<PAGE> 1
Walden Logo Walden Asset Management
A Division of United States Trust Company of Boston
To: All Shareholders -- Walden/BBT Domestic Social Index Fund
From: Geeta B. Aiyer
Re: Portfolio Manager's Report - September 30, 1999
Fund NAV: 9.59
COMPARATIVE PERFORMANCE
<TABLE>
<CAPTION>
8/1/99-9/30/99
--------------
<S> <C>
Walden/BBT Domestic Social Index Fund*...................... -4.08%
S&P 500**................................................... -3.22%
Russell 2000**.............................................. -3.68%
Russell 3000**.............................................. -3.67%
Wilshire 5000**............................................. -3.52%
</TABLE>
WALDEN ASSET MANAGEMENT SERVES AS INVESTMENT ADVISOR TO THE WALDEN/BBT DOMESTIC
SOCIAL INDEX FUND AND RECEIVES A FEE FOR ITS SERVICES.
* After all expenses at an annual rate of 1%, the Advisor's expense limitation.
Results shown are past performance which is not an indication of future
returns. **The S & P 500 Index is a broad market capitalization-weighted
average of U. S. companies. The Russell 3000 Index represents approximately
98% of the investable US Equity Market; companies are included based on total
market capitalization. The Russell 2000 Index consists of the 2000 smallest
securities in the Russell 3000 index. The Wilshire 5000 Total Market Index
measures the performance of all U.S. headquartered equity securities with
readily available price data.
For more information on the Walden/BBT Funds, including a Prospectus that
outlines fees, charges and other operating expenses, call 1-877-7-WALDEN. Please
read the Prospectus carefully before investing or sending money.
SHARES OF THE FUND ARE NOT DEPOSITS OR OBLIGATIONS OF UNITED STATES TRUST
COMPANY OF BOSTON OR ANY BANK AND ARE NOT INSURED BY THE FDIC, FEDERAL RESERVE
BOARD OR ANY AGENCY. THE VALUE OF THE FUND SHARES AND RETURNS WILL FLUCTUATE AND
INVESTORS MAY HAVE A GAIN OR LOSS WHEN THEY REDEEM SHARES. DISTRIBUTED BY BISYS
FUND SERVICES.
MARKET & PERFORMANCE SUMMARY -- THIRD QUARTER, 1999
- ---------------------------------------------------
Although we were spared the alarming headlines of a year ago, for the
second summer in a row we experienced a broad-based decline in the stock market.
Last year's price drop was prompted by investor fear that Asia's economic
turmoil would lead our own economy into recession. As actual economic
developments last fall proved those fears to be unfounded, stock indices quickly
recouped the summer's losses, and then most proceeded to new highs. This year,
rising interest rates and concern about an acceleration of inflation were the
catalysts for the
1
<PAGE> 2
THE COVENTRY GROUP
DOMESTIC SOCIAL INDEX FUND
price drop, as measured by a decline of 4.08% for the Fund during the months of
August and September. For comparative purposes, the S&P 500 Index registered
- -3.22% during the same period, while the Russell 2000 and Russell 3000 declined
by 3.68% and 3.67%, and the Wilshire 5000 returned -3.52%.
Factors that contributed to the Fund's negative performance during its
first two months of operation included overweighting in financials. Moreover, an
underweighting in capital goods did not permit the Fund to benefit from the
markedly strong performance of General Electric, which rose 9.1% for the period.
Conversely, a slight underweight in consumer staples enhanced overall Fund
performance.
(Walden/BBT Domestic Social Index Fund holdings are in bold.) Security
specific contributions included COCA COLA, registering a 20.1% decline for
August and September and diminishing total return by 28.3 basis points, and
AT&T, recording -16.1% for the period, with a resultant 26.2 basis point
decrease for the Fund. Positive performers, on the other hand, included WAL
MART, with a 12.7% return that added 22.5 basis points to total return, and
MICROSOFT, with a 5.5% return that added 21.9 basis points.
The Fund's social criteria proved to be at once beneficial and
challenging; while not owning Phillip Morris, down 7.1% for August and
September, and Boeing, at 0.4% for the period, was a boon for Fund performance,
not being able to hold GE, as referenced above, or GTE, up 4.9% for the period,
hindered the overall return.
SOCIAL RESEARCH AND ACTION
- --------------------------
Headlining our accomplishments over the quarter is news that AMR
CORPORATION, parent of American Airlines, has ramped up its environmental
commitment by agreeing to endorse the CERES Principles. For nearly two years
Walden has spearheaded the effort to bring AMR into the CERES forum, the first
major airline to do so. The multi-year timeframe underscores our experience that
corporate change comes slowly, as well as the importance of investor constancy
toward achieving long-lasting social objectives. We continue to be the lead
investor representative for several major companies considering the CERES
approach, including XEROX, DEERE, and Harley-Davidson.
Working with the Interfaith Center on Corporate Responsibility (ICCR), we
have played a lead role in helping develop a shareholder resolution strategy for
firms involved in genetically engineered (GE) foods. This topic is receiving
almost daily attention in major US and international journals; this ranges from
debates on the risks posed by GE foods to the environment and human health to
consumer, corporate and governmental reactions and concerns over free trade. Our
work will assist shareholder activists in introducing new shareholder
resolutions that address this issue from seed producers to the grocery stores.
In addition to our plans to target several domestic companies for shareholder
dialogue, we have written to Novartis and Schering, two European firms with
significant interests in GE foods.
On local shores we have stepped up our discussions with COCA-COLA. While
we are staying abreast of recent allegations of race discrimination, our primary
dialogue focus is on public controversy around recycled content (or lack
thereof) in Coca-Cola bottles. We have organized a mid-month meeting with
Coca-Cola and others in the social investment community to continue the
dialogue. We have also assumed greater leadership in coordinating the large
investor coalition addressing equal employment opportunity concerns at HOME
DEPOT. The company is planning to meet with us in November.
2
<PAGE> 3
THE COVENTRY GROUP
DOMESTIC SOCIAL INDEX FUND
On another issue altogether, as we head into the last few months in which
we can address Y2K technology issues, we continue to be confident that
disruptions to our computer systems are relatively unlikely to occur. We are in
conformity with all regulatory directives concerning Y2K and have completed
remediation of all our critical systems. In addition, we have conducted
successful testing with our significant third-party vendors as part of our
effort to assess the viability of our interconnected systems. Of course, we
cannot guarantee that computer-related services will not be interrupted as we
enter the Year 2000. For that reason, we have adopted a comprehensive
contingency plan, which would be implemented if there were a failure of any of
the critical computer-related systems on which we rely. In the coming months, we
will monitor actively all Y2K-related issues, including issues related to your
investments, so that we can continue to provide service to you as we enter the
next century.
On behalf of all of us at Walden Asset Management, a division of United
States Trust Company of Boston, as adviser to the Fund, I thank you for your
continued confidence in our services. Please feel free to contact either me or
my colleagues at (617) 726-7250 should you have any questions about our
investment views or your account.
/s/ Geeta B. Aiyer
Geeta B. Aiyer
Portfolio Manager and President
Walden Asset Management
3
<PAGE> 4
To: All Shareholders -- Walden/BBT International Social Index Fund
From: Geeta B. Aiyer
Re: Portfolio Manager's Report - September 30, 1999
Fund NAV: 10.40
COMPARATIVE PERFORMANCE
<TABLE>
<CAPTION>
8/26/99-9/30/99 9/1/99-9/30/99
--------------- ---------------
<S> <C> <C>
Walden/BBT International Social Index Fund*................. 4.00% 1.27%
MSCI EAFE Index**........................................... 1.01%
Financial Times World Indices EuroPacific Index**........... 1.06%
</TABLE>
WALDEN ASSET MANAGEMENT SERVES AS INVESTMENT ADVISOR TO THE WALDEN/BBT
INTERNATIONAL SOCIAL INDEX FUND AND RECEIVES A FEE FOR ITS SERVICES.
* After all expenses at an annual rate of 1%, the Advisor's expense limitation.
Results shown are past performance which is not an indication of future
returns. **The MSCI EAFE Index is based on the share prices of approximately
977 companies listed on stock exchanges in the twenty-two countries that make
up the MSCI National Indices. The Financial Times World Indices European
Pacific Index is a dollar-denominated, market capitalization-weighted index
comprised of securities in the European and Pacific regions.
For more information on the Walden/BBT Funds, including a Prospectus that
outlines fees, charges and other operating expenses, call 1-877-7-WALDEN. Please
read the Prospectus carefully before investing or sending money.
SHARES OF THE FUND ARE NOT DEPOSITS OR OBLIGATIONS OF UNITED STATES TRUST
COMPANY OF BOSTON OR ANY BANK AND ARE NOT INSURED BY THE FDIC, FEDERAL RESERVE
BOARD OR ANY AGENCY. THE VALUE OF THE FUND SHARES AND RETURNS WILL FLUCTUATE AND
INVESTORS MAY HAVE A GAIN OR LOSS WHEN THEY REDEEM SHARES. DISTRIBUTED BY BISYS
FUND SERVICES.
MARKET & PERFORMANCE SUMMARY -- THIRD QUARTER, 1999
- ---------------------------------------------------
For the first full month of its existence, September of 1999, the
Walden/BBT International Social Index Fund returned 1.27%. For comparative
purposes, the MSCI EAFE Index evidenced a return of 1.01% for the same period,
while the Financial Times EuroPacific Index returned 1.06%. Factors that
contributed to the Fund's positive performance during September included the
underweighting of the consumer staples and energy sectors. Conversely, an
overweighting in the consumer discretionary sector hindered Fund performance.
Since its inception on 8/26/99 the Fund returned 4.00%.
(Walden/BBT International Social Index Fund holdings are in bold.)
Security specific contributions included Japan's NIPPON TELEPHONE &
TELEGRAPH,with a 9.9% return that added 19 basis points to the overall return,
as well as the U.K.'s VODAFONE AIRTOUCH, with a 17.4% return that added 15 basis
points. Negative performers included the UK's SMITHKLINE BEECHAM, registering
- -11.7% for the month and diminishing total return 11 basis points, and the UK's
HSBC HOLDINGS, recording -7.4% for September, with a resultant 10 basis point
decrease for the Fund.
The Fund's social criteria proved beneficial in several cases, as
securities precluded from investment underperformed international indices. The
poor performers included the Netherlands' Royal Dutch, -5.6% for the month,
Switzerland's Roche Holdings, at 0.1% and Nestle at -4.8% for September, and
Germany's DaimlerChrysler, registering -8.6% for the period.
4
<PAGE> 5
THE COVENTRY GROUP
INTERNATIONAL SOCIAL INDEX FUND
SOCIAL RESEARCH AND ACTION
- --------------------------
Working with the Interfaith Center on Corporate Responsibility (ICCR), we
have played a lead role in helping to develop a shareholder dialogue strategy
for firms involved in genetically modified (GMO) foods. This topic is receiving
almost daily attention in major US and international journals; this ranges from
debates on the risks posed by GMO foods to the environment and human health to
consumer, corporate and governmental reactions and concerns over free trade. Our
work will assist shareholder activists in introducing new shareholder
resolutions that address this issue from seed producers to grocery stores. In
addition to our plans to target several domestic companies for shareholder
dialogue, we have written to Novartis and Schering, two European firms with
significant interests in GMO foods.
Over these past several months we have finalized our global proxy
guidelines with a focus on our four major markets: the United Kingdom, Germany,
France and Japan. Strong corporate governance on issues of independence,
transparency and accountability is an essential first step toward effective
international shareholder advocacy. Walden's efforts to learn more about
Japanese corporate governance, the least open of our overseas markets, through a
questionnaire to our top Japan-based companies received a response from more
than 80 percent of the companies queried. A summary of our findings will appear
in the upcoming edition of Values. Sakura Shimizu, a Northeastern University
cooperative student, was of great assistance in achieving these results.
We continued to extend our reach into the realm of international advocacy
in home office visits to three leading European banks: Deutsche Bank, Credit
Suisse and UBS. All these banks are UNEP signatories (United Nations
Environmental Programme), and as such, have committed to integrating social and
environmental factors into their credit and financing decisions. At each bank,
Walden's Lauren Compere met with key environmental and credit officials to learn
how they put their UNEP commitments into practice. While she characterizes their
efforts as mixed, Lauren was impressed by the banks' level of openness and
interest in our assessment of their progress.
