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Previous: FEDERATED MANAGED ALLOCATION PORTFOLIOS, NSAR-A, EX-27, 2000-07-28 |
Next: ARCH COMMUNICATIONS GROUP INC /DE/, 8-K, 2000-07-28 |
SEMI-ANNUAL REPORT
Dear Shareholder:
I am pleased to present the Semi-Annual Report to Shareholders for Federated Managed Conservative Growth Portfolio, a portfolio of Federated Managed Allocation Portfolios, for the six-month period from December 1, 1999 through May 31, 2000. Included in this report is an investment review, followed by a complete listing of the fund's holdings, financial statements and financial highlights.
In pursuit of its investment objective, the fund invests in a well-diversified portfolio of stocks and bonds. At the end of the reporting period, 37% of the fund's $204-million portfolio was invested across stocks, including large cap and foreign.1 The rest of the portfolio was diversified among U.S. and foreign bonds.1
During the reporting period, the fund's Institutional Shares delivered a total return of 1.31% through dividends totaling $0.226 per share, and capital gains totaling $0.260 per share.2 The fund's Select Shares produced a total return of 0.96% through dividends totaling $0.185 per share, and capital gains totaling $0.260 per share.2
Thank you for pursuing your long-term goals through the high level of diversification and professional management of Federated Managed Conservative Growth Portfolio. As always, we invite your comments and suggestions.
Sincerely,
Glen R. Johnson
Glen R. Johnson
President
July 15, 2000
1 Foreign investing involves special risks including currency risk, increased volatility of foreign securities, and differences in auditing and other financial standards.
2 Past performance is no guarantee of future results. Investment return and principal value will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost.
The six month reporting period ended May 31, 2000 was a generally favorable one for financial assets, and Federated Managed Conservative Growth Portfolio participated in the advance. For the reporting period, an investor in the fund's Institutional Shares had a total return of 1.31%,1 while an investor in the fund's Select Shares had a total return of 0.96%.1 As usual, performance among asset classes showed wide variation. Stocks of small U.S. companies did especially well early in the reporting period before declining in the last half of the reporting period when large company stocks provided better relative performance. Unlike stocks, bond prices fell early in the reporting period before rising for most of the remainder. The rising value of the dollar reduced returns to dollar-based holders of foreign stocks and bonds.
Federated Managed Conservative Growth Portfolio operates on an investment philosophy that, over time, an investor with a diversified portfolio should achieve better returns with the same risk, or the same returns with lower risk, than an investor in a single asset category. Therefore, to ensure proper diversification of its portfolio, the fund's investment policies require management to allocate the portfolio among as many as eight asset categories and limit the weight of each asset category. In allocating the fund's portfolio among asset categories, fund management analyzes the relative value offered by each category under prevailing market conditions. Fund management seeks to improve the fund's performance by weighting most heavily the asset categories that management believes will provide the best relative return. The following table shows the allocation of the portfolio among different asset categories at May 31, 2000.
1 Past performance is no guarantee of future results. Investment return and principal value will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost.
|
Asset |
|
Benchmark |
|
Percentage as |
|
Bonds1 |
|
|
|
62 |
|
U.S. Treasury Securities |
|
21.6 |
|
23 |
|
Mortgage-Backed Securities |
|
18.5 |
|
18 |
|
Investment Grade Corporate Bonds |
|
11.9 |
|
13 |
|
High Yield Corporate Bonds |
|
3.0 |
|
3 |
|
Foreign Bonds |
|
5.0 |
|
5 |
|
|
|
|
|
|
|
Equities1 |
|
|
|
37 |
|
Large Company Stocks |
|
25.0 |
|
26 |
|
Small Company Stocks |
|
5.0 |
|
5 |
|
Foreign Stocks |
|
10.0 |
|
6 |
1 Bonds convertible into equity securities at a price below the closing price of the underlying equity securities on May 31, 2000 have been included under the appropriate equity asset category.
The fund has a below normal allocation to stocks following the steep decline in the prices of small company stocks during March, April and May. Concerns that the strong rate of growth in the U.S. economy would lead to higher inflation rates has resulted in the Federal Reserve Board (the "Fed") increasing short-term interest rates on three occasions during the six-month reporting period. When economic growth failed to slow, investors became concerned that many additional increases by the Fed would be necessary to prevent higher inflation. These concerns contributed to the decline in stock prices.
Management has adopted a normal bond position following the rise in bond prices which occurred during the past six months. At the beginning of the reporting period, bond yields were higher because of investor concerns that the rapid rate of growth in the U.S. economy would lead to higher inflation rates. As the Fed continued to increase short-term interest rates in order to slow economic growth, investor concerns diminished. This change in outlook resulted in a reduction in bond yields and higher bond prices.
Within the bond portfolio, investment grade corporate bonds are currently emphasized because of the higher than normal yield advantage which these securities tend to offer. Following the announcement by the U.S. Treasury that a portion of the fiscal surplus will be used to reduce the supply of outstanding U.S. Treasury bonds, prices of these bonds rose more rapidly than the prices of other types of bonds resulting in higher relative yields for other types of bonds.
Within the equity portfolio, the large cap stocks are currently held at above their normal allocations while small cap and foreign stocks are held at below their normal allocations. This allocation contributed to the returns of the fund as large cap stocks had better performance relative to small cap stocks during the latter part of the reporting period. The lower weight on foreign stocks also contributed to returns as the increase in the value of the dollar over the last six months has decreased the returns for U.S. investors in foreign stocks.
MAY 31, 2000 (UNAUDITED)
