REMBRANDT FUNDS(REGISTRATION MARK)
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SEMI-ANNUAL REPORT
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JUNE 30, 1996
[GRAPHIC OMITTED]
PHOTO OF REMBRANDT
REMBRANDT
FUNDS (REGISTRATION MARK)
(LOGO)
THE ART
OF MAKING
MONEY WORK
<PAGE>
TABLE OF CONTENTS
LETTER TO SHAREHOLDERS ............................ 1
STATEMENT OF NET ASSETS/
SCHEDULE OF INVESTMENTS ......................... 2
STATEMENT OF ASSETS AND LIABILITIES ...............38
STATEMENT OF OPERATIONS ...........................39
STATEMENT OF CHANGES IN NET ASSETS ................42
FINANCIAL HIGHLIGHTS ..............................46
NOTES TO FINANCIAL STATEMENTS .....................56
REMBRANDT
FUNDS (REGISTRATION MARK)
(LOGO)
THE ART
OF MAKING
MONEY WORK
Rembrandt and Rembrandt Funds
are registered trademarks of
LaSalle National Trust, N.A. All rights reserved.
SHARES OF REMBRANDT FUNDS ARE NOT SPONSORED OR
GUARANTEED BY, AND DO NOT CONSTITUTE OBLIGATIONS OF
LASALLE NATIONAL TRUST, N.A. ANY OF ITS AFFILIATES, OR THE
U. S. GOVERNMENT, ITS AGENCIES, OR INSTRUMENTALITIES.
SHARES OF REMBRANDT FUNDS ARE NOT INSURED BY THE
FEDERAL DEPOSIT INSURANCE CORPORATION OR ANY OTHER
AGENCY. SHARES OF REMBRANDT FUNDS INVOLVE INVESTMENT
RISKS, INCLUDING POSSIBLE LOSS OF PRINCIPAL. LASALLE STREET
CAPITAL MANAGEMENT, LTD., AN AFFILIATE OF LASALLE
NATIONAL TRUST, N.A. SERVES AS THE INVESTMENT ADVISOR TO
REMBRANDT FUNDS. REMBRANDT FUNDS ARE DISTRIBUTED
BY REMBRANDT FINANCIAL SERVICES COMPANY. REMBRANDT
FINANCIAL SERVICES COMPANY IS NOT AN AFFILIATE OF
LASALLE NATIONAL TRUST, N.A.
<PAGE>
LETTER TO SHAREHOLDERS
DEAR REMBRANDT SHAREHOLDERS:
It has been an excellent first half for the Rembrandt Funds, while our one-year
performance has earned several of the Funds high honors within the industry.
As the economists and investment analysts tried to figure out the direction of
the U.S. economy, they split into two camps. One believed that the economy was
close to overheating, and the other felt that the economy had peaked and
moderation was ahead. Despite this uncertainty, our domestic stock and bond
Funds turned in solid performances for the first half.
Established international markets generally continued to underperform the U.S.,
with large economies such as Japan and Germany showing lower than expected
growth. Emerging markets fared well in the first half. The Rembrandt Asian
Tigers Fund, for example, with its focus on Southeast Asia, was our top
performer year-to-date.
In addition, we introduced the new Rembrandt Latin America Equity Fund (Trust
Class) on July 1st. This Fund expands on our expertise in emerging markets and
provides another diversification alternative for investors.
It is important to note that Morningstar* presented some very constructive
numbers for Rembrandt, including an outstanding 5-STAR rating for the REMBRANDT
VALUE FUND (TRUST) for the one-year period ended 6/30/96. Its three-year rating
was an exceptional 4-STARS for the period ended 6/30/96!
Our Lipper** rankings also present some outstanding news, including a #1 RANKING
for the REMBRANDT ASIAN TIGERS FUND (TRUST) for the two-year period ended
6/30/96, and TOP 20 Rankings for the REMBRANDT FIXED INCOME AND INTERMEDIATE
GOVERNMENT FIXED INCOME FUNDS (TRUST) for the one-year period ended 6/30/96.
As always, thank you for your continued support. We look forward to serving all
your investment needs and invite you to take a close look at Rembrandt. If you
have questions regarding any of our Funds, please call 1-800-443-4725, or
contact us on the Internet at http://www.rembrandtfunds.com.
Sincerely,
/S/Antony Edgar
Antony Edgar
President
LaSalle Street Capital Management, Ltd.
*MORNINGSTAR PROPRIETARY RATINGS ARE BASED ON HISTORICAL RISK-ADJUSTED
PERFORMANCE AND MAY CHANGE MONTHLY. RATINGS ARE CALCULATED USING A FUND'S
AVERAGE ANNUAL TOTAL RETURNS IN EXCESS OF 90-DAY TREASURY BILL RETURNS WITH
APPROPRIATE FEE ADJUSTMENTS AND A RISK FACTOR THAT REFLECTS FUND PERFORMANCE
BELOW 90-DAY TREASURY BILL RETURNS. **LIPPER ANALYTICAL SERVICES, INC., IS A
NATIONALLY RECOGNIZED INDEPENDENT RESEARCH FIRM THAT TRACKS THE MUTUAL FUND
INDUSTRY. LIPPER RANKS FUNDS IN VARIOUS CATEGORIES BY MAKING COMPARATIVE
CALCULATIONS USING TOTAL RETURNS THAT ARE NOT ADJUSTED FOR SALES CHARGES.
1
<PAGE>
STATEMENT OF NET ASSETS
[GRAPHIC OMITTED]
A pie chart depicting the percent of total portfolio investments for the
following investment classifications:
TREASURY MONEY MARKET FUND
CASH EQUIVALENTS 5%
U.S. TREASURY OBLIGATIONS 95%
% OF TOTAL PORTFOLIO INVESTMENTS (1)
FACE
DESCRIPTION AMOUNT (000) VALUE (000)
==========================================================
U.S. TREASURY OBLIGATIONS -- 95.1%
U.S. Treasury Bills
4.850%, 07/05/96 $10,000 $ 9,995
4.980%, 07/11/96 8,000 7,989
4.980%, 07/25/96 3,000 2,990
4.985%, 07/25/96 8,000 7,973
4.960%, 08/01/96 6,000 5,974
4.800%, 08/08/96 2,000 1,990
4.950%, 08/08/96 2,000 1,990
4.990%, 08/08/96 5,000 4,974
5.035%, 08/08/96 3,000 2,984
4.990%, 08/15/96 5,000 4,969
5.010%, 08/22/96 5,000 4,964
5.330%, 08/22/96 5,000 4,964
4.950%, 08/29/96 6,000 5,951
5.030%, 08/29/96 5,000 4,959
5.075%, 09/05/96 5,000 4,953
5.085%, 09/05/96 3,000 2,972
5.100%, 09/19/96 5,000 4,943
5.105%, 09/19/96 5,000 4,943
U.S. Treasury Notes
7.875%, 07/15/96 10,000 10,011
6.125%, 07/31/96 4,000 4,003
FACE AMOUNT
DESCRIPTION (000)/SHARES VALUE (000)
========================================================================
U.S. Treasury Notes -- (continued)
7.875%, 07/31/96 $ 15,825 $ 15,859
4.375%, 08/15/96 10,000 9,990
6.250%, 08/31/96 5,000 5,007
8.000%, 10/15/96 9,000 9,066
6.875%, 10/31/96 5,000 5,023
7.250%, 11/15/96 2,000 2,014
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TOTAL U.S. TREASURY OBLIGATIONS
(Cost $151,450) 151,450
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CASH EQUIVALENT -- 4.4%
SEI Daily Income Trust
Treasury II Portfolio
4.93%, 07/08/96 7,078 7,078
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TOTAL CASH EQUIVALENT
(Cost $7,078) 7,078
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TOTAL INVESTMENTS -- 99.5%
(Cost $158,528) 158,528
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OTHER ASSETS AND LIABILITIES -- 0.5%
Other Assets and Liabilities, Net 866
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NET ASSETS:
Portfolio shares of the Trust Class (unlimited
authorization -- no par value) based on
150,773,250 outstanding shares of beneficial
interest 150,773
Portfolio shares of the Investor Class
(unlimited authorization -- no par value)
based on 8,612,336 outstanding shares of
beneficial interest 8,613
Accumulated net realized gain on investments 8
--------
TOTAL NET ASSETS-- 100.0% $159,394
========
NET ASSET VALUE, OFFERING, AND REDEMPTION
PRICE PER SHARE -- TRUST CLASS $1.00
========
NET ASSET VALUE, OFFERING, AND REDEMPTION
PRICE PER SHARE -- INVESTOR CLASS $1.00
========
(1) THE CHART PRESENTS THE VALUE OF INVESTMENTS AS A PERCENTAGE OF THE TOTAL
VALUE OF THE INVESTMENT PORTFOLIO AND IS NOT A STATEMENT OF NET ASSETS. THE
STATEMENT OF NET ASSETS PRESENTS THE VALUE OF INVESTMENTS AS A PERCENTAGE OF
TOTAL NET ASSETS.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS.
2
<PAGE>
STATEMENT OF NET ASSETS
[GRAPHIC OMITTED]
A pie chart depicting the percent of total portfolio investments for the
following investment classifications:
GOVERNMENT MONEY MARKET FUND
REPURCHASE AGREEMENTS 30%
U.S. GOVERNMENT AGENCY OBLIGATIONS 70%
% OF TOTAL PORTFOLIO INVESTMENTS (1)
FACE
DESCRIPTION AMOUNT (000) VALUE (000)
=========================================================
U.S. GOVERNMENT AGENCY OBLIGATIONS -- 70.3%
FFCB Note
5.300%, 08/01/96 $ 5,000 $ 5,000
FHLB Note
6.940%, 03/14/97 4,500 4,546
FHLB Discount Notes
5.000%, 07/18/96 5,000 4,988
5.200%, 08/07/96 8,000 7,957
5.390%, 12/19/96 6,000 5,846
5.300%, 01/30/97 4,000 3,875
FHLMC Discount Notes
5.180%, 07/22/96 7,000 6,979
5.290%, 07/23/96 7,000 6,977
5.290%, 07/24/96 8,000 7,973
5.290%, 07/26/96 10,000 9,963
5.290%, 07/31/96 7,000 6,969
5.350%, 09/13/96 8,000 7,912
5.340%, 09/16/96 8,000 7,909
5.170%, 10/01/96 5,000 4,934
FACE AMOUNT
DESCRIPTION (000) VALUE (000)
=================================================================
FNMA Discount Notes
5.190%, 07/24/96 $ 5,000 $ 4,983
5.250%, 08/09/96 5,000 4,972
4.900%, 08/29/96 5,000 4,960
5.230%, 09/05/96 5,000 4,952
4.900%, 09/06/96 5,000 4,954
5.340%, 09/12/96 7,820 7,735
5.200%, 10/24/96 5,000 4,917
4.970%, 03/10/97 2,000 1,993
FNMA MTN
7.260%, 09/23/96 1,700 1,707
SLMA (A)
5.590%, 07/30/96 5,000 5,001
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TOTAL U.S. GOVERNMENT AGENCY OBLIGATIONS
(Cost $138,002) 138,002
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REPURCHASE AGREEMENTS -- 29.9%
Nomura Securities
5.49%, dated 06/28/96, matures
7/01/96, repurchase price
$38,272,949 (collateralized by
various FHLMC obligations,
total par value $26,811,000,
5.50%-11.25%, 03/01/97-01/01/35,
and various FNMA obligations,
total par value $26,509,000,
5.50%-11.00%, 06/01/26:
total market value $39,021,000) 38,255 38,255
Lehman Brothers
5.49%, dated 06/28/96, matures
07/01/96, repurchase price
$20,383,880 (collateralized
by U.S. Treasury Note,
par value $20,410,000,
5.50%, 07/31/97:
market value $20,774,000) 20,375 20,375
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TOTAL REPURCHASE AGREEMENTS
(Cost $58,630) 58,630
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3
<PAGE>
STATEMENT OF NET ASSETS
DESCRIPTION VALUE (000)
=============================================================
TOTAL INVESTMENTS -- 100.2%
(Cost $196,632) $ 196,632
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OTHER ASSETS AND LIABILITIES -- (0.2%)
Other Assets and Liabilities, Net (431)
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NET ASSETS:
Portfolio shares of the Trust Class (unlimited
authorization -- no par value) based on
193,411,102 outstanding shares of beneficial
interest 193,411
Portfolio shares of the Investor Class
(unlimited authorization -- no par value)
based on 2,760,588 outstanding shares of
beneficial interest 2,760
Accumulated net realized gain on investments 30
---------
TOTAL NET ASSETS-- 100.0% $ 196,201
=========
NET ASSET VALUE, OFFERING, AND REDEMPTION
PRICE PER SHARE -- TRUST CLASS $1.00
=========
NET ASSET VALUE, OFFERING, AND REDEMPTION
PRICE PER SHARE -- INVESTOR CLASS $ 1.00
=========
- --------------------------------------------------------------------------------
(1) THE CHART PRESENTS THE VALUE OF INVESTMENTS AS A PERCENTAGE OF THE TOTAL
VALUE OF THE INVESTMENT PORTFOLIO AND IS NOT A STATEMENT OF NET ASSETS. THE
STATEMENT OF NET ASSETS PRESENTS THE VALUE OF INVESTMENTS AS A PERCENTAGE OF
TOTAL NET ASSETS.
(A) VARIABLE RATE INSTRUMENT. THE RATE REFLECTED ON THE STATEMENT OF NET ASSETS
IS THE RATE IN EFFECT ON JUNE 30, 1996. THE MATURITY DATE SHOWN IS THE NEXT
RESET DATE.
FFCB -- FEDERAL FARM CREDIT BANK
FHLB -- FEDERAL HOME LOAN BANK
FHLMC -- FEDERAL HOME LOAN MORTGAGE CORPORATION
FNMA -- FEDERAL NATIONAL MORTGAGE ASSOCIATION
MTN -- MEDIUM TERM NOTE
SLMA -- STUDENT LOAN MARKETING ASSOCIATION
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS.
4
<PAGE>
JUNE 30, 1996 (Unaudited)
(LOGO)
STATEMENT OF NET ASSETS
[GRAPHIC OMITTED]
A pie chart depicting the percent of total portfolio investments for the
following investment classifications:
MONEY MARKET FUND
CERTIFICATES OF DEPOSIT 24%
BANK NOTES 11%
REPURCHASE AGREEMENTS 27%
COMMERCIAL PAPER 20%
U.S. GOVERNMENT AGENCY OBLIGATIONS 17%
CORPORATE BONDS 1%
% OF TOTAL PORTFOLIO INVESTMENTS (1)
FACE
DESCRIPTION AMOUNT (000) VALUE (000)
========================================================
BANK NOTES -- 10.7%
Fifth Third Bank
5.390%, 08/16/96 $15,000 $15,000
First Union National Bank of
North Carolina
5.320%, 07/22/96 15,000 15,000
Harris Trust & Savings Bank
5.500%, 03/26/97 5,000 4,997
6.040%, 06/17/97 8,000 7,996
NationsBank
5.350%, 08/12/96 10,000 9,999
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TOTAL BANK NOTES
(Cost $52,992) 52,992
-------
CERTIFICATES OF DEPOSIT -- 24.3%
Bank of Nova Scotia, New York
5.330%, 07/02/96 8,000 8,000
5.380%, 08/02/96 12,000 12,000
Canadian Imperial Bank of
Commerce, New York
5.330%, 08/06/96 10,000 10,000
5.370%, 08/28/96 10,000 10,000
FACE
DESCRIPTION AMOUNT (000) VALUE (000)
========================================================
Commerzbank, New York
5.330%, 09/16/96 $10,000 $ 9,998
5.400%, 10/22/96 10,000 10,000
Deutsche Bank, New York
5.370%, 07/15/96 12,500 12,500
5.440%, 10/01/96 8,000 7,998
First Alabama Bank
5.420%, 09/12/96 20,000 20,001
Lloyds Bank, New York
5.360%, 10/04/96 10,000 9,998
Rabobank Nederland N.V.,
New York
5.370%, 09/09/96 10,000 10,000
--------
TOTAL CERTIFICATES OF DEPOSIT
(Cost $120,495) 120,495
--------
COMMERCIAL PAPER -- 19.7%
American Express Credit
Corporation
5.270%, 07/11/96 8,000 7,988
5.270%, 07/23/96 10,000 9,968
Associates Corporation of
North America
5.280%, 07/18/96 10,000 9,975
5.380%, 08/08/96 10,000 9,943
General Electric Capital
Corporation
5.380%, 08/01/96 10,000 9,954
Golden Managers Acceptance
Corporation
5.420%, 07/17/96 15,000 14,964
Norwest Corporation
5.270%, 07/08/96 10,000 9,990
5.330%, 07/15/96 10,000 9,979
Prudential Funding Corporation
5.390%, 07/23/96 15,000 14,951
--------
TOTAL COMMERCIAL PAPER
(Cost $97,712) 97,712
--------
U.S. GOVERNMENT AGENCY OBLIGATIONS -- 17.0%
FHLB Discount Notes
5.000%, 07/18/96 10,000 9,976
5.300%, 01/30/97 10,000 9,686
FHLB Notes
6.940%, 03/14/97 10,000 10,101
5
<PAGE>
STATEMENT OF NET ASSETS
FACE
DESCRIPTION AMOUNT (000) VALUE (000)
================================================================================
U.S. GOVERNMENT AGENCY OBLIGATIONS -- (continued)
FHLMC Discount Notes
5.260%, 07/10/96 $ 10,000 $ 9,987
5.170%, 10/01/96 10,000 9,868
FHLMC Note
5.470%, 04/01/97 5,000 4,996
FNMA MTN
4.970%, 03/10/97 10,000 9,967
FNMA Discount Notes
5.180%, 10/11/96 10,000 9,853
SLMA (A)
5.590%, 07/30/96 10,000 10,002
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TOTAL U.S. GOVERNMENT AGENCY OBLIGATIONS
(Cost $84,436) 84,436
--------
CORPORATE BOND -- 1.0%
General Electric Capital MTN
5.850%, 08/29/96 5,000 5,000
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TOTAL CORPORATE BOND
(Cost $5,000) 5,000
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REPURCHASE AGREEMENTS -- 27.3%
Lehman Brothers
5.49%, dated 06/28/96, matures
07/01/96, repurchase price
$29,784,938 (collateralized by
U.S. Treasury Notes, total
par value $29,798,000,
5.50%-5.875%, 07/31/97:
total market value $30,357,000) 29,771 29,771
Nomura
5.49%, dated 06/28/96, matures
07/01/96, repurchase price
$106,050,544 (collateralized by
various FHLMC obligations,
total par value $55,785,000,
5.50%-9.00%, 05/01/01-06/01/35,
and various FNMA obligations,
total par value $61,030,000,
6.00%-8.50%, 01/01/00-06/01/26:
total market value $108,122,000) 106,002 106,002
--------
TOTAL REPURCHASE AGREEMENTS
(Cost $135,773) 135,773
--------
DESCRIPTION VALUE (000)
=============================================================
TOTAL INVESTMENTS -- 100.0%
(Cost $496,408) $ 496,408
---------
OTHER ASSETS AND LIABILITIES -- 0.0%
Other Assets and Liabilities, Net (17)
---------
NET ASSETS:
Portfolio shares of the Trust Class (unlimited
authorization -- no par value) based on
495,029,115 outstanding shares of beneficial
interest 495,029
Portfolio shares of the Investor Class
(unlimited authorization -- no par value)
based on 1,357,570 outstanding shares of
beneficial interest 1,358
Accumulated net realized gain on investments 4
---------
TOTAL NET ASSETS-- 100.0% $ 496,391
=========
NET ASSET VALUE, OFFERING, AND REDEMPTION
PRICE PER SHARE -- TRUST CLASS $1.00
=========
NET ASSET VALUE, OFFERING, AND REDEMPTION
PRICE PER SHARE -- INVESTOR CLASS $1.00
=========
- --------------------------------------------------------------------------------
(1) THE CHART PRESENTS THE VALUE OF INVESTMENTS AS A PERCENTAGE OF THE TOTAL
VALUE OF THE INVESTMENT PORTFOLIO AND IS NOT A STATEMENT OF NET ASSETS. THE
STATEMENT OF NET ASSETS PRESENTS THE VALUE OF INVESTMENTS AS A PERCENTAGE OF
TOTAL NET ASSETS.
(A) VARIABLE RATE INSTRUMENT. THE RATE REFLECTED ON THE STATEMENT OF NET ASSETS
IS THE RATE IN EFFECT ON JUNE 30, 1996. THE MATURITY DATE SHOWN IS THE NEXT
RESET DATE.
FHLB -- FEDERAL HOME LOAN BANK
FHLMC -- FEDERAL HOME LOAN MORTGAGE CORPORATION
FNMA -- FEDERAL NATIONAL MORTGAGE ASSOCIATION
MTN -- MEDIUM TERM NOTES
SLMA -- STUDENT LOAN MARKETING ASSOCIATION
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS.