On another issue altogether, as we head into the last few months in which
we can address Y2K technology issues, we continue to be confident that
disruptions to our computer systems are relatively unlikely to occur. We are in
conformity with all regulatory directives concerning Y2K and have completed
remediation of all our critical systems. In addition, we have conducted
successful testing with our significant third-party vendors as part of our
effort to assess the viability of our interconnected systems. Of course, we
cannot guarantee that computer-related services will not be interrupted as we
enter the Year 2000. For that reason, we have adopted a comprehensive
contingency plan, which would be implemented if there were a failure of any of
the critical computer-related systems on which we rely. In the coming months, we
will monitor actively all Y2K-related issues, including issues related to your
investments, so that we can continue to provide service to you as we enter the
next century.
On behalf of all of us at Walden Asset Management, a division of United
States Trust Company of Boston, as adviser to the Fund, I thank you for your
continued confidence in our services. Please feel free to contact either me or
my colleagues at (617) 726-7250 should you have any questions about our
investment views or your account.
/s/ Geeta B. Aiyer
Geeta B. Aiyer
Portfolio Manager and President
Walden Asset Management
5
<PAGE> 6
THE COVENTRY GROUP
INTERNATIONAL SOCIAL INDEX FUND
THE COVENTRY GROUP
WALDEN/BBT DOMESTIC SOCIAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares COMMON STOCK -- (99.4)%: Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
BASIC MATERIALS (4.6%):
800 Air Products & Chemical Inc. .......................... $ 23,250
700 Alcan Aluminum, Ltd. .................................. 21,875
1,300 Alcoa Incorporation.................................... 80,680
1,785 Archer-Daniels-Midland Co. ............................ 21,755
200 Asarco, Inc. .......................................... 5,363
1,100 Barrick Gold Corp. .................................... 23,925
900 Battle Mountian Gold Co. (b)........................... 2,925
200 Bemis Co. ............................................. 6,775
400 Bethlehem Steel Corp. (b).............................. 2,950
100 Boise Cascade Corp. ................................... 3,644
300 Champion International Co. ............................ 15,413
200 Consolidated Papers, Inc. ............................. 5,375
700 Corning, Inc. ......................................... 47,994
400 Crown Cork And Seal Co. ............................... 9,700
300 Cyprus Amax Minerals Co. .............................. 5,888
800 Dow Chemical Co. ...................................... 90,899
3,000 Du Pont (Ei) De Nemours & Co. ......................... 182,624
200 Eastman Chemical Co. .................................. 8,000
600 Ecolab, Inc. .......................................... 20,475
600 Engelhard Corp. ....................................... 10,913
600 Fort James Corporation................................. 16,013
500 Georgia Pacific Corp. ................................. 20,250
100 Great Lakes Chemical Corp. ............................ 3,806
200 Hercules Inc. ......................................... 5,725
900 Homestake Mining Co. .................................. 8,269
100 Imc Global, Inc. ...................................... 1,456
500 Inco, Ltd. (b)......................................... 10,688
1,300 International Paper Co. ............................... 62,480
200 Johns Manville Corp. .................................. 2,650
100 Martin Marietta Materials.............................. 3,994
</TABLE>
See Notes to Financial Statements.
6
<PAGE> 7
THE COVENTRY GROUP
WALDEN/BBT DOMESTIC SOCIAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
BASIC MATERIALS, CONTINUED
400 Mead Corp. ............................................ $ 13,750
100 Millipore Corp. ....................................... 3,756
1,600 Monsanto Co. .......................................... 57,099
200 Nalco Chemical Co. .................................... 10,100
800 Newmont Mining Corp. .................................. 20,700
200 Nucor Corp. ........................................... 9,525
100 Owens-Corning Fiberglass Corp. ........................ 2,169
700 Owens-Illinois (b).....................................
200 Phelps Dodge Corp. .................................... 11,013
600 Pioneer Hi Bred, Inc. ................................. 23,888
800 Placer Dome, Inc. ..................................... 11,900
600 PPG Industries, Inc. .................................. 36,000
500 Praxair, Inc. ......................................... 23,000
200 Reynolds Metals Co. ................................... 12,075
600 Rohm & Haas Co. ....................................... 21,675
300 RPM, Inc. ............................................. 3,656
200 Sealed Air Corporation (b)............................. 10,263
500 Sherwin-Williams Co. .................................. 10,469
300 Sigma-Aldrich Corp. ................................... 9,525
100 Sonoco Products Co. ................................... 2,281
100 Temple Inland, Inc. ................................... 6,050
400 Union Carbide Corp. ................................... 22,725
300 Usg Corporation........................................ 14,250
300 Usx- Us Steel Group, Inc. ............................. 7,725
300 W.R. Grace & Company (b)............................... 4,819
400 Westvaco Corp. ........................................ 10,250
600 Weyerhaeuser Co. ...................................... 34,575
400 Willamette Industries, Inc. ........................... 17,250
300 Worthington Industries, Inc. .......................... 5,100
------------
1,155,211
------------
CAPITAL GOODS (2.9%):
700 Allegheny Teledyne, Inc. .............................. 11,813
400 Allied Waste Industries, Inc. (b)...................... 4,675
</TABLE>
See Notes to Financial Statements.
7
<PAGE> 8
THE COVENTRY GROUP
WALDEN/BBT DOMESTIC SOCIAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
CAPITAL GOODS, CONTINUED
400 Avery Dennison Corp. .................................. 21,100
200 Case Corp. ............................................ 9,963
1,300 Caterpillar, Inc. ..................................... 71,255
400 Cooper Industries, Inc. ............................... 18,700
300 Crane Co. ............................................. 6,731
100 Cummins Engine, Inc. .................................. 4,981
100 Danaher Corp. ......................................... 5,269
700 Deere & Co. ........................................... 27,081
700 Dover Corp. ........................................... 28,613
200 Fluor Corp. ........................................... 8,050
200 Gencorp, Inc. ......................................... 3,663
200 Goodrich B F Co. ...................................... 5,800
300 Howmet International, Inc. (b)......................... 4,200
100 Hubbell, Inc., Class B................................. 3,188
800 Illinois Tool Works, Inc. ............................. 59,649
700 Ingersoll Rand Co. .................................... 38,456
200 Mcdermott International, Inc. ......................... 4,050
100 National Service Industries, Inc. ..................... 3,150
300 Navistar International Corp. (b)....................... 13,950
300 Paccar, Inc. .......................................... 15,263
400 Parker-Hannifin Corp. ................................. 17,925
900 Pitney Bowes, Inc. .................................... 54,844
700 Tenneco, Inc. (b)...................................... 11,900
500 Thermo Electron Corp. ................................. 6,719
100 Thomas & Betts Corp. .................................. 5,100
200 Timken Co. ............................................ 3,225
2,146 Tyco International..................................... 221,574
1,600 Waste Management Incorporation......................... 30,800
------------
721,687
------------
COMMUNICATION SERVICES (8.2%):
900 Alltel Corp. .......................................... 63,338
2,900 Ameritech Corp. ....................................... 194,844
8,200 AT&T Corp. ............................................ 356,699
3,900 Bell Atlantic.......................................... 262,519
5,100 Bellsouth Corp. ....................................... 229,500
</TABLE>
See Notes to Financial Statements.
8
<PAGE> 9
THE COVENTRY GROUP
WALDEN/BBT DOMESTIC SOCIAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
COMMUNICATION SERVICES, CONTINUED
4,500 MCI Worldcom, Inc. (b)................................. 323,437
800 Nextel Communications, Inc Class a (b)................. 54,250
4,800 Sbc Communications, Inc. .............................. 245,100
2,400 Sprint Corp. .......................................... 130,200
600 Sprint Corp. Pcs (b)................................... 44,738
700 Vodafone Airtouch PLC, ADR............................. 166,425
------------
2,071,050
------------
CONSUMER CYCLICALS (9.0%):
100 Armstrong World Industries, Inc. ...................... 4,494
400 Autozone, Inc. (b)..................................... 11,225
100 Belo (A.H.) Corp., Class a............................. 1,913
200 Black And Decker Corp. ................................ 9,138
300 Brunswick Corp. ....................................... 7,463
1,500 Carnival Corp., Class a................................ 65,249
100 Centex Corp. .......................................... 2,956
200 Consolidated Stores (b)................................ 4,413
200 Cooper Tire & Rubber Co. .............................. 3,525
600 Costco Wholesale Corp. ................................ 43,199
500 Dana Corp. ............................................ 18,563
1,200 Dayton Hudson Corp. ................................... 72,074
300 Dillards Inc. ......................................... 6,094
600 Dollar General......................................... 18,525
300 Dow Jones And Co. ..................................... 16,013
400 Dun & Bradstreet....................................... 11,950
200 Eaton Corp. ........................................... 17,263
1,500 Emerson Electric Co. .................................. 94,780
500 Equifax, Inc. ......................................... 14,063
600 Federated Department Stores, Inc. (b).................. 26,213
2,900 Ford Motor Co. ........................................ 145,543
900 Gannett, Inc. ......................................... 62,268
2,300 Gap, Inc. ............................................. 73,599
100 Gartner Group Inc. (b)................................. 1,669
800 Genuine Parts Co. ..................................... 21,250
400 Goodyear Tire & Rubber Co. ............................ 19,250
400 Hasbro, Inc. .......................................... 8,575
</TABLE>
See Notes to Financial Statements.
9
<PAGE> 10
THE COVENTRY GROUP
WALDEN/BBT DOMESTIC SOCIAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
CONSUMER CYCLICALS, CONTINUED
3,600 Home Depot, Inc. ...................................... 247,049
700 J.C. Penney, Inc. ..................................... 24,063
300 Johnson Controls, Inc.................................. 19,894
1,300 K Mart, Inc. .......................................... 15,194
300 Knight-Ridder, Inc. ................................... 16,463
400 Kohl's Corp. (b)....................................... 26,450
900 Laidlaw, Inc. ......................................... 6,075
100 Lamar Advertising Co. (b).............................. 4,950
100 Lear Corp. (b)......................................... 3,519
100 Leggett & Platt, Inc. ................................. 1,969
400 Limited, Inc. ......................................... 15,300
200 Liz Claiborne.......................................... 6,200
900 Lowe's Cos., Inc. ..................................... 43,874
600 Marriott International Class-A......................... 19,613
1,000 Masco Corp. ........................................... 31,000
900 Mattel................................................. 17,100
1,100 May Department Stores Co. ............................. 40,081
300 Maytag................................................. 9,994
600 Mcgraw-Hill Cos., Inc. ................................ 29,025
100 Meredith Corp. ........................................ 3,631
400 Meritor Automotive Incorporated........................ 8,350
400 New York Times Co. .................................... 15,000
800 Newell Rubbermaid, Inc. ............................... 22,850
700 Nike, Inc. ............................................ 39,813
400 Nordstrom, Inc. ....................................... 10,800
600 Ogden Corp. ........................................... 6,000
500 Omnicom Group.......................................... 39,594
100 Outdoor Systems, Inc. (b).............................. 3,575
700 Paychex................................................ 23,888
1,200 Primedia, Inc. (b)..................................... 16,800
1,200 Sears, Roebuck & Co. .................................. 37,650
200 Snap-On, Inc. ......................................... 6,500
300 Stanley Works.......................................... 7,556
1,100 Staples, Inc. (b)...................................... 23,994
500 Tandy Corp. ........................................... 25,844
</TABLE>
See Notes to Financial Statements.
10
<PAGE> 11
THE COVENTRY GROUP
WALDEN/BBT DOMESTIC SOCIAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
CONSUMER CYCLICALS, CONTINUED
200 Times Mirror Co. ...................................... 13,163
800 Tjx Companies, Inc. ................................... 22,450
57 Too Inc. (b)........................................... 1,022
600 Toys 'r Us (b)......................................... 9,000
800 Tribune Co. ........................................... 39,800
200 Tupperware Corp. ...................................... 4,050
300 Vf Corp. .............................................. 9,300
11,000 Wal-Mart Stores, Inc. ................................. 523,187
200 Whirlpool.............................................. 13,063
------------
2,285,960
------------
CONSUMER STAPLES (11.3%):
1,200 Albertsons, Inc. ...................................... 47,475
200 American Greetings Corp., Class A...................... 5,150
700 Avon Products, Inc. ................................... 17,369
100 Ball Corp. ............................................ 4,406
1,000 Bestfoods.............................................. 48,500
1,300 Campbell Soup Co. ..................................... 50,863
2,100 Cendant Corporation.................................... 37,275
700 Clear Channel Communications........................... 55,913
600 Clorox, Inc. .......................................... 22,950
1,000 Coca Cola Enterprises, Inc. ........................... 22,563
6,100 Coca-Cola Co. ......................................... 293,180
1,600 Colgate-Palmolive Co. ................................. 73,200
1,800 Comcast Corp. Special (b).............................. 71,775
1,300 Conagra, Inc. ......................................... 29,331
92 Cox Communications, Inc. Cl-A (b)...................... 3,841
1,000 CVS Corp. ............................................. 40,813
100 Darden Restaurants, Inc. .............................. 1,956
200 Deluxe Corp. .......................................... 6,800
500 Donnelley R R & Sons Co. .............................. 14,438
200 Fruit Of the Loom Incorporation (b).................... 663
700 General Mills, Inc. ................................... 56,788
2,900 Gillette Co. .......................................... 98,419
400 Grainger W.W., Inc. ................................... 19,225
1,200 H.J. Heinz Co. ........................................ 51,600
</TABLE>
See Notes to Financial Statements.
