------------------------------
4,200 *Mariner Health Group, Inc. 61,425
-----------------------------------------------------------------------------------
1,700 *Maxicare Health Plans, Inc. 26,350
-----------------------------------------------------------------------------------
3,300 *Medaphis Corp. 188,100
-----------------------------------------------------------------------------------
1,800 *Medic Computer Systems, Inc. 79,200
-----------------------------------------------------------------------------------
800 Medicus Systems Corp. 8,800
-----------------------------------------------------------------------------------
1,500 *Multicare Cos., Inc. 30,750
-----------------------------------------------------------------------------------
1,800 Omnicare, Inc. 87,525
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
HEALTH SERVICES--CONTINUED
-----------------------------------------------------------------------------------
5,775 Owens & Minor, Inc. $ 77,963
-----------------------------------------------------------------------------------
1,600 *Pacific Physician Services, Inc. 29,200
-----------------------------------------------------------------------------------
2,000 *Patterson Dental Co. 46,500
-----------------------------------------------------------------------------------
2,200 *Pharmaceutical Marketing Services 20,625
-----------------------------------------------------------------------------------
3,950 *Phycor, Inc. 125,413
-----------------------------------------------------------------------------------
1,400 *Physicians Health Services, Inc., Class A 35,963
-----------------------------------------------------------------------------------
4,600 Primedex Health Systems, Inc. 2,300
-----------------------------------------------------------------------------------
6,600 *Pyxis Corp. 131,175
-----------------------------------------------------------------------------------
3,300 *Quantum Health Research, Inc. 53,625
-----------------------------------------------------------------------------------
2,000 *REN Corp. USA 32,000
-----------------------------------------------------------------------------------
2,400 *Regency Health Services, Inc. 29,400
-----------------------------------------------------------------------------------
1,800 *Renal Treatment Centers, Inc. 45,000
-----------------------------------------------------------------------------------
600 *Res-Care, Inc. 10,650
-----------------------------------------------------------------------------------
3,100 *Response Technologies, Inc. 6,588
-----------------------------------------------------------------------------------
1,600 *Rotech Medical Corp. 52,000
-----------------------------------------------------------------------------------
800 *Salick Health Care, Inc. 27,600
-----------------------------------------------------------------------------------
1,000 Seafield Capital Corp. 36,500
-----------------------------------------------------------------------------------
4,800 Shared Medical Systems Corp. 181,200
-----------------------------------------------------------------------------------
2,300 *Sierra Health Services, Inc. 62,388
-----------------------------------------------------------------------------------
1,400 *Sullivan Dental Products, Inc. 18,900
-----------------------------------------------------------------------------------
500 *Summit Care Corp. 10,250
-----------------------------------------------------------------------------------
2,924 *Sun Healthcare Group, Inc. 70,542
-----------------------------------------------------------------------------------
6,400 Surgical Care Affiliates, Inc. 148,800
-----------------------------------------------------------------------------------
1,700 Syncor International Corp. 15,513
-----------------------------------------------------------------------------------
1,400 Synetic, Inc. 33,075
-----------------------------------------------------------------------------------
4,500 *Systemed, Inc. 31,219
-----------------------------------------------------------------------------------
5,900 *Unilab Corp. 30,975
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
HEALTH SERVICES--CONTINUED
-----------------------------------------------------------------------------------
1,100 *United American Healthcare Corp. $ 18,563
-----------------------------------------------------------------------------------
450 United Wisconsin Services, Inc. 9,113
-----------------------------------------------------------------------------------
3,000 *Universal Health Services, Inc., Class B 79,125
-----------------------------------------------------------------------------------
4,650 *Vencor, Inc. 144,150
-----------------------------------------------------------------------------------
500 *Vitalink Pharmacy Services, Inc. 8,125
-----------------------------------------------------------------------------------
4,750 *Vivra, Inc. 152,594
-----------------------------------------------------------------------------------
1,100 *Wellcare Management Group, Inc. 30,250
----------------------------------------------------------------------------------- -------------
Total 4,676,186
----------------------------------------------------------------------------------- -------------
HEALTH TECHNOLOGY--4.6%
-----------------------------------------------------------------------------------
3,366 ADAC Laboratories 26,928
-----------------------------------------------------------------------------------
2,600 AL Laboratories, Inc., Class A 62,075
-----------------------------------------------------------------------------------
5,300 *AMSCO International, Inc. 66,913
-----------------------------------------------------------------------------------
4,700 *Acuson Corp. 54,050
-----------------------------------------------------------------------------------
2,500 *Advanced Technology Labs, Inc. 39,375
-----------------------------------------------------------------------------------
6,400 *Advanced Tissue Sciences, Inc., Class A 44,000
-----------------------------------------------------------------------------------
1,400 *Agouron Pharmaceuticals, Inc. 26,250
-----------------------------------------------------------------------------------
4,100 *Alliance Pharmaceutical Corp. 21,013
-----------------------------------------------------------------------------------
2,200 *Alpha Beta Technology 13,200
-----------------------------------------------------------------------------------
3,800 *Amylin Pharmaceuticals, Inc. 17,100
-----------------------------------------------------------------------------------
900 *Aphton Corp. 11,700
-----------------------------------------------------------------------------------
1,200 Arrow International, Inc. 39,300
-----------------------------------------------------------------------------------
4,400 *Athena Neurosciences, Inc. 30,250
-----------------------------------------------------------------------------------
5,600 Ballard Medical Products 67,200
-----------------------------------------------------------------------------------
500 *Barr Laboratories, Inc. 10,500
-----------------------------------------------------------------------------------
1,500 *Bio Rad Laboratories, Inc., Class A 43,313
-----------------------------------------------------------------------------------
7,200 *Bio-Technology General Corp. 18,450
-----------------------------------------------------------------------------------
1,200 Biocraft Laboratories, Inc. 24,600
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
HEALTH TECHNOLOGY--CONTINUED
-----------------------------------------------------------------------------------
2,900 *Cell Genesys, Inc. $ 11,963
-----------------------------------------------------------------------------------
2,100 *Cellpro, Inc. 21,263
-----------------------------------------------------------------------------------
10,800 *Centocor, Inc. 152,550
-----------------------------------------------------------------------------------
3,800 *Cephalon, Inc. 31,350
-----------------------------------------------------------------------------------
4,100 *Circa Pharmaceuticals, Inc. 99,938
-----------------------------------------------------------------------------------
1,900 Collagen Corp. 36,100
-----------------------------------------------------------------------------------
4,700 *Columbia Laboratories, Inc. 19,975
-----------------------------------------------------------------------------------
1,051 *Copley Pharmaceutical 16,291
-----------------------------------------------------------------------------------
3,400 *Cor Therapeutics, Inc. 56,100
-----------------------------------------------------------------------------------
2,400 *Cortech, Inc. 5,925
-----------------------------------------------------------------------------------
2,600 *Cygnus Therapeutic Systems 20,475
-----------------------------------------------------------------------------------
4,600 *Cytogen Corp. 20,413
-----------------------------------------------------------------------------------
6,600 *Cytrex Corp. 11,138
-----------------------------------------------------------------------------------
1,300 *Daig Corp. 17,550
-----------------------------------------------------------------------------------
2,900 *Datascope Corp. 52,200
-----------------------------------------------------------------------------------
2,200 Diagnostic Products Corp. 85,250
-----------------------------------------------------------------------------------
1,800 *Empi, Inc. 28,575
-----------------------------------------------------------------------------------
3,600 *Enzo Biochem, Inc. 36,000
-----------------------------------------------------------------------------------
2,300 *Epitope, Inc. 39,100
-----------------------------------------------------------------------------------
1,000 *Fresenius USA, Inc. 10,250
-----------------------------------------------------------------------------------
4,400 *Gensia, Inc. 11,825
-----------------------------------------------------------------------------------
1,600 *Genta, Inc. 4,400
-----------------------------------------------------------------------------------
4,000 *Gilead Sciences, Inc. 60,000
-----------------------------------------------------------------------------------
4,300 *Haemonetics Corp. 66,650
-----------------------------------------------------------------------------------
500 *Healthdyne Technologies, Inc. 6,031
-----------------------------------------------------------------------------------
1,600 *Heart Technology, Inc. 28,400
-----------------------------------------------------------------------------------
1,800 *Human Genome Sciences, Inc. 22,725
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
HEALTH TECHNOLOGY--CONTINUED
-----------------------------------------------------------------------------------
2,300 *I-Stat Corp. $ 53,763
-----------------------------------------------------------------------------------
6,091 *ICN Pharmaceuticals, Inc. 102,024
-----------------------------------------------------------------------------------
4,600 *ICOS Corp. 21,275
-----------------------------------------------------------------------------------
1,100 *ICU Medical, Inc. 17,600
-----------------------------------------------------------------------------------
3,300 *IDEXX Laboratories, Inc. 141,900
-----------------------------------------------------------------------------------
3,100 Igen, Inc. 16,275
-----------------------------------------------------------------------------------
2,700 *Immulogic Pharmaceutical Corp. 21,600
-----------------------------------------------------------------------------------
3,200 *Immune Response Corp. 9,600
-----------------------------------------------------------------------------------
3,900 *Immunex Corp. 46,800
-----------------------------------------------------------------------------------
3,700 *Immunomedics, Inc. 10,638
-----------------------------------------------------------------------------------
1,200 *Inbrand Corp. 15,900
-----------------------------------------------------------------------------------
3,500 *Interneuron Pharmaceuticals 29,313
-----------------------------------------------------------------------------------
2,500 Invacare Corp. 98,750
-----------------------------------------------------------------------------------
4,000 *Isis Pharmaceuticals, Inc. 28,000
-----------------------------------------------------------------------------------
1,500 Jones Medical Industries, Inc. 14,625
-----------------------------------------------------------------------------------
3,100 Kinetic Concepts, Inc. 23,250
-----------------------------------------------------------------------------------
1,400 Life Technologies, Inc. 30,275
-----------------------------------------------------------------------------------
3,292 *Ligand Pharmaceuticals, Inc., Class B 18,929
-----------------------------------------------------------------------------------
5,000 *Liposome Co., Inc. 45,000
-----------------------------------------------------------------------------------
4,000 *Liposome Technology, Inc. 26,000
-----------------------------------------------------------------------------------
2,400 *MGI PHARMA, Inc. 9,300
-----------------------------------------------------------------------------------
1,300 *Marsam Pharmaceuticals, Inc. 18,200
-----------------------------------------------------------------------------------
1,700 Maryland Industrial Development Finance Authority--
Genetic Therapy, Inc. 16,575
-----------------------------------------------------------------------------------
1,600 *Matrix Pharmaceuticals, Inc. 23,600
-----------------------------------------------------------------------------------
1,300 *Maxxim Medical, Inc. 18,038
-----------------------------------------------------------------------------------
2,300 *Medco Research, Inc. 31,338
-----------------------------------------------------------------------------------
2,000 *Medimmune, Inc. $ 15,000
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
HEALTH TECHNOLOGY--CONTINUED
-----------------------------------------------------------------------------------
2,000 Mentor Corp. 47,250
-----------------------------------------------------------------------------------
2,500 *Molecular Biosystems, Inc. 19,063
-----------------------------------------------------------------------------------
3,500 *Nellcor, Inc. 145,250
-----------------------------------------------------------------------------------
3,400 *North American Biologicals, Inc. 31,025
-----------------------------------------------------------------------------------
2,800 *Noven Pharmaceuticals, Inc. 23,800
-----------------------------------------------------------------------------------
4,300 *Oncor, Inc. 18,813
-----------------------------------------------------------------------------------
2,000 *Organogenesis, Inc. 23,500
-----------------------------------------------------------------------------------
2,100 *Perseptive Biosystems 17,325
-----------------------------------------------------------------------------------
2,600 *Pharmaceutical Resources, Inc. 32,175
-----------------------------------------------------------------------------------
2,700 *Procyte Corp. 6,497
-----------------------------------------------------------------------------------
2,100 *Protein Design Laboratories, Inc. 52,238
-----------------------------------------------------------------------------------
1,200 *Pure Pacific, Inc. 11,400
-----------------------------------------------------------------------------------
2,400 Puritan Bennett Corp. 59,100
-----------------------------------------------------------------------------------
3,000 *Regeneron Pharmaceuticals, Inc. 19,125
-----------------------------------------------------------------------------------
2,300 *Resound Corp. 20,125
-----------------------------------------------------------------------------------
2,800 *Respironics, Inc. 40,950
-----------------------------------------------------------------------------------
1,300 *Rexall Sundown, Inc. 12,188
-----------------------------------------------------------------------------------
4,000 *Ribi ImmunoChem Research, Inc. 15,500
-----------------------------------------------------------------------------------
2,200 *Roberts Pharmaceutical Corp. 53,900
-----------------------------------------------------------------------------------
1,100 *Safeskin Corp. 14,025
-----------------------------------------------------------------------------------
