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Wilmington Funds – ‘N-30D’ for 10/31/02

On:  Friday, 1/3/03, at 9:44am ET   ·   Effective:  1/3/03   ·   For:  10/31/02   ·   Accession #:  1056288-3-6   ·   File #:  811-05514

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  As Of                Filer                Filing    For·On·As Docs:Size              Issuer               Agent

 1/03/03  Wilmington Funds                  N-30D      10/31/02    1:4.7M                                   Federated Invest… Inc/PA

Annual or Semi-Annual Report Mailed to Shareholders   —   Rule 30d-1
Filing Table of Contents

Document/Exhibit                   Description                      Pages   Size 

 1: N-30D       Annual or Semi-Annual Report Mailed to              HTML   4.13M 
                          Shareholders

Document Table of Contents

Page (sequential) | (alphabetic) Top
 
11st Page   -   Filing Submission
"President's Message
"Investment Reviews
"Portfolios of Investments
"Statements of Assets and Liabilities
"Statements of Operations
"Statements of Changes in Net Assets
"Financial Highlights
"Notes to Financial Statements
"Investment Review

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  VISION GROUP OF FUNDS  
 
Contents
 
President’s Message
  
1
Investment Reviews
   
4
Portfolios of Investments
   
18
Statements of Assets and Liabilities
   
54
Statements of Operations
  
62
Statements of Changes in Net Assets
   
66
Financial Highlights
  
72
Notes to Financial Statements
  
84
President’s Message
 
Dear Investor:
 
I am pleased to present the Semi-Annual Report of the VISION Group of Funds for the first half of the Funds’ current fiscal year, which is the six-month period from May 1, 2002 through October 31, 2002. This report begins with a discussion by the management of each non-money market Fund management about the economy, the market, and fund strategies over the reporting period. Next, you’ll find a complete list of portfolio holdings and financial statements for each Fund.
 
The six-month reporting period saw continued positive performance from bonds, and continued weakness from stocks. If you are a stock investor, I urge you to remember that your long-term goals require a long-term commitment. As difficult as this bear market has been, acting on your emotions can distract you from your long-term objectives.
 
For more in-depth information on the investment climate and our outlook, I urge you to read the portfolio managers’ investment reviews.
 
Fund-by-Fund performance highlights are as follows:
 
VISION EQUITY FUNDS
 
VISION International Equity Fund
The VISION International Equity Fund pursues long-term capital appreciation by investing in international stocks issued by established companies in developed markets.* Over the reporting period, the fund’s Class A Shares produced a total return of (16.54)%, or (21.12)% adjusted for the fund’s sales charge, due to a decline in international stock prices. Class B Shares produced a total return of (16.87)%, or (21.03)% adjusted for the fund’s contingent deferred sales charge.** At the end of the reporting period, the fund’s net assets totaled $41.7 million.
 
VISION Small Cap Stock Fund
This VISION fund pursues growth of capital by investing in stocks issued by small cap companies.† Over the reporting period, the fund’s Class A Shares produced a total return of (20.86)%, or (25.23)% adjusted for the fund’s sales charge, the result of a decline in net asset value. Class B Shares produced a total return of (21.14)%, or (25.08)% adjusted for the fund’s contingent deferred sales charge, through a decline in net asset value.** At the end of the reporting period, the fund’s net assets totaled $92.3 million.
 
VISION Mid Cap Stock Fund
The fund’s portfolio pursues its objective of total return by investing in high-quality mid-cap stocks selected through a systematic process that focuses on value, or “cheapness,” and improving fundamental strength. During the reporting period, the fund’s Class A Shares produced a total return of (17.16)% or (21.73)% adjusted for the fund’s sales charge, due to a decline in net asset value. Class B Shares produced a total return of (17.61)% or (21.73)% adjusted for the contingent deferred sales charge, due to a decline in net asset value.** At the end of the reporting period, the fund’s net assets totaled $101.6 million.
 
VISION Large Cap Growth Fund
This fund pursues capital appreciation by investing in large, established blue-chip growth companies. Over the reporting period, the fund’s Class A Shares produced a total return of (17.07)%, or (21.63)% adjusted for the fund’s sales charge, through a decline in net asset value. Class B Shares produced a total return of (17.53)%, or (21.65)% adjusted for the fund’s contingent deferred sales charge, through a decline in net asset value.** At the end of the reporting period, the fund’s net assets totaled $14.7 million.
 
VISION Large Cap Core Fund
This VISION fund pursues long-term capital appreciation and provides an “all around” approach to stocks by investing in large, established blue-chip companies. Over the reporting period, the fund’s Class A Shares produced a total return of (24.29)%, or (28.49)% adjusted for the fund’s sales charge. Class B Shares produced a total return of (24.54)%, or
 
*
International investing involves special risks including currency risk, increased volatility of foreign securities, and differences in auditing and other financial standards.
**
Past performance is no guarantee of future results. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost.
†
Small company stocks may be less liquid and subject to greater price volatility than large capitalization stocks.

1
(28.31)% adjusted for the fund’s contingent deferred sales charge, through a decrease in net asset value.* At the end of the reporting period, the fund’s net assets totaled $100.8 million.
 
VISION Large Cap Value Fund
This fund pursues current income, with a secondary focus on capital appreciation from stocks believed to be undervalued. Over the reporting period, the fund’s Class A Shares produced a total return of (22.82)%, or (27.06)% adjusted for the fund’s sales charge. Class B Shares produced a total return of (23.21)%, or (27.05)% adjusted for the contingent deferred sales charge.* The fund’s net assets totaled $38.7 million at the end of the reporting period.
 
VISION MANAGED ALLOCATION FUNDS
 
VISION Managed Allocation Fund—Aggressive Growth
This VISION fund pursues capital appreciation by investing in a strategic combination of VISION Stock, Bond and Money Market funds with an emphasis on those investing in stocks. Over the reporting period, the fund’s Class A Shares produced a total return of (17.49)%, or (21.62)% adjusted for the fund’s sales charge. Class B Shares produced a total return of (17.81)%, or (21.92)% adjusted for the contingent deferred sales charge.* The fund’s net assets totaled $5.7 million at the end of the reporting period.
 
VISION Managed Allocation Fund—Moderate Growth
This VISION fund pursues capital appreciation and, secondarily, income by investing in a strategic combination of VISION stock, bond, and money market funds. Over the reporting period, the fund’s Class A Shares produced a total return of (10.53)%, or (14.58)% adjusted for the fund’s sales charge, and paid dividend income of $0.05 per share. Class B Shares produced a total return of (11.04)%, or (15.48)% adjusted for the contingent deferred sales charge, and paid dividend income of $0.02 per share.* The fund’s net assets totaled $11.0 million at the end of the reporting period.
 
VISION Managed Allocation Fund—Conservative Growth
This VISION fund pursues capital appreciation and income by investing in a strategic combination of VISION Stock, Bond and Money Market funds with an emphasis on those investing in bonds. Over the reporting period, the fund’s Class A Shares produced a total return of (2.48)%, or (6.42)% adjusted for the fund’s sales charge, and paid dividend income totaling $0.12 per share. Class B Shares produced a total return of (3.00)%, or (7.81)% adjusted for the contingent deferred sales charge, and paid dividend income of $0.09 per share.* The fund’s net assets totaled $4.3 million at the end of the reporting period.
 
VISION FIXED INCOME FUNDS
 
VISION New York Municipal Income Fund
This fund’s portfolio of high-quality, New York municipal bonds paid tax-free income distributions totaling $0.20 per share for Class A Shares.** In a positive interest rate environment for bond prices, the fund’s net asset value increased by $0.25 over the reporting period. As a result, the fund’s Class A Shares achieved a total return of 4.38%, or (0.31)% adjusted for the fund’s sales charge.* By the end of the reporting period, tax-sensitive New York residents had invested a total of $83.5 million in the fund.
 
VISION Pennsylvania Municipal Income Fund
This VISION fund pursues income exempt from both federal and Pennsylvania state income taxes through a portfolio of high-quality, Pennsylvania municipal bonds. Over the reporting period, the fund’s Class A Shares paid tax-free income distributions totaling $0.17 per share.** In a positive interest rate environment for bond prices, the fund’s net asset value increased by $0.28. As a result, the fund achieved a total return of 4.48%, or (0.22)% adjusted for the fund’s sales charge.* By the end of the reporting period, tax-sensitive Pennsylvania residents had invested a total of $86.1 million in the fund.
 
VISION Intermediate Term Bond Fund
This VISION fund pursues current income, with long-term growth of capital as a secondary objective, by investing in a broad range of intermediate-term, U.S. government and investment grade corporate bonds. Over the reporting period, Class A Shares paid dividends totaling $0.26 per share, while the fund’s net asset value rose by $0.22. As a result, the fund produced a total return of 5.04%, or 0.30% adjusted for the fund’s sales charge.* At the end of the reporting period, the fund’s net assets totaled $153.9 million.
 
*
Past performance is no guarantee of future results. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost.
**
Income may be subject to the federal alternative minimum tax and some state and local taxes.

2
 
VISION U.S. Government Securities Fund
The fund’s portfolio of U.S. government securities paid dividends totaling $0.26 per share, while the fund’s net asset value rose by $0.30. As a result, the fund produced a total return of 5.94%, or 1.14% adjusted for the fund’s sales charge.* At the end of the reporting period, the fund’s net assets totaled $125.0 million.
 
VISION MONEY MARKET FUNDS†
 
VISION New York Tax-Free Money Market Fund, a portfolio of New York municipal money market securities, paid double-tax-free dividends (triple-tax-free dividends to New York City residents) totaling $0.005 per share during the reporting period.** The fund’s net assets totaled $201.9 million at the end of the reporting period.
 
VISION Money Market Fund, a diversified portfolio of corporate and U.S. government money market securities, paid dividends totaling $0.006 per share to Class A Shares investors and $0.004 per share to Class S Shares investors during the reporting period. The fund’s net assets totaled $1.5 billion at the end of the reporting period.
 
VISION Treasury Money Market Fund, which invests exclusively in U.S. Treasury securities, paid dividends totaling $0.006 per share to Class A Shares investors and $0.004 per share to Class S Shares investors during the reporting period. The fund’s net assets totaled $672.3 million at the end of the reporting period.
 
As always, thank you for choosing one or more of the VISION Funds to pursue your financial goals. We’ll continue to keep you up-to-date on your progress as you participate in key financial markets through this expanded mutual fund family.
 
Sincerely,
 
/s/Carl W. Jordan
Carl W. Jordan
President
December 16, 2002
 
*
Past performance is no guarantee of future results. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost.
**
Income may be subject to the federal alternative minimum tax and some state and local taxes.
†
An investment in the funds is neither insured nor guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the funds seek to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in the funds.

3
VISION
International Equity Fund
 
Performance
 
While absolute performance has been negative over the six month period ending October 31, 2002, relative performance has been positive in this period reflecting value added decisions at the country, currency and stock decision levels.
 
In recent volatile markets (3 years), this Fund has delivered a lower volatility (16.9% per annum) than that of the MSCI World ex US Index (17.4% per annum).*
 
Recent strong outperformance has been largely driven by good stock and sector decisions, as the benefits of our global research platform provide us with the confidence to take advantage of recent volatile markets.
 
Current Views
 
The majority of the “risk budget” is being spent as stock, rather than industry, currency or country views. Some of the largest active views in the portfolio are at the stock level under “pairwise trades.”

 
We took advantage of the relative strength of the Asian markets to switch positions from Asian names into comparable companies. This included reductions in the holdings of DBS Group Holdings and National Australia Bank with the proceeds being added to Royal Bank of Scotland.
 
Japan is the largest geographic underweight because we remain skeptical of the prospect for meaningful economic reforms and corporations show little sign of tackling their dismal return on equity. Valuations are beginning to look stretched compared to their European and U.S. counterparts. The UK remains the largest overweight driven entirely by the number of good opportunities at the stock level.
 
The Japan underweight is followed by Germany and Canada, the largest overweight is to the UK, followed by France and Sweden.
 
Consumer Discretionary became the largest sector overweight as we add to Nintendo, Compagniere Financiere Richemont and Koninklijke (Royal) Philips Electronics NV taking advantage of valuation anomalies. The Health Care overweight was doubled as we added to Sanofi-Synthelabo, Altana and Serono while the sector was weakened due to negative news flow.
 
*
The MSCI World ex U.S. Index is an unmanaged index representing 22 developed foreign stock markets.

4
VISION
Small Cap Stock Fund
 
The six months ended October 31, 2002 experienced a continuation of the trends, anxiety and concerns of the past year. During this period of time, virtually all segments of the U.S. stock market declined sharply. Small cap stocks* underperformed larger stocks during the period, but stocks overall fell indiscriminately. The Russell 2000 Index** of small companies fell more than 26% over the last six months while the VISION Small Cap Stock Fund’s Class A Shares’ total return was (20.86)%, or (25.23)% adjusted for the fund’s sales charge, and the Class B Shares’ total return was (21.14)%, or (25.08)% adjusted for the fund’s contingent deferred sales charge.***
 
Within the small cap stock universe, value oriented securities fell less than growth stocks with the Russell 2000 Value Index† declining 24.5% and the Russell 2000 Growth Index†† declining 29.0%. An October rally helped modestly with growth stocks outperforming value stocks in all capitalization ranges.
 
During the six-month period of time, LSV Asset Management’s (value) defensive portfolio performed better than the value index by approximately 500 basis points. Their emphasis on cash flow and earnings helped performance during this period. Mazama Capital Management (growth) participations declined (22.6)% whereas their growth index fell (29)%. While the absolute performance was negative, both managers outperformed their benchmarks by 500 basis points or better.
 
Anticipating an improvement in economic fundamentals, equity valuations should respond favorably as mounting evidence becomes clearer and investor confidence rises. Currently, there are many opportunities within both management styles offering compelling opportunities for future growth. Emphasis on these investments reflects the conviction that improving economic conditions and a growing economy will reward high-growth sectors and industry groups first, followed by other areas of the market.
 
*
Small company stocks may be less liquid and subject to greater price volatility than large capitalization stocks.
**
The Russell 2000 Index measures the performance of the 2,000 smallest companies in the Russell 3000 Index, which represents approximately 10% of the total market capitalization of the Russell 3000 Index. Indexes are unmanaged and investments cannot be made in an index.
***
Past performance is no guarantee of future results. Investment return and principal value will fluctuate, so that an investor’s shares, when redeemed, may be worth more or less than their original cost.
†
The Russell 2000 Value Index measures the performance of those Russell 2000 companies with lower price-to-book ratios and lower forecasted growth values. Indexes are unmanaged and investments cannot be made in an index.
††
The Russell 2000 Growth Index measures the performance of those Russell 2000 companies with higher price-to-book ratios and higher forecasted growth values. Indexes are unmanaged and investments cannot be made in an index.

5
VISION
Mid Cap Stock Fund
 
Continued bearish sentiment drove the market downward again over the past six months. Investor fears of a double-dip recession were exacerbated by downward Gross Domestic Product revisions, a decline in consumer sentiment, and an increase in jobless claims. This in combination with the WorldCom bankruptcy, the anniversary of the September 11th terrorist attacks and a potential war with Iraq served to push stock prices lower. While small cap stocks had been the recent leaders of the market, economic concerns led investors to lighten up on small cap names and thus, less volatile large cap stocks outperformed. Although all sectors posted negative returns, there were some bright spots in the more defensive sectors, such as Health Care,  Consumer Noncyclicals, and Utilities that performed  relatively well. The Commercial Services, Telecommunications and Technology sectors, on the other hand, performed poorly. For the six months ended October 31, 2002, the Standard and Poor’s Mid Cap 400 Index* returned (20.66)% and the broader Russell Midcap® Index** returned (20.19)%.
 