6
<PAGE>
JUNE 30, 1996 (Unaudited)
(LOGO)
STATEMENT OF NET ASSETS
[GRAPHIC OMITTED]
TAX-EXEMPT MONEY MARKET FUND
A pie chart depicting the percent of total portfolio investments for the
following investment classifications:
MUNICIPAL BONDS 91%
CASH EQUIVALENTS 9%
% OF TOTAL PORTFOLIO INVESTMENTS (1)
FACE
DESCRIPTION AMOUNT (000) VALUE (000)
================================================================================
MUNICIPAL BONDS -- 97.9%
ALABAMA -- 6.2%
Housing Finance Authority, Multi-
family Housing, Rime Village
Ser A, TECP (C)
3.400%, 07/01/96 $ 3,000 $ 3,000
Columbia, Pollution Control
Revenue, Alabama Power
Project, Ser C, VRDN (A) (B)
3.750%, 07/01/96 5,600 5,600
--------
8,600
--------
ARIZONA -- 3.6%
Salt River, Agricultural
Improvement & Power
District, TECP
3.450%, 07/24/96 1,000 1,000
3.500%, 09/11/96 4,000 4,000
--------
5,000
--------
FACE
DESCRIPTION AMOUNT (000) VALUE (000)
=========================================================
COLORADO -- 4.0%
State TRAN
4.500%, 06/27/97 $ 5,500 $ 5,534
-------
FLORIDA -- 7.7%
Municipal Power Agency, Initial
Pooled Loan Project, Ser A,
TECP (C)
3.500%, 09/16/96 5,815 5,815
Jacksonville, Electric Authority
System, TECP
3.450%, 07/30/96 1,000 1,000
Sunshine State Finance TECP (C)
3.500%, 08/06/96 3,850 3,850
-------
10,665
-------
GEORGIA -- 6.8%
Burke County, Development
Authority, Pollution Control
Revenue, Georgia Power
Company Plant Vogtle Project,
VRDN (A) (B)
3.750%, 07/01/96 3,600 3,600
Monroe County, Development
Authority, Pollution Control
Revenue, Georgia Power
Company Plant Scherer Project,
VRDN (A) (B)
3.750%, 07/01/96 2,300 2,300
Monroe County, Development
Authority, Pollution Control
Revenue, Gulf Power Plant
2nd Series Project, VRDN (A)(B)
3.750%, 07/01/96 3,500 3,500
-------
9,400
-------
IDAHO -- 2.5%
State TAN
4.500%, 06/30/97 3,500 3,520
-------
ILLINOIS -- 1.2%
Cook County, Catholic Charities
Housing Development Ser A,
VRDN (A) (B)
3.400%, 07/03/96 1,000 1,000
7
<PAGE>
STATEMENT OF NET ASSETS
FACE
DESCRIPTION AMOUNT (000) VALUE (000)
==========================================================
ILLINOIS -- (continued)
Development Finance Authority,
Catholic Charities Housing
Development, VRDN (A) (B)
3.400%, 07/03/96 $ 500 $ 500
Development Finance Authority,
Saint Xavier University
Project, VRDN
3.400%, 07/03/96 180 180
------
1,680
------
INDIANA -- 6.0%
Indianapolis, Local Public
Improvement Bond Ser D, TECP
4.250%, 01/09/97 2,600 2,606
Sullivan, National Rural Utilities,
Hoosier Energy Rural Electric,
TECP (C)
3.550%, 09/18/96 2,100 2,100
Jasper County, Northern Indiana
Public Service, Polution Control
Revenue Ser 1988A, TECP (C)
3.400%, 07/23/96 3,600 3,600
------
8,306
------
KANSAS -- 1.4%
Burlington, Pollution Control
Revenue, Kansas City Power &
Light Project, Ser 1985, TECP
3.450%, 08/07/96 2,000 2,000
------
KENTUCKY -- 2.2%
Jefferson County, Pollution Control
Revenue, Louisville Gas &
Electric Project, TECP
3.500%, 10/08/96 3,000 3,000
------
MARYLAND -- 3.0%
Health & Higher Education,
Pooled Loan Program Ser B,
VRDN (A) (B)
3.300%, 07/03/96 4,100 4,100
------
MINNESOTA -- 8.4%
Becker, Pollution Control
Revenue, Northern States
Power Project, TECP
3.400%, 07/16/96 5,500 5,500
FACE
DESCRIPTION AMOUNT (000) VALUE (000)
==========================================================
University of Minnesota, Board of
Regents, Ser A, TECP
3.450%, 08/01/96 $ 6,075 $ 6,075
-------
11,575
-------
MISSISSIPPI -- 5.2%
Hinds County, Urban Renewal,
Physicians Office Building
Group, VRDN (A) (B) (C)
3.450%, 07/03/96 940 940
Jackson County, Chevron USA
Project, Series 93, VRDN, (A)(B)
3.550%, 07/01/96 6,200 6,200
-------
7,140
-------
MISSOURI -- 4.5%
Health & Educational Facilities
Authority, Washington
University Project, Ser A,
VRDN (A) (B) (C)
3.600%, 07/01/96 6,200 6,200
-------
NEBRASKA -- 4.2%
Omaha, Public Power District,
TECP
3.500%, 09/09/96 5,850 5,850
-------
NEVADA -- 2.2%
Clark County, Industrial
Development Revenue, Ser C,
VRDN (A) (B)
3.150%, 07/03/96 3,000 3,000
-------
NEW YORK -- 1.2%
New York City GO, Ser B4,
VRDN (A) (B)
3.750%, 07/01/96 1,700 1,700
-------
OHIO -- 2.2%
Toledo-Lucas, Port Authority,
CSX Transportation Project,
TECP (C)
3.600%, 07/22/96 3,000 3,000
-------
RHODE ISLAND -- 2.9%
State TAN
4.500%, 06/30/97 4,000 4,024
-------
8
<PAGE>
JUNE 30, 1996 (Unaudited)
(LOGO)
STATEMENT OF NET ASSETS
FACE
DESCRIPTION AMOUNT (000) VALUE (000)
========================================================
SOUTH CAROLINA -- 3.6%
York County, Pollution Control
Revenue, Saluda River Project,
RB, Mandatory Put 08/15/96
@ 100 (C)
3.100%, 08/15/96 $ 1,000 $ 1,000
York County, Pollution Control
Revenue, Ser N-4, RB, Optional
Put on 09/15/96 @ Par (C)
3.250%, 09/15/96 4,000 4,000
-------
5,000
-------
TEXAS -- 7.9%
Austin, Travis & Williamson
Counties, TECP (C)
3.400%, 07/08/96 1,500 1,500
Dallas County, Refunding
Ser A, GO
3.700%, 08/15/96 1,650 1,650
Houston, Independent School
District TRAN
4.500%, 08/29/96 2,120 2,122
Houston, TRAN
4.500%, 06/30/97 3,000 3,017
Higher Education Authority,
VRDN (FGIC) (A) (B)
3.100%, 07/03/96 1,095 1,095
Higher Education Authority,
Ser B, VRDN (FGIC) (A) (B)
3.100%, 07/03/96 1,500 1,500
-------
10,884
-------
VIRGINIA -- 4.3%
Peninsula Port Authority,
Dominion Terminal Association
Project, Ser 1987B, TECP (C)
3.500%, 07/09/96 6,000 6,000
-------
WASHINGTON -- 1.3%
State GO
6.750%, 07/01/96 1,775 1,775
-------
FACE
DESCRIPTION AMOUNT (000) VALUE (000)
==========================================================================
WISCONSIN -- 1.1%
Milwaukee, School Order Note,
Ser B, RB
4.750%, 08/22/96 $ 1,500 $ 1,502
---------
WYOMING -- 4.3%
Gillette County, Pollution Control
Revenue, Pacificorp Project,
Ser 1988, TECP (C)
3.550%, 09/04/96 4,000 4,000
Sweetwater County, Pollution
Control Revenue, Pacificorp
Project, Ser 1988A, TECP (C)
3.450%, 07/15/96 2,000 2,000
---------
6,000
---------
TOTAL MUNICIPAL BONDS
(Cost $135,455) 135,455
---------
CASH EQUIVALENT -- 9.8%
Dreyfus Tax Exempt
Cash Management Fund
3.17%, 07/08/96 6,717 6,717
SEI Tax Exempt Trust
Institutional Tax Free Portfolio
3.25%, 07/08/96 6,826 6,826
---------
TOTAL CASH EQUIVALENT
(Cost $13,543) 13,543
---------
TOTAL INVESTMENTS -- 107.7%
(Cost $148,998) 148,998
---------
OTHER ASSETS AND LIABILITIES -- (7.7%)
Investment Securities Purchased (16,095)
Other Assets and Liabilities, Net 5,472
---------
Total Other Assets and Liabilities (10,623)
---------
NET ASSETS:
Portfolio shares of the Trust Class (unlimited
authorization -- no par value) based on
135,871,744 outstanding shares of beneficial
interest 135,872
9
<PAGE>
STATEMENT OF NET ASSETS
DESCRIPTION VALUE (000)
=========================================================
NET ASSETS: -- (continued)
Portfolio shares of the Investor Class
(unlimited authorization -- no par value)
based on 2,509,195 outstanding shares of
beneficial interest $ 2,509
Accumulated net realized loss on investments (6)
---------
TOTAL NET ASSETS-- 100.0% $ 138,375
=========
NET ASSET VALUE, OFFERING, AND REDEMPTION
PRICE PER SHARE -- TRUST CLASS $1.00
=========
NET ASSET VALUE, OFFERING, AND REDEMPTION
PRICE PER SHARE -- INVESTOR CLASS $1.00
=========
- --------------------------------------------------------------------------------
(1) THE CHART PRESENTS THE VALUE OF INVESTMENTS AS A PERCENTAGE OF THE TOTAL
VALUE OF THE INVESTMENT PORTFOLIO AND IS NOT A STATEMENT OF NET ASSETS. THE
STATEMENT OF NET ASSETS PRESENTS THE VALUE OF INVESTMENTS AS A PERCENTAGE OF
TOTAL NET ASSETS.
(A) VARIABLE RATE INSTRUMENT. THE RATE REFLECTED ON THE STATEMENT OF NET ASSETS
IS THE RATE IN EFFECT ON JUNE 30, 1996.
(B) PUT AND DEMAND FEATURES EXIST REQUIRING THE ISSUER TO REPURCHASE THE
INSTRUMENT PRIOR TO MATURITY. THE MATURITY DATE SHOWN IS THE NEXT RESET
DATE.
(C) SECURITIES ARE HELD IN CONNECTION WITH A LETTER OF CREDIT OR OTHER CREDIT
SUPPORT.
GO -- GENERAL OBLIGATION
RB -- REVENUE BOND
SER -- SERIES
TAN -- TAX ANTICIPATION NOTE
TECP -- TAX EXEMPT COMMERCIAL PAPER
TRAN -- TAX & REVENUE ANTICIPATION NOTE
VRDN -- VARIABLE RATE DEMAND NOTE
THE FOLLOWING ORGANIZATION HAS PROVIDED UNDERLYING CREDIT SUPPORT FOR CERTAIN
SECURITIES AS DEFINED IN THE STATEMENT OF NET ASSETS:
FGIC -- FINANCIAL GUARANTY INSURANCE COMPANY
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS.
10
<PAGE>
JUNE 30, 1996 (Unaudited)
(LOGO)
STATEMENT OF NET ASSETS
[GRAPHIC OMITTED]
FIXED INCOME FUND
A pie chart depicting the percent of total portfolio investments for the
following investment classifications:
U.S. GOVERNMENT AGENCY OBLIGATIONS 6%
CORPORATE OBLIGATIONS 17%
ASSET-BACKED SECURITIES 11%
U.S. TREASURY OBLIGATIONS 38%
U.S. GOVERNMENT AGENCY MORTGAGE-BACKED OBLIGATIONS 28%
% OF TOTAL PORTFOLIO INVESTMENTS (1)
FACE MARKET
DESCRIPTION AMOUNT (000) VALUE (000)
=========================================================
U.S. TREASURY OBLIGATIONS -- 37.5%
U.S. Treasury Bond
7.250%, 05/15/16 $ 8,710 $ 8,926
U.S. Treasury Notes
6.250%, 05/31/00 3,000 2,981
7.500%, 11/15/01 16,735 17,471
7.250%, 05/15/04 11,450 11,864
6.500%, 08/15/05 4,875 4,806
-------
TOTAL U.S. TREASURY OBLIGATIONS
(Cost $46,056) 46,048
-------
U.S. GOVERNMENT MORTGAGE-BACKED
OBLIGATIONS -- 27.7%
FHLMC REMIC
3.500%, 11/15/21 3,175 2,444
6.000%, 03/15/08 1,805 1,724
FHLMC/GNMA REMIC
6.900%, 04/25/20 1,000 971
FHLMC
6.500%, 03/01/24 3,693 3,461
7.000%, 06/01/24 3,003 2,891
7.500%, 06/01/24 3,323 3,282
FACE MARKET
DESCRIPTION AMOUNT (000) VALUE (000)
=============================================================
FNMA
6.500%, 03/01/01 $ 1,492 $ 1,464
8.000%, 03/01/02 3,094 3,143
8.000%, 04/01/10 1,341 1,368
6.000%, 04/01/11 3,962 3,748
6.500%, 10/01/23 1,971 1,854
GNMA
8.500%, 07/15/01 70 73
8.500%, 11/15/01 50 53
8.500%, 07/15/02 16 17
8.500%, 06/15/03 78 81
9.500%, 11/15/16 544 582
9.000%, 01/15/17 2,647 2,772
8.000%, 06/15/23 833 841
8.000%, 08/15/24 1,832 1,849
GNMA ARM
6.500%, 02/20/24 1,401 1,391
-------
TOTAL U.S. GOVERNMENT MORTGAGE-BACKED
OBLIGATIONS
(Cost $33,985) 34,009
-------
ASSET-BACKED SECURITIES -- 10.9%
Banc One Credit Card Master Trust
6.150%, 07/15/02 2,150 2,112
CIT Recreational
Vehicle Owner Trust
5.400%, 12/15/11 2,350 2,293
Contimortgage Home Equity
Loan Trust
7.250%, 06/15/11 1,860 1,853
Discover Card Master Trust I
6.050%, 08/18/08 2,730 2,517
The Money Store Home Equity
Trust
6.650%, 01/15/16 2,520 2,508
5.750%, 10/15/22 2,178 2,095
-------
TOTAL ASSET-BACKED SECURITIES
(Cost $13,564) 13,378
-------
11
<PAGE>
STATEMENT OF NET ASSETS
FACE MARKET
DESCRIPTION AMOUNT (000) VALUE (000)
==================================================================
CORPORATE OBLIGATIONS -- 17.2%
ANZ Banking Group
6.250%, 02/01/04 $ 2,370 $ 2,225
BHP Finance USA
6.420%, 03/01/26 2,560 2,474
Citicorp
7.125%, 05/15/06 2,230 2,185
Fruit of the Loom
7.875%, 10/15/99 2,580 2,635
Korea Electric Power
7.750%, 04/01/13 2,545 2,500
Lincoln National
7.250%, 05/15/05 1,780 1,756
Phillip Morris
7.625%, 05/15/02 2,450 2,502
Quebec Province
7.500%, 07/15/23 2,625 2,504
Salomon Brothers
7.430%, 06/24/99 1,685 1,704
7.125%, 08/01/99 670 672
-------
TOTAL CORPORATE OBLIGATIONS
(Cost $21,385) 21,157
-------
U.S. GOVERNMENT AGENCY OBLIGATIONS -- 6.0%
FHLMC
5.990%, 03/06/01 4,200 4,058
FHLMC MTN
5.800%, 02/22/06 2,500 2,289
FHLB
7.260%, 09/06/01 1,025 1,050
-------
TOTAL U.S. GOVERNMENT AGENCY OBLIGATIONS
(Cost $7,364) 7,397
-------
REPURCHASE AGREEMENT -- 0.1%
Nomura
5.50%, dated 06/28/96, matures
07/01/96, repurchase price
$135,000 (collateralized by
FNMA obligation, par value
$153,000, 6.50%, 09/01/10,
market value: $138,000) 135 135
-------
TOTAL REPURCHASE AGREEMENT
(Cost $135) 135
-------
MARKET
DESCRIPTION VALUE (000)
===========================================================
TOTAL INVESTMENTS -- 99.4%
(Cost $122,489) $ 122,124
---------
OTHER ASSETS AND LIABILITIES -- 0.6%
Other Assets and Liabilities, Net 776
---------
NET ASSETS:
Portfolio shares of the Trust Class (unlimited
authorization -- no par value) based on
12,372,478 outstanding shares of beneficial
interest 126,130
Portfolio shares of the Investor Class
(unlimited authorization -- no par value)
based on 66,896 outstanding shares of
beneficial interest 687
Undistributed net investment income 60
Accumulated net realized loss on investments (3,612)
Net unrealized depreciation on investments (365)
---------
TOTAL NET ASSETS-- 100.0% $ 122,900
=========
NET ASSET VALUE, OFFERING, AND REDEMPTION
PRICE PER SHARE -- TRUST CLASS $9.88
=========
NET ASSET VALUE, AND REDEMPTION
PRICE PER SHARE-- INVESTOR CLASS $9.91
=========
MAXIMUM OFFERING PRICE PER SHARE --
INVESTOR CLASS ($9.91 / 95.5%) $10.38
=========
- --------------------------------------------------------------------------------
(1) THE CHART PRESENTS THE VALUE OF INVESTMENTS AS A PERCENTAGE OF THE TOTAL
VALUE OF THE INVESTMENT PORTFOLIO AND IS NOT A STATEMENT OF NET ASSETS. THE
STATEMENT OF NET ASSETS PRESENTS THE VALUE OF INVESTMENTS AS A PERCENTAGE OF
TOTAL NET ASSETS.
ARM -- ADJUSTABLE RATE MORTGAGE
FHLB -- FEDERAL HOME LOAN BANK
FHLMC -- FEDERAL HOME LOAN MORTGAGE CORPORATION
FNMA -- FEDERAL NATIONAL MORTGAGE ASSOCIATION
GNMA -- GOVERNMENT NATIONAL MORTGAGE ASSOCIATION
MTN -- MEDIUM TERM NOTE
REMIC -- REAL ESTATE MORTGAGE INVESTMENT CONDUIT
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS.
12
<PAGE>
JUNE 30, 1996 (Unaudited)
(LOGO)
STATEMENT OF NET ASSETS
[GRAPHIC OMITTED]
INTERMEDIATE GOVERNMENT FIXED INCOME FUND
A pie chart depicting the percent of total portfolio investments for the
following investment classifications:
U.S. GOVERNMENT AGENCY MORTGAGE-BACKED OBLIGATIONS 13%
U.S. TREASURY OBLIGATIONS 41%
REPURCHASE AGREEMENTS 1%
U.S. GOVERNMENT AGENCY OBLIGATIONS 45%
% OF TOTAL PORTFOLIO INVESTMENTS (1)
FACE MARKET
DESCRIPTION AMOUNT (000) VALUE (000)
===================================================================
U.S. GOVERNMENT AGENCY OBLIGATIONS -- 43.9%
FFCB
8.650%, 10/01/99 $ 1,650 $ 1,752
FHLB
6.525%, 07/11/97 2,500 2,514
5.190%, 09/30/98 5,000 4,884
6.170%, 03/08/01 1,500 1,469
FHLMC
5.990%, 03/06/01 2,550 2,464
FNMA
8.800%, 07/25/97 2,065 2,124
8.450%, 07/12/99 5,000 5,267
IBRD
8.750%, 03/01/97 2,000 2,035
Maritime Title XI - Norquest Seafood
6.750%, 03/04/11 7,055 6,887
-------
TOTAL U.S. GOVERNMENT AGENCY OBLIGATIONS
(Cost $29,666) 29,396
-------
FACE MARKET
DESCRIPTION AMOUNT (000) VALUE (000)
=============================================================
U.S. TREASURY OBLIGATIONS -- 40.9%
U.S. Treasury Notes
5.500%, 09/30/97 $ 1,425 $ 1,418
5.500%, 11/15/98 7,900 7,777
6.250%, 05/31/00 9,475 9,416
7.500%, 11/15/01 4,740 4,949
6.500%, 08/15/05 3,875 3,820
-------
TOTAL U.S. TREASURY OBLIGATIONS
(Cost $27,332) 27,380
-------
U.S. GOVERNMENT MORTGAGE-BACKED
OBLIGATIONS -- 12.7%
FNMA
6.500%, 06/01/03 2,121 2,081
8.000%, 06/01/11 2,020 2,061
GNMA
9.500%, 11/15/16 91 98
8.000%, 05/15/22 1,537 1,551
GNMA ARM
6.500%, 02/20/24 2,304 2,288
Veterans Affairs
7.750%, 02/15/97 446 448
-------
TOTAL U.S. GOVERNMENT MORTGAGE-BACKED
OBLIGATIONS
(Cost $8,580) 8,527
-------
REPURCHASE AGREEMENT -- 0.9%
JP Morgan
5.47%, dated 06/28/96, matures
07/01/96, repurchase price
$600,000 (collateralized by
FHLMC obligation, par value
$605,000, 9.00%, 05/01/26,
market value: $611,000) 599 599
-------
TOTAL REPURCHASE AGREEMENT
(Cost $599) 599
-------
TOTAL INVESTMENTS -- 98.4%
(Cost $66,177) 65,902
-------
OTHER ASSETS AND LIABILITIES -- 1.6%
Other Assets and Liabilities, Net 1,073
-------
13
<PAGE>
STATEMENT OF NET ASSETS
DESCRIPTION VALUE (000)
============================================================
NET ASSETS:
Portfolio shares of the Trust Class (unlimited
authorization -- no par value) based on
6,815,964 outstanding shares of beneficial
interest $ 70,336
Portfolio shares of the Investor Class
(unlimited authorization -- no par value)
based on 44,747 outstanding shares of
beneficial interest 308
Undistributed net investment income 32
Accumulated net realized loss on investments (3,426)
Net unrealized depreciation on investments (275)
--------
TOTAL NET ASSETS-- 100.0% $ 66,975
========
NET ASSET VALUE, OFFERING, AND REDEMPTION
PRICE PER SHARE -- TRUST CLASS $9.76
========
NET ASSET VALUE AND REDEMPTION PRICE
PER SHARE -- INVESTOR CLASS $9.75
========
MAXIMUM OFFERING PRICE PER SHARE --
INVESTOR CLASS ($9.75 / 95.5%) $10.21
========
- --------------------------------------------------------------------------------
(1) THE CHART PRESENTS THE VALUE OF INVESTMENTS AS A PERCENTAGE OF THE TOTAL
VALUE OF THE INVESTMENT PORTFOLIO AND IS NOT A STATEMENT OF NET ASSETS. THE
STATEMENT OF NET ASSETS PRESENTS THE VALUE OF INVESTMENTS AS A PERCENTAGE OF
TOTAL NET ASSETS.
ARM -- ADJUSTABLE RATE MORTGAGE
FFCB -- FEDERAL FARM CREDIT BANK
FHLB -- FEDERAL HOME LOAN BANK
FHLMC -- FEDERAL HOME LOAN MORTGAGE CORPORATION
FNMA -- FEDERAL NATIONAL MORTGAGE ASSOCIATION
GNMA -- GOVERNMENT NATIONAL MORTGAGE ASSOCIATION
IBRD -- INTERNATIONAL BANK OF RECONSTRUCTION & DEVELOPMENT
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS.
14
<PAGE>
STATEMENT OF NET ASSETS
[GRAPHIC OMITTED]
TAX-EXEMPT FIXED INCOME FUND
A pie chart depicting the percent of total portfolio investments for the
following investment classifications:
MUNICIPAL BONDS 100%
% OF TOTAL PORTFOLIO INVESTMENTS (1)
FACE MARKET
DESCRIPTION AMOUNT (000) VALUE (000)
=============================================================
MUNICIPAL BONDS -- 98.3%
ARKANSAS -- 5.0%
State Development Financial
Authority, Wastewater System
Revenue, RB
5.850%, 12/01/19 $1,250 $1,242
Jefferson County, Pollution Control
Revenue, Arkansas Power & Light
Company Project, RB (AMBAC)
6.300%, 06/01/18 1,000 1,050
------
2,292
------
CALIFORNIA -- 2.3%
South County, Regional Wastewater
Authority, Wastewater Facilities
Project Ser A, RB (FGIC)
5.900%, 08/01/06 1,025 1,070
------
COLORADO -- 4.2%
Denver, City & County Airport
Revenue, Ser A, RB (MBIA)
5.700%, 11/15/25 2,000 1,945
------
FACE MARKET
DESCRIPTION AMOUNT (000) VALUE (000)
============================================================
GEORGIA -- 2.0%
Fulton County, Hospital Authority
Revenue, St. Joseph Hospital
Project, RB
5.500%, 10/01/14 $1,000 $ 933
------
ILLINOIS -- 16.2%
Cook County, Community School
District # 021, GO (MBIA)
0.000%, 12/01/15 1,000 308
Development Finance Authority,
Catholic Charities Housing
Development, RB
5.500%, 01/01/05 3,000 2,895
Hoffman Estates, Multi-Family
Revenue, RB (A)
5.750%, 06/01/21 2,300 2,280
Housing Development Authority,
Multi-Family Housing,
Ser 1991 A, RB
7.900%, 07/01/99 1,875 1,999
------
7,482
------
INDIANA -- 4.6%
Petersburg, Pollution Control
Revenue, Indianapolis Power &
Light Project, RB
5.500%, 10/01/23 2,250 2,118
------
LOUISIANA -- 3.1%
New Orleans, Ernest N. Morial
Exhibit Hall Project, Ser C,
RB (MBIA)
5.600%, 07/15/25 1,500 1,416
------
MISSISSIPPI -- 5.8%
Hospital Equipment & Facilities
Authority, Baptist Medical
Center Project, RB (MBIA)
6.500%, 05/01/10 2,500 2,659
------
MISSOURI -- 10.6%
Branson, Water Treatment Plant
Project, BAN
5.250%, 05/31/97 1,800 1,820
Greene County, Single Family
Mortgage Revenue, Ser 84, RB (A)
0.000%, 03/01/16 2,785 881
15
<PAGE>
STATEMENT OF NET ASSETS
FACE MARKET
DESCRIPTION AMOUNT (000) VALUE (000)
=============================================================
MISSOURI -- (continued)
Health & Educational Facilities
Authority, BJC Health Systems
Project, Ser A, RB
6.750%, 05/15/10 $2,000 $2,202
------
4,903
------
NEVADA -- 4.4%
Clark County, Refunding & Transit
Improvement, RB (MBIA)
6.200%, 06/01/19 2,000 2,033
------
NEW YORK -- 4.3%
State Highway & Bridge
Improvement Fund, RB (MBIA)
5.600%, 04/01/10 2,000 2,002
------
OKLAHOMA -- 6.8%
Tulsa County, Public Facilities
Refinancing Bond, GO
6.600%, 11/01/08 2,000 2,135
Tulsa, Industrial Authority
Hospital, St. Johns Medical
Center Project, RB
6.250%, 02/15/17 1,000 1,011
------
3,146
------
PENNSYLVANIA -- 3.1%
Pittsburgh, Water & Sewer
Authority, RB (FGIC)
5.600%, 09/01/22 1,500 1,440
------
RHODE ISLAND -- 3.7%
Convention Center Authority,
RB (MBIA)
5.000%, 05/15/20 2,000 1,714
------
TEXAS -- 10.6%
East Texas Criminal Justice
Facilities, Financing Corporation
Mortgage Revenue, City of
Henderson Project, RB (AMBAC)
5.750%, 11/01/09 1,820 1,827
Victoria County Hospital, RB
(AMBAC)
6.250%, 01/01/16 1,000 1,025
Wylie Independent School
District, GO
7.000%, 08/15/24 1,800 2,034
------
4,886
------
FACE AMOUNT MARKET
DESCRIPTION (000)/SHARES VALUE (000)
=======================================================================
VIRGINIA -- 6.7%
State Housing Development
Authority, Ser H, RB
6.450%, 01/01/12 $ 3,000 $ 3,101
--------
WASHINGTON -- 1.2%
Public Power Supply System,
Nuclear Project #1, RB (BIG)
7.000%, 07/01/04 500 534
--------
WEST VIRGINIA -- 3.6%
Kanawha Putnam County,
Huntington Charleston Single
Family Mortgage, Ser 1984 A,
RB (A)
0.000%, 12/01/16 5,800 1,682
--------
TOTAL MUNICIPAL BONDS
(Cost $45,029) 45,356
--------
CASH EQUIVALENTS -- 0.1%
Dreyfus Tax Exempt
Cash Management Fund
3.17%, 07/08/96 1 1
SEI Tax Exempt Trust Institutional
Tax Free Portfolio
3.25%, 07/08/96 25 25
--------
TOTAL CASH EQUIVALENTS
(Cost $26) 26
--------
TOTAL INVESTMENTS -- 98.4%
(Cost $45,055) 45,382
--------
OTHER ASSETS AND LIABILITIES -- 1.6%
Other Assets and Liabilities, Net 718
--------
NET ASSETS:
Portfolio shares of the Trust Class (unlimited
authorization -- no par value) based on
4,599,818 outstanding shares of beneficial
interest 47,223
Portfolio shares of the Investor Class
(unlimited authorization -- no par value)
based on 95,676 outstanding shares of
beneficial interest 956
Undistributed net investment income 18
Accumulated net realized loss on investments (2,424)
Net unrealized appreciation on investments 327
--------
TOTAL NET ASSETS-- 100.0% $ 46,100
========
16
<PAGE>
JUNE 30, 1996 (Unaudited)
(LOGO)
STATEMENT OF NET ASSETS
DESCRIPTION
=========================================================
NET ASSET VALUE, OFFERING, AND REDEMPTION
PRICE PER SHARE -- TRUST CLASS $9.82
========
NET ASSET VALUE AND REDEMPTION PRICE
PER SHARE -- INVESTOR CLASS $9.80
========
MAXIMUM OFFERING PRICE PER SHARE --
INVESTOR CLASS ($9.80 / 95.5%) $10.26
========
- --------------------------------------------------------------------------------
(1) THE CHART PRESENTS THE VALUE OF INVESTMENTS AS A PERCENTAGE OF THE TOTAL
VALUE OF THE INVESTMENT PORTFOLIO AND IS NOT A STATEMENT OF NET ASSETS. THE
STATEMENT OF NET ASSETS PRESENTS THE VALUE OF INVESTMENTS AS A PERCENTAGE OF
TOTAL NET ASSETS.