1,900 SciClone Pharmaceuticals, Inc. 11,638
-----------------------------------------------------------------------------------
7,400 *Scios Nova, Inc. 49,950
-----------------------------------------------------------------------------------
3,500 *Sepracor, Inc. 33,852
-----------------------------------------------------------------------------------
2,600 *Shaman Pharmaceuticals, Inc. 10,075
-----------------------------------------------------------------------------------
2,500 *Sofamor Danek Group, Inc. 60,625
-----------------------------------------------------------------------------------
3,900 *Somatogen, Inc. 38,025
-----------------------------------------------------------------------------------
2,200 *SpaceLabs Medical, Inc. $ 53,900
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
HEALTH TECHNOLOGY--CONTINUED
-----------------------------------------------------------------------------------
1,800 *Steris Corp. 71,100
-----------------------------------------------------------------------------------
3,400 *Summit Technology, Inc. 113,900
-----------------------------------------------------------------------------------
3,400 *Sunrise Medical, Inc. 102,850
-----------------------------------------------------------------------------------
1,300 Superior Surgical Manufacturing, Inc. 15,763
-----------------------------------------------------------------------------------
500 *Systemix, Inc. 7,000
-----------------------------------------------------------------------------------
900 *Target Therapeutics, Inc. 32,850
-----------------------------------------------------------------------------------
2,000 *Techne Corp. 30,000
-----------------------------------------------------------------------------------
3,000 *Technological Medical Products, Inc. 55,875
-----------------------------------------------------------------------------------
5,200 *Telios Pharmaceuticals, Inc. 1,138
-----------------------------------------------------------------------------------
1,100 *Theratech, Inc. 13,888
-----------------------------------------------------------------------------------
2,400 *Thermo Cardiosystems, Inc. 80,400
-----------------------------------------------------------------------------------
7,100 *U.S. Bioscience, Inc. 18,194
-----------------------------------------------------------------------------------
3,600 *Univax Biologics, Inc. 23,850
-----------------------------------------------------------------------------------
2,900 *Uromed Corp. 20,300
-----------------------------------------------------------------------------------
1,900 *VISX, Inc. 25,650
-----------------------------------------------------------------------------------
4,300 *Ventritex, Inc. 64,500
-----------------------------------------------------------------------------------
1,700 *Vertex Pharmaceuticals, Inc. 24,225
-----------------------------------------------------------------------------------
2,700 *Vical, Inc. 21,263
-----------------------------------------------------------------------------------
1,200 *Vital Signs, Inc. 17,550
-----------------------------------------------------------------------------------
1,200 Vivus, Inc. 15,600
-----------------------------------------------------------------------------------
3,600 *Watson Pharmaceuticals, Inc. 112,050
-----------------------------------------------------------------------------------
1,800 *West Co., Inc. 50,400
-----------------------------------------------------------------------------------
1,300 *Zweig Strategy Fund 17,550
----------------------------------------------------------------------------------- -------------
Total 4,349,432
----------------------------------------------------------------------------------- -------------
INDUSTRIAL SERVICES--3.8%
-----------------------------------------------------------------------------------
5,600 *Air and Water Technology Corp., Class A 25,550
-----------------------------------------------------------------------------------
8,000 *Allwaste, Inc. $ 48,000
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
INDUSTRIAL SERVICES--CONTINUED
-----------------------------------------------------------------------------------
3,300 *BJ Services Corp. 75,488
-----------------------------------------------------------------------------------
800 Butler Manufacturing Co. 32,200
-----------------------------------------------------------------------------------
2,700 CRSS, Inc. 25,650
-----------------------------------------------------------------------------------
8,400 California Energy Co., Inc. 139,650
-----------------------------------------------------------------------------------
2,900 Camco International, Inc. 68,513
-----------------------------------------------------------------------------------
2,800 *Catalytica, Inc. 12,250
-----------------------------------------------------------------------------------
8,800 *Chambers Development, Inc., Class A 49,500
-----------------------------------------------------------------------------------
3,400 Dames & Moore, Inc. 42,925
-----------------------------------------------------------------------------------
3,400 Destec Energy, Inc. 34,425
-----------------------------------------------------------------------------------
1,300 *Dual Drilling Co. 11,375
-----------------------------------------------------------------------------------
2,100 *Energy Ventures, Inc. 32,288
-----------------------------------------------------------------------------------
5,800 *Enterra Corp. 105,850
-----------------------------------------------------------------------------------
3,200 *EnviroSource, Inc. 13,200
-----------------------------------------------------------------------------------
2,600 *Envirotest Systems Corp., Class A 15,600
-----------------------------------------------------------------------------------
1,300 Gilbert Association Inc., Class A 17,225
-----------------------------------------------------------------------------------
800 *Global Industries Ltd. 20,400
-----------------------------------------------------------------------------------
34,700 *Global Marine, Inc. 151,813
-----------------------------------------------------------------------------------
1,500 Granite Construction, Inc. 30,000
-----------------------------------------------------------------------------------
1,500 *Groundwater Technology, Inc. 19,125
-----------------------------------------------------------------------------------
5,200 Helmerich & Payne, Inc. 154,050
-----------------------------------------------------------------------------------
1,800 *Hornbeck Offshore Services, Inc. 24,750
-----------------------------------------------------------------------------------
800 Horsehead Resource Development, Inc. 4,500
-----------------------------------------------------------------------------------
3,800 *Input/Output, Inc. 128,725
-----------------------------------------------------------------------------------
1,466 Insituform Mid-American, Inc., Class A 15,760
-----------------------------------------------------------------------------------
2,400 *Insituform Technologies, Inc., Class A 30,900
-----------------------------------------------------------------------------------
7,500 *International Technology Corp. 19,688
-----------------------------------------------------------------------------------
4,300 *Jacobs Engineering Group, Inc. $ 84,925
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
INDUSTRIAL SERVICES--CONTINUED
-----------------------------------------------------------------------------------
1,900 Kasler Holding Corp. 11,638
-----------------------------------------------------------------------------------
7,500 *Kenetech Corp. 80,625
-----------------------------------------------------------------------------------
1,800 Landauer, Inc. 33,075
-----------------------------------------------------------------------------------
3,400 *Landmark Graphics Corp. 84,150
-----------------------------------------------------------------------------------
1,400 Lufkin Industries, Inc. 27,300
-----------------------------------------------------------------------------------
9,200 *Marine Drilling Cos., Inc. 38,525
-----------------------------------------------------------------------------------
4,200 *Mid-American Waste Systems, Inc. 19,950
-----------------------------------------------------------------------------------
2,800 *Molten Metal Technology, Inc. 48,650
-----------------------------------------------------------------------------------
6,900 Morrison Knudsen Corp. 54,338
-----------------------------------------------------------------------------------
16,100 *Nabors Industries, Inc. 151,944
-----------------------------------------------------------------------------------
2,100 *Newpark Resources, Inc. 46,725
-----------------------------------------------------------------------------------
12,200 *Noble Drilling Corp. 80,825
-----------------------------------------------------------------------------------
17,000 Noise Cancellation Technology, Inc. 11,156
-----------------------------------------------------------------------------------
2,000 *OHM Corp. 22,250
-----------------------------------------------------------------------------------
5,000 *Oceaneering International, Inc. 50,000
-----------------------------------------------------------------------------------
4,100 *Offshore Logistics, Inc. 55,606
-----------------------------------------------------------------------------------
11,600 *Parker Drilling Co. 55,100
-----------------------------------------------------------------------------------
2,900 *Pool Energy Services Co. 24,650
-----------------------------------------------------------------------------------
1,700 Production Operations Corp. 47,600
-----------------------------------------------------------------------------------
1,100 *RPC Energy Services, Inc. 8,938
-----------------------------------------------------------------------------------
11,000 *Reading & Bates Corp. 90,750
-----------------------------------------------------------------------------------
12,700 *Rollins Environmental Services, Inc. 58,738
-----------------------------------------------------------------------------------
17,700 *Rowan Companies, Inc. 121,688
-----------------------------------------------------------------------------------
3,000 *Sanifill, Inc. 79,875
-----------------------------------------------------------------------------------
700 *Seacor Holdings, Inc. 15,138
-----------------------------------------------------------------------------------
1,700 *Seitel, Inc. 54,400
-----------------------------------------------------------------------------------
600 Sevenson Environmental Services $ 9,750
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
INDUSTRIAL SERVICES--CONTINUED
-----------------------------------------------------------------------------------
7,800 *Smith International, Inc. 134,550
-----------------------------------------------------------------------------------
3,600 Sonat Offshore Drilling Co. 97,200
-----------------------------------------------------------------------------------
1,700 Stone & Webster, Inc. 50,575
-----------------------------------------------------------------------------------
1,560 *Tetra Tech, Inc. 31,785
-----------------------------------------------------------------------------------
2,600 *Tetra Technologies, Inc. 34,775
-----------------------------------------------------------------------------------
1,000 Thermo Process Systems, Inc. 8,750
-----------------------------------------------------------------------------------
450 Thermo Remediation, Inc. 7,256
-----------------------------------------------------------------------------------
3,500 *Tuboscope Vetco International Corp. 24,500
-----------------------------------------------------------------------------------
2,200 *USA Waste Services, Inc. 33,000
-----------------------------------------------------------------------------------
1,400 *United Waste Systems, Inc. 39,550
-----------------------------------------------------------------------------------
4,800 *Varco International, Inc. 40,200
-----------------------------------------------------------------------------------
11,400 *Weatherford International, Inc. 125,400
-----------------------------------------------------------------------------------
3,500 *Western Co. of North America 76,125
-----------------------------------------------------------------------------------
2,000 *Western Waste Industries 37,000
-----------------------------------------------------------------------------------
3,940 Zapata Corp. 14,283
----------------------------------------------------------------------------------- -------------
Total 3,572,658
----------------------------------------------------------------------------------- -------------
MISCELLANEOUS--0.0%
-----------------------------------------------------------------------------------
500 Capital Southwest Corp. 19,125
-----------------------------------------------------------------------------------
324 *Lynx Therapeutic, Inc. 65
-----------------------------------------------------------------------------------
1,800 PMC Cap, Inc. 21,375
----------------------------------------------------------------------------------- -------------
Total 40,565
----------------------------------------------------------------------------------- -------------
NON-ENERGY MINERALS--2.6%
-----------------------------------------------------------------------------------
4,100 *AK Steel Holding Corp. 110,188
-----------------------------------------------------------------------------------
2,400 *Acme Metals, Inc. 39,000
-----------------------------------------------------------------------------------
10,200 Amax Gold, Inc. 57,375
-----------------------------------------------------------------------------------
2,900 American Colloid Co. 42,413
-----------------------------------------------------------------------------------
800 Ameron, Inc. $ 29,300
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
NON-ENERGY MINERALS--CONTINUED
-----------------------------------------------------------------------------------
18,900 *Armco, Inc. 132,300
-----------------------------------------------------------------------------------
3,400 Brush Wellman, Inc. 67,150
-----------------------------------------------------------------------------------
4,000 CalMat Co. 79,000
-----------------------------------------------------------------------------------
1,700 Carpenter Technology Corp. 102,638
-----------------------------------------------------------------------------------
2,500 *Centex Construction Products, Inc. 31,250
-----------------------------------------------------------------------------------
1,200 Chaparral Steel Co. 11,400
-----------------------------------------------------------------------------------
2,400 Cleveland Cliffs, Inc. 87,900
-----------------------------------------------------------------------------------
3,200 Coeur d'Alene Mines Corp. 63,200
-----------------------------------------------------------------------------------
2,600 *Dravo Corp. 35,100
-----------------------------------------------------------------------------------
1,500 *Elcor Corp. 25,500
-----------------------------------------------------------------------------------
1,600 FMC Gold Co. 6,600
-----------------------------------------------------------------------------------
900 *Fibreboard Corp. 34,313
-----------------------------------------------------------------------------------
700 *FirstMiss Gold, Inc. 7,700
-----------------------------------------------------------------------------------
1,600 Florida Rock Industries, Inc. 44,400
-----------------------------------------------------------------------------------
2,600 *Geneva Steel Co., Class A 28,275
-----------------------------------------------------------------------------------
10,100 *Hecla Mining Co. 107,313
-----------------------------------------------------------------------------------
2,100 *Imco Recycling, Inc. 33,075
-----------------------------------------------------------------------------------
3,500 J&L Specialty Steel, Inc. 64,750
-----------------------------------------------------------------------------------
1,600 *Kaiser Aluminum Corp. 18,000
-----------------------------------------------------------------------------------
2,400 *Lone Star Industries, Inc. 52,200
-----------------------------------------------------------------------------------
