<PAGE> 1
[L O G O]
January 16, 1996
Dear Shareholder:
We're pleased to present you with the semi-annual report on the financial
condition for the Performance Family of Funds for the period ended November 30,
1995. The Performance Funds are comprised of the Money Market Fund, The Short
Term Government Income Fund, The Intermediate Term Government Income Fund, The
Equity Fund, and The Mid Cap Growth Fund and are managed by Trustmark National
Bank.
ECONOMIC REVIEW
For the six months ended November 30, 1995, the economy continued to show
signs of slowing. A decrease of 25 basis points, on July 6th, in Fed Funds
marked the end of a series of increases initiated by the Fed in February, 1994.
The Fed has, for the most part, achieved the "soft landing". The robust economic
growth experienced in 1994 has dissipated and inflation fears have abated.
Unemployment, now at 5.5%, has stabilized and new job creation continued,
but at a much slower rate. The manufacturing sector remains lethargic, having
experienced only one month of job creation in the past six months. Further
evidence of the economic slowdown can be seen in Industrial Production
(year-over-year change down from 3.30% in May to 1.9% in November) and the Index
of Leading Indicators (102.5 in January to 100.7 in November). The interest
sensitive sectors of the economy, housing and vehicles, have not strengthened
since mid-year even though the 30-year bond has dropped 50 basis points since
June, and 200 basis points since last November.
The inflation news continues to be favorable. Since the Fed cut interest
rates in July, inflation has eased and growth has slowed considerably. The
year-over-year change in the CPI has fallen from 3.2% in May to 2.6% in
November, while the core rate edged down from 3.2% to 3.0%. GDP growth has
fallen from a 3.4% year-over-year increase in the first quarter to 2.3%, below
the Fed target of 2.5% sustained growth.
During the first half of 1996, we anticipate moderate economic growth. The
budget debate and government shutdown obviously cloud any assessment of the
economy, but we believe the Fed's main focus, other than inflation, is to
prevent a recession in 1996.
Sincerely,
/s/ JOHN J. PILEGGI
- ---------------------
John J. Pileggi
Chairman of the Board
<PAGE> 2
PORTFOLIO MANAGER'S REPORT
PERFORMANCE MONEY MARKET FUND
The Performance Money Market Fund provided investors with a return of 2.85%
(2.72% for the consumer class) for the 6 months ended November 30, 1995. The
weighted average maturity of the Fund was slightly longer than it was during the
first half of the year so as to take advantage of declining interest rates. The
objective of the Fund is to provide investors with as high a level of current
income as is consistent with the preservation of capital and liquidity. The Fund
invests in high-quality, short-term, instruments such as repurchase agreements,
commercial paper, bankers' acceptances, U.S. Treasury issues and U.S. Government
Agency discount notes. The Fund is considered a "first tier" Fund as a result of
the high quality of the Fund's holdings.
Signed,
/s/ ROBERT R. BURKE, CPA
------------------------
Robert R. Burke, CPA
PERFORMANCE SHORT TERM GOVERNMENT INCOME FUND
For the 6 months ended November 30, 1995, the Short Term Government Income
Fund returned 3.39% (3.26% for the consumer class) to its shareholders.
The objective of the Fund is to provide investors with as high a level of
current income as is consistent with limiting the potential loss of capital. The
Fund continues to emphasize the quality of its investments in its attempt to
maximize long term, risk adjusted return. The Fund holds at least 65% of its
assets in issues of the U.S. Treasury or U.S. Government Agencies. The remaining
35% may be held in domestic corporate issues of investment grade.
The Fund's duration, which measures the number of years required to receive
the present value of future payments of both interest and principal from a bond,
approximated the duration of the Lehman Brothers 1-3 Year Government Index, a
widely accepted, unmanaged index consisting of Treasury and Agency issues with
maturities of 1 to 3 years. Interest rates declined during the 6 month period.
The yields on the 2, 3, and 5 year Treasury notes declined by approximately 49,
51, and 53 basis points, respectively. In general, the longer the duration, the
higher the return in a falling rate environment such as this.
Signed,
/s/ ROBERT R. BURKE, CPA
------------------------
Robert R. Burke, CPA
<PAGE> 3
PERFORMANCE INTERMEDIATE TERM GOVERNMENT INCOME FUND
For the six months ended November 30, 1995 the Performance Intermediate
Term Government Income Fund returned 5.17% (5.04% consumer class) to its
shareholders. Share price, as measured by net asset value, increased from $10.11
on May 31, 1995 to $10.34 on November 30, 1995.
On July 6th, the Fed implemented the first reduction in Fed Funds (25 basis
points) since the fall of 1992. Intermediate and long-term interest rates
responded by falling 50+ basis points over the ensuing six months. The 30-year
Treasury Bond yield fell from 6.65% on May 31st to 6.13% on November 30th due
mainly to growing evidence that economic growth had slowed, investors' positive
outlook on inflation, and the anticipated balanced-budget agreement.
On November 30th, approximately 75% of the Fund's assets were invested in
U.S. Treasury and U.S. Agency securities while the other 25% consisted primarily
of high quality corporate debt. The Fund's average maturity was 8.77 years with
an average coupon of 7.58%.
The Fund continues to be managed with an investment objective to provide
shareholders with a high level of current income, with total return a secondary
consideration. The Fund's conservative strategy helps to protect it from much of
the volatility that is inherent in fixed-income investments. Investors should be
aware that the Fund will experience fluctuations in its share price, and we
encourage shareholders to view their investment in a similar fashion.
Looking forward, the bond market will continue to respond according to the
events surrounding the balanced-budget plan and Fed policy.
Signed,
/s/ ROBERT H. SPAULDING
---------------------------------
Robert H. Spaulding
Vice President & Trust Investment
Officer
<PAGE> 4
PERFORMANCE EQUITY FUND
For the six months ended November 30, 1995, the Equity Fund had a return of
15.06%, compared to the S&P's return of 14.92%. The equity market during this
period continued its favorable reaction to lower interest rates. Also, during
this period the market saw a continual flow of good earnings reports. Market
sentiment at this time indicates the probability of still lower rates, which
hopefully would help to strengthen some of the interest sensitive areas of the
economy, such as automobiles and construction. Also, lower rates would continue
to make equities more attractive compared to other investment alternatives.
We saw some outstanding performance across most sectors of the market, most
notably in the financial sector, where First Interstate was up 62% and Travelers
was up 43%. Also, the health-related sector performed well, with Schering Plough
up 47%, Pfizer up 33% and Johnson and Johnson up 32%. Computer Associates was a
standout in the technology area, being up 50%.
Our efforts and resources continue to be directed at security selection and
not at market timing.
TEN LARGEST HOLDINGS
<TABLE>
<S> <C>
1. Schering Plough Corporation 6. Loral Corporation
2. General Electric Company 7. Merck & Company, Inc.
3. AT&T Corporation 8. Southern Company
4. Coca Cola Company 9. Mobil Corporation
5. Exxon Corporation 10. Amoco Corporation
</TABLE>
Signed
/s/ CHARLES H. WINDHAM, JR.
---------------------------
Charles H. Windham, Jr.
PERFORMANCE MID CAP GROWTH FUND
For the period June 1, 1995 to November 30, 1995, the Mid Cap Growth Fund
returned 16.63%. In general, the stocks of middle-capitalization companies rose
during this period with the S&P MidCap 400 Index increasing 16.14%.
The Technology sector continued to provide strong returns during the
period. Positions in Cadence Design, Dell Computer, and Seagate Technology all
increased 50% or more in the six months. Underperformers in the sector included
American Power Conversion and EMC Corp. Holdings in the Health Care sector also
contributed to the return. Cordis Corp. was the target of a takeover by Johnson
& Johnson, sending its shares up by 50% plus. Medical instrument maker,
Datascope, increased a similar amount during the period. In general, other
winners were Clayton Homes and IBP Inc., while positions in Crompton & Knowles
and Rollins Inc. proved disappointing.
The Fund focuses on those companies in the MidCap Index with increasing
earnings prospects and attractive valuations. We plan to continue to direct our
concentration on the operating results of individual companies and not on market
timing. Listed below are the 10 largest holdings in the Fund at November 30,
1995.
TEN LARGEST HOLDINGS
<TABLE>
<S> <C>
6. Illinois Central
1. Quantum Corporation Corporation
2. Mylan Labs 7. Equifax, Inc.
3. Bear Stearns Companies, 8. Comerica Inc.
Inc. 9. Beckman Instruments, Inc.
4. Clayton Homes, Inc. 10. Reynolds & Reynolds
5. EMC Corporation Company
</TABLE>
Signed,
/s/ DOUGLAS H. RALSTON, CFA
---------------------------
Douglas H. Ralston, CFA
<PAGE> 5
PERFORMANCE FUNDS TRUST
MONEY MARKET FUND
Portfolio of Investments (unaudited)
November 30, 1995
<TABLE>
<CAPTION>
YIELD TO
MATURITY
PRINCIPAL CREDIT ON DATE OF VALUE
AMOUNT RATINGS** PURCHASE (NOTE 2A)
- ----------- --------- ---------- ------------
<C> <S> <C> <C> <C>
COMMERCIAL PAPER -- 74.2%
Albertson's, Inc.
$ 3,300,000 12/20/1995.............................................. A-1/P-1 5.82% $ 3,290,073
American General Finance Corporation
5,000,000 12/04/1995.............................................. A-1+/P-1 5.83 4,997,625
5,000,000 12/08/1995.............................................. A-1+/P-1 5.83 4,994,449
5,000,000 12/08/1995.............................................. A-1+/P-1 5.83 4,994,449
American Greetings Corporation
4,000,000 12/14/1995.............................................. A-1/P-1 5.85 3,991,709
5,000,000 12/19/1995.............................................. A-1/P-1 5.85 4,985,625
7,000,000 12/20/1995.............................................. A-1/P-1 5.85 6,978,794
Campbell Soup Company
4,000,000 01/03/1996.............................................. A-1+/P-1 5.79 3,979,283
8,000,000 01/23/1996.............................................. A-1+/P-1 5.87 7,932,984
CIT Group Holdings, Inc.
6,000,000 12/20/1995.............................................. A-1/P-1 5.83 5,981,950
10,000,000 01/26/1996.............................................. A-1/P-1 5.85 9,911,333
Coca-Cola Company
1,500,000 01/11/1996.............................................. A-1+/P-1 5.85 1,490,365
12,000,000 02/23/1996.............................................. A-1+/P-1 5.81 11,844,600
Corestates Financial Corporation
10,000,000 01/23/1996.............................................. A-1/P-1 5.81 9,916,819
2,000,000 01/31/1996.............................................. A-1/P-1 5.81 1,980,649
3,000,000 02/16/1996.............................................. A-1/P-1 5.81 2,963,810
Dun & Bradstreet Corporation
2,000,000 01/11/1996.............................................. A-1+/P-1 5.78 1,987,244
4,500,000 01/30/1996.............................................. A-1+/P-1 5.85 4,457,475
7,000,000 02/06/1996.............................................. A-1+/P-1 5.83 6,926,393
du Pont (E.I.) De Nemours & Company
5,000,000 12/07/1995.............................................. A-1+/P-1 5.79 4,995,275
10,000,000 01/16/1996.............................................. A-1+/P-1 5.76 9,927,933
Ford Motor Credit Company
6,000,000 12/08/1995.............................................. A-1/P-1 5.84 5,993,327
9,000,000 12/22/1995.............................................. A-1/P-1 5.83 8,969,970
G.E. Capital Corporation
15,000,000 12/21/1995.............................................. A-1+/P-1 5.83 14,952,250
Hershey Foods Corporation
2,000,000 12/08/1995.............................................. A-1+/P-1 5.81 1,997,787
8,000,000 12/21/1995.............................................. A-1+/P-1 5.79 7,974,845
5,065,000 12/21/1995.............................................. A-1+/P-1 5.81 5,049,017
Hewlett-Packard Company
2,000,000 01/04/1996.............................................. A-1+/P-1 5.87 1,989,233
10,000,000 01/09/1996.............................................. A-1+/P-1 5.77 9,939,334
3,000,000 01/12/1996.............................................. A-1+/P-1 5.81 2,980,225
</TABLE>
See accompanying notes to financial statements.
1
<PAGE> 6
PERFORMANCE FUNDS TRUST
MONEY MARKET FUND
Portfolio of Investments (unaudited) (continued)
November 30, 1995
<TABLE>
<CAPTION>
YIELD TO
MATURITY
PRINCIPAL CREDIT ON DATE OF VALUE
AMOUNT RATINGS** PURCHASE (NOTE 2A)
- ----------- --------- ---------- ------------
<C> <S> <C> <C> <C>
COMMERCIAL PAPER (CONTINUED)
Kellogg Company
$ 8,000,000 12/15/1995.............................................. A-1+/P-1 5.82% $ 7,982,173
Kimberly-Clark Corporation
6,000,000 12/07/1995.............................................. A-1+/P-1 5.80 5,994,300
6,000,000 12/22/1995.............................................. A-1+/P-1 5.82 5,980,050
3,000,000 12/22/1995.............................................. A-1+/P-1 5.82 2,990,025
McGraw-Hill Inc.
3,869,000 12/28/1995.............................................. A-1/P-1 5.76 3,852,518
Norwest Financial Services
7,000,000 01/23/1996.............................................. A-1+/P-1 5.85 6,941,052
8,000,000 01/24/1996.............................................. A-1+/P-1 5.87 7,931,480
PepsiCo Inc.
9,000,000 01/12/1996.............................................. A-1/P-1 5.80 8,940,570
Procter & Gamble Company
7,000,000 12/06/1995.............................................. A-1+/P-1 5.80 6,994,517
Schering-Plough Corporation
10,000,000 01/16/1996.............................................. A-1+/P-1 5.82 9,927,550
Stanley Tool Works
10,000,000 01/25/1996.............................................. A-1/P-1 5.81 9,913,222
4,400,000 02/15/1996.............................................. A-1/P-1 5.85 4,347,425
SunTrust Banks, Inc.
9,000,000 12/15/1995.............................................. A-1/P-1 5.83 8,980,015
6,000,000 01/12/1996.............................................. A-1/P-1 5.82 5,960,170
Toys "R" Us, Inc.
3,000,000 12/04/1995.............................................. A-1+/P-1 5.79 2,998,580
3,000,000 12/08/1995.............................................. A-1+/P-1 5.80 2,996,675
Wal-Mart Stores, Inc.
