<PAGE> PAGE 1
000 B000000 10/31/1999
000 C000000 0000889388
000 D000000 N
000 E000000 NF
000 F000000 Y
000 G000000 N
000 H000000 N
000 I000000 6.1
000 J000000 A
001 A000000 INVESTMENT SERIES FUNDS, INC.
001 B000000 811-07021
001 C000000 4122888515
002 A000000 FEDERATED INVESTORS TOWER
002 B000000 PITTSBURGH
002 C000000 PA
002 D010000 15222
002 D020000 3779
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008 D01AA01 PITTSBURGH
008 D02AA01 PA
008 D03AA01 15222
008 D04AA01 3779
010 A00AA01 FEDERATED SERVICES COMPANY
010 C01AA01 PITTSBURGH
010 C02AA01 PA
010 C03AA01 15222
010 C04AA01 3779
011 A00AA01 FEDERATED SECURITIES CORP.
011 B00AA01 8-15561
011 C01AA01 PITTSBURGH
011 C02AA01 PA
<PAGE> PAGE 2
011 C03AA01 15222
011 C04AA01 3779
012 A00AA01 FEDERATED SHAREHOLDER SERVICES COMPANY
012 B00AA01 84-1869
012 C01AA01 PITTSBURGH
012 C02AA01 PA
012 C03AA01 15222
012 C04AA01 3779
013 A00AA01 DELOITTE & TOUCHE
013 B01AA01 BOSTON
013 B02AA01 MA
013 B03AA01 02110
015 A00AA01 STATE STREET BANK AND TRUST CO.
015 B00AA01 C
015 C01AA01 BOSTON
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015 C03AA01 02266
015 C04AA01 8600
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022 A000001 ABN AMRO CHICAGO CORPORATION
022 C000001 630190
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022 A000002 WESTDEUTSCHE LANDESBANK
022 C000002 340665
022 D000002 0
022 A000003 MERRILL LYNCH, PIERCE, FENNER & SMITH, INC.
022 B000003 13-5674085
022 C000003 75341
022 D000003 6586
022 A000004 STATE STREET BANK & TRUST CO.
022 B000004 04-1867445
022 C000004 60500
022 D000004 15000
022 A000005 MORGAN STANLEY & CO.
022 B000005 13-2655998
022 C000005 59500
022 D000005 8317
<PAGE> PAGE 3
022 A000006 SALOMON SMITH BARNEY INC.
022 C000006 10590
022 D000006 36301
022 A000007 BEAR STEARNS SECURITIES
022 C000007 31442
022 D000007 2923
022 A000008 FEDERATED MORTGAGE CORE
022 C000008 17130
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022 A000009 RAYMOND JAME & ASSCOCIATES, INC.
022 B000009 59-1237041
022 C000009 27309
022 D000009 2550
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022 B000010 13-2518466
022 C000010 16076
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<PAGE> PAGE 4
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<PAGE> PAGE 5
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<PAGE> PAGE 6
062 D00AA00 0.0
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<PAGE> PAGE 7
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<PAGE> PAGE 8
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<PAGE> PAGE 9
080 A00AA00 LLOYD'S OF LONDON
080 B00AA00 ZURICH INSURANCE COMPANY; RELIANCE INS. CO.
080 C00AA00 70000
081 A00AA00 Y
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024 000100 N
SIGNATURE STEVE KEANE
TITLE GENERAL COUNSEL
WARNING: THE EDGAR SYSTEM ENCOUNTERED ERROR(S) WHILE PROCESSING THIS SCHEDULE.
<TABLE> <S> <C>
<ARTICLE> 6
<CIK> 0000889388
<NAME> Investment Series Funds, Inc.
<SERIES>
<NUMBER> 011
<NAME> Federated Bond Fund, Class A
<S> <C>
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<FISCAL-YEAR-END> Oct-31-1999
<PERIOD-END> Oct-31-1999
<INVESTMENTS-AT-COST> 1,108,009,751
<INVESTMENTS-AT-VALUE> 1,038,548,709
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<OVERDISTRIBUTION-NII> (1,894,474)
<ACCUMULATED-NET-GAINS> (12,367,379)
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<EXPENSE-RATIO> 1.06
[AVG-DEBT-OUTSTANDING] 0
[AVG-DEBT-PER-SHARE] 0.000
</TABLE>
WARNING: THE EDGAR SYSTEM ENCOUNTERED ERROR(S) WHILE PROCESSING THIS SCHEDULE.
