UNITED STATES
SECURITIES AND EXCHANGE COMMISSION -------------------------------------
Washington, D.C. 20549 OMB APPROVAL
-------------------------------------
OMB Number: 3235-0360
FORM N-17f-2 Expires: July 31, 1994
Estimated average burden
hours per response ...0.05
-------------------------------------
Certificate of Accounting of Securities and Similar
Investments in the Custody of
Management Investment Companies
Pursuant to Rule 17f-2 [17 CFR 270.17F-2]
<TABLE>
<S> <C> <C> <C> <C> <C> <C>
- ------------------------------------------------------------------------------------------------------------------------------------
1. Investment Company Act File Number: Date examination completed:
811-8630 August 31, 1999
- ------------------------------------------------------------------------------------------------------------------------------------
2. State identification Number:
----------------------------------------------------------------------------------------------------------------------------
AL AK AZ AR CA CO
----------------------------------------------------------------------------------------------------------------------------
CT DE DC FL GA HI
----------------------------------------------------------------------------------------------------------------------------
ID IL IN IA KS KY
----------------------------------------------------------------------------------------------------------------------------
LA ME MD MA MI MN
----------------------------------------------------------------------------------------------------------------------------
MS MO MT NE NV NH
----------------------------------------------------------------------------------------------------------------------------
NJ NM NY NC ND OH
----------------------------------------------------------------------------------------------------------------------------
OK OR PA RI SC SD
----------------------------------------------------------------------------------------------------------------------------
TN TX UT VT VA WA
----------------------------------------------------------------------------------------------------------------------------
WV WI WY PUERTO RICO
----------------------------------------------------------------------------------------------------------------------------
Other (specify):
- ------------------------------------------------------------------------------------------------------------------------------------
3. Exact name of investment company as specified in registration statement:
MUTUAL FUND VARIABLE ANNUITY TRUST
- ------------------------------------------------------------------------------------------------------------------------------------
5. Address of principal executive office (number, street, city, state, zip code):
Mary Squires, 1 Chase Square - Tower 7, Rochester, New York 14643
- ------------------------------------------------------------------------------------------------------------------------------------
</TABLE>
INSTRUCTIONS
This Form must be completed by investment companies that have custody of
securities or similar investments.
Investment Company
1. All items must be completed by the investment company.
2. Give this Form to the independent public accountant who, in compliance with
Rule 17f-2 under the Act and applicable state law, examines securities and
similar investments in the custody of the investment company.
Accountant
3. Submit this Form to the Securities and Exchange Commission and appropriate
state securities administrators when filing the certificate of accounting
required by Rule 17f-2 under the Act and applicable state law. File the
original and one copy with the Securities and Exchange Commission's
principal office in Washington, D.C., one copy with the regional office for
the region in which the investment company's principal business operations
are conducted, and one copy with the appropriate state administrator(s), if
applicable.
THIS FORM MUST BE GIVEN TO YOUR INDEPENDENT PUBLIC ACCOUNTANT
SEC 2198 (11-91)
<PAGE>
Report of Independent Accountants
March 13, 2000
To the Trustees of
Mutual Fund Variable Annuity Trust
We have examined management's assertion about Mutual Fund Variable Annuity
Trust's (the "Trust's") compliance with the requirements of subsections (b) and
(c) of Rule 17f-2 under the Investment Company Act of 1940 ("the Act") as of
August 31, 1999 included in the accompanying Management Statement Regarding
Compliance with Certain Provisions of the Investment Company Act of 1940.
Management is responsible for the Trust's compliance with those requirements.
Our responsibility is to express an opinion on management's assertion about the
Trust's compliance based on our examination.
Our examination was made in accordance with standards established by the
American Institute of Certified Public Accountants and, accordingly, included
examining, on a test basis, evidence about the Trust's compliance with those
requirements and performing such other procedures as we considered necessary in
the circumstances. Included among our procedures were the following tests
performed as of August 31, 1999, and the period from June 30, 1999 (the date of
last examination) through August 31, 1999 with respect to agreement of purchases
and sales of securities and similar investments, without prior notice to
management:
o Count and inspection of domestic securities and similar investments located
in the vault of The Chase Manhattan Bank, New York (the "Custodian") at 4
New York Plaza, 11th Floor, NY, NY;
o Testing of securities and similar investments held in book entry form by
the Federal Reserve Bank of New York and The Depository Trust Company via
evaluation of the reconciliation procedures used by the Custodian and
disposition of any reconciling items related to the Trust's positions;
o Testing of the reconciliation of securities and similar investments,
prepared by management of the Trust, between the books and records of the
Trust and the Custodian;
<PAGE>
o Testing of selected purchases and/or sales or maturities of investment
securities since our last examination from the books and records of the
Trust to trade tickets and broker confirmations;
o For global securities held in book entry form by sub-custodians outside of
the United States:
o Testing of the reconciliation of custody records, prepared by
management of the Trust, between The Chase Manhattan Bank,
Bournemouth, England, the primary custodian outside of the United
States, and the corresponding sub-custodians;
o Testing of the reconciliation of securities and similar
investments from The Chase Manhattan Bank, Bournemouth, England to
the records of the Custodian;
o Where the Custodian, engaged a related sub-custodian, we reviewed
the reconciliation prepared by the sub-custodian, between the
sub-custodian's positions and the local depository, and confirmed
positions with such depository, whether the positions were in the
individual portfolio's name or in an omnibus account.
We believe that our examination provides a reasonable basis for our opinion. Our
examination does not provide a legal determination on the Trust's compliance
with specified requirements.
In our opinion, management's assertion that Mutual Fund Variable Annuity Trust
was in compliance with the requirements of subsections (b) and (c) of Rule 17f-2
of the Investment Company Act of 1940 as of August 31, 1999 with respect to
securities and similar investments reflected in the investment account of the
Trust is fairly stated, in all material respects.
This report is intended solely for the information and use of management of
Mutual Fund Variable Annuity Trust and the Securities and Exchange Commission
and should not be used for any other purpose.
<PAGE>
Management Statement Regarding Compliance with
Certain Provisions of the Investment Company Act of 1940
--------------------------------------------------------
We, as members of management of Mutual Fund Variable Annuity Trust (the
"Trust"), are responsible for complying with the requirements of subsections (b)
and (c) of Rule 17f-2, "Custody of Investments by Registered Management
Investment Companies," of the Investment Company Act of 1940. We are also
responsible for establishing and maintaining effective internal controls over
compliance with those requirements. We have performed an evaluation of the
Trust's compliance with the requirements of subsections (b) and (c) of Rule
17f-2 as of August 31, 1999 and from June 30, 1999 (last examination date)
through August 31, 1999.
Based on this evaluation, we assert that the Trust was in compliance with the
requirements of subsections (b) and (c) of Rule 17f-2 of the Investment Company
Act of 1940 as of August 31, 1999 and from June 30, 1999 (last examination date)
through August 31, 1999, with respect to securities and similar investments
reflected in the investment account of the Trust.
Mutual Fund Variable Annuity Trust
By:
- --------------------------------
Martin R. Dean
Treasurer
Mutual Fund Variable Annuity Trust
- --------------------------------
Colleen McCoy
Vice President
Chase Manhattan Bank
