RIMCO MONUMENT FUNDS
N-30D, 1994-01-06
Previous: DREYFUS EDISON ELECTRIC INDEX FUND INC, 497, 1994-01-06
Next: MERRILL LYNCH ADJUSTABLE RATE SECURITIES FUND INC, 497, 1994-01-06




RIMCO
MONUMENT
FUNDS

Prime Money
Market Fund

U.S. Treasury
Money Market
Fund

Bond Fund

Stock Fund

SEMI-ANNUAL
REPORT
OCTOBER 31, 1993

RIGGS INVESTMENT MANAGEMENT CORP. (RIMCO)
- -----------------------------------------------------
Investment Adviser

FEDERATED SECURITIES CORP.
- -----------------------------------------------------
Distributor

1111202A (12/93)




PRESIDENT'S MESSAGE
- --------------------------------------------------------------------------------

Dear Investor:

I am pleased to present you with the Semi-Annual Report for the RIMCO Monument
Funds for the six-month period ended October 31, 1993. It contains complete
financial information, including the Investment Review and Portfolios of
Investments, for the Prime Money Market Fund, U.S. Treasury Money Market Fund,
Bond Fund, and Stock Fund.

During the period covered by this report, net assets in the RIMCO Monument Prime
Money Market Fund totaled $506.6 million. Assets in the RIMCO Monument U.S.
Treasury Money Market Fund reached $79.6 million. The RIMCO Monument Bond Fund
grew to $51.2 million, and the RIMCO Monument Stock Fund rose to $49 million.

The RIMCO Monument Funds offer you a wide range of investment opportunities to
pursue your financial goals. We thank you for your confidence and are committed
to providing you with a high level of service. As always, we welcome your
questions, comments, or suggestions.

Sincerely,

Edward C. Gonzales
President
December 15, 1993


INVESTMENT REVIEW
- --------------------------------------------------------------------------------

RIMCO MONUMENT PRIME MONEY MARKET FUND ("PRIME FUND") &
RIMCO MONUMENT U.S. TREASURY MONEY MARKET FUND ("U.S. TREASURY FUND")

During the six-month period ended October 31, 1993, the Prime Fund and U.S.
Treasury Fund maintained average maturities at the higher end of their allowable
ranges. This strategy reflected our view that the economy would remain in a slow
growth mode and that, consequently, the Federal Reserve would not be inclined to
raise short-term interest rates.

Looking forward, in the near term we expect continued steady Federal Reserve
policy. However, recent economic activity has been strengthening, which may
possibly set the stage for higher rates. We will continue to monitor the
situation closely and, if we believe a sustained increase in interest rates is
probable, may consider shortening the average maturities of the porfolios.

RIMCO MONUMENT BOND FUND ("BOND FUND")

During the past six months, the behavior of the bond market could be
characterized as a market that experienced a significant change in the shape of
the yield curve. Specifically, the yield curve flattened dramatically as
short-term rates rose 20 to 30 basis points and long-term rates fell almost 90
basis points. This shift in the curve, which resulted in a 1.2% narrowing of the
difference in yields on 2-year U.S. Treasuries and 30-year U.S. Treasuries,
produced excellent total returns for bond holders. In fact, the Merrill Lynch
Government Corporate Index produced a total return of 6.05% for the six-month
period ended October 31, 1993. On a net asset value basis, the total return for
the Bond Fund was 6.24% and a total return of 2.50% assuming the 3.5% sales
load.*

The second major shift in the bond market during this period was the apparent
end of the bull market. While it is too early to conclude definitively that the
bull market has ended and a new bear market or flat market has begun, recent
market behavior would suggest that the bull market ended in August. September
and October saw the bond market record declines in prices, and, at the time of
this report, November appears to be producing price declines as well.

In response to this shift in the bond market, the portfolio has been
repositioned in three ways. First, the average maturity has been reduced to
lessen the impact of price declines. Second, fixed coupon corporate bonds have
been reduced in the portfolio as these securities tend to underperform initially
in rising rate environments. Lastly, floating rate securities have been added to
increase yield, while reducing price volatility.

RIMCO MONUMENT STOCK FUND ("STOCK FUND")

Since the recovery began ten quarters ago, the backdrop for the major stock
market indices has remained the same; specifically, modest Gross Domestic
Product ("GDP") growth with declining long-term interest rates and
stable inflation. These economic factors have proven to be a favorable
combination for equity investments. During the past six months,
the Standard & Poor's 500** generated a total return of 7.8%.


The general market trend in place since the beginning of 1993 continued through
the six-month period ended October 31, 1993; specifically, strength in interest
rate-sensitive sectors and in capital spending. The weakness in the markets has
been concentrated in the Health Care sector, due to concern over pending
legislation, and in Consumer Staples, due to decelerating earnings growth and
profitability.

For the six-month period ended October 31, 1993, the Stock Fund generated a
total return of 12.68% on a net asset value basis and a total return of 8.73%

*Performance quoted represents past performance.  Investment
 return and principal value will fluctuate, so that an investor's

assuming the 3.5% sales load.* We maintained our sector emphasis in Finance and
Capital Goods, de-emphasizing Health Care and Consumer Staples. This strategy
benefited the Stock Fund's performance. Specific stocks which helped the
portfolio were Caterpillar, Incorporated, up 32% for the period; Chrysler
Corporation, up 36%; and CBS, Incorporated, up 35%.

While our sector emphasis did not change during this period, we increased our
exposure to the automotive industry by purchasing General Motors Corporation
common stock and Ford Motor Company convertible preferred stock, in both cases
due to accelerating earnings trends and good valuations. Further, retail stocks
had been weak, and we took that opportunity to buy shares of JC Penney. This
company has undergone a successful restructuring which has led to both sales and
earnings growth rates that are above industry averages.

During the period, we sold our common stock in First Interstate Bancorp,
realizing a 54% profit; we replaced it with shares of Wells Fargo & Company.
First Interstate's management team has done an excellent job of improving
profitability. Similarly, we believed that Wells Fargo was showing an improving
trend of reducing nonperforming assets leading to faster earnings growth.
Lastly, we sold shares of H.J. Heinz Company and Avon Products, Incorporated due
to disappointing earnings growth prospects.

Looking forward, we are optimistic about rising profits carrying into 1994.
Moreover, the stage appears to be set for continued modest GDP growth. Over the
past six months, major European and Asian interest rates declined. Next year,
economic recovery should start overseas. Looking ahead, we believe your Stock
Fund will continue to benefit from our focus on careful stock selection, good
value, and positive earnings growth.

- ---------
 * 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.

** This index is unmanaged.


RIMCO MONUMENT PRIME MONEY MARKET FUND
PORTFOLIO OF INVESTMENTS
OCTOBER 31, 1993
(UNAUDITED)
- --------------------------------------------------------------------------------

