UAM FUNDS TRUST, N-30D, 1996-12-27

UAM FUNDS TRUST
N-30D, 1996-12-27

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<PAGE>

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UAM FUNDS
NEWBOLD'S EQUITYPORTFOLIO

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OFFICERS AND TRUSTEES

William H. Park
Norton H. Reamer Vice President
Trustee, President and Chairman

Michael E. DeFao

John T. Bennett, Jr.Sectretary

Trustee
Karl O. Hartmann

Philip D. English Assistant Secretary

Trustee
Gary L. French

William A. Humenuk Treasurer

Trustee

Robert R. Flaherty
Peter M. Whitman, Jr.
Assistant Treasurer

Trustee
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INVESTMENT ADVISER
Newbold's Asset Management, Inc.
950 Haverford Road
Bryn Mawr, PA 19010

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ADMINISTRATOR
UAM Fund Services, Inc.
211 Congress Street
Boston, MA 02110

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CUSTODIAN
The Chase Manhattan Bank
3 Chase MetroTech Center Brooklyn, NY 11245

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LEGAL COUNSEL
Stradley, Ronon, Stevens & Young LLP
2600 One Commerce Square Philadelphia, PA 19103

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INDEPENDENT ACCOUNTANTS
Price Waterhouse LLP
160 Federal Street
Boston, MA 02110

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DISTRIBUTOR
UAM Fund Distributors, Inc.
211 Congress Street Boston, MA 02110

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This report has been prepared for shareholders and may be distributed to
others only if preceded or accompanied by a current prospectus.

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UAM FUNDS

NEWBOLD'S EQUITY PORTFOLIO

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SEMI-ANNUAL REPORT
OCTOBER 31, 1996
<PAGE>

Dear Shareholders:

Volatility continued to be the market watchword during the past six months.
Market psychology shifted from an environment of favorable interest rates and
anemic economic growth early in the year to one more reflective of a
strengthening economy and firming interest rates. The market gyrated in tandem
with this shift, nearly boomeranging on every new piece of economic data
released.

Just two quarters ago, April job creation numbers were at a very modest
2,000 and the Federal Reserve decided to take no action on short-term interest
rates when it met in May. The semiconductor industry's book-to-bill ratio was
reported at a nine-year low and the Fed's economic survey of its twelve
regions reflected little if any inflationary pressure. The financial markets
reacted handily to this stable economic picture, as the yield on the 30-year
U.S. Treasury bond drifted down to 6.8% and the equity markets resumed their
climb.

By June, however, government statistics were a bit rosier than expected
rolling the investors once again. Unemployment dropped to a six-year low of
5.3% and the average hourly wage enjoyed its largest monthly increase since
1965. The yield on the 30-year U.S. Treasury bond climbed to 7.2% and the
equity markets swooned. The economic news was compounded by weak earnings
reports from two of the market's "bellwether" stocks, Motorola and Hewlett
Packard, whose shares tumbled by 15%. It appeared that the long-awaited
correction was at hand.

Fortunately, the downward slide proved to be short-lived. By the end of
July, the Dow Jones Industrial Average and the S&P 500 rebounded from what
amounted to only a 6% to 7% pullback from their record highs.

The balance of the period was affected by a moderate growth climate and
quelled inflation fears. For the second quarter corporate profits grew 10%,
while the GDP increased 4.7%. In addition, the core rate of inflation
continued to run at 2.6% in July and August--nearly a thirty year low. With
this favorable economic backdrop, the markets hit all-time highs in October
and ended the month just shy of those records.

During this six-month period your fund earned a total return of 6.04%. This
return falls short of an overall market index such as the S&P 500, which
gained 9.08% during the same period, as well as the Russell 1000 Value Index,
which was up 8.32% for the six months.

The underperformance of the fund is due largely to the defensive strategy
Newbold's pursued during this record-setting upswing in the market. We were
significantly underweighted in banks and financial stocks, while we were
overweighted in utilities and consumer staples, particularly tobacco companies
and retailers. All of these imbalances hurt us relative to the market. In
addition, a number of specific names in our portfolio, such as AT&T, Aetna and
RJR Nabisco, were hit hard during the last six months which also contributed
to the Portfolio's weaker performance.

After careful review of our holdings and the current market environment, we
have already made some strategic changes in October. Specifically, we plan to
raise our weighting in banks and lower our exposure to electric utilities.
Those shifts are consistent with our value philosophy and reflect our opinion
that a deeper position in financial stocks is likely to strengthen our
relative performance during rising markets.

As always, we appreciate your confidence.

NEWBOLD'S ASSET MANAGEMENT, INC.

DEFINITIONS OF THE COMPARATIVE INDICES

The Dow Jones Industrial Average Index is a price weighted average of 30 blue-
chip stocks that are generally the leaders in their industry and are listed on
the New York Stock Exchange.

The S&P 500 Index is an unmanaged index composed of 400 industrial, 40
financial, 40 utilities and 20 transportation stocks.

The investment results presented in the Adviser's letter represent past
performance and should not be construed as a guarantee of future results. If
the Adviser did not have temporary fee waivers and did not assume expenses on
behalf of the Portfolio, total return for the Portfolio would have been lower.
The investment return and principal value of an investment will fluctuate so
that an investor's shares, when redeemed, may be worth more or less than their
original cost.

Please note that one cannot invest in an unmanaged index.
<PAGE>

NEWBOLD'S EQUITY PORTFOLIO
PORTFOLIO OF INVESTMENTS
October 31, 1996 (Unaudited)

<TABLE>
<CAPTION>
SHARES VALUE+
- --------------------------------------------------------------------------------
<S> <C> <C>
COMMON STOCKS (94.6%)
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AEROSPACE & DEFENSE (5.3%)
Boeing Co................................................... 2,500 $ 238,438
Chase Manhattan Corp........................................ 2,700 231,525
United Technologies Corp.................................... 2,591 333,591
-----------
803,554
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AUTOMOTIVE (1.0%)
Genuine Parts Co............................................ 3,550 155,312
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BANKS (5.6%)
Bank of Boston Corp......................................... 2,500 160,000
Fleet Financial Group, Inc.................................. 9,300 463,837
NationsBank Corp............................................ 2,500 235,625
-----------
859,462
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BEVERAGES, FOOD & TOBACCO (4.9%)
Archer-Daniels-Midland Co................................... 17,059 371,033
RJR Nabisco Holdings Corp................................... 13,170 380,284
-----------
751,317
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CHEMICALS (6.3%)
Great Lakes Chemical Corp. ................................. 4,900 255,413
Mallinckrodt Group, Inc. ................................... 5,100 221,850
Witco Corp.................................................. 2,300 71,300
W.R. Grace & Co............................................. 7,900 418,700
-----------
967,263
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COMPUTERS (2.9%)
International Business Machines Corp........................ 3,400 438,600
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CONSTRUCTION (1.6%)
Masco Corp.................................................. 7,550 236,881
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ENERGY (10.9%)
Amoco Corp.................................................. 4,950 374,962
Atlantic Richfield Co....................................... 2,000 265,000
Exxon Corp.................................................. 2,985 264,546
Mobil Corp.................................................. 2,500 291,875
Repsol S.A. ADR............................................. 4,300 140,287
USX-Marathon Group.......................................... 15,200 332,500
-----------
1,669,170
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</TABLE>

The accompanying notes are an integral part of the financial statements.

2
<PAGE>

NEWBOLD'S EQUITY PORTFOLIO
PORTFOLIO OF INVESTMENTS--(CONTINUED)
October 31, 1996 (Unaudited)

<TABLE>
<CAPTION>
SHARES VALUE+
- --------------------------------------------------------------------------------
<S> <C> <C>
COMMON STOCKS--(CONTINUED)
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FINANCIAL SERVICES (3.1%)
St. Paul Cos., Inc. ........................................ 5,800 $ 315,375
Travelers Group, Inc. ...................................... 3,000 162,750
-----------
478,125
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HEALTH CARE (2.3%)
Bristol-Myers Squibb Co..................................... 3,300 348,975
Fresenius Medical Care ADR.................................. 1 24
-----------
348,999
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TRANSPORTATION (1.5%)
Burlington Northern Santa Fe................................ 2,700 222,412
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INSURANCE (7.3%)
Aetna, Inc. ................................................ 8,650 578,469
General RE Corp. ........................................... 1,500 220,875
ITT Hartford Group, Inc. ................................... 4,900 308,700
-----------
1,108,044
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MACHINE (1.9%)
Case Corp. ................................................. 6,100 283,650
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MANUFACTURING (4.5%)
Cooper Industries, Inc. .................................... 5,200 209,300
Harnischfeger Industries, Inc............................... 11,900 476,000
-----------
685,300
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METALS (3.4%)
Aluminum Company of America................................. 6,200 363,475
Reynolds Metals Co.......................................... 2,800 157,500
-----------
520,975
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MULTI-INDUSTRY (1.1%)
Canadian Pacific, Ltd....................................... 6,800 171,700
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OFFICE EQUIPMENT (2.2%)
Pitney Bowes, Inc........................................... 2,350 131,306
Xerox Corp.................................................. 4,500 208,688
-----------
339,994
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</TABLE>

The accompanying notes are an integral part of the financial statements.

3
<PAGE>

NEWBOLD'S EQUITY PORTFOLIO
PORTFOLIO OF INVESTMENTS--(CONTINUED)
October 31, 1996 (Unaudited)
The accompanying notes are an integral part of the financial statements.
<TABLE>
<CAPTION>
SHARES VALUE+
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<S> <C> <C>
COMMON STOCKS--(CONTINUED)
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PAPER & PACKAGING (3.9%)
James River Corp. of Virginia............................... 11,600 $ 365,400
Mead Corp................................................... 4,050 229,838
-----------
595,238
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RETAIL (2.2%)
American Stores Co.......................................... 7,900 326,863
Circuit City Stores, Inc.................................... 400 13,100
-----------
339,963
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SERVICES (5.0%)
Browning-Ferris Industries, Inc............................. 2,900 76,125
Dun & Bradstreet Corp....................................... 6,000 347,250
WMX Technologies, Inc....................................... 9,900 340,313
-----------
763,688
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TELECOMMUNICATIONS (7.5%)
AT&T Corp. ................................................. 7,750 270,281
GTE Corp. .................................................. 7,800 328,575
NYNEX Corp.................................................. 12,300 547,350
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1,146,206
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TRANSPORTATION (1.0%)
Ryder System, Inc. ......................................... 2,600 77,350
Southwest Airlines Co....................................... 3,400 76,500
-----------
153,850
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UTILITIES (9.2%)
Baltimore Gas & Electric Co. ............................... 4,100 111,725
Entergy Corp................................................ 11,650 326,200
GPU, Inc.................................................... 6,550 215,331
PECO Energy Co.............................................. 12,400 313,100
PanEnergy Corp.............................................. 4,550 175,175
TransCanada Pipelines Ltd. ................................. 15,500 261,563
-----------
1,403,094
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TOTAL COMMON STOCKS (COST $13,372,829)....................... 14,442,797
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</TABLE>

4
<PAGE>

NEWBOLD'S EQUITY PORTFOLIO
PORTFOLIO OF INVESTMENTS--(CONTINUED)
October 31, 1996 (Unaudited)

<TABLE>
<CAPTION>
SHARES VALUE+
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<S> <C> <C>
PREFERRED STOCK (0.0%)
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Fresenius Medical Care, Class D (COST $1,486)........... 7,900 $ 1,027
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CONVERTIBLE PREFERRED STOCK (0.2%)
RJR Nabisco Holdings, Series C, $0.6012 (COST $35,266).. 5,650 31,781
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<CAPTION>
FACE
AMOUNT
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<S> <C> <C>
SHORT-TERM INVESTMENT (6.3%)
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REPURCHASE AGREEMENT
Chase Securities, Inc. 5.58%, dated 10/31/96, due
11/01/96, to be repurchased at $970,150, collateralized
by $937,612 of various U.S. Treasury Notes, 5.875%-
7.75%, due 3/31/99-11/30/99, valued at $970,002 (COST
$970,000).............................................. $970,000 970,000
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TOTAL INVESTMENTS (101.1%) (COST $14,379,581)(a)......... 15,445,605
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OTHER ASSETS AND LIABILITIES (NET) (-1.1%)............... (172,599)
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NET ASSETS (100%)........................................ $15,273,006
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</TABLE>
+ See Note A to Financial Statements.
ADR--American Depository Receipt
(a) The cost for federal income tax and book purposes was $14,379,581. At
October 31, 1996, net unrealized appreciation for all securities based on
tax cost was $1,066,024. This consisted of aggregate gross unrealized
appreciation for securities of $1,360,308 and aggregate gross unrealized
depreciation for all securities of $294,284.

The accompanying notes are an integral part of the financial statements.

5
<PAGE>

NEWBOLD'S EQUITY PORTFOLIO
STATEMENT OF ASSETS AND LIABILITIES
October 31, 1996 (Unaudited)
The accompanying notes are an integral part of the financial statements.
<TABLE>
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<S> <C>
ASSETS
Investments, at Cost............................................. $ 14,379,581
============
Investments, at Value............................................ $ 15,445,605
Cash............................................................. 2,744
Dividends Receivable............................................. 25,167
Receivable for Portfolio Shares Sold............................. 748
Interest Receivable.............................................. 150
Other Assets..................................................... 441
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Total Assets.................................................... 15,474,855
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LIABILITIES
Payable for Investments Purchased................................ 165,219
Payable for Administrative Fees--Note C.......................... 9,308
Payable for Investment Advisory Fees--Note B..................... 6,109
Payable for Trustees' Fees--Note F............................... 628
Other Liabilities................................................ 20,585
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Total Liabilities............................................... 201,849
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NET ASSETS........................................................ $ 15,273,006
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NET ASSETS CONSISTS OF:
Paid in Capital.................................................. 13,492,416
Undistributed Net Investment Income.............................. 17,503
Accumulated Net Realized Gain.................................... 697,063
Unrealized Appreciation.......................................... 1,066,024
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NET ASSETS........................................................ $ 15,273,006
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INSTITUTIONAL CLASS SHARES
Shares Issued and Outstanding (Unlimited Authorization, no par
value).......................................................... 1,328,544
Net Asset Value, Offering and Redemption Price Per Share......... $ 11.50
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- -------------------------------------------------------------------------------
</TABLE>

6
<PAGE>

NEWBOLD'S EQUITY PORTFOLIO
STATEMENT OF OPERATIONS
The accompanying notes are an integral part of the financial statements.
<TABLE>
<CAPTION>
SIX MONTHS
ENDED
OCTOBER 31,
1996
(UNAUDITED)
- ---------------------------------------------------------------------------------
<S> <C> <C>
INVESTMENT INCOME
Dividends.................................................. $ 215,180
Interest................................................... 19,994
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Total Income.............................................. 235,174
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EXPENSES
Investment Advisory Fees--Note B
Basic Fees................................................ $36,436
Less: Fees Waived......................................... (32,753) 3,683
-------
Registration Fees.......................................... 7,912
Administrative Fees--Note C................................ 34,126
Custodian Fees--Note D..................................... 5,133
Audit Fees................................................. 5,514
Printing Fees.............................................. 4,164
Trustees' Fees--Note F..................................... 1,337
Other Expenses............................................. 3,605
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Net Expenses.............................................. 65,474
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NET INVESTMENT INCOME....................................... 169,700
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NET REALIZED GAIN ON INVESTMENTS............................ 592,473
NET CHANGE IN UNREALIZED APPRECIATION/DEPRECIATION ON IN-
VESTMENTS.................................................. (232,468)
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NET GAIN ON INVESTMENTS..................................... 360,005
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NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS........ $ 529,705
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- ---------------------------------------------------------------------------------
</TABLE>

7
<PAGE>

NEWBOLD'S EQUITY PORTFOLIO
STATEMENT OF CHANGES IN NET ASSETS

<TABLE>
<CAPTION>
SIX MONTHS
ENDED SEPTEMBER 13,
OCTOBER 31, 1995* TO
1996 APRIL 30,
(UNAUDITED) 1996
- ----------------------------------------------------------------------------------
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS
OPERATIONS:
Net Investment Income................................ $ 169,700 $ 163,403
Net Realized Gain.................................... 592,473 128,335
Net Change in Unrealized Appreciation/Depreciation... (232,468) 971,567
- ----------------------------------------------------------------------------------
Net Increase in Net Assets Resulting from Opera-
tions.............................................. 529,705 1,263,305
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DISTRIBUTIONS:
Net Investment Income................................ (182,353) (133,247)
Net Realized Gain.................................... -- (23,745)
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Total Distributions................................. (182,353) (156,992)
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CAPITAL SHARE TRANSACTIONS: (1)
Issued--Regular...................................... 1,032,864 18,446,170
--In Lieu of Cash Distributions.................... 155,715 134,188
Redeemed............................................. (352,581) (5,597,015)
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Net Increase from Capital Share Transactions........ 835,998 12,983,343
- ----------------------------------------------------------------------------------
Total Increase....................................... 1,183,350 14,089,656
Net Assets:
Beginning of Period.................................. 14,089,656 --
- ----------------------------------------------------------------------------------
End of Period (including undistributed net investment
income
of $17,503 and $30,156, respectively)............... $15,273,006 $14,089,656
- ----------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------
(1)Shares Issued and Redeemed:........................
Shares Issued........................................ 63,653 1,820,335
In Lieu of Cash Distributions........................ 13,811 12,814
Shares Redeemed...................................... (31,787) (550,282)
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45,677 1,282,867
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- ----------------------------------------------------------------------------------
</TABLE>
* Commencement of Operations

The accompanying notes are an integral part of the financial statements.

8
<PAGE>

NEWBOLD'S EQUITY PORTFOLIO
FINANCIAL HIGHLIGHTS
SELECTED PER SHARE DATA & RATIOS
FOR A SHARE OUTSTANDING THROUGHOUT THE PERIOD

<TABLE>
<CAPTION>
SIX MONTHS
ENDED SEPTEMBER 13,
OCTOBER 31, 1995* TO
1996 APRIL 30,
(UNAUDITED) 1996
- -------------------------------------------------------------------------------
<S> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD................ $ 10.98 $ 10.00
- -------------------------------------------------------------------------------
INCOME FROM INVESTMENT OPERATIONS
Net Investment Income.............................. 0.13 0.14
Net Realized and Unrealized Gain on Investments.... 0.53 0.98
- -------------------------------------------------------------------------------
Total From Investment Operations.................. 0.66 1.12
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DISTRIBUTIONS
Net Investment Income.............................. (0.14) (0.12)
Net Realized Gain.................................. -- (0.02)
- -------------------------------------------------------------------------------
Total Distributions............................... (0.14) (0.14)
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NET ASSET VALUE, END OF PERIOD...................... $ 11.50 $ 10.98
- -------------------------------------------------------------------------------
- -------------------------------------------------------------------------------
TOTAL RETURN+....................................... 6.04% 11.31%
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- -------------------------------------------------------------------------------
RATIOS AND SUPPLEMENTAL DATA
Net Assets, End of Period ......................... $15,273 $14,090
Ratio of Expenses to Average Net Assets............ 0.90%** 0.90%**
Ratio of Investment Income to Average Net Assets... 2.33%** 2.27%**
Portfolio Turnover Rate............................ 34% 75%
Average Commission Rate............................ $0.0600 $0.0566
- -------------------------------------------------------------------------------
Voluntary Waived Fees and Expenses Assumed by the
Adviser Per Share................................. $ 0.03 $ 0.06
- -------------------------------------------------------------------------------
</TABLE>
* Commencement of Operations.
** Annualized.
+ Total return would have been lower had certain fees not been waived and
expenses assumed by the Adviser.

The accompanying notes are an integral part of the financial statements.

9
<PAGE>

NEWBOLD'S EQUITY PORTFOLIO

NOTES TO FINANCIAL STATEMENTS (UNAUDITED)

UAM Funds Trust and UAM Funds, Inc. (collectively the "UAM Funds") are
registered under the Investment Company Act of 1940, as amended. The Newbold's
Equity Portfolio (the "Portfolio"), a portfolio of UAM Funds Trust, is a
diversified, open-end management investment company. At October 31, 1996, the
UAM Funds were composed of forty active portfolios. The financial statements
of the remaining portfolios are presented separately. The objective of the
Newbold's Equity Portfolio is to achieve maximum long-term total return,
consistent with reasonable risk to principal, by investing primarily in a
diversified portfolio of undervalued equity securities of statistically
attractive companies.

A. SIGNIFICANT ACCOUNTING POLICIES: The following significant accounting
policies are in conformity with generally accepted accounting principles. Such
policies are consistently followed by the Portfolio in the preparation of its
financial statements. Generally accepted accounting principles may require
management to make estimates and assumptions that affect the reported amounts
and disclosures in the financial statements. Actual results may differ from
those estimates.

