COVENTRY GROUP, N-30D, 2000-11-30

COVENTRY GROUP
N-30D, 2000-11-30

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<PAGE> 1

[Walden Logo]
WALDEN ASSET MANAGEMENT
A Division of United States Trust Company of Boston

WALDEN SOCIAL BALANCED FUND

WALDEN SOCIAL EQUITY FUND

SEMI-ANNUAL REPORT

SEPTEMBER 30, 2000
<PAGE> 2

TABLE OF CONTENTS

SEMI-ANNUAL REPORT-SEPTEMBER 30, 2000

<TABLE>
<S> <C>
WALDEN SOCIAL BALANCED FUND:

Investment Performance.................................... 1

Letter to Shareholders.................................... 2

Schedule of Portfolio Investments......................... 7

Financial Statements...................................... 9

Financial Highlights...................................... 11

WALDEN SOCIAL EQUITY FUND:

Investment Performance.................................... 12

Letter to Shareholders.................................... 13

Schedule of Portfolio Investments......................... 17

Financial Statements...................................... 19

Financial Highlights...................................... 21

Notes to Financial Statements............................... 22
</TABLE>
<PAGE> 3

[Walden Logo]
Walden Asset Management
A Division of United States Trust Company of Boston

WALDEN SOCIAL BALANCED FUND

INVESTMENT PERFORMANCE
SEPTEMBER 30, 2000
FUND NET ASSET VALUE: $10.68

<TABLE>
<CAPTION>
Annualized
Quarter Calendar Year Year Ended Since Inception
to Date to Date 9/30/00 June 20, 1999
------- ------- ------- -------------
<S> <C> <C> <C> <C>
Walden Social Balanced Fund*.............. 0.28% 4.30% 12.22% 5.99%
Standard & Poor's 500
Stock Index(1).......................... -0.97% -1.39% 13.28% 7.22%
Lehman Brothers Government/
Credit Bond Index(2).................... 2.87% 7.16% 6.72% N/A
90-Day U.S. Treasury Bills(3)............. 1.51% 4.23% 5.47% N/A
</TABLE>

WALDEN ASSET MANAGEMENT, A DIVISION OF UNITED STATES TRUST COMPANY OF BOSTON,
("WALDEN") SERVES AS INVESTMENT ADVISER TO THE WALDEN SOCIAL BALANCED FUND AND
RECEIVES A FEE FOR ITS SERVICES.

* After all expenses at an annual rate of 1%, the Investment Adviser's expense
limitation.

For more information on the Walden Social Balanced Fund and the Walden Social
Equity Fund, including a prospectus that outlines fees, charges and other
operating expenses, call 1 (800) 282-8782 X 4050. Please read the prospectus
carefully before investing or sending money.

SHARES OF THE FUND ARE NOT DEPOSITS OR OBLIGATIONS OF 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 LIMITED PARTNERSHIP.

---------------

(1) Standard & Poor's 500 Stock Index is an unmanaged index generally
representative of the U.S. stock market as a whole. The performance of the
index does not reflect the deduction of expenses associated with a mutual
fund, such as investment management and fund accounting fees. The Fund's
performance reflects the deduction of fees for these value-added services.
Investors cannot invest directly in an index, although they can invest in
its underlying securities.

(2) Lehman Brothers Government/Credit Bond Index is an unmanaged index
generally representative of the performance of U.S. Treasury, U.S.
government agencies and corporate debt securities. The performance of the
index does not reflect the deduction of expenses associated with a mutual
fund, such as investment management and fund accounting fees. The Fund's
performance reflects the deduction of fees for these value-added services.
Investors cannot invest directly in an index, although they can invest in
its underlying securities.

(3) 90-Day U.S. Treasury Bills are represented by the U.S. Treasury Bill Total
Return Index. Treasury bills are government guaranteed and offer a fixed
rate of return. Return and principal of stocks and bonds will vary with
market conditions. Treasury bills are less volatile than longer term
fixed-income securities and are guaranteed as to timely payment of
principal and interest by the U.S. Government.

THE PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND IS NOT AN INDICATION
OF FUTURE RESULTS. THE INVESTMENT RETURN AND NET ASSET VALUE WILL FLUCTUATE SO
THAT AN INVESTOR'S SHARES, WHEN REDEEMED, MAY BE WORTH MORE OR LESS THAN THEIR
ORIGINAL COST.
1
<PAGE> 4

WALDEN SOCIAL BALANCED FUND LETTER TO SHAREHOLDERS
SEPTEMBER 30, 2000

MARKET & PERFORMANCE REVIEW

The stock market was very volatile in the quarter ending September 30. It
fell 1.6% in July, rose strongly some 6.2% in August, and then sank 5.3% in
September, for a total return overall of -1.0% (using the Standard & Poor's 500
Stock Index(1) as the best proxy for the market as a whole). This is about 4%
below the quarterly historical return to equities from 1926 to 1999. Bonds did
relatively well as interest rates fell, providing a total return of 2.9%, as
measured by the Lehman Brothers Government/Credit (formerly
Government/Corporate) Bond Index(2). The cause of the strength in both stock and
bond markets was relief: relief that economic data began to indicate slowing
economic growth and consequent relief that inflation might be kept at bay. The
relief was enhanced by the Federal Reserve's decision not to stop raising rates
(though some expressed the concern that it reflected a desire to appear
politically neutral during election time). The cause of the weakness in equities
in September was due to quarterly earnings or sales shortfall
"pre-announcements." These are company disclosures in advance of actual earnings
announcements designed to forestall leaks and lawsuits, preemptively. They are
almost always negative financial information.

Equity markets continued to change in character. Medium-sized companies (as
measured by the Standard & Poor's MidCap 400 Index(3)) did extraordinarily well,
rising 11.8%, outperforming both smaller companies, which rose 3.1% (the
Standard & Poor's 600 Small Cap Index(4)), and the largest 100 companies, which
had returns slightly higher than the Standard & Poor's 500 Stock Index.

Equity "style" mattered enormously and explains even more than market
capitalization. Stocks of companies with secular growth prospects, like
technology companies, did very poorly, dropping some 8.8%, while those of more
stable or cyclical character, like utilities, rose 8.8%, as measured by the
Standard & Poor's/BARRA Growth and Value Indices(5), respectively.

The utility sector led the way, rising some 31.4% within the Standard &
Poor's 500 Stock Index, followed by financials and capital goods. The utility
industry is now experiencing some of the benefits of consolidation and higher
prices for its services as a result, much like the finance industry. In both
sectors, deregulation is leading to regional monopoly pricing power. The finance
industry this quarter, however, was responding primarily to lower interest rates
in a growing economy. Technology and communications services were the sectors
that declined the most, some 13.7% and 11.1%, respectively.

---------------

1 Standard & Poor's 500 Stock Index is an unmanaged index generally
representative of the U.S. stock market as a whole. The performance of the
index does not reflect the deduction of expenses associated with a mutual
fund, such as investment management and fund accounting fees. The Fund's
performance reflects the deduction of fees for these value-added services.
Investors cannot invest directly in an index, although they can invest in its
underlying securities.

2 Lehman Brothers Government/Credit Bond Index is an unmanaged index generally
representative of the performance of U.S. Treasury, U.S. government agencies
and corporate debt securities. The performance of the index does not reflect
the deduction of expenses associated with a mutual fund, such as investment
management and fund accounting fees. The Fund's performance reflects the
deduction of fees for these value-added services. Investors cannot invest
directly in an index, although they can invest in its underlying securities.

3 Standard & Poor's MidCap 400 Index is an unmanaged index comprised of 400
domestic stocks chosen for market size (median market capitalization of $676
million), liquidity and industry group representation. The performance of the
index does not reflect the deduction of expenses associated with a mutual
fund, such as investment management and fund accounting fees. The Fund's
performance reflects the deduction of fees for these value-added services.
Investors cannot invest directly in an index, although they can invest in its
underlying securities.

4 Standard & Poor's Small Cap 600 Index is an unmanaged index comprised of 600
domestic small capitalization stocks chosen for market size, liquidity and
industry group representation. The performance of the index does not reflect
the deduction of expenses associated with a mutual fund, such as investment
management and fund accounting fees. The Fund's performance reflects the
deduction of fees for these value-added services. Investors cannot invest
directly in an index, although they can invest in its underlying securities.

5 Standard & Poor's /BARRA Growth and Value Indices are unmanaged indices that
are generally representative of value companies with lower price-to-book
ratios and growth companies with higher ratios. The performance of the index
does not reflect the deduction of expenses associated with a mutual fund,
such as investment management and fund accounting fees. The Fund's
performance reflects the deduction of fees for these value-added services.
Investors cannot invest directly in an index, although they can invest in its
underlying securities.