<TABLE>
<CAPTION>
  PRINCIPAL
    AMOUNT                                                                                             VALUE
<C>             <S>                                                                               <C>
- --------------  --------------------------------------------------------------------------------  ---------------
SHORT-TERM U.S. GOVERNMENT OBLIGATIONS--24.2%
- ------------------------------------------------------------------------------------------------
                *FEDERAL FARM CREDIT BANK--0.4%
                --------------------------------------------------------------------------------
$    2,125,000  3.30%, 1/3/94                                                                     $     2,125,122
                --------------------------------------------------------------------------------  ---------------
                *FEDERAL HOME LOAN BANK--0.4%
                --------------------------------------------------------------------------------
     2,000,000  3.078%, 8/26/94                                                                         2,000,000
                --------------------------------------------------------------------------------  ---------------
                *FEDERAL NATIONAL MORTGAGE ASSOCIATION--0.4%
                --------------------------------------------------------------------------------
     2,000,000  3.40%, 1/16/94                                                                          2,003,979
                --------------------------------------------------------------------------------  ---------------
                *STUDENT LOAN MARKETING ASSOCIATION--15.3%
                --------------------------------------------------------------------------------
    73,981,000  3.37%-3.85%, 11/2/93                                                                   74,282,113
                --------------------------------------------------------------------------------
       250,000  3.50%, 11/20/93                                                                           250,728
                --------------------------------------------------------------------------------
     2,000,000  3.525%, 11/27/93                                                                        2,010,231
                --------------------------------------------------------------------------------
       800,000  3.55%, 1/23/94                                                                            805,497
                --------------------------------------------------------------------------------  ---------------
                Total                                                                                  77,348,569
                --------------------------------------------------------------------------------  ---------------
                U.S. TREASURY BILLS--7.7%
                --------------------------------------------------------------------------------
    40,000,000  4/14/94-10/20/94                                                                       39,253,539
                --------------------------------------------------------------------------------  ---------------
                TOTAL SHORT-TERM U.S. GOVERNMENT OBLIGATIONS                                          122,731,209
                --------------------------------------------------------------------------------  ---------------
CORPORATE BONDS--37.9%
- ------------------------------------------------------------------------------------------------
                BANKING--5.2%
                --------------------------------------------------------------------------------
       500,000  BankAmerica Corp., 8.36%, 3/18/94                                                         508,850
                --------------------------------------------------------------------------------
     9,000,000  Bank of Delaware, 3.30%, 6/10/94                                                        8,987,017
                --------------------------------------------------------------------------------
     9,500,000  Fleet Mortgage Group, Inc., 3.2375%, 9/30/94                                            9,495,503
                --------------------------------------------------------------------------------
     2,000,000  International Bank for Reconstruction and Development,
                9.375%, 2/1/94                                                                          2,028,092
                --------------------------------------------------------------------------------
     5,150,000  Security Pacific Corp., 6.11%-9.10%, 1/15/94-4/29/94                                    5,233,177
                --------------------------------------------------------------------------------  ---------------
                Total                                                                                  26,252,639
                --------------------------------------------------------------------------------  ---------------
                FINANCE--11.4%
                --------------------------------------------------------------------------------
     4,000,000  Alpha Management, Inc., 3.13%, 1/20/94                                                  4,000,000
                --------------------------------------------------------------------------------
    10,000,000  American Express Credit Corp., 3.375%, 7/27/94                                          9,998,449
                --------------------------------------------------------------------------------
     5,000,000  American General Finance Corp., 9.25%, 7/1/94                                           5,186,595
                --------------------------------------------------------------------------------
     4,735,000  Associates Corp. of North America, 10.00%-12.75%,
                4/15/94-8/15/94                                                                         5,026,277
                --------------------------------------------------------------------------------
    11,000,000  Heller Financial Corp., 3.65%-8.375%, 11/28/93-6/15/94                                 11,041,267
                --------------------------------------------------------------------------------
    11,904,000  IBM International Finance, 3.25%-7.75%, 3/17/94-5/11/94                                11,919,556
                --------------------------------------------------------------------------------
     1,000,000  ITT Corp., 9.64%, 5/25/94                                                               1,033,973
                --------------------------------------------------------------------------------
     5,463,000  Philip Morris Cos., Inc., 0.01%-8.45%, 12/14/93-6/8/94                                  5,484,056
                --------------------------------------------------------------------------------
     4,000,000  Southern CA Home Finance, 3.69%, 3/1/94                                                 4,000,000
                --------------------------------------------------------------------------------  ---------------
                Total                                                                                  57,690,173
                --------------------------------------------------------------------------------  ---------------
                FINANCE--AUTOMOTIVE--4.5%
                --------------------------------------------------------------------------------
     8,100,000  Ford Motor Co., 7.50%-10.00%, 3/1/94-5/25/94                                            8,309,730
                --------------------------------------------------------------------------------
    13,300,000  General Motors Corp., 8.40%-9.40%, 2/22/94-6/8/94                                      13,659,861
                --------------------------------------------------------------------------------
     1,000,000  U.S. Leasing, 8.15%, 6/15/94                                                            1,027,244
                --------------------------------------------------------------------------------  ---------------
                Total                                                                                  22,996,835
                --------------------------------------------------------------------------------  ---------------
                FINANCE--COMMERCIAL--2.5%
                --------------------------------------------------------------------------------
    10,175,000  CIT Group, 3.25%-8.75%, 12/15/93-12/31/93                                              10,201,519
                --------------------------------------------------------------------------------
     2,334,000  General Electric Capital Corp., 8.25%-9.05%, 2/8/94-7/3/94                              2,367,599
                --------------------------------------------------------------------------------  ---------------
                Total                                                                                  12,569,118
                --------------------------------------------------------------------------------  ---------------
                FINANCE-EQUIPMENT--2.3%
                --------------------------------------------------------------------------------
    11,150,000  International Lease Finance Corp., 7.20%-8.20%, 4/15/94-10/1/94                        11,492,841
                --------------------------------------------------------------------------------  ---------------
                FINANCE-RETAIL--1.1%
                --------------------------------------------------------------------------------
     5,700,000  Commercial Credit Group Inc., 9.15%, 11/1/93                                            5,700,000
                --------------------------------------------------------------------------------  ---------------
                FOOD & BEVERAGE--1.2%
                --------------------------------------------------------------------------------
     6,295,000  Pepsico Inc., 0.01%-7.875%, 1/1/94-8/1/94                                               6,365,442
                --------------------------------------------------------------------------------  ---------------
                INSURANCE--2.0%
                --------------------------------------------------------------------------------
    10,000,000  Travelers Corp., 3.64%, 11/29/93                                                       10,000,000
                --------------------------------------------------------------------------------  ---------------
                TELECOMMUNICATIONS--0.6%
                --------------------------------------------------------------------------------
     2,000,000  AT&T Corp., 5.19%, 7/1/94                                                               2,023,403
                --------------------------------------------------------------------------------
     1,050,000  Xerox Corp., 9.125%, 6/15/94                                                            1,085,853
                --------------------------------------------------------------------------------  ---------------
                Total                                                                                   3,109,256
                --------------------------------------------------------------------------------  ---------------
                UTILITIES--0.2%
                --------------------------------------------------------------------------------
       795,000  Carolina Power & Light Co., 8.125%, 11/15/93                                              796,211
                --------------------------------------------------------------------------------  ---------------
                MISCELLANEOUS--6.9%
                --------------------------------------------------------------------------------
     5,000,000  Colorado Student Obligation Bond, 3.90%, 7/1/94                                         5,000,000
                --------------------------------------------------------------------------------
     2,500,000  Durham, NC, Participation Certificates, 3.18%, 11/3/93                                  2,500,000
                --------------------------------------------------------------------------------
    10,300,000  New Orleans, LA, Aviation Brd., 3.28%, 11/5/93                                         10,300,000
                --------------------------------------------------------------------------------
     8,000,000  Newport Mesa, CA, School District, 4.50%, 6/15/94                                       8,037,555
                --------------------------------------------------------------------------------
     5,000,000  Placentia Yorba, 3.72%, 8/26/94                                                         5,000,000
                --------------------------------------------------------------------------------
     4,000,000  San Bernardino County, CA, 3.938%, 1/29/94                                              4,000,000
                --------------------------------------------------------------------------------  ---------------
                Total                                                                                  34,837,555
                --------------------------------------------------------------------------------  ---------------
                TOTAL CORPORATE BONDS                                                                 191,810,070
                --------------------------------------------------------------------------------  ---------------
**REPURCHASE AGREEMENTS--40.0%
- ------------------------------------------------------------------------------------------------
    81,968,000  Citicorp Securities Markets Inc., 2.94%, dated 10/29/93, due 11/1/93                   81,968,000
                --------------------------------------------------------------------------------
    80,220,000  Goldman, Sachs & Co., 2.90%, dated 10/29/93, due 11/1/93                               80,220,000
                --------------------------------------------------------------------------------
    38,000,000  Morgan Stanley & Co., Inc., 2.90%, dated 10/29/93, due 11/1/93                         38,000,000
                --------------------------------------------------------------------------------  ---------------
                TOTAL REPURCHASE AGREEMENTS (NOTE 2B)                                                 200,188,000
                --------------------------------------------------------------------------------  ---------------
                TOTAL INVESTMENTS (AT AMORTIZED COST)                                             $   514,729,279\
                --------------------------------------------------------------------------------  ---------------
</TABLE>

 * Current rate and next demand date shown.

** The repurchase agreements are fully collateralized by U.S. government and/or
   agency obligations based on market prices at the date of the portfolio.

\ Also represents cost for federal tax purposes.

Note: The categories of investments are shown as a percentage of net assets
($506,613,449) at
      October 31, 1993.

(See Notes which are an integral part of the Financial Statements)

RIMCO MONUMENT PRIME MONEY MARKET FUND
STATEMENT OF ASSETS AND LIABILITIES
OCTOBER 31, 1993
(UNAUDITED)
- --------------------------------------------------------------------------------

<TABLE>
<S>                                                                              <C>              <C>
ASSETS:
- -------------------------------------------------------------------------------
Investments in repurchase agreements                                             $   200,188,000
- -------------------------------------------------------------------------------
Investments in securities                                                            314,541,279
- -------------------------------------------------------------------------------  ---------------
     Total investments, at amortized cost and value (Notes 2A and 2B)                             $   514,729,279
- ------------------------------------------------------------------------------------------------
Cash                                                                                                          959
- ------------------------------------------------------------------------------------------------
Interest receivable                                                                                     3,044,208
- ------------------------------------------------------------------------------------------------
Deferred expenses (Note 2F)                                                                                22,115
- ------------------------------------------------------------------------------------------------  ---------------
     Total assets                                                                                     517,796,561
- ------------------------------------------------------------------------------------------------
LIABILITIES:
- ------------------------------------------------------------------------------------------------
Payable for investments purchased                                                      9,862,558
- -------------------------------------------------------------------------------
Dividends payable                                                                      1,281,220
- -------------------------------------------------------------------------------
Accrued expenses                                                                          39,334
- -------------------------------------------------------------------------------  ---------------
     Total liabilities                                                                                 11,183,112
- ------------------------------------------------------------------------------------------------  ---------------
NET ASSETS for 507,099,517 shares of beneficial interest outstanding                              $   506,613,449
- ------------------------------------------------------------------------------------------------  ---------------
NET ASSETS CONSIST OF:
- ------------------------------------------------------------------------------------------------
Paid-in capital                                                                                   $   507,099,517
- ------------------------------------------------------------------------------------------------
Accumulated net realized loss on investments                                                             (486,068)
- ------------------------------------------------------------------------------------------------  ---------------
     Total                                                                                        $   506,613,449
- ------------------------------------------------------------------------------------------------  ---------------
NET ASSET VALUE, Offering Price, and Redemption Price Per Share:
($506,613,449 / 507,099,517 shares of beneficial interest outstanding)                                      $1.00
- ------------------------------------------------------------------------------------------------  ---------------
(See Notes which are an integral part of the Financial Statements)
</TABLE>


RIMCO MONUMENT PRIME MONEY MARKET FUND
]STATEMENT OF OPERATIONS
SIX MONTHS ENDED OCTOBER 31, 1993
(UNAUDITED)
- --------------------------------------------------------------------------------

<TABLE>
<S>                                                                                   <C>            <C>
INVESTMENT INCOME:
- ---------------------------------------------------------------------------------------------------
Interest income (Note 2C)                                                                            $   5,556,849
- ---------------------------------------------------------------------------------------------------
EXPENSES:
- ---------------------------------------------------------------------------------------------------
Investment advisory fee (Note 5)                                                      $     797,194
- ------------------------------------------------------------------------------------
Trustees' fees                                                                                2,605
- ------------------------------------------------------------------------------------
Administrative personnel and services fee (Note 5)                                          212,710
- ------------------------------------------------------------------------------------
Portfolio accounting, transfer and dividend disbursing agent fees
(Note 5)                                                                                     48,079
- ------------------------------------------------------------------------------------
Fund share registration costs                                                                19,366
- ------------------------------------------------------------------------------------
Auditing fees                                                                                 8,645
- ------------------------------------------------------------------------------------
Legal fees                                                                                    3,002
- ------------------------------------------------------------------------------------
Printing and postage                                                                          3,915
- ------------------------------------------------------------------------------------
Insurance premiums                                                                            4,406
- ------------------------------------------------------------------------------------
Miscellaneous                                                                                 8,629
- ------------------------------------------------------------------------------------  -------------
     Total expenses                                                                       1,108,551
- ------------------------------------------------------------------------------------
Deduct--Waiver of investment advisory fee (Note 5)                                          411,807
- ------------------------------------------------------------------------------------  -------------
Net expenses                                                                                               696,744
- ---------------------------------------------------------------------------------------------------  -------------
Net investment income                                                                                $   4,860,105
- ---------------------------------------------------------------------------------------------------  -------------
(See Notes which are an integral part of the Financial Statements)
</TABLE>


