[SHAWMUT INDIAN LOGO]
THE
SHAWMUT
FUNDS
SEMI-ANNUAL REPORT
April 30, 1995
Table of Contents
- --------------------------------------------------------------------------------
PRESIDENT'S MESSAGE........................................................ 1
- --------------------------------------------------------------------------------
OVERVIEW OF FINANCIAL MARKETS.............................................. 3
- --------------------------------------------------------------------------------
INVESTMENT REVIEWS......................................................... 4
- --------------------------------------------------------------------------------
PORTFOLIOS OF INVESTMENTS.................................................. 10
- --------------------------------------------------------------------------------
STATEMENTS OF ASSETS AND LIABILITIES....................................... 28
- --------------------------------------------------------------------------------
STATEMENTS OF OPERATIONS................................................... 30
- --------------------------------------------------------------------------------
STATEMENTS OF CHANGES IN NET ASSETS........................................ 32
- --------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS--TRUST SHARES......................................... 36
- --------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS--INVESTMENT SHARES.................................... 38
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS.............................................. 40
- --------------------------------------------------------------------------------
President's Message
Dear Investor:
I am pleased to present your Semi-Annual Report to Shareholders of The Shawmut
Funds for the six-month period ended April 30, 1995. This report contains
complete financial information--including a complete list of portfolio
holdings--for The Shawmut Money Market Funds, The Shawmut Income Funds, and The
Shawmut Equity Funds. In addition, Financial Highlights have been included for
Trust Shares and Investment Shares of the Funds.
Please note the following highlights for the six-month reporting period:
The Shawmut Money Market Funds
Shawmut Prime Money Market Fund paid dividends of $0.03 per share to
shareholders of both Trust Shares and Investment Shares. Shawmut Connecticut
Municipal Money Market Fund paid dividends of $0.02 per share to shareholders of
Trust Shares and $0.01 per share to shareholders of Investment Shares. Shawmut
Massachusetts Municipal Money Market Fund paid dividends of $0.02 per share to
shareholders.
Each Fund continues to be managed to help your money earn competitive daily
income while pursuing a stable net asset value of $1.00.* You always have easy
access to your money when you need it.
The Shawmut Income Funds
SHAWMUT LIMITED TERM INCOME FUND paid dividends of $0.27 per share for Trust
Shares and $0.26 per share for Investment Shares. During the period, the fund's
net asset value grew from $9.45 on the first day of the period to $9.55 on the
last day of the period. Total net assets in the fund stood at $47.1 million on
the last day of the period.
SHAWMUT INTERMEDIATE GOVERNMENT INCOME FUND paid dividends of $0.28 per share
for Trust Shares and $0.27 per share for Investment Shares. During the period,
the fund's net asset value grew from $9.37 on the first day of the period to
$9.54 on the last day of the period. Total net assets in the fund stood at $55.2
million on the last day of the period.
SHAWMUT FIXED INCOME FUND paid dividends of $0.30 per share for Trust Shares and
$0.29 per share for Investment Shares. During the period, the fund's net asset
value grew from $9.32 on the first day of the period to $9.61 on the last day of
the period. Total net assets in the fund stood at $85.6 million on the last day
of the period.
SHAWMUT CONNECTICUT INTERMEDIATE MUNICIPAL INCOME FUND paid tax-free dividends
of $0.22 per share. During the period, the fund's net asset value grew from
$9.32 on the first day of the period to $9.70 on the last day of the period.
Total net assets in the fund stood at $8.3 million on the last day of the
period.
SHAWMUT MASSACHUSETTS INTERMEDIATE MUNICIPAL INCOME FUND paid tax-free dividends
of $0.22 per share. During the period, the fund's net asset value grew from
$9.31 on the first day of the period to $9.73 on the last day of the period.
Total net assets in the fund stood at $8.2 million on the last day of the
period.
- ---------
* Money market funds seek to maintain a stable net asset value of $1.00 per
share. There is no assurance that they will be able to do so. An investment in
The Shawmut Money Market Funds is neither insured nor guaranteed by the U.S.
government.
The Shawmut Equity Funds
SHAWMUT GROWTH AND INCOME EQUITY FUND paid distributions of $0.63 per share for
Trust Shares and $0.62 per share for Investment Shares. During the period, the
fund's net asset value grew from $11.15 on the first day of the period to $11.36
on the last day of the period. Total net assets in the fund stood at $203.7
million on the last day of the period.
SHAWMUT GROWTH EQUITY FUND paid distributions of $0.27 per share for Trust
Shares and $0.25 per share for Investment Shares. During the period, the fund's
net asset value for Trust Shares stood at $10.69 on the first day of the period
compared to $10.96 on the last day of the period. Net asset value for Investment
Shares stood at $10.69 on the first day of the period compared to $10.95 on the
last day of the period. Total net assets in the fund stood at $21.2 million on
the last day of the period.
SHAWMUT SMALL CAPITALIZATION EQUITY FUND paid distributions of $0.58 per share
for Trust Shares and $0.57 per share for Investment Shares. During the period,
the fund's net asset value for Trust Shares stood at $11.07 on the first day of
the period compared to $11.06 on the last day of the period. Net asset value for
Investment Shares stood at $11.06 on the first day of the period compared to
$11.04 on the last day of the period. Total net assets in the fund stood at
$126.6 million on the last day of the period.
SHAWMUT QUANTITATIVE EQUITY FUND paid distributions of $0.10 per share for Trust
Shares and $0.09 per share for Investment Shares. During the period, the fund's
net asset value for Trust Shares grew from $10.06 on the first day of the period
to $10.55 on the last day of the period. Net asset value for Investment Shares
grew from $10.06 on the first day of the period to $10.54 on the last day of the
period. Total net assets in the fund stood at $4.2 million on the last day of
the period. There is no Investment Review included for the Quantitative Equity
Fund. However, financial statements are included for the fund.
Thank you for using The Shawmut Funds in pursuing your long-term financial
goals. We will continue to keep you up-to-date on your investment as we provide
your account with the highest level of personal service.
Sincerely,
/s/Edward C. Gonzales
Edward C. Gonzales
President
June 15, 1995
Overview of the Financial Markets
The period between October 31, 1994, and April 30, 1995, has been a very
rewarding six months for investors in long-term domestic financial assets. As
1994 drew to a close, it became increasingly apparent that the sharp rise in
interest rates that had occurred during the prior 12 months was discouraging
consumer borrowing. Mortgage borrowing, which represents approximately 60% of
consumer debt usage, began to decline. This trend, in combination with low
inflation and a declining federal budget deficit, sparked a strong bond market
rally. The rebound in bond prices was sustained throughout the first 4 months of
1995 by additional evidence of slowing economic activity.
During the first six months of the current fiscal year, the long-term bond
market, as measured by the Lehman Brothers Government/Corporate Bond Index*,
returned almost 7.00%. Short- to intermediate-term bonds and notes earned
between 4.50% and 5.50%. In contrast to the prior fiscal year, investors were
compensated for assuming the risk associated with longer maturities. Short-term
obligations, as measured by 90 treasury bills, earned about 3.00%. The
performance of tax exempt municipal bonds paralleled the results experienced in
the taxable markets.
The six months ended April 30, 1995, were very close to an ideal environment for
the equity investor. Interest rates declined substantially in anticipation of
sluggish economic activity, but reported profits reached record levels as the
result of current high rates of capacity utilization, low unit labor costs, and
strong overseas profitability. This combination of factors led to a 10.50% total
return for the Standard & Poor's Composite Stock Index (the "S&P 500")*. The
technology sector of the market was particularly strong during this period and
financial stocks also performed quite well. Utility and consumer cyclical stocks
lagged the averages. Smaller capitalization stocks did not keep pace with the
S&P 500. Between October 1994 and April 1995 the Russell 2000 Stock Index (the
"Russell 2000")* reported a total return of 5.40%.
Currently, corporate earnings appear robust, but earnings momentum is likely to
slow significantly as growth in consumer spending and inventory accumulation
moderate during 1995. Continued strength in capital spending and exports is
expected to prevent the retrenchment in personal consumption from causing a
sustained decline in economic activity. Although the upward momentum in the
domestic economy and corporate profits is moderating, it is unlikely that
inflationary expectations will fall substantially below 3.00%. The absence of a
dynamic improvement in corporate earnings or a meaningful decline in expected
inflation should hamper the upward progress of both the stock and the bond
markets. The emphasis that Shawmut Investment Advisers places on prudent
diversification and issue selection should be very beneficial during a period in
which the direction of interest rates and corporate earnings is unclear.
* This index is unmanaged.
Investment Reviews
Shawmut Prime Money Market Fund
Over the past six months, the Federal Reserve Board (the "Fed") continued its
aggressive anti-inflation campaign, raising the federal funds target rate a
total of 125 basis points to 6.00%. The goal of monetary policy was to reduce
gross domestic product from a steamy 4.00% to a sustainable 2.50%. Recent
economic data suggests that the Fed's campaign is succeeding. March 1995 saw
housing starts fall 6.70%, durable goods orders decline 0.20%, and employment
growth moderate. Although fourth quarter gross domestic product rose at a rate
of 5.10%, first quarter performance slowed to 2.80%.
Short yields have responded to the Fed's restrictive monetary policy in two
ways. First, interest rates in general have risen. Since October 1994, 30-day
commercial paper interest rates have risen 107 basis points to 6.05%. Second,
the yield curve flattened. As the economy slowed, the market perceived an end to
the Fed's tightening moves and began to discount a period of stable interest
rates, possibly followed by interest rate cuts. The short yield curve as
measured by the 1 to 3 year Treasury bill flattened from 100 to 45 basis points.
Shawmut Prime Money Market Fund benefited from the general rise in interest
rates. The 7-day net yield rose 94 basis points during the six months ended
April 30, 1995*. In response to the incremental Fed interest rate hikes and the
flattening yield curve, the average maturity of the fund was reduced from 37 to
27 days. In addition, portfolio holdings were shifted to take advantage of the
banks' more aggressive demand for funds. Portfolio holdings of bank products
(Certificates of Deposits, Bankers Acceptances, Euro CD's, Bank Notes, and
Commercial Paper) increased from 14.2% to 33.6%.
In the next quarter, the Fed's success in slowing economic growth might lead to
a more accommodative monetary policy and a reduction in the federal funds target
rate. If the economy continues to soften, the average maturity of the fund will
be extended in anticipation of lower rates.
Shawmut Connecticut Municipal Money Market Fund
Over the past six months, short-term interest rates continued to rise as the Fed
boosted the federal funds target rate an additional 125 basis points in two
consecutive steps. On November 15, 1994, the rate was raised 75 basis points to
5.50% and then an additional 50 basis points to 6.00% on January 31, 1995. The
Fed's goal was to slow the gross domestic product to a non-inflationary 2.50%
from the third quarter's steamy 4.00%. Short-term interest rates moved higher in
response to the Fed tightening. The Bond Buyer One Year Note Index**, a measure
of the yield on one year municipal note issues, rose 16 basis points to 4.29%.
Meanwhile the Public Securities Association Municipal Swap Index**, a measure of
seven-day variable rate demand notes, rose 124 basis points to 4.65%. With
seven-day tax exempt yields rising more than one year notes, the short yield
curve inverted with seven-day paper offering a 36 basis point yield premium to
one year paper.
Yields on short-term Connecticut issues reflected this general trend. In October
1994, One Year Litchfield Connecticut Bond Anticipation Notes were priced at
4.04%. Six months later, One Year Naugatuck Notes were priced at 4.39%, 35 basis
points higher. More dramatic was the 135 basis point rise to 4.80% on the
Connecticut state special tax obligation weekly variable rate issue during the
same six-month period.
Shawmut Connecticut Municipal Money Market Fund benefited from this general rise
in interest rates. The seven-day net yield rose 88 basis points during the six
months ended April 30, 1995*. We targeted 50% of the portfolio holdings in
weekly or daily variable rate issues in order to take advantage of the inverted
yield curve.
As we proceed into the next quarter, it is clear that the Fed's
anti-inflationary monetary policy is having the desired impact. The gross
domestic product has slowed from the fourth quarter 1994 growth of 5.10%, to a
first quarter 1995 growth of 2.80%, thus potentially precluding any additional
interest rate hikes. In response, we will increase the average maturity of the
fund from the current 49 days, by increasing the bond anticipation notes
portion of the portfolio.
* Performance quoted represents past performance and is not indicative of
future results. Yield will vary.
** This index is unmanaged.
Shawmut Massachusetts Municipal Money Market Fund
Over the past six months, short-term interest rates continued to rise as the Fed
boosted the federal funds target rate an additional 125 basis points in two
consecutive steps. On November 15, 1994, the rate was raised 75 basis points to
5.50% and then an additional 50 basis points to 6.00% on January 31, 1995. The
Fed's goal was to slow the gross domestic product to a non-inflationary 2.50%
growth from the third quarter's steamy 4.00%. Short-term interest rates moved
higher in response to the Fed tightening. The Bond Buyer One Year Note Index*, a
measure of the yield on one year municipal note issues, rose 16 basis points to
4.29%. Meanwhile the Public Securities Association Municipal Swap Index*, a
measure of seven-day variable rate demand notes, rose 124 basis points to 4.65%.
With seven-day tax exempt yields rising more than one year notes, the short
yield curve inverted with seven-day paper offering a 36 basis point yield
premium to one year paper.
Yields on short-term Massachusetts issues reflected this general trend. In
September 1994, Gloucester Massachusetts One Year Notes were priced at 4.25%.
Six months later, Hadley Massachusetts One Year Bond Anticipation Notes were
priced at 4.47%, 22 basis points higher. More dramatic was the 125 basis point
rise to 4.65% on the Massachusetts Health and Education Brigham and Womens
Hospital variable rate issue during the same six-month period.
Shawmut Massachusetts Municipal Money Market Fund benefited from this general
rise in interest rates. The seven-day net yield rose 110 basis points**. The
composition of portfolio holdings was shifted to take advantage of the changing
shape of the yield curve. Daily and variable rate holdings were increased from
39% to 43% of the portfolio.
As we proceed into the next quarter, it is clear that the Fed's anti-inflation
policy is having the desired impact. The gross domestic product has slowed from
the fourth quarter 1994 growth of 5.10% to a first quarter 1995 growth of 2.80%,
thus potentially precluding any additional interest rate hikes. In response, we
will increase the average maturity of the fund from the current 42 days, by
increasing the bond anticipation notes portion of the portfolio.
Shawmut Limited Term Income Fund
Yield levels of all fixed income securities declined dramatically over the past
six months. For example, the yield on U.S. Treasury two year securities went
from a high of 7.72% in December 1994 to a low of 5.97% as of May 1995. For most
of this time, the interest rate risk exposure of Shawmut Limited Term Income
Fund was equal to, or slightly longer than, that of its benchmark, the Merrill
Lynch 1-5 Year Government-Corporate Bond Index*. The fund extended this
weighting as economic indicators confirmed that the economy was in a broad-based
slowdown. This strategy proved effective given the decline in interest rates.
Throughout the period, the fund maintained an overweighted position in corporate
securities. This position benefited as spreads tightened relative to treasury
securities due to continued strong corporate earnings and as investors reached
for yield. The fund used this compression of spreads to upgrade in quality by
moving a portion of its corporate holdings into AAA rated asset-backed
securities which were attractively valued. These standards are based on the
highest ratings supplied by Standard & Poor's Ratings Group and Moody's
Investors Service, Inc.
During most of the period, the fund concentrated its holdings in securities
whose maturities matched the average life of its benchmark, which is commonly
referred to as a "bulleted" position. This strategy was employed because the
steep slope of the yield curve at the short end adequately compensated for
assuming the risk of Fed tightening greater than what was already discounted by
the market. Moreover, this position is generally more favorable in a market
rally. Given the extent of the recent rally and a significant flattening of the
yield curve, the fund is concentrating new purchases in relatively long (i.e., 5
years) and short (i.e., less than 1 year) maturity securities to create what is
commonly referred to as a "barbell" position.
* This index is unmanaged.
** Performance quoted represents past performance and is not indicative of
future results. Yield will vary.
The cyclical backdrop for fixed income markets has improved by the softening
economic conditions during the past few months. Prospects for continued weak
economic growth imply that inflation pressures should fade, credit demand should
weaken and Fed policy should remain on hold. In addition, this trend of
disinflationary slow growth is widespread throughout the global economy and is
positive for debt markets. The risks to this scenario are a weak dollar and
protectionist pressures building between the United States and Japan. If these
trade tensions escalate and cause a dumping of U.S. securities, yields may spike
higher. This situation will be monitored closely in the coming months.
Shawmut Intermediate Government Income Fund
The intermediate bond market has been in an especially strong rally for the last
six months. Yields on ten year securities have dropped more than any other part
of the Treasury curve, falling approximately 0.75% since October 31, 1994. Five
year securities have also performed well with yields dropping approximately
0.60%.
Shawmut Intermediate Government Income Fund has responded to these events with a
two-pronged approach. The fund has maintained a duration longer than the fund's
benchmark, the Lehman Brothers Government/Corporate Bond Index*, throughout most
of the period. This has enabled the fund to benefit from the general decrease in
interest rates. In addition, securities with excellent income characteristics,
but somewhat poorer prospects for total return in a falling interest rate
environment, have been liquidated over the period. This has meant, in most
cases, that securities issued by government agencies and entities which are
slightly less liquid than U.S. Treasury securities have been sold in favor of
more liquid government agency securities and U.S. Treasury securities. This
portfolio management activity has, however, been somewhat masked by the need,
early in the year, to liquidate U.S. Treasury securities because of withdrawals
from the fund as shareholders reacted to the poor bond markets of 1994. We
expect the liquidation of securities which do not perform as well as others
during market rallies to continue, with much of the position of government
agency mortgage-backed securities having been liquidated as of the period ended
April 30, 1995.
We remain constructive on the fixed income markets and remain at a greater
duration than the Lehman Brothers Government/ Corporate Bond Index*.
Shawmut Fixed Income Fund
The fixed income markets have been in a strong rally in the last six months. The
fears of run away growth and inflation have abated and we are now looking at an
economic soft landing along with potential easing of the federal funds target
rate by the Fed in the next six months. The fund has continued this positive
posture in regard to the market. The fund has maintained its higher than normal
investment in long-term U.S. Treasuries. This has allowed the fund to
participate fully in the rally.
The quality of the fund's portfolio has increased in the last several months as
corporate bonds have been sold and like maturity U.S. Treasuries purchased. The
premium by which corporates trade over U.S. Treasuries has become extremely
tight in the last several months. The risk and reward of owning corporate bonds
has moved toward greater risk and less reward. In economic slowdowns, the spread
between corporate bonds and U.S. Treasuries widen and we see no reason why this
should not happen again.
The other major change that has taken place in the fund in the last six months
is the undoing of the barbell yield curve strategy. In a barbell, the short-term
maturity and long-term maturity are over-weighted relative to the intermediate
maturities. This strategy worked extremely well in the fourth quarter of 1994,
but was less than optimal in the first quarter of 1995. Current maturities are
more evenly spread across the yield curve with an over emphasis on the long-term
maturities.
The outlook for the markets continues to be positive. The market has retraced
66% of the decline of 1994. There will be backing and filling before it can move
further up. At some point, there will be strong resistance to any further upward
progress. How the economy unfolds will be the largest factor in determining how
far the market can recover.
* This index is unmanaged.
Shawmut Connecticut Intermediate Municipal Income Fund
Shawmut Connecticut Intermediate Municipal Income Fund was created to seek
current income exempt from Federal and Connecticut state income taxes*. As of
April 30, 1995, the portfolio was comprised of bonds with an average maturity of
approximately 7.6 years. It is the policy of the fund to maintain a weighted
average maturity no longer than ten years. A high credit quality standard is
being maintained with over 90% of assets rated AA or higher, and the balance of
the portfolio being A rated. These standards are based on the three highest
ratings supplied by Standard & Poor's Ratings Group and Moody's Investors
Service, Inc.
The fund is widely diversified, encompassing 20 separate issuers of the state,
its agencies, cities and towns, hospitals, higher education institutions, and
public utility water obligations, spreading credit risk over a broad universe.
The largest positions in the fund are Connecticut Transportation Infrastructure
bonds and direct state obligations, representing 21% and 15%, respectively, of
the fund's total market value.
The average duration, or interest rate risk position, of the fund as of April
30, 1995, was 5.9 years, approximately three quarters of a year shorter than a
year ago. As a comparison, a broad market index of ten year general obligation
bonds has a duration of 7.1 years.
During the six-month period ended April 30, 1995, the economy provided strong
growth throughout 1994. However, more recently, economic activity has slowed, so
that while interest rates rose sharply through mid-November of last year,
interest rates have declined significantly over the interim, which is reflected
by the Bond Buyer One Year Note Index**, which began a year ago at 6.16%, rose
to a high 7.06%, and ended the fiscal year at 6.06%.
During the fiscal year, concerted effort has been made to moderate the impact of
market volatility as interest rates have moved rapidly in a very short time.
Most of our efforts have been directed toward upgrading lower coupon holdings to
higher coupons, which has provided better retention of value in falling bond
markets. Compared to a year ago, we have raised the weighted average coupon in
the fund's portfolio from 4.84% to 5.25%, thus leaving 65% of the fund's assets
bear weighted coupons of 5.00% or higher. In anticipation to lower interest rate
conditions, we believe that our strategy of increasing the coupon and
maintaining market discount issues should continue to provide significant market
value recovery.
Shawmut Massachusetts Intermediate Municipal Income Fund
Shawmut Massachusetts Intermediate Municipal Income Fund was created to seek
current income exempt from Federal and Massachusetts state income taxes*. As of
April 30, 1995, the portfolio was comprised of bonds with an average maturity of
approximately 7.4 years. It is the policy of the fund to maintain a weighted
average maturity no longer than ten years. A high credit quality standard is
being maintained with approximately 65% of the municipal securities rated AA or
higher, and the balance of the portfolio being A rated. These standards are
based on the three highest ratings supplied by Standard & Poor's Ratings Group
and Moody's Investors Service, Inc.
The fund is widely diversified, encompassing 25 separate issuers of the state,
its agencies, cities and towns, hospitals, higher education institutions, and
public utility water obligations, spreading credit risk over a broad universe.
The largest positions in the fund are direct obligations of the Commonwealth of
Massachusetts and insured Massachusetts Municipal Wholesale Electric Co. bonds,
with no position exceeding 8.00% of the fund's total market value.
The average duration, or interest rate risk position, of the fund as of April
30, 1995, was 5.6 years, one year shorter than a year ago. As a comparison, a
broad market index of ten year general obligation bonds has a duration of 7.1
years.
During the six-month period ended April 30, 1995, the economy provided strong
growth throughout 1994, however, more recently, economic activity has slowed so
that while interest rates rose sharply through mid-November of last year,
interest rates have declined significantly over the interim which is reflected
by the Bond Buyer One Year Note Index** which began a year ago at 6.16%, rose to
a high of 7.06% and ended the fiscal year at 6.06%.
* Income may be subject to the federal alternative minimum tax.
** This index is unmanaged.
During the fiscal year, concerted effort has been exerted to moderate the impact
of market volatility as interest rates have moved rapidly in a very short time.
Most of our efforts have been directed toward upgrading lower coupon holdings to
higher coupons, which has provided better retention of value in falling bond
markets. Compared to a year ago, we have raised the weighted average coupon in
the fund's portfolio from 4.70% to 5.19%, thus leaving 50% of the fund's assets
bear weighted coupons of 5.00% or higher. In anticipation of lower interest rate
conditions, we believe that our strategy of increasing the coupon and
maintaining market discount issues should continue to provide significant market
value recovery.
Shawmut Growth and Income Equity Fund
On April, 30, 1995, Shawmut Growth and Income Equity Fund was approximately 92%
invested in common stocks and convertible preferred securities with the
remainder held in money market instruments. The fund has generated a gross
annual income distribution rate of 3.40%, 20% greater than the 2.80% rate of the
S&P 500* as of April 30, 1995. The fund's thirty-day yield for Trust Shares and
Investment Shares for the period ended April 30, 1995 were 2.41% and 2.16%,
respectively.*** For the six months ended April 30, 1995, Trust Shares and
Investment Shares of the fund reported an average annual total return of 8.09%
and 3.66%, respectively. For the one year period ended April 30, 1995, the Trust
Shares of the fund reported an average annual total return of 17.09%, ranking 26
out of 368 mutual funds in the Lipper Analytical Services, Inc. Growth and
Income Funds.** For the same period, the Investment Shares of the fund reported
an average annual total return of 12.13%. For the quarter ended March 31, 1995,
the fund reported total return figures for Trust Shares and Investment Shares of
8.41% and 4.01%, respectively. For the period from December 14, 1992 (date of
initial public investment), to April 30, 1995, Trust Shares reported an average
annual total return of 11.14%. For the period from February 12, 1993 (date of
initial public offering), Investment Shares reported an average annual total
return of 8.60%.***
The strength of the equity market in the opening months of 1995 was a dramatic
contrast to the flat equity market experienced in the closing months of 1994.
The management of the fund increased the equity holdings to approximately 94% of
the fund's portfolio during the first quarter of 1995. The management of the
fund shifted sector emphasis and concentrated on building positions in the Basic
Industry sector due to attractive valuations. In April 1995, we began to take
advantage of the unusually strong market by selling common stocks and increasing
money market instrument holdings to approximately 8% of the fund's portfolio.
The management of the fund continues to focus on equities trading at reasonable
price per earnings ratios relative to their growth rates and the S&P 500.*
Continued market strength and evidence of slowing earnings growth in late 1995
and early 1996 may lead to selling common stocks and increasing money market
instruments by the management of the fund, in keeping with their value
orientation.