(A) COLLATERALIZED BY U.S. GOVERNMENT SECURITIES
BAN -- BOND ANTICIPATION NOTE
GO -- GENERAL OBLIGATION
RB -- REVENUE BOND
SER -- SERIES
THE FOLLOWING ORGANIZATIONS HAVE PROVIDED UNDERLYING CREDIT SUPPORT FOR CERTAIN
SECURITIES AS DEFINED IN THE STATEMENT OF NET ASSETS:
AMBAC -- AMERICAN MUNICIPAL BOND ASSURANCE CORPORATION
BIG -- BOND INVESTORS GUARANTY
FGIC -- FINANCIAL GUARANTY INSURANCE COMPANY
MBIA -- MUNICIPAL BOND INVESTORS ASSURANCE
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS.
17
<PAGE>
SCHEDULE OF INVESTMENTS
[GRAPHIC OMITTED]
GLOBAL FIXED INCOME FUND
A pie chart depicting the percent of total portfolio investments for the
following investment classifications:
SPAIN 7%
UNITED KINGDOM 17%
AUSTRALIA 5%
CANADA 7%
DENMARK 6%
EUROPEAN CURRENCY UNIT 6%
JAPAN 19%
ITALY 7%
GERMANY 22%
FRANCE 4%
% OF TOTAL PORTFOLIO INVESTMENTS (1)
FACE MARKET
DESCRIPTION AMOUNT (000) (2) VALUE (000)
=========================================================
FOREIGN BONDS -- 67.1%
AUSTRALIA -- 3.4%
Australian Government
10.000%, 02/15/06 700 $ 589
-----
CANADA -- 4.5%
Government of Canada
8.750%, 12/01/05 1,000 787
-----
DENMARK -- 4.4%
Kingdom of Denmark
7.000%, 12/15/04 4,500 762
-----
EUROPEAN CURRENCY UNIT -- 3.7%
French Government Bond
6.000%, 04/25/04 550 652
-----
FRANCE -- 2.6%
Societe Nationale des Chemin
8.875%, 08/11/23 2,000 449
-----
FACE MARKET
DESCRIPTION AMOUNT (000) (2) VALUE (000)
=====================================================================
GERMANY -- 15.1%
Federal Republic of Germany
8.375%, 05/21/01 2,000 $ 1,474
6.250%, 01/04/24 2,000 1,165
-------
2,639
-------
ITALY -- 4.5%
Republic of Italy
8.500%, 04/01/99 1,200,000 789
-------
JAPAN -- 12.7%
Austrian Republic Bond
4.500%, 09/28/05 70,000 705
Export-Import Bank
2.875%, 07/28/05 40,000 357
Government of Japan
3.700%, 03/21/16 50,000 453
World Bank
4.500%, 06/20/00 70,000 700
-------
2,215
-------
SPAIN -- 4.5%
Kingdom of Spain
8.300%, 12/15/98 100,000 794
-------
UNITED KINGDOM -- 11.7%
United Kingdom Treasury
9.500%, 10/25/04 1,200 2,041
-------
TOTAL FOREIGN BONDS
(Cost $11,489) 11,717
-------
TOTAL INVESTMENTS -- 67.1% OF NET ASSETS
(Cost $11,489) $11,717
=======
- --------------------------------------------------------------------------------
(1) THE CHART PRESENTS THE VALUE OF INVESTMENTS AS A PERCENTAGE OF THE TOTAL
VALUE OF THE INVESTMENT PORTFOLIO AND IS NOT A SCHEDULE OF INVESTMENTS. THE
SCHEDULE OF INVESTMENTS PRESENTS THE VALUE OF INVESTMENTS AS A PERCENTAGE OF
TOTAL NET ASSETS.
(2) IN LOCAL CURRENCY.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS.
18
<PAGE>
JUNE 30, 1996 (Unaudited)
(LOGO)
STATEMENT OF NET ASSETS
[GRAPHIC OMITTED]
BALANCED FUND
A pie chart depicting the percent of total portfolio investments for the
following investment classifications:
FIXED INCOME SECURITIES 32%
FOREIGN COMMON STOCKS 16%
CASH EQUIVALENTS 5%
DOMESTIC COMMON STOCKS 47%
% OF TOTAL PORTFOLIO INVESTMENTS (1)
MARKET
DESCRIPTION SHARES VALUE (000)
=========================================================
DOMESTIC COMMON STOCK -- 46.9%
BASIC MATERIALS -- 3.5%
Chesapeake 800 $ 21
Dow Chemical 3,300 251
E.I. duPont de Nemours 3,200 253
Engelhard 3,800 87
Freeport-McMoran Copper &
Gold, Cl B 4,600 147
International Flavors &
Fragrances 3,200 152
International Paper 2,400 89
Lukens 2,700 64
Phelps Dodge 1,800 112
Potlatch 2,600 102
PPG Industries 2,200 107
RPM 5,500 86
USX-U.S. Steel Group 5,000 142
Weyerhaeuser 3,200 136
Witco Chemical 4,300 148
Worthington Industries 1,800 38
------
1,935
------
MARKET
DESCRIPTION SHARES VALUE (000)
========================================================
CAPITAL GOODS -- 4.0%
AMP 3,100 $ 124
Avery Dennison 1,800 99
Boeing 2,100 183
Browning-Ferris Industries 4,600 133
Caterpillar 1,100 75
Crown Cork & Seal 1,600 72
Emerson Electric 1,200 108
General Electric 8,600 744
Keystone International 8,500 176
McDermott International 1,600 33
Minnesota Mining &
Manufacturing 2,500 173
Modern Controls 10,200 106
National Service Industries 2,800 110
Sensormatic Electronics 4,600 75
-------
2,211
-------
CONSUMER CYCLICALS -- 5.4%
Armstrong World Industries 2,400 138
Chrysler 2,300 143
Dun & Bradstreet 6,500 406
Duracell International 3,600 155
Eastman Kodak 1,800 140
Family Dollar Stores 1,900 33
Ford Motor 7,000 227
Gannett 1,400 99
H & R Block 6,700 219
J.C. Penney 4,200 221
Jostens 3,800 75
Masco 2,100 64
Modine Manufacturing 3,000 79
Ogden 4,500 82
Reader's Digest, Cl A 3,200 136
Sotheby's Holdings, Cl A 3,800 55
VF 800 48
Wal-Mart Stores 12,600 320
WD-40 3,300 155
Whirlpool 1,600 79
Xerox 2,900 155
-------
3,029
-------
19
<PAGE>
STATEMENT OF NET ASSETS
MARKET
DESCRIPTION SHARES VALUE (000)
========================================================
CONSUMER STAPLES -- 7.8%
American Brands 1,500 $ 68
Angelica 2,100 50
Automatic Data Processing 5,400 209
Avon Products 3,100 140
Clorox 500 44
Coca-Cola 13,300 650
Deluxe 5,100 181
Fleming 17,700 254
Flowers Industries 18,000 290
General Mills 3,200 174
H.J. Heinz 5,300 161
Kelly Services, Cl A 1,800 53
Kimberly-Clark 1,500 116
McDonald's 4,700 220
Pepsico 8,100 287
Philip Morris 5,500 572
Procter & Gamble 3,500 317
Tambrands 3,300 135
UST 6,400 219
Walt Disney 3,600 226
------
4,366
------
COMMUNICATION SERVICES -- 4.1%
A T & T 8,300 515
Alltel 3,000 92
Ameritech 5,100 303
Bell Atlantic 4,900 312
BellSouth 5,400 229
GTE 8,000 358
SBC Telecommunications 6,300 310
US West 5,700 182
------
2,301
------
ENERGY -- 3.3%
Amoco 3,800 275
Atlantic Richfield 600 71
Burlington Resources 1,400 60
Chevron 3,400 201
Exxon 6,500 565
Halliburton 1,300 72
Mobil 2,200 247
Occidental Petroleum 3,400 84
Phillips Petroleum 2,700 113
Texaco 1,700 143
------
1,831
------
MARKET
DESCRIPTION SHARES VALUE (000)
========================================================
FINANCIAL -- 6.9%
American Express 2,900 $ 129
American General 7,900 287
American International Group 2,500 247
Aon 2,500 127
Banc One 5,900 201
Bankers Trust New York 2,100 155
Beneficial 2,600 146
Boatmen's Bancshares 2,600 104
Chase Manhattan Bank 3,000 212
Citicorp 2,200 182
First American Bank 3,300 148
Fleet Financial Group 2,700 117
FNMA 7,100 238
Hartford Steam Boiler Inspection
& Insurance 7,700 378
Highlands Insurance Group* 1,400 26
KeyCorp 4,900 190
Lincoln National 1,700 79
Marsh & McLennan 1,700 164
MBNA 5,100 145
Mellon Bank 5,100 291
NationsBank 2,200 182
Norwest 2,700 94
-------
3,842
-------
HEALTH CARE -- 4.3%
Abbott Laboratories 4,200 183
American Home Products 3,300 198
Bristol-Myers Squibb 2,800 252
Columbia/HCA Healthcare 2,600 139
Eli Lilly 4,500 292
Johnson & Johnson 6,900 342
Medtronic 1,200 67
Merck 6,700 433
Pfizer 4,200 300
Pharmacia & Upjohn 1,500 67
Schering Plough 2,000 126
-------
2,399
-------
REAL ESTATE INVESTMENT TRUST -- 0.4%
Merry Land & Investment 12,100 254
-------
TECHNOLOGY -- 3.0%
Computer Associates
International 1,200 85
Hewlett Packard 3,000 299
20
<PAGE>
JUNE 30, 1996 (Unaudited)
(LOGO)
STATEMENT OF NET ASSETS
MARKET
DESCRIPTION SHARES VALUE (000)
========================================================
TECHNOLOGY -- (continued)
IBM 3,400 $ 337
Intel 4,500 330
Motorola 3,000 189
Raytheon 4,100 212
Texas Instruments 4,600 229
-------
1,681
-------
TRANSPORTATION -- 0.4%
Illinois Central 2,600 74
Norfolk Southern 1,700 144
-------
218
-------
UTILITIES -- 3.8%
American Electric Power 2,900 124
Baltimore Gas & Electric 5,700 162
Boston Edison 12,000 306
Central & South West 11,300 328
Consolidated Natural Gas 3,400 178
Enron 1,500 61
Nicor 6,700 190
Southern 7,100 175
Utilicorp United 16,400 453
Wisconsin Energy 5,300 153
-------
2,130
-------
TOTAL DOMESTIC COMMON STOCK
(Cost $22,711) 26,197
-------
FOREIGN COMMON STOCK -- 16.2%
BASIC INDUSTRY -- 1.3%
ABB AB-Sponsored ADR 1,800 189
Akzo N V 3,000 179
Broken Hill ADR 6,000 167
PT Tri Polyta Indonesia ADR* 7,800 84
Rhone-Poulenc S.A. ADR* 4,300 114
-------
733
-------
CAPITAL GOODS -- 1.6%
Empresas ICA S.A. ADR 4,900 68
Fletcher Challenge Bldg. ADR* 1,975 39
Hanson PLC ADR 11,900 169
Kubota ADR 400 55
Madeco S.A. ADR 5,700 160
Maderas y Sinteticos S.A. ADR 7,500 133
MARKET
DESCRIPTION SHARES VALUE (000)
========================================================
Norsk Hydro A.S. ADR 3,700 $ 181
Pacific Dunlop ADR* 11,800 108
-------
913
-------
CONSUMER DURABLES -- 1.1%
Daimler Benz ADR 4,200 226
Nissan Motor ADR* 10,700 190
Sony ADR 2,800 185
-------
601
-------
CONSUMER NON-DURABLES -- 4.1%
Bass PLC ADR 7,700 190
Buenos Aires Embotellado* 4,500 60
Cadbury Schweppes PLC ADR 5,600 181
Ciba-Geigy AG ADR* 3,900 238
Fletcher Challenge Energy ADR* 1,975 44
Fletcher Challenge Paper ADR* 3,950 76
Fuji Photo Film ADR 6,000 191
Hafslund ASA, Class B* 5,000 32
Kirin Brewery ADR 1,300 161
Nestle SA ADR 4,000 228
Novo-Nordisk A/S ADR 5,600 200
Nycomed ASA ADR, Cl B 5,000 71
Panamerican Beverage, Cl A 3,400 152
Roche Holdings ADR* 2,700 206
Unilever NV 1,600 232
-------
2,262
-------
CONSUMER SERVICES -- 1.6%
Coles Myer Limited ADR 4,000 117
Grupo Televisa S.A. ADR 5,300 163
Ito Yokado ADR 1,000 241
Koninklijke Ahold NV ADR* 3,700 200
News Corporation ADR 7,900 186
-------
907
-------
ENERGY -- 1.8%
Elf Aquitaine ADR 4,600 169
Repsol 5,000 174
Royal Dutch Petroleum ADR 2,200 338
Schlumberger 2,000 168
YPF Sociedad Anonima ADR 7,800 176
-------
1,025
-------
21
<PAGE>
STATEMENT OF NET ASSETS
SHARES/FACE MARKET
DESCRIPTION AMOUNT (000) VALUE (000)
=========================================================
FINANCIAL -- 1.1%
Aegon N.V. ADR* 3,400 $ 157
Dresdner Bank 5,700 143
National Australia Bank 3,000 139
Tokio Marine & Fire Insurance 2,600 173
-------
612
-------
TECHNOLOGY -- 2.0%
Alcatel Alsthom ADR* 10,200 180
Canon ADR 1,900 198
Hitachi ADR 2,000 187
Kyocera ADR 1,100 153
L.M. Ericsson Telephone ADR 8,000 172
Matsushita Electric
Industrial ADR 1,300 242
-------
1,132
-------
TRANSPORTATION -- 0.4%
Canadian Pacific 8,900 196
-------
UTILITIES -- 1.2%
Cable & Wireless PLC ADR 7,500 148
Enersis SA ADR 2,700 84
Hong Kong Telecom ADR 8,100 146
Telefonica de Espana ADR 3,200 176
Telefonos de Mexico SA ADR 3,700 124
-------
678
-------
TOTAL FOREIGN COMMON STOCK
(Cost $7,587) 9,059
-------
U.S. TREASURY OBLIGATIONS -- 16.2%
U.S. Treasury Bond
7.250%, 05/15/16 $1,530 1,568
U.S. Treasury Notes
6.250%, 05/31/00 700 696
7.500%, 11/15/01 3,385 3,534
7.250%, 05/15/04 2,365 2,450
6.500%, 08/15/05 825 813
-------
TOTAL U.S. TREASURY OBLIGATIONS
(Cost $9,119) 9,061
-------
CORPORATE OBLIGATIONS -- 5.0%
ANZ Banking Group
6.250%, 02/01/04 165 155
FACE MARKET
DESCRIPTION AMOUNT (000) VALUE (000)
==========================================================
BHP Finance USA
6.420%, 03/01/26 $ 345 $ 333
Citicorp
7.125%, 05/15/06 310 304
Ford Motor Credit
6.375%, 10/06/00 350 343
Fruit of the Loom
7.875%, 10/15/99 350 357
Korea Electric Power
7.750%, 04/01/13 350 344
Lincoln National
7.250%, 05/15/05 250 247
Phillip Morris
7.625%, 05/15/02 340 347
Quebec Province
7.500%, 07/15/23 365 348
-------
TOTAL CORPORATE OBLIGATIONS
(Cost $2,833) 2,778
-------
U.S. GOVERNMENT AGENCY OBLIGATIONS -- 1.2%
FHLB
7.260%, 09/06/01 295 302
FHLMC
7.610%, 09/01/04 200 198
Private Export Funding
7.300%, 01/31/02 200 205
-------
TOTAL U.S. GOVERNMENT AGENCY OBLIGATIONS
(Cost $694) 705
-------
ASSET-BACKED SECURITIES -- 2.3%
CIT Recreational Vehicle Owner Trust
5.400%, 12/15/11 317 309
Contimortgage Home Equity Loan
Trust Series 1996-2 Cl A6
7.250%, 06/15/11 260 259
Discover Card Master Trust I
Series 1996-3 A
6.050%, 08/18/08 175 161
The Money Store Home
Equity Trust
6.650%, 01/15/16 325 324
5.750%, 10/15/22 224 216
-------
TOTAL ASSET-BACKED SECURITIES
(Cost $1,286) 1,269
-------
22
<PAGE>
JUNE 30, 1996 (Unaudited)
(LOGO)
STATEMENT OF NET ASSETS
FACE MARKET
DESCRIPTION AMOUNT (000) VALUE (000)
==========================================================
U.S. AGENCY MORTGAGE-BACKED
OBLIGATIONS -- 6.8%
FHLMC REMIC
3.500%, 11/15/21 $ 465 $ 358
FHLMC
5.990%, 03/06/01 585 565
5.800%, 02/22/06 305 279
FNMA
8.000%, 03/01/02 440 447
6.500%, 06/01/03 455 446
6.000%, 04/01/11 547 517
8.000%, 06/01/11 455 464
GNMA
9.000%, 01/15/17 335 351
6.500%, 02/20/24 209 207
8.000%, 08/15/25 140 141
------
TOTAL U.S. AGENCY MORTGAGE-BACKED
OBLIGATIONS
(Cost $3,823) 3,775
------
REPURCHASE AGREEMENT -- 5.1%
Nomura
5.50%, dated 06/28/96, matures
07/01/96, repurchase price
$2,874,000 (collateralized by
various FHLMC obligations,
total par value $1,710,000,
6.50%-7.00%, 11/01/25-
05/01/26; and various FNMA
obligations, total par value
$1,452,000, 6.50%-7.50%,
07/01/01-11/01/25, total
market value: $2,930,000) 2,872 2,872
------
TOTAL REPURCHASE AGREEMENT
(Cost $2,872) 2,872
------
MARKET
DESCRIPTION VALUE (000)
===============================================================
TOTAL INVESTMENTS -- 99.7%
(Cost $50,925) $ 55,716
--------
OTHER ASSETS AND LIABILITIES -- 0.3%
Other Assets and Liabilities, Net 164
--------
NET ASSETS:
Portfolio shares of the Trust Class (unlimited
authorization -- no par value) based on
4,658,661 outstanding shares of beneficial
interest 44,017
Portfolio shares of the Investor Class
(unlimited authorization -- no par value)
based on 356,966 outstanding shares of
beneficial interest 3,588
Undistributed net investment income 7
Accumulated net realized gain on investments 3,479
Net unrealized depreciation on foreign currency
and translation of other assets and liabilities
denominated in foreign currencies (2)
Net unrealized appreciation on investments 4,791
--------
TOTAL NET ASSETS-- 100.0% $ 55,880
========
NET ASSET VALUE, OFFERING, AND REDEMPTION
PRICE PER SHARE -- TRUST CLASS $11.14
========
NET ASSET VALUE AND REDEMPTION PRICE
PER SHARE -- INVESTOR CLASS $11.14
========
MAXIMUM OFFERING PRICE PER SHARE --
INVESTOR CLASS ($11.14 / 95.5%) $11.66
========
- --------------------------------------------------------------------------------
(1) THE CHART PRESENTS THE VALUE OF INVESTMENTS AS A PERCENTAGE OF THE TOTAL
VALUE OF THE INVESTMENT PORTFOLIO AND IS NOT A STATEMENT OF NET ASSETS. THE
STATEMENT OF NET ASSETS PRESENTS THE VALUE OF INVESTMENTS AS A PERCENTAGE OF
TOTAL NET ASSETS.
* NON-INCOME PRODUCING SECURITY.
ADR -- AMERICAN DEPOSITORY RECEIPT
CL -- CLASS
FHLB -- FEDERAL HOME LOAN BANK
FHLMC -- FEDERAL HOME LOAN MORTGAGE CORPORATION
FNMA -- FEDERAL NATIONAL MORTGAGE ASSOCIATION
GNMA -- GOVERNMENT NATIONAL MORTGAGE ASSOCIATION
PLC -- PUBLIC LIMITED COMPANY
REMIC -- REAL ESTATE MORTGAGE INVESTMENT CONDUIT
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS.