<TABLE> <S> <C>
<ARTICLE> 6
<CIK> 0000889388
<NAME> Investment Series Funds, Inc.
<SERIES>
<NUMBER> 012
<NAME> Federated Bond Fund, Class B
<S> <C>
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<PERIOD-END> Oct-31-1999
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[AVG-DEBT-OUTSTANDING] 0
[AVG-DEBT-PER-SHARE] 0.000
</TABLE>
WARNING: THE EDGAR SYSTEM ENCOUNTERED ERROR(S) WHILE PROCESSING THIS SCHEDULE.
<TABLE> <S> <C>
<ARTICLE> 6
<CIK> 0000889388
<NAME> Investment Series Funds, Inc.
<SERIES>
<NUMBER> 013
<NAME> Federated Bond Fund, Class C
<S> <C>
<PERIOD-TYPE> 12-MOS
<FISCAL-YEAR-END> Oct-31-1999
<PERIOD-END> Oct-31-1999
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<ACCUMULATED-NII-PRIOR> 0
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<GROSS-ADVISORY-FEES> 8,043,846
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<PER-SHARE-NAV-BEGIN> 9.830
<PER-SHARE-NII> 0.600
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<PER-SHARE-DIVIDEND> 0.000
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<RETURNS-OF-CAPITAL> 0.000
<PER-SHARE-NAV-END> 9.120
<EXPENSE-RATIO> 1.86
[AVG-DEBT-OUTSTANDING] 0
[AVG-DEBT-PER-SHARE] 0.000
</TABLE>
WARNING: THE EDGAR SYSTEM ENCOUNTERED ERROR(S) WHILE PROCESSING THIS SCHEDULE.
<TABLE> <S> <C>
<ARTICLE> 6
<CIK> 0000889388
<NAME> Investment Series Funds, Inc.
<SERIES>
<NUMBER> 014
<NAME> Federated Bond Fund, Class F
<S> <C>
<PERIOD-TYPE> 12-MOS
<FISCAL-YEAR-END> Oct-31-1999
<PERIOD-END> Oct-31-1999
<INVESTMENTS-AT-COST> 1,108,009,751
<INVESTMENTS-AT-VALUE> 1,038,548,709
<RECEIVABLES> 37,171,006
<ASSETS-OTHER> 0
<OTHER-ITEMS-ASSETS> 0
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<PAYABLE-FOR-SECURITIES> 5,730,655
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<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 1,146,590,459
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<SHARES-COMMON-PRIOR> 40,068,486
<ACCUMULATED-NII-CURRENT> 0
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<ACCUMULATED-NET-GAINS> (12,367,379)
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> (69,461,042)
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<DIVIDEND-INCOME> 22,451,890
<INTEREST-INCOME> 64,670,596
<OTHER-INCOME> 0
<EXPENSES-NET> (14,989,744)
<NET-INVESTMENT-INCOME> 72,132,742
<REALIZED-GAINS-CURRENT> (8,623,837)
<APPREC-INCREASE-CURRENT> (71,860,196)
<NET-CHANGE-FROM-OPS> (8,351,291)
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> (28,254,560)
<DISTRIBUTIONS-OF-GAINS> 0
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 10,710,348
<NUMBER-OF-SHARES-REDEEMED> (11,014,256)
<SHARES-REINVESTED> 1,441,386
<NET-CHANGE-IN-ASSETS> 79,539,143
<ACCUMULATED-NII-PRIOR> 0
<ACCUMULATED-GAINS-PRIOR> 0
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 8,043,846
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 16,378,387
<AVERAGE-NET-ASSETS> 397,261,924
<PER-SHARE-NAV-BEGIN> 9.830
<PER-SHARE-NII> 0.670
<PER-SHARE-GAIN-APPREC> (0.700)
<PER-SHARE-DIVIDEND> 0.000
<PER-SHARE-DISTRIBUTIONS> (0.680)
<RETURNS-OF-CAPITAL> 0.000
<PER-SHARE-NAV-END> 9.120
<EXPENSE-RATIO> 1.09
[AVG-DEBT-OUTSTANDING] 0
[AVG-DEBT-PER-SHARE] 0.000
</TABLE>
INDEPENDENT AUDITORS' REPORT
TO THE DIRECTORS OF FEDERATED INVESTMENT SERIES FUNDS
AND THE SHAREHOLDERS OF FEDERATED BOND FUND:
We have audited the accompanying statement of assets and liabilities,
including the portfolio of investments, of Federated Bond Fund (the
"Fund") as of October 31, 1999, and the related statement of
operations, the statement of changes in net assets and the financial
highlights for the year then ended. These financial statements and
financial highlights are the responsibility of the Fund's management.