11
<PAGE> 12
THE COVENTRY GROUP
WALDEN/BBT DOMESTIC SOCIAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
CONSUMER STAPLES, CONTINUED
500 Hershey Foods Corp. ................................... 24,344
400 Ikon Office Solutions.................................. 4,275
300 International Flavors & Fragrances, Inc. .............. 10,350
800 Interpublic Group Cos Incorporated..................... 32,900
1,200 Kellogg Co. ........................................... 44,925
1,500 Kimberly Clark Corp. .................................. 78,750
2,200 Kroger Co. (b)......................................... 48,538
3,600 Mcdonald's Corp. ...................................... 154,799
1,600 Media One Group (b).................................... 109,299
4,000 Pepsico, Inc. ......................................... 120,999
3,600 Procter & Gamble Co. .................................. 337,499
900 Quaker Oats Co. ....................................... 55,688
1,000 Ralston- Ralston Purina Group.......................... 27,813
700 Rite Aid Corp. ........................................ 9,669
1,300 Safeway Inc (b)........................................ 49,481
2,500 Sara Lee Corp. ........................................ 58,594
900 Service Corp. International............................ 9,506
300 Servicemaster Co. ..................................... 4,819
200 Sinclair Broadcast Group -- a (b)...................... 1,813
200 Supervalu, Inc. ....................................... 4,363
1,000 Sysco Corp. ........................................... 35,063
3,200 Time Warner, Inc. ..................................... 194,399
300 Tricon Global Restaurants (b).......................... 12,281
1,500 Unilever Nv-W/I........................................ 102,188
100 Usa Networks, Inc. (b)................................. 3,875
2,600 Walgreen Co. .......................................... 65,975
5,400 Walt Disney Co. ....................................... 139,724
100 Whitman Corp. ......................................... 1,425
300 William Wrigley, Jr. Co. .............................. 20,644
300 Winn Dixie Stores, Inc. ............................... 8,906
------------
2,847,397
------------
ENERGY (7.1%):
500 Aes Corp. ............................................. 29,500
200 Amerada Hess Corp. .................................... 12,250
</TABLE>
See Notes to Financial Statements.
12
<PAGE> 13
THE COVENTRY GROUP
WALDEN/BBT DOMESTIC SOCIAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
ENERGY, CONTINUED
300 Anadark Petroleum Corp. ............................... 9,169
200 Apache Corp. .......................................... 8,638
400 Ashland, Inc. ......................................... 13,450
900 Atlantic Richfield Co. ................................ 79,763
700 Baker Hughes, Inc. .................................... 20,300
400 Burlington Resources, Inc. ............................ 14,700
1,800 Chevron Corp. ......................................... 159,749
89 Devon Energy Corporation............................... 3,688
6,500 Exxon Corp. ........................................... 493,593
1,100 Halliburton Co. ....................................... 45,100
300 Kerr Mcgee Corp. ...................................... 16,519
200 Midamerican Energy Holdings Company.................... 5,900
2,200 Mobil Corp. ........................................... 221,649
1,100 Occidental Petroleums Corp. ........................... 25,438
200 Pennzoil-Quaker State Co. ............................. 2,525
1,000 Phillips Petroleum Co. ................................ 48,750
5,500 Royal Dutch Petro-Ny Shares............................ 324,843
1,400 Schlumberger Ltd. ..................................... 87,238
200 Sunoco Incorporation................................... 5,475
1,500 Texaco, Inc. .......................................... 94,688
700 Union Pacific Resources Group, Inc. ................... 11,244
800 Unocal................................................. 29,650
800 Usx-Marathon Group..................................... 23,400
100 Vastar Resources, Inc. ................................ 6,256
------------
1,793,475
------------
FINANCIALS (15.5%):
200 Aegon-Ars.............................................. 17,300
2,200 Allstate Corp. ........................................ 54,863
7,200 Amb Property Corp. .................................... 152,549
1,200 American Express Co. .................................. 161,549
700 American General Corp. ................................ 44,231
4,000 American International Group........................... 347,749
700 Aon Corp. ............................................. 20,694
200 Archstone Communities Trust............................ 3,863
1,900 Associates First Capital Class a....................... 68,400
</TABLE>
See Notes to Financial Statements.
13
<PAGE> 14
THE COVENTRY GROUP
WALDEN/BBT DOMESTIC SOCIAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
FINANCIALS, CONTINUED
800 B B & T Corp. ......................................... 25,900
4,500 Bank of America Corp. ................................. 250,593
2,000 Bank Of New York Co. Inc. ............................. 66,875
2,900 Bank One Corporation................................... 100,956
800 BankBoston Corp. ...................................... 34,700
300 Bear Stearns Cos., Inc. ............................... 11,531
100 Block H & R............................................ 4,344
500 Capital One Financial Corp. ........................... 19,500
100 Carramerica Realty Corp. .............................. 2,194
2,200 Chase Manhattan Corp. ................................. 165,824
500 Chubb Corp. ........................................... 24,906
500 Cigna Corp. ........................................... 38,875
400 Cincinnati Financial Corp. ............................ 15,013
8,300 Citigroup Inc. ........................................ 365,199
400 Comerica, Inc. ........................................ 20,250
800 Conseco, Inc. ......................................... 15,450
300 Country Wide Credit.................................... 9,675
100 Crescent Real Estate Equities Co. ..................... 1,800
100 Equity Residential Properties Trust.................... 4,238
2,800 Fannie Mae............................................. 175,524
1,900 Federal Home Loan Mortgage Corp. ...................... 98,800
700 Fifth Third Bancorp.................................... 42,591
100 First American Corp.- Tennessee........................ 4,288
2,600 First Union Corp. ..................................... 92,463
1,836 Firstar Corporation.................................... 47,048
1,500 Fleet Financial Group, Inc. ........................... 54,938
700 Franklin Resources, Inc. .............................. 21,525
100 Golden West Financial Corp. ........................... 9,825
600 Hartford Financial Services Group...................... 24,525
100 Highwoods Properties................................... 2,588
300 Host Marriott Corp. ................................... 2,850
1,400 Household International................................ 56,175
700 Hrpt Properties Trust.................................. 8,138
600 Huntington Bancshares.................................. 15,938
400 J.P. Morgan & Co., Inc. ............................... 45,700
</TABLE>
See Notes to Financial Statements.
14
<PAGE> 15
THE COVENTRY GROUP
WALDEN/BBT DOMESTIC SOCIAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
FINANCIALS, CONTINUED
200 Jefferson Pilot Corp. ................................. 12,638
1,200 Keycorp................................................ 30,975
300 Lehman Brothers Holding Inc. .......................... 17,494
500 Lincoln National Corp. ................................ 18,781
700 Marsh & Mclennan Co. .................................. 47,950
200 Mbia, Inc. ............................................ 9,325
2,000 Mbna Corp. ............................................ 45,625
1,400 Mellon Bank Corp. (b).................................. 47,250
900 Merrill Lynch.......................................... 60,469
300 Mgic Investment Corp. ................................. 14,325
1,400 Morgan Stanley Dean Witter Discover.................... 124,862
2,000 National City Corp. ................................... 53,375
300 Northern Trust Corp. .................................. 25,050
900 Pnc Bank Corp. ........................................ 47,419
200 Progressive Corp. ..................................... 16,338
400 Providian Financial.................................... 31,675
700 Regions Financial Corp. ............................... 21,000
300 Republic N Y Corp. .................................... 18,431
200 Safeco Corp. .......................................... 5,600
2,000 Schwab (Charles) Corp. ................................ 67,375
400 Simon Property Group, Inc. ............................ 8,975
400 Slm Holding Corporation................................ 17,200
600 St Paul Co. ........................................... 16,500
400 State Street Corp. .................................... 25,850
400 Summit Bancorp......................................... 12,975
600 Suntrust Banks, Inc. .................................. 39,450
700 Synovus Financial Corp. ............................... 13,081
400 Torchmark Corp. ....................................... 10,350
2,100 U.S. Bancorp........................................... 63,394
400 Union Planters Corp. .................................. 16,300
600 Unumprovident Corp. ................................... 17,663
500 Wachovia Corp. ........................................ 39,313
1,500 Washington Mutual, Inc. ............................... 43,875
3,600 Wells Fargo Company.................................... 142,649
------------
3,935,469
------------
</TABLE>
See Notes to Financial Statements.
15
<PAGE> 16
THE COVENTRY GROUP
WALDEN/BBT DOMESTIC SOCIAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
HEALTH CARE (11.2%):
4,100 Abbott Labs............................................ 150,675
400 Aetna.................................................. 19,700
200 Allergan, Inc. ........................................ 22,000
200 Alza (b)............................................... 8,563
3,500 American Home Products Corp. .......................... 145,250
1,200 Amgen, Inc. ........................................... 97,800
200 Bard C.R., Inc. ....................................... 9,413
300 Bausch & Lomb, Inc. ................................... 19,781
900 Baxter International, Inc. ............................ 54,225
700 Becton, Dickinson & Co. ............................... 19,644
300 Biomet................................................. 7,894
1,000 Boston Scientific Corp. (b)............................ 24,688
4,600 Bristol-Myers Squibb Co. .............................. 310,499
600 Cardinal Health, Inc. ................................. 32,700
1,900 Columbia/ Hca Healthcare Corp. ........................ 40,256
2,700 Eli Lilly & Co. ....................................... 172,799
800 Guidant Corp. (b)...................................... 42,900
100 Health Management Associates (b)....................... 738
1,400 Healthsouth Corp. (b).................................. 8,488
200 Hillenbrand Industry, Inc. ............................ 5,275
900 Ims Health, Inc. ...................................... 20,531
200 Integrated Health Services............................. 313
3,600 Johnson & Johnson...................................... 330,749
100 Lifepoint Hospital Incorporation (b)................... 869
200 Mallinckrodt Inc. ..................................... 6,038
300 Manor Care Inc. (b).................................... 5,156
400 Mckesson Hboc Incorporation............................ 11,600
2,600 Medtronic, Inc. ....................................... 92,300
6,200 Merck & Co., Inc. ..................................... 401,837
9,500 Pfizer, Inc. .......................................... 341,405
1,300 Pharmacia & Upjohn, Inc. .............................. 64,513
200 Saint Jude Medical Center.............................. 6,300
3,800 Schering-Plough Corp. ................................. 165,774
200 Sybron International Corp (b).......................... 5,375
1,000 Tenet Healthcare Corp. (b)............................. 17,563
</TABLE>
See Notes to Financial Statements.
16
<PAGE> 17
THE COVENTRY GROUP
WALDEN/BBT DOMESTIC SOCIAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
HEALTH CARE, CONTINUED
100 Triad Hospitals, Inc. (b).............................. 1,013
500 United Healthcare Corp. ............................... 24,344
2,100 Warner-Lambert Co. .................................... 139,388
------------
2,828,356
------------
TECHNOLOGY (24.3%):
900 3com Corp. (b)......................................... 25,875
100 Adobe Systems, Inc. ................................... 11,350
400 Advanced Micro Devices, Inc. .......................... 6,875
2,200 America Online......................................... 228,800
200 Andrew Corp. (b)....................................... 3,475
300 Apple Computer, Inc. (b)............................... 18,994
900 Applied Materials, Inc. (b) ........................... 70,088
1,600 Automatic Data Processing, Inc. ....................... 71,400
500 Bmc Software (b)....................................... 35,781
400 Cabletron Systems (b).................................. 6,275
300 Ceridian Corp. ........................................ 7,463
7,700 Cisco Systems, Inc. (b)................................ 527,931
4,400 Compaq Computer Corp. ................................. 100,925
1,500 Computer Associates International, Inc. ............... 91,875
1,000 Compuware Corp. (b).................................... 26,063
6,200 Dell Computer Corp. (b)................................ 259,238
900 Eastman Kodak Co. ..................................... 67,894
1,300 Electronic Data Systems Corp. ......................... 68,819
2,400 EMC Corp. ............................................. 171,450
1,200 First Data Corp. ...................................... 52,650
800 Gateway, Inc. (b)...................................... 35,550
200 General Dynamics Corp. ................................ 12,488
400 General Instrument Corp. (b)........................... 19,250
200 Harris Corp. .......................................... 5,525
2,800 Hewlett-Packard Co. ................................... 257,600
400 Honeywell, Inc. ....................................... 44,525
4,600 IBM Corp. ............................................. 558,324
8,100 Intel Corp. ........................................... 601,930
300 Lsi Logic Corp. (b).................................... 15,450
7,200 Lucent Technologies, Inc. ............................. 467,100
</TABLE>
See Notes to Financial Statements.