4,300 *Lone Star Technologies, Inc. 35,475
-----------------------------------------------------------------------------------
3,100 Lukens, Inc. 100,363
-----------------------------------------------------------------------------------
2,200 *MK Gold Co. 8,250
-----------------------------------------------------------------------------------
1,200 *Maxxam, Inc. 37,800
-----------------------------------------------------------------------------------
3,500 Medusa Corp. 79,188
-----------------------------------------------------------------------------------
4,800 Minerals Technologies, Inc. 159,600
-----------------------------------------------------------------------------------
1,600 *NS Group, Inc. $ 7,000
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
NON-ENERGY MINERALS--CONTINUED
-----------------------------------------------------------------------------------
3,500 *National Steel Corp., Class B 44,625
-----------------------------------------------------------------------------------
500 *New Jersey Steel Corp. 6,000
-----------------------------------------------------------------------------------
4,200 *Northwestern Steel & Wire Co. 24,675
-----------------------------------------------------------------------------------
3,400 Oregon Steel Mills 60,775
-----------------------------------------------------------------------------------
800 Puerto Rican Cement Co., Inc. 23,500
-----------------------------------------------------------------------------------
2,800 Quanex Corp. 65,100
-----------------------------------------------------------------------------------
1,700 Republic Gypsum Co. 17,213
-----------------------------------------------------------------------------------
1,100 Roanoke Electric Corp. 18,838
-----------------------------------------------------------------------------------
2,800 Rouge Steel Co., Class A 62,650
-----------------------------------------------------------------------------------
2,600 *Royal Gold, Inc. 18,850
-----------------------------------------------------------------------------------
800 Schnitzer Steel Industries, Inc., Class A 17,400
-----------------------------------------------------------------------------------
3,600 *Southdown, Inc. 68,400
-----------------------------------------------------------------------------------
39,800 *Sunshine Mining Co. 84,575
-----------------------------------------------------------------------------------
2,100 Texas Industries, Inc. 79,013
-----------------------------------------------------------------------------------
2,300 Universal Forest Products, Inc. 15,813
-----------------------------------------------------------------------------------
2,600 *WHX Corp. 27,950
-----------------------------------------------------------------------------------
600 *Webco Industries, Inc. 4,800
-----------------------------------------------------------------------------------
7,700 Weirton Steel Corp. 56,788
----------------------------------------------------------------------------------- -------------
Total 2,434,981
----------------------------------------------------------------------------------- -------------
PROCESS INDUSTRIES--4.7%
-----------------------------------------------------------------------------------
950 AEP Industries, Inc. 22,325
-----------------------------------------------------------------------------------
5,000 Albany International Corp., Class A 109,375
-----------------------------------------------------------------------------------
700 Alico, Inc. 11,375
-----------------------------------------------------------------------------------
400 American Filtrona Corp. 11,300
-----------------------------------------------------------------------------------
1,200 American Maize Products Co., Class A 39,600
-----------------------------------------------------------------------------------
1,700 *American Pacific Corp. 11,263
-----------------------------------------------------------------------------------
2,900 Aptargroup, Inc. $ 85,550
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
PROCESS INDUSTRIES--CONTINUED
-----------------------------------------------------------------------------------
2,600 BMC Industries, Inc. 46,800
-----------------------------------------------------------------------------------
900 Blessings Corp. 11,363
-----------------------------------------------------------------------------------
1,200 Brady (W.H.) Co. 62,400
-----------------------------------------------------------------------------------
1,200 Bush Boake Allen, Inc. 35,700
-----------------------------------------------------------------------------------
6,400 *Calgene, Inc. 45,600
-----------------------------------------------------------------------------------
6,000 Calgon Carbon Corp. 73,500
-----------------------------------------------------------------------------------
900 Cambrex Corp. 30,713
-----------------------------------------------------------------------------------
4,600 Caraustar Industries, Inc. 87,400
-----------------------------------------------------------------------------------
1,800 Chemed Corp. 55,350
-----------------------------------------------------------------------------------
4,400 Chesapeake Corp. 136,400
-----------------------------------------------------------------------------------
5,200 *Cone Mills Corp. 59,150
-----------------------------------------------------------------------------------
1,512 Culp, Inc. 14,742
-----------------------------------------------------------------------------------
1,900 *Cytec Industries, Inc. 69,113
-----------------------------------------------------------------------------------
6,500 *DNA Plant Technology Corp. 15,438
-----------------------------------------------------------------------------------
1,100 Dekalb Genetics Corp., Class B 40,150
-----------------------------------------------------------------------------------
1,800 Delta & Pine Land Co. 43,875
-----------------------------------------------------------------------------------
3,300 Delta Woodside Industries, Inc. 30,938
-----------------------------------------------------------------------------------
5,100 Dexter Corp. 116,663
-----------------------------------------------------------------------------------
2,300 Dixie Yarns, Inc. 14,375
-----------------------------------------------------------------------------------
4,800 Donaldson Company, Inc. 119,400
-----------------------------------------------------------------------------------
3,000 Dyersburg Corp. 16,125
-----------------------------------------------------------------------------------
2,900 *Ecogen, Inc. 5,800
-----------------------------------------------------------------------------------
1,000 Fab Industries, Inc. 30,125
-----------------------------------------------------------------------------------
1,300 *Fieldcrest Cannon, Inc. 28,763
-----------------------------------------------------------------------------------
4,300 First Mississippi Corp. 107,500
-----------------------------------------------------------------------------------
3,100 *Foamex International, Inc. 25,188
-----------------------------------------------------------------------------------
2,900 Fuller (H.B.) Co. $ 109,475
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
PROCESS INDUSTRIES--CONTINUED
-----------------------------------------------------------------------------------
1,800 Furon Co. 36,225
-----------------------------------------------------------------------------------
2,500 *Galey & Lord, Inc. 30,000
-----------------------------------------------------------------------------------
11,300 *Gaylord Container Corp. 127,125
-----------------------------------------------------------------------------------
5,100 Greif Brothers Corp., Class A 138,975
-----------------------------------------------------------------------------------
2,600 Grow Group, Inc. 45,825
-----------------------------------------------------------------------------------
1,900 Guilford Mills, Inc. 47,025
-----------------------------------------------------------------------------------
2,200 *Intermagnetics General Corp. 27,500
-----------------------------------------------------------------------------------
1,500 *International Imaging Materials, Inc. 40,125
-----------------------------------------------------------------------------------
2,400 *Ionics, Inc. 67,200
-----------------------------------------------------------------------------------
1,300 Johnston Industries, Inc. 13,000
-----------------------------------------------------------------------------------
7,000 Lawter International, Inc. 96,250
-----------------------------------------------------------------------------------
1,300 Learonal 25,188
-----------------------------------------------------------------------------------
1,150 Lesco, Inc. 18,113
-----------------------------------------------------------------------------------
4,650 Lilly Industrial, Inc., Class A 67,134
-----------------------------------------------------------------------------------
1,000 Liqui Box Corp. 35,500
-----------------------------------------------------------------------------------
1,800 *Lydall, Inc. 66,600
-----------------------------------------------------------------------------------
3,200 *Material Sciences Corp. 58,000
-----------------------------------------------------------------------------------
2,000 *McWhorter Technologies, Inc. 30,000
-----------------------------------------------------------------------------------
2,300 Mercer International, Inc. 34,500
-----------------------------------------------------------------------------------
1,100 Midwest Grain Products, Inc. 19,800
-----------------------------------------------------------------------------------
1,200 Mine Safety Appliances Co. 54,300
-----------------------------------------------------------------------------------
1,540 Mosinee Paper Corp. 39,655
-----------------------------------------------------------------------------------
3,000 *Mycogen Corp. 27,750
-----------------------------------------------------------------------------------
800 NCH, Corp. 51,200
-----------------------------------------------------------------------------------
3,600 NL Industries, Inc. 53,100
-----------------------------------------------------------------------------------
2,400 O'Sullivan Corp. 26,400
-----------------------------------------------------------------------------------
2,600 OM Group, Inc. $ 62,075
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
PROCESS INDUSTRIES--CONTINUED
-----------------------------------------------------------------------------------
1,100 Oil-Dri Corp. of America 18,700
-----------------------------------------------------------------------------------
1,950 Osmonics, Inc. 32,663
-----------------------------------------------------------------------------------
2,957 *Paxar Corp. 44,355
-----------------------------------------------------------------------------------
1,200 Penwest Ltd. 24,600
-----------------------------------------------------------------------------------
1,000 Petrolite Corp. 30,750
-----------------------------------------------------------------------------------
1,500 *Photronic Labs, Inc. 34,125
-----------------------------------------------------------------------------------
2,100 Pittway Corp., Class A 92,663
-----------------------------------------------------------------------------------
2,900 Pope & Talbot, Inc. 47,850
-----------------------------------------------------------------------------------
1,600 Quaker Chemical Corp. 26,000
-----------------------------------------------------------------------------------
1,300 *Quaker Fabric Corp. 11,050
-----------------------------------------------------------------------------------
6,400 Rock-Tenn Co. 107,200
-----------------------------------------------------------------------------------
700 Rogers Corp. 37,450
-----------------------------------------------------------------------------------
3,700 *Sealed Air Corp. 158,175
-----------------------------------------------------------------------------------
1,500 Sealright Co., Inc. 26,250
-----------------------------------------------------------------------------------
400 *Seda Specialty Packaging Corp. 4,250
-----------------------------------------------------------------------------------
3,100 *Shorewood Packaging Corp. 48,825
-----------------------------------------------------------------------------------
2,400 Springs Industries, Inc., Class A 93,300
-----------------------------------------------------------------------------------
1,200 Stepen Chemical Co. 23,550
-----------------------------------------------------------------------------------
7,400 *Sterling Chemicals, Inc. 92,500
-----------------------------------------------------------------------------------
1,900 Stimsonite Corp. 24,463
-----------------------------------------------------------------------------------
1,200 *Sybron Chemical Industries, Inc. 16,800
-----------------------------------------------------------------------------------
1,900 Tejon Ranch Co. 24,463
-----------------------------------------------------------------------------------
6,600 Terra Industries, Inc. 73,425
-----------------------------------------------------------------------------------
1,100 Thomaston Mills, Inc., Class A 15,263
-----------------------------------------------------------------------------------
1,100 Tuscarora, Inc. 21,175
-----------------------------------------------------------------------------------
2,600 *U.S. Can Corp. 53,300
-----------------------------------------------------------------------------------
2,900 Vigoro Corp. $ 115,638
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
PROCESS INDUSTRIES--CONTINUED
-----------------------------------------------------------------------------------
5,400 *WestPoint Stevens, Inc. 97,875
----------------------------------------------------------------------------------- -------------
Total 4,458,057
----------------------------------------------------------------------------------- -------------
PRODUCER MANUFACTURING--7.4%
-----------------------------------------------------------------------------------
1,400 *ABC Rail Products Corp. 36,225
-----------------------------------------------------------------------------------
1,100 *ABT Building Products Corp. 17,875
-----------------------------------------------------------------------------------
1,300 *ACX Technologies, Inc. 56,225
-----------------------------------------------------------------------------------
1,500 *AER Energy Resources, Inc. 7,875
-----------------------------------------------------------------------------------
4,450 AGCO Corp. 158,531
-----------------------------------------------------------------------------------
1,200 Alamo Group, Inc. 22,200
-----------------------------------------------------------------------------------
5,500 Allen Group, Inc. 124,438
-----------------------------------------------------------------------------------
1,900 *Allied Products Corp. 37,050
-----------------------------------------------------------------------------------
1,600 *Alltrista Corp. 38,600
-----------------------------------------------------------------------------------
1,800 Amcast Industrial Corp. 36,000
-----------------------------------------------------------------------------------
1,600 *American Superconductor Corp. 26,400
-----------------------------------------------------------------------------------
7,300 Ametek, Inc. 118,625
-----------------------------------------------------------------------------------
4,500 *Ampal-American Israel Corp., Class A 28,688
-----------------------------------------------------------------------------------
1,600 Amtrol, Inc. 29,200
-----------------------------------------------------------------------------------
9,600 *Anacomp, Inc. 9,000
-----------------------------------------------------------------------------------
2,400 Applied Power, Inc., Class A 63,300
-----------------------------------------------------------------------------------
4,700 Arvin Industries, Inc. 109,275
-----------------------------------------------------------------------------------
1,400 *Astec Industries, Inc. 15,575
-----------------------------------------------------------------------------------
8,200 Aura System, Inc. 33,056
-----------------------------------------------------------------------------------
2,800 *Automotive Industries Holdings, Class A 74,900