Shawmut Growth Equity Fund
For the six month period ended April 30, 1995, Shawmut Growth Equity Fund
generated an average annual total return of 5.24% for Trust Shares and 0.75% for
Investment Shares.***
There were many changes within your fund during the period. First we reduced the
large concentration in consumer cyclicals in the portfolio from 22.60% to 8.30%
owing to our belief in a slowdown in consumer spending due to the increase in
interest rates. We also broadened the exposure among all the economic sectors of
the market. Finally, we reduced the number of securities in the fund in order to
focus on the issues that we believe have the most attractive characteristics for
growth. The fund's largest sector exposure is consumer staples, followed by
energy.
* This index is unmanaged.
** Past performance does not guarantee future results. Lipper rankings are
based on total return and do not include the effect of sales charges. For
the year ended April 30, 1995, the investment adviser, custodian and
distributor waived portions of their fees. Otherwise, total return would
have been lower.
*** Performance quoted represents past performance. Investment return and
principal value will fluctuate, so that an investor's shares, when redeemed,
may be worth more or less than their original cost. The Investment Shares'
total return takes into account the effect of the maximum 4.00% sales load.
As our strategy in selecting stocks, we balance a company's long-term valuation
with its near term earnings growth forecast over the next twelve months. In
other words, we are placing high confidence in earnings growth as the catalyst
for the market to realize a company's potential value.
Some of our recent purchases during the period are The Limited, KLM Royal Dutch,
and Deere & Company. At The Limited, new management was brought in to improve
store layout, enhance merchandise selection, and reduce costs at its women's
apparel stores. The stock was at a ten year low in valuation, yet the
restructuring has been effective in reaccelerating earnings growth. Management
at foreign airlines has been successful in restructuring to lower costs and
improving plane utilization. This is leading to improved earnings growth at KLM
Royal Dutch. Management at Deere & Company has spent the past five years
improving plant efficiencies, reducing costs, and developing new products. It is
currently the low cost producer of farm equipment worldwide. Improving demand
for its new products is leading to a resurgence in earnings growth.
Looking forward, we believe that the Federal Reserve will be successful in
slowing the domestic economy. With a broad slowdown in the economy and
inflation, profits are unlikely to grow at the extraordinary pace of the past
year. For this reason, we believe it is important to focus on companies that
have access to the world economy. Our research focuses on large multinational
corporations in addition to the restructuring themes referred to above. We
believe the fund should benefit from our focus on careful stock selection which
balances attractive valuation with positive earnings growth potential.
Shawmut Small Capitalization Equity Fund
Shawmut Small Capitalization Equity Fund's performance exceeded the Russell
2000* for the six months ended April 30, 1995. The fund's average total return
was 5.74% for Trust Shares for the period versus the Russell 2000's average
annual total return of 5.40%. The average annual total return for Investment
Shares was 1.37%.**
The technology sector has been the strongest performing group and many of these
stocks are exceeding our valuation parameters. As a result, we have been
actively reducing the technology holdings in the portfolio. Stocks such as
Microcom, Coherent, Alliance Semiconductor, and Lattice Semiconductor have all
been either eliminated or cut back in the face of strong price gains. Proceeds
from these sales are being used to raise the cash reserve and add to the Energy
sector of the portfolio. We feel the Energy area offers an opportunity to invest
in an overlooked group that has potential as world wide demand for energy
increases. We have added holdings in Vintage Petroleum, Coda Energy, and Parker
& Parsley to the portfolio over the past few months.
The small cap market has become frothy in many areas as investors continue to
chase the popular stocks. New issues of previously private companies are in
great demand and frequently trade up sharply on the first day of public trading.
This is a clear indication that the markets appear to be becoming much more
speculative. As a result, we have taken a more cautious approach to new
investments as we expect the market to enter a period of uncertainty in the
short-term. We remain optimistic that our value oriented approach will produce
positive long-term results.
* This index is unmanaged.
** Performance quoted represents past performance. Investment return and
principal value will fluctuate, so that an investor's shares, when redeemed,
may be worth more or less than their original cost. The Investment Shares
total return takes into account the effect of the maximum 4.00% sales load.
THE SHAWMUT FUNDS
Portfolios of Investments April 30, 1995 (unaudited)
SHAWMUT PRIME MONEY MARKET FUND
<TABLE>
<CAPTION>
Principal
Amount Value
<C> <S> <C>
CERTIFICATES OF DEPOSIT1.9%
$5,000,000 Harris Trust & Savings Bank of
Chicago, 6.05%, 6/5/1995 $ 5,000,000
10,000,000 U.S. National Bank of Oregon,
6.05%,
6/9/1995 10,000,000
-----------
TOTAL CERTIFICATES OF DEPOSIT 15,000,000
-----------
CERTIFICATES OF DEPOSIT-
EURODOLLAR3.8%
10,000,000 Harris Trust & Savings Bank of
Chicago, 6.06%, 5/5/1995 10,000,000
20,000,000 Harris Trust & Savings Bank of
Chicago, 6.18%, 6/30/1995 20,000,000
-----------
TOTAL CERTIFICATES OF
DEPOSIT-EURODOLLAR 30,000,000
-----------
*COMMERCIAL PAPER61.4%
Finance-Automotive13.5%
36,000,000 Ford Motor Credit Co., 5.94%-6.05%,
5/8/1995-6/29/1995 35,745,456
36,000,000 General Motors Acceptance Corp.,
6.04%-6.15%, 5/3/1995-6/20/1995 35,898,283
34,300,000 Toyota Motor Credit Corp.,
5.95%-6.06%, 5/19/1995-7/11/1995 34,067,817
-----------
TOTAL 105,711,556
-----------
Finance-Receivables5.3%
12,000,000 General Electric Capital Corp.,
6.00%,
5/25/1995-6/5/1995 11,933,667
30,000,000 IBM Credit Corp., 5.98%-6.06%,
6/19/1995-7/3/1995 29,719,372
-----------
Total 41,653,039
-----------
Finance-Retail13.8%
32,000,000 American Express Credit Corp.,
6.00%-6.06%, 5/8/1995-6/29/1995 31,908,932
35,000,000 Beneficial Corp., 5.98%-6.03%,
5/17/1995-7/18/1995 34,715,629
35,000,000 Commercial Credit Corp.,
6.00%-6.02%,
5/3/1995-6/1/1995 34,952,446
6,500,000 Merrill Lynch & Co., Inc., 6.02%,
6/12/1995 6,454,348
-----------
Total 108,031,355
-----------
Funding Corporation12.3%
15,000,000 B.A.T. Capital Corp., 5.97%,
5/15/1995 14,965,175
35,000,000 Barclays U.S. Funding Corp., 5.95%,
5/22/1995-5/26/1995 34,875,215
20,000,000 Bell Atlantic Network Funding
Corp., 5.95%, 5/17/1995 19,947,111
27,000,000 Glaxo Holdings, 6.00%-6.05%,
5/1/1995 27,000,000
-----------
Total 96,787,501
-----------
Healthcare3.1%
24,500,000 SmithKline Beecham Corp., 5.98%,
5/8/1995-5/9/1995 24,470,681
-----------
Oil and Finance8.0%
$30,000,000 British Gas Capital, Inc., 6.03%,
6/6/1995 $29,819,100
33,000,000 Chevron Oil Finance Co.,
5.98%-6.00%,
6/5/1995-7/18/1995 32,629,417
-----------
Total 62,448,517
-----------
Real Estate4.4%
35,000,000 PHH Corp., 5.95%-5.96%, 5/22/1995-
5/24/1995 34,873,446
-----------
Telecommunications1.1%
8,390,000 American Telephone & Telegraph Co.,
6.00%-6.02%, 5/4/1995-5/25/1995 8,371,798
-----------
TOTAL COMMERCIAL PAPER 482,347,893
-----------
**GOVERNMENT OBLIGATIONS-
VARIABLE RATE3.8%
30,000,000 Federal National Mortgage
Association, 5.94%, 2/16/1996 30,000,000
-----------
**VARIABLE RATE
INSTRUMENTS10.0%
Banking-Commercial5.7%
5,000,000 Old Kent Bank & Trust Co., 6.063%,
9/22/1995 5,000,000
20,000,000 PNC Bank N.A., 5.965%, 8/7/1995 19,997,098
20,000,000 Southtrust Bank of Alabama,
6.00%-6.125%, 6/28/1995-9/14/1995 20,000,000
-----------
Total 44,997,098
-----------
Finance-Automotive1.1%
8,607,000 General Electric Capital Corp.,
5.934%, Master Note, 5/2/1995 8,607,000
-----------
Finance-Retail3.2%
25,000,000 Merrill Lynch & Co., Inc.,
6.17%-6.24%, Medium Term Note,
7/10/1995-9/14/1995 25,000,000
-----------
TOTAL VARIABLE RATE INSTRUMENTS 78,604,098
-----------
CORPORATE NOTES8.9%
Banking-Commercial8.9%
25,000,000 Bank of New York, 6.12%, 6/27/1995 25,000,000
10,000,000 Fifth Third Bank, 6.00%, 5/11/1995 10,000,000
35,000,000 Wachovia Bank of North Carolina
N.A., 5.99%-6.04%,
5/16/1995-5/22/1995 35,000,120
-----------
Total Corporate Notes 70,000,120
-----------
MUTUAL FUND SHARES5.8%
36,004,110 Dreyfus Cash Management 36,004,110
9,685,074 Fidelity Institutional Cash Money
Market Fund 9,685,074
-----------
TOTAL MUTUAL FUND SHARES
(AT NET ASSET VALUE) 45,689,184
-----------
***REPURCHASE AGREEMENT4.5%
35,000,000 HSBC Securities, Inc., 5.88%, dated
4/28/1995, due 5/1/1995 35,000,000
-----------
TOTAL INVESTMENTS,
AMORTIZED COST AND VALUE $786,641,295+
-----------
-----------
</TABLE>
SHAWMUT CONNECTICUT MUNICIPAL MONEY MARKET FUND
<TABLE>
<CAPTION>
Principal Credit
Amount Ratings* Value
<C> <S> <C> <C>
SHORT-TERM MUNICIPAL
SECURITIES93.4%
Connecticut86.2%
$ 500,000 Berlin, CT 4.25% BANs,
6/29/1995 NR $ 500,301
1,000,000 Branford, CT, 4.07% GO UT
BANs, 8/22/1995 NR 1,000,362
675,000 Bristol, CT, 7.00% GO UT
Bonds, (FGIC Insured),
6/15/1995 AAA 677,392
2,000,000 Cheshire, CT, 4.25% GO UT
BANs, 8/10/1995 NR 2,001,313
5,000,000 Connecticut State
Development Authority
Health Care, Weekly VRDNs,
Revenue Refunding Bonds,
(Corporate Independent
Living Project)/ (Credit
Commercial de France LOC) VMIG1 5,000,000
2,600,000 Connecticut State
Development Authority PCR,
Monthly VRDNs, (Central
Vermont Public
Service)/(Toronto Dominion
Bank LOC) AA 2,600,000
14,300,000 Connecticut State
Development Authority PCR,
Weekly VRDNs, Refunding
Bonds, (Connecticut
Lighting & Power
Co.-Project A)/ (Deutsche
Bank LOC) VMIG1 14,300,000
3,000,000 Connecticut State
Development Authority,
3.50% Revenue Bonds,
(General Accident Ins.
Co.), 6/1/1995 AA 3,000,000
1,295,593 Connecticut State
Development Authority,
Monthly VRDNs, (Trudy Corp
Project-1984)/ (Citibank
LOC) A-1 1,295,592
3,815,000 Connecticut State
Development Authority,
Monthly VRDNs, (Zotos
International, Inc. Pro-
ject)/(Dai Ichi Kangyo
LOC) A-1 3,815,000
1,300,000 Connecticut State
Development Authority,
Weekly VRDNs) Revenue
Bonds, (Conco Pro-
ject)/(Bayerische
Vereinsbank LOC) Aaa 1,300,000
725,000 Connecticut State
Development Authority,
Monthly VRDNs, Revenue
Bonds, (Jewish Community
Center Project)/(Fleet
National Bank LOC) A-1 725,000
$3,100,000 Connecticut State
Development Authority,
Monthly VRDNs, Revenue
Refunding Bonds, (Allen
Group, Inc.)/(Union Bank
of Bavaria LOC) Aaa $ 3,100,000
700,000 Connecticut State
Development Authority,
Weekly VRDNs
(Martin-Brower Co.
Project)/ (Chemical Bank
LOC) A-1 700,000
100,000 Connecticut State
Development Authority,
Weekly VRDNs, Revenue
Bonds, (Solid Waste-Exeter
Project B)/(Sanwa Bank
LOC) AA- 100,000
1,300,000 Connecticut State HEFA,
VRDNs, Revenue Bonds,
(Yale-New Haven Hospital)/
(Series E)/(FGIC Insured)/
(Mellon Bank SPA) VMIG1 1,300,000
1,000,000 Connecticut State HEFA,
Weekly VRDNs, Revenue
Bonds, (Kent
School)/(Series
A)/(Barclays Bank PLC LOC) AA 1,000,000
1,000,000 Connecticut State HEFA,
Weekly VRDNs, Revenue
Bonds, (Pomfret School,
Inc.)/ (Series A)/(Credit
Local de France LOC) Aaa 1,000,000
5,000,000 Connecticut State Special
Assessment Unemployment
Compensation Advance Fund,
3.85% Revenue Bonds,
(Series C)/(FGIC Insured),
Mandatory Put 7/1/1995 AAA 4,998,010
5,000,000 Connecticut State Special
Tax Obligations, Weekly
VRDNs, Revenue Bonds,
(Industrial Bank of Japan
LOC) VMIG1 5,000,000
2,600,000 Connecticut State, 4.90%
GO UT Refunding Bonds,
(Series B), 5/15/1995 Aa 2,601,554
700,000 Connecticut State, 6.70%
GO UT Bonds, 7/15/1995 Aa 703,747
2,600,000 Connecticut State, HFA,
HMFP, 3.55% Revenue Bonds,
(Sub-series D-1),
Mandatory Put 5/16/1995 Aa 2,600,000
1,000,000 Connecticut State HFA,
HMFP, 7.70% Revenue
Refunding Bonds, (Series
B), 11/15/1995 AA 1,019,528
4,700,000 Connecticut State, Weekly
VRDNs, GO UT Economic
Recovery Refunding Bonds,
(Series B)/(Industrial
Bank of Japan SPA) VMIG1 4,700,000
</TABLE>
SHAWMUT CONNECTICUT MUNICIPAL MONEY MARKET FUND (cont'd)
<TABLE>
<CAPTION>
Principal Credit
Amount Ratings* Value
<C> <S> <C> <C>
$ 576,000 Danbury, CT, 4.50% GO UT
BANs, 7/7/1995 NR $ 576,261
2,000,000 Durham & Middlefield, CT,
4.25% BANs, (School
District No. 13), 8/1/1995 NR 2,001,671
2,000,000 Fairfield, CT 5.00% GO UT
BANs 1/16/1996 NR 2,002,714
1,940,000 Farmington, CT, 3.63% GO
UT BANs, 7/20/1995 NR 1,940,120
1,290,000 Hamden, CT, 3.78% BANs,
8/16/1995 NR 1,289,729
1,818,000 Litchfield, CT, 4.25% GO
UT BANs, 10/25/1995 NR 1,820,113
1,000,000 Meriden, CT, 6.40% GO UT
Bonds, (AMBAC Insured),
1/15/1996 Aaa 1,015,638
2,000,000 Milford, CT, 4.75% GO UT
BANs, 11/15/1995 NR 2,002,620
2,000,000 Montville, CT, 5.10% GO UT
BANs, 1/29/1996 NR 2,004,275
250,000 New Britain, CT, 4.58% GO
UT BANs, 7/14/1995 NR 250,090
1,625,000 New Milford, CT, 3.88%
BANs, 8/17/1995 NR 1,625,114
708,000 Simsbury, CT, 4.15% GO UT
BANs, 10/5/1995 NR 708,765
1,000,000 Stamford, CT, 6.00% GO UT
Bonds, 1/15/1996 Aaa 1,013,029
550,000 Thompson, CT, 3.94% GO UT
BANs, 7/20/1995 NR 550,162
2,900,000 Torrington, CT, 4.40% GO
UT BANs, 6/15/1995 NR 2,901,828
600,000 Wallingford, CT, 7.20% GO
UT Bonds, (MBIA Insured),
6/1/1995 AAA 601,581
660,000 Windsor, CT, 3.82% BANs,
7/19/1995 NR 660,124
-----------
Total 88,001,633
-----------
Puerto Rico7.2%
4,900,000 Puerto Rico Commonwealth
Highway & Transportation,
Weekly VRDNs, Revenue
Refunding Bonds, (Series
X)/ (Union Bank of
Switzerland/ Swiss Bank
Corp., NY/ Landesbank
Hessen-Thuringen
Girozentrale, NY LOCs) VMIG1 4,900,000
2,435,000 Puerto Rico Public Finance
Corp., 6.35% Revenue
Refunding Bonds, (Series
1985-B)/(Chase Manhattan
Bank SPA), 7/1/1995 AAA 2,443,042
-----------
Total 7,343,042
-----------
TOTAL SHORT-TERM MUNICIPAL
SECURITIES (AT AMORTIZED
COST) 95,344,675
-----------
Mutual Fund Shares9.3%
4,679,124 CMA Connecticut Municipal
Money Market Fund 4,679,124
$4,850,899 Dreyfus Connecticut
Municipal Money Market
Fund $ 4,850,899
-----------
TOTAL MUTUAL FUND SHARES
(AT NET ASSET VALUE) 9,530,023
-----------
TOTAL INVESTMENTS
(AT AMORTIZED COST AND
VALUE) $104,874,698+
-----------
-----------
</TABLE>
SHAWMUT MASSACHUSETTS MUNICIPAL
MONEY MARKET FUND
<TABLE>
<CAPTION>
Principal Credit
Amount Ratings* Value
<C> <S> <C> <C>
SHORT-TERM MUNICIPAL
SECURITIES97.6%
Massachusetts93.4%
$1,000,000 Arlington, MA, 4.04% GO LT
BANs, 7/5/1995 NR $1,000,067
600,000 Bedford, MA, 4.09% GO UT
BANs, 12/27/1995 NR 600,342
843,800 Bedford, MA, 4.63% BANs,
7/11/1995 NR 844,249
1,448,249 Billerica, MA, 4.45% GO LT
State Aid Anticipation
Notes, 7/24/1995 NR 1,448,396
1,000,000 Boston, MA, Water & Sewer
Commission, Weekly VRDNs
(Series A)/(State Street
Bank and Trust LOC) VMIG1 1,000,000
475,000 Brewster, MA, 4.41% GO UT
BANs, 7/14/1995 NR 475,103
250,000 Chelsea, MA, 4.00% GO LT
Bonds (School Project Loan
Act 1948)/(AMBAC Insured),
6/15/1995 AAA 250,013
900,000 Framingham, MA, 4.08% GO
LT BANs, 8/30/1995 NR 900,232
613,631 Framingham, MA, 4.59%
State Aid Anticipation
Notes,
7/7/1995 NR 613,727
1,400,000 Massachusetts Bay Transit
Authority, 4.15% CP (ABN/
AMRO LOC), 5/10/1995 A-1+ 1,400,000
1,500,000 Massachusetts Municipal
Wholesale Electric Co.,
Weekly VRDNs (Series
C)/(Power Supply
Systems)/(Canadian
Imperial Bank LOC) AA- 1,500,000
575,000 Massachusetts State HEFA,
7.60% Revenue Bonds
(Series I)/(Harvard
University), 8/1/1995 AAA 575,293
7,600,000 Massachusetts State HEFA,
Weekly VRDNs (Series A)/
(Brigham & Women's Hospi-
tal)/(Sanwa Bank Ltd. LOC) Aa3 7,600,000
$ 400,000 Massachusetts State HEFA,
Weekly VRDNs (Series D)/
(Capital Asset Program)/
(MBIA Insured) AAA $ 400,000
1,000,000 Massachusetts State HEFA,
Weekly VRDNs (Series G-1)/
(Capital Asset Program)/
(MBIA Insured)/(Credit
Suisse, NY SPA) AAA 999,998
200,000 Massachusetts State
Industrial Finance Agency,
6.40% Revenue Bonds
(Series C)/(Brandeis
University)/(MBIA
Insured), 10/1/1995 AAA 201,336
1,400,000 Massachusetts State
Industrial Finance Agency,
Weekly VRDNs, Resource
Recovery Revenue Refunding
Bonds (Series A)/(Ogden
Haverhill Project)/(Union
Bank of Switzerland LOC) AAA 1,400,000
365,000 Massachusetts State Port
Authority, 7.75% Revenue
Bonds (Series A)/(Subject
to AMT), 7/1/1995 AAA 374,413
500,000 Massachusetts State,
Weekly VRDNs, GO UT
Refunding Bonds (Series
B)/(National Westminster
LOC) AA 500,000
1,400,000 Massachusetts Water
Resource Authority, 3.90%
CP (Morgan Guaranty LOC),
5/30/1995 A-1+ 1,400,000
900,000 Milford, MA, 4.25% TANs,
5/15/1995 NR 900,033
500,000 Milford, MA, 5.10% BANs,
9/21/1995 NR 500,145
300,000 Peabody, MA, 4.25% BANs,
7/28/1995 NR 300,166
600,000 Plainville, MA, 4.00%
BANs,
5/26/1995 NR 600,040
1,500,000 Reading, MA, 4.02% GO LT
BANs, 7/14/1995 NR 1,500,116
1,000,000 Southampton, MA, 3.94%
BANs, 8/1/1995 NR 1,000,096
790,000 Sterling, MA, 4.36% RANs,
5/24/1995 NR 790,172
1,100,000 Waltham, MA, 3.96% GO LT
BANs, 8/25/1995 NR 1,100,718
560,000 Westborough, MA, 4.30%
BANs, 5/30/1995 NR 560,021
1,000,000 Westborough, MA, 4.46% GO
LT BANs, 5/30/1995 NR 1,000,125
265,000 Williamstown, MA, 3.93%
BANs, 8/3/1995 NR 265,039
----------
Total 31,999,840
----------
Puerto Rico4.2%
$1,430,000 Puerto Rico Commonwealth
Highway & Transportation
Authority, Weekly VRDNs
(Series X)/(Union Bank of
Switzerland LOC) VMIG1 $1,430,000
----------
TOTAL SHORT-TERM MUNICIPAL
SECURITIES (AT AMORTIZED
COST) 33,429,840
----------
Mutual Fund Shares3.5%
675,282 CMA Massachusetts
Municipal Money Market
Fund 675,282
530,820 Dreyfus Massachusetts
Municipal Money Market
Fund 530,820
----------
TOTAL MUTUAL FUND SHARES
(AT NET ASSET VALUE) 1,206,102
----------
TOTAL INVESTMENTS
(AT AMORTIZED COST AND
VALUE) $34,635,942+
----------
----------
</TABLE>
SHAWMUT LIMITED TERM INCOME FUND
<TABLE>
<CAPTION>
Principal
Amount Value
<C> <S> <C>
LONG-TERM U.S. TREASURY
OBLIGATIONS15.0%
U.S. Treasury Notes15.0%
$1,000,000 6.375%, 1/15/1999 $ 986,090
2,000,000 6.875%, 3/31/2000 1,998,440
2,000,000 8.50%, 5/15/1997 2,071,880
3,000,000 STRIP, 2/15/2001 2,020,050
----------
TOTAL LONG-TERM U.S. TREASURY
OBLIGATIONS (IDENTIFIED COST
$6,943,228) 7,076,460
----------
LONG-TERM GOVERNMENT
OBLIGATIONS15.6%
Federal Home Loan Mortgage
Corp.7.7%
1,000,000 4.60% to 7/13/1995, 5.76% to
7/13/1998 958,230
1,000,000 7.00%, REMIC, (Series 1204-G),
11/15/2005 990,620
572,567 PC, 7.00%, 6/1/2010 558,104
536,003 PC, 7.00%, 5/1/2019 524,184
590,305 PC, 7.50%, 8/1/1997 594,543
----------
Total 3,625,681
----------
Federal National Mortgage
Association2.2%
809,184 6.50%, 7/1/2000 788,955
93,326 9.00%, 10/1/1997 95,862
39,525 9.00%, 10/1/1997 40,600
94,916 9.00%, 9/1/1998 97,496
----------
Total 1,022,913
----------
</TABLE>
SHAWMUT LIMITED TERM INCOME FUND (cont'd)
<TABLE>
<CAPTION>
Principal
Amount Value
<C> <S> <C>
Federal National Mortgage
Association--REMIC4.8%
$ 701,489 6.00%, (Series 1993-174KB),
5/25/2008 $ 638,790
1,500,000 7.50%, (Series 1991-160VB),
12/25/1998 1,509,060
121,822 8.95%, (Series 1988-1OB), 5/25/2003 125,933
----------
Total 2,273,783
----------
Military Housing0.9%
478,413 8.70%, 4/15/1997 416,219
----------
TOTAL LONG-TERM GOVERNMENT
OBLIGATIONS (IDENTIFIED COST
$7,698,161) 7,338,596
----------
CORPORATE BONDS67.2%
Banking--1.9%
500,000 First USA Bank of Wilmington,
5.75%,
1/15/1999 469,730
440,000 Security Pacific Corp., 8.49%,
Medium Term Note, 12/27/1996 451,163
----------
Total 920,893
----------
Consumer Staples8.2%
2,000,000 Boise Cascade Corp., 6.40%,
4/1/1998 1,901,760
2,000,000 Grace (W.R.) & Co., 7.09%,
5/12/1997 1,991,080
----------
Total 3,892,840
----------
Finance-Asset Backed33.4%
1,000,000 CMC Securities Corp., REMIC, 6.75%,
(Series 1993-F), 11/25/2023 973,437
2,000,000 Carco Auto Loan Master Trust,
7.875%, (Series 1994-2), 7/15/1999 2,034,360
962,500 Chase Manhattan Credit Card Trust,
7.65%, (Series 1991-A2), 11/15/1998 964,906
931,955 Chase Mortgage Finance Corp.,
6.75%, (Series 1993-A1), 11/25/2024 922,636
1,370,800 Contimortgage Home Equity, 6.375%,
(Series 1994-A1), 3/15/1996 1,363,946
1,974,857 Dr Structured Finance Corp., 8.35%,
(Series 1994-K2), 2/1/2004 1,992,137
21,621 GMAC Grantor Trust, 5.55%, (Series
1992-A), 5/15/1997 21,587
86,684 Lomas Mortgage Funding Corp.,
9.00%, (Series 1988-I),
Collateralized Mortgage Obligation,
9/20/2015 86,846
473,898 ML Asset Back Corp., 5.50%, (Series
1992-1), 5/15/1998 470,344
940,030 Premier Auto Trust, 4.65%, (Series
1993-4), 2/2/1999 915,053
1,500,798 Premier Auto Trust, 4.65%, (Series
1993-6), 11/2/1999 1,455,774
832,072 Saxon Mortgage Securities Corp.,
REMIC, 7.375%, (Series 1993-8A),
9/25/2023 806,590
1,000,000 Standard Credit Card Master Trust,
6.80%, (Series 1994-A3), 4/7/2001 984,370
266,132 Volvo Auto Receivables, 4.65%,
(Series 1992-A), Grantor Trust,
6/15/1998 262,388
2,500,000 World Omni Automobile Lease