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--36.9% |
|
|
|
|
|
|
|
LARGE-CAP STOCKS--25.8% |
|
|
|
|
|
|
|
Basic Materials--0.6% |
|
|
|
|
|
8,101 |
|
Du Pont (E.I.) de Nemours & Co. |
|
$ |
396,949 |
|
|
4,000 |
|
PPG Industries, Inc. |
|
|
198,250 |
|
|
7,200 |
|
Weyerhaeuser Co. |
|
|
357,300 |
|
|
8,200 |
|
Willamette Industries, Inc. |
|
|
266,500 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,218,999 |
|
|
||||||
|
|
|
|
Capital Goods--1.7% |
|
|
|
|
|
4,200 |
|
Caterpillar, Inc. |
|
|
160,650 |
|
|
3,900 |
|
Eaton Corp. |
|
|
282,994 |
|
|
36,600 |
|
General Electric Co. |
|
|
1,926,075 |
|
|
4,800 |
|
Honeywell International, Inc. |
|
|
262,500 |
|
|
11,700 |
|
Tyco International Ltd. |
|
|
550,631 |
|
|
3,200 |
|
United Technologies Corp. |
|
|
193,400 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
3,376,250 |
|
|
||||||
|
|
|
|
Communication Services--2.0% |
|
|
|
|
|
6,300 |
|
Alltel Corp. |
|
|
412,256 |
|
|
21,765 |
|
AT&T Corp. |
|
|
754,973 |
|
|
11,200 |
|
Bell Atlantic Corp. |
|
|
592,200 |
|
|
13,800 |
|
BellSouth Corp. |
|
|
644,287 |
|
|
6,800 |
|
Comcast Corp., Class A |
|
|
257,550 |
|
|
9,200 |
|
GTE Corp. |
|
|
581,900 |
|
|
2,900 |
1 |
NEXTEL Communications, Inc., Class A |
|
|
268,613 |
|
|
6,400 |
1 |
Sprint Corp. (PCS Group) |
|
|
355,200 |
|
|
2,600 |
|
U.S. West, Inc. |
|
|
187,200 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
4,054,179 |
|
|
||||||
|
|
|
|
Consumer Cyclicals--1.7% |
|
|
|
|
|
3,200 |
1 |
Convergys Corp. |
|
|
143,800 |
|
|
5,000 |
|
Costco Wholesale Corp. |
|
|
159,687 |
|
|
10,100 |
|
Ford Motor Co. |
|
|
490,481 |
|
|
5,700 |
|
General Motors Corp. |
|
|
402,562 |
|
|
11,450 |
|
Home Depot, Inc. |
|
|
558,903 |
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
LARGE-CAP STOCKS--continued |
|
|
|
|
|
|
|
Consumer Cyclicals--continued |
|
|
|
|
|
7,500 |
|
Knight-Ridder, Inc. |
|
$ |
397,500 |
|
|
3,800 |
|
Target Corp. |
|
|
238,213 |
|
|
20,500 |
|
Wal-Mart Stores, Inc. |
|
|
1,181,313 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
3,572,459 |
|
|
||||||
|
|
|
|
Consumer Staples--2.2% |
|
|
|
|
|
5,000 |
1 |
Clear Channel Communications, Inc. |
|
|
374,375 |
|
|
11,800 |
|
Coca-Cola Co. |
|
|
629,825 |
|
|
6,100 |
|
Dial Corp. |
|
|
86,925 |
|
|
4,600 |
|
Gillette Co. |
|
|
153,525 |
|
|
6,200 |
|
Kimberly-Clark Corp. |
|
|
375,100 |
|
|
7,700 |
|
PepsiCo, Inc. |
|
|
313,294 |
|
|
14,300 |
|
Philip Morris Cos., Inc. |
|
|
373,588 |
|
|
7,600 |
|
Procter & Gamble Co. |
|
|
505,400 |
|
|
8,377 |
1 |
Viacom, Inc., Class B |
|
|
519,374 |
|
|
11,600 |
|
Walgreen Co. |
|
|
329,150 |
|
|
18,900 |
|
Walt Disney Co. |
|
|
797,344 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
4,457,900 |
|
|
||||||
|
|
|
|
Energy--2.3% |
|
|
|
|
|
9,700 |
|
Ashland, Inc. |
|
|
338,894 |
|
|
5,500 |
|
Chevron Corp. |
|
|
508,406 |
|
|
5,897 |
|
Conoco, Inc., Class B |
|
|
168,064 |
|
|
23,540 |
|
Exxon Mobil Corp. |
|
|
1,961,176 |
|
|
3,700 |
|
Halliburton Co. |
|
|
188,700 |
|
|
12,100 |
|
Royal Dutch Petroleum Co., ADR |
|
|
755,494 |
|
|
5,400 |
|
Schlumberger Ltd. |
|
|
397,238 |
|
|
6,200 |
|
Texaco, Inc. |
|
|
356,113 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
4,674,085 |
|
|
||||||
|
|
|
|
Financials--4.5% |
|
|
|
|
|
12,704 |
|
Allstate Corp. |
|
|
336,656 |
|
|
9,000 |
|
American Express Co. |
|
|
484,312 |
|
|
8,153 |
|
American International Group, Inc. |
|
|
917,722 |
|
|
13,134 |
|
Bank of America Corp. |
|
|
729,758 |
|
|
6,300 |
|
Chase Manhattan Corp. |
|
|
470,531 |
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
LARGE-CAP STOCKS--continued |
|
|
|
|
|
|
|
Financials--continued |
|
|
|
|
|
27,425 |
|
Citigroup, Inc. |
|
$ |
1,705,492 |
|
|
7,000 |
|
Fannie Mae |
|
|
420,875 |
|
|
11,200 |
|
First Union Corp. |
|
|
394,100 |
|
|
9,008 |
|
Fleet Boston Financial Corp. |
|
|
340,615 |
|
|
3,700 |
|
Loews Corp. |
|
|
243,738 |
|
|
8,200 |
|
Mellon Financial Corp. |
|
|
316,213 |
|
|
3,700 |
|
Merrill Lynch & Co., Inc. |
|
|
364,913 |
|
|
12,000 |
|
Morgan Stanley Dean Witter & Co. |
|
|
863,250 |
|
|
5,000 |
|
PNC Bank Corp. |
|
|
251,875 |
|
|
9,500 |
|
Post Properties, Inc. |
|
|
416,813 |
|
|
6,000 |
|
Schwab (Charles) Corp. |
|
|
172,500 |
|
|
15,100 |
|
U.S. Bancorp |
|
|
392,600 |
|
|
9,576 |
|
Washington Mutual, Inc. |
|
|
275,310 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
9,097,273 |
|
|
||||||
|
|
|
|
Health Care--2.7% |
|
|
|
|
|
9,300 |
|
Abbott Laboratories |
|
|
378,394 |
|
|
5,000 |
1 |
Amgen, Inc. |
|
|
318,125 |
|
|
3,600 |
|
Baxter International, Inc. |
|
|
239,400 |
|
|
9,200 |
|
Bristol-Myers Squibb Co. |
|
|
506,575 |
|
|
6,500 |
|
Johnson & Johnson |
|
|
581,750 |
|
|
5,100 |
|
Lilly (Eli) & Co. |
|
|
388,238 |
|
|
6,600 |
|
Medtronic, Inc. |
|
|
340,725 |
|
|
10,000 |
|
Merck & Co., Inc. |
|
|
746,250 |
|
|
17,200 |
|
Pfizer, Inc. |
|
|
766,475 |
|
|
8,969 |
|
Pharmacia Corp. |
|
|
465,827 |
|
|
8,800 |
|
Schering Plough Corp. |
|
|
425,700 |
|
|
3,700 |
|
Warner-Lambert Co. |
|
|
451,863 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
5,609,322 |
|
|
||||||
|
|
|
|
Technology--7.6% |
|
|
|
|
|
11,300 |
1 |
America Online, Inc. |
|
|
598,900 |
|
|
5,400 |
1 |
Applied Materials, Inc. |
|
|
450,900 |
|
|
7,700 |
|
Automatic Data Processing, Inc. |
|
|
423,019 |
|
|
32,000 |
1 |
Cisco Systems, Inc. |
|
|
1,822,000 |
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
LARGE-CAP STOCKS--continued |
|
|
|
|
|
|
|
Technology--continued |
|
|
|
|
|
13,800 |
|
Compaq Computer Corp. |
|
$ |
362,250 |
|
|
6,300 |
|
Computer Associates International, Inc. |
|
|
324,450 |
|
|
9,600 |
1 |
Compuware Corp. |
|
|
97,800 |
|
|
2,100 |
|
Corning, Inc. |
|
|
406,219 |
|
|
13,400 |
1 |
Dell Computer Corp. |
|
|
577,875 |
|
|
5,600 |
1 |
EMC Corp. Mass |
|
|
651,350 |
|
|
4,700 |
|
Eastman Kodak Co. |
|
|
280,825 |
|
|
4,200 |
|
Electronic Data Systems Corp. |
|
|
270,112 |
|
|
9,500 |
|
First Data Corp. |
|
|
532,594 |
|
|
5,300 |
|
Hewlett-Packard Co. |
|
|
636,662 |
|
|
14,000 |
|
Intel Corp. |
|
|
1,745,625 |
|
|
9,100 |
|
International Business Machines Corp. |
|
|
976,544 |
|
|
13,670 |
|
Lucent Technologies, Inc. |
|
|
784,316 |
|
|
13,300 |
1 |
Microsoft Corp. |
|
|
832,081 |
|
|
4,100 |
|
Motorola, Inc. |
|
|
384,375 |
|
|
8,300 |
|
Nortel Networks Corp. |
|
|
450,794 |
|
|
13,800 |
1 |
Oracle Corp. |
|
|
991,875 |
|
|
4,300 |
1 |
Qualcomm, Inc. |
|
|
285,413 |
|
|
8,500 |
1 |
Sun Microsystems, Inc. |
|
|
651,313 |
|
|
9,600 |
|
Texas Instruments, Inc. |
|
|
693,600 |
|
|
2,700 |
1 |
Yahoo, Inc. |
|
|
305,269 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
15,536,161 |
|
|
||||||
|
|
|
|
Transportation--0.2% |
|
|
|
|
|
8,600 |
|
Union Pacific Corp. |
|
|
363,888 |
|
|
||||||
|
|
|
|
Utilities--0.3% |
|
|
|
|
|
5,600 |
|
Enron Corp. |
|
|
408,100 |
|
|
8,500 |
|
Reliant Energy, Inc. |
|
|
242,250 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
650,350 |
|
|
||||||
|
|
|
|
TOTAL LARGE-CAP STOCKS |
|
|
52,610,866 |
|
|
||||||
|
|
|
|
FOREIGN EQUITY--6.0% |
|
|
|
|
|
|
|
Australia--0.1% |
|
|
|
|
|
7,200 |
|
ERG Ltd. |
|
|
34,045 |
|
|
1,600 |
|
News Corp., Ltd. |
|
|
18,097 |
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
FOREIGN EQUITY--continued |
|
|
|
|
|
|
|
Australia--continued |
|
|
|
|
|
1,250 |
|
News Corp. Ltd., ADR |
|
$ |
56,953 |
|
|
31,200 |
|
PowerLan Ltd. |
|
|
19,419 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
128,514 |
|
|
||||||
|
|
|
|
Belgium--0.0% |
|
|
|
|
|
1,700 |
1 |
Lernout and Hauspie Speech Products NV |
|
|
71,081 |
|
|
||||||
|
|
|
|
Brazil--0.0% |
|
|
|
|
|
1,150 |
|
Unibanco Uniao de Bancos Brasileiros SA, ADR |
|
|
27,816 |
|
|
||||||
|
|
|
|
Canada--0.1% |
|
|
|
|
|
500 |
1 |
C-MAC Industries, Inc. |
|
|
19,093 |
|
|
1,400 |
|
Descartes Systems Group, Inc. (Legend) |
|
|
38,788 |
|
|
1,000 |
|
Nortel Networks Corp. |
|
|
53,241 |
|
|
2,150 |
|
Quebecor World, Inc. |
|
|
50,596 |
|
|
1,225 |
1 |
Rogers Communications, Inc., Class B |
|
|
32,017 |
|
|
1,800 |
|
Talisman Energy, Inc. |
|
|
57,681 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
251,416 |
|
|
||||||
|
|
|
|
China--0.0% |
|
|
|
|
|
52,000 |
|
Shanghai Petrochemical Co. Ltd., Class H |
|
|
6,406 |
|
|
47,000 |
|
Yanzhou Coal Mining Co., Class H |
|
|
8,324 |
|
|
99,000 |
|
Zhejiang Expressway Co., Ltd. |
|
|
12,705 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
27,435 |
|
|
||||||
|
|
|
|
Denmark--0.0% |
|
|
|
|
|
850 |
|
Tele Danmark AS |
|
|
60,017 |
|
|
||||||
|
|
|
|
Finland--0.1% |
|
|
|
|
|
5,600 |
|
JOT Automation Group Oyj |
|
|
32,810 |
|
|
3,180 |
|
Nokia Oyj |
|
|
165,546 |
|
|
500 |
|
Nokia Oyj, ADR, Class A |
|
|
26,000 |
|
|
1,400 |
1 |
Perlos Oyj |
|
|
50,286 |
|
|
100 |
1 |
Satama Interactive Oyj |
|
|
483 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
275,125 |
|
|
||||||
|
|
|
|
France--1.2% |
|
|
|
|
|
400 |
|
AXA |
|
|
58,962 |
|
|
800 |
|
Accor SA |
|
|
32,392 |
|
|
4,500 |
|
Alcatel |
|
|
248,958 |
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
FOREIGN EQUITY--continued |
|
|
|
|
|
|
|
France--continued |
|
|
|
|
|
210 |
|
Bouygues SA |
|
$ |
130,091 |
|
|
25 |
|
Canal Plus |
|
|
4,758 |
|
|
780 |
|
Carrefour SA |
|
|
55,196 |
|
|
560 |
|
Casino Ord |
|
|
49,894 |
|
|
140 |
|
Christian Dior SA |
|
|
32,000 |
|
|
775 |
|
Compagnie de Saint Gobain |
|
|
108,094 |
|
|
250 |
|
France Telecom SA |
|
|
36,502 |
|
|
26,000 |
|
iShares MSCI France Index Fund |
|
|
731,250 |
|
|
300 |
|
Lagardere S.C.A. |
|
|
20,991 |
|
|
100 |
1 |
Liberty Surf Group SA |
|
|
3,191 |
|
|
300 |
|
M6 Metropole Television |
|
|
170,450 |
|
|
430 |
|
Pinault-Printemps-Redoute SA |
|
|
92,550 |
|
|
1,250 |
|
STMicroelectronics NV (NY Reg Shs) |
|
|
74,519 |
|
|
1,354 |
|
Total Fina SA, Class B |
|
|
213,357 |
|
|
1,100 |
|
Valeo SA |
|
|
55,725 |
|
|
1,800 |
|
Vivendi SA |
|
|
193,121 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
2,312,001 |
|
|
||||||
|
|
|
|
Germany, Federal Republic of--0.6% |
|
|
|
|
|
15 |
1 |
ADVA AG Optical Networking |
|
|
7,977 |
|
|
1,800 |
|
Bayerische Motoren Werke AG (BMW) |
|
|
54,745 |
|
|
2,000 |
|
Continental AG |
|
|
36,945 |
|
|
310 |
1 |
Epcos AG |
|
|
37,844 |
|
|
90 |
1 |
GFK AG |
|
|
3,669 |
|
|
600 |
1 |
Infineon Technologies AG |
|
|
39,240 |
|
|
150 |
|
Intershop Communications AG |
|
|
60,595 |
|
|
29,000 |
|
iShares MSCI Germany Index Fund |
|
|
717,750 |
|
|
500 |
1 |
Medion AG |
|
|
45,715 |
|
|
15 |
|
Porsche Vorzug |
|
|
39,268 |
|
|
375 |
|
Schering AG |
|
|
56,222 |
|
|
200 |
|
Siemens AG |
|
|
29,334 |
|
|
1,990 |
1 |
Thyssen Krupp AG |
|
|
33,975 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,163,279 |
|
|
||||||
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
FOREIGN EQUITY--continued |
|
|
|
|
|
|
|
Hong Kong--0.1% |
|
|
|
|
|
40,300 |
|
Amoy Properties Ltd. |
|
$ |
23,920 |
|
|
89,000 |
|
Beijing Datang Power |
|
|
13,592 |
|
|
16,000 |
|
Brilliance China Automotive Holdings Ltd. |
|
|
2,505 |
|
|
19,600 |
|
Cosco Pacific Ltd. |
|
|
14,589 |
|
|
6,600 |
|
Television Broadcasts Ltd. |
|
|
42,773 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
97,379 |
|
|
||||||
|
|
|
|
Israel--0.0% |
|
|
|
|
|
400 |
1 |
Geo Interactive Media Group PLC |
|
|
3,592 |
|
|
||||||
|
|
|
|
Italy--0.2% |
|
|
|
|
|
5,300 |
|
Arn Mondadori Edit |
|
|
121,885 |
|
|
12,000 |
|
iShares MSCI Italy Index Fund |
|
|
295,500 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
417,385 |
|
|
||||||
|
|
|
|
Japan--1.0% |
|
|
|
|
|
4,000 |
|
Amada Co. |
|
|
34,539 |
|
|
4,000 |
|
Asahi Glass Co., Ltd. |
|
|
37,101 |
|
|
1,000 |
|
Canon, Inc. |
|
|
46,052 |
|
|
6 |
|
DDI Corp. |
|
|
61,278 |
|
|
2,200 |
|
Daiwabo Information System Co., Ltd. |
|
|
34,112 |
|
|
3,000 |
|
Fuji Oil Co., Ltd. |
|
|
25,598 |
|
|
300 |
|
Hirose Electric Co. |
|
|
42,031 |
|
|
72,000 |
|
iShares MSCI Japan Index Fund |
|
|
1,035,000 |
|
|
1,000 |
|
Katokichi Co. |
|
|
25,068 |
|
|
1,100 |
|
Kyocera Corp. |
|
|
182,610 |
|
|
4,000 |
|
NEC Corp. |
|
|
101,388 |
|
|
2,000 |
|
Nippon Electric Glass Co., Ltd. |
|
|
36,990 |
|
|
10 |
|
Nippon TV Network Corp. |
|
|
6,861 |
|
|
30 |
1 |
Nippon TV Network Corp. (New Shares) |
|
|
19,943 |
|
|
4 |
|
Nippon Telegraph & Telephone Corp. |
|
|
47,537 |
|
|
500 |
|
Ono Pharmaceutical Co., Ltd. |
|
|
18,105 |
|
|
1,100 |
|
Sony Corp. |
|
|
99,578 |
|
|
1,000 |
|
Taiyo Yuden Co. |
|
|
75,948 |
|
|
2,000 |
|
Tokyo Electric Power Co. |
|
|
49,951 |
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
FOREIGN EQUITY--continued |
|
|
|
|
|
|
|
Japan--continued |
|
|
|
|
|
3,000 |
|
Tostem Corp. |
|
$ |
49,441 |
|
|
4,000 |
|
Yamaha Motor Co. |
|
|
33,982 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
2,063,113 |
|
|
||||||
|
|
|
|
Korea, Republic of--0.1% |
|
|
|
|
|
2,100 |
|
Hyundai Electronics Industries Co. |
|
|
32,722 |
|
|
4,855 |
|
Korea Data Systems |
|
|
23,211 |
|
|
150 |
|
SK Telecom Co., Ltd. |
|
|
51,129 |
|
|
255 |
|
Samsung Electronics Co. |
|
|
69,535 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
176,597 |
|
|
||||||
|
|
|
|
Mexico--0.0% |
|
|
|
|
|
625 |
|
Telefonos de Mexico, Class L, ADR |
|
|
30,430 |
|
|
||||||
|
|
|
|
Netherlands--0.6% |
|
|
|
|
|
800 |
|
ASM International NV |
|
|
21,719 |
|
|
3,520 |
1 |
ASM Lithography Holding NV |
|
|
129,586 |
|
|
2,750 |
1 |
BE Semiconductor Industries NV |
|
|
43,872 |
|
|
16,000 |
|
iShares MSCI Netherlands Index Fund |
|
|
382,000 |
|
|
1,700 |
|
Koninklijke Ahold NV |
|
|
48,056 |
|
|
6,310 |
|
Koninklijke (Royal) Philips Electronics NV |
|
|
281,748 |
|
|
2,150 |
|
Laurus NV |
|
|
21,864 |
|
|
100 |
|
OpenTV Corp., ADR |
|
|
4,525 |
|
|
1,050 |
|
Unique International NV |
|
|
26,792 |
|
|
3,900 |
1 |
United Pan-Europe Communications NV |
|
|
101,041 |
|
|
6,300 |
|
Vendex KBB NV |
|
|
112,262 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,173,465 |
|
|
||||||
|
|
|
|
Norway--0.0% |
|
|
|
|
|
1,100 |
|
Tomra Systems ASA |
|
|
23,226 |
|
|
||||||
|
|
|
|
Portugal--0.1% |
|
|
|
|
|
4,100 |
|
Banco Pinto & Sotto Mayor |
|
|
92,567 |
|
|
13,500 |
|
Banco Portugues do Atlantico |
|
|
51,891 |
|
|
4,500 |
|
Portugal Telecom SA |
|
|
49,120 |
|
|
3,900 |
|
Telecel - Comunicacoes Pessoais SA |
|
|
63,310 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
256,888 |
|
|
||||||
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
FOREIGN EQUITY--continued |
|
|
|
|
|
|
|
Singapore--0.1% |
|
|
|
|
|
3,300 |
|
Chartered Semiconductor Manufacturing Ltd. |
|
$ |
31,413 |
|
|
25,000 |
|
Delgro Corporation Ltd. |
|
|
58,557 |
|
|
5,000 |
1 |
ST Assembly Test Services Ltd. |
|
|
14,856 |
|
|
4,000 |
|
Singapore Press Holdings Ltd. |
|
|
60,230 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
165,056 |
|
|
||||||
|
|
|
|
Spain--0.1% |
|
|
|
|
|
550 |
|
Grupo Empresarial Ence SA |
|
|
10,160 |
|
|
400 |
1 |
Sogecable SA |
|
|
14,797 |
|
|
4,765 |
|
Telefonica SA |
|
|
97,801 |
|
|
6,400 |
|
Union Electrica Fenosa |
|
|
133,449 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
256,207 |
|
|
||||||
|
|
|
|
Sweden--0.2% |
|
|
|
|
|
4,550 |
|
Gambro AB, Class A |
|
|
33,933 |
|
|
600 |
1 |
Modern Times Group, Class B |
|
|
26,881 |
|
|
29,000 |
|
Rotternos AB |
|
|
29,697 |
|
|
2,150 |
|
SKF AB |
|
|
39,367 |
|
|
7,400 |
|
Telefonaktiebolaget LM Ericsson |
|
|
150,323 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
280,201 |
|
|
||||||
|
|
|
|
Switzerland--0.3% |
|
|
|
|
|
28,000 |
|
iShares MSCI Switzerland Index Fund |
|
|
441,000 |
|
|
13 |
1 |
Kudelski SA |
|
|
144,594 |
|
|
300 |
|
UBS AG |
|
|
40,477 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
626,071 |
|
|
||||||
|
|
|
|
Taiwan, Province of China--0.0% |
|
|
|
|
|
128 |
1 |
Taiwan Semiconductor Manufacturing Co., ADR |
|
|
4,520 |
|
|
||||||
|
|
|
|
United Kingdom--1.1% |
|
|
|
|
|
325 |
1 |
ARM Holdings PLC, ADR |
|
|
8,409 |
|
|
5,100 |
|
BAA PLC |
|
|
37,253 |
|
|
7,768 |
|
BP Amoco PLC |
|
|
70,753 |
|
|
7,400 |
|
Bass PLC |
|
|
80,970 |
|
|
17,000 |
|
British Aerospace PLC |
|
|
106,748 |
|
|
3,075 |
|
British Telecommunication PLC |
|
|
44,601 |
|
|
6,400 |
|
CMG PLC |
|
|
89,380 |
|
Shares or |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
FOREIGN EQUITY--continued |
|
|
|
|
|
|
|
United Kingdom--continued |
|
|
|
|
|
5,500 |
1 |
Cable & Wireless PLC |
|
$ |
91,794 |
|
|
5,200 |
|
Cable & Wireless Communications PLC |
|
|
86,398 |
|
|
14,450 |
|
Diageo PLC |
|
|
123,720 |
|
|
600 |
1 |
Energis PLC |
|
|
22,812 |
|
|
66,000 |
|
iShares MSCI United Kingdom Index Fund |
|
|
1,249,875 |
|
|
1,800 |
|
Pace Micro Technology PLC |
|
|
24,518 |
|
|
3,582 |
|
Prudential Corp., PLC |
|
|
54,234 |
|
|
1,500 |
|
Railtrack Group PLC |
|
|
18,860 |
|
|
2,000 |
|
Reckitt Benckiser PLC |
|
|
21,944 |
|
|
8,200 |
|
Royal Bank of Scotland PLC, Edinburgh |
|
|
135,016 |
|
|
7,600 |
|
Ti Group PLC |
|
|
42,091 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
2,309,376 |
|
|
||||||
|
|
|
|
United States--0.0% |
|
|
|
|
|
200 |
1 |
Infonet Services Corp., Class B |
|
|
2,300 |
|
|
200 |
1 |
ST Assembly Test Services Ltd., ADR |
|
|
6,175 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
8,475 |
|
|
||||||
|
|
|
|
TOTAL FOREIGN EQUITY |
|
|
12,208,665 |
|
|
||||||
|
|
|
|
FUTURES CONTRACTS COLLATERAL--5.1%2 |
|
|
|
|
|
10,500,000 |
|
United States Treasury Bill, 6/15/2000 |
|
|
10,482,885 |
|
|
||||||
|
|
|
|
TOTAL STOCKS (IDENTIFIED COST $60,779,738) |
|
|
75,302,416 |
|
|
||||||
|
|
|
|
BONDS--62.3% |
|
|
|
|
|
|
|
TREASURY AND GOVERNMENT SECURITIES--23.3% |
|
|
|
|
|
|
|
Repurchase Agreement--8.8%3 |
|
|
|
|
$ |
17,885,000 |
|
Societe Generale, New York, 6.370%, dated 5/31/2000, due 6/1/2000 |
|
|
17,885,000 |
|
|
||||||
|
|
|
|
U. S. Treasury Agreements--14.5% |
|
|
|
|
|
2,000,000 |
|
United States Treasury Note, 5.625%, 5/15/2008 |
|
|
1,898,820 |
|
|
11,301,000 |
|
United States Treasury Note, 6.000%, 8/15/2009 |
|
|
11,019,153 |
|
|
4,300,000 |
|
United States Treasury Note, 6.125%, 8/15/2007 |
|
|
4,209,055 |
|
|
2,200,000 |
|
United States Treasury Note, 6.500%, 10/15/2006 |
|
|
2,193,466 |
|
|
10,200,000 |
|
United States Treasury Note, 6.625%, 5/15/2007 |
|
|
10,263,342 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
29,583,836 |
|
|
||||||
|
|
|
|
TOTAL TREASURY AND GOVERNMENT SECURITIES |
|
|
47,468,836 |
|
|
||||||
|
Principal |
|
|
|
Value in |
||
|
|
|
|
BONDS--continued |
|
|
|
|
|
|
|
HIGH YIELD BONDS--3.1% |
|
|
|
|
$ |
785,138 |
4 |
The High Yield Bond Portfolio |
|
$ |
6,257,550 |
|
|
||||||
|
|
|
|
MORTGAGE-BACKED SECURITIES--18.5% |
|
|
|
|
|
4,017,330 |
4 |
Federated Mortgage Core Portfolio |
|
|
37,803,079 |
|
|
||||||
|
|
|
|
INVESTMENT GRADE BONDS--12.8% |
|
|
|
|
|
|
|
Air Transportation--0.1% |
|
|
|
|
|
265,000 |
|
Delta Air Lines, Inc., Sr. Note, 6.65%, 3/15/2004 |
|
|
246,728 |
|
|
||||||
|
|
|
|
Automotive--0.5% |
|
|
|
|
|
750,000 |
|
Arvin Capital, Inc., Company Guarantee, 9.50%, 2/1/2027 |
|
|
690,787 |
|
|
350,000 |
|
Hertz Corp., Note, 8.25%, 6/01/2005 |
|
|
351,813 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,042,600 |
|
|
||||||
|
|
|
|
Banking--0.7% |
|
|
|
|
|
100,000 |
|
City National Bank, Sub. Note, 6.375%, 1/15/2008 |
|
|
86,039 |
|
|
250,000 |
|
Crestar Financial Corp, Sub. Note, 8.75%, 11/15/2004 |
|
|
256,395 |
|
|
400,000 |
5 |
Den Danske Bank, Note, 7.40%, 6/15/2010 |
|
|
390,452 |
|
|
300,000 |
|
National Bank of Canada, Sub. Note, 8.125%, 8/15/2004 |
|
|
304,233 |
|
|
400,000 |
5 |
Swedbank, Sub., Note, 7.50%, 11/1/2006 |
|
|
366,929 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,404,048 |
|
|
||||||
|
|
|
|
Beverage & Tobacco--0.1% |
|
|
|
|
|
150,000 |
|
Philip Morris Cos., Inc., Deb., 6.00%, 7/15/2001 |
|
|
146,508 |
|
|
||||||
|
|
|
|
Cable Television--0.5% |
|
|
|
|
|
600,000 |
|
Continental Cablevision, Sr. Deb., 9.50%, 8/1/2013 |
|
|
645,012 |
|
|
350,000 |
|
Continental Cablevision, Sr. Note, 8.50%, 9/15/2001 |
|
|
354,539 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
999,551 |
|
|
||||||
|
|
|
|
Chemicals & Plastics--0.2% |
|
|
|
|
|
450,000 |
5 |
Bayer Corp., Deb., 6.50%, 10/1/2002 |
|
|
441,405 |
|
|
||||||
|
|
|
|
Ecological Services & Equipment--0.3% |
|
|
|
|
|
350,000 |
|
USA Waste Services, Inc., Note, 6.125%, 7/15/2001 |
|
|
335,468 |
|
|
275,000 |
|
Waste Management, Deb., 8.75%, 5/1/2018 |
|
|
240,342 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
575,810 |
|
|
||||||
|
|
|
|
Education--0.2% |
|
|
|
|
|
375,000 |
|
Boston University, MTN, 625%, 7/15/2097 |
|
|
328,223 |
|
|
||||||
|
|
|
|
Electronics--0.3% |
|
|
|
|
|
700,000 |
|
Anixter International, Inc., Company Guarantee, 8.00%, 9/15/2003 |
|
|
666,813 |
|
|
||||||
|
Principal |
|
|
|
Value in |
||
|
|
|
|
BONDS--continued |
|
|
|
|
|
|
|
INVESTMENT GRADE BONDS--continued |
|
|
|
|
|
|
|
Finance - Automotive--0.3% |
|
|
|
|
$ |
500,000 |
|
General Motors Acceptance Corp., Sr. Note, 6.00%, 2/01/2002 |
|
$ |
487,845 |
|
|
||||||
|
|
|
|
Finance - Retail--0.1% |
|
|
|
|
|
200,000 |
|
Sears Roebuck Acceptance Corp., MTN, 6.56%, 9/05/2000 |
|
|
199,760 |
|
|
||||||
|
|
|
|
Financial Intermediaries--2.1% |
|
|
|
|
|
950,000 |
|
Amvescap PLC, Sr. Note, 6.60%, 5/15/2005 |
|
|
880,071 |
|
|
350,000 |
|
Capital One Financial, Note, 7.125%, 8/01/2008 |
|
|
310,485 |
|
|
500,000 |
|
FINOVA Capital Corp., Note, 7.250%, 11/08/2004 |
|
|
423,125 |
|
|
300,000 |
|
Lehman Brothers Holdings, Bond, 6.20%, 1/15/2002 |
|
|
291,048 |
|
|
400,000 |
|
Lehman Brothers Holdings, Note, 6.90%, 1/29/2001 |
|
|
397,708 |
|
|
300,000 |
|
Lehman Brothers, Inc., Sr. Sub. Note, 7.375%, 1/15/2007 |
|
|
280,785 |
|
|
415,000 |
|
Marsh & McLennan Cos., Sr. Note, 7.125%, 6/15/2009 |
|
|
386,647 |
|
|
950,000 |
|
PaineWebber Group, Inc., 7.625%, 12/01/2009 |
|
|
873,478 |
|
|
225,000 |
|
Salomon, Inc., Note, 7.20%, 2/1/2004 |
|
|
220,039 |
|
|
325,205 |
5 |
World Financial, Pass Thru Cert., Series 96 WFP-B, 6.91%, 9/1/2013 |
|
|
300,355 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
4,363,741 |
|
|
||||||
|
|
|
|
Financial Services--0.6% |
|
|
|
|
|
750,000 |
|
General Electric Capital Corp., 7.00%, 3/01/2002 |
|
|
746,250 |
|
|
450,000 |
|
Morgan Stanley, Dean Witter & Co., Unsecd. Note, 6.875%, 3/01/2003 |
|
|
439,533 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,185,783 |
|
|
||||||
|
|
|
|
Food & Drug Retailers--0.4% |
|
|
|
|
|
950,000 |
|
Meyer (Fred), Inc., Company Guarantee, 7.45%, 3/01/2008 |
|
|
884,080 |
|
|
||||||
|
|
|
|
Forest Products--0.8% |
|
|
|
|
|
960,000 |
|
Fort James Corp., Sr. Note, 7.65%, 12/26/2000 |
|
|
962,227 |
|
|
650,000 |
|
Quno Corp., Sr. Note, 9.125%, 5/15/2005 |
|
|
667,563 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,629,790 |
|
|
||||||
|
|
|
|
Health Care--0.3% |
|
|
|
|
|
600,000 |
|
COL HCA Heathcare Corp., Sr. Note, 6.41%, 6/15/2000 |
|
|
602,898 |
|
|
||||||
|
Principal |
|
|
|
Value in |
||
|
|
|
|
BONDS--continued |
|
|
|
|
|
|
|
INVESTMENT GRADE BONDS--continued |
|
|
|
|
|
|
|
Insurance--0.9% |
|
|
|
|
$ |
250,000 |
|
AFC Capital Trust I, Bond, 8.207%, 2/3/2027 |
|
$ |
222,560 |
|
|
350,000 |
|
Conseco, Inc., Sr. Note, 10.50%, 12/15/2004 |
|
|
267,750 |
|
|
400,000 |
|
Conseco, Inc., Sr. Sub. Note, 10.25%, 6/01/2002 |
|
|
278,000 |
|
|
365,000 |
|
Geico Corp, Deb., 9.15%, 9/15/2021 |
|
|
384,772 |
|
|
600,000 |
|
Provident Cos., Inc., Bond, 7.405%, 3/15/2038 |
|
|
464,814 |
|
|
250,000 |
|
USF&G Capital II, Company Guarantee, 8.47%, 1/10/2027 |
|
|
229,458 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,847,354 |
|
|
||||||
|
|
|
|
Leisure & Entertainment--0.4% |
|
|
|
|
|
600,000 |
|
International Speedway Corp., Company Guarantee, 7.875%, 10/15/2004 |
|
|
579,810 |
|
|
125,000 |
|
Viacom, Inc., Sr. Deb., 8.25%, 8/01/2022 |
|
|
117,735 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
697,545 |
|
|
||||||
|
|
|
|
Metals & Mining--0.4% |
|
|
|
|
|
400,000 |
|
Barrick Gold Corp., Deb., 7.50%, 5/1/2007 |
|
|
393,276 |
|
|
450,000 |
|
Santa Fe Pacific Gold, Note, 8.375%, 7/01/2005 |
|
|
437,567 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
830,843 |
|
|
||||||
|
|
|
|
Printing & Publishing--0.2% |
|
|
|
|
|
440,000 |
|
News America Holdings, Sr. Note, 8.50%, 2/15/2005 |
|
|
439,833 |
|
|
||||||
|
|
|
|
Real Estate--0.3% |
|
|
|
|
|
800,000 |
|
SUSA Partnership, L.P., Deb., 7.50%, 12/1/2027 |
|
|
649,288 |
|
|
||||||
|
|
|
|
Retailers--1.1% |
|
|
|
|
|
450,000 |
|
Harcourt General, Inc., Sr. Note, 6.70%, 8/01/2007 |
|
|
402,934 |
|
|
400,000 |
|
May Department Stores, Deb., 8.125%, 8/15/2035 |
|
|
377,644 |
|
|
1,090,000 |
|
Shopko Stores, Sr. Note, 8.50%, 3/15/2002 |
|
|
1,096,758 |
|
|
450,000 |
|
Target Corp., Note, 7.50%, 2/15/2005 |
|
|
446,927 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
2,324,263 |
|
|
||||||
|
|
|
|
Sovereign Government--0.4% |
|
|
|
|
|
400,000 |
|
Colombia, Government of, Note, 7.25%, 2/15/2003 |
|
|
348,000 |
|
|
360,000 |
|
Quebec, Province of, Deb., 9.125%, 8/22/2001 |
|
|
367,528 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
715,528 |
|
|
||||||
|
|
|
|
Supranational--0.1% |
|
|
|
|
|
250,000 |
|
Corp Andina De Fomento, Sr. Note, 7.75%, 3/01/2004 |
|
|
241,880 |
|
|
||||||
|
Principal |
|
|
|
Value in |
||
|
|
|
|
BONDS--continued |
|
|
|
|
|
|
|
INVESTMENT GRADE BONDS--continued |
|
|
|
|
|
|
|
Telecommunicatons & Cellular--1.1% |
|
|
|
|
$ |
800,000 |
|
BellSouth Telecommunications, Note, 6.00%, 6/15/2002 |
|
$ |
771,488 |
|
|
30,588 |
|
TCI Communications, Inc., 9.725%, Pfd., $2.43 |
|
|
793,376 |
|
|
840,000 |
|
Telecom de Puerto Rico, Note, 6.65%, 5/15/2006 |
|
|
774,472 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
2,339,336 |
|
|
||||||
|
|
|
|
Utilities--0.4% |
|
|
|
|
|
250,000 |
|
Enersis SA, Note, 7.40%, 12/1/2016 |
|
|
197,695 |
|
|
750,000 |
|
National Rural Utilities, MTN, 5.75%, 12/01/2008 |
|
|
648,307 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
846,002 |
|
|
||||||
|
|
|
|
TOTAL INVESTMENT GRADE BONDS |
|
|
26,137,455 |
|
|
||||||
|
|
|
|
FOREIGN BONDS--4.6% |
|
|
|
|
|
|
|
Belgian Franc--0.2% |
|
|
|
|
|
387,355 |
|
Belgium, Government of, Bond, 6.50%, 3/31/2005 |
|
|
378,223 |
|
|
||||||
|
|
|
|
British Pound--0.1% |
|
|
|
|
|
145,000 |
|
United Kingdom, Government of, Bond, 6.50%, 12/07/2003 |
|
|
220,082 |
|
|
||||||
|
|
|
|
Canadian Dollar--0.6% |
|
|
|
|
|
290,000 |
|
Canada, Government of, Deb., 6.50%, 6/1/2004 |
|
|
195,204 |
|
|
375,000 |
|
Ontario Hydro, 9.00%, 6/24/2002 |
|
|
262,864 |
|
|
90,000,000 |
|
Ontario, Province of, Note, Series EMTN, 1.875%, 1/25/2010 |
|
|
837,320 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,295,388 |
|
|
||||||
|
|
|
|
Danish Krone--0.1% |
|
|
|
|
|
1,170,000 |
|
Denmark, Government of, 5.00%, 8/15/2005 |
|
|
141,609 |
|
|
||||||
|
|
|
|
Deutsche Mark--0.4% |
|
|
|
|
|
52,000,000 |
|
DSL Bank, Note, 2.60%, 7/10/2002 |
|
|
504,415 |
|
|
380,401 |
|
Treuhandanstalt, Foreign Government Guarantee, 6.875%, 6/11/2003 |
|
|
371,681 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
876,096 |
|
|
||||||
|
|
|
|
Finland Markka--0.2% |
|
|
|
|
|
350,000 |
|
Finland, Government of, Bond, 5.75%, 2/23/2011 |
|
|
335,548 |
|
|
||||||
|
Principal |
|
|
|
Value in |
||
|
|
|
|
BONDS--continued |
|
|
|
|
|
|
|
FOREIGN BONDS--continued |
|
|
|
|
|
|
|
Greek Drachma--0.3% |
|
|
|
|
$ |
160,000,000 |
|
Greece, Government of, 9/30/2003 |
|
$ |
460,251 |
|
|
34,000,000 |
|
Greece, Government of, Floating Rate Note, 10/23/2003 |
|
|
97,850 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
558,101 |
|
|
||||||
|
|
|
|
Hungarian Forint--0.0% |
|
|
|
|
|
19,600,000 |
|
Hungary, Government of, Bond, 14.00%, 12/12/2002 |
|
|
76,298 |
|
|
||||||
|
|
|
|
Irish Pound--0.2% |
|
|
|
|
|
420,000 |
|
Ireland, Government of, 3.50%, 10/18/2005 |
|
|
359,003 |
|
|
||||||
|
|
|
|
Italian Lira--0.7% |
|
|
|
|
|
62,000,000 |
|
Italy, Government of, Bond, 1.80%, 2/23/2010 |
|
|
581,690 |
|
|
960,000 |
|
Italy, Government of, Bond, 4.75%, 7/01/2005 |
|
|
871,898 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,453,588 |
|
|
||||||
|
|
|
|
Netherlands Guilder--0.3% |
|
|
|
|
|
50,000 |
|
Netherlands, Government of, 5.50%, 1/15/2028 |
|
|
46,461 |
|
|
542,646 |
|
Netherlands, Government of, 5.75%, 1/15/2004 |
|
|
515,880 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
562,341 |
|
|
||||||
|
|
|
|
New Zealand Dollar--0.0% |
|
|
|
|
|
180,000 |
|
New Zealand, Government of, Bond, Series 403, 5.50%, 4/15/2003 |
|
|
78,920 |
|
|
||||||
|
|
|
|
Norwegian Krone--0.3% |
|
|
|
|
|
48,000,000 |
|
Eksportfinans, Bond, 1.80%, 6/21/2010 |
|
|
447,618 |
|
|
1,615,000 |
|
Norway, Government of, Bond, 7.00%, 5/31/2001 |
|
|
181,300 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
628,918 |
|
|
||||||
|
|
|
|
Polish Zloty--0.3% |
|
|
|
|
|
280,000 |
|
Poland, Government of, Bond, 12.00%, 10/12/2003 |
|
|
57,274 |
|
|
2,375,000 |
|
Poland, Government of, Series 0604, 10.00%, 6/12/2004 |
|
|
457,978 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
515,252 |
|
|
||||||
|
|
|
|
Portuguese Escutos--0.1% |
|
|
|
|
|
170,000 |
|
Portugal, Government of, Ot's, 6.625%, 2/23/2007 |
|
|
168,895 |
|
|
||||||
|
Principal |
|
|
|
Value in |
||
|
|
|
|
BONDS--continued |
|
|
|
|
|
|
|
FOREIGN BONDS--continued |
|
|
|
|
|
|
|
South African Rand--0.1% |
|
|
|
|
$ |
1,500,000 |
|
South Africa, Government of, 13.50%, 9/15/2015 |
|
$ |
203,630 |
|
|
||||||
|
|
|
|
Spanish Peseta--0.4% |
|
|
|
|
|
540,910 |
|
Spain, Government of, 6.15%, 1/31/2013 |
|
|
529,731 |
|
|
435,000 |
|
Spain, Government of, Bond, 4.25%, 7/30/2002 |
|
|
398,853 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
928,584 |
|
|
||||||
|
|
|
|
U.S. Dollar--0.3% |
|
|
|
|
|
69,000,000 |
|
International Business Machines Corp., Note, 0.90%, 4/14/2003 |
|
|
641,702 |
|
|
||||||
|
|
|
|
TOTAL FOREIGN BONDS |
|
|
9,422,178 |
|
|
||||||
|
|
|
|
TOTAL BONDS (IDENTIFIED COST $134,447,214) |
|
|
127,089,098 |
|
|
||||||
|
|
|
|
TOTAL INVESTMENTS (IDENTIFIED COST$195,226,952)6 |
|
$ |
202,391,514 |
|
|
||||||
1 Non-income producing security.
2 The fund purchases index futures contracts to efficiently manage cash flows resulting from shareholder purchases and redemptions, dividends and capital payments to shareholders and corporate actions while maintaining exposure to the index and to minimize trading costs. The underlying face amount, at value, of open futures contracts is $8,559,000 at May 31, 2000.
3 The repurchase agreement is fully collateralized by U.S. government and/or agency obligations based on market prices at the date of the portfolio. The investments in the repurchase agreement is through participation in joint accounts with other Federated funds.
4 Pursuant to an exemptive order, the fund may invest in Federated Core Trust (the "Trust") which is also managed by Federated Investment Management Company, the fund's adviser. The Trust is an open-end management investment company registered under the Investment Company Act of 1940 available only to registered investment companies and other institutional investors. High Yield Bond Portfolio and Federated Mortgage Core Portfolio (the "Portfolios") are two series of the Trust. Federated receives no fees on behalf of the Portfolios. Income distributions from the Portfolios are declared daily and paid monthly. Capital gain distributions if any are declared and paid annually and recorded by the fund as capital gains received.
5 Denotes a restricted security which is subject to restrictions on resale under federal securities laws. These securities have been deemed liquid based upon criteria approved by the fund's Board of Trustees. At May 31, 2000, these securities amounted to $1,449,141 which represents 0.7% of net assets.
6 The cost of investments for federal tax purposes amounts to $195,226,952. The net unrealized appreciation of investments on a federal tax basis amounts to $7,164,562 which is comprised of $17,012,813 appreciation and $9,848,251 depreciation as of May 31, 2000.
Note: The categories of investments are shown as a percentage of net assets ($204,090,588) at May 31, 2000.
The following acronyms are used throughout this portfolio:
|
ADR |
--American Depositary Receipt |
|
MTN |
--Medium Term Note |
See Notes which are an integral part of the Financial Statements
MAY 31, 2000 (UNAUDITED)
|
Assets: |
|
|
|
|
|
|
|
Total investments in securities, at value (identified cost and tax $195,226,952) |
|
|
|
|
$ |
202,391,514 |
|
Cash |
|
|
|
|
|
1,634 |
|
Cash denominated in foreign currencies (identified cost $565,493) |
|
|
|
|
|
560,133 |
|
Income receivable |
|
|
|
|
|
1,603,199 |
|
Receivable for investments sold |
|
|
|
|
|
408,476 |
|
Receivable for shares sold |
|
|
|
|
|
247,719 |
|
Net receivable for foreign currency exchange contracts |
|
|
|
|
|
341 |
|
|
||||||
|
TOTAL ASSETS |
|
|
|
|
|
205,213,016 |
|
|
||||||
|
Liabilities: |
|
|
|
|
|
|
|
Payable for investments purchased |
|
$ |
1,013,190 |
|
|
|
|
Payable for shares redeemed |
|
|
583 |
|
|
|
|
Payable for taxes withheld |
|
|
1,886 |
|
|
|
|
Payable for daily variation margin |
|
|
85,500 |
|
|
|
|
Accrued expenses |
|
|
21,269 |
|
|
|
|
|
||||||
|
TOTAL LIABILITIES |
|
|
|
|
|
1,122,428 |
|
|
||||||
|
Net assets for 17,772,461 shares outstanding |
|
|
|
|
$ |
204,090,588 |
|
|
||||||
|
Net Assets Consist of: |
|
|
|
|
|
|
|
Paid in capital |
|
|
|
|
$ |
187,537,459 |
|
Net unrealized appreciation of investments, translation of assets and liabilities in foreign currency and futures contracts |
|
|
|
|
|
5,146,880 |
|
Accumulated net realized gain on investments, foreign currency transactions and futures contracts |
|
|
|
|
|
10,649,565 |
|
Undistributed net investment income |
|
|
|
|
|
756,684 |
|
|
||||||
|
TOTAL NET ASSETS |
|
|
|
|
$ |
204,090,588 |
|
|
||||||
|
Net Asset Value, Offering Price and Redemption Proceeds Per Share |
|
|
|
|
|
|
|
Institutional Shares: |
|
|
|
|
|
|
|
$143,806,088 ÷ 12,517,745 shares outstanding |
|
|
|
|
|
$11.49 |
|
|
||||||
|
Select Shares: |
|
|
|
|
|
|
|
$60,284,500 ÷ 5,254,716 shares outstanding |
|
|
|
|
|
$11.47 |
|
|
||||||
See Notes which are an integral part of the Financial Statements
SIX MONTHS ENDED MAY 31, 2000 (UNAUDITED)
|
Investment Income: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Dividends (net of foreign taxes withheld of $6,552) |
|
|
|
|
|
|
|
|
|
$ |
2,244,160 |
|
|
Interest |
|
|
|
|
|
|
|
|
|
|
2,814,559 |
|
|
|
||||||||||||
|
TOTAL INCOME |
|
|
|
|
|
|
|
|
|
|
5,058,719 |
|
|
|
||||||||||||
|
Expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Investment adviser fee |
|
|
|
|
|
$ |
780,122 |
|
|
|
|
|
|
Administrative personnel and services fee |
|
|
|
|
|
|
78,327 |
|
|
|
|
|
|
Custodian fees |
|
|
|
|
|
|
32,472 |
|
|
|
|
|
|
Transfer and dividend disbursing agent fees and expenses |
|
|
|
|
|
|
45,872 |
|
|
|
|
|
|
Directors'/Trustees' fees |
|
|
|
|
|
|
2,243 |
|
|
|
|
|
|
Auditing fees |
|
|
|
|
|
|
6,988 |
|
|
|
|
|
|
Legal fees |
|
|
|
|
|
|
4,768 |
|
|
|
|
|
|
Portfolio accounting fees |
|
|
|
|
|
|
40,417 |
|
|
|
|
|
|
Distribution services fee--Select Shares |
|
|
|
|
|
|
237,785 |
|
|
|
|
|
|
Shareholder services fee--Institutional Shares |
|
|
|
|
|
|
180,808 |
|
|
|
|
|
|
Shareholder services fee--Select Shares |
|
|
|
|
|
|
79,262 |
|
|
|
|
|
|
Share registration costs |
|
|
|
|
|
|
8,868 |
|
|
|
|
|
|
Printing and postage |
|
|
|
|
|
|
15,812 |
|
|
|
|
|
|
Insurance premiums |
|
|
|
|
|
|
404 |
|
|
|
|
|
|
Miscellaneous |
|
|
|
|
|
|
3,015 |
|
|
|
|
|
|
|
||||||||||||
|
TOTAL EXPENSES |
|
|
|
|
|
|
1,517,163 |
|
|
|
|
|
|
|
||||||||||||
|
Waivers: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Waiver of distribution services fee--Select Shares |
|
$ |
(79,262 |
) |
|
|
|
|
|
|
|
|
|
Waiver of shareholder services fee--Institutional Shares |
|
|
(144,647 |
) |
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
TOTAL WAIVERS |
|
|
|
|
|
|
(223,909 |
) |
|
|
|
|
|
|
||||||||||||
|
Net expenses |
|
|
|
|
|
|
|
|
|
|
1,293,254 |
|
|
|
||||||||||||
|
Net investment income |
|
|
|
|
|
|
|
|
|
|
3,765,465 |
|
|
|
||||||||||||
|
Realized and Unrealized Gain (Loss) on Investments, Foreign Currency Transactions and Futures Contracts: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Net realized gain on investments, foreign currency transactions and futures contracts (net of foreign taxes withheld of $1,901) |
|
|
|
|
|
|
|
|
|
|
10,840,157 |
|
|
Net change in unrealized appreciation of investments, translation of assets and liabilities in foreign currency and futures contracts |
|
|
|
|
|
|
|
|
|
|
(11,735,841 |
) |
|
|
||||||||||||
|
Net realized and unrealized loss on investments, foreign currency transactions and futures contracts |
|
|
|
|
|
|
|
|
|
|
(895,684 |
) |
|
|
||||||||||||
|
Change in net assets resulting from operations |
|
|
|
|
|
|
|
|
|
$ |
2,869,781 |
|
|
|
||||||||||||
See Notes which are an integral part of the Financial Statements
|
|
|
Six Months |
|
|
Year Ended |
|
||
|
Increase (Decrease) in Net Assets |
|
|
|
|
|
|
|
|
|
Operations: |
|
|
|
|
|
|
|
|
|
Net investment income |
|
$ |
3,765,465 |
|
|
$ |
8,452,056 |
|
|
Net realized gain on investments, foreign currency transactions and futures contracts ($10,840,157 and $4,975,262, respectively, as computed for federal tax purposes) |
|
|
10,840,157 |
|
|
|
5,231,044 |
|
|
Net change in unrealized appreciation of investments, translation of assets and liabilities in foreign currency and futures contracts |
|
|
(11,735,841 |
) |
|
|
(2,621,660 |
) |
|
|
||||||||
|
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS |
|
|
2,869,781 |
|
|
|
11,061,440 |
|
|
|
||||||||
|
Distributions to Shareholders: |
|
|
|
|
|
|
|
|
|
Distributions from net investment income |
|
|
|
|
|
|
|
|
|
Institutional Shares |
|
|
(2,836,976 |
) |
|
|
(6,514,079 |
) |
|
Select Shares |
|
|
(1,013,353 |
) |
|
|
(2,035,929 |
) |
|
Distributions from net realized gains on investments, foreign currency transactions and futures contracts |
|
|
|
|
|
|
|
|
|
Institutional Shares |
|
|
(3,346,946 |
) |
|
|
(6,849,466 |
) |
|
Select Shares |
|
|
(1,428,099 |
) |
|
|
(2,422,569 |
) |
|
|
||||||||
|
CHANGE IN NET ASSETS RESULTING FROM DISTRIBUTIONS |
|
|
(8,625,374 |
) |
|
|
(17,822,043 |
) |
|
|
||||||||
|
Share Transactions: |
|
|
|
|
|
|
|
|
|
Proceeds from sale of shares |
|
|
36,004,604 |
|
|
|
60,253,270 |
|
|
Net asset value of shares issued to shareholders in payment of distributions declared |
|
|
6,449,846 |
|
|
|
12,528,265 |
|
|
Cost of shares redeemed |
|
|
(49,541,146 |
) |
|
|
(90,395,625 |
) |
|
|
||||||||
|
CHANGE IN NET ASSETS RESULTING FROM SHARE TRANSACTIONS |
|
|
(7,086,696 |
) |
|
|
(17,614,090 |
) |
|
|
||||||||
|
Change in net assets |
|
|
(12,842,289 |
) |
|
|
(24,374,693 |
) |
|
|
||||||||
|
Net Assets: |
|
|
|
|
|
|
|
|
|
Beginning of period |
|
|
216,932,877 |
|
|
|
241,307,570 |
|
|
|
||||||||
|
End of period (including undistributed net investment income of $756,684 and $841,548, respectively) |
|
$ |
204,090,588 |
|
|
$ |
216,932,877 |
|
|
|
||||||||
See Notes which are an integral part of the Financial Statements
(FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD)
|
|
|
Six Months |
|
|
Year Ended November 30, |
|||||||||||||
|
|
|
2000 |
|
|
1999 |
1 |
|
1998 |
|
|
1997 |
|
|
1996 |
|
|
1995 |
|
|
Net Asset Value, Beginning |
|
$11.82 |
|
|
$12.15 |
|
|
$11.98 |
|
|
$11.37 |
|
|
$11.14 |
|
|
$ 9.85 |
|
|
Income From |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net investment income |
|
0.22 |
|
|
0.45 |
|
|
0.44 |
|
|
0.49 |
|
|
0.50 |
|
|
0.50 |
|
|
Net realized and unrealized gain (loss) on investments, foreign currency transactions and futures contracts |
|
(0.06 |
) |
|
0.14 |
|
|
0.81 |
|
|
0.74 |
|
|
0.41 |
|
|
1.28 |
|
|
|
||||||||||||||||||
|
TOTAL FROM |
|
0.16 |
|
|
0.59 |
|
|
1.25 |
|
|
1.23 |
|
|
0.91 |
|
|
1.78 |
|
|
|
||||||||||||||||||
|
Less Distributions: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Distributions from net investment income |
|
(0.23 |
) |
|
(0.45 |
) |
|
(0.46 |
) |
|
(0.50 |
) |
|
(0.52 |
) |
|
(0.49 |
) |
|
Distributions from net realized gain on investments and foreign currency transactions and futures contracts |
|
(0.26 |
) |
|
(0.47 |
) |
|
(0.62 |
) |
|
(0.12 |
) |
|
(0.16 |
) |
|
-- |
|
|
|
||||||||||||||||||
|
TOTAL DISTRIBUTIONS |
|
(0.49 |
) |
|
(0.92 |
) |
|
(1.08 |
) |
|
(0.62 |
) |
|
(0.68 |
) |
|
(0.49 |
) |
|
|
||||||||||||||||||
|
Net Asset Value, End of Period |
|
$11.49 |
|
|
$11.82 |
|
|
$12.15 |
|
|
$11.98 |
|
|
$11.37 |
|
|
$11.14 |
|
|
|
||||||||||||||||||
|
Total Return2 |
|
1.31 |
% |
|
5.11 |
% |
|
11.19 |
% |
|
11.25 |
% |
|
8.54 |
% |
|
18.51 |
% |
|
|
||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Ratios to Average Net Assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
|
Expenses |
|
1.03 |
%3 |
|
1.04 |
% |
|
1.08 |
% |
|
1.05 |
% |
|
1.05 |
% |
|
1.00 |
% |
|
|
||||||||||||||||||
|
Net investment income |
|
3.83 |
%3 |
|
3.78 |
% |
|
3.77 |
% |
|
4.27 |
% |
|
4.72 |
% |
|
5.10 |
% |
|
|
||||||||||||||||||
|
Expense waiver/reimbursement4 |
|
0.20 |
%3 |
|
0.20 |
% |
|
0.20 |
% |
|
0.25 |
% |
|
0.31 |
% |
|
0.55 |
% |
|
|
||||||||||||||||||
|
Supplemental Data: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
|
Net assets, end of period (000 omitted) |
|
$143,806 |
|
$151,961 |
|
$178,521 |
|
$164,728 |
|
$156,635 |
|
$103,715 |
|
|||||
|
|
||||||||||||||||||
|
Portfolio turnover |
|
28 |
% |
|
94 |
% |
|
117 |
% |
|
130 |
% |
|
154 |
% |
|
157 |
% |
|
|
||||||||||||||||||
1 For the year ended November 30, 1999, the fund was audited by Deloitte & Touche LLP. Each of the previous years the fund was audited by other auditors.
2 Based on net asset value, which does not reflect the sales charge or contingent deferred sales charge, if applicable.
3 Computed on an annualized basis.
4 This voluntary expense decrease is reflected in both the expense and the net investment income ratios shown above.
See Notes which are an integral part of the Financial Statements
(FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD)
|
|
|
Six Months |
|
|
Year Ended November 30, |
|||||||||||||
|
|
|
2000 |
|
|
1999 |
1 |
|
1998 |
|
|
1997 |
|
|
1996 |
|
|
1995 |
|
|
Net Asset Value, Beginning |
|
$11.80 |
|
|
$12.14 |
|
|
$11.96 |
|
|
$11.36 |
|
|
$11.12 |
|
|
$ 9.83 |
|
|
Income From |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net investment income |
|
0.18 |
|
|
0.37 |
|
|
0.37 |
|
|
0.40 |
|
|
0.43 |
|
|
0.37 |
|
|
Net realized and unrealized gain (loss) on investments, foreign currency transactions and futures contracts |
|
(0.06 |
) |
|
0.13 |
|
|
0.81 |
|
|
0.74 |
|
|
0.41 |
|
|
1.34 |
|
|
|
||||||||||||||||||
|
TOTAL FROM |
|
0.12 |
|
|
0.50 |
|
|
1.18 |
|
|
1.14 |
|
|
0.84 |
|
|
1.71 |
|
|
|
||||||||||||||||||
|
Less Distributions: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Distributions from net investment income |
|
(0.19 |
) |
|
(0.37 |
) |
|
(0.38 |
) |
|
(0.42 |
) |
|
(0.44 |
) |
|
(0.42 |
) |
|
Distributions from net realized gain on investments and foreign currency transactions and futures contracts |
|
(0.26 |
) |
|
(0.47 |
) |
|
(0.62 |
) |
|
(0.12 |
) |
|
(0.16 |
) |
|
-- |
|
|
|
||||||||||||||||||
|
TOTAL DISTRIBUTIONS |
|
(0.45 |
) |
|
(0.84 |
) |
|
(1.00 |
) |
|
(0.54 |
) |
|
(0.60 |
) |
|
(0.42 |
) |
|
|
||||||||||||||||||
|
Net Asset Value, End of Period |
|
$11.47 |
|
|
$11.80 |
|
|
$12.14 |
|
|
$11.96 |
|
|
$11.36 |
|
|
$11.12 |
|
|
|
||||||||||||||||||
|
Total Return2 |
|
0.96 |
% |
|
4.29 |
% |
|
10.51 |
% |
|
10.41 |
% |
|
7.92 |
% |
|
17.76 |
% |
|
|
||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Ratios to Average Net Assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
|
Expenses |
|
1.73 |
%3 |
|
1.74 |
% |
|
1.78 |
% |
|
1.75 |
% |
|
1.75 |
% |
|
1.75 |
% |
|
|
||||||||||||||||||
|
Net investment income |
|
3.13 |
%3 |
|
3.08 |
% |
|
3.07 |
% |
|
3.51 |
% |
|
4.02 |
% |
|
4.37 |
% |
|
|
||||||||||||||||||
|
Expense waiver/reimbursement4 |
|
0.25 |
%3 |
|
0.25 |
% |
|
0.25 |
% |
|
0.30 |
% |
|
0.36 |
% |
|
0.55 |
% |
|
|
||||||||||||||||||
|
Supplemental Data: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
|
Net assets, end of period (000 omitted) |
|
$60,285 |
|
$64,972 |
|
$62,787 |
|
$47,499 |
|
$44,248 |
|
$24,787 |
|
|||||
|
|
||||||||||||||||||
|
Portfolio turnover |
|
28 |
% |
|
94 |
% |
|
117 |
% |
|
130 |
% |
|
154 |
% |
|
157 |
% |
|
|
||||||||||||||||||
1 For the year ended November 30, 1999, the fund was audited by Deloitte & Touche LLP. Each of the previous years the fund was audited by other auditors.
2 Based on net asset value, which does not reflect the sales charge or contingent deferred sales charge, if applicable.
3 Computed on an annualized basis.
4 This voluntary expense decrease is reflected in both the expense and the net investment income ratios shown above.
See Notes which are an integral part of the Financial Statements
MAY 31, 2000 (UNAUDITED)
Federated Managed Allocation Portfolios (the "Trust") is registered under the Investment Company Act of 1940, as amended (the "Act") as an open-end, management investment company. The Trust consists of four diversified portfolios. The financial statements included herein are only those of Federated Managed Conservative Growth Portfolio (the "Fund"). The financial statements of the other portfolios are presented separately. The assets of each portfolio are segregated and a shareholder's interest is limited to the portfolio in which shares are held. The investment objective of the Fund is to seek total return with an emphasis on income and capital appreciation.
The Fund offers two classes of shares: Institutional Shares and Select Shares.
The following is a summary of significant accounting policies consistently followed by the Fund in the preparation of its financial statements. These policies are in conformity with generally accepted accounting principles.
Listed equity securities are valued at the last sale price reported on a national securities exchange. U.S. government securities, listed corporate bonds, other fixed income and asset-backed securities, and unlisted securities and private placement securities are generally valued at the mean of the latest bid and asked price as furnished by an independent pricing service. Short-term securities are valued at the prices provided by an independent pricing service. However, short-term securities with remaining maturities of 60 days or less at the time of purchase may be valued at amortized cost, which approximates fair market value. Investment in other open-end regulated investment companies are valued at net asset value.
With respect to valuation of foreign securities, trading in foreign cities may be completed at times which vary from the closing of the New York Stock Exchange. Therefore, foreign securities are valued at the latest closing price on the exchange on which they are traded prior to the closing of the New York Stock Exchange. Foreign securities quoted in foreign currencies are translated into U.S. dollars at the foreign exchange rate in effect at noon, eastern time, on the day the value of the foreign security is determined.
It is the policy of the Fund to require the custodian bank or broker to take possession, to have legally segregated in the Federal Reserve Book Entry System, or to have segregated within the custodian bank's vault, all securities held as collateral under repurchase agreement transactions. Additionally, procedures have been established by the Fund to monitor, on a daily basis, the market value of each repurchase agreement's collateral to ensure that the value of collateral at least equals the repurchase price to be paid under the repurchase agreement.
The Fund will only enter into repurchase agreements with banks and other recognized financial institutions, such as broker/dealers, which are deemed by the Fund's adviser to be creditworthy pursuant to the guidelines and/or standards reviewed or established by the Board of Trustees (the "Trustees"). Risks may arise from the potential inability of counterparties to honor the terms of these agreements. Accordingly, the Fund could receive less than the repurchase price on the sale of collateral securities. The Fund, along with other affiliated investment companies may utilize a joint trading account for the purpose of entering into one or more repurchase agreements.
Interest income and expenses are accrued daily. Bond premium and discount, if applicable, are amortized as required by the Internal Revenue Code, as amended (the "Code"). Dividend income and distributions to shareholders are recorded on the ex-dividend date. Non-cash dividends included in dividend income, if any, are recorded at fair value. The Fund offers multiple classes of shares, which differ in their respective distribution and service fees. All shareholders bear the common expenses of the Fund based on average daily net assets of each class, without distinction between share classes. Dividends are declared separately for each class. No class has preferential dividend rights; difference in per share dividend rates are generally due to differences in separate class expenses.
Distributions are determined in accordance with income tax regulations which may differ from generally accepted accounting principles. These distributions do not represent a return of capital for federal income tax purposes.
It is the Fund's policy to comply with the provisions of the Code applicable to regulated investment companies and to distribute to shareholders each year substantially all of its income. Accordingly, no provision for federal tax is necessary.
Withholding taxes on foreign interest and dividends have been provided for in accordance with the Fund's applicable country's tax rules and rates.
The Fund may engage in when-issued or delayed delivery transactions. The Fund records when-issued securities on the trade date and maintains security positions such that sufficient liquid assets will be available to make payment for the securities purchased. Securities purchased on a when-issued or delayed delivery basis are marked to market daily and begin earning interest on the settlement date. Losses may occur on these transactions due to changes in market conditions or the failure of counterparties to perform under contract.
The Fund may purchase stock index futures contracts to manage cashflows, enhance yield, and to potentially reduce transaction costs. Upon entering into a stock index futures contract with a broker, the Fund is required to deposit in a segregated account a specified amount of cash or U.S. government securities. Futures contracts are valued daily and unrealized gains or losses are recorded in a "variation margin" account. Daily, the Fund receives from or pays to the broker a specified amount of cash based upon changes in the variation margin account. When a contract is closed, the Fund recognizes a realized gain or loss. For the six months ended May 31, 2000, the Fund had realized gains/losses of $1,366,853 on futures contracts.
Futures contracts have market risks, including the risk that the change in the value of the contract may not correlate with changes in the value of the underlying securities.
At May 31, 2000, the Fund had outstanding futures contracts as set forth below:
|
Expiration |
|
Contracts to |
|
Position |
|
Unrealized |
|
June 2000 |
|
36 Russell 2000 Index Futures |
|
Long |
|
$(2,000,000) |
|
|
||||||
The Fund may enter into foreign currency commitments for the delayed delivery of securities or foreign currency exchange transactions. The Fund may enter into foreign currency contract transactions to protect assets against adverse changes in foreign currency exchange rates or exchange control regulations. Purchased contracts are used to acquire exposure to foreign currencies; whereas, contracts to sell are used to hedge the Fund's securities against currency fluctuations. Risks may arise upon entering these transactions from the potential inability of counterparts to meet the terms of their commitments and from unanticipated movements in security prices or foreign exchange rates. The foreign currency transactions are adjusted by the daily exchange rate of the underlying currency and any gains or losses are recorded for financial statement purpose as unrealized until the settlement date.
For the six months ended May 31, 2000, the Fund had outstanding foreign currency commitments as set forth below:
|
|
|
Settlement |
|
Contracts to |
|
In Exchange |
|
Contracts at |
|
Unrealized |
|
Contracts |
|
June 2, 2000 |
|
21,600 British Pound Sterling |
|
$31,709 |
|
$32,333 |
|
$624 |
|
|
||||||||||
|
|
|
June 5, 2000 |
|
51,528 British Pound Sterling |
|
77,117 |
|
77,129 |
|
12 |
|
|
||||||||||
|
Contracts |
|
June 2, 2000 |
|
4,289,741 Japanese Yen |
|
39,916 |
|
39,829 |
|
(87) |
|
|
||||||||||
|
|
|
|
|
|
|
|
|
|
|
$549 |
|
|
||||||||||
The accounting records of the Fund are maintained in U.S. dollars. All assets and liabilities denominated in foreign currencies ("FC") are translated into U.S. dollars based on the rate of exchange of such currencies against U.S. dollars on the date of valuation. Purchases and sales of securities, income and expenses are translated at the rate of exchange quoted on the respective date that such transactions are recorded. The Fund does not isolate that portion of the results of operations resulting from changes in foreign exchange rates on investments from the fluctuations arising from changes in market prices of securities held. Such fluctuations are included with the net realized and unrealized gain or loss from investments.
Reported net realized foreign exchange gains or losses arise from sales of portfolio securities, sales and maturities of short-term securities, sales of FCs, currency gains or losses realized between the trade and settlement dates on securities transactions, the difference between the amounts of dividends, interest, and foreign withholding taxes recorded on the books, and the U.S. dollar equivalent of the amounts actually received or paid. Net unrealized foreign exchange gains and losses arise from changes in the value of assets and liabilities other than investments in securities at fiscal year end, resulting from changes in the exchange rate.
The Fund may enter into dollar roll transactions, with respect to mortgage securities issued by GNMA, FNMA and FHLMC, in which the Fund sells mortgage securities to financial institutions and simultaneously agrees to accept substantially similar (same type, coupon and maturity) securities at a later date at an agreed upon price. Dollar roll transactions involve "to be announced" securities and are treated as short-term financing arrangements which will not exceed 12 months. The Fund will use the proceeds generated from the transactions to invest in short-term investments, which may enhance the Fund's current yield and total return. For the six months ended May 31, 2000 there were no open dollar roll transactions.
Restricted securities are securities that may only be resold upon registration under federal securities laws or in transactions exempt from such registration. In some cases, the issuer of restricted securities has agreed to register such securities for resale, at the issuer's expense either upon demand by the Fund or in connection with another registered offering of the securities. Many restricted securities may be resold in the secondary market in transactions exempt from registration. Such restricted securities may be determined to be liquid under criteria established by the Trustees. The Fund will not incur any registration costs upon such resales. The Fund's restricted securities are valued at the price provided by dealers in the secondary market or, if no market prices are available, at the fair value as determined by the Fund's pricing committee.
The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts of assets, liabilities, expenses and revenues reported in the financial statements. Actual results could differ from those estimated.
Investment transactions are accounted for on a trade date basis.
The Declaration of Trust permits the Trustees to issue an unlimited number of full and fractional shares of beneficial interest (without par value) for each class of shares.
Transactions in shares were as follows:
|
|
|
Six Months Ended |
|
|
Year Ended |
|
||||||||
|
Institutional Shares: |
|
Shares |
|
|
|
Amount |
|
|
Shares |
|
|
|
Amount |
|
|
Shares sold |
|
2,473,664 |
|
|
$ |
28,697,126 |
|
|
3,354,992 |
|
|
$ |
39,647,637 |
|
|
Shares issued to shareholders in payment of distributions declared |
|
365,661 |
|
|
|
4,232,837 |
|
|
728,470 |
|
|
|
8,481,382 |
|
|
Shares redeemed |
|
(3,180,693 |
) |
|
|
(37,074,414 |
) |
|
(5,918,228 |
) |
|
|
(69,640,434 |
) |
|
|
||||||||||||||
|
NET CHANGE RESULTING FROM INSTITUTIONAL SHARE TRANSACTIONS |
|
(341,368 |
) |
|
$ |
(4,144,451 |
) |
|
(1,834,766 |
) |
|
$ |
(21,511,415 |
) |
|
|
||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Six Months Ended |
|
|
Year Ended |
|
||||||||
|
Select Shares: |
|
Shares |
|
|
|
Amount |
|
|
Shares |
|
|
|
Amount |
|
|
Shares sold |
|
630,271 |
|
|
$ |
7,307,478 |
|
|
1,742,322 |
|
|
$ |
20,605,633 |
|
|
Shares issued to shareholders in payment of distributions declared |
|
191,396 |
|
|
|
2,217,009 |
|
|
347,320 |
|
|
|
4,046,883 |
|
|
Shares redeemed |
|
(1,071,032 |
) |
|
|
(12,466,732 |
) |
|
(1,759,212 |
) |
|
|
(20,755,191 |
) |
|
|
||||||||||||||
|
NET CHANGE RESULTING FROM SELECT SHARE TRANSACTIONS |
|
(249,365 |
) |
|
$ |
(2,942,245 |
) |
|
330,430 |
|
|
$ |
3,897,325 |
|
|
|
||||||||||||||
|
NET CHANGE RESULTING FROM |
|
(590,733 |
) |
|
$ |
(7,086,696 |
) |
|
(1,504,336) |
|
|
$ |
(17,614,090 |
) |
|
|
||||||||||||||
Federated Investment Management Company, the Fund's investment adviser (the "Adviser"), receives for its services an annual investment Adviser fee equal 0.75% of the Fund's average daily net assets. The Adviser may voluntarily choose to waive any portion of its fee. The Adviser can modify or terminate this voluntary waiver at any time at its sole discretion.
Under the terms of a sub-adviser agreement between the Adviser and Federated Global Investment Management Corp. (the "Sub-Adviser"), the Sub-Adviser, receives an allocable portion of the Fund's advisory fee. Such allocation is based on the amount of foreign securities which the Sub-Adviser manages for the Fund. This fee is paid by the Adviser out of its resources and is not an incremental Fund expense.
Federated Services Company ("FServ"), under the Administrative Services Agreement, provides the Fund with administrative personnel and services. The fee paid to FServ is based on a scale that ranges from 0.15% to 0.075% of the average aggregate daily net assets of all funds advised by subsidiaries of Federated Investors, Inc. subject to a $125,000 minimum per portfolio and $30,000 per each additional class.
The Fund has adopted a Distribution Plan (the "Plan") pursuant to Rule 12b-1 under the Act. Under the terms of the Plan, the Fund will compensate Federated Securities Corp. ("FSC"), the principal distributor, from the net assets of the Fund to finance activities intended to result in the sale of the Fund's Select shares. The Plan provides that the Fund may incur distribution expenses of up to 0.75% of average net assets, annually, to compensate FSC. The distributor may voluntarily choose to waive any portion of its fee. The distributor can modify or terminate this voluntary waiver at any time at its sole discretion.
Under the terms of a Shareholder Services Agreement with Federated Shareholder Services Company ("FSSC"), the Fund will pay FSSC up to 0.25% of average daily net assets of the Fund's shares for the period. The fee paid to FSSC is used to finance certain services for shareholders and to maintain shareholder accounts. FSSC may voluntarily choose to waive any portion of its fee. FSSC can modify or terminate this voluntary waiver at any time at its sole discretion.
FServ, through its subsidiary FSSC, serves as transfer and dividend disbursing agent for the Fund. The fee paid to FSSC is based on the size, type, and number of accounts and transactions made by shareholders.
FServ maintains the Fund's accounting records for which it receives a fee. The fee is based on the level of each of the Fund's average daily net assets for the period, plus out-of-pocket expenses.
Certain of the Officers and Trustees of the Trust are Officers and Directors or Trustees of the above companies.
Purchases and sales of investments, excluding short-term securities, for the six months ended May 31, 2000, were as follows:
|
Purchases |
|
$ |
54,837,113 |
|
|
|||
|
Sales |
|
$ |
76,322,386 |
|
|
|||
The Fund invests in securities of non-U.S. issuers. Although the Fund maintains a diversified investment portfolio, the political or economic developments within a particular country or region may have an adverse effect on the stability of domiciled issuers to meet their obligations. Additionally, political or economic developments may have an effect on the liquidity and volatility of portfolio securities and currency holdings.