1. SECURITY VALUATION: Securities listed on a securities exchange for which
market quotations are readily available are valued at the last quoted sales
price as of the close of the exchange on the day the valuation is made or,
if no sale occurred on such day, at the bid price on such day. Price
information on listed securities is taken from the exchange where the
security is primarily traded. Over-the-counter and unlisted securities are
valued at the current bid price. Short-term investments that have remaining
maturities of sixty days or less at time of purchase are valued at
amortized cost, if it approximates market value. The value of other assets
and securities for which no quotations are readily available is determined
in good faith at fair value using methods determined by the Board of
Trustees.

2. FEDERAL INCOME TAXES: It is the Portfolio's intention to qualify as a
regulated investment company under Subchapter M of the Internal Revenue
Code and to distribute all of its taxable income. Accordingly, no provision
for Federal income taxes is required in the financial statements.

3. REPURCHASE AGREEMENTS: In connection with transactions involving
repurchase agreements, the Portfolio's custodian bank takes possession of
the underlying securities, the value of which exceeds the principal amount
of the repurchase transaction, including accrued interest. To the extent
that any repurchase transaction exceeds one business day, the value of the
collateral is monitored on a daily basis to determine the adequacy of the
collateral. In the event of default on the obligation to repurchase, the
Portfolio has the right to liquidate the collateral and apply the proceeds
in satisfaction of the obligation. In the event of default or bankruptcy by
the other party to the agreement, realization and/or retention of the
collateral or proceeds may be subject to legal proceedings.

4. DISTRIBUTIONS TO SHAREHOLDERS: The Portfolio will normally distribute
substantially all of its net investment income quarterly. Any realized net
capital gains will be distributed annually. All distributions are recorded
on ex-dividend date.

The amount and character of income and capital gain distributions to be
paid are determined in accordance with Federal income tax regulations which
may differ from generally accepted accounting principles. Permanent book
and tax basis differences relating to shareholder distributions may result
in reclassifications to undistributed net investment income (loss),
accumulated net realized gain (loss) and paid in capital.

10
<PAGE>

NEWBOLD'S EQUITY PORTFOLIO

NOTES TO FINANCIAL STATEMENTS (UNAUDITED)--(CONTINUED)
5. OTHER: Security transactions are accounted for on trade date, the date
the trade was executed. Costs used in determining realized gains and losses
on the sale of investment securities are based on the specific
identification method. Dividend income is recorded on the ex-dividend date.
Interest income is recognized on the accrual basis. Most expenses of the
UAM Funds can be directly attributed to a particular portfolio. Expenses
which cannot be directly attributed are apportioned among the portfolios of
the UAM Funds based on their relative net assets. Additionally, certain
expenses are apportioned among the portfolios of the UAM Funds and AEW
Commercial Mortgage Securities Fund, Inc. ("AEW"), an affiliated closed-end
management investment company, based on their relative net assets.
Custodian fees for the Portfolio have been increased to include expense
offsets for custodian balance credits.

B. ADVISORY SERVICES: Under the terms of an investment advisory agreement,
Newbold's Asset Management Inc. (the "Adviser"), a wholly-owned subsidiary of
United Asset Management Corporation ("UAM"), provides investment advisory
services to the Portfolio at a fee calculated at an annual rate of 0.50% of
average daily net assets. The Adviser has voluntarily agreed to waive a
portion of its advisory fees and to assume expenses, if necessary, in order to
keep the Portfolio's total annual operating expenses, after the effect of
expense offset arrangements, from exceeding 0.90% of average daily net assets.

C. ADMINISTRATION SERVICES: UAM Fund Services, Inc. (the "Administrator"), a
wholly-owned subsidiary of UAM, provides and oversees administrative, fund
accounting, dividend disbursing and transfer agent services to the UAM Funds
and AEW under a Fund Administration Agreement (the "Agreement"). Pursuant to
the Agreement, the Administrator is entitled to receive annual fees, computed
daily and payable monthly, of 0.19% of the first $200 million of the combined
aggregate net assets; plus 0.11% of the next $800 million of the combined
aggregate net assets; plus 0.07% of the next $2 billion of the combined
aggregate net assets; plus 0.05% of the combined aggregate net assets in
excess of $3 billion. The fees are allocated among the portfolios of the UAM
Funds and AEW on the basis of their relative net assets and are subject to a
graduated minimum fee schedule per portfolio which rises from $2,000 per
month, upon inception of a portfolio, to $70,000 annually after two years. For
portfolios with more than one class of shares, the minimum annual fee
increases to $90,000. In addition, the Administrator receives a Portfolio-
specific monthly fee of 0.06% of average daily net assets of the Portfolio.
The Administrator has entered into a Mutual Funds Service Agreement with Chase
Global Funds Services Company ("CGFSC"), an affiliate of The Chase Manhattan
Bank, under which CGFSC agrees to provide certain services, including but not
limited to, administration, fund accounting, dividend disbursing and transfer
agent services. Pursuant to the Mutual Funds Service Agreement, the
Administrator pays CGFSC a monthly fee. For the period ended October 31, 1996,
$29,819 was paid to CGFSC for their services.

D. CUSTODIAN: Effective July 17, 1996, The Chase Manhattan Bank (the "Bank"),
an affiliate of CGFSC, is custodian for the Portfolio's assets held in
accordance with the custodian agreement. For the period July 17, 1996 to
October 31, 1996, the amount charged to the Portfolio by the Bank aggregated
$1,852, all of which is unpaid at October 31, 1996.

E. DISTRIBUTION SERVICES: UAM Fund Distributors, Inc. (the "Distributor"), a
wholly owned subsidiary of UAM, distributes the shares of the Portfolio. The
Distributor does not receive any fee or other compensation with respect to the
Portfolio.

11
<PAGE>

NEWBOLD'S EQUITY PORTFOLIO

NOTES TO FINANCIAL STATEMENTS (UNAUDITED)--(CONTINUED)
F. TRUSTEES' FEES: Each Trustee, who is not an officer or affiliated person,
receives $2,000 per meeting attended, which is allocated proportionally among
the active portfolios of UAM Funds and AEW, plus a quarterly retainer of $150
for each active portfolio of the UAM Funds and AEW, and reimbursement of
expenses incurred in attending Trustee meetings.

G. PURCHASES AND SALES: For the period ended October 31, 1996, the Portfolio
made purchases of $4,942,753 and sales of $4,666,042 of investment securities
other than long-term U.S. Government and short-term securities. There were no
purchases or sales of long-term U.S. Government securities.

H. OTHER: At October 31, 1996, 26.7% of total shares outstanding were held by
2 record shareholders owning more than 10% of the aggregate total shares
outstanding.

12
<PAGE>

- -------------------------------------------------------------------------------

UAM FUNDS
BHM&S TOTAL RETURN BOND PORTFOLIO

- -------------------------------------------------------------------------------
OFFICERS AND TRUSTEES
Norton H. Reamer William H. Park
Trustee, President and Chairman Vice President

John T. Bennett, Jr. Michael E. DeFao
Trustee Secretary

Philip D. English Karl O. Hartmann
Trustee Assistant Secretary

William A. Humenuk Gary L. French
Trustee Treasurer

Robert R. Flaherty
Peter M. Whitman, Jr. Assistant Treasurer
Trustee
- -------------------------------------------------------------------------------
INVESTMENT ADVISER
Barrow, Hanley, Mewhinney & Strauss, Inc.
3232 McKinney Avenue, 15th Floor
Dallas, TX 75204
- -------------------------------------------------------------------------------
ADMINISTRATOR
UAM Fund Services, Inc.
211 Congress Street
Boston, MA 02110
- -------------------------------------------------------------------------------
CUSTODIAN
The Chase Manhattan Bank
3 Chase MetroTech Center
Brooklyn, NY 11245
- -------------------------------------------------------------------------------
LEGAL COUNSEL
Stradley, Ronon, Stevens & Young LLP
2600 One Commerce Square Philadelphia, PA 19103
- -------------------------------------------------------------------------------
INDEPENDENT ACCOUNTANTS
Price Waterhouse LLP
160 Federal Street
Boston, MA 02110
- -------------------------------------------------------------------------------
DISTRIBUTOR
UAM Fund Distributors, Inc.
211 Congress Street Boston, MA 02110
- -------------------------------------------------------------------------------
This report has been prepared for shareholders and may be distributed to
others only if preceded or accompanied by a current prospectus.

- -------------------------------------------------------------------------------

UAM FUNDS

BHM&S TOTAL
RETURN BOND
PORTFOLIO

- -------------------------------------------------------------------------------

SEMI-ANNUAL REPORT
OCTOBER 31, 1996
<PAGE>

Dear Shareholders:

Expectations of the economy have improved along with the bond market.
Conflicting evidence about the strength of the economy, and whether job growth
can continue without an uptick in inflation caused a back and forth guessing
game over the past six months. No action by the Federal Reserve at the
September FOMC (Federal Open Market Committee) meeting sparked a rally which
continued through the November elections.

The consensus economic view has moved toward slower growth with low inflation.
With the election process producing no surprises, foreign investors have been
investing in our market with renewed confidence. Insurance companies have also
been net buyers of bonds. The end result is lower rates (higher prices) over
the last six months as shown in the chart below:

TREASURY INTEREST RATES (%)

<TABLE>
<CAPTION>
TREASURY 4/30/96 10/31/96 CHANGE
-------- ------- -------- ------
<S> <C> <C> <C>
3 Month 5.15 5.14 -0.01
6 Month 5.30 5.26 -0.04
1 Year 5.61 5.40 -0.21
2 Year 6.04 5.73 -0.31
3 Year 6.18 5.86 -0.32
5 Year 6.41 6.07 -0.34
10 Year 6.67 6.34 -0.33
30 Year 6.90 6.64 -0.26
</TABLE>
Source: Bloomberg

This market environment provides a background to our investment management
style which is best described as a "bottom-up, rate neutral, value manager."
We build portfolios by emphasizing individual security selection that results
in sector concentrations producing a yield advantage versus the market
benchmark. The BHM&S Total Return Bond Portfolio assets grew by over 70% in
October resulting temporarily in a higher U.S. Treasury weighting which
reduces the portfolio yield. At October 31, 1996, the 30 day SEC yield for the
Institutional Service Class Shares was 6% and the 30 day SEC yield for the
Institutional Class Shares was 6%. Other current Portfolio characteristics are
as follows:

<TABLE>
<CAPTION>
10/31/96
SUPERIOR RETURNS SALOMON BROTHERS
WITH 10/31/96 BROAD
BELOW AVERAGE BHM&S INVESTMENT-
RISK PORTFOLIO GRADE BOND INDEX
---------------- --------- ----------------
<S> <C> <C>
Yield to Maturity 6.67% 6.62%
Current Yield 7.13% 7.03%
Quality AAA AAA
Average Maturity 8.4 Yrs. 8.5 Yrs.
Modified Duration 5.2 Yrs. 5.1 Yrs.
</TABLE>

1
<PAGE>

<TABLE>
<CAPTION>
10/31/96
SALOMON BROTHERS
10/31/96 BROAD
BHM&S INVESTMENT-GRADE
SECTORS PORTFOLIO* BOND INDEX
------- ---------- ----------------
<S> <C> <C>
U.S. Treasury/Agency 38.9% 51.4%
Mortgage-Backed 30.4% 30.1%
Asset-Backed 5.4% 0.8%
Industrial 10.1% 6.0%
Utility 0.8% 2.9%
Finance 9.8% 5.1%
Yankee N/A 3.6%
Cash 4.6% N/A
</TABLE>
* Sector percentages are based on net assets.

The Portfolio purchased Tenneco 10% debentures due 8/1/98 and NationsBank 7%
senior notes due 9/15/01 during the last six months. Subsequently, Tenneco has
been upgraded by Standard & Poor's and NationsBank has been upgraded by
Moody's. Additionally, Dresser Industries 6.25% notes due 6/1/00 have been put
on Moody's watchlist for upgrade. The Portfolio had no securities downgraded
in the last six months. Incremental returns are achieved through quality
upgrades narrowing a corporate bond's yield spread to Treasuries.

The Portfolio has two separate classes of shares, Institutional Class Shares
("Institutional Shares") and Institutional Service Class Shares ("Service
Shares"). For the six months ending October 31, 1996, the absolute performance
has improved for both classes of shares since the April annual report. The
total return, encompassing both price change and income, for the Institutional
Shares was 5.06% and the return of the Service Shares was 4.86%, compared to
the Salomon Brothers Broad Index return of 5.45%. Total return performance
since inception on November 1, 1995 for the Institutional Shares was 5.14%,
and total return performance for the Service Shares was 4.78% compared to
5.63% for the Salomon Brothers Broad Index. The slight shortfall in
performance for both classes of shares compared to market index is largely
explained by fund expenses which are not included in the market index's
return.

The bond group at Barrow, Hanley, Mewhinney & Strauss believes that based on
historical averages bond yields are currently attractive relative to
inflation. Our fundamental research has been rewarded with credit improvements
recently and we expect more in the future. The portfolio has grown
significantly over the last six months and for that we thank our shareholders.

BARROW, HANLEY, MEWHINNEY & STRAUSS

DEFINITION OF THE COMPARATIVE INDEX
-----------------------------------

The Salomon Brothers Broad Investment-Grade (BIG) Bond Index is a market-
capitalization weighted index which includes fixed-rate Treasury, government
sponsored, corporate (Baa3/BBB- or better) and mortgage securities. All issues
mature in one year or more and have at least $50 million face amount
outstanding for entry to the BIG Index. Issues exit the Index when their face
amount outstanding drops below $25 million, or they fail the maturity or
credit tests. The exit and entry criteria for mortgage issues is $200 million
for each coupon.

Comparisons of performance assume reinvestment of dividends.

The investment results presented in the Adviser's letter represent past
performance and should not be construed as a guarantee of future results. If
the Adviser didn't have temporary fee waivers and didn't assume expenses on
behalf of the Portfolio, total return for the Portfolio would have been lower.
The investment return and principal value of an investment will fluctuate so
that an investor's shares, when redeemed, may be worth more or less than their
original cost.

Please note that one cannot invest in an unmanaged index.

2
<PAGE>

BHM&S TOTAL RETURN BOND PORTFOLIO
PORTFOLIO OF INVESTMENTS
October 31, 1996 (Unaudited)

<TABLE>
<CAPTION>
FACE
AMOUNT VALUE+
- --------------------------------------------------------------------------------
<S> <C> <C>
CORPORATE BONDS & NOTES (20.7%)
- --------------------------------------------------------------------------------
BANKS (3.2%)
Chemical NY Corp.
9.75%, 6/15/99......................................... $ 205,000 $ 221,466
NationsBank Corp. Senior Notes
7.00%, 9/15/01......................................... 250,000 254,807
-----------
476,273
- --------------------------------------------------------------------------------
FINANCIAL (6.6%)
Associates Corp. of North America
6.57%, 10/4/99......................................... 200,000 202,160
Countrywide Funding Corp., Series E
7.20%, 10/30/06........................................ 500,000 497,435
Ford Motor Credit Corp.
6.375%, 9/15/99........................................ 200,000 200,492
General Motors Acceptance Corp.
6.65%, 5/24/00......................................... 100,000 100,634
-----------
1,000,721
- --------------------------------------------------------------------------------
INDUSTRIAL (8.1%)
American Home Products Corp.
7.70%, 2/15/00......................................... 100,000 104,233
Atlantic Richfield Co.
8.50%, 4/1/12.......................................... 225,000 252,979
Dresser Industries, Inc.
6.25%, 6/1/00.......................................... 200,000 199,374
Sears Roebuck Acceptance
6.82%, 10/17/02........................................ 500,000 502,955
Tenneco Inc.
10.00%, 8/1/98......................................... 100,000 106,313
Texaco Capital Corp.
6.19%, 7/9/03.......................................... 50,000 48,441
-----------
1,214,295
- --------------------------------------------------------------------------------
TRANSPORTATION (2.0%)
Federal Express
9.65%, 6/15/12......................................... 250,000 297,502
- --------------------------------------------------------------------------------
</TABLE>

The accompanying notes are an integral part of the financial statements.

3
<PAGE>

BHM&S TOTAL RETURN BOND PORTFOLIO
PORTFOLIO OF INVESTMENTS--(CONTINUED)
October 31, 1996 (Unaudited)

<TABLE>
<CAPTION>
FACE
AMOUNT VALUE+
- --------------------------------------------------------------------------------
<S> <C> <C>
CORPORATE BONDS & NOTES--(CONTINUED)
- --------------------------------------------------------------------------------
UTILITIES (0.8%)
Southern California Edison
8.25%, 2/1/00.......................................... $ 115,000 $ 120,529
- --------------------------------------------------------------------------------
TOTAL CORPORATE BONDS & NOTES (COST $3,092,190).......... 3,109,320
- --------------------------------------------------------------------------------
U.S. GOVERNMENT SECURITIES (38.9%)
- --------------------------------------------------------------------------------
U.S. TREASURY BONDS (20.0%)
10.375%, 11/15/12...................................... 700,000 906,829
8.75%, 5/15/17......................................... 1,060,000 1,297,175
8.125%, 8/15/19........................................ 700,000 811,013
-----------
3,015,017
- --------------------------------------------------------------------------------
U.S. TREASURY NOTES (18.9%)
7.125%, 9/30/99........................................ 1,000,000 1,032,030
7.125%, 2/29/00........................................ 1,745,000 1,804,976
-----------
2,837,006
- --------------------------------------------------------------------------------
TOTAL U.S. GOVERNMENT SECURITIES (COST $5,737,623)....... 5,852,023
- --------------------------------------------------------------------------------
AGENCY SECURITIES (30.4%)
- --------------------------------------------------------------------------------
FEDERAL HOME LOAN MORTGAGE CORP. (20.3%)
Gold Pool #C00436
7.50%, 12/1/25......................................... 3,028,441 3,045,006
- --------------------------------------------------------------------------------
FEDERAL NATIONAL MORTGAGE ASSOCIATION (8.6%)
Pool #349359
7.00%, 6/1/26.......................................... 1,317,352 1,292,230
- --------------------------------------------------------------------------------
GOVERNMENT NATIONAL MORTGAGE ASSOCIATION (1.5%)
Pool #316108
8.00%, 3/15/22......................................... 222,935 229,064
- --------------------------------------------------------------------------------
TOTAL AGENCY SECURITIES (COST $4,506,751)................ 4,566,300
- --------------------------------------------------------------------------------
</TABLE>

The accompanying notes are an integral part of the financial statements.

4
<PAGE>

BHM&S TOTAL RETURN BOND PORTFOLIO
PORTFOLIO OF INVESTMENTS--(CONTINUED)
October 31, 1996 (Unaudited)

<TABLE>
<CAPTION>
FACE
AMOUNT VALUE+
- -------------------------------------------------------------------------------
<S> <C> <C>
ASSET-BACKED SECURITIES (5.4%)
- -------------------------------------------------------------------------------
Boatmen's Auto Trust 96-A A2
6.35%, 1/15/03....................................... $ 110,000 $ 110,747
Chase Manhattan Credit Card Master Trust
Series 1996-4 Class A
6.73%, 2/15/03...................................... 500,000 507,030
NationsBank Auto Owner Trust, Series 1996-A A3
6.375%, 7/15/00..................................... 200,000 201,302
- -------------------------------------------------------------------------------
TOTAL ASSET-BACKED SECURITIES (COST $818,717).......... 819,079
- -------------------------------------------------------------------------------
SHORT-TERM INVESTMENT (6.9%)
- -------------------------------------------------------------------------------
REPURCHASE AGREEMENT
Chase Securities, Inc. 5.58%, dated 10/31/96, due
11/1/96, to be repurchased at $1,039,161,
collateralized by $1,004,308 of various U.S. Treasury
Notes, 5.875%-7.75%, due 3/31/99-11/30/99, valued at
$1,039,002 (COST $1,039,000)......................... 1,039,000 1,039,000
- -------------------------------------------------------------------------------
TOTAL INVESTMENTS (102.3%) (COST $15,194,281) (A)...... 15,385,722
- -------------------------------------------------------------------------------
OTHER ASSETS AND LIABILITIES (NET) (-2.3%)............. (348,113)
- -------------------------------------------------------------------------------
NET ASSETS (100%)...................................... $15,037,609
- -------------------------------------------------------------------------------
- -------------------------------------------------------------------------------
</TABLE>
+ See Note A to Financial Statements.
(a) The cost for federal income tax and book purposes was $15,194,281. At
October 31, 1996, net unrealized appreciation for all securities based on
tax cost was $191,441. This consisted of aggregate gross unrealized
appreciation for all securities of $197,123 and aggregate gross unrealized
depreciation for all securities of $5,682.

The accompanying notes are an integral part of the financial statements.