23
<PAGE>
STATEMENT OF NET ASSETS
[GRAPHIC OMITTED]
VALUE FUND
A pie chart depicting the percent of total portfolio investments for the
following investment classifications:
REPURCHASE AGREEMENTS 1%
BASIC MATERIALS 7%
CAPITAL GOODS 8%
CONSUMER CYCLICALS 11%
CONSUMER STAPLES 17%
UTILITIES 8%
REAL ESTATE INVESTMENT TRUST 1%
TRANSPORTATION 1%
TECHNOLOGY 6%
HEALTH CARE 9%
FINANCIAL 15%
ENERGY 7%
COMMUNICATION SERVICES 9%
% OF TOTAL PORTFOLIO INVESTMENTS (1)
MARKET
DESCRIPTION SHARES VALUE (000)
========================================================
COMMON STOCK -- 99.0%
BASIC MATERIALS -- 7.4%
Chesapeake 4,700 $ 123
Dow Chemical 16,800 1,277
E.I. duPont de Nemours 16,300 1,290
Engelhard 21,100 485
Freeport-McMoran Copper &
Gold, Cl B 28,500 908
International Flavors &
Fragrances 17,100 814
International Paper 13,100 483
Lukens 15,100 361
Phelps Dodge 10,300 642
Potlatch 14,500 567
PPG Industries 11,400 556
RPM 30,400 475
USX-U.S. Steel Group 27,600 783
Weyerhaeuser 17,500 744
Witco Chemical 23,600 811
Worthington Industries 10,100 211
-------
10,530
-------
MARKET
DESCRIPTION SHARES VALUE (000)
========================================================
CAPITAL GOODS -- 8.3%
AMP 17,200 $ 690
Avery Dennison 9,400 516
Boeing 10,000 871
Browning-Ferris Industries 22,500 653
Caterpillar 6,200 420
Crown Cork & Seal 8,900 401
Emerson Electric 6,500 587
General Electric 48,400 4,187
Keystone International 44,600 925
McDermott International 9,000 188
Minnesota Mining &
Manufacturing 14,000 966
Modern Controls 50,300 522
National Service Industries 15,200 595
Sensormatic Electronics 25,900 424
--------
11,945
--------
CONSUMER CYCLICALS -- 11.2%
Armstrong World Industries 13,100 755
Chrysler 12,700 787
Dun & Bradstreet 31,600 1,975
Duracell International 19,800 854
Eastman Kodak 9,800 762
Family Dollar Stores 10,600 184
Ford Motor 35,800 1,159
Gannett 7,100 502
H & R Block 32,300 1,054
J.C. Penney 20,800 1,092
Jostens 21,200 419
Masco 11,600 351
Modine Manufacturing 16,600 440
Ogden 24,800 450
Reader's Digest, Cl A 17,900 761
Sotheby's Holdings, Cl A 20,800 302
VF 4,600 274
Wal-Mart Stores 70,600 1,791
WD-40 18,600 874
Whirlpool 8,400 417
Xerox 15,800 845
--------
16,048
--------
24
<PAGE>
JUNE 30, 1996 (Unaudited)
(LOGO)
STATEMENT OF NET ASSETS
MARKET
DESCRIPTION SHARES VALUE (000)
========================================================
CONSUMER STAPLES -- 16.7%
American Brands 8,500 $ 386
Angelica 12,000 284
Automatic Data Processing 26,600 1,027
Avon Products 17,200 776
Clorox 3,000 266
Coca-Cola 72,900 3,563
Deluxe 28,800 1,022
Fleming 87,900 1,264
Flowers Industries 99,600 1,606
General Mills 18,000 981
H.J. Heinz 29,400 893
Kelly Services, Cl A 10,100 295
Kimberly-Clark 8,100 626
McDonald's 22,400 1,047
PepsiCo 47,000 1,663
Philip Morris 30,500 3,172
Procter & Gamble 20,300 1,840
Tambrands 18,500 756
UST 35,800 1,226
Walt Disney 19,100 1,201
--------
23,894
--------
COMMUNICATION SERVICES -- 8.7%
A T & T 47,000 2,914
Alltel 17,000 523
Ameritech 26,700 1,585
Bell Atlantic 25,400 1,619
BellSouth 29,600 1,254
GTE 44,100 1,973
SBC Communications 30,600 1,507
US West 31,800 1,014
--------
12,389
--------
ENERGY -- 7.1%
Amoco 20,200 1,462
Atlantic Richfield 3,500 415
Burlington Resources 7,700 331
Chevron 18,900 1,115
Exxon 36,100 3,136
Halliburton 7,200 400
Mobil 12,800 1,435
Occidental Petroleum 18,800 465
Phillips Petroleum 14,800 620
Texaco 9,400 788
--------
10,167
--------
MARKET
DESCRIPTION SHARES VALUE (000)
========================================================
FINANCIAL -- 14.8%
American Express 15,500 $ 692
American General 44,100 1,604
American International Group 13,400 1,322
Aon 13,000 660
Banc One 32,600 1,108
Bankers Trust New York 11,500 850
Beneficial 14,400 808
Boatmen's Bancshares 14,600 586
Chase Manhattan Bank 16,500 1,165
Citicorp 12,200 1,008
First of America Bank 16,700 747
Fleet Financial Group 15,200 661
FNMA 42,500 1,424
Hartford Steam Boiler
Inspection & Insurance 42,600 2,093
Highlands Insurance Group* 7,200 135
KeyCorp 24,500 949
Lincoln National 9,500 439
Marsh & McLennan 9,600 926
MBNA 28,400 809
Mellon Bank 28,700 1,636
NationsBank 12,000 992
Norwest 15,100 527
--------
21,141
--------
HEALTH CARE -- 9.1%
Abbott Laboratories 23,500 1,022
American Home Products 18,300 1,100
Bristol-Myers Squibb 15,800 1,422
Columbia/HCA Healthcare 12,600 673
Eli Lilly 23,800 1,547
Johnson & Johnson 38,000 1,881
Medtronic 6,700 375
Merck 37,100 2,398
Pfizer 21,600 1,542
Pharmacia & Upjohn 8,600 382
Schering Plough 11,100 697
--------
13,039
--------
TECHNOLOGY -- 6.0%
Computer Associates
International 6,000 428
Hewlett Packard 15,000 1,494
IBM 16,300 1,614
25
<PAGE>
STATEMENT OF NET ASSETS
SHARES/FACE MARKET
DESCRIPTION AMOUNT (000) VALUE (000)
================================================================
TECHNOLOGY -- (continued)
Intel 23,200 $ 1,704
Motorola 16,800 1,056
Raytheon 21,300 1,100
Texas Instruments 22,500 1,122
--------
8,518
--------
REAL ESTATE INVESTMENT TRUST -- 0.9%
Merry Land & Investment 58,900 1,237
--------
TRANSPORTATION -- 0.8%
Illinois Central 14,600 414
Norfolk Southern 8,200 695
--------
1,109
--------
UTILITIES -- 8.0%
American Electric Power 16,300 695
Baltimore Gas & Electric 31,200 885
Boston Edison 66,800 1,703
Central & South West 63,700 1,847
Consolidated Natural Gas 18,200 951
Enron 8,300 339
Nicor 36,900 1,047
Southern 39,700 978
Utilicorp United 83,600 2,309
Wisconsin Energy 28,900 835
--------
11,589
--------
TOTAL COMMON STOCK
(Cost $124,517) 141,606
--------
REPURCHASE AGREEMENT -- 1.1%
Nomura
5.50%, dated 06/28/96, matures
07/01/96, repurchase price
$1,601,000 (collateralized by
FHLMC obligation, par value
$379,000, 7.00%, 11/01/25; and
various FNMA obligations, total
par value $1,604,000, 7.00%-
7.50%, 09/01/01-05/01/26,
value: $1,632,000) $ 1,600 1,600
--------
TOTAL REPURCHASE AGREEMENT
(Cost $1,600) 1,600
--------
MARKET
DESCRIPTION VALUE (000)
==============================================================
TOTAL INVESTMENTS -- 100.1%
(Cost $126,117) $ 143,206
---------
OTHER ASSETS AND LIABILITIES -- (0.1%)
Other Assets and Liabilities, Net (103)
---------
NET ASSETS:
Portfolio shares of the Trust Class (unlimited
authorization -- no par value) based on
10,640,245 outstanding shares of beneficial
interest 112,957
Portfolio shares of the Investor Class
(unlimited authorization -- no par value)
based on 128,944 outstanding shares of
beneficial interest 1,384
Distributions in excess of net investment income (7)
Accumulated net realized gain on investments 11,680
Net unrealized appreciation on investments 17,089
---------
TOTAL NET ASSETS-- 100.0% $ 143,103
=========
NET ASSET VALUE, OFFERING, AND REDEMPTION
PRICE PER SHARE -- TRUST CLASS $13.29
=========
NET ASSET VALUE AND REDEMPTION PRICE
PER SHARE -- INVESTOR CLASS $13.31
=========
MAXIMUM OFFERING PRICE PER SHARE --
INVESTOR CLASS ($13.31 / 95.5%) $13.94
=========
- --------------------------------------------------------------------------------
(1) THE CHART PRESENTS THE VALUE OF INVESTMENTS AS A PERCENTAGE OF THE TOTAL
VALUE OF THE INVESTMENT PORTFOLIO AND IS NOT A STATEMENT OF NET ASSETS. THE
STATEMENT OF NET ASSETS PRESENTS THE VALUE OF INVESTMENTS AS A PERCENTAGE OF
TOTAL NET ASSETS.
* NON-INCOME PRODUCING SECURITY
CL -- CLASS
FHLMC -- FEDERAL HOME LOAN MORTGAGE CORPORATION
FNMA -- FEDERAL NATIONAL MORTGAGE ASSOCIATION
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS.
26
<PAGE>
JUNE 30, 1996 (Unaudited)
(LOGO)
STATEMENT OF NET ASSETS
[GRAPHIC OMITTED]
GROWTH FUND
A pie chart depicting the percent of total portfolio investments for the
following investment classifications:
UTILITIES 5%
TRANSPORTATION 2%
TECHNOLOGY 14%
HEALTH CARE 8%
FINANCIAL 16%
REPURCHASE AGREEMENTS 3%
BASIC MATERIALS 4%
CAPITAL GOODS 12%
COMMUNICATION SERVICES 7%
CONSUMER CYCLICALS 9%
CONSUMER STAPLES 12%
ENERGY 8%
% OF TOTAL PORTFOLIO INVESTMENTS (1)
MARKET
DESCRIPTION SHARES VALUE (000)
========================================================
COMMON STOCK -- 97.6%
BASIC MATERIALS -- 3.9%
Bowater 22,000 $ 828
Dow Chemical 12,900 980
Monsanto 50,500 1,641
-------
3,449
-------
CAPITAL GOODS -- 11.6%
Agco 50,000 1,388
Boeing 25,200 2,196
Deere 10,100 404
Fluor 20,700 1,353
General Electric 31,500 2,725
York International 44,000 2,277
-------
10,343
-------
COMMUNICATION SERVICES -- 7.2%
Ameritech 29,000 1,722
BellSouth 62,500 2,648
GTE 45,500 2,036
-------
6,406
-------
CONSUMER CYCLICALS -- 8.9%
Carnival 53,200 1,536
CUC International* 61,400 2,180
MARKET
DESCRIPTION SHARES VALUE (000)
========================================================
Magna International, Cl A 31,100 $ 1,431
Mattel 65,775 1,883
May Department Stores 20,100 879
--------
7,909
--------
CONSUMER STAPLES -- 11.6%
Avon Products 46,800 2,112
Colgate-Palmolive 19,500 1,653
H.J. Heinz 54,000 1,640
Kimberly-Clark 33,700 2,603
Philip Morris 13,800 1,435
Walt Disney 14,300 899
--------
10,342
--------
ENERGY -- 8.5%
Amoco 26,300 1,903
Atlantic Richfield 8,100 960
Phillips Petroleum 59,100 2,475
Texaco 27,000 2,265
--------
7,603
--------
FINANCIAL -- 16.3%
Advanta, Cl B 24,000 1,086
American General 47,500 1,728
American International Group 9,900 976
Citicorp 17,600 1,454
First Union 21,400 1,303
KeyCorp 43,100 1,670
Lincoln National 25,800 1,193
PMI Group 40,000 1,700
PNC Bank 48,000 1,428
St. Paul 18,700 1,001
Thornburg Mortgage Asset 60,200 978
--------
14,517
--------
HEALTH CARE -- 8.0%
Abbott Laboratories 28,200 1,227
American Home Products 23,200 1,395
Bristol-Myers Squibb 14,800 1,332
Healthcare Compare 18,400 897
Johnson & Johnson 19,400 960
Pfizer 19,000 1,356
--------
7,167
--------
27
<PAGE>
STATEMENT OF NET ASSETS
SHARES/FACE MARKET
DESCRIPTION AMOUNT (000) VALUE (000)
============================================================
TECHNOLOGY -- 14.3%
Altera* 29,800 $ 1,132
Amgen* 23,400 1,264
Bay Networks* 29,100 749
Cisco Systems* 52,000 2,945
Hewlett Packard 13,300 1,325
Information Resources* 45,500 557
Intel 16,300 1,197
KLA Instruments* 31,400 730
LSI Logic* 23,600 614
Microsoft* 18,800 2,258
-------
12,771
-------
TRANSPORTATION -- 2.0%
Illinois Central 62,250 1,766
-------
UTILITIES -- 5.3%
El Paso Natural Gas 34,900 1,344
Enron Oil & Gas 34,900 973
Western Resources 79,800 2,384
-------
4,701
-------
TOTAL COMMON STOCK
(Cost $75,513) 86,974
-------
REPURCHASE AGREEMENT -- 3.1%
Nomura
5.50%, dated 06/28/96, matures
07/01/96, repurchase price
$2,780,000 (collateralized by
various FHLMC obligations,
total par value $735,000,
7.00%-8.00%, 07/01/09-11/01/25;
and various FNMA obligations,
total par value $2,208,000,
6.50%-8.50%, 12/01/19-06/01/26,
total market value: $2,835,000) $ 2,779 2,779
-------
TOTAL REPURCHASE AGREEMENT
(Cost $2,779) 2,779
-------
MARKET
DESCRIPTION VALUE (000)
============================================================
TOTAL INVESTMENTS -- 100.7%
(Cost $78,292) $ 89,753
--------
OTHER ASSETS AND LIABILITIES -- (0.7%)
Other Assets and Liabilities, Net (606)
--------
NET ASSETS:
Portfolio shares of the Trust Class (unlimited
authorization -- no par value) based on
6,851,746 outstanding shares of beneficial
interest 68,440
Portfolio shares of the Investor Class
(unlimited authorization -- no par value)
based on 228,314 outstanding shares of
beneficial interest 2,409
Distributions in excess of net investment income (7)
Accumulated net realized gain on investments 6,844
Net unrealized appreciation on investments 11,461
--------
TOTAL NET ASSETS-- 100.0% $ 89,147
========
NET ASSET VALUE, OFFERING, AND REDEMPTION
PRICE PER SHARE -- TRUST CLASS $12.59
========
NET ASSET VALUE AND REDEMPTION PRICE
PER SHARE -- INVESTOR CLASS $12.61
========
MAXIMUM OFFERING PRICE PER SHARE --
INVESTOR CLASS ($12.61 / 95.5%) $13.20
========
- --------------------------------------------------------------------------------
(1) THE CHART PRESENTS THE VALUE OF INVESTMENTS AS A PERCENTAGE OF THE TOTAL
VALUE OF THE INVESTMENT PORTFOLIO AND IS NOT A STATEMENT OF NET ASSETS. THE
STATEMENT OF NET ASSETS PRESENTS THE VALUE OF INVESTMENTS AS A PERCENTAGE OF
TOTAL NET ASSETS.
* NON-INCOME PRODUCING SECURITY
CL -- CLASS
FHLMC -- FEDERAL HOME LOAN MORTGAGE CORPORATION
FNMA -- FEDERAL NATIONAL MORTGAGE ASSOCIATION
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS.
28
<PAGE>
JUNE 30, 1996 (Unaudited)
(LOGO)
STATEMENT OF NET ASSETS
[GRAPHIC OMITTED]
INTERNATIONAL EQUITY FUND
A pie chart depicting the percent of total portfolio investments for the
following investment classifications:
OTHER 22%
UNITED KINGDOM 12%
SWITZERLAND 5%
SWEDEN 3%
SINGAPORE 3%
FRANCE 8%
GERMANY 8%
HONG KONG 4%
JAPAN 30%
NETHERLANDS 5%
% OF TOTAL PORTFOLIO INVESTMENTS (1)
MARKET
DESCRIPTION SHARES VALUE (000)
========================================================
FOREIGN COMMON STOCKS -- 96.7%
ARGENTINA -- 0.9%
Telefonica de Argentina ADR 13,500 $ 400
YPF ADR 17,500 394
------
794
------
AUSTRALIA -- 2.4%
ANZ Banking Group 100,000 473
Broken Hill Proprietary 80,000 1,104
CRA 32,250 496
------
2,073
------
AUSTRIA -- 0.8%
Creditanstalt Bankverein PS 1,500 209
Vienna International Airport 6,800 467
------
676
------
BELGIUM -- 0.3%
Audiofina 5,500 264
------
MARKET
DESCRIPTION SHARES VALUE (000)
========================================================
BRAZIL -- 1.3%
Pao de Acucar ADR 26,000 $ 432
Telebras ADR 5,500 383
Usiminas ADR 30,000 326
------
1,141
------
CHILE -- 1.0%
Embotelladora Andina ADR 12,000 439
Telefonos de Chile ADR 4,500 442
------
881
------
DENMARK -- 1.5%
Sophus Berendsen, Cl B 6,000 803
Unidanmark, Cl A * 10,000 464
------
1,267
------
FINLAND -- 0.9%
Nokia, Cl A 12,000 443
UPM-Kymmene* 14,000 291
------
734
------
FRANCE -- 7.5%
Alcatel Alsthom 6,798 594
Carrefour 1,000 561
Carrefour Rights* 1,000 277
Cie Generale des Eaux 8,169 914
Elf Aquitaine 15,508 1,142
Havas 6,073 497
L'Oreal 3,000 997
Saint-Gobain 5,114 685
Sanofi 9,900 743
------
6,410
------
GERMANY -- 5.7%
Allianz 600 1,044
Bayer 25,000 881
BMW 850 491
Beiersdorf* 750 739
Deutsche Bank 22,000 1,043
Schering 10,000 726
------
4,924
------
29
<PAGE>
STATEMENT OF NET ASSETS
MARKET
DESCRIPTION SHARES VALUE (000)
========================================================
HONG KONG -- 3.7%
Hong Kong
Telecommunications 200,000 $ 359
HSBC Holdings 62,373 943
Hutchison Whampoa 110,000 692
Sun Hung Kai Properties 65,600 663
Swire Pacific, Cl A 58,000 496
------
3,153
------
ITALY -- 2.8%
Assicurazioni Generali 25,000 577
Parmalat Finanziaria* 400,000 538
Rinascente 69,815 500
Rinascente Warrants* 3,490 3
STET 230,000 778
------
2,396
------
INDONESIA -- 0.3%
Multi Bintang 16,000 300
------
JAPAN -- 29.9%
Ajinomoto 75,000 898
Asahi Glass 50,000 599
Bank of Tokyo-Mitsubishi 52,000 1,207
Canon 50,000 1,042
East Japan Railway 140 736
Familymart 16,500 736
Fanuc 15,000 598
Hitachi 90,000 839
Honda Motor 60,000 1,557
Ito Yokado 20,000 1,208
KAO 60,000 811
Kirin Brewery 50,000 612
Kyocera 13,000 921
Matsushita Electric Industrial 60,000 1,119
Mitsubishi Heavy Industries 150,000 1,306
New Oji Paper 70,000 605
Nippon Telegraph &
Telephone 122 905
Nomura Securities 25,000 489
Obayashi 60,000 543
Secom 17,000 1,125
MARKET
DESCRIPTION SHARES VALUE (000)
========================================================
Sekisui House 70,000 $ 800
Shiseido 45,000 576
Sony 22,000 1,450
Sumitomo Bank 41,000 794
Takeda Chemical Industries 45,000 798
Tokio Marine & Fire Insurance 90,000 1,201
Tokyo Broadcasting System 35,000 620
Toray Industries 125,000 864
Toshiba 110,000 784
-------
25,743
-------
MALAYSIA -- 2.8%
Genting 50,000 391
Malayan Banking 55,000 529
Sime Darby Malaysia 180,000 498
Telekom Malaysia 60,000 534
United Engineers - F 65,000 451
-------
2,403
-------
MEXICO -- 0.9%
Panamerican Beverages, ADR 10,000 448
Telefonos de Mexico ADR 10,000 335
-------
783
-------
NETHERLANDS -- 5.3%
Aegon 21,877 1,009
Ahold* 16,920 918
Akzo Nobel 4,000 480
Heineken Holding, Cl A 4,125 834
Phillips Electronics 16,000 521
Wolters Kluwer 6,642 755
-------
4,517
-------
NORWAY -- 0.5%
Saga Petroleum, Cl B 30,000 407
-------
PORTUGAL -- 0.4%
Jeronimo Martins & Filho 3,800 342
-------
30
<PAGE>
JUNE 30, 1996 (Unaudited)
(LOGO)
STATEMENT OF NET ASSETS
MARKET
DESCRIPTION SHARES VALUE (000)
========================================================
SINGAPORE -- 3.2%
City Developments* 65,000 $ 507
Fraser and Neave 35,000 362
Jardine Matheson 51,233 376
Keppel 55,000 460
Oversea-Chinese Banking 40,500 474
Oversea-Chinese Banking
Rights* 4,050 33
Singapore International
Airlines - F 50,000 528
-------
2,740
-------
SPAIN -- 2.4%
Banco Bilbao-Vizcaya 15,000 608
Centros Comerciales Pryca 25,000 625
Telefonica de Espana 47,000 867
-------
2,100
-------
SWEDEN -- 3.1%
Asea, Cl B 9,000 953
Astra, Cl A 22,000 974
Ericsson, Cl B 32,500 702
-------
2,629
-------
SWITZERLAND -- 4.9%
Ciba-Geigy, Cl N 800 976
Holderbank, Cl I 615 492
Nestle, Cl N* 800 914
Roche Holdings, Cl GS 110 840
Schweizerische
Bankgesellschaft, Cl I 1,000 979
-------
4,201
-------
THAILAND -- 1.9%
Advanced Info Service - F 20,000 313
Bangkok Bank - F 43,000 583
Land and House - F 25,000 315
Siam Cement - F 9,000 442
-------
1,653
-------
MARKET
DESCRIPTION SHARES VALUE (000)
========================================================
UNITED KINGDOM -- 12.3%
BAA 61,061 $ 444
Barclays Bank 88,119 1,057
BAT Industries 112,640 876
BOC Group 41,962 602
Cable & Wireless 97,373 644
Cadbury Schweppes 82,499 652
General Electric 145,774 785
Marks & Spencer 91,705 670
Pearson 70,816 730
Prudential 165,816 1,045
Shell Transport & Trading 90,000 1,317
SmithKline Beecham 93,573 1,000
Tate & Lyle 109,271 777
-------
10,599
-------
TOTAL FOREIGN COMMON STOCKS
(Cost $68,067) 83,130
-------
FOREIGN PREFERRED STOCKS -- 2.6%
AUSTRALIA -- 0.7%
Newscorp 120,000 584
-------
GERMANY -- 1.9%
Krones 800 313
RWE 30,000 922
Suedzucker 1,000 404
-------
1,639
-------
TOTAL FOREIGN PREFERRED STOCKS
(Cost $2,107) 2,223
-------
TOTAL INVESTMENTS -- 99.3%
(Cost $70,174) 85,353
-------
OTHER ASSETS AND LIABILITIES -- 0.7%
Other Assets and Liabilities, Net 631
-------
31
<PAGE>
STATEMENT OF NET ASSETS
MARKET
DESCRIPTION VALUE (000)
==============================================================
NET ASSETS:
Portfolio shares of the Trust Class (unlimited
authorization -- no par value) based on
5,426,296 outstanding shares of beneficial
interest $ 68,310
Portfolio shares of the Investor Class (unlimited
authorization -- no par value) based on
109,162 outstanding shares of
beneficial interest 1,392
Undistributed net investment income 339
Accumulated net realized gain on investments 821
Accumulated net realized loss on
foreign currency transactions (57)
Net unrealized appreciation on investments 15,179
--------
TOTAL NET ASSETS-- 100.0% $ 85,984
========
NET ASSET VALUE, OFFERING, AND REDEMPTION
PRICE PER SHARE -- TRUST CLASS $15.54
========
NET ASSET VALUE AND REDEMPTION PRICE
PER SHARE -- INVESTOR CLASS $15.48
========
MAXIMUM OFFERING PRICE PER SHARE --
INVESTOR CLASS ($15.48 / 95.5%) $16.21
========
- --------------------------------------------------------------------------------
(1) THE CHART PRESENTS THE VALUE OF INVESTMENTS AS A PERCENTAGE OF THE TOTAL
VALUE OF THE INVESTMENT PORTFOLIO AND IS NOT A STATEMENT OF NET ASSETS. THE
STATEMENT OF NET ASSETS PRESENTS THE VALUE OF INVESTMENTS AS A PERCENTAGE OF
TOTAL NET ASSETS.