During this period, the Fund benefited from a diversified strategy that seeks out inexpensive mid cap stocks with improving fundamentals. For the six months ended October 31, 2002, the Fund’s Class A shares and Class B shares returned (17.16)% and (21.73)% at net asset value respectively, and (17.61)% and (21.73)%, adjusted for the Fund’s sales charge and contingent deferred sales charge, respectively.***
 
Searching for more stable, recession resistant growth, investors flocked to Health Care during the period. Driven by positive trends in the hospital industry, such as the aging population, supply limitations and moderating labor costs, Health Management Associates was one of the best performers in this portfolio. Universal Health, another hospital stock, also performed well. Anthem was helped by expense reductions and price increases in the managed care industry. Trigon was acquired during the period and thus performed particularly well.
 
Consumer Noncyclicals offered another haven, with food, beverage, tobacco and household product names all performing well. Holdings such as Sensient Technologies, for example, outperformed due to the company’s successful focus on higher value-added food ingredients. Kellogg was strong, as consumers traded up to higher margin cereals.
 
After a long period of strong returns, Commercial Services was the worst performing sector in the Fund’s portfolio during this period. Previously viewed as a less risky technology investment, the entire group sold off due to deteriorating fundamentals. Concord EFS and BISYS suffered as earnings expectations were lowered. While Technology also had a difficult period, software names such as Intuit and BMC Software performed quite well.
 
Going forward, we expect uncertainty to weigh on the market until the Iraq situation is better understood. However, on a more positive note, corporate malfeasance worries seem to have abated as CEOs signed off on the accuracy of their financial reports. In addition, the Federal Reserve Board (the “Fed”) recognized that the economy could use a jump-start and recently cut the Fed Funds rate 50 basis points to a record low of 1.25%. We believe the consumer will continue to increase spending which should allow the economy to continue its modest and gradual recovery. Meanwhile, our independent research staff, free of the conflicts of interest which plague Wall Street, will continue to closely scrutinize the Fund’s holdings and seek to provide the highest quality financial projections possible to our disciplined valuation system.
 
*
The Standard & Poor’s Mid Cap 400 Index is an unmanaged capitalization-weighted index of common stocks representing all major industries in the mid-range of the U.S. stock market. Investments cannot be made in an index.
**
The Russell Midcap Index measures the performance of the 800 smallest companies in the Russell 1000 Index, which represent approximately 35% of the total market capitalization of the Russell 1000 Index. Indexes are unmanaged and investments cannot be made in an index.
***
Past performance is no guarantee of future results. Investment return and principal value will fluctuate, so that an investor’s shares, when redeemed, may be worth more or less than their original cost.

6
VISION
Large Cap Growth Fund
 
During the six months ended October 31, 2002 the fund’s Class A Shares returned (17.07)% based on net asset value, or (21.63)% adjusted for the fund’s sales charge, and the fund’s Class B Shares returned (17.53)% based on net asset value, or (21.65)% adjusted for the fund’s contingent deferred sales charge.* This compares with a (15.38)% return for the S&P/Barra Growth Index,** a commonly referenced unmanaged index of large capitalization “growth” oriented stocks. During this same period the Lipper Large Cap Growth Fund Average*** returned (18.40)% and the S&P 500 Index**** returned (17.03)%.
 
The sub-advisor, Montag & Caldwell, focuses on large capitalization companies that have above-average earnings growth rates which are selling at a reasonable valuation in the stock market.
 
Good stock selection within the consumer staples and health care sectors during the past six months enabled the fund to perform in-line to slightly better than the majority of large cap growth managers in a difficult market environment. Unfortunately, poor relative performance of the fund’s holdings within the energy, consumer discretionary, and technology sectors largely offset the above positives.
 
Recent portfolio activity has included the establishment of a position in eBay (0.8)%, the leading online marketplace for the sale of goods and services. We also established position in Gannett (2.3)%, a leading newspaper and media company, and Kohl’s (2.4)%, a high quality mid-range department store company. Two technology companies we had initiated early in the year, BEA Systems and Siebel Systems were sold when the anticipated recovery in sales and earnings failed to materialize. Several names in the portfolio which we had already reduced due to lower confidence in earnings growth were eliminated over the summer: Nokia and Paychex. We also eliminated our position in Home Depot in the wake of a widening sales growth gap versus the company’s largest competitor. We sold our position in Electronic Data Systems following surprising and very disappointing earnings preannouncement for the third quarter.
 
The fund continues to emphasize high quality growth companies that have the potential to achieve double digit earnings growth in a challenging corporate profit environment. It has been our view that a lack of pricing power and the implementation of more conservative accounting practices would contribute to a less than expected recovery in corporate profits. This more moderate profit trend seems to be the most likely outcome at this time. We believe high quality global growth companies in the consumer staples and healthcare areas will continue to do well. In addition to their solid growth prospects, their shares may benefit from an expansion of their price earnings ratios in the current low interest rate environment. We also favor quality cyclical growth issues that should achieve attractive but realistic earnings targets with ongoing economic recovery. These include the shares of companies in the industrial, consumer discretionary, and oil service sectors. In technology, we are looking for companies that can achieve earnings recovery in a difficult industry environment.
 
Thank you for this opportunity to communicate with you. We look forward to updating you on the Fund’s progress in the future.
 
*
Past performance is no guarantee of future results. Investment return and principal value will fluctuate, so that an investor’s shares, when redeemed, may be worth more or less than their original cost.
**
The S&P/Barra Growth Index is an unmanaged capitalization weighted index of stocks in the Standard & Poor’s 500 Index having the highest price to book ratios. The index consists of approximately half of the S&P 500 on a market capitalization basis. Investments cannot be made in an Index.
***
Lipper figures represent the average of the total returns reported by all of the mutual funds designated by Lipper, Inc. as falling into the respective categories indicated. These figures do not reflect sales charges.
****
The S&P 500 Index is an unmanaged capitalization-weighted index of 500 stocks designed to measure performance of the broad domestic economy through changes in the aggregate market value of 500 stocks representing all major industries. Investments cannot be made in an index.

7
VISION
Large Cap Core Fund
 
The Fund’s Class A Shares returned (24.29)% based on net asset value (NAV) or (28.49)% adjusted for the fund’s sales charge, and the Fund’s Class B Shares returned (24.54)% based on net asset value or (28.31)% adjusted for the fund’s contingent deferred sales charge for the six months ended October 31, 2002.* The (24.29)% total return based on the NAV compares with a (17.02)% total return for the S&P 500 Index,** a commonly referenced unmanaged index of large capitalization stocks. During this same period the Lipper Large Cap Core Fund Average returned (17.62)%.***
 
Our equity approach is based on consistency and discipline. We apply a disciplined, yet opportunistic methodology focused on identifying companies with growth characteristics selling at attractive valuations. Our investment process is grounded in three dimensions. We utilize a top down thematic perspective and bottom-up intensive security analysis, with both approaches centered and balanced by risk control measures.
 
Top-Down: Thematic
 
Our thematic dimension incorporates our top-down assessment of how we should be positioned to take advantage of secular trends or patterns developing in the U.S. economy. We identified five major themes that should prove important for the 2002-2003 time frame:
 
1.
Demographics — The graying of America affects consumption patterns. We identify companies that capture increasing demand for pharmaceuticals while minimizing drug specific risk. Specific stocks include Caremark RX, Express Scripts, and IMS Health. Demand for casual dining increases as people age and have more disposable income. Darden Restaurants is positioned to benefit from this trend. Carnival should also benefit from an affluent, aging population. As the U.S. population ages, investing replaces consumption. This favors asset gatherers, annuity writers, and custodians such as Merrill Lynch, Hartford Financial Services and Bank of New York.
 
2.
Supply/Demand Imbalances — Cyclical industry conditions can create significant supply/demand imbalances. For example, demand outstrips supply in the U.S. hospital or health provider system. Demand for tertiary care in fast-growing markets is increasing while the supply of hospital beds is declining. Health Management Associates is an example of this theme. Demand for property and casualty insurance is rising while the supply or willingness to write certain types of policies has been curtailed, affording insurers such as St. Paul pricing power.
 
3.
The Information Age — Accelerated pace of change intensifies the battleground between innovators and incumbents. We invest in industry leaders who demonstrate their commitment to enhance their competitive advantage. We also invest with innovators and disrupters who could be tomorrow’s leaders. Additionally, many information age companies have significant intangible assets. Intangible assets can be key drivers of equity valuations, but require special qualitative analysis.
 
There are a number of sub-themes within the Information Age theme. The first is that power supply regulation becomes more important as product complexity increases. International Rectifier addresses this need. Second, we identify companies who establish and control the standards setting process. For mobility and wireless standards we have invested in Texas Instruments and Intersil. Third, we seek to participate in innovation while minimizing our exposure to specific technologies. Agilent Technologies reflects this concept.
 
A fourth sub-theme is that powerful two-way broadband networks plus a benign regulatory environment brighten cable’s future. Comcast and Cox Communications represent our cable choices. Fifth, video-on-demand will drive a new round of set-top box sales and Scientific-Atlanta is our selection. Sixth, enterprises are turning towards aggregators to implement their technology plans. To meet market demands, these aggregators — such as International Business Machines — need scale and scope. Our last Information Age sub-theme is convergence of content, delivery, and multiple services, and it favors media companies with powerful brands. Here, our holdings include Viacom and Walt Disney.
 
4.
Industry Consolidation — Profit pressures and competitive forces will drive consolidation in the energy, financial services, and utility sectors. Also, increasing scale should improve efficiency and returns. Some European financial conglomerates have excess capital and are seeking U.S. distribution. Jefferson-Pilot is a fund holding that should benefit from this trend. A number of the multinational

8
 
integrated oil companies have been acquiring North American reserves; Burlington Resources and Marathon Oil could appeal to acquirers.
 
5.
The Global Market Place — Open markets and new groups of global consumers provide growth opportunities, especially for companies that possess economies of scale and/or scope in their industry. Citigroup, Kimberly-Clark, Morgan Stanley, Mattel, Dell Computer, and Capital One Financial are a few of our holdings extending their market power internationally.
 
6.
Security Takes Center Stage — Complex global dynamics have replaced the predictability of the Cold War and the investment mainstream’s complacency regarding security has been shattered. Real increases in the defense budget have accelerated, favoring especially defense electronics powerhouse Raytheon. Both public facilities and services security infrastructure are getting a massive overhaul, which benefits Symbol Technologies.
 
Bottom-Up: Intensive Security Analysis — GARP
 
We emphasize stocks with growth prospects that on average are greater than the earnings growth rate of our Value benchmark. This follows from our conviction that future stock prices will largely be determined by future earnings growth. However, we want to pay a low multiple for that growth. Our average forward price earnings ratios (P/E’s) are lower than the average P/E multiple of the S&P Barra Value index.† A favorable P/E to growth ratio (PEG ratio) is our primary metric of GARP (Growth-At-a-Reasonable Price).
 
Risk control
 
We utilize stringent risk control measures to reduce expected tracking error or expected variance from our benchmark — the value side of the S&P 500. As a result of our risk control process, we invest in many industry leaders such as General Electric, Microsoft, Wal-Mart, Pfizer, Intel, Coca-Cola, Cisco Systems, American International Group, AOL Time Warner, Exxon Mobil, ChevronTexaco, and Verizon Communications.
 
*
Past performance is no guarantee of future results. Investment return and principal value will fluctuate, so that an investor’s shares, when redeemed, may be worth more or less than their original cost.
**
The S&P 500 Index is an unmanaged capitalization-weighted index of 500 stocks designed to measure performance of the broad domestic economy through changes in the aggregate market value of 500 stocks representing all major industries. Investments cannot be made in an index.
***
Lipper figures represent the average of the total returns reported by all of the mutual funds designated by Lipper, Inc. as falling into the respective categories indicated. These figures do not reflect sales changes.
†
The S&P/Barra Value Index is a market capitalization-weighted index of the stocks in the Standard & Poor’s 500 Index having the lowest price to book ratios. The index consists of approximately half of the S&P 500 on a market capitalization basis. This index is unmanaged and investments cannot be made in an index.

9
VISION
Large Cap Value Fund
 
The Fund’s Class A Shares returned (22.82)% based on net asset value (NAV) or (27.06)% adjusted for the fund’s sales charge and the Fund’s Class B Shares returned (23.21)% based on NAV, or (27.05)% adjusted for the Fund’s contingent deferred sales charge* for the six months ended October 31, 2002. The (22.82)% total return based on the NAV compares with a (18.95)% total return for the S&P/Barra Value Index,** a commonly referenced unmanaged index of large capitalization, value-oriented stocks. During this same period the Lipper Large Cap Value Fund Average returned (18.63)%.***
 
Our equity approach is based on consistency and discipline. We apply a disciplined, yet opportunistic methodology focused on identifying companies with growth characteristics selling at attractive valuations. Our investment process is grounded in three dimensions. We utilize a top down thematic perspective and bottom-up intensive security analysis, with both approaches centered and balanced by risk control measures.
 
Top-Down: Thematic
 
Our thematic dimension incorporates our top-down assessment of how we should be positioned to take advantage of secular trends or patterns developing in the U.S. economy. We identified five major themes that should prove important for the 2002-2003 time frame:
 
1.
Demographics — The graying of America affects consumption patterns. We identify companies that capture increasing demand for pharmaceuticals while minimizing drug specific risk. Specific stocks include Caremark RX and IMS Health. Demand for casual dining increases as people age and have more disposable income. Darden Restaurants is positioned to benefit from this trend. Carnival should also benefit from an affluent, aging population. As the U.S. population ages, investing replaces consumption. This favors asset gatherers, annuity writers, and custodians such as Merrill Lynch, and Hartford Financial Services and Bank of New York.
 
2.
Supply/Demand Imbalances — Cyclical industry conditions can create significant supply/demand imbalances. For example, demand outstrips supply in the U.S. hospital or health provider system. Demand for tertiary care in fast-growing markets is increasing while the supply of hospital beds is declining. Health Management Associates is an example of this theme. Demand for property and casualty insurance is rising while the supply or willingness to write certain types of policies has been curtailed, affording insurers such as St. Paul pricing power.
 
3.
The Information Age — Accelerated pace of change intensifies the battleground between innovators and incumbents. We invest in industry leaders who demonstrate their commitment to enhance their competitive advantage. We also invest with innovators and disrupters who could be tomorrow’s leaders. Additionally, many information age companies have significant intangible assets. Intangible assets can be key drivers of equity valuations, but require special qualitative analysis.
 
There are a number of sub-themes within the Information Age theme. The first is that power supply regulation becomes more important as product complexity increases. International Rectifier addresses this need. Second, we identify companies who establish and control the standards setting process. For mobility and wireless standards we have invested in Texas Instruments and Intersil. Third, we seek to participate in innovation while minimizing our exposure to specific technologies. Agilent Technologies reflects this concept. A fourth sub-theme is that powerful two-way broadband networks plus a benign regulatory environment brighten cable’s future. Comcast and Cox Communications represent our cable choices. Fifth, video-on-demand will drive a new round of set-top box sales and Scientific-Atlanta is our selection. Our last Information Age sub-theme is convergence of content, delivery, and multiple services, and it favors media companies with powerful brands. Here, our holdings include Viacom and Walt Disney.
 
4.
Industry Consolidation — Profit pressures and competitive forces will drive consolidation in the energy, financial services, and utility sectors. Also, increasing scale should improve efficiency and returns. Some European financial conglomerates have excess capital and are seeking U.S. distribution. Jefferson-Pilot is a fund holding that should benefit from this trend. A number of the multinational integrated oil companies have been acquiring North American reserves; Burlington Resources and Marathon Oil could appeal to acquirers.

10
 
5.
The Global Market Place — Open markets and new groups of global consumers provide growth opportunities, especially for companies that possess economies of scale and/or scope in their industry. Citigroup, Kimberly-Clark, Morgan Stanley, and Capital One Financial are a few of our holdings extending their market power internationally.
 