10,000,000 12/05/1995.............................................. A-1+/P-1 5.82 9,993,644
5,000,000 12/07/1995.............................................. A-1+/P-1 5.80 4,995,250
------------
TOTAL COMMERCIAL PAPER (Cost $296,094,041)...................................... 296,094,041
------------
U.S. GOVERNMENT AGENCY OBLIGATIONS -- 12.0%
Federal Farm Credit Bank
3,000,000 02/01/1996.............................................. NA/NA 5.74 3,000,000
1,725,000 02/28/1996.............................................. NA/NA 6.85 1,725,000
3,000,000 03/01/1996.............................................. NA/NA 5.71 3,000,000
2,000,000 06/03/1996.............................................. NA/NA 6.15 2,000,000
4,000,000 07/17/1996.............................................. NA/NA 5.75 3,999,019
Federal Home Loan Bank Discount Notes
10,000,000 01/02/1996.............................................. NA/NA 5.79 9,949,511
Federal Home Loan Bank
1,600,000 04/15/1996.............................................. NA/NA 5.56 1,597,740
3,000,000 08/07/1996.............................................. NA/NA 6.09 2,999,383
2,000,000 09/26/1996.............................................. NA/NA 6.01 2,000,000
</TABLE>
See accompanying notes to financial statements.
2
<PAGE> 7
PERFORMANCE FUNDS TRUST
MONEY MARKET FUND
Portfolio of Investments (unaudited) (continued)
November 30, 1995
<TABLE>
<CAPTION>
YIELD TO
MATURITY
PRINCIPAL CREDIT ON DATE OF VALUE
AMOUNT RATINGS** PURCHASE (NOTE 2A)
- ----------- --------- ---------- ------------
<C> <S> <C> <C> <C>
U.S. GOVERNMENT AGENCY OBLIGATIONS (CONTINUED)
Federal National Mortgage Association Discount Notes
$10,000,000 01/04/1996.............................................. NA/NA 5.78% $ 9,946,450
Federal National Mortgage Association
2,000,000 03/15/1996.............................................. NA/NA 5.74 2,000,000
2,500,000 06/12/1996.............................................. NA/NA 5.59 2,497,697
3,000,000 10/07/1996.............................................. NA/NA 5.76 3,000,824
------------
TOTAL U.S. GOVERNMENT AGENCIES OBLIGATIONS
(Cost $47,715,624).............................................................. 47,715,624
------------
BANKERS' ACCEPTANCES -- 5.0%
First Alabama Bank
1,000,000 02/28/1996.............................................. A-1+/P-1 5.92 985,884
1,000,000 05/06/1996.............................................. A-1+/P-1 5.79 975,796
Wachovia Bank of Georgia
10,200,000 01/05/1996.............................................. A-1+/P-1 5.83 10,143,277
8,000,000 01/16/1996.............................................. A-1+/P-1 5.78 7,942,244
------------
TOTAL BANKERS' ACCEPTANCES (Cost $20,047,201)................................... 20,047,201
------------
U.S. TREASURY OBLIGATIONS -- 0.7%
3,000,000 U.S. Treasury Bills 08/22/1996
(Cost $2,877,659)....................................... AAA/Aaa 5.54 2,877,659
------------
MONEY MARKET FUND -- 3.6%
14,371,602 Short-Term Investments Company Treasury Portfolio
(Cost $14,371,602)...................................... AAA/Aaa 3.68 14,371,602
------------
REPURCHASE AGREEMENTS -- 5.7%
First Union Capital Markets
22,500,000 12/01/1995.............................................. NR/NR 5.90 22,500,000
------------
Collateralized by:
U.S. Treasury Notes
$22,900,000, 5.875%, 05/31/1996
(Cost $22,500,000)
TOTAL INVESTMENTS AND REPURCHASE AGREEMENTS -- 101.2%
(Cost $403,606,127)*............................................................ 403,606,127
LIABILITIES IN EXCESS OF OTHER ASSETS -- (1.2%)................................. (4,778,264)
------------
NET ASSETS -- 100.0%............................................................ $398,827,863
=============
</TABLE>
- ---------------
* The cost of securities is substantially the same for Federal income tax
purposes.
** See Footnotes to Portfolios.
See accompanying notes to financial statements.
3
<PAGE> 8
PERFORMANCE FUNDS TRUST
SHORT TERM GOVERNMENT INCOME FUND
Portfolio of Investments (unaudited)
November 30, 1995
<TABLE>
<CAPTION>
PRINCIPAL VALUE
AMOUNT COST (NOTE 2A)
- ----------- ------------ ------------
<C> <S> <C> <C>
U.S. TREASURY NOTES -- 78.9%
$ 5,000,000 7.250%, 11/30/1996.............................................. $ 5,070,151 $ 5,086,650
7,500,000 7.500%, 01/31/1997.............................................. 7,509,794 7,674,900
7,000,000 6.875%, 03/31/1997.............................................. 7,072,078 7,131,249
9,000,000 6.125%, 05/31/1997.............................................. 9,022,036 9,091,440
22,500,000 6.750%, 05/31/1997.............................................. 22,195,697 22,416,020
3,000,000 7.375%, 11/15/1997.............................................. 2,998,142 3,107,880
5,000,000 5.625%, 01/31/1998.............................................. 4,989,253 5,021,250
7,000,000 7.250%, 02/15/1998.............................................. 6,981,014 7,262,080
8,000,000 6.125%, 05/15/1998.............................................. 8,057,222 8,131,440
3,000,000 5.375%, 05/31/1998.............................................. 2,972,197 2,997,570
6,600,000 5.500%, 11/15/1998.............................................. 6,603,606 6,613,991
------------ ------------
TOTAL U.S. TREASURY NOTES....................................... 83,471,190 84,534,470
------------ ------------
U.S. GOVERNMENT AGENCY OBLIGATIONS -- 13.0%
FEDERAL HOME LOAN BANK -- 3.3%
2,000,000 6.940%, 03/14/1997.............................................. 1,998,963 2,036,540
1,500,000 6.345%, 06/02/1997.............................................. 1,504,970 1,519,110
------------ ------------
3,503,933 3,555,650
------------ ------------
FEDERAL NATIONAL MORTGAGE ASSOCIATION -- 9.7%
5,000,000 7.370%, 02/06/1997.............................................. 5,001,518 5,108,899
5,000,000 7.740%, 02/03/1998.............................................. 5,022,207 5,217,450
------------ ------------
10,023,725 10,326,349
------------ ------------
TOTAL U.S. GOVERNMENT AGENCY OBLIGATIONS........................ 13,527,658 13,881,999
------------ ------------
MORTGAGE-BACKED SECURITIES -- 0.1%
FEDERAL HOME LOAN MORTGAGE CORPORATION
123,122 Gold Balloon #M1-0074D 8.000%, 04/01/1996....................... 127,845 126,282
------------ ------------
CORPORATE BONDS -- 6.8%
BANKING -- 0.9%
1,000,000 Barnett Banks, Inc. 6.250%, 07/28/1998.......................... 995,650 1,007,500
------------ ------------
FINANCIAL SERVICES -- 5.9%
1,250,000 Ford Capital B.V. 9.000%, 06/01/1996............................ 1,259,856 1,269,337
2,000,000 Ford Motor Credit Company 6.250%, 02/26/1998.................... 2,009,645 2,017,500
3,000,000 Norwest Corporation 6.000%, 10/13/1998.......................... 2,997,160 3,015,000
------------ ------------
6,266,661 6,301,837
------------ ------------
TOTAL CORPORATE BONDS........................................... 7,262,311 7,309,337
------------ ------------
MONEY MARKET FUND -- 0.3%
314,592 Short-Term Investments Company Treasury Portfolio............... 314,592 314,592
------------ ------------
TOTAL INVESTMENTS -- 99.1%...................................... $104,703,596* 106,166,680
=============
OTHER ASSETS LESS LIABILITIES -- 0.9%......................................... 996,735
------------
NET ASSETS -- 100.0%.......................................................... $107,163,415
=============
</TABLE>
- ---------------
* The cost of securities is substantially the same for Federal income tax
purposes.
See accompanying notes to financial statements.
4
<PAGE> 9
PERFORMANCE FUNDS TRUST
INTERMEDIATE TERM GOVERNMENT INCOME FUND
Portfolio of Investments (unaudited)
November 30, 1995
<TABLE>
<CAPTION>
PRINCIPAL VALUE
AMOUNT COST (NOTE 2A)
- ---------- ----------- ---------------
<C> <S> <C> <C>
U.S. TREASURY OBLIGATIONS -- 66.1%
U.S. TREASURY BONDS -- 15.0%
$5,000,000 7.250%, 05/15/2016............................................. $ 4,879,716 $ 5,588,050
5,500,000 7.250%, 08/15/2022............................................. 5,858,924 6,205,649
----------- ---------------
10,738,640 11,793,699
----------- ---------------
U.S. TREASURY NOTES -- 51.1%
7,150,000 8.625%, 08/15/1997............................................. 7,476,037 7,519,940
5,350,000 7.375%, 11/15/1997............................................. 5,378,123 5,542,386
2,000,000 9.250%, 08/15/1998............................................. 2,181,657 2,189,020
4,750,000 7.125%, 10/15/1998............................................. 4,804,429 4,962,325
2,500,000 8.875%, 02/15/1999............................................. 2,719,562 2,746,075
3,100,000 9.125%, 05/15/1999............................................. 3,436,505 3,448,099
4,500,000 8.500%, 02/15/2000............................................. 4,918,453 4,991,985
2,000,000 7.500%, 11/15/2001............................................. 2,043,166 2,188,880
2,000,000 7.500%, 05/15/2002............................................. 2,150,502 2,201,040
4,000,000 7.250%, 08/15/2004............................................. 4,261,645 4,394,840
----------- ---------------
39,370,079 40,184,590
----------- ---------------
TOTAL U.S. TREASURY OBLIGATIONS................................ 50,108,719 51,978,289
----------- ---------------
U.S. GOVERNMENT AGENCY OBLIGATIONS -- 7.8%
FEDERAL HOME LOAN MORTGAGE ASSOCIATION -- 2.7%
2,000,000 6.550%, 10/02/2002............................................. 1,994,126 2,079,800
----------- ---------------
SMALL BUSINESS ADMINISTRATION LOAN AGREEMENTS -- 0.6%
264,475 12.250%, 11/15/1998............................................ 269,051 270,095
193,724 10.000%, 04/15/2004(a)......................................... 196,132 198,325
----------- ---------------
465,183 468,420
----------- ---------------
TENNESSEE VALLEY AUTHORITY -- 4.5%
3,500,000 6.375%, 06/15/2005............................................. 3,416,593 3,574,375
----------- ---------------
TOTAL U.S. GOVERNMENT AGENCY OBLIGATIONS....................... 5,875,902 6,122,595
----------- ---------------
MORTGAGE-BACKED SECURITIES -- 0.3%
FEDERAL NATIONAL MORTGAGE ASSOCIATION -- 0.1%
33,275 Pool #106594 9.000%, 12/01/1997................................ 35,177 34,325
42,802 Pool #114579 8.000%, 02/01/1998................................ 44,026 43,952
----------- ---------------
79,203 78,277
----------- ---------------
GOVERNMENT NATIONAL MORTGAGE ASSOCIATION -- 0.2%
8,253 Pool #192407, 9.000%, 01/15/2017............................... 8,682 8,705
68,766 Pool #210311, 9.000%, 06/15/2017............................... 72,339 72,527
62,392 Pool #271741, 9.000%, 03/15/2020............................... 65,635 65,804
----------- ---------------
146,656 147,036
----------- ---------------
TOTAL MORTGAGE-BACKED SECURITIES............................... 225,859 225,313
----------- ---------------
</TABLE>
See accompanying notes to financial statements.
5
<PAGE> 10
PERFORMANCE FUNDS TRUST
INTERMEDIATE TERM GOVERNMENT INCOME FUND
Portfolio of Investments (unaudited) (continued)
November 30, 1995
<TABLE>
<CAPTION>
PRINCIPAL VALUE
AMOUNT COST (NOTE 2A)
- ---------- ----------- ---------------
<C> <S> <C> <C>
CORPORATE BONDS -- 23.2%
CONSUMER DURABLES -- 1.5%
Caterpillar, Inc.
$ 625,000 9.125%, 12/15/1996............................................. $ 639,285 $ 645,312
General Motors Corporation
500,000 7.625%, 02/15/1997............................................. 500,806 510,625
----------- ---------------
1,140,091 1,155,937
----------- ---------------
CONSUMER NON-DURABLES -- 1.3%
American Home Products, Inc.
250,000 7.250%, 03/01/2023............................................. 250,000 263,437
Kimberly-Clark Corporation
250,000 6.875%, 02/15/2014............................................. 248,322 249,062
Philip Morris Companies, Inc.
500,000 8.750%, 12/01/1996............................................. 507,009 514,375
----------- ---------------
1,005,331 1,026,874
----------- ---------------
FINANCIAL SERVICES -- 10.4%
American General Corporation
500,000 6.750%, 06/15/2005............................................. 500,000 508,750
250,000 7.500%, 07/15/2025............................................. 249,531 259,688
Associates Corporation of North America
250,000 6.000%, 03/15/2000............................................. 246,645 249,375
Bankers Trust Company
250,000 7.125%, 07/31/2002............................................. 249,414 258,125
250,000 7.500%, 11/15/2015............................................. 250,000 253,750
Chase Manhattan Corporation
500,000 8.000%, 05/01/2005............................................. 499,670 548,125
Chemical Banking Corporation
250,000 6.500%, 01/15/2009............................................. 235,699 248,437
Ford Motor Credit Company
500,000 6.250%, 02/26/1998............................................. 499,555 504,375
Household Finance Company
250,000 6.375%, 06/30/2000............................................. 249,369 252,813
500,000 6.700%, 06/15/2002............................................. 500,000 511,875
International Lease Finance
250,000 6.125%, 11/01/1999............................................. 249,177 251,250
ITT Hartford Group, Inc.
250,000 7.300%, 11/01/2015............................................. 249,317 251,875
Liberty National Bancorp.
500,000 7.750%, 01/01/1999............................................. 510,000 510,625
Merrill Lynch & Company
250,000 7.000%, 04/27/2008............................................. 249,160 257,500
250,000 6.250%, 10/15/2008............................................. 234,241 241,563
</TABLE>
See accompanying notes to financial statements.