* NON-INCOME PRODUCING SECURITY
ADR -- AMERICAN DEPOSITORY RECEIPT
CL -- CLASS
F -- FOREIGN REGISTRY SHARES
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS.
32
<PAGE>
JUNE 30, 1996 (Unaudited)
(LOGO)
STATEMENT OF NET ASSETS
[GRAPHIC OMITTED]
SMALL CAP FUND
A pie chart depicting the percent of total portfolio investments for the
following investment classifications:
REPURCHASE AGREEMENTS 5%
TRANSPORTATION 1%
UTILITIES 4%
TECHNOLOGY 16%
FINANCIAL 14%
ENERGY 2%
BASIC MATERIALS 4%
CAPITAL GOODS 14%
CONSUMER CYCLICALS 22%
CONSUMER STAPLES 2%
HEALTH CARE 16%
% OF TOTAL PORTFOLIO INVESTMENTS (1)
MARKET
DESCRIPTION SHARES VALUE (000)
========================================================
COMMON STOCK -- 95.0%
BASIC MATERIALS -- 3.6%
Fastenal 14,200 $ 618
Shorewood Packaging* 25,400 391
-------
1,009
-------
CAPITAL GOODS -- 14.0%
Agco 10,600 294
Itron * 9,600 272
JLG Industries 4,200 312
Juno Lighting 21,900 372
Kaydon 12,300 529
NN Ball & Roller 8,200 170
OEA* 13,100 491
Perceptron* 17,400 635
Sanifill* 10,200 502
Wolverine Tube* 9,700 340
-------
3,917
-------
MARKET
DESCRIPTION SHARES VALUE (000)
=========================================================
CONSUMER CYCLICALS -- 22.5%
Acxiom* 20,400 $ 696
Catalina Marketing* 9,500 869
CUC International* 7,600 270
Gentex* 40,800 796
Grand Casinos* 24,550 632
Men's Wearhouse* 15,500 500
National Education* 26,800 382
Nautica Enterprises* 19,200 552
Pre Paid Legal* 42,200 781
Quiksilver* 5,300 159
Value Vision International* 55,900 388
WD-40 6,300 296
-------
6,321
-------
CONSUMER STAPLES -- 2.1%
Applebee's International 18,100 581
-------
ENERGY -- 2.4%
Devon Energy 17,000 417
Pride Petroleum Services* 18,000 257
-------
674
-------
FINANCIAL -- 14.0%
Cal Fed Bancorp* 30,500 557
Corus Bankshares 23,700 711
Duke Realty Investments 9,500 287
Equity Residential Properties
Trust 8,600 283
Felcor Suite Hotels 8,800 268
Mutual Risk Management 15,333 479
National Re Holdings 16,100 608
Quick & Reilly Group 13,725 446
Shurgard Storage Centers, Cl A 11,300 285
-------
3,924
-------
HEALTH CARE -- 15.9%
American Medical Response* 15,900 560
Biomet* 26,200 377
Express Scripts, Cl A* 7,600 350
Healthcare Compare* 8,200 400
Oxford Health Plan* 9,900 407
Respironics* 26,000 481
Rotech Medical* 27,600 538
Sofamor/Danek Group* 15,900 441
Sybron International* 12,600 315
Watson Pharmaceuticals* 15,400 583
-------
4,452
-------
33
<PAGE>
STATEMENT OF NET ASSETS
SHARES/FACE MARKET
DESCRIPTION AMOUNT (000) VALUE (000)
===========================================================
TECHNOLOGY -- 15.6%
Altera* 12,200 $ 464
Biogen* 5,100 280
Cidco* 12,700 448
Electronics for Imaging* 4,200 291
Intervoice* 9,700 193
Kent Electronics* 8,900 278
LeCroy* 13,700 274
Maxim Integrated Products* 21,500 587
Network General* 14,800 318
Parametric Technology* 13,400 581
QuickResponse Services* 5,200 150
US Robotics* 5,900 504
-------
4,368
-------
TRANSPORTATION -- 1.1%
Air Express International 11,100 314
-------
UTILITIES -- 3.8%
KN Energy 10,500 352
Sierra Pacific Resources 14,600 370
Wicor 9,300 351
-------
1,073
-------
TOTAL COMMON STOCK
(Cost $22,839) 26,633
-------
REPURCHASE AGREEMENT -- 5.1%
Nomura
5.50%, dated 06/28/96, matures
07/01/96, repurchase price
$1,438,000 (collateralized by
various FHLMC obligations,
total par value $1,166,000,
7.00%-8.00%, 08/01/10-
12/01/25; and various FNMA
obligations, total par value
$544,000, 7.00%-7.50%,
07/01/01-08/01/25, total
market value: $1,466,000) $ 1,437 1,437
-------
TOTAL REPURCHASE AGREEMENT
(Cost $1,437) 1,437
-------
MARKET
DESCRIPTION VALUE (000)
============================================================
TOTAL INVESTMENTS -- 100.1%
(Cost $24,276) $ 28,070
--------
OTHER ASSETS AND LIABILITIES -- (0.1%)
Other Assets and Liabilities, Net (22)
--------
NET ASSETS:
Portfolio shares of the Trust Class (unlimited
authorization -- no par value) based on
2,018,792 outstanding shares of beneficial
interest 21,110
Portfolio shares of the Investor Class
(unlimited authorization -- no par value)
based on 43,866 outstanding shares of
beneficial interest 456
Distributions in excess of net investment income (37)
Accumulated net realized gain on investments 2,725
Net unrealized appreciation on investments 3,794
--------
TOTAL NET ASSETS-- 100.0% $ 28,048
========
NET ASSET VALUE, OFFERING, AND REDEMPTION
PRICE PER SHARE -- TRUST CLASS $13.60
========
NET ASSET VALUE AND REDEMPTION PRICE
PER SHARE -- INVESTOR CLASS $13.58
========
MAXIMUM OFFERING PRICE PER SHARE --
INVESTOR CLASS ($13.58 / 95.5%) $14.22
========
- --------------------------------------------------------------------------------
(1) THE CHART PRESENTS THE VALUE OF INVESTMENTS AS A PERCENTAGE OF THE TOTAL
VALUE OF THE INVESTMENT PORTFOLIO AND IS NOT A STATEMENT OF NET ASSETS. THE
STATEMENT OF NET ASSETS PRESENTS THE VALUE OF INVESTMENTS AS A PERCENTAGE OF
TOTAL NET ASSETS.
* NON-INCOME PRODUCING SECURITY
CL -- CLASS
FHLMC -- FEDERAL HOME LOAN MORTGAGE CORPORATION
FNMA -- FEDERAL NATIONAL MORTGAGE ASSOCIATION
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS.
34
<PAGE>
JUNE 30, 1996 (Unaudited)
(LOGO)
STATEMENT OF NET ASSETS
[GRAPHIC OMITTED]
ASIAN TIGERS FUND
A pie chart depicting the percent of total portfolio investments for the
following investment classifications:
THAILAND 14%
TAIWAN 2%
SOUTH KOREA 3%
SINGAPORE 15%
PHILIPPINES 6%
HONG KONG 36%
INDIA 2%
INDONESIA 5%
MALAYSIA 17%
% OF TOTAL PORTFOLIO INVESTMENTS (1)
MARKET
DESCRIPTION SHARES VALUE (000)
========================================================
FOREIGN COMMON STOCKS -- 96.5%
HONG KONG -- 35.0%
Cheung Kong Holdings 125,000 $ 900
China Light & Power 82,000 372
Citic Pacific 204,000 825
Hang Seng Bank 60,000 605
Henderson Land Development 60,000 450
Hong Kong & China Gas 184,320 294
Hong Kong
Telecommunications 417,600 750
HSBC Holdings 100,000 1,512
Hutchison Whampoa 223,000 1,403
Hysan Development 141,000 432
Johnson Electric 279,000 627
National Mutual Asia 420,000 369
New World Development 70,000 325
Shangri-La Asia 90,000 126
Sun Hung Kai Properties 94,000 950
Swire Pacific, Cl A 86,000 736
Taiwan Index Fund 20,000 233
Varitronix International 218,000 455
Wheelock 52,000 103
-------
11,467
-------
MARKET
DESCRIPTION SHARES VALUE (000)
========================================================
INDIA -- 1.8%
Indian Hotels GDR* 6,000 $ 171
Mahindra & Mahindra GDR 10,500 116
Tata Hydro Electric Power GDR 500 298
-------
585
-------
INDONESIA -- 4.6%
Bank Internasional
Indonesia - F 62,000 306
Bimantara Citra - F 120,000 151
Indofood - F* 20,000 90
Indonesian Satellite ADR 2,400 80
Sampoerna - F 20,000 228
Semen Gresik - F 90,000 262
Telekomunikasi - F 260,000 394
-------
1,511
-------
MALAYSIA -- 16.4%
Berjaya Sports 150,000 496
DCB Holdings 80,000 274
Diversified Resource 85,000 293
Gadek Capital* 100,000 317
Genting 33,500 262
Land and General 65,000 160
Malayan Banking 60,000 577
Malaysian Assurance Alliance 45,000 238
Malaysian International
Shipping - F 92,000 286
Public Bank - F 109,000 302
Resorts World 70,000 401
Sime Darby Malaysia 97,600 270
Sime UEP Properties 145,000 291
Telekom Malaysia 64,000 570
Tenaga 76,000 320
United Engineers - F 48,000 333
-------
5,390
-------
PHILIPPINES -- 5.8%
C & P Homes 110,000 96
Filinvest Land 1,500,000 617
Manila Electric, Cl B 48,000 505
Philipino Telephone* 150,000 229
Philippine Long Distance
Telephone 1,800 107
Philippine Long Distance
Telephone ADR 3,000 174
San Miguel, Cl B 49,500 171
-------
1,899
-------
35
<PAGE>
STATEMENT OF NET ASSETS
MARKET
DESCRIPTION SHARES VALUE (000)
========================================================
SINGAPORE -- 14.7%
City Developments* 57,600 $ 449
DBS Land 90,000 309
Development Bank of
Singapore - F 26,000 324
Fraser and Neave - F 33,600 348
Hong Kong Land 77,000 173
Jardine Matheson 14,000 103
Keppel 42,000 351
Marco Polo Development 200,000 397
Oversea-Chinese Banking - F 63,000 737
Oversea-Chinese Banking
Rights* 6,300 51
Singapore International
Airlines - F 33,000 349
Singapore Press - F 18,400 361
Straits Steamship Land 200,000 669
United Industrial 200,000 204
-------
4,825
-------
SOUTH KOREA -- 3.2%
Korea Fund 35,677 754
Korea Mobile
Telecommunications ADR 12,500 214
Samsung Electronics New, 1/2
Non-Voting GDS 1,782 91
-------
1,059
-------
TAIWAN -- 2.0%
Taiwan Fund 27,500 660
-------
THAILAND -- 13.0%
Advanced Info Service - F 30,000 444
Bangkok Bank - F 57,000 772
Dhana Siam Finance &
Securities - F 59,000 328
Industrial Finance of
Thailand - F 50,000 224
Industrial Finance of
Thailand - L 60,000 269
Italian-Thai Development - F 30,000 279
Land and House - F 22,000 277
PTT Exploration -F 48,000 703
Quality House 30,000 60
Quality House Warrants* 15,000 27
Siam Cement - F 12,000 139
MARKET
DESCRIPTION SHARES VALUE (000)
===========================================================================
Thai Farmers Bank - F 39,000 $ 427
Total Access Communications -
ADR 35,000 298
--------
4,247
--------
TOTAL FOREIGN COMMON STOCKS
(Cost $27,407) 31,643
--------
TOTAL INVESTMENTS -- 96.5%
(Cost $27,407) 31,643
--------
OTHER ASSETS AND LIABILITIES -- 3.5%
Other Assets and Liabilities, Net 1,132
--------
NET ASSETS:
Portfolio shares of the Trust Class (unlimited
authorization -- no par value) based on
2,768,503 outstanding shares of beneficial
interest 27,752
Portfolio shares of the Investor Class (unlimited
authorization -- no par value) based on
75,537outstanding shares of beneficial
interest 698
Undistributed net investment income 29
Accumulated net realized gain on investments 73
Accumulated net realized loss on foreign currency
transactions (13)
Net unrealized appreciation on investments 4,236
--------
TOTAL NET ASSETS-- 100.0% $ 32,775
========
NET ASSET VALUE, OFFERING, AND REDEMPTION
PRICE PER SHARE -- TRUST CLASS $11.53
========
NET ASSET VALUE AND REDEMPTION PRICE
PER SHARE -- INVESTOR CLASS $11.50
========
MAXIMUM OFFERING PRICE PER SHARE --
INVESTOR CLASS ($11.50 / 95.5%) $12.04
========
- --------------------------------------------------------------------------------
(1) THE CHART PRESENTS THE VALUE OF INVESTMENTS AS A PERCENTAGE OF THE TOTAL
VALUE OF THE INVESTMENT PORTFOLIO AND IS NOT A STATEMENT OF NET ASSETS. THE
STATEMENT OF NET ASSETS PRESENTS THE VALUE OF INVESTMENTS AS A PERCENTAGE OF
TOTAL NET ASSETS.
* NON-INCOME PRODUCING SECURITY
ADR -- AMERICAN DEPOSITORY RECEIPT
F -- FOREIGN REGISTRY SHARES
GDR -- GLOBAL DEPOSITORY RECEIPT
GDS -- GLOBAL DEPOSITORY SHARES
CL -- CLASS
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS.
36
<PAGE>
This page intentionally left blank.
<PAGE>
================================================================================
STATEMENT OF ASSETS AND LIABILITIES (000)
June 30, 1996
GLOBAL FIXED
INCOME FUND
================================================================================
ASSETS:
Investments at market value (Cost $11,489) $11,717
Cash and foreign currency 5,451
Receivable for capital shares sold 24
Other assets 291
-------
Total assets 17,483
-------
LIABILITIES:
Other liabilities 22
-------
NET ASSETS:
Portfolio shares of the Trust Class (unlimited
authorization - no par value) based on
1,667,098 outstanding shares of beneficial
interest 16,831
Portfolio shares of the Investor Class (unlimited
authorization - no par value) based on 13,777
outstanding shares of beneficial interest 146
Undistributed net investment income 623
Accumulated net realized loss on investments (343)
Accumulated net realized loss from foreign
currency transactions (11)
Net unrealized depreciation on foreign
currency and translation of other assets
and liabilities denominated in foreign
currencies (13)
Net unrealized appreciation on investments 228
-------
NET ASSETS $17,461
=======
NET ASSET VALUE, OFFERING AND REDEMPTION
PRICE PER SHARE-- TRUST CLASS $10.39
=======
NET ASSET VALUE AND REDEMPTION PRICE
PER SHARE-- INVESTOR CLASS $10.35
=======
MAXIMUM OFFERING PRICE PER SHARE--
INVESTOR CLASS ($10.35/95.5%) $10.84
=======
The accompanying notes are an integral part of the financial statements.
38
<PAGE>
JUNE 30, 1996 (Unaudited)
(LOGO)
STATEMENT OF OPERATIONS (000)
For the Six Month Period Ended June 30, 1996
TREASURY GOVERNMENT TAX-EXEMPT
MONEY MONEY MONEY MONEY
MARKET MARKET MARKET MARKET
FUND FUND FUND FUND
================================================================================
INVESTMENT INCOME:
Interest $3,660 $4,733 $14,390 $2,882
------ ------ ------- ------
EXPENSES:
Administration fees 107 131 396 125
Investment advisory fees 250 175 924 292
Less investment advisory
fees waived (112) -- (396) (135)
Custodian fees 8 11 30 10
Transfer agent fees 13 15 37 16
Professional fees 10 13 37 10
Registration & filing fees 6 6 20 1
Printing 7 9 26 8
Trustee 1 2 4 2
Insurance 1 2 5 2
Pricing -- -- -- 2
Distribution fees(1) 12 6 2 4
Amortization of deferred
organization costs 1 1 1 1
Miscellaneous 5 1 2 --
------ ------ ------- ------
Total Expenses 309 372 1,088 338
------ ------ ------- ------
Net Investment Income 3,351 4,361 13,302 2,544
------ ------ ------- ------
NET REALIZED GAIN ON
INVESTMENTS:
Net realized gain from
security transactions -- -- -- 5
------ ------ ------- ------
Net Increase In Net Assets
From Operations $3,351 $4,361 $13,302 $2,549
====== ====== ======= ======
(1) ALL DISTRIBUTION FEES ARE INCURRED AT THE INVESTOR CLASS LEVEL.
The accompanying notes are an integral part of the financial statements.
39
<PAGE>
STATEMENT OF OPERATIONS (000)
For the Period Ended June 30, 1996
<TABLE>
<CAPTION>
INTERMEDIATE
GOVERNMENT TAX-EXEMPT GLOBAL
FIXED INCOME FIXED INCOME FIXED INCOME FIXED INCOME
FUND FUND FUND FUND
=================================================================================================
<S> <C> <C> <C> <C>
INVESTMENT INCOME:
Dividends $ -- $ -- $ -- $ --
Interest 4,051 2,073 1,359 501
Less: foreign taxes withheld -- -- -- --
------- ------- ------- -------
Total investment income 4,051 2,073 1,359 501
------- ------- ------- -------
EXPENSES:
Administration fees 94 53 36 13
Investment advisory fees 375 213 144 68
Less investment advisory
fees waived (62) (35) (31) --
Custodian fees 7 4 3 3
Transfer agent fees 12 8 7 5
Professional fees 8 5 3 1
Registration & filing fees 5 2 2 --
Printing 6 3 2 --
Trustee fees 1 1 1 --
Insurance 1 1 1 --
Pricing 2 1 1 4
Distribution fees(1) 1 2 1 --
Amortization of deferred
organization costs 1 1 1 2
Miscellaneous 4 4 4 --
------- ------- ------- -------
Total Expenses 455 263 175 96
------- ------- ------- -------
Net Investment Income (Loss) 3,596 1,810 1,184 405
------- ------- ------- -------
NET REALIZED AND UNREALIZED GAIN
(LOSS) ON INVESTMENTS:
Net realized gain (loss) from
security transactions 586 (976) 101 49
Net realized loss from foreign
currency transactions -- -- -- (10)
Net increase (decrease) in
unrealized appreciation
(depreciation) on investments (6,216) (1,204) (1,996) (720)
Net decrease in unrealized
depreciation on foreign
currency and translation of
other assets and liabilities
in foreign currencies -- -- -- (32)
------- ------- ------- -------
Net Increase (Decrease) In Net
Assets From Operations $(2,034) $ (370) $ (711) $ (308)
======= ======= ======= =======
</TABLE>
40
<PAGE>
JUNE 30, 1996 (Unaudited)
(LOGO)
<TABLE>
<CAPTION>
INTERNATIONAL ASIAN
BALANCED VALUE GROWTH EQUITY SMALL CAP TIGERS
FUND FUND FUND FUND FUND FUND
===============================================================================================================================
<S> <C> <C> <C> <C> <C> <C>
INVESTMENT INCOME:
Dividends $ 531 $ 2,065 $ 976 $1,011 $ 68 $ 298
Interest 613 183 94 19 32 14
Less: foreign taxes withheld -- -- -- (103) -- (19)
------ ------- ------ ------ ------ ------
Total investment income 1,144 2,248 1,070 927 100 293
------ ------- ------ ------ ------ ------
EXPENSES:
Administration fees 42 104 65 64 20 23
Investment advisory fees 194 555 348 429 104 151
Less investment advisory
fees waived -- -- -- -- -- --
Custodian fees 3 8 5 48 2 34
Transfer agent fees 7 12 9 10 5 6
Professional fees 4 10 6 6 2 2
Registration & filing fees 3 6 3 5 1 6
Printing 4 7 4 3 1 1
Trustee fees -- 1 1 1 -- --
Insurance -- 2 1 1 -- --
Pricing 1 2 2 5 1 4
Distribution fees(1) 5 2 4 2 1 1
Amortization of deferred
organization costs 1 1 1 2 1 2
Miscellaneous 1 -- -- -- -- --
------ ------- ------ ------ ------ ------
Total Expenses 265 710 449 576 138 230
------ ------- ------ ------ ------ ------
Net Investment Income (Loss) 879 1,538 621 351 (38) 63
------ ------- ------ ------ ------ ------
NET REALIZED AND UNREALIZED GAIN
(LOSS) ON INVESTMENTS:
Net realized gain (loss) from
security transactions 2,596 10,479 5,629 517 1,924 227
Net realized loss from foreign
currency transactions -- -- -- (57) -- (13)
Net increase (decrease) in
unrealized appreciation
(depreciation) on investments (615) 746 1,501 4,581 352 2,255
Net decrease in unrealized
depreciation on foreign
currency and translation of
other assets and liabilities
in foreign currencies -- -- -- (1) -- --
------ ------- ------ ------ ------ ------
Net Increase (Decrease) In Net
Assets From Operations $2,860 $12,763 $7,751 $5,391 $2,238 $2,532
====== ======= ====== ====== ====== ======
<FN>
(1) ALL DISTRIBUTION FEES ARE INCURRED AT THE INVESTOR CLASS LEVEL.
</FN>
</TABLE>
The accompanying notes are an integral part of the financial statements.
41
<PAGE>
STATEMENT OF CHANGES IN NET ASSETS (000)
For the Six Month Period Ended June 30, 1996 (Unaudited) and for the Year Ended
December 31, 1995.