5
<PAGE>

BHM&S TOTAL RETURN BOND PORTFOLIO
STATEMENT OF ASSETS AND LIABILITIES
October 31, 1996 (Unaudited)

<TABLE>
- -------------------------------------------------------------------------------
<S> <C>
ASSETS
Investments, at Cost............................................. $15,194,281
===========
Investments, at Value............................................ $15,385,722
Cash............................................................. 283
Interest Receivable.............................................. 183,418
Receivable due from Investment Adviser--Note B................... 11,478
Receivable for Portfolio Shares Sold............................. 2,242
Other Assets..................................................... 236
- -------------------------------------------------------------------------------
Total Assets.................................................... 15,583,379
- -------------------------------------------------------------------------------
LIABILITIES
Payable for Investments Purchased................................ 509,432
Payable for Administrative Fees--Note C.......................... 11,519
Payable for Distribution and Service Fees--Note E................ 4,749
Payable for Trustees' Fees--Note F............................... 588
Other Liabilities................................................ 19,482
- -------------------------------------------------------------------------------
Total Liabilities............................................... 545,770
- -------------------------------------------------------------------------------
NET ASSETS........................................................ $15,037,609
- -------------------------------------------------------------------------------
- -------------------------------------------------------------------------------
NET ASSETS CONSIST OF:
Paid in Capital.................................................. 14,846,492
Undistributed Net Investment Income.............................. 79,168
Accumulated Net Realized Loss.................................... (79,492)
Unrealized Appreciation.......................................... 191,441
- -------------------------------------------------------------------------------
NET ASSETS........................................................ $15,037,609
- -------------------------------------------------------------------------------
- -------------------------------------------------------------------------------
INSTITUTIONAL CLASS SHARES
Net Assets....................................................... $12,329,720
Net Asset Value, Offering and Redemption Price Per Share
1,222,079 shares outstanding (unlimited authorization, no par
value).......................................................... $ 10.09
- -------------------------------------------------------------------------------
- -------------------------------------------------------------------------------
INSTITUTIONAL SERVICE CLASS SHARES
Net Assets....................................................... $ 2,707,889
Net Asset Value, Offering and Redemption Price Per Share
268,928 shares outstanding (Unlimited authorization, no par
value).......................................................... $ 10.07
- -------------------------------------------------------------------------------
- -------------------------------------------------------------------------------
</TABLE>

The accompanying notes are an integral part of the financial statements.

6
<PAGE>

BHM&S TOTAL RETURN BOND PORTFOLIO
STATEMENT OF OPERATIONS

<TABLE>
<CAPTION>
SIX MONTHS
ENDED
OCTOBER 31,
1996
(UNAUDITED)
- ---------------------------------------------------------------------------------
<S> <C> <C>
INTEREST INCOME
Interest.................................................. $228,137
- ---------------------------------------------------------------------------------
EXPENSES
Investment Advisory Fees--Note B
Basic Fees............................................... $ 12,369
Less: Fees Waived........................................ (12,369)
--------
Administrative Fees--Note C............................... 39,908
Audit Fees................................................ 6,932
Printing Fees............................................. 6,849
Filing and Registration Fees.............................. 4,500
Distribution and Service Fees--Note E..................... 3,405
Custodian Fees--Note D.................................... 2,275
Trustees' Fees--Note F.................................... 1,244
Other Expenses............................................ 1,594
Fees Assumed by Adviser--Note B........................... (43,380)
- ---------------------------------------------------------------------------------
Total Expenses........................................... 23,327
Expense Offset--Note A.................................... (100)
- ---------------------------------------------------------------------------------
Net Expenses............................................. 23,227
- ---------------------------------------------------------------------------------
NET INVESTMENT INCOME...................................... 204,910
- ---------------------------------------------------------------------------------
NET REALIZED LOSS ON INVESTMENTS........................... (78,295)
NET CHANGE IN UNREALIZED APPRECIATION/DEPRECIATION ON IN-
VESTMENTS................................................. 327,410
- ---------------------------------------------------------------------------------
NET GAIN ON INVESTMENTS.................................... 249,115
- ---------------------------------------------------------------------------------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS....... $454,025
- ---------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------
</TABLE>

The accompanying notes are an integral part of the financial statements.

7
<PAGE>

BHM&S TOTAL RETURN PORTFOLIO
STATEMENT OF CHANGES IN NET ASSETS

<TABLE>
<CAPTION>
SIX MONTHS
ENDED
OCTOBER 31, NOVEMBER 1,
1996 1995** TO
(UNAUDITED) APRIL 30, 1996
- -----------------------------------------------------------------------------------
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS
OPERATIONS:
Net Investment Income................................ $ 204,910 $ 99,017
Net Realized Loss.................................... (78,295) (2,447)
Net Change in Unrealized Appreciation/Depreciation... 327,410 (135,969)
- -----------------------------------------------------------------------------------
Net Increase (Decrease) in Net Assets Resulting From
Operations......................................... 454,025 (39,399)
- -----------------------------------------------------------------------------------
DISTRIBUTIONS:
Net Investment Income:
Institutional Class................................. (94,398) (38,548)
Institutional Service Class......................... (65,588) (24,975)
- -----------------------------------------------------------------------------------
Total Distributions.................................. (159,986) (63,523)
- -----------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS (NOTE I):
Institutional Class:
Issued--Regular.................................... 9,591,067 2,785,396
--In Lieu of Cash Distributions.................. 94,398 38,548
Redeemed........................................... (30,493) (340,122)
- -----------------------------------------------------------------------------------
Net Increase from Institutional Class Shares........ 9,654,972 2,483,822
- -----------------------------------------------------------------------------------
Institutional Service Class:
Issued--Regular.................................... 736,796 2,930,372
--In Lieu of Cash Distributions.................. 65,587 24,975
Redeemed........................................... (1,029,762) (20,270)
- -----------------------------------------------------------------------------------
Net Increase (Decrease) from Institutional Service
Class Shares....................................... (227,379) 2,935,077
- -----------------------------------------------------------------------------------
Net Increase from Capital Share Transactions........ 9,427,593 5,418,899
- -----------------------------------------------------------------------------------
Total Increase....................................... 9,721,632 5,315,977
Net Assets:
Beginning of Period.................................. 5,315,977 --
- -----------------------------------------------------------------------------------
End of Period (including undistributed net investment
income of $79,168 and $34,692, respectively)........ $15,037,609 $5,315,977
- -----------------------------------------------------------------------------------
- -----------------------------------------------------------------------------------
</TABLE>
** Commencement of Operations

The accompanying notes are an integral part of the financial statements.

8
<PAGE>

BHM&S TOTAL RETURN BOND PORTFOLIO FINANCIAL HIGHLIGHTS
SELECTED PER SHARE DATA & RATIOS FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD

<TABLE>
<CAPTION>
INSTITUTIONAL CLASS INSTITUTIONAL SERVICE CLASS
---------------------------- ----------------------------
SIX MONTHS SIX MONTHS
ENDED NOVEMBER 1, ENDED NOVEMBER 1,
OCTOBER 31, 1995** OCTOBER 31, 1995**
1996 TO 1996 TO
(UNAUDITED) APRIL 30, 1996++ (UNAUDITED) APRIL 30, 1996++
- -----------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
NET ASSET VALUE, BEGIN-
NING OF PERIOD......... $ 9.85 $10.00 $ 9.84 $10.00
- -----------------------------------------------------------------------------------
INCOME FROM INVESTMENT
OPERATIONS
Net Investment Income.. 0.18 0.28 0.28 0.27
Net Realized and
Unrealized Gain (Loss)
on Investments........ 0.31 (0.27) 0.19 (0.27)
- -----------------------------------------------------------------------------------
Total from Investment
Operations........... 0.49 0.01 0.47 --
- -----------------------------------------------------------------------------------
DISTRIBUTIONS
Net Investment Income.. (0.25) (0.16) (0.24) (0.16)
- -----------------------------------------------------------------------------------
NET ASSET VALUE, END OF
PERIOD................. $ 10.09 $ 9.85 $10.07 $ 9.84
- -----------------------------------------------------------------------------------
- -----------------------------------------------------------------------------------
TOTAL RETURN+........... 5.06% 0.08% 4.86% (0.07)%
- -----------------------------------------------------------------------------------
- -----------------------------------------------------------------------------------
RATIOS AND SUPPLEMENTAL
DATA
Net Assets, End of Pe-
riod (Thousands)....... $12,330 $2,445 $2,708 $2,871
Ratio of Expenses to
Average Net Assets..... 0.55%* 0.61%* 0.80%* 0.83%*
Ratio of Net Investment
Income to Average Net
Assets................. 5.70%* 5.53%* 5.65%* 5.44%*
Portfolio Turnover Rate. 111% 55% 111% 55%
- -----------------------------------------------------------------------------------
Voluntary Waived Fees
and Expenses Assumed by
the Adviser Per Share.. $ 0.04 $ 0.23 $ 0.09 $ 0.20
Ratio of Expenses to Av-
erage Net Assets In-
cluding Expense Off-
sets................... 0.55%* 0.55%* 0.80%* 0.80%*
- -----------------------------------------------------------------------------------
</TABLE>
* Annualized.
** Commencement of Operations.
+ Total return would have been lower had certain fees not been waived and
expenses assumed by the Adviser during the period.
++ Per share amounts for the period ended April 30, 1996 are based on average
outstanding shares.

The accompanying notes are an integral part of the financial statements.

9
<PAGE>

BHM&S TOTAL RETURN BOND PORTFOLIO

NOTES TO FINANCIAL STATEMENTS (UNAUDITED)

UAM Funds Trust and UAM Funds, Inc. (collectively the "UAM Funds") are
registered under the Investment Company Act of 1940, as amended. The BHM&S
Total Return Bond Portfolio (the "Portfolio"), a portfolio of UAM Funds Trust,
is a diversified, open-end management investment company. At October 31, 1996,
the UAM Funds were composed of forty active portfolios. The financial
statements of the remaining portfolios are presented separately. The objective
of the BHM&S Total Return Bond Portfolio is to provide a maximum long term
total return consistent with reasonable risk to principal by investing in
investment grade fixed income securities of varying maturities.

1. SECURITY VALUATION: Fixed income securities are stated on the basis of
valuations provided by brokers and/or a pricing service which uses
information with respect to transactions in fixed income securities,
quotations from dealers, market transactions in comparable securities and
various relationships between securities in determining value. Short-term
investments that have remaining maturities of sixty days or less at time of
purchase are valued at amortized cost, if it approximates market value. The
value of other assets and securities for which no quotations are readily
available is determined in good faith at fair value using methods
determined by the Board of Trustees.

Pursuant to an Exemptive Order issued by the Securities and Exchange
Commission, the Portfolio may transfer their daily uninvested cash balances
into a joint trading account which invests in one or more repurchase
agreements. This joint repurchase agreement is covered by the same
collateral requirements as discussed above.

10
<PAGE>

BHM&S TOTAL RETURN BOND PORTFOLIO

NOTES TO FINANCIAL STATEMENTS (UNAUDITED)--(CONTINUED)

Permanent book and tax basis differences relating to shareholder
distributions may result in reclassifications to undistributed net
investment income (loss), accumulated net realized gain (loss) and paid in
capital.

5. OTHER: Security transactions are accounted for on trade date, the date
the trade was executed. Costs used in determining realized gains and losses
on the sale of investment securities are based on the specific
identification method. Interest income is recognized on the accrual basis.
Discounts and premiums on securities purchased are amortized using the
effective yield basis over their respective lives. Most expenses of the UAM
Funds can be directly attributed to a particular portfolio. Expenses which
cannot be directly attributed are apportioned among the portfolios of the
UAM Funds based on their relative net assets. Additionally, certain
expenses are apportioned among the portfolios of the UAM Funds and AEW
Commercial Mortgage Securities Fund, Inc. ("AEW"), an affiliated closed-end
management investment company, based on their relative net assets.
Custodian fees for the Portfolio have been increased to include expense
offsets for custodian balance credits.

B. ADVISORY SERVICES: Under the terms of an investment advisory agreement,
Barrow, Hanley, Mewhinney & Strauss, Inc. (the "Adviser"), a wholly-owned
subsidiary of United Asset Management Corporation ("UAM"), provides investment
advisory services to the Portfolio at a fee calculated at an annual rate of
0.35% of average daily net assets. Through December 31, 1997, the Adviser has
voluntarily agreed to waive a portion of its advisory fees and to assume
expenses, if necessary, in order to keep the Portfolio's total annual
operating expenses, after the effect of expense offset arrangements, from
exceeding 0.55% and 0.80% of average daily net assets of the Portfolios
Institutional Class Shares and Service Class Shares, respectively.

C. ADMINISTRATION SERVICES: UAM Fund Services, Inc. (the "Administrator"), a
wholly-owned subsidiary of UAM, provides and oversees administrative, fund
accounting, dividend disbursing and transfer agent services to the UAM Funds
and AEW under a Fund Administration Agreement (the "Agreement"). Pursuant to
the Agreement, the Administrator is entitled to receive annual fees, computed
daily and payable monthly, of 0.19% of the first $200 million of the combined
aggregate net assets; plus 0.11% of the next $800 million of the combined
aggregate net assets; plus 0.07% of the next $2 billion of the combined
aggregate net assets; plus 0.05% of the combined aggregate net assets in
excess of $3 billion. The fees are allocated among the portfolios of the UAM
Funds and AEW on the basis of their relative net assets and are subject to a
graduated minimum fee schedule per portfolio which rises from $2,000 per
month, upon inception of a portfolio, to $70,000 annually after two years. For
portfolios with more than one class of shares, the minimum annual fee
increases to $90,000. In addition, the Administrator receives a Portfolio-
specific monthly fee of 0.04% of average daily net assets of the Portfolio.
The Administrator has entered into a Mutual Funds Service Agreement with Chase
Global Funds Services Company ("CGFSC"), an affiliate of The Chase Manhattan
Bank, under which CGFSC agrees to provide certain services, including but not
limited to, administration, fund accounting, dividend disbursing and transfer
agent services. Pursuant to the Mutual Funds Service Agreement, the
Administrator pays CGFSC a monthly fee. For the period ended October 31, 1996,
$38,943 was paid to CGFSC for their services.

11
<PAGE>

BHM&S TOTAL RETURN BOND PORTFOLIO

NOTES TO FINANCIAL STATEMENTS (UNAUDITED)--(CONTINUED)

E. DISTRIBUTION SERVICES: UAM Fund Distributors, Inc. (the "Distributor"), a
wholly-owned subsidiary of UAM, distributes the shares of the Portfolio. The
Portfolio has adopted a Distribution and Service Plan (the "Plan") on behalf
of the Service Class Shares pursuant to Rule 12b-1 under the Investment
Company Act of 1940. Under the Plan, the Portfolio may not incur distribution
and service fees which exceed an annual rate of 0.75% of the Portfolio's net
assets, however, the Board has currently limited aggregate payments under the
Plan to 0.50% per annum of the Portfolio's net assets. The Portfolio's Service
Class Shares are not currently making payments for distribution fees. The
Portfolio pays service fees at an annual rate of 0.25% of the average daily
value of Service Class Shares owned by clients of such Service Organizations.

F. TRUSTEES' FEES: Each Trustee, who is not an officer or affiliated person,
receives $2,000 per meeting attended, which is allocated proportionally among
the active portfolios of UAM Funds and AEW, plus a quarterly retainer of $150
for each active portfolio of the UAM Funds and AEW, and reimbursement of
expenses incurred in attending Trustee meetings.

G. PURCHASES AND SALES: For the period ended October 31 1996, the Portfolio
made purchases of $16,748,869 and sales of $7,570,300 of investment securities
other than long-term U.S. Government and short-term securities. There were no
purchases or sales of long-term U.S. Government securities.

H. OTHER: At October 31, 1996, 100% and 88.5% of total shares outstanding were
held by 4 and 3 record shareholders of the Institutional Class Shares and the
Institutional Service Class Shares, respectively, owning more than 10% of the
aggregate total shares outstanding.

I. CAPITAL SHARE TRANSACTIONS: Transactions in capital shares for the
Portfolios, by class, were as follows:

<TABLE>
<CAPTION>
INSTITUTIONAL SERVICE
INSTITUTIONAL CLASS SHARES CLASS SHARES
-------------------------- --------------------------
SIX MONTHS SIX MONTHS
ENDED ENDED
OCTOBER 31, NOVEMBER 1, OCTOBER 31, NOVEMBER 1,
1996 1995** TO 1996 1995** TO
(UNAUDITED) APRIL 30, 1996 (UNAUDITED) APRIL 30, 1996
----------- -------------- ----------- --------------
<S> <C> <C> <C> <C>
Shares Issued............ 967,518 277,892 75,054 291,359
In Lieu of Cash
Distribituion........... 9,567 3,857 6,687 2,511
Shares Redeemed.......... (3,069) (33,686) (104,676) (2,007)
------- ------- -------- -------
Net Increase (Decrease)
from Capital Share
Transactions............ 974,016 248,063 (22,935) 291,863
======= ======= ======== =======
</TABLE>
** Commencement of operations

12
<PAGE>

- -------------------------------------------------------------------------------

UAM FUNDS
CHICAGO ASSET MANAGEMENT COMPANY PORTFOLIOS

- -------------------------------------------------------------------------------
OFFICERS AND TRUSTEES
Norton H. Reamer William H. Park
Trustee, President Vice President
and Chairman

John T. Bennett, Jr. Michael E. DeFao
Trustee Secretary

Philip D. English Karl O. Hartmann
Trustee Assistant Secretary

William A. Humenuk Gary L. French
Trustee Treasurer

Peter M. Whitman, Jr. Robert R. Flaherty
Trustee Assistant Treasurer

- -------------------------------------------------------------------------------
INVESTMENT ADVISER
Chicago Asset Management Company
70 West Madison Street, 56th Floor
Chicago, IL 60602
- -------------------------------------------------------------------------------
ADMINISTRATOR
UAM Fund Services, Inc.
211 Congress Street
Boston, MA 02110
- -------------------------------------------------------------------------------
CUSTODIAN
The Chase Manhattan Bank
3 Chase MetroTech Center
Brooklyn, NY 11245
- -------------------------------------------------------------------------------
LEGAL COUNSEL
Stradley, Ronon, Stevens & Young LLP
2600 One Commerce Square
Philadelphia, PA 19103
- -------------------------------------------------------------------------------
INDEPENDENT ACCOUNTANTS
Price Waterhouse LLP
160 Federal Street
Boston, MA 02110
- -------------------------------------------------------------------------------
DISTRIBUTOR
UAM Fund Distributors, Inc.
211 Congress Street
Boston, MA 02110
- -------------------------------------------------------------------------------
This report has been prepared for shareholders and may be distributed to
others only if preceded or accompanied by a current prospectus.

- -------------------------------------------------------------------------------

UAM FUNDS

CHICAGO ASSET MANAGEMENT COMPANY
PORTFOLIOS

- -------------------------------------------------------------------------------

SEMI-ANNUAL REPORT
OCTOBER 31, 1996
<PAGE>

UAM FUNDS CHICAGO ASSET MANAGEMENT COMPANY PORTFOLIOS
- --------------------------------------------------------------------------------

TABLE OF CONTENTS

- --------------------------------------------------------------------------------

<TABLE>
<S> <C>
Shareholder's Letter........................................................ 2

Portfolio of Investments
Value/Contrarian Portfolio................................................ 4
Intermediate Bond Portfolio............................................... 7

Statement of Assets and Liabilities......................................... 10

Statement of Operations..................................................... 11

Statement of Changes
Value/Contrarian Portfolio................................................ 12
Intermediate Bond Portfolio............................................... 13

Financial Highlights
Value/Contrarian Portfolio................................................ 14
Intermediate Bond Portfolio............................................... 15

Notes to Financial Statements............................................... 16
</TABLE>

- --------------------------------------------------------------------------------
<PAGE>

Dear Shareholders:

October 31, 1996, is the end of the semi-annual reporting period for the
Chicago Asset Management Value/Contrarian Portfolio for equity investors and
the Intermediate Bond Portfolio for our fixed income clients. This letter will
review the investment environment, strategies and returns for the Portfolios.
We thank you for your confidence in our investment expertise and look forward
to maintaining a long-term relationship.

CHICAGO ASSET MANAGEMENT VALUE/CONTRARIAN PORTFOLIO

For the six months ended October 31, 1996, the equity market continued to
advance as represented by the Standard & Poor's 500 Index, which appreciated
9.08%. This Fund meaningfully underperformed the Index in this six-month
period and depreciated 1.98%. This is the severest period of underperformance
the Fund has experienced.

During this time, it is true that the market favored growth funds and not
value/contrarian funds. Additionally, several of our holdings meaningfully
underperformed the market. The coincidence of these events resulted in the
performance significantly lagging the Index.

Our approach is to always seek out larger companies which have been
underperforming for reasons we can identify and believe to be temporary. In
this particular time segment, several of these issues continued to
underperform. We reacted by maintaining our normal discipline and adding to
the holdings as they underperformed, since we are comfortable that the
potential is there for future outperformance.

In theory, and in our experience, it is a viable approach to continually add
to holdings at lower levels when the long-term outlook is favorable.
Conversely, we find it appropriate to sell portions of individual holdings
which are strongly outperforming and oversized in the portfolio. In fact,
during this six-month period, we eliminated the holdings of Exxon and Procter
& Gamble. Each had performed well and reached our price objective. We
initiated a new holding in United Healthcare in response to its substantial
underperformance prior to our investment. The outlook for the future appears
to be above average.