17
<PAGE> 18
THE COVENTRY GROUP
WALDEN/BBT DOMESTIC SOCIAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
TECHNOLOGY, CONTINUED
500 Micron Technology, Inc. ............................... 33,281
12,100 Microsoft Corp. (b).................................... 1,095,805
1,200 Minnesota Mining And Manufacturing Co. ................ 115,275
1,500 Motorola, Inc. ........................................ 132,000
400 National Semiconductor Corp. (b)....................... 12,200
3,200 Nortel Networks Corporation............................ 163,200
700 Novell, Inc. (b)....................................... 14,481
3,400 Oracle Corp. (b)....................................... 154,700
700 Parametric Technology Corp. (b)........................ 9,450
600 Peoplesoft Inc. (b).................................... 10,163
100 Polaroid Corp. ........................................ 2,600
600 Seagate Technology, Inc. (b)........................... 18,488
500 Silicon Graphics, Inc. (b)............................. 5,469
500 Solectron Corp. (b).................................... 35,906
1,900 Sun Microsystems, Inc. (b)............................. 176,700
1,000 Tellabs, Inc. (b)...................................... 56,938
1,800 Texas Instruments, Inc. ............................... 148,050
700 Unisys Corp. (b)....................................... 31,588
1,800 Xerox Corp. ........................................... 75,488
------------
6,162,745
------------
TRANSPORTATION (1.0%):
500 AMR Corp. ............................................. 27,250
1,800 Burlington Northern Santa Fe Corp. .................... 49,499
700 Csx Corp. ............................................. 29,663
600 Delta Air Lines, Inc. ................................. 29,100
800 Fdx Corporation (b).................................... 31,000
200 Gatx Corp. ............................................ 6,213
1,300 Norfolk Southern Corp. ................................ 31,850
100 Northwest Airlines Corp. (b)........................... 2,550
300 Ryder Systems, Inc. ................................... 6,113
1,300 Southwest Airlines Co. ................................ 19,744
700 Union Pacific Corp. ................................... 33,643
300 Us Airgroup Inc. (b)................................... 7,875
------------
274,500
------------
</TABLE>
See Notes to Financial Statements.
18
<PAGE> 19
THE COVENTRY GROUP
WALDEN/BBT DOMESTIC SOCIAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
UTILITIES (4.3%):
400 Ameren Corporation..................................... 15,125
900 American Electric Power, Inc. ......................... 30,713
200 American Water Works, Inc. ............................ 5,788
600 Carolina Power & Light Co. ............................ 21,225
800 Central & South West Corp. ............................ 16,900
100 Cilcorp, Inc. ......................................... 6,481
600 Cinergy Corp. ......................................... 16,988
300 Cms Energy Corp. ...................................... 10,181
700 Coastal Corp. ......................................... 28,656
300 Columbia Energy Group.................................. 16,613
700 Consolidated Edison Inc. .............................. 29,050
300 Consolidated Natural Gas Co. .......................... 18,713
400 Constellation Energy Group............................. 11,250
900 Dominion Resources, Inc. Of Virginia................... 40,612
100 Dqe, Inc. ............................................. 3,913
400 Dte Energy Co. ........................................ 14,450
1,100 Duke Energy Corp. ..................................... 60,637
2,300 Edison International................................... 55,918
100 El Paso Energy Corporation............................. 3,981
1,800 Enron Corp. ........................................... 74,249
1,100 Entergy Corp. ......................................... 31,831
700 First Energy Corp. .................................... 17,850
600 Florida Power & Light, Inc. ........................... 30,225
600 General Public Utilities Corp. ........................ 19,575
820 Global Crossing Ltd (b)................................ 21,730
200 Ipalco Enterprise, Inc. ............................... 3,888
100 L G & E Energy Corp. .................................. 2,125
100 Media General Inc -Cl a................................ 5,125
200 New England Electric System............................ 10,375
500 Niagara Mohawk Holdings Incorporation (b).............. 7,719
200 Nisource Incorporation................................. 4,425
1,100 Pacificorp............................................. 22,138
600 Peco Energy Corp. ..................................... 22,500
1,300 Pg & E Corp. .......................................... 33,637
100 Pinnacle West Capital.................................. 3,638
</TABLE>
See Notes to Financial Statements.
19
<PAGE> 20
THE COVENTRY GROUP
WALDEN/BBT DOMESTIC SOCIAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
UTILITIES, CONTINUED
100 Potomac Electric Power Co. ............................ 2,544
700 Pp&L Resources, Inc. .................................. 18,944
700 Public Service Enterprise Gp........................... 27,038
1,000 Reliant Energy Inc. ................................... 27,063
1,000 Sempra Energy.......................................... 20,813
100 Semco Energy, Inc. .................................... 1,394
200 Sonat, Inc. ........................................... 7,938
2,100 Southern Co. .......................................... 54,074
1,000 Texas Utilities........................................ 37,312
800 Unicom Corp. .......................................... 29,550
1,600 Us West Inc. .......................................... 91,299
1,300 Williams Co. .......................................... 48,668
------------
1,084,861
------------
Total Common Stocks.................................... 25,160,711
------------
SHORT-TERM INVESTMENTS (0.5%):
- --------------------------------------------------------------------------------
129,430 Fifth Third Money Market Fund.......................... 129,430
------------
Total Short-Term Investments........................... 129,430
------------
TOTAL (COST $26,396,595)(A)............................ $ 25,290,141
============
</TABLE>
Percentages indicated are based on net assets of $25,302,602.
See Notes to Financial Statements.
20
<PAGE> 21
THE COVENTRY GROUP
WALDEN/BBT DOMESTIC SOCIAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
- ---------------
l (a) Cost for federal income tax purposes differs from value by net unrealized
appreciation (depreciation) of securities as follows:
<TABLE>
<C> <S> <C> <C>
Unrealized appreciation................................... $ 721,605
Unrealized depreciation................................... (1,828,059)
Net unrealized appreciation............................... $(1,106,454)
===========
</TABLE>
See Notes to Financial Statements.
21
<PAGE> 22
THE COVENTRY GROUP
WALDEN/BBT INTERNATIONAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares COMMON STOCK -- (95.2)%: Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
AUSTRALIA (2.2%):
BASIC MATERIALS (0.2%):
13,500 Amcor Limited Ord A$1.................................. $ 64,757
11,000 CSR Ord A$1............................................ 27,789
------------
92,546
------------
CAPITAL GOODS (0.3%):
2,700 Brambles Inds Ord Stk Npv.............................. 78,184
21,600 Pacific Dunlop Ltd Ord A$0.50.......................... 32,422
6,640 Smith (Howard) Ord A 1................................. 49,618
------------
160,224
------------
COMMUNICATION SERVICES (0.3%):
31,000 Telstra Corp Ord Aud0.50............................... 160,678
------------
CONSUMER CYCLICALS (0.1%):
6,750 Coles Myer Ltd Ord A$.050.............................. 35,277
------------
CONSUMER STAPLES (0.1%):
10,000 Coca-Cola Amatil Aud0.5................................ 35,111
16,870 Goodman Fielder Ltd A$0.50............................. 15,634
------------
50,745
------------
ENERGY (0.1%):
21,500 Santos A$0.25.......................................... 60,153
------------
FINANCIALS (1.1%):
10,650 AMP Aud3............................................... 99,197
6,200 Lend Lease Corp Ord A$0.50............................. 75,669
11,100 National Australia Bank Ltd Ord A$1.................... 162,494
17,700 Westpac Banking Corp A$1............................... 109,196
------------
446,556
------------
UTILITIES (0.0%):
3,000 Australian Gas Light Co Ord A.......................... 17,738
------------
1,023,917
------------
</TABLE>
See Notes to Financial Statements.
22
<PAGE> 23
THE COVENTRY GROUP
WALDEN/BBT INTERNATIONAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
AUSTRIA (0.5%):
CAPITAL GOODS (0.2%):
700 Flughafen Wien Ag Npv.................................. $ 27,934
2,000 Wienberger Baustoff Industrie.......................... 44,517
------------
72,451
------------
ENERGY (0.1%):
700 OMV Ag Npv............................................. 64,895
------------
FINANCIALS (0.1%):
750 Bank Austria Npv....................................... 37,341
------------
UTILITIES (0.1%):
200 EVN Ag Npv............................................. 25,553
250 Oesterreichische El Wirtsch............................ 36,886
------------
62,439
------------
237,126
------------
BELGIUM (1.3%):
CAPITAL GOODS (0.1%):
60 Bekaert Sa Npv......................................... 27,477
------------
CONSUMER CYCLICALS (0.3%):
50 Colruyt Sa Npv......................................... 30,485
60 D' Ieteren Npv......................................... 26,422
800 Delhaize-Le Lion....................................... 63,900
------------
120,807
------------
ENERGY (0.0%):
1,125 Total Fina SA (b)...................................... 12
------------
FINANCIALS (0.8%):
5,150 Fortis B Npv........................................... 167,832
425 Group Bruxelles Lambert Npv............................ 81,019
2,650 KBC Bank Verzekerin Npv................................ 134,761
700 KBC Banlyerzekerin (b)................................. 22
------------
383,634
------------
</TABLE>
See Notes to Financial Statements.
23
<PAGE> 24
THE COVENTRY GROUP
WALDEN/BBT INTERNATIONAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
BELGIUM, CONTINUED
HEALTH CARE (0.1%):
1,400 Ucb S A Npv............................................ $ 56,583
------------
588,513
------------
DENMARK (0.9%):
CAPITAL GOODS (0.2%):
7 D/S 1912 'B' Dkk 1000.................................. 72,006
5 D/S Svendborg 'B' Dnkr1000............................. 71,633
------------
143,639
------------
COMMUNICATION SERVICES (0.2%):
1,400 Tele Danmark A/S Dkk5.................................. 83,438
------------
CONSUMER STAPLES (0.1%):
750 Danisco A/S Dkk20...................................... 31,375
------------
FINANCIALS (0.2%):
400 Den Danske Bank Dkk100................................. 45,559
620 Unidanmark 'A'Dkk100................................... 42,014
------------
87,573
------------
HEALTH CARE (0.2%):
600 Novo Nordisk As Ser B Dkk10............................ 71,346
------------
417,371
------------
FINLAND (1.8%):
BASIC MATERIALS (0.2%):
2,450 Upm-Kymmene Oy Fim10................................... 83,495
------------
COMMUNICATION SERVICES (0.2%):
2,800 Sonera-Yhtyma Oyj Npv.................................. 81,110
------------
FINANCIALS (0.1%):
5,400 Merita As Ord Npv...................................... 30,365
------------
</TABLE>
See Notes to Financial Statements.
24
<PAGE> 25
THE COVENTRY GROUP
WALDEN/BBT INTERNATIONAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
FINLAND, CONTINUED
TECHNOLOGY (1.3%):
6,960 Nokia (Ab) Oy Eur0.24.................................. $ 623,377
630 Tietoenator Oyj Ord Npv................................ 19,927
------------
643,304
------------
838,274
------------
FRANCE (8.3%):
BASIC MATERIALS (0.1%):
900 Nord-Est Ff50.......................................... 25,390
------------
CAPITAL GOODS (0.9%):
962 Air Liquide (L') Eur11................................. 152,653
1,040 Bic Eur3.82............................................ 50,750
350 Imerys Eur8............................................ 53,042
300 Legrand Eur2........................................... 67,414
825 Sidel Frf15............................................ 83,996
------------
407,855
------------
COMMUNICATION SERVICES (1.1%):
5,830 France Telecom Eur4.................................... 511,613
------------
CONSUMER CYCLICALS (2.2%):
425 Accor Eur15............................................ 99,079
840 Canal Plus Eur0.75..................................... 50,187
1,980 Carrefour Eur2.5....................................... 316,934
400 Chargeurs Frf100....................................... 24,495
340 Club Mediterranee Ff25................................. 34,399
300 Pathe Npv.............................................. 31,023
865 Pinault-Printemps Frf 20............................... 163,976
168 Promodes Ff20.......................................... 148,592
300 Sodexho Alliance Ff100................................. 50,800
710 Sommer-Allibert Frf5................................... 20,053
850 Valeo Eur3............................................. 61,511
------------
1,001,049
------------
</TABLE>
See Notes to Financial Statements.