At May 31, 2000, the diversification of industries for non-U.S. issuers was as follows.
|
Conservative Growth Portfolio |
||||||
|
Industry |
|
Percentage of |
|
Industry |
|
Percentage of |
|
Agency |
|
0.1% |
|
Insurance |
|
0.1% |
|
Automobiles & Components |
|
0.1 |
|
Media |
|
0.3 |
|
Banking |
|
0.5 |
|
Metals & Mining |
|
0.2 |
|
Banks |
|
0.2 |
|
Oil (Int'l Integrated) |
|
0.4 |
|
Capital Goods |
|
0.4 |
|
Pharmaceuticals & Biotechnology |
|
0.0 |
|
Commercial Services & Supplies |
|
0.0 |
|
Real Estate |
|
0.0 |
|
Communication Equipment |
|
0.2 |
|
Retailing |
|
0.1 |
|
Consumer Durables & Apparel |
|
0.2 |
|
Software & Services |
|
0.1 |
|
Energy |
|
0.2 |
|
Sovereign |
|
3.0 |
|
Finance |
|
0.3 |
|
Sovereign Government |
|
0.6 |
|
Financial Intermediaries |
|
0.7 |
|
Supranational |
|
0.1 |
|
Food & Drug Retailing |
|
0.1 |
|
Technology Hardware Equipment |
|
0.9 |
|
Food Beverage & Tobacco |
|
0.1 |
|
Telecommunication Services |
|
0.4 |
|
Forest Products |
|
0.3 |
|
Transportation |
|
0.1 |
|
Government Agency |
|
0.4 |
|
Utilities |
|
0.2 |
|
Health Care Equipment & Services |
|
0.0 |
|
|
|
|
|
Hotels, Restaurant & Leisure |
|
0.0 |
|
|
|
|
|
Household & Personal |
|
0.0 |
|
|
|
|
Chairman
President
Executive Vice President
Executive Vice President
Executive Vice President and Secretary
Vice President
Treasurer
Assistant Secretary
Mutual funds are not bank deposits or obligations, are not guaranteed by any bank, and are not insured or guaranteed by the U.S. government, the Federal Deposit Insurance Corporation, the Federal Reserve Board, or any other government agency. Investment in mutual funds involves investment risk, including the possible loss of principal.
This report is authorized for distribution to prospective investors only when preceded or accompanied by the fund's prospectus which contains facts concerning its objective and policies, management fees, expenses and other information.
Federated
World-Class Investment Manager
SEMI-ANNUAL REPORT
Institutional Shares
Select Shares
MAY 31, 2000
Federated
Federated Managed Conservative Growth Portfolio
Federated
Investors Funds
5800 Corporate Drive
Pittsburgh, PA
15237-7000
1-800-341-7400
www.federatedinvestors.com
Federated
Securities Corp., Distributor
Cusip 314212408
Cusip 314212309
G00516-01 (7/00)
Federated is a registered mark of Federated Investors, Inc. 2000 ©Federated Investors, Inc.
SEMI-ANNUAL REPORT
Dear Shareholder:
I am pleased to present the Semi-Annual Report to Shareholders of Federated Managed Growth Portfolio, a portfolio of Federated Managed Allocation Portfolios, for the six-month period from December 1, 1999, through May 31, 2000. Included in this report is an investment review, followed by a complete listing of the fund's holdings and financial statements.
In pursuit of its investment objective, the fund invests in a well-diversified portfolio that focuses on stocks. At the end of the reporting period, 74% of the fund's $164.6-million portfolio was invested across stocks, including large-cap, small-cap and foreign stocks.1 The rest of the portfolio consisted of U.S. bonds.
During the reporting period, the fund's Institutional Shares delivered a total return of 0.68% through a share price decrease of $0.76, dividends totaling $0.104 per share, and capital gains totaling $0.776 per share.2 The fund's Select Shares produced a total return of 0.33% through a share price decrease of $0.76, dividends totaling $0.051 per share, and capital gains totaling $0.776 per share.2
Thank you for pursuing your long-term goals through the extremely high diversification and professional management of Federated Managed Growth Portfolio. As always, we welcome your comments and suggestions.
Sincerely,
Glen R. Johnson
Glen R. Johnson
President
July 15, 2000
1 Small company stocks may be less liquid and subject to greater price volatility than large capitalization stocks. Foreign investing involves special risks including currency risk, increased volatility of foreign securities, and differences in auditing and other financial standards.
2 Past performance is no guarantee of future results. Investment return and principal value will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost.
The six-month reporting period ended May 31, 2000 was a generally favorable one for financial assets, and Federated Managed Growth Portfolio participated in the advance. For the reporting period, an investor in the fund's Institutional Shares had a total return of 0.68%,1 while an investor in the fund's Select Shares had a total return of 0.33%.1 As usual, performance among asset classes showed wide variation. Stocks of small U.S. companies did especially well early in the reporting period before declining in the last half of the reporting period when large company stocks provided better relative performance. Unlike stocks, bond prices fell early in the reporting period before rising for most of the remainder. The rising value of the dollar reduced returns to dollar-based holders of foreign stocks and bonds.
Federated Managed Growth Portfolio operates on an investment philosophy that, over time, an investor with a diversified portfolio should achieve better returns with the same risk, or the same returns with lower risk, than an investor in a single asset category. Therefore, to ensure proper diversification of its portfolio, the fund's investment policies require management to allocate the portfolio among as many as eight asset categories and limit the weight of each asset category. In allocating the fund's portfolio among asset categories, fund management analyzes the relative value offered by each category under prevailing market conditions. Fund management seeks to improve the fund's performance by weighting most heavily the asset categories that management believes will provide the best relative value. The following table shows the allocation of the portfolio among different asset categories at May 31, 2000.
|
Asset Category |
|
Benchmark |
|
Percentage as |
|
Bonds2 |
|
|
|
28 |
|
U.S. Treasury Securities |
|
8.3 |
|
21 |
|
Mortgage-Backed Securities |
|
7.1 |
|
5 |
|
High Yield Corporate Bonds |
|
0.0 |
|
2 |
|
|
|
|
|
|
|
Equities2 |
|
|
|
74 |
|
Large Company Stocks |
|
45.0 |
|
44 |
|
Small Company Stocks |
|
15.0 |
|
15 |
|
Foreign Stocks |
|
20.0 |
|
15 |
1 Past performance is no guarantee of future results. Investment return and principal value will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost.
2 Bonds convertible into equity securities at a price below the closing price of the underlying equity securities on May 31, 2000 have been included under the appropriate equity asset category.
The fund has a below normal allocation to stocks following the steep decline in the prices of small company stocks during March, April and May. Concerns that the strong rate of growth in the U.S. economy would lead to higher inflation rates has resulted in the Federal Reserve Board (the "Fed") increasing short-term interest rates on three occasions during the six-month reporting period. When economic growth failed to slow, investors became concerned that many additional increases by the Fed would be necessary to prevent higher inflation rates. These concerns contributed to the decline in stock prices.
Management has adopted a normal bond position following the rise in bond prices which occurred during the past six months. At the beginning of the reporting period, bond yields were higher because of investor concerns that the rapid rate of growth in the U.S. economy would lead to higher inflation rates. As the Fed continued to increase short-term interest rates in order to slow economic growth, investor concerns diminished. This change in outlook resulted in a reduction in bond yields and higher bond prices.
Within the equity portfolio, the large cap stocks are currently held at above their normal allocations while small cap and foreign stocks are held at below their normal allocations. This allocation contributed to the returns of the fund as large cap stocks had better performance relative to small cap stocks during the latter part of the reporting period. The lower weight on foreign stocks also contributed to returns as the increase in the value of the dollar over the last six months has decreased the returns for U.S. investors in foreign stocks.
MAY 31, 2000 (UNAUDITED)
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--74.1% |
|
|
|
|
|
|
|
LARGE-CAP STOCKS--44.0% |
|
|
|
|
|
|
|
Basic Materials--1.0% |
|
|
|
|
|
12,260 |
|
Du Pont (E.I.) de Nemours & Co. |
|
$ |
600,740 |
|
|
6,100 |
|
PPG Industries, Inc. |
|
|
302,331 |
|
|
9,200 |
|
Weyerhaeuser Co. |
|
|
456,550 |
|
|
10,500 |
|
Willamette Industries, Inc. |
|
|
341,250 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,700,871 |
|
|
||||||
|
|
|
|
Capital Goods--2.9% |
|
|
|
|
|
4,200 |
|
Caterpillar, Inc. |
|
|
160,650 |
|
|
5,100 |
|
Eaton Corp. |
|
|
370,069 |
|
|
53,700 |
|
General Electric Co. |
|
|
2,825,962 |
|
|
6,200 |
|
Honeywell International, Inc. |
|
|
339,063 |
|
|
15,000 |
|
Tyco International Ltd. |
|
|
705,938 |
|
|
4,800 |
|
United Technologies Corp. |
|
|
290,100 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
4,691,782 |
|
|
||||||
|
|
|
|
Communication Services--3.6% |
|
|
|
|
|
8,100 |
|
Alltel Corp. |
|
|
530,044 |
|
|
32,865 |
|
AT&T Corp. |
|
|
1,140,005 |
|
|
18,300 |
|
Bell Atlantic Corp. |
|
|
967,612 |
|
|
20,800 |
|
BellSouth Corp. |
|
|
971,100 |
|
|
8,800 |
|
Comcast Corp., Class A |
|
|
333,300 |
|
|
12,300 |
|
GTE Corp. |
|
|
777,975 |
|
|
3,700 |
1 |
NEXTEL Communications, Inc., Class A |
|
|
342,713 |
|
|
8,200 |
1 |
Sprint Corp. (PCS Group) |
|
|
455,100 |
|
|
6,000 |
|
U.S. West, Inc. |
|
|
432,000 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
5,949,849 |
|
|
||||||
|
|
|
|
Consumer Cyclicals--3.1% |
|
|
|
|
|
6,200 |
1 |
Convergys Corp. |
|
|
278,612 |
|
|
7,000 |
|
Costco Wholesale Corp. |
|
|
223,562 |
|
|
15,200 |
|
Ford Motor Co. |
|
|
738,150 |
|
|
8,600 |
|
General Motors Corp. |
|
|
607,375 |
|
|
16,350 |
|
Home Depot, Inc. |
|
|
798,084 |
|
|
9,600 |
|
Knight-Ridder, Inc. |
|
|
508,800 |
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
LARGE-CAP STOCKS--continued |
|
|
|
|
|
|
|
Consumer Cyclicals--continued |
|
|
|
|
|
5,300 |
|
Target Corp. |
|
$ |
332,244 |
|
|
29,100 |
|
Wal-Mart Stores, Inc. |
|
|
1,676,888 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
5,163,715 |
|
|
||||||
|
|
|
|
Consumer Staples--3.6% |
|
|
|
|
|
6,400 |
1 |
Clear Channel Communications, Inc. |
|
|
479,200 |
|
|
15,000 |
|
Coca-Cola Co. |
|
|
800,625 |
|
|
6,900 |
|
Dial Corp. |
|
|
98,325 |
|
|
6,800 |
|
Gillette Co. |
|
|
226,950 |
|
|
7,700 |
|
Kimberly-Clark Corp. |
|
|
465,850 |
|
|
9,200 |
|
PepsiCo, Inc. |
|
|
374,325 |
|
|
21,500 |
|
Philip Morris Cos., Inc. |
|
|
561,688 |
|
|
9,600 |
|
Procter & Gamble Co. |
|
|
638,400 |
|
|
9,028 |
1 |
Viacom, Inc., Class B |
|
|
559,736 |
|
|
14,800 |
|
Walgreen Co. |
|
|
419,950 |
|
|
28,700 |
|
Walt Disney Co. |
|
|
1,210,781 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
5,835,830 |
|
|
||||||
|
|
|
|
Energy--4.0% |
|
|
|
|
|
12,400 |
|
Ashland, Inc. |
|
|
433,225 |
|
|
8,300 |
|
Chevron Corp. |
|
|
767,231 |
|
|
6,018 |
|
Conoco, Inc., Class B |
|
|
171,513 |
|
|
35,540 |
|
Exxon Mobil Corp. |
|
|
2,960,926 |
|
|
3,300 |
|
Halliburton Co. |
|
|
168,300 |
|
|
16,200 |
|
Royal Dutch Petroleum Co., ADR |
|
|
1,011,488 |
|
|
7,000 |
|
Schlumberger Ltd. |
|
|
514,938 |
|
|
9,300 |
|
Texaco, Inc. |
|
|
534,169 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
6,561,790 |
|
|
||||||
|
|
|
|
Financials--7.2% |
|
|
|
|
|
15,900 |
|
Allstate Corp. |
|
|
421,350 |
|
|
12,600 |
|
American Express Co. |
|
|
678,037 |
|
|
10,426 |
|
American International Group, Inc. |
|
|
1,173,577 |
|
|
19,794 |
|
Bank of America Corp. |
|
|
1,099,804 |
|
|
9,500 |
|
Chase Manhattan Corp. |
|
|
709,531 |
|
|
34,375 |
|
Citigroup, Inc. |
|
|
2,137,695 |
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
LARGE-CAP STOCKS--continued |
|
|
|
|
|
|
|
Financials--continued |
|
|
|
|
|
8,100 |
|
Fannie Mae |
|
$ |
487,013 |
|
|
14,000 |
|
First Union Corp. |
|
|
492,625 |
|
|
11,526 |
|
Fleet Boston Financial Corp. |
|
|
435,827 |
|
|
5,600 |
|
Loews Corp. |
|
|
368,900 |
|
|
10,000 |
|
Mellon Financial Corp. |
|
|
385,625 |
|
|
5,600 |
|
Merrill Lynch & Co., Inc. |
|
|
552,300 |
|
|
12,600 |
|
Morgan Stanley, Dean Witter & Co. |
|
|
906,413 |
|
|
7,600 |
|
PNC Bank Corp. |
|
|
382,850 |
|
|
12,200 |
|
Post Properties, Inc. |
|
|
535,275 |
|
|
9,900 |
|
Schwab (Charles) Corp. |
|
|
284,625 |
|
|
19,300 |
|
U.S. Bancorp |
|
|
501,800 |
|
|
11,300 |
|
Washington Mutual, Inc. |
|
|
324,875 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
11,878,122 |
|
|
||||||
|
|
|
|
Health Care--4.7% |
|
|
|
|
|
12,300 |
|
Abbott Laboratories |
|
|
500,456 |
|
|
7,700 |
1 |
Amgen, Inc. |
|
|
489,912 |
|
|
4,600 |
|
Baxter International, Inc. |
|
|
305,900 |
|
|
13,200 |
|
Bristol-Myers Squibb Co. |
|
|
726,825 |
|
|
8,200 |
|
Johnson & Johnson |
|
|
733,900 |
|
|
7,300 |
|
Lilly (Eli) & Co. |
|
|
555,713 |
|
|
9,200 |
|
Medtronic, Inc. |
|
|
474,950 |
|
|
14,100 |
|
Merck & Co., Inc. |
|
|
1,052,213 |
|
|
24,100 |
|
Pfizer, Inc. |
|
|
1,073,956 |
|
|
14,824 |
|
Pharmacia Corp. |
|
|
769,922 |
|
|
11,000 |
|
Schering Plough Corp. |
|
|
532,125 |
|
|
4,500 |
|
Warner-Lambert Co. |
|
|
549,563 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
7,765,435 |
|
|
||||||
|
|
|
|
Technology--13.1% |
|
|
|
|
|
15,600 |
1 |
America Online, Inc. |
|
|
826,800 |
|
|
7,200 |
1 |
Applied Materials, Inc. |
|
|
601,200 |
|
|
9,900 |
|
Automatic Data Processing, Inc. |
|
|
543,881 |
|
|
44,300 |
1 |
Cisco Systems, Inc. |
|
|
2,522,331 |
|
|
17,700 |
|
Compaq Computer Corp. |
|
|
464,625 |
|
|
8,000 |
|
Computer Associates International, Inc. |
|
|
412,000 |
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
LARGE-CAP STOCKS--continued |
|
|
|
|
|
|
|
Technology--continued |
|
|
|
|
|
12,400 |
1 |
Compuware Corp. |
|
$ |
126,325 |
|
|
3,150 |
|
Corning, Inc. |
|
|
609,328 |
|
|
18,300 |
1 |
Dell Computer Corp. |
|
|
789,187 |
|
|
7,600 |
1 |
EMC Corp., Mass |
|
|
883,975 |
|
|
5,100 |
|
Eastman Kodak Co. |
|
|
304,725 |
|
|
5,700 |
|
Electronic Data Systems Corp. |
|
|
366,581 |
|
|
11,500 |
|
First Data Corp. |
|
|
644,719 |
|
|
6,800 |
|
Hewlett-Packard Co. |
|
|
816,850 |
|
|
21,000 |
|
Intel Corp. |
|
|
2,618,438 |
|
|
13,700 |
|
International Business Machines Corp. |
|
|
1,470,181 |
|
|
20,300 |
|
Lucent Technologies, Inc. |
|
|
1,164,713 |
|
|
20,200 |
1 |
Microsoft Corp. |
|
|
1,263,763 |
|
|
6,100 |
|
Motorola, Inc. |
|
|
571,875 |
|
|
10,700 |
|
Nortel Networks Corp. |
|
|
581,144 |
|
|
18,900 |
1 |
Oracle Corp. |
|
|
1,358,438 |
|
|
5,500 |
1 |
Qualcomm, Inc. |
|
|
365,063 |
|
|
11,800 |
1 |
Sun Microsystems, Inc. |
|
|
904,175 |
|
|
12,600 |
|
Texas Instruments, Inc. |
|
|
910,350 |
|
|
3,600 |
1 |
Yahoo, Inc. |
|
|
407,025 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
21,527,692 |
|
|
||||||
|
|
|
|
Transportation--0.3% |
|
|
|
|
|
11,000 |
|
Union Pacific Corp. |
|
|
465,438 |
|
|
||||||
|
|
|
|
Utilities--0.5% |
|
|
|
|
|
7,100 |
|
Enron Corp. |
|
|
517,413 |
|
|
11,100 |
|
Reliant Energy, Inc. |
|
|
316,350 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
833,763 |
|
|
||||||
|
|
|
|
TOTAL LARGE-CAP STOCKS |
|
|
72,374,287 |
|
|
||||||
|
|
|
|
SMALL-CAP STOCKS--6.5% |
|
|
|
|
|
|
|
Basic Materials--0.2% |
|
|
|
|
|
4,100 |
|
Cambrex Corp. |
|
|
172,712 |
|
|
1,600 |
1 |
Stillwater Mining Co. |
|
|
44,900 |
|
|
3,600 |
|
USX-U.S. Steel Group, Inc. |
|
|
81,225 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
298,837 |
|
|
||||||
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
SMALL-CAP STOCKS--continued |
|
|
|
|
|
|
|
Capital Goods--0.8% |
|
|
|
|
|
2,900 |
|
Applied Power, Inc., Class A |
|
$ |
80,294 |
|
|
2,400 |
|
C&D Technologies, Inc. |
|
|
174,000 |
|
|
1,900 |
|
Carlisle Cos., Inc. |
|
|
78,969 |
|
|
1,400 |
1 |
Cognex Corp. |
|
|
75,687 |
|
|
2,900 |
1 |
Dycom Industries, Inc. |
|
|
140,469 |
|
|
4,100 |
1 |
Excel Technology, Inc. |
|
|
129,150 |
|
|
4,200 |
|
Federal Signal Corp. |
|
|
81,112 |
|
|
1,900 |
|
Harman International Industries, Inc. |
|
|
109,963 |
|
|
1,800 |
1 |
Kemet Corp. |
|
|
120,938 |
|
|
333 |
1 |
RailAmerica, Inc. |
|
|
1,748 |
|
|
2,000 |
1 |
Shaw Group, Inc. |
|
|
87,250 |
|
|
4,550 |
|
Spartech Corp. |
|
|
134,794 |
|
|
5,100 |
1 |
Terex Corp. |
|
|
81,281 |
|
|
900 |
1 |
Three-Five Systems, Inc. |
|
|
56,475 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,352,130 |
|
|
||||||
|
|
|
|
Communication Services--0.2% |
|
|
|
|
|
2,500 |
1 |
Adelphia Business Solutions, Inc. |
|
|
55,625 |
|
|
1,100 |
1 |
AirGate PCS, Inc. |
|
|
33,206 |
|
|
5,200 |
1 |
Alaska Communications Systems Holdings, Inc. |
|
|
66,950 |
|
|
2,000 |
1 |
MGC Communications, Inc. |
|
|
82,000 |
|
|
2,000 |
1 |
TeleCorp PCS, Inc. |
|
|
60,750 |
|
|
1,200 |
1 |
Time Warner Telecom, Inc. |
|
|
67,200 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
365,731 |
|
|
||||||
|
|
|
|
Consumer Cyclicals--0.5% |
|
|
|
|
|
3,600 |
|
Centex Corp. |
|
|
74,700 |
|
|
1,100 |
1 |
China.com Corp., Class A |
|
|
26,194 |
|
|
2,400 |
1 |
DigitalThink, Inc. |
|
|
50,400 |
|
|
1,100 |
1 |
Gemstar International Group Ltd. |
|
|
46,681 |
|
|
2,200 |
1 |
Gentex Corp. |
|
|
68,200 |
|
|
2,600 |
|
Hertz Corp., Class A |
|
|
81,413 |
|
|
4,300 |
1 |
Lear Corp. |
|
|
100,781 |
|
|
2,100 |
1 |
Media Metrix, Inc. |
|
|
58,538 |
|
|
2,800 |
1 |
Modem Media, Inc. |
|
|
33,775 |
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
SMALL-CAP STOCKS--continued |
|
|
|
|
|
|
|
Consumer Cyclicals--continued |
|
|
|
|
|
2,800 |
1 |
Tech Data Corp. |
|
$ |
105,175 |
|
|
5,300 |
1 |
Tower Automotive, Inc. |
|
|
73,538 |
|
|
5,700 |
1 |
United Rentals, Inc. |
|
|
92,625 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
812,020 |
|
|
||||||
|
|
|
|
Consumer Staples--0.4% |
|
|
|
|
|
2,400 |
1 |
Andrx Corp. |
|
|
143,100 |
|
|
5,500 |
1 |
Charter Communications, Inc. |
|
|
67,031 |
|
|
2,400 |
1 |
Emmis Communications, Corp., Class A |
|
|
81,900 |
|
|
2,100 |
1 |
Patterson Dental Co. |
|
|
106,969 |
|
|
5,175 |
1 |
Tetra Tech, Inc. |
|
|
113,850 |
|
|
1,300 |
1 |
TiVo, Inc. |
|
|
25,188 |
|
|
2,100 |
1 |
XM Satellite Radio Holdings, Inc., Class A |
|
|
63,000 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
601,038 |
|
|
||||||
|
|
|
|
Energy--0.4% |
|
|
|
|
|
600 |
1 |
Atwood Oceanics, Inc. |
|
|
32,812 |
|
|
2,200 |
1 |
Calpine Corp. |
|
|
233,062 |
|
|
3,700 |
1 |
Global Industries Ltd. |
|
|
65,213 |
|
|
3,200 |
1 |
Newfield Exploration Co. |
|
|
134,000 |
|
|
2,700 |
1 |
Petroleum Geo-Services, ADR |
|
|
51,469 |
|
|
2,700 |
1 |
Pride International, Inc. |
|
|
68,681 |
|
|
1,900 |
1 |
Tuboscope, Inc. |
|
|
41,325 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
626,562 |
|
|
||||||
|
|
|
|
Financials--0.4% |
|
|
|
|
|
4,300 |
1 |
Affiliated Managers Group |
|
|
144,050 |
|
|
5,200 |
|
Amex Financial Select Standard & Poor Depository Receipt |
|
|
130,244 |
|
|
3,400 |
1 |
Intercept Group, Inc. |
|
|
59,075 |
|
|
2,900 |
|
Jefferies Group, Inc. |
|
|
58,544 |
|
|
1,400 |
1 |
Pinnacle Holdings, Inc. |
|
|
68,600 |
|
|
700 |
|
SEI Investments Co. |
|
|
98,109 |
|
|
1,300 |
|
Southwest Securities Group, Inc. |
|
|
37,700 |
|
|
2,100 |
|
Technology Select Sector Standard & Poor Depository Receipt Fund |
|
|
103,688 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
700,010 |
|
|
||||||
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
SMALL-CAP STOCKS--continued |
|
|
|
|
|
|
|
Health Care--0.5% |
|
|
|
|
|
300 |
1 |
Affymetrix, Inc. |
|
$ |
35,625 |
|
|
1,500 |
|
Celgene Corp. |
|
|
55,125 |
|
|
1,900 |
1 |
Cephalon, Inc. |
|
|
98,325 |
|
|
1,500 |
1 |
Cubist Pharmaceuticals, Inc. |
|
|
42,937 |
|
|
400 |
1 |
Human Genome Sciences, Inc. |
|
|
35,100 |
|
|
2,025 |
|
Jones Pharma, Inc. |
|
|
73,786 |
|
|
595 |
1 |
Medimmune, Inc. |
|
|
92,448 |
|
|
1,200 |
1 |
Millennium Pharmaceuticals, Inc. |
|
|
100,350 |
|
|
800 |
1 |
MiniMed, Inc. |
|
|
95,600 |
|
|
6,200 |
|
Omnicare, Inc. |
|
|
102,300 |
|
|
2,200 |
1 |
Sybron International Corp. |
|
|
69,713 |
|
|
900 |
1 |
Techne Corp. |
|
|
71,944 |
|
|
700 |
|
United Therapeutics Corp. |
|
|
44,800 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
918,053 |
|
|
||||||
|
|
|
|
Technology--2.9% |
|
|
|
|
|
800 |
1 |
724 Solutions, Inc. |
|
|
28,400 |
|
|
2,800 |
1 |
ACTV, Inc. |
|
|
34,125 |
|
|
900 |
1 |
Active Software, Inc. |
|
|
32,287 |
|
|
1,400 |
1 |
Adaptive Broadband Corp. |
|
|
37,100 |
|
|
600 |
1 |
Aether Systems, Inc. |
|
|
82,462 |
|
|
3,000 |
1 |
Airnet Communications Corp. |
|
|
44,250 |
|
|
1,200 |
1 |
Alpha Industries, Inc. |
|
|
55,275 |
|
|
1,700 |
1 |
Applied Micro Circuits Corp. |
|
|
168,725 |
|
|
900 |
1 |
AudioCodes Ltd. |
|
|
65,756 |
|
|
1,100 |
1 |
Avanex Corp. |
|
|
74,800 |
|
|
2,600 |
1 |
Broadvision, Inc. |
|
|
93,112 |
|
|
2,000 |
1 |
Burr Brown Corp. |
|
|
113,875 |
|
|
1,800 |
1 |
Business Objects SA, ADR |
|
|
144,000 |
|
|
1,200 |
1 |
C-Cube Microsystems, Inc. |
|
|
20,625 |
|
|
600 |
1 |
Clarent Corp. |
|
|
25,425 |
|
|
2,200 |
1 |
Comverse Technology, Inc. |
|
|
201,025 |
|
|
600 |
1 |
Concentric Network Corp. |
|
|
26,850 |
|
|
1,714 |
1 |
Conexant Systems, Inc. |
|
|
64,489 |
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
SMALL-CAP STOCKS--continued |
|
|
|
|
|
|
|
Technology--continued |
|
|
|
|
|
900 |
1 |
Cree Research, Inc. |
|
$ |
109,336 |
|
|
1,900 |
1 |
Crossroads Systems, Inc. |
|
|
75,762 |
|
|
1,400 |
1 |
Cypress Semiconductor Corp. |
|
|
58,887 |
|
|
900 |
1 |
Digital Lightwave, Inc. |
|
|
49,444 |
|
|
600 |
1 |
E-Tek Dynamics, Inc. |
|
|
110,287 |
|
|
700 |
1 |
E.piphany, Inc. |
|
|
54,687 |
|
|
1,300 |
1 |
Extreme Networks, Inc. |
|
|
63,537 |
|
|
1,100 |
1 |
F5 Networks, Inc. |
|
|
35,475 |
|
|
5,300 |
|
FactSet Research Systems, Inc. |
|
|
136,475 |
|
|
2,800 |
1 |
Finisar Corp. |
|
|
62,475 |
|
|
2,000 |
1 |
Firepond, Inc. |
|
|
34,000 |
|
|
1,100 |
1 |
GlobeSpan, Inc |
|
|
97,212 |
|
|
1,851 |
1 |
Harmonic Lightwaves, Inc. |
|
|
82,717 |
|
|
5,900 |
1 |
IGATE Capital Corp. |
|
|
92,556 |
|
|
1,500 |
|
Interlink Electronics, Inc. |
|
|
32,344 |
|
|
3,700 |
1 |
International Fibercom, Inc. |
|
|
52,956 |
|
|
5,000 |
1 |
Internet Pictures Corp. |
|
|
50,000 |
|
|
1,200 |
1 |
Keynote Systems, Inc. |
|
|
41,775 |
|
|
1,600 |
1 |
Lattice Semiconductor Corp. |
|
|
94,900 |
|
|
1,400 |
1 |
Liberate Technologies, Inc. |
|
|
32,638 |
|
|
1,000 |
1 |
MCK Communications, Inc. |
|
|
23,250 |
|
|
2,400 |
1 |
Mercury Interactive Corp. |
|
|
203,400 |
|
|
2,100 |
|
Methode Electronics, Inc., Class A |
|
|
75,338 |
|
|
2,100 |
1 |
Micrel, Inc. |
|
|
133,875 |
|
|
1,600 |
1 |
National Instruments Corp. |
|
|
58,200 |
|
|
2,900 |
1 |
Netro Corp. |
|
|
86,638 |
|
|
3,600 |
1 |
Oak Technology, Inc. |
|
|
53,100 |
|
|
2,000 |
1 |
Orbotech Ltd. |
|
|
169,000 |
|
|
1,500 |
1 |
Packeteer, Inc. |
|
|
19,406 |
|
|
3,200 |
1 |
Paradyne Networks, Inc. |
|
|
90,000 |
|
|
700 |
1 |
Phone.com, Inc. |
|
|
48,956 |
|
|
1,400 |
1 |
Photon Dynamics, Inc. |
|
|
84,438 |
|
|
1,300 |
1 |
Puma Technology, Inc. |
|
|
28,600 |
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
SMALL-CAP STOCKS--continued |
|
|
|
|
|
|
|
Technology--continued |
|
|
|
|
|
3,000 |
1 |
Qlogic Corp. |
|
$ |
147,375 |
|
|
800 |
1 |
Quantum Effect Devices, Inc. |
|
|
32,350 |
|
|
800 |
1 |
RF Micro Devices, Inc. |
|
|
84,000 |
|
|
1,300 |
1 |
RSA Security, Inc. |
|
|
74,831 |
|
|
600 |
1 |
SDL, Inc. |
|
|
135,938 |
|
|
900 |
1 |
Sandisk Corp. |
|
|
52,313 |
|
|
2,000 |
1 |
Semtech Corp. |
|
|
111,500 |
|
|
1,275 |
1 |
Sierra Wireless, Inc. |
|
|
38,304 |
|
|
1,800 |
1 |
Tibco Software, Inc. |
|
|
100,125 |
|
|
3,200 |
1 |
Varian Semiconductor Equipment Associates, Inc. |
|
|
152,600 |
|
|
2,800 |
1 |
Virata Corp. |
|
|
115,500 |
|
|
1,700 |
1 |
Zoran Corp. |
|
|
66,725 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
4,865,806 |
|
|
||||||
|
|
|
|
Transportation--0.1% |
|
|
|
|
|
2,400 |
|
USFreightways Corp. |
|
|
65,850 |
|
|
2,600 |
1 |
Yellow Corp. |
|
|
42,575 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
108,425 |
|
|
||||||
|
|
|
|
Utilities--0.1% |
|
|
|
|
|
2,400 |
|
Avista Corp. |
|
|
53,700 |
|
|
3,400 |
|
Utilicorp United, Inc. |
|
|
66,725 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
120,425 |
|
|
||||||
|
|
|
|
TOTAL SMALL-CAP STOCKS |
|
|
10,769,037 |
|
|
||||||
|
|
|
|
FOREIGN EQUITY--15.0% |
|
|
|
|
|
|
|
Australia--0.3% |
|
|
|
|
|
25,400 |
|
ERG Ltd. |
|
|
120,103 |
|
|
5,700 |
|
News Corp., Ltd. |
|
|
64,472 |
|
|
4,400 |
|
News Corp. Ltd., ADR |
|
|
200,475 |
|
|
106,800 |
|
PowerLan Ltd. |
|
|
66,471 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
451,521 |
|
|
||||||
|
|
|
|
Belgium--0.2% |
|
|
|
|
|
6,180 |
1 |
Lernout and Hauspie Speech Products NV |
|
|
258,401 |
|
|
||||||
|
|
|
|
Brazil--0.1% |
|
|
|
|
|
4,000 |
|
Unibanco Uniao de Bancos Brasileiros SA, ADR |
|
|
96,750 |
|
|
||||||
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
FOREIGN EQUITY--continued |
|
|
|
|
|
|
|
Canada--0.5% |
|
|
|
|
|
1,800 |
1 |
C-MAC Industries, Inc. |
|
$ |
68,736 |
|
|
5,100 |
|
Descartes Systems Group, Inc. (Legend) |
|
|
141,298 |
|
|
3,200 |
|
Nortel Networks Corp. |
|
|
170,372 |
|
|
7,700 |
|
Quebecor World, Inc. |
|
|
181,204 |
|
|
4,250 |
1 |
Rogers Communications, Inc., Class B |
|
|
111,081 |
|
|
6,200 |
|
Talisman Energy, Inc. |
|
|
198,678 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
871,369 |
|
|
||||||
|
|
|
|
China--0.1% |
|
|
|
|
|
177,500 |
|
Shanghai Petrochemical Co. Ltd., Class H |
|
|
21,868 |
|
|
159,000 |
|
Yanzhou Coal Mining Co., Class H |
|
|
28,159 |
|
|
335,000 |
|
Zhejiang Expressway Co., Ltd. |
|
|
42,991 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
93,018 |
|
|
||||||
|
|
|
|
Denmark--0.1% |
|
|
|
|
|
3,000 |
|
Tele Danmark AS |
|
|
211,825 |
|
|
||||||
|
|
|
|
Finland--0.6% |
|
|
|
|
|
22,000 |
|
JOT Automation Group Oyj |
|
|
128,896 |
|
|
10,000 |
|
Nokia Oyj |
|
|
520,586 |
|
|
2,050 |
|
Nokia Oyj, ADR, Class A |
|
|
106,600 |
|
|
4,850 |
1 |
Perlos Oyj |
|
|
174,205 |
|
|
400 |
1 |
Satama Interactive Oyj |
|
|
1,933 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
932,220 |
|
|
||||||
|
|
|
|
France--3.3% |
|
|
|
|
|
1,300 |
|
AXA |
|
|
191,628 |
|
|
2,500 |
|
Accor SA |
|
|
101,225 |
|
|
17,000 |
|
Alcatel |
|
|
940,507 |
|
|
755 |
|
Bouygues SA |
|
|
467,706 |
|
|
200 |
|
Canal Plus |
|
|
38,064 |
|
|
280 |
|
Carrefour SA |
|
|
19,814 |
|
|
2,200 |
|
Casino Ord |
|
|
196,013 |
|
|
430 |
|
Christian Dior SA |
|
|
98,286 |
|
|
2,600 |
|
Compagnie de Saint Gobain |
|
|
362,638 |
|
|
800 |
|
France Telecom SA |
|
|
116,805 |
|
|
1,000 |
|
Lagardere S.C.A. |
|
|
69,971 |
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
FOREIGN EQUITY--continued |
|
|
|
|
|
|
|
France--continued |
|
|
|
|
|
200 |
1 |
Liberty Surf Group SA |
|
$ |
6,381 |
|
|
1,060 |
|
M6 Metropole Television |
|
|
602,256 |
|
|
1,670 |
|
Pinault-Printemps-Redoute SA |
|
|
359,437 |
|
|
4,100 |
|
STMicroelectronics NV (NY Reg Shrs) |
|
|
244,424 |
|
|
4,830 |
|
Total Fina SA, Class B |
|
|
761,088 |
|
|
3,750 |
|
Valeo SA |
|
|
189,972 |
|
|
5,900 |
|
Vivendi SA |
|
|
633,006 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
5,399,221 |
|
|
||||||
|
|
|
|
Germany, Federal Republic of--1.0% |
|
|
|
|
|
60 |
1 |
ADVA AG Optical Networking |
|
|
31,907 |
|
|
6,300 |
|
Bayerische Motoren Werke AG (BMW) |
|
|
191,609 |
|
|
7,200 |
|
Continental AG |
|
|
133,001 |
|
|
1,075 |
1 |
Epcos AG |
|
|
131,232 |
|
|
320 |
1 |
GFK AG |
|
|
13,046 |
|
|
1,900 |
1 |
Infineon Technologies AG |
|
|
124,260 |
|
|
600 |
|
Intershop Communications AG |
|
|
242,380 |
|
|
1,700 |
1 |
Medion AG |
|
|
155,429 |
|
|
65 |
|
Porsche Vorzug |
|
|
170,161 |
|
|
1,225 |
|
Schering AG |
|
|
183,658 |
|
|
700 |
|
Siemens AG |
|
|
102,668 |
|
|
7,120 |
|
Thyssen Krupp AG |
|
|
121,560 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,600,911 |
|
|
||||||
|
|
|
|
Hong Kong--0.2% |
|
|
|
|
|
128,000 |
|
Amoy Properties Ltd. |
|
|
75,973 |
|
|
300,000 |
|
Beijing Datang Power |
|
|
45,815 |
|
|
53,000 |
|
Brilliance China Automotive Holdings Ltd. |
|
|
8,298 |
|
|
66,400 |
|
Cosco Pacific Ltd. |
|
|
49,423 |
|
|
22,600 |
|
Television Broadcasts Ltd. |
|
|
146,466 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
325,975 |
|
|
||||||
|
|
|
|
India--0.0% |
|
|
|
|
|
1,400 |
|
NIIT Limited Demat Shares |
|
|
61,878 |
|
|
||||||
|
|
|
|
Israel--0.0% |
|
|
|
|
|
1,300 |
1 |
Geo Interactive Media Group PLC |
|
|
11,675 |
|
|
||||||
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
FOREIGN EQUITY--continued |
|
|
|
|
|
|
|
Italy--0.2% |
|
|
|
|
|
17,500 |
|
Arn Mondadori Edit |
|
$ |
402,451 |
|
|
||||||
|
|
|
|
Japan--2.0% |
|
|
|
|
|
15,000 |
|
Amada Co |
|
|
129,520 |
|
|
13,000 |
|
Asahi Glass Co., Ltd. |
|
|
120,579 |
|
|
4,000 |
|
Canon, Inc. |
|
|
184,207 |
|
|
18 |
|
DDI Corp. |
|
|
183,835 |
|
|
7,700 |
|
Daiwabo Information System Co., Ltd. |
|
|
119,391 |
|
|
9,000 |
|
Fuji Oil Co., Ltd. |
|
|
76,793 |
|
|
1,200 |
|
Hirose Electric Co. |
|
|
168,126 |
|
|
3,000 |
|
Katokichi Co. |
|
|
75,205 |
|
|
2,900 |
|
Kyocera Corp. |
|
|
481,426 |
|
|
13,000 |
|
NEC Corp. |
|
|
329,511 |
|
|
8,000 |
|
Nippon Electric Glass Co., Ltd. |
|
|
147,960 |
|
|
40 |
|
Nippon TV Network Corp. |
|
|
27,445 |
|
|
90 |
1 |
Nippon TV Network Corp. (New Shares) |
|
|
59,830 |
|
|
13 |
|
Nippon Telegraph & Telephone Corp. |
|
|
154,496 |
|
|
650 |
|
Ono Pharmaceutical Co., Ltd. |
|
|
23,537 |
|
|
4,500 |
|
Sony Corp. |
|
|
407,363 |
|
|
3,000 |
|
Taiyo Yuden Co. |
|
|
227,845 |
|
|
6,000 |
|
Tokyo Electric Power Co. |
|
|
149,854 |
|
|
9,000 |
|
Tostem Corp. |
|
|
148,322 |
|
|
15,000 |
|
Yamaha Motor Co. |
|
|
127,431 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
3,342,676 |
|
|
||||||
|
|
|
|
Korea, Republic of--0.4% |
|
|
|
|
|
7,100 |
|
Hyundai Electronics Industries Co. |
|
|
110,633 |
|
|
17,409 |
|
Korea Data Systems |
|
|
83,230 |
|
|
600 |
|
SK Telecom Co., Ltd. |
|
|
204,515 |
|
|
925 |
|
Samsung Electronics Co. |
|
|
252,236 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
650,614 |
|
|
||||||
|
|
|
|
Malaysia--0.0% |
|
|
|
|
|
1,000 |
|
Malayan United Industries Bhd. |
|
|
225 |
|
|
||||||
|
|
|
|
Mexico--0.1% |
|
|
|
|
|
2,100 |
|
Telefonos de Mexico, Class L, ADR |
|
|
102,244 |
|
|
||||||
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
FOREIGN EQUITY--continued |
|
|
|
|
|
|
|
Netherlands--1.3% |
|
|
|
|
|
2,750 |
|
ASM International NV |
|
$ |
74,659 |
|
|
12,425 |
1 |
ASM Lithography Holding NV |
|
|
457,416 |
|
|
9,000 |
1 |
BE Semiconductor Industries NV |
|
|
143,581 |
|
|
5,700 |
|
Koninklijke Ahold NV |
|
|
161,130 |
|
|
22,000 |
|
Koninklijke (Royal) Philips Electronics NV |
|
|
982,322 |
|
|
7,850 |
|
Laurus NV |
|
|
79,828 |
|
|
400 |
|
OpenTV Corp., ADR |
|
|
18,100 |
|
|
3,850 |
|
Unique International NV |
|
|
98,237 |
|
|
1,125 |
1 |
United Pan-Europe Communications NV |
|
|
29,147 |
|
|
1,750 |
|
Vendex KBB NV |
|
|
31,184 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
2,075,604 |
|
|
||||||
|
|
|
|
Norway--0.0% |
|
|
|
|
|
3,800 |
|
Tomra Systems ASA |
|
|
80,235 |
|
|
||||||
|
|
|
|
Portugal--0.6% |
|
|
|
|
|
16,400 |
|
Banco Pinto & Sotto Mayor |
|
|
370,269 |
|
|
50,000 |
|
Banco Portugues do Atlantico |
|
|
192,188 |
|
|
17,800 |
|
Portugal Telecom SA |
|
|
194,296 |
|
|
14,000 |
|
Telecel - Comunicacoes Pessoais SA |
|
|
227,267 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
984,020 |
|
|
||||||
|
|
|
|
Singapore--0.4% |
|
|
|
|
|
11,000 |
|
Chartered Semiconductor Manufacturing Ltd. |
|
|
104,711 |
|
|
91,000 |
|
Delgro Corporation Ltd. |
|
|
213,148 |
|
|
17,000 |
1 |
ST Assembly Test Services Ltd. |
|
|
50,509 |
|
|
14,600 |
|
Singapore Press Holdings Ltd. |
|
|
219,840 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
588,208 |
|
|
||||||
|
|
|
|
Spain--0.6% |
|
|
|
|
|
2,000 |
|
Grupo Empresarial Ence SA |
|
|
36,945 |
|
|
1,400 |
1 |
Sogecable SA |
|
|
51,788 |
|
|
17,850 |
|
Telefonica SA |
|
|
366,369 |
|
|
23,000 |
|
Union Electrica Fenosa |
|
|
479,583 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
934,685 |
|
|
||||||
|
|
|
|
Sweden--0.5% |
|
|
|
|
|
15,500 |
|
Gambro AB, Class A |
|
|
115,594 |
|
|
2,100 |
1 |
Modern Times Group, Class B |
|
|
94,084 |
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
FOREIGN EQUITY--continued |
|
|
|
|
|
|
|
Sweden--continued |
|
|
|
|
|
105,000 |
|
Rotternos AB |
|
$ |
107,524 |
|
|
5,250 |
|
SKF AB |
|
|
96,129 |
|
|
25,300 |
|
Telefonaktiebolaget LM Ericsson |
|
|
513,941 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
927,272 |
|
|
||||||
|
|
|
|
Switzerland--0.3% |
|
|
|
|
|
38 |
1 |
Kudelski SA |
|
|
422,660 |
|
|
1,000 |
|
UBS AG |
|
|
134,923 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
557,583 |
|
|
||||||
|
|
|
|
Taiwan, Province of China--0.0% |
|
|
|
|
|
512 |
1 |
Taiwan Semiconductor Manufacturing Co., ADR |
|
|
18,080 |
|
|
||||||
|
|
|
|
United Kingdom--2.2% |
|
|
|
|
|
1,050 |
|
ARM Holdings PLC, ADR |
|
|
27,169 |
|
|
17,300 |
|
BAA PLC |
|
|
126,370 |
|
|
25,230 |
|
BP Amoco PLC |
|
|
229,803 |
|
|
24,100 |
|
Bass PLC |
|
|
263,701 |
|
|
57,500 |
|
British Aerospace PLC |
|
|
361,059 |
|
|
10,151 |
|
British Telecommunication PLC |
|
|
147,235 |
|
|
23,600 |
|
CMG PLC |
|
|
329,588 |
|
|
19,300 |
|
Cable & Wireless PLC |
|
|
322,114 |
|
|
18,900 |
1 |
Cable & Wireless Communications PLC |
|
|
314,024 |
|
|
47,600 |
|
Diageo PLC |
|
|
407,550 |
|
|
2,000 |
1 |
Energis PLC |
|
|
76,040 |
|
|
6,200 |
|
Pace Micro Technology PLC |
|
|
84,452 |
|
|
13,819 |
|
Prudential Corp., PLC |
|
|
209,228 |
|
|
5,400 |
|
Railtrack Group PLC |
|
|
67,897 |
|
|
5,800 |
|
Reckitt Benckiser PLC |
|
|
63,637 |
|
|
27,800 |
|
Royal Bank of Scotland PLC, Edinburgh |
|
|
457,736 |
|
|
26,800 |
|
Ti Group PLC |
|
|
148,427 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
3,636,030 |
|
|
||||||
|
|
|
|
United States--0.0% |
|
|
|
|
|
800 |
1 |
Infonet Services Corp., Class B |
|
|
9,200 |
|
|
700 |
1 |
ST Assembly Test Services Ltd., ADR |
|
|
21,613 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
30,813 |
|
|
||||||
|
|
|
|
TOTAL FOREIGN EQUITY |
|
|
24,645,504 |
|
|
||||||
|
Principal |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
FUTURES CONTRACTS COLLATERAL--8.6%2 |
|
|
|
|
$ |
14,250,000 |
|
United States Treasury Bill, 6/15/2000 |
|
$ |
14,226,773 |
|
|
||||||
|
|
|
|
TOTAL STOCKS (IDENTIFIED COST $103,131,820) |
|
|
122,015,601 |
|
|
||||||
|
|
|
|
BONDS--27.9% |
|
|
|
|
|
|
|
TREASURY AND GOVERNMENT SECURITIES--21.0% |
|
|
|
|
|
|
|
Repurchase Agreement--14.4%3 |
|
|
|
|
|
23,595,000 |
|
Societe Generale, New York, 6.370%, dated 5/31/2000, due 6/1/2000 (at amortized cost) |