6.
Security Takes Center Stage — Complex global dynamics have replaced the predictability of the Cold War and the investment mainstream’s complacency regarding security has been shattered. Real increases in the defense budget have accelerated, favoring especially defense electronics powerhouse Raytheon. Both public facilities and services security infrastructure are getting a massive overhaul, which benefits Symbol Technologies.
 
Bottom-Up: Intensive Security Analysis — GARP
 
We emphasize stocks with growth prospects that on average are greater than the earnings growth rate of our Value benchmark. This follows from our conviction that future stock prices will largely be determined by future earnings growth. However, we want to pay a low multiple for that growth. Our average forward price earnings ratios (P/E’s) are lower than the average P/E multiple of the S&P Barra Value Index.** A favorable P/E to growth ratio (PEG ratio) is our primary metric of GARP (Growth-At-a-Reasonable Price).
 
Risk Control
 
We utilize stringent risk control measures to reduce expected tracking error or expected variance from our benchmark — the value side of the S&P 500. As a result of our risk control process, we invest in many industry leaders such as American International Group, AOL Time Warner, Bellsouth, ChevronTexaco, Exxon Mobil, SBC Communications, Verizon Communications, and Wells Fargo.
 
*
Past performance is no guarantee of future results. Investment return and principal value will fluctuate, so that an investor’s shares, when redeemed, may be worth more or less than their original cost.
**
The S&P/Barra Value Index is a market capitalization-weighted index of the stocks in the Standard & Poor’s 500 Index having the lowest price to book ratios. The index consists of approximately half of the S&P 500 on a market capitalization basis. This index is unmanaged and investments cannot be made in an index.
***
Lipper figures represent the average of the total returns reported by all of the mutual funds designated by Lipper, Inc. as falling into the respective categories indicated. These figures do not reflect sales charges.

11
VISION
Managed Allocation Funds
 
The six-month period ended October 31, 2002 was by many measures one of the most challenging on record. Early in the period a huge wet blanket of uncertainty in the form of corporate accounting scandals was draped over investor confidence. Each passing week seemed to bring another round of shady corporate books into public view. This scrutiny, in turn, led to the inevitable restatements of corporate financials. In some particularly egregious cases television screens and newspaper front pages were filled with images of corporate executives being led off to jail in cuffs and irons. Investors appeared to finally have had their fill of this boardroom wrongdoing in July and headed for the safety of the sidelines in droves. The resulting drop in equity prices was swift and steep affecting every size stock (large, mid-cap and small) and all three investment styles (growth, blend and value).
 
As the summer wore on and it became apparent that the accounting scandals and their attendant bankruptcies were largely concentrated in portions of the utilities and telecommunications sectors, investors began filing back into equities. In August investors saw a steadying of equity values begin to play out. However, talk of a renewed war with Iraq doused investors’ hopes yet again and by September stocks were again in a free fall.
 
Throughout this roller coaster ride (one with more dips than climbs) most fundamental economic statistics either continued to improve or at least showed continued signs of slow but steady underlying growth in the domestic economy. When October rolled around investors seemed to take heed of these not-so-bad economic fundamentals and, in a rush back to stocks, sent equity market prices surging upward once again.
 
Still, setbacks abounded, often in the double-digits, for stocks of all stripes during the six-month period ended October 31, 2002. Stocks’ losses were bonds’ gains as high quality fixed income instruments attracted dollars as investors looked for safe havens for their cash. This performance dichotomy was captured and reflected in the returns of the VISION Managed Allocation Funds.
 
The Aggressive Growth Fund’s Class A Shares showed a (17.49)% total return (net asset value basis) or (21.62)% adjusted for the fund’s sales charge, and the Class B Shares showed a (17.81)% total return (net asset value) or (21.92)% adjusted for the contingent deferred sales charge for the six months ended October 31, 2002.* Due to its makeup of close to 90% equity, this type of return was to be expected over a six-month period when several of the Fund’s component equity segments were shedding upwards of 20% of their value. The Fund’s ability to keep its losses for the period in the mid-teens is due to its small U.S. government bond and money market components as well as to its international and mid-cap equity exposures. To take advantage of attractive valuations in the market at the end of September, the managers of the Fund shifted 1% of market value out of the U.S. Government Bond Fund and into the domestic Large Cap Core Fund within the allocation. This move proved propitious as equity values advanced in October.
 
The Moderate Growth Fund, with its close to 60% exposure to equities, certainly experienced the stock market down drafts for which this six-month period is most memorable. However, because of its healthy fixed income component there was a large chunk of the Fund acting as a price ‘shock absorber’ throughout the period. Consequently, the Fund’s Class A Shares posted a (10.53)% total return (net asset value basis) or (14.58)% adjusted for the Fund’s sales charge, and the Class B Shares posted a (11.04)% total return (net asset value basis) or (15.48)% adjusted for the contingent deferred sales charge from May 1, 2002 through October 31, 2002.* The Fund managers slightly adjusted the allocation at the end of September, moving 1% of the market value out of government bonds and into domestic large cap stock, a move that benefited the Fund in October when stock prices surged upward.
 
The Conservative Growth Fund fared the best during the six-month period ended October 31, 2002. With its relatively light allocation to stocks and with around three-quarters of its value in bonds, this Fund received the full benefit of a fixed income ‘parachute’ over the period. While the equity portion weighed heavily, the bond components combined to help the Fund’s Class A Shares post a (2.48)% total return (net asset value basis) or (6.42)% adjusted for the fund’s sales charge and the Class B Shares post a (3.00)% total return (net asset value basis) or (7.81)% adjusted for the contingent deferred sales charge, for the six months ended October 31, 2002.* This relatively minor loss means the Fund has a fairly shallow hole from which to climb in order to return to positive territory once the broader equity markets begin their long-awaited advance. To assist the Fund in this anticipated rebound, the Fund’s managers made a slight change in the allocation toward the end of

12
September shifting 1% away from US government bonds to large cap domestic stocks.
 
The watchwords of “diversification” and “discipline” have helped the Managed Allocation Funds steer clear of the return cellar through a very challenging period in market history. It is this same mitigation of risk and maintenance of resolve that should allow the Funds to participate on the upside of any eventual turn-around in market fortunes.
 
*
Past performance is no guarantee of future results. Investment return and principal value will fluctuate, so that an investor’s shares, when redeemed, may be worth more or less than their original cost.

13
VISION
New York Municipal Income Fund
 
The last six months has been very positive for the municipal bond market. Yields on ten-year municipal bonds declined from 3.94% on April 30, 2002 to 3.64% on October 31, 2002 and also declined from 5.19% to 4.92% for 30-year municipal bonds. Over the last six months municipals have performed in line with the Treasury and other taxable bond markets. The market has been well supported by buyers as investors have continued to buy bonds in the face of a declining equity market.
 
The VISION New York Municipal Income Fund posted a positive total return of 4.38% over the six months ended October 31, 2002 or (0.31)% adjusted for the fund’s sales charge.* The Lipper New York Municipal Debt Funds Index** return for the same period was 4.64%. For the twelve month period ended October 31, 2002, the VISION New York Municipal Income Fund returned 5.03% (0.28% adjusted for the fund’s sales charge) versus the Lipper return of 4.84%.*
 
The fund continues to emphasize high quality New York municipals while keeping the average maturity of the portfolio short to its benchmark. Over the last year the municipal yield curve has steepened, with short-term rates falling more than long-term rates over this time period. We expect the municipal bond market to perform better than the taxable bond markets over the coming months, as municipal bonds are currently selling at very attractive yields compared to taxable bonds and demand continues to be strong.
 
*
Past performance is no guarantee of future results. Investments return and principal value will fluctuate, so that an investor’s shares, when redeemed, may be worth more or less than their original cost.
**
Lipper figures represent the average of the total returns reported by all of the mutual funds designated by Lipper, Inc. as falling into the respective categories indicated. These figures do not reflect sales charges.

14
VISION
Pennsylvania Municipal Income Fund
 
The bond market continued its impressive 2002 performance over the past six months. Recent economic data have forced investors to reassess earlier forecasts for a modestly improving economy taking hold in the second half of the year. Fears that the U.S. economy will slide back into recession have escalated over the past two months. The plunge in consumer confidence and the spike in October layoff announcements were a clear signal to the Federal Reserve Board (Fed) that another easing in policy was necessary. The weak economic climate, depressed equity prices, and the anticipation of the Fed lowering interest rates again provided positive returns for bonds over the past six months.
 
Pennsylvania municipal bond yields were generally in a downward moving trend through September 30, 2002. However, liquidity vanished for a short period of time during the month of October as yields were under pressure from the supply side. Thirty-day visible supply moved to about $20 billion, almost double the amount of previous peak levels, as issuers rushed to take advantage of lower yields. Rates have again decreased since mid-October and are still attractive when compared to taxable Treasury yields.
 
We recently shifted the duration* strategy of the VISION Pennsylvania Municipal Income Fund to neutral to the benchmark, from a moderately longer duration than the index. We continue to emphasize quality and diversification across issuers and sectors of the municipal market. We will look to reduce duration further should the equity market stabilize and the economic outlook begin to improve.
 
The VISION Pennsylvania Municipal Income Fund returned 4.48%, or (0.22)% adjusted for the Fund’s sales charge, over the six-month period ended October 31, 2002.** This compares to a return of 3.83% on the Lipper Pennsylvania Intermediate Debt Universe.***
 
*
Duration is a measure of a security’s price sensitivity to changes in interest rates. Securities with longer durations are more sensitive to changes in interest rates than securities of shorter durations.
**
Past performance is no guarantee of future results. Investments return and principal value will fluctuate, so that an investor’s shares, when redeemed, may be worth more or less than their original cost.
***
Lipper figures represent the average of the total returns reported by all of the mutual funds designated by Lipper, Inc., as falling into the respective categories indicated. These figures do not reflect sales charges.

15
 
VISION
Intermediate Term Bond Fund
 
The bond market continued its impressive 2002 performance over the past six months. Recent economic data have forced investors to reassess earlier forecasts for a modestly improving economy taking hold in the second half of the year. Fears that the U.S. economy will slide back into recession have escalated over the past two months. The plunge in consumer confidence and the spike in October layoff announcements were a clear signal to the Federal Reserve Board (Fed) that another easing in policy was necessary. The weak economic climate, depressed equity prices, and the anticipation of the Fed lowering interest rates again provided positive returns for bonds over the past six months.
 
In our opinion, Treasury yields are currently below fair value. Yields overvaluation is typical in periods of extreme market anxiety, as occurred in 1998 and 2001. A flight from equities and a weak corporate bond market have been the forces driving Treasury yields lower this year.
 
We recently shifted the duration* strategy of the VISION Intermediate Term Bond Fund to modestly shorter than its benchmark. Our sector strategy favors corporates and mortgages over Treasuries. Corporate bonds are priced for a deep recession and pessimism is at an extreme. We have been able to avoid or minimize exposure to many of the large blow-ups in the corporate bond market this year, which positively contributed to the Fund’s performance relative to the Lipper universe.** We are looking for opportunities to selectively increase the corporate bond exposure of the fund. We also are maintaining an overweight relative to the benchmark in mortgage-backed securities and will upgrade exposure in this sector at the expense of non-callable agencies.
 
The VISION Intermediate Term Bond Fund returned 5.04%, or 0.30%, adjusted for the Fund’s sales charge, over the six-month period ended October 31, 2002.*** This compares to a return of 4.25% on the Lipper Intermediate Investment Grade Universe.
 
*
Duration is a measure of a security’s price sensitivity to changes in interest rates. Securities with longer durations are more sensitive to changes in interest rates than securities of shorter durations.
**
Lipper figures represent the average of the total returns reported by all of the mutual funds designated by Lipper, Inc. as falling into the respective categories indicated. These figures do not reflect sales charges.
***
Past performance is no guarantee of future results. Investment return and principal value will fluctuate, so that an investor’s shares, when redeemed, may be worth more or less than their original cost.

16
VISION
U.S. Government
Securities Fund
 
The reporting period has been a constructive period for the taxable bond market. Since our last report, yields on the 10-year Treasury note have declined from 4.23% on  October 31, 2001 to 3.89% on October 31, 2002. The most noticeable trend in the market has been the steepening of the yield curve. Yields on very short maturities dropped by approximately 75bp during the year as compared to the 33bp decrease in 10-year yields.
 
Over the past six months the economy has continued in a slow growth mode. The unemployment rate declined slightly from 6.00% in April 2002 to 5.70% in October 2002. In addition, the Gross Domestic Product has declined slightly from a first quarter high of 5.0% to 3.1% in the third quarter of 2002. One bright spot has been the subdued inflation numbers; the Consumer Price Index has remained at a steady rate of 1.5% throughout the past six months. The key driver of the economy has been the consumer, as spending and home sales have continued to increase.
 
The Federal Reserve Board (Fed) did not change interest rates during the last six months, holding the Federal Funds rate steady at 1.75%. The Fed has moved between a bias of neutrality and weakness during the year as the economy has shown some small signs of growth mixed with signs of weakness.

 
The VISION U.S. Government Securities Fund posted a total return of 5.94% for the six month period ended October 31, 2002 or 1.14% adjusted for the fund’s sales charge.* The Lipper General U.S. Government Fund Index** return for the same period was 6.29%. For the twelve month period ended October 31, 2002, the VISION U.S. Government Securities Fund returned 5.87%, or 1.12% adjusted for the fund’s sales charge, versus the Lipper return of 5.08%.
 
The VISION U.S. Government Securities Fund continues to emphasize government-guaranteed securities with yield advantages to U.S. Treasury securities. Within the mortgage-backed securities sector, we continue to favor seasoned, low loan balance mortgages. These mortgages possess lower refinancing risks relative to newer production mortgages. The duration*** of the Fund was inline with that of the Lehman Brothers Aggregate Bond Index† for the period ended October 31, 2002.
 
*
Past performance is no guarantee of future results. Investment return and principal value will fluctuate, so that an investor’s shares, when redeemed, may be worth more or less than their original cost.
**
Lipper figures represent the average of the total returns reported by all of the mutual funds designated by Lipper, Inc. as falling into the respective categories indicated. These figures do not reflect sales charges.
***
Duration is a measure of a security’s price sensitivity to changes in interest rates. Securities with longer durations are more sensitive to changes in interest rates than securities of shorter durations.
†
Lehman Brothers Aggregate Bond Index is an unmanaged index composed of securities from the Lehman Brothers Government/Corporate Bond Index, Mortgage-Backed Securities Index, and the Asset-Backed Securities Index. Total return comprises price appreciation/depreciation and income as a percentage of the original investment. Indices are rebalanced monthly by market capitalization. Investments cannot be made in an index.

17

VISION International Equity Fund
Portfolio of Investments
October 31, 2002 (unaudited)
Shares
  
 
Value in U.S. Dollars
Common Stocks—94.6%
      
   
Australia—2.3%
      
  46,187
  
Lion Nathan Ltd. 
  
$
     133,540
59,802
  
Mayne Group Ltd. 
  
 
119,474
49,516
  
QBE Insurance Group Ltd. 
  
 
211,589
7,295
  
Rio Tinto PLC
  
 
129,345
44,960
  
Westpac Banking Corp., Ltd. 
  
 
354,298
       
   
Total Australia
  
 
948,246
       
   
Belgium—0.6%
      
14,630
  
Fortis AG
  
 
267,199
       
   
Denmark—0.1%
      
1,850
  
TDC A/S
  
 
39,828
       
   
Finland—3.6%
      
53,200
  
Nokia Oyj
  
 
901,705
18,800
  
Sampo Oyj, Class A
  
 
128,016
14,900
  
UPM—Kymmene Oyj
  
 
482,265
       
   
Total Finland
  
 
1,511,986
       
   
France—9.4%
      
16,477
  
AXA
  
 
245,403
12,782
  
Aventis SA
  
 
763,631
14,721
  
BNP Paribas SA
  
 
585,733
8,371
  
Cap Gemini SA
  
 
205,420
4,456
  
(1)Gemplus International SA
  
 
3,127
6,002
  
Sanofi-Synthelabo SA
  
 
366,287
9,163
  
Suez SA
  
 
160,740
10,180
  
Total Fina Elf SA
  
 
1,399,470
3,405
  
Unibail (Union du Credit-Bail Immobilier)
  
 
195,011
       
   
Total France
  
 
  3,924,822
       
   
Germany—3.4%
      
5,049
  
Allianz AG Holdings
  
 
529,331
10,952
  
Altana AG
  
 
523,009
5,791
  
Bayer AG
  
 
109,657
8,229
  
Deutsche Telekom AG, Class REG
  
 
93,770
2,508
  
E.ON AG
  
 
112,283
955
  
Linde AG
  
 
36,451
       
   
Total Germany
  
 
1,404,501
       
   
Hong Kong—0.5%
      
48,500
  
Hong Kong Electric Holdings Ltd. 
  