Stocks of the more developed world did even more poorly than American
equities. The Morgan Stanley Capital International, MSCI EAFE(R) (Europe,
Australasia and Far East) Index(1) declined -8.3% for the quarter.

The Walden Social Balanced Fund returned 0.3% for the quarter versus 0.8%
for a 50/40/10 balanced fund index for the quarter (using the Standard & Poor's
500 Stock Index(2), the Lehman Brothers Government/Credit Bond Index(3), and the
90-Day U.S. Treasury Bills(4), respectively). The Lipper Balanced Fund
Average(5) returned 1.9% for the quarter. For the year to date and for twelve
months, this Walden portfolio has returned 4.3% and 12.2%. These returns are
above the Lipper Balanced Fund Average, which returned 3.3% and 11.3%, for the
same periods, and a 50/40/10 balanced fund index, which would have returned 2.8%
and 9.9%.

Equity returns in the portfolio were -0.1%, slightly better than those of
the Standard & Poor's 500 Stock Index which were -0.6%. For the year to date and
twelve months, stocks returned 4.4% and 17.6% in the portfolio, as compared to
-1.4% and 13.3%, respectively, for the Standard & Poor's 500 Stock Index.

The performance for the quarter primarily reflects asset allocation. The
portfolio ended the quarter with 64% in equities. For longer run periods there
are two sources of superior performance to the portfolio. The first is asset
allocation. The portfolio has generally been above a normal allocation to
equities since inception. The second is stock performance. Our equity analysis
continues to indicate that over longer periods equity selection and owning
companies of higher quality than the market average have been most explanatory
of superior equity returns, as has been the case for one quarter, year-to-date
and the past twelve months.

ECONOMIC SUMMARY & OUTLOOK

There are many fluid economic forces afloat which could unsettle the
American apple cart. Asset inflation is one obvious threat. (We have written in
the past of the way in which higher asset prices are not reflected immediately
in aggregate inflation statistics but creep in with, for example, each new lease
agreement for an apartment and the higher mortgage payments associated with each
new home purchase.) There are other sources, however. Labor markets are very
tight. Wage settlements ever since the United Parcel strike seem to have gone
toward substantially higher wages: most recently, for example, the
Bridgestone/Firestone settlement and the United Airlines negotiations. Higher
oil and other commodity prices are proving stickier than ever imagined and could
embed themselves deeply in the price of goods and services worldwide. European
truckers, farmers, and fishermen's protests about higher oil

---------------

1 Morgan Stanley Capital International, MSCI EAFE(R) (Europe, Australasia, and
Far East) Index is an unmanaged index comprised of 20 European and Pacific
Basin countries and weighted by market capitalization. The performance of the
index does not reflect the deduction of expenses associated with a mutual
fund, such as investment management and fund accounting fees. The Fund's
performance reflects the deduction of fees for these value-added services.
Investors cannot invest directly in an index, although they can invest in its
underlying securities.

2 Standard & Poor's 500 Stock Index is an unmanaged index generally
representative of the U.S. stock market as a whole. The performance of the
index does not reflect the deduction of expenses associated with a mutual
fund, such as investment management and fund accounting fees. The Fund's
performance reflects the deduction of fees for these value-added services.
Investors cannot invest directly in an index, although they can invest in its
underlying securities.

3 Lehman Brothers Government/Credit Bond Index is an unmanaged index generally
representative of the performance of U.S. Treasury, U.S. government agencies
and corporate debt securities. The performance of the index does not reflect
the deduction of expenses associated with a mutual fund, such as investment
management and fund accounting fees. The Fund's performance reflects the
deduction of fees for these value-added services. Investors cannot invest
directly in an index, although they can invest in its underlying securities.

4 90-Day U.S. Treasury Bills are represented by the U.S. Treasury Bill Total
Return Index. Treasury bills are government guaranteed and offer a fixed rate
of return. Return and principal of stocks and bonds will vary with market
conditions. Treasury bills are less volatile than longer term fixed-income
securities and are guaranteed as to timely payment of principal and interest
by the U.S. Government.

5 Lipper Balanced Funds Average is an average of funds whose primary objective
is to conserve principal by maintaining at all times a balanced portfolio of
both stocks and bonds. Typically, the stock/bond ratio ranges around 60%/40%.
Lipper is an independent mutual fund performance monitor whose results are
based on total return and do not reflect a sales charge.

Portfolio composition is subject to change.
3
<PAGE> 6
WALDEN SOCIAL BALANCED FUND LETTER TO SHAREHOLDERS
SEPTEMBER 30, 2000

prices produce political unrest disruptive to economic activity and unsettling
to established democratic processes. Medical care costs are rising quickly with
increasing medical technology. We could experience slowing economic growth in
the United States in a more inflationary environment. Stagflation, a word from
the seventies and early eighties, has made its reappearance in our vocabulary.

But, for the moment, these scattered, darker clouds float somewhat
isolated, in a brilliant, crisp blue autumn sky, not yet a gathering storm. The
labor settlements seem, in part, a sharing of the bounty of a fast growing
economy. Unemployment is low. Employment growth, while slowing, remains high.
Good jobs are abundant and even go unfilled for want of talent. Rapid growth
(5.6% in the Second Quarter; 6.1% this past year), productivity rising at a
swift rate (5.3% in the last quarter and 5.2% this past year), and still
relatively low inflation (2.4% in the most recent quarter and 2.1% for the past
twelve months, as measured by the Gross Domestic Product deflator) provide the
economic underpinnings for the higher wages. And income data shows that the
fastest rates of growth in income recently are in families in the bottom
quintile (20%), those with the lowest incomes. Compensation (which takes into
account benefits as well as wages) has been running at a 4.7% rate of growth for
the past year. All of this is wonderful news and about time.

As noted earlier we have been reluctant to reduce the proportion of the
portfolio in equities for these reasons. We have lowered equity exposures to a
level closer to but still above the benchmark in the balanced fund. We would
need to come to an analytical conclusion that for the foreseeable future
long-run equity returns would be about the same as or inferior to other assets
to sell equities and rebalance the portfolio significantly. We would also need
to conclude that there were not sufficient equity choices available within the
equity markets, which could lead to returns significantly above market indices.
Consequently, we continue to overweight equities.

The equity markets do present extraordinary challenges. Weighty portions of
the equity markets are at unsustainable valuations. If all of the very large,
very expensive companies did as well as their prices imply, there would be no
other companies left in very short order. Some must falter. This year, some of
these mighty have fallen hard: Dell Computer Corp., MICROSOFT CORP., LUCENT
TECHNOLOGIES, INC., INTEL CORP. and Procter & Gamble Co., for example. The whole
communications services industry sector, most prominently AT&T Corp., has
suffered mightily. Other companies' stock prices must and will fall if and when
they disappoint. Our response is not to leave technology, where most of the very
large, expensive stocks are found, but to re-examine the quality and
sustainability of the growth implied by the valuations ascribed to these, and
indeed, all portfolio companies. We seek smaller companies of quality, by owning
more of them or more of each of them. In smaller firms higher growth rates are
possible for longer periods. The portfolio holds large, expensive companies, but
we want to remain cognizant of the attendant risks. The portfolio has become
even more diversified and a little lower in valuation and market capitalization
as well.

Our concerns about inflation have led us to adopt a policy of owning
shorter duration assets than those of the broad bond market. This is now quite a
long-term view, predicated on the concern that inflation is more ahead than
behind us. With respect to quality, spreads have widened to make good income
available, especially in U.S. Government Agencies.

---------------

Portfolio holdings are in bold and subject to change.
4
<PAGE> 7
WALDEN SOCIAL BALANCED FUND LETTER TO SHAREHOLDERS
SEPTEMBER 30, 2000

SOCIAL RESEARCH & ACTION

Mercury pollution, drilling in sensitive rainforest ecosystems, wage
equity, and anti-discrimination policies are a few of the many issues Walden's
social research team raised with corporations during often quiet summer months.
We have been active on all fronts, initiating new research initiatives, company
dialogue, and shareholder resolutions for the 2001 proxy season.

We have filed a shareholder resolution requesting that CVS CORP. develop a
policy to phase out the sale of mercury based thermometers. Mercury, a
neurotoxin with extremely harmful effects on child and fetal brain development,
is at dangerous levels in water bodies throughout our nation. Although safe
alternatives to mercury thermometers exist, they are the major source of mercury
contamination in municipal solid waste, and consequently, the subject of
increasing legislative initiatives to ban them. CVS Corp. was targeted because
it ignored our requests for information. Other portfolio companies were more
responsive to our inquiries, including Wal-Mart Stores, Inc. (a Walden/BBT
Domestic Social Index Fund holding), that announced plans to halt the sale of
mercury thermometers.