RIMCO MONUMENT PRIME MONEY MARKET FUND
STATEMENT OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------

<TABLE>
<CAPTION>
                                                                                      YEAR ENDED APRIL 30,
<S>                                                                            <C>               <C>
                                                                                    1994*              1993
INCREASE (DECREASE) IN NET ASSETS:
- -----------------------------------------------------------------------------
OPERATIONS--
- -----------------------------------------------------------------------------
Net investment income                                                          $      4,860,105  $      9,418,486
- -----------------------------------------------------------------------------
Net realized gain (loss) on investment transactions--($3,539 net gain and
$7,270 net loss, respectively as computed for federal tax purposes) (Note 2D)             3,539          (489,607)
- -----------------------------------------------------------------------------  ----------------  ----------------
     Change in net assets resulting from operations                                   4,863,644         8,928,879
- -----------------------------------------------------------------------------  ----------------  ----------------
DISTRIBUTIONS TO SHAREHOLDERS (NOTE 3)--
- -----------------------------------------------------------------------------
Dividends to shareholders from net investment income                                 (4,860,105)       (9,418,486)
- -----------------------------------------------------------------------------  ----------------  ----------------
FUND SHARE (PRINCIPAL) TRANSACTIONS (NOTE 4)--
- -----------------------------------------------------------------------------
Proceeds from sales of shares                                                       640,621,507       994,268,793
- -----------------------------------------------------------------------------
Net asset value of shares issued to shareholders electing
to receive payment of dividends in Fund shares                                          218,692           217,953
- -----------------------------------------------------------------------------
Cost of shares redeemed                                                            (411,496,979)     (828,059,563)
- -----------------------------------------------------------------------------  ----------------  ----------------
     Change in net assets from Fund share transactions                              229,343,220       166,427,183
- -----------------------------------------------------------------------------  ----------------  ----------------
          Change in net assets                                                      229,346,759       165,937,576
- -----------------------------------------------------------------------------
NET ASSETS:
- -----------------------------------------------------------------------------
Beginning of period                                                                 277,266,690       111,329,114
- -----------------------------------------------------------------------------  ----------------  ----------------
End of period                                                                  $    506,613,449  $    277,266,690
- -----------------------------------------------------------------------------  ----------------  ----------------
* Six months ended October 31, 1993 (unaudited).
(See Notes which are an integral part of the Financial Statements)
</TABLE>


RIMCO MONUMENT PRIME MONEY MARKET FUND
FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
(FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD)

<TABLE>
<CAPTION>
                                                                                 YEAR ENDED APRIL 30,
<S>                                                                         <C>        <C>        <C>
                                                                              1994*      1993      1992**
NET ASSET VALUE, BEGINNING OF PERIOD                                        $    1.00  $    1.00  $    1.00
- --------------------------------------------------------------------------
INCOME FROM INVESTMENT OPERATIONS
- --------------------------------------------------------------------------
Net investment income                                                            0.02       0.04       0.03
- --------------------------------------------------------------------------  ---------  ---------  ---------
LESS DISTRIBUTIONS
- --------------------------------------------------------------------------
Dividends to shareholders from net investment income                           (0.02)     (0.04)     (0.03)
- --------------------------------------------------------------------------  ---------  ---------  ---------
NET ASSET VALUE, END OF PERIOD                                              $    1.00  $    1.00  $    1.00
- --------------------------------------------------------------------------  ---------  ---------  ---------
TOTAL RETURN***                                                                 1.53%      3.55%      2.90%
- --------------------------------------------------------------------------
RATIOS TO AVERAGE NET ASSETS
- --------------------------------------------------------------------------
Expenses                                                                     0.44%(a)      0.41%   0.27%(a)
- --------------------------------------------------------------------------
Net investment income                                                        3.05%(a)      3.46%   4.56%(a)
- --------------------------------------------------------------------------
Expense waiver/reimbursement (b)                                                0.26%      0.31%      0.47%
- --------------------------------------------------------------------------
SUPPLEMENTAL DATA
- --------------------------------------------------------------------------
Net assets, end of period (000 omitted)                                      $506,613   $277,267   $111,329
- --------------------------------------------------------------------------
</TABLE>

  * Six months ended October 31, 1993 (unaudited).

 ** Reflects operations for the period from September 17, 1991 (date of initial
    public investment) to April 30, 1992.

*** Based on net asset value which does not reflect the sales load or redemption
    fee, if applicable.

 (a) Computed on an annualized basis.

 (b) This expense decrease is reflected in both the expense and net investment
     income ratios shown above (Note 5).

(See Notes which are an integral part of the Financial Statements)



RIMCO MONUMENT U.S. TREASURY MONEY MARKET FUND

PORTFOLIO OF INVESTMENTS
OCTOBER 31, 1993
(UNAUDITED)
- --------------------------------------------------------------------------------

<TABLE>
<CAPTION>
  PRINCIPAL
    AMOUNT                                                                                             VALUE
<C>             <S>                                                                                <C>
- --------------  ---------------------------------------------------------------------------------  --------------
UNITED STATES TREASURY OBLIGATIONS--52.4%
- -------------------------------------------------------------------------------------------------
                U.S. TREASURY BILLS
                ---------------------------------------------------------------------------------
$   18,020,000  11/12/93                                                                           $   18,003,568
                ---------------------------------------------------------------------------------
    22,000,000  3/24/94                                                                                21,734,775
                ---------------------------------------------------------------------------------
     2,000,000  4/28/94                                                                                 1,968,652
                ---------------------------------------------------------------------------------  --------------
                TOTAL UNITED STATES TREASURY OBLIGATIONS                                               41,706,995
                ---------------------------------------------------------------------------------  --------------
*REPURCHASE AGREEMENTS--47.8%
- -------------------------------------------------------------------------------------------------
    11,355,000  Carroll McEntee, 2.9%, dated 10/29/93, due 11/1/93                                     11,355,000
                ---------------------------------------------------------------------------------
    13,324,000  Fuji Securities, 2.9%, dated 10/29/93, due 11/1/93                                     13,324,000
                ---------------------------------------------------------------------------------
    13,323,000  Morgan Stanley, 2.9%, dated 10/29/93, due 11/1/93                                      13,323,000
                ---------------------------------------------------------------------------------  --------------
                TOTAL REPURCHASE AGREEMENTS (NOTE 2B)                                                  38,002,000
                ---------------------------------------------------------------------------------  --------------
                TOTAL INVESTMENTS, AT AMORTIZED COST                                               $   79,708,995\
                ---------------------------------------------------------------------------------  --------------
</TABLE>

* The repurchase agreements are fully collateralized by U.S. government and/or
  agency obligations based on market prices at the date of the portfolio.

\ Also represents cost for federal tax purposes.

Note: The categories of investments are shown as a percentage of net assets
($79,560,916) at
      October 31, 1993.

(See Notes which are an integral part of the Financial Statements)


RIMCO MONUMENT U.S. TREASURY MONEY MARKET FUND
STATEMENT OF ASSETS AND LIABILITIES
OCTOBER 31, 1993
(UNAUDITED)
- --------------------------------------------------------------------------------

<TABLE>
<S>                                                                                <C>             <C>
ASSETS:
- ---------------------------------------------------------------------------------
Investments in repurchase agreements                                               $   38,002,000
- ---------------------------------------------------------------------------------
Investments in securities                                                              41,706,995
- ---------------------------------------------------------------------------------  --------------
     Total investments, at amortized cost and value (Notes 2A and 2B)                              $   79,708,995
- -------------------------------------------------------------------------------------------------
Cash                                                                                                          766
- -------------------------------------------------------------------------------------------------
Interest receivable                                                                                         9,184
- -------------------------------------------------------------------------------------------------
Deferred expenses (Note 2F)                                                                                11,439
- -------------------------------------------------------------------------------------------------  --------------
     Total assets                                                                                      79,730,384
- -------------------------------------------------------------------------------------------------
LIABILITIES:
- -------------------------------------------------------------------------------------------------
Dividends payable                                                                         167,061
- ---------------------------------------------------------------------------------
Accrued expenses                                                                            2,407
- ---------------------------------------------------------------------------------  --------------
     Total liabilities                                                                                    169,468
- -------------------------------------------------------------------------------------------------  --------------
NET ASSETS for 79,560,916 shares of beneficial interest outstanding                                $   79,560,916
- -------------------------------------------------------------------------------------------------  --------------
NET ASSET VALUE, Offering Price, and Redemption Price Per Share:
($79,560,916 / 79,560,916 shares of beneficial interest outstanding)                                        $1.00
- -------------------------------------------------------------------------------------------------  --------------
(See Notes which are an integral part of the Financial Statements)
</TABLE>


RIMCO MONUMENT U.S. TREASURY MONEY MARKET FUND
]STATEMENT OF OPERATIONS
SIX MONTHS ENDED OCTOBER 31, 1993
(UNAUDITED)
- --------------------------------------------------------------------------------

<TABLE>
<S>                                                                                     <C>          <C>
INVESTMENT INCOME:
- ---------------------------------------------------------------------------------------------------
Interest income (Note 2C)                                                                            $   2,058,600
- ---------------------------------------------------------------------------------------------------
EXPENSES:
- ---------------------------------------------------------------------------------------------------
Investment advisory fee (Note 5)                                                        $   332,026
- --------------------------------------------------------------------------------------
Trustees' fees                                                                                1,325
- --------------------------------------------------------------------------------------
Administrative personnel and services fee (Note 5)                                           89,020
- --------------------------------------------------------------------------------------
Portfolio accounting, transfer and dividend disbursing agent fees (Note 5)                   15,338
- --------------------------------------------------------------------------------------
Fund share registration costs                                                                 7,119
- --------------------------------------------------------------------------------------
Auditing fees                                                                                 3,874
- --------------------------------------------------------------------------------------
Legal fees                                                                                    1,997
- --------------------------------------------------------------------------------------
Printing and postage                                                                          4,157
- --------------------------------------------------------------------------------------
Insurance premiums                                                                            1,987
- --------------------------------------------------------------------------------------
Miscellaneous                                                                                 1,353
- --------------------------------------------------------------------------------------  -----------
     Total expenses                                                                         458,196
- --------------------------------------------------------------------------------------
Deduct--Waiver of investment advisory fee (Note 5)                                           92,967
- --------------------------------------------------------------------------------------  -----------
Net expenses                                                                                               365,229
- ---------------------------------------------------------------------------------------------------  -------------
          Net investment income                                                                      $   1,693,371
- ---------------------------------------------------------------------------------------------------  -------------
(See Notes which are an integral part of the Financial Statements)
</TABLE>


RIMCO MONUMENT U.S. TREASURY MONEY MARKET FUND
STATEMENT OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------

<TABLE>
<CAPTION>
                                                                                      YEAR ENDED APRIL 30,
<S>                                                                            <C>               <C>
                                                                                    1994*              1993
INCREASE (DECREASE) IN NET ASSETS:
- -----------------------------------------------------------------------------
OPERATIONS--
- -----------------------------------------------------------------------------
Net investment income                                                          $      1,693,371  $      2,045,718
- -----------------------------------------------------------------------------  ----------------  ----------------
DISTRIBUTIONS TO SHAREHOLDERS (NOTE 3)--
- -----------------------------------------------------------------------------
Dividends to shareholders from net investment income                                 (1,693,371)       (2,045,718)
- -----------------------------------------------------------------------------  ----------------  ----------------
FUND SHARE (PRINCIPAL) TRANSACTIONS (NOTE 4)--
- -----------------------------------------------------------------------------
Proceeds from sales of shares                                                       233,193,548       184,959,305
- -----------------------------------------------------------------------------
Net asset value of shares issued to shareholders electing
to receive payment of dividends in Fund shares                                           30,587            40,286
- -----------------------------------------------------------------------------
Cost of shares redeemed                                                            (240,538,647)     (149,163,176)
- -----------------------------------------------------------------------------  ----------------  ----------------
     Change in net assets from Fund share transactions                               (7,314,512)       35,836,415
- -----------------------------------------------------------------------------  ----------------  ----------------
          Change in net assets                                                       (7,314,512)       35,836,415
- -----------------------------------------------------------------------------
NET ASSETS:
- -----------------------------------------------------------------------------
Beginning of period                                                                  86,875,428        51,039,013
- -----------------------------------------------------------------------------  ----------------  ----------------
End of period                                                                  $     79,560,916  $     86,875,428
- -----------------------------------------------------------------------------  ----------------  ----------------
* Six months ended October 31, 1993 (unaudited).
(See Notes which are an integral part of the Financial Statements)
</TABLE>