 
197,125
       
   
Ireland—1.6%
      
26,461
  
Bank of Ireland
  
 
292,896
28,725
  
CRH PLC
  
 
363,411
       
   
Total Ireland
  
 
656,307
       
   
Italy—3.7%
      
20,901
  
Assicurazioni Generali SpA
  
 
371,816
65,253
  
ENI SpA
  
 
904,143
42,748
  
Sanpaolo IMI SpA
  
 
266,161
       
   
Total Italy
  
 
1,542,120
       
   
Japan—16.1%
      
5,500
  
Aiful Corp. 
  
 
230,725
40,000
  
Bank (The) of Yokohama Ltd. 
  
 
167,149
Shares
  
 
Value in U.S. Dollars
Common Stocks—continued
      
   
Japan—continued
      
23,100
  
Banyu Pharmaceutical Co., Ltd. 
  
$
     210,744
10,100
  
Benesse Corp. 
  
 
103,086
11,000
  
Canon, Inc. 
  
 
405,001
11,000
  
Daikin Industries Ltd. 
  
 
170,423
16,000
  
Fuji Photo Film Co., Ltd. 
  
 
440,516
9,500
  
Hitachi Capital Corp. 
  
 
113,909
10,000
  
Honda Motor Co., Ltd. 
  
 
357,594
38
  
KDDI Corp. 
  
 
111,432
10,000
  
Kao Corp. 
  
 
228,078
35,000
  
Mitsubishi Corp. 
  
 
218,100
9,000
  
Mitsui Fudosan Co., Ltd. 
  
 
68,839
70,000
  
Mitsui Mining & Smelting Co., Ltd. 
  
 
131,145
7,100
  
Murata Manufacturing Co., Ltd. 
  
 
334,859
65
  
NTT DoCoMo, Inc. 
  
 
119,660
5,300
  
Nintendo Corp., Ltd. 
  
 
509,429
1,800
  
Rohm Co., Ltd. 
  
 
226,237
58,000
  
Sanyo Electric Co., Ltd. 
  
 
155,435
13,000
  
Sekisui House Ltd. 
  
 
95,410
68,000
  
Sompo Japan Insurance, Inc. 
  
 
354,498
9,600
  
Sony Corp. 
  
 
412,104
46,000
  
Sumitomo Chemical Co., Ltd. 
  
 
137,515
12,000
  
Takeda Chemical Industries Ltd. 
  
 
497,536
4,530
  
Takefuji Corp. 
  
 
189,665
16,700
  
Toyota Motor Corp. 
  
 
405,376
99
  
West Japan Railway Co. 
  
 
320,148
       
   
Total Japan
  
 
  6,714,613
       
   
Netherlands—7.2%
      
10,620
  
ABN AMRO Holdings NV
  
 
155,652
28,380
  
Ahold NV
  
 
356,209
7,948
  
Akzo Nobel NV
  
 
237,221
3,700
  
ING Groep NV
  
 
61,762
21,897
  
Koninklijke (Royal) Philips Electronics NV
  
 
391,698
67,370
  
Reed Elsevier NV
  
 
838,264
25,613
  
VNU NV
  
 
686,244
15,286
  
Wolters Kluwer NV
  
 
267,548
       
   
Total Netherlands
  
 
2,994,598
       
   
Norway—0.7%
      
79,700
  
Telenor ASA
  
 
283,276
       
   
Portugal—1.0%
      
197,182
  
Electricidade de Portugal SA
  
 
300,107
22,441
  
Portugal Telecom SGPS SA
  
 
135,288
       
   
Total Portugal
  
 
435,395
       
   
Singapore—1.3%
      
22,000
  
DBS Group Holdings Ltd. 
  
 
154,399
359,000
  
Neptune Orient Lines Ltd. 
  
 
149,342
241,000
  
Singapore Technologies Engineering Ltd. 
  
 
252,342
       
   
Total Singapore
  
 
556,083
       
   
Spain—2.9%
      
53,125
  
Banco Bilbao Vizcaya Argentaria SA
  
 
505,083
70,269
  
Banco Santander Central Hispano SA
  
 
429,876
28,211
  
(1)Telefonica SA
  
 
267,099
       
   
Total Spain
  
 
1,202,058
       

18

VISION International Equity Fund
Shares
  
 
Value in U.S. Dollars
Common Stocks—continued
      
   
Sweden—3.9%
      
72,500
  
Nordea AB
  
$
     295,983
9,100
  
Sandvik AB
  
 
215,971
14,870
  
Svenska Cellulosa AB, Class B
  
 
453,280
26,790
  
Svenska Handelsbanken AB, Class A
  
 
341,237
43,220
  
Swedish Match AB
  
 
310,546
       
   
Total Sweden
  
 
1,617,017
       
   
Switzerland—6.4%
      
4,963
  
Adecco SA
  
 
194,509
22,612
  
Compagnie Financiere Richemont AG
  
 
389,625
7,362
  
(1)Credit Suisse Group
  
 
140,285
798
  
Givaudan SA
  
 
333,241
1,695
  
Nestle SA
  
 
362,503
11,204
  
Novartis AG
  
 
426,235
6,553
  
Roche Holding AG
  
 
462,726
311
  
Serono SA
  
 
173,163
3,106
  
Swiss Re
  
 
215,126
       
   
Total Switzerland
  
 
2,697,413
       
   
United Kingdom—29.9%
      
111,121
  
(1)ARM Holdings PLC
  
 
98,152
33,300
  
Abbey National PLC
  
 
343,593
74,648
  
Allied Domecq PLC
  
 
445,798
12,921
  
AstraZeneca PLC
  
 
481,771
131,836
  
BP PLC
  
 
845,034
118,004
  
BT Group PLC
  
 
334,834
115,812
  
Barclays PLC
  
 
800,262
18,082
  
BOC Group PLC
  
 
254,134
56,225
  
Brambles Industries PLC
  
 
184,589
77,777
  
Carlton Communications PLC
  
 
151,991
32,000
  
Charter PLC
  
 
46,525
88,547
  
Compass Group PLC
  
 
392,103
44,159
  
Electrocomponents PLC
  
 
187,433
89,680
  
Gallaher Group PLC
  
 
880,464
Shares
  
 
Value in U.S. Dollars
Common Stocks—continued
      
   
United Kingdom—continued
      
45,594
  
GlaxoSmithKline PLC
  
$
869,608
235,042
  
Invensys PLC
  
 
235,170
108,925
  
Kingfisher PLC
  
 
380,593
49,805
  
Lloyds TSB Group PLC
  
 
428,245
36,698
  
Matalan PLC
  
 
135,398
67,328
  
National Grid Transco PLC
  
 
478,920
2,666
  
Prudential PLC
  
 
19,047
12,820
  
Reckitt Benckiser PLC
  
 
232,489
99,985
  
Rentokil Initial PLC
  
 
338,805
143,602
  
Rolls-Royce PLC
  
 
234,041
38,889
  
Royal Bank of Scotland PLC
  
 
914,389
86,425
  
Safeway PLC
  
 
299,950
44,074
  
Scottish & Southern Energy PLC
  
 
436,846
186,756
  
Shell Transport & Trading Co., PLC
  
 
1,199,246
529,377
  
Vodafone Group PLC
  
 
850,361
       
   
Total United Kingdom
  
 
12,499,791
       
   
Total Common Stocks
(identified cost $43,908,284)
  
 
39,492,378
       
Preferred Stocks—0.7%
      
   
Australia—0.7%
      
2,700
  
National Australia Bank, Pfd. 
  
 
91,800
43,724
  
News Corp. Ltd., Pfd. 
  
 
215,955
       
   
Total Preferred Stocks
(identified cost $338,333)
  
 
307,755
       
Mutual Fund—2.0%
      
816,225
  
Seven Seas Money Market Fund
(at net asset value)
  
 
816,225
       
   
Total Investments
(identified cost $45,062,842)
  
$
40,616,358
       

(See Notes to Portfolios of Investments)

19

VISION Small Cap Stock Fund
Portfolio of Investments
October 31, 2002 (unaudited)

Shares
  
 
Value
Common Stocks—97.4%
      
   
Aerospace/Defense Equipment—0.7%
      
9,100
  
(1)FLIR Systems, Inc. 
  
$
430,703
6,400
  
(1)InVision Technologies, Inc. 
  
 
226,624
       
   
Total
  
 
657,327
       
   
Autos—1.7%
      
24,300
  
(1)American Axle & Manufacturing Holdings, Inc. 
  
 
575,910
29,000
  
ArvinMeritor, Inc. 
  
 
439,350
12,100
  
BorgWarner, Inc. 
  
 
544,258
       
   
Total
  
 
1,559,518
       
   
Banking—8.5%
      
72,300
  
BankAtlantic Bancorp, Inc., Class A
  
 
673,836
52,400
  
Colonial BancGroup, Inc. 
  
 
626,704
5,000
  
Corus Bankshares, Inc. 
  
 
222,550
4,500
  
First Citizens Bancshares, Inc., Class A
  
 
448,920
19,400
  
First Essex Bancorp, Inc. 
  
 
738,752
38,250
  
Flagstar Bancorp, Inc. 
  
 
736,313
65,400
  
Gold Banc Corp., Inc. 
  
 
643,536
9,500
  
Hudson River Bancorp, Inc. 
  
 
220,400
35,600
  
Independence Community Bank Corp. 
  
 
913,852
20,055
  
Independent Bank Corp.—Michigan
  
 
644,788
10,700
  
Provident Bankshares Corp. 
  
 
241,831
51,920
  
Republic Bancorp, Inc. 
  
 
639,187
12,200
  
(1)Silicon Valley Bancshares
  
 
229,238
47,200
  
Staten Island Bancorp, Inc. 
  
 
872,256
       
   
Total
  
 
7,852,163
       
   
Basic Materials—1.1%
      
9,000
  
Commercial Metals Co. 
  
 
146,610
35,700
  
Southern Peru Copper Corp. 
  
 
499,086
23,600
  
Universal Forest Products, Inc. 
  
 
421,732
       
   
Total
  
 
1,067,428
       
   
Business Services—4.5%
      
23,800
  
Banta Corp. 
  
 
733,040
   163,600
  
(1)DoubleClick, Inc. 
  
 
1,145,200
80,500
  
(1)Labor Ready, Inc. 
  
 
553,840
24,900
  
(1)MemberWorks, Inc. 
  
 
431,766
17,400
  
New England Business Services, Inc. 
  
 
391,848
13,000
  
Unifirst Corp. 
  
 
259,870
34,200
  
Wallace Computer Services, Inc. 
  
 
626,202
       
   
Total
  
 
  4,141,766
       
   
Capital Goods—1.5%
      
1,200
  
Briggs & Stratton Corp. 
  
 
46,140
34,300
  
(1)Griffon Corp. 
  
 
396,165
125,100
  
(1)Integrated Electrical Services, Inc. 
  
 
475,380
18,700
  
York International Corp. 
  
 
439,824
       
   
Total
  
 
1,357,509
       
   
Chemicals—0.8%
      
13,900
  
Albemarle Corp. 
  
 
390,868
10,900
  
Fuller (H.B.) Co. 
  
 
310,323
       
   
Total
  
 
701,191
       
Shares
  
 
Value
Common Stocks—continued
      
   
Coal Exploration & Mining—0.1%
      
5,000
  
Arch Coal, Inc. 
  
$
86,800
       
   
Computers—0.6%
      
   148,900
  
(1)Immersion Corp. 
  
 
186,125
21,800
  
(1)Storage Technology Corp. 
  
 
385,424
       
   
Total
  
 
571,549
       
   
Computers-Hardware—0.1%
      
8,400
  
(1)Pinnacle Systems, Inc. 
  
 
99,876
       
   
Computers-Networks—0.5%
      
9,800
  
(1)Foundry Networks, Inc. 
  
 
69,286
30,300
  
Henry (Jack) & Associates, Inc. 
  
 
311,454
29,900
  
(1)Novell, Inc. 
  
 
72,657
       
   
Total
  
 
     453,397
       
   
Computers-Services—5.5%
      
39,200
  
(1)American Management System, Inc. 
  
 
471,184
5,500
  
(1)Carreker Corp. 
  
 
36,075
58,500
  
(1)Checkfree Corp. 
  
 
952,380
35,700
  
(1)Checkpoint Systems, Inc. 
  
 
360,570
50,200
  
(1)Digital Insight Corp. 
  
 
523,084
27,200
  
(1)Gtech Holdings Corp. 
  
 
707,200
122,399
  
(1)Identix, Inc. 
  
 
735,618
24,400
  
(1)Imation Corp. 
  
 
998,448
11,600
  
(1)LendingTree, Inc. 
  
 
142,100
20,000
  
(1)MCSi, Inc. 
  
 
99,000
4,300
  
(1)WebEx Communications, Inc. 
  
 
67,424
       
   
Total
  
 
5,093,083
       
   
Computers-Software—7.2%
      
18,100
  
(1)Advent Software, Inc. 
  
 
255,391
27,000
  
(1)ANSYS, Inc. 
  
 
529,200
186,490
  
(1)Corillian Corp. 
  
 
279,735
116,800
  
(1)Digimarc Corp. 
  
 
1,500,880
2,900
  
(1)Echelon Corp. 
  
 
36,685
40,500
  
(1)Information Resources, Inc. 
  
 
121,500
98,100
  
(1)Mentor Graphics Corp. 
  
 
931,263
281,900
  
(1)ONYX Software Corp. 
  
 
560,981
362,600
  
(1)Red Hat, Inc. 
  
 
1,628,074
13,500
  
(1)Take-Two Interactive Software, Inc. 
  
 
348,030
36,700
  
(1)Transaction Systems Architects, Inc.,
Class A
  
 
273,782
54,000
  
(1)Viewpoint Corp. 
  
 
167,400
       
   
Total
  
 
6,632,921
       
   
Consumer Cyclical—1.4%
      
13,600
  
(1)Action Performance Cos., Inc. 
  
 
280,704
10,800
  
Polaris Industries, Inc. 
  
 
680,292
27,700
  
(1)Salton, Inc. 
  
 
297,775
       
   
Total
  
 
1,258,771
       
   
Education—1.1%
      
5,700
  
Strayer Education, Inc. 
  
 
302,955
28,300
  
(1)Sylvan Learning Systems, Inc. 
  
 
432,141
49,900
  
(1)The Princeton Review, Inc. 
  
 
254,490
       
   
Total
  
 
989,586
       

20

VISION Small Cap Stock Fund
Shares
  
 
Value
Common Stocks—continued
      
   
Electric Utilities—0.8%
      
25,400
  
Avista Corp. 
  
$
     261,620
15,700
  
(1)El Paso Electric Co. 
  
 
171,601
9,400
  
UIL Holdings Corp. 
  
 
283,880
       
   
Total
  
 
717,101
       
   
Electronic Components—2.5%
      
32,200
  
(1)Active Power, Inc. 
  
 
66,332
2,800
  
(1)Credence Systems Corp. 
  
 
23,380
10,800
  
(1)FEI Co. 
  
 
173,340
60,200
  
Methode Electronics, Inc., Class A
  
 
553,238
266,100
  
(1)Pixelworks, Inc. 
  