Our responsibility is to express an opinion on these financial
statements and financial highlights based on our audit. The statement
of changes in net assets for the year ended October 31, 1998, and the
financial highlights for each of the four years in the period ended
October 31, 1998 were audited by other auditors whose report dated
December 21, 1998, expressed an unqualified opinion on those
statements.
We conducted our audit in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit
to provide reasonable assurance about whether the financial statements
and financial highlights are free of material misstatement. An audit
includes examining, on a test basis, evidence supporting the amounts
and disclosures in the financial statements. Our procedures included
confirmation of the securities owned at October 31, 1999, by
correspondence with the custodian and brokers; where replies were not
received from brokers, we performed other auditing procedures. An
audit also includes assessing the accounting principles used and
significant estimates made by management, as well as evaluating the
overall financial statement presentation. We believe our audit
provides a reasonable basis for our opinion.
In our opinion, such financial statements and financial highlights
present fairly, in all material respects, the financial position of
Federated Bond Fund as of October 31, 1999, the results of its
operations, the changes in its net assets and its financial highlights
for the year then ended in conformity with generally accepted
accounting principles.
DELOITTE & TOUCHE LLP
Boston, Massachusetts
December 17, 1999
Sub-Item 77K: Changes in registrant's certifying accountant
On May 19, 1999, Investment Series Funds, Inc.'s (Corporation) Board of
Directors (Board), upon the recommendation of the Audit Committee of the
Board, requested and subsequently accepted the resignation of Ernst &
Young LLP (E&Y) as the Corporation's independent auditors. E&Y's reports
on the Corporation's financial statements for the fiscal years ended
October 31, 1997 and October 31, 1998, contained no adverse opinion or
disclaimer of opinion nor were they qualified or modified as to
uncertainty, audit scope or accounting principles. During the
Corporation's fiscal years ended October 31, 1997 and October 31, 1998,
(i) there were no disagreements with E&Y on any matter of accounting
principles or practices, financial statement disclosure or auditing
scope or procedure, which disagreements, if not resolved to the
satisfaction of E&Y, would have caused it to make reference to the
subject matter of the disagreements in connection with its reports on
the financial statements for such years, and (ii) there were no
reportable events of the kind in Item 304(a)(1)(v) of Regulation S-K
under the Securities Exchange Act of 1934, as amended.
The Corporation, by action of its Board, upon the recommendation of the
Audit Committee of the Board, has engaged Deloitte & Touche LLP (D&T) as
the independent auditors to audit the Corporation's financial statements
for the fiscal year ending October 31, 1999 . During the Corporation's
fiscal years ended October 31, 1997 and October 31, 1998, neither the
Corporation nor anyone on its behalf has consulted D&T on items which
(i) concerned the application of accounting principles to a specified
transaction, either completed or proposed, or the type of audit opinion
that might be rendered on the Corporation's financial statements or (ii)
concerned the subject of a disagreement ( as defined in paragraph
(a)(1)(iv) of Item 304 of Regulation S-K) of reportable events ( as
described in paragraph (a)(1)(v) of said Item 304).
December 21, 1999
Securities and Exchange Commission
450 Fifth Street, N.W.
Washington, DC 20549
Dear Sirs:
We have read and agree with the comments contained in Sub-Item 77k
of Form N-SAR of the Federated Bond Fund.
Very truly yours,
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