Although such short-term performance can be unsettling, we know at the onset
of any rational investment program there will be times of underperformance,
just as there will be times of outperformance. We use this as an opportunity
to seek values within the market and emphasize holdings which appear to be
most severely depressed. In the past, when we have experienced such depressed
values, the additional investment in those securities has produced superior
future performance. There is, of course, no guarantee that it will occur this
time, but we believe it appropriate not to waver from our longer-term, proven
disciplines and to maintain them throughout this cycle. Perhaps one of the
most important issues to face is to not deviate from the original investment
philosophy and style when it is underperforming on an interim basis.

CHICAGO ASSET MANAGEMENT INTERMEDIATE BOND PORTFOLIO

The six month period ended October 31, 1996, was a favorable period for bond
investors. It concluded with interest rates on intermediate U.S. Treasury
securities being over 30 basis points lower than their April 30th levels. The
income generated from the portfolio's investments was enhanced by the capital
appreciation resulting from this decline in interest rates.

2
<PAGE>

The investment environment had two major cycles. The May through August period
was a time of an overall upward bias in rates. The Gross Domestic Product for
the second calendar quarter came in at a strong 4.8% annual rate. This was
reinforced with statistics showing real final sales expanding at a 4.3% annual
rate. The market feared that the Federal Reserve would have to increase short-
term interest rates.

The second cycle began by the end of the summer when the housing market
softened due to higher mortgage rates, consumer spending moderated and
consumer price inflation remained in check. Market psychology turned
dramatically positive. No longer was there a fear of Federal Reserve action to
push up interest rates. Yields had a nice decline of about 60 basis points
during September and October.

These times of manic depressive behavior by the bond market reinforced our
belief that guessing the future direction of rates is counterproductive. We
continued to focus our efforts on constructing a well diversified portfolio
for income and safety. Emphasis was placed on U.S. Treasury and Agency Notes
and the obligations of large U.S. corporations. The portfolio continued to
make investments in bonds which have a put feature. These securities were
issued by Motorola, State Street Boston Corp and J.C. Penney. They can be put
back to, returned to, the company at par in seven to ten years if rates are
higher at that time. If rates are lower in the future, the portfolio can
continue to hold the bonds and reap the capital appreciation and high income.
With these securities we have the defensive characteristics of an intermediate
bond, should rates rise, and the offensive characteristics of a long maturity
security, should rates decline. By investing in this manner we can construct a
portfolio with characteristics which should enhance long-term performance.

The Portfolio had the following characteristics relative to the Lehman
Brothers Intermediate Government/Corporate Index as of October 31, 1996:

<TABLE>
<CAPTION>
PORTFOLIO INDEX
---------- ----------
<S> <C> <C>
Average Maturity.................................... 5.31 Years 4.21 Years
Average Duration.................................... 3.43 Years 3.27 Years
Average Coupon...................................... 6.69% 6.84%
Yield to Maturity................................... 6.17% 6.10%
</TABLE>

For the six months ended October 31, 1996, the Portfolio produced a total rate
of return, net of expenses, of 3.92% versus the Lehman Brothers Intermediate
Government/Corporate Index return of 4.59%.

Chicago Asset Management Company

DEFINITION OF THE COMPARATIVE INDICES

The S&P 500 Index is an unmanaged index composed of 400 industrial, 40
financial, 40 utilities and 20 transportation stocks.

The Lehman Brothers Intermediate Government/Corporate Index is an unmanaged
index composed of a combination of the Government and Corporate Bond Indices.
All issues are investment grade (BBB) or higher with maturities of one to ten
years and an outstanding par value of at least $100 million for U.S.
Government issues and $25 million for others. The Government Index includes
public obligations of the U.S. Treasury, issues of Government agencies, and
corporate debt backed by the U.S. government. The Corporate Bond Index
includes fixed-rate nonconvertible corporate debt. Also included are Yankee
bonds and nonconvertible debt issued by or guaranteed by foreign or
international governments and agencies. Any security downgraded during the
month is held in the index until month-end and then removed. All returns are
market value weighted inclusive of accrued income.

Comparisons of performance assume reinvestment of dividends.

The investment results presented in the Adviser's letter represent past
performance and should not be construed as a guarantee of future results. If
the Adviser didn't have temporary fee waivers and didn't assume expenses on
behalf of the Portfolios, total returns for the Portfolios would have been
lower. The investment return and principal value of an investment will
fluctuate so that an investor's shares, when redeemed, may be worth more or
less than their original cost.

Please note that one cannot invest in an unmanaged index.

3
<PAGE>

CHICAGO ASSET MANAGEMENT VALUE/CONTRARIAN PORTFOLIO
PORTFOLIO OF INVESTMENTS
October 31, 1996 (Unaudited)

<TABLE>
<CAPTION>
SHARES VALUE+
- -------------------------------------------------------------------------------
<S> <C> <C>
COMMON STOCKS (97.0%)
- -------------------------------------------------------------------------------
AEROSPACE & DEFENSE (6.1%)
Raytheon Co................................................. 900 $ 44,325
United Technologies Corp.................................... 250 32,187
----------
76,512
- -------------------------------------------------------------------------------
AUTOMOTIVE (6.5%)
Ford Motor Co............................................... 1,300 40,625
General Motors Corp......................................... 750 40,406
----------
81,031
- -------------------------------------------------------------------------------
BANKS (6.3%)
Banc One Corp............................................... 925 39,197
BankAmerica Corp............................................ 425 38,887
----------
78,084
- -------------------------------------------------------------------------------
BEVERAGES, FOOD & TOBACCO (9.9%)
General Mills, Inc.......................................... 650 37,131
IBP, Inc.................................................... 1,800 45,000
Sysco Corp.................................................. 1,225 41,650
----------
123,781
- -------------------------------------------------------------------------------
BROADCASTING & PUBLISHING (2.7%)
Deluxe Corp................................................. 1,025 33,441
- -------------------------------------------------------------------------------
CHEMICALS (5.8%)
Dow Chemical Co............................................. 500 38,875
Ethyl Corp.................................................. 4,100 33,825
----------
72,700
- -------------------------------------------------------------------------------
CONSUMER DURABLES (2.1%)
Goodyear Tire & Rubber Co................................... 575 26,378
- -------------------------------------------------------------------------------
ELECTRONICS (3.2%)
AMP, Inc.................................................... 1,175 39,803
- -------------------------------------------------------------------------------
ENERGY (5.9%)
Mobil Corp.................................................. 250 29,187
Tenneco, Inc................................................ 900 44,550
----------
73,737
- -------------------------------------------------------------------------------
</TABLE>
The accompanying notes are an integral part of the financial statements.

4
<PAGE>

CHICAGO ASSET MANAGEMENT VALUE/CONTRARIAN PORTFOLIO
PORTFOLIO OF INVESTMENTS--(CONTINUED)
October 31, 1996 (Unaudited)

<TABLE>
<CAPTION>
SHARES VALUE+
- -------------------------------------------------------------------------------
<S> <C> <C>
COMMON STOCKS--(CONTINUED)
- -------------------------------------------------------------------------------
HEALTH CARE (3.3%)
United Healthcare Corp...................................... 1,100 $ 41,663
- -------------------------------------------------------------------------------
INSURANCE (3.5%)
Chubb Corp.................................................. 875 43,750
- -------------------------------------------------------------------------------
LODGING & RESTAURANTS (3.1%)
Darden Restaurants, Inc..................................... 4,650 38,944
- -------------------------------------------------------------------------------
MANUFACTURING (9.4%)
Eastman Kodak Co............................................ 500 39,875
General Electric Co......................................... 375 36,281
Whitman Corp................................................ 1,675 40,619
----------
116,775
- -------------------------------------------------------------------------------
PAPER & PACKAGING (6.5%)
International Paper Co...................................... 975 41,681
Weyerhaeuser Co............................................. 850 38,994
----------
80,675
- -------------------------------------------------------------------------------
PHARMACEUTICALS (6.1%)
Pharmacia & Upjohn, Inc..................................... 1,000 36,000
Warner Lambert Co........................................... 625 39,766
----------
75,766
- -------------------------------------------------------------------------------
RETAIL (6.4%)
Nordstrom, Inc.............................................. 1,150 41,400
The Limited, Inc............................................ 2,100 38,588
----------
79,988
- -------------------------------------------------------------------------------
TECHNOLOGY (7.0%)
Apple Computer, Inc......................................... 1,975 45,425
International Business Machines Corp........................ 325 41,925
----------
87,350
- -------------------------------------------------------------------------------
TELECOMMUNICATIONS (3.2%)
AT&T Corp................................................... 1,150 40,106
- -------------------------------------------------------------------------------
TOTAL COMMON STOCKS (COST $1,094,497)........................ 1,210,484
- -------------------------------------------------------------------------------
</TABLE>
The accompanying notes are an integral part of the financial statements.

5
<PAGE>

CHICAGO ASSET MANAGEMENT VALUE/CONTRARIAN PORTFOLIO
PORTFOLIO OF INVESTMENTS--(CONTINUED)
October 31, 1996 (Unaudited)

<TABLE>
<CAPTION>
FACE
AMOUNT VALUE+
- --------------------------------------------------------------------------------
<S> <C> <C>
SHORT-TERM INVESTMENT (5.7%)
- --------------------------------------------------------------------------------
REPURCHASE AGREEMENT
Chase Securities, Inc. 5.58%, dated 10/31/96, due 11/1/96,
to be repurchased at $71,011, collateralized by $68,629
of various U.S. Treasury Notes, 5.875%-7.75%, due
3/31/99-11/30/99, valued at $71,000 (COST $71, 000)...... $71,000 $ 71,000
- --------------------------------------------------------------------------------
TOTAL INVESTMENTS (102.7%) (COST $1,165,497)(A)............. 1,281,484
- --------------------------------------------------------------------------------
OTHER ASSETS AND LIABILITIES (NET) (-2.7%).................. (33,482)
- --------------------------------------------------------------------------------
NET ASSETS (100%)........................................... $1,248,002
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
</TABLE>
+ See Note A to Financial Statements.
(a) The cost for federal income tax purposes was $1,165,497. At October 31,
1996, net unrealized appreciation for all securities based on tax cost was
$115,987. This consisted of aggregate gross unrealized appreciation for
all securities of $161,373 and aggregate gross unrealized depreciation for
all securities of $45,386.

The accompanying notes are an integral part of the financial statements.

6
<PAGE>

CHICAGO ASSET MANAGEMENT INTERMEDIATE BOND PORTFOLIO
PORTFOLIO OF INVESTMENTS
October 31, 1996 (Unaudited)

<TABLE>
<CAPTION>
FACE
AMOUNT VALUE+
- -------------------------------------------------------------------------------
<S> <C> <C>
CORPORATE BONDS & NOTES (63.4%)
- -------------------------------------------------------------------------------
BANKS (15.5%)
BankAmerica Corp. 7.625%, 6/15/04......................... $250,000 $ 260,350
Northern Trust Co. 6.50%, 5/1/03.......................... 250,000 246,360
Norwest Corp. 7.70%, 11/15/97............................. 250,000 254,588
State Street Boston Corp. 7.35%, 6/15/26.................. 250,000 261,095
SunTrust Banks, Inc. 6.00%, 2/15/26....................... 275,000 259,352
----------
1,281,745
- -------------------------------------------------------------------------------
FINANCIAL SERVICES (15.2%)
Associates Corp. of North America 7.75%, 2/15/05 ......... 250,000 266,690
Exxon Capital Corp. 6.625%, 8/15/02....................... 9,000 9,030
Exxon Capital Corp. 7.875%, 8/15/97....................... 105,000 106,711
Ford Motor Credit Co.--Global Bond 6.25%, 11/8/00......... 250,000 247,940
General Electric Credit Corp. 7.85%, 2/1/97............... 250,000 251,335
General Motors Acceptance Corp. 8.00%, 5/2/97............. 250,000 252,792
IBM Credit Corp. 6.375%, 11/1/97.......................... 125,000 125,636
----------
1,260,134
- -------------------------------------------------------------------------------
INDUSTRIAL (16.7%)
Heinz (H.J.) Co. 5.50%, 9/15/97........................... 278,000 277,261
Hertz Corp. 8.30%, 2/2/98................................. 250,000 256,805
PepsiCo, Inc. 6.25%, 9/1/99............................... 250,000 249,260
Shell Oil Co. 6.625%, 7/1/99.............................. 250,000 252,793
WMX Technologies, Inc. 6.25%, 10/15/00.................... 250,000 248,520
WMX Technologies, Inc. 7.00%, 10/15/06.................... 100,000 100,600
----------
1,385,239
- -------------------------------------------------------------------------------
PHARMACEUTICALS (1.1%)
Merck & Co. 6.00%, 1/15/97................................ 90,000 90,077
- -------------------------------------------------------------------------------
RETAIL (8.3%)
J.C. Penney & Co. 5.375%, 11/15/98........................ 53,000 52,292
J.C. Penney & Co. 6.90%, 8/15/26.......................... 200,000 202,362
Motorola, Inc. 6.50%, 9/1/25.............................. 300,000 299,082
Wal-Mart Stores, Inc. 6.375%, 3/1/03...................... 140,000 138,583
----------
692,319
- -------------------------------------------------------------------------------
</TABLE>

The accompanying notes are an integral part of the financial statements.

7
<PAGE>

CHICAGO ASSET MANAGEMENT INTERMEDIATE BOND PORTFOLIO
PORTFOLIO OF INVESTMENTS--(CONTINUED)
October 31, 1996 (Unaudited)

<TABLE>
<CAPTION>
FACE
AMOUNT VALUE+
- -------------------------------------------------------------------------------
<S> <C> <C>
CORPORATE BONDS & NOTES--(CONTINUED))
- -------------------------------------------------------------------------------
UTILITIES (6.6%)
Florida Power & Light Co. 5.50%, 7/1/99................... $150,000 $ 147,497
Pennsylvania Power & Light Co. 5.50%, 4/1/98.............. 150,000 148,926
Virginia Electric Power Co. 6.25%, 8/1/98................. 250,000 250,825
----------
547,248
- -------------------------------------------------------------------------------
TOTAL CORPORATE BONDS & NOTES (COST $5,162,685)............ 5,256,762
- -------------------------------------------------------------------------------
U.S. GOVERNMENT SECURITIES (26.2%)
- -------------------------------------------------------------------------------
U.S. TREASURY NOTES
6.75%, 2/28/97............................................ 250,000 251,093
6.125%, 5/31/97........................................... 550,000 551,974
5.875%, 7/31/97........................................... 175,000 175,520
7.75%, 1/31/00............................................ 500,000 526,015
5.25%, 1/31/01............................................ 250,000 243,165
7.50%, 11/15/01........................................... 250,000 264,765
7.50%, 5/15/02............................................ 50,000 53,195
6.875%, 5/15/06........................................... 100,000 103,531
- -------------------------------------------------------------------------------
TOTAL U.S. GOVERNMENT SECURITIES (COST $2,123,922)......... 2,169,258
- -------------------------------------------------------------------------------
AGENCY SECURITIES (8.1%)
- -------------------------------------------------------------------------------
FEDERAL NATIONAL MORTGAGE ASSOCIATION
5.37%, 2/7/01............................................. 250,000 242,070
6.40%, 9/27/05............................................ 200,000 196,968
5.875%, 2/2/06............................................ 250,000 236,952
- -------------------------------------------------------------------------------
TOTAL AGENCY SECURITIES (COST $691,861).................... 675,990
- -------------------------------------------------------------------------------
</TABLE>

The accompanying notes are an integral part of the financial statements.

8
<PAGE>

CHICAGO ASSET MANAGEMENT INTERMEDIATE BOND PORTFOLIO
PORTFOLIO OF INVESTMENTS--(CONTINUED)
October 31, 1996 (Unaudited)

<TABLE>
<CAPTION>
FACE
AMOUNT VALUE+
- --------------------------------------------------------------------------------
<S> <C> <C>
SHORT-TERM INVESTMENT (0.5%)
- --------------------------------------------------------------------------------
REPURCHASE AGREEMENT
Chase Securities, Inc. 5.58%, dated 10/31/96, due 11/1/96,
to be repurchased at $44,007, collateralized by $42,531 of
various U.S. Treasury Notes, 5.875%-7.75%, due 3/31/99-
11/30/99, valued at $44,000 (COST $44,000)................ $ 44,000 $ 44,000
- --------------------------------------------------------------------------------
TOTAL INVESTMENTS (98.2%) (COST $8,022,468)(A).............. 8,146,010
- --------------------------------------------------------------------------------
OTHER ASSETS AND LIABILITIES (NET) (1.8%)................... 147,345
- --------------------------------------------------------------------------------
NET ASSETS (100%)........................................... $8,293,355
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
</TABLE>
+ See Note A to Financial Statements
(a) The cost for federal income and book tax purposes was $8,022,468. At
October 31, 1996, net unrealized appreciation for all securities based on
tax cost was $123,542. This consisted of aggregate gross unrealized
appreciation for all securities of $177,875 and aggregate gross unrealized
depreciation for all securities of $54,333.

The accompanying notes are an integral part of the financial statements.

9
<PAGE>

CHICAGO ASSET MANAGEMENT PORTFOLIOS
STATEMENT OF ASSETS AND LIABILITIES
October 31, 1996 (Unaudited)

<TABLE>
<CAPTION>
CHICAGO ASSET CHICAGO ASSET
MANAGEMENT MANAGEMENT
VALUE/ INTERMEDIATE
CONTRARIAN BOND
PORTFOLIO PORTFOLIO
- -------------------------------------------------------------------------------
<S> <C> <C>
ASSETS
Investments, at Cost.............................. $1,165,497 $8,022,468
========== ==========
Investments, at Value............................. $1,281,484 $8,146,010
Cash.............................................. 9,255 4,945
Deferred Organization Costs--Note A............... 13,908 15,680
Receivable due from Investment Adviser--Note B.... 10,038 5,572
Dividends Receivable.............................. 2,286 --
Receivable for Portfolio Shares Sold.............. 2,217 593
Interest Receivable............................... 11 147,013
Other Assets...................................... 30 324
- -------------------------------------------------------------------------------
Total Assets..................................... 1,319,229 8,320,137
- -------------------------------------------------------------------------------
LIABILITIES
Payable for Investments Purchased................. 51,244 --
Payable for Administrative Fees--Note C........... 6,469 6,615
Payable for Trustees' Fees--Note F................ 612 602
Other Liabilities................................. 12,902 19,565
- -------------------------------------------------------------------------------
Total Liabilities................................ 71,227 26,782
- -------------------------------------------------------------------------------
NET ASSETS......................................... $1,248,002 $8,293,355
- -------------------------------------------------------------------------------
- -------------------------------------------------------------------------------
NET ASSETS CONSIST OF:
Paid in Capital................................... $1,050,844 8,093,236
Undistributed Net Investment Income............... 2,108 58,078
Accumulated Net Realized Gain..................... 79,063 18,499
Unrealized Appreciation........................... 115,987 123,542
- -------------------------------------------------------------------------------
NET ASSETS......................................... $1,248,002 $8,293,355
- -------------------------------------------------------------------------------
- -------------------------------------------------------------------------------
INSTITUTIONAL CLASS SHARES
Shares Issued and Outstanding (Unlimited
authorization, no par value)..................... 94,189 791,267
Net Asset Value, Offering and Redemption Price Per
Share............................................ $ 13.25 $ 10.48
- -------------------------------------------------------------------------------
- -------------------------------------------------------------------------------
</TABLE>

The accompanying notes are an integral part of the financial statements.

10
<PAGE>

CHICAGO ASSET MANAGEMENT PORTFOLIOS
STATEMENT OF OPERATIONS
For the Six Months Ended October 31, 1996 (Unaudited)

<TABLE>
<CAPTION>
CHICAGO ASSET CHICAGO ASSET
MANAGEMENT MANAGEMENT
VALUE/ INTERMEDIATE
CONTRARIAN BOND
PORTFOLIO PORTFOLIO
- ----------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
INVESTMENT INCOME
Dividends........................ $ 13,071 $ --
Interest......................... 709 272,708
- ----------------------------------------------------------------------------------
Total Income.................... 13,780 272,708
- ----------------------------------------------------------------------------------
EXPENSES
Investment Advisory Fees--Note B
Basic Fees...................... $ 3,355 $ 19,555
Less: Fees Waived............... (3,355) -- (19,555) --
------- --------
Administrative Fees--Note C...... 37,029 38,740
Custodian Fees--Note D........... 761 594
Audit Fees....................... 6,886 6,944
Printing Fees.................... 7,041 5,596
Trustees' Fees--Note F........... 1,236 1,273
Registration Fees................ 6,013 6,225
Amortization of Organization
Expense--Note A................. 2,243 946
Other Expenses................... 541 1,785
Fees Assumed by Adviser--Note B.. (56,421) (29,178)
- ----------------------------------------------------------------------------------
Total Expenses.................. 5,329 32,925
Expense Offset-Note A............ (241) (393)
- ----------------------------------------------------------------------------------
Net Expenses.................... 5,088 32,532
- ----------------------------------------------------------------------------------
NET INVESTMENT INCOME............. 8,692 240,176
- ----------------------------------------------------------------------------------
NET REALIZED GAIN ON INVESTMENTS.. 43,838 6,693
NET CHANGE IN UNREALIZED
APPRECIATION/DEPRECIATION OF
INVESTMENTS...................... (72,681) 69,999
- ----------------------------------------------------------------------------------
NET GAIN (LOSS) ON INVESTMENTS.... (28,843) 76,692
- ----------------------------------------------------------------------------------
NET INCREASE (DECREASE) IN NET
ASSETS RESULTING FROM OPERATIONS. $(20,151) $316,868
- ----------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------
</TABLE>

The accompanying notes are an integral part of the financial statements.