|
|
23,595,000 |
|
|
||||||
|
|
|
|
U.S. Treasury Securities--6.6% |
|
|
|
|
|
4,350,000 |
|
United States Treasury Bond, 8.125%, 5/15/2021 |
|
|
5,217,738 |
|
|
3,997,000 |
|
United States Treasury Note, 6.000%, 8/15/2009 |
|
|
3,897,315 |
|
|
1,375,000 |
|
United States Treasury Note, 6.375%, 8/15/2002 |
|
|
1,365,279 |
|
|
405,000 |
|
United States Treasury Note, 6.500%, 10/15/2006 |
|
|
403,797 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
10,884,129 |
|
|
||||||
|
|
|
|
TOTAL TREASURY AND GOVERNMENT SECURITIES |
|
|
34,479,129 |
|
|
||||||
|
|
|
|
HIGH YIELD BONDS--2.3% |
|
|
|
|
|
483,003 |
4 |
The High Yield Bond Portfolio (at net asset value) |
|
|
3,849,530 |
|
|
||||||
|
|
|
|
MORTGAGE-BACKED SECURITIES--4.6% |
|
|
|
|
|
806,727 |
4 |
Federated Mortgage Core Portfolio (at net asset value) |
|
|
7,591,301 |
|
|
||||||
|
|
|
|
TOTAL BONDS (IDENTIFIED COST $46,336,142) |
|
|
45,919,960 |
|
|
||||||
|
|
|
|
TOTAL INVESTMENTS (IDENTIFIED COST $149,467,962)5 |
|
$ |
167,935,561 |
|
|
||||||
1 Non-income producing security.
2 The fund purchases index futures contracts to efficiently manage cash flows from shareholder purchases and redemptions, dividends and capital payments to shareholders and corporate actions while maintaining exposure to the index and minimize trading costs. The underlying face amount, at value of open index futures is $12,230,150 at May 31, 2000.
3 The repurchase agreement is fully collateralized by U.S. government and/or agency obligations based on market prices at the date of the portfolio. The investment in the repurchase agreement is through participation in a joint account with other Federated funds.
4 Pursuant to an exemptive order, the fund may invest in Federated Core Trust (the "Trust") which is also managed by Federated Investment Management Company, the fund's adviser. The Trust is an open-end management investment company registered under the Investment Company Act of 1940 available only to registered investment companies and other institutional investors. High Yield Bond Portfolio and Federated Mortgage Core Portfolio (the "Portfolios") are two series of the Trust. Federated receives no fees on behalf of the Portfolios. Income distributions from the Portfolios are declared daily and paid monthly. Capital gain distributions if any are declared and paid annually and recorded by the fund as capital gains received.
5 The cost of investments for federal tax purposes amounts to $149,467,962. The net unrealized appreciation of investments on a federal tax basis amounts to $18,467,599 which is comprised of $25,937,553 appreciation and $7,469,954 depreciation as of May 31, 2000.
Note: The categories of investments are shown as a percentage of net assets ($164,558,356) at May 31, 2000.
The following acronym is used throughout this portfolio:
|
ADR |
--American Depositary Receipt |
See Notes which are an integral part of the Financial Statements
MAY 31, 2000 (UNAUDITED)
|
Assets: |
|
|
|
|
|
|
|
Investments in repurchase agreements |
|
$ |
23,595,000 |
|
|
|
|
Investments in securities |
|
|
144,340,561 |
|
|
|
|
|
||||||
|
Total investments in securities, at value (identified and tax cost $149,467,962) |
|
|
|
|
$ |
167,935,561 |
|
Cash |
|
|
|
|
|
4,009 |
|
Cash denominated in foreign currencies (identified cost $35,893) |
|
|
|
|
|
36,695 |
|
Income receivable |
|
|
|
|
|
381,801 |
|
Receivable for investments sold |
|
|
|
|
|
1,093,990 |
|
Receivable for shares sold |
|
|
|
|
|
408,511 |
|
Net receivable for foreign currency exchange contracts |
|
|
|
|
|
1,088 |
|
|
||||||
|
TOTAL ASSETS |
|
|
|
|
|
169,861,655 |
|
|
||||||
|
Liabilities: |
|
|
|
|
|
|
|
Payable for investments purchased |
|
|
5,137,544 |
|
|
|
|
Payable for shares redeemed |
|
|
1,085 |
|
|
|
|
Payable for taxes withheld |
|
|
3,517 |
|
|
|
|
Payable for daily variation margin |
|
|
92,250 |
|
|
|
|
Accrued expenses |
|
|
68,903 |
|
|
|
|
|
||||||
|
TOTAL LIABILITIES |
|
|
|
|
|
5,303,299 |
|
|
||||||
|
Net assets for 11,426,327 shares outstanding |
|
|
|
|
$ |
164,558,356 |
|
|
||||||
|
Net Assets Consist of: |
|
|
|
|
|
|
|
Paid in capital |
|
|
|
|
$ |
136,576,954 |
|
Net unrealized appreciation of investments, translation of assets and liabilities in foreign currency and futures contracts |
|
|
|
|
|
16,229,750 |
|
Accumulated net realized gain on investments, foreign currency transactions and futures contracts |
|
|
|
|
|
11,388,937 |
|
Undistributed net investment income |
|
|
|
|
|
362,715 |
|
|
||||||
|
TOTAL NET ASSETS |
|
|
|
|
$ |
164,558,356 |
|
|
||||||
|
Net Asset Value, Offering Price and Redemption Proceeds Per Share |
|
|
|
|
|
|
|
Institutional Shares: |
|
|
|
|
|
|
|
$89,916,472 ÷ 6,238,817 shares outstanding |
|
|
|
|
|
$14.41 |
|
|
||||||
|
Select Shares: |
|
|
|
|
|
|
|
$74,641,884 ÷ 5,187,510 shares outstanding |
|
|
|
|
|
$14.39 |
|
|
||||||
See Notes which are an integral part of the Financial Statements
SIX MONTHS ENDED MAY 31, 2000 (UNAUDITED)
|
Investment Income: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Dividends (net of foreign taxes withheld of $21,024) |
|
|
|
|
|
|
|
|
|
$ |
1,020,589 |
|
|
Interest |
|
|
|
|
|
|
|
|
|
|
1,266,625 |
|
|
|
||||||||||||
|
TOTAL INCOME |
|
|
|
|
|
|
|
|
|
|
2,287,214 |
|
|
|
||||||||||||
|
Expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Investment adviser fee |
|
|
|
|
|
$ |
637,712 |
|
|
|
|
|
|
Administrative personnel and services fee |
|
|
|
|
|
|
76,075 |
|
|
|
|
|
|
Custodian fees |
|
|
|
|
|
|
33,814 |
|
|
|
|
|
|
Transfer and dividend disbursing agent fees and expenses |
|
|
|
|
|
|
94,475 |
|
|
|
|
|
|
Directors'/Trustees' fees |
|
|
|
|
|
|
1,895 |
|
|
|
|
|
|
Auditing fees |
|
|
|
|
|
|
7,085 |
|
|
|
|
|
|
Legal fees |
|
|
|
|
|
|
3,182 |
|
|
|
|
|
|
Portfolio accounting fees |
|
|
|
|
|
|
35,950 |
|
|
|
|
|
|
Distribution services fee--Select Shares |
|
|
|
|
|
|
276,582 |
|
|
|
|
|
|
Shareholder services fee--Institutional Shares |
|
|
|
|
|
|
120,394 |
|
|
|
|
|
|
Shareholder services fee--Select Shares |
|
|
|
|
|
|
92,194 |
|
|
|
|
|
|
Share registration costs |
|
|
|
|
|
|
14,442 |
|
|
|
|
|
|
Printing and postage |
|
|
|
|
|
|
23,248 |
|
|
|
|
|
|
Insurance premiums |
|
|
|
|
|
|
644 |
|
|
|
|
|
|
Miscellaneous |
|
|
|
|
|
|
5,762 |
|
|
|
|
|
|
|
||||||||||||
|
TOTAL EXPENSES |
|
|
|
|
|
|
1,423,454 |
|
|
|
|
|
|
|
||||||||||||
|
Waivers: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Waiver of investment adviser fee |
|
$ |
(7,207 |
) |
|
|
|
|
|
|
|
|
|
Waiver of distribution services fee--Select Shares |
|
|
(92,194 |
) |
|
|
|
|
|
|
|
|
|
Waiver of shareholder services fee--Institutional Shares |
|
|
(96,316 |
) |
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
TOTAL WAIVERS |
|
|
|
|
|
|
(195,717 |
) |
|
|
|
|
|
|
||||||||||||
|
Net expenses |
|
|
|
|
|
|
|
|
|
|
1,227,737 |
|
|
|
||||||||||||
|
Net investment income |
|
|
|
|
|
|
|
|
|
|
1,059,477 |
|
|
|
||||||||||||
|
Realized and Unrealized Gain (Loss) on Investments, Foreign Currency Transactions and Futures Contracts: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Net realized gain on investments foreign currency transactions and futures contracts (net of foreign taxes withheld of $8,682) |
|
|
|
|
|
|
|
|
|
|
12,233,315 |
|
|
Net change in unrealized appreciation of investments, translation of assets and liabilities in foreign currency and futures contracts |
|
|
|
|
|
|
|
|
|
|
(12,432,348 |
) |
|
|
||||||||||||
|
Net realized and unrealized loss on investments, foreign currency transactions and futures contracts |
|
|
|
|
|
|
|
|
|
|
(199,033 |
) |
|
|
||||||||||||
|
Change in net assets resulting from operations |
|
|
|
|
|
|
|
|
|
$ |
860,444 |
|
|
|
||||||||||||
See Notes which are an integral part of the Financial Statements
|
|
|
Six Months |
|
|
Year Ended |
|
||
|
Increase (Decrease) in Net Assets |
|
|
|
|
|
|
|
|
|
Operations: |
|
|
|
|
|
|
|
|
|
Net investment income |
|
$ |
1,059,477 |
|
|
$ |
1,936,347 |
|
|
Net realized gain on investments, foreign currency transactions and futures contracts($12,233,315 and $8,388,081, respectively, as computed for federal tax purposes) |
|
|
12,233,315 |
|
|
|
9,227,919 |
|
|
Net change in unrealized appreciation of investments, translation of assets and liabilities in foreign currency and futures contracts |
|
|
(12,432,348 |
) |
|
|
10,008,783 |
|
|
|
||||||||
|
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS |
|
|
860,444 |
|
|
|
21,173,049 |
|
|
|
||||||||
|
Distributions to Shareholders: |
|
|
|
|
|
|
|
|
|
Distributions from net investment income |
|
|
|
|
|
|
|
|
|
Institutional Shares |
|
|
(654,321 |
) |
|
|
(1,272,714 |
) |
|
Select Shares |
|
|
(239,197 |
) |
|
|
(480,763 |
) |
|
Distributions from net realized gain on investments, foreign currency transactions and futures contracts |
|
|
|
|
|
|
|
|
|
Institutional Shares |
|
|
(4,884,375 |
) |
|
|
(4,452,963 |
) |
|
Select Shares |
|
|
(3,502,427 |
) |
|
|
(3,174,545 |
) |
|
|
||||||||
|
CHANGE IN NET ASSETS RESULTING FROM DISTRIBUTIONS TO SHAREHOLDERS |
|
|
(9,280,320 |
) |
|
|
(9,380,985 |
) |
|
|
||||||||
|
Share Transactions: |
|
|
|
|
|
|
|
|
|
Proceeds from sale of shares |
|
|
37,579,985 |
|
|
|
52,520,002 |
|
|
Net asset value of shares issued to shareholders in payment of distributions declared |
|
|
8,501,057 |
|
|
|
8,255,739 |
|
|
Cost of shares redeemed |
|
|
(35,067,763 |
) |
|
|
(61,123,300 |
) |
|
|
||||||||
|
CHANGE IN NET ASSETS RESULTING FROM SHARE TRANSACTIONS |
|
|
11,013,279 |
|
|
|
(347,559 |
) |
|
|
||||||||
|
Change in net assets |
|
|
2,593,403 |
|
|
|
11,444,505 |
|
|
|
||||||||
|
Net Assets: |
|
|
|
|
|
|
|
|
|
Beginning of period |
|
|
161,964,953 |
|
|
|
150,520,448 |
|
|
|
||||||||
|
End of period (including undistributed net investment income of $362,715 and $196,756, respectively) |
|
$ |
164,558,356 |
|
|
$ |
161,964,953 |
|
|
|
||||||||
See Notes which are an integral part of the Financial Statements
(FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD)
|
|
|
Six Months |
|
|
Year Ended November 30, |
|||||||||||||
|
|
|
2000 |
|
|
1999 |
1 |
|
1998 |
|
|
1997 |
|
|
1996 |
|
|
1995 |
|
|
Net Asset Value, Beginning of Period |
|
$15.17 |
|
|
$14.12 |
|
|
$13.58 |
|
|
$12.52 |
|
|
$11.59 |
|
|
$ 9.82 |
|
|
Income From Investment Operations: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net investment income |
|
0.12 |
|
|
0.22 |
|
|
0.23 |
|
|
0.30 |
|
|
0.33 |
|
|
0.35 |
|
|
Net realized and unrealized gain on investments, foreign currency transactions and futures contracts |
|
0.00 |
2 |
|
1.75 |
|
|
1.22 |
|
|
1.43 |
|
|
1.24 |
|
|
1.77 |
|
|
|
||||||||||||||||||
|
TOTAL FROM INVESTMENT OPERATIONS |
|
0.12 |
|
|
1.97 |
|
|
1.45 |
|
|
1.73 |
|
|
1.57 |
|
|
2.12 |
|
|
|
||||||||||||||||||
|
Less Distributions: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Distributions from net investment income |
|
(0.10 |
) |
|
(0.20 |
) |
|
(0.22 |
) |
|
(0.31 |
) |
|
(0.38 |
) |
|
(0.33 |
) |
|
Distributions from net realized gain on investments, foreign currency transactions and futures contracts |
|
(0.78 |
) |
|
(0.72 |
) |
|
(0.69 |
) |
|
(0.36 |
) |
|
(0.26 |
) |
|
(0.02 |
) |
|
|
||||||||||||||||||
|
TOTAL DISTRIBUTIONS |
|
(0.88 |
) |
|
(0.92 |
) |
|
(0.91 |
) |
|
(0.67 |
) |
|
(0.64 |
) |
|
(0.35 |
) |
|
|
||||||||||||||||||
|
Net Asset Value, End of Period |
|
$14.41 |
|
|
$15.17 |
|
|
$14.12 |
|
|
$13.58 |
|
|
$12.52 |
|
|
$11.59 |
|
|
|
||||||||||||||||||
|
Total Return3 |
|
0.68 |
% |
|
14.83 |
% |
|
11.34 |
% |
|
14.40 |
% |
|
14.13 |
% |
|
21.96 |
% |
|
|
||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Ratios to Average Net Assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
|
Expenses |
|
1.14 |
%4 |
|
1.15 |
% |
|
1.12 |
% |
|
1.05 |
% |
|
1.05 |
% |
|
1.00 |
% |
|
|
||||||||||||||||||
|
Net investment income |
|
1.54 |
%4 |
|
1.53 |
% |
|
1.66 |
% |
|
2.27 |
% |
|
2.96 |
% |
|
3.42 |
% |
|
|
||||||||||||||||||
|
Expense waiver/reimbursement5 |
|
0.21 |
%4 |
|
0.22 |
% |
|
0.33 |
% |
|
0.52 |
% |
|
0.88 |
% |
|
1.71 |
% |
|
|
||||||||||||||||||
|
Supplemental Data: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
|
Net assets, end of period (000 omitted) |
|
$89,916 |
|
$93,453 |
|
$88,113 |
|
$76,271 |
|
$49,715 |
|
$25,611 |
|
|||||
|
|
||||||||||||||||||
|
Portfolio turnover |
|
60 |
% |
|
113 |
% |
|
123 |
% |
|
115 |
% |
|
86 |
% |
|
139 |
% |
|
|
||||||||||||||||||
1 For the year ended November 30, 1999, the fund was audited by Deloitte & Touche LLP. Each of the previous years the fund was audited by other auditors.
2 Amount represents less than $0.01 per share.
3 Based on net asset value, which does not reflect the sales charge or contingent deferred sales charge, if applicable.
4 Computed on an annualized basis.
5 This voluntary expense decrease is reflected in both the expense and the net investment income ratios shown above.
See Notes which are an integral part of the Financial Statements
(FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD)
|
|
|
Six Months |
|
|
Year Ended November 30, |
|||||||||||||
|
|
|
2000 |
|
|
1999 |
1 |
|
1998 |
|
|
1997 |
|
|
1996 |
|
|
1995 |
|
|
Net Asset Value, Beginning of Period |
|
$15.15 |
|
|
$14.10 |
|
|
$13.56 |
|
|
$12.50 |
|
|
$11.59 |
|
|
$ 9.80 |
|
|
Income From Investment Operations: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net investment income |
|
0.07 |
|
|
0.12 |
|
|
0.15 |
|
|
0.18 |
|
|
0.28 |
|
|
0.17 |
|
|
Net realized and unrealized gain on investments, foreign currency transactions and futures contracts |
|
0.00 |
2 |
|
1.75 |
|
|
1.21 |
|
|
1.46 |
|
|
1.19 |
|
|
1.89 |
|
|
|
||||||||||||||||||
|
TOTAL FROM INVESTMENT OPERATIONS |
|
0.07 |
|
|
1.87 |
|
|
1.36 |
|
|
1.64 |
|
|
1.47 |
|
|
2.06 |
|
|
|
||||||||||||||||||
|
Less Distributions: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Distributions from net investment income |
|
(0.05 |
) |
|
(0.10 |
) |
|
(0.13 |
) |
|
(0.22 |
) |
|
(0.30 |
) |
|
(0.25 |
) |
|
Distributions from net realized gain on investments, foreign currency transactions and futures contracts |
|
(0.78 |
) |
|
(0.72 |
) |
|
(0.69 |
) |
|
(0.36 |
) |
|
(0.26 |
) |
|
(0.02 |
) |
|
|
||||||||||||||||||
|
TOTAL DISTRIBUTIONS |
|
(0.83 |
) |
|
(0.82 |
) |
|
(0.82 |
) |
|
(0.58 |
) |
|
(0.56 |
) |
|
(0.27 |
) |
|
|
||||||||||||||||||
|
Net Asset Value, End of Period |
|
$14.39 |
|
|
$15.15 |
|
|
$14.10 |
|
|
$13.56 |
|
|
$12.50 |
|
|
$11.59 |
|
|
|
||||||||||||||||||
|
Total Return3 |
|
0.33 |
% |
|
14.05 |
% |
|
10.58 |
% |
|
13.66 |
% |
|
13.22 |
% |
|
21.36 |
% |
|
|
||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Ratios to Average Net Assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
|
Expenses |
|
1.84 |
%4 |
|
1.85 |
% |
|
1.82 |
% |
|
1.75 |
% |
|
1.75 |
% |
|
1.75 |
% |
|
|
||||||||||||||||||
|
Net investment income |
|
0.86 |
%4 |
|
0.83 |
% |
|
0.96 |
% |
|
1.29 |
% |
|
2.26 |
% |
|
2.65 |
% |
|
|
||||||||||||||||||
|
Expense waiver/reimbursement5 |
|
0.26 |
%4 |
|
0.27 |
% |
|
0.38 |
% |
|
0.57 |
% |
|
0.93 |
% |
|
1.71 |
% |
|
|
||||||||||||||||||
|
Supplemental Data: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
|
Net assets, end of period (000 omitted) |
|
$74,642 |
|
|
$68,512 |
|
$66,407 |
|
$45,514 |
|
$31,390 |
|
$12,342 |
|
||||
|
|
||||||||||||||||||
|
Portfolio turnover |
|
60 |
% |
|
113 |
% |
|
123 |
% |
|
115 |
% |
|
86 |
% |
|
139 |
% |
|
|
||||||||||||||||||
1 For the year ended November 30, 1999, the fund was audited by Deloitte & Touche LLP. Each of the previous years the fund was audited by other auditors.
2 Amount represents less than $0.01 per share.
3 Based on net asset value, which does not reflect the sales charge or contingent deferred sales charge, if applicable.
4 Computed on an annualized basis.
5 This voluntary expense decrease is reflected in both the expense and the net investment income ratios shown above.
See Notes which are an integral part of the Financial Statements
MAY 31, 2000 (UNAUDITED)
Federated Managed Allocation Portfolios (the "Trust") is registered under the Investment Company Act of 1940, as amended (the "Act") as an open-end, management investment company. The Trust consists of four diversified portfolios. The financial statements included herein are only those of Federated Managed Growth Portfolio (the "Fund"). The financial statements of the other portfolios are presented separately. The assets of each portfolio are segregated and a shareholder's interest is limited to the portfolio in which shares are held. The investment objective of the Fund is to seek capital appreciation.
The Fund offers two classes of shares: Institutional Shares and Select Shares.
The following is a summary of significant accounting policies consistently followed by the Fund in the preparation of its financial statements. These policies are in conformity with generally accepted accounting principles.
Listed equity securities are valued at the last sale price reported on a national securities exchange. U.S. government securities, listed corporate bonds, other fixed income and asset-backed securities, and unlisted securities and private placement securities are generally valued at the mean of the latest bid and asked price as furnished by an independent pricing service. Short-term securities are valued at the prices provided by an independent pricing service. However, short-term securities with remaining maturities of 60 days or less at the time of purchase may be valued at amortized cost, which approximates fair market value. Investment in other open-end regulated investment companies are valued at net asset value.
With respect to valuation of foreign securities, trading in foreign cities may be completed at times which vary from the closing of the New York Stock Exchange. Therefore, foreign securities are valued at the latest closing price on the exchange on which they are traded prior to the closing of the New York Stock Exchange. Foreign securities quoted in foreign currencies are translated into U.S. dollars at the foreign exchange rate in effect at noon, eastern time, on the day the value of the foreign security is determined.
It is the policy of the Fund to require the custodian bank or broker to take possession, to have legally segregated in the Federal Reserve Book Entry System, or to have segregated within the custodian bank's vault, all securities held as collateral under repurchase agreement transactions. Additionally, procedures have been established by the Fund to monitor, on a daily basis, the market value of each repurchase agreement's collateral to ensure that the value of collateral at least equals the repurchase price to be paid under the repurchase agreement.
The Fund will only enter into repurchase agreements with banks and other recognized financial institutions, such as broker/dealers, which are deemed by the Fund's adviser to be creditworthy pursuant to the guidelines and/or standards reviewed or established by the Board of Trustees (the "Trustees"). Risks may arise from the potential inability of counterparties to honor the terms of these agreements. Accordingly, the Fund could receive less than the repurchase price on the sale of collateral securities. The Fund, along with other affiliated investment companies may utilize a joint trading account for the purpose of entering into one or more repurchase agreements.
Interest income and expenses are accrued daily. Bond premium and discount, if applicable, are amortized as required by the Internal Revenue Code, as amended (the "Code"). Dividend income and distributions to shareholders are recorded on the ex-dividend date. Non-cash dividends included in dividend income, if any, are recorded at fair value. The Fund offers multiple classes of shares, which differ in their respective distribution and service fees. All shareholders bear the common expenses of the Fund based on average daily net assets of each class, without distinction between share classes. Dividends are declared separately for each class. No class has preferential dividend rights; difference in per share dividend rates are generally due to differences in separate class expenses.
Distributions are determined in accordance with income tax regulations which may differ from generally accepted accounting principles. These distributions do not represent a return of capital for federal income tax purposes.
It is the Fund's policy to comply with the provisions of the Code applicable to regulated investment companies and to distribute to shareholders each year substantially all of its income. Accordingly, no provision for federal tax is necessary.
Withholding taxes on foreign interest and dividends have been provided for in accordance with the Fund's applicable country's tax rules and rates.
The Fund may engage in when-issued or delayed delivery transactions. The Fund records when-issued securities on the trade date and maintains security positions such that sufficient liquid assets will be available to make payment for the securities purchased. Securities purchased on a when-issued or delayed delivery basis are marked to market daily and begin earning interest on the settlement date. Losses may occur on these transactions due to changes in market conditions or the failure of counterparties to perform under contract.
The Fund may purchase stock index futures contracts to manage cashflows, enhance yield, and to potentially reduce transaction costs. Upon entering into a stock index futures contract with a broker, the Fund is required to deposit in a segregated account a specified amount of cash or U.S. government securities. Futures contracts are valued daily and unrealized gains or losses are recorded in a "variation margin" account. Daily, the Fund receives from or pays to the broker a specified amount of cash based upon changes in the variation margin account. When a contract is closed, the Fund recognizes a realized gain or loss. For the six months ended May 31, 2000, the Fund had realized gains of $2,621,778 on futures contracts.
Futures contracts have market risks, including the risk that the change in the value of the contract may not correlate with changes in the value of the underlying securities.
At May 31, 2000, the Fund had outstanding futures contracts as set forth below:
|
Expiration Date |
|
Contracts to Deliver/Receive |
|
Position |
|
Unrealized |
|
June 2000 |
|
32 Russell 2000 Index Futures |
|
Long |
|
$(1,923,250) |
|
|
||||||
|
June 2000 |
|
13 S&P 500 Index Futures |
|
Long |
|
(302,738) |
|
|
||||||
|
|
|
|
|
|
|
$(2,225,988) |
|
|
||||||
The Fund may enter into foreign currency commitments for the delayed delivery of securities or foreign currency exchange transactions. The Fund may enter into foreign currency contract transactions to protect assets against adverse changes in foreign currency exchange rates or exchange control regulations. Purchased contracts are used to acquire exposure to foreign currencies; whereas, contracts to sell are used to hedge the Fund's securities against currency fluctuations. Risks may arise upon entering these transactions from the potential inability of counterparts to meet the terms of their commitments and from unanticipated movements in security prices or foreign exchange rates. The foreign currency transactions are adjusted by the daily exchange rate of the underlying currency and any gains or losses are recorded for financial statement purpose as unrealized until the settlement date.
For the six months ended May 31, 2000, the Fund had outstanding foreign currency commitments as set forth below:
|
Settlement Date |
|
Contracts to |
|
In Exchange For |
|
Contracts at Value |
|
Unrealized |
|
Contracts Purchased: |
|
|
|
|
|
|
||
|
|
||||||||
|
June 2, 2000 |
|
72,433 British Pound Sterling |
|
$106,331 |
|
$108,422 |
|
$2,091 |
|
|
||||||||
|
June 5, 2000 |
|
168,865 British Pound Sterling |
|
252,723 |
|
252,765 |
|
42 |
|
|
||||||||
|
June 2, 2000 |
|
9,964,629 Japanese Yen |
|
92,720 |
|
92,518 |
|
(202) |
|
|
||||||||
|
Contracts Sold: |
|
|
|
|
|
|
||
|
|
||||||||
|
June 1, 2000 |
|
33,917 British Pound Sterling |
|
49,926 |
|
50,769 |
|
(843) |
|
|
||||||||
|
|
|
|
|
|
|
|
|
$1,088 |
|
|
||||||||
The accounting records of the Fund are maintained in U.S. dollars. All assets and liabilities denominated in foreign currencies ("FC") are translated into U.S. dollars based on the rate of exchange of such currencies against U.S. dollars on the date of valuation. Purchases and sales of securities, income and expenses are translated at the rate of exchange quoted on the respective date that such transactions are recorded. The Fund does not isolate that portion of the results of operations resulting from changes in foreign exchange rates on investments from the fluctuations arising from changes in market prices of securities held. Such fluctuations are included with the net realized and unrealized gain or loss from investments.
Reported net realized foreign exchange gains or losses arise from sales of portfolio securities, sales and maturities of short-term securities, sales of FCs, currency gains or losses realized between the trade and settlement dates on securities transactions, the difference between the amounts of dividends, interest, and foreign withholding taxes recorded on the books, and the U.S. dollar equivalent of the amounts actually received or paid. Net unrealized foreign exchange gains and losses arise from changes in the value of assets and liabilities other than investments in securities at fiscal year end, resulting from changes in the exchange rate.
The Fund may enter into dollar roll transactions, with respect to mortgage securities issued by GNMA, FNMA and FHLMC, in which the Fund sells mortgage securities to financial institutions and simultaneously agrees to accept substantially similar (same type, coupon and maturity) securities at a later date at an agreed upon price. Dollar roll transactions involve "to be announced" securities and are treated as short-term financing arrangements which will not exceed 12 months. The Fund will use the proceeds generated from the transactions to invest in short-term investments, which may enhance the Fund's current yield and total return. For the six months ended May 31, 2000 there were no open dollar roll transactions.
Restricted securities are securities that may only be resold upon registration under federal securities laws or in transactions exempt from such registration. In some cases, the issuer of restricted securities has agreed to register such securities for resale, at the issuer's expense either upon demand by the Fund or in connection with another registered offering of the securities. Many restricted securities may be resold in the secondary market in transactions exempt from registration. Such restricted securities may be determined to be liquid under criteria established by the of Trustees. The Fund will not incur any registration costs upon such resales. The Fund's restricted securities are valued at the price provided by dealers in the secondary market or, if no market prices are available, at the fair value as determined by the Fund's pricing committee.
The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts of assets, liabilities, expenses and revenues reported in the financial statements. Actual results could differ from those estimated.
Investment transactions are accounted for on a trade date basis.
The Declaration of Trust permits the Trustees to issue an unlimited number of full and fractional shares of beneficial interest (without par value) for each class of shares.
Transactions in shares were as follows:
|
|
|
Six Months Ended |
|
Year Ended |
||||||||||
|
Institutional Shares: |
|
Shares |
|
|
Amount |
|
|
Shares |
|
|
Amount |
|
||
|
Shares sold |
|
1,396,881 |
|
|
$ |
21,208,719 |
|
|
2,005,583 |
|
|
$ |
29,171,009 |
|
|
Shares issued to shareholders in payment of distributions declared |
|
338,082 |
|
|
|
4,987,908 |
|
|
362,222 |
|
|
|
4,875,142 |
|
|
Shares redeemed |
|
(1,654,973 |
) |
|
|
(25,138,444 |
) |
|
(2,448,764 |
) |
|
|
(35,216,512 |
) |
|
|
||||||||||||||
|
NET CHANGE RESULTING FROM INSTITUTIONAL SHARE TRANSACTIONS |
|
79,990 |
|
|
$ |
1,058,183 |
|
|
(80,959 |
) |
|
$ |
(1,170,361 |
) |
|
|
||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Six Months Ended |
|
Year Ended |
||||||||||
|
Select Shares: |
|
Shares |
|
|
Amount |
|
|
Shares |
|
|
Amount |
|
||
|
Shares sold |
|
1,081,278 |
|
|
$ |
16,371,266 |
|
|
1,637,849 |
|
|
$ |
23,348,993 |
|
|
Shares issued to shareholders in payment of distributions declared |
|
238,821 |
|
|
|
3,513,149 |
|
|
252,468 |
|
|
|
3,380,597 |
|
|
Shares redeemed |
|
(654,672 |
) |
|
|
(9,929,319 |
) |
|
(1,793,905 |
) |
|
|
(25,906,788 |
) |
|
|
||||||||||||||
|
NET CHANGE RESULTING FROM SELECT SHARE TRANSACTIONS |
|
665,427 |
|
|
$ |
9,955,096 |
|
|
96,412 |
|
|
$ |
822,802 |
|
|
|
||||||||||||||
|
NET CHANGE RESULTING FROM SHARE TRANSACTIONS |
|
745,417 |
|
|
$ |
11,013,279 |
|
|
15,453 |
|
|
$ |
(347,559 |
) |
|
|
||||||||||||||
Federated Investment Management Company, the Fund's investment adviser (the "Adviser"), receives for its services an annual investment Adviser fee equal 0.75% of the Fund's average daily net assets. The Adviser may voluntarily choose to waive any portion of its fee. The Adviser can modify or terminate this voluntary waiver at any time at its sole discretion.
Under the terms of a sub-adviser agreement between the Adviser and Federated Global Investment Management Corp. (the "Sub-Adviser"), the Sub-Adviser, receives an allocable portion of the Fund's advisory fee. Such allocation is based on the amount of foreign securities which the Sub-Adviser manages for the Fund. This fee is paid by the Adviser out of its resources and is not an incremental Fund expense.
Federated Services Company ("FServ"), under the Administrative Services Agreement, provides the Fund with administrative personnel and services. The fee paid to FServ is based on a scale that ranges from 0.15% to 0.075% of the average aggregate daily net assets of all funds advised by subsidiaries of Federated Investors, Inc. subject to a $125,000 minimum per portfolio and $30,000 per each additional class.
The Fund has adopted a Distribution Plan (the "Plan") pursuant to Rule 12b-1 under the Act. Under the terms of the Plan, the Fund will compensate Federated Securities Corp. ("FSC"), the principal distributor, from the net assets of the Fund to finance activities intended to result in the sale of the Fund's Select Shares. The Plan provides that the Fund may incur distribution expenses of up to 0.75% of average net assets, annually, to compensate FSC. The distributor may voluntarily choose to waive any portion of its fee. The distributor can modify or terminate this voluntary waiver at any time at its sole discretion.
Under the terms of a Shareholder Services Agreement with Federated Shareholder Services Company ("FSSC"), the Fund will pay FSSC up to 0.25% of average daily net assets of the Fund's shares for the period. The fee paid to FSSC is used to finance certain services for shareholders and to maintain shareholder accounts. FSSC may voluntarily choose to waive any portion of its fee. FSSC can modify or terminate this voluntary waiver at any time at its sole discretion.
FServ, through its subsidiary, FSSC serves as transfer and dividend disbursing agent for the Fund. The fee paid to FSSC is based on the size, type, and number of accounts and transactions made by shareholders.
FServ maintains the Fund's accounting records for which it receives a fee. The fee is based on the level of each of the Fund's average daily net assets for the period, plus out-of-pocket expenses.
Certain of the Officers and Trustees of the Trust are Officers and Directors or Trustees of the above companies.
Purchases and sales of investments, excluding short-term securities, for the six months ended May 31, 2000, were as follows:
|
Purchases |
$ |
93,395,346 |
|
|
||
|
Sales |
$ |
92,627,985 |
|
|
||
The Fund invests in securities of non-U.S. issuers. Although the Fund maintains a diversified investment portfolio, the political or economic developments within a particular country or region may have an adverse effect on the stability of domiciled issuers to meet their obligations. Additionally, political or economic developments may have an effect on the liquidity and volatility of portfolio securities and currency holdings.
At May 31, 2000, the diversification of industries for non-U.S. issuers was as follows.
|
Industry |
|
Percentage of |
|
Automobiles & Components |
|
0.5% |
|
Banks |
|
0.8% |
|
Capital Goods |
|
1.8% |
|
Commercial Services & Supplies |
|
0.1% |
|
Communication Equipment |
|
0.4% |
|
Computer Software/Services |
|
0.1% |
|
Consumer Durables & Apparel |
|
0.7% |
|
Electronics |
|
0.1% |
|
Energy |
|
0.7% |
|
Food & Drug Retailing |
|
0.3% |
|
Food Beverage & Tobacco |
|
0.5% |
|
Health Care Equipment & Services |
|
0.1% |
|
Hotels/Restaurants & Leisure |
|
0.1% |
|
Insurance |
|
0.2% |
|
Materials |
|
0.2% |
|
Media |
|
1.5% |
|
Oil |
|
0.6% |
|
Pharmaceuticals & Health Care |
|
0.1% |
|
Real Estate |
|
0.1% |
|
Retailing |
|
0.3% |
|
Software & Services |
|
0.6% |
|
Technology Hardware & Equipment |
|
3.8% |
|
Telecommunications Services |
|
1.6% |
|
Transportation |
|
0.3% |
|
Utilities |
|
0.8% |
Chairman
President
Executive Vice President
Executive Vice President
Executive Vice President and Secretary
Vice President
Treasurer
Assistant Secretary
Mutual funds are not bank deposits or obligations, are not guaranteed by any bank, and are not insured or guaranteed by the U.S. government, the Federal Deposit Insurance Corporation, the Federal Reserve Board, or any other government agency. Investment in mutual funds involves investment risk, including the possible loss of principal.
This report is authorized for distribution to prospective investors only when preceded or accompanied by the fund's prospectus which contains facts concerning its objective and policies, management fees, expenses and other information.