Continuing our long history promoting greater accountability on equal
employment opportunity (EEO), we have also filed a resolution asking WORLDCOM,
INC. to produce a comprehensive diversity report. A less than stellar performer
on measures of EEO relative to other telecommunications companies, WorldCom,
Inc. has a policy against public disclosure of EEO data. This is but the first
of several similar campaigns we expect will evolve in the ensuing months.

On a related issue, Walden has been researching non-discrimination policies
of several portfolio companies to determine if they are explicit in prohibiting
discrimination due to sexual orientation. Many confirmed that their policies are
inclusive (BJ's Wholesale Club, Inc., UPS). We are urging those without
comprehensive policies to consider amending their non-discrimination statements
and at the same time are encouraging other institutional social investors to
apply pressure (AMERICAN INTERNATIONAL GROUP, CENTURYTEL, INC., and STRYKER
CORP.).

Round two of the genetically engineered food campaign led by the Interfaith
Center on Corporate Responsibility (ICCR) is underway. Like last year, Walden
was a core participant in crafting three new versions of resolutions that will
allow institutional investors to advocate for (1) the phase-out of genetically
engineered foods, (2) consumer choice via labeling, or (3) a report on how
companies could phase-out such foods. We withdrew our shareholder resolution at
ConAgra Foods, Inc., a holding in the Walden/BBT Domestic Social Index Fund,
upon gaining a specific commitment and process for dialogue. A representative of
the Nebraska Chapter of the Sierra Club delivered a statement prepared by Walden
at ConAgra Foods, Inc.'s annual meeting last month, expressing strong concern
over the financial, social and environmental risks associated with GE food. The
recent discovery of modified corn approved only for animal feed in Kraft's Taco
Bell taco shells was the latest spark in the controversy surrounding
genetically-engineered foods and led to a large product recall. The corn
variety, Starlink, is not allowed for human consumption for fear of allergic
reactions.

Walden has embarked on a project to learn how corporate leaders think and
act on issues of wage equity -- a topic receiving little attention, especially
in the social investment industry. We have asked several dozen companies that
have strong employment policies and benefits to answer questions on: wage growth
of low and mid-level wage earners, employee stake and growth in stock ownership
programs, minimum wage policies and lobbying, equal wage policies and practices,
and standards for international (developing economies) compensation. So far, a
low response rate suggests, not surprisingly, that disclosure of information
about this topic is still extraordinarily sensitive. Nevertheless, we will
continue to press for greater participation through active follow-up with the
companies. Our aim is to determine an appropriate set of questions to ask of
companies generally, and to provide a benchmark standard of practice.

---------------

Portfolio holdings are in bold and subject to change.
5
<PAGE> 8
WALDEN SOCIAL BALANCED FUND LETTER TO SHAREHOLDERS
SEPTEMBER 30, 2000

A trip to the U.K. afforded Walden the opportunity to meet with
representatives of several large financial institutions to discuss how they
integrate social and environmental factors with lending and investment
decisions. Barclays, a recent signatory to the United Nations Environmental
Programmes' Environmental Services Initiative, and HSBC shared their experiences
and, more importantly, opened the door to ongoing dialogue about their progress
and challenges. HSBC has developed unusual policies on lending to the defense
industry: the bank will not fund corporate clients involved in the production of
landmines, nor companies that fail to meet specific criteria governing
end-purchasers of defense products. We are engaged in similar discussions with
banks in other European countries and in the U.S.

Walden continues to press for corporate accountability on other sensitive
international issues. We are investigating the Ecuadorian operations of two
foreign energy companies, Repsol SA (Spain) and ENI SpA (Italy), specifically on
policies and practices concerning drilling in environmentally fragile rainforest
ecosystems and relationships with indigenous peoples. We are also testing our
ability to procure detailed information about the Burma operations of Unilever
PLC (U.K) and Fujitsu Ltd. (Japan). If successful, these inquiries may provide a
model for industry-focused efforts going forward.

***

On behalf of all of us at Walden Asset Management, I thank you for your
continued confidence in our services. Please feel free to contact us at (617)
726-7250 with any questions or comments.

Sincerely,

/s/ Stephen K. Moody
Stephen K. Moody
Portfolio Manager and Senior Vice President
Walden Asset Management
A Division of United States Trust Company of Boston

---------------

Portfolio composition is subject to change.
6
<PAGE> 9

WALDEN SOCIAL BALANCED FUND SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 2000 (UNAUDITED)

<TABLE>
<S> <C> <C>
COMMON STOCKS - 63.5%

SECURITY DESCRIPTION SHARES VALUE
-------------------------------------- ---------- -----------
CAPITAL GOODS - 2.7%
Avery Dennison Corp. ................. 1,300 $ 60,288
Dover Corp. .......................... 1,900 89,181
Illinois Tool Works................... 3,000 167,625
Ingersoll-Rand Co. ................... 1,000 33,875
-----------
350,969
-----------
COMMUNICATION SERVICES - 4.3%
Alltel Corp. ......................... 2,300 120,031
Bellsouth Corp. ...................... 2,000 80,500
CenturyTel, Inc. ..................... 2,000 54,500
SBC Communications, Inc. ............. 2,000 100,000
Vodafone Group PLC, ADR............... 4,000 148,000
WorldCom, Inc.(b)..................... 2,250 68,344
-----------
571,375
-----------
CONSUMER CYCLICALS - 5.2%
Costco Wholesale Corp.(b)............. 2,200 76,863
Dollar General Corp. ................. 10,000 167,499
Home Depot, Inc. ..................... 1,700 90,206
Honda Motor Co. Ltd., ADR............. 1,000 73,188
La-Z-Boy, Inc. ....................... 6,000 87,375
Leggett & Platt, Inc. ................ 3,000 47,438
Omnicom Group......................... 2,000 145,875
-----------
688,444
-----------
CONSUMER PRODUCTS - 1.6%
Aptargroup, Inc. ..................... 3,300 78,994
Cintas Corp. ......................... 3,150 137,222
-----------
216,216
-----------
CONSUMER STAPLES - 4.1%
Colgate-Palmolive Co. ................ 4,000 188,799
CVS Corp. ............................ 2,100 97,256
Sysco Corp. .......................... 3,000 138,938
Walgreen Co. ......................... 3,000 113,813
-----------
538,806
-----------
ENERGY - 1.8%
BP Amoco PLC, ADR..................... 4,600 243,800
-----------
FINANCIAL SERVICES - 11.9%
American International Group.......... 2,812 269,073
Charles Schwab Corp. ................. 5,140 182,470
Fannie Mae............................ 4,000 286,000
Fleet Boston Financial Corp. ......... 4,000 156,000
Northern Trust Corp. ................. 1,600 142,200
State Street Corp. ................... 2,000 260,000
T. Rowe Price Associates.............. 4,000 187,750
Wilmington Trust Corp. ............... 1,600 85,800
-----------
1,569,293
-----------
COMMON STOCKS, CONTINUED
SHARES OR
PRINCIPAL
SECURITY DESCRIPTION AMOUNT VALUE
-------------------------------------- ---------- -----------
HEALTH CARE - 11.7%
Amgen, Inc.(b)........................ 1,200 $ 83,794
Biomet, Inc. ......................... 4,500 157,500
Cardinal Health, Inc. ................ 3,000 264,562
Genzyme Corp.(b)...................... 1,400 95,463
Guidant Corp.(b)...................... 1,100 77,756
Johnson & Johnson..................... 2,400 225,449
Medtronic, Inc. ...................... 3,400 176,163
Merck & Co., Inc. .................... 2,600 193,538
Patterson Dental Co.(b)............... 3,400 76,500
Schering-Plough Corp. ................ 2,400 111,600
Stryker Corp. ........................ 2,000 85,875
-----------
1,548,200
-----------
PRODUCER PRODUCTS - 1.6%
Baldor Electric Co. .................. 1,000 20,313
Herman Miller, Inc. .................. 4,100 131,456
Teleflex, Inc. ....................... 1,600 55,000
-----------
206,769
-----------
TECHNOLOGY - 17.4%
ADC Telecommunications, Inc.(b)....... 2,000 53,781
Affiliated Computer Services,
Inc.(b)............................. 2,000 99,750
Applied Materials, Inc.(b)............ 1,700 100,831
Cisco Systems, Inc.(b)................ 5,100 281,776
EMC Corp.(b).......................... 1,400 138,775
Fiserv, Inc.(b)....................... 2,000 119,750
Hewlett-Packard Co. .................. 1,600 155,200
Intel Corp. .......................... 5,000 208,125
Lucent Technologies, Inc. ............ 4,000 122,250
Microsoft Corp.(b).................... 3,400 204,850
Nokia Corp., ADR...................... 400 15,925
Oracle Corp.(b)....................... 2,000 157,500
Sanmina Corp.(b)...................... 2,000 187,250
Sun Microsystems, Inc.(b)............. 1,100 128,425
Telefonaktiebolaget LM Ericsson,
ADR................................. 10,000 148,125
Waters Corp.(b)....................... 2,000 178,000
-----------
2,300,313
-----------
TRANSPORTATION - 1.2%
Southwest Airlines.................... 6,500 157,625
-----------
TOTAL COMMON STOCKS
(Cost $7,594,098)............. 8,391,810
-----------
COLLATERALIZED MORTGAGE OBLIGATIONS - 4.4%