RIMCO MONUMENT U.S. TREASURY MONEY MARKET FUND

FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
(FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD)

<TABLE>
<CAPTION>
                                                                                 YEAR ENDED APRIL 30,
<S>                                                                         <C>        <C>        <C>
                                                                              1994*      1993      1992**
NET ASSET VALUE, BEGINNING OF PERIOD                                        $    1.00  $    1.00  $    1.00
- --------------------------------------------------------------------------
INCOME FROM INVESTMENT OPERATIONS
- --------------------------------------------------------------------------
Net investment income                                                            0.01       0.03       0.02
- --------------------------------------------------------------------------  ---------  ---------  ---------
LESS DISTRIBUTIONS
- --------------------------------------------------------------------------
Dividends to shareholders from net investment income                           (0.01)     (0.03)     (0.02)
- --------------------------------------------------------------------------  ---------  ---------  ---------
NET ASSET VALUE, END OF PERIOD                                              $    1.00  $    1.00  $    1.00
- --------------------------------------------------------------------------  ---------  ---------  ---------
TOTAL RETURN***                                                                 1.29%      2.92%      2.37%
- --------------------------------------------------------------------------
RATIOS TO AVERAGE NET ASSETS
- --------------------------------------------------------------------------
Expenses                                                                     0.55%(a)      0.52%   0.41%(a)
- --------------------------------------------------------------------------
Net investment income                                                        2.55%(a)      2.86%   4.08%(a)
- --------------------------------------------------------------------------
Expense waiver/reimbursement (b)                                                0.14%      0.29%      0.42%
- --------------------------------------------------------------------------
SUPPLEMENTAL DATA
- --------------------------------------------------------------------------
Net assets, end of period (000 omitted)                                       $79,561    $86,875    $51,039
- --------------------------------------------------------------------------
</TABLE>

  * Six months ended October 31, 1993 (unaudited).

 ** Reflects operations for the period from October 8, 1991 (date of initial
    public investment) to April 30, 1992. For the period from June 3, 1991
    (start of business) to October 7, 1991, net investment income aggregating
    $0.02 per share ($2,003) was distributed to Federated Administrative
    Services.

*** Based on net asset value which does not reflect the sales load or redemption
    fee, if applicable.

 (a) Computed on an annualized basis.

 (b) This expense decrease is reflected in both the expense and net investment
     income ratios shown above (Note 5).

(See Notes which are an integral part of the Financial Statements)



RIMCO MONUMENT BOND FUND
PORTFOLIO OF INVESTMENTS
OCTOBER 31, 1993
(UNAUDITED)
- --------------------------------------------------------------------------------

<TABLE>
<CAPTION>
  PRINCIPAL
   AMOUNT                                                                                               VALUE
<C>            <S>                                                                                  <C>
- -------------  -----------------------------------------------------------------------------------  --------------
CORPORATE BONDS--28.2%
- --------------------------------------------------------------------------------------------------
               BANKING--3.0%
               -----------------------------------------------------------------------------------
$     510,000  Bank of Nova Scotia, 6.875%, 5/1/2003                                                $      535,622
               -----------------------------------------------------------------------------------
      800,000  Security Pacific National Bank, 10.45%, 5/8/2001                                          1,015,393
               -----------------------------------------------------------------------------------  --------------
               Total                                                                                     1,551,015
               -----------------------------------------------------------------------------------  --------------
               CONSUMER PRODUCTS--3.4%
               -----------------------------------------------------------------------------------
      610,000  American Brands Inc., 8.50%, 10/1/2003                                                      717,549
               -----------------------------------------------------------------------------------
      890,000  Philip Morris Co., Inc., 8.25%, 10/15/2003                                                1,032,801
               -----------------------------------------------------------------------------------  --------------
               Total                                                                                     1,750,350
               -----------------------------------------------------------------------------------  --------------
               FINANCE--11.5%
               -----------------------------------------------------------------------------------
      860,000  American General Finance Corp., 7.15%, 5/15/97                                              920,999
               -----------------------------------------------------------------------------------
      885,000  Ford Motor Credit Corp., 9.00%, 8/15/98                                                   1,012,140
               -----------------------------------------------------------------------------------
      475,000  Heller Financial Corp., 6.50%, 5/15/2000                                                    495,630
               -----------------------------------------------------------------------------------
      925,000  IBM Credit Corp., 3.25%, 5/11/94                                                            922,595
               -----------------------------------------------------------------------------------
      470,000  International Lease Finance Corp., 5.75%, 3/15/98                                           479,081
               -----------------------------------------------------------------------------------
      525,000  ITT Financial Corp., 10.125%, 4/5/99                                                        636,227
               -----------------------------------------------------------------------------------
      865,000  Primerica Corp., 6.125%, 6/15/2000                                                          895,750
               -----------------------------------------------------------------------------------
      500,000  United States Leasing Int., 6.625%, 5/15/2003                                               521,320
               -----------------------------------------------------------------------------------  --------------
               Total                                                                                     5,883,742
               -----------------------------------------------------------------------------------  --------------
               INDUSTRIAL MANAGEMENT--1.9%
               -----------------------------------------------------------------------------------
      875,000  Hanson PLC, 7.375%, 1/15/2003                                                               948,605
               -----------------------------------------------------------------------------------  --------------
               INSURANCE--1.8%
               -----------------------------------------------------------------------------------
      865,000  Allstate Corp., 6.75%, 6/15/2003                                                            906,675
               -----------------------------------------------------------------------------------  --------------
               OFFICE EQUIPMENT--1.8%
               -----------------------------------------------------------------------------------
     ]890,000  IBM, 6.375%, 6/15/2000                                                                      916,708
               -----------------------------------------------------------------------------------  --------------
               TELEPHONE SERVICE--1.8%
               -----------------------------------------------------------------------------------
      840,000  U.S. West Capital Funding Inc., 8.00%, 10/15/96                                             909,854
               -----------------------------------------------------------------------------------  --------------
               UTILITIES--3.0%
               -----------------------------------------------------------------------------------
      515,000  Alabama Power Co., 6.75%, 2/1/2003                                                          542,413
               -----------------------------------------------------------------------------------
      485,000  Florida Power & Light, 6.625%, 2/1/2003                                                     509,017
               -----------------------------------------------------------------------------------
      465,000  SCE Capital, 7.375%, 12/15/2003                                                             504,641
               -----------------------------------------------------------------------------------  --------------
               Total                                                                                     1,556,071
               -----------------------------------------------------------------------------------  --------------
               TOTAL CORPORATE BONDS (IDENTIFIED COST, $14,137,215)                                     14,423,020
               -----------------------------------------------------------------------------------  --------------
GOVERNMENT BONDS--67.5%
- --------------------------------------------------------------------------------------------------
               UNITED STATES TREASURY SECURITIES--63.7%
               -----------------------------------------------------------------------------------
   30,600,000  U.S. Treasury Notes, 3.875%-7.50%, 9/30/95-2/15/2023                                     32,617,921
               -----------------------------------------------------------------------------------  --------------
               UNITED STATES GOVERNMENT AGENCIES--3.8%
               -----------------------------------------------------------------------------------
      450,000  Federal Home Loan Mortgage Corp., 6.16%, 3/29/2000                                          472,612
               -----------------------------------------------------------------------------------
      525,000  Federal Home Loan Mortgage Corp., 7.12%, 1/22/2003                                          571,967
               -----------------------------------------------------------------------------------
      880,000  Ontario Prov. CDA, 6.125%, 6/28/2000                                                        903,012
               -----------------------------------------------------------------------------------  --------------
               Total                                                                                     1,947,591
               -----------------------------------------------------------------------------------  --------------
               TOTAL GOVERNMENT BONDS (IDENTIFIED COST, $34,498,617)                                    34,565,512
               -----------------------------------------------------------------------------------  --------------
*REPURCHASE AGREEMENT--2.7%
- --------------------------------------------------------------------------------------------------
$   1,363,000  Morgan Stanley, 2.90%, dated 10/29/93, due 11/1/93
               (at amortized cost) (Note 2B)                                                        $    1,363,000
               -----------------------------------------------------------------------------------  --------------
               TOTAL INVESTMENTS (IDENTIFIED COST, $49,998,832)                                     $   50,351,532\
               -----------------------------------------------------------------------------------  --------------
</TABLE>

* 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 cost for federal tax purposes amounts to $49,998,832. The net unrealized
  appreciation of investments on a federal tax basis amounts to $352,700, which
  is comprised of $464,448 appreciation and $111,748 depreciation at October 31,
  1993.

Note: The categories of investments are shown as a percentage of net assets
($51,243,828) at
      October 31, 1993.

(See Notes which are an integral part of the Financial Statements)


RIMCO MONUMENT BOND FUND
STATEMENT OF ASSETS AND LIABILITIES
OCTOBER 31, 1993
(UNAUDITED)
- --------------------------------------------------------------------------------

<TABLE>
<S>                                                                                    <C>          <C>
ASSETS:
- --------------------------------------------------------------------------------------------------
Investments in securities, at value (Note 2A and 2B)
(identified and tax cost, $49,998,832)                                                              $   50,351,532
- --------------------------------------------------------------------------------------------------
Cash                                                                                                           825
- --------------------------------------------------------------------------------------------------
Interest receivable                                                                                        949,748
- --------------------------------------------------------------------------------------------------
Receivable for Fund shares sold                                                                            187,870
- --------------------------------------------------------------------------------------------------
Deferred expense (Note 2F)                                                                                  11,255
- --------------------------------------------------------------------------------------------------  --------------
     Total assets                                                                                       51,501,230
- --------------------------------------------------------------------------------------------------
LIABILITIES:
- --------------------------------------------------------------------------------------------------
Dividends payable                                                                      $   204,470
- -------------------------------------------------------------------------------------
Payable for Fund shares redeemed                                                            21,981
- -------------------------------------------------------------------------------------
Accrued expenses                                                                            30,951
- -------------------------------------------------------------------------------------  -----------
     Total liabilities                                                                                     257,402
- --------------------------------------------------------------------------------------------------  --------------
NET ASSETS for 4,761,769 shares of beneficial interest outstanding                                  $   51,243,828
- --------------------------------------------------------------------------------------------------  --------------
NET ASSETS CONSIST OF:
- --------------------------------------------------------------------------------------------------
Paid-in capital                                                                                     $   48,187,152
- --------------------------------------------------------------------------------------------------
Net unrealized appreciation of investments                                                                 352,700
- --------------------------------------------------------------------------------------------------
Accumulated net realized gain on investments                                                             2,698,196
- --------------------------------------------------------------------------------------------------
Undistributed net investment income                                                                          5,780
- --------------------------------------------------------------------------------------------------  --------------
     Total                                                                                          $   51,243,828
- --------------------------------------------------------------------------------------------------  --------------
NET ASSET VALUE and Redemption Price Per Share:
($51,243,828 / 4,761,769 shares of beneficial interest outstanding)                                         $10.76
- --------------------------------------------------------------------------------------------------  --------------
Computation of Offering Price:
Offering Price Per Share (100/96.5 of $10.76)*                                                              $11.15
- --------------------------------------------------------------------------------------------------  --------------
</TABLE>

* On sales of $50,000 or more, the offering price is reduced as stated under
  "What Shares Cost" in the prospectus.