-----------------------------------------------------------------------------------
3,000 *Avondale Industries, Inc. 22,500
-----------------------------------------------------------------------------------
5,100 BW/IP Holdings, Inc. 89,888
-----------------------------------------------------------------------------------
2,940 Baldor Electric Co. 86,730
-----------------------------------------------------------------------------------
3,200 *Baldwin Technology, Inc., Class A $ 18,800
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
PRODUCER MANUFACTURING--CONTINUED
-----------------------------------------------------------------------------------
5,000 Belden, Inc. 112,500
-----------------------------------------------------------------------------------
900 *Best Power Technology, Inc. 11,025
-----------------------------------------------------------------------------------
900 Blount, Inc., Class A 40,163
-----------------------------------------------------------------------------------
2,400 Borg-Warner Automotive, Inc. 61,800
-----------------------------------------------------------------------------------
1,700 Brenco, Inc. 22,950
-----------------------------------------------------------------------------------
3,500 *CMI Corp. 24,500
-----------------------------------------------------------------------------------
2,000 *Cable Design Technologies, Class A 36,500
-----------------------------------------------------------------------------------
1,900 Cascade Corp. 30,400
-----------------------------------------------------------------------------------
1,000 Cherry Corp., Class B 13,750
-----------------------------------------------------------------------------------
500 *Christiana Companies, Inc. 13,500
-----------------------------------------------------------------------------------
3,200 Commercial Intertech Corp. 70,800
-----------------------------------------------------------------------------------
2,800 Commercial Metals Corp. 74,200
-----------------------------------------------------------------------------------
2,100 Core Industries, Inc. 25,200
-----------------------------------------------------------------------------------
1,300 *Detroit Diesel Corp. 30,225
-----------------------------------------------------------------------------------
900 Donnely Corp. 15,188
-----------------------------------------------------------------------------------
1,100 *Durakon Industries, Inc. 17,188
-----------------------------------------------------------------------------------
4,000 Duriron, Inc. 86,750
-----------------------------------------------------------------------------------
1,300 *Encore Wire Corp. 15,275
-----------------------------------------------------------------------------------
1,100 Excel Industries, Inc. 14,025
-----------------------------------------------------------------------------------
800 Exide Electronics Group, Inc. 13,200
-----------------------------------------------------------------------------------
3,900 Figgie International Holdings, Inc., Class A 33,638
-----------------------------------------------------------------------------------
1,200 Flair Corp. 21,900
-----------------------------------------------------------------------------------
1,000 Franklin Electronics, Inc. 32,250
-----------------------------------------------------------------------------------
1,700 *Fruehauf Trailer Corp. 5,950
-----------------------------------------------------------------------------------
1,300 General Binding Corp. 23,725
-----------------------------------------------------------------------------------
2,900 *Gentex Corp. 55,825
-----------------------------------------------------------------------------------
600 *Gibraltar Steel Corp. $ 7,800
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
PRODUCER MANUFACTURING--CONTINUED
-----------------------------------------------------------------------------------
1,850 Gorman Rupp Co. 27,981
-----------------------------------------------------------------------------------
4,500 Goulds Pumps, Inc. 111,375
-----------------------------------------------------------------------------------
1,750 Graco, Inc. 45,938
-----------------------------------------------------------------------------------
2,300 *Great American Management & Investment, Inc. 81,363
-----------------------------------------------------------------------------------
3,400 Greenfield Industries, Inc. 100,300
-----------------------------------------------------------------------------------
6,500 Griffon Corp. 50,375
-----------------------------------------------------------------------------------
3,000 Handy & Harman 45,000
-----------------------------------------------------------------------------------
8,430 Harnischfeger Industries, Inc. 248,685
-----------------------------------------------------------------------------------
2,000 Hayes Wheels International, Inc. 37,500
-----------------------------------------------------------------------------------
1,600 *Holophane Corp. 30,400
-----------------------------------------------------------------------------------
2,300 Hunt Manufacturers Co. 33,925
-----------------------------------------------------------------------------------
900 Huntco, Inc., Class A 15,638
-----------------------------------------------------------------------------------
4,000 *IDEX Corp. 133,500
-----------------------------------------------------------------------------------
3,600 *IMO Industries, Inc. 26,550
-----------------------------------------------------------------------------------
4,900 *INDRESCO, Inc. 68,600
-----------------------------------------------------------------------------------
2,000 *Insilco Corp. 53,500
-----------------------------------------------------------------------------------
3,800 Interface, Inc. 52,725
-----------------------------------------------------------------------------------
4,000 Intermet Corp. 36,000
-----------------------------------------------------------------------------------
500 International Aluminum Corp. 17,250
-----------------------------------------------------------------------------------
1,200 JLG Industries, Inc. 24,000
-----------------------------------------------------------------------------------
2,162 *Jason, Inc. 19,999
-----------------------------------------------------------------------------------
2,000 *Johnstown America Industries, Inc. 25,500
-----------------------------------------------------------------------------------
1,300 Joslyn Manufacturing Co. 32,500
-----------------------------------------------------------------------------------
3,900 Juno Lighting, Inc. 80,925
-----------------------------------------------------------------------------------
3,800 Kaman Corp., Class A 47,025
-----------------------------------------------------------------------------------
900 Katy Industries, Inc. 8,213
-----------------------------------------------------------------------------------
3,500 Kaydon Corp. $ 96,250
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
PRODUCER MANUFACTURING--CONTINUED
-----------------------------------------------------------------------------------
5,600 Kennametal, Inc. 187,600
-----------------------------------------------------------------------------------
3,300 Kimball International, Inc., Class B 87,450
-----------------------------------------------------------------------------------
990 Knape & Vogt Manufacturing Co. 16,583
-----------------------------------------------------------------------------------
1,300 Kuhlman Corp. 15,275
-----------------------------------------------------------------------------------
1,200 Kyser Industrial Corp. 25,650
-----------------------------------------------------------------------------------
1,800 LSB Industries, Inc. 9,675
-----------------------------------------------------------------------------------
2,800 *Lamson & Sessions Co. 17,850
-----------------------------------------------------------------------------------
900 *Lindsay Manufacturing Co. 29,194
-----------------------------------------------------------------------------------
600 *MICROS Systems Corp. 18,675
-----------------------------------------------------------------------------------
4,100 *Magnetek, Inc. 60,988
-----------------------------------------------------------------------------------
1,600 Manitowoc, Inc. 41,800
-----------------------------------------------------------------------------------
2,800 Masland Corp. 38,500
-----------------------------------------------------------------------------------
5,200 Miller Herman, Inc. 103,675
-----------------------------------------------------------------------------------
2,000 Moorco International, Inc. 42,500
-----------------------------------------------------------------------------------
1,800 *Mueller Industries, Inc. 74,925
-----------------------------------------------------------------------------------
1,600 NACCO Industries, Inc., Class A 88,600
-----------------------------------------------------------------------------------
900 *NCI Building System, Inc. 15,750
-----------------------------------------------------------------------------------
1,400 NN Ball & Roller, Inc. 21,525
-----------------------------------------------------------------------------------
1,300 Nashua Corp. 25,350
-----------------------------------------------------------------------------------
2,600 *Nortek, Inc. 25,675
-----------------------------------------------------------------------------------
1,800 *Nu-Kote Holdings, Inc, Class A 49,500
-----------------------------------------------------------------------------------
3,700 *Oak Industries, Inc. 108,225
-----------------------------------------------------------------------------------
1,800 Olympic Steel, Inc. 17,550
-----------------------------------------------------------------------------------
5,400 Omega Environmental, Inc. 21,938
-----------------------------------------------------------------------------------
1,600 OshKosh Truck Corp., Class B 20,000
-----------------------------------------------------------------------------------
2,300 Pacific Scientific Co. 48,588
-----------------------------------------------------------------------------------
1,500 *Park Ohio Industries, Inc. $ 17,063
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
PRODUCER MANUFACTURING--CONTINUED
-----------------------------------------------------------------------------------
3,800 Pentair, Inc. 173,850
-----------------------------------------------------------------------------------
2,500 Ply Gem Industries, Inc. 41,563
-----------------------------------------------------------------------------------
4,250 Precision Castparts Corp. 116,875
-----------------------------------------------------------------------------------
1,100 *Presstek, Inc. 91,300
-----------------------------------------------------------------------------------
1,600 Quixote Corp. 19,200
-----------------------------------------------------------------------------------
900 Raven Industries, Inc. 18,450
-----------------------------------------------------------------------------------
1,107 *Raymond Corp. 22,555
-----------------------------------------------------------------------------------
3,800 Regal Beloit Corp. 57,950
-----------------------------------------------------------------------------------
800 Robbins & Myers, Inc. 19,400
-----------------------------------------------------------------------------------
2,200 Roper Industries, Inc. 59,400
-----------------------------------------------------------------------------------
1,000 *SPS Technologies, Inc. 31,625
-----------------------------------------------------------------------------------
1,700 Scotsman Industries, Inc. 32,725
-----------------------------------------------------------------------------------
1,000 *Shaw Group, Inc. 6,125
-----------------------------------------------------------------------------------
1,100 Shelby Williams Industries, Inc. 10,725
-----------------------------------------------------------------------------------
1,000 *Shiloh Industries, Inc. 9,500
-----------------------------------------------------------------------------------
3,500 Simpson Industries, Inc. 38,063
-----------------------------------------------------------------------------------
3,300 Smith (A.O.) Corp. 78,788
-----------------------------------------------------------------------------------
3,300 Smith Corona Corp. 7,013
-----------------------------------------------------------------------------------
2,300 *Spartan Motors, Inc. 23,288
-----------------------------------------------------------------------------------
2,800 *Specialty Equipment Cos., Inc. 34,650
-----------------------------------------------------------------------------------
3,525 Standard Products Co. 69,619
-----------------------------------------------------------------------------------
2,400 Standex International Corp. 75,300
-----------------------------------------------------------------------------------
1,500 Steel Technologies, Inc. 19,688
-----------------------------------------------------------------------------------
3,000 TJ International, Inc. 51,000
-----------------------------------------------------------------------------------
3,100 Teleflex, Inc. 128,263
-----------------------------------------------------------------------------------
1,800 Tennant Co. 44,550
-----------------------------------------------------------------------------------
1,100 *Thermo Fibertek, Inc. $ 20,213
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
PRODUCER MANUFACTURING--CONTINUED
-----------------------------------------------------------------------------------
1,200 *Thermo Power Corp. 16,650
-----------------------------------------------------------------------------------
2,100 Thomas Industries, Inc. 33,600
-----------------------------------------------------------------------------------
1,100 Titan Wheel International, Inc. 25,438
-----------------------------------------------------------------------------------
1,700 *Tokheim Corp. 15,300
-----------------------------------------------------------------------------------
3,900 *Top Source Technologies, Inc. 24,619
-----------------------------------------------------------------------------------
1,200 Tredegar Industries, Inc. 27,300
-----------------------------------------------------------------------------------
3,100 *Triangle Pacific Corp. 43,400
-----------------------------------------------------------------------------------
3,640 *Triarc Companies, Inc., Class A 54,600
-----------------------------------------------------------------------------------
3,200 U.S. Filter Corp. 50,800
-----------------------------------------------------------------------------------
4,200 UNR Industries, Inc. 24,675
-----------------------------------------------------------------------------------
800 *Union Switch & Signal, Inc. 12,300
-----------------------------------------------------------------------------------
2,600 *Valence Technology, Inc. 6,500
-----------------------------------------------------------------------------------
2,600 Valhi, Inc. 21,775
-----------------------------------------------------------------------------------
1,500 Valmont Industries, Inc. 32,250
-----------------------------------------------------------------------------------
750 Varlen Corp. 17,625
-----------------------------------------------------------------------------------
3,450 Wabash National Corp. 107,381
-----------------------------------------------------------------------------------
1,800 Walbro Corp. 33,638
-----------------------------------------------------------------------------------
2,700 *Wolverine Tube, Inc. 72,225
-----------------------------------------------------------------------------------
1,400 Woodhead Industries 28,525
-----------------------------------------------------------------------------------
900 *Zebra Technologies Co., Class A 41,288
-----------------------------------------------------------------------------------
3,400 Zero Corp. 46,750
-----------------------------------------------------------------------------------
2,600 Zurn Industries, Inc. 52,325
----------------------------------------------------------------------------------- -------------
Total 7,042,946
----------------------------------------------------------------------------------- -------------
RETAIL TRADE--5.1%
-----------------------------------------------------------------------------------
3,800 American Studios, Inc. 11,400