U.S. GOVERNMENT AGENCY - 4.4%
Fannie Mae, 7.00%, 12/25/19........... $ 294,313 293,396
Fannie Mae, 7.15%, 8/25/20............ 46,869 46,672
Government National Mortgage
Association, 7.50%, 10/15/25, Pool
#421357............................. 244,923 246,167
-----------
TOTAL COLLATERALIZED MORTGAGE OBLIGATIONS
(Cost $588,572)..................... 586,235
-----------
</TABLE>

Continued
7
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WALDEN SOCIAL BALANCED FUND SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 2000 (UNAUDITED)
<TABLE>
<S> <C> <C>
CORPORATE OBLIGATIONS - 8.7%
PRINCIPAL
SECURITY DESCRIPTION AMOUNT VALUE
-------------------------------------- ---------- -----------
COMMUNICATION SERVICES - 3.0%
AT&T Corp., 7.00%, 5/15/05............ $ 250,000 $ 249,163
Pacific Bell, 6.88%, 8/15/06.......... 150,000 149,619
-----------
398,782
-----------
CONSUMER CYCLICALS - 1.9%
Leggett & Platt, Inc., 7.19%,
4/24/02(c).......................... 200,000 201,747
May Department Stores Co., 9.88%,
12/1/02............................. 50,000 53,059
-----------
254,806
-----------
CONSUMER STAPLES - 3.4%
H.J. Heinz Co., 6.88%, 1/15/03........ 250,000 252,181
Sysco Corp., 6.50%, 6/15/05........... 200,000 198,219
-----------
450,400
-----------
TRANSPORTATION - 0.4%
AMR Corp., 10.57%, 1/15/01............ 50,000 50,312
-----------
TOTAL CORPORATE OBLIGATIONS
(Cost $1,164,000)................... 1,154,300
-----------
MUNICIPAL NOTES AND BONDS - 0.4%
CALIFORNIA - 0.4%
State of California, 8.15%, 9/1/01.... 50,000 50,706
-----------
TOTAL MUNICIPAL NOTES AND BONDS
(Cost $50,719)...................... 50,706
-----------
U.S. GOVERNMENT AGENCY OBLIGATIONS - 16.3%
FEDERAL FARM CREDIT BANK - 1.5%
5.80%, 6/17/05........................ 100,000 96,905
5.95%, 3/5/08......................... 100,000 95,243
-----------
192,148
-----------
FEDERAL HOME LOAN BANK - 7.3%
4.57%, 10/16/00....................... 400,000 399,632
6.19%, 5/6/08......................... 300,000 290,399
5.90%, 3/26/09........................ 200,000 188,491
5.82%, 3/30/09........................ 100,000 93,726
-----------
972,248
-----------
FEDERAL HOME LOAN BANK-DISCOUNT NOTE -
5.9%
6.37%, 12/13/00....................... 300,000 296,010
6.40%, 2/23/01........................ 500,000 487,200
-----------
783,210
-----------
FEDERAL NATIONAL MORTGAGE ASSOCIATION
- 0.8%
5.13%, 2/13/04........................ 106,000 101,932
-----------
U.S. GOVERNMENT AGENCY OBLIGATIONS, CONTINUED
SHARES OR
PRINCIPAL
SECURITY DESCRIPTION AMOUNT VALUE
-------------------------------------- ---------- -----------
HOUSING AND URBAN DEVELOPMENT - 0.8%
Pohatcong Township, NJ, Series A,
7.13%, 8/1/12....................... $ 100,000 $ 100,264
-----------
TOTAL U.S. GOVERNMENT AGENCY OBLIGATIONS
(Cost $2,152,186)................... 2,149,802
-----------
CERTIFICATES OF DEPOSIT - 1.1%
Community Capital Bank, 4.57%,
7/20/04............................. 50,000 50,000
Shorebank Pacific, 4.55%, 7/13/04..... 50,000 50,000
Vermont Development Credit, 5.20%,
7/13/04............................. 50,000 50,000
-----------
TOTAL CERTIFICATES OF DEPOSIT
(Cost $150,000)..................... 150,000
-----------
INVESTMENT COMPANIES - 5.0%
SEI Daily Income Government II Fund... 264,602 264,602
Valiant U.S. Treasury Money Market
Portfolio........................... 396,904 396,904
-----------
TOTAL INVESTMENT COMPANIES
(Cost $661,506)..................... 661,506
-----------
TOTAL INVESTMENTS
(Cost $12,361,081)(a) - 99.4%....... 13,144,359
OTHER ASSETS IN EXCESS OF LIABILITIES - 0.6%...... 74,028
-----------
NET ASSETS - 100.0%............................... $13,218,387
===========
</TABLE>

------------------

(a) Cost differs from value by net unrealized appreciation of securities as
follows:

<TABLE>
<S> <C>
Unrealized appreciation........................ $1,571,881
Unrealized depreciation........................ (788,603)
----------
Net unrealized appreciation.................... $ 783,278
==========
</TABLE>

(b) Represents non-income producing security.

(c) Security exempt from registration under Rule 144a of the Securities Act of
1933. These securities may be resold in transactions exempt from
registration normally to qualified institutional buyers.

<TABLE>
<S> <C>
ADR --American Depositary Receipt
PLC --Public Limited Company
</TABLE>

See notes to financial statements.

8
<PAGE> 11

WALDEN SOCIAL BALANCED FUND

STATEMENT OF ASSETS AND LIABILITIES

SEPTEMBER 30, 2000 (UNAUDITED)

<TABLE>
<S> <C> <C>
ASSETS:
Investments, at value (cost $12,361,081).... $13,144,359
Interest receivable......................... 63,992
Dividends receivable........................ 5,488
Receivable from investment adviser.......... 2,378
Prepaid expenses............................ 3,451
-----------
TOTAL ASSETS............................ 13,219,668
LIABILITIES:
Payable to custodian........................ $910
Accrued expenses and other liabilities:
Administration............................ 325
Other..................................... 46
----
TOTAL LIABILITIES....................... 1,281
-----------
NET ASSETS.................................. $13,218,387
===========
COMPOSITION OF NET ASSETS:
Capital..................................... $12,382,680
Accumulated net investment income........... 162,590
Accumulated net realized losses from
investment transactions................... (110,161)
Unrealized appreciation from investments.... 783,278
-----------
NET ASSETS.................................. $13,218,387
===========
Shares Outstanding (par value $0.001,
unlimited number of authorized shares).... 1,237,756
===========
Net Asset Value, Offering Price and
Redemption Price per share................ $10.68
===========
</TABLE>

STATEMENT OF OPERATIONS

FOR THE SIX MONTHS ENDED SEPTEMBER 30, 2000 (UNAUDITED)

<TABLE>
<S> <C> <C>
INVESTMENT INCOME:
Interest.................................... $111,689
Dividend.................................... 60,560
--------
TOTAL INVESTMENT INCOME................. 172,249

EXPENSES:
Investment adviser.......................... $49,366
Administration.............................. 13,164
Custodian................................... 1,699
Transfer agency............................. 7,033
Other....................................... 13,473
-------
Total expenses before voluntary fee
reductions and contractual
reimbursements........................ 84,735
Voluntary fee reductions and contractual
reimbursements........................ (18,934)
--------
NET EXPENSES............................ 65,801
--------
NET INVESTMENT INCOME....................... 106,448
--------
NET REALIZED/UNREALIZED LOSSES FROM
INVESTMENTS:
Net realized losses from investment
transactions.............................. (74,899)
Change in unrealized appreciation from
investments............................... (42,194)
--------
Net realized/unrealized losses from
investments............................... (117,093)
--------
CHANGE IN NET ASSETS RESULTING FROM
OPERATIONS................................ $(10,645)
========
</TABLE>

See notes to financial statements.
9
<PAGE> 12

WALDEN SOCIAL BALANCED FUND
STATEMENTS OF CHANGES IN NET ASSETS

NET ASSETS:
Beginning of period....................................... 13,117,409 --
----------- -----------
End of period (including accumulated net investment income
of $162,590, and $56,142, respectively)................. $13,218,387 $13,117,409
=========== ===========
SHARE TRANSACTIONS:
Issued.................................................... 50,742 1,349,918
Reinvested................................................ -- 10,334
Redeemed.................................................. (40,307) (132,931)
----------- -----------
CHANGE IN SHARES............................................ 10,435 1,227,321
=========== ===========
</TABLE>

(a) Commenced operations on June 20, 1999.