6
<PAGE> 11
PERFORMANCE FUNDS TRUST
INTERMEDIATE TERM GOVERNMENT INCOME FUND
Portfolio of Investments (unaudited) (continued)
November 30, 1995
<TABLE>
<CAPTION>
PRINCIPAL VALUE
AMOUNT COST (NOTE 2A)
- ---------- ----------- ---------------
<C> <S> <C> <C>
CORPORATE BONDS (CONTINUED)
FINANCIAL SERVICES (CONTINUED)
NationsBank Corporation
$ 250,000 6.875%, 02/15/2005............................................. $ 247,227 $ 255,312
Norwest Corporation
250,000 6.500%, 06/01/2005............................................. 249,030 251,875
Smith Barney Holdings, Inc.
500,000 7.500%, 05/01/2002............................................. 497,063 529,375
Travelers Group, Inc.
500,000 6.125%, 06/15/2000............................................. 509,734 494,375
250,000 6.625%, 09/15/2005............................................. 248,904 253,438
US Leasing International Corporation
1,250,000 7.000%, 11/01/1997............................................. 1,254,892 1,279,688
----------- ---------------
7,978,628 8,172,189
----------- ---------------
HEALTH CARE -- 0.3%
Eli Lilly & Company
250,000 7.125%, 06/01/2025............................................. 247,728 260,937
----------- ---------------
RAW MATERIALS -- 1.4%
Air Products & Chemicals, Inc.
500,000 7.375%, 05/01/2005............................................. 497,542 540,000
du Pont (E.I.) De Nemours & Company
250,000 6.000%, 12/01/2001............................................. 248,758 250,625
PPG Industries, Inc.
250,000 6.875%, 08/01/2005............................................. 249,739 261,875
----------- ---------------
996,039 1,052,500
----------- ---------------
RETAIL -- 0.6%
J.C. Penney & Company
250,000 6.875%, 10/15/2015............................................. 247,443 249,687
Rite Aid Corporation
250,000 6.875%, 08/15/2013............................................. 237,132 245,312
----------- ---------------
484,575 494,999
----------- ---------------
TECHNOLOGY -- 1.3%
Raytheon Company
250,000 6.500%, 07/15/2005............................................. 245,092 253,125
250,000 7.375%, 07/15/2025............................................. 241,194 258,438
Rockwell International Corporation
250,000 6.625%, 06/01/2005............................................. 248,662 257,812
WMX Technologies, Inc.
250,000 6.250%, 10/15/2000............................................. 249,694 252,500
----------- ---------------
984,642 1,021,875
----------- ---------------
</TABLE>
See accompanying notes to financial statements.
7
<PAGE> 12
PERFORMANCE FUNDS TRUST
INTERMEDIATE TERM GOVERNMENT INCOME FUND
Portfolio of Investments (unaudited) (continued)
November 30, 1995
<TABLE>
<CAPTION>
PRINCIPAL VALUE
AMOUNT COST (NOTE 2A)
- ---------- ----------- ---------------
<C> <S> <C> <C>
CORPORATE BONDS (CONTINUED)
TELECOMMUNICATIONS -- 2.9%
Chesapeake Bell Telephone Virginia
$ 250,000 7.000%, 07/15/2025............................................. $ 243,774 $ 249,375
Motorola, Inc.
250,000 6.500%, 03/01/2008............................................. 249,763 255,312
New York Telephone Company
250,000 7.250%, 02/15/2024............................................. 243,887 252,500
Northern Telecommunications, Inc.
250,000 6.875%, 09/01/2023............................................. 242,102 248,437
Southern New England Telecommunication, Inc.
250,000 7.000%, 08/15/2005............................................. 248,786 261,563
Southwestern Bell Telephone Company
250,000 6.250%, 10/15/2002............................................. 250,308 251,875
250,000 7.200%, 10/15/2026............................................. 250,312 252,500
U.S. West Communications, Inc.
250,000 6.375%, 10/15/2002............................................. 249,314 253,125
250,000 7.500%, 06/15/2023............................................. 244,330 256,250
----------- ---------------
2,222,576 2,280,937
----------- ---------------
UTILITIES -- 3.5%
Consolidated Edison Company of New York, Inc.
250,000 6.625%, 07/01/2005............................................. 249,221 256,250
250,000 7.500%, 06/15/2023............................................. 249,385 252,500
Duke Power Company
250,000 6.875%, 08/01/2023............................................. 238,403 247,188
Georgia Power Company
225,000 6.6250%, 04/01/2003............................................ 224,205 232,313
Northern States Power Company
250,000 7.125%, 07/01/2025............................................. 247,703 261,250
Pacific Gas & Electric Company
250,000 6.250%, 03/01/2004............................................. 242,627 246,875
250,000 7.250%, 08/01/2026............................................. 242,007 246,563
Pacificorp
250,000 6.625%, 06/01/2007............................................. 248,489 251,875
Public Service Electric & Gas Company
250,000 6.000%, 05/01/2000............................................. 247,261 248,437
Southern California Edison Company
250,000 6.500%, 06/01/2001............................................. 250,000 254,063
250,000 6.900%, 10/01/2018............................................. 234,490 243,437
----------- ---------------
2,673,791 2,740,751
----------- ---------------
TOTAL CORPORATE BONDS.......................................... 17,733,401 18,206,999
----------- ---------------
</TABLE>
See accompanying notes to financial statements.
8
<PAGE> 13
PERFORMANCE FUNDS TRUST
INTERMEDIATE TERM GOVERNMENT INCOME FUND
Portfolio of Investments (unaudited) (continued)
November 30, 1995
<TABLE>
<CAPTION>
PRINCIPAL VALUE
AMOUNT COST (NOTE 2A)
- ---------- ----------- ---------------
<C> <S> <C> <C>
GUARANTEED INVESTMENT CONTRACTS -- 1.1%
Confederation Life Insurance Company
$1,000,000 8.800%, 01/05/1995(b).......................................... $ 1,000,000 $ 900,000
----------- ---------------
MONEY MARKET FUND -- 0.9%
693,487 Short-Term Investments Company Treasury Portfolio.............. 693,487 693,487
----------- ---------------
TOTAL INVESTMENTS -- 99.4%..................................... $75,637,368* 78,126,683
============
OTHER ASSETS LESS LIABILITIES -- 0.6%....................................... 504,258
---------------
NET ASSETS -- 100.0%........................................................ $78,630,941
================
</TABLE>
- ---------------
<TABLE>
<C> <S>
(a) Variable Rate Note: the rate shown is the rate in effect at November 30, 1995.
(b) Issuer in rehabilitation. This security is considered illiquid and is being fair-valued at the direction of the
Fund's Board of Trustees.
(The total value of illiquid securities is $900,000, or 1.1% of net assets.)
* The cost of securities for Federal income tax purposes is $75,678,219; (see Note 7).
</TABLE>
See accompanying notes to financial statements.
9
<PAGE> 14
PERFORMANCE FUNDS TRUST
EQUITY FUND
Portfolio of Investments (unaudited)
November 30, 1995
<TABLE>
<CAPTION>
VALUE
SHARES COST (NOTE 2A)
- ---------- ----------- ------------
<C> <S> <C> <C>
COMMON STOCKS -- 96.5%
BUSINESS EQUIPMENT & SERVICES -- 1.7%
8,000 Federal Express Corporation....................................... $ 513,200 $ 598,000
20,000 Moore Corporation Limited......................................... 403,400 357,500
14,000 National Service Industries, Inc. ................................ 415,418 455,000
25,000 Ryder System, Inc. ............................................... 499,619 596,875
----------- ------------
1,831,637 2,007,375
----------- ------------
CAPITAL GOODS -- 4.8%
25,000 Black & Decker Corporation........................................ 718,625 934,375
47,000 General Electric Company.......................................... 2,242,151 3,160,750
8,000 Illinois Tool Works, Inc. ........................................ 410,710 507,000
20,000 Sherwin-Williams Company.......................................... 682,260 792,500
12,000 Timken Company.................................................... 443,930 484,500
----------- ------------
4,497,676 5,879,125
----------- ------------
CONSUMER DURABLES -- 2.4%
10,000 Briggs & Stratton Company......................................... 318,987 416,250
12,000 Dana Corporation.................................................. 321,180 351,000
8,000 Echlin, Inc. ..................................................... 263,075 292,000
24,000 Ford Motor Company................................................ 659,580 678,000
20,400 General Motors Corporation........................................ 852,573 989,400
10,000 Maytag Corporation................................................ 161,375 203,750
----------- ------------
2,576,770 2,930,400
----------- ------------
CONSUMER NON-DURABLES -- 13.6%
9,000 Anheuser-Busch Companies, Inc. ................................... 487,850 596,250
42,000 Archer-Daniels Midland Company.................................... 690,745 724,500
36,000 Coca-Cola Company................................................. 1,762,505 2,727,000
17,000 Colgate-Palmolive Company......................................... 940,423 1,245,250
16,000 ConAgra, Inc. .................................................... 502,470 638,000
34,000 Gillette Company.................................................. 950,347 1,763,750
12,000 Hershey Foods Corporation......................................... 723,690 741,000
20,000 Kimberly-Clark Corporation........................................ 1,112,133 1,537,500
28,000 PepsiCo, Inc. .................................................... 1,147,610 1,547,000
20,000 Premark International Inc. ....................................... 633,729 1,020,000
23,000 Procter & Gamble Company.......................................... 1,536,072 1,986,625
7,000 Unilever NV -- New York Shares ADR................................ 911,840 930,125
25,000 Wrigley (WM.) Jr. Company......................................... 1,033,437 1,178,125
----------- ------------
12,432,851 16,635,125
----------- ------------
CONSUMER SERVICES -- 4.2%
4,500 Capital Cities/ABC, Inc. ......................................... 392,215 556,312
10,000 Dow Jones & Company, Inc. ........................................ 371,500 383,750
17,000 King World Productions, Inc.+ .................................... 609,814 673,625
39,000 Mattel Inc. ...................................................... 609,333 1,092,000
34,000 Meredith Corporation.............................................. 727,775 1,338,750
17,000 The Walt Disney Company........................................... 939,366 1,022,125
----------- ------------
3,650,003 5,066,562
----------- ------------
</TABLE>
See accompanying notes to financial statements.
10
<PAGE> 15
PERFORMANCE FUNDS TRUST
EQUITY FUND
Portfolio of Investments (unaudited) (continued)
November 30, 1995
<TABLE>
<CAPTION>
VALUE
SHARES COST (NOTE 2A)
- ---------- ----------- ------------
<C> <S> <C> <C>
COMMON STOCKS (CONTINUED)
ENERGY -- 8.3%
30,000 Amoco Corporation................................................. $ 1,683,060 $ 2,032,500
30,000 Chevron Corporation............................................... 1,298,237 1,481,250
31,300 Exxon Corporation................................................. 1,930,117 2,421,837
7,000 Halliburton Company............................................... 293,090 303,625
20,000 Mobil Corporation................................................. 1,363,970 2,087,500
14,500 Royal Dutch Petroleum Company New York Shares ADR................. 1,692,715 1,861,437
----------- ------------
8,261,189 10,188,149
----------- ------------
FINANCIAL SERVICES -- 12.2%
19,000 Allstate Corporation.............................................. 559,928 779,000
36,000 American Express Company.......................................... 1,090,472 1,530,000
18,000 American International Group, Inc. ............................... 1,239,802 1,615,500
16,000 Bank of Boston Corporation........................................ 603,920 742,000
20,000 Bank of New York Company, Inc. ................................... 728,789 942,500
16,000 BankAmerica Corporation........................................... 848,045 1,018,000
17,000 Citicorp.......................................................... 768,780 1,202,750
16,000 Federal Home Loan Mortgage Corporation............................ 932,630 1,232,000
11,000 Federal National Mortgage Association............................. 838,738 1,204,500
9,000 First Interstate Bancorp ......................................... 730,947 1,206,000
14,000 NationsBank Corporation........................................... 713,530 999,250
5,000 SAFECO Corporation................................................ 349,350 355,000
14,000 SunTrust Banks, Inc. ............................................. 801,417 955,500
90 Transport Holdings, Inc. Class A.................................. 2,720 3,533
18,000 Travelers Group, Inc. ............................................ 713,916 1,071,000
----------- ------------
10,922,984 14,856,533
----------- ------------
HEALTH CARE -- 10.5%
36,000 Abbott Laboratories............................................... 1,097,327 1,462,500
20,000 Baxter International Inc. ........................................ 696,170 840,000
14,300 Bristol-Myers Squibb Company...................................... 945,546 1,147,575
17,900 Johnson & Johnson Inc. ........................................... 1,046,923 1,550,588
10,000 Manor Care Inc. .................................................. 280,000 326,250
35,300 Merck & Company, Inc. ............................................ 1,593,889 2,184,188
16,000 Pfizer Incorporated............................................... 974,669 928,000
57,000 Schering-Plough Corporation....................................... 1,554,817 3,270,375
13,000 Warner-Lambert Company............................................ 839,035 1,160,250
----------- ------------
9,028,376 12,869,726
----------- ------------
MULTI-INDUSTRY -- 2.7%
10,000 Allied-Signal, Inc. .............................................. 315,250 472,500
6,000 Loews Corporation................................................. 704,922 921,000
17,000 Textron, Inc. .................................................... 975,290 1,302,625
30,000 Whitman Corporation............................................... 491,125 660,000
----------- ------------
2,486,587 3,356,125
----------- ------------
</TABLE>
See accompanying notes to financial statements.