Securitization Trust, 6.45%,
(Series 1994-A),
9/25/2000 2,482,800
----------
Total 15,737,174
----------
Finance-Automotive7.2%
$2,000,000 General Motors Acceptance Corp.,
5.625%, Medium Term Note,
10/22/1998 $1,891,360
1,500,000 General Motors Acceptance Corp.,
7.375%, Medium Term Note, 9/9/1999 1,489,845
----------
Total 3,381,205
----------
Finance-Insurance3.0%
1,500,000 AIG Matched Funding Corp., 5.314%,
9/25/1998 1,408,125
----------
Finance-Service2.3%
600,000 Evans Whitycombe Trust, 7.98%,
(Series 1994-A1), 8/1/2001 608,142
500,000 Smith Barney Holdings, Inc.,
5.375%,
6/1/1996 491,745
----------
Total 1,099,887
----------
Railroads2.9%
245,000 CSX Corp., 8.25%, 11/1/1996 249,581
1,150,000 TJX Cos., Inc., 4.55%, 10/21/1996 1,111,487
----------
Total 1,361,068
----------
Securities2.1%
1,000,000 Lehman Brothers Holdings, Inc.,
6.81%,
1/12/1999 974,880
----------
Utilities6.2%
1,000,000 Public Service Electric & Gas Co.,
6.81%, 11/27/1996 1,026,800
2,000,000 Texas Utilities Electric Co.,
5.875%,
4/1/1998 1,884,380
----------
Total 2,911,180
----------
TOTAL CORPORATE BONDS
(IDENTIFIED COST $31,948,785) 31,687,252
----------
MUTUAL FUND SHARES1.4%
640,121 Fidelity, Institutional Cash Money
Market Fund (at net asset value) 640,121
----------
TOTAL INVESTMENTS
(IDENTIFIED COST $47,230,295) $46,742,429
----------
</TABLE>
SHAWMUT INTERMEDIATE GOVERNMENT
INCOME FUND
<TABLE>
<CAPTION>
Principal
Amount Value
<C> <S> <C>
LONG-TERM U.S. TREASURY
OBLIGATIONS33.1%
U.S. Treasury Notes
$1,250,000 8.50%, 7/15/1997 $1,297,463
1,000,000 7.875%, 1/15/1998 1,028,280
3,000,000 7.50%, 5/15/2002 3,090,480
7,000,000 7.125%, 2/29/2000 7,066,710
2,000,000 6.875%, 3/31/2000 1,998,440
</TABLE>
SHAWMUT INTERMEDIATE GOVERNMENT INCOME FUND (cont'd)
<TABLE>
<CAPTION>
Principal
Amount Value
<C> <S> <C>
$3,000,000 6.25%, 2/15/2003 $2,856,570
1,000,000 5.625%, 8/31/1997 977,500
----------
TOTAL LONG-TERM U.S. TREASURY
OBLIGATIONS (IDENTIFIED COST
$18,536,826) 18,315,443
----------
LONG-TERM GOVERNMENT
OBLIGATIONS43.7%
Federal Home Loan Mortgage Corp.13.3%
56,865 PC, 7.50%, 8/1/1997 57,273
50,133 PC, 7.50%, 9/1/1997 50,493
204,580 PC, 7.50%, 9/1/1997 206,049
156,292 PC, 6.50%, 7/1/1998 153,850
3,000,000 4.60% to 7/13/1995, 5.76%, 7/13/1998 2,874,689
701,567 PC, 6.50%, 9/1/1998 690,601
1,171,160 PC, 7.00%, 6/1/2010 1,141,577
536,003 PC, 7.00%, 5/1/2019 524,184
1,750,000 Gold 30 year, 7.00%, TBA, 1/1/2025 1,665,773
----------
TOTAL 7,364,489
----------
Federal Home Loan Mortgage
Corp.REMIC6.3%
3,500,000 7.00%, (Series 1204), 11/15/2005 3,467,170
----------
Federal National Mortgage
Association17.4%
14,206 8.50%, 12/1/1997 14,557
57,967 8.50%, 4/1/1998 59,398
133,564 8.50%, 5/1/1998 136,861
3,000,000 4.45% to 5/5/1995, 6.00%, 5/5/1998 2,921,490
78,964 9.00%, 9/1/1998 81,110
2,000,000 4.82%, 10/21/1998 1,862,940
4,867,566 6.00%, 9/1/2009 4,548,107
----------
Total 9,624,463
----------
Government National Mortgage
Association2.5%
11,963 9.00%, 7/15/2001 12,479
121,358 9.00%, 8/15/2001 126,591
324,751 9.00%, 10/15/2001 338,754
178,064 9.00%, 11/15/2001 185,742
49,284 9.00%, 12/15/2001 51,409
58,720 9.00%, 2/15/2002 61,252
28,226 9.00%, 6/15/2002 29,443
242,421 9.00%, 8/15/2002 252,874
50,390 9.00%, 6/15/2003 52,563
29,983 9.00%, 11/15/2004 31,276
220,908 9.00%, 8/15/2017 230,520
8,361 9.00%, 10/15/2018 8,724
----------
Total 1,381,627
----------
Guaranteed Trade Trust2.6%
1,500,000 4.86%, (Series 1993-A)/(Guaranteed
Trade
Certificates), 4/1/1998 1,456,920
----------
North Star Alaska Housing Corp.1.6%
900,000 5.99%, 5/15/1998 867,375
----------
TOTAL LONG-TERM GOVERNMENT
OBLIGATIONS (IDENTIFIED COST
$24,874,940) 24,162,044
----------
CORPORATE BONDS21.8%
AutoAsset Backed3.1%
1,724,182 Ford Credit Grantor Trust, 7.30%,
(Series 1994-B), 10/15/1999 1,731,182
----------
Banking.9%
$ 500,000 National City Corp., 8.375%, Notes,
3/15/1996 $ 505,755
----------
FinanceAsset Backed9.0%
2,000,000 Citicorp Mortgage Securities, Inc.,
8.00%, (Series 1992-6), REMIC,
5/25/2000 1,988,750
1,000,000 SPNB Home Equity Loan, 8.85%, (Series
1991-B), 5/15/1998 1,026,875
2,000,000 Standard Credit Card Master Trust,
6.80% (Series 1994 Class 3A),
4/7/2001 1,968,740
----------
Total 4,984,365
----------
Finance-Automotive1.8%
1,000,000 General Motors Acceptance Corp.,
7.50%, Medium Term Notes, 6/1/1999 999,460
----------
FinanceInsurance1.7%
1,000,000 AIG Matched Funding Corp., 5.314%,
9/25/1998 938,750
----------
Foreign1.5%
515,000 Columbia Rep., 7.25%, 2/23/2004 439,681
500,000 Industrias Penoles DE CV, 7.74%,
12/31/1999 410,150
----------
Total 849,831
----------
Retail Store--Asset Backed1.8%
1,000,000 Charming Shoppes Master Trust, 7.00%,
(Series 1994-1), 4/15/1999 977,190
----------
Telecommunications--1.9%
956,065 Nynex Corp., 9.55%, 5/1/2010 1,043,172
----------
TOTAL CORPORATE BONDS
(IDENTIFIED COST $12,433,635) 12,029,705
----------
MUTUAL FUND SHARES3.2%
1,790,452 Fidelity Institutional Cash Money
Market Fund (at net asset value) 1,790,452
----------
TOTAL INVESTMENTS
(IDENTIFIED COST $57,635,853) $56,297,644
----------
</TABLE>
SHAWMUT FIXED INCOME FUND
<TABLE>
<CAPTION>
Principal
Amount Value
<C> <S> <C>
LONG-TERM U.S. TREASURY
OBLIGATIONS46.2%
U.S. Treasury Notes29.3%
$6,500,000 4.75%, 9/30/1998 $6,100,835
3,500,000 5.50%, 7/31/1997 3,416,875
3,050,000 6.00%, 12/31/1997 2,999,492
6,000,000 6.25%, 1/31/1997 5,971,860
4,000,000 7.125%, 2/29/2000 4,038,120
500,000 7.50%, 2/29/1996 504,530
2,000,000 7.50%, 5/15/2002 2,060,320
----------
Total 25,092,032
----------
</TABLE>
SHAWMUT FIXED INCOME FUND (cont'd)
<TABLE>
<CAPTION>
Principal
Amount Value
<C> <S> <C>
U.S. Treasury Bonds16.9%
$ 800,000 7.25%, 5/15/2006 $ 781,624
2,500,000 7.50%, 11/15/2024 2,533,600
4,000,000 7.625%, 2/15/2025 4,135,640
2,000,000 8.125%, 8/15/2019 2,141,560
2,000,000 9.375%, 2/15/2006 2,334,680
2,000,000 11.625%, 11/15/2002 2,532,820
----------
Total 14,459,924
----------
TOTAL LONG-TERM U.S. TREASURY
OBLIGATIONS (IDENTIFIED COST
$39,645,033) 39,551,956
----------
Long-Term Government
Obligations26.6%
Agency for International
Development Indonesia3.8%
3,300,000 7.80%, 10/15/2022 3,287,625
----------
Federal Home Loan Mortgage
Corp.0.5%
180,186 PC, 7.00%, 6/1/2004 176,535
178,697 PC, 7.50%, 8/1/2008 176,393
78,329 PC, 8.75%, 8/1/2001 80,434
----------
Total 433,362
----------
Federal Home Loan Mortgage
Corp.REMIC3.5%
1,000,000 6.15%, (Series 1394), 3/15/2001 879,060
700,000 7.00%, (Series 1156), 1/15/2004 675,310
1,000,000 7.00%, (Series 1204), 11/15/2005 990,620
433,981 8.90%, (Series 82), 5/15/2019 442,522
----------
Total 2,987,512
----------
Federal National Mortgage
Association5.3%
4,867,566 6.00%, 9/1/2009 4,548,108
----------
Federal National Mortgage
AssociationREMIC7.3%
2,000,000 6.50%, (Series 1992-181), 5/25/2021 1,793,740
2,500,000 6.75%, (Series 1993-26), 5/25/2021 2,311,700
1,294,269 8.95%, (Series 1990-117), 7/25/2017 1,306,798
800,000 9.50%, (Series 1990-63), 6/25/2020 871,744
----------
Total 6,283,982
----------
Government National Mortgage
Association1.5%
210,327 9.00%, 9/15/2004 221,123
110,766 9.00%, 12/15/2008 116,518
212,329 9.00%, 6/15/2017 222,688
106,057 9.00%, 11/15/2018 110,573
199,687 10.50% 5/15/2019 217,410
199,082 10.50%, 6/15/2019 216,751
170,097 10.50%, 6/15/2019 185,193
----------
Total 1,290,256
----------
Guaranteed Export Trust1.9%
1,744,681 5.23%, (Series 1993-D), 5/15/2005 1,594,202
----------
Guaranteed Trade Trust1.7%
1,500,000 4.86%, (Series 1993-A), 4/1/1998 1,456,920
----------
</TABLE>
<TABLE>
<CAPTION>
Principal
Amount Value
<C> <S> <C>
SSMC GSA1.1%
$1,000,000 6.875%, 5/15/2013 $ 908,750
----------
TOTAL LONG-TERM GOVERNMENT
OBLIGATIONS (IDENTIFIED COST
$22,201,305) 22,790,717
----------
Corporate Bonds24.9%
Banking0.5%
400,000 Bankers Trust New York Corp.,
9.50%,
6/14/2000 424,628
----------
Finance5.4%
1,000,000 Comdisco Inc., 7.41%, Medium Term
Notes, 6/14/1996 1,003,650
1,000,000 Dr Structured Finance Corp.,
8.375%, (Series A-2), 8/15/2015 888,750
3,000,000 Dr Structured Finance Corp., 8.55%,
(Series 94K2), 8/15/2019 2,681,250
----------
Total 4,573,650
----------
FinanceAsset Backed1.9%
1,000,000 Charming Shoppes Master Trust,
7.00%, (Series 1994-1), 4/15/1999 977,190
431,045 Ford Credit Grantor Trust, 7.30%,
(Series 1994-B), 10/15/1999 432,795
187,726 Rochester Community Savings Bank
Grantor Trust, 5.70%, (Series
1992-A),
12/15/1997 186,787
----------
Total 1,596,772
----------
FinanceAutomotive5.6%
750,000 Ford Motor Credit Co., 8.00%,
12/1/1996 761,415
1,800,000 General Motors Acceptance Corp.,
7.50% Medium Term Notes, 6/1/1999 1,799,028
300,000 General Motors Acceptance Corp.,
7.75%, Medium Term Notes,
12/10/1996 303,315
500,000 General Motors Acceptance Corp.,
7.75%, 4/15/1997 504,995
1,300,000 General Motors Acceptance Corp.,
8.875%, 6/1/2010 1,424,735
----------
Total 4,793,488
----------
FinanceServices2.4%
1,000,000 Smith Barney Holdings, Inc.,
5.375%,
6/1/1996 983,490
1,000,000 Xerox Credit Corp., 10.125%,
4/15/1999 1,028,380
----------
Total 2,011,870
----------
Foreign3.2%
625,000 Columbia Republic, 7.25%, 2/23/2004 533,594
500 000 Export-Import Bank of Japan
10.125%, Guaranteed Note,
10/28/1997 534,400
1,000,000 Industrias Penoles, S.A. De C.V.,
7.74%, 12/31/1999 820,300
1,000,000 Newfoundland Province CDA, 7.32%,
10/13/2023 869,600
----------
Total 2,757,894
----------
Industrial0.9%
848,000 Fischbach & Moore Corp., 4.75%,
4/1/1997 804,540
----------
</TABLE>
SHAWMUT FIXED INCOME FUND (cont'd)
<TABLE>
<CAPTION>
Principal
Amount Value
<C> <S> <C>
Insurance3.9%
$2,500,000 AIG Matched Funding Corp., 5.314%,
9/25/1998 $2,346,875
1,000,000 Integon Corp., 9.50%, 10/15/2001 1,020,990
----------
Total 3,367,865
----------
Retail Store1.1%
1,000,000 Sears Roebuck & Co., 5.21% Medium
Term Notes, 2/18/1997 968,430
----------
TOTAL CORPORATE BONDS (IDENTIFIED
COST $23,971,345) 21,299,137
----------
Mutual Fund Shares0.9%
746,265 Fidelity Institutional Cash Money
Market Fund (at net asset value) 746,265
----------
TOTAL INVESTMENTS (IDENTIFIED COST
$86,563,948) $84,388,075
----------
----------
</TABLE>
SHAWMUT CONNECTICUT INTERMEDIATE
MUNICIPAL INCOME FUND
<TABLE>
<CAPTION>
Principal Credit
Amount Ratings* Value
<C> <S> <C> <C>
LONG-TERM MUNICIPAL
SECURITIES93.0%
Connecticut91.2%
$ 250,000 Connecticut State, 5.00%
Refunding Bonds, (Series
A), 11/15/2003 AA $ 244,890
150,000 Connecticut State, 7.20%
GO Refunding Bonds,
7/1/1999 (Pre-refunded
7/1/1996
@ 102) AA 157,612
200,000 Connecticut State, 6.50%
Refunding Bonds, (Series
A), 3/15/2009
(Pre-refunded
3/15/2002 @ 102) AA 219,136
200,000 Connecticut State, 6.50%
Refunding Bonds, (Series
A), 3/15/2010
(Pre-refunded
3/15/2002 @ 102) AA 219,136
200,000 Connecticut State, 4.75%
Refunding Bonds, (Series
D), 8/1/2004 AA 188,520
200,000 Connecticut State, 6.50%
Refunding Bonds, (Series
A), 3/15/2012
(Pre-refunded
3/15/2002 @ 102) AA 219,136
200,000 Connecticut State, 4.50%
Refunding Bonds, (Series
E), 3/15/2004 AA 183,444
375,000 Connecticut State, 5.65%
HEFA, Revenue Bonds,
(Newington Children's
Hospital)/(Series A)/(MBIA
Insured), 7/1/2005 AAA 377,850
$ 100,000 Connecticut State, 4.80%
HEFA, Revenue Bonds, (Taft
School)/ (Series B),
7/1/2004 A $ 94,725
400,000 Connecticut State, 4.05%
HEFA, Revenue Bonds,
(Fairfield Uni-
versity)/(Series G)/(MBIA
Insured), 7/1/2000 AAA 376,564
200,000 Connecticut State, 4.30%
HEFA, Revenue Bonds, (St.
Francis Hospital & Medical
Center)/ (Series C)/(FGIC
Insured),
7/1/2002 AAA 184,906
200,000 Connecticut State, 4.80%
HEFA, Revenue Bonds, (St.
Francis Hospital & Medical
Center)/ (Series C)/(FGIC
Insured),
7/1/2007 AAA 182,528
400,000 Connecticut State Housing
Finance Authority, 6.25%
(SeriesB), 11/15/2005 AA 415,116
105,000 Connecticut State Housing
Finance Authority, 5.60%
(Series A), 5/15/2005 AA 103,413
200,000 Connecticut State Housing
Finance Authority, 5.40%
(Series A), 5/15/2004 AA 196,212
300,000 Connecticut State Resource
Recovery Authority, 5.60%
Revenue Refunding Bonds,
(Series A), 11/15/1999 AA- 303,705
100,000 Connecticut State, 4.00%
Special Tax Assessment
Unemployment Compensation,
(Series A), 5/15/1996 A+ 99,259
220,000 Connecticut State, 4.60%
Special Tax Assessment
Unemployment Compensation,
(Series A)/(AMBAC
Insured),
11/15/2000 AAA 214,841
400,000 Connecticut State Special
Tax Obligations, 6.80%
Revenue Refunding Bonds,
(Series A), 6/1/1999 AA- 427,540
200,000 Connecticut State Special
Tax Obligations, 4.75%
Revenue Refunding Bonds,
(Series A), 9/1/2001 AA- 194,336
100,000 Connecticut State Special
Tax Obligations, 5.00%
Revenue Refunding Bonds,
(Series A), 9/1/2003 AA- 97,465
700,000 Connecticut State Special
Tax Obligations, 5.125%
Revenue Refunding Bonds,
(Series A), 9/1/2005 AA- 675,703
</TABLE>
SHAWMUT CONNECTICUT INTERMEDIATE
MUNICIPAL INCOME FUND (cont'd)
<TABLE>
<CAPTION>
Shares or
Principal Credit
Amount Ratings* Value
<C> <S> <C> <C>
$ 400,000 Connecticut State Special
Tax Obligations, 5.25%
Revenue Refunding Bonds,
(Series A), 9/1/2007 AA- $ 379,412
325,000 Connecticut State Clean
Water Fund, 5.50% Revenue
Bonds, 10/1/2004 AA+ 329,037
300,000 Meriden, CT, 5.75% UT GO
Bonds, (AMBAC Insured),
10/15/2004 AAA 309,261
100,000 Middletown, CT, 6.50% UT
GO Bonds, 4/15/1998 AA 105,064
100,000 New Milford, CT, 5.80% UT
GO Bonds, 10/1/2001 Aa 104,345
330,000 Regional School District
No. 5, 5.05% LT GO Bonds,
5/15/2004 A1 321,347
100,000 South Central, CT,
Regional Water Authority,
5.00% Water System Revenue
Bonds, (FGIC Insured),
8/1/2005 AAA 96,567
100,000 Southington CT, 4.60% UT
GO Bonds, (MBIA Insured),
6/15/2003 AAA 95,228
110,000 Stonington, CT, 5.00% UT
GO Bonds, 6/15/2006 Aa 106,258
100,000 Trumbull, CT, 6.00% UT GO
Bonds, 5/15/2004 AA 105,564
260,000 Weston, CT, 4.35% BQ UT GO
Bonds, 8/1/2003 Aaa 243,798
----------
Total 7,571,918
----------
Puerto Rico1.8%
150,000 Puerto Rico, 4.80%
Telephone Authority
Revenue Bonds, (Series M),
1/1/2001 A+ 147,072
----------
TOTAL LONG-TERM MUNICIPAL
SECURITIES (IDENTIFIED
COST $7,949,030) 7,718,990
----------
MUTUAL FUND SHARES5.5%
374,654 Dreyfus Connecticut
Municipal Money Market
Fund 374,654
78,987 Fidelity Tax-Exempt Money
Market Fund 78,987
----------
TOTAL MUTUAL FUND SHARES
(AT NET ASSET VALUE) 453,641
----------
TOTAL INVESTMENTS
(IDENTIFIED COST
$8,402,671) $8,172,631
----------
----------
</TABLE>
SHAWMUT MASSACHUSETTS INTERMEDIATE
MUNICIPAL INCOME FUND
<TABLE>
<CAPTION>
Principal Credit
Amount Ratings* Value
<C> <S> <C> <C>
SHORT-TERM MUNICIPAL
SECURITIES3.7%
$ 300,000 Massachusetts State, HEFA
Revenue Bonds, Weekly
VRDNs, (Brigham & Womens
Hospital)/(Series
A)/(Sanwa Bank Ltd.-LOC) Aa3 $ 300,000
----------
LONG-TERM MUNICIPAL
SECURITIES88.3%
Massachusetts88.3%
300,000 Attleboro, MA, 5.20% GO LT
Bonds, (AMBAC Insured),
7/1/2002 Aaa 300,867
360,000 Boston, MA, 5.45% GO UT
Refunding Bonds, (Series
A)/ (AMBAC Insured),
2/1/2007 AAA 352,328
250,000 Brookline, MA, 4.50%
Refunding Bonds, (Series
1994), 1/15/2006 Aal 227,858
155,000 Chatham, MA, 4.60%
Refunding Bonds, 1/15/2005 A1 141,642
100,000 Dedham Westwood Water Dis-
trict, MA, 4.30% Refunding
Bonds, (MBIA Insured),
10/15/2002 AAA 92,443
300,000 Massachusetts Municipal
Wholesale Electric Co.,
4.80% Revenue Refunding
Bonds, (Power Supply
System)/(Series B)/ (MBIA
Insured), 7/1/2007 AAA 276,999
100,000 Massachusetts Municipal
Wholesale Electric Co.,
5.75% Revenue Refunding
Bonds, (Power Supply
System)/(Series E)/ (AMBAC
Insured), 7/1/2002 AAA 103,795
180,000 Massachusetts Municipal
Wholesale Electric Co.,
5.80% Revenue Refunding
Bonds, (Power Supply
System)/(Series A),
7/1/1996 A 182,162
200,000 Massachusetts Municipal
Wholesale Electric Co.,
6.50% Revenue Refunding
Bonds, (Power Supply
System)/(Series A)/ (AMBAC
Insured), 7/1/2002 Aaa 215,386
500,000 Massachusetts State, 4.90%
GO Refunding Bonds,
(Series C), 8/1/2004 A+ 479,820
200,000 Massachusetts State, 7.00%
GO UT Bonds, (Series
C)/(Pre-
refunded 12/1/2000 @ 102),
12/1/2010 AAA 219,596
</TABLE>
SHAWMUT MASSACHUSETTS INTERMEDIATE MUNICIPAL INCOME FUND (cont'd)
<TABLE>
<CAPTION>
Principal Credit
Amount Ratings* Value
<C> <S> <C> <C>
$ 200,000 Massachusetts State, 7.25%
GO UT Refunding Bonds,
(Series A), 6/1/1996 A+ $ 205,588
200,000 Massachusetts State, 4.50%
HEFA, Revenue Bonds, (New
England Medical Center)/
(Series G)/(MBIA Insured),
7/1/2002 AAA 188,940
100,000 Massachusetts State, 4.70%
HEFA, Revenue Bonds, (Mas-
sachusetts Institute
Technology)/(Series H),
7/1/2004 Aaa 95,747
200,000 Massachusetts State, 4.80%
HEFA, Revenue Refunding
Bonds, (Baystate Medical
Center)/(Series D)/(FGIC
Insured), 7/1/2004 AAA 188,762
300,000 Massachusetts State, 4.90%
HEFA, Revenue Refunding
Bonds, (Boston College)/
(Series K), 6/1/2005 A1 284,847
150,000 Massachusetts State, 4.90%
HEFA, Revenue Refunding
Bonds, (Baystate Medical
Center)/(Series D)/(FGIC
Insured), 7/1/2005 AAA 140,819
150,000 Massachusetts State, 5.00%
HEFA, Revenue Refunding
Bonds, (Youville
Hospital)/ (Series B)/(FHA
Insured),
2/15/1999 Aa 149,630
500,000 Massachusetts State, 5.40%
HEFA, Revenue Bonds, (Wil-
liams College)/(Series D),
7/1/2005 Aa1 502,290
400,000 Massachusetts State, 5.70%
HEFA, Revenue Bonds, (Beth
Israel Hospital)/(Series
G)/ (AMBAC Insured),
7/1/2005 Aaa 408,268
100,000 Massachusetts State, 3.60%
Housing Finance Agency
Revenue Bonds, (Series
27),
6/1/1996 AA 98,050
150,000 Massachusetts State, 5.25%
Housing Finance Agency
Revenue Bonds, (Series
41),
6/1/2001 AA 148,073
100,000 Massachusetts State, 6.20%
Housing Finance Agency
Revenue Bonds, (Series
31),
6/1/2009 Aa 100,231
150,000 Massachusetts State, 5.80%
Special Obligations
Revenue Bonds, (Series A),
6/1/2000 A1 155,805
300,000 Massachusetts State, 7.00%
Special Obligations
Revenue Bonds, (Series A),
6/1/2002 A1 333,357
200,000 Massachusetts State
Turnpike Authority, 4.625%
Revenue Refunding Bonds
(Series A),
1/1/2002 A+ 190,962
$ 200,000 Massachusetts State Water
Pollution Abatement, 4.85%
Revenue Bonds, 8/1/2005 AA $ 187,654
300,000 Massachusetts State Water
Resources Authority,
5.875% Revenue Refunding
Bonds, (Series B),
11/1/2004 A 310,485
100,000 Methuen, MA, 7.15% GO LT
Bonds, 5/15/1997 A1 104,507
400,000 New England Education Loan
Marketing Corp., MA, 5.80%
Student Loan Revenue
Bonds, (Issue A), 3/1/2002 Aaa 404,232
100,000 Northampton, MA, 4.90% GO
LT Bonds, (AMBAC Insured),
9/1/2006 AAA 94,575
150,000 Salem, MA, 5.80% GO UT
Bonds, (AMBAC Insured),
7/15/2006 AAA 152,986
200,000 Sharon, MA, 4.65% GO BQ
Bonds, 7/15/2006 Aa 183,925
----------
TOTAL LONG-TERM MUNICIPAL
SECURITIES (IDENTIFIED
COST $7,415,194) 7,222,629
----------
Mutual Fund Shares8.3%
368,781 Dreyfus Massachusetts
Municipal Money Market
Fund 368,781
311,219 Fidelity Tax Exempt Money
Market Fund 311,219
----------
TOTAL MUTUAL FUND SHARES
(AT NET ASSET VALUE) 680,000
----------
TOTAL INVESMENTS
(IDENTIFIED COST,
$8,395,029) $8,202,629
----------
----------
</TABLE>
SHAWMUT GROWTH AND INCOME
EQUITY FUND
<TABLE>
<CAPTION>
Shares Value
<C> <S> <C>
COMMON STOCKS87.3%
Basic Materials8.4%
90,000 Dexter Corp. $ 2,058,750
30 000 Dow Chemical Co. 2,085,000
32,000 Du Pont (E.I.) deNemours 2,108,000
35,000 Eastman Chemical Co. 1,986,250
180,000 Ethyl Corp 1,935,000
26,000 Georgia-Pacific Corp. 2,063,750
58,000 Lubrizol Corp. 2,022,750
66,000 Weyerhaeuser Co. 2,772,000
-----------
Total 17,031,500
-----------
Capital Goods/Construction8.5%
36,000 Boeing Co. 1,980,000
55,000 General Electric Co. 3,080,000
79,000 Hubbell, Inc. 4,068,500
73,000 Masco Corp. 1,861,500
31,000 Raytheon Co. 2,255,250
</TABLE>
SHAWMUT GROWTH AND INCOME EQUITY FUND (cont'd)
<TABLE>
<CAPTION>
Shares Value
<C> <S> <C>
38,000 (a)Thermo Electron Corp. $ 2,047,250
75,000 WMX Technologies, Inc. 2,043,750
-----------
Total 17,336,250
-----------
Consumer Cyclical10.8%
78,000 Arvin Industries, Inc. 1,813,500
82,000 Circuit City Stores, Inc. 2,121,750
30,000 Dayton Hudson Corp. 2,013,750
58,000 Donnelley (R.R.) & Sons Co. 1,972,000
38,000 Dun & Bradstreet Corp. 1,980,750
44,000 Eastman Kodak Co. 2,530,000
57,000 McDonalds Corp. 1,995,000
54,000 Melville Corp. 1,930,500
97,000 Morrison Restaurants, Inc. 2,194,625
64,000 (a)Toy's R Us, Inc. 1,616,000
76,000 Wal Mart Stores, Inc. 1,805,000
-----------
Total 21,972,875
-----------
Consumer Staples16.3%
92,000 Alberto Culver Co. 2,530,000
41,000 American Home Products Corp. 3,162,125
35,000 Anheuser-Busch Companies, Inc. 2,034,375
68,000 Baxter International, Inc. 2,363,000
62,000 (a)Elan, Corp. PLC 2,193,250
32,000 General Mills, Inc. 1,952,000
30,500 Johnson & Johnson 1,982,500
32,000 Lilly (Eli) & Co. 2,392,000
59,000 Merck and Co., Inc. 2,529,625
64,000 PepsiCo, Inc. 2,664,000
28,000 Pfizer, Inc. 2,425,500
37,000 Philip Morris Cos., Inc. 2,506,750
29,000 Proctor & Gamble Co. 2,026,375
94,000 Supervalu Stores, Inc. 2,479,250
-----------
Total 33,240,750
-----------
Energy9.3%
48,000 Amoco Corp. 3,150,000
17,500 Atlantic Richfield Co. 2,003,750
30,000 Mobil Corp. 2,846,250
26,000 Royal Dutch Petroleum Corp. 3,224,000
33,000 Schlumberger, Ltd. 2,074,875
50,000 Texaco, Inc. 3,418,750
124,000 USX Marathon Group 2,325,000
-----------
Total 19,042,625
-----------
Financial5.8%
94,000 Comerica, Inc. 2,702,500
90,772 Fleet Financial Group, Inc. 2,972,783
9,800 Fleet Financial Group, Inc.