(See Notes which are an integral part of the Financial Statements)


RIMCO MONUMENT BOND FUND
]STATEMENT OF OPERATIONS
SIX MONTHS ENDED OCTOBER 31, 1993
(UNAUDITED)
- --------------------------------------------------------------------------------

<TABLE>
<S>                                                                                     <C>          <C>
INVESTMENT INCOME:
- ---------------------------------------------------------------------------------------------------
Interest income (Note 2C)                                                                            $   1,444,312
- ---------------------------------------------------------------------------------------------------
EXPENSES:
- ---------------------------------------------------------------------------------------------------
Investment advisory fee (Note 5)                                                        $   181,815
- --------------------------------------------------------------------------------------
Trustees' fees                                                                                  972
- --------------------------------------------------------------------------------------
Administrative personnel and services fee (Note 5)                                           32,587
- --------------------------------------------------------------------------------------
Portfolio accounting, transfer and dividend disbursing agent fees
(Note 5)                                                                                     37,468
- --------------------------------------------------------------------------------------
Fund share registration costs                                                                 9,390
- --------------------------------------------------------------------------------------
Auditing fees                                                                                 5,309
- --------------------------------------------------------------------------------------
Legal fees                                                                                    2,711
- --------------------------------------------------------------------------------------
Printing and postage                                                                          4,734
- --------------------------------------------------------------------------------------
Insurance premiums                                                                            2,995
- --------------------------------------------------------------------------------------
Miscellaneous                                                                                 3,227
- --------------------------------------------------------------------------------------  -----------
     Total expenses                                                                         281,208
- --------------------------------------------------------------------------------------
Deduct--Waiver of investment advisory fee (Note 5)                                          123,635
- --------------------------------------------------------------------------------------  -----------
Net expenses                                                                                               157,573
- ---------------------------------------------------------------------------------------------------  -------------
          Net investment income                                                                          1,286,739
- ---------------------------------------------------------------------------------------------------  -------------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS:
- ---------------------------------------------------------------------------------------------------
Net realized gain on investments (identified cost basis)                                                 1,662,480
- ---------------------------------------------------------------------------------------------------
Net change in unrealized appreciation (depreciation) of investments                                        (55,426)
- ---------------------------------------------------------------------------------------------------  -------------
Net realized and unrealized gain on investments                                                          1,607,054
- ---------------------------------------------------------------------------------------------------  -------------
Change in net assets resulting from operations                                                       $   2,893,793
- ---------------------------------------------------------------------------------------------------  -------------
</TABLE>

(See Notes which are an integral part of the Financial Statements)


RIMCO MONUMENT BOND FUND
STATEMENT OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------

<TABLE>
<CAPTION>
                                                                                        YEAR ENDED APRIL 30,
<S>                                                                               <C>              <C>
                                                                                      1994**            1993*
INCREASE (DECREASE) IN NET ASSETS:
- --------------------------------------------------------------------------------
OPERATIONS--
- --------------------------------------------------------------------------------
Net investment income                                                             $     1,286,739  $     2,173,663
- --------------------------------------------------------------------------------
Net realized gain on investment transactions ($1,662,480 and $2,004,175 net
gain, respectively, as computed for federal tax purposes) (Note 2D)                     1,662,480        2,004,175
- --------------------------------------------------------------------------------
Net change in unrealized appreciation (depreciation) of investments                       (55,426)         408,126
- --------------------------------------------------------------------------------  ---------------  ---------------
     Change in net assets resulting from operations                                     2,893,793        4,585,964
- --------------------------------------------------------------------------------  ---------------  ---------------
DISTRIBUTIONS TO SHAREHOLDERS (NOTE 3)--
- --------------------------------------------------------------------------------
Dividends to shareholders from net investment income                                   (1,280,958)      (2,173,663)
- --------------------------------------------------------------------------------
Distributions to shareholders from net realized gain on investment transactions         --                (968,459)
- --------------------------------------------------------------------------------  ---------------  ---------------
     Change in net assets resulting from distributions to shareholders                 (1,280,958)      (3,142,122)
- --------------------------------------------------------------------------------  ---------------  ---------------
FUND SHARE (PRINCIPAL) TRANSACTIONS (NOTE 4)--
- --------------------------------------------------------------------------------
Proceeds from sales of shares                                                           7,467,613       50,926,532
- --------------------------------------------------------------------------------
Net asset value of shares issued to shareholders electing to receive payment of
dividends in Fund shares                                                                   64,535           45,676
- --------------------------------------------------------------------------------
Cost of shares redeemed                                                                (2,569,636)      (7,747,769)
- --------------------------------------------------------------------------------  ---------------  ---------------
     Change in net assets from Fund share transactions                                  4,962,512       43,224,439
- --------------------------------------------------------------------------------  ---------------  ---------------
          Change in net assets                                                          6,575,347       44,668,281
- --------------------------------------------------------------------------------
NET ASSETS:
- --------------------------------------------------------------------------------
Beginning of period                                                                    44,668,481              200
- --------------------------------------------------------------------------------  ---------------  ---------------
End of period (including undistributed net investment income of $5,780 and $0,
respectively)                                                                     $    51,243,828  $    44,668,481
- --------------------------------------------------------------------------------  ---------------  ---------------
</TABLE>

 * For the period from May 11, 1992 (date of initial public investment) to April
30, 1993.

**Six months ended October 31, 1993 (unaudited).

(See Notes which are an integral part of the Financial Statements)


RIMCO MONUMENT BOND FUND
FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
(FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD)

<TABLE>
<CAPTION>
                                                                                             YEAR ENDED
                                                                                             APRIL 30,
<S>                                                                                     <C>        <C>
                                                                                          1994*     1993**
NET ASSET VALUE, BEGINNING OF PERIOD                                                    $   10.40  $   10.00
- --------------------------------------------------------------------------------------
INCOME FROM INVESTMENT OPERATIONS
- --------------------------------------------------------------------------------------
Net investment income                                                                        0.28       0.60
- --------------------------------------------------------------------------------------
Net realized and unrealized gain on investments                                              0.36       0.66
- --------------------------------------------------------------------------------------  ---------  ---------
Total from investment operations                                                             0.64       1.26
- --------------------------------------------------------------------------------------
LESS DISTRIBUTIONS
- --------------------------------------------------------------------------------------
Dividends to shareholders from net investment income                                        (0.28)     (0.60)
- --------------------------------------------------------------------------------------
Distributions to shareholders from net realized gains on investment
transactions                                                                                   --      (0.26)
- --------------------------------------------------------------------------------------  ---------  ---------
Total distributions                                                                         (0.28)     (0.86)
- --------------------------------------------------------------------------------------  ---------  ---------
NET ASSET VALUE, END OF PERIOD                                                          $   10.76  $   10.40
- --------------------------------------------------------------------------------------  ---------  ---------
TOTAL RETURN***                                                                             6.24%     12.93%
- --------------------------------------------------------------------------------------
RATIOS TO AVERAGE NET ASSETS
- --------------------------------------------------------------------------------------
Expenses                                                                                 0.65%(a)   0.50%(a)
- --------------------------------------------------------------------------------------
Net investment income                                                                    5.31%(a)   5.95%(a)
- --------------------------------------------------------------------------------------
Expense waiver/reimbursement (b)                                                            0.51%      0.65%
- --------------------------------------------------------------------------------------
SUPPLEMENTAL DATA
- --------------------------------------------------------------------------------------
Net assets, end of period (000 omitted)                                                   $51,244    $44,668
- --------------------------------------------------------------------------------------
Portfolio turnover                                                                           197%       371%
- --------------------------------------------------------------------------------------
</TABLE>

  * Six months ended October 31, 1993 (unaudited).

 ** Reflects operations for the period from May 11, 1992 (date of initial public
    investment) to April 30, 1993.

*** Based on net asset value which does not reflect the sales load or redemption
    fee, if applicable.

 (a) Computed on an annualized basis.

 (b) This expense decrease is reflected in both the expense and net investment
     income ratios shown above (Note 5).

(See Notes which are an integral part of the Financial Statements)



RIMCO MONUMENT STOCK FUND
PORTFOLIO OF INVESTMENTS
OCTOBER 31, 1993
(UNAUDITED)
- --------------------------------------------------------------------------------