11
<PAGE> 16
PERFORMANCE FUNDS TRUST
EQUITY FUND
Portfolio of Investments (unaudited) (continued)
November 30, 1995
<TABLE>
<CAPTION>
VALUE
SHARES COST (NOTE 2A)
- ---------- ----------- ------------
<C> <S> <C> <C>
COMMON STOCKS (CONTINUED)
RAW MATERIALS -- 4.5%
14,000 Aluminum Company of America....................................... $ 644,930 $ 819,000
12,000 Avery-Dennison Corporation........................................ 457,620 571,500
25,000 Cyprus Amax Minerals Company...................................... 729,000 687,500
7,000 Dow Chemical Company.............................................. 506,590 496,125
17,600 du Pont (E.I.) De Nemours & Company............................... 980,637 1,170,400
18,000 Ecolab, Inc. ..................................................... 358,287 517,500
15,000 Hercules, Inc. ................................................... 547,300 823,125
15,000 Praxair Inc. ..................................................... 347,875 436,875
----------- ------------
4,572,239 5,522,025
----------- ------------
RETAIL -- 5.2%
20,000 Circuit City Stores, Inc. ........................................ 373,765 580,000
20,000 J.C. Penney Company, Inc. ........................................ 790,950 937,500
30,000 McDonalds Corporation............................................. 659,075 1,338,750
14,000 Sears, Roebuck and Company........................................ 412,959 551,250
46,000 Walgreen Company.................................................. 946,900 1,339,750
69,000 Wal-Mart Stores, Inc. ............................................ 1,683,092 1,656,000
----------- ------------
4,866,741 6,403,250
----------- ------------
SHELTER -- 1.0%
20,000 Armstrong World Industries, Inc. ................................. 705,625 1,197,500
----------- ------------
TECHNOLOGY -- 12.4%
20,000 Andrew Corporation+............................................... 212,603 865,000
13,000 Ceridian Corporation+............................................. 412,800 546,000
25,000 Computer Associates International Inc. ........................... 356,642 1,637,500
14,000 Hewlett Packard Company........................................... 586,690 1,160,250
23,000 Intel Corporation................................................. 972,934 1,400,125
15,800 International Business Machines Corporation....................... 1,290,346 1,526,675
66,000 Loral Corporation................................................. 816,693 2,235,750
12,000 Microsoft Corporation+............................................ 815,453 1,045,500
16,000 Motorola, Inc. ................................................... 901,045 980,000
31,100 Northrop Grumman Corporation...................................... 1,070,601 1,912,650
23,200 Raytheon Company.................................................. 556,170 1,032,400
18,000 Rockwell International Corporation................................ 603,100 882,000
----------- ------------
8,595,077 15,223,850
----------- ------------
TRANSPORTATION -- 1.0%
8,000 Burlington Northern Santa Fe Corporation.......................... 547,960 645,000
7,000 Norfolk Southern Corporation...................................... 429,646 551,250
----------- ------------
977,606 1,196,250
----------- ------------
UTILITIES -- 12.0%
44,200 AT&T Corporation.................................................. 2,266,717 2,917,200
30,000 BellSouth Corporation............................................. 905,300 1,166,250
30,000 Consolidated Edison Company of New York, Inc. .................... 1,050,562 866,250
30,000 Detroit Edison Company............................................ 1,037,860 978,750
36,000 Entergy Corporation............................................... 1,316,213 1,003,500
</TABLE>
See accompanying notes to financial statements.
12
<PAGE> 17
PERFORMANCE FUNDS TRUST
EQUITY FUND
Portfolio of Investments (unaudited) (continued)
November 30, 1995
<TABLE>
<CAPTION>
SHARES/
PRINCIPAL VALUE
AMOUNT COST (NOTE 2A)
- ---------- ----------- ------------
<C> <S> <C> <C>
COMMON STOCKS (CONTINUED)
UTILITIES (CONTINUED)
26,000 GTE Corporation................................................... $ 872,558 $ 1,108,250
16,800 MCI Communications Corporation.................................... 269,850 449,400
29,000 Pacific Enterprises............................................... 780,666 775,750
31,000 SBC Communications, Inc. ......................................... 1,093,500 1,674,000
94,000 Southern Company.................................................. 1,805,563 2,150,250
40,000 Sprint Corporation................................................ 1,336,485 1,600,000
----------- ------------
12,735,274 14,689,600
----------- ------------
TOTAL COMMON STOCKS............................................... 88,140,635 118,021,595
----------- ------------
U.S. TREASURY OBLIGATIONS -- 3.3%
U.S. TREASURY BILLS -- 3.3%
$ 500,000 12/07/1995........................................................ 499,572 499,572
1,100,000 02/01/1996........................................................ 1,090,149 1,089,797
2,500,000 02/15/1996........................................................ 2,472,266 2,471,553
----------- ------------
TOTAL U.S. TREASURY OBLIGATIONS................................... 4,061,987 4,060,922
----------- ------------
MONEY MARKET FUND -- 0.5%
529,285 Short-Term Investments Company Treasury Portfolio................. 529,285 529,285
----------- ------------
TOTAL INVESTMENTS -- 100.3%....................................... $92,731,907 122,611,802
============
LIABILITIES IN EXCESS OF OTHER ASSETS -- (0.3%)................................ (308,202)
------------
NET ASSETS -- 100.0%........................................................... $122,303,600
=============
</TABLE>
- ---------------
<TABLE>
<C> <S>
+ Non-income producing security.
* The cost of securities for Federal income tax purposes is $92,741,459; (see Note 7).
</TABLE>
See accompanying notes to financial statements.
13
<PAGE> 18
PERFORMANCE FUNDS TRUST
MID CAP GROWTH FUND
Portfolio of Investments (unaudited)
November 30, 1995
<TABLE>
<CAPTION>
VALUE
SHARES COST (NOTE 2A)
- ---------- ----------- -----------
<C> <S> <C> <C>
COMMON STOCKS -- 95.4%
AEROSPACE/DEFENSE -- 1.4%
22,900 Precision Castparts Corporation............................... $ 549,551 $ 824,400
----------- -----------
AUTO PARTS -- 1.4%
28,000 Kaydon Corporation............................................ 787,360 833,000
----------- -----------
BANKING -- 1.6%
6,000 Fifth Third Bancorp........................................... 417,000 438,750
11,000 State Street Boston Corporation............................... 346,445 495,000
----------- -----------
763,445 933,750
----------- -----------
BUILDING MATERIALS -- 1.0%
10,000 Vulcan Materials Company...................................... 526,580 567,500
----------- -----------
BUSINESS EQUIPMENT & SERVICES -- 2.6%
28,500 Comdisco, Inc. ............................................... 598,323 965,437
28,300 Rollins, Inc. ................................................ 768,272 587,225
----------- -----------
1,366,595 1,552,662
----------- -----------
CAPITAL GOODS -- 2.8%
40,000 American Power Conversion Corporation+........................ 609,250 425,000
24,000 Kennametal Inc. .............................................. 822,997 891,750
5,000 Parametric Technology Company................................. 340,000 353,750
----------- -----------
1,772,247 1,670,500
----------- -----------
CHEMICALS -- 1.8%
20,000 Crompton & Knowles Corporation................................ 280,986 260,000
10,700 Olin Corporation.............................................. 542,040 813,200
----------- -----------
823,026 1,073,200
----------- -----------
COMMERCIAL SERVICES -- 1.7%
27,100 Reynolds & Reynolds Company................................... 655,312 1,033,188
----------- -----------
COMPUTER EQUIPMENT -- 4.5%
15,000 Bay Networks, Inc. ........................................... 720,000 675,000
20,000 Dell Computer Corporation..................................... 270,000 885,000
60,000 Quantum Corporation........................................... 1,031,875 1,125,000
----------- -----------
2,021,875 2,685,000
----------- -----------
COMPUTER SOFTWARE -- 2.6%
15,000 BMC Software, Inc. ........................................... 346,425 633,750
25,500 Cadence Design System, Inc. .................................. 299,795 918,000
----------- -----------
646,220 1,551,750
----------- -----------
CONSUMER DURABLES -- 0.5%
10,200 Harley-Davidson, Inc. ........................................ 247,595 283,050
----------- -----------
</TABLE>
See accompanying notes to financial statements.
14
<PAGE> 19
PERFORMANCE FUNDS TRUST
MID CAP GROWTH FUND
Portfolio of Investments (unaudited) (continued)
November 30, 1995
<TABLE>
<CAPTION>
VALUE
SHARES COST (NOTE 2A)
- ---------- ----------- -----------
<C> <S> <C> <C>
COMMON STOCKS (CONTINUED)
CONSUMER NON-DURABLES -- 5.3%
30,900 Coca-Cola Enterprises, Inc. .................................. $ 545,711 $ 896,100
15,900 IBP, Inc. .................................................... 403,516 993,750
22,033 Lancaster Colony Corporation.................................. 755,447 765,647
42,000 Michael Foods, Inc. .......................................... 451,985 483,000
----------- -----------
2,156,659 3,138,497
----------- -----------
CONSUMER SERVICES -- 1.7%
19,000 Banta Corporation............................................. 688,247 831,250
7,400 TCA Cable TV, Inc. ........................................... 185,433 209,975
----------- -----------
873,680 1,041,225
----------- -----------
DRUGS -- 1.9%
48,000 Mylan Labs.................................................... 961,545 1,122,000
----------- -----------
ELECTRICAL EQUIPMENT -- 1.3%
20,000 Ametek, Inc................................................... 337,960 352,500
13,800 Cirrus Logic, Inc............................................. 256,975 400,200
----------- -----------
594,935 752,700
----------- -----------
ELECTRONICS -- 1.9%
15,000 Arrow Electronics............................................. 761,175 699,375
10,000 Cypress Semiconductor Corporation............................. 161,200 156,250
10,000 Teradyne, Inc. ............................................... 305,575 261,250
----------- -----------
1,227,950 1,116,875
----------- -----------
ENERGY -- 1.7%
40,000 Smith International, Inc.+.................................... 405,926 675,000
9,200 Tosco Corporation............................................. 307,004 350,750
----------- -----------
712,930 1,025,750
----------- -----------
ENTERTAINMENT -- 0.9%
15,000 Mirage Resorts+............................................... 369,249 508,125
----------- -----------
FINANCIAL SERVICES -- 10.8%
24,800 AFLAC, Inc. .................................................. 807,817 1,010,600
49,106 Bear Stearns Companies, Inc. ................................. 982,217 1,068,056
28,000 Comerica Inc. ................................................ 912,860 1,046,500
10,900 Crestar Financial Corporation................................. 494,693 664,900
32,400 Edwards (A.G.), Inc. ......................................... 766,326 874,800
18,800 First Security Corporation.................................... 538,004 653,300
15,000 Franklin Resources, Inc. ..................................... 633,177 793,125
12,000 Green Tree Financial Corporation.............................. 234,470 339,000
----------- -----------
5,369,564 6,450,281
----------- -----------
</TABLE>
See accompanying notes to financial statements.
15
<PAGE> 20
PERFORMANCE FUNDS TRUST
MID CAP GROWTH FUND
Portfolio of Investments (unaudited) (continued)
November 30, 1995
<TABLE>
<CAPTION>
VALUE
SHARES COST (NOTE 2A)
- ---------- ----------- -----------
<C> <S> <C> <C>
COMMON STOCKS (CONTINUED)
HEALTH CARE -- 5.5%
30,000 Beckman Instruments, Inc. .................................... $ 829,592 $ 1,046,250
1,000 Cardinal Health, Inc. ........................................ 54,745 54,000
3,200 Cordis Corporation+........................................... 149,314 339,200
21,900 Datascope Corporation+........................................ 352,432 558,450
25,000 Healthcare COMPARE Corporation+............................... 677,500 978,125
6,000 Stryker Corporation........................................... 195,632 321,000
----------- -----------
2,259,215 3,297,025
----------- -----------
INSURANCE -- 2.4%
5,000 American Finance Group, Inc. ................................. 153,265 150,000
10,000 Aon Corporation............................................... 418,700 471,250
17,550 Mercantile Bancorporation..................................... 548,123 805,106
----------- -----------
1,120,088 1,426,356
----------- -----------
MANUFACTURING -- 2.3%
30,000 Callaway Golf................................................. 486,450 596,250
32,000 Leggett & Platt Inc. ......................................... 605,150 772,000
----------- -----------
1,091,600 1,368,250
----------- -----------
METALS -- 1.0%
8,100 Brush Wellman, Inc. .......................................... 134,104 141,750
16,200 Hanna (M.A.) Company.......................................... 412,316 435,375
----------- -----------
546,420 577,125
----------- -----------
MISCELLANEOUS -- 0.9%
17,600 Danaher Corporation........................................... 334,097 541,200
----------- -----------
PHARMACEUTICALS -- 0.4%
4,000 Cardinal Health, Inc. ........................................ 215,480 216,000
----------- -----------
PUBLISHING & PRINTING -- 1.2%
20,000 Belo (A.H.) Corporation -- Com Series A....................... 535,650 712,500
500 Media General, Inc. Class A................................... 12,538 15,250
----------- -----------
548,188 727,750
----------- -----------
RAW MATERIALS -- 1.8%
20,000 Cleveland-Cliffs, Inc. ....................................... 780,353 782,500
11,000 Diamond Shamrock, Inc. ....................................... 309,067 276,375
----------- -----------
1,089,420 1,058,875
----------- -----------
RETAIL -- 4.3%
20,000 Dollar General Corporation.................................... 364,191 542,500
22,800 Hannaford Brothers Company.................................... 522,029 547,200
50,000 Mac Frugals Bargains Close-Outs, Inc.+ ....................... 753,000 656,250
45,000 Waban, Inc.+ ................................................. 691,025 832,500
----------- -----------
2,330,245 2,578,450
----------- -----------
</TABLE>
See accompanying notes to financial statements.