-----------------------------------------------------------------------------------
2,000 Arbor Drugs, Inc. 51,250
-----------------------------------------------------------------------------------
1,650 *BMC West Corp. $ 24,338
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
RETAIL TRADE--CONTINUED
-----------------------------------------------------------------------------------
2,900 Baker (J.), Inc. 36,250
-----------------------------------------------------------------------------------
3,347 *Benson Eyecare Corp. 33,470
-----------------------------------------------------------------------------------
2,800 Big B, Inc. 40,600
-----------------------------------------------------------------------------------
1,700 Blair Corp. 58,863
-----------------------------------------------------------------------------------
7,700 *Bombay Co., Inc. 57,750
-----------------------------------------------------------------------------------
1,100 *Bon-Ton Stores, Inc. 11,413
-----------------------------------------------------------------------------------
2,100 *Books-A-Million, Inc. 29,138
-----------------------------------------------------------------------------------
2,300 Bradlees, Inc. 24,150
-----------------------------------------------------------------------------------
9,600 *Broadway Stores, Inc. 64,800
-----------------------------------------------------------------------------------
1,600 *Brookstone, Inc. 8,200
-----------------------------------------------------------------------------------
12,900 Brunos, Inc. 158,025
-----------------------------------------------------------------------------------
400 *Buckle, Inc. 6,400
-----------------------------------------------------------------------------------
500 *CDW Computer Centers, Inc. 17,750
-----------------------------------------------------------------------------------
2,900 CPI Corp. 48,575
-----------------------------------------------------------------------------------
3,500 *Caldor Corp. 67,813
-----------------------------------------------------------------------------------
3,400 *Carr-Gottstein Foods Co. 19,975
-----------------------------------------------------------------------------------
4,100 *Carson Pirie Scott & Co. 66,113
-----------------------------------------------------------------------------------
4,600 Casey's General Stores, Inc. 79,350
-----------------------------------------------------------------------------------
6,000 Cash America International, Inc. 45,750
-----------------------------------------------------------------------------------
4,500 Cato Corp., Class A 37,125
-----------------------------------------------------------------------------------
800 *Chicos Fas, Inc. 4,700
-----------------------------------------------------------------------------------
2,400 *Chronimed, Inc. 36,600
-----------------------------------------------------------------------------------
4,400 Claire's Stores, Inc. 61,050
-----------------------------------------------------------------------------------
2,200 Cole National Corp., Class A 20,075
-----------------------------------------------------------------------------------
3,700 CompUSA, Inc. 92,038
-----------------------------------------------------------------------------------
2,400 *Compucom System, Inc. 9,300
-----------------------------------------------------------------------------------
9,800 Consolidated Stores Corp. $ 167,825
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
RETAIL TRADE--CONTINUED
-----------------------------------------------------------------------------------
600 *Crown Books Corp. 8,775
-----------------------------------------------------------------------------------
500 *DIY Home Warehouse, Inc. 3,750
-----------------------------------------------------------------------------------
1,700 *Damark International, Inc., Class A 12,113
-----------------------------------------------------------------------------------
300 Dart Group Corp., Class A 29,400
-----------------------------------------------------------------------------------
1,000 Deb Shops, Inc. 4,250
-----------------------------------------------------------------------------------
1,200 Delchamps, Inc. 23,475
-----------------------------------------------------------------------------------
3,350 *Designs, Inc. 35,594
-----------------------------------------------------------------------------------
5,100 *Diagnostek, Inc. 94,350
-----------------------------------------------------------------------------------
1,000 *Discount Auto Parts, Inc. 24,125
-----------------------------------------------------------------------------------
4,500 *Discovery Zone, Inc. 41,484
-----------------------------------------------------------------------------------
3,400 *Dress Barn, Inc. 32,725
-----------------------------------------------------------------------------------
4,000 Duty Free International, Inc. 30,000
-----------------------------------------------------------------------------------
4,000 *Eagle Hardware & Garden, Inc. 27,500
-----------------------------------------------------------------------------------
6,700 *Eckerd Corp. 195,138
-----------------------------------------------------------------------------------
3,500 Edison Brothers Stores, Inc. 52,500
-----------------------------------------------------------------------------------
3,100 *Egghead, Inc. 29,450
-----------------------------------------------------------------------------------
3,100 *Express Scripts, Inc., Class A 89,513
-----------------------------------------------------------------------------------
1,700 *Ezcorp, Inc., Class A 11,475
-----------------------------------------------------------------------------------
1,300 *Fabri-Centers America 24,050
-----------------------------------------------------------------------------------
6,300 Fastenal Co. 166,950
-----------------------------------------------------------------------------------
3,100 Fays, Inc. 27,900
-----------------------------------------------------------------------------------
3,800 *Filenes Basement Corp. 15,200
-----------------------------------------------------------------------------------
1,400 Freds, Inc. 13,650
-----------------------------------------------------------------------------------
2,000 *Friedmans, Inc., Class A 35,500
-----------------------------------------------------------------------------------
4,630 General Host Corp. 31,253
-----------------------------------------------------------------------------------
1,448 Genovese Drug Stores, Inc., Class A 15,023
-----------------------------------------------------------------------------------
1,300 *Goody's Family Clothing, Inc. $ 10,725
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
RETAIL TRADE--CONTINUED
-----------------------------------------------------------------------------------
1,300 *Gottschalks, Inc. 9,425
-----------------------------------------------------------------------------------
500 *Grow Biz International, Inc. 5,688
-----------------------------------------------------------------------------------
4,500 Hancock Fabrics, Inc. 45,000
-----------------------------------------------------------------------------------
9,400 *Hanover Direct, Inc. 22,325
-----------------------------------------------------------------------------------
1,850 Haverty Furniture Cos., Inc. 18,963
-----------------------------------------------------------------------------------
6,100 Hechinger Co., Class A 59,856
-----------------------------------------------------------------------------------
2,200 *Hi-Lo Automotive, Inc. 18,425
-----------------------------------------------------------------------------------
2,053 *Hills Stores Co. 41,317
-----------------------------------------------------------------------------------
900 *Hollywood Entertainment Corp. 32,400
-----------------------------------------------------------------------------------
1,100 *Inacom Corp. 10,588
-----------------------------------------------------------------------------------
1,400 Ingles Markets, Inc., Class A 14,700
-----------------------------------------------------------------------------------
2,000 Jenny Craig, Inc. 15,000
-----------------------------------------------------------------------------------
2,700 *Lechters, Inc. 41,175
-----------------------------------------------------------------------------------
6,200 *Levitz Furniture, Inc. 46,500
-----------------------------------------------------------------------------------
900 Lillian Vernon Corp. 18,338
-----------------------------------------------------------------------------------
5,500 *MacFrugal's Bargains CloseOuts, Inc. 81,125
-----------------------------------------------------------------------------------
1,300 Medicine Shoppe International, Inc. 41,600
-----------------------------------------------------------------------------------
750 *Mens Wearhouse, Inc. 18,938
-----------------------------------------------------------------------------------
8,900 Merry-Go-Round Enterprises, Inc. 8,344
-----------------------------------------------------------------------------------
2,550 *Microage, Inc. 25,819
-----------------------------------------------------------------------------------
1,145 *Monro Muffler Brake, Inc. 20,753
-----------------------------------------------------------------------------------
7,200 *Musicland Stores, Inc. 70,200
-----------------------------------------------------------------------------------
2,700 *National Vision Associates 14,175
-----------------------------------------------------------------------------------
3,500 Neiman-Marcus Group, Inc. 51,188
-----------------------------------------------------------------------------------
2,600 New Engineers Business Service, Inc. 46,800
-----------------------------------------------------------------------------------
700 *O'Reilly Automotive, Inc. 18,725
-----------------------------------------------------------------------------------
1,300 *One Price Clothing Stores, Inc. $ 7,638
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
RETAIL TRADE--CONTINUED
-----------------------------------------------------------------------------------
1,500 *Orchard Supply Hardware 14,625
-----------------------------------------------------------------------------------
8,400 *Payless Cashway, Inc., Class A 66,150
-----------------------------------------------------------------------------------
2,300 *Penn Traffic Co. 78,200
-----------------------------------------------------------------------------------
8,295 Pier 1 Imports, Inc. 74,655
-----------------------------------------------------------------------------------
1,400 *Proffitts, Inc. 34,650
-----------------------------------------------------------------------------------
450 Quality Food Centers, Inc. 9,141
-----------------------------------------------------------------------------------
1,200 *Regis Corp. Minnesota 20,475
-----------------------------------------------------------------------------------
1,400 *Rex Stores Corp. 19,075
-----------------------------------------------------------------------------------
2,100 *Rhodes, Inc. 20,738
-----------------------------------------------------------------------------------
5,100 Ross Stores, Inc. 49,725
-----------------------------------------------------------------------------------
2,600 Ruddick Corp. 53,950
-----------------------------------------------------------------------------------
1,100 *Shoe Carnival, Inc. 6,463
-----------------------------------------------------------------------------------
3,600 Shopko Stores, Inc. 40,050
-----------------------------------------------------------------------------------
2,100 Smart & Final, Inc. 35,438
-----------------------------------------------------------------------------------
4,100 Smith's Food & Drug Centers, Inc., Class B 88,663
-----------------------------------------------------------------------------------
1,400 Sport Supply Group, Inc. 19,950
-----------------------------------------------------------------------------------
700 *Sportmart, Inc. 6,825
-----------------------------------------------------------------------------------
2,350 *Sports & Recreation, Inc. 27,613
-----------------------------------------------------------------------------------
1,950 *Stein Mart, Inc. 22,181
-----------------------------------------------------------------------------------
1,836 Strawbridge & Clothier, Inc., Class A 36,720
-----------------------------------------------------------------------------------
1,400 Sun Television & Appliances 11,725
-----------------------------------------------------------------------------------
4,700 *Sunglass Hut International, Inc. 134,831
-----------------------------------------------------------------------------------
1,700 *Supercuts, Inc. 16,150
-----------------------------------------------------------------------------------
700 Syms Corp. 4,900
-----------------------------------------------------------------------------------
1,300 *Tandycrafts, Inc. 10,725
-----------------------------------------------------------------------------------
2,800 *The Good Guys, Inc. 26,950
-----------------------------------------------------------------------------------
2,800 Tiffany & Co. $ 89,950
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
RETAIL TRADE--CONTINUED
-----------------------------------------------------------------------------------
700 *Today's Man, Inc. 9,100
-----------------------------------------------------------------------------------
1,800 *Tractor Supply Co. 38,250
-----------------------------------------------------------------------------------
700 *Trans World Entertainment Corp. 2,888
-----------------------------------------------------------------------------------
2,200 *United Retail Group, Inc. 18,700
-----------------------------------------------------------------------------------
900 *Urban Outfitters, Inc. 19,125
-----------------------------------------------------------------------------------
2,400 *Value City Department Stores, Inc. 21,600
-----------------------------------------------------------------------------------
3,800 Valuevision International, Inc., Class A 18,050
-----------------------------------------------------------------------------------
3,600 Venture Stores, Inc. 39,150
-----------------------------------------------------------------------------------
6,500 *Waban, Inc. 108,063
-----------------------------------------------------------------------------------
400 *West Marine, Inc. 9,900
-----------------------------------------------------------------------------------
2,900 *Whole Foods Market, Inc. 34,438
-----------------------------------------------------------------------------------
3,900 *Williams-Sonoma, Inc. 73,369
-----------------------------------------------------------------------------------
1,100 Wolohan Lumber Co. 15,538
-----------------------------------------------------------------------------------
1,900 *Younkers, Inc. 35,388
-----------------------------------------------------------------------------------
7,300 *Zale Corp. 85,319
----------------------------------------------------------------------------------- -------------
Total 4,830,355
----------------------------------------------------------------------------------- -------------
TECHNOLOGY SERVICES--4.9%
-----------------------------------------------------------------------------------
4,600 *Acxiom Corp. 79,925
-----------------------------------------------------------------------------------
5,800 *America Online, Inc. 268,975
-----------------------------------------------------------------------------------
5,500 *American Management System, Inc 116,188
-----------------------------------------------------------------------------------
3,800 American Software, Inc, Class A 15,675
-----------------------------------------------------------------------------------
1,500 Analysts International Corp. 37,875
-----------------------------------------------------------------------------------
3,000 *Artisoft, Inc. 22,875
-----------------------------------------------------------------------------------
1,500 Atria Software, Inc. 64,594
-----------------------------------------------------------------------------------
1,402 Bell Industries, Inc. 28,215
-----------------------------------------------------------------------------------
2,300 *Bisys Group, Inc. 47,725
-----------------------------------------------------------------------------------
1,550 *Boole & Babbage, Inc. $ 44,756
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