See notes to financial statements.
10
<PAGE> 13

WALDEN SOCIAL BALANCED FUND
FINANCIAL HIGHLIGHTS

SELECTED DATA FOR A SHARE OUTSTANDING THROUGHOUT THE PERIOD INDICATED.

<TABLE>
<CAPTION>
FOR THE SIX
MONTHS ENDED FOR THE
SEPTEMBER 30, PERIOD ENDED
2000 MARCH 31,
(UNAUDITED) 2000(a)
------------- ------------
<S> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD........................ $ 10.69 $ 10.00
------- -------
INVESTMENT ACTIVITIES:
Net investment income..................................... 0.09 0.13
Net realized and unrealized gains/(losses) from
investments transactions................................ (0.10) 0.65
------- -------
Total from investment activities.......................... (0.01) 0.78
------- -------
DIVIDENDS:
Net investment income..................................... -- (0.09)
------- -------
Total dividends........................................... -- (0.09)
------- -------
NET ASSET VALUE, END OF PERIOD.............................. $ 10.68 $ 10.69
======= =======
TOTAL RETURN(c)............................................. (0.09)% 7.83%
RATIOS/SUPPLEMENTARY DATA:
Net assets at end of period (000's)......................... $13,218 $13,117
Ratio of expenses to average net assets(d).................. 1.00% 1.01%
Ratio of net investment income to average net assets(d)..... 1.62% 1.70%
Ratio of expenses to average net assets(b)(d)............... 1.29% 1.34%
Portfolio turnover.......................................... 3% 29%
</TABLE>

(a) Commenced operations on June 20, 1999.
(b) During the period, certain fees were voluntarily or contractually reduced.
If such fee reductions had not occurred, the ratio would have been as
indicated.
(c) Not annualized.
(d) Annualized.

See notes to financial statements.
11
<PAGE> 14

[Walden Logo] Walden Asset Management
A Division of United States Trust Company of Boston

WALDEN SOCIAL EQUITY FUND

INVESTMENT PERFORMANCE
SEPTEMBER 30, 2000
FUND NET ASSET VALUE: $10.25

<TABLE>
<CAPTION>
Annualized
Quarter Calendar Year Year Ended Since Inception
to Date to Date 9/30/00 June 20, 1999
-------- ------------- ---------- ---------------
<S> <C> <C> <C> <C>
Walden Social Equity Fund*.................. -1.35% 0.49% 9.31% 2.65%
Standard & Poor's 500
Stock Index(1)............................ -0.97% -1.38% 13.28% 7.22%
</TABLE>

WALDEN ASSET MANAGEMENT, A DIVISION OF UNITED STATES TRUST COMPANY OF BOSTON,
("WALDEN") SERVES AS INVESTMENT ADVISER TO THE WALDEN SOCIAL EQUITY FUND AND
RECEIVES A FEE FOR ITS SERVICES.

* After all expenses at an annual rate of 1%, the Investment Adviser's expense
limitation.

For more information on the Walden Social Balanced Fund and the Walden Social
Equity Fund, including a prospectus that outlines fees, charges and other
operating expenses, call 1 (800) 282-8782 X4050. Please read the prospectus
carefully before investing or sending money.

---------------

WALDEN SOCIAL EQUITY FUND LETTER TO SHAREHOLDERS
SEPTEMBER 30, 2000

MARKET & PERFORMANCE SUMMARY

The stock market ended the third quarter with a 1% loss as measured by the
Standard & Poor's 500 Stock Index(1) and is now down 1.4% for the year. But the
market was anything but stable over the last three months. The Standard & Poor's
500 Stock Index gained 5% through August and then declined by 6% in September.
Volatility among market sectors was even more dramatic. During the quarter
financials and utilities gained 20% and 28% respectively while technology and
communications stocks declined by 11% and 17%, respectively. These aggregate
results were driven by even greater individual stock volatility as many large
capitalization stocks reached new highs in August, only to face drastic declines
in September. In sum, even by recent standards, market swings in the third
quarter of the year 2000 were extraordinary.

Returns for the Walden Social Equity Fund have been less volatile on a
month to month basis than the Standard & Poor's 500 Stock Index, advancing by
2.4% through August and declining by 3.7% in September. For the third quarter
the return was -1.3% which brings the year to date return to 0.5%, about 2%
ahead of the Standard and Poor's 500 Stock Index.

ECONOMIC SUMMARY & OUTLOOK

The prevailing economic environment is about as good as we have experienced
over the past 50 years. During the longest running economic expansion on record,
inflation has remained low and interest rates moderate. Employment and income
levels continue to rise. Moreover, the Federal Government has a budget surplus,
a rarity in the last 100 years, and there is bi-partisan agreement that
surpluses will continue for the next decade. Characteristically, in this
campaign season, our elected officials have taken all the credit for our
prosperity.

For many years, we have noted that high labor productivity, not political
initiative, deserves most of the credit for keeping inflation low. A more stable
and cooperative global economic structure is the other key underpinning of low
inflation. It is in this area that governments, through negotiation of trade
agreements and promotion of greater political stability, have aided the process.
Notwithstanding the recent unrest in the Middle East, comparative political
stability in most countries over the past 5-10 years has contributed to
productivity increases by allowing companies to globally source production and
pursue global markets for distribution. These trends have been so powerful that
even a near doubling in oil prices over the past year has failed to re-ignite
inflation. Although there is some initial evidence of selective economic
weakness in the United States and parts of Europe and Asia, given the lack of
inventory and other financial imbalances, we do not believe we are about to
enter a worldwide economic recession. In short, we expect a continuation of
favorable economic conditions in the year ahead.

"IF THE ECONOMY IS SO GOOD, WHY ISN'T THE STOCK MARKET PERFORMING BETTER?"
Many clients have asked us this question in recent months. Sometimes a good
simple question requires a long answer. I will outline three possible reasons.
First, stock prices usually reflect current perceptions of probable FUTURE
events. Accordingly, it is possible that we are too optimistic about the economy
compared to the views of investors generally. That is, the disappointing market
trend this year may be a harbinger of a deteriorating future economic
environment we have yet to foresee.

---------------
(1) Standard & Poor's 500 Stock Index is an unmanaged index generally
representative of the U.S. stock market as a whole. The performance of the
index does not reflect the deduction of expenses associated with a mutual
fund, such as investment management and fund accounting fees. The Fund's
performance reflects the deduction of fees for these value-added services.
Investors cannot invest directly in an index, although they can invest in
its underlying securities.

Another, and in our view more likely, explanation involves the fact that
investor emotion quite often drives stock prices well beyond reasonable
valuations. We expressed just this concern at year-end 1999 with respect to the
entire technology group, and the so-called dot.com stocks in particular. For
these latter companies, January 2000 valuations as a whole could not be
justified by even the most optimistic, plausible growth projections. As
substantive real businesses failed to develop, stock prices collapsed, in some
cases by as much as 90% or more. In our view, the process of unwinding the
internet-related speculative excess is not over. The more established technology
companies in which we have invested have fared better, but even here slower than
anticipated growth has often led to disappointing stock performance.

A third contributor to the market trend involves profit shortfalls among
many mature, large companies in a broad range of industries. In most of these
cases, the respective common stocks did not begin at extraordinary valuations.
Examples include Du Pont (E.I.) de Nemours, Eastman Kodak Co., Proctor & Gamble
Co., and XEROX CORP. These profit disappointments relate more to a combination
of global competitive forces and specific industry conditions than to the
overall level of economic activity. Competitive market share and pricing battles
among large and small corporations occur routinely over time. We have just had
more than the usual number this year, unfortunately even among some of the
companies we have selected.

INVESTMENT STRATEGY

PORTFOLIO COMPOSITION: includes economic sector and industry emphasis,
company size, financial stability, geographic diversity and relative stock
valuation. Collectively, these are among the most important and difficult
decisions in equity portfolio management. Through the third quarter, most,
though not all, of the decisions we made this year added value. Among the
positives were our decisions to maintain above average exposure in the
healthcare and financial sectors, and a below average holding in technology
stocks. Avoiding companies with the highest valuations of earnings also aided
results, particularly subsequent to the first quarter. Conversely, having only
limited holdings in energy companies has been an opportunity loss given the
sharp rise in oil and gas prices. Returns have also been reduced substantially
by the investments we made in telecommunications service companies. Finally,
concentration in large companies detracted from performance in view of the
generally superior returns provided by stocks of small and mid-size
corporations.