16
<PAGE> 21
PERFORMANCE FUNDS TRUST
MID CAP GROWTH FUND
Portfolio of Investments (unaudited) (continued)
November 30, 1995
<TABLE>
<CAPTION>
VALUE
SHARES COST (NOTE 2A)
- ---------- ----------- -----------
<C> <S> <C> <C>
COMMON STOCKS (CONTINUED)
RETAIL -- SPECIALTY LINE -- 0.8%
18,000 Staples, Inc.+................................................ $ 271,000 $ 459,000
----------- -----------
SHELTER -- 1.8%
38,000 Clayton Homes, Inc............................................ 677,882 1,064,000
----------- -----------
TECHNOLOGY -- 4.6%
59,000 EMC Corporation+.............................................. 1,099,249 1,054,625
18,000 Seagate Technology, Inc. ..................................... 795,035 949,500
900 Thiokol Corporation........................................... 25,195 30,488
15,000 Varian Associates, Inc. ...................................... 536,426 720,000
----------- -----------
2,455,905 2,754,613
----------- -----------
TELECOMMUNICATIONS -- 1.8%
25,000 Equifax, Inc. ................................................ 726,080 1,046,875
----------- -----------
TRANSPORTATION -- 3.7%
26,000 Illinois Central Corporation.................................. 917,620 1,053,000
12,000 PHH Corporation............................................... 486,189 549,000
20,000 Tidewater Corporation......................................... 537,400 572,500
----------- -----------
1,941,209 2,174,500
----------- -----------
UTILITIES -- 15.5%
23,400 Central Louisiana Electric.................................... 554,804 599,625
11,000 Century Telephone Enterprises................................. 295,482 343,750
30,000 CMS Energy Corporation........................................ 700,959 817,500
32,900 Delmarva Power & Light Company................................ 683,818 732,025
30,000 Illinova Corporation.......................................... 735,100 851,250
34,000 MCN Corporation............................................... 648,259 739,500
13,671 MidAmerican Energy Company.................................... 212,691 227,280
20,800 New England Electric System................................... 736,446 811,200
23,000 NIPSCO Industries, Inc. ...................................... 700,071 851,000
18,800 Oklahoma Gas & Electric Company............................... 656,967 761,400
20,000 Pinnacle West Capital......................................... 418,000 545,000
31,500 Portland General Corporation.................................. 574,350 889,875
19,400 SCANA Corporation............................................. 444,326 523,800
16,900 WorldCom, Inc. ............................................... 540,425 549,250
----------- -----------
7,901,698 9,242,455
----------- -----------
TOTAL COMMON STOCKS........................................... 45,934,845 56,695,927
----------- -----------
</TABLE>
See accompanying notes to financial statements.
17
<PAGE> 22
PERFORMANCE FUNDS TRUST
MID CAP GROWTH FUND
Portfolio of Investments (unaudited) (continued)
November 30, 1995
<TABLE>
<CAPTION>
SHARES/
PRINCIPAL VALUE
AMOUNT COST (NOTE 2A)
- ---------- ----------- -----------
<C> <S> <C> <C>
U.S. TREASURY OBLIGATIONS -- 3.3%
U.S. TREASURY BILLS -- 3.3%
$2,000,000 01/18/1996.................................................... $ 1,986,053 $ 1,986,053
----------- -----------
MONEY MARKET FUND -- 1.7%
1,006,702 Short-Term Investments Company Treasury Portfolio............. 1,006,702 1,006,702
----------- -----------
TOTAL INVESTMENTS -- 100.4%................................... $48,927,600* 59,688,682
============
LIABILITIES IN EXCESS OF OTHER ASSETS -- (0.4%).............................. (265,670)
-----------
NET ASSETS -- 100.0%......................................................... $59,423,012
============
</TABLE>
- ---------------
+ Non-income producing security.
* The cost of securities for Federal income tax purposes is $48,927,885; (see
Note 7).
See accompanying notes to financial statements.
18
<PAGE> 23
PERFORMANCE FUNDS TRUST
Footnotes to Portfolios
November 30, 1995
** CREDIT RATINGS GIVEN BY RATING AGENCIES ARE EXPLAINED BELOW.
<TABLE>
<CAPTION>
STANDARD
MOODY'S &
INVESTORS POOR'S
SERVICE, INC. CORP.
-------------- ---------
<S> <C> <C> <C>
P-1 A-1 Short-term instruments of the highest quality.
Aaa AAA Instrument judged to be of the highest quality and
carrying the smallest amount of investment risk.
NR NR Not Rated. In the opinion of the Investment
Advisor, instrument judged to be of comparable
investment quality to rated securities which may
be purchased by the Funds.
</TABLE>
Items which possess the strongest investment attributes of their category are
given that letter rating followed by a number. The Standard & Poor's ratings may
be modified by the addition of a plus or minus sign to show relative standing
within the major rating categories.
INVESTMENT PERCENTAGES SHOWN ARE CALCULATED AS A PERCENTAGE OF NET ASSETS.
See accompanying notes to financial statements.
19
<PAGE> 24
PERFORMANCE FUNDS TRUST
Statement of Assets and Liabilities (unaudited)
November 30, 1995
<TABLE>
<CAPTION>
MONEY SHORT TERM INTERMEDIATE
MARKET GOVERNMENT TERM GOVERNMENT
FUND INCOME FUND INCOME FUND
------------ ------------ ---------------
<S> <C> <C> <C>
ASSETS:
Investments in securities, at value (Note 2A)........ $381,106,127 $106,166,680 $78,126,683
(Identified cost: $381,106,127, $104,703,596 and
$75,637,368, respectively)
Repurchase Agreements, at value (Note 6)............. 22,500,000 -- --
(Identified cost: $22,500,000)
Cash................................................. -- 1,191,718 1,907
Receivables:
Fund shares sold................................... -- 1,512 8,795
Dividends and interest............................. 359,382 1,017,290 1,272,025
Other assets......................................... 12,298 3,871 2,438
Unamortized organization expenses (Note 2F).......... 27,382 16,255 16,255
------------ ------------ -----------
Total Assets..................................... 404,005,189 108,397,326 79,428,103
------------ ------------ -----------
LIABILITIES:
Payables:
Advisory fee (Note 3).............................. 29,626 35,247 28,895
Administrative fee (Note 4)........................ 17,906 13,261 9,632
Custodian fee (Note 5)............................. 12,374 3,536 2,568
Fund accounting fees (Note 5)...................... 2,509 3,988 5,089
Organization fees to Administrator................. 28,733 -- --
Investment securities purchased.................... 3,000,000 -- --
Fund shares redeemed............................... -- 537,334 329,549
Dividends.......................................... 1,707,594 484,992 350,944
Other accrued expenses............................... 378,584 155,553 70,485
------------ ------------ -----------
Total Liabilities................................ 5,177,326 1,233,911 797,162
------------ ------------ -----------
NET ASSETS.................................... $398,827,863 $107,163,415 $78,630,941
============ ============ ===========
NET ASSETS CONSIST OF:
Shares of beneficial interest outstanding (Par value
of $.001 per share); unlimited number of shares
authorized......................................... $ 398,828 $ 10,831 $ 7,602
Additional paid-in capital........................... 398,429,035 108,734,620 80,725,405
Accumulated net realized (loss) on investments....... -- (3,045,120) (4,591,381)
Net unrealized appreciation on investments........... -- 1,463,084 2,489,315
------------ ------------ -----------
$398,827,863 $107,163,415 $78,630,941
============ ============ ===========
SHARES OF BENEFICIAL INTEREST:
INSTITUTIONAL CLASS:
Shares of beneficial interest outstanding.......... 393,355,253 10,750,569 7,273,043
============ ============ ===========
Net asset value per share outstanding.............. $1.00 $9.89 $10.34
===== ===== ======
CONSUMER SERVICE CLASS:
Shares of beneficial interest outstanding.......... 5,472,610 80,075 328,556
============ ============ ===========
Net asset value per share outstanding.............. $1.00 $9.89 $10.34
===== ===== ======
Maximum offering price per share
($1.00/1.000, $9.89/1.000 and $10.34/.980,
respectively).................................... $1.00 $9.89 $10.55
===== ===== ======
</TABLE>
See accompanying notes to financial statements.
20
<PAGE> 25
PERFORMANCE FUNDS TRUST
Statement of Assets and Liabilities (unaudited) (continued)
November 30, 1995
<TABLE>
<CAPTION>
MID CAP
EQUITY GROWTH
FUND FUND
------------ -----------
<S> <C> <C>
ASSETS:
Investments in securities, at value (Note 2A)............................ $122,611,802 $59,688,682
(Identified cost: $92,731,907 and $48,927,600, respectively)
Cash..................................................................... 571,028 70,272
Receivables:
Investment securities sold............................................. -- 410,118
Fund shares sold....................................................... 11,138 760
Dividends and interest................................................. 345,297 65,819
Other assets............................................................. 2,712 6,050
Unamortized organization expenses (Note 2F).............................. 16,255 31,319
------------ -----------
Total Assets......................................................... 123,558,232 60,273,020
------------ -----------
LIABILITIES:
Payables:
Advisory fee (Note 3).................................................. 49,653 28,568
Administrative fee (Note 4)............................................ 14,896 7,142
Custodian fee (Note 5)................................................. 3,972 1,904
Fund accounting fees (Note 5).......................................... -- 3,529
Organization fees to Administrator..................................... -- 45,105
Investment securities purchased........................................ -- 215,945
Fund shares redeemed................................................... 828,730 426,785
Dividends.............................................................. 305,958 62,170
Other accrued expenses................................................... 51,423 58,860
------------ -----------
Total Liabilities...................................................... 1,254,632 850,008
------------ -----------
NET ASSETS........................................................ $122,303,600 $59,423,012
============= ============
NET ASSETS CONSIST OF:
Shares of beneficial interest outstanding (Par value of $.001 per share);
unlimited number of shares authorized.................................. 8,572 4,612
Additional paid-in capital............................................... 87,995,481 46,452,472
Undistributed net investment income...................................... 60,435 487
Accumulated net realized gain on investments............................. 4,359,217 2,204,359
Net unrealized appreciation on investments............................... 29,879,895 10,761,082
------------ -----------
$122,303,600 $59,423,012
============= ============
SHARES OF BENEFICIAL INTEREST:
INSTITUTIONAL CLASS:
Shares of beneficial interest outstanding.............................. 8,161,665 4,581,545
============= ============
Net asset value per share outstanding.................................. $14.27 $12.89
====== ======
CONSUMER SERVICE CLASS:
Shares of beneficial interest outstanding.............................. 410,286 30,387
============= ============
Net asset value per share outstanding.................................. $14.27 $12.89
====== ======
Maximum offering price per share ($14.27/.953 and $12.89/.953,
respectively)......................................................... $14.97 $13.53
====== ======
</TABLE>
See accompanying notes to financial statements.
21
<PAGE> 26
PERFORMANCE FUNDS TRUST
Statement of Operations (unaudited)
For the Six Months Ended November 30, 1995
<TABLE>
<CAPTION>
MONEY SHORT TERM INTERMEDIATE
MARKET GOVERNMENT TERM GOVERNMENT
FUND INCOME FUND INCOME FUND
------------ ----------- ---------------
<S> <C> <C> <C>
INCOME:
Interest............................................... $9,864,679 $3,705,538 $ 2,566,063
---------- ---------- ----------
EXPENSES:
Advisory (Note 3)...................................... 505,388 233,140 200,781
Administrative services (Note 4)....................... 252,694 87,427 60,234
Custodian (Note 5)..................................... 67,384 23,314 16,063
Fund accounting (Note 5)............................... 15,001 19,019 19,982
Audit.................................................. 11,000 13,350 13,350
Shareholder services (Note 5).......................... 6,065 7,227 4,176
Legal.................................................. 7,499 7,500 7,499
Distribution -- Consumer Service Class only (Note 4)... 5,155 1,008 4,093
Reports to shareholders................................ 23,079 7,985 5,502
Registration........................................... 7,499 7,500 7,500
Trustees' fees and expenses............................ 1,200 1,201 1,201
Amortization of organization expenses (Note 2F)........ 5,348 3,797 3,797
Miscellaneous.......................................... 11,853 3,908 2,701
---------- ---------- ----------
Total expenses before waivers........................ 919,165 416,376 346,879
Less: Expenses waived by Advisor and Administrator
(Notes 3 and 4).................................... (511,135) (4,795) (20,079)
---------- ---------- ----------
Net expenses......................................... 408,030 411,581 326,800
---------- ---------- ----------
NET INVESTMENT INCOME.................................. 9,456,649 3,293,957 2,239,263
---------- ---------- ----------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS:
Net realized gain on investment transactions........... -- 733,268 2,294,975
Net change in unrealized depreciation of investments... -- (185,028) (269,526)
---------- ---------- ----------
Net realized and unrealized gain on investments........ -- 548,240 2,025,449
---------- ---------- ----------
INCREASE IN NET ASSETS RESULTING FROM OPERATIONS......... $9,456,649 $3,842,197 $ 4,264,712
========== ========== ==========
</TABLE>
See accompanying notes to financial statements.
22
<PAGE> 27
PERFORMANCE FUNDS TRUST
Statement of Operations (unaudited) (continued)
For the Six Months Ended November 30, 1995
<TABLE>
<CAPTION>
MID CAP
EQUITY GROWTH
FUND FUND
----------- ----------
<S> <C> <C>
INCOME:
Dividends.................................................................. $ 1,275,463 $ 474,362
Interest................................................................... 191,331 100,457
----------- ----------
1,466,794 574,819
----------- ----------
EXPENSES:
Advisory (Note 3).......................................................... 342,550 206,683
Administrative services (Note 4)........................................... 85,638 41,337
Custodian (Note 5)......................................................... 22,837 11,023
Fund accounting (Note 5)................................................... 16,882 18,216
Audit...................................................................... 13,350 12,100
Shareholder services (Note 5).............................................. 8,336 4,051
Legal...................................................................... 7,499 7,499
Distribution -- Consumer Service Class only (Note 4)....................... 6,992 428
Reports to shareholders.................................................... 7,822 3,776
Registration............................................................... 7,499 7,499
Trustees' fees and expenses................................................ 1,201 1,200
Amortization of organization expenses (Note 2F)............................ 3,797 4,787
Miscellaneous.............................................................. 2,867 3,135
----------- ----------
Total expenses before waivers............................................ 527,270 321,734
Less: Expenses waived by Advisor (Note 3)................................ (57,093) (41,337)
----------- ----------
Net expenses............................................................. 470,177 280,397
----------- ----------
NET INVESTMENT INCOME...................................................... 996,617 294,422
----------- ----------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS:
Net realized gain on investment transactions............................... 926,651 2,006,252
Net change in unrealized appreciation of investments....................... 14,094,298 5,983,222
----------- ----------
Net realized and unrealized gain on investments............................ 15,020,949 7,989,474
----------- ----------
INCREASE IN NET ASSETS RESULTING FROM OPERATIONS............................. $16,017,566 $8,283,896
=========== ==========
</TABLE>
See accompanying notes to financial statements.