 
1,516,770
       
   
Total
  
 
2,333,060
       
   
Entertainment—1.9%
      
23,900
  
(1)Aztar Corp. 
  
 
322,889
28,300
  
(1)Pixar, Inc. 
  
 
1,444,149
       
   
Total
  
 
1,767,038
       
   
Financial Services—3.7%
      
28,600
  
Commercial Federal Corp. 
  
 
664,950
   284,100
  
(1)E*TRADE Group, Inc. 
  
 
1,278,450
32,000
  
(1)Friedman, Billings, Ramsey Group, Inc., Class A
  
 
319,360
32,300
  
Seacoast Financial Services Corp. 
  
 
701,556
12,390
  
UMB Financial Corp. 
  
 
483,706
       
   
Total
  
 
3,448,022
       
   
Home Building—3.0%
      
28,000
  
M/I Schottenstein Homes, Inc. 
  
 
907,480
19,600
  
Ryland Group, Inc. 
  
 
815,360
20,200
  
(1)Toll Brothers, Inc. 
  
 
413,696
55,100
  
Walter Industries, Inc. 
  
 
603,345
       
   
Total
  
 
2,739,881
       
   
Home Decoration Products—1.0%
      
44,900
  
Leggett and Platt, Inc.  
  
 
936,165
       
   
Insurance—2.4%
      
4,800
  
(1)American Medical Security Group, Inc. 
  
 
58,944
18,500
  
AmerUs Group Co. 
  
 
530,950
3,300
  
(1)Centene Corp.  
  
 
100,419
17,400
  
Commerce Group, Inc. 
  
 
595,950
11,000
  
Presidential Life Corp.  
  
 
135,300
14,200
  
StanCorp Financial Group, Inc. 
  
 
766,800
       
   
Total
  
 
2,188,363
       
   
Manufacturing—7.4%
      
32,700
  
Albany International Corp., Class A
  
 
692,913
48,900
  
(1)American Greetings Corp., Class A
  
 
735,456
7,700
  
Ameron International Corp. 
  
 
378,455
18,300
  
Ball Corp. 
  
 
886,269
44,700
  
Cooper Tire & Rubber Co. 
  
 
581,547
20,800
  
Harsco Corp. 
  
 
533,520
12,100
  
M.D.C. Holdings, Inc. 
  
 
454,234
19,000
  
Quanex Corp.  
  
 
675,260
31,100
  
(1)Symyx Technologies, Inc. 
  
 
357,961
35,300
  
Timken Co.  
  
 
643,166
21,800
  
Valspar Corp. 
  
 
910,586
       
   
Total
  
 
6,849,367
       
Shares
  
 
Value
Common Stocks—continued
      
   
Medical Products & Supplies—1.6%
      
38,100
  
(1)Align Technology, Inc. 
  
$
67,437
58,200
  
(1)Bioject Medical Technologies, Inc. 
  
 
130,950
33,500
  
Mentor Corp. 
  
 
1,269,650
       
   
Total
  
 
1,468,037
       
   
Oil & Gas Exploration & Production—1.4%
12,900
  
(1)Core Laboratories NV
  
 
121,647
40,375
  
Patina Oil & Gas Corp. 
  
 
1,176,931
       
   
Total
  
 
1,298,578
       
   
Pharmaceuticals—12.5%
      
23,300
  
(1)AVI BioPharma, Inc. 
  
 
120,694
76,807
  
(1)Abgenix, Inc. 
  
 
522,288
117,600
  
(1)AeroGen, Inc. 
  
 
76,440
130,100
  
(1)Alkermes, Inc. 
  
 
1,199,522
3,400
  
Alpharma, Inc., Class A
  
 
32,232
24,000
  
(1)Amylin Pharmaceuticals, Inc. 
  
 
417,120
41,300
  
(1)AtheroGenics, Inc. 
  
 
272,580
3,300
  
(1)Atrix Laboratories, Inc. 
  
 
60,327
28,300
  
(1)Celgene Corp. 
  
 
626,845
51,429
  
(1)Cell Genesys, Inc. 
  
 
538,462
56,300
  
(1)Corixa Corp. 
  
 
481,365
121,200
  
(1)Cubist Pharmaceuticals, Inc. 
  
 
782,952
58,400
  
(1)Dendreon Corp. 
  
 
197,392
6,500
  
(1)Diversa Corp. 
  
 
63,180
49,500
  
(1)Endo Pharmaceuticals Holdings, Inc. 
  
 
335,610
23,300
  
(1)Esperion Therapeutics, Inc. 
  
 
137,237
3,400
  
(1)Gene Logic, Inc. 
  
 
25,772
57,100
  
(1)Genta, Inc. 
  
 
445,380
52,100
  
ICN Pharmaceuticals, Inc. 
  
 
435,035
80,000
  
(1)Incyte Genomics, Inc. 
  
 
395,200
10,300
  
(1)Inhale Therapeutic Systems, Inc. 
  
 
65,508
37,000
  
(1)Isis Pharmaceuticals, Inc. 
  
 
361,120
57,800
  
(1)La Jolla Pharmaceutical Co. 
  
 
317,900
27,800
  
(1)Lexicon Genetics, Inc. 
  
 
128,158
10,500
  
(1)Neose Technologies, Inc. 
  
 
77,175
   214,400
  
(1)Paradigm Genetics, Inc. 
  
 
160,800
35,200
  
(1)Syncor International Corp. 
  
 
1,261,216
19,600
  
(1)Telik, Inc. 
  
 
289,100
90,800
  
(1)Third Wave Technologies, Inc. 
  
 
145,280
60,100
  
(1)Transgenomic, Inc. 
  
 
156,260
68,800
  
(1)Tularik, Inc. 
  
 
500,176
82,300
  
(1)US Oncology, Inc. 
  
 
659,223
24,900
  
(1)Versicor, Inc. 
  
 
273,900
       
   
Total
  
 
11,561,449
       
   
Real Estate—2.5%
      
14,100
  
Bedford Property Investors, Inc. 
  
 
350,949
50,700
  
Boykin Lodging Co. 
  
 
433,485
2,700
  
Colonial Properties Trust
  
 
89,262
36,000
  
HRPT Properties Trust
  
 
283,320
30,000
  
Koger Equity, Inc. 
  
 
465,600
26,300
  
Mission West Properties, Inc. 
  
 
264,315
18,700
  
Novastar Financial, Inc. 
  
 
434,775
       
   
Total
  
 
2,321,706
       

21

VISION Small Cap Stock Fund
Shares
  
 
Value
Common Stocks—continued
      
   
Retail-Apparel—1.7%
      
     16,100
  
(1)Chicos FAS, Inc. 
  
$
     310,730
1,900
  
(1)Coach, Inc. 
  
 
56,525
9,000
  
(1)Kenneth Cole Productions, Inc.,
Class A
  
 
216,000
10,500
  
(1)Pacific Sunwear of California, Inc. 
  
 
245,385
14,600
  
(1)Polo Ralph Lauren Corp. 
  
 
277,984
18,000
  
(1)Quiksilver, Inc. 
  
 
432,180
       
   
Total
  
 
1,538,804
       
   
Retail-Drugs—0.2%
      
8,200
  
(1)Duane Reade, Inc. 
  
 
157,768
       
   
Retail-Equipment—0.8%
      
63,400
  
IKON Office Solutions, Inc. 
  
 
448,872
5,500
  
(1)Insight Enterprises, Inc. 
  
 
42,020
19,700
  
(1)Paxar Corp. 
  
 
284,074
       
   
Total
  
 
774,966
       
   
Retail-Food—3.5%
      
34,900
  
Dole Food Co., Inc. 
  
 
1,025,362
4,100
  
Fleming Cos., Inc. 
  
 
26,404
23,400
  
Interstate Bakeries Corp. 
  
 
582,894
26,000
  
Ruddick Corp. 
  
 
389,480
11,200
  
(1)The Great Atlantic & Pacific
Tea Co., Inc. 
  
 
63,728
25,500
  
(1)Whole Foods Market, Inc. 
  
 
1,189,677
       
   
Total
  
 
3,277,545
       
   
Retail-Restaurants—2.3%
      
26,900
  
Landry’s Restaurants, Inc. 
  
 
612,244
37,900
  
Lone Star Steakhouse & Saloon, Inc. 
  
 
789,836
8,400
  
(1)P. F. Chang’s China Bistro, Inc. 
  
 
289,800
33,150
  
(1)Ryan’s Family Steak Houses, Inc. 
  
 
340,119
13,400
  
(1)Smith & Wollensky Restaurant
Group, Inc. 
  
 
51,992
       
   
Total
  
 
2,083,991
       
   
Retail-Services—0.5%
      
9,900
  
(1)7-Eleven, Inc. 
  
 
80,586
4,900
  
(1)Alloy, Inc. 
  
 
47,182
20,800
  
(1)Dollar Thrifty Automotive Group, Inc. 
  
 
386,464
       
   
Total
  
 
514,232
       
   
Retail-Specialty—1.5%
      
16,200
  
(1)Cost Plus, Inc. 
  
 
468,196
42,400
  
Shopko Stores, Inc. 
  
 
537,208
66,900
  
(1)Sports Authority, Inc. 
  
 
397,386
       
   
Total
  
 
1,402,790
       
   
Semiconductor—2.0%
      
3,200
  
(1)Dupont Photomasks, Inc. 
  
 
66,848
138,400
  
(1)Lattice Semiconductor Corp. 
  
 
936,968
4,200
  
Microsemi Corp. 
  
 
31,206
Shares
  
 
Value
Common Stocks—continued
      
   
Semiconductor—continued
      
7,300
  
(1)Mykrolis Corp. 
  
$
40,953
10,400
  
(1)Rudolph Technologies, Inc. 
  
 
177,632
5,400
  
(1)Skyworks Solutions, Inc. 
  
 
38,340
96,400
  
(1)Triquint Semiconductor, Inc. 
  
 
486,820
7,200
  
(1)Zoran Corp. 
  
 
107,928
       
   
Total
  
 
1,886,695
       
   
Technology—2.5%
      
27,700
  
(1)Bruker Daltonics, Inc. 
  
 
152,350
60,000
  
(1)Dendrite International, Inc. 
  
 
370,200
99,400
  
(1)Macrovision Corp. 
  
 
1,282,260
13,300
  
(1)QuadraMed Corp. 
  
 
35,112
12,700
  
Woodward Governor Co. 
  
 
482,981
       
   
Total
  
 
2,322,903
       
   
Telecommunications—2.6%
      
30,800
  
Inter-Tel, Inc. 
  
 
832,524
159,800
  
(1)Polycom, Inc. 
  
 
1,574,030
       
   
Total
  
 
2,406,554
       
   
Tobacco—0.5%
      
20,400
  
Standard Commercial Corp. 
  
 
345,372
2,500
  
Universal Corp. 
  
 
88,050
       
   
Total
  
 
433,422
       
   
Transportation—1.3%
      
3,800
  
(1)Arkansas Best Corp. 
  
 
113,810
24,672
  
(1)Hawaiian Holdings, Inc. 
  
 
58,719
25,100
  
Ryder Systems, Inc. 
  
 
576,045
4,700
  
(1)SCS Transportation, Inc. 
  
 
42,770
5,100
  
USFreightways Corp. 
  
 
143,310
9,400
  
(1)Yellow Corp. 
  
 
260,286
       
   
Total
  
 
1,194,940
       
   
Utilities—2.0%
      
25,800
  
Northwest Natural Gas Co. 
  
 
773,484
13,900
  
ONEOK, Inc. 
  
 
263,266
20,600
  
UGI Corp. 
  
 
799,074
       
   
Total
  
 
1,835,824
       
   
Total Common Stocks
(identified cost $90,750,485)
  
 
89,982,086
       
Mutual Funds—3.8%
      
688,032
  
SSGA US Government Money Market Fund, Series A
  
 
688,032
2,814,709
  
Seven Seas Money Market Fund
  
 
2,814,709
       
   
Total Mutual Funds
(at net asset value)
  
 
3,502,741
       
   
Total Investments
(identified cost $94,253,226)
  
$
93,484,827
       

(See Notes to Portfolios of Investments)

22

VISION Mid Cap Stock Fund
Portfolio of Investments
October 31, 2002 (unaudited)
Shares
  
 
Value
Common Stocks—98.2%
      
   
Aerospace/Defense Equipment—0.2%
      
       5,700
  
Textron, Inc. 
  
$
233,700
       
   
Auto Parts & Equipment—5.1%
      
15,400
  
Borg-Warner Automotive, Inc. 
  
 
692,692
15,000
  
Dana Corp. 
  
 
150,000
15,900
  
Goodrich (B.F.) Co. 
  
 
240,090
5,700
  
Harley Davidson, Inc. 
  
 
298,110
11,300
  
Ingersoll-Rand Co., Class A
  
 
440,700
4,100
  
Johnson Controls, Inc. 
  
 
319,800
26,800
  
(1)Lear Corp. 
  
 
979,540
49,000
  
Ryder Systems, Inc. 
  
 
    1,124,550
21,700
  
Superior Industries International, Inc. 
  
 
921,599
       
   
Total
  
 
5,167,081
       
   
Basic Materials—1.3%
      
15,300
  
Ball Corp. 
  
 
740,979
21,000
  
Lubrizol Corp. 
  
 
609,000
       
   
Total
  
 
1,349,979
       
   
Chemicals—3.3%
      
10,500
  
Avery Dennison Corp. 
  
 
653,520
8,600
  
Cabot Microelectronics Corp. 
  
 
390,354
14,500
  
Eastman Chemical Co. 
  
 
526,930
10,000
  
FMC Corp. 
  
 
305,900
34,200
  
Millennium Chemicals, Inc. 
  
 
317,034
10,800
  
Praxair, Inc. 
  
 
588,600
118,700
  
Solutia, Inc. 
  
 
528,215
       
   
Total
  
 
3,310,553
       
   
Commercial Services & Supplies—0.8%
      
44,700
  
(1)BISYS Group, Inc. (The)
  
 
800,130
       
   
Communication Services—1.7%
      
12,900
  
CenturyTel, Inc. 
  
 
365,457
36,200
  
(1)Westwood One, Inc. 
  
 
1,314,060
       
   
Total
  
 
1,679,517
       
   
Computer Hardware—0.5%
      
17,000
  
Tech Data Corp. 
  
 
543,150
       
   
Computer Services—5.9%
      
31,100
  
(1)Affiliated Computer Services, Inc.,
Class A
  
 
1,432,155
16,500
  
(1)Anthem, Inc. 
  
 
1,039,500
29,400
  
(1)Arbitron, Inc. 
  
 
1,004,010
53,200
  
(1)BMC Software, Inc. 
  
 
848,008
23,800
  
(1)Computer Sciences Corp. 
  
 
768,502
40,000
  
EMC Corp. 
  
 
204,400
48,900
  
Yahoo, Inc. 
  
 
729,588
       
   
Total
  
 
6,026,163
       
   
Computer Software—4.3%
      
11,700
  
Adobe Systems, Inc. 
  
 
276,588
22,600
  
(1)Intuit, Inc. 
  
 
1,173,392
25,000
  
MSC Software Corp. 
  
 
140,000
62,500
  
(1)Network Associates, Inc. 
  
 
993,125
24,800
  
Progress Software Corp. 
  
 
309,504
Shares
  
 
Value
Common Stocks—continued
      
   
Computer Software—continued
      
     39,300
  
Reynolds & Reynolds Co., Class A
  
$
930,231
24,300
  
(1)SunGard Data Systems, Inc. 
  
 
538,731
       
   
Total
  
 
    4,361,571
       
   
Electronic Components—1.8%
      
19,400
  
(1)Analog Devices, Inc. 
  
 
519,920
10,000
  
FPL Group, Inc. 
  
 
589,800
10,000
  
(1)Qlogic Corp. 
  
 
347,600
19,000
  
(1)Xilinx, Inc. 
  