Looking forward, we expect to retain current sector emphasis in healthcare
and finance, and, unless prices continue to drop sharply, the below average
holdings in technology issues. We still believe the valuation disparities among
companies projected to have the highest growth rates as compared to those with
more reliable but slower business growth are too wide. Relative to the market
generally, we hold very few stocks with price-earnings ratios above 50, and no
companies without any earnings at all. We have also added a number of fast
growing, mid-size companies this year, and expect to expand these holdings in
future periods.

SECURITY SELECTION: Over the past 12 months the dispersion of returns among
individual stocks has been the highest it has been in the post-war period.
Because of this wide variation in stock returns, even small differences in the
holdings of well diversified portfolios has often resulted in significant
differences in portfolio returns. Historically this has not been the case. While
some of the return variability can be explained through the differential
fundamental performance of the companies, we believe that speculative behavior
and investor emotion has played a larger than normal role, driving some prices
up past reasonable levels and punishing the stocks of others which fail to meet
expectations by the slightest amount. We feel strongly that these extremes may
create plentiful opportunities for successful investments in companies with
superior profitability and solid growth prospects.

SOCIAL RESEARCH & ACTION

Mercury pollution, drilling in sensitive rainforest ecosystems, wage
equity, anti-discrimination policies: these are just a sampling of the many
issues Walden's social research team raised with corporations during the oft
quiet summer months. We have been active on many fronts, initiating new research
initiatives, company dialogues, and shareholder resolutions for the 2001 proxy
season.

---------------
Portfolio holdings are in bold and subject to change.

14
<PAGE> 17
WALDEN SOCIAL EQUITY FUND LETTER TO SHAREHOLDERS
SEPTEMBER 30, 2000

We have filed a shareholder resolution requesting that CVS CORP. develop a
policy to phase out the sale of mercury based thermometers. Mercury, a
neurotoxin with extremely harmful effects on child and fetal brain development,
is at dangerous levels in water bodies throughout our nation. Although safe
alternatives to mercury thermometers are readily available, they are the major
source of mercury contamination in municipal solid waste, and consequently, the
subject of increasing state and local legislative initiatives to ban them. CVS
Corp. was targeted after the company ignored our letters requesting information.
Other portfolio companies were more responsive to our inquiries, including
Walgreen Co. and Wal-Mart Stores, Inc. (a Walden/BBT Domestic Social Index Fund
holding), which both announced plans to halt the sale of mercury thermometers.
We expect other companies to follow suit.

On a related issue, Walden has been researching non-discrimination policies
of several portfolio companies to determine if they are explicit in prohibiting
discrimination based on sexual orientation. Many confirmed that their policies
are inclusive (BJ'S WHOLESALE CLUB, INC., UPS). We are urging those without
comprehensive policies (AMERICAN INTERNATIONAL GROUP, CENTURY/TEL, INC., and
STRYKER CORP.) to amend their non-discrimination statements and at the same time
are encouraging other institutional social investors to apply pressure.

Round Two of the genetically engineered (GE) food campaign led by the
Interfaith Center on Corporate Responsibility (ICCR) is underway. Like last
year, Walden has been a core participant in crafting three new versions of GE
resolutions that will allow institutional investors to advocate for (1) the
phase-out of GE foods, (2) consumer choice via labeling, or (3) a report on how
companies could phase-out GE foods. We withdrew our shareholder resolution at
ConAgra Foods, Inc., a holding in the Walden/BBT Domestic Social Index Fund,
upon gaining a specific commitment and process for dialogue. A representative of
the Nebraska Chapter of the Sierra Club delivered a statement prepared by Walden
at ConAgra Foods, Inc.'s annual meeting last month, expressing strong concern
over the financial, social and environmental risks associated with GE food. The
recent discovery of modified corn approved only for animal feed in Kraft's Taco
Bell taco shells was the latest spark in the GE controversy and led to a large
product recall. The corn variety, Starlink, is not allowed for human consumption
for fear of allergic reactions.

Walden has embarked on a project to learn how corporate leaders think and
act on issues of wage equity -- a topic receiving far too little attention in
the social investment industry. We are asking several dozen companies that have
strong employment policies and benefits to answer questions on: wage growth of
low and mid-level wage earners, employee stake and growth in stock ownership
programs, minimum wage policies and lobbying, equal wage policies and practices,
and standards for international (developing economies) compensation. So far, a
low response rate suggests that this topic is still taboo. Nevertheless, we will
continue to press for greater participation through active follow-up with the
companies. Our aim is to determine an appropriate set of questions to ask of
companies generally, and to provide a benchmark standard of practice.

A trip to the U.K. afforded Walden the opportunity to meet with
representatives of several large financial institutions on how they integrate
social and environmental factors with lending and investment decisions.
Barclays, a recent signatory to the United Nations Environmental Programmes'
Environmental Services Initiative, and HSBC Holdings, Inc. shared their
experiences and, more importantly, opened the door to ongoing dialogue about
their progress and challenges. HSBC Holdings, Inc. has developed unusual
policies on lending to the defense industry: the bank will not fund corporate
clients involved in the production of landmines, nor companies that fail to meet
specific criteria governing end-purchasers of defense products. We are engaged
in similar discussions with banks in other European countries and in the U.S.

---------------
Portfolio holdings are in bold and subject to change.

15
<PAGE> 18
WALDEN SOCIAL EQUITY FUND LETTER TO SHAREHOLDERS
SEPTEMBER 30, 2000

***

On behalf of all of us at Walden Asset Management, 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.

Sincerely,

/s/ Robert A. Lincoln
Robert Lincoln
Portfolio Manager and Senior Vice President
Walden Asset Management
A Division of United States Trust Company of Boston

---------------
Portfolio composition is subject to change.

16
<PAGE> 19

WALDEN SOCIAL EQUITY FUND SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 2000 (UNAUDITED)

<TABLE>
<S> <C> <C>
COMMON STOCKS - 100%

SECURITY DESCRIPTION SHARES VALUE
-------------------------------------- ---------- -----------
BASIC MATERIALS - 2.6%
Bemis Co. ............................ 6,400 $ 205,600
Praxair, Inc. ........................ 5,000 186,875
Sealed Air Corp.(b)................... 4,700 212,675
-----------
605,150
-----------
CAPITAL GOODS - 5.0%
Dover Corp. .......................... 6,000 281,625
Illinois Tool Works................... 6,600 368,775
Ingersoll-Rand Co. ................... 8,000 271,000
Koninklijke Philips Electronics NV,
ADR................................. 5,820 247,350
-----------
1,168,750
-----------
COMMUNICATION SERVICES - 5.9%
Alltel Corp. ......................... 5,427 283,222
AT&T Corp. ........................... 7,600 223,250
CenturyTel, Inc. ..................... 6,400 174,400
SBC Communications, Inc. ............. 10,185 509,249
WorldCom, Inc.(b)..................... 6,450 195,919
-----------
1,386,040
-----------
CONSUMER CYCLICALS - 8.9%
BJ's Wholesale Club, Inc.(b).......... 10,000 341,250
Costco Wholesale Corp.(b)............. 7,500 262,031
La-Z-Boy, Inc. ....................... 15,000 218,438
Leggett & Platt, Inc. ................ 20,000 316,250
McClatchy Co. ........................ 7,000 246,313
Omnicom Group......................... 4,000 291,750
TJX Cos., Inc. ....................... 18,000 404,999
-----------
2,081,031
-----------
CONSUMER PRODUCTS - 1.5%
Aptargroup, Inc. ..................... 15,000 359,063
-----------
CONSUMER STAPLES - 7.2%
Avon Products......................... 7,000 286,125
Colgate-Palmolive Co. ................ 5,000 236,000
CVS Corp. ............................ 8,000 370,500
Kimberly-Clark Corp. ................. 6,000 334,875
Sysco Corp. .......................... 9,700 449,231
-----------
1,676,731
-----------
ENERGY - 4.6%
BP Amoco PLC, ADR..................... 20,232 1,072,296
-----------
FINANCIAL SERVICES - 17.2%
American International Group.......... 3,000 287,063
Bank of America Corp. ................ 10,000 523,749
Cincinnati Financial Corp. ........... 10,000 355,000
Fannie Mae............................ 5,000 357,500
Fleet Boston Financial Corp. ......... 9,600 374,400
Goldman Sachs Group, Inc. ............ 3,000 341,813
State Street Corp. ................... 4,000 520,000
T. Rowe Price Associates.............. 8,500 398,969
Wachovia Corp. ....................... 8,000 453,500
Wilmington Trust Corp. ............... 7,800 418,275
-----------
4,030,269
-----------
COMMON STOCKS, CONTINUED