Warrants 45,325
101,000 Huntington Bancshares, Inc. 1,900,063
32,000 Morgan (J.P.) & Co., Inc. 2,100,000
76,000 National City Corp. 2,080,500
-----------
Total 11,801,171
-----------
Insurance3.2%
42,000 Aetna Life & Casualty Co. 2,394,000
27,000 Chubb Corp. 2,160,000
<CAPTION>
Shares Value
<C> <S> <C>
44,000 Exel Limited $ 2,002,000
-----------
Total 6,556,000
-----------
Technology8.0%
48,000 AMP, Inc. 2,052,000
38,000 (a)Computer Sciences Corp. 1,876,250
53,000 General Motors Corp. Class E 2,292,250
28,000 Harris Corp. 1,316,000
26,000 International Business Machines
Corp. 2,463,500
38,000 Motorola, Inc. 2,161,250
66,000 Pitney Bowes, Inc. 2,450,250
135,000 (a)Tandem Computers, Inc. 1,721,250
-----------
Total 16,332,750
-----------
Transportation & Services3.0%
33,000 Burlington Northern, Inc. 1,963,500
34,000 British Airways PLC, ADR 2,197,250
29,000 Norfolk Southern Corp. 1,953,875
-----------
Total 6,114,625
-----------
Utilities9.4%
62,000 AT & T Corp. 3,146,500
78,000 Dominion Resources, Inc., VA 2,847,000
138,000 Entergy Corp. 3,001,500
84,000 GTE Corp. 2,866,500
62,000 Sprint Corp. 2,046,000
72,000 U.S. West, Inc. 2,979,000
69,000 Vodafone Group PLC, ADR 2,199,375
-----------
Total 19,085,875
-----------
Miscellaneous4.6%
82,000 Corning, Inc. 2,736,750
34,000 Minnesota Mining & Manufacturing
Co. 2,027,250
102,000 Ogden Corp. 2,078,250
62,000 PHH Corp. 2,495,500
-----------
Total 9,337,750
-----------
TOTAL COMMON STOCK
(IDENTIFIED COST $159,715,302) 177,852,171
-----------
Convertible Preferred Stock2.6%
37,000 Delta Air Lines, Inc., Series C, 7%
Cum. Cv. Pfd. 2,025,750
38,000 Ford Motor Co., Series A, $4.20
Cum. Cv. Pfd. 3,348,750
-----------
TOTAL CONVERTIBLE PREFERRED
STOCK (IDENTIFIED COST $5,278,209) 5,374,500
-----------
Mutual Fund Shares8.9%
9,110,387 Dreyfus Cash Management 9,110,387
9,110,387 Fidelity Institutional Cash Money
Market Fund 9,110,387
-----------
TOTAL MUTUAL FUND SHARES
(AT NET ASSET VALUE) 18,220,774
-----------
</TABLE>
SHAWMUT GROWTH AND INCOME
EQUITY FUND (cont'd)
<TABLE>
<CAPTION>
Shares Value
<C> <S> <C>
Repurchase Agreements1.1%
$2,178,815 HSBC Securities, Inc., 5.88%, dated
4/28/1995, due 5/1/1995
(AT AMORTIZED COST) $ 2,178,815
-----------
TOTAL INVESTMENTS
(IDENTIFIED COST $185,393,100) $203,626,260
-----------
-----------
</TABLE>
SHAWMUT GROWTH EQUITY FUND
<TABLE>
<CAPTION>
Shares Value
<C> <S> <C>
COMMON STOCKS94.3%
Basic Materials9.0%
9,100 Dow Chemical Company $ 632,450
7,500 Imperial Chemical Industries, PLC, ADR 364,687
6,225 International Paper Co. 479,325
8,250 Mead Corp. 426,938
----------
Total 1,903,400
----------
Capital Goods6.0%
2,675 Deere & Co. 219,350
3,500 McDonnell Douglas Corp. 217,000
7,900 Parker-Hannifin Corp. 410,800
5,800 TRW, Inc. 431,375
----------
Total 1,278,525
----------
Consumer Cyclicals8.3%
6,950 Capital Cities/ABC, Inc. 587,275
25,850 Limited Inc. 552,544
11,500 Sears, Roebuck & Co. 623,875
----------
Total 1,763,694
----------
Consumer Staples24.7%
7,750 Amgen Inc.* 563,328
23,900 Archer-Daniels-Midland Co. 436,175
10,400 Columbia/HCA Healthcare 436,800
19,500 Humana, Inc.* 380,250
13,800 IBP, Inc. 510,600
7,850 Pfizer, Inc. 680,006
11,050 Philip Morris Cos., Inc. 748,638
6,245 Procter & Gamble Co. 436,369
16,050 Safeway, Inc.* 601,875
20,300 U.S. Surgical Corp. 451,675
----------
Total 5,245,716
----------
Energy11.5%
8,375 Amoco Corp. 549,609
3,825 British Petroleum, ADR 329,428
16,600 Coastal Corp. 493,850
6,150 Exxon Corp. 428,194
6,700 Mobil Corp. 635,663
----------
Total 2,436,744
----------
Financial8.3%
13,950 Bank of Boston 467,325
7,850 CIGNA Corp. 570,106
2,500 General Re Corp. 318,437
2,500 Wells Fargo & Co. $ 414,688
----------
Total 1,770,556
----------
Miscellaneous2.2%
4,375 ITT Corp. 457,187
----------
Technology11.0%
7,900 Harris Corp. 371,300
5,650 International Business Machines 535,338
8,500 Seagate Technology* 270,938
5,130 Sun Microsystems, Inc.* 204,559
33,650 Tandem Computers, Inc.* 429,038
4,225 Xerox Corp. 520,203
----------
Total 2,331,376
----------
Transport & Services2.3%
3,100 AMR Corp.* 208,862
4,400 British Airways, PLC, ADR 284,350
----------
Total 493,212
----------
Utilities11.0%
14,450 Ameritech Corp. 650,250
17,600 Cinergy Corp. 442,200
18,675 Frontier Corp. 375,834
8,700 GTE Corp. 296,887
12,500 Illinova Corp. 290,625
11,875 WorldCom, Inc.*(a) 285,000
----------
Total 2,340,796
----------
TOTAL COMMON STOCKS
(IDENTIFIED COST $18,320,034) 20,021,206
----------
Convertible Preferred Stock2.3%
5,525 Ford Motor Co., Series A, $4.20 Cum
Cv. Pfd. (IDENTIFIED COST $478,299) 486,891
----------
Mutual Funds5.0%
131,647 Dreyfus Cash Management 131,647
943,211 Fidelity Institutional Cash Money
Market Fund 943,211
----------
TOTAL MUTUAL FUND SHARES
(AT NET ASSET VALUE) 1,074,858
----------
TOTAL INVESTMENTS
(IDENTIFIED COST $19,871,551) $21,582,955
----------
----------
</TABLE>
SHAWMUT SMALL CAPITALIZATION
EQUITY FUND
<TABLE>
<CAPTION>
Shares Value
<C> <S> <C>
COMMON STOCKS92.0%
Basic Materials6.1%
25,000 (a)AK Steel Holdings Corp. $ 671,875
5,600 Calgon Carbon Corp. 68,600
15,000 Caraustar Industries, Inc. 285,000
20,328 Chemi-Trol Chemical Co. 188,034
27,200 Dexter Corp. 622,200
20,500 Fuller HB Co. 773,875
45,000 Grow Group, Inc. 793,125
21,512 Guardsman Products Inc. 266,211
</TABLE>
SHAWMUT SMALL CAPITALIZATION EQUITY FUND (cont'd)
<TABLE>
<CAPTION>
Shares Value
<C> <S> <C>
38,700 (a)Johnstown America Industries,
Inc. $ 493,425
35,200 Petrolite Corp. 1,082,400
43,900 Quaker Chemical 713,375
26,700 (a)Steel of West Virginia, Inc. 323,737
46,500 (a)Sybron Chemicals Industries, Inc. 693,000
32,900 Varlen Corp. 773,150
----------
Total 7,748,007
----------
Capital Goods/Construction7.4%
31,000 Analysis & Technology, Inc. 403,000
20,000 (a)Atchison Casting Corp. 300,000
38,100 (a)Beazer Home USA, Inc. 542,925
14,600 (a)Centex Construction Products,
Inc. 182,500
49,528 (a)D.R. Horton, Inc. 482,898
26,500 Duriron, Inc. 574,719
35,000 (a)Foster L.B. Co., Class A 126,875
27,300 Insituform Mid America, Inc. 293,475
55,600 Instron Corp. 674,150
25,000 (a)Jason, Inc. 231,250
15,000 Osmonics, Inc. 251,250
47,000 (a)Redman Industries, Inc. 916,500
23,500 Schult Homes Corp. 249,688
49,600 Toro Co. 1,432,200
70,000 (a)Triangle Pacific Corp. 980,000
10,000 Valmont Industries, Inc. 215,000
26,900 (a)Varitronic Systems, Inc. 336,250
40,000 (a)Willcox & Gibbs, Inc. 330,000
25,000 Wolverine World Wide, Inc. 837,500
----------
Total 9,360,180
----------
Consumer Cyclical11.3%
24,360 (a)American City Business Journals 438,480
22,000 Arctco, Inc. 313,500
10,400 Casey's General Stores, Inc. 179,400
79,300 Cash America International, Inc. 604,662
19,900 (a)Coherent, Inc. 580,830
10,200 (a)Designs, Inc. 108,375
31,000 (a)Dimark, Inc. 422,375
58,600 (a)El Chico Restaurants, Inc. 454,150
43,500 Falcon Products, Inc. 500,250
71,000 (a)Fieldcrest Cannon, Inc. 1,570,875
31,500 Gibson Greetings, Inc. 315,000
32,700 (a)Hi-Lo Automotive, Inc. 273,862
20,000 Houghton Mifflin Co. 962,500
18,600 (a)Jones Apparel Group, Inc. 488,250
55,000 LADD Furniture, Inc. 295,625
48,000 (a)Monaco Coach Corp. 684,000
27,450 Morrison Restaurants, Inc. 621,056
17,600 (a)Mothers Work, Inc. 228,800
51,700 (a)Payless Cashways, Inc. 407,138
22,000 PCA International, Inc. 231,000
60,500 (a)R & B, Inc. 363,000
80,000 Richfood Holdings, Inc. 1,600,000
64,800 Rival Co. 1,036,800
83,500 (a)Ryans Family Steak Houses 584,500
21,000 (a)Spaghetti Warehouse, Inc. 320,250
18,500 (a)Value City Department Stores,
Inc. 166,500
18,000 Winsloew Furniture, Inc. 103,500
89,900 (a)Worldtex, Inc. $ 483,212
----------
Total 14,337,890
----------
Consumer Staples12.6%
15,000 Avalon Properties, Inc., REIT 294,375
69,800 Ballard Medical Products 837,600
14,500 Bindley Western Industries, Inc. 215,688
47,900 Biocraft Labs, Inc. 981,950
20,000 Coram Healthcare Corp. 410,000
45,400 Delta & Pine Land Co. 1,106,625
15,500 (a)Dorsey Trailers, Inc. 187,937
32,000 (a)Focus Surgery, Inc. 12,000
36,000 (a)Gish Biomedical, Inc. 252,000
24,800 Hannaford Brothers Co. 654,100
25,000 (a)International Cabletel, Inc. 737,500
40,000 Interstate Bakeries Corp. 580,000
76,000 Kinetic Concepts, Inc. 570,000
56,900 (a)Lifecore Biomedical, Inc. 348,513
31,800 (a)Lincare Holdings, Inc. 981,825
53,875 Minntech Corp. 801,391
58,000 (a)Noven Pharmaceuticals, Inc. 493,000
32,000 (a)OEC Medical Systems, Inc. 188,000
19,000 (a)OPTI, Inc. 287,375
41,100 (a)Paragon Trade Brands, Inc. 637,050
82,500 (a)Pharmaceutical Marketing
Services, Inc. 773,437
40,000 Physician Corp. of America 715,000
50,000 Puritan-Bennett Corp. 1,231,250
41,600 (a)ReadiCare, Inc. 109,200
23,500 Sanfilippo, John B & Son, Inc. 226,188
22,900 (a)Somatix Therapy Corp. 77,287
5,500 (a)Spacelabs Medical, Inc. 134,750
109,800 (a)Syntro Corp. 219,600
21,400 TCA Cable TV Inc. 532,325
37,900 Unifirst Corp 450,063
99,400 (a)Unilab Corp. 521,850
20,000 (a)United American Healthcare Co. 337,500
----------
Total 15,905,379
----------
Energy8.3%
75,000 (a)Alamco, Inc. 492,187
32,000 (a)Belden & Blake Corp. 468,000
75,000 (a)Bellwether Exploration Co. 459,375
44,200 Berry Petroleum Co., Class A 436,475
21,300 Cascade Natural Gas Corp. 298,200
65,300 Coda Energy, Inc. 481,588
38,000 Cross Timbers Oil Co. 622,250
32,200 Devon Energy Corp. 668,150
31,500 (a)Dual Drilling Co. 275,625
25,500 (a)Gulfmark International, Inc. 446,250
25,000 Newpark Resources Inc. 556,250
40,800 (a)Oceaneering International, Inc. 408,000
60,000 Parker & Parsley Petroleum Co. 1,282,500
15,000 Plains Petroleum Co. 350,625
32,000 Pogo Producing Co. 720,000
20,400 (a)Seagull Energy Corp. 362,100
7,250 (a)Tejas Gas Corp. 347,094
10,000 Tidelands Realty Trust 75,000
40,000 (a)United Meridian Corp. 640,000
</TABLE>
SHAWMUT SMALL CAPITALIZATION EQUITY FUND (cont'd)
<TABLE>
<CAPTION>
Shares Value
<C> <S> <C>
54,000 Vintage Petrolem, Inc. $1,107,000
----------
Total 10,496,669
----------
Financial14.3%
58,000 American Annuity Group, Inc. 572,750
31,000 American Eagle Group, Inc. 290,625
28,500 American Federal BankFSB 395,438
37,500 (a)Amvestors Financial Corp. 389,062
22,500 BSB Bancorp, Inc. 658,125
26,800 Coast Savings Financial, Inc. 556,100
65,000 (a)Crown American Realty, REIT 812,500
29,700 (a)D & N Financial Corp. 77,963
87,000 (a)D & N Financial Corp. 804,750
22,300 (a)Eagle Finance Corp. 314,987
15,000 Eaton Vance Corp. 474,375
21,000 First Federal Michigan Corp. 509,250
45,900 Foothill Group, Inc. 998,325
39,800 (a)Home State Holdings, Inc. 437,800
21,680 Integon Corp. 338,750
12,200 Kansas City Life Insurance Co. 536,800
45,200 (a)KBK Capital Corp. 265,550
33,800 Life Partners Group, Inc. 659,100
10,300 (a)Long Island Bancorp, Inc 190,550
21,972 (a)National Auto Credit, Inc. 241,692
33,925 North Side Savings Bank of the Bronx 753,299
2,779 ONBANCORP, Inc. 72,949
10,000 Oriental Bank & Trust 151,250
74,400 (a)Payco American Corp. 539,400
30,000 Penncorp Financial Group, Inc. 517,500
41,500 Poe & Brown, Inc. 970,063
18,304 Portsmouth BankShares, Inc. 220,792
40,000 Security Connecticut Corp. 1,000,000
31,400 SEI Corp. 588,750
40,000 Selective Insurance Group, Inc. 1,165,000
36,750 Southwest Securities Group, Inc. 303,187
18,700 UMB Financial Corp. 593,725
42,400 USBancorp, Inc. 895,700
34,000 Victoria Bankshares, Inc. 850,000
----------
Total 18,146,107
----------
Miscellaneous6.5%
68,250 ADVO, Inc. 1,373,531
13,000 American Classic Voyages Corp. 133,250
47,200 (a)DIMAC Corp. 737,500
20,000 Gilbert Associates, Inc. 265,000
11,000 (a)Harding Associates, Inc. 67,375
51,500 (a)Layne, Inc. 392,688
20,150 Neostar Retail Group, Inc. 214,094
7,000 Northland Cranberries, Inc. 103,250
26,100 (a)Pronet, Inc. 518,737
11,800 Rawlings Sporting Goods Company,
Inc. 128,325
36,500 (a)Res Care, Inc. 647,875
19,300 (a)Rural/Metro Corp. 361,875
67,500 (a)Sterile Concepts Holdings, Inc. 826,875
44,500 (a)Thomas Group, Inc. 456,125
106,050 Unitog Co. 2,014,950
----------
Total 8,241,450
----------
Technology24.2%
60,000 (a)American Management Systems, inc. $1,267,500
56,100 (a)Analogic Corp. 995,775
42,000 (a)BancTec, Inc. 714,000
20,000 (a)Benchmark Electronics, Inc. 410,000
29,000 BGS Systems, Inc. 837,375
34,000 (a)bisys Group, Inc. 705,500
74,050 (a)Boole & Babbage Inc. 2,138,194
28,900 Burr-Brown Corp. 740,562
35,000 (a)CEM Corp. 446,250
41,800 (a)Cognos, Inc. 1,013,650
54,000 (a)Comptek Research, Inc. 830,250
117,000 Computer Task Group, Inc. 1,374,750
64,400 (a)Comshare, Inc. 1,127,000
8,500 Continental Circuits Corp. 96,688
27,100 (a)Continuum, Inc. 894,300
18,360 (a)Detection Systems, Inc. 123,930
14,500 (a)Evans & Sutherland Computer Co. 232,000
37,500 (a)Gelman Sciences, Inc. 675,000
75,000 (a)Giga Tronics, Inc. 478,125
66,000 Hogan Systems, Inc. 561,000
59,200 (a)Information Resources, Inc. 832,500
30,000 Intercargo Corp. 277,500
40,000 (a)Interleaf, Inc. 220,000
22,700 (a)Interphase Corp. 224,162
60,000 (a)Intersolv, Inc. 825,000
37,700 (a)K-Tron International, Inc. 254,475
26,500 Keithley Instruments, Inc. 447,188
36,100 (a)Kent Electronics Corp. 1,060,437
37,600 (a)Legent Corp. 1,024,600
32,300 Mac-Neal Schwendler Corp. 472,388
39,800 (a)MDL Information Systems, Inc. 512,425
38,500 Nashua Corp. 750,750
24,000 National Computer Systems, Inc. 426,000
54,900 National Data Corp. 1,022,512
42,000 (a)Phoenix Technology Ltd. 341,250
20,900 Qlogic Corp. 91,438
32,600 (a)Softech, Inc. 142,625
25,000 SPSS, Inc. 348,437
76,701 (a)Sterling Software, Inc. 2,607,834
25,185 Storage Technology Corp. 522,589
14,700 (a)Symix Systems, Inc. 112,087
61,600 (a)Unitrode Corp. 1,278,200
29,000 (a)Verifone Inc 685,125
24,000 VMark Software, Inc. 360,000
8,800 (a)Zygo Corp. 172,700
----------
Total 30,674,071
----------
Transportation1.0%
20,000 Arnold Industries, Inc. 360,000
19,300 (a)Builders Transportation, Inc. 230,394
28,875 (a)Cannon Express, Inc., Class A 397,031
16,875 (a)Cannon Express, Inc., Class B 229,923
----------
Total 1,217,348
----------
</TABLE>
SHAWMUT SMALL CAPITALIZATION EQUITY FUND (cont'd)
<TABLE>
<CAPTION>
Shares or
Principal
Amount Value
<C> <S> <C>
Utilities0.3%
20,000 Middlesex Water Co. $ 320,000
----------
Total 320,000
----------
TOTAL COMMON STOCKS
(IDENTIFIED COST $109,918,606) 116,447,101
----------
CORPORATE BOND0.3%
$ 369,900 Mac-Neal Schwendler Corp., 7.875%,
Sub. Deb. Conv., 8/18/2004
(identified cost $369,900) 400,879
----------
MUTUAL FUND SHARES7.4%
3,993,514 Dreyfus Cash Management Trust 3,993,514
5,367,234 Fidelity Institutional Cash Money
Market Fund 5,367,234
----------
TOTAL MUTUAL FUND SHARES
(AT NET ASSET VALUE) 9,360,748
----------
TOTAL INVESTMENTS
(IDENTIFIED COST, $119,649,254) $126,208,728
----------
----------
</TABLE>
SHAWMUT QUANTITATIVE EQUITY FUND
<TABLE>
<CAPTION>
Shares Value
<C> <S> <C>
COMMON STOCKS74.9%
Basic Materials8.9%
1,500 Aluminum Company of America $ 67,313
3,000 Freeport-McMoRan Copper & Gold,
Inc. 62,625
3,000 Morton International, Inc. 93,000
8,000 Pegasus Gold, Inc.* 97,000
1,000 Phelps Dodge Corp. 56,625
----------
Total 376,563
----------
Capital Goods/Construction7.2%
1,700 Armstrong World Industries, Inc. 77,350
3,200 Briggs & Stratton Corp. 112,400
2,000 General Electric Co. 112,000
----------
Total 301,750
----------
Consumer Cyclical25.3%
5,000 Brinker International, Inc.* 85,625
3,000 Circuit City Stores, Inc. 77,625
2,500 Cracker Barrel Old Country Store,
Inc. 53,125
900 Dayton Hudson Corp. 60,412
3,000 Dow Jones & Co., Inc. 105,000
2,500 Federated Department Stores, Inc.* 52,813
2,500 Harley Davidson, Inc. 59,687
2,000 Home Depot, Inc. 83,500
800 Houghton Mifflin Co. 38,500
5,500 Maytag Corp. 94,875
3,000 New York Times Co., Class A 67,875
3,000 Time Warner, Inc. 109,875
1,200 Tribune Co. 70,950
</TABLE>
SHAWMUT QUANTITATIVE EQUITY
FUND (cont'd)
<TABLE>
<CAPTION>
Shares or
Principal
Amount Value
<C> <S> <C>
2,000 Whirlpool Corp. $ 109,500
----------
Total 1,069,362
----------
Consumer Staples8.3%
2,000 Campbell Soup Co. 102,500
2,400 General Motors Corp. 108,300
2,000 Hasbro, Inc. 63,500
1,200 Johnson & Johnson 78,000
----------
Total 352,300
----------
Energy 1.4%
500 Atlantic Richfield Co. 57,250
----------
Financial10.1%
2,500 American Express Co. 86,875
2,000 Federal Home Loan Mortgage Corp. 130,500
1,300 Federal National Mortgage
Association 114,725
1,500 MBIA, Inc. 94,125
----------
Total 426,225
----------
Health Care1.2%
2,200 Coventry Corp.* 51,700
----------
Oil/Gas1.7%
3,000 Tidewater, Inc. 71,250
----------
Technology4.0%
2,100 AT & T Corp. 106,575
1,500 Pitney Bowes, Inc. 55,687
640 Strattec Security Corp.* 7,440
----------
Total 169,702
----------
Transportation3.9%
2,500 Consolidated Freightways, Inc. 63,750
1,600 Ryder System, Inc. 37,400
3,500 Yellow Corp. 63,000
----------
Total 164,150
----------
Utilities2.9%
4,000 Niagara Mohawk Power Corp. 55,500
2,000 Sprint Corp. 66,000
----------
Total 121,500
----------
Total Common Stocks
(identified cost $2,933,420) 3,161,752
----------
U.S. TREASURY BILL16.5%
$ 697,000 5/4/1995 (at amortized cost) 696,673
----------
MUTUAL FUND SHARES8.7%
184,332 Dreyfus Cash Management Trust 184,332
184,331 Fidelity Institutional Cash Money
Market
Fund 184,331
----------
TOTAL MUTUAL FUND SHARES
(AT NET ASSET VALUE) 368,663
----------
TOTAL INVESTMENTS
(IDENTIFIED COST $3,998,756) $4,227,088
----------
----------
</TABLE>
THE SHAWMUT FUNDS
Notes to Portfolios of Investments April 30, 1995 (unaudited)
SHAWMUT PRIME MONEY MARKET FUND
Also represents cost for federal tax purposes.