23
<PAGE> 28
PERFORMANCE FUNDS TRUST
Statement of Changes in Net Assets (unaudited)
<TABLE>
<CAPTION>
SHORT TERM GOVERNMENT INTERMEDIATE TERM GOVERNMENT
MONEY MARKET FUND INCOME FUND INCOME FUND
---------------------------------- ---------------------------------- ----------------------------------
SIX MONTHS ENDED YEAR ENDED SIX MONTHS ENDED YEAR ENDED SIX MONTHS ENDED YEAR ENDED
NOVEMBER 30, 1995 MAY 31, 1995 NOVEMBER 30, 1995 MAY 31, 1995 NOVEMBER 30, 1995 MAY 31, 1995
----------------- ------------- ------------------ ------------ ------------------ ------------
<S> <C> <C> <C> <C> <C> <C>
INCREASE
(DECREASE) IN NET
ASSETS:
Operations:
Net investment
income....... $ 9,456,649 $ 11,249,408 $ 3,293,957 $ 5,743,068 $ 2,239,263 $ 9,026,136
Net realized
gain (loss)
on investment
transactions... -- -- 733,268 (3,214,925) 2,294,975 (5,749,778)
Net change in
unrealized
appreciation
(depreciation)
of
investments... -- -- (185,028) 3,945,766 (269,526) 7,962,756
------------ ------------ ------------ ------------ ----------- ------------
Increase in net
assets
resulting
from
operations... 9,456,649 11,249,408 3,842,197 6,473,909 4,264,712 11,239,114
------------ ------------ ------------ ------------ ----------- ------------
Distributions to
shareholders
from:
Net investment
income:
Institutional
Class...... (9,346,152) (11,131,901) (3,272,249) (5,704,534) (2,151,737) (8,824,901)
Consumer
Service
Class...... (110,497) (117,507) (21,708) (38,534) (87,526) (201,235)
------------ ------------ ------------ ------------ ----------- ------------
(9,456,649) (11,249,408) (3,293,957) (5,743,068) (2,239,263) (9,026,136)
------------ ------------ ------------ ------------ ----------- ------------
Distributions in
excess of net
realized gain
on investment
transactions:
Institutional
Class...... -- -- -- (26,379) -- (102,503)
Consumer
Service
Class...... -- -- -- (196) -- (2,428)
------------ ------------ ------------ ------------ ----------- ------------
-- -- -- (26,575) -- (104,931)
------------ ------------ ------------ ------------ ----------- ------------
Total
Distributions
to
shareholders... (9,456,649) (11,249,408) (3,293,957) (5,769,643) (2,239,263) (9,131,067)
------------ ------------ ------------ ------------ ----------- ------------
Transactions in
Shares of
Beneficial
Interest:
Proceeds from
sales of
shares:
Institutional
Class...... 365,640,380 626,979,875 24,759,462 19,439,110 3,634,700 27,880,759
Consumer
Service
Class...... 3,406,103 4,812,781 142,862 247,413 149,329 308,668
------------ ------------ ------------ ------------ ----------- ------------
369,046,483 631,792,656 24,902,324 19,686,523 3,784,029 28,189,427
------------ ------------ ------------ ------------ ----------- ------------
Net asset value
of shares
issued to
shareholders
in
reinvestment
of
distributions:
Institutional
Class...... 9,015 3,004 2,334,046 4,049,439 1,354,155 6,212,607
Consumer
Service
Class...... 104,169 99,869 19,589 33,783 74,345 175,944
------------ ------------ ------------ ------------ ----------- ------------
113,184 102,873 2,353,635 4,083,222 1,428,500 6,388,551
------------ ------------ ------------ ------------ ----------- ------------
Cost of shares
redeemed:
Institutional
Class...... (297,236,364) (441,197,526) (25,996,999) (31,115,767) (39,758,038) (86,496,524)
Consumer
Service
Class...... (1,601,734) (2,146,089) (112,753) (200,738) (125,830) (716,596)
------------ ------------ ------------ ------------ ----------- ------------
(298,838,098) (443,343,615) (26,109,752) (31,316,505) (39,883,868) (87,213,120)
------------ ------------ ------------ ------------ ----------- ------------
Increase
(decrease)
in net
assets
derived
from
transactions
in shares
of
beneficial
interest... 70,321,569 188,551,914 1,146,207 (7,546,760) (34,671,339) (52,635,142)
------------ ------------ ------------ ------------ ----------- ------------
Net increase
(decrease) in
net assets..... 70,321,569 188,551,914 1,694,447 (6,842,494) (32,645,890) (50,527,095)
NET ASSETS:
Beginning of
Period......... 328,506,294 139,954,380 105,468,968 112,311,462 111,276,831 161,803,926
------------ ------------ ------------ ------------ ----------- ------------
End of Period.... $ 398,827,863 $ 328,506,294 $107,163,415 $105,468,968 $ 78,630,941 $111,276,831
============ ============ ============ ============ =========== ============
</TABLE>
See accompanying notes to financial statements.
24
<PAGE> 29
PERFORMANCE FUNDS TRUST
Statement of Changes in Net Assets (unaudited) (continued)
<TABLE>
<CAPTION>
EQUITY FUND MID CAP GROWTH FUND
--------------------------------- ---------------------------------
SIX MONTHS ENDED YEAR ENDED SIX MONTHS ENDED YEAR ENDED
NOVEMBER 30, 1995 MAY 31, 1995 NOVEMBER 30, 1995 MAY 31, 1995
----------------- ------------ ----------------- ------------
<S> <C> <C> <C> <C>
INCREASE (DECREASE) IN NET ASSETS:
Operations:
Net Investment Income................. $ 996,617 $ 2,047,623 $ 294,422 $ 556,540
Net realized gain on investment
transactions........................ 926,651 3,438,029 2,006,252 324,379
Net change in unrealized appreciation
of investments...................... 14,094,298 7,809,717 5,983,222 5,915,088
------------ ------------ ----------- -----------
Increase in net assets resulting from
operations.......................... 16,017,566 13,295,369 8,283,896 6,796,007
------------ ------------ ----------- -----------
Distributions to shareholders from:
Net investment income:
Institutional Class................. (954,722) (1,896,312) (292,742) (554,616)
Consumer Service Class.............. (41,780) (91,025) (1,442) (1,942)
------------ ------------ ----------- -----------
(996,502) (1,987,337) (294,184) (556,558)
------------ ------------ ----------- -----------
Net realized gain on investment
transactions:
Institutional Class................. -- (1,877,664) -- --
Consumer Service Class.............. -- (104,545) -- --
------------ ------------ ----------- -----------
-- (1,982,209) -- --
------------ ------------ ----------- -----------
-- -- -- --
------------ ------------ ----------- -----------
Total Distributions to
shareholders..................... (996,502) (3,969,546) (294,184) (556,558)
------------ ------------ ----------- -----------
Transactions in Shares of Beneficial
Interest:
Proceeds from sales of shares:
Institutional Class................. 13,628,688 19,561,997 10,347,303 16,003,598
Consumer Service Class.............. 220,083 816,772 69,555 208,948
------------ ------------ ----------- -----------
13,848,771 20,378,769 10,416,858 16,212,546
------------ ------------ ----------- -----------
Net asset value of shares issued to
shareholders in reinvestment of
distributions:
Institutional Class................. 772,410 2,947,905 246,052 517,800
Consumer Service Class.............. 42,853 194,537 1,335 1,756
------------ ------------ ----------- -----------
815,263 3,142,442 247,387 519,556
------------ ------------ ----------- -----------
Cost of shares redeemed:
Institutional Class................. (12,346,379) (25,216,828) (7,570,708) (8,437,505)
Consumer Service Class.............. (378,741) (1,556,853) (4,794) (4,000)
------------ ------------ ----------- -----------
(12,725,120) (26,773,681) (7,575,502) (8,441,505)
------------ ------------ ----------- -----------
Increase (decrease) in net assets
derived from transactions in
shares of beneficial interest.... 1,938,914 (3,252,470) 3,088,743 8,290,597
------------ ------------ ----------- -----------
Net increase in net assets.............. 16,959,978 6,073,353 11,078,455 14,530,046
NET ASSETS:
Beginning of Period..................... 105,343,622 99,270,269 48,344,557 33,814,511
------------ ------------ ----------- -----------
End of Period........................... $ 122,303,600 $105,343,622 $59,423,012 $48,344,557
============ ============ =========== ===========
Undistributed net investment income....... $ 60,435 $ 60,320 $ 487 $ 249
============ ============ =========== ===========
</TABLE>
See accompanying notes to financial statements.
25
<PAGE> 30
PERFORMANCE FUNDS TRUST
Notes to Financial Statements (unaudited) -- November 30, 1995
1. Description and Organization. Performance Funds Trust (the "Trust") is
registered under the Investment Company Act of 1940, as amended (the "1940
Act"), as an open-end, management investment company. The Trust was organized as
a Delaware business trust on March 11, 1992 and currently consists of six
separate portfolios: The Money Market Fund, The Short Term Government Income
Fund, The Intermediate Term Government Income Fund, The Equity Fund, The Mid Cap
Growth Fund and The U.S. Treasury Money Market Fund (collectively, the "Funds"),
each with two (2) classes of shares, the Institutional Class (offered only to
certain institutional investors) and the Consumer Service Class. Each class of
shares outstanding bears the same voting, dividend, liquidation and other rights
and conditions, except that the Consumer Service Class shares bear the expenses
incurred in the distribution and marketing of such shares. In addition, the
Consumer Service Class shares are subject to a sales load in all Funds except
The Money Market Fund. (For the six months ended November 30, 1995, The Short
Term Government Income Fund had reduced its sales load to 0%.) Currently, five
of the portfolios are active and one, The U.S. Treasury Money Market Fund, has
not commenced operations. Prior to June 1, 1992 (commencement of operations),
the Funds had no operations, other than organizational matters, except for the
sale to Furman Selz LLC ("Furman Selz"), the Sponsor, of shares of beneficial
interest representing the initial capital of the Funds. In the event that any of
the initial shares of the Funds owned by Furman Selz are redeemed during the
amortization period, the redemption proceeds will be reduced by a pro rata
portion of any unamortized deferred organization expenses in the same proportion
as the number of initial shares being redeemed bears to the number of initial
shares outstanding at the time of redemption.
2. Significant Accounting Policies. The following is a summary of
significant accounting policies followed by the Funds:
A. Security Valuation. Securities listed on an exchange are valued
on the basis of the last sale prior to the time the valuation is made. If
there has been no sale since the immediately previous valuation, then the
current bid price is used. Quotations are taken for the exchange where the
security is primarily traded. Over-the-counter securities are valued on the
basis of the bid price at the close of business on each business day.
Securities for which market quotations are not readily available are valued
at fair value as determined in good faith by or at the direction of the
Board of Trustees. Notwithstanding the above, bonds and other fixed-income
securities are valued by using market quotations and may be valued on the
basis of prices provided by a pricing service approved by the Board of
Trustees. The Money Market Fund values investments at amortized cost, which
approximates market value. Short term securities which mature in 60 days or
less are valued at amortized cost, if their term to maturity at purchase
was 60 days or less, or by amortizing their value on the 61st day prior to
maturity, if their term to maturity at purchase exceeded 60 days.
B. Investment Transactions and Income. Transactions are recorded on
the trade date. Identified cost of investments sold is used to calculate
gain and loss on sales for both financial statement and Federal income tax
purposes. Interest income, including the amortization of discount or
premium, is recorded as earned. Dividends are recorded on the ex-dividend
date.
C. Determination of net asset value and calculation of
expenses. Expenses directly attributable to a Fund are charged to that
Fund. Other expenses are allocated proportionately among the Funds within
the Trust in relation to the net assets of each Fund or on another
reasonable basis. In calculating net asset value per share of each class,
investment income, realized and unrealized gains and losses and expenses
other than class specific expenses are allocated daily to each class of
shares based upon the proportion of net assets of each class at the
beginning of each day. Distribution expenses are solely borne by and
charged to the Consumer Service Class shares of each Fund based on net
assets of that class.
D. Federal Income Taxes. It is the Funds' policy to qualify as
"regulated investment companies" under Subchapter M of the Internal Revenue
Code of 1986, as amended. By so qualifying, the Funds will not be subject
to Federal income taxes to the extent that they distribute all taxable
income earned during their fiscal year. The Funds also intend to meet the
distribution requirements to avoid the payment of an excise tax.
Accordingly, no provision for income or excise tax is required.
26
<PAGE> 31
PERFORMANCE FUNDS TRUST
Notes to Financial Statements (unaudited) (continued) -- November 30, 1995
E. Distributions to Shareholders. The Money Market, The Short Term
Government Income and The Intermediate Term Government Income Funds declare
dividends of substantially all of their net investment income daily and pay
those dividends monthly. The Equity and The Mid Cap Growth Funds declare
and pay as a dividend substantially all of their net investment income each
month. Each Fund will distribute, at least annually, substantially all net
capital gains, if any, earned by such Fund. The Funds record all
distributions on the ex-date.
Elements of realized gains and net investment income may be recorded
in different accounting periods for financial reporting (book) and Federal
income tax (tax) purposes (temporary differences). To the extent that
distributions required for tax purposes exceed income and gains recorded
for book purposes as a result of such temporary differences, "Excess
distributions" are reflected in the accompanying financial statements.
F. Organization Expenses. Costs incurred in connection with the
organization and initial registration of each Fund have been deferred and
are being amortized over a sixty month period beginning with each Fund's
commencement of operations.
3. Advisor. The Funds have entered into an Advisory Contract with
Trustmark National Bank ("Trustmark"). Under the Advisory Contract, Trustmark is
responsible for managing the investments of the Funds and for continually
reviewing, supervising and administering the Funds' investments. For the
advisory services it provides to the Funds, Trustmark is entitled to receive
monthly fees, based on average daily net assets, at up to the following annual
rates: The Money Market Fund, 0.30%; The Short Term Government Income Fund,
0.40%; The Intermediate Term Government Income Fund, 0.50%; The Equity Fund,
0.60%; and The Mid Cap Growth Fund, 0.75%.
For the six months ended November 30, 1995, Trustmark was entitled to and
waived advisory fees as listed below:
<TABLE>
<CAPTION>
TRUSTMARK TRUSTMARK
ENTITLED WAIVED
--------- ---------
<S> <C> <C>
The Money Market Fund.................................... $505,388 $355,227
The Short Term Government Income Fund.................... 233,140 4,795
The Intermediate Term Government Income Fund............. 200,781 20,079
The Equity Fund.......................................... 342,550 57,093
The Mid Cap Growth Fund.................................. 206,683 41,337
</TABLE>
4. Administrator and Sponsor. The Funds have entered into an
Administrative Services Contract with Furman Selz (the "Administrator").
Under the Administrative Services Contract, Furman Selz supplies office
space and facilities, prepares reports to shareholders of the Funds, and
performs administrative services necessary for the operation of the Funds. For
these services, Furman Selz is paid a monthly fee at the annual rate of 0.15% of
the average daily net assets of each Fund.