Federated
World-Class Investment Manager
SEMI-ANNUAL REPORT
Institutional Shares
Select Shares
MAY 31, 2000
Federated
Federated Managed Growth Portfolio
Federated Investors
Funds
5800 Corporate Drive
Pittsburgh, PA
15237-7000
1-800-341-7400
www.federatedinvestors.com
Federated
Securities Corp., Distributor
Cusip 314212200
Cusip 314212101
G00514-01 (7/00)
Federated is a registered mark of Federated Investors, Inc. 2000 ©Federated Investors, Inc.
SEMI-ANNUAL REPORT
Dear Shareholder:
I am pleased to present the Semi-Annual Report to Shareholders for Federated Managed Income Portfolio, a portfolio of Federated Managed Allocation Portfolios, for the six-month period from December 1, 1999 through May 31, 2000. Included in this report is an investment review, followed by a complete listing of the fund's holdings, financial statements and financial highlights.
In pursuit of its investment objective, the fund invests in a well-diversified portfolio that focuses on bonds. At the end of the reporting period, 84% of the fund's $116.4-million portfolio was invested across a range of United States and foreign government bonds and U.S. corporate bonds.1 The remainder of the portfolio was invested across U.S. stocks.
During the reporting period, the fund's Institutional Shares delivered a total return of 0.89% through dividends totaling $0.284 per share and capital gains totaling $0.087 per share.2 The fund's Select Shares produced a total return of 0.64% through dividends totaling $0.248 per share and capital gains totaling $0.087 per share.2
Thank you for pursuing your financial goals through the high level of diversification and professional management of Federated Managed Income Portfolio. As always, we invite your comments and suggestions.
Sincerely,
Glen R. Johnson
Glen R. Johnson
President
July 15, 2000
1 Foreign investing involves special risks including currency risk, increased volatility of foreign securities, and differences in auditing and other financial standards.
2 Past performance is no guarantee of future results. Investment return and principal value will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost.
The six-month reporting period ended May 31, 2000 was a generally favorable one for financial assets, and Federated Managed Income Portfolio participated in the advance. For the reporting period, an investor in the fund's Institutional Shares had a total return of 0.89%,1 while an investor in the fund's Select Shares had a total return of 0.64%.1 As usual, performance among asset classes showed wide variation. Stocks of large U.S. companies did well as did U.S. Treasury bonds. Stock prices rose early in the reporting period before declining in the latter part of the reporting period while bond prices fell early in the reporting period before rising during the last half of the reporting period. The rising value of the dollar reduced returns to dollar based holders of foreign stocks and bonds.
Federated Managed Income Portfolio operates on an investment philosophy that, over time, an investor with a diversified portfolio should achieve better returns with the same risk, or the same returns with lower risk, than an investor in a single asset category. Therefore, to ensure proper diversification of its portfolio, the fund's investment policies require management to allocate the portfolio among as many as seven asset categories and limit the weight of each asset category. In allocating the fund's portfolio among asset categories, fund management analyzes the relative value offered by each category under prevailing market conditions. Fund management seeks to improve the fund's performance by weighting most heavily the asset categories that management believes will provide the best relative return. The following table shows the allocation of the portfolio among different asset categories at May 31, 2000.
|
Asset Category |
|
Benchmark |
|
Percentage as of |
|
Bonds2 |
|
|
|
84 |
|
U.S. Treasury Securities |
|
30.8 |
|
29 |
|
Mortgage-Backed Securities |
|
26.3 |
|
26 |
|
Investment Grade Corporate Bonds |
|
16.9 |
|
18 |
|
High Yield Corporate Bonds |
|
4.0 |
|
4 |
|
Foreign Bonds |
|
7.0 |
|
7 |
|
|
|
|
|
|
|
Equities2 |
|
|
|
15 |
|
Large Company Stocks |
|
12.0 |
|
12 |
|
Foreign Stocks |
|
3.0 |
|
3 |
The fund has a normal allocation to stocks in recognition of the risks associated with the rise in interest rates which occurred during the past six months. During this period, the Federal Reserve Board (the "Fed") acted to increase short-term interest rates on three occasions. Historically, a sequence of interest rate increases by the Fed has been a precursor to a fall in stock prices. While the current strength of the U.S. economy is likely to provide support for stock prices in the near term, the combination of rising interest rates and an overvalued stock market has substantially increased the risk of holding an overweight position in stocks.
1 Past performance is no guarantee of future results. Investment return and principal value will fluctuate, so that an investor's shares, when redeemed, may be worth more or less than their original cost.
2 Bonds convertible into equity securities at a price below the closing price of the underlying equity securities on May 31, 2000 have been included under the appropriate equity asset category.
Management has adopted a normal bond position following the rise in bond prices which occurred during the past six months. At the beginning of the reporting period, bond yields were higher because of investor concerns that the rapid rate of growth in the U.S. economy would lead to higher inflation rates. As the Fed continued to increase short-term interest rates in order to slow economic growth, investor concerns diminished. This change in outlook resulted in a reduction in bond yields and higher bond prices.
Within the bond portfolio, investment grade corporate bonds are currently emphasized because of the higher than normal yield advantage which these securities tend to offer. Following the announcement by the U.S. Treasury that a portion of the fiscal surplus will be used to reduce the supply of outstanding U.S. Treasury bonds, prices of these bonds rose more rapidly than the prices of other types of bonds.
Within the equity portfolio, the principal investment category is large cap stocks. The fund also invests a small portion of the equity portfolio in foreign stock markets as part of the strategy of diversifying the investments of the fund. During the six- month reporting period, a rising value of the dollar has modestly reduced returns for U.S. investors in foreign securities. However, this did not have a significant impact on the returns of the fund because of the small size of the foreign stock allocation.
MAY 31, 2000 (UNAUDITED)
|
Shares |
|
|
|
|
Value in |
|
|
|
|
|
STOCKS--14.5% |
|
|
|
|
|
|
|
LARGE-COMPANY STOCKS--9.8% |
|
|
|
|
|
|
|
Basic Materials--0.2% |
|
|
|
|
|
1,825 |
|
Du Pont (E.I.) de Nemours & Co. |
|
$ |
89,425 |
|
|
900 |
|
PPG Industries, Inc. |
|
|
44,606 |
|
|
1,500 |
|
Weyerhaeuser Co. |
|
|
74,437 |
|
|
1,700 |
|
Willamette Industries, Inc. |
|
|
55,250 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
263,718 |
|
|
||||||
|
|
|
|
Capital Goods--0.7% |
|
|
|
|
|
900 |
|
Caterpillar, Inc. |
|
|
34,425 |
|
|
800 |
|
Eaton Corp. |
|
|
58,050 |
|
|
9,100 |
|
General Electric Co. |
|
|
478,887 |
|
|
1,400 |
|
Honeywell International, Inc. |
|
|
76,562 |
|
|
2,400 |
|
Tyco International Ltd. |
|
|
112,950 |
|
|
1,000 |
|
United Technologies Corp. |
|
|
60,437 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
821,311 |
|
|
||||||
|
|
|
|
Communication Services--0.8% |
|
|
|
|
|
1,300 |
|
Alltel Corp. |
|
|
85,069 |
|
|
4,890 |
|
AT&T Corp. |
|
|
169,622 |
|
|
3,400 |
|
Bell Atlantic Corp. |
|
|
179,775 |
|
|
3,100 |
|
BellSouth Corp. |
|
|
144,731 |
|
|
2,000 |
|
Comcast Corp., Class A |
|
|
75,750 |
|
|
1,900 |
|
GTE Corp. |
|
|
120,175 |
|
|
600 |
1 |
NEXTEL Communications, Inc., Class A |
|
|
55,575 |
|
|
1,300 |
1 |
Sprint Corp. (PCS Group) |
|
|
72,150 |
|
|
1,000 |
|
U.S. West, Inc. |
|
|
72,000 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
974,847 |
|
|
||||||
|
|
|
|
Consumer Cyclicals--0.7% |
|
|
|
|
|
600 |
1 |
Convergys Corp. |
|
|
26,962 |
|
|
1,300 |
|
Costco Wholesale Corp. |
|
|
41,519 |
|
|
2,300 |
|
Ford Motor Co. |
|
|
111,694 |
|
|
1,300 |
|
General Motors Corp. |
|
|
91,812 |
|
Shares |
|
|
|
|
Value in |
|
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
LARGE-COMPANY STOCKS--continued |
|
|
|
|
|
|
|
Consumer Cyclicals--continued |
|
|
|
|
|
2,700 |
|
Home Depot, Inc. |
|
$ |
131,794 |
|
|
1,600 |
|
Knight-Ridder, Inc. |
|
|
84,800 |
|
|
1,000 |
|
Target Corp. |
|
|
62,687 |
|
|
4,800 |
|
Wal-Mart Stores, Inc. |
|
|
276,600 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
827,868 |
|
|
||||||
|
|
|
|
Consumer Staples--0.8% |
|
|
|
|
|
1,000 |
1 |
Clear Channel Communications, Inc. |
|
|
74,875 |
|
|
2,200 |
|
Coca-Cola Co. |
|
|
117,425 |
|
|
1,100 |
|
Dial Corp. |
|
|
15,675 |
|
|
1,500 |
|
Gillette Co. |
|
|
50,062 |
|
|
1,100 |
|
Kimberly-Clark Corp. |
|
|
66,550 |
|
|
1,600 |
|
PepsiCo, Inc. |
|
|
65,100 |
|
|
3,200 |
|
Philip Morris Cos., Inc. |
|
|
83,600 |
|
|
1,400 |
|
Procter & Gamble Co. |
|
|
93,100 |
|
|
1,483 |
1 |
Viacom, Inc., Class B |
|
|
91,946 |
|
|
2,400 |
|
Walgreen Co. |
|
|
68,100 |
|
|
4,300 |
|
Walt Disney Co. |
|
|
181,406 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
907,839 |
|
|
||||||
|
|
|
|
Energy--0.9% |
|
|
|
|
|
2,000 |
|
Ashland, Inc. |
|
|
69,875 |
|
|
1,200 |
|
Chevron Corp. |
|
|
110,925 |
|
|
1,106 |
|
Conoco, Inc., Class B |
|
|
31,521 |
|
|
5,288 |
|
Exxon Mobil Corp. |
|
|
440,556 |
|
|
600 |
|
Halliburton Co. |
|
|
30,600 |
|
|
2,500 |
|
Royal Dutch Petroleum Co., ADR |
|
|
156,094 |
|
|
1,100 |
|
Schlumberger Ltd. |
|
|
80,919 |
|
|
1,400 |
|
Texaco, Inc. |
|
|
80,412 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,000,902 |
|
|
||||||
|
|
|
|
Financials--1.5% |
|
|
|
|
|
2,296 |
|
Allstate Corp. |
|
|
60,844 |
|
|
1,800 |
|
American Express Co. |
|
|
96,862 |
|
|
1,535 |
|
American International Group, Inc. |
|
|
172,783 |
|
|
2,965 |
|
Bank of America Corp. |
|
|
164,743 |
|
|
1,400 |
|
Chase Manhattan Corp. |
|
|
104,562 |
|
Shares |
|
|
|
|
Value in |
|
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
LARGE-COMPANY STOCKS--continued |
|
|
|
|
|
|
|
Financials--continued |
|
|
|
|
|
4,975 |
|
Citigroup, Inc. |
|
$ |
309,383 |
|
|
1,500 |
|
Fannie Mae |
|
|
90,187 |
|
|
2,000 |
|
First Union Corp. |
|
|
70,375 |
|
|
1,710 |
|
Fleet Boston Financial Corp. |
|
|
64,659 |
|
|
800 |
|
Loews Corp. |
|
|
52,700 |
|
|
1,400 |
|
Mellon Financial Corp. |
|
|
53,987 |
|
|
800 |
|
Merrill Lynch & Co., Inc. |
|
|
78,900 |
|
|
1,400 |
|
Morgan Stanley, Dean Witter & Co. |
|
|
100,712 |
|
|
1,100 |
|
PNC Bank Corp. |
|
|
55,412 |
|
|
2,000 |
|
Post Properties, Inc. |
|
|
87,750 |
|
|
1,800 |
|
Schwab (Charles) Corp. |
|
|
51,750 |
|
|
3,100 |
|
U.S. Bancorp |
|
|
80,600 |
|
|
1,512 |
|
Washington Mutual, Inc. |
|
|
43,470 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,739,679 |
|
|
||||||
|
|
|
|
Health Care--1.1% |
|
|
|
|
|
2,200 |
|
Abbott Laboratories |
|
|
89,512 |
|
|
1,200 |
1 |
Amgen, Inc. |
|
|
76,350 |
|
|
900 |
|
Baxter International, Inc. |
|
|
59,850 |
|
|
2,200 |
|
Bristol-Myers Squibb Co. |
|
|
121,137 |
|
|
1,200 |
|
Johnson & Johnson |
|
|
107,400 |
|
|
1,200 |
|
Lilly (Eli) & Co. |
|
|
91,350 |
|
|
1,600 |
|
Medtronic, Inc. |
|
|
82,600 |
|
|
2,300 |
|
Merck & Co., Inc. |
|
|
171,638 |
|
|
3,900 |
|
Pfizer, Inc. |
|
|
173,794 |
|
|
2,742 |
|
Pharmacia Corp. |
|
|
142,413 |
|
|
1,600 |
|
Schering Plough Corp. |
|
|
77,400 |
|
|
700 |
|
Warner-Lambert Co. |
|
|
85,488 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,278,932 |
|
|
||||||
|
|
|
|
Technology--2.9% |
|
|
|
|
|
2,500 |
1 |
America Online, Inc. |
|
|
132,500 |
|
|
1,200 |
1 |
Applied Materials, Inc. |
|
|
100,200 |
|
|
1,600 |
|
Automatic Data Processing, Inc. |
|
|
87,900 |
|
|
7,100 |
1 |
Cisco Systems, Inc. |
|
|
404,256 |
|
|
2,900 |
|
Compaq Computer Corp. |
|
|
76,125 |
|
Shares |
|
|
|
|
Value in |
|
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
LARGE-COMPANY STOCKS--continued |
|
|
|
|
|
|
|
Technology--continued |
|
|
|
|
|
1,300 |
|
Computer Associates International, Inc. |
|
$ |
66,950 |
|
|
2,000 |
1 |
Compuware Corp. |
|
|
20,375 |
|
|
400 |
|
Corning, Inc. |
|
|
77,375 |
|
|
2,900 |
1 |
Dell Computer Corp. |
|
|
125,063 |
|
|
1,200 |
1 |
EMC Corp., MASS |
|
|
139,575 |
|
|
900 |
|
Eastman Kodak Co. |
|
|
53,775 |
|
|
900 |
|
Electronic Data Systems Corp. |
|
|
57,881 |
|
|
1,600 |
|
First Data Corp. |
|
|
89,700 |
|
|
1,000 |
|
Hewlett-Packard Co. |
|
|
120,125 |
|
|
3,600 |
|
Intel Corp. |
|
|
448,875 |
|
|
2,100 |
|
International Business Machines Corp. |
|
|
225,356 |
|
|
3,560 |
|
Lucent Technologies, Inc. |
|
|
204,255 |
|
|
3,100 |
1 |
Microsoft Corp. |
|
|
193,944 |
|
|
900 |
|
Motorola, Inc. |
|
|
84,375 |
|
|
1,700 |
|
Nortel Networks Corp. |
|
|
92,331 |
|
|
3,000 |
1 |
Oracle Corp. |
|
|
215,625 |
|
|
900 |
1 |
Qualcomm, Inc. |
|
|
59,738 |
|
|
1,900 |
1 |
Sun Microsystems, Inc. |
|
|
145,588 |
|
|
2,000 |
|
Texas Instruments, Inc. |
|
|
144,500 |
|
|
600 |
1 |
Yahoo, Inc. |
|
|
67,838 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
3,434,225 |
|
|
||||||
|
|
|
|
Transportation--0.1% |
|
|
|
|
|
1,800 |
|
Union Pacific Corp. |
|
|
76,163 |
|
|
||||||
|
|
|
|
Utilities--0.1% |
|
|
|
|
|
1,200 |
|
Enron Corp. |
|
|
87,450 |
|
|
1,700 |
|
Reliant Energy, Inc. |
|
|
48,450 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
135,900 |
|
|
||||||
|
|
|
|
TOTAL LARGE-COMPANY STOCKS |
|
|
11,461,384 |
|
|
||||||
|
Shares or |
|
|
|
|
Value in |
|
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
FOREIGN EQUITY--2.9% |
|
|
|
|
|
|
|
France -- 0.4% |
|
|
|
|
|
18,000 |
|
iShares MSCI France Index Fund |
|
$ |
506,250 |
|
|
||||||
|
|
|
|
Germany -- 0.4% |
|
|
|
|
|
20,000 |
|
iShares MSCI Germany Index Fund |
|
|
495,000 |
|
|
||||||
|
|
|
|
Italy -- 0.2% |
|
|
|
|
|
8,000 |
|
iShares MSCI Italy Index Fund |
|
|
197,000 |
|
|
||||||
|
|
|
|
Japan -- 0.6% |
|
|
|
|
|
50,000 |
|
iShares MSCI Japan Index Fund |
|
|
718,750 |
|
|
||||||
|
|
|
|
Netherlands -- 0.2% |
|
|
|
|
|
11,000 |
|
iShares MSCI Netherlands Index Fund |
|
|
262,625 |
|
|
||||||
|
|
|
|
Switzerland -- 0.3% |
|
|
|
|
|
19,200 |
|
iShares MSCI Switzerland Index Fund |
|
|
302,400 |
|
|
||||||
|
|
|
|
United Kingdom -- 0.8% |
|
|
|
|
|
46,000 |
|
iShares MSCI United Kingdom Index Fund |
|
|
871,125 |
|
|
||||||
|
|
|
|
TOTAL FOREIGN EQUITY |
|
|
3,353,150 |
|
|
||||||
|
|
|
|
FUTURES CONTRACTS COLLATERAL--1.8%2 |
|
|
|
|
$ |
2,100,000 |
|
United States Treasury Bill, 6/15/2000 |
|
|
2,096,577 |
|
|
||||||
|
|
|
|
TOTAL STOCKS (IDENTIFIED COST $14,474,574) |
|
|
16,911,111 |
|
|
||||||
|
|
|
|
BONDS--84.3% |
|
|
|
|
|
|
|
TREASURY AND GOVERNMENT SECURITIES--29.4% |
|
|
|
|
|
|
|
Repurchase Agreement--5.8%3 |
|
|
|
|
|
6,720,000 |
|
Societe Generale, New York, 6.370%, dated 5/31/2000, due 6/1/2000 (at amortized cost) |
|
|
6,720,000 |
|
|
||||||
|
|
|
|
U.S. Treasury Securities--23.6% |
|
|
|
|
|
493,000 |
|
United States Treasury Bond, 6.125%, 11/15/2027 |
|
|
483,303 |
|
|
10,200,000 |
|
United States Treasury Bond, 7.250%, 5/15/2004 |
|
|
10,406,448 |
|
|
10,967,000 |
|
United States Treasury Note, 6.000%, 8/15/2009 |
|
|
10,693,483 |
|
|
5,879,000 |
|
United States Treasury Note, 6.625%, 5/15/2007 |
|
|
5,915,509 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
27,498,743 |
|
|
||||||
|
|
|
|
TOTAL TREASURY AND GOVERNMENT SECURITIES |
|
|
34,218,743 |
|
|
||||||
|
Principal |
|
|
|
|
Value in |
|
|
|
|
|
BONDS--continued |
|
|
|
|
|
|
|
HIGH YIELD BONDS--3.9% |
|
|
|
|
$ |
570,503 |
4 |
The High Yield Bond Portfolio (at net asset value) |
|
$ |
4,546,911 |
|
|
||||||
|
|
|
|
MORTGAGE-BACKED SECURITIES--26.2% |
|
|
|
|
|
3,244,425 |
4 |
Federated Mortgage Core Portfolio (at net asset value) |
|
|
30,530,035 |
|
|
||||||
|
|
|
|
INVESTMENT GRADE BONDS--18.1% |
|
|
|
|
|
|
|
Air Transportation--0.2% |
|
|
|
|
|
265,000 |
|
Delta Air Lines, Inc., Sr. Note, 6.65%, 3/15/2004 |
|
|
246,728 |
|
|
||||||
|
|
|
|
Banking--1.0% |
|
|
|
|
|
100,000 |
|
City National Bank, Sub. Note, 6.375%, 1/15/2008 |
|
|
86,039 |
|
|
470,000 |
5 |
Den Danske Bank, Note, 7.40% 6/15/2010 |
|
|
458,781 |
|
|
200,000 |
|
National Bank of Canada, Sub. Note, 8.125%, 8/15/2004 |
|
|
202,822 |
|
|
470,000 |
5 |
Swedbank, Sub. Note, 7.50%, 11/1/2006 |
|
|
431,141 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,178,783 |
|
|
||||||
|
|
|
|
Beverage & Tobacco--0.1% |
|
|
|
|
|
100,000 |
|
Philip Morris Cos., Inc., Deb., 6.00%, 7/15/2001 |
|
|
97,672 |
|
|
||||||
|
|
|
|
Cable Television--0.7% |
|
|
|
|
|
800,000 |
|
Continental Cablevision, Sr. Deb., 9.50%, 8/1/2013 |
|
|
860,016 |
|
|
||||||
|
|
|
|
Chemicals & Plastics--0.3% |
|
|
|
|
|
350,000 |
5 |
Bayer Corp., Deb., 6.50%, 10/1/2002 |
|
|
343,315 |
|
|
||||||
|
|
|
|
Ecological Services & Equipment--0.2% |
|
|
|
|
|
250,000 |
|
USA Waste Services, Inc., Note, 6.125%, 7/15/2001 |
|
|
239,620 |
|
|
||||||
|
|
|
|
Education--0.2% |
|
|
|
|
|
300,000 |
|
Boston University, MTN, 7.625%, 7/15/2097 |
|
|
262,578 |
|
|
||||||
|
|
|
|
Electronics--0.6% |
|
|
|
|
|
700,000 |
|
Anixter International, Inc., Company Guarantee, 8.00%, 9/15/2003 |
|
|
666,813 |
|
|
||||||
|
|
|
|
Finance - Automotive--1.0% |
|
|
|
|
|
700,000 |
|
Ford Motor Credit Corp., Unsub., 6.875%, 6/05/2001 |
|
|
698,403 |
|
|
500,000 |
|
General Motor Acceptance Corp., Sr. Note, 6.00%, 2/01/2002 |
|
|
487,845 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,186,248 |
|
|
||||||
|
|
|
|
Finance - Retail--0.2% |
|
|
|
|
|
300,000 |
|
Sears Roebuck Acceptance, MTN, 6.56%, 9/05/2000 |
|
|
299,640 |
|
|
||||||
|
|
|
|
Financial Intermediaries--3.5% |
|
|
|
|
|
400,000 |
|
Amvescap PLC, Sr. Note, 6.60%, 5/15/2005 |
|
|
370,556 |
|
|
1,000,000 |
|
Bear Stearns Cos., Inc., Sr. Note, 6.75%, 5/1/2001 |
|
|
992,310 |
|
|
250,000 |
|
Capital One Financial, Note, 7.125%, 8/01/2008 |
|
|
221,775 |
|
|
400,000 |
|
DLJ, Note, 6.875%, 11/1/2005 |
|
|
373,836 |
|
Principal |
|
|
|
|
Value in |
|
|
|
|
|
BONDS--continued |
|
|
|
|
|
|
|
INVESTMENT GRADE BONDS--continued |
|
|
|
|
|
|
|
Financial Intermediaries--continued |
|
|
|
|
$ |
500,000 |
|
FINOVA Capital Corp., Note, 7.25%, 11/08/2004 |
|
$ |
423,125 |
|
|
175,000 |
|
Lehman Brothers Holdings, Bond, 6.20%, 1/15/2002 |
|
|
169,778 |
|
|
725,000 |
|
Lehman Brothers Holdings, Inc, Note, 6.90%, 1/29/2001 |
|
|
720,846 |
|
|
325,000 |
|
Lehman Brothers, Inc., Sr. Sub. Note, 7.375%, 1/15/2007 |
|
|
304,184 |
|
|
400,000 |
|
PaineWebber Group, Inc., Note, 7.625%, 12/01/2009 |
|
|
367,780 |
|
|
100,000 |
|
Salomon, Inc., Note, 7.20%, 2/1/2004 |
|
|
97,795 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
4,041,985 |
|
|
||||||
|
|
|
|
Financial Services--0.2% |
|
|
|
|
|
200,000 |
|
General Electric Capital Corp., Note, 7.00%, 3/01/2002 |
|
|
199,000 |
|
|
||||||
|
|
|
|
Food & Drug Retailers--0.7% |
|
|
|
|
|
850,000 |
|
Meyer (Fred), Inc., Company Guarantee, 7.45%, 3/01/2008 |
|
|
791,019 |
|
|
||||||
|
|
|
|
Forest Products--1.2% |
|
|
|
|
|
950,000 |
|
Fort James Corp., Sr. Note, 7.65%, 12/26/2000 |
|
|
952,204 |
|
|
400,000 |
|
Quno Corp., Sr. Note, 9.125%, 5/15/2005 |
|
|
410,808 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,363,012 |
|
|
||||||
|
|
|
|
Health Care--0.9% |
|
|
|
|
|
1,000,000 |
|
COL HCA Healthcare Corp., Sr. Note, 6.41%, 6/15/2000 |
|
|
1,004,830 |
|
|
||||||
|
|
|
|
Insurance--1.4% |
|
|
|
|
|
250,000 |
|
AFC Capital Trust I, Bond, 8.207%, 2/3/2027 |
|
|
222,560 |
|
|
350,000 |
|
Conseco, Inc., Sr. Note, 10.50%, 12/15/2004 |
|
|
267,750 |
|
|
250,000 |
|
Conseco, Inc., Sr. Sub. Note, 10.25%, 6/01/2002 |
|
|
173,750 |
|
|
250,000 |
|
Delphi Funding LLC, Note, 9.31%, 3/25/2027 |
|
|
223,953 |
|
|
170,000 |
|
Geico Corp., Deb., 9.15%, 9/15/2021 |
|
|
179,209 |
|
|
400,000 |
|
Provident Cos., Inc., Bond, 7.405%, 3/15/2038 |
|
|
309,876 |
|
|
250,000 |
|
USF&G Capital II., Company Guarantee, 8.47%, 1/10/2027 |
|
|
229,458 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,606,556 |
|
|
||||||
|
|
|
|
Leisure & Entertainment--0.4% |
|
|
|
|
|
400,000 |
|
International Speedway Corp., Company Guarantee, 7.875%, 10/15/2004 |
|
|
386,540 |
|
|
125,000 |
|
Viacom, Inc., Sr. Deb., 8.25%, 8/01/2022 |
|
|
117,735 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
504,275 |
|
|
||||||
|
|
|
|
Metals & Mining--0.6% |
|
|
|
|
|
725,000 |
|
Barrick Gold Corp., Deb., 7.50%, 5/1/2007 |
|
|
712,813 |
|
|
||||||
|
|
|
|
Printing & Publishing--0.2% |
|
|
|
|
|
200,000 |
|
News America Holdings, Sr. Note, 8.50%, 2/15/2005 |
|
|
199,924 |
|
|
||||||
|
Principal |
|
|
|
|
Value in |
|
|
|
|
|
BONDS--continued |
|
|
|
|
|
|
|
INVESTMENT GRADE BONDS--continued |
|
|
|
|
|
|
|
Real Estate--0.7% |
|
|
|
|
$ |
1,000,000 |
|
SUSA Partnership, L.P., Deb., 7.50%, 12/1/2027 |
|
$ |
811,610 |
|
|
||||||
|
|
|
|
Retailers--1.4% |
|
|
|
|
|
350,000 |
|
Harcourt General, Inc., Sr. Note, 6.70%, 8/01/2007 |
|
|
313,394 |
|
|
190,000 |
|
Safeway, Inc., Note, 7.25%, 9/15/2004 |
|
|
184,583 |
|
|
660,000 |
|
Shopko Stores, Sr. Note, 8.50%, 3/15/2002 |
|
|
664,092 |
|
|
450,000 |
|
Target Corp., Note, 7.50%, 2/15/2005 |
|
|
446,927 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,608,996 |
|
|
||||||
|
|
|
|
Sovereign Government--0.2% |
|
|
|
|
|
250,000 |
|
Colombia, Government of, Note, 7.25%, 2/15/2003 |
|
|
217,500 |
|
|
||||||
|
|
|
|
Supranational--0.3% |
|
|
|
|
|
165,000 |
|
Corp Andina De Fomento, Note, 8.875%, 6/01/2005 |
|
|
165,017 |
|
|
250,000 |
|
Corp Andina De Fomento, Sr. Note, 7.75%, 3/01/2004 |
|
|
241,880 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
406,897 |
|
|
||||||
|
|
|
|
Technology Services--0.4% |
|
|
|
|
|
500,000 |
|
Dell Computer Corp., Deb., 7.10%, 4/15/2028 |
|
|
435,640 |
|
|
||||||
|
|
|
|
Telecommunications & Cellular--0.8% |
|
|
|
|
|
300,000 |
|
BellSouth Telecommunications, Note, 6.00%, 6/15/2002 |
|
|
289,308 |
|
|
720,000 |
|
Telecom de Puerto Rico, Note, 6.65%, 5/15/2006 |
|
|
663,833 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
953,141 |
|
|
||||||
|
|
|
|
Utilities--0.7% |
|
|
|
|
|
250,000 |
|
Enersis SA, Note, 7.40%, 12/1/2016 |
|
|
197,695 |
|
|
750,000 |
|
National Rural Utilities, MTN, 5.75%, 12/01/2008 |
|
|
648,308 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
846,003 |
|
|
||||||
|
|
|
|
TOTAL INVESTMENT GRADE BONDS |
|
|
21,084,614 |
|
|
||||||
|
|
|
|
FOREIGN BONDS--6.7% |
|
|
|
|
|
|
|
British Pound--0.1% |
|
|
|
|
|
92,000 |
|
United Kingdom, Government of, Bond, 6.50%, 12/07/2003 |
|
|
139,638 |
|
|
||||||
|
|
|
|
Canadian Dollar--0.3% |
|
|
|
|
|
387,000 |
|
Canada, Government of, Deb., 6.50%, 6/1/2004 |
|
|
260,496 |
|
|
200,000 |
|
Ontario Hydro, 9.00%, 6/24/2002 |
|
|
140,194 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
400,690 |
|
|
||||||
|
Foreign |
|
|
|
|
Value in |
|
|
|
|
|
BONDS--continued |
|
|
|
|
|
|
|
FOREIGN BONDS--continued |
|
|
|
|
|
|
|
Danish Krone--0.1% |
|
|
|
|
|
955,000 |
|
Denmark, Government of, 5.00%, 8/15/2005 |
|
$ |
115,587 |
|
|
||||||
|
|
|
|
Euro--2.8% |
|
|
|
|
|
327,741 |
|
Belgium, Government of, Bond, 6.50%, 3/31/2005 |
|
|
320,015 |
|
|
350,000 |
|
Finland, Government of, Bond, 5.75%, 2/23/2011 |
|
|
335,548 |
|
|
420,000 |
|
Ireland, Government of, 3.50%, 10/18/2005 |
|
|
359,003 |
|
|
980,000 |
|
Italy, Government of, Bond, 4.75%, 7/01/2005 |
|
|
890,062 |
|
|
35,000 |
|
Netherlands, Government of, 5.50%, 1/15/2028 |
|
|
32,523 |
|
|
358,823 |
|
Netherlands, Government of, 5.75%, 1/15/2004 |
|
|
341,124 |
|
|
45,000 |
|
Portugal, Government of, Ot's, 6.625%, 2/23/2007 |
|
|
44,707 |
|
|
240,404 |
|
Spain, Government of, 6.15%, 1/31/2013 |
|
|
235,436 |
|
|
370,000 |
|
Spain, Government of, Bond, 4.25%, 7/30/2002 |
|
|
339,254 |
|
|
358,607 |
|
Treuhandanstalt, Foreign Government Guarantee, 6.875%, 6/11/2003 |
|
|
350,387 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
3,248,059 |
|
|
||||||
|
|
|
|
Greek Drachma--0.4% |
|
|
|
|
|
150,000,000 |
|
Greece, Government of, Floating Rate Note, 10.34%, 9/30/2003 |
|
|
431,486 |
|
|
11,400,000 |
|
Greece, Government of, Floating Rate Note, 10.24%, 10/23/2003 |
|
|
32,809 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
464,295 |
|
|
||||||
|
|
|
|
Hungarian Forint--0.0% |
|
|
|
|
|
6,700,000 |
|
Hungary, Government of, Bond, 14.00%, 12/12/2002 |
|
|
26,082 |
|
|
||||||
|
|
|
|
Japanese Yen--2.4% |
|
|
|
|
|
41,000,000 |
|
DSL Bank, Note, 2.60%, 7/10/2002 |
|
|
397,712 |
|
|
13,000,000 |
|
Eksportfinans, Bond, 1.80%, 6/21/2010 |
|
|
121,230 |
|
|
43,000,000 |
|
International Business Machines Corp., Note, 0.90%, 4/14/2003 |
|
|
399,901 |
|
|
58,000,000 |
|
Italy, Government of, Bond, 1.80%, 2/23/2010 |
|
|
544,378 |
|
|
109,000,000 |
|
Ontario, Province of, Note, Series EMTN, 1.875%, 1/25/2010 |
|
|
1,014,088 |
|
|
32,000,000 |
|
Westpac Banking Corp., Ltd, Sr. Unsub., 0.875%, 9/22/2003 |
|
|
298,113 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
2,775,422 |
|
|
||||||
|
|
|
|
New Zealand Dollar--0.1% |
|
|
|
|
|
140,000 |
|
New Zealand, Government of, Bond, Series 403, 5.50%, 4/15/2003 |
|
|
61,382 |
|
|
||||||
|
|
|
|
Norwegian Krone--0.1% |
|
|
|
|
|
896,000 |
|
Norway, Government of, Bond, 7.00%, 5/31/2001 |
|
|
100,585 |
|
|
||||||
|
Foreign |
|
|
|
|
Value in |
|
|
|
|
|
BONDS--continued |
|
|
|
|
|
|
|
FOREIGN BONDS--continued |
|
|
|
|
|
|
|
Polish Zloty--0.2% |
|
|
|
|
|
80,000 |
|
Poland, Government of, Bond, 12.00%, 10/12/2003 |
|
$ |
16,364 |
|
|
1,075,000 |
|
Poland, Government of, Series 0604, 10.00%, 6/12/2004 |
|
|
207,295 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
223,659 |
|
|
||||||
|
|
|
|
South African Rand--0.2% |
|
|
|
|
|
1,500,000 |
|
South Africa, Government of, 13.50%, 9/15/2015 |
|
|
203,630 |
|
|
||||||
|
|
|
|
TOTAL FOREIGN BONDS |
|
|
7,759,029 |
|
|
||||||
|
|
|
|
TOTAL BONDS (IDENTIFIED COST $103,733,190) |
|
|
98,139,332 |
|
|
||||||
|
|
|
|
TOTAL INVESTMENTS (IDENTIFIED COST $118,207,764)6 |
|
$ |
115,050,443 |
|
|
||||||
1 Non-income producing security.
2 The fund purchases index futures contracts to efficiently manage cash flows resulting from shareholder purchases and redemptions, dividend and capital gain payments to shareholders and corporate actions while maintaining exposure to the index and minimizing trading costs. The underlying face amount, at value, of open index futures contracts is $2,133,300 as of May 31, 2000.
3 The repurchase agreement is fully collateralized by U.S. Treasury government and/or agency obligations based on market prices at the date of the portfolio. The investment in the repurchase agreement is through participation in a joint account with other Federated funds.
4 Pursuant to an exemptive order, the fund may invest in Federated Core Trust (the "Trust") which is also managed by Federated Investment Management Company, the fund's adviser. The Trust is an open-end management investment company registered under the Investment Company Act of 1940 available only to registered investment companies and other institutional investors. High Yield Bond Portfolio and Federated Mortgage Core Portfolio (the "Portfolios") are two series of the Trust. Federated receives no fees on behalf of the Portfolios. Income distributions from the Portfolios are declared daily and paid monthly. Capital gain distributions if any are declared and paid annually and recorded by the fund as capital gains received.
5 Denotes a restricted security which is subject to restrictions on resale under Federal Securities laws. These securities have been deemed liquid based upon criteria approved by the fund's Board of Trustees. At May 31, 2000, these securities amounted to $1,233,237 which represents 1.1% of net assets.
6 The cost of investments for federal tax purposes amounts to $118,207,764. The net unrealized depreciation of investments on a federal tax basis amounts to $3,157,321 which is comprised of $3,081,789 appreciation and $6,239,110 depreciation at May 31, 2000.
Note: The categories of investments are shown as a percentage of net assets ($116,410,957) at May 31, 2000.