 
360,810
       
   
Total
  
 
1,818,130
       
   
Electronic Equipment—0.7%
      
65,000
  
(1)Vishay Intertechnology, Inc. 
  
 
669,500
       
   
Energy—2.9%
      
40,500
  
Energy East Corp. 
  
 
862,650
46,500
  
Entergy Corp. 
  
 
2,050,185
       
   
Total
  
 
2,912,835
       
   
Entertainment—0.5%
      
25,000
  
Boyd Gaming Corp. 
  
 
276,500
13,000
  
Penn National Gaming, Inc. 
  
 
268,840
       
   
Total
  
 
545,340
       
   
Financial-Diversified—2.1%
      
5,400
  
Hartford Financial Services Group, Inc. 
  
 
213,300
34,000
  
National Commerce Financial Corp. 
  
 
832,320
42,100
  
SouthTrust Corp. 
  
 
1,078,602
       
   
Total
  
 
2,124,222
       
   
Financial Services—2.6%
      
44,100
  
Charter One Financial, Inc. 
  
 
1,335,348
31,400
  
TCF Financial Corp. 
  
 
1,332,616
       
   
Total
  
 
2,667,964
       
   
Food & Beverages—4.2%
      
27,000
  
ConAgra Foods, Inc. 
  
 
654,750
23,900
  
Constellation Brands, Inc., Class A
  
 
605,387
29,800
  
Hormel Foods Corp. 
  
 
721,160
15,000
  
Kellogg Co. 
  
 
477,900
25,000
  
PepsiAmericas, Inc. 
  
 
383,750
27,400
  
Sensient Technologies Corp. 
  
 
667,190
27,000
  
The Pepsi Bottling Group, Inc. 
  
 
727,650
       
   
Total
  
 
4,237,787
       
   
Hardware Tools—1.1%
      
24,600
  
Black & Decker Corp. 
  
 
1,150,296
       
   
Healthcare—6.9%
      
19,900
  
Community Health Systems, Inc. 
  
 
467,650
48,400
  
(1)DaVita, Inc. 
  
 
1,160,148
38,000
  
(1)First Health Group Corp. 
  
 
987,240
12,000
  
(1)Health Management Association, Class A
  
 
229,440
24,300
  
(1)Lincare Holdings, Inc. 
  
 
827,901
20,100
  
Quest Diagnostic, Inc. 
  
 
1,282,983

23

VISION Mid Cap Stock Fund
Shares
  
 
Value
Common Stocks—continued
      
   
Healthcare—continued
      
     32,400
  
(1)Triad Hospitals, Inc.
  
$
    1,182,600
18,800
  
(1)Universal Health Services, Inc.,
Class B
  
 
911,424
       
   
Total
  
 
7,049,386
       
   
Healthcare-Medical Product/Supplies—6.0%
20,000
  
Cambrex Corp. 
  
 
556,800
12,300
  
Hillenbrand Industries, Inc. 
  
 
639,600
29,400
  
IDEC Pharmaceuticals Corp. 
  
 
1,352,988
18,300
  
InterMune, Inc. 
  
 
672,159
38,500
  
(1)King Pharmaceuticals, Inc. 
  
 
590,975
39,400
  
Mylan Laboratories, Inc. 
  
 
1,239,918
16,400
  
Shire Pharmaceuticals Group PLC, ADR
  
 
383,104
19,400
  
(1)St. Jude Medical, Inc. 
  
 
690,834
       
   
Total
  
 
6,126,378
       
   
Home Building—1.0%
      
14,800
  
Centex Corp. 
  
 
673,104
12,000
  
Maytag Corp. 
  
 
309,600
       
   
Total
  
 
982,704
       
   
Hotels & Motels—0.4%
      
34,700
  
Hilton Hotels Corp. 
  
 
426,810
       
   
Insurance—5.2%
      
19,400
  
Everest Re Group Ltd. 
  
 
1,125,588
22,600
  
Fidelity National Financial, Inc. 
  
 
682,520
12,000
  
Gallagher (Arthur J.) & Co. 
  
 
321,840
24,200
  
Old Republic International Corp. 
  
 
721,402
23,100
  
PMI Group, Inc. 
  
 
688,380
25,700
  
Radian Group, Inc. 
  
 
906,439
22,400
  
(1)Travelers Property Casualty Corp., Class A
  
 
299,040
6,500
  
Wellpoint Health Networks, Inc. 
  
 
488,865
       
   
Total
  
 
5,234,074
       
   
Insurance-Life/Health—2.4%
      
20,000
  
PartnerRe Ltd. 
  
 
1,060,000
31,000
  
Protective Life Corp. 
  
 
885,980
15,000
  
Torchmark Corp. 
  
 
537,000
       
   
Total
  
 
2,482,980
       
   
Media—0.9%
      
18,200
  
Entercom Communication Corp. 
  
 
895,804
       
   
Manufacturing-Diversified—1.0%
      
12,900
  
Danaher Corp. 
  
 
746,265
8,000
  
Pentair, Inc. 
  
 
264,320
       
   
Total
  
 
1,010,585
       
   
Metal—0.6%
      
30,000
  
Precision Castparts Corp. 
  
 
582,300
       
   
Natural Gas-Distribution-Pipe Line—0.9%
40,200
  
Sempra Energy
  
 
890,028
       
   
Office Equipment—1.8%
      
19,900
  
Diebold, Inc. 
  
 
709,435
10,000
  
Lexmark International Group, Class A
  
 
594,200
15,000
  
Pitney Bowes, Inc.
  
 
503,250
       
   
Total
  
 
1,806,885
       
Shares
  
 
Value
Common Stocks—continued
      
   
Oil & Gas-Drilling & Equipment—2.6%
     12,400
  
(1)Cooper Cameron Corp. 
  
$
578,088
28,800
  
ENSCO International, Inc. 
  
 
778,752
20,500
  
Halliburton Co. 
  
 
331,690
28,600
  
(1)Noble Corp. 
  
 
924,352
       
   
Total
  
 
    2,612,882
       
   
Oil & Gas-Exploration & Production—3.5%
8,300
  
Apache Corp. 
  
 
448,698
12,000
  
Devon Energy Corp. 
  
 
606,000
35,400
  
Ocean Energy, Inc. 
  
 
659,502
28,200
  
(1)Smith International, Inc. 
  
 
881,532
22,900
  
(1)Weatherford International Ltd. 
  
 
916,916
       
   
Total
  
 
3,512,648
       
   
Oil & Gas-Refining & Marketing—2.9%
9,400
  
Amerada-Hess Corp. 
  
 
482,220
25,600
  
Imperial Oil Ltd. 
  
 
692,480
11,000
  
Murphy Oil Corp. 
  
 
922,130
28,000
  
Sunoco Inc. 
  
 
839,440
       
   
Total
  
 
2,936,270
       
   
Paper & Forest Products—0.9%
      
98,400
  
Abitibi-Consolidated, Inc. 
  
 
624,840
22,100
  
Smurfit-Stone Container Corp. 
  
 
287,521
       
   
Total
  
 
912,361
       
   
Printing & Publishing—0.3%
      
7,500
  
Scholastic Corp. 
  
 
331,125
       
   
Railroad—0.5%
      
25,300
  
Norfolk Southern Corp. 
  
 
511,060
       
   
Regional Banks—4.8%
      
32,400
  
Amsouth Bancorporation
  
 
635,040
8,000
  
First Community Bancorp
  
 
251,760
41,800
  
First Tennessee National Corp. 
  
 
1,549,944
40,000
  
North Fork Bancorp, Inc. 
  
 
1,538,400
13,500
  
Union Planters Corp. 
  
 
381,510
32,000
  
W Holding Co., Inc. 
  
 
568,640
       
   
Total
  
 
4,925,294
       
   
Retail—1.9%
      
37,000
  
(1)CDW Computer Centers, Inc. 
  
 
1,961,740
       
   
Retail-Discounters—2.7%
      
34,600
  
Family Dollar Stores, Inc. 
  
 
1,065,334
54,200
  
Penney (J.C.) Co., Inc. 
  
 
1,032,510
32,400
  
TJX Cos., Inc. 
  
 
664,848
       
   
Total
  
 
2,762,692
       
   
Retail-Restaurants—1.6%
      
13,500
  
(1)Brinker International, Inc. 
  
 
383,265
34,500
  
Darden Restaurants, Inc. 
  
 
654,810
18,200
  
Wendy’s International, Inc. 
  
 
576,576
       
   
Total
  
 
1,614,651
       
   
Retail-Specialty—3.3%
      
8,900
  
(1)AutoZone, Inc. 
  
 
763,353
15,900
  
(1)Bed Bath & Beyond, Inc. 
  
 
563,814
5,100
  
(1)Kohl’s Corp. 
  
 
298,095
50,000
  
Staples, Inc. 
  
 
771,000
40,500
  
Williams-Sonoma, Inc. 
  
 
963,900
       
   
Total
  
 
3,360,162
       

24

VISION Mid Cap Stock Fund
Shares
  
 
Value
Common Stocks—continued
      
   
Semiconductor—1.6%
      
     16,900
  
(1)KLA-Tencor Corp. 
  
$
       602,147
57,600
  
(1)Lam Research Corp. 
  
 
725,184
25,300
  
(1)Teradyne, Inc. 
  
 
306,383
       
   
Total
  
 
1,633,714
       
   
Services-Commercial & Consumer—2.0%
14,900
  
Accenture Ltd. 
  
 
251,512
12,000
  
ChoicePoint, Inc. 
  
 
454,320
21,200
  
Donnelley (R.R.) & Sons Co. 
  
 
425,060
15,000
  
Ecolab, Inc. 
  
 
723,750
10,000
  
Harland (John H.) Co. 
  
 
191,500
       
   
Total
  
 
2,046,142
       
   
Steel—0.5%
      
73,200
  
AK Steel Holding Corp. 
  
 
529,968
       
   
Technology—1.1%
      
16,700
  
FEI Co. 
  
 
268,035
27,000
  
(1)Novellus Systems, Inc. 
  
 
853,200
       
   
Total
  
 
1,121,235
       
Shares
  
 
Value
Common Stocks—continued
      
   
Telecommunication Equipment—0.5%
      
20,000
  
Harris Corp. 
  
$
527,600
       
   
Tobacco—1.4%
      
44,900
  
UST, Inc. 
  
 
1,373,491
       
   
Total Common Stocks
(identified cost $99,344,828)
  
 
99,758,887
       
Mutual Fund—1.7%
      
1,732,892
  
SSGA Money Market Fund
(at net asset value)
  
 
1,732,892
       
   
Total Investments
(identified cost $101,077,720)
  
$
101,491,779
       

(See Notes to Portfolios of Investments)

25

VISION Large Cap Growth Fund
Portfolio of Investments
October 31, 2002 (unaudited)

Shares
  
 
Value
Common Stocks—93.9%
      
   
Beverages—7.2%
      
    13,400
  
Coca-Cola Co.
 
$
     622,832
9,800
  
PepsiCo, Inc. 
  
 
432,180
       
   
Total
  
 
1,055,012
       
   
Capital Equipment Services—1.6%
      
5,900
  
Caterpillar, Inc. 
  
 
241,015
       
   
Computers-Software—2.9%
      
6,500
  
(1)Electronic Arts, Inc.
  
 
423,280
       
   
Consumer Basics—5.1%
      
13,500
  
Colgate-Palmolive Co. 
  
 
742,230
       
   
Consumer Cyclical—2.9%
      
20,700
  
Masco Corp.
  
 
425,592
       
   
Consumer Non-Cyclical—6.3%
      
18,200
  
Gillette Co. 
  
 
543,816
11,600
  
Newell Rubbermaid, Inc. 
  
 
376,072
       
   
Total
  
 
919,888
       
   
Cosmetics & Toiletries—4.6%
      
7,600
  
Procter & Gamble Co. 
  
 
672,220
       
   
Distribution/Wholesale—2.4%
      
10,400
  
(1)Costco Wholesale Corp. 
  
 
352,872
       
   
Entertainment—2.0%
      
17,300
  
Disney (Walt) Co. 
  
 
288,910
       
   
Financial Services Diversified—7.4%
      
6,200
  
Bank of New York Co., Inc. 
  
 
161,200
14,300
  
Citigroup, Inc. 
  
 
528,385
8,400
  
Marsh & McLennan Cos., Inc. 
  
 
392,364
       
   
Total
  
 
1,081,949
       
   
Health Care-Drugs/Pharmaceuticals—9.8%
8,300
  
(1)Amgen, Inc. 
  
 
386,448
21,600
  
Pfizer, Inc. 
  
 
686,232
8,400
  
Pharmacia Corp. 
  
 
361,200
       
   
Total
  
 
1,433,880
       
   
Medical—4.9%
      
16,000
  
Medtronic, Inc. 
  
 
716,800
       
Shares or Principal Amount
  
 
Value
Common Stocks—continued
      
   
Medical Products—7.1%
      
12,500
  
Johnson & Johnson
  
$
734,375
5,500
  
Lilly (Eli) & Co. 
  
 
305,250
       
   
Total
  
 
1,039,625
       
   
Hotels & Motels—2.2%
      
10,300
  
Marriott International, Inc., Class A
  
 
318,579
       
   
Industrial Conglomerates—3.7%
      
4,300
  
3M Co. 
  
 
545,842
       
   
Insurance—4.2%
      
9,950
  
American International Group, Inc. 
  
 
622,373
       
   
Oil-Field Services—7.2%
      
7,400
  
GlobalSantaFe Corp.
  
 
176,860
14,100
  
Schlumberger Ltd. 
  
 
565,551
14,000
  
Transocean, Inc. 
  
 
307,720
       
   
Total
  
 
1,050,131
       
   
Retail—3.2%
      
2,000
  
(1)eBay, Inc. 
  
 
126,480
6,000
  
(1)Kohl’s Corp.
  
 
350,700
       
   
Total
  
 
477,180
       
   
Service-Commercial & Consumer—2.3%
4,400
  
Gannett Co., Inc.
  
 
334,092
       
   
Telecommunication-Equipment—5.0%
      
21,100
  
(1)Qualcomm, Inc.
  
 
728,372
       
   
Transportation Services—1.9%
      
4,700
  
United Parcel Service, Inc., Class B
  
 
282,047
       
   
Total Common Stocks
(identified cost $14,578,349)
  
 
13,751,889
       
(3)U.S. Government Agency—1.7%
      
   
Federal National Mortgage Association—1.7%
$250,000
  
1.600%, 11/6/2002
(at amortized cost)
  
 
249,944
       
Mutual Fund—1.6%
      
236,786
  
Seven Seas Money Market Fund
(at net asset value)
  
 
236,786
       
   
Total Investments
(identified cost $15,065,079)
  
$
14,238,619
       

(See Notes to Portfolios of Investments)

26

VISION Large Cap Core Fund
Portfolio of Investments
October 31, 2002 (unaudited)

Shares
  
 
Value
Common Stocks—98.8%
      
   
Aerospace & Defense—1.2%
      
     11,994
  
Boeing Co. 
  
$
356,822
28,989
  
Raytheon Co. 
  
 
855,176
       
   
Total
  
 
    1,211,998
       
   
Aluminum—1.5%
      
67,495
  
Alcoa, Inc. 
  
 
1,488,940
       
   
Banks-Major Regional—3.9%
      
55,832
  
U.S. Bancorp
  
 
1,177,497
42,300
  
Washington Mutual, Inc. 
  
 
1,512,648
24,762
  
Wells Fargo & Co. 
  
 
1,249,738
       
   
Total
  
 
3,939,883
       
   
Beverages—1.3%
      
28,340
  
Coca-Cola Co. 
  
 
1,317,243
       
   
Broadcasting-TV, Radio & Cable—3.8%
      
37,000
  
(1)Clear Channel Communications, Inc. 
  