<TABLE>
<CAPTION>
TREASURY GOVERNMENT
MONEY MARKET MONEY MARKET
FUND FUND
==================================================================================================================
1996 1995 1996 1995
==================================================================================================================
<S> <C> <C> <C> <C>
OPERATIONS:
Net investment income $ 3,351 $ 6,079 $ 4,361 $ 10,247
Net realized gain (loss) from security
transactions -- -- -- --
--------- --------- --------- ---------
Net increase in net assets resulting
from operations 3,351 6,079 4,361 10,247
--------- --------- --------- ---------
DIVIDENDS DISTRIBUTED FROM:
Net investment income:
TRUST CLASS (3,143) (5,746) (4,255) (10,086)
INVESTOR CLASS (208) (333) (106) (161)
--------- --------- --------- ---------
Total dividends distributed (3,351) (6,079) (4,361) (10,247)
--------- --------- --------- ---------
CAPITAL SHARE TRANSACTIONS:
TRUST CLASS:
Proceeds from shares issued 284,388 484,129 262,439 404,051
Shares issued in lieu of cash distributions 3 5 -- --
Cost of shares repurchased (244,085) (485,213) (276,613) (353,576)
--------- --------- --------- ---------
Increase (decrease) in net assets derived
from Trust Class transactions 40,306 (1,079) (14,174) 50,475
--------- --------- --------- ---------
INVESTOR CLASS:
Proceeds from shares issued 20,527 33,385 17,279 11,055
Shares issued in lieu of cash distributions 211 315 108 157
Cost of shares repurchased (20,056) (29,000) (17,629) (10,949)
--------- --------- --------- ---------
Increase in net assets derived from Investor
Class transactions 682 4,700 (242) 263
--------- --------- --------- ---------
Increase (decrease) in net assets derived
from capital share transactions 40,988 3,621 (14,416) 50,738
--------- --------- --------- ---------
Net increase (decrease) in net assets 40,988 3,621 (14,416) 50,738
--------- --------- --------- ---------
NET ASSETS:
Beginning of period 118,406 114,785 210,617 159,879
--------- --------- --------- ---------
End of period $ 159,394 $ 118,406 $ 196,201 $ 210,617
========= ========= ========= =========
CAPITAL SHARE TRANSACTIONS:
TRUST CLASS:
Shares issued 284,388 484,129 262,439 404,051
Shares issued in lieu of cash distributions 3 5 -- --
Shares repurchased (244,085) (485,213) (276,613) (353,576)
--------- --------- --------- ---------
Total Trust Class transactions 40,306 (1,079) (14,174) 50,475
--------- --------- --------- ---------
INVESTOR CLASS:
Shares issued 20,527 33,385 17,279 11,055
Shares issued in lieu of cash distributions 211 315 108 157
Shares repurchased (20,056) (29,000) (17,629) (10,949)
--------- --------- --------- ---------
Total Investor Class transactions 682 4,700 (242) 263
--------- --------- --------- ---------
Increase (decrease) in capital shares 40,988 3,621 (14,416) 50,738
========= ========= ========= =========
</TABLE>
42
<PAGE>
JUNE 30, 1996
(LOGO)
<TABLE>
<CAPTION>
TAX-EXEMPT
MONEY MARKET MONEY MARKET
FUND FUND
==================================================================================================================
1996 1995 1996 1995
==================================================================================================================
<S> <C> <C> <C> <C>
OPERATIONS:
Net investment income $ 13,302 $ 25,853 $ 2,544 $ 6,408
Net realized gain (loss) from security
transactions -- -- 5 (1)
---------- ----------- ---------- ----------
Net increase in net assets resulting
from operations 13,302 25,853 2,549 6,407
---------- ----------- ---------- ----------
DIVIDENDS DISTRIBUTED FROM:
Net investment income:
TRUST CLASS (13,266) (25,787) (2,501) (6,283)
INVESTOR CLASS (36) (66) (43) (125)
---------- ----------- ---------- ----------
Total dividends distributed (13,302) (25,853) (2,544) (6,408)
---------- ----------- ---------- ----------
CAPITAL SHARE TRANSACTIONS:
TRUST CLASS:
Proceeds from shares issued 708,717 1,234,299 225,871 408,851
Shares issued in lieu of cash distributions -- -- -- --
Cost of shares repurchased (689,372) (1,219,198) (257,955) (401,949)
---------- ----------- ---------- ----------
Increase (decrease) in net assets derived
from Trust Class transactions 19,345 15,101 (32,084) 6,902
---------- ----------- ---------- ----------
INVESTOR CLASS:
Proceeds from shares issued 2,822 6,603 7,079 16,513
Shares issued in lieu of cash distributions 37 62 47 124
Cost of shares repurchased (2,859) (5,912) (7,861) (17,597)
---------- ----------- ---------- ----------
Increase in net assets derived from Investor
Class transactions -- 753 (735) (960)
---------- ----------- ---------- ----------
Increase (decrease) in net assets derived
from capital share transactions 19,345 15,854 (32,819) 5,942
---------- ----------- ---------- ----------
Net increase (decrease) in net assets 19,345 15,854 (32,814) 5,941
---------- ----------- ---------- ----------
NET ASSETS:
Beginning of period 477,046 461,192 171,189 165,248
---------- ----------- ---------- ----------
End of period $ 496,391 $ 477,046 $ 138,375 $ 171,189
========== =========== ========== ==========
CAPITAL SHARE TRANSACTIONS:
TRUST CLASS:
Shares issued 708,717 1,234,299 225,871 408,851
Shares issued in lieu of cash distributions -- -- -- --
Shares repurchased (689,372) (1,219,198) (257,955) (401,949)
---------- ----------- ---------- ----------
Total Trust Class transactions 19,345 15,101 (32,084) 6,902
---------- ----------- ---------- ----------
INVESTOR CLASS:
Shares issued 2,822 6,603 7,079 16,513
Shares issued in lieu of cash distributions 37 62 47 124
Shares repurchased (2,859) (5,912) (7,861) (17,597)
---------- ----------- ---------- ----------
Total Investor Class transactions -- 753 (735) (960)
---------- ----------- ---------- ----------
Increase (decrease) in capital shares 19,345 15,854 (32,819) 5,942
========== =========== ========== ==========
</TABLE>
The accompanying notes are an integral part of the inancial statements.
43
<PAGE>
================================================================================
STATEMENT OF CHANGES IN NET ASSETS (000)
For the Six Month Period Ended June 30, 1996 (Unaudited) and for the Year Ended
December 31, 1995.
<TABLE>
<CAPTION>
FIXED INTERMEDIATE TAX-EXEMPT GLOBAL
INCOME GOVERNMENT FIXED FIXED INCOME FIXED INCOME
FUND INCOME FUND FUND FUND
=======================================================================================================================
1996 1995 1996 1995 1996 1995 1996 1995
=======================================================================================================================
<S> <C> <C> <C> <C> <C> <C> <C> <C>
OPERATIONS:
Net investment income (loss) $ 3,596 $ 6,760 $ 1,810 $ 4,483 $ 1,184 $ 2,530 $ 405 $ 1,022
Net realized gain (loss) from
security and foreign currency
transactions 586 1,117 (976) 345 101 318 39 1,020
Net change in unrealized appreciation
(depreciation) on investments
and foreign currency transactions (6,216) 10,277 (1,204) 5,923 (1,996) 4,825 (752) 1,220
-------- -------- -------- -------- ------- -------- ------- -------
Net increase (decrease) in net assets
resulting from operations (2,034) 18,154 (370) 10,751 (711) 7,673 (308) 3,262
-------- -------- -------- -------- ------- -------- ------- -------
DIVIDENDS DISTRIBUTED FROM:
Net investment income:
TRUST CLASS (3,519) (6,740) (1,742) (4,360) (1,140) (2,491) -- (1,582)
INVESTOR CLASS (18) (29) (33) (151) (24) (54) -- (10)
Net realized gains:
TRUST CLASS -- -- -- -- -- -- -- --
INVESTOR CLASS -- -- -- -- -- -- -- --
-------- -------- -------- -------- ------- -------- ------- -------
Total dividends distributed (3,537) (6,769 (1,775) (4,511) (1,164) (2,545) -- (1,592)
-------- -------- -------- -------- ------- -------- ------- -------
CAPITAL SHARE TRANSACTIONS:
TRUST CLASS:
Proceeds from shares issued 17,353 41,779 6,507 8,766 881 3,761 3,198 4,868
Shares issued in lieu of cash
distributions -- -- -- -- -- -- -- --
Cost of shares repurchased (15,138) (19,953) (11,344) (32,350) (3,963) (12,289) (3,007) (4,120)
-------- -------- -------- -------- ------- -------- ------- -------
Increase (decrease) in net assets
derived from Trust Class
transactions 2,215 21,826 (4,837) (23,584) (3,082) (8,528) 191 748
-------- -------- -------- -------- ------- -------- ------- -------
INVESTOR CLASS:
Proceeds from shares issued 91 232 7 2,015 22 203 25 54
Shares issued in lieu of cash
distributions 18 25 33 140 23 48 -- 10
Cost of shares repurchased (62) (103) (2,495) (534) (198) (288) (5) (32)
-------- -------- -------- -------- ------- -------- ------- -------
Increase (decrease) in net assets
derived from Investor Class
transactions 47 154 (2,455) 1,621 (153) (37) 20 32
-------- -------- -------- -------- ------- -------- ------- -------
Increase (decrease) in net assets
derived from capital share
transactions 2,262 21,980 (7,292) (21,963) (3,235) (8,565) 211 780
-------- -------- -------- -------- ------- -------- ------- -------
CONTRIBUTIONS OF CAPITAL FROM AFFILIATE: -- -- -- -- -- -- -- --
-------- -------- -------- -------- ------- -------- ------- -------
Net increase (decrease) in net assets (3,309) 33,365 (9,437) (15,723) (5,110) (3,437) (97) 2,450
Net Assets:
Beginning of period 126,209 92,844 76,412 92,135 51,210 54,647 17,558 15,108
-------- -------- -------- -------- ------- -------- ------- -------
End of period $122,900 $126,209 $ 66,975 $ 76,412 $46,100 $ 51,210 $17,461 $17,558
======== ======== ======== ======== ======= ======== ======= =======
CAPITAL SHARE TRANSACTIONS:
TRUST CLASS:
Shares issued 1,723 4,247 658 897 89 383 309 453
Shares issued in lieu of cash
distributions -- -- -- -- -- -- -- --
Shares repurchased (1,516) (2,014) (1,147) (3,346) (398) (1,262) (290) (379)
-------- -------- -------- -------- ------- -------- ------- -------
Total Trust Class transactions 207 2,233 (489) (2,449) (309) (879) 19 74
-------- -------- -------- -------- ------- -------- ------- -------
INVESTOR CLASS:
Shares issued 9 23 1 211 2 21 2 5
Shares issued in lieu of cash
distributions 2 2 3 14 3 5 -- 1
Shares repurchased (6) (10) (252) (53) (20) (29) -- (3)
-------- -------- -------- -------- ------- -------- ------- -------
Total Investor Class transactions 5 15 (248) 172 (15) (3) 2 3
-------- -------- -------- -------- ------- -------- ------- -------
Increase (decrease) in capital
shares 212 2,248 (737) (2,277) (324) (882) 21 77
======== ======== ======== ======== ======= ======== ======= =======
</TABLE>
44
<PAGE>
JUNE 30, 1996
(LOGO)
<TABLE>
<CAPTION>
BALANCED VALUE GROWTH
FUND FUND FUND
=====================================================================================================
1996 1995 1996 1995 1996 1995
=====================================================================================================
<S> <C> <C> <C> <C> <C> <C>
OPERATIONS:
Net investment income (loss) $ 879 $ 2,422 $ 1,538 $ 3,028 $ 621 $ 1,166
Net realized gain (loss) from
security and foreign currency
transactions 2,596 3,342 10,479 3,456 5,629 8,079
Net change in unrealized appreciation
(depreciation) on investments
and foreign currency transactions (615) 7,291 746 20,121 1,501 14,198
------- -------- -------- -------- ------- --------
Net increase (decrease) in net assets
resulting from operations 2,860 13,055 12,763 26,605 7,751 23,443
------- -------- -------- -------- ------- --------
DIVIDENDS DISTRIBUTED FROM:
Net investment income:
TRUST CLASS (814) (2,309) (1,528) (3,032) (613) (1,162)
INVESTOR CLASS (58) (122) (16) (31) (16) (25)
Net realized gains:
TRUST CLASS -- (1,941) -- (2,748) -- (6,782)
INVESTOR CLASS -- (153) -- (31) -- (213)
------- -------- -------- -------- ------- --------
Total dividends distributed (872) (4,525) (1,544) (5,842) (629) (8,182)
------- -------- -------- -------- ------- --------
CAPITAL SHARE TRANSACTIONS:
TRUST CLASS:
Proceeds from shares issued 7,876 24,298 16,408 63,103 17,014 18,301
Shares issued in lieu of cash
distributions -- -- -- -- -- --
Cost of shares repurchased (7,715) (54,617) (17,351) (13,942) (15,856) (37,739)
------- -------- -------- -------- ------- --------
Increase (decrease) in net assets
derived from Trust Class
transactions 161 (30,319) (943) 49,161 1,158 (19,438)
------- -------- -------- -------- ------- --------
INVESTOR CLASS:
Proceeds from shares issued 191 1,133 146 642 141 844
Shares issued in lieu of cash
distributions 58 270 16 62 16 237
Cost of shares repurchased (366) (746) (75) (176) (187) (247)
------- -------- -------- -------- ------- --------
Increase (decrease) in net assets
derived from Investor Class
transactions (117) 657 87 528 (30) 834
------- -------- -------- -------- ------- --------
Increase (decrease) in net assets
derived from capital share
transactions 44 (29,662) (856) 49,689 1,128 (18,604)
------- -------- -------- -------- ------- --------
CONTRIBUTIONS OF CAPITAL FROM AFFILIATE: -- -- -- -- -- --
------- -------- -------- -------- ------- --------
Net increase (decrease) in net assets 2,032 (21,132) 10,363 70,452 8,250 (3,343)
Net Assets:
Beginning of period 53,848 74,980 132,740 62,288 80,897 84,240
------- -------- -------- -------- ------- --------
End of period $55,880 $ 53,848 $143,103 $132,740 $89,147 $ 80,897
======= ======== ======== ======== ======= ========
CAPITAL SHARE TRANSACTIONS:
TRUST CLASS:
Shares issued 723 2,401 1,283 5,673 1,436 1,618
Shares issued in lieu of cash
distributions -- -- -- -- -- --
Shares repurchased (707) (5,320) (1,344) (1,257) (1,322) (3,383)
------- -------- -------- -------- ------- --------
Total Trust Class transactions 16 (2,919) (61) 4,416 114 (1,765)
------- -------- -------- -------- ------- --------
INVESTOR CLASS:
Shares issued 18 111 12 57 12 75
Shares issued in lieu of cash
distributions 5 26 1 5 1 21
Shares repurchased (33) (73) (6) (15) (16) (22)
------- -------- -------- -------- ------- --------
Total Investor Class transactions (10) 64 7 47 (3) 74
------- -------- -------- -------- ------- --------
Increase (decrease) in capital
shares 6 (2,855) (54) 4,463 111 (1,691)
======= ======== ======== ======== ======= ========
</TABLE>
45
<PAGE>
<TABLE>
<CAPTION>
INTERNATIONAL SMALL ASIAN
EQUITY CAP TIGERS
FUND FUND FUND
===================================================================================================
1996 1995 1996 1995 1996 1995
===================================================================================================
<S> <C> <C> <C> <C> <C> <C>
OPERATIONS:
Net investment income (loss) $ 351 $ 447 $ (38) $ 37 $ 63 $ 28
Net realized gain (loss) from
security and foreign currency
transactions 460 991 1,924 2,502 214 (161)
Net change in unrealized appreciation
(depreciation) on investments
and foreign currency transactions 4,580 7,172 352 2,930 2,255 2,686
------- -------- ------- -------- ------- -------
Net increase (decrease) in net assets
resulting from operations 5,391 8,610 2,238 5,469 2,532 2,814
------- -------- ------- -------- ------- -------
DIVIDENDS DISTRIBUTED FROM:
Net investment income:
TRUST CLASS -- (292) -- (37) -- (263)
INVESTOR CLASS -- (2) -- -- -- (6)
Net realized gains:
TRUST CLASS -- (1,076) -- (303) -- --
INVESTOR CLASS -- (23) -- (7) -- --
------- -------- ------- -------- ------- -------
Total dividends distributed -- (1,393) -- (347) -- (269)
------- -------- ------- -------- ------- -------
CAPITAL SHARE TRANSACTIONS:
TRUST CLASS:
Proceeds from shares issued 18,755 46,191 5,420 9,098 8,199 10,886
Shares issued in lieu of cash
distributions -- -- -- -- -- --
Cost of shares repurchased (17,459) (17,048) (4,000) (21,804) (1,893) (8,070)
------- -------- ------- -------- ------- -------
Increase (decrease) in net assets
derived from Trust Class
transactions 1,296 29,143 1,420 (12,706) 6,306 2,816
------- -------- ------- -------- ------- -------
INVESTOR CLASS:
Proceeds from shares issued 46 586 72 174 1,442 172
Shares issued in lieu of cash
distributions -- 22 -- 6 -- 6
Cost of shares repurchased (151) (266) (79) (20) (1,426) (226)
------- -------- ------- -------- ------- -------
Increase (decrease) in net assets
derived from Investor Class
transactions (105) 342 (7) 160 16 (48)
------- -------- ------- -------- ------- -------
Increase (decrease) in net assets
derived from capital share
transactions 1,191 29,485 1,413 (12,546) 6,322 2,768
------- -------- ------- -------- ------- -------
CONTRIBUTIONS OF CAPITAL FROM AFFILIATE: 197 -- -- -- 43 --
------- -------- ------- -------- ------- -------
Net increase (decrease) in net assets 6,779 36,702 3,651 (7,424) 8,897 5,313
Net Assets:
Beginning of period 79,205 42,503 24,397 31,821 23,878 18,565
------- -------- ------- -------- ------- -------
End of period $85,984 $ 79,205 $28,048 $ 24,397 $32,775 $23,878
======= ======== ======= ======== ======= =======
CAPITAL SHARE TRANSACTIONS:
TRUST CLASS:
Shares issued 1,255 3,382 415 812 720 1,131
Shares issued in lieu of cash
distributions -- -- -- -- -- --
Shares repurchased (1,154) (1,235) (310) (2,192) (166) (801)
------- -------- ------- -------- ------- -------
Total Trust Class transactions 101 2,147 105 (1,380) 554 330
------- -------- ------- -------- ------- -------
INVESTOR CLASS:
Shares issued 3 43 5 15 130 18
Shares issued in lieu of cash
distributions -- 2 1 1 -- 1
Shares repurchased (10) (20) (6) (2) (125) (23)
------- -------- ------- -------- ------- -------
Total Investor Class transactions (7) 25 -- 14 5 (4)
------- -------- ------- -------- ------- -------
Increase (decrease) in capital
shares 94 2,172 105 (1,366) 559 326
======= ======== ======= ======== ======= =======
</TABLE>
The accompanying notes are an integral part of the financial statements.
45
<PAGE>
================================================================================
FINANCIAL HIGHLIGHTS
For a Share Outstanding Throughout the Period Ended June 30, 1996 (Unaudited)
and for the Years Ended December 31.
<TABLE>
<CAPTION>
NET ASSET REALIZED DISTRIBUTIONS DISTRIBUTIONS
VALUE NET AND UNREALIZED FROM NET FROM NET ASSET
BEGINNING INVESTMENT GAINS INVESTMENT CAPITAL VALUE END TOTAL
OF PERIOD INCOME ON SECURITIES INCOME GAINS OF PERIOD RETURN
<S> <C> <C> <C> <C> <C> <C> <C>
- ------------------------------------------------------------------------------------------------------------------------------------
TREASURY MONEY MARKET FUND
- ------------------------------------------------------------------------------------------------------------------------------------
TRUST CLASS
1996*** $1.00 $0.02 $0.00 $(0.02) $0.00 $1.00 4.77%
1995 1.00 0.05 0.00 (0.05) 0.00 1.00 5.28
1994 1.00 0.04 0.00 (0.04) 0.00 1.00 3.58
1993(1) 1.00 0.03 0.00 (0.03) 0.00 1.00 2.56
INVESTOR CLASS
1996*** $1.00 $0.02 $0.00 $(0.02) $0.00 $1.00 4.50%
1995 1.00 0.05 0.00 (0.05) 0.00 1.00 5.02
1994 1.00 0.03 0.00 (0.03) 0.00 1.00 3.32
1993(2) 1.00 0.02 0.00 (0.02) 0.00 1.00 2.29
- ------------------------------------------------------------------------------------------------------------------------------------
GOVERNMENT MONEY MARKET FUND
- ------------------------------------------------------------------------------------------------------------------------------------
TRUST CLASS
1996*** $1.00 $0.02 $0.00 $(0.02) $0.00 $1.00 5.03%
1995 1.00 0.05 0.00 (0.05) 0.00 1.00 5.59
1994 1.00 0.04 0.00 (0.04) 0.00 1.00 3.89
1993(1) 1.00 0.03 0.00 (0.03) 0.00 1.00 3.00
INVESTOR CLASS
1996*** $1.00 $0.02 $0.00 $(0.02) $0.00 $1.00 4.77%
1995 1.00 0.05 0.00 (0.05) 0.00 1.00 5.33
1994 1.00 0.04 0.00 (0.04) 0.00 1.00 3.63
1993(3) 1.00 0.02 0.00 (0.02) 0.00 1.00 2.78
- ------------------------------------------------------------------------------------------------------------------------------------
MONEY MARKET FUND
- ------------------------------------------------------------------------------------------------------------------------------------
TRUST CLASS
1996*** $1.00 $0.03 $0.00 $(0.03) $0.00 $1.00 5.09%
1995 1.00 0.06 0.00 (0.06) 0.00 1.00 5.64
1994 1.00 0.04 0.00 (0.04) 0.00 1.00 3.97
1993(1) 1.00 0.03 0.00 (0.03) 0.00 1.00 3.01
INVESTOR CLASS
1996*** $1.00 $0.02 $0.00 $(0.02) $0.00 $1.00 4.83%
1995 1.00 0.05 0.00 (0.05) 0.00 1.00 5.38
1994 1.00 0.04 0.00 (0.04) 0.00 1.00 3.71
1993(4) 1.00 0.02 0.00 (0.02) 0.00 1.00 2.76
- ------------------------------------------------------------------------------------------------------------------------------------
</TABLE>
The accompanying notes are an integral part of the financial statements.
46
<PAGE>
JUNE 30, 1996
(LOGO)
<TABLE>
<CAPTION>
RATIO OF NET
INVESTMENT
RATIO OF NET RATIO OF EXPENSES INCOME (LOSS)
RATIO OF INVESTMENT TO AVERAGE TO AVERAGE
NET ASSETS EXPENSES INCOME NET ASSETS NET ASSETS PORTFOLIO
END OF TO AVERAGE TO AVERAGE (EXCLUDING (EXCLUDING TURNOVER
PERIOD (000) NET ASSETS NET ASSETS WAIVERS) WAIVERS) RATE
<S> <C> <C> <C> <C> <C> <C>
- ----------------------------------------------------------------------------------------------------------------------------------
TREASURY MONEY MARKET FUND
- ----------------------------------------------------------------------------------------------------------------------------------
TRUST CLASS
1996*** $150,782 0.41% 4.69% 0.57% 4.54% n/a
1995 110,475 0.44 5.16 0.59 5.01 n/a
1994 111,545 0.45 3.50 0.61 3.34 n/a
1993(1) 108,495 0.47 2.53 0.62 2.38 n/a
INVESTOR CLASS
1996*** $ 8,612 0.66% 4.44% 0.82% 4.29% n/a
1995 7,931 0.69 4.89 0.84 4.74 n/a
1994 3,231 0.70 3.52 0.86 3.36 n/a
1993(2) 1,347 0.75 2.28 5.23** (2.20)** n/a
- ----------------------------------------------------------------------------------------------------------------------------------
GOVERNMENT MONEY MARKET FUND
- ----------------------------------------------------------------------------------------------------------------------------------
TRUST CLASS
1996*** $193,441 0.42% 4.97% 0.42% 4.97% n/a
1995 207,615 0.42 5.45 0.42 5.45 n/a
1994 157,140 0.42 3.81 0.42 3.81 n/a
1993(1) 159,401 0.45 2.92 0.45 2.92 n/a
INVESTOR CLASS
1996*** $ 2,760 0.67% 4.72% 0.67% 4.72% n/a
1995 3,002 0.67 5.18 0.67 5.18 n/a
1994 2,739 0.67 3.62 0.67 3.62 n/a
1993(3) 1,814 0.72 2.69 2.37** 1.04** n/a
- ----------------------------------------------------------------------------------------------------------------------------------
MONEY MARKET FUND
- ----------------------------------------------------------------------------------------------------------------------------------
TRUST CLASS
1996*** $495,033 0.41% 5.02% 0.56% 4.87% n/a
1995 475,688 0.41 5.50 0.56 5.35 n/a
1994 460,583 0.41 3.93 0.56 3.78 n/a
1993(1) 367,110 0.46 2.92 0.61 2.77 n/a
INVESTOR CLASS
1996*** $ 1,358 0.66% 4.77% 0.81% 4.62% n/a
1995 1,358 0.66 5.22 0.81 5.07 n/a
1994 605 0.66 4.13 0.81 3.98 n/a
1993(4) 118 0.72 2.69 10.48** (7.09)** n/a
- ----------------------------------------------------------------------------------------------------------------------------------
</TABLE>
The accompanying notes are an integral part of the financial statements.
47
<PAGE>
================================================================================
FINANCIAL HIGHLIGHTS
For a Share Outstanding Throughout the Period Ended June 30, 1996 (Unaudited)
and the Years Ended December 31.