The following acronyms are used throughout this portfolio:
|
ADR |
--American Depositary Receipt |
|
MTN |
--Medium Term Note |
See Notes which are an integral part of the Financial Statements
MAY 31, 2000 (UNAUDITED)
|
Assets: |
|
|
|
|
|
|
|
|
Total investments in securities, at value (identified and tax cost $118,207,764) |
|
|
|
|
$ |
115,050,443 |
|
|
Cash |
|
|
|
|
|
5,008 |
|
|
Cash denominated in foreign currencies (identified cost $3,068) |
|
|
|
|
|
3,068 |
|
|
Income receivable |
|
|
|
|
|
1,185,987 |
|
|
Receivable for shares sold |
|
|
|
|
|
250,484 |
|
|
|
|||||||
|
TOTAL ASSETS |
|
|
|
|
|
116,494,990 |
|
|
|
|||||||
|
Liabilities: |
|
|
|
|
|
|
|
|
Payable for daily variation margin |
|
$ |
7,500 |
|
|
|
|
|
Accrued expenses |
|
|
76,533 |
|
|
|
|
|
|
|||||||
|
TOTAL LIABILITIES |
|
|
|
|
|
84,033 |
|
|
|
|||||||
|
Net assets for 11,487,578 shares outstanding |
|
|
|
|
$ |
116,410,957 |
|
|
|
|||||||
|
Net Assets Consist of: |
|
|
|
|
|
|
|
|
Paid in capital |
|
|
|
|
$ |
119,397,907 |
|
|
Net unrealized depreciation of investments, translation of assets and liabilities in foreign currency and futures contracts |
|
|
|
|
|
(3,102,873 |
) |
|
Accumulated net realized gain on investments, foreign currency transactions and futures contracts |
|
|
|
|
|
12,529 |
|
|
Undistributed net investment income |
|
|
|
|
|
103,394 |
|
|
|
|||||||
|
TOTAL NET ASSETS |
|
|
|
|
$ |
116,410,957 |
|
|
|
|||||||
|
Net Asset Value, Offering Price and Redemption Proceeds Per Share |
|
|
|
|
|
|
|
|
Institutional Shares: |
|
|
|
|
|
|
|
|
$78,000,105 ÷ 7,698,257 shares outstanding |
|
|
|
|
|
$10.13 |
|
|
|
|||||||
|
Select Shares: |
|
|
|
|
|
|
|
|
$38,410,852 ÷ 3,789,321 shares outstanding |
|
|
|
|
|
$10.14 |
|
|
|
|||||||
See Notes which are an integral part of the Financial Statements
SIX MONTHS ENDED MAY 31, 2000 (UNAUDITED)
|
Investment Income: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Dividends (net of foreign taxes withheld of $113) |
|
|
|
|
|
|
|
|
|
$ |
1,489,429 |
|
|
Interest (net of foreign taxes withheld of $554) |
|
|
|
|
|
|
|
|
|
|
2,324,231 |
|
|
|
||||||||||||
|
TOTAL INCOME |
|
|
|
|
|
|
|
|
|
|
3,813,660 |
|
|
|
||||||||||||
|
Expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Investment adviser fee |
|
|
|
|
|
$ |
454,561 |
|
|
|
|
|
|
Administrative personnel and services fee |
|
|
|
|
|
|
75,162 |
|
|
|
|
|
|
Custodian fees |
|
|
|
|
|
|
9,095 |
|
|
|
|
|
|
Transfer and dividend disbursing agent fees and expenses |
|
|
|
|
|
|
37,101 |
|
|
|
|
|
|
Directors'/Trustees' fees |
|
|
|
|
|
|
1,716 |
|
|
|
|
|
|
Auditing fees |
|
|
|
|
|
|
7,121 |
|
|
|
|
|
|
Legal fees |
|
|
|
|
|
|
2,480 |
|
|
|
|
|
|
Portfolio accounting fees |
|
|
|
|
|
|
35,189 |
|
|
|
|
|
|
Distribution services fee--Select Shares |
|
|
|
|
|
|
148,128 |
|
|
|
|
|
|
Shareholder services fee--Institutional Shares |
|
|
|
|
|
|
102,144 |
|
|
|
|
|
|
Shareholder services fee--Select Shares |
|
|
|
|
|
|
49,376 |
|
|
|
|
|
|
Share registration costs |
|
|
|
|
|
|
12,264 |
|
|
|
|
|
|
Printing and postage |
|
|
|
|
|
|
14,613 |
|
|
|
|
|
|
Insurance premiums |
|
|
|
|
|
|
337 |
|
|
|
|
|
|
Miscellaneous |
|
|
|
|
|
|
5,926 |
|
|
|
|
|
|
|
||||||||||||
|
TOTAL EXPENSES |
|
|
|
|
|
|
955,213 |
|
|
|
|
|
|
|
||||||||||||
|
Waivers: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Waiver of investment adviser fee |
|
$ |
(198,348 |
) |
|
|
|
|
|
|
|
|
|
Waiver of distribution services fee--Select Shares |
|
|
(49,376 |
) |
|
|
|
|
|
|
|
|
|
Waiver of shareholder services fee--Institutional Shares |
|
|
(81,715 |
) |
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
TOTAL WAIVERS |
|
|
|
|
|
|
(329,439 |
) |
|
|
|
|
|
|
||||||||||||
|
Net expenses |
|
|
|
|
|
|
|
|
|
|
625,774 |
|
|
|
||||||||||||
|
Net investment income |
|
|
|
|
|
|
|
|
|
|
3,187,886 |
|
|
|
||||||||||||
|
Realized and Unrealized Gain (Loss) on Investments, Foreign Currency Transactions and Futures Contracts: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Net realized gain on investments, foreign currency transactions and futures contracts |
|
|
|
|
|
|
|
|
|
|
116,589 |
|
|
Net change in unrealized depreciation of investments, translation of assets and liabilities in foreign currency and futures contracts |
|
|
|
|
|
|
|
|
|
|
(2,316,863 |
) |
|
|
||||||||||||
|
Net realized and unrealized loss on investments, foreign currency transactions and futures contracts |
|
|
|
|
|
|
|
|
|
|
(2,200,274 |
) |
|
|
||||||||||||
|
Change in net assets resulting from operations |
|
|
|
|
|
|
|
|
|
$ |
987,612 |
|
|
|
||||||||||||
See Notes which are an integral part of the Financial Statements
|
|
|
|
Six Months |
|
|
|
Year Ended |
|
|
Increase (Decrease) in Net Assets |
|
|
|
|
|
|
|
|
|
Operations: |
|
|
|
|
|
|
|
|
|
Net investment income |
|
$ |
3,187,886 |
|
|
$ |
6,553,759 |
|
|
Net realized gain on investments, foreign currency transactions and futures contracts ($116,589 and $1,070,112, respectively, as computed for federal tax purposes) |
|
|
116,589 |
|
|
|
1,544,962 |
|
|
Net change in unrealized depreciation of investments, translation of assets and liabilities in foreign currency and futures contracts |
|
|
(2,316,863 |
) |
|
|
(6,816,145 |
) |
|
|
||||||||
|
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS |
|
|
987,612 |
|
|
|
1,282,576 |
|
|
|
||||||||
|
Distributions to Shareholders: |
|
|
|
|
|
|
|
|
|
Distributions from net investment income |
|
|
|
|
|
|
|
|
|
Institutional Shares |
|
|
(2,259,270 |
) |
|
|
(4,324,201 |
) |
|
Select Shares |
|
|
(951,047 |
) |
|
|
(2,062,940 |
) |
|
Distributions from net realized gain on investments, foreign currency transactions and futures contracts |
|
|
|
|
|
|
|
|
|
Institutional Shares |
|
|
(721,626 |
) |
|
|
(2,276,942 |
) |
|
Select Shares |
|
|
(347,316 |
) |
|
|
(1,309,740 |
) |
|
|
||||||||
|
CHANGE IN NET ASSETS RESULTING FROM DISTRIBUTIONS TO SHAREHOLDERS |
|
|
(4,279,259 |
) |
|
|
(9,973,823 |
) |
|
|
||||||||
|
Share Transactions: |
|
|
|
|
|
|
|
|
|
Proceeds from sale of shares |
|
|
15,660,051 |
|
|
|
58,015,985 |
|
|
Net asset value of shares issued to shareholders in payment of distributions declared |
|
|
2,634,799 |
|
|
|
6,076,858 |
|
|
Cost of shares redeemed |
|
|
(29,034,248 |
) |
|
|
(52,573,553 |
) |
|
|
||||||||
|
CHANGE IN NET ASSETS RESULTING FROM SHARE TRANSACTIONS |
|
|
(10,739,398 |
) |
|
|
11,519,290 |
|
|
|
||||||||
|
Change in net assets |
|
|
(14,031,045 |
) |
|
|
2,828,043 |
|
|
|
||||||||
|
Net Assets: |
|
|
|
|
|
|
|
|
|
Beginning of period |
|
|
130,442,002 |
|
|
|
127,613,959 |
|
|
|
||||||||
|
End of period (including undistributed net investment income of $103,394 and $125,825, respectively) |
|
$ |
116,410,957 |
|
|
$ |
130,442,002 |
|
|
|
||||||||
See Notes which are an integral part of the Financial Statements
(FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD)
|
|
|
Six Months |
|
|
Year Ended November 30, |
|||||||||||||
|
|
|
2000 |
|
|
1999 |
1 |
|
1998 |
|
|
1997 |
|
|
1996 |
|
|
1995 |
|
|
Net Asset Value, Beginning of Period |
|
$10.41 |
|
|
$11.13 |
|
|
$10.77 |
|
|
$10.56 |
|
|
$10.54 |
|
|
$ 9.76 |
|
|
Income From Investment Operations: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net investment income |
|
0.29 |
|
|
0.55 |
|
|
0.55 |
|
|
0.60 |
|
|
0.59 |
|
|
0.62 |
|
|
Net realized and unrealized gain (loss) on investments, foreign currency transactions and futures contracts |
|
(0.20 |
) |
|
(0.42 |
) |
|
0.49 |
|
|
0.30 |
|
|
0.12 |
|
|
0.78 |
|
|
|
||||||||||||||||||
|
TOTAL FROM INVESTMENT OPERATIONS |
|
0.09 |
|
|
0.13 |
|
|
1.04 |
|
|
0.90 |
|
|
0.71 |
|
|
1.40 |
|
|
|
||||||||||||||||||
|
Less Distributions: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Distributions from net investment income |
|
(0.28 |
) |
|
(0.54 |
) |
|
(0.55 |
) |
|
(0.62 |
) |
|
(0.62 |
) |
|
(0.62 |
) |
|
Distributions from net realized gain on investments, foreign currency transactions and futures contracts |
|
(0.09 |
) |
|
(0.31 |
) |
|
(0.13 |
) |
|
(0.07 |
) |
|
(0.07 |
) |
|
-- |
|
|
|
||||||||||||||||||
|
TOTAL DISTRIBUTIONS |
|
(0.37 |
) |
|
(0.85 |
) |
|
(0.68 |
) |
|
(0.69 |
) |
|
(0.69 |
) |
|
(0.62 |
) |
|
|
||||||||||||||||||
|
Net Asset Value, End of Period |
|
$10.13 |
|
|
$10.41 |
|
|
$11.13 |
|
|
$10.77 |
|
|
$10.56 |
|
|
$10.54 |
|
|
|
||||||||||||||||||
|
Total Return2 |
|
0.89 |
% |
|
1.22 |
% |
|
10.06 |
% |
|
8.88 |
% |
|
6.98 |
% |
|
14.74 |
% |
|
|
||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Ratios to Average Net Assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
|
Expenses |
|
0.80 |
%3 |
|
0.80 |
% |
|
0.80 |
% |
|
0.80 |
% |
|
0.80 |
% |
|
0.75 |
% |
|
|
||||||||||||||||||
|
Net investment income |
|
5.49 |
%3 |
|
5.21 |
% |
|
5.09 |
% |
|
5.63 |
% |
|
5.72 |
% |
|
6.26 |
% |
|
|
||||||||||||||||||
|
Expense waiver/reimbursement4 |
|
0.53 |
%3 |
|
0.54 |
% |
|
0.62 |
% |
|
0.70 |
% |
|
0.80 |
% |
|
1.06 |
% |
|
|
||||||||||||||||||
|
Supplemental Data: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
|
Net assets, end of period (000 omitted) |
|
$78,000 |
|
$86,919 |
|
$81,421 |
|
$71,058 |
|
$67,122 |
|
$50,852 |
|
|||||
|
|
||||||||||||||||||
|
Portfolio turnover |
|
23 |
% |
|
95 |
% |
|
122 |
% |
|
99 |
% |
|
164 |
% |
|
165 |
% |
|
|
||||||||||||||||||
1 For the year ended November 30, 1999, the fund was audited by Deloitte & Touche LLP. Each of the previous years the fund was audited by other auditors.
2 Based on net asset value, which does not reflect the sales charge or contingent deferred sales charge, if applicable.
3 Computed on an annualized basis.
4 This voluntary expense decrease is reflected in both the expense and net investment income ratios shown above.
See Notes which are an integral part of the Financial Statements
(FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD)
|
|
|
Six Months |
|
|
Year Ended November 30, |
|||||||||||||
|
|
|
2000 |
|
|
1999 |
1 |
|
1998 |
|
|
1997 |
|
|
1996 |
|
|
1995 |
|
|
Net Asset Value, Beginning of Period |
|
$10.41 |
|
|
$11.13 |
|
|
$10.77 |
|
|
$10.56 |
|
|
$10.54 |
|
|
$ 9.77 |
|
|
Income From Investment Operations: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net investment income |
|
0.26 |
|
|
0.48 |
|
|
0.48 |
|
|
0.51 |
|
|
0.53 |
|
|
0.48 |
|
|
Net realized and unrealized gain (loss) on investments, foreign currency transactions and futures contracts |
|
(0.19 |
) |
|
(0.42 |
) |
|
0.49 |
|
|
0.31 |
|
|
0.10 |
|
|
0.83 |
|
|
|
||||||||||||||||||
|
TOTAL FROM INVESTMENT OPERATIONS |
|
0.07 |
|
|
0.06 |
|
|
0.97 |
|
|
0.82 |
|
|
0.63 |
|
|
1.31 |
|
|
|
||||||||||||||||||
|
Less Distributions: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Distributions from net investment income |
|
(0.25 |
) |
|
(0.47 |
) |
|
(0.48 |
) |
|
(0.54 |
) |
|
(0.54 |
) |
|
(0.54 |
) |
|
Distributions from net realized gain on investments, foreign currency transactions and futures contracts |
|
(0.09 |
) |
|
(0.31 |
) |
|
(0.13 |
) |
|
(0.07 |
) |
|
(0.07 |
) |
|
-- |
|
|
|
||||||||||||||||||
|
TOTAL DISTRIBUTIONS |
|
(0.34 |
) |
|
(0.78 |
) |
|
(0.61 |
) |
|
(0.61 |
) |
|
(0.61 |
) |
|
(0.54 |
) |
|
|
||||||||||||||||||
|
Net Asset Value, End of Period |
|
$10.14 |
|
|
$10.41 |
|
|
$11.13 |
|
|
$10.77 |
|
|
$10.56 |
|
|
$10.54 |
|
|
|
||||||||||||||||||
|
Total Return2 |
|
0.64 |
% |
|
0.52 |
% |
|
9.29 |
% |
|
8.14 |
% |
|
6.23 |
% |
|
13.76 |
% |
|
|
||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Ratios to Average Net Assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
|
Expenses |
|
1.50 |
%3 |
|
1.50 |
% |
|
1.50 |
% |
|
1.50 |
% |
|
1.50 |
% |
|
1.50 |
% |
|
|
||||||||||||||||||
|
Net investment income |
|
4.79 |
%3 |
|
4.50 |
% |
|
4.39 |
% |
|
4.93 |
% |
|
5.02 |
% |
|
5.56 |
% |
|
|
||||||||||||||||||
|
Expenses waivers/reimbursement4 |
|
0.58 |
%3 |
|
0.59 |
% |
|
0.67 |
% |
|
0.75 |
% |
|
0.85 |
% |
|
1.06 |
% |
|
|
||||||||||||||||||
|
Supplemental Data: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
|
Net assets, end of period (000 omitted) |
|
$38,411 |
|
$43,523 |
|
$46,193 |
|
$36,608 |
|
$25,459 |
|
$13,927 |
|
|||||
|
|
||||||||||||||||||
|
Portfolio turnover |
|
23 |
% |
|
95 |
% |
|
122 |
% |
|
99 |
% |
|
164 |
% |
|
165 |
% |
|
|
||||||||||||||||||
1 For the year ended November 30, 1999, the fund was audited by Deloitte & Touche LLP. Each of the previous years the fund was audited by other auditors.
2 Based on net asset value, which does not reflect the sales charge or contingent deferred sales charge, if applicable.
3 Computed on an annualized basis.
4 This voluntary expense decrease is reflected in both the expense and net investment income ratios shown above.
See Notes which are an integral part of the Financial Statements
MAY 31, 2000 (UNAUDITED)
Federated Managed Allocation Portfolios (the "Trust") is registered under the Investment Company Act of 1940, as amended (the "Act") as an open-end, management investment company. The Trust consists of four diversified portfolios. The financial statements included herein are only those of Federated Managed Income Portfolio (the "Fund"). The financial statements of the other portfolios are presented separately. The assets of each portfolio are segregated and a shareholder's interest is limited to the portfolio in which shares are held. The investment objective of the Fund is to seek total return with an emphasis on income and potential for capital appreciation.
The Fund offers two classes of shares: Institutional Shares and Select Shares.
The following is a summary of significant accounting policies consistently followed by the Fund in the preparation of its financial statements. These policies are in conformity with generally accepted accounting principles.
Listed equity securities are valued at the last sale price reported on a national securities exchange. U.S. government securities, listed corporate bonds, other fixed income and asset-backed securities, and unlisted securities and private placement securities are generally valued at the mean of the latest bid and asked price as furnished by an independent pricing service. Short-term securities are valued at the prices provided by an independent pricing service. However, short-term securities with remaining maturities of 60 days or less at the time of purchase may be valued at amortized cost, which approximates fair market value. Investment in other open-end regulated investment companies are valued at net asset value.
With respect to valuation of foreign securities, trading in foreign cities may be completed at times which vary from the closing of the New York Stock Exchange. Therefore, foreign securities are valued at the latest closing price on the exchange on which they are traded prior to the closing of the New York Stock Exchange. Foreign securities quoted in foreign currencies are translated into U.S. dollars at the foreign exchange rate in effect at noon, eastern time, on the day the value of the foreign security is determined.
It is the policy of the Fund to require the custodian bank or broker to take possession, to have legally segregated in the Federal Reserve Book Entry System, or to have segregated within the custodian bank's vault, all securities held as collateral under repurchase agreement transactions. Additionally, procedures have been established by the Fund to monitor, on a daily basis, the market value of each repurchase agreement's collateral to ensure that the value of collateral at least equals the repurchase price to be paid under the repurchase agreement.
The Fund will only enter into repurchase agreements with banks and other recognized financial institutions, such as broker/dealers, which are deemed by the Fund's adviser to be creditworthy pursuant to the guidelines and/or standards reviewed or established by the Board of Trustees (the "Trustees"). Risks may arise from the potential inability of counterparties to honor the terms of these agreements. Accordingly, the Fund could receive less than the repurchase price on the sale of collateral securities. The Fund, along with other affiliated investment companies may utilize a joint trading account for the purpose of entering into one or more repurchase agreements.
Interest income and expenses are accrued daily. Bond premium and discount, if applicable, are amortized as required by the Internal Revenue Code, as amended (the "Code"). Dividend income and distributions to shareholders are recorded on the ex-dividend date. Non-cash dividends included in dividend income, if any, are recorded at fair value. The Fund offers multiple classes of shares, which differ in their respective distribution and service fees. All shareholders bear the common expenses of the Fund based on average daily net assets of each class, without distinction between share classes. Dividends are declared separately for each class. No class has preferential dividend rights; difference in per share dividend rates are generally due to differences in separate class expenses.
Distributions are determined in accordance with income tax regulations which may differ from generally accepted accounting principles. These distributions do not represent a return of capital for federal income tax purposes.
It is the Fund's policy to comply with the provisions of the Code applicable to regulated investment companies and to distribute to shareholders each year substantially all of its income. Accordingly, no provision for federal tax is necessary.
Withholding taxes on foreign interest and dividends have been provided for in accordance with the Fund's applicable country's tax rules and rates.
The Fund may engage in when-issued or delayed delivery transactions. The Fund records when-issued securities on the trade date and maintains security positions such that sufficient liquid assets will be available to make payment for the securities purchased. Securities purchased on a when-issued or delayed delivery basis are marked to market daily and begin earning interest on the settlement date. Losses may occur on these transactions due to changes in market conditions or the failure of counterparties to perform under contract.
The Fund may purchase stock index futures contracts to manage cashflows, enhance yield, and to potentially reduce transaction costs. Upon entering into a stock index futures contract with a broker, the Fund is required to deposit in a segregated account a specified amount of cash or U.S. government securities. Futures contracts are valued daily and unrealized gains or losses are recorded in a "variation margin" account. Daily, the Fund receives from or pays to the broker a specified amount of cash based upon changes in the variation margin account. When a contract is closed, the Fund recognizes a realized gain or loss. For the six months ended May 31, 2000, the Fund had realized gains of $292,641 on futures contracts.
Futures contracts have market risks, including the risk that the change in the value of the contract may not correlate with changes in the value of the underlying securities.
At May 31, 2000, the Fund had outstanding futures contracts as set forth below:
|
Expiration |
|
Contracts to |
|
Position |
|
Unrealized |
|
June 2000 |
|
6 S&P 500 Index Futures |
|
Long |
|
$58,950 |
|
|
||||||
The Fund may enter into foreign currency commitments for the delayed delivery of securities or foreign currency exchange transactions. The Fund may enter into foreign currency contract transactions to protect assets against adverse changes in foreign currency exchange rates or exchange control regulations. Purchased contracts are used to acquire exposure to foreign currencies; whereas, contracts to sell are used to hedge the Fund's securities against currency fluctuations. Risks may arise upon entering these transactions from the potential inability of counterparts to meet the terms of their commitments and from unanticipated movements in security prices or foreign exchange rates. The foreign currency transactions are adjusted by the daily exchange rate of the underlying currency and any gains or losses are recorded for financial statement purpose as unrealized until the settlement date. For the six months ended May 31, 2000, the Fund had no outstanding foreign currency commitments.
The accounting records of the Fund are maintained in U.S. dollars. All assets and liabilities denominated in foreign currencies ("FC") are translated into U.S. dollars based on the rate of exchange of such currencies against U.S. dollars on the date of valuation. Purchases and sales of securities, income and expenses are translated at the rate of exchange quoted on the respective date that such transactions are recorded. The Fund does not isolate that portion of the results of operations resulting from changes in foreign exchange rates on investments from the fluctuations arising from changes in market prices of securities held. Such fluctuations are included with the net realized and unrealized gain or loss from investments.
Reported net realized foreign exchange gains or losses arise from sales of portfolio securities, sales and maturities of short-term securities, sales of FCs, currency gains or losses realized between the trade and settlement dates on securities transactions, the difference between the amounts of dividends, interest, and foreign withholding taxes recorded on the books, and the U.S. dollar equivalent of the amounts actually received or paid. Net unrealized foreign exchange gains and losses arise from changes in the value of assets and liabilities other than investments in securities at fiscal year end, resulting from changes in the exchange rate.
The Fund may enter into dollar roll transactions, with respect to mortgage securities issued by GNMA, FNMA and FHLMC, in which the Fund sells mortgage securities to financial institutions and simultaneously agrees to accept substantially similar (same type, coupon and maturity) securities at a later date at an agreed upon price. Dollar roll transactions involve "to be announced" securities and are treated as short-term financing arrangements which will not exceed 12 months. The Fund will use the proceeds generated from the transactions to invest in short-term investments, which may enhance the Fund's current yield and total return. For the six months ended May 31, 2000 there were no open dollar roll transactions.
Restricted securities are securities that may only be resold upon registration under federal securities laws or in transactions exempt from such registration. In some cases, the issuer of restricted securities has agreed to register such securities for resale, at the issuer's expense either upon demand by the Fund or in connection with another registered offering of the securities. Many restricted securities may be resold in the secondary market in transactions exempt from registration. Such restricted securities may be determined to be liquid under criteria established by the Trustees. The Fund will not incur any registration costs upon such resales. The Fund's restricted securities are valued at the price provided by dealers in the secondary market or, if no market prices are available, at the fair value as determined by the Fund's pricing committee.
The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts of assets, liabilities, expenses and revenues reported in the financial statements. Actual results could differ from those estimated.
Investment transactions are accounted for on a trade date basis.
The Declaration of Trust permits the Trustees to issue an unlimited number of full and fractional shares of beneficial interest (without par value) for each class of shares.
Transactions in shares were as follows:
|
|
|
Six Months Ended |
|
Year Ended |
||||||||||
|
Institutional Shares: |
|
Shares |
|
|
|
Amount |
|
|
Shares |
|
|
|
Amount |
|
|
Shares sold |
|
1,133,449 |
|
|
$ |
11,601,793 |
|
|
3,910,942 |
|
|
$ |
41,820,942 |
|
|
Shares issued to shareholders in payment of distributions declared |
|
177,118 |
|
|
|
1,810,514 |
|
|
356,933 |
|
|
|
3,817,907 |
|
|
Shares redeemed |
|
(1,964,699 |
) |
|
|
(20,088,716 |
) |
|
(3,231,903 |
) |
|
|
(34,562,713 |
) |
|
|
||||||||||||||
|
NET CHANGE RESULTING FROM INSTITUTIONAL SHARE TRANSACTIONS |
|
(654,132 |
) |
|
$ |
(6,676,409 |
) |
|
1,035,972 |
|
|
$ |
11,076,136 |
|
|
|
||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Six Months Ended |
|
Year Ended |
||||||||||
|
Select Shares: |
|
Shares |
|
|
|
Amount |
|
|
Shares |
|
|
|
Amount |
|
|
Shares sold |
|
398,025 |
|
|
$ |
4,058,258 |
|
|
1,511,648 |
|
|
$ |
16,195,043 |
|
|
Shares issued to shareholders in payment of distributions declared |
|
80,691 |
|
|
|
824,285 |
|
|
210,519 |
|
|
|
2,258,951 |
|
|
Shares redeemed |
|
(869,845 |
) |
|
|
(8,945,532 |
) |
|
(1,690,983 |
) |
|
|
(18,010,840 |
) |
|
|
||||||||||||||
|
NET CHANGE RESULTING FROM SELECT SHARE TRANSACTIONS |
|
(391,129 |
) |
|
$ |
(4,062,989 |
) |
|
31,184 |
|
|
$ |
443,154 |
|
|
|
||||||||||||||
|
NET CHANGE RESULTING FROM SHARE TRANSACTIONS |
|
(1,045,261 |
) |
|
$ |
(10,739,398 |
) |
|
1,067,156 |
|
|
$ |
11,519,290 |
|
|
|
||||||||||||||
Federated Investment Management Company, the Fund's investment adviser (the "Adviser"), receives for its services an annual investment Adviser fee equal 0.75% of the Fund's average daily net assets. The Adviser may voluntarily choose to waive any portion of its fee. The Adviser can modify or terminate this voluntary waiver at any time at its sole discretion.
Under the terms of a sub-adviser agreement between the Adviser and Federated Global Investment Management Corp. (the "Sub-Adviser"), the Sub-Adviser, receives an allocable portion of the Fund's advisory fee. Such allocation is based on the amount of foreign securities which the Sub-Adviser manages for the Fund. This fee is paid by the Adviser out of its resources and is not an incremental Fund expense.
Federated Services Company ("FServ"), under the Administrative Services Agreement, provides the Fund with administrative personnel and services. The fee paid to FServ is based on a scale that ranges from 0.15% to 0.075% of the average aggregate daily net assets of all funds advised by subsidiaries of Federated Investors, Inc. subject to a $125,000 minimum per portfolio and $30,000 per each additional class.
The Fund has adopted a Distribution Plan (the "Plan") pursuant to Rule 12b-1 under the Act. Under the terms of the Plan, the Fund will compensate Federated Securities Corp. ("FSC"), the principal distributor, from the net assets of the Fund to finance activities intended to result in the sale of the Fund's Select Shares. The Plan provides that the Fund may incur distribution expenses of up to 0.75% of average net assets, annually, to compensate FSC. The distributor may voluntarily choose to waive any portion of its fee. The distributor can modify or terminate this voluntary waiver at any time at its sole discretion.
Under the terms of a Shareholder Services Agreement with Federated Shareholder Services Company ("FSSC"), the Fund will pay FSSC up to 0.25% of average daily net assets of the Fund's shares for the period. The fee paid to FSSC is used to finance certain services for shareholders and to maintain shareholder accounts. FSSC may voluntarily choose to waive any portion of its fee. FSSC can modify or terminate this voluntary waiver at any time at its sole discretion.
FServ, through its subsidiary FSSC, serves as transfer and dividend disbursing agent for the Fund. The fee paid to FSSC is based on the size, type, and number of accounts and transactions made by shareholders.
FServ maintains the Fund's accounting records for which it receives a fee. The fee is based on the level of each of the Fund's average daily net assets for the period, plus out-of-pocket expenses.
Certain of the Officers and Trustees of the Trust are Officers and Directors or Trustees of the above companies.
Purchases and sales of investments, excluding short-term securities, for the six months ended May 31, 2000, were as follows:
|
Purchases |
|
$ |
26,153,363 |
|
|
|||
|
Sales |
|
$ |
33,377,829 |
|
|
|||
The Fund invests in securities of non-U.S. issuers. Although the Fund maintains a diversified investment portfolio, the political or economic developments within a particular country or region may have an adverse effect on the stability of domiciled issuers to meet their obligations. Additionally, political or economic developments may have an effect on the liquidity and volatility of portfolio securities and currency holdings.
At May 31, 2000, the diversification of industries for non-U.S. issuers was as follows.
|
Industry |
|
Percentage of |
|
Agency |
|
0.1% |
|
Banking |
|
1.2% |
|
Communications Equipment |
|
0.1% |
|
Finance |
|
0.3% |
|
Financial (Diversified) |
|
2.9% |
|
Financial Intermediaries |
|
0.4% |
|
Forest Products |
|
0.4% |
|
Government Agency |
|
0.9% |
|
Metals & Mining |
|
0.6% |
|
Oil (Int'l Integrated) |
|
0.1% |
|
Sovereign |
|
4.2% |
|
Sovereign Government |
|
0.7% |
|
Supranational |
|
0.2% |
Chairman
President
Executive Vice President
Executive Vice President
Executive Vice President and Secretary
Vice President
Treasurer
Assistant Secretary
Mutual funds are not bank deposits or obligations, are not guaranteed by any bank, and are not insured or guaranteed by the U.S. government, the Federal Deposit Insurance Corporation, the Federal Reserve Board, or any other government agency. Investment in mutual funds involves investment risk, including the possible loss of principal.
This report is authorized for distribution to prospective investors only when preceded or accompanied by the fund's prospectus which contains facts concerning its objective and policies, management fees, expenses and other information.
Federated
World-Class Investment Manager
SEMI-ANNUAL REPORT
Institutional Shares
Select Shares
MAY 31, 2000
Federated
Federated Managed Income Portfolio
Federated Investors
Funds
5800 Corporate Drive
Pittsburgh, PA
15237-7000
1-800-341-7400
www.federatedinvestors.com
Federated
Securities Corp., Distributor
Cusip 314212804
Cusip 314212705
G00517-01 (7/00)
Federated is a registered mark of Federated Investors, Inc. 2000 ©Federated Investors, Inc.
SEMI-ANNUAL REPORT
Dear Shareholder:
I am pleased to present the Semi-Annual Report to Shareholders for Federated Managed Moderate Growth Portfolio, a portfolio of Federated Managed Allocation Portfolios, for the six-month period from December 1, 1999 through May 31, 2000. Included in this report is an investment review, followed by a complete listing of the fund's holdings, financial statements and financial highlights.
In pursuit of its investment objective, the fund invests in a well-diversified portfolio of stocks and bonds. At the end of the reporting period, 57% of the fund's $262.8-million portfolio was invested in stocks (large-company value; large-company growth; utility; foreign; and future contract collateral), while 45% was invested in bonds (U.S. Treasury and government; U.S. Treasury agreements; mortgage-backed; investment grade; high yield; foreign; and a repurchase agreement).1
During the reporting period, the fund's Institutional Shares delivered a total return of 1.01% through dividends totaling $0.176 per share, and capital gains totaling $0.611 per share.2 The fund's Select Shares produced a total return of 0.59% through dividends totaling $0.129 per share, and capital gains totaling $0.611 per share.2
Thank you for pursuing your financial goals through the high level of diversification and professional management of Federated Managed Moderate Growth Portfolio. As always, we invite your comments and suggestions.
Sincerely,
Glen R. Johnson
Glen R. Johnson
President
July 15, 2000
1 Securities rated below investment grade generally entail greater market, credit and liquidity risks than investment grade securities. Foreign investing involves special risks including currency risk, increased volatility of foreign securities, and differences in auditing and other financial standards.
2 Past performance is no guarantee of future results. Investment return and principal value will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost.
The six-month reporting period ended May 31, 2000 was a generally favorable one for financial assets, and Federated Managed Moderate Growth Portfolio participated in the advance. For the reporting period, an investor in the fund's Institutional Shares had a total return of 1.01%,1 while an investor in the fund's Select Shares had a total return of 0.59%.1 As usual, performance among asset classes showed wide variation. Stocks of small U.S. companies did especially well early in the reporting period before declining in the last half of the reporting period when large company stocks provided better relative performance. Unlike stocks, bond prices fell early in the reporting period before rising for most of the remainder. The rising value of the dollar reduced returns to dollar-based holders of foreign stocks and bonds.
Federated Managed Moderate Growth Portfolio operates on an investment philosophy that, over time, an investor with a diversified portfolio should achieve better returns with the same risk, or the same returns with lower risk, than an investor in a single asset category. Therefore, to ensure proper diversification of its portfolio, the fund's investment policies require management to allocate the portfolio among as many as eight asset categories and limit the weight of each asset category. In allocating the fund's portfolio among asset categories, fund management analyzes the relative value offered by each category under prevailing market conditions. Fund management seeks to improve the fund's performance by weighting most heavily the asset categories that management believes will provide the best relative return. The following table shows the allocation of the portfolio among different asset categories at May 31, 2000.
|
Asset Category |
|
Benchmark |
|
Percentage as |
|
Bonds2 |
|
|
|
45 |
|
U.S. Treasury Securities |
|
14.6 |
|
20 |
|
Mortgage-Backed Securities |
|
12.4 |
|
12 |
|
Investment Grade Corporate Bonds |
|
8.0 |
|
8 |
|
High Yield Corporate Bonds |
|
2.0 |
|
2 |
|
Foreign Bonds |
|
3.0 |
|
3 |
|
|
|
|
|
|
|
Equities2 |
|
|
|
57 |
|
Large Company Stocks |
|
35.0 |
|
34 |
|
Small Company Stocks |
|
10.0 |
|
11 |
|
Foreign Stocks |
|
15.0 |
|
12 |
1 Past performance is no guarantee of future results. Investment return and principal value will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost.
2 Bonds convertible into equity securities at a price below the closing price of the underlying equity securities on May 31, 2000 have been included under the appropriate equity asset category.
The fund has a below normal allocation to stocks following the steep decline in the prices of small company stocks during March, April and May. Concerns that the strong rate of growth in the U.S. economy would lead to higher inflation rates has resulted in the Federal Reserve Board (the "Fed") increasing short-term interest rates on three occasions during the six-month reporting period. When economic growth failed to slow, investors became concerned that many additional increases by the Fed would be necessary to prevent higher inflation rates. These concerns contributed to the decline in stock prices.
Management has adopted a normal bond position following the rise in bond prices which occurred during the past six months. At the beginning of the reporting period, bond yields were higher because of investor concerns that the rapid rate of growth in the U.S. economy would lead to higher inflation rates. As the Fed continued to increase short-term interest rates in order to slow economic growth, investor concerns diminished. This change in outlook resulted in a reduction in bond yields and higher bond prices.
Within the equity portfolio, the large cap stocks are currently held at above their normal allocations while small cap and foreign stocks are held at below their normal allocations. This allocation contributed to the returns of the fund as large cap stocks had better performance relative to small cap stocks during the latter part of the reporting period. The lower weight on foreign stocks also contributed to returns as the increase in the value of the dollar over the last six months has decreased the returns for U.S. investors in foreign stocks.