27
<PAGE> 32
PERFORMANCE FUNDS TRUST
Notes to Financial Statements (unaudited) (continued) -- November 30, 1995
For the six months ended November 30, 1995, Furman Selz was entitled to and
waived administrative fees as listed below:
<TABLE>
<CAPTION>
FURMAN SELZ FURMAN SELZ
ENTITLED WAIVED
----------- -----------
<S> <C> <C>
The Money Market Fund................................ $ 252,694 $ 155,908
The Short Term Government Income Fund................ 87,427 --
The Intermediate Term Government Income Fund......... 60,234 --
The Equity Fund...................................... 85,638 --
The Mid Cap Growth Fund.............................. 41,337 --
</TABLE>
Under a Distribution Plan adopted by the Funds under Rule 12b-1 of the 1940
Act, each Fund may, with respect to its Consumer Service Class, reimburse
Performance Funds Distributor, Inc. (the "Distributor") monthly (subject to a
limit of 0.35% per annum of the average daily net assets of each Fund) for costs
and expenses of the Distributor in connection with the distribution of Fund
shares of the Consumer Service Class. No such fees will be paid by the
Institutional Class.
For the six months ended November 30, 1995, the actual fee payable amounted
to 0.25% per annum of the average daily net assets of each Fund's Consumer
Service Class.
5. Other Transactions with Affiliates. Pursuant to a Fund Accounting
Agreement between the Trust and the Administrator, the Administrator assists the
Trust in calculating net asset values and provides certain other accounting
services for each Fund, described therein, for an annual fee of $30,000 per Fund
plus out of pocket expenses.
The Funds retain Furman Selz as transfer agent. Furman Selz provides
personnel necessary to perform shareholder servicing functions. Pursuant to a
Shareholder Servicing Agreement between the Trust and the Administrator, Furman
Selz receives a fee of $15.00 per account, per year, and reimbursement for
certain expenses.
For the six months ended November 30, 1995, Furman Selz earned the
following fees for the performance of shareholder servicing and fund accounting
services:
<TABLE>
<S> <C>
The Money Market Fund............................................... $15,864
The Short Term Government Income Fund............................... 16,190
The Intermediate Term Government Income Fund........................ 17,299
The Equity Fund..................................................... 19,816
The Mid Cap Growth Fund............................................. 15,406
</TABLE>
Pursuant to a Custodian Agreement between the Trust and Trustmark National
Bank, Trustmark is the Custodian of the Funds' cash and securities. For these
services, Trustmark is paid a monthly fee at the annual rate of 0.04% of the
average daily net assets of each Fund, plus certain transaction charges. For the
six months ended November 30, 1995, Trustmark earned the following custody fees:
<TABLE>
<S> <C>
The Money Market Fund............................................... $67,384
The Short Term Government Income Fund............................... 23,314
The Intermediate Term Government Income Fund........................ 16,063
The Equity Fund..................................................... 22,837
The Mid Cap Growth Fund............................................. 11,023
</TABLE>
28
<PAGE> 33
PERFORMANCE FUNDS TRUST
Notes to Financial Statements (unaudited) (continued) -- November 30, 1995
6. Repurchase Agreements. The Funds may enter into repurchase agreements
with government securities dealers recognized by the Federal Reserve Board, with
member Banks of the Federal Reserve System or with such other brokers or dealers
that meet the credit guidelines established by the Board of Trustees. It is the
Funds' policy to receive and maintain securities as collateral whose market
value, including accrued interest, will be at least 100% of the dollar amount
invested by that Fund in each agreement, and that Fund will make payment for
such securities only upon physical delivery or upon evidence of book entry
transfer to the account of the custodian. To the extent that any repurchase
transaction exceeds one business day, it is the Funds' policy that the value of
the collateral is marked to market on a daily basis to ensure the adequacy of
the collateral. If the seller defaults and the value of the collateral declines,
or if bankruptcy proceedings are commenced with respect to the seller of the
security, realization of the collateral by the Fund may be delayed or limited.
7. Security Transactions. The cost of securities purchased and proceeds
from securities sold (excluding short-term securities) for the six months ended
November 30, 1995 were as follows:
<TABLE>
<CAPTION>
COMMON STOCKS, PREFERRED
STOCKS AND
CORPORATE NOTES AND BONDS U.S. GOVERNMENT OBLIGATIONS
----------------------------- ------------------------------
PROCEEDS PROCEEDS
COST OF FROM COST OF FROM
SECURITIES SECURITIES SECURITIES SECURITIES
PURCHASED SOLD PURCHASED SOLD
----------- ----------- ----------- ------------
<S> <C> <C> <C> <C>
The Short Term
Government Income
Fund............... $ 6,002,310 $ -- $81,480,514 $ 83,760,230
The Intermediate Term
Government Income
Fund............... 12,067,944 21,867,538 83,829,799 109,703,014
The Equity Fund...... 9,236,170 2,523,344 -- --
The Mid Cap Growth
Fund............... 13,421,388 10,357,060 -- --
</TABLE>
Unrealized appreciation (depreciation) at November 30, 1995, based on cost
of securities for Federal income tax purposes, is as follows:
<TABLE>
<CAPTION>
GROSS GROSS NET
UNREALIZED UNREALIZED UNREALIZED
APPRECIATION DEPRECIATION APPRECIATION
----------- -------- -----------
<S> <C> <C> <C>
The Short Term Government Income Fund......... $ 1,464,648 $ 1,563 $ 1,463,085
The Intermediate Term Government Income 2,605,600 116,285 2,489,315
Fund........................................
The Equity Fund............................... 30,613,637 733,741 29,879,896
The Mid Cap Growth Fund....................... 11,481,516 720,434 10,761,082
</TABLE>
8. At May 31, 1995, The Short Term Government Income Fund and The
Intermediate Term Government Income Fund had a net capital loss carryover of
approximately $3,071,000 and $6,655,000, respectively, which will be available
through May 31, 2003 to offset future capital gains to the extent provided by
Federal income tax regulations. In addition, capital losses incurred after
October 31 ("post-October losses") within the taxable year are deemed to arise
on the first business day of a Fund's next taxable year. The Short Term
Government Income Fund and The Intermediate Term Government Income Fund incurred
and elected to defer post-October net capital losses of approximately $680,000
and $144,000, respectively, during the fiscal year ended May 31, 1995.
29
<PAGE> 34
PERFORMANCE FUNDS TRUST
Notes to Financial Statements (unaudited) (continued) -- November 30, 1995
9. Capital Share Transactions. The Trust is authorized to issue an
unlimited number of shares of beneficial interest with a par value of $0.001
each. Transactions in shares of the Funds were as follows:
<TABLE>
<CAPTION>
SHORT TERM GOVERNMENT INCOME
MONEY MARKET FUND FUND
------------------------------- -------------------------------
SIX MONTHS SIX MONTHS
ENDED YEAR ENDED ENDED YEAR ENDED
NOVEMBER 30, 1995 MAY 31, 1995 NOVEMBER 30, 1995 MAY 31, 1995
----------------- ------------ ----------------- ------------
<S> <C> <C> <C> <C>
INSTITUTIONAL CLASS
Shares sold............................................ 365,640,380 626,979,875 2,319,439 2,006,920
Shares issued in reinvestment of distributions......... 9,015 3,004 427,699 417,443
----------------- ------------ ----------------- ------------
365,649,395 626,982,879 2,747,138 2,424,363
Shares redeemed........................................ (297,236,363) (441,197,526) (2,640,135) (3,210,813)
----------------- ------------ ----------------- ------------
Net increase (decrease) in shares...................... 68,413,032 185,785,353 107,003 (786,450)
================ ============ ================ ============
CONSUMER SERVICE CLASS
Shares sold............................................ 3,406,104 4,812,781 14,547 25,402
Shares issued in reinvestment of net investment
income............................................... 104,168 99,869 1,992 3,484
----------------- ------------ ----------------- ------------
3,510,272 4,912,650 16,539 28,886
Shares redeemed........................................ (1,601,735) (2,146,089) (11,588) (20,750)
----------------- ------------ ----------------- ------------
Net increase (decrease) in shares...................... 1,908,537 2,766,561 4,951 8,136
================ ============ ================ ============
</TABLE>
<TABLE>
<CAPTION>
INTERMEDIATE TERM
GOVERNMENT INCOME FUND EQUITY FUND
------------------------------- -------------------------------
SIX MONTHS SIX MONTHS
ENDED YEAR ENDED ENDED YEAR ENDED
NOVEMBER 30, 1995 MAY 31, 1995 NOVEMBER 30, 1995 MAY 31, 1995
----------------- ------------ ----------------- ------------
<S> <C> <C> <C> <C>
INSTITUTIONAL CLASS
Shares sold............................................ 358,587 2,889,666 1,031,826 1,677,913
Shares issued in reinvestment of distributions......... 133,911 641,146 59,413 265,230
----------------- ------------ ----------------- ------------
492,498 3,530,812 1,091,239 1,943,143
Shares redeemed........................................ (3,904,501) (8,900,496) (930,212) (2,240,882)
----------------- ------------ ----------------- ------------
Net increase (decrease) in shares...................... (3,412,003) (5,369,684) 161,027 (297,739)
================ ============ ================ ============
CONSUMER SERVICE CLASS
Shares sold............................................ 14,692 31,909 16,583 71,148
Shares issued in reinvestment of net investment
income............................................... 7,352 18,175 3,303 17,539
----------------- ------------ ----------------- ------------
22,044 50,084 19,886 88,687
Shares redeemed........................................ (12,406) (74,053) (27,829) (137,214)
----------------- ------------ ----------------- ------------
Net increase (decrease) in shares...................... 9,638 (23,969) (7,943) (48,527)
================ ============ ================ ============
</TABLE>
30
<PAGE> 35
PERFORMANCE FUNDS TRUST
Notes to Financial Statements (unaudited) (continued) -- November 30, 1995
<TABLE>
<CAPTION>
MID CAP GROWTH FUND
----------------------------------
SIX MONTHS
ENDED YEAR ENDED
NOVEMBER 30, 1995 MAY 31, 1995
----------------- ------------
<S> <C> <C>
INSTITUTIONAL CLASS
Shares sold..................................................................... 851,077 1,613,390
Shares issued in reinvestment of distributions.................................. 20,443 52,661
----------------- ------------
871,520 1,666,051
Shares redeemed................................................................. (616,665) (856,575)
----------------- ------------
Net increase in shares.......................................................... 254,855 809,476
================== ============
CONSUMER SERVICE CLASS
Shares sold..................................................................... 5,739 21,516
Shares issued in reinvestment of net investment income.......................... 111 177
----------------- ------------
5,850 21,693
Shares redeemed................................................................. (402) (417)
----------------- ------------
Net increase in shares.......................................................... 5,448 21,276
================== ============
</TABLE>
10. In the pursuit of its minimum credit risk policy, The Money Market
Fund maintains a diversified portfolio of money market instruments, each of
which matures in 397 days or less and is rated in the highest rating category of
at least two nationally recognized statistical rating organizations, or, if not
rated, is judged by the Board of Trustees to be of comparable quality. The
ability of the issuer of the instruments to meet its obligations may be affected
by economic developments in a specific industry or region. At November 30, 1995,
industry concentrations of the Money Market Fund's portfolio for industries in
excess of 5% of net assets were: Financial Services -- 22.70%, Food &
Beverage -- 14.34%, Publishing & Printing -- 8.07% and Banking -- 5.03%.
31
<PAGE> 36
PERFORMANCE FUNDS TRUST
Financial Highlights (unaudited)
Selected data for a share of beneficial interest
outstanding throughout each period
<TABLE>
<CAPTION>
MONEY MARKET FUND
----------------------------------------------------------------------------------------------
INSTITUTIONAL CLASS CONSUMER SERVICE CLASS
---------------------------------------------- --------------------------------------------
SEPTEMBER 30, 1994 SEPTEMBER 30, 1994
SIX MONTHS YEAR (COMMENCEMENT OF SIX MONTHS YEAR (COMMENCEMENT OF
ENDED ENDED OPERATIONS) ENDED ENDED OPERATIONS)
NOVEMBER 30, MAY 31, THROUGH NOVEMBER 30, MAY 31, THROUGH
1995 1995 MAY 31, 1994 1995 1995 MAY 31, 1994
------------ -------- ------------------ ------------ ------- ------------------
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of
Period.......................... $1.00 $ 1.00 $1.00 $1.00 $1.00 $1.00
------- ---- --------- ------ ----- ----------
Income from Investment Operations:
Net investment income........... 0.03 0.05 0.02 0.03 0.05 0.02
------- ---- --------- ------ ----- ----------
Less Distributions;
Dividends from net investment
income........................ (0.03) (0.05) (0.02) (0.03) (0.05) (0.02)
------- ---- --------- ------ ----- ----------
Net Asset Value, End of Period.... $1.00 $1.00 $1.00 $1.00 $1.00 $1.00
======= ==== ========= ====== ===== ==========
Total Return...................... 2.85% 5.27% 2.17% 2.72% 5.02% 2.03%
Ratios/Supplemental Data:
Net Assets, End of Period (in
thousands).................... $5,473 $324,942 $139,157 $393,355 $3,564 $797
Ratio of Expenses to Average Net
Assets........................ 0.24%* 0.23% 0.15%* 0.49%* 0.48% 0.40%*
Effect of waivers/reimbursements
on expense ratio.............. 0.30%* 0.36% 0.53%* 0.30%* 0.36% 0.53%*
Ratio of Net Investment Income
to Average Net Assets......... 5.61%* 5.27% 3.30%* 5.36%* 5.02% 3.05%*
</TABLE>
<TABLE>
<CAPTION>
SHORT TERM GOVERNMENT INCOME FUND
-------------------------------------------------------------------------------------------------
INSTITUTIONAL CLASS CONSUMER SERVICE CLASS
------------------------------------------------ ---------------------------------------------
SIX MONTHS YEAR YEAR YEAR SIX MONTHS YEAR YEAR YEAR
ENDED ENDED ENDED ENDED ENDED ENDED ENDED ENDED
NOVEMBER 30, MAY 31, MAY 31, MAY 31, NOVEMBER 30, MAY 31, MAY 31, MAY 31,
1995 1995 1994 1993** 1995 1995 1994 1993**
------------ -------- -------- -------- ------------ ------- ------- -------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of
Period..................... $9.84 $9.77 $10.10 $10.00 $9.84 $9.77 $10.10 $10.00
------ ---- ---- ----- -------- ----- ------ ------
Income from Investment
Operations:
Net investment income...... 0.28 0.53 0.40 0.44 0.27 0.50 0.37 0.43
Net gain (loss) on
securities (both realized
and unrealized).......... 0.05 0.07 (0.25) 0.22 0.05 0.07 (0.25) 0.22
------ ---- ---- ----- -------- ----- ------ ------
Total from Investment
Operations............... 0.33 0.60 0.15 0.66 0.32 0.57 0.12 0.65
------ ---- ---- ----- -------- ----- ------ ------
Less Distributions:
Dividends from net
investment income........ (0.28) (0.53) (0.40) (0.44) (0.27) (0.50) (0.37) (0.43)
Distributions from net
realized gains........... -- -- (0.05) (0.12) -- -- (0.05) (0.12)
Distributions in excess of
net realized gains....... -- -- (0.03) -- -- -- (0.03) --
------ ---- ---- ----- -------- ----- ------ ------
Total Distributions........ (0.28) (0.53) (0.48) (0.56) (0.27) (0.50) (0.45) (0.55)
------ ---- ---- ----- -------- ----- ------ ------
Net Asset Value, End of
Period..................... $9.89 $9.84 $9.77 $10.10 $9.89 $9.84 $9.77 $10.10
====== ==== ==== ===== ======== ===== ====== ======
Total Return (not reflecting
sales load)................ 3.39% 6.37% 1.49% 6.74% 3.26% 6.12% 1.23% 6.67%
Ratios/Supplemental Data:
Net Assets, End of Period
(in thousands)........... $106,371 $104,730 $111,657 $138,822 $792 $739 $654 $1,125
Ratio of Expenses to
Average Net Assets....... 0.71%* 0.74% 0.69% 0.67% 0.96%* 0.99% 0.94% 0.75%
Effect of
waivers/reimbursements on
expense ratio............ 0.01%* 0.03% 0.05% 0.05% 0.01%* 0.03% 0.05% 0.05%
Ratio of Net Investment
Income to
Average Net Assets....... 5.65%* 5.43% 4.00% 4.32% 5.40%* 5.18% 3.75% 4.24%
Portfolio Turnover Rate.... 76.95% 267.65% 213.43% 216.52% 76.95% 267.65% 213.43% 216.52%