11
<PAGE>

CHICAGO ASSET MANAGEMENT VALUE/CONTRARIAN PORTFOLIO
STATEMENT OF CHANGES IN NET ASSETS

<TABLE>
<CAPTION>
SIX MONTHS
ENDED
OCTOBER 31, YEAR ENDED
1996 APRIL 30,
(UNAUDITED) 1996
- ----------------------------------------------------------------------------------
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS
OPERATIONS:
Net Investment Income................................... $ 8,692 $ 12,039
Net Realized Gain....................................... 43,838 52,560
Net Change in Unrealized Appreciation/Depreciation...... (72,681) 130,882
- ----------------------------------------------------------------------------------
Net Increase (Decrease) in Net Assets Resulting from
Operations............................................ (20,151) 195,481
- ----------------------------------------------------------------------------------
DISTRIBUTIONS:
Net Investment Income................................... (11,958) (14,741)
Net Realized Gain....................................... -- (19,147)
- ----------------------------------------------------------------------------------
Total Distributions.................................... (11,958) (33,888)
- ----------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS: (1)
Issued--Regular......................................... 445,492 79,245
--In Lieu of Cash Distributions....................... 11,343 31,757
Redeemed................................................ (68,528) (76,406)
- ----------------------------------------------------------------------------------
Net Increase from Capital Share Transactions........... 388,307 34,596
- ----------------------------------------------------------------------------------
Total Increase.......................................... 356,198 196,189
Net Assets:
Beginning of Period..................................... 891,804 695,615
- ----------------------------------------------------------------------------------
End of Period (including undistributed net investment
income of $2,108 and $5,373, respectively)............. $1,248,002 $891,804
- ----------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------
(1)Shares Issued and Redeemed:
Shares Issued........................................... 33,560 6,326
In Lieu of Cash Distributions........................... 847 2,606
Redeemed................................................ (5,450) (6,135)
- ----------------------------------------------------------------------------------
28,957 2,797
- ----------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------
</TABLE>

The accompanying notes are an integral part of the financial statements.

12
<PAGE>

CHICAGO ASSET MANAGEMENT INTERMEDIATE BOND PORTFOLIO
STATEMENT OF CHANGES IN NET ASSETS

<TABLE>
<CAPTION>
SIX MONTHS
ENDED
OCTOBER 31, YEAR ENDED
1996 APRIL 30,
(UNAUDITED) 1996
- ----------------------------------------------------------------------------------
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS
OPERATIONS:
Net Investment Income.................................. $ 240,176 $ 404,686
Net Realized Gain...................................... 6,693 60,194
Net Change in Unrealized Appreciation/Depreciation..... 69,999 (78,098)
- ----------------------------------------------------------------------------------
Net Increase in Net Assets Resulting from Operations.. 316,868 386,782
- ----------------------------------------------------------------------------------
DISTRIBUTIONS:
Net Investment Income.................................. (240,268) (388,730)
Net Realized Gain...................................... -- (48,388)
- ----------------------------------------------------------------------------------
Total Distributions................................... (240,268) (437,118)
- ----------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS: (1)
Issued--Regular........................................ 129,327 2,481,207
--In Lieu of Cash Distributions...................... 239,779 435,292
Redeemed............................................... (133,442) (151,965)
- ----------------------------------------------------------------------------------
Net Increase from Capital Share Transactions.......... 235,664 2,764,534
- ----------------------------------------------------------------------------------
Total Increase......................................... 312,264 2,714,198
Net Assets:
Beginning of Period.................................... 7,981,091 5,266,893
- ----------------------------------------------------------------------------------
End of Period (including undistributed net investment
income of $58,078 and $58,170, respectively).......... $8,293,355 $7,981,091
- ----------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------
(1)Shares Issued and Redeemed:
Shares Issued......................................... 12,518 231,545
In Lieu of Cash Distributions......................... 23,237 41,292
Redeemed.............................................. (12,853) (14,328)
- ----------------------------------------------------------------------------------
22,902 258,509
- ----------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------
</TABLE>

The accompanying notes are an integral part of the financial statements.

13
<PAGE>

CHICAGO ASSET MANAGEMENT VALUE/CONTRARIAN PORTFOLIO
FINANCIAL HIGHLIGHTS
SELECTED PER SHARE DATA & RATIOS
FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD

<TABLE>
<CAPTION>
SIX MONTHS
ENDED DECEMBER 16,
OCTOBER 31, YEAR ENDED 1994** TO
1996 APRIL 30, APRIL 30,
(UNAUDITED) 1996 1995
- -------------------------------------------------------------------------------
<S> <C> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD....... $ 13.67 $ 11.14 $10.00
- -------------------------------------------------------------------------------
INCOME FROM INVESTMENT OPERATIONS
Net Investment Income..................... 0.09 0.19 0.05
Net Realized and Unrealized Gain (Loss) on
Investments.............................. (0.36) 2.86 1.13
- -------------------------------------------------------------------------------
Total from Investment Operations......... (0.27) 3.05 1.18
- -------------------------------------------------------------------------------
DISTRIBUTIONS
Net Investment Income..................... (0.15) (0.23) (0.04)
Net Realized Gain......................... -- (0.29) --
- -------------------------------------------------------------------------------
Total Distributions...................... (0.15) (0.52) (0.04)
- -------------------------------------------------------------------------------
NET ASSET VALUE, END OF PERIOD............. $ 13.25 $ 13.67 $11.14
- -------------------------------------------------------------------------------
- -------------------------------------------------------------------------------
TOTAL RETURN+.............................. (1.98)% 28.00% 11.81%
- -------------------------------------------------------------------------------
- -------------------------------------------------------------------------------
RATIOS AND SUPPLEMENTAL DATA
Net Assets, End of Period (Thousands)..... $ 1,248 $ 892 $ 696
Ratio of Expenses to Average Net Assets... 0.99%* 1.06% 0.95%*
Ratio of Net Investment Income to Average
Net Assets............................... 1.62%* 1.51% 1.54%*
Portfolio Turnover Rate................... 17% 33% 4%
Average Commission Rate#.................. $0.0585 $0.0600 N/A
- -------------------------------------------------------------------------------
Voluntary Waived Fees and
Expenses Assumed by the Adviser Per
Share................................... $ 0.62 $ 1.50 $ 0.58
Ratio of Expenses to Average Net
Assets Including Expense Offsets......... 0.95%* 0.95% 0.95%*
- -------------------------------------------------------------------------------
</TABLE>
* Annualized
** Commencement of Operations
+ Total return would have been lower had certain fees not been waived and
expenses assumed by the Adviser during the periods indicated.
# Beginning with fiscal year 1996, the Portfolio is required to disclose the
average commission rate per share it paid for portfolio trades, on which
commissions were charged, during the period.

The accompanying notes are an integral part of the financial statements.

14
<PAGE>

CHICAGO ASSET MANAGEMENT INTERMEDIATE BOND PORTFOLIO
FINANCIAL HIGHLIGHTS
SELECTED PER SHARE DATA & RATIOS
FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD

<TABLE>
<CAPTION>
SIX MONTHS
ENDED JANUARY 24,
OCTOBER 31, YEAR ENDED 1995** TO
1996 APRIL 30, APRIL 30,
(UNAUDITED) 1996 1995
- -------------------------------------------------------------------------------
<S> <C> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD........ $10.39 $10.33 $10.00
- -------------------------------------------------------------------------------
INCOME FROM INVESTMENT OPERATIONS
Net Investment Income...................... 0.31 0.64 0.17
Net Realized and Unrealized Gain on
Investments++............................. 0.09 0.14 0.26
- -------------------------------------------------------------------------------
Total from Investment Operations.......... 0.40 0.78 0.43
- -------------------------------------------------------------------------------
DISTRIBUTIONS
Net Investment Income...................... (0.31) (0.64) (0.10)
Net Realized Gain.......................... -- (0.08) --
- -------------------------------------------------------------------------------
Total Distributions....................... (0.31) (0.72) (0.10)
- -------------------------------------------------------------------------------
NET ASSET VALUE, END OF PERIOD.............. $10.48 $10.39 $10.33
- -------------------------------------------------------------------------------
- -------------------------------------------------------------------------------
TOTAL RETURN+............................... 3.92% 7.62% 4.31%
- -------------------------------------------------------------------------------
- -------------------------------------------------------------------------------
RATIOS AND SUPPLEMENTAL DATA
Net Assets, End of Period (Thousands)...... $8,293 $7,981 $5,267
Ratio of Expenses to Average Net Assets.... 0.81%* 0.84% 0.80%*
Ratio of Net Investment Income to Average
Net Assets................................ 5.89%* 6.17% 6.20%*
Portfolio Turnover Rate.................... 13% 24% 0%
- -------------------------------------------------------------------------------
Voluntary Waived Fees and Expenses Assumed
by the Adviser Per Share.................. $ 0.06 $ 0.12 $ 0.08
Ratio of Expenses to Average Net Assets
Including Expense Offsets................. 0.80%* 0.80% 0.80%*
- -------------------------------------------------------------------------------
</TABLE>
* Annualized
** Commencement of Operations
+ Total return would have been lower had certain fees not been waived and
expenses assumed by the Adviser for the periods indicated.
++ The amount shown for the year ended April 30, 1996 for a share outstanding
throughout that year does not accord with the aggregate net losses on
investments for that year because of the timing of sales and repurchases of
the Portfolio shares in relation to fluctuating market value of the
investments of the Portfolio.

The accompanying notes are an integral part of the financial statements.

15
<PAGE>

CHICAGO ASSET MANAGEMENT COMPANY PORTFOLIOS

NOTES TO FINANCIAL STATEMENTS (UNAUDITED)

UAM Funds Trust and UAM Funds, Inc. (collectively the "UAM Funds") are
registered under the Investment Company Act of 1940, as amended. The Chicago
Asset Management Value/Contrarian Portfolio and Chicago Asset Management
Intermediate Bond Portfolio (the "Portfolios"), portfolios of UAM Funds Trust,
are diversified, open-end management investment companies. At October 31,
1996, the UAM Funds were composed of forty active portfolios. The financial
statements of the remaining portfolios are presented separately. The objective
of the Chicago Asset Management Value/Contrarian Portfolio is to provide
capital appreciation by investing primarily in the common stock of large
companies. The objective of the Chicago Asset Management Intermediate Bond
Portfolio is to provide a high level of current income consistent with
moderate interest rate exposure by investing primarily in investment grade
bonds with an average weighted maturity between 3 and 10 years.

A. SIGNIFICANT ACCOUNTING POLICIES: The following significant accounting
policies are in conformity with generally accepted accounting principles. Such
policies are consistently followed by the Portfolios in the preparation of
their financial statements. Generally accepted accounting principles may
require management to make estimates and assumptions that affect the reported
amounts and disclosures in the financial statements. Actual results may differ
from those estimates.

1. SECURITY VALUATION: Securities listed on a securities exchange for which
market quotations are readily available are valued at the last quoted sales
price as of the close of the exchange on the day the valuation is made or,
if no sale occurred on such day, at the bid price on such day. Price
information on listed securities is taken from the exchange where the
security is primarily traded. Over-the-counter and unlisted securities are
valued at the current bid price. Fixed income securities are stated on the
basis of valuations provided by brokers and/or a pricing service which uses
information with respect to transactions in fixed income securities,
quotations from dealers, market transactions in comparable securities and
various relationships between securities in determining value. Short-term
investments that have remaining maturities of sixty days or less at time of
purchase are valued at amortized cost, if it approximates market value. The
value of other assets and securities for which no quotations are readily
available is determined in good faith at fair value using methods
determined by the Board of Trustees.

2. FEDERAL INCOME TAXES: It is each Portfolio's intention to qualify as a
regulated investment company under Subchapter M of the Internal Revenue
Code and to distribute all of its taxable income. Accordingly, no provision
for Federal income taxes is required in the financial statements.

3. REPURCHASE AGREEMENTS: In connection with transactions involving
repurchase agreements, the Portfolios' custodian bank takes possession of
the underlying securities, the value of which exceeds the principal amount
of the repurchase transaction, including accrued interest. To the extent
that any repurchase transaction exceeds one business day, the value of the
collateral is monitored on a daily basis to determine the adequacy of the
collateral. In the event of default on the obligation to repurchase, the
Portfolios has the right to liquidate the collateral and apply the proceeds
in satisfaction of the obligation. In the event of default or bankruptcy by
the other party to the agreement, realization and/or retention of the
collateral or proceeds may be subject to legal proceedings.

Pursuant to an Exemptive Order issued by the Securities and Exchange
Commission, the Portfolios may transfer their daily uninvested cash
balances into a joint trading account which invests in one or more

16
<PAGE>

CHICAGO ASSET MANAGEMENT COMPANY PORTFOLIOS

NOTES TO FINANCIAL STATEMENTS (UNAUDITED)--(CONTINUED)

repurchase agreements. This joint repurchase agreement is covered by the
same collateral requirements as discussed above.

4. DISTRIBUTIONS TO SHAREHOLDERS: Each Portfolio will normally distribute
substantially all of its net investment income quarterly. Any realized net
capital gains will be distributed annually. All distributions are recorded
on ex-dividend date.

5. ORGANIZATION COST: Costs incurred by each Portfolio in connection with
its organization have been deferred and are being amortized on a straight-
line basis over a five year period.

6. OTHER: Security transactions are accounted for on trade date, the date
the trade was executed. Costs used in determining realized gains and losses
on the sale of investment securities are based on the specific
identification method. Dividend income is recorded on the ex-dividend date.
Interest income is recognized on the accrual basis. Discounts and premiums
on securities purchased are amortized using the effective yield basis over
their respective lives. Most expenses of the UAM Funds can be directly
attributed to a particular portfolio. Expenses which cannot be directly
attributed are apportioned among the portfolios of the UAM Funds based on
their relative net assets. Additionally, certain expenses are apportioned
among the portfolios of the UAM Funds and AEW Commercial Mortgage
Securities Fund, Inc. ("AEW"), an affiliated closed-end management
investment company, based on their relative net assets. Custodian fees for
the Portfolio have been increased to include expense offsets for custodian
balance credits.

B. ADVISORY SERVICES: Under the terms of an investment advisory agreement,
Chicago Asset Management Company (the "Adviser"), a wholly-owned subsidiary of
United Asset Management Corporation ("UAM"), provides investment advisory
services to the Portfolio at a fee calculated at an annual rate of average
daily net assets, as follows:

<TABLE>
<CAPTION>
CHICAGO ASSET MANAGEMENT COMPANY PORTFOLIOS RATE
- ------------------------------------------- ------
<S> <C>
Value/Contrarian......................................................... 0.625%
Intermediate Bond........................................................ 0.48%
</TABLE>

Until further notice, the Adviser has voluntarily agreed to waive a portion of
its advisory fees and to assume expenses, if necessary, in order to keep the
Portfolios' total annual operating expenses (excluding interest, taxes and
extraordinary expenses), after the effect of expense offset arrangements, from
exceeding 0.95% and 0.80% of average daily net assets, respectively.

17
<PAGE>

CHICAGO ASSET MANAGEMENT COMPANY PORTFOLIOS

NOTES TO FINANCIAL STATEMENTS (UNAUDITED)--(CONTINUED)

of the first $200 million of the combined aggregate net assets; plus 0.11% of
the next $800 million of the combined aggregate net assets; plus 0.07% of the
next $2 billion of the combined aggregate net assets; plus 0.05% of the
combined aggregate net assets in excess of $3 billion. The fees are allocated
among the portfolios of the UAM Funds and AEW on the basis of their relative
net assets and are subject to a graduated minimum fee schedule per portfolio
which rises from $2,000 per month, upon inception of a portfolio, to $70,000
annually after two years. For portfolios with more than one class of shares,
the minimum annual fee increases to $90,000. In addition, the Administrator
receives a Portfolio-specific monthly fee of 0.06% of average daily net assets
of the Chicago Asset Management Value/Contrarian Portfolio and 0.04% of
average daily net assets for Chicago Asset Management Intermediate Bond
Portfolio. The Administrator has entered into a Mutual Funds Service Agreement
with Chase Global Funds Services Company ("CGFSC"), an affiliate of The Chase
Manhattan Bank, under which CGFSC agrees to provide certain services,
including but not limited to, administration, fund accounting, dividend
disbursing and transfer agent services. Pursuant to the Mutual Funds Service
Agreement, the Administrator pays CGFSC a monthly fee.

For the period ended October 31, 1996, CGFSC was paid the following amounts by
the Administrator:

<TABLE>
<CAPTION>
CHICAGO ASSET MANAGEMENT COMPANY PORTFOLIOS
- -------------------------------------------
<S> <C>
Value/Contrarian................................................................. $ 36,711
Intermediate Bond................................................................ 37,137
</TABLE>

D. CUSTODIAN: Effective July 17, 1996, The Chase Manhattan Bank (the "Bank"),
an affiliate of CGFSC, is custodian for the Portfolios' assets held in
accordance with the custodian agreement. For the period July 17, 1996 to
October 31, 1996, the amount charged to the Portfolios by the Bank, all of
which is unpaid at October 31, 1996 is as follows:

<TABLE>
<CAPTION>
CHICAGO ASSET MANAGEMENT COMPANY PORTFOLIOS
- -------------------------------------------
<S> <C>
Value/Contrarian................................................................. $ 88
Intermediate Bond................................................................ 1,832
</TABLE>

E. DISTRIBUTION SERVICES: UAM Fund Distributors, Inc. (the "Distributor"), a
wholly-owned subsidiary of UAM, distributes the shares of the Portfolios. The
Distributor does not receive any fee or other compensation with respect to the
Portfolios.

G. PURCHASES AND SALES: For the period ended October 31, 1996, the Portfolios
purchases and sales of investment securities other than long-term U.S.
Government and agency securities and short-term securities were:

<TABLE>
<CAPTION>
CHICAGO ASSET MANAGEMENT COMPANY PORTFOLIOS PURCHASES SALES
- ------------------------------------------- --------- --------
<S> <C> <C>
Value/Contrarian........................................................ $539,726 $178,643
Intermediate Bond....................................................... 857,274 0
</TABLE>

18
<PAGE>

CHICAGO ASSET MANAGEMENT COMPANY PORTFOLIOS

NOTES TO FINANCIAL STATEMENTS (UNAUDITED)--(CONTINUED)

Purchases and sales of long term U.S. Government securities were $392,219 and
$1,031,711, respectively, for Chicago Asset Management Intermediate Bond
Portfolio. There were no purchases and sales of long-term U.S. Government
securities for Chicago Asset Management Value/Contrarian Portfolio.

H. OTHER: At October 31, 1996, the percentage of total shares outstanding held
by record shareholders owning 10% or greater of the aggregate total shares
outstanding for each Portfolio was as follows:

<TABLE>
<CAPTION>
NO. OF %
CHICAGO ASSET MANAGEMENT COMPANY SHAREHOLDERS OWNERSHIP
- -------------------------------- ------------ ---------
<S> <C> <C>
Value/Contrarian........................................................ 2 76.4
Intermediate Bond....................................................... 1 89.3
</TABLE>

19
<PAGE>

- -------------------------------------------------------------------------------

UAM FUNDS
TJ CORE EQUITY
PORTFOLIO

- -------------------------------------------------------------------------------

OFFICERS AND TRUSTEES

Norton H. Reamer William H. Park
Trustee, President Vice President
and Chairman

John T. Bennett, Jr. Michael E. DeFao
Trustee Secretary

Philip D. English Karl O. Hartmann
Trustee Assistant Secretary

William A. Humenuk Gary L. French
Trustee Treasurer

Peter M. Whitman, Jr. Robert R. Flaherty
Trustee Assistant Treasurer
- -------------------------------------------------------------------------------

INVESTMENT ADVISER
Tom Johnson Investment Management, Inc.
211 North Robinson, Suite 450
Oklahoma City, OK 73102

- -------------------------------------------------------------------------------

ADMINISTRATOR
UAM Fund Services, Inc.
211 Congress Street
Boston, MA 02110

- -------------------------------------------------------------------------------

CUSTODIAN
The Chase Manhattan Bank
3 Chase MetroTech Center
Brooklyn, NY 11245

- -------------------------------------------------------------------------------

LEGAL COUNSEL
Stradley, Ronon, Stevens & Young LLP
2600 One Commerce Square
Philadelphia, PA 19103

- -------------------------------------------------------------------------------

INDEPENDENT ACCOUNTANTS
Price Waterhouse LLP
160 Federal Street
Boston, MA 02110

- -------------------------------------------------------------------------------

DISTRIBUTOR
UAM Fund Distributors, Inc.
211 Congress Street
Boston, MA 02110

- -------------------------------------------------------------------------------

This report has been prepared for shareholders and may be distributed to
others only if preceded or accompanied by a current prospectus.