MAY 31, 2000 (UNAUDITED)
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--56.6% |
|
|
|
|
|
|
|
LARGE-COMPANY STOCKS--33.5% |
|
|
|
|
|
|
|
Basic Materials--0.7% |
|
|
|
|
|
14,110 |
|
Du Pont (E.I.) de Nemours & Co. |
|
$ |
691,390 |
|
|
6,000 |
|
PPG Industries, Inc. |
|
|
297,375 |
|
|
11,100 |
|
Weyerhaeuser Co. |
|
|
550,837 |
|
|
12,700 |
|
Willamette Industries, Inc. |
|
|
412,750 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,952,352 |
|
|
||||||
|
|
|
|
Capital Goods--2.3% |
|
|
|
|
|
5,700 |
|
Caterpillar, Inc. |
|
|
218,025 |
|
|
6,100 |
|
Eaton Corp. |
|
|
442,631 |
|
|
67,100 |
|
General Electric Co. |
|
|
3,531,137 |
|
|
9,000 |
|
Honeywell International, Inc. |
|
|
492,187 |
|
|
18,200 |
|
Tyco International Ltd. |
|
|
856,537 |
|
|
6,200 |
|
United Technologies Corp. |
|
|
374,712 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
5,915,229 |
|
|
||||||
|
|
|
|
Communication Services--2.8% |
|
|
|
|
|
37,879 |
|
AT&T Corp. |
|
|
1,313,928 |
|
|
9,800 |
|
Alltel Corp. |
|
|
641,287 |
|
|
22,900 |
|
Bell Atlantic Corp. |
|
|
1,210,837 |
|
|
24,000 |
|
BellSouth Corp. |
|
|
1,120,500 |
|
|
12,000 |
|
Comcast Corp., Class A |
|
|
454,500 |
|
|
15,400 |
|
GTE Corp. |
|
|
974,050 |
|
|
4,500 |
1 |
NEXTEL Communications, Inc., Class A |
|
|
416,812 |
|
|
10,000 |
1 |
Sprint PCS Group |
|
|
555,000 |
|
|
7,900 |
|
U.S. West, Inc. |
|
|
568,800 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
7,255,714 |
|
|
||||||
|
|
|
|
Consumer Cyclicals--2.4% |
|
|
|
|
|
6,900 |
1 |
Convergys Corp. |
|
|
310,069 |
|
|
8,500 |
|
Costco Wholesale Corp. |
|
|
271,469 |
|
|
17,700 |
|
Ford Motor Co. |
|
|
859,556 |
|
|
10,000 |
|
General Motors Corp. |
|
|
706,250 |
|
|
20,400 |
|
Home Depot, Inc. |
|
|
995,775 |
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
LARGE-COMPANY STOCKS--continued |
|
|
|
|
|
|
|
Consumer Cyclicals--continued |
|
|
|
|
|
11,600 |
|
Knight-Ridder, Inc. |
|
$ |
614,800 |
|
|
6,700 |
|
Target Corp. |
|
|
420,006 |
|
|
36,400 |
|
Wal-Mart Stores, Inc. |
|
|
2,097,550 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
6,275,475 |
|
|
||||||
|
|
|
|
Consumer Staples--2.7% |
|
|
|
|
|
7,700 |
1 |
Clear Channel Communications, Inc. |
|
|
576,538 |
|
|
18,800 |
|
Coca-Cola Co. |
|
|
1,003,450 |
|
|
8,400 |
|
Dial Corp. |
|
|
119,700 |
|
|
9,100 |
|
Gillette Co. |
|
|
303,712 |
|
|
9,700 |
|
Kimberly-Clark Corp. |
|
|
586,850 |
|
|
11,300 |
|
PepsiCo, Inc. |
|
|
459,769 |
|
|
24,800 |
|
Philip Morris Cos., Inc. |
|
|
647,900 |
|
|
12,000 |
|
Procter & Gamble Co. |
|
|
798,000 |
|
|
12,408 |
1 |
Viacom, Inc., Class B |
|
|
769,296 |
|
|
17,900 |
|
Walgreen Co. |
|
|
507,912 |
|
|
33,100 |
|
Walt Disney Co. |
|
|
1,396,406 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
7,169,533 |
|
|
||||||
|
|
|
|
Energy--2.8% |
|
|
|
|
|
15,000 |
|
Ashland, Inc. |
|
|
524,062 |
|
|
9,400 |
|
Chevron Corp. |
|
|
868,912 |
|
|
8,230 |
|
Conoco, Inc., Class B |
|
|
234,555 |
|
|
36,252 |
|
Exxon Mobil Corp. |
|
|
3,020,245 |
|
|
5,000 |
|
Halliburton Co. |
|
|
255,000 |
|
|
20,200 |
|
Royal Dutch Petroleum Co., ADR |
|
|
1,261,238 |
|
|
8,400 |
|
Schlumberger Ltd. |
|
|
617,925 |
|
|
10,800 |
|
Texaco, Inc. |
|
|
620,325 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
7,402,262 |
|
|
||||||
|
|
|
|
Financials--5.5% |
|
|
|
|
|
19,900 |
|
Allstate Corp. |
|
|
527,350 |
|
|
14,800 |
|
American Express Co. |
|
|
796,425 |
|
|
13,032 |
|
American International Group, Inc. |
|
|
1,466,914 |
|
|
22,918 |
|
Bank of America Corp. |
|
|
1,273,381 |
|
|
10,900 |
|
Chase Manhattan Corp. |
|
|
814,094 |
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
LARGE-COMPANY STOCKS--continued |
|
|
|
|
|
|
|
Financials--continued |
|
|
|
|
|
43,175 |
|
Citigroup, Inc. |
|
$ |
2,684,945 |
|
|
12,000 |
|
Fannie Mae |
|
|
721,500 |
|
|
17,500 |
|
First Union Corp. |
|
|
615,781 |
|
|
14,429 |
|
Fleet Boston Financial Corp. |
|
|
545,596 |
|
|
5,500 |
|
Loews Corp. |
|
|
362,312 |
|
|
12,600 |
|
Mellon Financial Corp. |
|
|
485,887 |
|
|
5,500 |
|
Merrill Lynch & Co., Inc. |
|
|
542,437 |
|
|
15,900 |
|
Morgan Stanley Dean Witter & Co. |
|
|
1,143,806 |
|
|
7,500 |
|
PNC Bank Corp. |
|
|
377,812 |
|
|
14,700 |
|
Post Properties, Inc. |
|
|
644,962 |
|
|
11,400 |
|
Schwab (Charles) Corp. |
|
|
327,750 |
|
|
23,400 |
|
U.S. Bancorp |
|
|
608,400 |
|
|
14,172 |
|
Washington Mutual, Inc. |
|
|
407,445 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
14,346,797 |
|
|
||||||
|
|
|
|
Health Care--3.7% |
|
|
|
|
|
15,000 |
|
Abbott Laboratories |
|
|
610,312 |
|
|
9,200 |
1 |
Amgen, Inc. |
|
|
585,350 |
|
|
6,100 |
|
Baxter International, Inc. |
|
|
405,650 |
|
|
16,500 |
|
Bristol-Myers Squibb Co. |
|
|
908,531 |
|
|
10,300 |
|
Johnson & Johnson |
|
|
921,850 |
|
|
9,100 |
|
Lilly (Eli) & Co. |
|
|
692,737 |
|
|
11,100 |
|
Medtronic, Inc. |
|
|
573,037 |
|
|
17,600 |
|
Merck & Co., Inc. |
|
|
1,313,400 |
|
|
30,100 |
|
Pfizer, Inc. |
|
|
1,341,331 |
|
|
20,527 |
|
Pharmacia Corp. |
|
|
1,066,121 |
|
|
13,800 |
|
Schering Plough Corp. |
|
|
667,575 |
|
|
6,300 |
|
Warner-Lambert Co. |
|
|
769,387 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
9,855,281 |
|
|
||||||
|
|
|
|
Technology--10.0% |
|
|
|
|
|
19,500 |
1 |
America Online, Inc. |
|
|
331,033,500 |
|
|
8,600 |
1 |
Applied Materials, Inc. |
|
|
718,100 |
|
|
12,000 |
|
Automatic Data Processing, Inc. |
|
|
659,250 |
|
|
55,400 |
1 |
Cisco Systems, Inc. |
|
|
3,154,338 |
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
LARGE-COMPANY STOCKS--continued |
|
|
|
|
|
|
|
Technology--continued |
|
|
|
|
|
21,400 |
|
Compaq Computer Corp. |
|
$ |
561,750 |
|
|
9,700 |
|
Computer Associates International, Inc. |
|
|
499,550 |
|
|
15,000 |
1 |
Compuware Corp. |
|
|
152,812 |
|
|
3,660 |
|
Corning, Inc. |
|
|
707,982 |
|
|
22,900 |
1 |
Dell Computer Corp. |
|
|
987,562 |
|
|
9,500 |
1 |
EMC Corp. Mass |
|
|
1,104,969 |
|
|
6,800 |
|
Eastman Kodak Co. |
|
|
406,300 |
|
|
7,100 |
|
Electronic Data Systems Corp. |
|
|
456,619 |
|
|
14,400 |
|
First Data Corp. |
|
|
807,300 |
|
|
8,500 |
|
Hewlett-Packard Co. |
|
|
1,021,062 |
|
|
26,200 |
|
Intel Corp. |
|
|
3,266,812 |
|
|
15,400 |
|
International Business Machines Corp |
|
|
1,652,612 |
|
|
24,490 |
|
Lucent Technologies, Inc. |
|
|
1,405,114 |
|
|
24,300 |
1 |
Microsoft Corp. |
|
|
1,520,269 |
|
|
7,000 |
|
Motorola, Inc. |
|
|
656,250 |
|
|
12,900 |
|
Nortel Networks Corp. |
|
|
700,631 |
|
|
23,600 |
1 |
Oracle Corp. |
|
|
1,696,250 |
|
|
6,600 |
1 |
Qualcomm, Inc. |
|
|
438,075 |
|
|
14,800 |
1 |
Sun Microsystems, Inc. |
|
|
1,134,050 |
|
|
15,200 |
|
Texas Instruments, Inc. |
|
|
1,098,200 |
|
|
4,200 |
1 |
Yahoo, Inc. |
|
|
474,862 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
26,314,219 |
|
|
||||||
|
|
|
|
Transportation--0.2% |
|
|
|
|
|
13,300 |
|
Union Pacific Corp. |
|
|
562,756 |
|
|
||||||
|
|
|
|
Utilities--0.4% |
|
|
|
|
|
8,600 |
|
Enron Corp. |
|
|
626,725 |
|
|
14,000 |
|
Reliant Energy, Inc. |
|
|
399,000 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,025,725 |
|
|
||||||
|
|
|
|
TOTAL LARGE-COMPANY STOCKS |
|
|
88,075,343 |
|
|
||||||
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
SMALL-COMPANY STOCKS--3.6% |
|
|
|
|
|
|
|
Basic Materials--0.1% |
|
|
|
|
|
3,600 |
|
Cambrex Corp. |
|
$ |
151,650 |
|
|
3,200 |
1 |
International Fibercom, Inc. |
|
|
45,800 |
|
|
1,400 |
1 |
Stillwater Mining Co. |
|
|
39,287 |
|
|
3,200 |
|
USX-U.S. Steel Group, Inc. |
|
|
72,200 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
308,937 |
|
|
||||||
|
|
|
|
Capital Goods--0.5% |
|
|
|
|
|
2,500 |
|
Applied Power, Inc., Class A |
|
|
69,219 |
|
|
2,000 |
|
C&D Technologies, Inc. |
|
|
145,000 |
|
|
1,700 |
|
Carlisle Cos., Inc. |
|
|
70,656 |
|
|
1,100 |
1 |
Cognex Corp. |
|
|
59,469 |
|
|
2,425 |
1 |
Dycom Industries, Inc. |
|
|
117,461 |
|
|
3,600 |
1 |
Excel Technology, Inc. |
|
|
113,400 |
|
|
3,700 |
|
Federal Signal Corp. |
|
|
71,456 |
|
|
1,700 |
|
Harman International Industries, Inc. |
|
|
98,387 |
|
|
1,600 |
1 |
Kemet Corp. |
|
|
107,500 |
|
|
333 |
1 |
RailAmerica, Inc. |
|
|
1,748 |
|
|
2,000 |
1 |
Shaw Group, Inc. |
|
|
87,250 |
|
|
4,000 |
|
Spartech Corp. |
|
|
118,500 |
|
|
4,500 |
1 |
Terex Corp. |
|
|
71,719 |
|
|
800 |
1 |
Three-Five Systems, Inc. |
|
|
50,200 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,181,965 |
|
|
||||||
|
|
|
|
Communication Services--0.1% |
|
|
|
|
|
2,200 |
1 |
Adelphia Business Solutions, Inc. |
|
|
48,950 |
|
|
1,000 |
1 |
AirGate PCS, Inc. |
|
|
30,187 |
|
|
4,600 |
1 |
Alaska Communications Systems Holdings, Inc. |
|
|
59,225 |
|
|
1,800 |
1 |
MGC Communications, Inc. |
|
|
73,800 |
|
|
1,700 |
1 |
TeleCorp PCS, Inc. |
|
|
51,637 |
|
|
1,000 |
1 |
Time Warner Telecom, Inc. |
|
|
56,000 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
319,799 |
|
|
||||||
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
SMALL-COMPANY STOCKS--continued |
|
|
|
|
|
|
|
Consumer Cyclicals--0.3% |
|
|
|
|
|
3,200 |
|
Centex Corp. |
|
$ |
66,400 |
|
|
900 |
1 |
China.com Corp., Class A |
|
|
21,431 |
|
|
2,100 |
1 |
DigitalThink, Inc. |
|
|
44,100 |
|
|
1,000 |
1 |
Gemstar International Group Ltd. |
|
|
42,438 |
|
|
1,900 |
1 |
Gentex Corp. |
|
|
58,900 |
|
|
2,300 |
|
Hertz Corp., Class A |
|
|
72,019 |
|
|
3,700 |
1 |
Lear Corp. |
|
|
86,719 |
|
|
1,800 |
1 |
Media Metrix, Inc. |
|
|
50,175 |
|
|
2,500 |
1 |
Modem Media, Inc. |
|
|
30,156 |
|
|
2,400 |
1 |
Tech Data Corp. |
|
|
90,150 |
|
|
4,700 |
1 |
Tower Automotive, Inc. |
|
|
65,212 |
|
|
5,000 |
1 |
United Rentals, Inc. |
|
|
81,250 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
708,950 |
|
|
||||||
|
|
|
|
Consumer Staples--0.2% |
|
|
|
|
|
2,200 |
1 |
Andrx Corp. |
|
|
131,175 |
|
|
4,800 |
1 |
Charter Communications, Inc. |
|
|
58,500 |
|
|
2,200 |
1 |
Emmis Communications Corp., Class A |
|
|
75,075 |
|
|
1,900 |
1 |
Patterson Dental Co. |
|
|
96,781 |
|
|
4,525 |
1 |
Tetra Tech, Inc. |
|
|
99,550 |
|
|
1,100 |
1 |
TiVo, Inc. |
|
|
21,312 |
|
|
1,800 |
1 |
XM Satellite Radio Holdings, Inc., Class A |
|
|
54,000 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
536,393 |
|
|
||||||
|
|
|
|
Energy--0.2% |
|
|
|
|
|
500 |
1 |
Atwood Oceanics, Inc. |
|
|
27,344 |
|
|
2,200 |
1 |
Calpine Corp. |
|
|
233,062 |
|
|
3,200 |
1 |
Global Industries Ltd. |
|
|
56,400 |
|
|
2,800 |
1 |
Newfield Exploration Co. |
|
|
117,250 |
|
|
2,400 |
1 |
Petroleum Geo-Services ADR |
|
|
45,750 |
|
|
2,400 |
1 |
Pride International, Inc. |
|
|
61,050 |
|
|
1,600 |
1 |
Tuboscope, Inc. |
|
|
34,800 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
575,656 |
|
|
||||||
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
SMALL-COMPANY STOCKS--continued |
|
|
|
|
|
|
|
Financials--0.2% |
|
|
|
|
|
3,800 |
1 |
Affiliated Managers Group |
|
$ |
127,300 |
|
|
4,500 |
|
Amex Financial Select Standard & Poor Depository Receipt |
|
|
112,711 |
|
|
3,000 |
1 |
Intercept Group, Inc. |
|
|
52,125 |
|
|
2,500 |
|
Jefferies Group, Inc. |
|
|
50,469 |
|
|
1,300 |
1 |
Pinnacle Holdings, Inc. |
|
|
63,700 |
|
|
600 |
|
SEI Investments Co. |
|
|
84,094 |
|
|
1,100 |
|
Southwest Securities Group, Inc. |
|
|
31,900 |
|
|
1,800 |
|
Technology Select Sector Standard & Poor Depository Receipt Fund |
|
|
88,875 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
611,174 |
|
|
||||||
|
|
|
|
Health Care--0.3% |
|
|
|
|
|
200 |
1 |
Affymetrix, Inc. |
|
|
23,750 |
|
|
1,200 |
1 |
Celgene Corp. |
|
|
44,100 |
|
|
1,700 |
1 |
Cephalon, Inc. |
|
|
87,975 |
|
|
1,300 |
1 |
Cubist Pharmaceuticals, Inc. |
|
|
37,212 |
|
|
300 |
1 |
Human Genome Sciences, Inc. |
|
|
26,325 |
|
|
1,875 |
|
Jones Pharma, Inc. |
|
|
68,320 |
|
|
480 |
1 |
Medimmune, Inc. |
|
|
74,580 |
|
|
1,000 |
1 |
Millennium Pharmaceuticals, Inc. |
|
|
83,625 |
|
|
700 |
1 |
MiniMed, Inc. |
|
|
83,650 |
|
|
5,600 |
|
Omnicare, Inc. |
|
|
92,400 |
|
|
2,000 |
1 |
Sybron International Corp. |
|
|
63,375 |
|
|
800 |
1 |
Techne Corp. |
|
|
63,950 |
|
|
600 |
|
United Therapeutics Corp. |
|
|
38,400 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
787,662 |
|
|
||||||
|
|
|
|
Technology--1.6% |
|
|
|
|
|
700 |
1 |
724 Solutions, Inc. |
|
|
24,850 |
|
|
2,400 |
1 |
ACTV, Inc. |
|
|
29,250 |
|
|
800 |
1 |
Active Software, Inc. |
|
|
28,700 |
|
|
1,200 |
1 |
Adaptive Broadband Corp. |
|
|
31,800 |
|
|
600 |
1 |
Aether Systems, Inc. |
|
|
82,462 |
|
|
2,700 |
1 |
Airnet Communications Corp. |
|
|
39,825 |
|
|
1,200 |
1 |
Alpha Industries, Inc. |
|
|
55,275 |
|
|
1,500 |
1 |
Applied Micro Circuits Corp. |
|
|
148,875 |
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
SMALL-COMPANY STOCKS--continued |
|
|
|
|
|
|
|
Technology--continued |
|
|
|
|
|
800 |
1 |
AudioCodes Ltd. |
|
$ |
58,450 |
|
|
900 |
1 |
Avanex Corp. |
|
|
61,200 |
|
|
2,300 |
1 |
Broadvision, Inc. |
|
|
82,369 |
|
|
1,800 |
1 |
Burr Brown Corp. |
|
|
102,487 |
|
|
1,600 |
1 |
Business Objects SA, ADR |
|
|
128,000 |
|
|
1,100 |
1 |
C-Cube Microsystems, Inc. |
|
|
18,906 |
|
|
600 |
1 |
Clarent Corp. |
|
|
25,425 |
|
|
2,000 |
1 |
Comverse Technology, Inc. |
|
|
182,750 |
|
|
500 |
1 |
Concentric Network Corp. |
|
|
22,375 |
|
|
1,450 |
1 |
Conexant Systems, Inc. |
|
|
54,556 |
|
|
800 |
1 |
Cree Research, Inc. |
|
|
97,187 |
|
|
1,600 |
1 |
Crossroads Systems, Inc. |
|
|
63,800 |
|
|
1,200 |
1 |
Cypress Semiconductor Corp. |
|
|
50,475 |
|
|
800 |
1 |
Digital Lightwave, Inc. |
|
|
43,950 |
|
|
500 |
1 |
E-Tek Dynamics, Inc. |
|
|
91,906 |
|
|
600 |
1 |
E.piphany, Inc. |
|
|
46,875 |
|
|
1,100 |
1 |
Extreme Networks, Inc. |
|
|
53,762 |
|
|
1,000 |
1 |
F5 Networks, Inc. |
|
|
32,250 |
|
|
4,500 |
|
FactSet Research Systems |
|
|
115,875 |
|
|
2,400 |
1 |
Finisar Corp. |
|
|
53,550 |
|
|
1,700 |
1 |
Firepond, Inc. |
|
|
28,900 |
|
|
1,000 |
1 |
GlobeSpan, Inc. |
|
|
88,375 |
|
|
1,596 |
1 |
Harmonic Lightwaves, Inc. |
|
|
71,321 |
|
|
5,200 |
1 |
IGATE Capital Corp. |
|
|
81,575 |
|
|
1,350 |
|
Interlink Electronics, Inc. |
|
|
29,109 |
|
|
4,400 |
1 |
Internet Pictures Corp. |
|
|
44,000 |
|
|
1,100 |
1 |
Keynote Systems, Inc. |
|
|
38,294 |
|
|
1,400 |
1 |
Lattice Semiconductor Corp. |
|
|
83,037 |
|
|
1,200 |
1 |
Liberate Technologies, Inc. |
|
|
27,975 |
|
|
900 |
1 |
MCK Communications, Inc. |
|
|
20,925 |
|
|
2,400 |
1 |
Mercury Interactive Corp. |
|
|
203,400 |
|
|
1,900 |
|
Methode Electronics, Inc., Class A |
|
|
68,162 |
|
|
1,800 |
1 |
Micrel, Inc. |
|
|
114,750 |
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
SMALL-COMPANY STOCKS--continued |
|
|
|
|
|
|
|
Technology--continued |
|
|
|
|
|
1,400 |
1 |
National Instruments Corp. |
|
$ |
50,925 |
|
|
2,500 |
1 |
Netro Corp. |
|
|
74,688 |
|
|
3,100 |
1 |
Oak Technology, Inc. |
|
|
45,725 |
|
|
1,700 |
1 |
Orbotech Ltd. |
|
|
143,650 |
|
|
1,300 |
1 |
Packeteer, Inc. |
|
|
16,819 |
|
|
2,800 |
1 |
Paradyne Networks, Inc. |
|
|
78,750 |
|
|
600 |
1 |
Phone.com, Inc. |
|
|
41,962 |
|
|
1,300 |
1 |
Photon Dynamics, Inc. |
|
|
78,406 |
|
|
1,100 |
1 |
Puma Technology, Inc. |
|
|
24,200 |
|
|
2,500 |
1 |
Qlogic Corp. |
|
|
122,812 |
|
|
700 |
1 |
Quantum Effect Devices, Inc. |
|
|
28,306 |
|
|
700 |
1 |
RF Micro Devices, Inc. |
|
|
73,500 |
|
|
1,200 |
1 |
RSA Security, Inc. |
|
|
69,075 |
|
|
400 |
1 |
SDL, Inc. |
|
|
90,625 |
|
|
700 |
1 |
Sandisk Corp. |
|
|
40,687 |
|
|
1,800 |
1 |
Semtech Corp. |
|
|
100,350 |
|
|
1,050 |
1 |
Sierra Wireless, Inc. |
|
|
31,554 |
|
|
1,800 |
1 |
Tibco Software, Inc. |
|
|
100,125 |
|
|
2,800 |
1 |
Varian Semiconductor Equipment Associates, Inc. |
|
|
133,525 |
|
|
2,400 |
1 |
Virata Corp. |
|
|
99,000 |
|
|
1,500 |
1 |
Zoran Corp. |
|
|
58,875 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
4,230,567 |
|
|
||||||
|
|
|
|
Transportation--0.0% |
|
|
|
|
|
2,200 |
|
USFreightways Corp. |
|
|
60,363 |
|
|
2,300 |
1 |
Yellow Corp. |
|
|
37,663 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
98,026 |
|
|
||||||
|
|
|
|
Utilities--0.1% |
|
|
|
|
|
2,100 |
|
Avista Corp. |
|
|
46,988 |
|
|
3,000 |
|
Utilicorp United, Inc. |
|
|
58,875 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
105,863 |
|
|
||||||
|
|
|
|
TOTAL SMALL-COMPANY STOCKS |
|
|
9,464,992 |
|
|
||||||
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
FOREIGN EQUITY--11.9% |
|
|
|
|
|
|
|
Australia--0.2% |
|
|
|
|
|
32,500 |
|
Erg Ltd. |
|
$ |
153,675 |
|
|
7,300 |
|
News Corp., Ltd. |
|
|
82,570 |
|
|
5,600 |
|
News Corp. Ltd., ADR |
|
|
255,150 |
|
|
135,800 |
|
PowerLan Ltd. |
|
|
84,520 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
575,915 |
|
|
||||||
|
|
|
|
Belgium--0.1% |
|
|
|
|
|
6,300 |
1 |
Lernout and Hauspie Speech Products NV |
|
|
263,419 |
|
|
||||||
|
|
|
|
Brazil--0.0% |
|
|
|
|
|
4,800 |
|
Unibanco Uniao de Bancos Brasileiros SA, ADR |
|
|
116,100 |
|
|
||||||
|
|
|
|
Canada--0.4% |
|
|
|
|
|
2,300 |
1 |
C-MAC Industries, Inc. |
|
|
87,830 |
|
|
6,700 |
|
Descartes Systems Group Inc. (Legend) |
|
|
185,627 |
|
|
4,100 |
|
Nortel Networks Corp. |
|
|
218,289 |
|
|
9,750 |
|
Quebecor World, Inc. |
|
|
229,446 |
|
|
5,400 |
1 |
Rogers Communications, Inc., Class B |
|
|
141,138 |
|
|
8,000 |
|
Talisman Energy, Inc. |
|
|
256,359 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,118,689 |
|
|
||||||
|
|
|
|
China--0.0% |
|
|
|
|
|
225,000 |
|
Shanghai Petrochemical Co., Ltd., Class H |
|
|
27,720 |
|
|
201,000 |
|
Yanzhou Coal Mining Co., Class H |
|
|
35,597 |
|
|
424,000 |
|
Zhejiang Expressway Co., Ltd. |
|
|
54,413 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
117,730 |
|
|
||||||
|
|
|
|
Denmark--0.1% |
|
|
|
|
|
3,800 |
|
Tele Danmark AS |
|
|
268,311 |
|
|
||||||
|
|
|
|
Finland--0.5% |
|
|
|
|
|
26,800 |
|
JOT Automation Group Oyj |
|
|
157,019 |
|
|
13,320 |
|
Nokia Oyj |
|
|
693,421 |
|
|
2,500 |
|
Nokia Oyj, ADR, Class A |
|
|
130,000 |
|
|
6,200 |
1 |
Perlos OYJ |
|
|
222,695 |
|
|
500 |
1 |
Satama Interactive Oyj |
|
|
2,416 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,205,551 |
|
|
||||||
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
FOREIGN EQUITY--continued |
|
|
|
|
|
|
|
France--2.6% |
|
|
|
|
|
1,700 |
|
AXA |
|
$ |
250,590 |
|
|
3,000 |
|
Accor SA |
|
|
121,470 |
|
|
21,750 |
|
Alcatel |
|
|
1,203,295 |
|
|
965 |
|
Bouygues SA |
|
|
597,797 |
|
|
200 |
|
Canal Plus |
|
|
38,064 |
|
|
3,540 |
|
Carrefour SA |
|
|
250,505 |
|
|
2,550 |
|
Casino Ord |
|
|
227,197 |
|
|
540 |
|
Christian Dior SA |
|
|
123,429 |
|
|
3,200 |
|
Compagnie de Saint Gobain |
|
|
446,323 |
|
|
1,000 |
|
France Telecom SA |
|
|
146,007 |
|
|
1,300 |
|
Lagardere S.C.A. |
|
|
90,963 |
|
|
300 |
1 |
Liberty Surf Group SA |
|
|
9,572 |
|
|
1,335 |
|
M6 Metropole Television |
|
|
758,502 |
|
|
1,700 |
|
Pinault-Printemps-Redoute SA |
|
|
365,894 |
|
|
4,775 |
|
STMicroelectronics N.V. |
|
|
284,664 |
|
|
6,126 |
|
Total Fina SA, Class B |
|
|
965,306 |
|
|
4,700 |
|
Valeo SA |
|
|
238,098 |
|
|
7,500 |
|
Vivendi SA |
|
|
804,669 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
6,922,345 |
|
|
||||||
|
|
|
|
Germany, Federal Republic of--0.8% |
|
|
|
|
|
110 |
1 |
ADVA AG Optical Networking |
|
|
58,496 |
|
|
7,800 |
|
Bayerische Motoren Werke AG (BMW) |
|
|
237,230 |
|
|
9,100 |
|
Continental AG |
|
|
168,099 |
|
|
1,350 |
1 |
Epcos AG |
|
|
164,803 |
|
|
400 |
1 |
GFK AG |
|
|
16,308 |
|
|
2,300 |
1 |
Infineon Technologies AG |
|
|
150,419 |
|
|
700 |
|
Intershop Communications AG |
|
|
282,777 |
|
|
2,200 |
1 |
Medion AG |
|
|
201,144 |
|
|
80 |
|
Porsche Vorzug |
|
|
209,429 |
|
|
1,590 |
|
Schering AG |
|
|
238,381 |
|
|
900 |
|
Siemens AG |
|
|
132,002 |
|
|
8,980 |
1 |
Thyssen Krupp AG |
|
|
153,315 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
2,012,403 |
|
|
||||||
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
FOREIGN EQUITY--continued |
|
|
|
|
|
|
|
Hong Kong--0.2% |
|
|
|
|
|
165,500 |
|
Amoy Properties Ltd. |
|
$ |
98,231 |
|
|
380,000 |
|
Beijing Datang Power |
|
|
58,032 |
|
|
67,000 |
|
Brilliance China Automotive Holdings Ltd. |
|
|
10,490 |
|
|
84,000 |
|
Cosco Pacific Ltd. |
|
|
62,524 |
|
|
28,900 |
|
Television Broadcasts Ltd. |
|
|
187,295 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
416,572 |
|
|
||||||
|
|
|
|
India--0.0% |
|
|
|
|
|
1,800 |
|
NIIT Limited Demat Shares |
|
|
79,557 |
|
|
||||||
|
|
|
|
Israel--0.0% |
|
|
|
|
|
1,600 |
1 |
Geo Interactive Media Group PLC |
|
|
14,370 |
|
|
||||||
|
|
|
|
Italy--0.2% |
|
|
|
|
|
22,700 |
|
Arn Mondadori Edit |
|
|
522,037 |
|
|
||||||
|
|
|
|
Japan--1.6% |
|
|
|
|
|
18,000 |
|
Amada Co. |
|
|
155,425 |
|
|
16,000 |
|
Asahi Glass Co., Ltd. |
|
|
148,405 |
|
|
5,000 |
|
Canon, Inc. |
|
|
230,259 |
|
|
23 |
|
DDI Corp. |
|
|
234,901 |
|
|
9,900 |
|
Daiwabo Information System Co., Ltd. |
|
|
153,503 |
|
|
11,000 |
|
Fuji Oil Co., Ltd. |
|
|
93,858 |
|
|
1,500 |
|
Hirose Electric Co. |
|
|
210,157 |
|
|
4,000 |
|
Katokichi Co. |
|
|
100,274 |
|
|
3,800 |
|
Kyocera Corp. |
|
|
630,834 |
|
|
16,000 |
|
NEC Corp. |
|
|
405,552 |
|
|
10,000 |
|
Nippon Electric Glass Co., Ltd. |
|
|
184,950 |
|
|
60 |
|
Nippon TV Network Corp. |
|
|
41,168 |
|
|
120 |
1 |
Nippon TV Network Corp. (New Shares) |
|
|
79,773 |
|
|
17 |
|
Nippon Telegraph & Telephone Corp. |
|
|
202,033 |
|
|
1,000 |
|
Ono Pharmaceutical Co., Ltd. |
|
|
36,210 |
|
|
5,200 |
|
Sony Corp. |
|
|
470,730 |
|
|
4,000 |
|
Taiyo Yuden Co. |
|
|
303,793 |
|
|
9,000 |
|
Tokyo Electric Power Co. |
|
|
224,781 |
|
|
11,000 |
|
Tostem Corp. |
|
|
181,282 |
|
|
20,000 |
|
Yamaha Motor Co. |
|
|
169,909 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
4,257,797 |
|
|
||||||
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
FOREIGN EQUITY--continued |
|
|
|
|
|
|
|
Korea, Republic of--0.3% |
|
|
|
|
|
8,950 |
|
Hyundai Electronics Industries Co. |
|
$ |
139,460 |
|
|
22,146 |
|
Korea Data Systems |
|
|
105,877 |
|
|
750 |
|
SK Telecom Co., Ltd. |
|
|
255,644 |
|
|
1,200 |
|
Samsung Electronics Co. |
|
|
327,224 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
828,205 |
|
|
||||||
|
|
|
|
Mexico--0.1% |
|
|
|
|
|
2,700 |
|
Telefonos de Mexico, Class L, ADR |
|
|
131,456 |
|
|
||||||
|
|
|
|
Netherlands--1.1% |
|
|
|
|
|
3,450 |
|
ASM International NV |
|
|
93,663 |
|
|
14,775 |
1 |
ASM Lithography Holding NV |
|
|
543,930 |
|
|
11,750 |
1 |
BE Semiconductor Industries NV |
|
|
187,453 |
|
|
7,300 |
|
Koninklijke Ahold NV |
|
|
206,359 |
|
|
27,630 |
|
Koninklijke (Royal) Philips Electronics NV |
|
|
1,233,707 |
|
|
9,800 |
|
Laurus NV |
|
|
99,658 |
|
|
500 |
|
OpenTV Corp., ADR |
|
|
22,625 |
|
|
4,900 |
|
Unique International NV |
|
|
125,029 |
|
|
5,100 |
1 |
United Pan-Europe Communications NV |
|
|
132,131 |
|
|
7,850 |
|
Vendex KBB NV |
|
|
139,882 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
2,784,437 |
|
|
||||||
|
|
|
|
Norway--0.0% |
|
|
|
|
|
4,950 |
|
Tomra Systems ASA |
|
|
104,517 |
|
|
||||||
|
|
|
|
Philippines--0.0% |
|
|
|
|
|
50 |
1 |
Filinvest Land, Inc. |
|
|
2 |
|
|
||||||
|
|
|
|
Portugal--0.5% |
|
|
|
|
|
21,000 |
|
Banco Pinto & Sotto Mayor |
|
|
474,125 |
|
|
62,500 |
|
Banco Portugues do Atlantico |
|
|
240,235 |
|
|
17,000 |
|
Portugal Telecom SA |
|
|
185,564 |
|
|
17,500 |
|
Telecel - Comunicacoes Pessoais SA |
|
|
284,083 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,184,007 |
|
|
||||||
|
Shares |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
FOREIGN EQUITY--continued |
|
|
|
|
|
|
|
Singapore--0.3% |
|
|
|
|
|
14,000 |
|
Chartered Semiconductor Manufacturing Ltd. |
|
$ |
133,268 |
|
|
114,000 |
|
Delgro Corporation Ltd. |
|
|
267,020 |
|
|
21,000 |
1 |
ST Assembly Test Services Ltd. |
|
|
62,394 |
|
|
18,300 |
|
Singapore Press Holdings Ltd. |
|
|
275,553 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
738,235 |
|
|
||||||
|
|
|
|
Spain--0.5% |
|
|
|
|
|
2,550 |
|
Grupo Empresarial Ence SA |
|
|
47,105 |
|
|
1,800 |
1 |
Sogecable SA |
|
|
66,585 |
|
|
23,158 |
|
Telefonica SA |
|
|
475,316 |
|
|
29,000 |
|
Union Electrica Fenosa |
|
|
604,691 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,193,697 |
|
|
||||||
|
|
|
|
Sweden--0.5% |
|
|
|
|
|
19,700 |
|
Gambro AB, Class A |
|
|
146,917 |
|
|
2,650 |
1 |
Modern Times Group, Class B |
|
|
118,725 |
|
|
132,000 |
|
Rotternos AB |
|
|
135,174 |
|
|
9,500 |
|
SKF AB |
|
|
173,948 |
|
|
32,100 |
|
Telefonaktiebolaget LM Ericsson |
|
|
652,076 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,226,840 |
|
|
||||||
|
|
|
|
Switzerland--0.2% |
|
|
|
|
|
44 |
1 |
Kudelski SA |
|
|
489,396 |
|
|
1,100 |
|
UBS AG |
|
|
148,415 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
637,811 |
|
|
||||||
|
|
|
|
Taiwan, Province of China--0.0% |
|
|
|
|
|
704 |
1 |
Taiwan Semiconductor Manufacturing Co., ADR |
|
|
24,860 |
|
|
||||||
|
|
|
|
United Kingdom--1.7% |
|
|
|
|
|
1,325 |
1 |
ARM Holdings PLC, ADR |
|
|
34,284 |
|
|
21,900 |
|
BAA PLC |
|
|
159,971 |
|
|
32,996 |
|
BP Amoco PLC |
|
|
300,538 |
|
|
30,200 |
|
Bass PLC |
|
|
330,447 |
|
|
73,400 |
|
British Aerospace PLC |
|
|
460,899 |
|
|
11,893 |
|
British Telecommunication PLC |
|
|
172,502 |
|
|
29,600 |
|
CMG PLC |
|
|
413,382 |
|
|
25,300 |
|
Cable & Wireless PLC |
|
|
422,254 |
|
Shares or |
|
|
|
Value in |
||
|
|
|
|
STOCKS--continued |
|
|
|
|
|
|
|
FOREIGN EQUITY--continued |
|
|
|
|
|
|
|
United Kingdom--continued |
|
|
|
|
|
24,100 |
1 |
Cable & Wireless Communications PLC |
|
$ |
400,422 |
|
|
60,550 |
|
Diageo PLC |
|
|
518,428 |
|
|
2,500 |
1 |
Energis PLC |
|
|
95,050 |
|
|
800 |
|
Pace Micro Technology PLC |
|
|
10,897 |
|
|
17,329 |
|
Prudential Corp. PLC |
|
|
262,372 |
|
|
6,700 |
|
Railtrack Group PLC |
|
|
84,243 |
|
|
6,400 |
|
Reckitt Benckiser PLC |
|
|
70,220 |
|
|
34,100 |
|
Royal Bank of Scotland PLC, Edinburgh |
|
|
561,468 |
|
|
33,100 |
|
Ti Group PLC |
|
|
183,319 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
4,480,696 |
|
|
||||||
|
|
|
|
United States--0.0% |
|
|
|
|
|
1,000 |
1 |
Infonet Services Corp., Class B |
|
|
11,500 |
|
|
900 |
1 |
ST Assembly Test Services Ltd., ADR |
|
|
27,788 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
39,288 |
|
|
||||||
|
|
|
|
TOTAL FOREIGN EQUITY |
|
|
31,264,847 |
|
|
||||||
|
|
|
|
FUTURES CONTRACTS COLLATERAL--7.6%2 |
|
|
|
|
$ |
20,050,000 |
|
United States Treasury Bill, 6/15/2000 |
|
|
20,017,319 |
|
|
||||||
|
|
|
|
TOTAL STOCKS (IDENTIFIED COST $147,077,108) |
|
|
148,822,501 |
|
|
||||||
|
|
|
|
BONDS--45.2% |
|
|
|
|
|
|
|
TREASURY AND GOVERNMENT SECURITIES--19.7% |
|
|
|
|
|
|
|
Repurchase Agreement--10.5%3 |
|
|
|
|
|
27,765,000 |
|
Societe Generale, New York, 6.370%, dated 5/31/2000, due 6/1/2000 (at amortized cost) |