25
<PAGE> 26
THE COVENTRY GROUP
WALDEN/BBT INTERNATIONAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
FRANCE, CONTINUED
CONSUMER STAPLES (0.4%):
90 Bongrain Sa Ff50....................................... $ 34,515
800 Casino Guich-Perr Ff10................................. 92,015
495 Eridania Beghin-Say Ff65 Par........................... 59,992
------------
186,522
------------
ENERGY (0.1%):
140 Cie Gengeophysiqu Ff10................................. 8,543
535 Technip Ff20........................................... 56,892
------------
65,435
------------
FINANCIALS (2.0%):
2,365 Axa Eur9.15............................................ 299,222
1,480 Banque Nationale De Paris Eur4......................... 118,135
84 Eurafrance Ff200....................................... 51,886
340 Natexis Banque Populaire Eur16......................... 24,423
1,500 Paribas Ex Banque Paribas.............................. 166,777
400 Simco-Union Pout L'Habitation.......................... 34,080
675 Societe Generale Ord Eur5.............................. 139,101
565 Unibail Ff100.......................................... 80,089
------------
913,713
------------
HEALTH CARE (0.4%):
175 Essilor Intl Ff20...................................... 55,912
3,400 Sanofi-Synthelabo Eur2................................. 144,839
------------
200,751
------------
TECHNOLOGY (0.2%):
450 Cap Gemini Eur8........................................ 70,928
------------
UTILITIES (0.9%):
1,160 Suez Lyonnaise Des Eaux Eur10.......................... 187,779
3,450 Vivendi Eur5.5......................................... 242,315
------------
430,094
------------
3,813,350
------------
</TABLE>
See Notes to Financial Statements.
26
<PAGE> 27
THE COVENTRY GROUP
WALDEN/BBT INTERNATIONAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
GERMANY (8.6%):
BASIC MATERIALS (0.4%):
1,250 Heidelberg(Portland-Zementwerk......................... $ 106,764
350 Henkel Kgaa Non Vtg Pref Npv........................... 22,328
600 Henkel Kgaa Npv(Br).................................... 33,292
300 Sgl Carbon Ag Ord Npv.................................. 20,608
------------
182,992
------------
CAPITAL GOODS (1.0%):
1,600 Agiv Ag Ord Npv........................................ 29,735
2,300 Bilfinger & Berger Bau Ag Npv.......................... 52,419
5,200 Buderus Ag Npv......................................... 88,053
7,500 Deutsche Lufthansa Ag Ord Npv.......................... 137,223
7,200 Fag Kugelfischer Georg Schafer......................... 68,245
950 Hochtief Ag Dem5....................................... 41,279
1,000 Linde Ag Npv........................................... 55,486
------------
472,440
------------
COMMUNICATION SERVICES (2.2%):
13,000 Deutsche Telekom Ag Npv................................ 533,028
3,065 Mannesmann Ag Npv Regd................................. 489,629
------------
1,022,657
------------
CONSUMER CYCLICALS (0.8%):
2,000 Continental Ag Npv..................................... 43,878
3,000 Dem Salamander Ag...................................... 47,925
650 Douglas Hldgs Ag Npv................................... 28,036
100 Karstadt Ag Dm50....................................... 45,156
1,600 Metro Ag Ord Npv....................................... 83,324
2,000 Volkswagen Ag Ord Npv.................................. 111,610
------------
359,929
------------
CONSUMER STAPLES (0.2%):
1,100 Beiersdorf Ag Npv...................................... 76,733
------------
</TABLE>
See Notes to Financial Statements.
27
<PAGE> 28
THE COVENTRY GROUP
WALDEN/BBT INTERNATIONAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
GERMANY, CONTINUED
FINANCIALS (2.8%):
1,600 Allianz Ag Npv Regd Vinkuliert (b)..................... $ 461,097
300 Amb Aachener Und Munchener............................. 27,764
750 Axa Colonia Konz Non Vtg Prf........................... 67,893
2,912 Bayerische Hypo-Und Vereinbank......................... 169,949
3,900 Deutsche Bk Ag Ord Npv Regd............................ 261,045
1,550 Munchener Ruckversicherungs-G.......................... 313,144
------------
1,300,892
------------
HEALTH CARE (0.5%):
3,900 Merck Kgaa Npv......................................... 141,218
800 Schering Ag Npv........................................ 87,329
------------
228,547
------------
TECHNOLOGY (0.7%):
350 Sap Ag Non Vtg Pfd Npv................................. 156,926
400 Sap Ag Ord Npv......................................... 154,211
------------
311,137
------------
3,955,327
------------
HONG KONG (2.3%):
CAPITAL GOODS (0.2%):
20,000 Cathay Pacific Airways................................. 36,047
14,000 Johnson Electric Hldgs Hkd0.05......................... 67,950
------------
103,997
------------
COMMUNICATION SERVICES (0.4%):
82,000 Cable & Wireless (Hkt) Hkd0.50......................... 179,992
------------
CONSUMER CYCLICALS (0.1%):
66,000 South China Morning Post Hldgs......................... 44,184
------------
</TABLE>
See Notes to Financial Statements.
28
<PAGE> 29
THE COVENTRY GROUP
WALDEN/BBT INTERNATIONAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
HONG KONG, CONTINUED
FINANCIALS (1.5%):
12,000 Cheung Kong(Hldgs) Hk$0.50............................. $ 100,031
12,000 Hang Seng Bank Hk$5.................................... 127,067
24,000 Hutchison Whampoa Hk$0.25.............................. 223,236
16,000 New World Development Co Hk$1.......................... 35,120
12,000 Sun Hung Kai Properties................................ 91,535
11,000 Swire Pacific A Hk $0.60............................... 52,114
13,000 Wharf Holdings Hk$1.................................... 37,573
------------
666,676
------------
UTILITIES (0.1%):
44,000 Hong Kong & China Gas Hk $0.25......................... 59,195
------------
1,054,044
------------
IRELAND (0.5%):
BASIC MATERIALS (0.3%):
3,700 CRH Ord Eur0.32 Dublin List............................ 70,849
15,300 Smurfit(Jefferson)Group Eur0.3......................... 45,298
------------
116,147
------------
FINANCIALS (0.2%):
6,700 Allied Irish Bks Eur0.32............................... 80,417
2,598 Irish Life & Permanent Ord............................. 29,190
------------
109,607
------------
225,754
------------
ITALY (4.4%):
COMMUNICATION SERVICES (1.2%):
25,390 Olivetti Spa Itl1000................................... 54,756
40,150 T.I.M.Spa Eur0.05...................................... 249,714
8,670 Telecom Italia Mobile Di Risp.......................... 31,948
6,570 Telecom Italia Spa Di Risp............................. 33,026
22,000 Telecom Italia Spa Ord Itl1000......................... 191,187
------------
560,631
------------
</TABLE>
See Notes to Financial Statements.
29
<PAGE> 30
THE COVENTRY GROUP
WALDEN/BBT INTERNATIONAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
ITALY, CONTINUED
CONSUMER CYCLICALS (0.4%):
1,550 Arnoldo Mondadori Editore Spa.......................... $ 27,072
19,300 Benetton Group Spa Itl250.............................. 42,034
9,900 Mediaset Itl1000....................................... 101,110
13,900 Pirelli Spa Eur0.52.................................... 33,826
------------
204,042
------------
CONSUMER STAPLES (0.1%):
18,200 Parmalat Finanziaria Itl1000........................... 24,422
------------
ENERGY (0.7%):
49,350 Eni Itl1000 (Regd)..................................... 309,562
------------
FINANCIALS (1.9%):
6,575 Assicurazioni Generali Itl2000......................... 218,473
9,500 Banca Commerciale Italiana-Spa......................... 65,561
14,200 Banco Intesa Spa Itl1000............................... 59,433
36,200 Istituto Naz Delle..................................... 117,971
3,500 Itl Banca Popolare..................................... 25,608
3,400 Mediobanca Spa Itl1000................................. 37,622
2,700 Ras Itl1000............................................ 26,972
1,400 S.A.I. (Soc Assic) Itl 1000............................ 16,028
8,784 San Paolo-Imi Spa Itl6000.............................. 114,129
29,950 Unicredito Italian Itl500.............................. 146,405
24,000 Unione Immobiliare Itl125.............................. 12,754
------------
840,956
------------
UTILITIES (0.1%):
4,380 Edison Eur1............................................ 38,530
5,670 Italgas (Soc Ital) Itl1000............................. 24,516
------------
63,046
------------
2,002,659
------------
</TABLE>
See Notes to Financial Statements.
30
<PAGE> 31
THE COVENTRY GROUP
WALDEN/BBT INTERNATIONAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
JAPAN (26.8%):
BASIC MATERIALS (0.9%):
16,000 Asahi Chemical Industry................................ $ 89,117
8,000 Kuraray Co Y50......................................... 93,776
6,000 Mitsubishi Gas & Cheml Co Y50.......................... 17,527
12,000 Taiheiyo Cement Corp Y50............................... 31,108
12,000 Teijin Y50............................................. 57,821
13,000 Toray Industries Inc Y50............................... 67,157
2,000 Toyo Seikan Kaisha Y50................................. 43,206
------------
399,712
------------
CAPITAL GOODS (4.2%):
4,000 Amada Y50.............................................. 27,915
15,000 Asahi Glass Co Y50..................................... 103,835
7,000 Dai Nippon Printing Co Y50............................. 130,116
29 East Japan Railway Co Y50000........................... 184,678
6,000 Fujikura Y50........................................... 38,885
10,000 Itochu Corp Y50........................................ 32,968
20,000 Japan Airlines Y50..................................... 77,019
24,000 Keihin Elec Express Rlwy Y50........................... 90,845
3,000 Kinden Corporation Y50................................. 24,796
10,000 Komatsu Y50............................................ 66,312
8,000 Mitsui Mining & Smelting............................... 42,830
3,000 Mori Seiki Y50......................................... 43,957
23,000 Nankai Electric Railway Y50............................ 90,733
6,000 Ngk Insulators Y50..................................... 58,215
9,000 Nippon Express Co Y50.................................. 60,357
14,000 Nippon Yusen Kk Y50.................................... 51,415
3,000 Nitto Denko Corp Y50................................... 95,241
6,000 Nsk Ltd Ord............................................ 43,507
6,000 Ntn Corp Y50........................................... 19,555
13,000 Osk Kitsui Lines Ltd Y50............................... 24,299
2,000 Secom.................................................. 178,459
600 Smc Y50................................................ 84,533
</TABLE>
See Notes to Financial Statements.
31
<PAGE> 32
THE COVENTRY GROUP
WALDEN/BBT INTERNATIONAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
JAPAN, CONTINUED
1,000 Tokyo Electron Y50..................................... $ 86,882
15,000 Tokyu Corp Y50......................................... 42,267
3,000 Tostem Corp Y50........................................ 70,163
6,000 Yamato Transport Y50................................... 152,442
------------
1,922,224
------------
COMMUNICATION SERVICES (2.0%):
75 Nippon Tel & Tel Corp Y50000........................... 922,823
------------
CONSUMER CYCLICALS (6.7%):
5,000 Casio Computer Co Y50.................................. 37,993
7,000 Citizen Watch Co Y50................................... 50,297
8,000 Daiei Inc Y50.......................................... 31,860
5,000 Daiwa House Industry Co Y50............................ 49,452
6,000 Denso Corporation Y50.................................. 127,082
4,000 Fuji Photo Film Ltd Ord Y50............................ 137,132
6,000 Honda Motor Co Y50..................................... 251,347
3,000 Ito-Yokado Co Y50...................................... 247,965
2,000 Jusco Co Y50........................................... 37,664
5,000 Kaneka Corp Y50........................................ 64,339
7,000 Konica Corp Y50........................................ 27,614
4,000 Marui Co Y50........................................... 74,690
14,000 Matsushita Elec Indl Co Y50............................ 297,840
4,000 N.G.K. Spark Plug Co Y50............................... 38,096
2,000 Namco Y50.............................................. 78,898
3,000 Nikon Y50.............................................. 57,765
2,000 Pioneer Corp Y50....................................... 34,377
18,000 Sanyo Electric Co Y50.................................. 87,069
4,000 Sekisui Chemical Y50................................... 22,580
7,000 Sekisui House Y50...................................... 79,029
10,000 Sharp Corp Y50......................................... 160,238
9,000 Shimizu Corporation Y50................................ 39,815
11,000 Taisei Corp Y50........................................ 24,487
4,000 Takashimaya Co......................................... 40,952
</TABLE>
See Notes to Financial Statements.