<TABLE>
<CAPTION>
    SHARES                                                                                             VALUE
<C>             <S>                                                                                <C>
- --------------  ---------------------------------------------------------------------------------  --------------
COMMON STOCKS--91.7%
- -------------------------------------------------------------------------------------------------
                BANKING--5.9%
                ---------------------------------------------------------------------------------
        22,010  Citicorp**                                                                         $      797,863
                ---------------------------------------------------------------------------------
        24,650  Fleet Financial Group, Inc.                                                               773,394
                ---------------------------------------------------------------------------------
        30,125  Shawmut National Corp.                                                                    666,517
                ---------------------------------------------------------------------------------
         5,805  Wells Fargo & Co.                                                                         643,629
                ---------------------------------------------------------------------------------  --------------
                Total                                                                                   2,881,403
                ---------------------------------------------------------------------------------  --------------
                BASIC MATERIALS--5.8%
                ---------------------------------------------------------------------------------
         8,775  Nucor Corp.                                                                               476,044
                ---------------------------------------------------------------------------------
        21,655  Scott Paper Co.                                                                           768,752
                ---------------------------------------------------------------------------------
        41,710  Union Carbide Corp. Holdings Co.                                                          823,772
                ---------------------------------------------------------------------------------
        19,260  Weyerhaeuser Co.                                                                          763,177
                ---------------------------------------------------------------------------------  --------------
                Total                                                                                   2,831,745
                ---------------------------------------------------------------------------------  --------------
                CAPITAL GOODS--14.5%
                ---------------------------------------------------------------------------------
        21,250  Browning Ferris Industries, Inc.                                                          480,781
                ---------------------------------------------------------------------------------
        17,260  Burlington Northern, Inc.                                                                 970,875
                ---------------------------------------------------------------------------------
         8,180  Caterpillar, Inc.                                                                         748,470
                ---------------------------------------------------------------------------------
         9,680  Deere & Co.                                                                               747,780
                ---------------------------------------------------------------------------------
         6,420  General Electric Co.                                                                      622,740
                ---------------------------------------------------------------------------------
        12,470  General Motors, Cl. H                                                                     487,889
                ---------------------------------------------------------------------------------
         9,785  ITT Corp.                                                                                 911,228
                ---------------------------------------------------------------------------------
        18,330  Martin Marietta Corp.                                                                     811,102
                ---------------------------------------------------------------------------------
        24,040  Santa Fe Southern Pacific Corp.                                                           453,755
                ---------------------------------------------------------------------------------
        15,865  Textron, Inc.                                                                             886,457
                ---------------------------------------------------------------------------------  --------------
                Total                                                                                   7,121,077
                ---------------------------------------------------------------------------------  --------------
                CONSUMER CYCLICAL--11.6%
                ---------------------------------------------------------------------------------
        10,720  AMR Corp.**                                                                               751,740
                ---------------------------------------------------------------------------------
        17,885  Chrysler Corp.                                                                          1,001,560
                ---------------------------------------------------------------------------------
        18,685  General Motors Corp.                                                                      889,873
                ---------------------------------------------------------------------------------
        17,315  Goodyear Tire & Rubber Co.                                                                774,846
                ---------------------------------------------------------------------------------
        17,995  Harcourt General, Inc.                                                                    791,780
                ---------------------------------------------------------------------------------
        14,520  J. C. Penney, Inc.                                                                        755,040
                ---------------------------------------------------------------------------------
        12,880  Sears Roebuck & Co.                                                                       738,990
                ---------------------------------------------------------------------------------  --------------
                Total                                                                                   5,703,829
                ---------------------------------------------------------------------------------  --------------
                CONSUMER SERVICES--6.0%
                ---------------------------------------------------------------------------------
         2,225  CBS, Inc.                                                                                 685,856
                ---------------------------------------------------------------------------------
        13,165  McDonald's Corp.                                                                          758,633
                ---------------------------------------------------------------------------------
         8,895  Tribune Co.                                                                               493,672
                ---------------------------------------------------------------------------------
        60,740  Wendy's International, Inc.                                                             1,009,802
                ---------------------------------------------------------------------------------  --------------
                Total                                                                                   2,947,963
                ---------------------------------------------------------------------------------  --------------
                CONSUMER STAPLES--7.9%
                ---------------------------------------------------------------------------------
        24,720  Coca Cola Co.                                                                           1,072,230
                ---------------------------------------------------------------------------------
        19,540  Pepsico, Inc.                                                                             771,830
                ---------------------------------------------------------------------------------
        50,525  Safeway, Inc.**                                                                         1,098,919
                ---------------------------------------------------------------------------------
        12,955  Quaker Oats Co.                                                                           919,805
                ---------------------------------------------------------------------------------  --------------
                Total                                                                                   3,862,784
                ---------------------------------------------------------------------------------  --------------
                ELECTRIC UTILITIES--1.5%
                ---------------------------------------------------------------------------------
        27,245  CMS Energy Corp.                                                                          718,587
                ---------------------------------------------------------------------------------  --------------
                ENERGY--11.4%
                ---------------------------------------------------------------------------------
        12,045  British Petroleum                                                                         749,801
                ---------------------------------------------------------------------------------
         9,555  Chevron Corp.                                                                             926,835
                ---------------------------------------------------------------------------------
        16,725  Louisiana Land & Exploration Co.                                                          756,806
                ---------------------------------------------------------------------------------
        10,930  Mobil Corp.                                                                               890,795
                ---------------------------------------------------------------------------------
         6,650  Royal Dutch Petroleum Co.                                                                 703,237
                ---------------------------------------------------------------------------------
        22,110  Sonat Inc.                                                                                688,175
                ---------------------------------------------------------------------------------
        29,755  Unocal Corp.                                                                              870,334
                ---------------------------------------------------------------------------------  --------------
                Total                                                                                   5,585,983
                ---------------------------------------------------------------------------------  --------------
                FINANCIALS--8.1%
                ---------------------------------------------------------------------------------
        26,780  American Express                                                                          863,655
                ---------------------------------------------------------------------------------
         8,055  American International Group, Inc.                                                        724,950
                ---------------------------------------------------------------------------------
        14,915  Kemper Corp.                                                                              566,770
                ---------------------------------------------------------------------------------
        12,866  Primerica Corp.                                                                           567,712
                ---------------------------------------------------------------------------------
        11,410  Transamerica Corp.                                                                        650,370
                ---------------------------------------------------------------------------------
        43,590  USF & G Corp.                                                                             593,914
                ---------------------------------------------------------------------------------  --------------
                Total                                                                                   3,967,371
                ---------------------------------------------------------------------------------  --------------
                HEALTH CARE--5.2%
                ---------------------------------------------------------------------------------
        27,460  FHP International Corp.**                                                                 535,470
                ---------------------------------------------------------------------------------
        42,680  HCA Hospital Corp. America**                                                            1,221,715
                ---------------------------------------------------------------------------------
        12,390  Pfizer, Inc.                                                                              771,277
                ---------------------------------------------------------------------------------  --------------
                Total                                                                                   2,528,462
                ---------------------------------------------------------------------------------  --------------
                TECHNOLOGY--4.7%
                ---------------------------------------------------------------------------------
        15,165  Cisco Systems, Inc.                                                                       777,206
                ---------------------------------------------------------------------------------
         8,324  Diebold, Inc.                                                                             496,318
                ---------------------------------------------------------------------------------
         8,525  Intel Corp.                                                                               539,207
                ---------------------------------------------------------------------------------
         8,080  Oracle Systems Corp.                                                                      478,740
                ---------------------------------------------------------------------------------  --------------
                Total                                                                                   2,291,471
                ---------------------------------------------------------------------------------  --------------
                UTILITIES-GAS & ELECTRIC--3.5%
                ---------------------------------------------------------------------------------
        26,345  Illinois Power Co.                                                                        605,936
                ---------------------------------------------------------------------------------
        30,740  Western Resources, Inc.                                                                 1,133,537
                ---------------------------------------------------------------------------------  --------------
                Total                                                                                   1,739,473
                ---------------------------------------------------------------------------------  --------------
                UTILITIES-TELEPHONE--5.6%
                ---------------------------------------------------------------------------------
         7,705  BellSouth Corp.                                                                           483,489
                ---------------------------------------------------------------------------------
        33,050  MCI Communications Corp.                                                                  941,925
                ---------------------------------------------------------------------------------
        17,645  Southwestern Bell Corp.                                                                   780,792
                ---------------------------------------------------------------------------------
        10,475  Telefonos De Mexico                                                                       573,506
                ---------------------------------------------------------------------------------  --------------
                Total                                                                                   2,779,712
                ---------------------------------------------------------------------------------  --------------
                TOTAL COMMON STOCKS (IDENTIFIED COST, $38,838,312)                                     44,959,860
                ---------------------------------------------------------------------------------  --------------
PREFERRED STOCKS--3.0%
- -------------------------------------------------------------------------------------------------
                CONSUMER CYCLICAL--1.8%
                ---------------------------------------------------------------------------------
        15,215  Sears Roebuck & Co., Conv Pfd.                                                            872,961
                ---------------------------------------------------------------------------------  --------------
                FINANCE-AUTO--1.2%
                ---------------------------------------------------------------------------------
         5,760  Ford Motor Co., Conv Pfd.                                                                 603,360
                ---------------------------------------------------------------------------------  --------------
                TOTAL PREFERRED STOCKS (IDENTIFIED COST, $1,223,518)                                    1,476,321
                ---------------------------------------------------------------------------------  --------------
*REPURCHASE AGREEMENT--5.3%
- -------------------------------------------------------------------------------------------------
$    2,580,000  Morgan Stanley & Co., Inc., 2.90%, dated 10/29/93, due 11/1/93
                (at amortized cost) (Note 2B)                                                           2,580,000
                ---------------------------------------------------------------------------------  --------------
                TOTAL INVESTMENTS (IDENTIFIED COST, $42,641,830)                                   $   49,016,181\
                ---------------------------------------------------------------------------------  --------------
</TABLE>

 * The repurchase agreement is fully collateralized by U.S. government and/or
   agency obligations based on market prices at the date of the portfolio.

**Non-income producing securities.

\ The cost for federal tax purposes amounts to $42,641,830. The net unrealized
  appreciation of investments on a federal tax basis amounts to $6,374,351,
  which is comprised of $7,004,389 appreciation and $30,038 depreciation at
  October 31, 1993.

Note: The categories of investments are shown as a percentage of net assets
($49,006,438) at
      October 31, 1993.

(See Notes which are an integral part of the financial statements)


RIMCO MONUMENT STOCK FUND
STATEMENT OF ASSETS AND LIABILITIES
OCTOBER 31, 1993
(UNAUDITED)
- --------------------------------------------------------------------------------

<TABLE>
<S>                                                                                  <C>            <C>
ASSETS:
- --------------------------------------------------------------------------------------------------
Investments in securities, at value (Notes 2A and 2B)
(identified and tax cost, $42,641,830)                                                              $   49,016,181
- --------------------------------------------------------------------------------------------------
Cash                                                                                                           248
- --------------------------------------------------------------------------------------------------
Receivable for investments sold                                                                          1,593,215
- --------------------------------------------------------------------------------------------------
Dividends and interest receivable                                                                           82,644
- --------------------------------------------------------------------------------------------------
Receivable for Fund shares sold                                                                             71,975
- --------------------------------------------------------------------------------------------------
Deferred expenses (Note 2F)                                                                                  9,308
- --------------------------------------------------------------------------------------------------  --------------
     Total assets                                                                                       50,773,571
- --------------------------------------------------------------------------------------------------
LIABILITIES:
- --------------------------------------------------------------------------------------------------
Payable for investments purchased                                                    $   1,737,377
- -----------------------------------------------------------------------------------
Payable for Fund shares redeemed                                                               493
- -----------------------------------------------------------------------------------
Accrued expenses and other liabilities                                                      29,263
- -----------------------------------------------------------------------------------  -------------
     Total liabilities                                                                                   1,767,133
- --------------------------------------------------------------------------------------------------  --------------
NET ASSETS for 4,188,962 shares of beneficial interest outstanding                                  $   49,006,438
- --------------------------------------------------------------------------------------------------  --------------
NET ASSETS CONSIST OF:
- --------------------------------------------------------------------------------------------------
Paid-in capital                                                                                     $   42,565,865
- --------------------------------------------------------------------------------------------------
Net unrealized appreciation of investments                                                               6,374,351
- --------------------------------------------------------------------------------------------------
Accumulated net realized gain on investments                                                                25,069
- --------------------------------------------------------------------------------------------------
Undistributed net investment income                                                                         41,153
- --------------------------------------------------------------------------------------------------  --------------
     Total                                                                                          $   49,006,438
- --------------------------------------------------------------------------------------------------  --------------
NET ASSET VALUE, and Redemption Price Per Share:
($49,006,438 / 4,188,962 shares of beneficial interest outstanding)                                         $11.70
- --------------------------------------------------------------------------------------------------  --------------
Computation of Offering Price:
Offering Price Per Share (100/96.5 of $11.70)*                                                              $12.12
- --------------------------------------------------------------------------------------------------  --------------
*On sales of $50,000 or more, the offering price is reduced as stated under "What Shares Cost" in the prospectus.
(See Notes which are an integral part of the Financial Statements)
</TABLE>