<TABLE>
<CAPTION>
NET ASSET REALIZED DISTRIBUTIONS DISTRIBUTIONS
VALUE NET AND UNREALIZED FROM NET FROM NET ASSET
BEGINNING INVESTMENT GAINS INVESTMENT CAPITAL VALUE END TOTAL
OF PERIOD INCOME ON SECURITIES INCOME GAINS OF PERIOD RETURN
<S> <C> <C> <C> <C> <C> <C> <C>
- ------------------------------------------------------------------------------------------------------------------------------------
TAX-EXEMPT MONEY MARKET FUND
- ------------------------------------------------------------------------------------------------------------------------------------
TRUST CLASS
1996*** $ 1.00 $0.02 $ 0.00 $(0.02) $0.00 $ 1.00 3.08%
1995 1.00 0.03 0.00 (0.03) 0.00 1.00 3.49
1994 1.00 0.02 0.00 (0.02) 0.00 1.00 2.50
1993(1) 1.00 0.02 0.00 (0.02) 0.00 1.00 1.98
INVESTOR CLASS
1996*** $ 1.00 $0.01 $ 0.00 $(0.01) $0.00 $ 1.00 2.82%
1995 1.00 0.03 0.00 (0.03) 0.00 1.00 3.24
1994 1.00 0.02 0.00 (0.02) 0.00 1.00 2.24
1993(5) 1.00 0.01 0.00 (0.01) 0.00 1.00 1.65
- ------------------------------------------------------------------------------------------------------------------------------------
FIXED INCOME FUND
- ------------------------------------------------------------------------------------------------------------------------------------
TRUST CLASS
1996*** $10.32 $0.28 $(0.44) $(0.28) $0.00 $ 9.88 (3.08%)
1995 9.30 0.59 1.02 (0.59) 0.00 10.32 17.75
1994 10.23 0.54 (0.93) (0.54) 0.00 9.30 (3.82)
1993(1) 10.00 0.47 0.50 (0.47) (0.27) 10.23 9.92
INVESTOR CLASS
1996*** $10.35 $0.27 $(0.44) $(0.27) $0.00 $ 9.91 (3.16%)*
1995 9.32 0.55 1.04 (0.56) 0.00 10.35 17.40*
1994 10.24 0.50 (0.90) (0.52) 0.00 9.32 (3.97)*
1993(6) 10.30 0.35 0.23 (0.37) (0.27) 10.24 7.44*
- ------------------------------------------------------------------------------------------------------------------------------------
INTERMEDIATE GOVERNMENT FIXED INCOME FUND
- ------------------------------------------------------------------------------------------------------------------------------------
TRUST CLASS
1996*** $10.06 $0.25 $(0.30) $(0.25) $0.00 $ 9.76 (0.80%)
1995 9.33 0.54 0.73 (0.54) 0.00 10.06 13.86
1994 10.08 0.47 (0.75) (0.47) 0.00 9.33 (2.78)
1993(1) 10.00 0.41 0.18 (0.41) (0.10) 10.08 6.04
INVESTOR CLASS
1996*** $10.05 $0.21 $(0.28) $(0.23) $0.00 $ 9.75 (1.15%)*
1995 9.32 0.49 0.76 (0.52) 0.00 10.05 13.59*
1994 10.07 0.43 (0.73) (0.45) 0.00 9.32 (3.03)*
1993(7) 10.21 0.28 (0.02) (0.30) (0.10) 10.07 3.42*
- ------------------------------------------------------------------------------------------------------------------------------------
</TABLE>
The accompanying notes are an integral part of the financial statements.
48
<PAGE>
JUNE 30, 1996 (Unaudited)
(LOGO)
<TABLE>
<CAPTION>
RATIO OF NET
INVESTMENT
RATIO OF NET RATIO OF EXPENSES INCOME (LOSS)
RATIO OF INVESTMENT TO AVERAGE TO AVERAGE
NET ASSETS EXPENSES INCOME NET ASSETS NET ASSETS PORTFOLIO
END OF TO AVERAGE TO AVERAGE (EXCLUDING (EXCLUDING TURNOVER
PERIOD (000) NET ASSETS NET ASSETS WAIVERS) WAIVERS) RATE
<S> <C> <C> <C> <C> <C> <C>
- ----------------------------------------------------------------------------------------------------------------------------------
TAX-EXEMPT MONEY MARKET FUND
- ----------------------------------------------------------------------------------------------------------------------------------
TRUST CLASS
1996*** $135,866 0.40% 3.04% 0.56% 2.88% n/a
1995 167,945 0.41 3.44 0.56 3.29 n/a
1994 161,054 0.43 2.52 0.59 2.36 n/a
1993(1) 116,000 0.45 1.97 0.60 1.82 n/a
INVESTOR CLASS
1996*** $ 2,509 0.65% 2.79% 0.81% 2.63% n/a
1995 3,244 0.66 3.19 0.81 3.04 n/a
1994 4,204 0.68 2.31 0.84 2.15 n/a
1993(5) 1,394 0.74 1.81 4.88** (2.33)** n/a
- ----------------------------------------------------------------------------------------------------------------------------------
FIXED INCOME FUND
- ----------------------------------------------------------------------------------------------------------------------------------
TRUST CLASS
1996*** $122,237 0.73% 5.75% 0.83% 5.65% 130%
1995 125,563 0.74 5.97 0.84 5.87 59
1994 92,402 0.72 5.45 0.82 5.35 126
1993(1) 131,002 0.77 4.60 0.87 4.50 163
INVESTOR CLASS
1996*** $ 663 0.98% 5.50% 1.08% 5.40% 130%
1995 646 0.99 5.72 1.09 5.62 59
1994 442 0.98 5.38 1.08 5.28 126
1993(6) 86 1.06 4.08 42.44** (37.30)** 163
- ----------------------------------------------------------------------------------------------------------------------------------
INTERMEDIATE GOVERNMENT FIXED INCOME
- ----------------------------------------------------------------------------------------------------------------------------------
TRUST CLASS
1996*** $ 66,539 0.73% 5.10% 0.83% 5.00% 107%
1995 73,466 0.73 5.48 0.83 5.38 115
1994 91,002 0.74 4.88 0.84 4.78 124
1993(1) 104,826 0.76 4.15 0.86 4.05 81
INVESTOR CLASS
1996*** $ 436 0.98% 4.74% 1.08% 4.64% 107%
1995 2,946 0.98 5.18 1.08 5.08 115
1994 1,133 1.02 5.05 1.12 4.95 124
1993(7) 46 1.04 3.85 77.08** (72.19)** 81
- ----------------------------------------------------------------------------------------------------------------------------------
</TABLE>
The accompanying notes are an integral part of the financial statements.
49
<PAGE>
================================================================================
FINANCIAL HIGHLIGHTS
For a Share Outstanding Throughout the Period Ended June 30, 1996 (Unaudited)
and the Years Ended December 31.
<TABLE>
<CAPTION>
NET ASSET REALIZED DISTRIBUTIONS DISTRIBUTIONS
VALUE NET AND UNREALIZED FROM NET FROM NET ASSET
BEGINNING INVESTMENT GAINS (LOSSES) INVESTMENT CAPITAL VALUE END TOTAL
OF PERIOD INCOME ON SECURITIES INCOME GAINS OF PERIOD RETURN
<S> <C> <C> <C> <C> <C> <C> <C>
- ------------------------------------------------------------------------------------------------------------------------------------
TAX-EXEMPT FIXED INCOME FUND
- ------------------------------------------------------------------------------------------------------------------------------------
TRUST CLASS
1996*** $10.20 $0.24 $(0.38) $(0.24) $ 0.00 $ 9.82 (2.71%)
1995 9.26 0.48 0.94 (0.48) 0.00 10.20 15.67
1994 10.23 0.44 (0.94) (0.44) (0.03) 9.26 (4.93)
1993(1) 10.00 0.42 0.42 (0.42) (0.19) 10.23 8.64
INVESTOR CLASS
1996*** $10.18 $0.21 $(0.36) $(0.23) $ 0.00 $ 9.80 (2.98%)*
1995 9.24 0.43 0.97 (0.46) 0.00 10.18 15.43*
1994 10.22 0.40 (0.93) (0.42) (0.03) 9.24 (5.27)*
1993(8) 10.29 0.32 0.14 (0.34) (0.19) 10.22 5.73*
- ------------------------------------------------------------------------------------------------------------------------------------
GLOBAL FIXED INCOME FUND
- ------------------------------------------------------------------------------------------------------------------------------------
TRUST CLASS
1996*** $10.58 $0.24 $(0.43) $ 0.00 $ 0.00 $10.39 (3.60%)
1995 9.54 0.62 1.38 (0.96) 0.00 10.58 20.99
1994 10.43 0.56 (0.72) (0.55) (0.18) 9.54 (1.47)
1993(9) 10.00 0.54 0.94 (0.64) (0.41) 10.43 16.33
INVESTOR CLASS
1996*** $10.56 $0.21 $(0.42) $ 0.00 $ 0.00 $10.35 (4.00%)*
1995 9.53 0.52 1.45 (0.94) 0.00 10.56 20.68*
1994 10.42 0.46 (0.64) (0.53) (0.18) 9.53 (1.71)*
1993(10) 10.88 0.40 0.12 (0.57) (0.41) 10.42 6.61*
- ------------------------------------------------------------------------------------------------------------------------------------
BALANCED FUND
- ------------------------------------------------------------------------------------------------------------------------------------
TRUST CLASS
1996*** $10.75 $0.17 $ 0.39 $(0.17) $ 0.00 $11.14 10.60%
1995 9.53 0.39 1.65 (0.39) (0.43) 10.75 21.85
1994 10.04 0.30 (0.50) (0.30) (0.01) 9.53 (2.11)
1993(1) 10.00 0.29 0.39 (0.29) (0.35) 10.04 7.09
INVESTOR CLASS
1996*** $10.75 $0.14 $ 0.41 $(0.16) $ 0.00 $11.14 10.36%*
1995 9.53 0.34 1.67 (0.36) (0.43) 10.75 21.52*
1994 10.03 0.27 (0.49) (0.27) (0.01) 9.53 (2.29)*
1993(11) 10.28 0.20 0.12 (0.22) (0.35) 10.03 4.07*
- ------------------------------------------------------------------------------------------------------------------------------------
</TABLE>
The accompanying notes are an integral part of the financial statements.
50
<PAGE>
JUNE 30, 1996 (Unaudited)
(LOGO)
<TABLE>
<CAPTION>
RATIO OF NET
RATIO OF INVESTMENT
RATIO OF NET EXPENSES INCOME (LOSS)
RATIO OF INVESTMENT TO AVERAGE TO AVERAGE AVERAGE
NET ASSETS EXPENSES INCOME NET ASSETS NET ASSETS PORTFOLIO COMMISSION
END OF TO AVERAGE TO AVERAGE (EXCLUDING (EXCLUDING TURNOVER RATE
PERIOD (000) NET ASSETS NET ASSETS WAIVERS) WAIVERS) RATE (TRIPLE DAGGER)
<S> <C> <C> <C> <C> <C> <C> <C>
- ------------------------------------------------------------------------------------------------------------------------------------
TAX-EXEMPT FIXED INCOME FUND
- ------------------------------------------------------------------------------------------------------------------------------------
TRUST CLASS
1996*** $ 45,162 0.72% 4.93% 0.85% 4.80% 65% n/a
1995 50,079 0.75 4.84 0.87 4.72 129 n/a
1994 53,588 0.71 4.54 0.84 4.41 146 n/a
1993(1) 67,162 0.75 4.17 0.85 4.07 149 n/a
INVESTOR CLASS
1996*** $ 938 0.97% 4.68% 1.10% 4.55% 65% n/a
1995 1,131 1.00 4.59 1.12 4.47 129 n/a
1994 1,059 0.97 4.35 1.10 4.22 146 n/a
1993(8) 428 1.05 3.88 11.86** (6.93)** 149 n/a
- ------------------------------------------------------------------------------------------------------------------------------------
GLOBAL FIXED INCOME FUND
- ------------------------------------------------------------------------------------------------------------------------------------
TRUST CLASS
1996*** $ 17,318 1.14% 4.80% 1.14% 4.80% 43% n/a
1995 17,433 1.10 5.86 1.16 5.80 105 n/a
1994 15,021 1.16 5.09 1.22 5.03 138 n/a
1993(9) 16,488 1.21 5.95 1.21 5.95 146 n/a
INVESTOR CLASS
1996*** $ 143 1.39% 4.56% 1.39% 4.56% 43% n/a
1995 125 1.35 5.57 1.41 5.51 105 n/a
1994 87 1.41 5.03 7.54 (1.10) 138 n/a
1993(10) 17 1.56 5.85 319.45** (312.04)** 146 n/a
- ------------------------------------------------------------------------------------------------------------------------------------
BALANCED FUND
- ------------------------------------------------------------------------------------------------------------------------------------
TRUST CLASS
1996*** $ 51,903 0.93% 3.19% 0.93% 3.19% 75% $0.0516
1995 49,899 0.92 3.74 0.92 3.74 85 n/a
1994 72,086 0.94 3.11 0.94 3.11 85 n/a
1993(1) 58,510 0.97 2.88 0.97 2.88 126 n/a
INVESTOR CLASS
1996*** $ 3,977 1.18% 2.93% 1.18% 2.93% 75% $0.0516
1995 3,949 1.22 3.36 1.22 3.36 85 n/a
1994 2,894 1.24 2.86 1.34 2.76 85 n/a
1993(11) 1,265 1.30 2.30 5.06** (1.46)** 126 n/a
- ------------------------------------------------------------------------------------------------------------------------------------
</TABLE>
The accompanying notes are an integral part of the financial statements.
51
<PAGE>
================================================================================
FINANCIAL HIGHLIGHTS
For a Share Outstanding Throughout the Period Ended June 30, 1996 (Unaudited)
and the Years Ended December 31.
<TABLE>
<CAPTION>
NET ASSET NET REALIZED DISTRIBUTIONS DISTRIBUTIONS
VALUE INVESTMENT AND UNREALIZED FROM NET FROM CONTRIBUTION NET ASSET
BEGINNING INCOME GAINS (LOSSES) INVESTMENT CAPITAL OF VALUE END
OF PERIOD (LOSS) ON SECURITIES INCOME GAINS CAPITAL OF PERIOD
<S> <C> <C> <C> <C> <C> <C> <C>
- ------------------------------------------------------------------------------------------------------------------------------------
VALUE FUND
- ------------------------------------------------------------------------------------------------------------------------------------
TRUST CLASS
1996*** $12.26 $0.14 $1.03 $(0.14) $ 0.00 $0.00 $13.29
1995 9.79 0.34 2.74 (0.35) (0.26) 0.00 12.26
1994 10.30 0.35 (0.35) (0.34) (0.17) 0.00 9.79
1993(1) 10.00 0.28 0.38 (0.28) (0.08) 0.00 10.30
INVESTOR CLASS
1996*** $12.28 $0.13 $1.03 $(0.13) $ 0.00 $0.00 $13.31
1995 9.80 0.32 2.74 (0.32) (0.26) 0.00 12.28
1994 10.30 0.31 (0.33) (0.31) (0.17) 0.00 9.80
1993(12) 10.41 0.21 (0.03) (0.21) (0.08) 0.00 10.30
- ------------------------------------------------------------------------------------------------------------------------------------
GROWTH FUND
- ------------------------------------------------------------------------------------------------------------------------------------
TRUST CLASS
1996*** $11.61 $0.09 $0.98 $(0.09) $ 0.00 $0.00 $12.59
1995 9.73 0.16 2.88 (0.16) (1.00) 0.00 11.61
1994 10.21 0.16 (0.36) (0.16) (0.12) 0.00 9.73
1993(1) 10.00 0.17 0.33 (0.17) (0.12) 0.00 10.21
INVESTOR CLASS
1996*** $11.62 $0.07 $0.99 $(0.07) $ 0.00 $0.00 $12.61
1995 9.74 0.12 2.89 (0.13) (1.00) 0.00 11.62
1994 10.23 0.13 (0.37) (0.13) (0.12) 0.00 9.74
1993(13) 10.44 0.10 (0.08) (0.11) (0.12) 0.00 10.23
- ------------------------------------------------------------------------------------------------------------------------------------
INTERNATIONAL EQUITY FUND
- ------------------------------------------------------------------------------------------------------------------------------------
TRUST CLASS
1996*** $14.56 $0.06 $0.89 $ 0.00 $ 0.00 $0.03 $15.54
1995 13.00 0.07 1.75 (0.06) (0.20) 0.00 14.56
1994 12.59 0.02 0.40 0.00 (0.01) 0.00 13.00
1993(1) 10.00 0.00 2.63 0.00 (0.04) 0.00 12.59
INVESTOR CLASS
1996*** $14.52 $0.04 $0.89 $ 0.00 $ 0.00 $0.03 $15.48
1995 12.96 0.05 1.73 (0.02) (0.20) 0.00 14.52
1994 12.58 0.02 0.37 0.00 (0.01) 0.00 12.96
1993(14) 10.93 (0.01) 1.70 0.00 (0.04) 0.00 12.58
- ------------------------------------------------------------------------------------------------------------------------------------
</TABLE>
The accompanying notes are an integral part of the financial statements.
52
<PAGE>
JUNE 30, 1996 (Unaudited)
(LOGO)
<TABLE>
<CAPTION>
RATIO OF NET
RATIO OF INVESTMENT
RATIO OF NET EXPENSES INCOME (LOSS)
RATIO OF INVESTMENT TO AVERAGE TO AVERAGE AVERAGE
NET ASSETS EXPENSES INCOME (LOSS) NET ASSETS NET ASSETS PORTFOLIO COMMISSION
TOTAL END OF TO AVERAGE TO AVERAGE (EXCLUDING (EXCLUDING TURNOVER RATE
RETURN PERIOD (000) NET ASSETS NET ASSETS WAIVERS) WAIVERS) RATE (TRIPLE DAGGER)
<S> <C> <C> <C> <C> <C> <C> <C> <C>
- ------------------------------------------------------------------------------------------------------------------------------------
VALUE FUND
- ------------------------------------------------------------------------------------------------------------------------------------
TRUST CLASS
1996*** 19.31% $141,387 1.02% 2.21% 1.02% 2.21% 41% $0.0515
1995 32.02% 131,243 1.05 3.07 1.05 3.07 37 n/a
1994 0.00 61,557 1.06 3.45 1.06 3.45 38 n/a
1993(1) 6.73 54,340 1.10 2.85 1.10 2.85 40 n/a
INVESTOR CLASS
1996*** 19.00%* $ 1,716 1.27% 1.96% 1.27% 1.96% 41% $0.0515
1995 31.72%* 1,497 1.33 2.79 1.33 2.79 37 n/a
1994 (0.21)* 731 1.37 3.13 1.37 3.13 38 n/a
1993(12) 1.95* 435 1.48 2.51 8.99** (5.00)** 40 n/a
- ------------------------------------------------------------------------------------------------------------------------------------
GROWTH FUND
- ------------------------------------------------------------------------------------------------------------------------------------
TRUST CLASS
1996*** 18.54% $ 86,267 1.02% 1.43% 1.02% 1.43% 36% $0.0600
1995 31.60% 78,216 1.02 1.37 1.02 1.37 71 n/a
1994 (2.05) 82,710 1.02 1.58 1.03 1.57 68 n/a
1993(1) 5.07 98,581 1.06 1.70 1.07 1.69 82 n/a
INVESTOR CLASS
1996*** 18.18%* $ 2,880 1.27% 1.18% 1.27% 1.18% 36% $0.0600
1995 31.29* 2,681 1.31 1.10 1.31 1.10 71 n/a
1994 (2.42)* 1,530 1.33 1.30 1.33 1.30 68 n/a
1993(13) (0.23)* 840 1.43 1.24 6.55** (3.88)** 82 n/a
- ------------------------------------------------------------------------------------------------------------------------------------
INTERNATIONAL EQUITY FUND
- ------------------------------------------------------------------------------------------------------------------------------------
TRUST CLASS
1996*** 13.50%+ $ 84,295 1.34% 0.82% 1.34% 0.82% 8% $0.0514
1995 14.03 77,519 1.38 0.70 1.38 0.70 11 n/a
1994 3.32 41,324 1.43 0.21 1.46 0.18 6 n/a
1993(1) 26.55 23,457 1.64 0.03 1.64 0.03 13 n/a
INVESTOR CLASS
1996*** 13.26%+* $ 1,689 1.59% 0.55% 1.59% 0.55% 8% $0.0514
1995 13.79* 1,686 1.68 0.42 1.68 0.42 11 n/a
1994 3.08* 1,179 1.73 0.03 2.22 (0.46) 6 n/a
1993(14) 23.52* 321 1.92 (0.38) 20.12** (18.58)** 13 n/a
- ------------------------------------------------------------------------------------------------------------------------------------
</TABLE>
The accompanying notes are an integral part of the financial statements.
53
<PAGE>
================================================================================
FINANCIAL HIGHLIGHTS
For a Share Outstanding Throughout the Period Ended June 30, 1996 (Unaudited)
and the Years Ended December 31.
<TABLE>
<CAPTION>
NET ASSET NET REALIZED DISTRIBUTIONS DISTRIBUTIONS
VALUE INVESTMENT AND UNREALIZED FROM NET FROM CONTRIBUTION NET ASSET
BEGINNING INCOME GAINS (LOSSES) INVESTMENT CAPITAL OF VALUE END
OF PERIOD (LOSS) ON SECURITIES INCOME GAINS CAPITAL OF PERIOD
<S> <C> <C> <C> <C> <C> <C> <C>
- ------------------------------------------------------------------------------------------------------------------------------------
SMALL CAP FUND
- ------------------------------------------------------------------------------------------------------------------------------------
TRUST CLASS
1996*** $12.46 $(0.02) $1.16 $0.00 $0.00 $ 0.00 $13.60
1995 9.57 0.02 3.05 (0.02) (0.16) 0.00 12.46
1994 10.24 0.03 (0.67) (0.03) 0.00 0.00 9.57
1993(1) 10.00 0.04 0.24 (0.04) 0.00 0.00 10.24
INVESTOR CLASS
1996*** $12.46 $(0.04) $1.16 $0.00 $0.00 $ 0.00 $13.58
1995 9.58 (0.01) 3.05 0.00 (0.16) 0.00 12.46
1994 10.25 0.00 (0.67) 0.00 0.00 0.00 9.58
1993(15) 9.51 0.00 0.75 (0.01) 0.00 0.00 10.25
- ------------------------------------------------------------------------------------------------------------------------------------
ASIAN TIGERS FUND
- ------------------------------------------------------------------------------------------------------------------------------------
TRUST CLASS
1996*** $10.45 $0.02 $1.04 $ 0.00 $ 0.00 $0.02 $11.53
1995 9.47 0.12 0.98 (0.12) 0.00 0.00 10.45
1994(16) 10.00 0.03 (0.53) (0.02) (0.01) 0.00 9.47
INVESTOR CLASS
1996*** $10.44 $(0.01) $1.05 $ 0.00 $ 0.00 $0.02 $11.50
1995 9.47 0.11 0.95 (0.09) 0.00 0.00 10.44
1994(17) 10.00 0.01 (0.53) 0.00 (0.01) 0.00 9.47
- ------------------------------------------------------------------------------------------------------------------------------------
<FN>
* Sales load is not included in total return.
** Ratios are high relative to subsequent years as a result of the
low, initial asset levels during the Investor Classes' initial
year of operations.
*** For the period ended June 30, 1996. All ratios including total
return for that period have been annualized.
(DAGGER) The total return for the period ended June 30, 1996 includes the
effect of a capital contribution from an affiliate of the
Advisor.Without the capital contribution, the total return for
the Trust Class and Investor Class would have been 13.08% and
12.85%, respectively.
(DOUBLE DAGGER) The total return for the period ended June 30, 1996 includes
the effect of a capital contribution from an affiliate of the
Advisor. Without the capital contribution, the total return for
the Trust Class and Investor Class would have been 20.34% and
19.98%, respectively.
(TRIPLE DAGGER) Average commission rate paid per share for security purchases
and sales during the period. Presentation of the rate is
required for fiscal years beginning after 9/1/95.
1. Commenced operations on January 4, 1993. All ratios and total returns for
the period have been annualized.
2. Commenced operations on March 25, 1993. All ratios and total returns for the
period have been annualized.
3. Commenced operations on April 22, 1993. All ratios and total returns for the
period have been annualized.