* Each issue shows the rate of discount at the time of purchase for discount
issues.
** Current rate and next demand date shown.
*** The repurchase agreement is fully collateralized by U.S. Treasury
obligations based on market prices at the date of of the portfolio.
SHAWMUT CONNECTICUT MUNICIPAL MONEY MARKET FUND
+ Also represents cost for federal tax purposes.
* Please refer to the Appendix of the Statement of Additional Information for
an explanation of the credit ratings. Current credit ratings are unaudited.
SHAWMUT MASSACHUSETTS MUNICIPAL MONEY MARKET FUND
+ Also represents cost for federal tax purposes.
* Please refer to the Appendix of the Statement of Additional Information for
an explanation of the credit ratings. Current credit ratings are unaudited.
SHAWMUT CONNECTICUT INTERMEDIATE MUNICIPAL INCOME FUND
* Please refer to the Appendix of the Statement of Additional information for an
explanation of the credit ratings. Current credit ratings are unaudited.
SHAWMUT MASSACHUSETTS INTERMEDIATE MUNICIPAL INCOME FUND
* Please refer to the Appendix of the Statement of Additional Information for an
explanation of the credit ratings. Current credit ratings are unaudited.
SHAWMUT GROWTH AND INCOME EQUITY FUND
(a) Non-income producing securities.
SHAWMUT GROWTH EQUITY FUND
* Non-income producing security.
(a) LLDS Communications, Inc. changed its name to WorldCom, Inc. effective May
25, 1995.
SHAWMUT SMALL CAPITALIZATION EQUITY FUND
* Non-income producing security.
SHAWMUT QUANTITATIVE EQUITY FUND
* Non-income producing securities.
The following abbreviations are used in these portfolios:
<TABLE>
<S> <C>
ADR -- American Depository Receipts
AMBAC -- American Municipal Bond Assurance Corporation
AMT -- Alternative Minimum Tax
BANs -- Bond Anticipation Notes
BQ -- Bank Qualified
CP -- Commercial Paper
FGIC -- Financial Guaranty Insurance Company
FHA -- Federal Housing Authority
GO -- General Obligation
HEFA -- Health and Education Facilities Authority
HFA -- Housing Finance Authority
HMFP -- Housing Mortgage Finance Program
LOC(s) -- Letter(s) of Credit
LT -- Limited Tax
MBIA -- Municipal Bond Investors Assurance
PC -- Participation Certificate
PCR -- Pollution Control Revenue
REIT -- Real Estate Investment Trust
REMIC -- Real Estate Mortgage Investment Conduit
RANs -- Revenue Anticipation Notes
SPA -- Standby Purchase Agreement
STRIP -- Separate Trading of Registered Interest & Principal
of Securities
TANs -- Tax Anticipation Notes
TBA -- To be announced
UT -- Unlimited Tax
VRDNs -- Variable Rate Demand Notes
</TABLE>
<TABLE>
<CAPTION>
NET UNREALIZED GROSS GROSS
COST OF APPRECIATION/ UNREALIZED UNREALIZED
INVESTMENTS (DEPRECIATION) APPRECIATION DEPRECIATION
FOR FEDERAL TAX FOR FEDERAL FOR FEDERAL FOR FEDERAL
SHAWMUT FUNDS PURPOSES TAX PURPOSES TAX PURPOSES TAX PURPOSES
<S> <C> <C> <C> <C>
Prime Money Market Fund $ 786,641,295* $ 0 $ 0 $ 0
Connecticut Muncipal Money Market Fund 104,874,698* 0 0 0
Massachusetts Municipal Money Market Fund 34,635,942* 0 0 0
Limited Term Income Fund 47,230,295 (487,866) 355,368 (843,234)
Intermediate Government Income Fund 57,635,853 (1,338,209) 158,376 (1,496,585)
Fixed Income Fund 86,563,948 (2,175,873) 436,381 (2,612,254)
Connecticut Intermediate Municipal Income Fund 8,402,671 (230,040) 25,428 (255,468)
Massachusetts Intermediate Municipal Income Fund 8,395,029 (192,400) 25,386 (217,786)
Growth and Income Equity Fund 186,035,770 17,590,490 20,926,297 (3,335,807)
Growth Equity Fund 19,873,191 1,709,764 1,863,165 (153,401)
Small Capitalization Equity Fund 119,649,254 6,559,474 19,182,685 (12,623,211)
Quantitative Equity Fund 3,998,756 228,332 279,742 (51,410)
<CAPTION>
TOTAL
NET
SHAWMUT FUNDS ASSETS**
<S> <C>
Prime Money Market Fund $ 784,948,492
Connecticut Muncipal Money Market Fund 102,078,323
Massachusetts Municipal Money Market Fund 34,248,218
Limited Term Income Fund 47,146,041
Intermediate Government Income Fund 55,265,206
Fixed Income Fund 85,598,188
Connecticut Intermediate Municipal Income Fund 8,295,627
Massachusetts Intermediate Municipal Income Fund 8,178,439
Growth and Income Equity Fund 203,738,119
Growth Equity Fund 21,234,296
Small Capitalization Equity Fund 126,574,961
Quantitative Equity Fund 4,219,726
</TABLE>
* At Amortized Cost.
** The categories of investments are shown as a percentage of net assets at
April 30, 1995.
(See Notes which are an integral part of the Financial Statements)
THE SHAWMUT FUNDS
Statements of Assets and Liabilities
April 30, 1995 (unaudited)
<TABLE>
<CAPTION>
CONNECTICUT MASSACHUSETTS
MUNICIPAL MUNICIPAL
PRIME MONEY MONEY MARKET MONEY MARKET
MARKET FUND FUND FUND
<S> <C> <C> <C>
ASSETS:
Investments in securities, at value $ 786,641,295 $ 104,874,698 $ 34,635,942
Cash 426,343 -- --
Income receivable 1,684,338 1,096,928 260,215
Receivable for investments sold -- -- --
Receivable for shares sold 19,818 191,163 --
Deferred expenses 61,332 2,278 943
--------------- --------------- ---------------
Total assets 788,833,126 106,165,067 34,897,100
--------------- --------------- ---------------
LIABILITIES:
Payable for investments purchased 480,161 3,719,446 600,342
Payable for shares redeemed 477,577 27,408 852
Income distribution payable 2,692,292 280,950 43,829
Payable to Bank -- -- --
Payable to Transfer Agent -- -- --
Payable to Portfolio Accountant -- -- --
Accrued expenses 234,604 58,940 3,859
--------------- --------------- ---------------
Total liabilities 3,884,634 4,086,744 648,882
--------------- --------------- ---------------
NET ASSETS CONSIST OF:
Paid-in capital 784,948,492 102,078,323 34,248,218
Net unrealized appreciation (depreciation) of investments -- -- --
Accumulated net realized gain (loss) on investments -- -- --
Undistributed (Distributions in excess of) net investment income -- -- --
--------------- --------------- ---------------
Total Net Assets $ 784,948,492 $ 102,078,323 $ 34,248,218
--------------- --------------- ---------------
NET ASSETS:
Trust Shares $ 577,520,766 $ 32,059,923 N/A
Investment Shares $ 207,427,726 $ 70,018,400 $ 34,248,218
--------------- --------------- ---------------
NET ASSET VALUE and Redemption Proceeds Per Share:
Trust Shares $1.00 $1.00 N/A
Investment Shares $1.00 $1.00 $1.00
------ ------ ------
OFFERING PRICE PER SHARE+:
Trust Shares $1.00 $1.00 N/A
Investment Shares $1.00 $1.00 $1.00
------ ------ ------
SHARES OUTSTANDING:
Trust Shares 577,520,766 32,059,923 N/A
Investment Shares 207,427,726 70,018,400 34,248,218
--------------- --------------- ---------------
TOTAL SHARES OUTSTANDING 784,948,492 102,078,323 34,248,218
============== ============== ==============
INVESTMENTS, AT IDENTIFIED COST $ 786,641,295 $ 104,874,698 $ 34,635,942
============== ============== ==============
<CAPTION>
LIMITED
TERM
INCOME
FUND
<S> <C>
ASSETS:
Investments in securities, at value $ 46,742,429
Cash --
Income receivable 559,614
Receivable for investments sold 3,328,444
Receivable for shares sold 8,768
Deferred expenses 20,377
---------------
Total assets 50,659,632
---------------
LIABILITIES:
Payable for investments purchased 3,459,219
Payable for shares redeemed 7,649
Income distribution payable --
Payable to Bank --
Payable to Transfer Agent --
Payable to Portfolio Accountant --
Accrued expenses 46,723
---------------
Total liabilities 3,513,591
---------------
NET ASSETS CONSIST OF:
Paid-in capital 50,554,468
Net unrealized appreciation (depreciation) of investments (487,866)
Accumulated net realized gain (loss) on investments (3,062,883)
Undistributed (Distributions in excess of) net investment income 142,322
---------------
Total Net Assets $ 47,146,041
---------------
NET ASSETS:
Trust Shares $ 40,480,165
Investment Shares $ 6,665,876
---------------
NET ASSET VALUE and Redemption Proceeds Per Share:
Trust Shares $9.55
Investment Shares $9.55
------
OFFERING PRICE PER SHARE+:
Trust Shares $9.55
Investment Shares $9.74
------
SHARES OUTSTANDING:
Trust Shares 4,238,355
Investment Shares 697,884
---------------
TOTAL SHARES OUTSTANDING 4,936,239
===============
INVESTMENTS, AT IDENTIFIED COST $ 47,230,295
===============
</TABLE>
+ See "What Shares Cost" in the prospectus.
(See Notes which are an integral part of the Financial Statements)
<TABLE>
<CAPTION>
INTERMEDIATE CONNECTICUT
GOVERNMENT FIXED INTERMEDIATE
INCOME INCOME MUNICIPAL
FUND FUND INCOME FUND
<S> <C> <C> <C>
ASSETS:
Investments in securities, at value $ 56,297,644 $ 84,388,075 $ 8,172,631
Cash -- -- --
Income receivable 674,413 1,230,859 128,418
Receivable for investments sold -- -- --
Receivable for shares sold 3,806 41,373 --
Deferred expenses 20,166 24,699 2,371
--------------- --------------- ---------------
Total assets 56,996,029 85,685,006 8,303,420
--------------- --------------- ---------------
LIABILITIES:
Payable for investments purchased 1,674,510 -- --
Payable for shares redeemed -- 25,406 --
Income distribution payable -- -- --
Payable to Bank -- -- --
Payable to Transfer Agent -- -- --
Payable to Portfolio Accountant -- -- --
Accrued expenses 56,313 61,412 7,793
--------------- --------------- ---------------
Total liabilities 1,730,823 86,818 7,793
--------------- --------------- ---------------
NET ASSETS CONSIST OF:
Paid-in capital 60,028,680 91,192,417 8,713,724
Net unrealized appreciation (depreciation) of investments (1,338,209) (2,175,873) (230,040)
Accumulated net realized gain (loss) on investments (3,526,522) (3,626,189) (205,156)
Undistributed (Distributions in excess of) net investment income 101,257 207,833 17,099
--------------- --------------- ---------------
Total Net Assets $ 55,265,206 $ 85,598,188 $ 8,295,627
--------------- --------------- ---------------
NET ASSETS:
Trust Shares $ 45,142,775 $ 77,576,035 N/A
Investment Shares $ 10,122,431 $ 8,022,153 $ 8,295,627
--------------- --------------- ---------------
NET ASSET VALUE and Redemption Proceeds Per Share:
Trust Shares $9.54 $9.61 N/A
Investment Shares $9.54 $9.61 $9.70
------ ------ -------
OFFERING PRICE PER SHARE+:
Trust Shares $9.54 $9.61 N/A
Investment Shares $9.73 $9.81 $9.90
------ ------ -------
SHARES OUTSTANDING:
Trust Shares 4,733,439 8,070,908 N/A
Investment Shares 1,061,329 834,440 855,033
--------------- --------------- ---------------
TOTAL SHARES OUTSTANDING 5,794,768 8,905,348 855,033
=============== =============== ===============
INVESTMENTS, AT IDENTIFIED COST $ 57,635,853 $ 86,563,948 $ 8,402,671
=============== =============== ===============
<CAPTION>
MASSACHUSETTS GROWTH AND
INTERMEDIATE INCOME GROWTH
MUNICIPAL EQUITY EQUITY
INCOME FUND FUND FUND
<S> <C> <C> <C>
ASSETS:
Investments in securities, at value $ 8,202,629 $ 203,626,260 $ 21,582,955
Cash -- 49,057 --
Income receivable 132,914 329,119 59,648
Receivable for investments sold -- 432,981 1,791,665
Receivable for shares sold 4,900 186,109 8,355
Deferred expenses 1,429 36,212 10,431
--------------- --------------- ---------------
Total assets 8,341,872 204,659,738 23,453,054
--------------- --------------- ---------------
LIABILITIES:
Payable for investments purchased 153,303 427,650 2,046,993
Payable for shares redeemed -- 330,467 5,934
Income distribution payable -- -- --
Payable to Bank -- -- 156,410
Payable to Transfer Agent -- -- --
Payable to Portfolio Accountant -- -- --
Accrued expenses 10,130 163,502 9,421
--------------- --------------- ---------------
Total liabilities 163,433 921,619 2,218,758
--------------- --------------- ---------------
NET ASSETS CONSIST OF:
Paid-in capital 8,421,133 182,296,701 19,058,375
Net unrealized appreciation (depreciation) of investments (192,400) 18,233,160 1,711,404
Accumulated net realized gain (loss) on investments (56,242) 3,020,596 432,930
Undistributed (Distributions in excess of) net investment income 5,948 187,662 31,587
--------------- --------------- ---------------
Total Net Assets $ 8,178,439 $ 203,738,119 $ 21,234,296
--------------- --------------- ---------------
NET ASSETS:
Trust Shares N/A $ 171,927,417 $ 14,584,221
Investment Shares $ 8,178,439 $ 31,810,702 $ 6,650,075
--------------- --------------- ---------------
NET ASSET VALUE and Redemption Proceeds Per Share:
Trust Shares N/A $11.36 $10.96
Investment Shares $9.73 $11.36 $10.95
------- ------- -------
OFFERING PRICE PER SHARE+:
Trust Shares N/A $11.36 $10.96
Investment Shares $9.93 $11.83 $11.41
------- ------- -------
SHARES OUTSTANDING:
Trust Shares N/A 15,133,160 1,331,124
Investment Shares 840,412 2,800,635 607,088
--------------- --------------- ---------------
TOTAL SHARES OUTSTANDING 840,412 17,933,795 1,938,212
=============== =============== ===============
INVESTMENTS, AT IDENTIFIED COST $ 8,395,029 $ 185,393,100 $ 19,873,191
=============== =============== ===============
<CAPTION>
SMALL
CAPITALIZATION QUANTITATIVE
EQUITY EQUITY
FUND FUND
<S> <C> <C>
ASSETS:
Investments in securities, at value $ 126,208,728 $ 4,227,088
Cash 343,083 --
Income receivable 91,285 7,113
Receivable for investments sold 883,392 --
Receivable for shares sold 72,239 1,586
Deferred expenses 27,490 1,819
--------------- ---------------
Total assets 127,626,217 4,237,606
--------------- ---------------
LIABILITIES:
Payable for investments purchased 716,859 --
Payable for shares redeemed 210,932 1,937
Income distribution payable -- --
Payable to Bank -- --
Payable to Transfer Agent -- 3,435
Payable to Portfolio Accountant -- 2,378
Accrued expenses 123,465 10,130
--------------- ---------------
Total liabilities 1,051,256 17,880
--------------- ---------------
NET ASSETS CONSIST OF:
Paid-in capital 115,333,553 4,000,561
Net unrealized appreciation (depreciation) of investments 6,559,474 228,332
Accumulated net realized gain (loss) on investments 4,747,505 (7,643)
Undistributed (Distributions in excess of) net investment income (65,571) (1,524)
--------------- ---------------
Total Net Assets $ 126,574,961 $ 4,219,726
--------------- ---------------
NET ASSETS:
Trust Shares $ 105,141,303 $ 3,345,091
Investment Shares $ 21,433,658 $ 874,635
--------------- ---------------
NET ASSET VALUE and Redemption Proceeds Per Share:
Trust Shares $11.06 $10.55
Investment Shares $11.04 $10.54
------- --------
OFFERING PRICE PER SHARE+:
Trust Shares $11.06 $10.55
Investment Shares $11.50 $10.98
------- --------
SHARES OUTSTANDING:
Trust Shares 9,502,475 317,140
Investment Shares 1,940,733 82,953
--------------- ---------------
TOTAL SHARES OUTSTANDING 11,443,208 400,093
=============== ===============
INVESTMENTS, AT IDENTIFIED COST $119,649,254 $ 3,998,756
=============== ===============
</TABLE>
THE SHAWMUT FUNDS
Statements of Operations
Six Months Ended April 30, 1995 (unaudited)
<TABLE>
<CAPTION>
CONNECTICUT MASSACHUSETTS
MUNICIPAL MUNICIPAL
PRIME MONEY MONEY MARKET MONEY MARKET
MARKET FUND FUND FUND
<S> <C> <C> <C>
INVESTMENT INCOME:
Interest income $ 20,856,810 $ 1,990,331 $ 609,137
Dividend income -- -- --
--------------- --------------- ---------------
Total income 20,856,810 1,990,331 609,137
--------------- --------------- ---------------
EXPENSES:
Investment advisory fee 1,776,783 273,114 81,738
Directors'/Trustees' fees 2,620 1,181 2,710
Administrative personnel and services fees 360,853 55,466 24,795
Custodian fees 55,206 10,924 6,000
Portfolio accounting fees 60,429 28,820 19,855
Transfer and dividend disbursing agent fees and expenses 59,776 31,226 15,732
Share registration costs 46,954 16,453 10,080
Auditing fees 9,896 9,297 8,742
Legal fees 11,464 1,779 2,496
Printing and postage 10,264 9,534 8,522
Insurance premiums 2,502 2,018 2,157
Distribution services fees 460,185 194,890 --
Miscellaneous 10,049 3,125 3,181
--------------- --------------- ---------------
Total expenses 2,866,981 637,827 186,008
--------------- --------------- ---------------
Deduct--
Waiver of investment advisory fee 746,249 85,637 49,327
Waiver of custodian fees 55,206 10,924 6,000
Reimbursement of other operating expenses by the Adviser -- 40,459 39,136
Waiver of distribution services fees 230,093 97,445 --
--------------- --------------- ---------------
NET EXPENSES 1,835,433 403,362 91,545
--------------- --------------- ---------------
NET INVESTMENT INCOME (LOSS) 19,021,377 1,586,969 517,592
--------------- --------------- ---------------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS:
Net realized gain (loss) on investments -- -- --
Net change in unrealized appreciation (depreciation)
of investments -- -- --
--------------- --------------- ---------------
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS -- -- --
--------------- --------------- ---------------
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS $ 19,021,377 $ 1,586,969 $ 517,592
=============== =============== ===============
<CAPTION>
LIMITED
TERM
INCOME
FUND
<S> <C>
INVESTMENT INCOME:
Interest income $ 1,889,339
Dividend income --
---------------
Total income 1,889,339
---------------
EXPENSES:
Investment advisory fee 217,219
Directors'/Trustees' fees 1,033
Administrative personnel and services fees 27,758
Custodian fees 6,000
Portfolio accounting fees 34,546
Transfer and dividend disbursing agent fees and expenses 38,208
Share registration costs 16,378
Auditing fees 8,210
Legal fees 3,476
Printing and postage 10,145
Insurance premiums 2,534
Distribution services fees 17,037
Miscellaneous 6,712
---------------
Total expenses 389,256
---------------
Deduct--
Waiver of investment advisory fee 50,536
Waiver of custodian fees 6,000
Reimbursement of other operating expenses by the Adviser --
Waiver of distribution services fees 8,519
---------------
NET EXPENSES 324,201
---------------
NET INVESTMENT INCOME (LOSS) 1,565,138
---------------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS:
Net realized gain (loss) on investments (1,052,167)
Net change in unrealized appreciation (depreciation)
of investments 1,499,586
---------------
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS 447,419
---------------
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS $ 2,012,557
===============
</TABLE>
(See Notes which are an integral part of the Financial Statements)
<TABLE>
<CAPTION>
INTERMEDIATE CONNECTICUT
GOVERNMENT FIXED INTERMEDIATE
INCOME INCOME MUNICIPAL
FUND FUND INCOME FUND
<S> <C> <C> <C>
INVESTMENT INCOME:
Interest income $ 2,278,219 $ 3,216,041 $ 197,086
Dividend income -- -- --
--------------- --------------- ---------------
Total income 2,278,219 3,216,041 197,086
--------------- --------------- ---------------
EXPENSES:
Investment advisory fee 255,440 344,254 27,200
Directors'/Trustees' fees 1,115 1,259 173
Administrative personnel and services fees 32,455 43,730 24,795
Custodian fees 6,386 8,607 6,000
Portfolio accounting fees 29,389 34,216 19,385
Transfer and dividend disbursing agent fees and expenses 44,245 42,081 12,417
Share registration costs 17,313 16,159 4,981
Auditing fees 7,778 10,167 6,346
Legal fees 3,266 3,148 609
Printing and postage 7,974 9,319 7,504
Insurance premiums 2,591 3,247 566
Distribution services fees 25,868 19,751 --
Miscellaneous 6,339 3,683 2,603
--------------- --------------- ---------------
Total expenses 440,159 539,621 112,579
--------------- --------------- ---------------
Deduct--
Waiver of investment advisory fee 51,690 81,893 27,200
Waiver of custodian fees 6,386 8,607 6,000
Reimbursement of other operating expenses by the Adviser -- -- 59,951
Waiver of distribution services fees 12,934 9,876 --
--------------- --------------- ---------------
NET EXPENSES 369,149 439,245 19,428
--------------- --------------- ---------------
NET INVESTMENT INCOME (LOSS) 1,909,070 2,776,796 177,658
--------------- --------------- ---------------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS:
Net realized gain (loss) on investments (2,010,723) (2,478,856) (24,991)
Net change in unrealized appreciation (depreciation)
of investments 3,126,905 5,078,950 328,396
--------------- --------------- ---------------
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS 1,116,182 2,600,094 303,405
--------------- --------------- ---------------
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS $ 3,025,252 $ 5,376,890 $ 481,063
=============== =============== ===============
<CAPTION>
MASSACHUSETTS GROWTH AND
INTERMEDIATE INCOME GROWTH
MUNICIPAL EQUITY EQUITY
INCOME FUND FUND FUND
<S> <C> <C> <C>
INVESTMENT INCOME:
Interest income $ 179,614 $ 451,041 $ 38,317
Dividend income -- 2,773,101 247,520
--------------- --------------- ---------------
Total income 179,614 3,224,142 285,837
--------------- --------------- ---------------
EXPENSES:
Investment advisory fee 24,224 915,453 109,982
Directors'/Trustees' fees 74 1,497 524
Administrative personnel and services fees 24,795 92,976 24,795
Custodian fees 6,000 18,309 6,000
Portfolio accounting fees 13,180 35,888 34,519
Transfer and dividend disbursing agent fees and expenses 8,073 58,616 40,280
Share registration costs 3,225 21,698 12,566
Auditing fees 4,243 8,703 2,000
Legal fees 733 4,112 2,008
Printing and postage 4,358 8,196 14,055
Insurance premiums 416 40 702
Distribution services fees -- 61,116 14,883
Miscellaneous 1,948 6,708 3,516
--------------- --------------- ---------------
Total expenses 91,269 1,233,312 265,830
--------------- --------------- ---------------
Deduct--
Waiver of investment advisory fee 24,224 183,091 54,991
Waiver of custodian fees 6,000 18,309 6,000
Reimbursement of other operating expenses by the Adviser 43,741 -- 57,173
Waiver of distribution services fees -- 30,558 7,441
--------------- --------------- ---------------
NET EXPENSES 17,304 1,001,354 140,225
--------------- --------------- ---------------
NET INVESTMENT INCOME (LOSS) 162,310 2,222,788 145,612
--------------- --------------- ---------------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS:
Net realized gain (loss) on investments (13,824) 3,709,393 1,047,080
Net change in unrealized appreciation (depreciation)
of investments 312,590 9,032,799 (74,942)
--------------- --------------- ---------------
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS 298,766 12,742,192 972,138