RIMCO MONUMENT STOCK FUND
STATEMENT OF OPERATIONS
SIX MONTHS ENDED OCTOBER 31, 1993
(UNAUDITED)
- --------------------------------------------------------------------------------

<TABLE>
<S>                                                                        <C>          <C>          <C>
INVESTMENT INCOME:
- ---------------------------------------------------------------------------------------------------
Dividend income                                                                                      $     512,838
- ---------------------------------------------------------------------------------------------------
Interest income                                                                                             49,047
- ---------------------------------------------------------------------------------------------------  -------------
Total income (Note 2C)                                                                                     561,885
- ---------------------------------------------------------------------------------------------------
EXPENSES:
- ---------------------------------------------------------------------------------------------------
Investment advisory fee (Note 5)                                                        $   165,009
- --------------------------------------------------------------------------------------
Trustees' fees                                                                                  730
- --------------------------------------------------------------------------------------
Administrative personnel and services fee (Note 5)                                           29,555
- --------------------------------------------------------------------------------------
Portfolio accounting, transfer and dividend disbursing agent fees (Note 5)                   35,593
- --------------------------------------------------------------------------------------
Fund share registration costs                                                                11,210
- --------------------------------------------------------------------------------------
Auditing fees                                                                                 5,583
- --------------------------------------------------------------------------------------
Legal fees                                                                                    3,074
- --------------------------------------------------------------------------------------
Printing and postage                                                                          7,740
- --------------------------------------------------------------------------------------
Insurance premiums                                                                            3,026
- --------------------------------------------------------------------------------------
Miscellaneous                                                                                 2,886
- --------------------------------------------------------------------------------------  -----------
     Total expenses                                                                         264,406
- --------------------------------------------------------------------------------------
Deduct--Waiver of investment advisory fee (Note 5)                                           44,394
- --------------------------------------------------------------------------------------  -----------
Net expenses                                                                                               220,012
- ---------------------------------------------------------------------------------------------------  -------------
          Net investment income                                                                            341,873
- ---------------------------------------------------------------------------------------------------  -------------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS:
- ---------------------------------------------------------------------------------------------------
Net realized gain on investments (identified cost basis)                                                 1,093,190
- ---------------------------------------------------------------------------------------------------
Net change in unrealized appreciation of investments                                                     3,705,144
- ---------------------------------------------------------------------------------------------------  -------------
     Net realized and unrealized gain on investments                                                     4,798,334
- ---------------------------------------------------------------------------------------------------  -------------
          Change in net assets resulting from operations                                             $   5,140,207
- ---------------------------------------------------------------------------------------------------  -------------
(See Notes which are an integral part of the Financial Statements)
</TABLE>


RIMCO MONUMENT STOCK FUND
STATEMENT OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------

<TABLE>
<CAPTION>
                                                                                        YEAR ENDED APRIL 30,
<S>                                                                                <C>             <C>
                                                                                       1994**          1993*
INCREASE (DECREASE) IN NET ASSETS:
- ---------------------------------------------------------------------------------
OPERATIONS--
- ---------------------------------------------------------------------------------
Net investment income                                                              $      341,873  $      682,434
- ---------------------------------------------------------------------------------
Net realized gain (loss) on investment transactions ($1,093,190 net gain and
$637,739 net loss, respectively, as computed for federal tax purposes) (Note 2D)        1,093,190      (1,068,121)
- ---------------------------------------------------------------------------------
Net change in unrealized appreciation of investments                                    3,705,144       2,669,207
- ---------------------------------------------------------------------------------  --------------  --------------
     Change in net assets resulting from operations                                     5,140,207       2,283,520
- ---------------------------------------------------------------------------------  --------------  --------------
DISTRIBUTIONS TO SHAREHOLDERS (NOTE 3)--
- ---------------------------------------------------------------------------------
Dividends to shareholders from net investment income                                     (316,096)       (667,056)
- ---------------------------------------------------------------------------------  --------------  --------------
FUND SHARE (PRINCIPAL) TRANSACTIONS (NOTE 4)--
- ---------------------------------------------------------------------------------
Proceeds from sales of shares                                                           9,925,190      41,496,248
- ---------------------------------------------------------------------------------
Net asset value of shares issued to shareholders electing to receive payment of
dividends in Fund shares                                                                   17,478         187,783
- ---------------------------------------------------------------------------------
Cost of shares redeemed                                                                (3,299,059)     (5,761,977)
- ---------------------------------------------------------------------------------  --------------  --------------
     Change in net assets from Fund share transactions                                  6,643,609      35,922,054
- ---------------------------------------------------------------------------------  --------------  --------------
          Change in net assets                                                         11,467,720      37,538,518
- ---------------------------------------------------------------------------------
NET ASSETS:
- ---------------------------------------------------------------------------------
Beginning of period                                                                    37,538,718             200
- ---------------------------------------------------------------------------------  --------------  --------------
End of period (including undistributed net investment income of $41,153 and $0,
respectively)                                                                      $   49,006,438  $   37,538,718
- ---------------------------------------------------------------------------------  --------------  --------------
*For the period from May 11, 1992 (date of initial public investment) to April 30, 1993.
**Six months ended October 31, 1993 (unaudited).
(See Notes which are an integral part of the Financial Statements)
</TABLE>


RIMCO MONUMENT STOCK FUND
FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
(FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD)

<TABLE>
<CAPTION>
                                                                                     YEAR ENDED APRIL 30,
<S>                                                                                  <C>        <C>
                                                                                       1994*     1993**
NET ASSET VALUE, BEGINNING OF PERIOD                                                 $   10.46  $   10.00
- -----------------------------------------------------------------------------------
INCOME FROM INVESTMENT OPERATIONS
- -----------------------------------------------------------------------------------
Net investment income                                                                     0.09       0.21
- -----------------------------------------------------------------------------------
Net realized and unrealized gain on investments                                           1.23       0.46
- -----------------------------------------------------------------------------------  ---------  ---------
Total from investment operations                                                          1.32       0.67
- -----------------------------------------------------------------------------------
LESS DISTRIBUTIONS
- -----------------------------------------------------------------------------------
Dividends to shareholders from net investment income                                    (0.08)     (0.21)
- -----------------------------------------------------------------------------------  ---------  ---------
NET ASSET VALUE, END OF PERIOD                                                       $   11.70  $   10.46
- -----------------------------------------------------------------------------------  ---------  ---------
TOTAL RETURN***                                                                         12.68%      6.35%
- -----------------------------------------------------------------------------------
RATIOS TO AVERAGE NET ASSETS
- -----------------------------------------------------------------------------------
Expenses                                                                              1.00%(a)   0.69%(a)
- -----------------------------------------------------------------------------------
Net investment income                                                                 1.55%(a)   2.18%(a)
- -----------------------------------------------------------------------------------
Expense waiver/reimbursement (b)                                                         0.21%      0.47%
- -----------------------------------------------------------------------------------
SUPPLEMENTAL DATA
- -----------------------------------------------------------------------------------
Net assets end of period (000 omitted)                                                 $49,006    $37,539
- -----------------------------------------------------------------------------------
Portfolio turnover rate                                                                    50%        92%
- -----------------------------------------------------------------------------------
</TABLE>

  *Six months ended October 31, 1993 (unaudited).

 **Reflects operations for the period from May 11, 1992 (date of initial public
   investment) to April 30, 1993.

***Based on net asset value which does not reflect the sales load or redemption
   fee, if applicable.

 (a) Computed on an annualized basis.

 (b) This expense decrease is reflected in both the expense and net investment
     income ratios shown above (Note 5).

(See Notes which are an integral part of the Financial Statements)



RIMCO MONUMENT FUNDS
COMBINED NOTES TO FINANCIAL STATEMENTS
OCTOBER 31, 1993
(UNAUDITED)
- --------------------------------------------------------------------------------

(1) ORGANIZATION

RIMCO Monument Funds (the "Trust") is registered under the Investment Company
Act of 1940, as amended, as an open-end, management investment company. The
Trust consists of four diversified portfolios (hereinafter each referred to as a
"Fund," or collectively as the "Funds"): RIMCO Monument Prime Money Market Fund
("Prime Fund"), RIMCO Monument U.S. Treasury Money Market Fund ("U.S. Treasury
Fund"), RIMCO Monument Bond Fund ("Bond Fund"), and RIMCO Monument Stock Fund
("Stock Fund"). The assets of each portfolio are segregated, and a shareholder's
interest is limited to the portfolio in which shares are held.

(2) SIGNIFICANT ACCOUNTING POLICIES

The following is a summary of significant accounting policies consistently
followed by each Fund in the preparation of its financial statements. The
policies are in conformity with generally accepted accounting principles.

A.   INVESTMENT VALUATIONS--The Board of Trustees ("Trustees") has determined
     that the best method currently available for valuing portfolio securities
     for Prime Fund and U.S. Treasury Fund is amortized cost. Each Fund's use of
     the amortized cost method to value its portfolio securities is conditioned
     on its compliance with Rule 2a-7 under the Investment Company Act of 1940,
     as amended.

     For Stock Fund, the equity securities which are listed on the New York
     Stock Exchange, or any other national securities exchange, are valued at
     the last sale price or, if there has been no sale on that day, at the mean
     between bid and asked prices. Unlisted equity securities are valued at the
     latest mean prices. Bonds and other fixed income portfolio securities held
     in Bond Fund and Stock Fund (which may trade on a national securities
     exchange and/or over the counter) are valued at the last sale price on a
     national securities exchange on that day, if available; otherwise, they are
     valued on the basis of prices provided by an independent pricing service,
     when such prices are believed to reflect the fair market value of such
     securities. Short-term obligations are ordinarily valued at the mean
     between bid and asked prices as furnished by an independent pricing
     service. However, short-term obligations with maturities of 60 days or less
     are valued at amortized cost, which approximates value.

B.   REPURCHASE AGREEMENTS--It is the policy of the Funds to require the
     custodian bank to take possession, to have legally segregated in the
     Federal Reserve Book Entry System or to have segregated within the
     custodian bank's vault, all securities held as collateral in support of
     repurchase agreement investments. Additionally, procedures have been
     established by the Funds to monitor, on a daily basis, the market value of
     each repurchase agreement's underlying investments to ensure the existence
     of a proper level of collateral.