- -------------------------------------------------------------------------------

UAM FUNDS

TJ CORE EQUITY
PORTFOLIO

- -------------------------------------------------------------------------------

SEMI-ANNUAL REPORT
OCTOBER 31, 1996
<PAGE>

Dear Shareholders,

The equity markets continued their strong bull market gains for the six
month period ended October 31, 1996. During this period, the Dow Jones
Industrial Average increased 9.54% and the S&P 500 Index posted a gain of
9.08%. As of October 31, 1996, the stock market is experiencing the longest
bull market in history. The equity markets have never risen this long without
enduring a bear market or undergoing a correction of at least 10% based on
daily closing prices. In addition, the percentage gain of this bull market is
second only to the bull market performance from 1923 to 1929.

The bull market environment has enabled equity funds to generate impressive
returns compared to historical averages. However, as market valuation levels
are stretched above and beyond historical ranges, the defensive portfolio
posture and conservative management style consistent with the objectives of
Tom Johnson Investment Management Inc., have underperformed the relative
indices. As a result the TJ Core Equity Portfolio increased a respectable
5.18% but still trailed the S&P 500 Index by 3.9% during the six month period
ended October 31, 1996.

There are two primary factors responsible for this underperformance. First,
as the S&P 500 Index and the Dow Jones Industrial Average continue to set
record highs, we have become increasingly uncomfortable with the level of
stock prices. Therefore, the stocks owned in the TJ Core Equity Portfolio have
become increasingly defensive in nature. As is expected during these bull
market periods, stocks with defensive characteristics do not participate as
fully in the market rallies as do more aggressive stocks. Secondly,
disappointments in two stocks have contributed heavily to the portfolio's sub-
par performance. AT&T Corporation and United Healthcare have both greatly
underperformed the S&P 500 Index for the six month period ended October 31,
1996. Both companies are leaders in their respective industries and are
undergoing competitive changes that are negatively impacting short term
results. AT&T and United Healthcare will continue to be held in the portfolio
based on favorable long term fundamentals.

The period ended October 31, 1996 culminates our first full year of
management for the TJ Core Equity Portfolio. While disappointed with the
Portfolio's relative underperformance, we remain confident in our conservative
and disciplined management style. Market valuations are far above historic
averages and the economy appears to be slowing. Several companies have
recently announced earnings disappointments and the equities of these
companies have suffered significantly. We continue to carefully evaluate our
investment process to improve results without exposing the fund to undue risk.
It appears the volatility and risk for the market is higher than it has been
for some time, and we expect to outperform in this environment.

Tom Johnson Investment Management Inc.

DEFINITIONS OF THE COMPARATIVE INDICES

The Dow Jones Industrial Average Index is a price weighted average of 30 blue-
chip stocks that are generally the leaders in their industry and are listed on
the New York Stock Exchange.

The S&P 500 Index is an unmanaged index composed of 400 industrial, 40
financial, 40 utilities and 20 transportation stocks.

Comparisons of performance assume reinvestment of dividends.

Please note that one cannot invest in an unmanaged index.

1
<PAGE>

TJ CORE EQUITY PORTFOLIO
PORTFOLIO OF INVESTMENTS
October 31, 1996 (Unaudited)
<TABLE>
<CAPTION>
SHARES VALUE+
- --------------------------------------------------------------------------------
<S> <C> <C>
COMMON STOCKS (92.7%)
- --------------------------------------------------------------------------------
AUTOMOTIVE (3.8%)
Ford Motor Co................................................ 2,500 $ 78,125
- --------------------------------------------------------------------------------
BANKS (3.9%)
First Union Corp............................................. 600 43,650
NationsBank Corp............................................. 400 37,700
----------
81,350
- --------------------------------------------------------------------------------
BASIC RESOURCES (2.2%)
Halliburton Co............................................... 800 45,300
- --------------------------------------------------------------------------------
BEVERAGES, FOOD & TOBACCO (8.7%)
Anheuser-Busch Cos., Inc..................................... 400 15,400
Heinz (H.J.) Co.............................................. 2,100 74,550
Sara Lee Corp................................................ 1,200 42,600
Unilever N.V.--New York Shares............................... 300 45,862
----------
178,412
- --------------------------------------------------------------------------------
BROADCASTING & PUBLISHING (10.6%)
Dun & Bradstreet Corp. ...................................... 1,600 92,600
Gannett Co................................................... 800 60,700
McGraw-Hill Cos., Inc........................................ 1,400 65,625
----------
218,925
- --------------------------------------------------------------------------------
BUILDING MATERIALS (3.0%)
Foster Wheeler Corp.......................................... 1,500 61,500
- --------------------------------------------------------------------------------
CHEMICALS (1.9%)
Mallinckrodt Group, Inc...................................... 900 39,150
- --------------------------------------------------------------------------------
ELECTRONICS (1.4%)
General Electric Co.......................................... 300 29,025
- --------------------------------------------------------------------------------
ENERGY (9.6%)
Amoco Corp................................................... 1,000 75,750
Coastal Corp................................................. 1,500 64,500
Mobil Corp. ................................................. 500 58,375
----------
198,625
- --------------------------------------------------------------------------------
</TABLE>
The accompanying notes are an integral part of the financial statements.

2
<PAGE>

TJ CORE EQUITY PORTFOLIO
PORTFOLIO OF INVESTMENTS--(CONTINUED)
October 31, 1996 (Unaudited)
<TABLE>
<CAPTION>
SHARES VALUE+
- --------------------------------------------------------------------------------
<S> <C> <C>
COMMON STOCKS--(CONTINUED)
- --------------------------------------------------------------------------------
FINANCIAL SERVICES (8.8%)
American Express Co.......................................... 1,500 $ 70,500
Federal National Mortgage Association........................ 1,400 54,775
Lehman Brothers Holdings, Inc. .............................. 2,200 55,275
----------
180,550
- --------------------------------------------------------------------------------
HEALTH CARE (2.4%)
United Healthcare Corp....................................... 1,300 49,237
- --------------------------------------------------------------------------------
HOLDING COMPANY (1.3%)
Textron, Inc................................................. 300 26,625
- --------------------------------------------------------------------------------
INSURANCE (2.1%)
ITT Hartford Group, Inc. .................................... 700 44,100
- --------------------------------------------------------------------------------
MANUFACTURING (4.4%)
ITT Industries, Inc. ........................................ 2,600 60,450
Tyco International Ltd....................................... 600 29,775
----------
90,225
- --------------------------------------------------------------------------------
METALS (1.9%)
USX-U.S. Steel Group, Inc.................................... 1,400 38,150
- --------------------------------------------------------------------------------
OFFICE EQUIPMENT (1.3%)
Pitney Bowes, Inc............................................ 500 27,937
- --------------------------------------------------------------------------------
PAPER & PACKAGING (1.9%)
Union Camp Corp.............................................. 800 39,000
- --------------------------------------------------------------------------------
PHARMACEUTICALS (4.4%)
Bristol-Myers Squibb Co...................................... 500 52,875
Merck & Co., Inc............................................. 500 37,063
----------
89,938
- --------------------------------------------------------------------------------
RETAIL (4.0%)
Dillard Department Stores Inc., Class A...................... 2,600 82,550
- --------------------------------------------------------------------------------
SERVICES (3.5%)
WMX Technologies, Inc........................................ 2,100 72,188
- --------------------------------------------------------------------------------
</TABLE>
The accompanying notes are an integral part of the financial statements.

3
<PAGE>

TJ CORE EQUITY PORTFOLIO
PORTFOLIO OF INVESTMENTS--(CONTINUED)
October 31, 1996 (Unaudited)
<TABLE>
<CAPTION>
SHARES VALUE+
- -------------------------------------------------------------------------------
<S> <C> <C>
COMMON STOCKS--(CONTINUED)
- -------------------------------------------------------------------------------
TECHNOLOGY (7.6%)
Avnet, Inc............................................... 1,400 $ 70,525
*Compaq Computer Corp.................................... 500 34,813
International Business Machines Corp..................... 400 51,600
----------
156,938
- -------------------------------------------------------------------------------
TELECOMMUNICATIONS (1.1%)
Lucent Technologies, Inc................................. 486 22,842
- -------------------------------------------------------------------------------
UTILITIES (2.9%)
AT&T Corp................................................ 1,700 59,288
- -------------------------------------------------------------------------------
TOTAL COMMON STOCKS (COST $1,760,092)..................... 1,909,980
- -------------------------------------------------------------------------------
<CAPTION>
FACE
AMOUNT
- -------------------------------------------------------------------------------
<S> <C> <C>
SHORT-TERM INVESTMENT (9.0%)
- -------------------------------------------------------------------------------
REPURCHASE AGREEMENT
Chase Securities, Inc. 5.58%, dated 10/31/96, due
11/1/96, to be repurchased at $186,029, collateralized
by $179,790 of various U.S. Treasury Notes, 5.875%-
7.75%, due 3/31/99-11/30/99, valued at $186,000 (COST
$186,000)............................................... $186,000 186,000
- -------------------------------------------------------------------------------
TOTAL INVESTMENTS (101.7%) (COST $1,946,092)(A)........... 2,095,980
- -------------------------------------------------------------------------------
OTHER ASSETS AND LIABILITIES (NET) (-1.7%)................ (34,901)
- -------------------------------------------------------------------------------
NET ASSETS (100%)......................................... $2,061,079
- -------------------------------------------------------------------------------
- -------------------------------------------------------------------------------
</TABLE>
+ See Note A to Financial Statements.
* Non-Income Producing Security.
(a) The cost for federal income tax and book purposes was $1,946,092. At
October 31, 1996, net unrealized appreciation for all securities based on
tax cost was $149,888. This consisted of aggregate gross unrealized
appreciation for all securities of $199,206 and aggregate gross unrealized
depreciation for all securities of $49,318.

The accompanying notes are an integral part of the financial statements.

4
<PAGE>

TJ CORE EQUITY PORTFOLIO
STATEMENT OF ASSETS AND LIABILITIES
October 31, 1996 (Unaudited)
<TABLE>
- -------------------------------------------------------------------------------
<S> <C>
ASSETS
Investments, at Cost............................................... $1,946,092
==========
Investments, at Value.............................................. $2,095,980
Cash............................................................... 279
Receivable due from Investment Adviser--Note B..................... 12,322
Receivable for Portfolio Shares Sold............................... 9,876
Dividends Receivable............................................... 2,324
Other Assets....................................................... 80
- -------------------------------------------------------------------------------
Total Assets...................................................... 2,120,861
- -------------------------------------------------------------------------------
LIABILITIES
Payable for Investments Purchased.................................. 34,311
Payable for Administrative Fees--Note C............................ 4,888
Payable for Distribution and Service Fees--Note E.................. 3,016
Payable for Trustees' Fees--Note F................................. 594
Other Liabilities.................................................. 16,973
- -------------------------------------------------------------------------------
Total Liabilities................................................. 59,782
- -------------------------------------------------------------------------------
NET ASSETS.......................................................... $2,061,079
- -------------------------------------------------------------------------------
- -------------------------------------------------------------------------------
NET ASSETS CONSISTS OF:
Paid in Capital.................................................... $1,893,356
Undistributed Net Investment Income................................ 1,822
Accumulated Net Realized Gain...................................... 16,013
Unrealized Appreciation............................................ 149,888
- -------------------------------------------------------------------------------
NET ASSETS.......................................................... $2,061,079
- -------------------------------------------------------------------------------
- -------------------------------------------------------------------------------
INSTITUTIONAL SERVICE CLASS SHARES
Shares Issued and Outstanding (Unlimited authorization,
no par value) .................................................... 178,141
Net Asset Value, Offering and Redemption Price Per Share........... $ 11.57
- -------------------------------------------------------------------------------
- -------------------------------------------------------------------------------
</TABLE>
The accompanying notes are an integral part of the financial statements.

5
<PAGE>

TJ CORE EQUITY PORTFOLIO
STATEMENT OF OPERATIONS

<TABLE>
<CAPTION>
SIX MONTHS
ENDED
OCTOBER 31,
1996
(UNAUDITED)
- ---------------------------------------------------------------------------------
<S> <C> <C>
INVESTMENT INCOME
Dividends.................................................... $ 14,415
Interest..................................................... 2,816
- ---------------------------------------------------------------------------------
Total Income................................................ 17,231
- ---------------------------------------------------------------------------------
EXPENSES
Investment Advisory Fees--Note B
Basic Fees.................................................. $ 5,290
Less: Fees Waived........................................... (5,290) --
-------
Administrative Fees--Note C.................................. 26,180
Custodian Fees--Note D....................................... 619
Printing Fees................................................ 6,293
Audit Fees................................................... 5,508
Distribution and Service Fees--Note E........................ 1,763
Trustees' Fees--Note F....................................... 1,219
Other Expenses............................................... 2,756
Expenses Assumed by the Adviser--Note B...................... (35,180)
- ---------------------------------------------------------------------------------
Total Expenses.............................................. 9,158
Expense Offset--Note A....................................... (312)
- ---------------------------------------------------------------------------------
Net Expenses................................................ 8,846
- ---------------------------------------------------------------------------------
NET INVESTMENT INCOME......................................... 8,385
- ---------------------------------------------------------------------------------
NET REALIZED GAIN ON INVESTMENTS.............................. 12,883
NET CHANGE IN UNREALIZED APPRECIATION/DEPRECIATION ON INVEST-
MENTS........................................................ 64,834
- ---------------------------------------------------------------------------------
NET GAIN ON INVESTMENTS....................................... 77,717
- ---------------------------------------------------------------------------------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS.......... $ 86,102
- ---------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------
</TABLE>
The accompanying notes are an integral part of the financial statements.

6
<PAGE>

TJ CORE EQUITY PORTFOLIO
STATEMENT OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
SIX MONTHS
ENDED
OCTOBER 31, SEPTEMBER 28, 1995*
1996 TO
(UNAUDITED) APRIL 30, 1996
- ---------------------------------------------------------------------------------
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS
OPERATIONS:
Net Investment Income.......................... $ 8,385 $ 5,373
Net Realized Gain.............................. 12,883 3,130
Net Change in Unrealized
Appreciation/Depreciation..................... 64,834 85,054
- ---------------------------------------------------------------------------------
Net Increase in Net Assets Resulting from Op-
erations..................................... 86,102 93,557
- ---------------------------------------------------------------------------------
DISTRIBUTIONS:
Net Investment Income.......................... (6,837) (5,111)
- ---------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS: (1)
Issued--Regular................................ 1,014,000 1,021,045
--In Lieu of Cash Distributions.............. 6,832 5,111
Redeemed....................................... (62,348) (91,272)
- ---------------------------------------------------------------------------------
Net Increase from Capital Share Transactions.. 958,484 934,884
- ---------------------------------------------------------------------------------
Total Increase................................. 1,037,749 1,023,330
Net Assets:
Beginning of Period............................ 1,023,330 --
- ---------------------------------------------------------------------------------
End of Period (including undistributed net in-
vestment income of $1,822 and $274, respec-
tively)....................................... $2,061,079 $1,023,330
- ---------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------
(1)Shares Issued and Redeemed:
Shares Issued................................. 90,505 100,921
In Lieu of Cash Distributions................. 609 481
Shares Redeemed............................... (5,567) (8,808)
- ---------------------------------------------------------------------------------
85,547 92,594
- ---------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------
* Commencement of Operations
</TABLE>
The accompanying notes are an integral part of the financial statements.

7
<PAGE>

TJ CORE EQUITY PORTFOLIO
FINANCIAL HIGHLIGHTS
SELECTED PER SHARE DATA & RATIOS
FOR A SHARE OUTSTANDING THROUGHOUT THE PERIOD
<TABLE>
<CAPTION>
SIX MONTHS
ENDED
OCTOBER 31, SEPTEMBER 28, 1995*
1996 TO
(UNAUDITED) APRIL 30, 1996
- -------------------------------------------------------------------------------
<S> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD.......... $ 11.05 $ 10.00
- -------------------------------------------------------------------------------
Income From Investment Operations
Net Investment Income........................ 0.06 0.06
Net Realized and Unrealized Gain on Invest-
ments....................................... 0.51 1.05
- -------------------------------------------------------------------------------
Total From Investment Operations............ 0.57 1.11
- -------------------------------------------------------------------------------
DISTRIBUTIONS
Net Investment Income........................ (0.05) (0.06)
- -------------------------------------------------------------------------------
NET ASSET VALUE, END OF PERIOD................ $ 11.57 $ 11.05
- -------------------------------------------------------------------------------
- -------------------------------------------------------------------------------
TOTAL RETURN+................................. 5.18% 11.13%
- -------------------------------------------------------------------------------
- -------------------------------------------------------------------------------
RATIOS AND SUPPLEMENTAL DATA
Net Assets, End of Period (Thousands)........ $ 2,061 $ 1,023
Ratio of Expenses to Average Net Assets...... 1.29%** 1.38%**
Ratio of Net Investment Income to Average Net
Assets...................................... 1.18%** 1.06%**
Portfolio Turnover Rate...................... 12% 17%
Average Commission Rate...................... $0.0600 $0.0600
- -------------------------------------------------------------------------------
Voluntary Waived Fees and Expenses Assumed by
the Adviser Per Share....................... $ 0.28 $ 0.74
Ratio of Expenses to Average Net Assets In-
cluding Expense Offsets..................... 1.25%** 1.25%**
- -------------------------------------------------------------------------------
</TABLE>
* Commencement of Operations.
** Annualized.
+ Total return would have been lower had certain fees not been waived and
expenses assumed by the Adviser during the period.

The accompanying notes are an integral part of the financial statements.

8
<PAGE>

TJ CORE EQUITY PORTFOLIO

NOTES TO FINANCIAL STATEMENTS (UNAUDITED)

UAM Funds Trust and UAM Funds, Inc. (collectively the "UAM Funds") are
registered under the Investment Company Act of 1940, as amended. The TJ Core
Equity Portfolio (the "Portfolio"), a portfolio of UAM Funds Trust, is a
diversified, open-end management investment company. At October 31, 1996, the
UAM Funds were composed of forty active portfolios. The financial statements
of the remaining portfolios are presented separately. The objective of the TJ
Core Portfolio is to provide maximum total return consistent with reasonable
risk to principal by investing in the common stock of quality companies with
lower valuations in sectors of the economy exhibiting strong, or improving
relative performance.

Pursuant to an Exemptive Order issued by the Securities and Exchange
Commission, the Portfolio may transfer its daily uninvested cash balances
into a joint trading account which invests in one or more repurchase
agreements. This joint repurchase agreement is covered by the same
collateral requirements as discussed above.

9
<PAGE>

TJ CORE EQUITY PORTFOLIO

NOTES TO FINANCIAL STATEMENTS (UNAUDITED)--(CONTINUED)

5. OTHER: Security transactions are accounted for on trade date, the date
the trade was executed. Costs used in determining realized gains and losses
on the sale of investment securities are based on the specific
identification method. Dividend income is recorded on the ex-dividend date.
Interest income is recognized on the accrual basis. Discounts and premiums
on securities purchased are amortized using the effective yield basis over
their respective lives. Most expenses of the UAM Funds can be directly
attributed to a particular portfolio. Expenses which cannot be directly
attributed are apportioned among the portfolios of the UAM Funds based on
their relative net assets. Additionally, certain expenses are apportioned
among the portfolios of the UAM Funds and AEW Commercial Mortgage
Securities Fund, Inc. ("AEW"), an affiliated closed-end management
investment company, based on their relative net assets. Custodian fees for
the Portfolio have been increased to include expense offsets for custodian
balance credits.

B. ADVISORY SERVICES: Under the terms of an investment advisory agreement, Tom
Johnson Investment Management, Inc. (the "Adviser"), a wholly-owned subsidiary
of United Asset Management Corporation ("UAM"), provides investment advisory
services to the Portfolio at a fee calculated at an annual rate of 0.75% of
average daily net assets. Through January 1, 1998, the Adviser has voluntarily
agreed to waive a portion of its advisory fees and to assume expenses, if
necessary, in order to keep the Portfolio's total annual operating expenses,
after the effect of expense offset arrangements, from exceeding 1.25% of
average daily net assets.