TECHNOLOGY SERVICES--CONTINUED
-----------------------------------------------------------------------------------
5,800 *Borland International, Inc. 55,825
-----------------------------------------------------------------------------------
500 *Brock Control Systems, Inc. 3,500
-----------------------------------------------------------------------------------
3,200 *Broderbund Software, Inc. 158,400
-----------------------------------------------------------------------------------
1,300 Business Records Corporation Holdings Co. 43,550
-----------------------------------------------------------------------------------
1,800 *CACI International, Inc., Class A 18,000
-----------------------------------------------------------------------------------
8,100 *Cadence Design Systems, Inc. 261,225
-----------------------------------------------------------------------------------
1,300 *Cambridge Technology Partners, Inc. 44,688
-----------------------------------------------------------------------------------
1,100 *Cellstar Corp. 21,313
-----------------------------------------------------------------------------------
2,700 *Cerplex Group, Inc. 14,175
-----------------------------------------------------------------------------------
1,200 Computer Language Research, Inc. 10,950
-----------------------------------------------------------------------------------
5,200 Computervision Corp. 28,600
-----------------------------------------------------------------------------------
4,000 *Continuum, Inc. 132,000
-----------------------------------------------------------------------------------
2,400 *Control Data Systems, Inc. 22,500
-----------------------------------------------------------------------------------
500 *Davidson & Associates, Inc. 17,000
-----------------------------------------------------------------------------------
2,300 *Envoy Corp. 52,325
-----------------------------------------------------------------------------------
3,300 *FTP Software, Inc. 86,625
-----------------------------------------------------------------------------------
2,100 *Frame Technology Corp. 44,100
-----------------------------------------------------------------------------------
2,200 *Gartner Group, Inc., Class A 91,025
-----------------------------------------------------------------------------------
900 *Gupta Corp. 9,338
-----------------------------------------------------------------------------------
1,500 Henry Jack & Associates, Inc. 16,688
-----------------------------------------------------------------------------------
2,500 *Hogan Systems, Inc. 21,250
-----------------------------------------------------------------------------------
1,600 Hyperion Software Corp. 68,800
-----------------------------------------------------------------------------------
5,500 *Information Resources, Inc. 77,344
-----------------------------------------------------------------------------------
1,000 *Integrated Systems, Inc. 21,000
-----------------------------------------------------------------------------------
2,400 *Interleaf, Inc. 13,200
-----------------------------------------------------------------------------------
3,200 *Intersolv, Inc. 44,000
-----------------------------------------------------------------------------------
1,600 *Intuit, Inc. $ 108,400
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
TECHNOLOGY SERVICES--CONTINUED
-----------------------------------------------------------------------------------
3,300 *Keane, Inc. 83,325
-----------------------------------------------------------------------------------
2,100 *Kent Electronics Corp. 61,688
-----------------------------------------------------------------------------------
2,800 MacNeal Schwendler Corp. 40,950
-----------------------------------------------------------------------------------
2,500 *Macromedia, Inc. 83,750
-----------------------------------------------------------------------------------
1,200 *Mapinfo Corp. 35,850
-----------------------------------------------------------------------------------
2,300 *Marcam Corp. 34,213
-----------------------------------------------------------------------------------
3,600 *Marshall Industries 99,450
-----------------------------------------------------------------------------------
1,900 *Mercury Interactive Corp. 40,850
-----------------------------------------------------------------------------------
5,300 *Merisel, Inc. 32,131
-----------------------------------------------------------------------------------
4,000 National Data Corp. 74,500
-----------------------------------------------------------------------------------
6,100 *Netmanage, Inc. 111,325
-----------------------------------------------------------------------------------
1,600 *Parcplace Systems, Inc. 18,800
-----------------------------------------------------------------------------------
2,300 *Peoplesoft, Inc. 117,875
-----------------------------------------------------------------------------------
3,150 Pioneer Standard Electronics, Inc. 61,425
-----------------------------------------------------------------------------------
4,100 *Platinum Technology, Inc. 82,000
-----------------------------------------------------------------------------------
900 *Progress Software Corp. 36,450
-----------------------------------------------------------------------------------
900 *Quickresponse Services, Inc. 16,763
-----------------------------------------------------------------------------------
3,000 Racotek, Inc. 15,938
-----------------------------------------------------------------------------------
1,800 *Safeguard Scientifics, Inc. 52,875
-----------------------------------------------------------------------------------
3,600 *Santa Cruz Operation, Inc. 45,000
-----------------------------------------------------------------------------------
16,100 *Spectrum Information Technologies, Inc. 2,516
-----------------------------------------------------------------------------------
4,092 *Sterling Software, Inc. 139,128
-----------------------------------------------------------------------------------
6,100 *Structural Dynamics Research Corp. 73,963
-----------------------------------------------------------------------------------
4,000 *SunGuard Data Systems, Inc. 186,500
-----------------------------------------------------------------------------------
7,700 *Symantec Corp. 179,025
-----------------------------------------------------------------------------------
3,800 *Synopsys, Inc. 206,150
-----------------------------------------------------------------------------------
3,800 System Software Association $ 95,475
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
TECHNOLOGY SERVICES--CONTINUED
-----------------------------------------------------------------------------------
2,600 *Systems & Computer Technology Corp. 51,675
-----------------------------------------------------------------------------------
7,100 *Tech Data Corp. 84,313
-----------------------------------------------------------------------------------
1,400 *VMARK Software, Inc. 21,000
-----------------------------------------------------------------------------------
3,500 *Viewlogic Systems, Inc. 39,375
-----------------------------------------------------------------------------------
2,700 *Walker Interactive Systems 17,550
-----------------------------------------------------------------------------------
2,000 *Wall Data, Inc. 38,500
-----------------------------------------------------------------------------------
2,000 *Wonderware Corp. 66,250
-----------------------------------------------------------------------------------
2,600 Wyle Labs 63,700
----------------------------------------------------------------------------------- -------------
Total 4,622,902
----------------------------------------------------------------------------------- -------------
TRANSPORTATION--2.0%
-----------------------------------------------------------------------------------
3,100 Airlines Express International Corp. 72,850
-----------------------------------------------------------------------------------
2,500 *Alaska Air Group, Inc. 42,813
-----------------------------------------------------------------------------------
700 *Allied Holdings, Inc. 7,000
-----------------------------------------------------------------------------------
9,502 *America West Airlines, Inc., Class B 93,832
-----------------------------------------------------------------------------------
2,900 American Classic Voyages 29,725
-----------------------------------------------------------------------------------
3,200 *American Freightways Corp. 74,800
-----------------------------------------------------------------------------------
5,700 American President Cos., Ltd. 132,525
-----------------------------------------------------------------------------------
600 *Amtran, Inc. 4,950
-----------------------------------------------------------------------------------
4,100 Arnold Industries, Inc. 73,800
-----------------------------------------------------------------------------------
600 *Celadon Group, Inc. 8,850
-----------------------------------------------------------------------------------
3,300 Comair Holdings, Inc. 83,119
-----------------------------------------------------------------------------------
3,100 *Continental Airlines, Inc., Class B 51,150
-----------------------------------------------------------------------------------
2,500 Expeditors International Washington, Inc. 57,500
-----------------------------------------------------------------------------------
800 Florida East Coast, Inc. 57,400
-----------------------------------------------------------------------------------
700 *Fritz Companies, Inc. 42,175
-----------------------------------------------------------------------------------
1,982 Frozen Food Express Industries, Inc. 21,802
-----------------------------------------------------------------------------------
2,900 Harper Group $ 55,825
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
TRANSPORTATION--CONTINUED
-----------------------------------------------------------------------------------
1,357 *Heartland Express, Inc. 35,282
-----------------------------------------------------------------------------------
800 International Shipholding Corp. 16,600
-----------------------------------------------------------------------------------
2,200 Intertrans Corp. 47,575
-----------------------------------------------------------------------------------
6,000 *Kirby Corp. 82,500
-----------------------------------------------------------------------------------
500 *Landair Services, Inc. 7,625
-----------------------------------------------------------------------------------
2,700 *Landstar System, Inc. 78,300
-----------------------------------------------------------------------------------
1,800 *M.S. Carriers, Inc. 43,650
-----------------------------------------------------------------------------------
1,450 *Matlack Systems, Inc. 15,769
-----------------------------------------------------------------------------------
6,900 *Mesa Airlines, Inc. 42,263
-----------------------------------------------------------------------------------
5,800 *OMI Corp. 33,350
-----------------------------------------------------------------------------------
900 *Old Dominion Freight Lines, Inc. 14,400
-----------------------------------------------------------------------------------
1,200 *Railtex, Inc. 33,300
-----------------------------------------------------------------------------------
1,400 SkyWest, Inc. 24,850
-----------------------------------------------------------------------------------
2,500 *Swift Transportation Co. 39,688
-----------------------------------------------------------------------------------
3,750 TNT Freightways Corp. 88,125
-----------------------------------------------------------------------------------
3,200 Tower Air Corp., Inc. 22,000
-----------------------------------------------------------------------------------
800 *USA Truck, Inc. 13,200
-----------------------------------------------------------------------------------
12,700 *USAir Group, Inc. 92,075
-----------------------------------------------------------------------------------
3,500 *Wisconsin Central Transportation Corp. 199,719
-----------------------------------------------------------------------------------
4,800 Yellow Corp. 86,400
----------------------------------------------------------------------------------- -------------
Total 1,926,787
----------------------------------------------------------------------------------- -------------
UTILITIES--5.8%
-----------------------------------------------------------------------------------
1,250 ACC Corp. 19,375
-----------------------------------------------------------------------------------
1,900 *American Mobile Satellite Corp. 36,575
-----------------------------------------------------------------------------------
800 *American Paging, Inc. 5,450
-----------------------------------------------------------------------------------
1,400 Aquarion Co. 30,975
-----------------------------------------------------------------------------------
1,100 Aquila Gas Pipeline Co. $ 9,350
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
UTILITIES--CONTINUED
-----------------------------------------------------------------------------------
1,700 *Arch Communications Group, Inc. 29,750
-----------------------------------------------------------------------------------
1,000 Atlantic Telephone Network, Inc. 8,000
-----------------------------------------------------------------------------------
3,250 Atmos Energy Corp. 60,938
-----------------------------------------------------------------------------------
1,400 Bangor Hydro Electric Co. 14,525
-----------------------------------------------------------------------------------
2,800 Bay State Gas Co. 67,550
-----------------------------------------------------------------------------------
3,000 Black Hills Corp. 66,000
-----------------------------------------------------------------------------------
2,500 C-Tec Corp. 52,500
-----------------------------------------------------------------------------------
1,300 California Water Service Corp. 41,438
-----------------------------------------------------------------------------------
1,900 Cascade Natural Gas Corp. 26,600
-----------------------------------------------------------------------------------
2,100 *Cellular Communications International, Inc. 77,175
-----------------------------------------------------------------------------------
2,100 *Cellular Communications of Puerto Rico, Inc. 58,013
-----------------------------------------------------------------------------------
1,005 *Centennial Cellular Corp., Class A 14,070
-----------------------------------------------------------------------------------
3,600 Central Hudson Gas & Electric Service 93,150
-----------------------------------------------------------------------------------
4,700 Central LA Electric Co. 108,100
-----------------------------------------------------------------------------------
6,800 Central Maine Power Co. 75,650
-----------------------------------------------------------------------------------
2,450 Central VT Public Service Corp. 33,381
-----------------------------------------------------------------------------------
2,700 Cilcorp, Inc. 98,213
-----------------------------------------------------------------------------------
1,600 Colonial Gas Co. 31,200
-----------------------------------------------------------------------------------
2,200 Commonwealth Energy System 90,200
-----------------------------------------------------------------------------------
2,500 *Comnet Cellular, Inc. 65,000
-----------------------------------------------------------------------------------
1,800 Connecticut Energy Corp. 34,425
-----------------------------------------------------------------------------------
2,100 Connecticut Natural Gas Corp. 47,775
-----------------------------------------------------------------------------------
1,400 Consumers Water Co. 21,963
-----------------------------------------------------------------------------------
1,300 *Dial Page, Inc. 20,638
-----------------------------------------------------------------------------------
1,200 E Town 31,950
-----------------------------------------------------------------------------------
4,300 Eastern Enterprises 128,463
-----------------------------------------------------------------------------------
4,200 Eastern Utilities Association $ 100,275
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