|
|
27,765,000 |
|
|
||||||
|
|
|
|
U.S. Treasury Securities--9.2% |
|
|
|
|
|
4,800,000 |
|
United States Treasury Bond, 8.875%, 8/15/2017 |
|
|
6,009,600 |
|
|
493,000 |
|
United States Treasury Note, 5.750%, 8/15/2003 |
|
|
480,113 |
|
|
10,880,000 |
|
United States Treasury Note, 6.000%, 8/15/2009 |
|
|
10,608,653 |
|
|
675,000 |
|
United States Treasury Note, 6.250%, 2/15/2003 |
|
|
666,900 |
|
|
6,405,000 |
|
United States Treasury Note, 6.500%, 10/15/2006 |
|
|
6,385,977 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
24,151,243 |
|
|
||||||
|
|
|
|
TOTAL TREASURY AND GOVERNMENT SECURITIES |
|
|
51,916,243 |
|
|
||||||
|
Principal |
|
|
|
Value in |
||
|
|
|
|
BONDS--continued |
|
|
|
|
|
|
|
HIGH YIELD BONDS--2.0% |
|
|
|
|
$ |
659,483 |
4 |
The High Yield Bond Portfolio (at net asset value) |
|
$ |
5,256,076 |
|
|
||||||
|
|
|
|
MORTGAGE-BACKED SECURITIES--12.1% |
|
|
|
|
|
3,381,908 |
4 |
Federated Mortgage Core Portfolio (at net asset value) |
|
|
31,823,757 |
|
|
||||||
|
|
|
|
INVESTMENT GRADE BONDS--8.3% |
|
|
|
|
|
|
|
Air Transportation--0.2% |
|
|
|
|
|
695,000 |
|
Delta Air Lines, Inc., Sr. Note, 6.65%, 3/15/2004 |
|
|
647,080 |
|
|
||||||
|
|
|
|
Automotive--0.2% |
|
|
|
|
|
205,000 |
|
Arvin Capital, Inc., Company Guarantee, 9.50%, 2/1/2027 |
|
|
188,815 |
|
|
300,000 |
|
Hertz Corp., Note, 7.625%, 8/15/2007 |
|
|
290,586 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
479,401 |
|
|
||||||
|
|
|
|
Banking--0.6% |
|
|
|
|
|
100,000 |
|
City National Bank, Sub. Note, 6.375%, 1/15/2008 |
|
|
86,039 |
|
|
330,000 |
5 |
Den Danske Bank, Note, 7.40% 6/15/2010 |
|
|
322,123 |
|
|
250,000 |
|
National Bank of Canada, Sub. Note, 8.125%, 8/15/2004 |
|
|
253,528 |
|
|
500,000 |
|
Santander Finance Issuances, Bank Guarantee, 7.875%, 4/15/2005 |
|
|
494,080 |
|
|
330,000 |
5 |
Swedbank, Sub., Note, 7.50%, 11/1/2006 |
|
|
302,716 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,458,486 |
|
|
||||||
|
|
|
|
Beverage & Tobacco--0.0% |
|
|
|
|
|
50,000 |
|
Philip Morris Cos., Inc., Deb., 6.00%, 7/15/2001 |
|
|
48,836 |
|
|
||||||
|
|
|
|
Cable Television--0.4% |
|
|
|
|
|
960,000 |
|
Continental Cablevision, Sr. Deb., 9.50%, 8/1/2013 |
|
|
1,032,019 |
|
|
||||||
|
|
|
|
Chemicals & Plastics--0.2% |
|
|
|
|
|
500,000 |
5 |
Bayer Corp., Deb., 6.50%, 10/1/2002 |
|
|
490,450 |
|
|
||||||
|
|
|
|
Education--0.2% |
|
|
|
|
|
500,000 |
|
Boston University, MTN, 7.625%, 7/15/2097 |
|
|
437,630 |
|
|
||||||
|
|
|
|
Electronics--0.3% |
|
|
|
|
|
700,000 |
|
Anixter International, Inc., Company Guarantee, 8.00%, 9/15/2003 |
|
|
666,813 |
|
|
||||||
|
|
|
|
Finance - Automotive--0.3% |
|
|
|
|
|
300,000 |
|
Ford Motor Credit Corp., Note, 6.125%, 4/28/2003 |
|
|
287,676 |
|
|
470,000 |
|
General Motors Acceptance, Sr. Note, 5.75%, 11/10/2003 |
|
|
441,913 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
729,589 |
|
|
||||||
|
Principal |
|
|
|
Value in |
||
|
|
|
|
BONDS--continued |
|
|
|
|
|
|
|
INVESTMENT GRADE BONDS--continued |
|
|
|
|
|
|
|
Finance - Retail--0.0% |
|
|
|
|
$ |
105,000 |
|
Sears Roebuck Acceptance Corp., MTN, 6.56%, 9/05/2000 |
|
$ |
104,874 |
|
|
||||||
|
|
|
|
Financial Intermediaries--1.5% |
|
|
|
|
|
400,000 |
|
Amvescap PLC, Sr. Note, 6.60%, 5/15/2005 |
|
|
370,556 |
|
|
600,000 |
|
Capital One Financial, Note, 7.125%, 8/01/2008 |
|
|
532,260 |
|
|
450,000 |
|
DLJ, Note, 6.875%, 11/1/2005 |
|
|
420,566 |
|
|
375,000 |
|
FINOVA Capital Corp., Note, 7.25%, 11/08/2004 |
|
|
317,344 |
|
|
300,000 |
|
Lehman Brothers Holdings, Bond, 6.20%, 1/15/2002 |
|
|
291,048 |
|
|
250,000 |
|
Lehman Brothers Holdings, Note, 6.90%, 1/29/2001 |
|
|
248,568 |
|
|
300,000 |
|
Lehman Brothers, Inc., Sr. Sub. Note, 7.375%, 1/15/2007 |
|
|
280,785 |
|
|
525,000 |
|
Marsh & McLennan Cos., Sr. Note, 7.125%, 6/15/2009 |
|
|
489,132 |
|
|
970,000 |
|
PaineWebber Group, Inc., Note, 7.625%, 12/01/2009 |
|
|
891,867 |
|
|
150,000 |
|
Salomon, Inc., Note, 7.20%, 2/1/2004 |
|
|
146,693 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
3,988,819 |
|
|
||||||
|
|
|
|
Financial Services--0.4% |
|
|
|
|
|
550,000 |
|
General Electric Capital Corp., Note, 7.00%, 3/01/2002 |
|
|
547,250 |
|
|
550,000 |
|
Morgan Stanley, Dean Witter & Co., Unsecd. Note, 6.875%, 3/01/2003 |
|
|
537,207 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,084,457 |
|
|
||||||
|
|
|
|
Food & Drug Retailers--0.2% |
|
|
|
|
|
450,000 |
|
Kroger Co., Company Guarantee, 7.25%, 6/01/2009 |
|
|
408,623 |
|
|
175,000 |
|
Meyer (Fred), Inc., Company Guarantee, 7.45%, 3/01/2008 |
|
|
162,857 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
571,480 |
|
|
||||||
|
|
|
|
Forest Products--0.2% |
|
|
|
|
|
180,000 |
|
Fort James Corp., Sr. Note, 7.65%, 12/26/2000 |
|
|
180,418 |
|
|
450,000 |
|
Quno Corp., Sr. Note, 9.125%, 5/15/2005 |
|
|
462,159 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
642,577 |
|
|
||||||
|
|
|
|
Health Care--0.2% |
|
|
|
|
|
400,000 |
|
COL HCA Healthcare Corp, Sr. Note, 6.41%, 6/15/2000 |
|
|
401,932 |
|
|
||||||
|
Principal |
|
|
|
Value in |
||
|
|
|
|
BONDS--continued |
|
|
|
|
|
|
|
INVESTMENT GRADE BONDS--continued |
|
|
|
|
|
|
|
Insurance--0.6% |
|
|
|
|
$ |
225,000 |
|
Conseco, Inc., Sr. Note, 10.50%, 12/15/2004 |
|
$ |
172,125 |
|
|
450,000 |
|
Conseco, Inc., Sr. Sub. Note, 10.25%, 6/01/2002 |
|
|
312,750 |
|
|
465,000 |
|
Geico Corp., Deb., 9.15%, 9/15/2021 |
|
|
490,189 |
|
|
450,000 |
|
Provident Cos., Inc., Bond, 7.405%, 3/15/2038 |
|
|
348,611 |
|
|
250,000 |
5 |
USF&G Capital, Company Guarantee 8.312%, 7/1/2046 |
|
|
232,188 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,555,863 |
|
|
||||||
|
|
|
|
Leisure & Entertainment--0.2% |
|
|
|
|
|
450,000 |
|
International Speedway Corp., Company Guarantee 7.875%, 10/15/2004 |
|
|
434,858 |
|
|
100,000 |
|
Viacom, Inc., Sr. Deb., 8.25%, 8/01/2022 |
|
|
94,188 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
529,046 |
|
|
||||||
|
|
|
|
Metals & Mining--0.2% |
|
|
|
|
|
275,000 |
|
Barrick Gold Corp., Deb., 7.50%, 5/1/2007 |
|
|
270,377 |
|
|
250,000 |
|
Santa Fe Pacific Gold, Note, 8.375%, 7/01/2005 |
|
|
243,093 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
513,470 |
|
|
||||||
|
|
|
|
Oil & Gas--0.2% |
|
|
|
|
|
300,000 |
|
Occidental Petroleum Corp., Sr. Note, 6.75%, 11/15/2002 |
|
|
290,289 |
|
|
300,000 |
5 |
Yosemite Trust I, Bond, 8.25%, 11/15/2004 |
|
|
293,985 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
584,274 |
|
|
||||||
|
|
|
|
Printing & Publishing--0.1% |
|
|
|
|
|
360,000 |
|
News America Holdings, Sr. Note, 8.50%, 2/15/2005 |
|
|
359,863 |
|
|
||||||
|
|
|
|
Real Estate--0.0% |
|
|
|
|
|
100,000 |
|
SUSA Partnership, L.P., Deb., 7.50%, 12/1/2027 |
|
|
81,161 |
|
|
||||||
|
|
|
|
Retailers--0.5% |
|
|
|
|
|
400,000 |
|
Harcourt General, Inc., Sr. Note, 6.70%, 8/01/2007 |
|
|
358,164 |
|
|
540,000 |
|
Safeway, Inc., Note, 7.25%, 9/15/2004 |
|
|
524,605 |
|
|
450,000 |
|
Target Corp., Note, 7.50%, 2/15/2005 |
|
|
446,927 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,329,696 |
|
|
||||||
|
|
|
|
Sovereign--0.3% |
|
|
|
|
|
800,000 |
5 |
Korea Development Bank, 7.625%, 10/01/2002 |
|
|
787,347 |
|
|
||||||
|
Principal |
|
|
|
Value in |
||
|
|
|
|
BONDS--continued |
|
|
|
|
|
|
|
INVESTMENT GRADE BONDS--continued |
|
|
|
|
|
|
|
Sovereign Government--0.2% |
|
|
|
|
$ |
535,000 |
|
Colombia, Government of, Note, 7.25%, 2/15/2003 |
|
$ |
465,450 |
|
|
||||||
|
|
|
|
Technology Services--0.3% |
|
|
|
|
|
500,000 |
|
Dell Computer Corp., Deb., 7.10%, 4/15/2028 |
|
|
435,640 |
|
|
275,000 |
|
Unisys Corp., Sr. Note, 11.75%, 10/15/2004 |
|
|
294,938 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
730,578 |
|
|
||||||
|
|
|
|
Telecommunications & Cellular--0.5% |
|
|
|
|
|
800,000 |
|
BellSouth Telecommunications, Note, 6.00%, 6/15/2002 |
|
|
771,488 |
|
|
540,000 |
|
Telecom de Puerto Rico, Note, 6.65%, 5/15/2006 |
|
|
497,875 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,269,363 |
|
|
||||||
|
|
|
|
Utilities--0.3% |
|
|
|
|
|
800,000 |
5 |
Israel Electric Corp., Ltd., Note, 8.25% 10/15/2009 |
|
|
776,568 |
|
|
||||||
|
|
|
|
TOTAL INVESTMENT GRADE BONDS |
|
|
21,767,122 |
|
|
||||||
|
|
|
|
FOREIGN BONDS--3.1% |
|
|
|
|
|
|
|
Belgian Franc--0.1% |
|
|
|
|
|
218,708 |
|
Belgium, Government of, Bond, 6.50%, 3/31/2005 |
|
|
213,552 |
|
|
||||||
|
|
|
|
British Pound--0.1% |
|
|
|
|
|
160,000 |
|
United Kingdom, Government of, Bond, 6.50%, 12/07/2003 |
|
|
242,849 |
|
|
||||||
|
|
|
|
Canadian Dollar--0.4% |
|
|
|
|
|
219,000 |
|
Canada, Government of, Deb., 6.50%, 6/1/2004 |
|
|
147,412 |
|
|
400,000 |
|
Ontario Hydro, 9.00%, 6/24/2002 |
|
|
280,388 |
|
|
87,000,000 |
|
Ontario, Province of, Note, Series EMTN, 1.875%, 1/25/2010 |
|
|
809,410 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,237,210 |
|
|
||||||
|
|
|
|
Danish Krone--0.0% |
|
|
|
|
|
1,000,000 |
|
Denmark, Government of, 5.00%, 8/15/2005 |
|
|
121,034 |
|
|
||||||
|
|
|
|
Deutsche Mark--0.3% |
|
|
|
|
|
43,000,000 |
|
DSL Bank, Note, 2.60%, 7/10/2002 |
|
|
417,113 |
|
|
350,000 |
|
Treuhandanstalt, Foreign Government Guarantee, 6.875%, 6/11/2003 |
|
|
341,977 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
759,090 |
|
|
||||||
|
|
|
|
Finland Markka--0.1% |
|
|
|
|
|
300,000 |
|
Finland, Government of, Bond, 5.75%, 2/23/2011 |
|
|
287,613 |
|
|
||||||
|
Principal |
|
|
|
Value in |
||
|
|
|
|
BONDS--continued |
|
|
|
|
|
|
|
FOREIGN BONDS--continued |
|
|
|
|
|
|
|
Greek Drachma--0.2% |
|
|
|
|
$ |
181,800,000 |
|
Greece, Government of, Floating Rate Note, 10/23/2003 |
|
$ |
523,213 |
|
|
||||||
|
|
|
|
Hungarian Forint--0.0% |
|
|
|
|
|
25,000,000 |
|
Hungary, Government of, Bond, 14.00%, 12/12/2002 |
|
|
97,320 |
|
|
||||||
|
|
|
|
Irish Pound--0.1% |
|
|
|
|
|
360,000 |
|
Ireland, Government of, 3.50%, 10/18/2005 |
|
|
307,717 |
|
|
||||||
|
|
|
|
Italian Lira--0.4% |
|
|
|
|
|
52,000,000 |
|
Italy, Government of, Bond, 1.80%, 2/23/2010 |
|
|
488,063 |
|
|
585,000 |
|
Italy, Government of, Bond, 4.75%, 7/01/2005 |
|
|
531,313 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
1,019,376 |
|
|
||||||
|
|
|
|
Netherlands Guilder--0.3% |
|
|
|
|
|
350,000 |
|
Netherlands, Government, 5.50%, 1/15/2028 |
|
|
325,226 |
|
|
375,000 |
|
Netherlands, Government of, 5.75%, 1/15/2004 |
|
|
356,503 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
681,729 |
|
|
||||||
|
|
|
|
New Zealand Dollar--0.0% |
|
|
|
|
|
150,000 |
|
New Zealand, Government of, Bond, Series 403, 5.50%, 4/15/2003 |
|
|
65,767 |
|
|
||||||
|
|
|
|
Norwegian Krone--0.2% |
|
|
|
|
|
42,000,000 |
|
Eksportfinans, Bond, 1.80%, 6/21/2010 |
|
|
391,666 |
|
|
||||||
|
|
|
|
Polish Zloty--0.2% |
|
|
|
|
|
1,460,000 |
|
Poland, Government of, Bond, 12.00%, 10/12/2003 |
|
|
298,644 |
|
|
850,000 |
|
Poland, Government of, Series 0604, 10.00%, 6/12/2004 |
|
|
163,908 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
462,552 |
|
|
||||||
|
|
|
|
Portugese Escutos--0.1% |
|
|
|
|
|
330,000 |
|
Portugal, Government of, Ot's, 6.625%, 2/23/2007 |
|
|
327,854 |
|
|
||||||
|
|
|
|
South African Rand--0.1% |
|
|
|
|
|
1,250,000 |
|
South African, Government of, 13.50%, 9/15/2015 |
|
|
169,692 |
|
|
||||||
|
|
|
|
Spanish Peseta--0.3% |
|
|
|
|
|
380,000 |
|
Spain, Government of, 6.15%, 1/31/2013 |
|
|
372,147 |
|
|
405,000 |
|
Spain, Government of, Bond, 4.25%, 7/30/2002 |
|
|
371,346 |
|
|
||||||
|
|
|
|
TOTAL |
|
|
743,493 |
|
|
||||||
|
Principal |
|
|
|
Value in |
||
|
|
|
|
BONDS--continued |
|
|
|
|
|
|
|
FOREIGN BONDS--continued |
|
|
|
|
|
|
|
U.S. Dollar--0.2% |
|
|
|
|
$ |
48,000,000 |
|
International Business Machines Corp., Note, 0.90%, 4/14/2003 |
|
$ |
446,401 |
|
|
||||||
|
|
|
|
TOTAL FOREIGN BONDS |
|
|
8,098,128 |
|
|
||||||
|
|
|
|
TOTAL BONDS (IDENTIFIED COST $99,615,450) |
|
|
118,861,326 |
|
|
||||||
|
|
|
|
TOTAL INVESTMENTS (IDENTIFIED COST $246,692,558)6 |
|
$ |
267,683,827 |
|
|
||||||
1 Non-income producing security.
2 The fund purchases index futures contracts to efficiently manage cash flows resulting from shareholder purchases and redemptions, dividends and capital gain payment to shareholders and corporate actions while maintaining exposure to the index and to minimize trading costs. The underlying face amount, at value, of open index futures contracts is $16,980,850 at May 31, 2000.
3 The repurchase agreements are fully collateralized by U.S. Treasury obligations based on market prices at the date of the portfolio. The investment in the repurchase agreement are through participation in joint accounts with other Federated funds.
4 Pursuant to an Exemptive order, the fund may invest in Federated Core Trust (the "Trust") which is also managed by Federated Investment Management Company, the fund's adviser. The Trust is an open-end management investment company registered under the Investment Company Act of 1940 available only to registered investment companies and other institutional investors. High Yield Bond Portfolio and Federated Mortgage Core Portfolio (the "Portfolios") are two series of the Trust. Federated receives no fees on behalf of the Portfolios. Income distributions from the Portfolios are declared daily and paid monthly. Capital gain distributions if any are declared and paid annually and recorded by the fund as capital gains received.
5 Denotes a restricted security which is subject to restrictions on resale under federal securities laws. These securities have been deemed liquid based upon criteria approved by the fund's Board of Trustees. At May 31, 2000, these securities amounted to $3,205,377 which represents 1.2% of net assets.
6 The cost of investments for federal tax purposes amounts to $246,692,558. The net unrealized appreciation of investments on a federal tax basis amounts $20,991,269 which is comprised of $32,575,006 appreciation and $11,583,737 depreciation at May 31, 2000.
Note: The categories of investments are shown as a percentage of net assets ($262,765,019) at May 31, 2000.
The following acronyms are used throughout this portfolio:
|
ADR |
--American Depositary Receipt |
|
MTN |
--Medium Term Note |
See Notes which are an integral part of the Financial Statements
MAY 31, 2000 (UNAUDITED)
|
Assets: |
|
|
|
|
|
|
|
Investments in repurchase agreements |
|
$ |
27,765,000 |
|
|
|
|
Investments in securities |
|
|
239,918,827 |
|
|
|
|
|
||||||
|
Total investments in securities, at value (identified and tax cost $246,692,558) |
|
|
|
|
$ |
267,683,827 |
|
Cash |
|
|
|
|
|
2,068 |
|
Cash denominated in foreign currencies (identified cost $128,288) |
|
|
|
|
|
127,167 |
|
Income receivable |
|
|
|
|
|
1,503,568 |
|
Receivable for investments sold |
|
|
|
|
|
1,563,421 |
|
Receivable for shares sold |
|
|
|
|
|
51,908 |
|
Net receivable for foreign currency exchange contracts |
|
|
|
|
|
1,748 |
|
|
||||||
|
TOTAL ASSETS |
|
|
|
|
|
270,933,707 |
|
|
||||||
|
Liabilities: |
|
|
|
|
|
|
|
Payable for investments purchased |
|
|
7,920,514 |
|
|
|
|
Payable for shares redeemed |
|
|
3,850 |
|
|
|
|
Payable for taxes withheld |
|
|
6,712 |
|
|
|
|
Payable for daily variable margin |
|
|
130,500 |
|
|
|
|
Accrued expenses |
|
|
107,112 |
|
|
|
|
|
||||||
|
TOTAL LIABILITIES |
|
|
|
|
|
8,168,688 |
|
|
||||||
|
Net assets for 20,382,850 shares outstanding |
|
|
|
|
$ |
262,765,019 |
|
|
||||||
|
Net Assets Consist of: |
|
|
|
|
|
|
|
Paid in capital |
|
|
|
|
$ |
228,483,657 |
|
Net unrealized appreciation of investments, translation of assets and liabilities in foreign currency and futures contracts |
|
|
|
|
|
17,799,537 |
|
Accumulated net realized gain on investments, foreign currency transactions and futures contracts |
|
|
|
|
|
15,486,487 |
|
Undistributed net investment income |
|
|
|
|
|
995,338 |
|
|
||||||
|
TOTAL NET ASSETS |
|
|
|
|
$ |
262,765,019 |
|
|
||||||
|
Net Asset Value, Offering Price and Redemption Proceeds Per Share: |
|
|
|
|
|
|
|
Institutional Shares: |
|
|
|
|
|
|
|
$166,563,110 ÷ 12,904,448 shares outstanding |
|
|
|
|
|
$12.91 |
|
|
||||||
|
Select Shares: |
|
|
|
|
|
|
|
$96,201,909 ÷ 7,478,402 shares outstanding |
|
|
|
|
|
$12.86 |
|
|
||||||
See Notes which are an integral part of the Financial Statements
SIX MONTHS ENDED MAY 31, 2000 (UNAUDITED)
|
Investment Income: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Dividends (net of foreign taxes withheld of $26,908) |
|
|
|
|
|
|
|
|
|
$ |
2,179,800 |
|
|
Interest (net of foreign taxes withheld of $956) |
|
|
|
|
|
|
|
|
|
|
2,939,005 |
|
|
|
||||||||||||
|
TOTAL INCOME |
|
|
|
|
|
|
|
|
|
|
5,118,805 |
|
|
|
||||||||||||
|
Expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Investment adviser fee |
|
|
|
|
|
$ |
1,021,505 |
|
|
|
|
|
|
Administrative personnel and services fee |
|
|
|
|
|
|
102,563 |
|
|
|
|
|
|
Custodian fees |
|
|
|
|
|
|
43,650 |
|
|
|
|
|
|
Transfer and dividend disbursing agent fees and expenses |
|
|
|
|
|
|
96,915 |
|
|
|
|
|
|
Directors'/Trustees' fees |
|
|
|
|
|
|
2,179 |
|
|
|
|
|
|
Auditing fees |
|
|
|
|
|
|
6,687 |
|
|
|
|
|
|
Legal fees |
|
|
|
|
|
|
2,179 |
|
|
|
|
|
|
Portfolio accounting fees |
|
|
|
|
|
|
49,143 |
|
|
|
|
|
|
Distribution services fee--Select Shares |
|
|
|
|
|
|
376,112 |
|
|
|
|
|
|
Shareholder services fee--Institutional Shares |
|
|
|
|
|
|
215,131 |
|
|
|
|
|
|
Shareholder services fee--Select Shares |
|
|
|
|
|
|
125,371 |
|
|
|
|
|
|
Share registration costs |
|
|
|
|
|
|
16,740 |
|
|
|
|
|
|
Printing and postage |
|
|
|
|
|
|
22,915 |
|
|
|
|
|
|
Insurance premiums |
|
|
|
|
|
|
755 |
|
|
|
|
|
|
Miscellaneous |
|
|
|
|
|
|
11,094 |
|
|
|
|
|
|
|
||||||||||||
|
TOTAL EXPENSES |
|
|
|
|
|
|
2,092,939 |
|
|
|
|
|
|
|
||||||||||||
|
Waivers: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Waiver of distribution services fee--Select Shares |
|
$ |
(125,371 |
) |
|
|
|
|
|
|
|
|
|
Waiver of shareholder services fee--Institutional Shares |
|
|
(172,105 |
) |
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
TOTAL WAIVERS |
|
|
|
|
|
|
(297,476 |
) |
|
|
|
|
|
|
||||||||||||
|
Net expenses |
|
|
|
|
|
|
|
|
|
|
1,795,463 |
|
|
|
||||||||||||
|
Net investment income |
|
|
|
|
|
|
|
|
|
|
3,323,342 |
|
|
|
||||||||||||
|
Realized and Unrealized Gain (Loss) on Investments, Foreign Currency Transactions and Futures Contracts: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Net realized gain on investments, foreign currency transactions and futures contracts (net of foreign taxes withheld of $3,429) |
|
|
|
|
|
|
|
|
|
|
16,359,134 |
|
|
Net change in unrealized appreciation of investments, translation of assets and liabilities in foreign currency and futures contracts |
|
|
|
|
|
|
|
|
|
|
(17,338,248 |
) |
|
|
||||||||||||
|
Net realized and unrealized loss on investments, foreign currency transactions and futures contracts |
|
|
|
|
|
|
|
|
|
|
(979,114 |
) |
|
|
||||||||||||
|
Change in net assets resulting from operations |
|
|
|
|
|
|
|
|
|
$ |
2,344,228 |
|
|
|
||||||||||||
See Notes which are an integral part of the Financial Statements
|
|
|
Six Months |
|
|
Year Ended |
|
||
|
Increase (Decrease) in Net Assets |
|
|
|
|
|
|
|
|
|
Operations: |
|
|
|
|
|
|
|
|
|
Net investment income |
|
$ |
3,323,342 |
|
|
$ |
6,507,283 |
|
|
Net realized gain on investments, foreign currency transactions and futures contracts ($16,359,134 and $11,900,033, respectively, as computed for federal tax purposes) |
|
|
16,359,134 |
|
|
|
13,574,364 |
|
|
Net change in unrealized appreciation of investments, translation of assets and liabilities in foreign currency and futures contracts |
|
|
(17,338,248 |
) |
|
|
7,099,118 |
|
|
|
||||||||
|
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS |
|
|
2,344,228 |
|
|
|
27,180,765 |
|
|
|
||||||||
|
Distributions to Shareholders: |
|
|
|
|
|
|
|
|
|
Distributions from net investment income |
|
|
|
|
|
|
|
|
|
Institutional Shares |
|
|
(2,224,012 |
) |
|
|
(4,669,273 |
) |
|
Select Shares |
|
|
(939,663 |
) |
|
|
(1,813,373 |
) |
|
Distributions from net realized gain on investments, foreign currency transactions and futures contracts |
|
|
|
|
|
|
|
|
|
Institutional Shares |
|
|
(7,558,834 |
) |
|
|
(7,963,532 |
) |
|
Select Shares |
|
|
(4,339,709 |
) |
|
|
(4,086,575 |
) |
|
|
||||||||
|
CHANGE IN NET ASSETS RESULTING FROM DISTRIBUTIONS TO SHAREHOLDERS |
|
|
(15,062,218 |
) |
|
|
(18,532,753 |
) |
|
|
||||||||
|
Share Transactions: |
|
|
|
|
|
|
|
|
|
Proceeds from sale of shares |
|
|
75,895,784 |
|
|
|
105,170,271 |
|
|
Net asset value of shares issued to shareholders in payment of distributions declared |
|
|
12,093,891 |
|
|
|
14,641,151 |
|
|
Cost of shares redeemed |
|
|
(77,032,522 |
) |
|
|
(126,035,411 |
) |
|
|
||||||||
|
CHANGE IN NET ASSETS RESULTING FROM SHARE TRANSACTIONS |
|
|
10,957,153 |
|
|
|
(6,223,989 |
) |
|
|
||||||||
|
Change in net assets |
|
|
(1,760,837 |
) |
|
|
2,424,023 |
|
|
|
||||||||
|
Net Assets: |
|
|
|
|
|
|
|
|
|
Beginning of period |
|
|
264,525,856 |
|
|
|
262,101,833 |
|
|
|
||||||||
|
End of period (including undistributed net investment income of $995,338 and $835,671, respectively) |
|
$ |
262,765,019 |
|
|
$ |
264,525,856 |
|
|
|
||||||||
See Notes which are an integral part of the Financial Statements
(FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD)
|
|
|
Six Months |
|
|
Year Ended November 30, |
|
||||||||||||
|
|
|
2000 |
|
|
1999 |
1 |
|
1998 |
|
|
1997 |
|
|
1996 |
|
|
1995 |
|
|
Net Asset Value, Beginning of Period |
|
$13.55 |
|
|
$13.15 |
|
|
$13.10 |
|
|
$12.23 |
|
|
$11.52 |
|
|
$ 9.82 |
|
|
Income From Investment Operations: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net investment income |
|
0.18 |
|
|
0.35 |
|
|
0.35 |
|
|
0.38 |
|
|
0.41 |
|
|
0.40 |
|
|
Net realized and unrealized gain (loss) on investments, foreign currency transactions and futures contracts |
|
(0.03 |
) |
|
1.00 |
|
|
0.92 |
|
|
1.19 |
|
|
0.97 |
|
|
1.70 |
|
|
|
||||||||||||||||||
|
TOTAL FROM INVESTMENT OPERATIONS |
|
0.15 |
|
|
1.35 |
|
|
1.27 |
|
|
1.57 |
|
|
1.38 |
|
|
2.10 |
|
|
|
||||||||||||||||||
|
Less Distributions: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Distributions from net investment income |
|
(0.18 |
) |
|
(0.35 |
) |
|
(0.34 |
) |
|
(0.40 |
) |
|
(0.44 |
) |
|
(0.40 |
) |
|
Distributions from net realized gain on investments, foreign currency transactions and futures contracts |
|
(0.61 |
) |
|
(0.60 |
) |
|
(0.88 |
) |
|
(0.30 |
) |
|
(0.23 |
) |
|
-- |
|
|
|
||||||||||||||||||
|
TOTAL DISTRIBUTIONS |
|
(0.79 |
) |
|
(0.95 |
) |
|
(1.22 |
) |
|
(0.70 |
) |
|
(0.67 |
) |
|
(0.40 |
) |
|
|
||||||||||||||||||
|
Net Asset Value, End of Period |
|
$12.91 |
|
|
$13.55 |
|
|
$13.15 |
|
|
$13.10 |
|
|
$12.23 |
|
|
$11.52 |
|
|
|
||||||||||||||||||
|
Total Return2 |
|
1.01 |
% |
|
11.00 |
% |
|
10.56 |
% |
|
13.39 |
% |
|
12.54 |
% |
|
21.79 |
% |
|
|
||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Ratios to Average Net Assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
|
Expense |
|
1.06 |
%3 |
|
1.06 |
% |
|
1.07 |
% |
|
1.05 |
% |
|
1.05 |
% |
|
1.00 |
% |
|
|
||||||||||||||||||
|
Net investment income |
|
2.70 |
%3 |
|
2.69 |
% |
|
2.67 |
% |
|
3.07 |
% |
|
3.77 |
% |
|
4.29 |
% |
|
|
||||||||||||||||||
|
Expense waiver/reimbursement4 |
|
0.20 |
%3 |
|
0.20 |
% |
|
0.20 |
% |
|
0.26 |
% |
|
0.40 |
% |
|
0.76 |
% |
|
|
||||||||||||||||||
|
Supplemental Data: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
|
Net assets, end of period (000 omitted) |
|
$166,563 |
|
$168,702 |
|
$173,514 |
|
$163,519 |
|
$136,255 |
|
$68,313 |
|
|||||
|
|
||||||||||||||||||
|
Portfolio turnover |
|
48 |
% |
|
113 |
% |
|
111 |
% |
|
136 |
% |
|
95 |
% |
|
106 |
% |
|
|
||||||||||||||||||
1 For the year ended November 30, 1999, the fund was audited by Deloitte & Touche LLP. Each of the previous years the fund was audited by other auditors.
2 Based on net asset value, which does not reflect the sales charge or contingent deferred sales charge, if applicable.
3 Computed on an annualized basis.
4 This voluntary expense decrease is reflected in both the expense and net investment income ratios shown above.
See Notes which are an integral part of the Financial Statements
(FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD)
|
|
|
Six Months |
|
|
Year Ended November 30, |
|
||||||||||||
|
|
|
2000 |
|
|
1999 |
1 |
|
1998 |
|
|
1997 |
|
|
1996 |
|
|
1995 |
|
|
Net Asset Value, Beginning of Period |
|
$13.51 |
|
|
$13.11 |
|
|
$13.06 |
|
|
$12.20 |
|
|
$11.50 |
|
|
$ 9.81 |
|
|
Income From Investment Operations: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net investment income |
|
0.14 |
|
|
0.26 |
|
|
0.26 |
|
|
0.30 |
|
|
0.36 |
|
|
0.23 |
|
|
Net realized and unrealized gain (loss) on investments, foreign currency transactions and futures contracts |
|
(0.05 |
) |
|
1.00 |
|
|
0.92 |
|
|
1.18 |
|
|
0.94 |
|
|
1.79 |
|
|
|
||||||||||||||||||
|
TOTAL FROM INVESTMENT OPERATIONS |
|
0.09 |
|
|
1.26 |
|
|
1.18 |
|
|
1.48 |
|
|
1.30 |
|
|
2.02 |
|
|
|
||||||||||||||||||
|
Less Distributions: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Distributions from net investment income |
|
(0.13 |
) |
|
(0.26 |
) |
|
(0.25 |
) |
|
(0.32 |
) |
|
(0.37 |
) |
|
(0.33 |
) |
|
Distributions from net realized gain on investments, foreign currency transactions and futures contracts |
|
(0.61 |
) |
|
(0.60 |
) |
|
(0.88 |
) |
|
(0.30 |
) |
|
(0.23 |
) |
|
-- |
|
|
|
||||||||||||||||||
|
TOTAL DISTRIBUTIONS |
|
(0.74 |
) |
|
(0.86 |
) |
|
(1.13 |
) |
|
(0.62 |
) |
|
(0.60 |
) |
|
(0.33 |
) |
|
|
||||||||||||||||||
|
Net Asset Value, End of Period |
|
$12.86 |
|
|
$13.51 |
|
|
$13.11 |
|
|
$13.06 |
|
|
$12.20 |
|
|
$11.50 |
|
|
|
||||||||||||||||||
|
Total Return2 |
|
0.59 |
% |
|
10.26 |
% |
|
9.80 |
% |
|
12.56 |
% |
|
11.75 |
% |
|
20.95 |
% |
|
|
||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Ratios to Average Net Assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
|
Expense |
|
1.76 |
%3 |
|
1.76 |
% |
|
1.77 |
% |
|
1.75 |
% |
|
1.75 |
% |
|
1.75 |
% |
|
|
||||||||||||||||||
|
Net investment income |
|
2.00 |
%3 |
|
1.99 |
% |
|
2.00 |
% |
|
2.37 |
% |
|
3.06 |
% |
|
3.48 |
% |
|
|
||||||||||||||||||
|
Expense waiver/reimbursement4 |
|
0.25 |
%3 |
|
0.25 |
% |
|
0.25 |
% |
|
0.31 |
% |
|
0.45 |
% |
|
0.76 |
% |
|
|
||||||||||||||||||
|
Supplemental Data: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
|
Net assets, end of period (000 omitted) |
|
$96,202 |
|
$95,824 |
|
$88,588 |
|
$72,746 |
|
$60,208 |
|
$27,358 |
|
|||||
|
|
||||||||||||||||||
|
Portfolio turnover |
|
48 |
% |
|
113 |
% |
|
111 |
% |
|
136 |
% |
|
95 |
% |
|
106 |
% |
|
|
||||||||||||||||||
1 For the year ended November 30, 1999, the fund was audited by Deloitte & Touche LLP. Each of the previous years the fund was audited by other auditors.
2 Based on net asset value, which does not reflect the sales charge or contingent deferred sales charge, if applicable.
3 Computed on an annualized basis.
4 This voluntary expense decrease is reflected in both the expense and net investment income ratios shown above.
See Notes which are an integral part of the Financial Statements
MAY 31, 2000 (UNAUDITED)
Federated Managed Allocation Portfolios (the "Trust") is registered under the Investment Company Act of 1940, as amended (the "Act") as an open-end, management investment company. The Trust consists of four diversified portfolios. The financial statements included herein are only those of Federated Managed Moderate Growth Portfolio (the "Fund"). The financial statements of the other portfolios are presented separately. The assets of each portfolio are segregated and a shareholder's interest is limited to the portfolio in which shares are held. The investment objective of the Fund is to seek capital appreciation with income as a secondary objective.
The Fund offers two classes of shares: Institutional Shares and Select Shares.
The following is a summary of significant accounting policies consistently followed by the Fund in the preparation of its financial statements. These policies are in conformity with generally accepted accounting principles.
Listed equity securities are valued at the last sale price reported on a national securities exchange. U.S. government securities, listed corporate bonds, other fixed income and asset-backed securities, and unlisted securities and private placement securities are generally valued at the mean of the latest bid and asked price as furnished by an independent pricing service. Short-term securities are valued at the prices provided by an independent pricing service. However, short-term securities with remaining maturities of 60 days or less at the time of purchase may be valued at amortized cost, which approximates fair market value. Investment in other open-end regulated investment companies are valued at net asset value.
With respect to valuation of foreign securities, trading in foreign cities may be completed at times which vary from the closing of the New York Stock Exchange. Therefore, foreign securities are valued at the latest closing price on the exchange on which they are traded prior to the closing of the New York Stock Exchange. Foreign securities quoted in foreign currencies are translated into U.S. dollars at the foreign exchange rate in effect at noon, eastern time, on the day the value of the foreign security is determined.
It is the policy of the Fund to require the custodian bank or broker to take possession, to have legally segregated in the Federal Reserve Book Entry System, or to have segregated within the custodian bank's vault, all securities held as collateral under repurchase agreement transactions. Additionally, procedures have been established by the Fund to monitor, on a daily basis, the market value of each repurchase agreement's collateral to ensure that the value of collateral at least equals the repurchase price to be paid under the repurchase agreement.
The Fund will only enter into repurchase agreements with banks and other recognized financial institutions, such as broker/dealers, which are deemed by the Fund's adviser to be creditworthy pursuant to the guidelines and/or standards reviewed or established by the Board of Trustees (the "Trustees"). Risks may arise from the potential inability of counterparties to honor the terms of these agreements. Accordingly, the Fund could receive less than the repurchase price on the sale of collateral securities. The Fund, along with other affiliated investment companies may utilize a joint trading account for the purpose of entering into one or more repurchase agreements.
Interest income and expenses are accrued daily. Bond premium and discount, if applicable, are amortized as required by the Internal Revenue Code, as amended (the "Code"). Dividend income and distributions to shareholders are recorded on the ex-dividend date. Non-cash dividends included in dividend income, if any, are recorded at fair value. The Fund offers multiple classes of shares, which differ in their respective distribution and service fees. All shareholders bear the common expenses of the Fund based on average daily net assets of each class, without distinction between share classes. Dividends are declared separately for each class. No class has preferential dividend rights; difference in per share dividend rates are generally due to differences in separate class expenses.
Distributions are determined in accordance with income tax regulations which may differ from generally accepted accounting principles. These distributions do not represent a return of capital for federal income tax purposes.
It is the Fund's policy to comply with the provisions of the Code applicable to regulated investment companies and to distribute to shareholders each year substantially all of its income. Accordingly, no provision for federal tax is necessary.
Withholding taxes on foreign interest and dividends have been provided for in accordance with the Fund's applicable country's tax rules and rates.
The Fund may engage in when-issued or delayed delivery transactions. The Fund records when-issued securities on the trade date and maintains security positions such that sufficient liquid assets will be available to make payment for the securities purchased. Securities purchased on a when-issued or delayed delivery basis are marked to market daily and begin earning interest on the settlement date. Losses may occur on these transactions due to changes in market conditions or the failure of counterparties to perform under contract.
The Fund may purchase stock index futures contracts to manage cashflows, enhance yield, and to potentially reduce transaction costs. Upon entering into a stock index futures contract with a broker, the Fund are required to deposit in a segregated account a specified amount of cash or U.S. government securities. Futures contracts are valued daily and unrealized gains or losses are recorded in a "variation margin" account. Daily, the Fund receives from or pays to the broker a specified amount of cash based upon changes in the variation margin account. When a contract is closed, the Fund recognizes a realized gain or loss. For the six months ended May 31, 2000, the Fund had realized gains of $3,762,894 on futures contracts.
Futures contracts have market risks, including the risk that the change in the value of the contract may not correlate with changes in the value of the underlying securities.
At May 31, 2000, the Fund had outstanding futures contracts as set forth below:
|
Expiration Date |
|
Contracts to Deliver/Receive |
|
Position |
|
Unrealized Appreciation (Depreciation) |
|
June 2000 |
|
46 Russell 2000 Index Futures |
|
Long |
|
$(2,763,950) |
|
|
||||||
|
June 2000 |
|
17 S&P 500 Index Futures |
|
Long |
|
(395,888) |
|
|
||||||
|
|
|
|
|
|
|
$(3,159,838) |
|
|
||||||
The Fund may enter into foreign currency commitments for the delayed delivery of securities or foreign currency exchange transactions. The Fund may enter into foreign currency contract transactions to protect assets against adverse changes in foreign currency exchange rates or exchange control regulations. Purchased contracts are used to acquire exposure to foreign currencies; whereas, contracts to sell are used to hedge the Fund's securities against currency fluctuations. Risks may arise upon entering these transactions from the potential inability of counterparts to meet the terms of their commitments and from unanticipated movements in security prices or foreign exchange rates. The foreign currency transactions are adjusted by the daily exchange rate of the underlying currency and any gains or losses are recorded for financial statement purpose as unrealized until the settlement date. For the six months ended May 31, 2000, the Fund had no outstanding foreign currency commitments.
The accounting records of the Fund are maintained in U.S. dollars. All assets and liabilities denominated in foreign currencies ("FC") are translated into U.S. dollars based on the rate of exchange of such currencies against U.S. dollars on the date of valuation. Purchases and sales of securities, income and expenses are translated at the rate of exchange quoted on the respective date that such transactions are recorded. The Fund does not isolate that portion of the results of operations resulting from changes in foreign exchange rates on investments from the fluctuations arising from changes in market prices of securities held. Such fluctuations are included with the net realized and unrealized gain or loss from investments.
Reported net realized foreign exchange gains or losses arise from sales of portfolio securities, sales and maturities of short-term securities, sales of FCs, currency gains or losses realized between the trade and settlement dates on securities transactions, the difference between the amounts of dividends, interest, and foreign withholding taxes recorded on the books, and the U.S. dollar equivalent of the amounts actually received or paid. Net unrealized foreign exchange gains and losses arise from changes in the value of assets and liabilities other than investments in securities at fiscal year end, resulting from changes in the exchange rate.
The Fund may enter into dollar roll transactions, with respect to mortgage securities issued by GNMA, FNMA and FHLMC, in which the Fund sells mortgage securities to financial institutions and simultaneously agrees to accept substantially similar (same type, coupon and maturity) securities at a later date at an agreed upon price. Dollar roll transactions involve "to be announced" securities and are treated as short-term financing arrangements which will not exceed 12 months. The Fund will use the proceeds generated from the transactions to invest in short-term investments, which may enhance the Fund's current yield and total return. For the six months ended May 31, 2000 there were no open dollar roll transactions.
Restricted securities are securities that may only be resold upon registration under federal securities laws or in transactions exempt from such registration. In some cases, the issuer of restricted securities has agreed to register such securities for resale, at the issuer's expense either upon demand by the Fund or in connection with another registered offering of the securities. Many restricted securities may be resold in the secondary market in transactions exempt from registration. Such restricted securities may be determined to be liquid under criteria established by the Trustees. The Fund will not incur any registration costs upon such resales. The Fund's restricted securities are valued at the price provided by dealers in the secondary market or, if no market prices are available, at the fair value as determined by the Fund's pricing committee.
The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts of assets, liabilities, expenses and revenues reported in the financial statements. Actual results could differ from those estimated.
Investment transactions are accounted for on a trade date basis.
The Declaration of Trust permits the Trustees to issue an unlimited number of full and fractional shares of beneficial interest (without par value) for each class of shares.
Transactions in shares were as follows:
|
|
|
Six Months Ended |
|
|
Year Ended |
|
||||||||
|
Institutional Shares: |
|
Shares |
|
|
Amount |
|
|
Shares |
|
|
Amount |
|
||
|
Shares sold |
|
4,269,232 |
|
|
$ |
57,476,087 |
|
|
6,036,374 |
|
|
$ |
79,200,918 |
|
|
Shares issued to shareholders in payment of distributions declared |
|
546,913 |
|
|
|
7,194,466 |
|
|
725,753 |
|
|
|
9,138,768 |
|
|
Shares redeemed |
|
(4,361,440 |
) |
|
|
(58,791,742 |
) |
|
(7,512,230 |
) |
|
|
(98,734,110 |
) |
|
|
||||||||||||||
|
NET CHANGE RESULTING FROM INSTITUTIONAL SHARE TRANSACTIONS |
|
454,705 |
|
|
$ |
5,878,811 |
|
|
(750,103 |
) |
|
$ |
(10,394,424 |
) |
|
|
||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Six Months Ended |
|
|
Year Ended |
|
||||||||
|
Select Shares: |
|
Shares |
|
|
Amount |
|
|
Shares |
|
|
Amount |
|
||
|
Shares sold |
|
1,380,008 |
|
|
$ |
18,419,697 |
|
|
1,984,608 |
|
|
$ |
25,969,353 |
|
|
Shares issued to shareholders in payment of distributions declared |
|
373,801 |
|
|
|
4,899,425 |
|
|
438,611 |
|
|
|
5,502,383 |
|
|
Shares redeemed |
|
(1,370,034 |
) |
|
|
(18,240,780 |
) |
|
(2,088,033 |
) |
|
|
(27,301,301 |
) |
|
|
||||||||||||||
|
NET CHANGE RESULTING FROM SELECT SHARE TRANSACTIONS |
|
383,775 |
|
|
$ |
5,078,342 |
|
|
335,186 |
|
|
$ |
4,170,435 |
|
|
|
||||||||||||||
|
NET CHANGE RESULTING FROM SHARE TRANSACTIONS |
|
838,480 |
|
|
$ |
10,957,153 |
|
|
(414,917 |
) |
|
$ |
(6,223,989 |
) |
|
|
||||||||||||||
Federated Investment Management Company, the Fund's investment adviser (the "Adviser"), receives for its services an annual investment Adviser fee equal 0.75% of the Fund's average daily net assets. The Adviser may voluntarily choose to waive any portion of its fee. The Adviser can modify or terminate this voluntary waiver at any time at its sole discretion.
Under the terms of a sub-adviser agreement between the Adviser and Federated Global Investment Management Corp. (the "Sub-Adviser"), the Sub-Adviser, receives an allocable portion of the Fund's advisory fee. Such allocation is based on the amount of foreign securities which the Sub-Adviser manages for the Fund. This fee is paid by the Adviser out of its resources and is not an incremental Fund expense.
Federated Services Company ("FServ"), under the Administrative Services Agreement, provides the Fund with administrative personnel and services. The fee paid to FServ is based on a scale that ranges from 0.15% to 0.075% of the average aggregate daily net assets of all funds advised by subsidiaries of Federated Investors, Inc. subject to a $125,000 minimum per portfolio and $30,000 per each additional class.
The Fund has adopted a Distribution Plan (the "Plan") pursuant to Rule 12b-1 under the Act. Under the terms of the Plan, the Fund will compensate Federated Securities Corp. ("FSC"), the principal distributor, from the net assets of the Fund to finance activities intended to result in the sale of the Funds' Select Shares. The Plan provides that the Fund may incur distribution expenses of up to 0.75% of average net assets, annually, to compensate FSC. The distributor may voluntarily choose to waive any portion of its fee. The distributor can modify or terminate this voluntary waiver at any time at its sole discretion.
Under the terms of a Shareholder Services Agreement with Federated Shareholder Services Company ("FSSC"), the Fund will pay FSSC up to 0.25% of average daily net assets of the Fund's shares for the period. The fee paid to FSSC is used to finance certain services for shareholders and to maintain shareholder accounts. FSSC may voluntarily choose to waive any portion of its fee. FSSC can modify or terminate this voluntary waiver at any time at its sole discretion.
FServ, through its subsidiary, FSSC serves as transfer and dividend disbursing agent for the Fund. The fee paid to FSSC is based on the size, type, and number of accounts and transactions made by shareholders.
FServ maintains the Fund's accounting records for which it receives a fee. The fee is based on the level of the Fund's average daily net assets for the period, plus out-of-pocket expenses.
Certain of the Officers and Trustees of the Trust are Officers and Directors or Trustees of the above companies.
Purchases and sales of investments, excluding short-term securities, for the six months ended May 31, 2000, were as follows:
|
Purchases |
|
$ |
121,472,706 |
|
Sales |
|
$ |
125,177,168 |
The Fund invests in securities of non-U.S. issuers. Although the Fund maintains a diversified investment portfolio, the political or economic developments within a particular country or region may have an adverse effect on the stability of domiciled issuers to meet their obligations. Additionally, political or economic developments may have an effect on the liquidity and volatility of portfolio securities and currency holdings.
At May 31, 2000, the diversification of industries for non-U.S. issuers was as follows.
|
Industry |
|
Percentage |
|
Agency |
|
0.1% |
|
Automobiles & Components |
|
0.4% |
|
Banking |
|
0.5% |
|
Banks |
|
0.6% |
|
Capital Goods |
|
1.4% |
|
Commercial Services & Supplies |
|
0.1% |
|
Communications Equipment |
|
0.3% |
|
Computers Software/Services |
|
0.1% |
|
Consumer Durables & Apparel |
|
0.5% |
|
Electronics (Instrument) |
|
0.1% |
|
Energy |
|
0.6% |
|
Finance |
|
0.2% |
|
Financial Intermediaries |
|
0.3% |
|
Food & Drug Retailing |
|
0.3% |
|
Food Beverage & Tobacco |
|
0.4% |
|
Forest Products |
|
0.2% |
|
Government Agency |
|
0.3% |
|
Health Care Equipment & Services |
|
0.1% |
|
Hotels Restaurants & Leisure |
|
0.1% |
|
Household & Personal Products |
|
0.0% |
|
Insurance |
|
0.2% |
|
Materials |
|
0.1% |
|
Media |
|
1.2% |
|
Metals & Mining |
|
0.1% |
|
Oil & Gas (Drilling & Equipment) |
|
0.0% |
|
Oil (Int'l Integrated) |
|
0.5% |
|
Pharmaceuticals & Biotechnology |
|
0.1% |
|
Real Estate |
|
0.0% |
|
Retailing |
|
0.3% |
|
Services (Commercial & Consumer) |
|
0.0% |
|
Software & Services |
|
0.5% |
|
Sovereign |
|
1.9% |
|
Sovereign Government |
|
0.5% |
|
Technology Hardware & Equipment |
|
2.9% |
|
Telecommunication Services |
|
1.3% |
|
Transportation |
|
0.2% |
|
Utilities |
|
0.6% |
Chairman
President
Executive Vice President
Executive Vice President
Executive Vice President and Secretary
Vice President
Treasurer
Assistant Secretary
Mutual funds are not bank deposits or obligations, are not guaranteed by any bank, and are not insured or guaranteed by the U.S. government, the Federal Deposit Insurance Corporation, the Federal Reserve Board, or any other government agency. Investment in mutual funds involves investment risk, including the possible loss of principal.
This report is authorized for distribution to prospective investors only when preceded or accompanied by the fund's prospectus which contains facts concerning its objective and policies, management fees, expenses and other information.
Federated
World-Class Investment Manager
SEMI-ANNUAL REPORT
Institutional Shares
Select Shares
MAY 31, 2000
Federated
Federated Managed Moderate Growth Portfolio
Federated
Investors Funds
5800 Corporate Drive
Pittsburgh, PA
15237-7000
1-800-341-7400
www.federatedinvestors.com
Federated
Securities Corp., Distributor
Cusip 314212606
Cusip 314212507
G00515-01 (7/00)
Federated is a registered mark of Federated Investors, Inc. 2000 ©Federated Investors, Inc.
|
|