--------------- --------------- ---------------
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS $ 461,076 $ 14,964,980 $ 1,117,750
=============== =============== ===============
<CAPTION>
SMALL
CAPITALIZATION QUANTITATIVE
EQUITY EQUITY
FUND FUND
<S> <C> <C>
INVESTMENT INCOME:
Interest income $ 162,085 $ 42,278
Dividend income 534,938 25,600
--------------- ------------
Total income 697,023 67,878
--------------- ------------
EXPENSES:
Investment advisory fee 594,908 19,454
Directors'/Trustees' fees 1,155 69
Administrative personnel and services fees 60,701 24,795
Custodian fees 11,898 6,000
Portfolio accounting fees 46,092 18,087
Transfer and dividend disbursing agent fees and expenses 76,369 11,073
Share registration costs 23,399 2,743
Auditing fees 7,624 1,620
Legal fees 1,839 1,221
Printing and postage 10,065 3,989
Insurance premiums 3,047 2,531
Distribution services fees 49,124 1,808
Miscellaneous 6,553 1,469
--------------- ------------
Total expenses 892,774 94,859
--------------- -------------
Deduct--
Waiver of investment advisory fee 145,737 19,454
Waiver of custodian fees 11,898 6,000
Reimbursement of other operating expenses by the Adviser -- 37,894
Waiver of distribution services fees 24,562 904
--------------- --------------
NET EXPENSES 710,577 30,607
--------------- --------------
NET INVESTMENT INCOME (LOSS) (13,554) 37,271
--------------- --------------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS:
Net realized gain (loss) on investments 4,746,440 (7,643)
Net change in unrealized appreciation (depreciation)
of investments 2,135,278 221,073
--------------- --------------
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS 6,881,718 213,430
--------------- --------------
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS $ 6,868,164 $ 250,701
=============== ===============
</TABLE>
Stements of Changes in Net Assets The Shawmut Funds
<TABLE>
<CAPTION>
CONNECTICUT
MUNICIPAL
PRIME MONEY MONEY MARKET
MARKET FUND FUND
SIX MONTHS SIX MONTHS
ENDED ENDED
APRIL 30, YEAR APRIL 30,
1995 ENDED 1995
(UNAUDITED) 1994 (UNAUDITED)
<S> <C> <C> <C>
INCREASE (DECREASE) IN NET ASSETS:
OPERATIONS--
Net investment income $ 19,021,377 $ 18,134,269 $ 1,586,969
Net realized gain (loss) on investments transactions -- -- --
Change in net unrealized appreciation (depreciation)
of investments -- -- --
---------------- ---------------- ---------------
Change in net assets resulting from operations 19,021,377 18,134,269 1,586,969
---------------- ---------------- ---------------
DISTRIBUTIONS TO SHAREHOLDERS--
Distributions to shareholders from net investment income:
Trust Shares (14,254,708) (15,122,816) (483,593)
Investment Shares (4,766,669) (3,011,453) (1,103,376)
Distributions to shareholders from net realized gain
on investments:
Trust Shares -- -- --
Investment Shares -- -- --
---------------- ---------------- ---------------
Change in net assets from distributions to shareholders (19,021,377) (18,134,269) (1,586,969)
---------------- ---------------- ---------------
SHARE TRANSACTIONS--
Proceeds from sales of shares 547,142,767 1,358,180,192 76,047,063
Net asset value of shares issued to shareholders in payment
of distributions declared 5,197,225 2,374,749 1,102,312
Cost of shares redeemed (422,901,996) (991,654,083) (90,087,856)
---------------- ---------------- ---------------
Change in net assets resulting from Fund share transactions 129,437,996 368,900,858 (12,938,481)
---------------- ---------------- ---------------
Change in net assets 129,437,996 368,900,858 (12,938,481)
NET ASSETS:
Beginning of period 655,510,496 286,609,638 115,016,804
---------------- ---------------- ---------------
End of period $ 784,948,492 $ 655,510,496 $ 102,078,323
================ ================ ===============
Undistributed net investment income included in net assets
at end of period $ -- $ -- $ --
================ ================ ===============
<CAPTION>
CONNECTICUT
MUNICIPAL
MONEY MARKET
FUND
YEAR ENDED
1994
<S> <C>
INCREASE (DECREASE) IN NET ASSETS:
OPERATIONS--
Net investment income $ 1,261,128
Net realized gain (loss) on investments transactions --
Change in net unrealized appreciation (depreciation)
of investments --
---------------
Change in net assets resulting from operations 1,261,128
---------------
DISTRIBUTIONS TO SHAREHOLDERS--
Distributions to shareholders from net investment income:
Trust Shares (392,561)
Investment Shares (868,567)
Distributions to shareholders from net realized gain
on investments:
Trust Shares --
Investment Shares --
---------------
Change in net assets from distributions to shareholders (1,261,128)
---------------
SHARE TRANSACTIONS--
Proceeds from sales of shares 214,871,629
Net asset value of shares issued to shareholders in payment
of distributions declared 846,013
Cost of shares redeemed (107,282,901)
---------------
Change in net assets resulting from Fund share transactions 108,434,741
---------------
Change in net assets 108,434,741
NET ASSETS:
Beginning of period 6,582,063
---------------
End of period $ 115,016,804
---------------
---------------
Undistributed net investment income included in net assets
at end of period $ --
---------------
---------------
</TABLE>
(See Notes which are an integral part of the Financial Statements)
<TABLE>
<CAPTION>
MASSACHUSETTS MUNICIPAL
MONEY MARKET FUND
SIX MONTHS
ENDED
APRIL 30, YEAR
1995 ENDED
(UNAUDITED) 1994
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS:
OPERATIONS--
Net investment income $ 517,592 $ 538,459
Net realized gain (loss) on investments transactions -- --
Change in net unrealized appreciation (depreciation)
of investments -- --
--------------- ---------------
Change in net assets resulting from operations 517,592 538,459
--------------- ---------------
DISTRIBUTIONS TO SHAREHOLDERS--
Distributions to shareholders from net investment income:
Trust Shares (517,592) (538,459)
Investment Shares -- --
Distributions to shareholders from net realized gain
on investments:
Trust Shares -- --
Investment Shares -- --
--------------- ---------------
Change in net assets from distributions to shareholders (517,592) (538,459)
--------------- ---------------
SHARE TRANSACTIONS--
Proceeds from sales of shares 48,176,856 74,726,599
Net asset value of shares issued to shareholders in payment
of distributions declared 277,532 282,954
Cost of shares redeemed (45,722,598) (44,730,008)
--------------- ---------------
Change in net assets resulting from Fund share transactions 2,731,790 30,279,545
--------------- ---------------
Change in net assets 2,731,790 30,279,545
NET ASSETS:
Beginning of period 31,516,428 1,236,883
--------------- ---------------
End of period $ 34,248,218 $ 31,516,428
=============== ===============
Undistributed net investment income included in net assets
at end of period $ -- $ --
=============== ===============
<CAPTION>
LIMITED TERM INTERMEDIATE GOVERNMENT
INCOME FUND INCOME FUND
SIX MONTHS SIX MONTHS
ENDED ENDED
APRIL 30, YEAR APRIL 30, YEAR
1995 ENDED 1995 ENDED
(UNAUDITED) 1994 (UNAUDITED) 1994
<S> <C> <C> <C> <C>
INCREASE (DECREASE) IN NET ASSETS:
OPERATIONS--
Net investment income $ 1,565,138 $ 3,572,438 $ 1,909,070 $ 4,223,185
Net realized gain (loss) on investments transactions (1,052,167) (1,963,565) (2,010,723) (1,629,372)
Change in net unrealized appreciation (depreciation)
of investments 1,499,586 (2,193,724) 3,126,905 (5,747,623)
--------------- --------------- --------------- ---------------
Change in net assets resulting from operations 2,012,557 (584,851) 3,025,252 (3,153,810)
--------------- --------------- --------------- ---------------
DISTRIBUTIONS TO SHAREHOLDERS--
Distributions to shareholders from net investment income:
Trust Shares (1,345,712) (3,054,920) (1,624,845) (3,318,862)
Investment Shares (189,265) (288,271) (299,169) (678,800)
Distributions to shareholders from net realized gain
on investments:
Trust Shares -- -- -- --
Investment Shares -- -- -- --
--------------- --------------- --------------- ---------------
Change in net assets from distributions to shareholders (1,534,977) (3,343,191) (1,924,014) (3,997,662)
--------------- --------------- --------------- ---------------
SHARE TRANSACTIONS--
Proceeds from sales of shares 6,045,927 32,878,138 5,993,093 21,327,554
Net asset value of shares issued to shareholders in payment
of distributions declared 77,339 172,029 251,466 587,902
Cost of shares redeemed (21,861,228) (37,573,157) (20,663,934) (22,391,852)
--------------- --------------- --------------- ---------------
Change in net assets resulting from Fund share transactions (15,737,962) (4,522,990) (14,419,375) (476,396)
--------------- --------------- --------------- ---------------
Change in net assets (15,260,382) (8,451,032) (13,318,137) (7,627,868)
NET ASSETS:
Beginning of period 62,406,423 70,857,455 68,583,343 76,211,211
--------------- --------------- --------------- ---------------
End of period $ 47,146,041 $ 62,406,423 $ 55,265,206 $ 68,583,343
=============== =============== =============== ---------------
Undistributed net investment income included in net assets
at end of period $ 142,322 $ 112,160 $ 101,257 $ 116,201
=============== =============== =============== ---------------
<CAPTION>
FIXED
INCOME FUND
SIX MONTHS
ENDED
APRIL 30, YEAR
1995 ENDED
(UNAUDITED) 1994
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS:
OPERATIONS--
Net investment income $ 2,776,796 $ 6,096,794
Net realized gain (loss) on investments transactions (2,478,856) (1,341,646)
Change in net unrealized appreciation (depreciation)
of investments 5,078,950 (10,853,861)
--------------- ---------------
Change in net assets resulting from operations 5,376,890 (6,098,713)
--------------- ---------------
DISTRIBUTIONS TO SHAREHOLDERS--
Distributions to shareholders from net investment income:
Trust Shares (2,488,247) (5,236,662)
Investment Shares (242,176) (559,260)
Distributions to shareholders from net realized gain
on investments:
Trust Shares -- (436,120)
Investment Shares -- (49,491)
--------------- ---------------
Change in net assets from distributions to shareholders (2,730,423) (6,281,533)
--------------- ---------------
SHARE TRANSACTIONS--
Proceeds from sales of shares 8,121,562 25,515,479
Net asset value of shares issued to shareholders in payment
of distributions declared 199,634 951,432
Cost of shares redeemed (16,251,989) (25,238,719)
--------------- ---------------
Change in net assets resulting from Fund share transactions (7,930,793) 1,228,192
--------------- ---------------
Change in net assets (5,284,326) (11,152,054)
NET ASSETS:
Beginning of period 90,882,514 102,034,568
--------------- ---------------
End of period $ 85,598,188 $ 90,882,514
=============== ===============
Undistributed net investment income included in net assets
at end of period $ 207,833 $ 161,460
=============== ===============
</TABLE>
THE SHAWMUT FUNDS
Statements of Changes in Net Assets--Continued
<TABLE>
<CAPTION>
MASSACHUSETTS
CONNECTICUT INTERMEDIATE INTERMEDIATE
MUNICIPAL MUNICIPAL
INCOME FUND INCOME FUND
SIX MONTHS SIX MONTHS
ENDED ENDED
APRIL 30, YEAR APRIL 30,
1995 ENDED 1995
(UNAUDITED) 1994 (UNAUDITED)
<S> <C> <C> <C>
INCREASE (DECREASE) IN NET ASSETS:
OPERATIONS--
Net investment income (loss) $ 177,658 $ 351,224 $ 162,310
Net realized gain (loss) on investment transactions (24,991) (180,165) (13,824)
Change in net unrealized appreciation (depreciation)
of investments 328,396 (631,282) 312,590
---------------- ---------------- ---------------
Change in net assets resulting from operations 481,063 (460,223) 461,076
---------------- ---------------- ---------------
DISTRIBUTIONS TO SHAREHOLDERS
Dividends to shareholders from net investment income:
Trust Shares -- -- --
Investment Shares (177,157) (336,798) (163,754)
Distributions to shareholders from net realized gain
on investments:
Trust Shares -- -- --
Investment Shares -- (6,714) --
---------------- ---------------- ---------------
Change in net assets from distributions to shareholders (177,157) (343,512) (163,754)
---------------- ---------------- ---------------
FUND SHARE (PRINCIPAL) TRANSACTIONS--
Proceeds from sales of shares 1,216,525 4,718,416 1,916,690
Net asset value of shares issued to shareholders in payment
of dividends declared 99,331 205,330 90,085
Cost of shares redeemed (1,325,647) (3,406,343) (693,656)
---------------- ---------------- ---------------
Change in net assets from Fund share transactions (9,791) 1,517,403 1,313,119
---------------- ---------------- ---------------
Change in net assets 294,115 713,668 1,610,441
NET ASSETS:
Beginning of period 8,001,512 7,287,844 6,567,998
---------------- ---------------- ---------------
End of period $ 8,295,627 $ 8,001,512 $ 8,178,439
---------------- ---------------- ---------------
---------------- ---------------- ---------------
Undistributed net investment income included in net assets
at end of period $ 17,099 $ 16,598 $ 5,948
---------------- ---------------- ---------------
---------------- ---------------- ---------------
<CAPTION>
MASSACHUSETTS GROWTH AND INCOME
INTERMEDIATE EQUITY FUND
MUNICIPAL SIX MONTHS
INCOME FUND ENDED
YEAR APRIL 30, YEAR
ENDED 1995 ENDED
1994 (UNAUDITED) 1994
<S> <C> <S> <C>
INCREASE (DECREASE) IN NET ASSETS:
OPERATIONS--
Net investment income (loss) $ 251,609 $ 2,222,788 $ 3,917,543
Net realized gain (loss) on investment transactions (42,418) 3,709,393 7,261,816
Change in net unrealized appreciation (depreciation)
of investments (573,616) 9,032,799 4,439,073
--------------- --------------- ---------------
Change in net assets resulting from operations (364,425) 14,964,980 15,618,432
--------------- --------------- ---------------
DISTRIBUTIONS TO SHAREHOLDERS
Dividends to shareholders from net investment income:
Trust Shares -- (2,056,955) (3,281,259)
Investment Shares (248,443) (282,266) (357,326)
Distributions to shareholders from net realized gain
on investments:
Trust Shares -- (6,867,304) (3,938,454)
Investment Shares -- (1,009,655) (459,878)
--------------- --------------- ---------------
Change in net assets from distributions to shareholders (248,443) (10,216,180) (8,036,917)
--------------- --------------- ---------------
FUND SHARE (PRINCIPAL) TRANSACTIONS--
Proceeds from sales of shares 4,291,184 30,057,842 45,022,703
Net asset value of shares issued to shareholders in payment
of dividends declared 138,571 8,140,865 4,732,196
Cost of shares redeemed (1,258,310) (18,280,520) (41,634,892)
--------------- --------------- ---------------
Change in net assets from Fund share transactions 3,171,445 19,918,187 8,120,007
--------------- --------------- ---------------
Change in net assets 2,558,577 24,666,987 15,701,522
NET ASSETS:
Beginning of period 4,009,421 179,071,132 163,369,610
--------------- --------------- ---------------
End of period $ 6,567,998 $ 203,738,119 $ 179,071,132
=============== =============== ===============
Undistributed net investment income included in net assets
at end of period $ 7,392 $ 187,662 $ 304,092
=============== ================ ===============
</TABLE>
(See Notes which are an integral part of the Financial Statements)
*For the period from August 4, 1994 (date of initial public investment) to
October 31, 1994.
<TABLE>
<CAPTION>
GROWTH EQUITY SMALL CAPITALIZATION
FUND EQUITY FUND
SIX MONTHS SIX MONTHS
ENDED ENDED
APRIL 30, YEAR APRIL 30, YEAR
1995 ENDED 1995 ENDED
(UNAUDITED) 1994 (UNAUDITED) 1994
<S> <C> <C> <C> <C>
INCREASE (DECREASE) IN NET ASSETS:
OPERATIONS--
Net investment income (loss) $ 145,612 $ 69,024 $ (13,554) $ 128,718
Net realized gain (loss) on investment transactions 1,047,080 (165,719) 4,746,440 6,221,566
Change in net unrealized appreciation (depreciation)
of investments (74,942) 974,203 2,135,278 (4,130,546)
--------------- --------------- --------------- ---------------
Change in net assets resulting from operations 1,117,750 877,508 6,868,164 2,219,738
--------------- --------------- --------------- ---------------
DISTRIBUTIONS TO SHAREHOLDERS
Dividends to shareholders from net investment income:
Trust Shares (103,974) (58,158) (65,107) (119,464)
Investment Shares (30,407) (1,090) -- (33)
Distributions to shareholders from net realized gain
on investments:
Trust Shares (306,318) (384,883) (5,187,645) (2,899,114)
Investment Shares (111,864) (93,684) (1,030,262) (466,043)
--------------- --------------- --------------- ---------------
Change in net assets from distributions to shareholders (552,563) (537,815) (6,283,014) (3,484,654)
--------------- --------------- --------------- ---------------
FUND SHARE (PRINCIPAL) TRANSACTIONS--
Proceeds from sales of shares 2,690,895 4,449,448 10,461,692 22,848,417
Net asset value of shares issued to shareholders in payment
of dividends declared 446,718 478,579 6,212,928 3,361,444
Cost of shares redeemed (5,284,848) (7,869,468) (12,353,627) (18,672,111)
--------------- --------------- --------------- ---------------
Change in net assets from Fund share transactions (2,147,235) (2,941,441) 4,320,993 7,537,750
--------------- --------------- --------------- ---------------
Change in net assets (1,582,048) (2,601,748) 4,906,143 6,272,834
NET ASSETS:
Beginning of period 22,816,344 25,418,092 121,668,818 115,395,984
--------------- --------------- --------------- ---------------
End of period $ 21,234,296 $ 22,816,344 $ 126,574,961 $ 121,668,818
=============== =============== =============== ===============
Undistributed net investment income included in net assets
at end of period $ 31,587 $ 20,356 -- $ 13,090
=============== =============== =============== ===============
<CAPTION>
QUANTITATIVE
EQUITY FUND
SIX MONTHS
ENDED
APRIL 30, PERIOD
1995 ENDED
(UNAUDITED) 1994*
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS:
OPERATIONS--
Net investment income (loss) $ 37,271 $ 22,716
Net realized gain (loss) on investment transactions (7,643) --
Change in net unrealized appreciation (depreciation)
of investments 221,073 7,259
--------------- ---------------
Change in net assets resulting from operations 250,701 29,975
--------------- ---------------
DISTRIBUTIONS TO SHAREHOLDERS
Dividends to shareholders from net investment income:
Trust Shares (33,412) (20,748)
Investment Shares (6,738) (1,294)
Distributions to shareholders from net realized gain
on investments:
Trust Shares -- --
Investment Shares -- --
--------------- ---------------
Change in net assets from distributions to shareholders (40,150) (22,042)
--------------- ---------------
FUND SHARE (PRINCIPAL) TRANSACTIONS--
Proceeds from sales of shares 713,922 3,577,118
Net asset value of shares issued to shareholders in payment
of dividends declared 8,622 2,580
Cost of shares redeemed (249,636) (51,364)
--------------- ---------------
Change in net assets from Fund share transactions 472,908 3,528,334
--------------- ---------------
Change in net assets 683,459 3,536,267
NET ASSETS:
Beginning of period 3,536,267 --
--------------- ---------------
End of period $ 4,219,726 $ 3,536,267
=============== ===============
Undistributed net investment income included in net assets
at end of period -- $ 1,355
=============== ===============
</TABLE>
Financial Highlights
(For a share outstanding throughout each period)
<TABLE>
NET REALIZED DIVIDENDS DISTRIBUTIONS
AND TO IN DISTRIBUTIONS TO
YEAR NET ASSET UNREALIZED SHAREHOLDERS EXCESS OF SHAREHOLDERS FROM
ENDED VALUE, NET GAIN/(LOSS) TOTAL FROM FROM NET NET NET REALIZED GAIN
OCTOBER BEGINNING INVESTMENT ON INVESTMENT INVESTMENT INVESTMENT ON INVESTMENT
31, OF PERIOD INCOME INVESTMENTS OPERATIONS INCOME INCOME TRANSACTIONS
<S> <C> <C> <C> <C> <C> <C> <C>
TRUST SHARES
<CAPTION>
PRIME MONEY MARKET FUND++
<S> <C> <C> <C> <C> <C> <C>
1993(a) $ 1.00 $ 0.02 $ -- $ 0.02 $ (0.02) $ -- $ --
1994 1.00 0.03 -- 0.03 (0.03) -- --
1995(f) 1.00 0.03 -- 0.03 (0.03) -- --
<CAPTION>
CONNECTICUT MUNICIPAL MONEY MARKET FUND
<S> <C> <C> <C> <C> <C> <C> <C>
1994(b) 1.00 0.02 -- 0.02 (0.02) -- --
1995(f) 1.00 0.02 -- 0.02 (0.02) -- --
<CAPTION>
MASSACHUSETTS MUNICIPAL MONEY MARKET FUND+
<S> <C> <C> <C> <C> <C> <C> <C>
1993(c) 1.00 0.001 -- 0.001 (0.001) -- --
1994 1.00 0.02 -- 0.02 -- -- --
1995(f) 1.00 0.02 -- 0.02 (0.02) -- --
<CAPTION>
LIMITED TERM INCOME FUND
<S> <C> <C> <C> <C> <C> <C> <C>
1993(a) 10.00 0.49 -- 0.49 (0.49) -- --
1994 10.00 0.52 (0.59) (0.07) (0.48) -- --
1995(f) 9.45 0.28 0.09 0.37 (0.27) -- --
<CAPTION>
INTERMEDIATE GOVERNMENT INCOME FUND
<S> <C> <C> <C> <C> <C> <C> <C>
1993(a) 10.00 0.52 0.26 0.78 (0.52) -- --
1994 10.26 0.54 (0.92) (0.38) (0.51) -- --
1995(f) 9.37 0.28 0.17 0.45 (0.28) -- --
<CAPTION>
FIXED INCOME FUND
<S> <C> <C> <C> <C> <C> <C> <C>
1993(a) 10.00 0.55 0.55 1.10 (0.55) -- --
1994 10.55 0.62 (1.22) (0.60) (0.58) -- (0.05)
1995(f) 9.32 0.32 0.27 0.59 (0.30) -- --
<CAPTION>
CONNECTICUT INTERMEDIATE MUNICIPAL INCOME FUND+
<S> <C> <C> <C> <C> <C> <C> <C>
1993(d) 10.00 0.13 0.24 0.37 (0.13) -- --
1994 10.24 0.42 (0.93) (0.51) (0.40) -- (0.01)
1995(f) 9.32 0.22 0.38 0.60 (0.22) -- --
<CAPTION>
MASSACHUSETTS INTERMEDIATE MUNICIPAL INCOME FUND+
<S> <C> <C> <C> <C> <C> <C> <C>
1993(d) 10.00 0.14 0.29 0.43 (0.13) -- --
1994 10.30 0.42 (0.99) (0.57) (0.42) -- --
1995(f) 9.31 0.22 0.42 0.64 (0.22) -- --
GROWTH AND INCOME EQUITY FUND
1993(a) 10.00 0.18 0.69 0.87 (0.18) -- --
1994 10.69 0.25 0.72 0.97 (0.23) -- (0.28)
1995(f) 11.15 0.13 0.71 0.84 (0.14) -- (0.49)
<CAPTION>
GROWTH EQUITY FUND
<S> <C> <C> <C> <C> <C> <C> C>
1993(a) 10.00 0.023 0.487 0.051 (0.019) -- --
1994 10.49 0.037 0.390 0.427 (0.032) -- (0.196)
1995(f) 10.69 0.08 0.46 0.54 (0.07) -- (0.20)
<CAPTION>
SMALL CAPITALIZATION EQUITY FUND
<S> <C> <C> <C> <C> <C> <C> <C>
1993(a) 10.00 0.002 1.210 1.212 (0.002) -- --
1994 11.21 0.02 0.17 0.19 (0.01) -- (0.32)
1995(f) 11.07 -- 0.57 0.57 -- (0.01) (0.57)
<CAPTION>
QUANTITATIVE EQUITY FUND
<S> <C> <C> <C> <C> <C> <C> <C>
1994(e) 10.03 0.07 0.03 0.10 (0.07) -- --
1995(f) 10.06 0.09 0.50 0.59 (0.10) -- --
</TABLE>
(a) For the period from December 14, 1992 (date of initial public investment) to
October 31, 1993.