 
1,370,850
61,075
  
(1)Comcast Corp., Class A
  
 
1,405,336
38,750
  
(1)Cox Communications, Inc., Class A
  
 
1,061,750
       
   
Total
  
 
3,837,936
       
   
Business Services—1.2%
      
70,700
  
(1)Accenture Ltd., Class A
  
 
1,193,416
       
   
Computer Networks—2.7%
      
124,276
  
(1)Cisco Systems, Inc. 
  
 
1,389,406
74,752
  
Intel Corp. 
  
 
1,293,210
       
   
Total
  
 
2,682,616
       
   
Computers—4.2%
      
54,450
  
(1)Dell Computer Corp. 
  
 
1,557,814
34,106
  
International Business Machines Corp. 
  
 
2,692,328
       
   
Total
  
 
4,250,142
       
   
Computers-Services—3.0%
      
126,221
  
(1)AOL Time Warner, Inc. 
  
 
1,861,760
34,272
  
First Data Corp. 
  
 
1,197,464
       
   
Total
  
 
3,059,224
       
   
Computers-Software—4.1%
      
77,103
  
(1)Microsoft Corp. 
  
 
4,122,697
       
   
Consumer Cyclical—1.1%
      
42,500
  
Carnival Corp. 
  
 
1,110,100
       
   
Consumer Products—2.2%
      
34,721
  
Gillette Co. 
  
 
1,037,463
62,684
  
(1)Mattel, Inc. 
  
 
1,150,878
       
   
Total
  
 
2,188,341
       
   
Cosmetics & Toiletries—0.9%
      
18,480
  
Kimberly-Clark Corp. 
  
 
951,720
       
   
Diversified—3.5%
      
140,793
  
General Electric Co. 
  
 
3,555,023
       
Shares
  
 
Value
Common Stocks—continued
      
   
Electronic Components—4.3%
      
     42,953
  
(1)International Rectifier Corp. 
  
$
       741,798
68,530
  
(1)Intersil Corp., Class A
  
 
1,164,325
250,207
  
(1)Solectron Corp. 
  
 
562,966
119,913
  
Symbol Technologies, Inc. 
  
 
1,037,247
51,371
  
Texas Instruments, Inc.
  
 
814,744
       
   
Total
  
 
4,321,080
       
   
Entertainment—3.2%
      
99,337
  
Disney (Walt) Co. 
  
 
1,658,928
34,225
  
(1)Viacom, Inc., Class B
  
 
1,526,777
       
   
Total
  
 
3,185,705
       
   
Financial Services-Credit Cards—1.1%
      
37,752
  
Capital One Financial Corp.
  
 
1,150,303
       
   
Financial Services-Diversified—10.3%
      
39,615
  
Bank of New York Co., Inc.
  
 
1,029,990
99,776
  
Citigroup, Inc.
  
 
3,686,723
83,570
  
(1)Concord EFS, Inc.
  
 
1,193,380
20,999
  
Fannie Mae
  
 
1,403,993
25,550
  
Hartford Financial Services Group, Inc.
  
 
1,009,225
23,809
  
Merrill Lynch & Co., Inc. 
  
 
903,552
29,257
  
Morgan Stanley
  
 
1,138,682
       
   
Total
  
 
10,365,545
       
   
Health Care—3.7%
      
63,740
  
(1)Caremark Rx, Inc.
  
 
1,128,198
31,065
  
(1)Express Scripts, Inc., Class A
  
 
1,683,102
30,423
  
(1)Tenet Healthcare Corp.
  
 
874,661
       
   
Total
  
 
3,685,961
       
   
Insurance—4.3%
      
33,865
  
American International Group, Inc. 
  
 
2,118,256
24,200
  
Jefferson-Pilot Corp.
  
 
971,630
38,587
  
St. Paul Cos., Inc. 
  
 
1,265,654
       
   
Total
  
 
4,355,540
       
   
Manufacturing-Diversified—1.4%
      
39,700
  
(1)Agilent Technologies, Inc. 
  
 
545,875
38,289
  
Honeywell International, Inc. 
  
 
916,639
       
   
Total
  
 
1,462,514
       
   
Medical—0.9%
      
19,831
  
Medtronic, Inc. 
  
 
888,429
       
   
Oil—3.4%
      
16,631
  
ChevronTexaco Corp. 
  
 
1,124,755
69,552
  
Exxon Mobil Corp. 
  
 
2,341,120
       
   
Total
  
 
3,465,875
       
   
Oil & Gas-Exploration & Production—2.1%
29,916
  
Burlington Resources, Inc. 
  
 
1,232,539
20,939
  
Schlumberger Ltd. 
  
 
839,863
       
   
Total
  
 
2,072,402
       
   
Oil & Gas-Refining & Marketing—1.1%
53,042
  
Marathon Oil Corp. 
  
 
1,108,578
       

27

VISION Large Cap Core Fund
Shares
  
 
Value
Common Stocks—continued
      
   
Pharmaceuticals—12.4%
      
29,281
  
(1)Amgen, Inc. 
  
$
    1,363,323
95,591
  
(1)Health Management Associates, Inc.,
Class A
  
 
1,827,700
56,762
  
IMS Health, Inc. 
  
 
853,700
25,891
  
Lilly (Eli) & Co. 
  
 
1,436,950
44,974
  
Merck & Co., Inc. 
  
 
2,439,390
   120,036
  
Pfizer, Inc. 
  
 
3,813,544
21,950
  
Wyeth
  
 
735,325
       
   
Total
  
 
12,469,932
       
   
Retail—5.5%
      
40,320
  
(1)Best Buy Co., Inc. 
  
 
830,995
44,049
  
Home Depot, Inc. 
  
 
1,272,135
80,500
  
(1)Kroger Co. 
  
 
1,194,620
63,227
  
(1)Staples, Inc. 
  
 
974,960
23,302
  
Wal-Mart Stores, Inc. 
  
 
1,247,822
       
   
Total
  
 
5,520,532
       
   
Retail-Restaurants—1.2%
      
62,100
  
Darden Restaurants, Inc. 
  
 
1,178,658
       
   
Services-Commercial & Consumer—1.5%
127,594
  
Cendant Corp. 
  
 
1,467,331
       
Shares
  
 
Value
Common Stocks—continued
      
   
Technology—0.4%
      
61,000
  
(1)Siebel Systems, Inc. 
  
$
458,720
       
   
Telecommunications Equipment—0.8%
65,822
  
Scientific-Atlanta, Inc. 
  
 
803,687
       
   
Telephone—2.3%
      
62,436
  
Verizon Communications, Inc. 
  
 
2,357,583
       
   
Tobacco—1.3%
      
33,340
  
Philip Morris Cos., Inc. 
  
 
1,358,605
       
   
Utilities—3.0%
      
65,431
  
BellSouth Corp. 
  
 
1,711,021
90,930
  
TECO Energy, Inc. 
  
 
1,345,764
       
   
Total
  
 
3,056,785
       
   
Total Common Stocks
(identified cost $109,410,964)
  
 
99,643,044
       
Mutual Fund—1.6%
      
1,596,150
  
Seven Seas Money Market Fund
(at net asset value)
  
 
1,596,150
       
   
Total Investments
(identified cost $111,007,114)
  
$
101,239,194
       

(See Notes to Portfolios of Investments)

28

VISION Large Cap Value Fund
Portfolio of Investments
October 31, 2002 (unaudited)

Shares
  
 
Value
Common Stock—97.9%
      
   
Aerospace/Defense—1.6%
      
8,350
  
Boeing Co. 
  
$
     248,412
  12,200
  
Raytheon Co. 
  
 
359,900
       
   
Total
  
 
608,312
       
   
Aluminum—1.2%
      
21,368
  
Alcoa, Inc. 
  
 
471,378
       
   
Banks-Major Regional—4.7%
      
24,100
  
Fleet Boston Financial Corp. 
  
 
563,699
24,392
  
U.S. Bancorp
  
 
514,427
14,400
  
Wells Fargo & Co. 
  
 
726,768
       
   
Total
  
 
1,804,894
       
   
Broadcasting-TV, Radio & Cable—5.6%
      
17,427
  
(1)Clear Channel Communications, Inc. 
  
 
645,670
30,035
  
(1)Comcast Corp., Class A
  
 
691,105
14,300
  
(1)Cox Communications, Inc., Class A
  
 
391,820
55,100
  
(1)Liberty Media Corp., Class A
  
 
455,677
       
   
Total
  
 
2,184,272
       
   
Brokerage—3.6%
      
16,350
  
Merrill Lynch & Co., Inc. 
  
 
620,482
19,370
  
Morgan Stanley
  
 
753,880
       
   
Total
  
 
1,374,362
       
   
Coal—1.0%
      
15,500
  
Peabody Energy Corp. 
  
 
399,125
       
   
Chemicals—1.0%
      
9,500
  
Du Pont (E.I.) de Nemours & Co. 
  
 
391,875
       
   
Computers Hardware—1.5%
      
32,900
  
(1)Electronics for Imaging, Inc. 
  
 
599,438
       
   
Computer Services—1.0%
      
30,000
  
(1)Acxiom Corp. 
  
 
378,000
       
   
Computer Software—1.1%
      
37,309
  
(1)Macromedia, Inc. 
  
 
418,234
       
   
Consumer Finance—1.6%
      
12,400
  
Countrywide Credit Industries, Inc. 
  
 
623,844
       
   
Cosmetics & Toiletries—0.9%
      
6,600
  
Kimberly-Clark Corp. 
  
 
339,900
       
   
Electric Company—3.6%
      
4,510
  
DTE Energy Co. 
  
 
203,356
13,150
  
Duke Energy Corp. 
  
 
269,444
4,500
  
FPL Group, Inc. 
  
 
265,410
43,115
  
TECO Energy, Inc. 
  
 
638,102
       
   
Total
  
 
1,376,312
       
   
Electronic Components—2.7%
      
17,450
  
(1)International Rectifier Corp. 
  
 
301,362
30,400
  
(1)Solectron Corp. 
  
 
68,400
62,470
  
Symbol Technologies, Inc. 
  
 
540,366
9,600
  
Texas Instruments, Inc. 
  
 
152,256
       
   
Total
  
 
1,062,384
       
   
Entertainment—1.4%
      
31,409
  
Disney (Walt) Co. 
  
 
524,530
       
Shares
  
 
Value
Common Stock—continued
      
   
Financial Services-Diversified—13.0%
      
  20,300
  
Bank of New York Co., Inc. 
  
$
527,800
14,990
  
Capital One Financial Corp. 
  
 
456,745
52,633
  
Citigroup, Inc. 
  
 
  1,944,789
8,800
  
Fannie Mae
  
 
588,368
11,850
  
Hartford Financial Services Group, Inc. 
  
 
468,075
16,800
  
KeyCorp
  
 
410,424
17,900
  
Washington Mutual, Inc. 
  
 
640,104
       
   
Total
  
 
5,036,305
       
   
Health Care—1.6%
      
23,300
  
(1)Caremark Rx, Inc. 
  
 
412,410
6,720
  
(1)Tenet Healthcare Corp. 
  
 
193,200
       
   
Total
  
 
605,610
       
   
Insurance—8.9%
      
12,000
  
Allstate Corp. 
  
 
477,360
24,650
  
American International Group, Inc. 
  
 
1,541,858
14,300
  
Jefferson-Pilot Corp. 
  
 
574,145
10,500
  
Lincoln National Corp. 
  
 
320,355
16,200
  
St. Paul Cos., Inc. 
  
 
531,360
       
   
Total
  
 
3,445,078
       
   
Leisure Time-Products—2.3%
      
18,200
  
Carnival Corp. 
  
 
475,384
23,208
  
Mattel, Inc. 
  
 
426,099
       
   
Total
  
 
901,483
       
   
Manufacturing-Diversified—3.6%
      
23,350
  
(1)Agilent Technologies, Inc. 
  
 
321,063
29,755
  
General Electric Co. 
  
 
751,314
14,000
  
Honeywell International, Inc. 
  
 
335,160
       
   
Total
  
 
1,407,537
       
   
Multimedia—4.6%
      
62,212
  
(1)AOL Time Warner, Inc. 
  
 
917,627
19,100
  
(1)Viacom, Inc., Class B
  
 
852,051
       
   
Total
  
 
1,769,678
       
   
Oil—4.9%
      
14,400
  
ChevronTexaco Corp. 
  
 
973,872
27,874
  
Exxon Mobil Corp. 
  
 
938,239
       
   
Total
  
 
1,912,111
       
   
Oil Field Services—1.2%
      
11,345
  
Schlumberger Ltd. 
  
 
455,048
       
   
Oil & Gas-Exploration & Production—3.9%
      
20,500
  
Burlington Resources, Inc. 
  
 
844,600
31,400
  
Marathon Oil Corp. 
  
 
656,260
       
   
Total
  
 
1,500,860
       
   
Oil & Gas-Refining & Marketing—2.2%
      
17,912
  
ConocoPhillips
  
 
868,732
       
   
Pharmaceuticals—4.5%
      
39,811
  
(1)Health Management Associates, Inc.,
Class A
  
 
761,186

29

VISION Large Cap Value Fund
Shares
  
 
Value
Common Stock—continued
      
   
Pharmaceuticals—continued
      
  30,400
  
IMS Health, Inc. 
  
$
457,216
9,800
  
Merck & Co., Inc. 
  
 
531,552
       
   
Total
  
 
  1,749,954
       
   
Real Estate—0.5%
      
9,000
  
Archstone-Smith Trust
  
 
206,460
       
   
Retail—1.2%
      
30,600
  
(1)Kroger Co. 
  
 
454,104
       
   
Retail-Restaurants—1.1%
      
22,580
  
Darden Restaurants, Inc. 
  
 
428,568
       
   
Retail-Specialty—1.0%
      
24,300
  
(1)Staples, Inc. 
  
 
374,706
       
   
Services-Commercial & Consumer—1.1%
      
36,600
  
(1)Cendant Corp. 
  
 
420,900
       
   
Telecommunications Equipment—0.4%
13,000
  
Scientific-Atlanta, Inc. 
  
 
158,730
       
Shares
  
 
Value
Common Stock—continued
      
   
Telecommunication Services—1.1%
      
24,900
  
(1)Intersil Corp., Class A
  
$
423,051
       
   
Telephone-Integrated—7.4%
      
30,200
  
BellSouth Corp. 
  
 
789,730
32,750
  
SBC Communications, Inc. 
  
 
840,365
32,180
  
Verizon Communications, Inc. 
  
 
1,215,117
       
   
Total
  
 
2,845,212
       
   
Tobacco—0.9%
      
8,850
  
Philip Morris Cos., Inc.  
  