32
<PAGE> 33
THE COVENTRY GROUP
WALDEN/BBT INTERNATIONAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
JAPAN, CONTINUED
2,000 Tokyo Broadcasting Sys Inc Y50......................... $ 40,294
5,000 Toppan Printing Y50.................................... 62,930
3,000 Toyoda Auto Loom Y50................................... 55,116
23,000 Toyota Motor Co Y50.................................... 732,342
2,000 Uny Co Y50............................................. 29,305
3,000 Wacoal Corp Y50........................................ 32,545
3,000 Yamaha Corp Y50........................................ 28,037
------------
3,079,150
------------
CONSUMER STAPLES (0.7%):
6,000 Ajinomoto Co Inc....................................... 70,163
6,000 Kao Corp Y50........................................... 169,630
4,000 Nippon Meat Packers Y50................................ 51,133
3,000 Shiseido Y50........................................... 44,803
------------
335,729
------------
ENERGY (0.1%):
14,000 Teikoku Oil Co Y50..................................... 48,391
------------
FINANCIALS (5.8%):
800 Acom Co Y50............................................ 104,972
16,000 Asahi Bank Y50......................................... 114,965
28,000 Bank Of Tokyo Mitsubishi Bank.......................... 429,993
7,000 Daiwa Secs Group Jpy50................................. 63,776
18,000 Fuji Bank Y50.......................................... 218,773
9,000 Gumma Bank Y50......................................... 61,287
15,000 Industrial Bank Japan Y50.............................. 184,424
8,000 Joyo Bank Y50.......................................... 33,813
10,000 Mitsubishi Estate Co Y50............................... 101,534
8,000 Mitsubishi Trust & Banking Y50......................... 97,683
8,000 Mitsui Fudosan Co Y50.................................. 64,170
8,000 Mitsui Marine & Fire Y50............................... 42,455
5,000 Nippon Fire & Marine Y50............................... 16,625
11,000 Nomura Securities Co Y50............................... 170,476
</TABLE>
See Notes to Financial Statements.
33
<PAGE> 34
THE COVENTRY GROUP
WALDEN/BBT INTERNATIONAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
JAPAN, CONTINUED
400 Orix Corp Y50.......................................... $ 49,180
26,000 Sakura Bank Y50........................................ 195,366
7,000 Shizuoka Bank Y50...................................... 84,092
19,000 Sumitomo Bank Y50...................................... 285,535
8,000 Sumitomo Marine & Fire................................. 51,096
13,000 Tokai Bank Y50......................................... 93,898
11,000 Tokio Marine & Fire Ins Co Y50......................... 130,181
1,300 Uni-Charm Y50.......................................... 78,513
------------
2,672,807
------------
HEALTH CARE (2.0%):
3,000 Daiichi Pharmaceutical Co Y50.......................... 45,592
3,000 Eisai Co Y50........................................... 76,080
1,000 Hoya Corp Y50.......................................... 60,488
4,000 Olympus Optical Co Y50................................. 54,101
3,000 Sankyo Co Y50.......................................... 90,169
8,000 Shionogi & Co Y50...................................... 65,673
3,000 Taisho Pharmaceutical Co Y50........................... 126,237
5,000 Takeda Chemical Industries Y50......................... 270,038
3,000 Yamanouchi Pharmaceutical Co........................... 140,607
------------
928,985
------------
TECHNOLOGY (4.0%):
700 Advantest Y50.......................................... 101,252
2,000 Alps Electric.......................................... 41,797
6,000 Canon Inc Y50.......................................... 174,702
2,000 Fanuc Co Y50........................................... 136,005
12,000 Fujitsu Ltd Y50........................................ 374,202
800 Hirose Electronics..................................... 125,861
2,000 Kyocera Corp Y50....................................... 152,160
2,000 Murata Manufacturing Co Y50............................ 201,002
12,000 Nec Corp Y50........................................... 241,766
</TABLE>
See Notes to Financial Statements.
34
<PAGE> 35
THE COVENTRY GROUP
WALDEN/BBT INTERNATIONAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
JAPAN, CONTINUED
3,000 Omron Corp Y50......................................... $ 59,314
1,000 Rohm Co Y50............................................ 208,985
------------
1,817,046
------------
UTILITIES (0.4%):
26,000 Osaka Gas Co Y50....................................... 86,693
32,000 Tokyo Gas Y50.......................................... 76,644
------------
163,337
------------
12,290,204
------------
MALAYSIA (0.3%):
COMMUNICATION SERVICES (0.1%):
22,000 Telekom Malaysia Berhad My$1........................... 57,027
------------
UTILITIES (0.2%):
42,000 Tenaga Nasional Berhad My$1-........................... 86,213
------------
143,240
------------
NETHERLANDS (4.8%):
BASIC MATERIALS (0.2%):
1,350 Dsm Nv Nlg6.67......................................... 53,556
625 Koninklijke Hoogovens Nv Cva........................... 35,477
------------
89,033
------------
CAPITAL GOODS (1.2%):
1,440 Buhrmann Nv Nlg2.50 Post Cons.......................... 24,231
600 Ihc Caland Nv Nlg2..................................... 29,777
930 K.L.M. Koninklijke Luchtvaart.......................... 24,216
3,100 Koninklijke Kpn Nv Nlg1................................ 135,856
1,300 Koninklijke Pakhoed Nv Ntfl5........................... 35,927
2,139 Koninklijke Philips Electr Nv.......................... 215,273
3,500 Tnt Post Groep Nv Nlg1................................. 89,086
1,050 Vedior Nlg1 When Issued................................ 18,395
------------
572,761
------------
</TABLE>
See Notes to Financial Statements.
35
<PAGE> 36
THE COVENTRY GROUP
WALDEN/BBT INTERNATIONAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
NETHERLANDS, CONTINUED
CONSUMER CYCLICALS (0.3%):
4,800 Elsevier Nv Eur0.06-Ams Listng......................... $ 49,330
1,230 Hagemeyer Nlg2.50...................................... 29,539
2,000 Wolters Kluwers Cva Eur0.12............................ 68,586
------------
147,455
------------
CONSUMER STAPLES (0.9%):
4,875 Ahold (Kon) Nv Nlg0.50................................. 160,427
3,705 Unilever Nv Cva Nlg1.12................................ 252,136
------------
412,563
------------
FINANCIALS (2.0%):
9,650 Abn-Amro Hldgs Nv Nlg1.25.............................. 216,848
3,750 Aegon Nv Nlg0.50....................................... 322,692
450 Asr Verzekeringsgroep Nv Cva........................... 28,012
5,950 Ing Groep N V Cva Nlg1................................. 323,171
------------
890,723
------------
TECHNOLOGY (0.2%):
1,100 Getronics Nv Nlg0.25................................... 59,336
1,700 Oce Nv Nlg1............................................ 31,321
------------
90,657
------------
2,203,192
------------
NEW ZEALAND (0.1%):
COMMUNICATION SERVICES (0.1%):
10,000 Telecom Corp Of New Zealand............................ 39,403
------------
ENERGY (0.0%):
8,110 Flethcer Challenge Ltd Energy.......................... 20,312
------------
59,715
------------
NORWAY (0.3%):
BASIC MATERIALS (0.1%):
1,010 Norske Skogsindustrier Nwkr20.......................... 40,519
------------
</TABLE>
See Notes to Financial Statements.
36
<PAGE> 37
THE COVENTRY GROUP
WALDEN/BBT INTERNATIONAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
NORWAY, CONTINUED
FINANCIALS (0.2%):
8,670 Christiania Bank Nwkr7................................. $ 46,524
8,300 Den Norske Bank Nwkr10................................. 32,762
------------
79,286
------------
119,805
------------
PORTUGAL (0.5%):
CAPITAL GOODS (0.0%):
850 Brisa Auto Estradas De................................. 32,471
------------
COMMUNICATION SERVICES (0.1%):
1,400 Portugal Telecom S A Eur5.............................. 58,268
------------
FINANCIALS (0.2%):
1,100 Banco Espirito Santo Sa................................ 27,612
1,750 Bco Com Portugues Eur5(Regd)........................... 47,152
980 Bpi Sociedade Gestora Partic S......................... 20,018
------------
94,782
------------
UTILITIES (0.2%):
4,575 Electricidade De Portugual Edp......................... 72,208
------------
257,729
------------
SINGAPORE (0.9%):
CAPITAL GOODS (0.2%):
8,000 Singapore Airlines Sg$1................................ 78,096
25,000 Singport Technologies.................................. 31,903
------------
109,999
------------
COMMUNICATION SERVICES (0.1%):
36,000 Singapore Telecommunications........................... 65,629
------------
CONSUMER CYCLICALS (0.2%):
4,500 Singapore Press Hldgs Sgd1............................. 71,186
------------
</TABLE>
See Notes to Financial Statements.
37
<PAGE> 38
THE COVENTRY GROUP
WALDEN/BBT INTERNATIONAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
SINGAPORE, CONTINUED
FINANCIALS (0.4%):
5,000 City Developments Sgd0.50.............................. $ 25,434
6,978 Dbs Hldgs Sgd1......................................... 77,969
9,000 Oversea-Chinese Bkg Corp (Am).......................... 69,863
------------
173,266
------------
420,080
------------
SPAIN (2.7%):
CAPITAL GOODS (0.3%):
3,569 Autopistas Concesionaria............................... 39,378
1,600 Femento De Construcciones Y............................ 43,673
3,900 Grupo Dragados Sa Eur1................................. 44,857
------------
127,908
------------
COMMUNICATION SERVICES (0.7%):
19,782 Telefonica Sa Eur1..................................... 316,647
------------
ENERGY (0.3%):
8,100 Repsol Sa Eur 1 (Regd)................................. 158,640
------------
FINANCIALS (1.2%):
3,775 Argentaria Caja Postal Y Banco......................... 83,060
13,450 Banco Bilbao Vizcaya Sa................................ 177,333
26,026 Banco Santander Central................................ 269,136
490 Corporacion Mapfre Sa New Esp.......................... 9,158
------------
538,687
------------
UTILITIES (0.2%):
2,775 Gas Nat Sdg Sa Eur1.................................... 59,343
2,100 Sociedad General Aguas De.............................. 35,180
------------
94,523
------------
1,236,405
------------
</TABLE>
See Notes to Financial Statements.
38
<PAGE> 39
THE COVENTRY GROUP
WALDEN/BBT INTERNATIONAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
SWEDEN (2.6%):
BASIC MATERIALS (0.3%):
2,400 Aga Ab Swkr5 Ser'A'.................................... $ 40,987
2,290 Aga Ab Swkr5 Ser'B'.................................... 39,108
1,800 Svenska Cellulosa New Sek10'B'......................... 2,872
1,800 Svenska Cellulosa Ser'B'Swkr10......................... 47,976
------------
130,943
------------
CAPITAL GOODS (0.4%):
1,550 Atlas Copco Ab New Sek5 A.............................. 1,872
1,140 Atlas Copco Ab New Sek5 B.............................. 1,321
1,140 Atlas Copco Ab Ser 'B'Swkr5............................ 31,567
1,550 Atlas Copco Ab Ser A Swkr5............................. 43,488
2,800 Securitas Ser 'B' Sek1................................. 42,011
1,100 Skanska Ab Ser B Sek12................................. 40,926
------------
161,185
------------
COMMUNICATION SERVICES (0.8%):
11,550 Ericsson(Lm)(Telefonaktiebolag......................... 357,865
925 Netcom Ab.............................................. 34,302
------------
392,167
------------
CONSUMER CYCLICALS (0.5%):
3,000 Electrolux Ab Ser B Sek5............................... 55,991
4,800 Hennes & Mauritz Ab Sek0.25 'B......................... 120,911
1,300 Volvo Ab Ser A Sek6.................................... 36,632
2,100 Volvo Ab Ser B Sek6.................................... 59,303
------------
272,837
------------
FINANCIALS (0.4%):
1,100 Drott Ab Ser 'B' Sek2.................................. 10,198
3,975 Foreningssparbanken Sek A.............................. 64,490
3,000 Skandia Forsakring Ab Sek1............................. 62,578
4,825 Skandinaviska Enskilda Banken.......................... 49,146
------------
186,412
------------
</TABLE>
See Notes to Financial Statements.