(b) For the period from December 16, 1993 (date of initial public investment) to
October 31, 1993.
(c) For the period from October 5, 1993 (date of initial public investment) to
October 31, 1993.
(d) For the period from June 17, 1993 (date of initial public investment) to
October 31, 1993.
(e) For the period from August 4, 1994 (date of initial public investment) to
October 31, 1994.
(f) For the six months ended April 30, 1995 (unaudited).
36
<TABLE>
<CAPTION>
NET ASSETS,
YEAR END
ENDED NET ASSET NET OF PERIOD PORTFOLIO
OCTOBER TOTAL VALUE, END TOTAL INVESTMENT EXPENSE WAIVER/ (000 TURNOVER
31, DISTRIBUTIONS OF PERIOD RETURN* EXPENSES INCOME REIMBURSEMENT*** OMITTED) RATE
<S> <C> <C> <C> <C> <C> <C> <C> <C>
TRUST SHARES
<CAPTION>
PRIME MONEY MARKET FUND++
<S> <C> <C> <C> <C> <C> <C> <C> <C>
1993(a) ($ 0.02) $ 1.00 2.41% 0.58%** 2.71%** 0.12%** $ 257,851 --
1994 (0.03) 1.00 3.54% 0.43% 3.58% 0.29% 499,319 --
1995(f) (0.03) 1.00 2.70% 0.45%** 5.41%** 0.22%** 577,521 --
<CAPTION>
CONNECTICUT MUNICIPAL MONEY MARKET FUND
<S> <C> <C> <C> <C> <C> <C> <C> <C>
1994(b) (0.02) 1.00 2.08% 0.53% 2.24% 0.47% 34,354 --
1995(f) (0.02) 1.00 1.55% 0.56%** 3.08%** 0.25%** 32,060 --
<CAPTION>
MASSACHUSETT MUNICIPAL MONEY MARKET FUND+
<S> <C> <C> <C> <C> <C> <C> <C> <C>
1993(c) (0.001) 1.00 0.12% 0.11%** 2.75%** 35.31%** 1,237 --
1994 (0.02) 1.00 1.99% 0.53% 2.00% 0.68% 31,516 --
1995(f) (0.02) 1.00 1.58% 0.56%** 3.17%** 0.58%** 34,248 --
<CAPTION>
LIMITED TERM INCOME FUND
<S> <C> <C> <C> <C> <C> <C> <C> <C>
1993(a) (0.49) 10.00 5.02% 0.88%** 5.54%** 0.23%** 66,998 53%
1994 (0.48) 9.45 (0.69%) 1.03%** 5.26% 0.23% 55,187 144%
1995(f) (0.27) 9.55 4.01% 1.13%** 5.79%** 0.21%** 40,480 81%
<CAPTION>
INTERMEDIATE GOVERNMENT INCOME FUND
<S> <C> <C> <C> <C> <C> <C> <C> <C>
1993(a) (0.52) 10.26 7.97% 0.88%** 5.83%** 0.26%** 62,399 30%
1994 (0.51) 9.37 (3.75%) 1.01% 5.54% 0.23% 57,551 84%
1995(f) (0.28) 9.54 4.92% 1.11%** 5.98%** 0.18%** 45,143 64%
<CAPTION>
FIXED INCOME FUND
<S> <C> <C> <C> <C> <C> <C> <C> <C>
1993(a) (0.55) 10.55 11.26% 0.85%** 6.06%** 0.22%** 92,485 33%
1994 (0.63) 9.32 (5.85%) 0.94% 6.20% 0.24% 82,468 73%
1995(f) (0.30) 9.61 6.43% 1.00%** 6.48%** 0.21%** 77,576 56%
<CAPTION>
CONNECTICUT INTERMEDIATE MUNICIPAL INCOME FUND+
<S> <C> <C> <C> <C> <C> <C> <C> <C>
1993(d) (0.13) 10.24 3.75% 0.50%** 3.80%** 2.33%** 7,288 8%
1994 (0.41) 9.32 (5.17%) 0.48% 4.23% 2.61% 8,002 59%
1995(f) (0.22) 9.70 6.47% 0.50%** 4.57%** 2.40%** 8,296 3%
<CAPTION>
MASSACHUSETT INTERMEDIATE MUNICIPAL INCOME FUND+
<S> <C> <C> <C> <C> <C> <C> <C> <C>
1993(d) (0.13) 10.30 4.35% 0.50%** 4.07%** 3.57%** 4,009 0%
1994 (0.42) 9.31 (5.71%) 0.51% 4.35% 3.70% 6,568 41%
1995(f) (0.22) 9.73 6.99% 0.50%** 4.69%** 2.14%** 8,178 7%
<CAPTION>
GROWTH AND INCOME EQUITY FUND
<S> <C> <C> <C> <C> <C> <C> <C> <C>
1993(a) (0.18) 10.69 8.80% 0.98%** 2.11%** 0.27%** 147,090 38%
1994 (0.51) 11.15 9.45% 1.04% 2.31% 0.20% 156,827 73%
1995(f) (0.63) 11.36 8.09% 1.06%** 2.43%** 0.22%** 171,927 20%
<CAPTION>
GROWTH EQUITY FUND
<S> <C> <C> <C> <C> <C> <C> <C> <C>
1993(a) (0.019) 10.49 5.09% 1.06%** 0.26%** 0.47%** 20,787 71%
1994 (0.228) 10.69 4.16% 1.18% 0.34% 0.93% 16,970 73%
1995(f) (0.27) 10.96 5.24% 1.21%** 1.39%** 1.07%** 14,584 130%
<CAPTION>
SMALL CAPITALIZATION EQUITY FUND
<S> <C> <C> <C> <C> <C> <C> <C> <C>
1993(a) (0.002) 11.21 12.12% 1.01%** 0.02%** 0.28%** 100,382 29%
1994 (0.33) 11.07 1.86% 1.06% 0.15% 0.28% 101,905 29%
1995(f) (0.58) 11.06 5.74% 1.15%** 0.02%** 0.26%** 105,141 13%
<CAPTION>
QUANTITATIVE
<S> <C> <C> <C> <C> <C> <C> <C> <C>
1994(e) (0.07) 10.06 0.94% 1.50%** 2.75%** 7.12%** 3,161 0%
1995(f) (0.10) 10.55 5.96% 1.50%** 1.94%** 3.21%** 3,345 8%
</TABLE>
+ Massachusetts Municipal Money Market Fund, Connecticut Intermediate Municipal
Income Fund, and Massachusetts Intermediate Municipal Income Fund sell their
shares without class designation.
++ For the period from October 21, 1992 (start of business) to
December 13, 1992, net investment income aggregating $0.004 per share
($400) was distributed to Federated Administrative Services.
* Based on net asset value, which does not reflect the sales load or contingent
deferred sales charge, if applicable.
** Computed on an annualized basis.
*** This voluntary expense decrease is reflected in both the expense and net
investment income ratios shown above.
(See Notes which are an integral part of the Financial Statements)
Financial Highlights
(For a share outstanding throughout each period)
<TABLE>
<CAPTION>
NET REALIZED DIVIDENDS
AND TO DISTRIBUTIONS TO
YEAR NET ASSET UNREALIZED SHAREHOLDERS SHAREHOLDERS FROM
ENDED VALUE, NET GAIN/(LOSS) TOTAL FROM FROM NET NET REALIZED GAIN
OCTOBER BEGINNING INVESTMENT ON INVESTMENT INVESTMENT ON INVESTMENT TOTAL
31, OF PERIOD INCOME INVESTMENTS OPERATIONS INCOME TRANSACTIONS DISTRIBUTIONS
<S> <C> <C> <C> <C> <C> <C> <C>
INVESTMENT SHARES
<CAPTION>
PRIME MONEY MARKET FUND
<S> <C> <C> <C> <C> <C> <C> <C>
1993(a) $ 1.00 $ 0.02 $ -- $ 0.02 $ (0.02) $ -- $ (0.02)
1994 1.00 0.03 -- 0.03 (0.03) -- (0.03)
1995(f) 1.00 0.03 -- 0.03 (0.03) -- (0.03)
<CAPTION>
CONNECTICUT MUNICIPAL MONEY MARKET FUND
<S> <C> <C> <C> <C> <C> <C> <C>
1993(b) 1.00 0.001 -- 0.001 (0.001) -- (0.001)
1994 1.00 0.02 -- 0.02 (0.02) -- (0.02)
1995(f) 1.00 0.01 -- 0.01 (0.01) -- (0.01)
<CAPTION>
MASSACHUSETTS MUNICIPAL MONEY MARKET FUND+
<S> <C> <C> <C> <C> <C> <C> <C>
1993(c) 1.00 0.001 -- 0.001 (0.001) -- (0.001)
1994 1.00 0.02 -- 0.02 -- -- (0.02)
1995(f) 1.00 0.02 -- 0.02 (0.02) -- (0.02)
<CAPTION>
LIMITED TERM INCOME FUND
<S> <C> <C> <C> <C> <C> <C> <C>
1993(a) 10.09 0.34 (0.09) 0.25 (0.34) -- (0.34)
1994 10.00 0.49 (0.58) (0.09) (0.46) -- (0.46)
1995(f) 9.45 0.26 0.10 0.36 (0.26) (0.26)
<CAPTION>
INTERMEDIATE GOVERNMENT INCOME FUND
<S> <C> <C> <C> <C> <C> <C> <C>
1993(a) 10.18 0.37 0.08 0.45 (0.37) -- (0.37)
1994 10.26 0.52 (0.92) (0.40) (0.49) -- (0.49)
1995(f) 9.37 0.27 0.17 0.44 (0.27) -- (0.27)
<CAPTION>
FIXED INCOME FUND
<S> <C> <C> <C> <C> <C> <C> <C>
1993(a) 10.23 0.40 0.31 0.71 (0.39) -- (0.39)
1994 10.55 0.59 (1.21) (0.62) (0.56) (0.05) (0.61)
1995(f) 9.32 0.30 0.28 0.58 (0.29) -- (0.29)
<CAPTION>
CONNECTICUT INTERMEDIATE MUNICIPAL INCOME FUND+
<S> <C> <C> <C> <C> <C> <C> <C>
1993(d) 10.00 0.13 0.24 0.37 (0.13) -- (0.13)
1994 10.24 0.42 (0.93) (0.51) (0.40) (0.01) (0.41)
1995(f) 9.32 0.22 0.38 0.60 (0.22) -- (0.22)
<CAPTION>
MASSACHUSETTS INTERMEDIATE MUNICIPAL INCOME FUND+
<S> <C> <C> <C> <C> <C> <C> <C>
1993(d) 10.00 0.14 0.29 0.43 (0.13) -- (0.13)
1994 10.30 0.42 (0.99) (0.57) (0.42) -- (0.42)
1995(f) 9.31 0.22 0.42 0.64 (0.22) -- (0.22)
GROWTH AND INCOME EQUITY FUND
1993(a) 10.23 0.15 0.48 0.63 (0.17) -- (0.17)
1994 10.69 0.22 0.72 0.94 (0.20) (0.28) (0.48)
1995(f) 11.15 0.12 0.71 0.83 (0.13) (0.49) (0.62)
<CAPTION>
GROWTH EQUITY FUND
<S> <C> <C> <C> <C> <C> <C> <C>
1993(a) 10.01 0.004 0.480 (0.484) (0.004) -- (0.004)
1994 10.49 0.010 0.390 0.400 (0.002) (0.196) (0.198)
1995(f) 10.69 0.06 0.45 0.51 (0.05) (0.20) (0.25)
<CAPTION>
SMALL CAPITALIZATION EQUITY FUND
<S> <C> <C> <C> <C> <C> <C> <C>
1993(a) 10.52 (0.008) 0.698 0.690 0.000 -- 0.000
1994 11.21 (0.01) 0.18 0.17 0.00 (0.32) (0.32)
1995(f) 11.06 (0.01) 0.56 0.55 -- (0.57) (0.57)
<CAPTION>
QUANTITATIVE EQUITY FUND
<S> <C> <C> <C> <C> <C> <C> <C>
1994(e) 10.03 0.07 0.03 0.10 (0.07) -- (0.07)
1995(f) 10.06 0.08 0.49 0.57 (0.09) -- (0.09)
</TABLE>
(a) For the period from February 12, 1993 (date of initial public offering) to
October 31, 1993.
(b) For the period from October 4, 1993 (date of initial public investment) to
October 31, 1993.
(c) For the period from October 5, 1993 (date of initial public investment) to
October 31, 1993.
(d) For the period from June 17, 1993 (date of initial public investment) to
October 31, 1993.
(e) For the period from August 4, 1994 (date of initial public investment) to
October 31, 1994.
(f) For the six months ended April 30, 1995 (unaudited).
<TABLE>
<CAPTION>
NET ASSETS,
YEAR END
ENDED NET ASSET NET OF PERIOD PORTFOLIO
OCTOBER VALUE, END TOTAL INVESTMENT EXPENSE WAIVER/ (000 TURNOVER
31, OF PERIOD RETURN* EXPENSES INCOME REIMBURSEMENT*** OMITTED) RATE
<S> <C> <C> <C> <C> <C> <C> <C>
INVESTMENT SHARES
<CAPTION>
PRIME MONEY MARKET FUND
<S> <C> <C> <C> <C> <C> <C> <C>
1993(a) $ 1.00 1.73% 0.85%** 2.36%** 0.37%** $ 28,758 --
1994 1.00 3.28% 0.68% 3.33% 0.54% 156,192 --
1995(f) 1.00 2.58% 0.70%** 5.18%** 0.47%** 207,428 --
<CAPTION>
CONNECTICUT MUNICIPAL MONEY MARKET FUND
<S> <C> <C> <C> <C> <C> <C> <C>
1993(b) 1.00 0.14% 0.36%** 2.12%** 5.46%** 6,582 --
1994 1.00 1.83% 0.78% 1.99% 0.72% 80,663 --
1995(f) 1.00 1.43% 0.81%** 2.83%** 0.50%** 70,018 --
<CAPTION>
MASSACHUSETT MUNICIPAL MONEY MARKET FUND+
<S> <C> <C> <C> <C> <C> <C> <C>
1993(c) 1.00 0.12% 0.11%** 2.75%** 35.31%** 1,237 --
1994 1.00 1.99% 0.53% 2.00% 0.68% 31,516 --
1995(f) 1.00 1.58% 0.56%** 3.17%** 0.58%** 34,248 --
<CAPTION>
LIMITED TERM INCOME FUND
<S> <C> <C> <C> <C> <C> <C> <C>
1993(a) 10.00 2.57% 1.13%** 5.07%** 0.48%** 3,859 53%
1994 9.45 (0.96%) 1.28% 5.01% 0.48% 7,219 144%
1995(f) 9.55 3.88% 1.38%** 5.56%** 0.46%** 6,666 81%
<CAPTION>
INTERMEDIATE GOVERNMENT INCOME FUND
<S> <C> <C> <C> <C> <C> <C> <C>
1993(a) 10.26 4.45% 1.15%** 5.41%** 0.50%** 13,812 30%
1994 9.37 (3.99%) 1.26% 5.29% 0.48% 11,032 84%
1995(f) 9.54 4.79% 1.36%** 5.73%** 0.43%** 10,122 64%
<CAPTION>
FIXED INCOME FUND
<S> <C> <C> <C> <C> <C> <C> <C>
1993(a) 10.55 7.02% 1.12%** 5.61%** 0.48%** 9,550 33%
1994 9.32 (6.08%) 1.19% 5.95% 0.49% 8,414 73%
1995(f) 9.61 6.29% 1.25%** 6.23%** 0.46%** 8,022 56%
<CAPTION>
CONNECTICUT INTERMEDIATE MUNICIPAL INCOME FUND+
<S> <C> <C> <C> <C> <C> <C> <C>
1993(d) 10.24 3.75% 0.50%** 3.80%** 2.33%** 7,288 8%
1994 9.32 (5.17%) 0.48% 4.23% 2.61% 8,002 59%
1995(f) 9.70 6.47% 0.50%** 4.57%** 2.40%** 8,296 3%
<CAPTION>
MASSACHUSETTS INTERMEDIATE MUNICIPAL INCOME FUND+
<S> <C> <C> <C> <C> <C> <C> <C>
1993(d) 10.30 4.35% 0.50%** 4.07%** 3.57%** 4,009 0%
1994 9.31 (5.71%) 0.51% 4.35% 3.70% 6,568 41%
1995(f) 9.73 6.99% 0.50%** 4.69%** 2.14%** 8,178 7%
<CAPTION>
GROWTH AND INCOME EQUITY FUND
<S> <C> <C> <C> <C> <C> <C> <C>
1993(a) 10.69 6.20% 1.25%** 1.77%** 0.53%** 16,280 38%
1994 11.15 9.12% 1.29% 2.06% 0.45% 22,244 73%
1995(f) 11.36 7.94% 1.31%** 2.18%** 0.47%** 31,811 20%
<CAPTION>
GROWTH EQUITY FUND
<S> <C> <C> <C> <C> <C> <C> <C>
1993(a) 10.49 4.84% 1.37%** (0.10%)** 0.72%** 4,631 71%
1994 10.69 3.86% 1.43% 0.09% 1.18% 5,846 73%
1995(f) 10.95 5.00% 1.46%** 1.14%** 1.32%** 6,650 130%
<CAPTION>
SMALL CAPITALIZATION EQUITY FUND
<S> <C> <C> <C> <C> <C> <C> <C>
1993(a) 11.21 6.56% 1.33%** (0.19%)** 0.54%** 15,014 29%
1994 11.06 1.64% 1.31% (0.10%) 0.53% 19,764 29%
1995(f) 11.04 5.58% 1.40%** (0.23%)** 0.51%** 21,434 13%
<CAPTION>
QUANTITATIVE EQUITY FUND
<S> <C> <C> <C> <C> <C> <C> <C>
1994(e) 10.06 0.94% 1.75%** 2.50%** 7.37%** 375 0%
1995(f) 10.54 5.71% 1.75%** 1.69%** 3.46%** 875 8%
</TABLE>
+ Massachusetts Municipal Money Market Fund, Connecticut Intermediate Municipal
Income Fund, and Massachusetts Intermediate Municipal Income Fund sell their
shares without class designation.
* Based on net asset value, which does not reflect the sales load or contingent
deferred sales charge, if applicable.
** Computed on an annualized basis.
*** This voluntary expense decrease is reflected in both the expense and net
investment income ratios shown above.
(See Notes which are an integral part of the Financial Statements)
THE SHAWMUT FUNDS
NOTES TO FINANCIAL STATEMENTS
April 30, 1995 (unaudited)
(1) ORGANIZATION
The Shawmut Funds (the "Trust") is registered under the Investment Company Act
of 1940, as amended (the "Act"), as an open-end management investment company.
The Trust consists of eight diversified portfolios and four non-diversified
portfolios (individually referred to as the "Fund," or collectively as the
"Funds") at April 30, 1995, as follows:
Shawmut Prime Money Market Fund ("Prime Money Market Fund")
Shawmut Connecticut Municipal Money Market Fund ("Connecticut Municipal Money
Market Fund")*
Shawmut Massachusetts Municipal Money Market Fund ("Massachusetts Municipal
Money Market Fund")*
Shawmut Limited Term Income Fund ("Limited Term Income Fund")
Shawmut Intermediate Government Income Fund ("Intermediate Government Income
Fund")
Shawmut Fixed Income Fund ("Fixed Income Fund")
Shawmut Connecticut Intermediate Municipal Income Fund ("Connecticut
Intermediate Municipal Income Fund")*
Shawmut Massachusetts Intermediate Municipal Income Fund ("Massachusetts
Intermediate Municipal Income Fund")*
Shawmut Growth and Income Equity Fund ("Growth and Income Equity Fund")
Shawmut Growth Equity Fund ("Growth Equity Fund")
Shawmut Small Capitalization Equity Fund ("Small Capitalization Equity Fund")
Shawmut Quantitative Equity Fund ("Quantitative Equity Fund")
-----------
*non-diversified portfolios
All portfolios, except Massachusetts Municipal Money Market Fund, Connecticut
Intermediate Municipal Income Fund, and Massachusetts Intermediate Municipal
Income Fund, provide two classes of shares: Investment Shares and Trust
Shares. Shares of Massachusetts Municipal Money Market Fund, Connecticut
Intermediate Municipal Income Fund, and Massachusetts Intermediate Municipal
Income Fund are offered without class designation. The assets of each Fund are
segregated and a shareholder's interest is limited to the Fund in which shares
are held.
(2) SIGNIFICANT ACCOUNTING POLICIES
The following is a summary of significant accounting policies consistently
followed by each Fund in the preparation of its financial statements. These
policies are in conformity with generally accepted accounting principles.
INVESTMENT VALUATIONS--Municipal bonds are valued by an independent
pricing service, taking into consideration yield, liquidity, risk, credit
quality, coupon, maturity, type of issue, and any other factors or market
data the pricing service deems relevant in determining valuations for
normal institutional size trading units of debt securities. The
independent pricing service does not rely exclusively on quoted prices.
Listed equity securities are valued at the last sale price reported on
national securities exchanges. Listed corporate bonds (and other
fixed-income and asset-backed securities), unlisted securities (and other
fixed-income and asset-backed securities and/or private placements), and
short-term securities are valued at the prices provided by an independent
pricing service. U.S. Government securities are generally valued at the
bid prices as furnished by an independent pricing service. Short-term
securities with remaining maturities of sixty days or less at the time of
purchase may be valued at amortized cost, which approximates fair market
value. The use of the amortized cost method by Prime Money Market Fund,
Connecticut Municipal Money Market Fund, and Massachusetts Municipal Money
Market Fund to value portfolio securities is in accordance with Rule 2a-7
under the Act. Investments in other open-end investment companies are
valued at net asset value.
REPURCHASE AGREEMENTS--It is the policy of the Funds to require the
custodian bank to take possession, to have legally segregated in the
Federal Reserve Book Entry System, or to have segregated within the
custodian bank's vault, all securities held as collateral under repurchase
agreement transactions. Additionally, procedures have been established by
the Funds to monitor, on a daily basis, the market value of each
repurchase agreement's collateral to ensure that the value of collateral
at least equals the repurchase price to be paid under the repurchase
agreement transaction.
The Funds will only enter into repurchase agreements with banks and other
recognized financial institutions, such as broker/dealers, which are
deemed by the Funds' adviser to be creditworthy pursuant to the guidelines
and/or standards reviewed or established by the Board of Trustees (the
"Trustees").
Risks may arise from the potential inability of counterparties to honor
the terms of the repurchase agreement. Accordingly, the Funds could
receive less than the repurchase price on the sale of collateral
securities.
INVESTMENT INCOME, EXPENSES AND DISTRIBUTIONS--Dividend income and
distributions to shareholders are recorded on the ex-dividend date.
Interest income and expenses are accrued daily. Bond premium and discount,
if applicable, are amortized as required by the Internal Revenue Code, as
amended (the "Code").
FEDERAL TAXES--It is the Funds' policy to comply with the provisions of
the Code applicable to regulated investment companies and to distribute to
shareholders each year substantially all of their income. Accordingly, no
provisions for federal tax are necessary.