C. ADMINISTRATION SERVICES: UAM Fund Services, Inc. (the "Administrator"), a
wholly-owned subsidiary of UAM, provides and oversees administrative, fund
accounting, dividend disbursing and transfer agent services to the UAM Funds
and AEW under a Fund Administration Agreement (the "Agreement"). Pursuant to
the Agreement, the Administrator is entitled to receive annual fees, computed
daily and payable monthly, of 0.19% of the first $200 million of the combined
aggregate net assets; plus 0.11% of the next $800 million of the combined
aggregate net assets; plus 0.07% of the next $2 billion of the combined
aggregate net assets; plus 0.05% of the combined aggregate net assets in
excess of $3 billion. The fees are allocated among the portfolios of the UAM
Funds and AEW on the basis of their relative net assets and are subject to a
graduated minimum fee schedule per portfolio which rises from $2,000 per
month, upon inception of a portfolio, to $70,000 annually after two years. For
portfolios with more than one class of shares, the minimum annual fee
increases to $90,000. In addition, the Administrator receives a Portfolio-
specific monthly fee of 0.04% of average daily net assets of the Portfolio.
The Administrator has entered into a Mutual Funds Service Agreement with Chase
Global Funds Services Company ("CGFSC"), an affiliate of The Chase Manhattan
Bank, under which CGFSC agrees to provide certain services, including but not
limited to, administration, fund accounting, dividend disbursing and transfer
agent services. Pursuant to the Mutual Funds Service Agreement, the
Administrator pays CGFSC a monthly fee. For the period ended October 31, 1996,
$25,901 was paid to CGFSC for their services.

10
<PAGE>

TJ CORE EQUITY PORTFOLIO

NOTES TO FINANCIAL STATEMENTS (UNAUDITED)--(CONTINUED)

E. DISTRIBUTION SERVICES: UAM Fund Distributors, Inc. (the "Distributor"), a
wholly-owned subsidiary of UAM, distributes the shares of the Portfolio. The
Portfolio has adopted a Distribution and Service Plan (the "Plan") on behalf
of the Service Class Shares pursuant to Rule 12b-1 under the Investment
Company Act of 1940. Under the Plan, the Portfolio may not incur distribution
and service fees which exceed an annual rate of 0.75% of the Portfolio's net
assets, however, the Board has currently limited aggregate payments under the
Plan to 0.50% per annum of the Portfolio's net assets. The Portfolio is not
currently making payments for distribution fees. The Portfolio pays service
fees at an annual rate of 0.25% of the average daily value of Service Class
Shares owned by clients of such Service Organizations.

G. PURCHASES AND SALES: For the period ended October 31, 1996, the Portfolio
made purchases of $976,860 and sales of $162,520 of investment securities
other than long-term U.S. Government and short-term securities. There were no
purchases or sales of long-term U.S. Government securities.

H. OTHER: At October 31, 1996, 79.4% of total shares outstanding were held by
2 record shareholders owning more than 10% of the aggregate total shares
outstanding.

11
<PAGE>

- -------------------------------------------------------------------------------

UAM FUNDS
MJI INTERNATIONAL EQUITY PORTFOLIO

- -------------------------------------------------------------------------------
OFFICERS AND TRUSTEES
Norton H. Reamer William H. Park
Trustee, President and Chairman Vice President

John T. Bennett, Jr. Michael E. DeFao
Trustee Secretary

Philip D. English Karl O. Hartmann
Trustee Assistant Secretary

William A. Humenuk Gary L. French
Trustee Treasurer

Peter M. Whitman, Jr. Robert R. Flaherty
Trustee Assistant Treasurer

- -------------------------------------------------------------------------------
INVESTMENT ADVISER
Murray Johnstone International Ltd.
John Hancock Center, Suite 3640
875 North Michigan Avenue, Chicago, IL 60611
- -------------------------------------------------------------------------------
ADMINISTRATOR
UAM Fund Services, Inc.
211 Congress Street
Boston, MA 02110
- -------------------------------------------------------------------------------
CUSTODIAN
The Chase Manhattan Bank
3 Chase MetroTech Center
Brooklyn, NY 11245
- -------------------------------------------------------------------------------
LEGAL COUNSEL
Stradley, Ronon, Stevens & Young LLP
2600 One Commerce Square
Philadelphia, PA 19103
- -------------------------------------------------------------------------------
INDEPENDENT ACCOUNTANTS
Price Waterhouse LLP
160 Federal Street
Boston, MA 02110
- -------------------------------------------------------------------------------
DISTRIBUTOR
UAM Fund Distributors, Inc.
211 Congress Street
Boston, MA 02110
- -------------------------------------------------------------------------------
This report has been prepared for shareholders and may be distributed to
others only if preceded or accompanied by a current prospectus.

- -------------------------------------------------------------------------------

UAM FUNDS

MJI
INTERNATIONAL
EQUITY PORTFOLIO

- -------------------------------------------------------------------------------

SEMI-ANNUAL REPORT
OCTOBER 31, 1996
<PAGE>

LETTER TO SHAREHOLDERS

UAM MJI INTERNATIONAL EQUITY PORTFOLIO

REVIEW OF THE SIX MONTHS TO 31 OCTOBER 1996

FUND PERFORMANCE

During the six months ended October 31, 1996, international equity markets
experienced considerable volatility, stemming from the fears that growth in
the U.S. was threatening a rise in inflation which would lead to higher
interest rates. Indeed, reports of a strong second quarter for the economy led
to a setback for bonds and equities in July and pushed the MSCI EAFE Index
(the "Index") for the six months into negative territory. By the end of the
period, the return for the portfolio was -2.1%, compared with the Index return
of -2.3%.

ECONOMIC AND MARKET REVIEW

While overall results for the period were modest, some of the EAFE markets
began to respond to economies picking up from a low base. The exception to
this trend was Japan. Industry saw a mild recovery, helped by the weaker yen,
but after the brief spurt in April, the market found it difficult to advance.
Lingering weakness in the financial and property sectors and a heavy new issue
calendar combined with the reluctance of the domestic investors to buy, led to
a poor market. Dollar investors were also hit by the weaker yen so that by the
end of the period the market had declined by 16.0%. Conscious of the
deterioration in fundamentals after April, the managers reduced the exposure
of the portfolio to Japan from 31% to 14% at the end of the period.

In Europe, tight fiscal policies and low inflation allowed governments to
bring interest rates down. Ultimately, growth began to pick up and the
European index returned 8.4%*. Elections in Spain and Italy in the first
quarter returned centre left governments, seen as positive for future growth
and stability and both equity markets responded positively. Subsequently, the
Italian market slipped back due to investor disillusionment with the troubled
electronics producer, Olivetti, to finish the period down 7.5%*. The Italian
investments outperformed this with a return of 5.8%, the Spanish market had a
positive return of 7.0%* but again, the portfolio outperformed with a return
of 9.1%. Elsewhere, lower rates stimulated the markets in Germany (+8.1%*) and
the Netherlands (+10.7%*) but France continued to suffer from an anaemic
recovery, acknowledged by the market which returned only 3.5%*. In the UK, the
government's determination to keep interest rates as low as possible, with the
approach of the general election, ensured the return of the "feel good" factor
and generated a surge of consumer buying. A steady economy combined with a
rise in corporate activity underpinned a strong market through the period,
ending with a rise of 14.1%*.

The South East Asian markets saw mixed fortunes. The index for the area as a
whole was up 1.6% but the portfolio ended the period unchanged. The key to the
performance in the second quarter was the improvement in relations between
Hong Kong, China and Taiwan. Tensions in the region eased following the
elections in Taiwan, China granted the approval for the new airport and the
new container terminal in Hong Kong and progress was made on the arrangements
for the return of the colony to China in 1997. Confidence combined with an
improved economic outlook to lure investors back. The market returned 10.4%*
during the period but the portfolio exceeded this at 11.6%. By contrast, the
Singapore market was one of the poorest performers during the period,
declining by 16.4%*. The strong fundamentals of the economy were overshadowed
by a deterioration in the current account due to the weaker prices of
electronic components. As a result, the market fell from grace in the eyes of
investors. The Australian market returned 1.7%*, responding to the
authorities' tightening fiscal

- --------
*As measured by the MSCI World Indices.

1
<PAGE>

grip. The new government is on track to steadily reduce the deficit and this
is impacting many aspects of the economy; manufacturing has slowed but
interest sensitive industries, where the portfolio is overweight, have
benefited. The portfolio return for the period was 12.3%.

Investments in the emerging markets had a small positive impact on the
portfolio while the IFCI Index fell 4.2% during the period, impacted by the
uncertain outlook for global interest rates. Investments in Mexico and
Argentina outperformed their respective indices and the new investment in
Chile, the chemical company Quimica y Minera, returned 8.4% when the Index was
down 1.7%. Timing proved to be the undoing of the portfolio's first investment
in Thailand. Bangkok Bank was added to the portfolio after a prolonged period
of market weakness but the combination of a deteriorating political situation
and government attempts to limit short term capital flows sapped market
confidence and the stock price saw further weakness. Subsequently, the
political situation has improved and the market has begun to rebound.

INVESTMENT STRATEGY

The manager's strategy for the period was to increase exposure to Europe,
including the UK, reduce exposure to Japan, and to increase investments in
South East Asia, specifically in Hong Kong and Malaysia. In Hong Kong, we
added to existing holdings while in Malaysia we added a new investment in the
industrial conglomerate, Hicom. Exposure to the emerging markets was increased
with new investments in Thailand and Chile. The majority of these moves added
value to the portfolio. Raising exposure to Europe was significant since that
area returned 8.4%. Increased allocations to Germany (Volkswagen and BMW), the
Netherlands, the UK and Ireland all made solid contributions to the portfolio.

Less successful were investments in Malaysia and the initial foray into
Thailand. The other negative in terms of country allocation was the overweight
exposure to the Singapore market which was dull throughout the period. Here
our value measures scored the market highly; the economy is well managed,
growth is still well ahead of OECD averages, and inflation is not a problem.
However, the market fell from the favour of international investors since it
was perceived as too reliant on the weakening semiconductor cycle when in
effect, income generated by production facilities in Singapore is largely
remitted to multi national companies abroad which are more susceptible to the
gyrations of the industry.

One of the decisions which clearly benefited the portfolio was the reduction
of exposure to the Japanese market from 31% to 14% during the period when the
index declined by 16% in dollars. Having increased exposure to Japan into the
weakness of late 1995 and early 1996, the managers trimmed it back following
the April surge, since when the yen has fallen from 104 to the dollar to 111
to the dollar.

INVESTMENT OUTLOOK

Looking forward, the managers believe that the current equilibrium in
financial markets is more likely to be disturbed by economic growth
threatening the outlook for inflation and interest rates than the reverse. We
do not anticipate a major sell off in bond markets but concede that the global
interest rate cycle is no longer going down. On a valuation basis, the
international markets continue to look more attractive than the U.S. which is
looking expensive on price to book, price earnings relative and dividend
yield. Among the international markets, we favour Europe and the Far East. The
prospects for interest rate reductions may be fading in Europe but, with the
possible exception of the UK, remain more attractive than in other regions and
the value scores for the smaller

2
<PAGE>

markets are amongst the highest. Although economies in the Far East have shown
recently that they are not immune to the problems of their developed
competitors, we believe that the depressed sentiment is reflected in markets
and that the region will still produce growth superior to the developed
economies.

Murray Johnstone International Ltd.

DEFINITION OF THE COMPARATIVE INDEX
-----------------------------------

The Morgan Stanley Capital International EAFE Index is an unmanaged index
composed of arithmetic, market value weighted averages of the performance of
over 900 securities listed on the stock exchanges of countries in Europe,
Australia and the Far East.

Comparisons of performance assume reinvestment of dividends.

Please note that one cannot invest in an unmanaged index.

<PAGE>

MJI INTERNATIONAL EQUITY PORTFOLIO
PORTFOLIO OF INVESTMENTS
October 31, 1996 (Unaudited)
<TABLE>
<CAPTION>
SHARES VALUE+
- --------------------------------------------------------------------------------
<S> <C> <C>
COMMON STOCKS (94.1%)
- --------------------------------------------------------------------------------
ARGENTINA (2.4%)
Banco Frances del Rio de la Plata S.A. ADR................. 7,000 $ 183,750
*Disco S.A. ADR............................................ 3,000 67,500
Transportadora de Gas del Sur S.A. ADR..................... 4,700 54,638
YPF S.A. ADR............................................... 8,600 195,650
-----------
501,538
- --------------------------------------------------------------------------------
AUSTRALIA (3.8%)
Australia & New Zealand Banking Group Ltd. ................ 65,000 379,647
National Australia Bank Ltd. .............................. 13,500 148,178
News Corp., Ltd. .......................................... 45,000 256,056
-----------
783,881
- --------------------------------------------------------------------------------
CHILE (1.7%)
Quimica y Minera Chile S.A. ADR............................ 6,200 356,500
- --------------------------------------------------------------------------------
FRANCE (6.0%)
Cie Generale des Eaux...................................... 1,790 214,020
LVMH (Moet Hennessy Louis Vuitton)......................... 900 206,235
Lyonnaise des Eaux-Dumez................................... 1,034 91,458
Michelin, Class B.......................................... 2,600 125,416
Parisienne de Reescompte................................... 885 70,312
*SGS-Thomson Microelectronics N.V.......................... 5,400 286,263
Total S.A., Class B........................................ 3,200 250,417
-----------
1,244,121
- --------------------------------------------------------------------------------
GERMANY (5.8%)
Bayerische Motoren Werke AG................................ 940 550,895
Commerzbank AG............................................. 2,120 47,555
Mannesmann AG.............................................. 653 254,556
Volkswagen AG.............................................. 915 362,433
-----------
1,215,439
- --------------------------------------------------------------------------------
HONG KONG (7.8%)
Amoy Properties Ltd. ...................................... 280,000 345,850
Cheung Kong Holdings, Ltd. ................................ 43,000 344,814
Hong Kong Land Holdings, Ltd............................... 150,000 334,500
Hutchison Whampoa Ltd...................................... 40,000 279,369
Swire Pacific Ltd., Class A................................ 35,000 308,955
-----------
1,613,488
- --------------------------------------------------------------------------------
</TABLE>
The accompanying notes are an integral part of the financial statements.

4
<PAGE>

MJI INTERNATIONAL EQUITY PORTFOLIO
PORTFOLIO OF INVESTMENTS--(CONTINUED)
October 31, 1996 (Unaudited)
<TABLE>
<CAPTION>
SHARES VALUE+
- --------------------------------------------------------------------------------
<S> <C> <C>
COMMON STOCKS--(CONTINUED)
- --------------------------------------------------------------------------------
IRELAND (2.0%)
Allied Irish Banks plc..................................... 43,414 $ 275,157
Smurfit (Jefferson) Group plc.............................. 51,000 139,004
-----------
414,161
- --------------------------------------------------------------------------------
ITALY (3.8%)
ENI S.p.A. ................................................ 24,000 115,066
Fiat S.p.A. ............................................... 33,800 90,450
Instituto Mobiliare Italiano S.p.A......................... 33,500 265,405
Italcementi Fabbriche Riunit............................... 2,650 14,052
Parmalat Finanziaria S.p.A. ............................... 148,800 213,581
Telecom Italia Mobile S.p.A................................ 39,990 82,735
-----------
781,289
- --------------------------------------------------------------------------------
JAPAN (13.9%)
EISAI Co., Ltd. ........................................... 7,000 125,561
Itochu Corp................................................ 37,000 223,503
JGC Corp................................................... 23,000 242,680
Matsumoto Kenko Co., Ltd................................... 400 14,948
Matsushita Communication Industrial........................ 9,000 238,196
Mori Seiki................................................. 9,000 132,946
Nippon Sanso KK Corp....................................... 18,000 76,761
Nippon Steel Co............................................ 82,000 239,374
Nissan Motor Co., Ltd...................................... 33,000 249,828
Nitto Denko Corp........................................... 16,000 237,756
Sanwa Bank Ltd............................................. 13,000 221,753
Shiseido Co., Ltd.......................................... 20,000 233,887
Sumitomo Electric Industries............................... 14,000 184,648
Suzuki Motor Co., Ltd...................................... 23,000 234,591
Tokyo Style................................................ 15,000 228,172
-----------
2,884,604
- --------------------------------------------------------------------------------
MALAYSIA (4.4%)
Genting Bhd. .............................................. 26,000 194,537
Hicom Holdings Bhd. ....................................... 150,000 400,831
Malayan Banking Bhd........................................ 33,000 326,603
-----------
921,971
- --------------------------------------------------------------------------------
</TABLE>
The accompanying notes are an integral part of the financial statements.

5
<PAGE>

MJI INTERNATIONAL EQUITY PORTFOLIO
PORTFOLIO OF INVESTMENTS--(CONTINUED)
October 31, 1996 (Unaudited)
<TABLE>
<CAPTION>
SHARES VALUE+
- --------------------------------------------------------------------------------
<S> <C> <C>
COMMON STOCKS--(CONTINUED)
- --------------------------------------------------------------------------------
MEXICO (3.8%)
*Cifra S.A. de C.V. Class B................................ 205,000 $ 261,457
Desc S.A. de C.V. ADR..................................... 9,000 173,250
*Empresas ICA S.A. de C.V. ADR............................. 7,000 91,000
*Grupo Industrial Durango ADR.............................. 5,500 59,813
*Telefonos de Mexico S.A. ADR, Class L..................... 6,800 207,400
-----------
792,920
- --------------------------------------------------------------------------------
NETHERLANDS (5.4%)
Elsevier N.V.............................................. 19,340 321,403
ING Groep N.V............................................. 7,250 226,015
Vendex International N.V. BDR ............................ 7,300 294,684
VNU....................................................... 15,040 272,987
-----------
1,115,089
- --------------------------------------------------------------------------------
NEW ZEALAND (1.7%)
Carter Holt Harvey Ltd. .................................. 85,000 191,156
Lion Nathan Ltd........................................... 60,000 154,876
-----------
346,032
- --------------------------------------------------------------------------------
NORWAY (1.6%)
Norsk Hydro............................................... 6,910 318,543
- --------------------------------------------------------------------------------
SINGAPORE (3.7%)
City Developments Ltd..................................... 45,000 354,683
Keppel Corp., Ltd......................................... 40,000 298,232
Singapore Land Ltd........................................ 20,000 110,772
-----------
763,687
- --------------------------------------------------------------------------------
SPAIN (4.2%)
General de Aguas de Barcelona S.A......................... 2,400 98,236
Empresa Nacional de Electricidad S.A...................... 3,300 202,094
Iberdrola S.A............................................. 12,700 134,937
Telefonica de Espana S.A.................................. 15,970 320,577
Vallehermoso S.A.......................................... 6,220 122,907
-----------
878,751
- --------------------------------------------------------------------------------
</TABLE>
The accompanying notes are an integral part of the financial statements.

6
<PAGE>

MJI INTERNATIONAL EQUITY PORTFOLIO
PORTFOLIO OF INVESTMENTS--(CONTINUED)
October 31, 1996 (Unaudited)
<TABLE>
<CAPTION>
SHARES VALUE+
- --------------------------------------------------------------------------------
<S> <C> <C>
COMMON STOCKS--(CONTINUED)
- --------------------------------------------------------------------------------
SWITZERLAND (4.6%)
ABB AG (Bearer)............................................. 33 $ 40,838
Ciba-Geigy AG (Registered).................................. 203 250,413
Sandoz AG (Registered)...................................... 192 222,241
Winterthur Schweizerische (Registered)...................... 421 251,159
Zurich Versicherungs (Registered)........................... 710 194,628
-----------
959,279
- --------------------------------------------------------------------------------
THAILAND (1.4%)
Bangkok Bank plc............................................ 27,000 288,113
- --------------------------------------------------------------------------------
UNITED KINGDOM (16.1%)
Abbey National plc.......................................... 12,400 128,933
BOC Group plc............................................... 18,500 260,845
British Airport Authority plc............................... 28,700 232,337
British Petroleum Co. plc................................... 21,800 234,477
Cadbury Schweppes plc....................................... 23,400 194,572
Carlton Communications plc.................................. 32,000 256,187
Commercial Union plc........................................ 14,800 156,176
Glaxo Wellcome plc.......................................... 16,100 252,549
Grand Metropolitan plc...................................... 27,500 207,408
Kingfisher plc.............................................. 19,400 206,296
Lloyds TSB Group plc........................................ 27,120 171,886
National Westminster Bank plc............................... 6,000 68,489
Rank Group plc.............................................. 24,200 160,861
Rolls-Royce plc............................................. 45,600 188,470
Safeway Group plc........................................... 36,300 215,301
Williams Holdings plc....................................... 37,300 220,929
Wolseley plc................................................ 24,800 192,089
-----------
3,347,805
- --------------------------------------------------------------------------------
TOTAL COMMON STOCKS (COST $18,881,048)....................... 19,527,211
- --------------------------------------------------------------------------------
</TABLE>
The accompanying notes are an integral part of the financial statements.