39
<PAGE> 40
THE COVENTRY GROUP
WALDEN/BBT INTERNATIONAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
SWEDEN, CONTINUED
TECHNOLOGY (0.2%):
3,900 Svenska Handelsbannken Ser A........................... $ 54,472
600 Wm-Data Ab............................................. 25,983
------------
80,455
------------
1,223,999
------------
SWITZERLAND (5.7%):
BASIC MATERIALS (0.3%):
70 Alusuisse-Lonza Hldgs Chf100........................... 80,609
7 Ems-Chemie Hldg Ag Chg50............................... 34,427
100 Sika Finanz Ag Szf60 (Br).............................. 31,121
------------
146,157
------------
CAPITAL GOODS (0.6%):
100 Adecco Sa Chf10 (Regd)................................. 55,912
100 Fischer(Georg) Ag Szf100(Regd)......................... 31,988
200 Sair Group Regd Chf69.................................. 43,250
20 Schindler-Hldg Ag Ptg Certs............................ 30,855
20 Schindler-Hldg Ag Szf100(Regd)......................... 32,654
250 Sgs Holding Szf20(Regd)................................ 70,640
20 Sgs Societe Gen De Surveill............................ 22,445
------------
287,744
------------
COMMUNICATION SERVICES (0.3%):
450 Swisscom Ag Chf25...................................... 140,346
------------
CONSUMER CYCLICALS (0.5%):
75 Forbo Hldgs Ag Chf50 (Regd)............................ 32,737
78 Jelmoli Holding Ag Szf10(Regd)......................... 16,894
45 Jelmoli Holding Ag Szf50............................... 49,151
82 Movenpick Hldgs Szf50 (Br)............................. 35,465
275 Swatch Group Chf10(Regd)............................... 44,899
220 Valora Holding Ag Bern Szf25........................... 55,859
------------
235,005
------------
</TABLE>
See Notes to Financial Statements.
40
<PAGE> 41
THE COVENTRY GROUP
WALDEN/BBT INTERNATIONAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
SWITZERLAND, CONTINUED
FINANCIALS (2.5%):
1,775 Credit Suisse Group.................................... $ 325,291
115 Schweiz Ruckversicherungs-G............................ 229,529
1,311 Ubs Ag Utd Bk Switz Chf20.............................. 369,559
310 Zurich Allied Ag Chf10(Regd)........................... 172,914
------------
1,097,293
------------
HEALTH CARE (1.4%):
445 Novartis Ag Regd Chf20................................. 660,127
------------
TECHNOLOGY (0.1%):
70 Swatch Group Chf50(Br)................................. 54,486
------------
2,621,158
------------
UNITED KINGDOM (19.7%):
BASIC MATERIALS (0.4%):
5,100 Boc Group Ord 25P...................................... 106,333
3,650 Bpb Ord 50P............................................ 22,482
3,800 Rmc Group Ord 25P...................................... 58,702
------------
187,517
------------
CAPITAL GOODS (1.2%):
8,700 Baa Ord L1............................................. 87,616
9,700 British Airways Ord 25P................................ 54,475
25,650 Invensys Ord 25P....................................... 125,039
3,600 Ocean Group 'B' Shs 65 1/4P............................ 3,794
3,240 Ocean Group Ord 27 7/9P................................ 49,785
4,200 Penin&Orient Steam Nav Dfd Stk......................... 63,913
2,800 Railtrack Group Plc Ord 25P............................ 58,241
21,300 Rentokil Initial Ord1P................................. 75,420
11,400 Stagecoach Hldgs Gbp0.005.............................. 35,625
------------
553,908
------------
</TABLE>
See Notes to Financial Statements.
41
<PAGE> 42
THE COVENTRY GROUP
WALDEN/BBT INTERNATIONAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
UNITED KINGDOM, CONTINUED
COMMUNICATION SERVICES (2.6%):
37,800 British Telecommunications Ord......................... $ 567,746
15,850 Cable & Wireless Ord 25P............................... 172,413
18,700 Vodafone Airtouch Ord Usd0.10.......................... 442,554
------------
1,182,713
------------
CONSUMER CYCLICALS (1.5%):
6,000 Carlton Communications Ord 5P.......................... 45,405
6,400 Compass Group Ord Gbp0.025............................. 62,767
4,500 Emi Group Ord 14P...................................... 32,942
13,200 Granada Group Ord Gbp0.125............................. 113,587
9,000 Kingfisher Ord Gpb0.125................................ 97,307
3,400 Next Ord 10P........................................... 34,185
4,000 Pearson Ord 25P........................................ 85,902
8,400 Reed Intl Ord12.5P..................................... 50,598
12,600 Reuters Group Ord Gbp0.25.............................. 142,040
5,800 Wolseley I Ord 25P..................................... 39,880
------------
704,613
------------
CONSUMER STAPLES (0.9%):
5,720 Associated British Foods Ord........................... 37,257
15,400 Cadbury Schweppes Ord 12.5P............................ 107,029
900 Reckitt & Colman Ord 10 10/19.......................... 11,176
11,000 Safeway Ord 25P........................................ 40,489
20,625 Unilever Ord 1.4P...................................... 195,142
12,700 United Biscuits (Hldgs) Ord............................ 38,276
------------
429,369
------------
ENERGY (2.5%):
59,750 BP Amoco Ord Usd0.50................................... 1,087,345
6,250 Enterprise Oil Ord 25P................................. 42,614
8,000 Lasmo Ord 25P.......................................... 18,215
------------
1,148,174
------------
</TABLE>
See Notes to Financial Statements.
42
<PAGE> 43
THE COVENTRY GROUP
WALDEN/BBT INTERNATIONAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
FINANCIALS (6.8%):
9,300 Abbey National Ord 10P-Lon............................. $ 164,955
12,000 Allied Zurich Ord Gbp0.25.............................. 139,328
9,250 Barclays Ord Stk 1..................................... 271,467
6,600 Boots Co Ord 25P....................................... 73,750
3,800 British Land Ord 25P................................... 29,883
9,450 Cgu Plc Ord 25P........................................ 146,216
8,125 Great Universal Stores................................. 61,887
14,615 Halifax Group Ord Gbpo.20.............................. 183,770
51,000 Hsbc Hldgs Ord Usd0.50................................. 583,743
4,500 Land Secs Ord Gbp1..................................... 60,771
36,700 Legal & General Group Ord 2.5P......................... 104,412
31,600 Lloyds Tsb Group Ord 25P............................... 394,219
23,400 Marks & Spencer Ord 25P................................ 121,778
4,047 Mepc Ord 30 5/19P...................................... 30,259
2,700 Provident Fin Ord 10 4/11 P............................ 32,483
12,800 Prudential Plc Gbp0.05................................. 196,680
10,568 Royal & Sun Alliance Ins Gr............................ 82,584
6,200 Royal Bank Of Scotland Grp Ord......................... 133,149
11,700 Sainsbury(J) Ord 25P................................... 73,077
1,750 Schroders Ord L1....................................... 35,421
7,200 Sun Life & Provincial Holdings......................... 56,680
48,800 Tesco Ord 5P........................................... 152,500
------------
3,129,012
------------
HEALTH CARE (2.1%):
21,500 Glaxo Wellcome Ord 25P................................. 565,471
32,700 Smithkline Beecham Ord 6.25P........................... 379,938
------------
945,409
------------
TECHNOLOGY (0.2%):
3,470 Electrocomponents Ord 10P.............................. 29,460
4,225 Misys Ord Gbp0.01...................................... 41,435
------------
70,895
------------
</TABLE>
See Notes to Financial Statements.
43
<PAGE> 44
THE COVENTRY GROUP
WALDEN/BBT INTERNATIONAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
UNITED KINGDOM, CONTINUED
UTILITIES (1.5%):
3,740 Anglian Water Ord 47 1/7P.............................. $ 44,225
27,100 Bg Ord 1 2/15.......................................... 156,655
25,470 Centrica Ord 5 5/9P.................................... 69,736
11,750 National Grid Grp Ord 11............................... 81,178
9,120 National Power Ord 50P................................. 71,081
6,700 Scottish & Southn Energy Ord........................... 62,123
9,300 Scottish Pwr Ord Gbp 0.50.............................. 85,464
4,000 Thames Water Ord Gbp0.23............................... 62,582
5,450 United Utilities Ord Gbp1.............................. 59,598
------------
692,642
------------
9,044,252
------------
Total Common Stocks.................................... 43,776,114
------------
PREFERRED STOCKS -- (0.7%):
- -----------------------------------------------------------------------------------------------------
FRANCE (0.1%):
CONSUMER STAPLES (0.1%):
800 Casino Guichard-Perrachon &............................ 60,491
------------
GERMANY (0.6%):
CAPITAL GOODS (0.1%):
1,500 Dyckerhoff Ag Non Vtg Prf Npv.......................... 46,167
------------
CONSUMER CYCLICALS (0.1%):
2,100 Volkswagen Ag Non Vtg Pref Npv......................... 66,535
------------
FINANCIALS (0.4%):
300 Axa Colonia Konz Ord Npv............................... 31,950
350 Friedrich Grohe Ag Non Vtg Prf......................... 106,643
------------
138,593
------------
251,295
------------
Total Preferred Stocks................................. 311,786
------------
</TABLE>
See Notes to Financial Statements.
44
<PAGE> 45
THE COVENTRY GROUP
WALDEN/BBT INTERNATIONAL INDEX
SCHEDULE OF PORTFOLIO INVESTMENTS -- SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Value
- -----------------------------------------------------------------------------------------------------
<C> <S> <C> <C>
GERMANY, CONTINUED
RIGHTS-FOREIGN SECURITIES -- (0.0%):
- -----------------------------------------------------------------------------------------------------
FRANCE (0.0%):
FINANCIALS (0.0%):
53 Axa Uap Wts 31-Jul-01 Cvg.............................. $ 492
------------
HONG KONG (0.0%):
FINANCIALS (0.0%):
900 Wharf Holdings- Wt12/99................................ 632
------------
Total Rights-Foreign Securities........................ 1,124
TOTAL (COST $38,593,166) (A)........................... $ 44,089,024
============
</TABLE>
Percentages indicated are based on net assets of $45,979,735.
- ---------------
(a) Cost for federal income tax purposes differs from value by net unrealized
appreciation (depreciation) of securities as follows:
<TABLE>
<C> <S> <C> <C>
Unrealized appreciation................................. $ 8,902,726
Unrealized depreciation................................. (3,406,818)
------------
Net unrealized appreciation............................. $ 5,495,908
============
</TABLE>
(b) Non-income producing securities.
See Notes to Financial Statements.
45
<PAGE> 46
THE COVENTRY GROUP
STATEMENTS OF ASSETS AND LIABILITIES AT SEPTEMBER 30, 1999 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Walden/BBT Walden/BBT
Domestic International
Social Index Fund Social Index Fund
- -----------------------------------------------------------------------------------------------------------
<S> <C> <C>
ASSETS
Investments in securities, at value (cost
$26,396,595, $38,593,116).......................... $25,290,141 $ 44,089,024
Cash................................................. -- 649,557
Foreign Currency..................................... -- 12,439
Receivables:
Receivable for securities sold................. -- 1,168,840
Dividends and interest......................... 24,511 90,545
Prepaid expenses and other assets.................... 7,117 1,693
----------- -----------------
Total assets............................. $25,321,769 $ 46,012,098
----------- -----------------
LIABILITIES
Payables:
Advisory fees.................................. $ 11,070 $ 21,901
Administration fees............................ 444 993
Custody fees................................... 1,202 2,695
Transfer agent fees............................ 3,348 1,855
Accrued expenses..................................... 3,103 4,919
----------- -----------------
Total liabilities........................ 19,167 32,363
----------- -----------------
NET ASSETS................................................. $25,302,602 $ 45,979,735
=========== =================
NET ASSET VALUE, OFFERING AND REDEMPTION PRICE PER SHARE
($25,302,602/2,637,860 shares outstanding;
$45,979,735/4,422,265 shares outstanding; unlimited
number of shares authorized without par value)....... $9.59 $10.40
-------- ------
-------- ------
COMPONENTS OF NET ASSETS
Paid-in capital...................................... $26,378,199 $ 40,312,552
Undistributed net investment income.................. 29,973 60,967
Undistributed net realized gain on investments....... 884 110,308
Net unrealized appreciation (depreciation) on
investments and foreign currency translations...... (1,106,454) 5,495,908
----------- -----------------
Net assets..................................... $25,302,602 $ 45,979,735
=========== =================
</TABLE>
See Notes to Financial Statements.