SECURITY DESCRIPTION SHARES VALUE
-------------------------------------- ---------- -----------
HEALTH CARE - 17.9%
Biomet, Inc. ......................... 7,950 $ 278,250
Bristol-Myers Squibb Co. ............. 7,000 399,875
Cardinal Health, Inc. ................ 5,037 444,200
Dentsply International, Inc. ......... 8,000 279,500
Genzyme Corp.(b)...................... 4,000 272,750
Johnson & Johnson..................... 5,000 469,688
Medtronic, Inc. ...................... 8,000 414,500
Merck & Co., Inc. .................... 9,000 669,937
Saint Jude Medical, Inc.(b)........... 5,000 255,000
Schering-Plough Corp. ................ 10,800 502,200
Stryker Corp. ........................ 5,000 214,688
-----------
4,200,588
-----------
PRODUCER PRODUCTS - 5.3%
Carlisle Cos., Inc. .................. 8,000 332,000
Gentex Corporation(b)................. 10,000 250,000
Tecumseh Products Co., Class A........ 1,000 41,875
Tecumseh Products Co., Class B........ 5,000 200,625
Teleflex, Inc. ....................... 12,000 412,500
-----------
1,237,000
-----------
TECHNOLOGY - 19.6%
Affiliated Computer Services,
Inc.(b)............................. 10,000 498,749
Applied Materials, Inc.(b)............ 5,000 296,563
Automatic Data Processing............. 5,000 334,375
Cisco Systems, Inc.(b)................ 6,800 375,700
Hewlett-Packard Co. .................. 3,500 339,500
IBM Corp. ............................ 2,100 236,250
Intel Corp. .......................... 8,000 333,000
Lucent Technologies, Inc. ............ 10,800 330,075
Microsoft Corp.(b).................... 7,400 445,849
Nokia Corp., ADR...................... 5,300 211,006
Oracle Corp.(b)....................... 3,000 236,250
Sanmina Corp.(b)...................... 2,500 234,063
Sun Microsystems, Inc.(b)............. 2,000 233,500
Telefonaktiebolaget LM Ericsson,
ADR................................. 11,800 174,788
Texas Instruments, Inc. .............. 4,000 188,750
Xerox Corp. .......................... 10,000 150,625
-----------
4,619,043
-----------
TRANSPORTATION - 2.7%
AMR Corp.(b).......................... 5,000 163,438
FedEx Corp.(b)........................ 4,000 177,360
United Parcel Service, Inc. .......... 5,000 281,875
-----------
622,673
-----------
</TABLE>

Continued
17
<PAGE> 20
WALDEN SOCIAL EQUITY FUND SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 2000 (UNAUDITED)

<TABLE>
<S> <C> <C>
COMMON STOCKS, CONTINUED

SECURITY DESCRIPTION SHARES VALUE
-------------------------------------- ---------- -----------
UTILITIES - 1.6%
El Paso Energy Corp. ................. 6,000 $ 369,750
-----------
TOTAL COMMON STOCKS (Cost $23,845,719)............ 23,428,384
-----------
TOTAL INVESTMENTS
(Cost $23,845,719)(a) - 100.0%.................. 23,428,384
LIABILITIES IN EXCESS OF OTHER ASSETS - 0.0%......
(3,556)
-----------
NET ASSETS - 100.0%............................... $23,424,828
===========
</TABLE>

------------------

(a) Cost differs from value by net unrealized depreciation of securities as
follows:

<TABLE>
<S> <C>
Unrealized appreciation........................ $2,614,742
Unrealized depreciation........................ (3,032,077)
----------
Net unrealized depreciation.................... $ (417,335)
==========
</TABLE>

(b) Represents non-income producing security.

ADR -- American Depositary Receipt
NV -- Naamloze Vennootschaa (Dutch Corp.)

PLC -- Public Limited Company

See notes to financial statements.

18
<PAGE> 21

WALDEN SOCIAL EQUITY FUND

STATEMENT OF ASSETS AND LIABILITIES

SEPTEMBER 30, 2000 (UNAUDITED)

<TABLE>
<S> <C> <C>
ASSETS:
Investments, at value (cost
$23,845,719)........................... $23,428,384
Dividends receivable..................... 22,122
Receivable from investment adviser....... 660
Prepaid expenses......................... 3,611
-----------
TOTAL ASSETS......................... 23,454,777

LIABILITIES:
Payable to custodian..................... $21,873
Accrued expenses and other liabilities:
Investment adviser..................... 2,887
Administration......................... 578
Other.................................. 4,611
-------
TOTAL LIABILITIES.................... 29,949
-----------
NET ASSETS............................... $23,424,828
===========
COMPOSITION OF NET ASSETS:
Capital.................................. $22,836,101
Accumulated net investment income........ 76,237
Accumulated net realized gains from
investment transactions................ 929,825
Unrealized depreciation from
investments............................ (417,335)
-----------
NET ASSETS............................... $23,424,828
===========
Shares Outstanding (par value $0.001,
unlimited number of authorized
shares)................................ 2,286,106
===========
Net Asset Value, Offering Price and
Redemption Price per share............. $10.25
===========
</TABLE>

STATEMENT OF OPERATIONS

FOR THE SIX MONTHS ENDED SEPTEMBER 30, 2000 (UNAUDITED)

<TABLE>
<S> <C> <C>
INVESTMENT INCOME:
Dividend.................................. $ 161,674
----------
TOTAL INVESTMENT INCOME............... 161,674
EXPENSES:
Investment adviser........................ $ 92,772
Administration............................ 24,739
Custodian................................. 3,490
Transfer agency........................... 6,111
Other..................................... 18,248
--------
Total expenses before voluntary fee
reductions and contractual
reimbursements...................... 145,360
Voluntary fee reductions and
contractual reimbursements.......... (21,359)
----------
NET EXPENSES.......................... 124,001
----------
NET INVESTMENT INCOME..................... $ 37,673
==========
NET REALIZED/UNREALIZED GAINS/(LOSSES)
FROM INVESTMENTS:
Net realized gains from investment
transactions............................ 1,195,491
Change in unrealized depreciation from
investments............................. (2,046,733)
----------
Net realized/unrealized losses from
investments............................. (851,242)
----------
CHANGE IN NET ASSETS RESULTING FROM
OPERATIONS.............................. $ (813,569)
==========
</TABLE>

See notes to financial statements.
19
<PAGE> 22

WALDEN SOCIAL EQUITY FUND
STATEMENTS OF CHANGES IN NET ASSETS

<TABLE>
<CAPTION>
FOR THE SIX
MONTHS ENDED FOR THE
SEPTEMBER 30, PERIOD ENDED
2000 MARCH 31,
(UNAUDITED) 2000(a)
------------- ------------
<S> <C> <C>
INVESTMENT ACTIVITIES:
OPERATIONS:
Net investment income..................................... $ 37,673 $ 51,274
Net realized gains from investment transactions........... 1,195,491 (73,155)
Change in unrealized depreciation from investments........ (2,046,733) 1,629,398
----------- -----------
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS.............. (813,569) 1,607,517
----------- -----------
DIVIDENDS:
Net investment income..................................... -- (16,563)
Net realized gains from investment transactions........... -- (192,511)
----------- -----------
CHANGE IN NET ASSETS FROM SHAREHOLDER DIVIDENDS............. -- (209,074)
----------- -----------
CAPITAL SHARE TRANSACTIONS:
Proceeds from shares issued............................... 859,120 25,660,663
Dividends reinvested...................................... -- 209,068
Cost of shares redeemed................................... (1,684,356) (2,204,541)
----------- -----------
CHANGE IN NET ASSETS FROM CAPITAL SHARE TRANSACTIONS........ (825,236) 23,665,190
----------- -----------
CHANGE IN NET ASSETS........................................ (1,638,805) 25,063,633
NET ASSETS:
Beginning of period....................................... 25,063,633 --
----------- -----------
End of period (including accumulated net investment income
of $76,237, and $38,564, respectively).................. $23,424,828 $25,063,633
=========== ===========
SHARE TRANSACTIONS:
Issued.................................................... 81,987 2,564,962
Reinvested................................................ -- 20,886
Redeemed.................................................. (160,548) (221,181)
----------- -----------
CHANGE IN SHARES............................................ (78,561) 2,364,667
=========== ===========
</TABLE>

(a) Commenced operations on June 20, 1999.

See notes to financial statements.
20
<PAGE> 23

WALDEN SOCIAL EQUITY FUND

FINANCIAL HIGHLIGHTS

SELECTED DATA FOR A SHARE OUTSTANDING THROUGHOUT THE PERIOD INDICATED.