UTILITIES--CONTINUED
-----------------------------------------------------------------------------------
7,500 *El Paso Electric Co. 10,781
-----------------------------------------------------------------------------------
2,900 Empire Distribution Electric Co. 48,938
-----------------------------------------------------------------------------------
2,300 Energen Corp. 50,600
-----------------------------------------------------------------------------------
1,861 *Executive Telecard Ltd. 8,840
-----------------------------------------------------------------------------------
5,000 *General Communications, Inc., Class A 20,938
-----------------------------------------------------------------------------------
1,000 Green Mountain Power Corp. 25,625
-----------------------------------------------------------------------------------
1,100 IWC Resources Corp. 21,725
-----------------------------------------------------------------------------------
4,150 Indiana Energy, Inc. 76,256
-----------------------------------------------------------------------------------
3,900 *International Cabletel, Inc. 115,050
-----------------------------------------------------------------------------------
2,000 Interstate Power Co. 48,250
-----------------------------------------------------------------------------------
6,200 Iowa Illinois Gas and Electric Co. 130,200
-----------------------------------------------------------------------------------
4,901 K N Energy, Inc. 124,363
-----------------------------------------------------------------------------------
6,900 *Kaneb Services, Inc. 12,938
-----------------------------------------------------------------------------------
2,200 *Kelley Oil & Gas Corp. 9,350
-----------------------------------------------------------------------------------
6,200 *LCI International, Inc. 156,550
-----------------------------------------------------------------------------------
3,300 Laclede Gas Co. 62,288
-----------------------------------------------------------------------------------
5,300 Lincoln Telecommunications Co. 82,150
-----------------------------------------------------------------------------------
4,000 MDU Resources Group, Inc. 110,500
-----------------------------------------------------------------------------------
2,300 Madison Gas & Electric Co. 73,025
-----------------------------------------------------------------------------------
900 *Metrocall, Inc. 15,975
-----------------------------------------------------------------------------------
9,000 Mobile Telecommunication Technologies Corp. 212,625
-----------------------------------------------------------------------------------
2,344 NGC Corp. 22,561
-----------------------------------------------------------------------------------
1,600 NUI Corp. 24,400
-----------------------------------------------------------------------------------
1,300 *Nationwide Cellular Service, Inc. 22,588
-----------------------------------------------------------------------------------
3,700 New Jersey Resources Corp. 83,250
-----------------------------------------------------------------------------------
1,300 North Carolina Natural Gas 29,250
-----------------------------------------------------------------------------------
3,000 Northwest Natural Gas Co. $ 92,813
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
<C> <S> <C>
- ------------ --------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
UTILITIES--CONTINUED
-----------------------------------------------------------------------------------
1,600 Northwestern Public Service Co. 43,600
-----------------------------------------------------------------------------------
5,600 ONEOK, Inc. 107,100
-----------------------------------------------------------------------------------
3,700 *OneComm Corp. 61,513
-----------------------------------------------------------------------------------
2,900 Orange & Rockland Utilities, Inc. 92,075
-----------------------------------------------------------------------------------
2,300 Otter Tail Power Co. 75,900
-----------------------------------------------------------------------------------
1 Panhandle Eastern Corp. 12
-----------------------------------------------------------------------------------
1,200 Pennsylvania Enterprises 38,850
-----------------------------------------------------------------------------------
2,900 *Peoples Telephone Co. 12,688
-----------------------------------------------------------------------------------
2,100 Philadelphia Suburban Corp. 37,800
-----------------------------------------------------------------------------------
5,700 Piedmont Natural Gas, Inc. 116,138
-----------------------------------------------------------------------------------
1,100 *Pittencrieff Communications, Inc. 6,600
-----------------------------------------------------------------------------------
1,200 Providence Energy Corp. 18,600
-----------------------------------------------------------------------------------
8,800 *Public Service Co. New Mexico 112,200
-----------------------------------------------------------------------------------
3,900 Public Service Co. North Carolina, Inc. 58,013
-----------------------------------------------------------------------------------
500 SJW Corp. 16,813
-----------------------------------------------------------------------------------
6,200 Sierra Pacific Resources 129,425
-----------------------------------------------------------------------------------
2,224 South Jersey Industries, Inc. 44,758
-----------------------------------------------------------------------------------
2,378 Southeastern Michigan Gas Energy 48,749
-----------------------------------------------------------------------------------
1,600 Southern CA Water Co. 27,400
-----------------------------------------------------------------------------------
3,300 Southern Indiana Gas & Electric Co. 99,825
-----------------------------------------------------------------------------------
2,411 *Southern Union Co. 40,083
-----------------------------------------------------------------------------------
4,400 Southwest Gas Corp. 64,900
-----------------------------------------------------------------------------------
5,400 Southwestern Energy Co. 82,350
-----------------------------------------------------------------------------------
800 St. Joseph Light & Power Co. 23,600
-----------------------------------------------------------------------------------
2,300 TNP Enterprises, Inc. 36,513
-----------------------------------------------------------------------------------
1,400 *Tejas Gas Corp. 67,025
-----------------------------------------------------------------------------------
1,400 *Tejas Power Corp., Class A $ 12,600
-----------------------------------------------------------------------------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL
AMOUNT VALUE
<C> <S> <C>
- ------------ ----------------------------------------------------------------------------------- -------------
COMMON STOCKS--CONTINUED
- -------------------------------------------------------------------------------------------------
UTILITIES--CONTINUED
-----------------------------------------------------------------------------------
3,400 Transco Energy Co. 69,700
-----------------------------------------------------------------------------------
31,600 *Tucson Electric Power Co. 106,650
-----------------------------------------------------------------------------------
2,700 *U.S. Long Distance Corp. 41,850
-----------------------------------------------------------------------------------
2,000 USX-Delhi Group 24,000
-----------------------------------------------------------------------------------
2,200 United Cities Gas Co. 34,650
-----------------------------------------------------------------------------------
3,000 United Illuminating Co. 96,375
-----------------------------------------------------------------------------------
4,836 United Water Resources, Inc. 64,680
-----------------------------------------------------------------------------------
2,100 *WCT Communications, Inc. 11,288
-----------------------------------------------------------------------------------
3,500 WICOR, Inc. 96,250
-----------------------------------------------------------------------------------
5,000 Washington Energy Co. 74,375
-----------------------------------------------------------------------------------
700 *Xpedite Systems, Inc. 16,100
-----------------------------------------------------------------------------------
2,200 Yankee Energy Systems, Inc. 42,900
----------------------------------------------------------------------------------- -------------
Total 5,444,444
----------------------------------------------------------------------------------- -------------
TOTAL COMMON STOCKS (IDENTIFIED COST $87,824,387) 92,621,702
----------------------------------------------------------------------------------- -------------
SHORT-TERM U.S. GOVERNMENT OBLIGATIONS--0.8%
- -------------------------------------------------------------------------------------------------
$ 800,000 United States Treasury Bill, 6/29/1995 (AT AMORTIZED COST) 792,920
----------------------------------------------------------------------------------- -------------
</TABLE>
FEDERATED MINI-CAP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT VALUE
<C> <S> <C>
- ------------ ----------------------------------------------------------------------------------- -------------
**REPURCHASE AGREEMENTS--1.4%
- -------------------------------------------------------------------------------------------------
$ 1,280,000 J.P. Morgan & Co., Inc., 5.97%, dated 4/28/1995, due 5/1/1995
(AT AMORTIZED COST) $ 1,280,000
----------------------------------------------------------------------------------- -------------
TOTAL INVESTMENTS (IDENTIFIED COST $89,897,307) (A) $ 94,694,622
----------------------------------------------------------------------------------- -------------
</TABLE>
* Non-income producing securities.
** The repurchase agreement is fully collateralized by U.S. government and/or
agency obligations. The investment in the repurchase agreement is through
participation in a joint account with other Federated Investors funds.
(a) The cost of investments for federal tax purposes amounts to $89,897,307. The
net unrealized appreciation of investments on a federal tax cost basis
amounts to $4,797,315, which is comprised of $14,745,210 appreciation and
$9,947,895 depreciation at April 30, 1995.
Note: The categories of investments are shown as a percentage of net assets
($94,586,951) at
April 30, 1995.
The following abbreviations are used throughout this portfolio:
REIT--Real Estate Investment Trust
VA--Virginia/Veterans Administration
(See Notes which are an integral part of the Financial Statements)
FEDERATED MINI-CAP FUND
(FORMERLY, MINI-CAP FUND)
STATEMENT OF ASSETS AND LIABILITIES
APRIL 30, 1995 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<S> <C> <C>
ASSETS:
- ---------------------------------------------------------------------------------------------------
Investments in securities, at value (identified and tax cost $89,897,307) $ 94,694,622
- ---------------------------------------------------------------------------------------------------
Cash 61,155
- ---------------------------------------------------------------------------------------------------
Receivable for investments sold 101,742
- ---------------------------------------------------------------------------------------------------
Receivable for shares sold 101,175
- ---------------------------------------------------------------------------------------------------
Income receivable 81,769
- ---------------------------------------------------------------------------------------------------
Receivable for daily variation margin on open futures contracts 400
- ---------------------------------------------------------------------------------------------------
Deferred expenses 1,938
- --------------------------------------------------------------------------------------------------- -------------
Total assets 95,042,801
- ---------------------------------------------------------------------------------------------------
LIABILITIES:
- ---------------------------------------------------------------------------------------------------
Payable for shares redeemed $ 326,205
- ---------------------------------------------------------------------------------------
Payable for investments purchased 96,481
- ---------------------------------------------------------------------------------------
Accrued expenses 33,164
- --------------------------------------------------------------------------------------- ----------
Total liabilities 455,850
- --------------------------------------------------------------------------------------------------- -------------
NET ASSETS for 7,847,521 shares outstanding $ 94,586,951
- --------------------------------------------------------------------------------------------------- -------------
NET ASSETS CONSIST OF:
- ---------------------------------------------------------------------------------------------------
Paid-in capital $ 88,663,651
- ---------------------------------------------------------------------------------------------------
Net unrealized appreciation (depreciation) of investments and futures contracts 4,799,630
- ---------------------------------------------------------------------------------------------------
Accumulated undistributed net realized gain (loss) on investments and futures contracts
1,028,461
- ---------------------------------------------------------------------------------------------------
Undistributed net investment income 95,209
- --------------------------------------------------------------------------------------------------- -------------
Total Net Assets $ 94,586,951
- --------------------------------------------------------------------------------------------------- -------------
NET ASSET VALUE, Offering Price and Redemption Proceeds Per Share:
($94,586,951 / 7,847,521 shares outstanding) $12.05
- --------------------------------------------------------------------------------------------------- -------------
</TABLE>
(See Notes which are an integral part of the Financial Statements)
FEDERATED MINI-CAP FUND
(FORMERLY, MINI-CAP FUND)
STATEMENT OF OPERATIONS
SIX MONTHS ENDED APRIL 30, 1995 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<S> <C> <C>
INVESTMENT INCOME:
- ----------------------------------------------------------------------------------------------------
Dividends $ 702,634
- ----------------------------------------------------------------------------------------------------
Interest 289,862
- ---------------------------------------------------------------------------------------------------- ------------
Total investment income 992,496
- ----------------------------------------------------------------------------------------------------
EXPENSES:
- ----------------------------------------------------------------------------------------
Management fee $ 242,160
- ----------------------------------------------------------------------------------------
Directors'/Trustees' fees 1,751
- ----------------------------------------------------------------------------------------
Custodian and portfolio accounting fees 29,350
- ----------------------------------------------------------------------------------------
Transfer agent and dividend disbursing agent fees and expenses 34,299
- ----------------------------------------------------------------------------------------
Share registration costs 14,144
- ----------------------------------------------------------------------------------------
Shareholder services fee 5,046
- ----------------------------------------------------------------------------------------
Legal fees 4,452
- ----------------------------------------------------------------------------------------
Auditing fees 7,794
- ----------------------------------------------------------------------------------------
Printing and postage 15,051
- ----------------------------------------------------------------------------------------
Taxes 1,157
- ----------------------------------------------------------------------------------------
Insurance premiums 2,349
- ----------------------------------------------------------------------------------------
Miscellaneous 5,196
- ---------------------------------------------------------------------------------------- ----------
Net expenses 365,749
- ---------------------------------------------------------------------------------------------------- ------------