46
<PAGE> 47
THE COVENTRY GROUP
STATEMENTS OF OPERATIONS FOR THE PERIOD ENDING SEPTEMBER 30, 1999 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Walden/BBT Walden/BBT
Domestic International
Social Index Fund Social Index Fund
Period Ended Period Ended
September 30, 1999(a) September 30, 1999(b)
- -----------------------------------------------------------------------------------------------------------
<S> <C> <C>
INVESTMENT INCOME
Income Dividends.................................. $ 63,383 $ 99,239
------------ -----------
Expenses
Advisory fees............................... $ 22,212 $ 21,901
Administration fees......................... 8,777 8,761
Fund accounting fees........................ 434 385
Transfer agent fees......................... 3,348 1,855
Custody fees................................ 1,202 2,695
Audit fees.................................. 910 1,435
Trustees fees............................... 248 315
Registration fees........................... 416 1,155
Legal fees.................................. 290 385
Reports to shareholders..................... 1,036 1,400
Miscellaneous............................... 310 175
------------ -----------
Total expenses........................ 39,183 40,462
Less waivers / reimbursements............... (5,773) (2,190)
------------ -----------
Net expenses................................ 33,410 38,272
------------ -----------
NET INVESTMENT INCOME................. 29,973 60,967
------------ -----------
REALIZED AND UNREALIZED GAIN ON INVESTMENTS
Net realized gains on investments and foreign
currency transactions........................... 884 110,308
Net change in unrealized appreciation of
investments and translation of assets and
liabilities in foreign currencies............... (1,106,454) 5,495,908
------------ -----------
Net realized/unrealized gain (loss) on
investment and foreign currency........... (1,105,570) 5,606,216
------------ -----------
NET INCREASE (DECREASE) IN NET ASSETS
RESULTING FROM OPERATIONS........... $ (1,075,597) $ 5,667,183
============ ===========
</TABLE>
- ---------
(a) Fund commenced operations on July 31, 1999.
(b) Fund commenced operations on August 26, 1999
See Notes to Financial Statements.
47
<PAGE> 48
THE COVENTRY GROUP
STATEMENTS OF CHANGES IN NET ASSETS (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Walden/BBT Walden/BBT
Domestic International
Social Index Fund Social Index Fund
Period Ended Period Ended
September 30, 1999(b) September 30, 1999(c)
- --------------------------------------------------------------------------------------------------------------
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS FROM:
OPERATIONS
Net investment income..................... $ 29,973 $ 60,967
Net realized gain from security
transactions............................ 884 110,308
Net change in unrealized appreciation on
investments............................. (1,106,454) 5,495,908
------------ ------------
NET INCREASE (DECREASE) IN NET ASSETS
RESULTING FROM OPERATIONS............... (1,075,597) 5,667,183
------------ ------------
CAPITAL SHARE TRANSACTIONS
Net increase in net assets derived from
net change in outstanding shares (a)..... 26,378,199 40,312,552
------------ ------------
TOTAL INCREASE IN NET ASSETS............. 25,302,602 45,979,735
NET ASSETS
Beginning of Period....................... -- --
------------ ------------
END OF PERIOD................................... $ 25,302,602 $ 45,979,735
============ ============
</TABLE>
(a) A summary of capital share transactions is as follows:
<TABLE>
<CAPTION>
Period Ending Period Ending
September 30, 1999 September 30, 1999
----------------------- ------------------------
Shares Value Shares Value
--------- ----------- ---------- -----------
<S> <C> <C> <C> <C>
Shares sold.................................. 2,637,860 $26,378,199 $4,422,265 $40,312,552
Shares issued in reinvestment of
distribution............................... -- -- -- --
Shares issued in stock split................. -- -- -- --
Shares redeemed.............................. -- -- -- --
--------- ----------- ---------- -----------
Net increase................................. 2,637,860 $26,378,199 4,422,265 $40,312,552
========= =========== ========== ===========
</TABLE>
48
<PAGE> 49
THE COVENTRY GROUP
NOTES TO FINANCIAL STATEMENTS AT SEPTEMBER 30, 1999 (UNAUDITED)
- --------------------------------------------------------------------------------
NOTE 1 - ORGANIZATION
The Coventry Group (the "Group") was organized as a Massachusetts business
trust on January 8, 1992 and is registered under the Investment Company Act of
1940, as amended (the "1940 Act"), as an open-end management investment company.
The accompanying financial statements and financial highlights are those of the
Walden/BBT Domestic Social Index Fund and Walden/BBT International Social Index
Fund (individually, a "Fund", collectively, the "Funds"), which commenced
operations on July 31, 1999 and August 26, 1999, respectively. The Funds offer
one class of shares of beneficial interest ("shares"). The Group is authorized
to issue an unlimited number of shares.
The Funds' investment objectives are as follows:
Walden/BBT Domestic Social Index Fund seeks long-term capital growth
through a portfolio of stocks designed to meet the Fund's social criteria and to
be competitive with the domestic equity market.
Walden/BBT International Social Index Fund seeks long-term capital growth
through a portfolio of international equities designed to meet the Fund's social
criteria and to be competitive with the international equity market.
NOTE 2 - SIGNIFICANT ACCOUNTING POLICIES
The following is a summary of significant accounting policies consistently
followed by the Funds. These policies are in conformity with generally accepted
accounting principles.
A. Security Valuation. Investments in securities traded on a national
securities exchange or included in the NASDAQ National Market System
are valued at the last reported sales price at the close of regular
trading on the last business day of the period; securities traded on
an exchange or NASDAQ for which there have been no sales and other
over-the-counter securities are valued at the last reported bid price.
Securities for which quotations are not readily available are valued
at their respective fair values as determined in good faith by the
Board of Trustees. Short-term investments are stated at cost, which
when combined with accrued interest, approximates market value.
U.S. Government securities with less than 60 days remaining to
maturity when acquired by the Fund are valued on an amortized cost
basis. U.S. Government securities with more than 60 days remaining to
maturity are valued at the current market value (using the mean
between the bid and ask price) until the 60th day prior to maturity,
and are then valued at amortized cost based upon the value on such
date unless the Board of Trustees determines during such 60-day period
that this amortized cost basis does not represent fair value.
B. Federal Income Taxes. It is the Funds' policy to comply with the
requirements of the Internal Revenue Code applicable to regulated
investment companies and to distribute in a timely manner, all of its
net investment income and net capital gains to shareholders.
Therefore, no federal income tax provision is required.
49
<PAGE> 50
THE COVENTRY GROUP
NOTES TO FINANCIAL STATEMENTS AT SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
C. Security Transactions and Investment Income. Security transactions are
accounted for on the trade date. Net realized gains and losses on
investments sold are recorded on the first-in, first-out basis.
Interest income is recorded on an accrual basis and includes, where
applicable, the amortization of premiums or accretion of discounts.
Dividend income is recorded on the ex-dividend date.
D. Dividends to Shareholders. Dividends from net investment income are
declared and paid annually. Distributable net realized capital gains,
if any, are declared and distributed at least annually. The amounts of
dividends from net investment income and of distributions from net
realized gains are determined in accordance with federal income tax
regulations, which may differ from generally accepted accounting
principals. These "book/tax" differences are either considered
temporary or permanent in nature. To the extent these differences are
permanent in nature, such amounts are reclassified within the
components of net assets based on their federal tax-basis treatment;
temporary differences do not require reclassification.
E. Use of Estimates. The preparation of financial statements in
conformity with generally accepted accounting principles requires
management to make estimates and assumptions that affect the reported
amounts of assets and liabilities at the date of the financial
statements and the reported amounts of income and expenses during the
reporting period. Actual results could differ from those estimates.
NOTE 3 - COMMITMENTS AND OTHER RELATED PARTY TRANSACTIONS
For the period ended September 30, 1999, United States Trust Company of
Boston (the "Adviser") provided the Funds with investment management services
under an Investment Advisory Agreement. As compensation for its services, the
Adviser was entitled to an annual fee, computed daily and paid monthly, equal to
0.50% of each Fund's average net assets.
Fifth Third Bank acts as the Funds' Custodian under the Custody Agreement
and BISYS Fund Services Ohio, Inc. acts as the Transfer Agent under the Transfer
Agency Agreement with the Funds.
BISYS Fund Services (the "Administrator"), an indirect, wholly owned
subsidiary of The BISYS Group, Inc. acts as the Funds' Administrator under an
Administration Agreement. For its services, the Administrator receives an annual
fee, computed daily and paid monthly, equal to 0.20% of each Fund's average net
assets.
BISYS Fund Services (the "Distributor") acts as the Funds' principal
underwriter in a continuous public offering of the Funds' shares.
Certain officers and trustees of the Group are also officers and/or
directors of the Administrator and Distributor.
The Funds are responsible for their own operating expenses. The Adviser
has agreed to reduce fees payable to it by Walden/BBT Domestic Social Index Fund
and Walden/BBT International Social Index Fund, to the extent necessary to limit
the aggregate annual operating expenses to 0.75% and 1.00%, respectively, of
average net assets through March 31, 2000. Any such reductions made by the
Adviser in its fees or payments or reimbursement of expenses which are the
Funds' obligation may be subject to reimbursement by the Funds within three
years provided
50
<PAGE> 51
THE COVENTRY GROUP
NOTES TO FINANCIAL STATEMENTS AT SEPTEMBER 30, 1999 (UNAUDITED), CONTINUED
- --------------------------------------------------------------------------------
the Funds are able to effect such reimbursement and remain in compliance with
applicable limitations. For the period ended September 30, 1999, the Adviser
reimbursed the Funds as follows:
<TABLE>
<S> <C>
Walden/BBT Domestic Social Index Fund....................... $3,660
Walden/BBT International Social Index Fund.................. $ --
</TABLE>
The Administrator voluntarily agreed to waive a portion of their fees. For
the period ended September 30, 1999 the Administrator waived fees as follows:
<TABLE>
<S> <C>
Walden/BBT Domestic Social Index Fund....................... $2,113
Walden/BBT International Social Index Fund.................. $2,190
</TABLE>
NOTE 4 - PURCHASES AND SALES OF SECURITIES
The cost of purchases and the proceeds from sales of securities, excluding
short-term securities, were as follows:
<TABLE>
<CAPTION>
PURCHASES SALES
--------- -----
<S> <C> <C>
Walden/BBT Domestic Social Index Fund.................... $3,893 $15,783
Walden/BBT International Social Index Fund............... -- --
</TABLE>
51
<PAGE> 52
THE COVENTRY GROUP
- --------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS
FOR A CAPITAL SHARE OUTSTANDING THROUGHOUT EACH PERIOD (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Walden/BBT Walden/BBT
Domestic International
Social Index Social Index
Period Ending Period Ending
September 30, 1999(a) September 30, 1999(b)
- --------------------------------------------------------------------------------------------------------
<S> <C> <C>
Net asset value, beginning of period.................... $10.00 $10.00
Income from investment operations:
Net investment income............................. 0.01 0.01
Net realized and unrealized gain (loss) on
investments..................................... (0.42) 0.39
------ ------
Total from investment operations........................ (0.41) 0.40
------ ------
Net asset value, end of period.......................... $ 9.59 $10.40
====== ======
Total return............................................ (4.10%)(c) 4.00%(c)
Ratios/supplemental data:
Net assets, end of period (millions).................... $ 25.3 $ 46.0
Ratio of expenses to average net assets:
Before expense reimbursement...................... 0.89%(d) 0.90%(d)
After expense reimbursement....................... 0.76%(d) 0.85%(d)
Ratio of net investment income to average net assets:
Before expense reimbursement...................... 0.68%(d) 1.35%(d)
After expense reimbursement....................... 0.81%(d) 1.40%(d)
Portfolio turnover rate................................. 0.02% 0.00%
</TABLE>
- ---------
(a) Fund commenced operations on July 31, 1999.
(b) Fund commenced operations on August 26, 1999.
(c) Not annualized.
(d) Annualized.
See Notes to Financial Statements.
52
<PAGE> 53
[THIS PAGE INTENTIONALLY LEFT BLANK]
<PAGE> 54
Adviser, Custodian and Transfer Agent
United States Trust Company of Boston
40 Court Street
Boston, MA 02108
(617) 726-7250
-
Administrator & Distributor
BISYS Fund Services, Inc.
3435 Stelzer Road
Columbus, OH 43219
-
Auditors
Arthur Andersen LLP
Huntington Center
41 South High Street
Columbus, OH 43215-6150
-
Legal Counsel
Dechert Price & Rhoads
1775 Eye Street, N.W.
Washington, D.C. 20006
This report is intended for the shareholders of the Fund and may not be used as
sales literature unless preceded or accompanied by a current prospectus.
Past performance results shown in this report should not be considered a
representation of future performance. Share price and returns will fluctuate so
that shares, when redeemed, may be worth more or less than their original cost.
Statements and other information herein are dated and are subject to change.
11/99
Walden Logo
WALDEN ASSET MANAGEMENT
A Division of United States Trust Company of Boston
UNITED STATES TRUST COMPANY OF BOSTON
WALDEN/BBT DOMESTIC
SOCIAL INDEX FUND
WALDEN/BBT INTERNATIONAL
SOCIAL INDEX FUND
SEMI-ANNUAL REPORT
SEPTEMBER 30, 1999