<TABLE>
<CAPTION>
FOR THE SIX
MONTHS ENDED FOR THE
SEPTEMBER 30, PERIOD ENDED
2000 MARCH 31,
(UNAUDITED) 2000(a)
------------- ------------
<S> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD........................ $ 10.60 $ 10.00
------- -------
INVESTMENT ACTIVITIES:
Net investment income..................................... 0.02 0.02
Net realized and unrealized gains from investments
transactions............................................ (0.37) 0.67
------- -------
Total from investment activities.......................... (0.35) 0.69
------- -------
DIVIDENDS:
Net investment income..................................... -- (0.01)
In excess of net investment income........................ -- (0.08)
------- -------
Total dividends........................................... -- (0.09)
------- -------
NET ASSET VALUE, END OF PERIOD.............................. $ 10.25 $ 10.60
======= =======
TOTAL RETURN(c)............................................. (3.30)% 6.94%

RATIOS/SUPPLEMENTARY DATA:
Net assets at end of period (000's)......................... $23,425 $25,064
Ratio of expenses to average net assets(d).................. 1.00% 1.00%
Ratio of net investment income to average net assets(d)..... 0.30% 0.28%
Ratio of expenses to average net assets(b)(d)............... 1.18% 1.18%
Portfolio turnover.......................................... 25% 29%
</TABLE>

See notes to financial statements.
21
<PAGE> 24

NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 2000
(UNAUDITED)

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 Social Balanced Fund and Walden Social
Equity Fund (individually, a "Fund", collectively, the "Funds").

2. SIGNIFICANT ACCOUNTING POLICIES:

The following is a summary of the significant accounting policies
followed by the Funds in preparation of their financial statements. These
policies are in conformity with generally accepted accounting principles in
the United States of America. The preparation of financial statements
requires management to make estimates and assumptions that affect the
reported amounts of income and expenses for the period. Actual results could
differ from those estimates.

SECURITY VALUATION:

The value of each equity security is based either on the last sale price
on a national securities exchange, or in the absence of recorded sales, at
the closing bid prices on such exchanges, or at the quoted bid price in the
over-the-counter market. Securities or other assets for which market
quotations are not readily available are valued at fair market value as
determined in good faith by or at the direction of the Group's Board of
Trustees.

Bonds and other fixed income securities (other than short-term
obligations but including listed issues) are valued on the basis of
valuations furnished by a pricing service, the use of which has been
approved by the Group's Board of Trustees. In making such valuations, the
pricing service utilizes both dealer-supplied valuations and electronic data
processing techniques which take into account appropriate factors such as
institutional-size trading in similar groups of securities, yield, quality,
coupon rate, maturity, type of issue, and trading characteristics other than
market data and without exclusive reliance upon quoted prices or exchanges
or over-the-counter prices, since such valuations are believed to reflect
more accurately the fair value of such securities. All debt portfolio
securities with a remaining maturity of 60 days or less are valued at
amortized cost. Under the amortized cost method, discount or premium, if
any, is accreted or amortized, respectively, on a constant (straight-line)
basis to the maturity of the security.

SECURITY TRANSACTIONS AND RELATED INCOME:

Security transactions are accounted for on trade date. Securities gains
and losses are calculated on the identified cost basis. Interest income is
recognized on the accrual basis and includes, where applicable, the
amortization or accretion of a premium or discount. Dividend income is
recorded on the ex-dividend date.

EXPENSE ALLOCATION:

Expenses directly attributable to a Fund are charged directly to the
Fund. Expenses relating to the Group are allocated proportionately to each
Fund within the Group according to the relative net assets of each Fund or
on another reasonable basis.

DIVIDENDS TO SHAREHOLDERS:

Dividends from net investment income and net realized gains, if any, are
declared and distributed at least annually. Additional dividends are also
paid to the Funds' shareholders to the extent necessary to avoid the federal
excise tax certain undistributed income and net realized gains of registered
investment companies.

The amount of dividends from net investment income and net realized
gains are determined in accordance with federal income tax regulations which
may differ from generally accepted accounting principles in the United
States of America. 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 to capital; temporary
differences do not require reclassification. For the six months ended
September 30, 2000 no reclassifications were made.

FEDERAL INCOME TAXES:

Each Fund is a separate taxable entity for federal tax purposes. Each
Fund has qualified and intends to qualify each year as a "regulated
investment company" under Subchapter M of the Internal Revenue Code, as
amended and to distribute substantially all of their taxable net investment
income and net realized gains, if any, to their shareholders. Accordingly,
no provision for federal income tax is required.

Continued
22
<PAGE> 25
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 2000
(UNAUDITED)

3. RELATED PARTY TRANSACTIONS:

INVESTMENT ADVISER:

United States Trust Company of Boston, (the "Investment Adviser"), acts
as the investment adviser to the Funds. For its services, the Investment
Adviser is entitled to receive a fee, computed daily and paid monthly, based
on the average daily net assets of each Fund, at an annual rate of 0.75%.

ADMINISTRATION:

BISYS Fund Services Ohio, Inc. ("BISYS Ohio"), who serves the Group as
Administrator, is a wholly owned subsidiary of The BISYS Group, Inc., with
whom certain officers and trustees of the Group are also officers of the
Administrator. Such officers are paid no fees directly by the Funds for
serving as officers and trustees of the Group. Under the terms of the
administration agreement, BISYS Ohio receives an annual fee, computed daily
and paid monthly, based on the average daily net assets of each Fund, at an
annual rate of 0.20%.

DISTRIBUTION:

BISYS Fund Services Limited Partnership ("BISYS"), a wholly owned
subsidiary of The BISYS Group, Inc., serves the Group as the Funds'
distribution agent. For the six months ended September 30, 2000, no payments
were made under the Distribution Agreement.

CUSTODIAN, TRANSFER AGENCY, AND FUND ACCOUNTING:

The Investment Adviser, a Massachusetts-chartered banking and trust
company, also acts as the Funds' custodian and transfer agent. Under the
custody agreement, the Investment Adviser is entitled to receive a fee of
0.02% on the first $100 million of net assets and 0.015% on net assets over
$100 million. This fee is computed daily and paid monthly based on the
average daily net assets. The Investment Adviser also receives a fixed fee
for its services as the transfer agent. BISYS Ohio provides fund accounting
services for the Funds. For these services to the Funds, BISYS Ohio received
an annual fee accrued daily and paid monthly.

FEE REDUCTIONS AND REIMBURSEMENTS:

The Investment Adviser has agreed to reimburse the Funds for certain
expenses. Pursuant to its agreement, for the period ended September 30,
2000, the Investment Adviser reimbursed the Walden Social Balanced Fund and
the Walden Social Equity Fund $15,643 and $15,174, respectively.

The Investment Adviser has agreed to reduce its fees payable by the
Funds to the extent necessary to limit the Funds' aggregate annual operating
expenses to 1.00% of the average daily net assets. Any such reductions made
by the Investment Adviser in its fees or payments or reimbursement of
expenses which are the Funds' obligation may be subject to repayment by the
Funds within three years provided the Funds are able to effect such
repayment and remain in compliance with applicable limitations.

BISYS Ohio has agreed to reduce its Administration fees. For the six
months ended September 30, 2000, BISYS Ohio voluntarily reduced $3,291 and
$6,185 in fees for the Walden Social Balanced Fund and the Walden Social
Equity Fund, respectively.

4. PURCHASES AND SALES OF SECURITIES:

Purchases of and proceeds from sales, excluding short-term securities,
for the Funds for the six months ended September 30, 2000, totaled:

<TABLE>
<CAPTION>
PURCHASES SALES
---------- ----------
<S> <C> <C>
Walden Social Balanced Fund................................. $ 340,658 $ 994,639
Walden Social Equity Fund................................... 5,960,342 6,171,872
</TABLE>

23
<PAGE> 26

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<PAGE> 27

[THIS PAGE INTENTIONALLY LEFT BLANK]
<PAGE> 28

Investment Adviser, Custodian and Transfer Agent

United States Trust Company of Boston
40 Court Street
Boston, MA 02108
(617) 726-7250

Administrator

BISYS Fund Services Ohio, Inc.
3435 Stelzer Road
Columbus, OH 43219

-
Distributor

BISYS Fund Services Limited Partnership
3435 Stelzer Road
Columbus, OH 43219

Auditors

Arthur Andersen LLP
Huntington Center
41 South High Street
Columbus, OH 43215-6150

Legal Counsel

Dechert
1775 Eye Street, N.W.
Washington, D.C. 20006

This report is intended for the shareholders of the Funds 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.

11/00