7
<PAGE>

MJI INTERNATIONAL EQUITY PORTFOLIO
PORTFOLIO OF INVESTMENTS--(CONTINUED)
October 31, 1996 (Unaudited)
<TABLE>
<CAPTION>
FACE
AMOUNT VALUE+
- -------------------------------------------------------------------------------
<S> <C> <C>
SHORT-TERM INVESTMENT (6.8%)
- -------------------------------------------------------------------------------
REPURCHASE AGREEMENT
Chase Securities, Inc. 5.58%, dated 10/31/96, due
11/1/96, to be repurchased at $1,398,217, collateral-
ized by $1,351,321 of various U.S. Treasury Notes,
5.875%-7.75%, due 3/31/99-11/30/99, valued at
$1,398,003 (COST $1,398,000)......................... $1,398,000 $ 1,398,000
- -------------------------------------------------------------------------------
TOTAL INVESTMENTS (100.9%) (COST $20,279,048)(A)....... 20,925,211
- -------------------------------------------------------------------------------
OTHER ASSETS AND LIABILITIES (NET) (-0.9%)............. (183,426)
- -------------------------------------------------------------------------------
NET ASSETS (100%)...................................... $20,741,785
- -------------------------------------------------------------------------------
- -------------------------------------------------------------------------------
</TABLE>
+ See Note A to Financial Statements.
* Non-Income Producing Security.
ADR--American Depository Receipt.
BDR--British Depository Receipt.
(a) The cost for federal income tax and book purposes was $20,279,048. At
October 31, 1996, net unrealized appreciation for all securities based on
tax cost was $646,163. This consisted of aggregate gross unrealized
appreciation for all securities in which there was an excess of market
value over tax cost of $1,124,655 and aggregate gross unrealized
depreciation for all securities in which there was an excess of tax cost
over market value of $478,492.

The accompanying notes are an integral part of the financial statements.

8
<PAGE>

MJI INTERNATIONAL EQUITY PORTFOLIO
PORTFOLIO OF INVESTMENTS--(CONTINUED)
October 31, 1996 (Unaudited)

At October 31, 1996 sector diversification of the Portfolio was as follows:

<TABLE>
<CAPTION>
% OF
NET
SECTOR DIVERSIFICATION ASSETS VALUE
- --------------------------------------------------------------------------------
<S> <C> <C>
Agriculture................................................ 1.7% $ 351,576
Automotive................................................. 8.1 1,676,667
Banks...................................................... 8.1 1,686,383
Basic Resources............................................ 1.1 234,981
Beverages, Food & Tobacco.................................. 2.7 563,030
Broadcasting & Publishing.................................. 4.1 850,577
Building Materials......................................... 1.0 207,036
Capital Equipment.......................................... 1.9 387,502
Chemicals.................................................. 4.9 1,012,649
Construction............................................... 2.1 425,138
Consumer Durables.......................................... 1.8 380,658
Consumer Non-Durables...................................... 2.1 440,122
Electronics................................................ 3.7 762,215
Energy..................................................... 2.3 484,765
Entertainment & Leisure.................................... 1.7 355,398
Financial Services......................................... 5.5 1,140,557
Holding Company............................................ 1.9 400,831
Industrial................................................. 1.2 239,374
Insurance.................................................. 1.7 350,804
Machine.................................................... 0.2 40,838
Manufacturing.............................................. 0.6 125,416
Oil and Gas................................................ 1.8 365,483
Paper & Packaging.......................................... 1.9 389,972
Pharmaceuticals............................................ 3.5 725,202
Print and Publishing....................................... 1.2 256,057
Real Estate................................................ 7.8 1,613,525
Repurchase Agreement....................................... 6.8 1,398,000
Retail..................................................... 5.0 1,045,239
Services................................................... 1.1 223,503
Telecommunications......................................... 1.7 362,105
Textiles & Apparel......................................... 1.1 228,172
Transportation............................................. 4.0 839,524
Utilities.................................................. 6.6 1,361,912
----- -----------
Total Investments.......................................... 100.9% $20,925,211
Other Assets and Liabilities............................... (0.9) (183,426)
----- -----------
Net Assets................................................. 100.0% $20,741,785
===== ===========
</TABLE>
The accompanying notes are an integral part of the financial statements.

9
<PAGE>

MJI INTERNATIONAL EQUITY PORTFOLIO
STATEMENT OF ASSETS AND LIABILITIES
October 31, 1996 (Unaudited)

<TABLE>
- -------------------------------------------------------------------------------
<S> <C>
ASSETS
Investments, at Cost, Including Foreign Currency................. $20,288,070
===========
Investments, at Value............................................ $20,925,211
Foreign Currency................................................. 9,064
Receivable for Investments Sold.................................. 151,431
Dividends Receivable............................................. 26,458
Receivable for Portfolio Shares Sold............................. 18,600
Foreign Withholding Tax Reclaim Receivable....................... 10,047
Deferred Organization Costs--Note A.............................. 5,592
Interest Receivable.............................................. 217
Other Assets..................................................... 399
- -------------------------------------------------------------------------------
Total Assets.................................................... 21,147,019
- -------------------------------------------------------------------------------
LIABILITIES
Payable for Investments Purchased................................ 349,740
Payable for Investment Advisory Fees--Note B..................... 5,664
Payable for Portfolio Shares Redeemed............................ 11,250
Payable for Administrative Fees--Note C.......................... 8,859
Payable due to Custodian Bank--Note D............................ 4,236
Payable for Trustees' Fees--Note F............................... 608
Other Liabilities................................................ 24,877
- -------------------------------------------------------------------------------
Total Liabilities............................................... 405,234
- -------------------------------------------------------------------------------
NET ASSETS........................................................ $20,741,785
- -------------------------------------------------------------------------------
- -------------------------------------------------------------------------------
NET ASSETS CONSISTS OF:
Paid in Capital.................................................. $20,100,420
Undistributed Net Investment Income.............................. 15,155
Accumulated Net Realized Loss.................................... (18,255)
Unrealized Appreciation.......................................... 644,465
- -------------------------------------------------------------------------------
NET ASSETS........................................................ $20,741,785
- -------------------------------------------------------------------------------
- -------------------------------------------------------------------------------
INSTITUTIONAL CLASS SHARES
Shares Issued and Outstanding (Unlimited authorization, no par
value) 2,061,632
NET ASSET VALUE, OFFERING AND REDEMPTION PRICE PER SHARE.......... $ 10.06
- -------------------------------------------------------------------------------
- -------------------------------------------------------------------------------
</TABLE>
The accompanying notes are an integral part of the financial statements.

10
<PAGE>

MJI INTERNATIONAL EQUITY PORTFOLIO
STATEMENT OF OPERATIONS
<TABLE>
<CAPTION>
SIX MONTHS
ENDED
OCTOBER 31,
1996
(UNAUDITED)
- ----------------------------------------------------------------------------------
<S> <C> <C>
INVESTMENT INCOME
Dividends................................................. $ 113,185
Interest.................................................. 19,747
Less Foreign Taxes Withheld............................... (12,824)
- ----------------------------------------------------------------------------------
Total Income............................................. 120,108
- ----------------------------------------------------------------------------------
EXPENSES
Investment Advisory Fees--Note B
Basic Fees............................................... $ 41,816
Less: Fees Waived........................................ (41,816) --
--------
Administrative Fees--Note C............................... 48,567
Custodian Fees--Note D.................................... 12,169
Printing Fees............................................. 10,812
Filing and Registration Fees.............................. 9,265
Audit Fees................................................ 7,436
Trustees' Fees--Note F.................................... 1,277
Amortization of Organization Expense--Note A.............. 981
Other Expenses............................................ 2,149
Fees Assumed by Adviser--Note B........................... (7,811)
- ----------------------------------------------------------------------------------
Total Expenses........................................... 84,845
Expense Offset--Note A.................................... (163)
- ----------------------------------------------------------------------------------
Net Expenses............................................. 84,682
- ----------------------------------------------------------------------------------
NET INVESTMENT INCOME...................................... 35,426
- ----------------------------------------------------------------------------------
NET REALIZED LOSS:
Investments............................................... (174,500)
Foreign Currency Transactions............................. (28,264)
- ----------------------------------------------------------------------------------
TOTAL NET REALIZED LOSS ON INVESTMENTS AND FOREIGN CURRENCY
TRANSACTIONS.............................................. (202,764)
- ----------------------------------------------------------------------------------
NET CHANGE IN UNREALIZED APPRECIATION/DEPRECIATION ON:
Investments............................................... 119,736
Foreign Currency Translations............................. (3,399)
- ----------------------------------------------------------------------------------
TOTAL NET CHANGE IN UNREALIZED APPRECIATION/DEPRECIATION... 116,337
- ----------------------------------------------------------------------------------
NET LOSS ON INVESTMENTS AND FOREIGN CURRENCY............... (86,427)
- ----------------------------------------------------------------------------------
NET DECREASE IN NET ASSETS RESULTING FROM OPERATIONS....... $ (51,001)
- ----------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------
</TABLE>
The accompanying notes are an integral part of the financial statements.

11
<PAGE>

MJI INTERNATIONAL EQUITY PORTFOLIO
STATEMENT OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
SIX MONTHS
ENDED
OCTOBER 31, YEAR ENDED
1996 APRIL 30,
(UNAUDITED) 1996
- ----------------------------------------------------------------------------------
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS
OPERATIONS:
Net Investment Income................................. $ 35,426 $ 63,397
Net Realized Gain (Loss).............................. (202,764) 142,191
Net Change in Unrealized Appreciation/Depreciation.... 116,337 453,055
- ----------------------------------------------------------------------------------
Net Increase (Decrease) in Net Assets Resulting from
Operations.......................................... (51,001) 658,643
- ----------------------------------------------------------------------------------
DISTRIBUTIONS:
Net Investment Income................................. -- (4,038)
In Excess of Net Investment Income.................... -- (20,271)
Net Realized Gain..................................... -- (16,206)
- ----------------------------------------------------------------------------------
Total Distributions.................................. -- (40,515)
- ----------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS: (1)
Issued--Regular....................................... 13,950,569 4,553,899
--In Lieu of Cash Distributions..................... -- 40,436
Redeemed.............................................. (1,749,821) (2,155,730)
- ----------------------------------------------------------------------------------
Net Increase from Capital Share Transactions......... 12,200,748 2,438,605
- ----------------------------------------------------------------------------------
Total Increase......................................... 12,149,747 3,056,733
Net Assets:
Beginning of Period................................... 8,592,038 5,535,305
- ----------------------------------------------------------------------------------
End of Period (including undistributed and
distributions in excess of net investment income of
$15,155 and $(20,271), respectively)................. $20,741,785 $ 8,592,038
- ----------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------
(1)Shares Issued and Redeemed:
Shares Issued........................................ 1,398,660 465,365
In Lieu of Cash Distributions........................ -- 4,217
Redeemed............................................. (173,854) (215,563)
- ----------------------------------------------------------------------------------
1,224,806 254,019
- ----------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------
</TABLE>
The accompanying notes are an integral part of the financial statements.

12
<PAGE>

MJI INTERNATIONAL EQUITY PORTFOLIO
FINANCIAL HIGHLIGHTS
SELECTED PER SHARE DATA & RATIOS
FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD

<TABLE>
<CAPTION>
SIX MONTHS
ENDED YEAR SEPTEMBER
OCTOBER 31, ENDED 1994** TO
1996 APRIL 30, APRIL 30,
(UNAUDITED) 1996 1995
- -------------------------------------------------------------------------------
<S> <C> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD........ $ 10.27 $ 9.50 $ 10.00
- -------------------------------------------------------------------------------
INCOME FROM INVESTMENT OPERATIONS
Net Investment Income...................... 0.03 0.07 0.04
Net Realized and Unrealized Gain (Loss) on
Investments............................... (0.24) 0.75 (0.54)++
- -------------------------------------------------------------------------------
Total from Investment Operations.......... (0.21) 0.82 (0.50)
- -------------------------------------------------------------------------------
DISTRIBUTIONS
Net Investment Income...................... -- (0.00)@ --
In Excess of Net Investment Income......... -- (0.03) --
Net Realized Gain.......................... -- (0.02) --
- -------------------------------------------------------------------------------
Total Distributions....................... -- (0.05) --
- -------------------------------------------------------------------------------
NET ASSET VALUE, END OF PERIOD.............. $ 10.06 $ 10.27 $ 9.50
- -------------------------------------------------------------------------------
- -------------------------------------------------------------------------------
TOTAL RETURN+............................... (2.05)% 8.67% (5.00)%
- -------------------------------------------------------------------------------
- -------------------------------------------------------------------------------
RATIOS AND SUPPLEMENTAL DATA
Net Assets, End of Period (Thousands)...... $20,742 $8,592 $ 5,535
Ratio of Expenses to Average Net Assets.... 1.50%* 1.45% 1.00%*
Ratio of Net Investment Income to Average
Net Assets................................ 0.63%* 0.88% 1.49%*
Portfolio Turnover Rate.................... 36% 59% 81%
Average Commission Rate#................... $0.0296 $0.0316 N/A
- -------------------------------------------------------------------------------
Voluntary Waived Fees and Expenses Assumed
by the Adviser............................ $ 0.04 $ 0.13 $ 0.13
Ratio of Expenses to Average Net Assets
Including Expense Offsets................. 1.50%* 1.43%* 1.00%**
- -------------------------------------------------------------------------------
</TABLE>
* Annualized
** Commencement of Operations
+ Total return would have been lower had certain fees not been waived and
expenses assumed by the Adviser during the periods indicated.
++ The amount shown for the period ended October 31, 1996 for a share
outstanding throughout that year does not accord with the aggregate net
gains on investments for that year because of the timing of sales and
repurchases of the Portfolio shares in relation to fluctuating market value
of the investments of the Portfolio.
# Beginning with fiscal year 1996, the portfolio is required to disclose the
average commission rate per share it paid for portfolio trades on which
commissions were charged.
@ Amount is less than $0.01 per share.

The accompanying notes are an integral part of the financial statements.

13
<PAGE>

MJI INTERNATIONAL EQUITY PORTFOLIO

NOTES TO FINANCIAL STATEMENTS (UNAUDITED)

UAM Funds Trust and UAM Funds, Inc. (collectively the "UAM Funds") are
registered under the Investment Company Act of 1940, as amended. The MJI
International Equity Portfolio (the "Portfolio"), a portfolio of UAM Funds
Trust, is a diversified, open-end management investment company. At October
31, 1996, the UAM Funds were composed of forty active portfolios. The
financial statements of the remaining portfolios are presented separately. The
objective of the MJI International Equity Portfolio is to provide maximum
total return, including both capital appreciation and current income, by
investing primarily in the common stocks of companies based outside of the
United States.

The Portfolio may be subject to taxes imposed by countries in which it
invests. Such taxes are generally based on either income or gains earned or
repatriated. The Portfolio accrues such taxes when the related income is
earned.

14
<PAGE>

MJI INTERNATIONAL EQUITY PORTFOLIO

NOTES TO FINANCIAL STATEMENTS (UNAUDITED)--(CONTINUED)

4. FOREIGN CURRENCY TRANSLATION: The books and records of the Portfolio are
maintained in U.S. dollars. Investment securities and other assets and
liabilities denominated in a foreign currency are translated into U.S.
dollars on the date of valuation. The Portfolio does not isolate that
portion of realized or unrealized gains and losses resulting from changes
in the foreign exchange rate from fluctuations arising from changes in the
market prices of the securities. These gains and losses are included in net
realized and unrealized gain and loss on investments on the statement of
operations. Net realized and unrealized gains and losses on foreign
currency transactions represent net foreign exchange gains or losses from
forward foreign currency exchange contracts, disposition of foreign
currencies, currency gains or losses realized between trade and settlement
dates on securities transactions and the difference between the amount of
the investment income and foreign withholding taxes recorded on the
Portfolio's books and the U.S. dollar equivalent amounts actually received
or paid.

5. FORWARD FOREIGN CURRENCY EXCHANGE CONTRACTS: The Portfolio may enter
into forward foreign currency exchange contracts to protect the value of
securities held and related receivables and payables against changes in
future foreign exchange rates. A forward currency contract is an agreement
between two parties to buy and sell currency at a set price on a future
date. The market value of the contract will fluctuate with changes in
currency exchange rates. The contract is marked-to-market daily using the
current forward rate and the change in market value is recorded by the
Portfolio as unrealized gain or loss. The Portfolio recognizes realized
gain or loss when the contract is closed, equal to the difference between
the value of the contract at the time it was opened and the value at the
time it was closed. Risks may arise upon entering into these contracts from
the potential inability of counterparties to meet the terms of their
contracts and are generally limited to the amount of unrealized gain on the
contracts, if any, at the date of default. Risks may also arise from the
unanticipated movements in the value of a foreign currency relative to the
U.S. dollar.

6. DISTRIBUTIONS TO SHAREHOLDERS: The Portfolio will normally distribute
substantially all of its net investment income annually. Any realized net
capital gains will be distributed annually. All distributions are recorded
on ex-dividend date.

The amount and character of income and capital gain distributions to be
paid are determined in accordance with Federal income tax regulations which
may differ from generally accepted accounting principles. These differences
are primarily due to differing book and tax treatments for foreign currency
transactions and deferred organization costs.

7. ORGANIZATION COSTS: Costs incurred by the Portfolio in connection with
its organization have been deferred and are being amortized on a straight-
line basis over a five year period.

8. OTHER: Security transactions are accounted for on trade date, the date
the trade was executed. Costs used in determining realized gains and losses
on the sale of investment securities are based on the specific
identification method. Dividend income is recorded on the ex-dividend date,
except that certain dividends from foreign securities are recorded as soon
as the Portfolio is informed of the ex-dividend date. Interest income is
recognized on the accrual basis. Discounts and premiums on securities
purchased are amortized using the effective yield basis over their
respective lives. Most expenses of the UAM Funds can be directly

15
<PAGE>

MJI INTERNATIONAL EQUITY PORTFOLIO

NOTES TO FINANCIAL STATEMENTS (UNAUDITED)--(CONTINUED)

attributed to a particular portfolio. Expenses which cannot be directly
attributed are apportioned among the portfolios of the UAM Funds based on
their relative net assets. Additionally, certain expenses are apportioned
among the portfolios of the UAM Funds and AEW Commercial Mortgage
Securities Fund, Inc. ("AEW"), an affiliated closed-end management
investment company, based on their relative net assets. Custodian fees for
the Portfolio have been increased to include expense offsets for custodian
balance credits.

B. ADVISORY SERVICES: Under the terms of an investment advisory agreement,
Murray Johnstone International Ltd., (the "Adviser"), provides investment
advisory services to the Portfolio at a fee calculated at an annual rate of
0.75% of average daily net assets. The Adviser has voluntarily agreed to waive
a portion of its advisory fees and to assume expenses, if necessary, in order
to keep the Portfolio's total annual operating expenses, after the effect of
expense offset arrangements, from exceeding 1.50% of average daily net assets.

E. DISTRIBUTION SERVICES: UAM Fund Distributors, Inc. (the "Distributor"), a
wholly-owned subsidiary of UAM, distributes the shares of the Portfolio. The
Distributor does not receive any fee or other compensation with respect to the
Portfolio.

G. PURCHASES AND SALES: For the period ended October 31, 1996, the Portfolio
made purchases of $15,538,657 and sales of $3,966,361 of investment securities
other than long-term U.S. Government and short-term securities. There were no
purchases or sales of long-term U.S. Government securities.

16
<PAGE>

MJI INTERNATIONAL EQUITY PORTFOLIO

NOTES TO FINANCIAL STATEMENTS (UNAUDITED)--(CONTINUED)

H. LINE OF CREDIT: The Portfolio, along with certain other Portfolios of UAM
Funds, collectively entered into an agreement which enables them to
participate in a $100 million unsecured line of credit with several banks.
Borrowings will be made solely to temporarily finance the repurchase of
Capital shares. Interest is charged to each participating Portfolio based on
its borrowings at a rate per annum equal to the Federal Funds rate plus 0.75%.
In addition, a commitment fee of 1/10th of 1% per annum, payable at the end of
each calendar quarter, is accrued by each participating Portfolio based on its
average daily unused portion of the line of credit. During the period ended
October 31, 1996, the Portfolio had no borrowings under the agreement.

I. OTHER: At October 31, 1996, 52.6% of total shares outstanding were held by
2 record shareholders owning more than 10% of the aggregate total shares
outstanding.

At April 30, 1996, the net assets of the Portfolio was substantially comprised
of foreign denominated securities and/or currency. Changes in currency
exchange rates will affect the value of and investment income from such
securities and currency.

Foreign security and currency transactions may involve certain considerations
and risks not typically associated with those of U.S. dollar denominated
transactions as a result of, among other factors, the possibly lower level of
governmental supervision and regulation of foreign securities markets and the
possibility of political or economic instability.

17
<PAGE>

- -------------------------------------------------------------------------------

UAM FUNDS
IRC ENHANCED INDEX
PORTFOLIO

- -------------------------------------------------------------------------------

OFFICERS AND TRUSTEES

Norton H. Reamer William H. Park
Trustee, President Vice President
and Chairman

John T. Bennett, Jr. Michael E. DeFao
Trustee Secretary

Philip D. English Karl O. Hartmann
Trustee Assistant Secretary

William A. Humenuk Gary L. French
Trustee Treasurer

Peter M. Whitman, Jr. Robert R. Flaherty
Trustee Assistant Treasurer

- -------------------------------------------------------------------------------

INVESTMENT ADVISER
Investment Research Company
16236 San Dieguito Road Suite 2-20
Rancho Santa Fe, CA 92067

- -------------------------------------------------------------------------------

ADMINISTRATOR
UAM Fund Services, Inc.
211 Congress Street
Boston, MA 02110

- -------------------------------------------------------------------------------

CUSTODIAN
The Chase Manhattan Bank
3 MetroTech Center
Brooklyn, NY 11245