</FN>
</TABLE>
54
<PAGE>
JUNE 30, 1996 (Unaudited)
(LOGO)
<TABLE>
<CAPTION>
RATIO OF NET
RATIO OF INVESTMENT
RATIO OF NET EXPENSES INCOME (LOSS)
RATIO OF INVESTMENT TO AVERAGE TO AVERAGE AVERAGE
NET ASSETS EXPENSES INCOME (LOSS) NET ASSETS NET ASSETS PORTFOLIO COMMISSION
TOTAL END OF TO AVERAGE TO AVERAGE (EXCLUDING (EXCLUDING TURNOVER RATE
RETURN PERIOD (000) NET ASSETS NET ASSETS WAIVERS) WAIVERS) RATE (TRIPLE DAGGER)
<S> <C> <C> <C> <C> <C> <C> <C> <C>
- -----------------------------------------------------------------------------------------------------------------------------------
SMALL CAP FUND
- -----------------------------------------------------------------------------------------------------------------------------------
TRUST CLASS
1996*** 18.40% $27,452 1.05% (0.28%) 1.05% (0.28%) 67% $0.0585
1995 32.13 23,844 1.10 0.18 1.10 0.18 142 n/a
1994 (6.27) 31,527 1.06 0.27 1.06 0.27 43 n/a
1993(1) 2.82 53,357 1.09 0.40 1.10 0.39 27 n/a
INVESTOR CLASS
1996*** 18.08%* $ 596 1.30% (0.54%) 1.30% (0.54%) 67% $0.0585
1995 31.73* 553 1.39 (0.08) 1.39 (0.08) 142 n/a
1994 (6.54)* 294 1.38 0.02 1.38 0.02 43 n/a
1993(15) 10.55* 124 1.57 (0.10) 33.84** (32.37)** 27 n/a
- -----------------------------------------------------------------------------------------------------------------------------------
ASIAN TIGERS FUND
- -----------------------------------------------------------------------------------------------------------------------------------
TRUST CLASS
1996*** 20.73%++ $31,907 1.51% 0.44% 1.51% 0.44% 4% $0.0139
1995 11.61 23,145 1.52 1.38 1.60 1.30 28 n/a
1994(16) (5.07) 17,860 1.60 0.45 1.71 0.34 13 n/a
INVESTOR CLASS
1996*** 20.36%++* $ 868 1.76% (0.14%) 1.76% (0.14%) 4% $0.0139
1995 11.18* 733 1.81 1.05 1.88 0.98 28 n/a
1994(17) (5.37)* 705 1.90 0.15 2.75** (0.70)** 13 n/a
- -----------------------------------------------------------------------------------------------------------------------------------
<FN>
4. Commenced operations on March 31, 1993. All ratios and total returns for
the period have been annualized.
5. Commenced operations on April 13, 1993. All ratios and total returns for
the period have been annualized.
6. Commenced operations on March 12, 1993. All ratios and total returns for
the period have been annualized.
7. Commenced operations on April 12, 1993. All ratios and total returns for
the period have been annualized.
8. Commenced operations on March 9, 1993. All ratios and total returns for the
period have been annualized.
9. Commenced operations on February 7, 1993. All ratios and total returns for
the period have been annualized.
10. Commenced operations on April 26, 1993. All ratios and total returns for
the period have been annualized.
11. Commenced operations on March 9, 1993. All ratios and total returns for the
period have been annualized.
12. Commenced operations on March 26, 1993. All ratios and total returns for
the period have been annualized.
13. Commenced operations on March 8, 1993. All ratios and total returns for the
period have been annualized.
14. Commenced operations on April 12, 1993. All ratios and total returns for
the period have been annualized.
15. Commenced operations on April 12, 1993. All ratios and total returns for
the period have been annualized.
16. Commenced operations on January 3, 1994. All ratios and total returns for
the period have been annualized.
17. Commenced operations on January 12, 1994. All ratios and total returns for
the period have been annualized.
</FN>
</TABLE>
The accompanying notes are an integral part of the financial statements.
55
<PAGE>
NOTES TO FINANCIAL STATEMENTS
1. ORGANIZATION
Rembrandt Funds(R) (the "Trust") was organized as a Massachusetts business trust
under a Declaration of Trust dated September 17, 1992. The Trust is registered
under the Investment Company Act of 1940, as amended, as an open-end management
investment company with 17 funds: Treasury Money Market Fund, Government Money
Market Fund, Money Market Fund, Tax-Exempt Money Market Fund (collectively "the
Money Market Funds"), Fixed Income Fund, Intermediate Government Fixed Income
Fund, Tax-Exempt Fixed Income Fund, Global Fixed Income Fund, Limited Volatility
Fixed Income Fund (collectively "the Fixed Income Funds"), Balanced Fund, Value
Fund, Growth Fund, International Equity Fund, Small Cap Fund, TransEurope Fund,
Latin America Equity Fund and Asian Tigers Fund (collectively "the Equity
Funds"). The Limited Volatility Fixed Income Fund, Latin America Equity Fund and
TransEurope Fund had not yet commenced operations as of June 30, 1996. The
Fund's prospectus provides a description of each Fund's investment objectives,
policies and strategies. The assets of each Fund are segregated, and a
shareholder's interest is limited to the Fund in which shares are held. The
Trust is registered to offer two classes of shares: Trust Class and Investor
Class.
2. SIGNIFICANT ACCOUNTING POLICIES
The following is a summary of the significant accounting policies followed by
the Funds.
SECURITY VALUATION--Investments in equity securities which are traded on a
national securities exchange (or reported on NASDAQ national market system) are
stated at the last quoted sales price if readily available for such equity
securities on each business day; other equity securities traded in the
over-the-counter market and listed equity securities for which no sale was
reported on that date are stated at the last quoted bid price. Debt obligations
exceeding 60 days to maturity for which market quotations are readily available
are valued at the most recently quoted bid price. Debt obligations with 60 days
or less until maturity may be valued at their amortized cost. Foreign securities
in the Global Fixed Income Fund, Asian Tigers Fund, and International Equity
Fund are valued based upon quotations from the primary market in which they are
traded.
Investment securities held by the Money Market Funds are stated at
amortized cost which approximates market value. Under the amortized cost method,
any discount or premium is amortized ratably to the maturity of the security and
is included in interest income.
FEDERAL INCOME TAXES--It is each Fund's intention to qualify as a regulated
investment company for Federal income tax purposes by complying with the
appropriate provisions of the Internal Revenue Code of 1986, as amended.
Accordingly, no provisions for Federal income taxes are required in the
accompanying financial statements.
SECURITY TRANSACTIONS AND RELATED INCOME--Security transactions are
accounted for on the date the security is purchased or sold (trade date).
Dividend income is recognized on the ex-dividend date, and interest income is
recognized on an accrual basis. Costs used in determining realized gains and
losses on the sales of investment securities are those of the specific
securities sold, adjusted for the accretion and amortization of purchase
discounts and premiums during the respective holding periods. Purchase discounts
and premiums on securities held by the Equity and Fixed Income Funds are
accreted and amortized to maturity using the interest method, which approximates
the effective interest method.
56
<PAGE>
JUNE 30, 1996 (Unaudited)
(LOGO)
REPURCHASE AGREEMENTS--Securities pledged as collateral for repurchase
agreements are held by the custodian bank until the respective agreements
mature. Provisions of the repurchase agreements ensure that the market value of
the collateral, including accrued interest thereon, is sufficient in the event
of default of the counterparty. If the counterparty defaults and the value of
the collateral declines or if the counterparty enters an insolvency proceeding,
realization of the collateral by the Funds may be delayed or limited.
NET ASSET VALUE PER SHARE--The net asset value per share of each Fund or
class of shares is calculated each business day. In general, it is computed by
dividing the assets of each Fund or class of shares less its liabilities, by the
number of outstanding shares of the Fund or class.
FOREIGN CURRENCY TRANSACTIONS--With respect to the Global Fixed Income
Fund, Asian Tigers Fund, and International Equity Fund (the "International
Funds"), the books and records are maintained in U.S. dollars. Foreign currency
amounts are translated into U.S. dollars on the following basis:
(I) market value of investment securities, assets and liabilities at the
current rate of exchange; and
(II) purchases and sales of investment securities, income, and expenses at
the relevent rates of exchange prevailing on the respective dates of
such transactions.
The International Funds do not isolate that portion of gains and losses on
investments in equity securities which is due to changes in the foreign exchange
rates from that which is due to change in market prices of equity securities.
The International Funds report certain foreign currency-related
transactions as components of realized gains for financial reporting purposes,
whereas such components are treated as ordinary income for Federal income tax
purposes.
FORWARD FOREIGN CURRENCY CONTRACTS--The Global Fixed Income Fund enters
into forward foreign currency contracts as hedges against fund positions. The
aggregate principal amounts of the contracts are not recorded as the Fund
intends to settle the contracts prior to delivery. All commitments are
"marked-to-market" daily at the applicable foreign exchange rate and any
resulting unrealized gains or losses are recorded currently. The Fund realizes
gains or losses at the time the forward contracts are extinguished. Unrealized
gains or losses on outstanding positions in forward foreign currency contracts
held at the close of the year are recognized as ordinary income or loss for
Federal income tax purposes.
MATURITY DATES--Certain variable rate and floating rate securities of the
Funds are subject to "maturity shortening" devices such as put or demand
features. Under Rule 2a-7 of the Investment Company Act of 1940, as amended,
these securities are deemed to have maturities shorter than the ultimate
maturity dates. Accordingly, the maturity dates reflected in the Statements of
Net Assets are the shorter of the effective put/demand date or the ultimate
maturity date.
CLASSES--Class-specific expenses are borne by that class. Income, expenses,
and realized and unrealized gains/losses are allocated to the respective classes
on the basis of relative daily net assets.
EXPENSES--Expenses that are directly related to one of the Funds are
charged directly to that Fund. Other operating expenses of the Fund are prorated
to the Funds on the basis of relative net assets.
OTHER--Distributions from net investment income for the Equity and Fixed
Income Funds are paid to shareholders on a periodic basis. Distributions from
net investment income for the Money Market Funds are distributed to shareholders
daily. Any net realized capital gains on sales of securities are distributed to
shareholders at least annually.
57
<PAGE>
NOTES TO FINANCIAL STATEMENTS
The amounts of distributions from net investment income and net realized
capital gains are determined in accordance with Federal income tax regulations,
which may differ from those amounts recorded under generally accepted accounting
principles. These book/tax differences are either temporary or permanent in
nature. To the extent that these differences are permanent, they are charged or
credited to paid-in capital in the period that the difference arises.
3. ADMINISTRATION AND DISTRIBUTION AGREEMENTS
The Trust and SEI Fund Resources (the "Administrator") have entered into an
administration agreement. Under the terms of the Administration Agreement (the
"Administration Agreement"), the Administrator is entitled to a fee calculated
daily and paid monthly at an annual rate of .15% of the average daily net assets
of each Fund.
The Trust and Rembrandt Financial Services Company (the "Distributor"), a
wholly owned subsidiary of SEI Financial Services Company, have entered into a
distribution agreement. The Distributor receives no fees for its distribution
services under this agreement for Trust Class shares of any Fund. The
Distributor is entitled to a fee of .25% of the average daily net assets of the
Investor Class shares of each Fund.
4. ORGANIZATIONAL COSTS AND TRANSACTIONS WITH AFFILIATES
Organizational costs have been capitalized by the Funds and are being amortized
over 60 months, commencing with operations. In the event any of the initial
shares are redeemed by any holder thereof during the period that the Fund is
amortizing its organizational costs, the redemption proceeds payable to the
holder thereof by the Fund will be reduced by the unamortized organizational
costs in the same ratio as the number of initial shares being redeemed bears to
the number of initial shares outstanding at the time of the redemption. These
costs include legal fees of approximately $53,000 for organizational work
performed by a law firm of which an officer of the Trust is a partner.
Certain officers of the Trust are also officers of the Administrator and/or
Distributor. Such officers are paid no fees by the Trust for serving in their
roles as officers of the Trust.
During the six month period ended June 30, 1996, ABN AMRO-NSM International
Funds Management B.V. ("ABN AMRO"), an affiliate of the Advisor, contributed
$196,900 and $43,300 to the International Equity Fund and the Asian Tigers Fund,
respectively. The payments represented reimbursements for certain transactions
effected with affiliated brokers. The payments, which have been accounted for as
contributions to capital, increased net asset value per share by $.03 for the
International Equity Fund and by $.02 for the Asian Tigers Funds.
5. INVESTMENT ADVISORY AGREEMENT
The Trust has entered into an investment
advisory agreement with LaSalle Street Capital Management, Ltd. (the "Advisor"),
under which the Advisor is entitled to an annual fee equal to .60% of the
average daily net assets of each of the Fixed Income, Intermediate Government
Fixed Income, Limited Volatility Fixed Income and Tax-Exempt Fixed Income Funds;
.80% of the average daily net assets of the Global Fixed Income, Value, Growth,
and Small Cap Funds; 1.00% of the average daily net assets of the International
Equity, TransEurope, Latin America Equity and Asian Tigers Funds; .70% of the
average daily net assets of the Balanced Fund; .35% of the average daily net
assets of the Treasury Money Market, Money Market, and Tax-Exempt Money Market
Funds, and .20%
58
<PAGE>
JUNE 30, 1996 (Unaudited)
(LOGO)
of the average daily net assets of the Government Money Market Fund. The Advisor
has voluntarily agreed for an indefinite period of time, to waive a portion of
its fee in an amount equal to .10% of the average daily net assets of each of
the Fixed Income Funds, except the Global Fixed Income Fund. The Advisor has
also voluntarily agreed for an indefinite period of time, to waive a portion of
its fee in an amount equal to .15% of the average daily net assets of each of
the Money Market Funds, except the Government Money Market Fund.
ABN AMRO-NSM International Funds Management B.V. has entered into a
sub-advisory agreement with the Advisor and serves as Sub-Advisor to the
International Funds. Sub-Advisory fees are paid by the Advisor.
6. INVESTMENT TRANSACTIONS
The cost of security purchases and the proceeds from the sale of securities
including U.S. Government securities, other than temporary cash investments,
during the period ended June 30, 1996 were as follows:
PURCHASES SALES
(000) (000)
--------- --------
Fixed Income $156,435 $152,668
Intermediate Government
Fixed Income 72,915 80,353
Tax-Exempt Fixed Income 29,270 30,745
Global Fixed Income 5,583 8,183
Balanced 40,718 38,786
Value 56,126 54,047
Growth 30,497 30,604
International Equity 8,824 6,556
Small Cap 18,062 16,904
Asian Tigers 7,945 998
At June 30, 1996, the total cost of securities and the net realized gains
or losses on securities sold for Federal income tax purposes was not materially
different from amounts reported for financial reporting purposes. The aggregate
gross unrealized appreciation and depreciation on investments at June 30, 1996,
for each Fixed Income and Equity Fund is as follows:
NET
UNREALIZED
APPRECIATED DEPRECIATED APPRECIATION/
SECURITIES SECURITIES (DEPRECIATION)
(000) (000) (000)
----------- ----------- --------------
Fixed Income $ 1,042 $ (1,407) $ (365)
Intermediate
Government
Fixed Income 365 (640) (275)
Tax-Exempt Fixed
Income 640 (313) 327
Global Fixed
Income 488 (260) 228
Balanced 5,732 (941) 4,791
Value 19,340 (2,251) 17,089
Growth 14,452 (2,991) 11,461
International Equity 16,386 (1,207) 15,179
Small Cap 4,867 (1,073) 3,794
Asian Tigers 5,141 (905) 4,236
At December 31, 1995 the following Funds had available realized capital
losses to offset future net capital gains through fiscal year ended:
2002 2003
(000) (000)
------ ------
Government Money Market $ 2 $ --
Tax-Exempt Money Market 10 2
Fixed Income 3,923 --
Intermediate Government Fixed Income 1,919 447
Tax-Exempt Fixed Income 2,215 307
Global Fixed Income 392 --
Asian Tigers -- 142
59
<PAGE>
NOTES TO FINANCIAL STATEMENTS
7. SHAREHOLDER VOTING RESULTS
There was a special meeting of shareholders held on April 29, 1996 at which
shareholders of the Fixed Income Funds, Equity Funds and Balanced Fund (each a
"Fund", and together the "Funds") voted on a series of proposals. Each proposal
and the results of the shareholder meeting are set forth below. There were no
broker non-votes submitted at the meeting.
1. Proposal to amend each Fund's fundamental investment limitation concerning
investment in real estate and commodities to clarify each Fund's ability to
invest in commodities contracts relating to financial instruments and in
marketable securities issued by companies that invest in real estate or
commodities contracts.
INTERNATIONAL ASIAN
VALUE GROWTH SMALL CAP EQUITY TIGERS
For 11,150,189 7,131,981 1,952,765 5,953,169 2,536,447
Against 4,650 21,818 1,549 2,261 5,098
Abstain 2,596 1,902 143 3,979 408
INTERMEDIATE TAX-EXEMPT GLOBAL
FIXED GOVERNMENT FIXED FIXED
INCOME FIXED INCOME INCOME INCOME BALANCED
For 12,666,049 7,171,096 4,778,715 1,648,115 4,925,631
Against 10,682 696 996 3,001 7,220
Abstain -- -- 379 -- 14,771
2. Proposal to reclassify each Fund's fundamental limitation concerning short
sales and margin sales and amend the limitation to clarify each Fund's ability
to make short sales and margin sales and to use margin accounts in connection
with options and futures contracts.
INTERNATIONAL ASIAN
VALUE GROWTH SMALL CAP EQUITY TIGERS
For 11,151,519 7,149,426 1,953,493 5,954,714 2,537,357
Against 3,270 4,339 964 1,013 4,276
Abstain 2,596 1,938 -- 3,682 318
INTERMEDIATE TAX-EXEMPT GLOBAL
FIXED GOVERNMENT FIXED FIXED
INCOME FIXED INCOME INCOME INCOME BALANCED
For 12,676,726 7,171,096 4,779,712 1,648,801 4,926,338
Against 5 696 -- 2,317 5,893
Abstain -- -- 379 -- 15,391
3. Proposal to eliminate each Fund's fundamental limitation concerning puts,
calls, options or combinations thereof.
INTERNATIONAL ASIAN
VALUE GROWTH SMALL CAP EQUITY TIGERS
For 11,148,338 7,148,312 1,952,459 5,953,282 2,538,117
Against 6,451 4,913 1,785 2,279 2,975
Abstain 2,596 2,475 232 3,848 859
INTERMEDIATE TAX-EXEMPT GLOBAL
FIXED GOVERNMENT FIXED FIXED
INCOME FIXED INCOME INCOME INCOME BALANCED
For 12,676,726 7,171,096 4,779,712 1,650,436 4,920,133
Against 5 696 -- 683 12,717
Abstain -- -- 379 -- 14,771
4. Proposal to amend each Fund's fundamental investment limitation concerning
borrowing to enhance each Fund's ability to borrow money.
INTERNATIONAL ASIAN
VALUE GROWTH SMALL CAP EQUITY TIGERS
For 11,140,246 7,148,155 1,953,112 5,952,984 2,537,858
Against 14,542 4,960 1,344 2,844 3,996
Abstain 2,596 2,588 -- 3,780 98
INTERMEDIATE TAX-EXEMPT GLOBAL
FIXED GOVERNMENT FIXED FIXED
INCOME FIXED INCOME INCOME INCOME BALANCED
For 12,676,726 7,171,096 4,776,170 1,650,436 4,917,418
Against 5 696 1,541 683 14,814
Abstain -- -- 379 -- 15,391
5. Proposal to reclassify each Fund's fundamental investment limitation
concerning pledging, mortgaging or hypothecating assets and amending the
limitation to clarify each Fund's ability to make good faith margin deposits in
connection with options and futures contracts.
INTERNATIONAL ASIAN
VALUE GROWTH SMALL CAP EQUITY TIGERS
For 11,151,519 7,150,495 1,953,232 5,954,459 2,538,520
Against 3,270 2,943 1,082 1,267 2,765
Abstain 2,596 2,263 143 3,682 566
INTERMEDIATE TAX-EXEMPT GLOBAL
FIXED GOVERNMENT FIXED FIXED
INCOME FIXED INCOME INCOME INCOME BALANCED
For 12,676,726 7,171,096 4,772,539 1,651,119 4,923,846
Against 5 696 -- -- 8,669
Abstain -- -- 7,652 -- 15,106
60
<PAGE>
JUNE 30, 1996 (Unaudited)
(LOGO)
6. Proposal to reclassify each Fund's fundamental investment limitation
concerning investment in securities of investment companies as a non-fundamental
policy and to amend certain language to clarify the non-fundamental policy.
INTERNATIONAL ASIAN
VALUE GROWTH SMALL CAP EQUITY TIGERS
For 11,148,768 7,147,129 1,952,908 5,953,916 2,539,019
Against 8,021 6,308 1,549 1,811 2,614
Abstain 2,596 2,283 -- 3,682 318
INTERMEDIATE TAX-EXEMPT GLOBAL
FIXED GOVERNMENT FIXED FIXED
INCOME FIXED INCOME INCOME INCOME BALANCED
For 12,676,726 7,171,096 4,772,539 1,650,436 4,920,525
Against 5 696 7,173 683 11,990
Abstain -- -- 379 -- 15,106
61
<PAGE>
Notes
<PAGE>
Notes
<PAGE>
Notes
<PAGE>
IT'S EASY TO INVEST
IN THE REMBRANDT FUNDS
For more complete information, including information on
charges and expenses, call 1-800-443-4725 or contact us on
the Internet at http://www.rembrandtfunds.com.
You'll receive a free investor kit, including our prospectus.
Please read it carefully before you invest or send money.
SERVICE FEATURES
(BULLET) Toll-free access to your account information.
(BULLET) Free telephone exchanges as often as you require.
(BULLET) Free dividend reinvestment to help build your account.
(BULLET) Free automatic investment plans of $50 or more per month.
(BULLET) Free systematic withdrawal plans.
(BULLET) Free check-writing for amounts of $500 or more (on money
market accounts only).
(BULLET) You have the option of investing your personal
savings, IRA, rollover, Keogh, or SEPdollars in
the Rembrandt Funds.
(BULLET) Quarterly statements.
(BULLET) ACH and wire transfers available.
(BULLET) Tax-free rollovers into an IRA.
(BULLET) IRA custodial fee waived for investments over $15,000.
(BULLET) Minimum initial investment for the Investor Class is $2,000
($1,000 for IRAs), with subsequent investments of $100 or more.
<PAGE>
REMBRANDT FUNDS(REGISTRATION MARK)
- --------------------------------------------------------------------------------
SEMI-ANNUALREPORT
- --------------------------------------------------------------------------------
JUNE 30, 1996 (UNAUDITED)
MONEY MARKET FUNDS
TREASURY MONEY MARKET FUND
GOVERNMENT MONEY MARKET FUND
MONEY MARKET FUND
TAX-EXEMPT MONEY MARKET FUND
FIXED INCOME FUNDS
FIXED INCOME FUND
INTERMEDIATE GOVERNMENT FIXED INCOME FUND
TAX-EXEMPT FIXED INCOME FUND
GLOBAL FIXED INCOME FUND
BALANCED FUND
BALANCED FUND
EQUITY FUNDS
VALUE FUND
GROWTH FUND
INTERNATIONAL EQUITY FUND
SMALL CAP FUND
ASIAN TIGERS FUND
FOR MORE INFORMATION, CALL 1-800-443-4725.
OR CONTACT US ON THE INTERNET
AT HTTP://WWW.REMBRANDTFUNDS.COM.
INVESTMENT ADVISER
LASALLE STREET CAPITAL MANAGEMENT, LTD.
10 South LaSalle Street
Suite 3701
Chicago, IL 60603
ADMINISTRATOR
SEI FUND RESOURCES
680 East Swedesford Road
Wayne, PA 19087
DISTRIBUTOR
REMBRANDT FINANCIAL SERVICES COMPANY
680 East Swedesford Road
Wayne, PA 19087
LEGAL COUNSEL
MORGAN, LEWIS & BOCKIUS LLP
2000 One Logan Square
Philadelphia, PA 19103
AUDITORS
ERNST & YOUNG LLP
Two Commerce Square
2001 Market Street
Suite 4000
Philadelphia, PA 19103
REMBRANDT
FUNDS (REGISTRATION MARK)
(LOGO)
THE ART
OF MAKING
MONEY WORK
THIS REPORT AND THE FINANCIAL STATEMENTS CONTAINED HEREIN ARE
FOR THE GENERAL INFORMATION OF THE SHAREHOLDERS OF THE FUNDS NAMED ABOVE.
THIS REPORT IS NOT AUTHORIZED FOR DISTRIBUTION TO PROSPECTIVE INVESTORS
IN A FUND UNLESS PRECEDED OR ACCOMPANIED BY A CURRENTLY EFFECTIVE PROSPECTUS.
REM-F-013-01