Net investment income 626,747
- ---------------------------------------------------------------------------------------------------- ------------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND FUTURES CONTRACTS:
- ----------------------------------------------------------------------------------------------------
Net realized gain (loss) on investments 1,101,666
- ----------------------------------------------------------------------------------------------------
Net realized gain (loss) on futures contracts 24,430
- ----------------------------------------------------------------------------------------------------
Net change in unrealized appreciation (depreciation) of investments and futures contacts
2,951,485
- ---------------------------------------------------------------------------------------------------- ------------
Net realized and unrealized gain (loss) on investments and futures contracts 4,077,581
- ---------------------------------------------------------------------------------------------------- ------------
Change in net assets resulting from operations $ 4,704,328
- ---------------------------------------------------------------------------------------------------- ------------
</TABLE>
(See Notes which are an integral part of the Financial Statements)
FEDERATED MINI-CAP FUND
(FORMERLY, MINI-CAP FUND)
STATEMENT OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SIX MONTHS
ENDED YEAR
APRIL 30, ENDED
1995 OCTOBER 31,
(UNAUDITED) 1994
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS:
- ---------------------------------------------------------------------------------
OPERATIONS--
- ---------------------------------------------------------------------------------
Net investment income $ 626,747 $ 862,785
- ---------------------------------------------------------------------------------
Net realized gain (loss) on investments and futures contracts ($1,126,096 and
$588,669 net gains, respectively, as computed for federal income tax purposes) 1,126,096 687,062
- ---------------------------------------------------------------------------------
Net change in unrealized appreciation (depreciation) of investments and futures
contracts 2,951,485 (2,252,508)
- --------------------------------------------------------------------------------- -------------- ---------------
Change in net assets resulting from operations 4,704,328 (702,661)
- --------------------------------------------------------------------------------- -------------- ---------------
DISTRIBUTIONS TO SHAREHOLDERS--
- ---------------------------------------------------------------------------------
Distributions from net investment income (582,342) (841,410)
- ---------------------------------------------------------------------------------
Distributions from net realized gains and futures contracts (588,727) (5,087,293)
- --------------------------------------------------------------------------------- -------------- ---------------
Change in net assets resulting from distributions to shareholders (1,171,069) (5,928,703)
- --------------------------------------------------------------------------------- -------------- ---------------
SHARE TRANSACTIONS--
- ---------------------------------------------------------------------------------
Proceeds from sale of Shares 39,104,697 72,777,271
- ---------------------------------------------------------------------------------
Net asset value of Shares issued to shareholders in payment of distributions
declared 367,057 1,600,835
- ---------------------------------------------------------------------------------
Cost of Shares redeemed (46,858,828) (45,444,941)
- --------------------------------------------------------------------------------- -------------- ---------------
Change in net assets from Share transactions (7,387,074) 28,933,165
- --------------------------------------------------------------------------------- -------------- ---------------
Change in net assets (3,853,815) 22,301,801
- ---------------------------------------------------------------------------------
NET ASSETS:
- ---------------------------------------------------------------------------------
Beginning of period 98,440,766 76,138,965
- --------------------------------------------------------------------------------- -------------- ---------------
End of period (including undistributed net investment income of $95,209 and
$50,804, respectively) $ 94,586,951 $ 98,440,766
- --------------------------------------------------------------------------------- -------------- ---------------
</TABLE>
(See Notes which are an integral part of the Financial Statements)
FEDERATED MINI-CAP FUND
(FORMERLY, MINI-CAP FUND)
FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
(FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD)
<TABLE>
<CAPTION>
SIX MONTHS
ENDED
APRIL 30,
1995 YEAR ENDED OCTOBER 31,
(UNAUDITED) 1994 1993 1992(A)
<S> <C> <C> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD $ 11.65 $ 12.66 $ 10.39 $ 10.00
- -----------------------------------------------------------------------
INCOME FROM INVESTMENT OPERATIONS
- -----------------------------------------------------------------------
Net investment income 0.07 0.11 0.17 0.02
- -----------------------------------------------------------------------
Net realized and unrealized gain (loss) on investments and futures
contracts 0.47 (0.23) 2.27 0.38
- ----------------------------------------------------------------------- ------------- --------- --------- -----------
Total from investment operations 0.54 (0.12) 2.44 0.40
- -----------------------------------------------------------------------
LESS DISTRIBUTIONS
- -----------------------------------------------------------------------
Distributions from net investment income (0.07) (0.11) (0.17) (0.01)
- -----------------------------------------------------------------------
Distributions from net realized gains on investments and futures
contracts (0.07) (0.78) -- --
- ----------------------------------------------------------------------- ------------- --------- --------- -----------
Total distributions (0.14) (0.89) (0.17) (0.01)
- ----------------------------------------------------------------------- ------------- --------- --------- -----------
NET ASSET VALUE, END OF PERIOD $ 12.05 $ 11.65 $ 12.66 $ 10.39
- ----------------------------------------------------------------------- ------------- --------- --------- -----------
TOTAL RETURN (B) 4.70% (0.91)% 23.73% 4.00%
- -----------------------------------------------------------------------
RATIOS TO AVERAGE NET ASSETS
- -----------------------------------------------------------------------
Expenses 0.75%(d) 0.73% 0.37% 0.00%(d)
- -----------------------------------------------------------------------
Net investment income 1.29%(d) 0.98% 1.48% 2.04%(d)
- -----------------------------------------------------------------------
Expense waiver/reimbursement (c) -- 0.11% 0.86% 0.87%(d)
- -----------------------------------------------------------------------
SUPPLEMENTAL DATA
- -----------------------------------------------------------------------
Net assets, end of period (000 omitted) $ 94,587 $ 98,441 $ 76,139 $ 7,751
- -----------------------------------------------------------------------
Portfolio turnover 6% 32% 48% 1%
- -----------------------------------------------------------------------
</TABLE>
(a) Reflects operations for the period from August 10, 1992 (date of initial
public investment) to October 31, 1992.
(b) Based on net asset value, which does not reflect the sales load or
contingent deferred sales charge, if applicable.
(c) This voluntary expense decrease is reflected in both the expense and net
investment income ratios shown above.
(d) Computed on an annualized basis.
(See Notes which are an integral part of the Financial Statements)
FEDERATED MINI-CAP FUND
(FORMERLY, MINI-CAP FUND)
NOTES TO FINANCIAL STATEMENTS
APRIL 30, 1995 (UNAUDITED)
- --------------------------------------------------------------------------------
(1) ORGANIZATION
Federated Index Trust (the "Trust") is registered under the Investment Company
Act of 1940, as amended (the "Act"), as an open-end management investment
company. The Trust consists of three diversified portfolios. The financial
statements included herein present only those of Federated 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.
Effective December 5, 1994 the Board of Trustees (the "Trustees") changed the
name of the Fund from Mini-Cap Fund to Federated Mini-Cap Fund.
(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.
INVESTMENT VALUATIONS--Listed equity securities are valued at the last sale
price reported on national securities exchanges. Unlisted securities and
short-term securities are generally valued at the prices provided by an
independent pricing service. Short-term securities with remaining
maturities of sixty days or less at the time of purchase may be valued at
amortized cost, which approximates fair market value. Futures contracts are
valued daily at the last sale price provided by the board of trade or
exchange from which they are purchased.
REPURCHASE AGREEMENTS--It is the policy of the Fund to require the
custodian bank to take possession, to have legally segregated in the
Federal Reserve Book Entry System, or to have segregated within the
custodian bank's vault, all securities held as collateral under repurchase
agreement transactions. Additionally, procedures have been established by
the Fund to monitor, on a daily basis, the market value of each repurchase
agreement's collateral to ensure that the value of collateral at least
equals the repurchase price to be paid under the repurchase agreement
transaction.
The 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 adviser to be creditworthy pursuant to the guidelines and/or
standards reviewed or established by the Trustees. Risks may
arise from the potential inability of counterparties to honor the terms of
the repurchase agreement. Accordingly, the Fund could receive less than the
repurchase price on the sale of collateral securities.
INVESTMENT INCOME, EXPENSES AND DISTRIBUTIONS--Dividend income and
distributions to shareholders are recorded on the ex-dividend date.
Interest income and expenses are accrued daily. Bond premium and discount,
if applicable, are amortized as required by the Internal Revenue Code, as
amended (the "Code").
FEDERAL TAXES--It is the Fund's policy to comply with the provisions of the
Code applicable to regulated investment companies and to distribute to
shareholders each year substantially all of its income. Accordingly, no
provisions for federal tax are necessary.
WHEN-ISSUED AND DELAYED DELIVERY TRANSACTIONS--The Fund may engage in
when-issued or delayed delivery transactions. The Fund records when-issued
securities on the trade date and maintains 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.
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 its shares, have been deferred and are being
amortized using the straight-line method not to exceed a period of five
years from the Fund's commencement date.
FUTURES CONTRACTS--Upon entering into a financial futures contract with a
broker, the Fund is required to deposit in a segregated account an amount
of cash or U.S. government securities equal to a percentage of the contract
value. The Fund agrees to receive from or to pay to the broker an amount of
cash equal to a specific dollar amount times the difference between the
closing value and the price at which the contract was made. On a daily
basis, the value of the financial 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.
Risks of entering into futures contracts include the possibility that a
change in the value of the contract may not correlate with changes in the
value of the underlying securities. Risks may also arise from the
inabilities of counterparties to perform under the terms of the contract.
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.
At April 30, 1995, the Fund had outstanding futures contracts as set out
below:
<TABLE>
<CAPTION>
NET UNREALIZED
CONTRACTS TO APPRECIATION
EXPIRATION DATE DELIVER/RECEIVE VALUE (DEPRECIATION)
<S> <C> <C> <C>
- --------------------------------------------------------------------------------------------------
1 Russell 2000 Index
June 1995 Futures $133,700 $2,315
-----------------------
Net Unrealized Appreciation (Depreciation) on Futures Contracts $2,315
-----------------------
</TABLE>
OTHER--Investment transactions are accounted for on the trade date.
(3) 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>
SIX MONTHS ENDED YEAR ENDED
APRIL 30, 1995 OCTOBER 31, 1994
<S> <C> <C>
Shares sold 3,430,477 6,201,460
- --------------------------------------------------------------------
Shares issued to shareholders in
payment of distributions declared 32,859 138,183
- --------------------------------------------------------------------
Shares redeemed (4,067,411) (3,900,247)
- -------------------------------------------------------------------- ------------ --------------------
Net change resulting from share transactions (604,075) 2,439,396
- -------------------------------------------------------------------- ------------ --------------------
</TABLE>
(4) MANAGEMENT FEE AND OTHER TRANSACTIONS WITH AFFILIATES
MANAGEMENT FEE--Federated Management, the Fund's Manager ("Manager"), receives
for its services an annual management fee equal to 0.50 of 1% of the Fund's
average daily net assets. Federated Management has entered into a sub-management
contract with ANB Investment Management and Trust Company ("Sub-Manager"). The
Manager shall pay the Sub-Manager .065 of 1% of the Fund's average daily net
assets.
SHAREHOLDER SERVICES FEE--Under the terms of a Shareholder Services Agreement
with Federated Shareholder Services ("FSS"), the Fund will pay FSS up to 0.25 of
1% of average daily net assets for the Fund for the period. This fee is to
obtain certain services for shareholders and to maintain shareholder accounts.
TRANSFER AGENT AND DIVIDEND DISBURSING AGENT FEES AND EXPENSES--Federated
Services Company ("FServ") serves as transfer and dividend disbursing agent for
the Fund. The fee is based on the size, type and number of accounts and
transactions made by shareholders.
ORGANIZATIONAL EXPENSES--Organizational expenses of $22,217 were borne initially
by the Manager. The Fund has agreed to reimburse the Manager at an annual rate
of .005 of 1% of average daily net assets for organizational expenses until
expenses initially borne by the Manager are fully reimbursed or the expiration
of five years after July 7, 1992 (the date the Fund first became effective),
whichever occurs earlier. For the six months ended April 30, 1995, the Fund paid
$0 pursuant to this agreement.
Certain of the Officers and Trustees of the Trust are Officers and Directors or
Trustees of the above companies.
(5) INVESTMENT TRANSACTIONS
Purchases and sales of investments, excluding short-term securities, for the six
months ended April 30, 1995 were as follows:
<TABLE>
<S> <C>
- ---------------------------------------------------------------------------------------------------
PURCHASES $ 10,441,179
- --------------------------------------------------------------------------------------------------- -------------
Sales $ 5,673,626
- --------------------------------------------------------------------------------------------------- -------------
</TABLE>
TRUSTEES OFFICERS
- --------------------------------------------------------------------------------
<TABLE>
<S> <C>
John F. Donahue John F. Donahue
John T. Conroy, Jr. Chairman
William J. Copeland Glen R. Johnson
J. Christopher Donahue President
James E. Dowd J. Christopher Donahue
Lawrence D. Ellis, M.D. Vice President
Edward L. Flaherty, Jr. Richard B. Fisher
Peter E. Madden Vice President
Gregor F. Meyer Edward C. Gonzales
John E. Murray, Jr. Vice President and Treasurer
Wesley W. Posvar John W. McGonigle
Marjorie P. Smuts Vice President and Secretary
David M. Taylor
Assistant Treasurer
J. Crilley Kelly
Assistant Secretary
</TABLE>
Mutual funds are not bank deposits or obligations, are not guaranteed by any
bank, and are not insured or guaranteed by the U.S. government, the Federal
Deposit Insurance Corporation, the Federal Reserve Board, or any other
government agency. Investment in mutual funds involves investment risk,
including possible loss of principal.
This report is authorized for distribution to prospective investors only when
preceded or accompanied by the fund's prospectus which contains facts
concerning its objective and policies, management fees, expenses and other
information.