</TABLE>
- ---------------
* Annualized
** Fund commenced operations on June 1, 1992.
See accompanying notes to financial statements.
32
<PAGE> 37
PERFORMANCE FUNDS TRUST
Financial Highlights (continued)
Selected data for a share of beneficial interest
outstanding throughout each period
<TABLE>
<CAPTION>
INTERMEDIATE TERM GOVERNMENT INCOME FUND
-------------------------------------------------------------------------------------
INSTITUTIONAL CLASS CONSUMER SERVICE CLASS
-------------------------------------------- ---------------------------------------
SIX MONTHS YEAR YEAR YEAR SIX MONTHS YEAR YEAR YEAR
ENDED ENDED ENDED ENDED ENDED ENDED ENDED ENDED
NOVEMBER 30, MAY 31, MAY 31, MAY 31, NOVEMBER 30, MAY 31, MAY 31, MAY 31,
1995 1995 1994 1993** 1995 1995 1994 1993**
------------ -------- -------- -------- ------------ ------- ------- -------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Period.... $ 10.11 $ 9.87 $10.56 $10.00 $10.11 $ 9.87 $10.56 $10.00
------- ----- ----- ----- -------- ------ ------ ------
Income from Investment Operations:
Net investment income................. 0.28 0.62 0.58 0.62 0.27 0.60 0.55 0.62
Net gain (loss) on securities (both
realized and unrealized)............ 0.23 0.25 (0.52) 0.61 0.23 0.25 (0.52) 0.61
------- ----- ----- ----- -------- ------ ------ ------
Total from Investment Operations...... 0.51 0.87 0.06 1.23 0.50 0.85 0.03 1.23
------- ----- ----- ----- -------- ------ ------ ------
Less Distributions:
Dividends from net investment
income.............................. (0.28) (0.62) (0.58) (0.62) (0.27) (0.60) (0.55) (0.62)
Distributions from net realized
gains............................... -- -- (0.11) (0.05) -- -- (0.11) (0.05)
Distributions in excess of net
realized gains...................... -- (0.01) (0.06) -- -- (0.01) (0.06) --
------- ----- ----- ----- -------- ------ ------ ------
Total Distributions................... (0.28) (0.63) (0.75) (0.67) (0.27) (0.61) (0.72) (0.67)
------- ----- ----- ----- -------- ------ ------ ------
Net Asset Value, End of Period.......... $10.34 $10.11 $ 9.87 $10.56 $10.34 $10.11 $ 9.87 $10.56
======= ===== ===== ===== ======== ====== ====== ======
Total Return (not reflecting sales
load)................................. 5.17% 9.31% 0.34% 12.66% 5.04% 9.06% 0.08% 12.58%
Ratios/Supplemental Data:
Net Assets, End of Period (in
thousands).......................... $ 75,232 $108,052 $158,420 $150,115 $3,399 $3,225 $3,384 $1,952
Ratio of Expenses to Average Net
Assets.............................. 0.82%* 0.71% 0.65% 0.67% 1.07%* 0.96% 0.90% 0.78%
Effect of waivers/reimbursements on
expense ratio....................... 0.05%* 0.11% 0.15% 0.15% 0.05%* 0.11% 0.15% 0.15%
Ratio of Net Investment Income to
Average Net Assets.................. 5.59%* 6.44% 5.50% 6.00% 5.34%* 6.19% 5.25% 5.89%
Portfolio Turnover Rate............... 117.18% 339.95% 102.46% 54.43% 117.18% 339.95% 102.46% 54.43%
</TABLE>
<TABLE>
<CAPTION>
EQUITY FUND
---------------------------------------------------------------------------------
INSTITUTIONAL CLASS CONSUMER SERVICE CLASS
---------------------------------------- ---------------------------------------
SIX MONTHS YEAR YEAR YEAR SIX MONTHS YEAR YEAR YEAR
ENDED ENDED ENDED ENDED ENDED ENDED ENDED ENDED
NOVEMBER 30, MAY 31, MAY 31, MAY 31, NOVEMBER 30, MAY 31, MAY 31, MAY 31,
1995 1995 1994 1993** 1995 1995 1994 1993**
------------ -------- ------- ------- ------------ ------- ------- -------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Period...... $12.51 $11.33 $11.21 $10.00 $12.51 $11.33 $11.21 $10.00
------- ----- ------ ------ -------- ------ ------ ------
Income from Investment Operations:
Net investment income................... 0.13 0.25 0.23 0.22 0.11 0.22 0.20 0.21
Net gain on securities (both realized
and unrealized)....................... 1.75 1.42 0.12 1.21 1.75 1.42 0.12 1.21
------- ----- ------ ------ -------- ------ ------ ------
Total from Investment Operations........ 1.88 1.67 0.35 1.43 1.86 1.64 0.32 1.42
------- ----- ------ ------ -------- ------ ------ ------
Less Distributions:
Dividends from net investment income.... (0.12) (0.24) (0.23) (0.22) (0.10) (0.21) (0.20) (0.21)
Distributions from net realized gains... -- (0.25) -- -- -- (0.25) -- --
------- ----- ------ ------ -------- ------ ------ ------
Total Distributions..................... (0.12) (0.49) (0.23) (0.22) (0.10) (0.46) (0.20) (0.21)
------- ----- ------ ------ -------- ------ ------ ------
Net Asset Value, End of Period............ $14.27 $12.51 $11.33 $11.21 $14.27 $12.51 $11.33 $11.21
======= ===== ====== ====== ======== ====== ====== ======
Total Return (not reflecting sales
load)................................... 15.06% 15.35% 3.10% 14.48% 14.91% 15.10% 2.85% 14.37%
Ratios/Supplemental Data:
Net Assets, End of Period (in
thousands)............................ $116,449 $100,110 $93,983 $87,755 $5,855 $5,234 $5,287 $3,348
Ratio of Expenses to Average Net
Assets................................ 0.82%* 0.79% 0.83% 0.83% 1.07%* 1.04% 1.08% 0.94%
Effect of waivers/reimbursements
on expense ratio...................... 0.10%* 0.13% 0.15% 0.20% 0.10%* 0.13% 0.15% 0.20%
Ratio of Net Investment Income to
Average Net Assets.................... 1.74%* 2.15% 1.99% 2.20% 1.49%* 1.90% 1.74% 2.09%
Portfolio Turnover Rate................. 2.35% 58.08% 27.11% 2.61% 2.35% 58.08% 27.11% 2.61%
</TABLE>
- ---------------
* Annualized
** Fund commenced operations on June 1, 1992.
See accompanying notes to financial statements.
33
<PAGE> 38
PERFORMANCE FUNDS TRUST
Financial Highlights (continued)
Selected data for a share of beneficial interest
outstanding throughout each period
<TABLE>
<CAPTION>
MID CAP GROWTH FUND
--------------------------------------------------------------------------------------
INSTITUTIONAL CLASS CONSUMER SERVICE CLASS
------------------------------------------ ------------------------------------------
FOR THE PERIOD FOR THE PERIOD
SIX MONTHS YEAR FEBRUARY 24, 1994 SIX MONTHS YEAR FEBRUARY 24, 1994
ENDED ENDED (COMMENCEMENT OF ENDED ENDED (COMMENCEMENT OF
NOVEMBER 30, MAY 31, OPERATIONS) THROUGH NOVEMBER 30, MAY 31, OPERATIONS) THROUGH
1995 1995 MAY 31, 1994 1995 1995 MAY 31, 1994
------------ ------- ------------------- ------------ ------- -------------------
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of
Period........................ $11.11 $ 9.60 $10.00 $11.11 $ 9.60 $ 10.00
-------- ------ ------------ --------- ------- ------------
Income from Investment
Operations:
Net investment income......... 0.07 0.13 0.03 0.05 0.11 0.03
Net gain (loss) on securities
(both realized and
unrealized)................. 1.78 1.51 (0.40) 1.78 1.51 (0.40)
-------- ------ ------------ --------- ------- ------------
Total from Investment
Operations.................. 1.85 1.64 (0.37) 1.83 1.62 (0.37)
-------- ------ ------------ --------- ------- ------------
Less Distributions;
Dividends from net investment
income...................... (0.07) (0.13) (0.03) (0.05) (0.11) (0.03)
-------- ------ ------------ --------- ------- ------------
Net Asset Value, End of
Period........................ $12.89 $11.11 $ 9.60 $12.89 $11.11 $ 9.60
======== ====== ============ ========= ======= ============
Total Return (not reflecting
sales load).................. 16.63% 17.31% (3.66)% 16.49% 17.06% (3.70)%
Ratios/Supplemental Data:
Net Assets, End of Period (in
thousands).................. $ 59,031 $48,068 $33,779 $392 $277 $35
Ratio of Expenses to Average
Net Assets.................. 1.01%* 0.96% 0.93%* 1.26%* 1.21% 1.18%*
Effect of
waivers/reimbursements on
expense ratio............... 0.15%* 0.26% 1.00%* 0.15%* 0.26% 1.00%*
Ratio of Net Investment Income
to Average Net Assets....... 1.07%* 1.37% 1.60%* 0.82%* 1.12% 1.35%*
Portfolio Turnover Rate....... 20.47% 20.39% 5.88% 20.47% 20.39% 5.88%
</TABLE>
- ---------------
* Annualized
34
<PAGE> 39
PERFORMANCE FUNDS TRUST
<TABLE>
<S> <C>
BOARD OF TRUSTEES
JOHN J. PILEGGI + CHAIRMAN OF THE BOARD
Senior Managing Director, Furman Selz Incorporated
JAMES H. JOHNSTON, III* Physician, Gastrointestinal Associates, Jackson, MS.
JAMES T. MALLETTE + Attorney, Daniel Coker Horton and Bell, Jackson, MS.
WALTER P. NEELY* Professor of Finance, Millsaps College, Jackson, MS.
* Member of Audit and Nominating Committees
+ Trustee who is an "interested person" of the Trust, as
that term is defined in the Investment Company Act of 1940.
</TABLE>
- --------------------------------------------------------------------------------
<TABLE>
<S> <C>
OFFICERS
JOHN J. PILEGGI Principal Executive Officer
DONALD E. BROSTROM Vice President & Treasurer
JOAN V. FIORE Secretary
SHERYL HIRSCHFELD Assistant Secretary
</TABLE>
<PAGE> 40
INVESTMENT ADVISOR
Trustmark National Bank
248 East Capitol Street
Jackson, Mississippi 39201
ADMINISTRATOR AND
TRANSFER AGENT
Furman Selz LLC
230 Park Avenue
New York, New York 10169
DISTRIBUTOR
Performance Funds Distributor, Inc.
230 Park Avenue
New York, New York 10169
CUSTODIAN
Trustmark National Bank
248 East Capitol Street
Jackson, Mississippi 39201
COUNSEL
Baker & McKenzie
805 Third Avenue
New York, New York 10022
THIS REPORT IS FOR THE INFORMATION OF THE SHAREHOLDERS OF THE PERFORMANCE
FAMILY OF MUTUAL FUNDS. ITS USE IN CONNECTION WITH ANY OFFERING OF THE
TRUST'S SHARES IS AUTHORIZED ONLY IN CASE OF A CONCURRENT OR PRIOR DELIVERY
OF THE TRUST'S CURRENT PROSPECTUS.
PERFORMANCE FUNDS TRUST
A FAMILY OF MUTUAL FUNDS
MID-YEAR
NOVEMBER 30, 1995
INVESTMENT ADVISOR
(LOGO)
SHARES OF THE TRUST ARE NOT DEPOSITS OR OBLIGATIONS OF, OR GUARANTEED OR
ENDORSED BY, TRUSTMARK NATIONAL BANK, AND ARE NOT INSURED BY THE FEDERAL
DEPOSIT INSURANCE CORPORATION, THE FEDERAL RESERVE BOARD, OR ANY OTHER
AGENCY. SHARES OF THE TRUST INVOLVE INVESTMENT RISK, INCLUDING POSSIBLE LOSS
OF PRINCIPAL. PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS.