At October 31, 1994, certain of The Shawmut Funds, for federal tax
purposes, had capital loss carryforwards, which will reduce the Funds'
taxable income arising from future net realized gain on investments, if
any, to the extent permitted by the Code, and thus will reduce the amount
of the distributions to shareholders which would otherwise be necessary to
relieve the Funds of any liability for federal tax. Capital loss
carryforwards were as follows:
<TABLE>
<CAPTION>
1994 1993
Carryforwards Carryforwards
to Expire in to Expire in
2002 2001
<S> <C> <C>
Limited Term Income Fund $ 1,797,977 $ 166,802
Intermediate Government Income Fund 1,515,800 --
Fixed Income Fund 1,024,854 --
Connecticut Intermediate Municipal Income Fund 180,165 --
Massachusetts Intermediate Municipal Income Fund 42,418 --
</TABLE>
WHEN-ISSUED AND DELAYED DELIVERY TRANSACTIONS--The Funds may engage in
when-issued or delayed delivery transactions. The Funds record when-issued
securities on the trade date and maintain security positions such that
sufficient liquid assets will be available to make payment for the
securities purchased. Securities purchased on a when-issued or delayed
delivery basis are marked to market daily and begin earning interest on
the settlement date.
DEFERRED EXPENSES--The costs incurred by each Fund with respect to
registration of its shares in its first fiscal year, excluding the initial
expense of registering its shares, have been deferred and are being
amortized using the straight-line method not to exceed a period of five
years from each Fund's commencement date.
OPTION CONTRACTS--Limited Term Income Fund may write or purchase option
contracts. A written option obligates the Fund to deliver (a call), or to
receive (a put), the contract amount upon exercise by the holder of the
option. The value of the option contract written is recorded as a
liability and unrealized gain or loss is measured by the difference
between the current value and the premium received.
Written option transactions during the period are summarized as follows:
<TABLE>
<CAPTION>
Proceeds* 10/31/94 Opened Exercised Closed
<S> <C> <C> <C> <C> <C>
Limited Term Income Fund $ 16,131 0 50 0 50
<CAPTION>
Expired 4/30/95
<S> <C> <C> <C>
Limited Term Income Fund 0 0
</TABLE>
*Represents premium received less commissions paid.
RECLASSIFICATION--During the fiscal year ended October 31, 1994, The
Shawmut Funds adopted Statement of Position
93-2, Determination, Disclosure and Financial Statement Presentation of
Income, Capital Gain and Return of Capital Distributions by Investment
Companies ("SOP 93-2"). Permanent book and tax differences, which resulted
from non-deductible organizational expenses, have been reclassified from
undistributed net investment income to paid in capital in accordance with
SOP 93-2. In addition, permanent book and tax differences resulting from
the treatment of paydowns on mortgage-backed securities have been
reclassified from accumulated net realized gain (loss) on investments to
undistributed net investment income. Undistributed net investment income
and accumulated net realized gain (loss) on investments have been adjusted
to reflect the tax nature of distributions. Adjustments to paid in capital
have been made to reflect a prior year tax return of capital which
resulted from distributions in excess of the aggregate amount of taxable
income. Net investment income, net realized gain (loss) on investments,
and net assets were not affected by these changes. These reclassifications
have been made in accordance with SOP 93-2 as follows:
<TABLE>
<CAPTION>
Prior
year
Return of Organizational
Capital Distributions Paydowns Expenses
<S> <C> <C> <C> <C>
Limited Term Income Fund $ 141,666 $ -- $ 263,602 $ 3,846
Intermediate Government Income Fund 23,625 91,351 259,295 4,252
Fixed Income Fund -- 122,993 319,371 4,196
Connecticut Intermediate Municipal Income Fund -- -- -- 1,746
Massachusetts Intermediate Municipal Income Fund -- -- -- 1,789
Growth and Income Equity Fund -- -- -- 4,170
Growth Equity Fund -- -- -- 4,014
Small Capitalization Equity Fund -- 7,435 -- 3,869
Quantitative Equity Fund -- -- -- 681
</TABLE>
OTHER--Investment transactions are accounted for on the trade date.
(3) SHARES OF BENEFICIAL INTEREST
The Declaration of Trust permits the Trustees to issue an unlimited number of
full and fractional shares of beneficial interest (without par value) for each
class of shares. Transactions in Fund shares were as follows:
<TABLE>
<CAPTION>
Connecticut Massachusetts
Municipal Municipal
Prime Money Money Market Money Market
Market Fund Fund Fund
Six Months Year Six Months Year Six Months Year
Ended Ended Ended Ended Ended Ended
April 30, October 31, April 30, October 31, April 30, October 31,
1995 1994 1995 1994 1995 1994
<S> <C> <C> <C> <C> <C> <C>
TRUST SHARES
Shares sold 352,027,998 1,096,945,804 29,009,494 73,243,617 -- --
Shares issued to shareholders in
payment of distributions declared -- -- -- 18 -- --
Shares redeemed (273,825,981) (855,478,380) (31,303,587) (38,889,769) -- --
------------- ------------- ----------- ------------ ----------- -----------
78,202,017 241,467,424 (2,294,093) 34,353,866 -- --
------------- ------------- ----------- ------------ ----------- -----------
INVESTMENT SHARES
Shares sold 195,114,771 261,234,391 47,037,569 141,628,012 48,176,856 74,726,599
Shares issued to shareholders in
payment of distributions declared 5,197,223 2,374,746 1,102,312 845,995 277,532 282,954
Shares redeemed (149,076,015) (136,175,703) (58,784,269) (68,393,132) (45,722,598) (44,730,008)
------------- ------------- ----------- ------------ ----------- -----------
51,235,979 127,433,434 (10,644,388) 74,080,875 2,731,790 30,279,545
------------- ------------- ----------- ------------ ----------- -----------
Net change resulting from share
transactions 129,437,996 368,900,858 (12,938,481) 108,434,741 2,731,790 30,279,545
------------- ------------- ----------- ------------ ----------- -----------
------------- ------------- ----------- ------------ ----------- -----------
</TABLE>
<TABLE>
<CAPTION>
For the Six Months Ended April 30, 1995:
Limited Term Intermediate Government
Income Fund Income Fund Fixed Income Fund
Shares Amount Shares Amount Shares Amount
<S> <C> <C> <C> <C> <C> <C>
TRUST SHARES
Shares sold 604,244 $ 5,678,055 566,604 $ 5,300,355 769,762 $ 7,250,717
Shares issued to shareholders in
payment of distributions declared -- -- -- -- -- --
Shares redeemed (2,203,964) (20,797,897) (1,977,094) (18,637,876) (1,549,099) (14,545,750)
---------- ------------- ---------- ------------- ---------- -------------
1,599,720 (15,119,842) (1,410,490) (13,337,521) (779,337) (7,295,033)
---------- ------------- ---------- ------------- ---------- -------------
INVESTMENT SHARES
Shares sold 38,891 367,874 73,846 692,738 91,847 870,845
Shares issued to shareholders in
payment of distributions declared 8,216 77,337 26,873 251,466 21,252 199,634
Shares redeemed (112,922) (1,063,331) (216,506) (2,026,058) (181,860) (1,706,239)
---------- ------------- ---------- ------------- ---------- -------------
(65,815) (618,120) (115,787) (1,081,854) (68,761) (635,760)
---------- ------------- ---------- ------------- ---------- -------------
Net change resulting from share
transactions (1,667,535) ($15,737,962) (1,526,277) ($14,419,375) (848,098) ($ 7,930,793)
========== ============= ========== ============= ========== =============
</TABLE>
<TABLE>
<CAPTION>
For the Year Ended October 31, 1994:
Limited Term Intermediate Government
Income Fund Income Fund Fixed Income Fund
Shares Amount Shares Amount Shares Amount
<S> <C> <C> <C> <C> <C> <C>
TRUST SHARES
Shares sold 2,767,724 $ 27,063,722 1,773,695 $ 17,669,269 2,241,082 $ 22,256,955
Shares issued to shareholders in
payment of distributions declared -- -- -- -- 42,297 436,081
Shares redeemed (3,627,778) (35,273,732) (1,713,155) (16,642,730) (2,198,827) (21,589,033)
---------- ------------- ---------- ------------- ---------- -------------
(860,054) (8,210,010) 60,540 1,026,539 84,552 1,104,003
---------- ------------- ---------- ------------- ---------- -------------
INVESTMENT SHARES
Shares sold 598,969 5,814,416 362,801 3,658,285 320,868 3,258,524
Shares issued to shareholders in
payment of distributions declared 17,756 172,029 60,087 587,902 52,197 515,351
Shares redeemed (238,838) (2,299,425) (592,453) (5,749,122) (375,060) (3,649,686)
---------- ------------- ---------- ------------- ---------- -------------
377,887 3,687,020 (169,565) (1,502,935) (1,995) 124,189
---------- ------------- ---------- ------------- ---------- -------------
Net change resulting from share
transactions (482,167) ($4,522,990) (109,025) ($ 476,396) 82,557 $ 1,228,192
========== ============= ========== ============= ========== =============
</TABLE>
<TABLE>
<CAPTION>
For the Six Months Ended April 30, 1995:
Connecticut Massachusetts
Intermediate Intermediate Growth and Income
Municipal Income Fund Municipal Income Fund Equity Fund
Shares Amount Shares Amount Shares Amount
<S> <C> <C> <C> <C> <C> <C>
TRUST SHARES
Shares sold -- -- -- -- 1,924,817 $ 20,797,922
Shares issued to shareholders in
payment of distributions declared -- -- -- -- 667,376 6,867,303
Shares redeemed -- -- -- -- (1,521,304) (16,542,464)
--------- ----------- --------- ----------- ---------- -------------
-- -- -- -- 1,070,889 11,122,761
--------- ----------- --------- ----------- ---------- -------------
INVESTMENT SHARES
Shares sold 128,599 $ 1,216,525 200,586 $ 1,916,690 844,360 9,259,920
Shares issued to shareholders in
payment of distributions declared 10,508 99,331 9,531 90,085 122,847 1,273,562
Shares redeemed (142,343) (1,325,647) (74,967) (693,656) (161,158) (1,738,056)
--------- ----------- --------- ----------- ---------- -------------
(3,236) (9,791) 135,150 1,313,119 806,049 8,795,426
--------- ----------- --------- ----------- ---------- -------------
Net change resulting from share transactions (3,236) ($ 9,791) 135,150 $ 1,313,119 1,876,938 $ 19,918,187
========= =========== ========= =========== ========== =============
</TABLE>
<TABLE>
<CAPTION>
For the Year Ended October 31, 1994:
Connecticut Massachusetts
Intermediate Intermediate Growth and Income
Municipal Income Fund Municipal Income Fund Equity Fund
Shares Amount Shares Amount Shares Amount
<S> <C> <C> <C> <C> <C> <C>
TRUST SHARES
Shares sold -- -- -- -- 3,516,115 $ 37,606,058
Shares issued to shareholders in payment
of distributions declared -- -- -- -- 377,823 3,936,919
Shares redeemed -- -- -- -- (3,589,377) (38,467,504)
--------- ----------- --------- ----------- ----------- -------------
-- -- -- -- 304,561 3,075,473
--------- ----------- --------- ----------- ----------- -------------
INVESTMENT SHARES
Shares sold 473,934 $ 4,718,416 431,195 $ 4,291,184 692,705 7,416,645
Shares issued to shareholders in payment
of distributions declared 20,919 205,330 14,141 138,571 75,351 795,277
Shares redeemed (348,269) (3,406,343) (129,428) (1,258,310) (296,338) (3,167,388)
--------- ----------- --------- ----------- ----------- -------------
146,584 1,517,403 315,908 3,171,445 471,718 5,044,534
--------- ----------- --------- ----------- ----------- -------------
Net change resulting from share transactions 146,584 $ 1,517,403 315,908 $ 3,171,445 776,279 $ 8,120,007
========= =========== ========= =========== =========== =============
</TABLE>
<TABLE>
<CAPTION>
For the Six Months Ended April 30, 1995:
Small Capitalization Quantitative
Growth Equity Fund Equity Fund Equity Fund
Shares Amount Shares Amount Shares Amount
<S> <C> <C> <C> <C> <C> <C>
TRUST SHARES
Shares sold 168,975 $ 1,757,055 773,431 $ 8,156,829 18,280 $ 181,872
Shares issued to shareholders in
payment of distributions declared 30,571 306,317 522,421 5,187,643 162 1,612
Shares redeemed (455,791) (4,839,543) (1,000,389) (10,586,345) (15,599) (162,955)
--------- ----------- ---------- ------------- --------- ----------
(256,245) (2,776,171) 295,463 2,758,127 2,843 20,529
--------- ----------- ---------- ------------- --------- ----------
INVESTMENT SHARES
Shares sold 88,931 933,840 217,484 2,304,863 53,393 532,050
Shares issued to shareholders in
payment of distributions declared 13,875 140,401 103,356 1,025,285 700 7,010
Shares redeemed (42,686) (445,305) (167,874) (1,767,282) (8,441) (86,681)
--------- ----------- ---------- ------------- --------- ----------
60,120 628,936 152,966 1,562,866 45,652 452,379
--------- ----------- ---------- ------------- --------- ----------
Net change resulting from share transactions (196,125) ($2,147,235) 448,429 $ 4,320,993 48,495 $ 472,908
========= =========== ========== ============= ========= ==========
</TABLE>
<TABLE>
<CAPTION>
For the Year Ended October 31, 1994:
Small Capitalization Quantitative
Growth Equity Fund Equity Fund Equity Fund*
Shares Amount Shares Amount Shares Amount
<S> <C> <C> <C> <C> <C> <C>
TRUST SHARES
Shares sold 250,398 $ 2,578,510 1,467,595 $ 15,906,772 319,168 $ 3,201,250
Shares issued to shareholders in
payment of distributions declared 37,172 383,982 273,939 2,898,278 129 1,305
Shares redeemed (681,047) (7,002,047) (1,487,415) (16,147,839) (5,000) (50,000)
--------- ----------- ---------- ------------- --------- -----------
(393,477) (4,039,555) 254,119 2,657,211 314,297 3,152,555
--------- ----------- ---------- ------------- --------- -----------
INVESTMENT SHARES
Shares sold 181,094 1,870,938 638,429 6,941,644 37,310 375,868
Shares issued to shareholders in
payment of distributions declared 9,156 94,597 43,778 463,167 126 1,275
Shares redeemed (84,829) (867,421) (233,644) (2,524,272) (135) (1,364)
--------- ----------- ---------- ------------- --------- -----------
105,421 (1,098,114) 448,563 4,880,539 37,301 375,779
--------- ----------- ---------- ------------- --------- -----------
Net change resulting from share transactions (288,056) ($2,941,441) 702,682 $ 7,537,750 351,598 $ 3,528,334
========= =========== ========== ============= ========= ===========
</TABLE>
*For the period from August 4, 1994 (date of initial public investment) to
October 31, 1994.
(4) INVESTMENT ADVISORY FEE AND OTHER
TRANSACTIONS WITH AFFILIATES
INVESTMENT ADVISORY FEE. Shawmut Bank, N.A., the Trust's investment adviser
(the "Adviser"), receives for its services an annual investment advisory fee
based upon a percentage of each Fund's average daily net assets (see below).
The Adviser may voluntarily choose to waive a portion of its fee and reimburse
certain operating expenses of the Funds. The Adviser can modify or terminate
this voluntary waiver and reimbursement at any time at its sole discretion.
<TABLE>
<CAPTION>
Annual
Fund Rate*
<S> <C>
Prime Money Market Fund 0.50%
Connecticut Municipal Money Market Fund 0.50%
Massachusetts Municipal Money Market Fund 0.50%
Limited Term Income Fund 0.80%
Intermediate Government Income Fund 0.80%
Fixed Income Fund 0.80%
Connecticut Intermediate Municipal Income Fund 0.70%
Massachusetts Intermediate Municipal Income Fund 0.70%
Growth and Income Equity Fund 1.00%
Growth Equity Fund 1.00%
Small Capitalization Equity Fund 1.00%
Quantitative Equity Fund 1.00%
</TABLE>
SUB-ADVISORY FEE. Pursuant to the terms of an investment sub-advisory
agreement between the Adviser and Marque Millennium Group Limited (the
"Sub-Adviser"), the Sub-Adviser furnishes certain investment advisory services
to the Adviser on behalf of Quantitative Equity Fund. For the services
provided and the expenses incurred by the Sub-Adviser pursuant to the
sub-advisory agreement, the Sub-Adviser is entitled to receive an annual fee
of one-half of the total advisory fee being charged (up to .50 of 1.00% of
Quantitative Equity Fund's average daily net assets being paid to the
Sub-Adviser), payable by the Adviser. The Sub-Adviser may elect to waive a
portion or all of its fee. In no event shall Quantitative Equity Fund be
responsible for any fees due to the Sub-Adviser for its services to the
Adviser.
*As a percentage of daily net assets
ADMINISTRATIVE FEE. Federated Administrative Services ("FAS") provides the
Trust with certain administrative personnel and services. The FAS fee is based
on the level of average aggregate net assets of the Trust for the period. FAS
may voluntarily choose to waive a portion of its fee.
DISTRIBUTION PLAN. The Funds have adopted a Distribution Plan (the "Plan")
pursuant to Rule 12b-1 under the Act. Under the terms of the Plan, the Funds
will compensate Federated Securities Corp. ("FSC"), the principal distributor,
from the net assets of the Funds, to finance activities intended to result in
the sale of the Funds' Investment Shares. The Plan provides that the Funds may
incur distribution expenses up to .50 of 1% of the average daily net assets of
the Investment Shares, if applicable, and including the shares of
Massachusetts Municipal Money Market, Connecticut Intermediate Municipal
Income Fund, and Massachusetts Intermediate Municipal Income Fund. The fee is
paid annually to compensate FSC.
TRANSFER AND DIVIDEND DISBURSING AGENT, PORTFOLIO ACCOUNTING, AND CUSTODY
FEES. Federated Services Company ("FServ") serves as transfer and dividend
disbursing agent for the Funds. The FServ fee is based on the size, type, and
number of accounts and transactions made by shareholders.
FServ also maintains the Funds' accounting records for which it receives a
fee. The fee is based on the level of each Fund's average net assets for the
period plus out-of-pocket expenses.
Shawmut Bank, N.A., is the Funds' custodian. The fee is based on the level of
each Funds' average net assets for the period plus out-of-pocket expenses.
ORGANIZATIONAL EXPENSES. Organizational expenses were initially borne by FAS.
The Funds have agreed to reimburse FAS for the organizational expenses during
the five year period following December 1, 1992 (date the Trust became
effective). For the six months ended April 30, 1995, the Funds paid FAS as
follows:
<TABLE>
<CAPTION>
Initial Organizational
Organizational Expenses
Fund Expenses Reimbursed
<S> <C> <C>
Prime Money Market Fund $ 37,081 $ 3,502
Connecticut Municipal Money Market Fund 37,463 2,436
Massachusetts Municipal Money Market Fund 20,617 838
Limited Term Income Fund 38,183 3,604
Intermediate Government Income Fund 39,950 3,774
Fixed Income Fund 40,086 3,785
Connecticut Intermediate Municipal Income Fund 35,706 2,316
Massachusetts Intermediate Municipal Income Fund 28,555 1,851
Growth and Income Equity Fund 39,753 3,757
Growth Equity Fund 38,503 3,636
Small Capitalization Equity Fund 37,360 3,530
Quantitative Equity Fund 25,403 1,167
</TABLE>
INTERFUND TRANSACTIONS. During the six months ended April 30, 1995,
Connecticut Municipal Money Market Fund and Massachusetts Municipal Money
Market Fund engaged in purchase and sale transactions with funds that have a
common investment adviser (or affiliated investment advisers), common
Directors/Trustees, and/or common Officers. These purchase and sales
transactions were made at current market value pursuant to Rule 17a-7 under
the Act amounting to $23,301,400 and $27,314,789, respectively, for
Connecticut Municipal Money Market Fund, and $16,400,000 and $14,699,969,
respectively, for Massachusetts Municipal Money Market Fund.
Certain of the Officers and Trustees of the Trust are Officers and Directors
or Trustees of the above companies.
(5) INVESTMENT TRANSACTIONS
Purchases and sales of investments, excluding short-term securities, for the
six months ended April 30, 1995, were as follows:
<TABLE>
<CAPTION>
Connecticut Massachusetts
Intermediate Intermediate Intermediate
Limited Term Government Fixed Income Municipal Municipal
Income Fund Income Fund Fund Income Fund Income Fund
<S> <C> <C> <C> <C> <C>
Purchases $ 43,852,503 $39,918,977 $ 46,330,237 $ 257,254 $ 1,094,577
Sales $ 56,000,677 $53,998,655 $ 52,420,063 $ 558,153 $ 430,802
</TABLE>
<TABLE>
<CAPTION>
Growth and
Income Small
Equity Growth Capitalization Quantitative
Fund Equity Fund Equity Fund Equity Fund
<S> <C> <C> <C> <C>
Purchases $38,689,067 $ 27,275,177 $ 15,371,404 $ 1,618,493
Sales $34,854,501 $ 29,081,237 $ 22,340,616 $ 201,595
</TABLE>
(6) CONCENTRATION OF CREDIT RISK
Since Connecticut Municipal Money Market Fund, Massachusetts Municipal Money
Market Fund, Connecticut Intermediate Municipal Income Fund, and Massachusetts
Intermediate Municipal Income Fund invest a substantial portion of their
assets in issuers located in one state, they will be more susceptible to
factors adversely affecting issuers of those states than would be a comparable
general tax-exempt mutual fund. In order to reduce the credit risk associated
with such factors, at April 30, 1995, 50.9%, 52.2%, 22.5%, and 36.2% of the
securities in the portfolio of investments of Connecticut Municipal Money
Market Fund, Massachusetts Municipal Money Market Fund, Connecticut
Intermediate Municipal Income Fund, and Massachusetts Intermediate Municipal
Income Fund, respectively, were backed by letters of credit or bond insurance
of various financial institutions and financial guaranty assurance agencies.
The value of investments insured by, or supported (backed) by, a letter of
credit for any one institution or agency did not exceed 13.6%, 21.9%, 10.4%,
and 19.8% of total investments, respectively, for Connecticut Municipal Money
Market Fund, Massachusetts Municipal Money Market Fund, Connecticut
Intermediate Municipal Income Fund, and Massachusetts Intermediate Municipal
Income Fund.
SHAWMUT MUTUAL FUNDS
------------------------------------------------
TRUSTEES AND OFFICERS
- --------------------------------------------------------------------------------
TRUSTEES OFFICERS
JOHN F. DONAHUE JOHN F. DONAHUE
THOMAS G. BIGLEY Chairman
JOHN T. CONROY, JR. EDWARD C. GONZALES
WILLIAM J. COPELAND President and Treasurer
JAMES E. DOWD J. CHRISTOPHER DONAHUE
LAWRENCE D. ELLIS, M.D. Vice President
EDWARD L. FLAHERTY, JR. RICHARD B. FISHER
EDWARD C. GONZALES Vice President
PETER E. MADDEN JOHN W. MCGONIGLE
GREGOR F. MEYER Vice President and Secretary
JOHN E. MURRAY, JR. JEFFREY W. STERLING
WESLEY W. POSVAR Vice President and Assistant Treasurer
MARJORIE P. SMUTS DAVID M. TAYLOR
Assistant Treasurer
ROBERT C. ROSSELOT
Assistant Secretary
Mutual funds are not bank deposits or obligations, are not guaranteed by any
bank, and are not insured or guaranteed by the U.S. government, the Federal
Deposit Insurance Corporation, the Federal Reserve Board, or any other
governmental agency. Investment in mutual funds involves risk, including
possible loss of principal. Although money market funds seek to maintain a
stable net asset value of $1.00 per share, there is no assurance that they
will be able to do so.
This report is authorized for distribution to prospective investors only
when preceded or accompanied by The Shawmut Funds' prospectuses which
contain facts concerning the Funds' objectives and policies, management
fees, expenses, and other information.
INVESTMENT ADVISER
Shawmut Bank, N.A.
One Federal Street
Boston, Massachusetts 02211
ADMINISTRATOR
Federated Administrative Services
Federated Investors Tower
Pittsburgh, Pennsylvania 15222-3779
CUSTODIAN
Shawmut Bank, N.A.
One Federal Street
Boston, Massachusetts 02211
TRANSFER AGENT
Federated Services Company
Federated Investors Tower
Pittsburgh, Pennsylvania 15222-3779
DISTRIBUTOR
Federated Securities Corporation
Federated Investors Tower
Pittsburgh, Pennsylvania 15222-3779
SHAWMUT
MONEY MARKET FUNDS
PRIME MONEY MARKET
CONNECTICUT MUNICIPAL MONEY MARKET
MASSACHUSETTS MUNICIPAL MONEY MARKET
SHAWMUT INCOME FUNDS
LIMITED TERM INCOME
INTERMEDIATE GOVERNMENT INCOME
FIXED INCOME
CONNECTICUT INTERMEDIATE MUNICIPAL INCOME
MASSACHUSETTS INTERMEDIATE MUNICIPAL INCOME
SHAWMUT EQUITY FUNDS
GROWTH AND INCOME EQUITY
GROWTH EQUITY
SMALL CAPITALIZATION EQUITY
QUANTITATIVE EQUITY
CALL 1-800-SHAWMUT FOR MORE INFORMATION
ON THE SHAWMUT FAMILY OF FUNDS
820482859 820482842 820482834
820482701 820482750 820482768
820482693 820482776 820482792
[LOGO SOY INK] 820482107 820482404 820482503
[LOGO RECYCLED] 820482818 820482826 820482784
820482800 820482875 820482305
820482833 820482206 820482867
G01173-04 (6/95)