     These Funds will only enter into repurchase agreements with banks and other
     recognized financial institutions such as broker/dealers which are deemed
     by the Funds' investment adviser to be creditworthy pursuant to guidelines
     established by the Trustees. Risks may arise from the potential inability
     of counterparties to honor the terms of the repurchase agreement.
     Accordingly, these Funds could receive less than the repurchase price on
     the sale of collateral securities.

C.   INCOME--Interest income for Prime Fund and U.S. Treasury Fund is recorded
     on the accrual basis. Interest income includes interest and discount earned
     (net of premium), including original issue discount as required by the
     Internal Revenue Code, as amended, plus net realized gains, if any, on
     portfolio securities.

     Interest income for the Bond Fund and Stock Fund includes interest and
     discount earned (net of premium) on short-term obligations, and interest
     earned on all other debt securities including original issue discount (net
     of premium) as required by the Internal Revenue Code, as amended.

D.   FEDERAL TAXES--It is each Fund's policy to comply with the provisions of
     the Internal Revenue Code, as amended, available to investment companies
     and to distribute to shareholders each year all of its taxable income.
     Accordingly, no provision for federal income tax is necessary.

     At April 30, 1993, the Prime Fund for federal tax purposes had a capital
     loss carryforward of $7,270, which will reduce the Fund's taxable income
     arising from future net realized gains on investments, if any, to the
     extent permitted by the Internal Revenue Code, and thus will reduce the
     amount of the distributions to shareholders which would otherwise relieve
     the Fund of any liability for federal tax. Pursuant to the Code, such
     capital loss carryforward will expire in 2001. Additionally, net capital
     losses of $1,060,476 attributable to security transactions incurred after
     October 31, 1992, are treated as arising on May 1, 1993, the first day of
     the Fund's next taxable year.

     At April 30, 1993, the Stock Fund for federal tax purposes, had a capital
     loss carryforward of $637,739, which will reduce the Fund's taxable income
     arising from future net realized gains on investments, if any, to the
     extent permitted by the Internal Revenue Code, and thus will reduce the
     amount of the distributions to shareholders which would otherwise relieve
     the Fund of any liability for federal tax. Pursuant to the Code, such
     capital loss carryforward will expire in 2001. Additionally, net capital
     losses of $430,382 attributable to security transactions incurred after
     October 31, 1992, are treated as arising on May 1, 1993, the first day of
     the Fund's next taxable year.

E.   WHEN-ISSUED AND DELAYED DELIVERY TRANSACTIONS--The Funds may engage in
     when-issued or delayed delivery transactions. To the extent a Fund engages
     in such transactions, it will do so for the purpose of acquiring portfolio
     securities consistent with its investment objective and policies and not
     for the purpose of investment leverage. The Funds will record a when-issued
     security and the related liability on the trade date. Until the securities
     are received and paid for, the Funds will maintain security positions such
     that sufficient liquid assets will be available to make payment for the
     securities purchased. Securities purchased on a when-issued or delayed
     delivery basis are marked to market daily and begin earning interest on the
     settlement date.


F.   DEFERRED EXPENSES--Costs incurred by each Fund with respect to registration
     of its shares in its first fiscal year, excluding the initial expense of
     registering the shares, have been deferred and are being amortized using
     the straight-line method over a period of five years from the Funds'
     commencement date.

G.   OTHER--Investment transactions are accounted for on the trade date of the
     transaction.

(3) DIVIDENDS

Prime Fund, U.S. Treasury Fund and Bond Fund compute their net income daily,
and, immediately prior to the calculation of their net asset values at the close
of business, declare and record dividends to shareholders of record at the time
of the previous computation of the Funds' net asset values. Payment of dividends
is made monthly in cash or in additional shares at the net asset values on the
payable date. With respect to Stock Fund, dividends are declared and paid
quarterly to all shareholders invested in the Fund on the record date. For Stock
Fund, dividends to shareholders and capital gain distributions, if any, are
recorded on the ex-dividend date. Dividends are paid from net investment income
of the Fund.

(4) SHARES OF BENEFICIAL INTEREST

The Declaration of Trust permits the Trustees to issue an unlimited number of
full and fractional shares of beneficial interest (without par value). At
October 31, 1993, capital paid in for Prime Fund, U.S. Treasury Fund, Bond Fund
and Stock Fund aggregated $507,099,517, $79,560,916, $48,187,152, and
$42,565,865, respectively. Transactions in Fund shares were as follows:

<TABLE>
<CAPTION>
                                                PRIME FUND     U.S. TREASURY FUND      BOND FUND       STOCK FUND
<S>                                           <C>              <C>                  <C>              <C>
                                                YEAR ENDED         YEAR ENDED         YEAR ENDED       YEAR ENDED
                                              APRIL 30, 1994*    APRIL 30, 1994*    APRIL 30, 1994*  APRIL 30, 1994*
Shares outstanding,
beginning of period                               277,756,297           86,875,428        4,294,394        3,587,936
- --------------------------------------------
Shares sold                                       640,621,507          233,193,548          701,618          895,314
- --------------------------------------------
Shares issued to shareholders electing to
receive payment of dividends in Fund Shares           218,692               30,587            6,059            1,573
- --------------------------------------------
Shares redeemed                                  (411,496,979)        (240,538,647)        (240,302)        (295,861)
- --------------------------------------------  ---------------  -------------------  ---------------  ---------------
Shares outstanding, end of period                 507,099,517           79,560,916        4,761,769        4,188,962
- --------------------------------------------  ---------------  -------------------  ---------------  ---------------

</TABLE>

RIMCO MONUMENT FUNDS
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
                                                PRIME FUND     U.S. TREASURY FUND      BOND FUND       STOCK FUND
                                                                                     PERIOD ENDED     PERIOD ENDED
                                                YEAR ENDED         YEAR ENDED          APRIL 30,        APRIL 30,
                                              APRIL 30, 1993     APRIL 30, 1993         1993**           1993**
<S>                                           <C>              <C>                  <C>              <C>
Shares outstanding,
beginning of period                               111,329,114           51,039,013               20               20
- --------------------------------------------
Shares sold                                       994,268,793          184,959,305        5,041,968        4,145,258
- --------------------------------------------
Shares issued to shareholders
electing to receive payment of
dividends in Fund Shares                              217,953               40,286            4,467           19,614
- --------------------------------------------
Shares redeemed                                  (828,059,563)        (149,163,176)        (752,061)        (576,956)
- --------------------------------------------  ---------------  -------------------  ---------------  ---------------
Shares outstanding, end of period                 277,756,297           86,875,428        4,294,394        3,587,936
- --------------------------------------------  ---------------  -------------------  ---------------  ---------------
</TABLE>

 * Six months ended October 31, 1993 (unaudited).

** The period from the date of initial public investment, May 11, 1992, to Aprl
   30, 1993.

(5) INVESTMENT ADVISORY FEE AND OTHER TRANSACTIONS WITH AFFILIATES

Riggs Investment Management Corp., the Funds' investment adviser ("Adviser"),
receives for its services an annual investment advisory fee equal to .50 of 1%
of each Fund's average daily net assets for Prime Fund and U.S. Treasury Fund
and .75 of 1% of each Fund's average daily net assets for Bond Fund and Stock
Fund. The Adviser has voluntarily agreed to waive a portion of its fee. The
Adviser can modify or terminate this voluntary waiver at any time at its sole
discretion. For the six months ended on October 31, 1993, the Adviser earned
investment advisory fees from Prime Fund, U.S. Treasury Fund, Bond Fund and
Stock Fund of $797,194, $332,026, $181,815 and $165,009, respectively, of which
$411,807, $92,967, $123,635 and $44,394, respectively, were voluntarily waived.

Administrative personnel and services were provided by Federated Administrative
Services ("FAS") at an annual rate of .15 of 1% on the first $250 million of
average aggregate daily net assets of the Trust; .125 of 1% on the next $250
million; .10 of 1% on the next $250 million; and .075 of 1% on average aggregate
daily net assets in excess of $750 million. FAS may voluntarily choose to waive
a portion of its fee. For the six months ended October 31, 1993, FAS earned from
Prime Fund, U.S. Treasury Fund, Bond Fund and Stock Fund fees of $212,710,
$89,020, $32,587 and $29,555, respectively.

Organization expenses of Prime Fund, U.S. Treasury Fund, Bond Fund, and Stock
Fund of $23,015, $25,427, $29,704, and $30,877, respectively, were borne
initially by FAS. The Funds have agreed to reimburse FAS during the five-year
period following the date the Trust's registration statement became effective.
For the six months ended October 31, 1993, Prime Fund, U.S. Treasury Fund, Bond
Fund, and Stock Fund paid $6,897, $3,280, $2,640 and $2,746, respectively,
pursuant to this agreement.

Federated Services Company ("FSC"), the Funds' recordkeeper, transfer agent and
dividend disbursing agent, received for its services fees from Prime Fund, U.S.
Treasury Fund, Bond Fund and Stock Fund of $48,079, $15,338, $37,468, and
$35,593, respectively, for the six months ended October 31, 1993.

Certain of the Officers and Trustees of the Trust are Officers and Directors of
FAS and FSC.

(6) INVESTMENT TRANSACTIONS

Purchases, and sales of investments (excluding short-term obligations) for the
six months ended October 31, 1993, were as follows:

<TABLE>
<CAPTION>
                                                                                     PURCHASES         SALES
<S>                                                                                <C>             <C>
BOND FUND                                                                          $   91,420,043  $   86,867,451
- ---------------------------------------------------------------------------------  --------------  --------------
STOCK FUND                                                                         $   27,263,423  $   20,671,031
- ---------------------------------------------------------------------------------  --------------  --------------
</TABLE>



TRUSTEES                                 OFFICERS
- --------------------------------------------------------------------------------

<TABLE>
<S>                                                       <C>
John F. Donahue                                           John F. Donahue
                                                          Chairman
John T. Conroy, Jr.

William J. Copeland                                       Edward C. Gonzales
                                                          President and Treasurer
James E. Dowd

Lawrence D. Ellis, M.D.                                   Craig P. Churman
                                                          Vice President and Assistant Treasurer
Edward L. Flaherty, Jr.

Edward C. Gonzales                                        J. Christopher Donahue
                                                          Vice President
Peter E Madden

Gregor F. Meyer                                           Richard B. Fisher
                                                          Vice President
Wesley W. Posvar
                                                          John W. McGonigle
Marjorie P. Smuts                                         Vice President and Secretary

                                                          John A. Staley, IV
                                                          Vice President

                                                          David M. Taylor
                                                          Assistant Treasurer

                                                          Jay S. Neuman
                                                          Assistant Secretary
</TABLE>

Mutual funds are not obligations of or insured by any bank nor are they insured
  by the federal government or any of its agencies. Investment in these shares
            involves risk, including the 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.




© 2022 IncJournal is not affiliated with or endorsed by the U.S. Securities and Exchange Commission