 
360,638
       
   
Total Common Stocks
(identified cost $45,238,739)
  
 
37,881,625
       
Mutual Fund—2.4%
      
951,837
  
Seven Seas Money Market Fund
(at net asset value)
  
 
951,837
       
   
Total Investments
(identified cost $46,190,576)
  
$
38,833,462
       

(See Notes to Portfolios of Investments)

30

VISION Managed Allocation Fund — Aggressive Growth
Portfolio of Investments
October 31, 2002 (unaudited)

 
Shares
  
 
Value
Mutual Funds—99.3%
      
   
Equity Funds—89.0%
      
113,218
  
VISION International Equity Fund,
Class A
  
$
845,738
188,731
  
VISION Large Cap Core Fund, Class A
  
 
1,164,468
147,415
  
VISION Large Cap Growth Fund, Class A
  
 
967,044
112,208
  
VISION Large Cap Value Fund, Class A
  
 
889,808
52,064
  
VISION Mid Cap Stock Fund, Class A
  
 
620,600
69,129
  
VISION Small Cap Stock Fund, Class A
  
 
571,693
       
   
Total
 
 
5,059,351
       
Shares
  
 
Value
Mutual Funds—continued
      
   
Fixed Income Fund—7.0%
      
40,694
  
VISION U.S. Government Securities Fund, Class A
  
$
398,395
       
   
Money Market Fund—3.3%
      
190,306
  
VISION Institutional Prime Money Market Fund
 
 
190,306
       
   
Total Investments
(identified cost $6,805,123)
  
$
5,648,052
       

(See Notes to Portfolios of Investments)

31

VISION Managed Allocation Fund — Moderate Growth
Portfolio of Investments
October 31, 2002 (unaudited)
Shares
  
 
Value
Mutual Funds—99.1%
      
   
Equity Funds—58.8%
      
116,216
  
VISION International Equity Fund,
Class A
  
$
868,136
190,367
  
VISION Large Cap Core Fund, Class A
  
 
  1,174,564
200,385
  
VISION Large Cap Growth Fund,
Class A
  
 
1,314,526
189,042
  
VISION Large Cap Value Fund, Class A
  
 
1,499,104
82,002
  
VISION Mid Cap Stock Fund, Class A
  
 
977,458
79,852
  
VISION Small Cap Stock Fund, Class A
  
 
660,375
       
   
Total
 
 
6,494,163
       
   
Fixed Income Funds—33.8%
      
76,970
  
VISION Institutional Limited Duration U.S. Government Fund
  
 
765,082
90,145
  
VISION Intermediate Term Bond Fund, Class A
  
 
877,107
212,760
  
VISION U.S. Government Securities Fund, Class A
  
 
2,082,924
       
   
Total
  
 
3,725,113
       
Shares
  
 
Value
Mutual Funds—continued
      
   
Money Market Fund—6.5%
      
717,935
  
VISION Institutional Prime Money Market Fund
 
$
717,935
       
   
Total Investments
(identified cost $12,120,314 )
  
$
10,937,211
       
 

(See Notes to Portfolios of Investments)
 

32

VISION Managed Allocation Fund — Conservative Growth
Portfolio of Investments
October 31, 2002 (unaudited)
Shares
  
 
Value
Mutual Funds—98.8%
      
   
Equity Funds—24.5%
      
  22,495
  
VISION International Equity Fund, Class A
  
$
168,036
53,597
  
VISION Large Cap Core Fund, Class A
  
 
330,695
41,819
  
VISION Large Cap Value Fund, Class A
  
 
331,624
25,761
  
VISION Small Cap Stock Fund, Class A
  
 
213,046
       
   
Total
 
 
1,043,401
       
   
Fixed Income Funds—65.6%
      
114,936
  
VISION Institutional Limited Duration
U.S. Government Fund
  
 
1,142,465
43,624
  
VISION Intermediate Term Bond Fund, Class A
  
 
424,457
125,721
  
VISION U.S. Government Securities Fund, Class A
  
 
1,230,805
       
   
Total
 
 
2,797,727
       
Shares
  
 
Value
Mutual Funds—continued
      
   
Money Market Fund—8.7%
      
371,050
  
VISION Institutional Prime Money Market Fund
 
$
371,050
       
   
Total Investments
(identified cost $4,334,386)
  
$
4,212,178
       

(See Notes to Portfolios of Investments)

33

VISION New York Municipal Income Fund
Portfolio of Investments
October 31, 2002 (unaudited)
Principal Amount
  
 
Credit Rating(5)
  
Value
(4)Long-Term Municipals—98.6%
      
     
Guam—0.5%
          
$
   375,000
  
Guam Housing Corp., State Single Family Housing Revenue Bonds, (Series A), 5.75%, 9/1/2031
  
AAA/NR
  
$
     399,761
             
     
New York—96.3%
          
 
45,000
  
34th Street Partnership, Inc., NY, 5.50% (Original Issue Yield: 5.613%), 1/1/2023
  
NR/A1
  
 
45,976
 
200,000
  
Albany, NY, Housing Authority, Revenue Bond, 5.20% (Key Bank, N.A. LOC), 12/1/2013
  
NR/A1
  
 
206,974
 
150,000
  
Albany, NY, Housing Authority, Revenue Bonds, 5.40% (Key Bank, N.A. LOC), 12/1/2018
  
NR/A1
  
 
153,934
 
200,000
  
Albany, NY, Housing Authority, Revenue Bonds, 5.50% (Key Bank, N.A. LOC), 12/1/2028
  
NR/A1
  
 
204,338
 
435,000
  
Albany, NY, Parking Authority, (Series A), 5.00% (Original Issue Yield: 4.79%), 7/15/2008
  
BBB+/NR
  
 
461,161
 
500,000
  
Albany, NY, Parking Authority, (Series A), 5.625% (Original Issue Yield: 5.75%), 7/15/2025
  
BBB+/NR
  
 
511,590
 
525,000
  
Allegany County, NY, IDA, Revenue Bonds, 6.625% (Atlantic Richfield Co.)/(Original Issue Yield: 6.625%), 9/1/2016
  
AA+/Aa1
  
 
537,353
 
500,000
  
Appleridge Retirement Community, Revenue Bonds, 5.60% (GNMA Collateralized Home Mortgage Program)/(GNMA COL), 9/1/2021
  
NR/Aaa
  
 
533,495
 
10,000
  
Batavia, NY, GO UT, 6.55% (MBIA INS)/(Original Issue Yield: 6.60%), 5/1/2005
  
AAA/Aaa
  
 
11,041
 
50,000
  
Brockport, NY, CSD, GO UT, 5.40% (Original Issue Yield: 5.55%), 6/15/2011
  
AAA/Aaa
  
 
53,932
 
50,000
  
Broome County, NY, Certificate of Participation, 5.25% (MBIA INS)/(Original Issue Yield: 5.578%), 4/1/2022
  
AAA/Aaa
  
 
50,644
Principal Amount
  
 
Credit Rating(5)
  
Value
(4)Long-Term Municipals—continued
      
     
New York—continued
          
$
10,000
  
Buffalo & Fort Erie, NY, Public Bridge Authority, 6.00% (MBIA INS)/(Original Issue Yield: 5.05%), 1/1/2004
  
AAA/Aaa
  
$
10,495
 
1,000,000
  
Canton, NY, Human Services, 5.75% (Original Issue Yield: 5.80%), 9/1/2032
  
NR/Baa2
  
 
  1,019,710
 
100,000
  
Cheektowaga, NY, CSD, GO UT, 5.875% (FGIC INS)/(Original Issue Yield: 5.95%), 6/1/2014
  
NR/Aaa
  
 
111,657
 
25,000
  
East Irondequoit, NY, CSD, GO UT, 6.90%, 12/1/2002
  
NR/A1
  
 
25,106
 
50,000
  
Erie County, NY, Water Authority, (Series A), 6.00% (AMBAC INS)/(Original Issue Yield: 7.25%), 12/1/2008
  
AAA/Aaa
  
 
56,768
 
125,000
  
Holiday Square Housing Development Corp., NY, Section 8 Assisted Project 5.80% (Holiday Square Management Co.)/(FNMA COL)/(Original Issue Yield: 5.943%), 1/15/2024
  
NR/Aaa
  
 
125,412
 
20,000
  
Holland, NY, CSD, GO UT, 6.00% (FGIC INS)/(Original Issue Yield: 5.50%), 6/15/2003
  
AAA/Aaa
  
 
20,532
 
25,000
  
Housing Corp., NY, Refunding Revenue Bonds, 5.00% (Original Issue Yield: 5.60%), 11/1/2013
  
AAA/Aa3
  
 
26,090
 
100,000
  
Housing Corp., NY, Refunding Revenue Bonds, 5.00% (Original Issue Yield: 5.65%), 11/1/2018
  
AAA/Aa3
  
 
101,515
 
50,000
  
Lakewood, NY, GO UT, Public Improvement Bonds, 5.50% (Original Issue Yield: 5.70%), 4/1/2012
  
NR/Baa1
  
 
52,587
 
1,000,000
  
Mahopac, NY, CSD, GO UT, (Series C), Bonds, 5.30% (Original Issue Yield: 5.35%), 6/1/2018
  
NR/Aaa
  
 
1,066,050
 
500,000
  
Metropolitan Transportation Authority, NY, (Series A), 5.00% (FSA INS)/ (Original Issue Yield: 5.12%), 11/15/2032
  
AAA/Aaa
  
 
501,750

34

VISION New York Municipal Income Fund
Principal Amount
  
 
Credit Rating(5)
  
Value
(4)Long-Term Municipals—continued
      
     
New York—continued
          
$
1,000,000
  
Metropolitan Transportation Authority, NY, (Series A), 5.00% (MBIA INS)/ (Original Issue Yield: 5.21%), 11/15/2030
  
AAA/Aaa
  
$
  1,004,290
 
100,000
  
Monroe County, NY, GO UT, Public Improvement Bonds, 5.50% (Original Issue Yield: 5.60%), 6/1/2009
  
AA-/Aa1
  
 
109,562
 
500,000
  
Monroe County, NY, GO UT, Public Improvement Bonds, 6.00% (Original Issue Yield: 5.34%), 3/1/2016
  
AA-/A1
  
 
586,375
 
25,000
  
Monroe County, NY, IDA, Revenue Bonds, 5.80% (Nazareth College)/(MBIA INS)/(Original Issue Yield: 5.799%), 6/1/2010
  
AAA/Aaa
  
 
27,430
 
25,000
  
Monroe Woodbury, NY, CSD, GO UT, 6.70% (FGIC INS), 11/15/2010
  
AAA/Aaa
  
 
26,699
 
870,000
  
Municipal Assistance Corp. of Troy, NY, Revenue Refunding Bonds (Series A), 5.00% (Original Issue Yield: 5.40%), 1/15/2010
  
AAA/Aaa
  
 
932,710
 
375,000
  
Nassau County, NY, GO UT, 6.05% (MBIA INS)/(Original Issue Yield: 6.15%), 5/15/2004
  
AAA/Aaa
  
 
387,281
 
500,000
  
Nassau County, NY, GO UT, (Series F), 7.00% (FSA INS), 3/1/2010
  
AAA/Aaa
  
 
611,280
 
500,000
  
Nassau County, NY, GO UT, (Series X), 8.00% (MBIA INS)/(Original Issue Yield: 8.40%), 11/1/2004
  
AAA/Aaa
  
 
559,180
 
500,000
  
Nassau County, NY, Special Tax, (Series A), 5.75% (Original Issue Yield: 5.18%), 11/15/2013
  
AA-/Aa3
  
 
563,480
 
1,100,000
  
New York City, NY, Educational Construction Fund, Revenue Bonds, 5.50% (Original Issue Yield: 5.68%), 4/1/2016
  
AAA/Aaa
  
 
1,192,939
 
700,000
  
New York City, NY, GO UT, 8.25% (Original Issue Yield: 8.40%), 6/1/2006
  
A/A2
  
 
817,537
 
500,000
  
New York City, NY, GO UT, (Series A), 5.75% (Original Issue Yield: 5.79%), 5/15/2018
  
A/A2
  
 
530,790
Principal Amount
  
 
Credit Rating(5)
  
Value
(4)Long-Term Municipals—continued
      
     
New York—continued
          
$
435,000
  
New York City, NY, GO UT, (Series B), Refunding Bonds, 5.80% (Original Issue Yield: 5.88%), 8/1/2013
  
A/A2
  
$
474,254
 
230,000
  
New York City, NY, GO UT, (Series I), Bonds, 6.25% (Original Issue Yield: 5.85%), 4/15/2006
  
A/A2
  
 
253,508
 
500,000
  
New York City, NY, GO UT, (Series L), Refunding Bonds, 8.00%, 8/1/2006
  
AAA/Aaa
  
 
595,490
 
1,000,000
  
New York City, NY, Health and Hospitals Corp., (Series A), 5.45% (Original Issue Yield: 5.48%), 2/15/2026
  
BBB/A3
  
 
1,005,920
 
35,000
  
New York City, NY, Housing Development Corp., Revenue Refunding Bonds, 5.85% (FHA INS), 5/1/2026
  
AA/Aa2
  
 
35,917
 
1,710,000
  
New York City, NY, IDA, 5.85% (Nightingale-Bamford School Project)/(Original Issue Yield: 5.85%), 1/15/2020
  
A/A2
  
 
1,751,929
 
1,000,000
  
New York City, NY, IDA, Revenue Bonds, 6.00% (Terminal One Group Association)/(Original Issue Yield: 6.40%), 1/1/2015
  
BBB+/A3
  
 
1,027,400
 
595,000
  
New York City, NY, Metropolitan Transportation Authority Triborough Bridge and Tunnel Authority, Refunding Revenue Bond, 5.40% (FSA INS)/(Original Issue Yield: 5.53%), 1/1/2018
  
AAA/Aaa
  
 
661,634
 
1,450,000
  
New York City, NY, (Series B1), 7.20% (Original Issue Yield: 7.30%), 8/15/2008
  
A/A2
  
 
1,603,802
 
1,000,000
  
New York City, NY, (Series F), 5.60% (Original Issue Yield: 5.599%), 8/1/2005
  
A/A2
  
 
1,074,530
 
800,000
  
New York City, NY, (Series G), 5.75% (Original Issue Yield: 6.27%), 2/1/2014
  
A/A2
  
 
857,456
 
1,060,000
  
New York City, NY, (Series J), 6.125%, 8/1/2011
  
A/A2
  
 
  1,198,171
 
1,000,000
  
New York City, NY, Municipal Water Finance Authority, (Series C), 5.125% (Original Issue Yield: 5.43%), 6/15/2033
  
AA/Aa2
  
 
1,012,830

35

VISION New York Municipal Income Fund
Principal Amount
  
 
Credit Rating(5)
  
Value
(4)Long-Term Municipals—continued
      
     
New York—continued
          
$
1,000,000
  
New York City, NY, Municipal Water Finance Authority, (Series B), Revenue Bonds, 5.50% (MBIA INS)/(Original Issue Yield: 5.855%), 6/15/2027
  
AAA/Aaa
  
$
  1,047,870
 
1,000,000
  
New York City, NY, Transitional Finance Authority, (Series C), 5.25% (Original Issue Yield: 5.05%), 5/1/2008
  
AA+/Aa2
  
 
1,068,440
 
1,040,000
  
New York City, NY, Transitional Finance Authority, 5.25%, 5/1/2014
  
AA+/Aa2
  
 
1,116,513
 
435,000
  
New York City, NY, Transitional Finance Authority, Prerefunded Revenue Bonds, (Series B), 5.50% , 2/1/2013
  
AAA/Aaa
  
 
499,276
 
65,000
  
New York City, NY, Transitional Finance Authority, Unrefunded Revenue Bonds, (Series B), 5.50%, 2/1/2013
  
AAA/Aaa
  
 
73,309
 
135,000
  
New York City, NY, Transitional Finance Authority, Refunding Revenue Bonds, 5.50% (Original Issue Yield: 4.62%), 2/1/2011
  
AA+/Aa2
  
 
152,053
 
375,000
  
New York City, NY, Transitional Finance Authority, Prerefunded Revenue Bonds, 5.75%, 2/15/2015
  
AA+/Aa2
  
 
434,250
 
875,000
  
New York City, NY, Transitional Finance Authority, Unrefunded Revenue Bonds, 5.75%, 2/15/2015
  
AA+/Aa2
  
 
976,019
 
1,455,000
  
New York Counties Tobacco Trust II, Refunding Revenue Bonds, 5.25% (Original Issue Yield: 5.30%), 6/1/2025
  
A/A1
  
 
1,418,305
 
1,000,000
  
New York State Dormitory Authority, Health, Hospital, Nursing Home Improvement Revenue Bonds, 5.10% (AMBAC INS), 2/1/2019
  
NR/Aaa
  
 
1,031,370
 
500,000
  
New York State Dormitory Authority, Refunding Revenue Bonds, 5.00% (Original Issue Yield: 5.13%), 7/1/2032
  
AA-/A1
  
 
496,525
Principal Amount
  
 
Credit Rating(5)
  
Value
(4)Long-Term Municipals—continued
      
     
New York—continued
          
$
1,000,000
  
New York State Dormitory Authority, Refunding Revenue Bonds, 5.30% (Canisius College), 7/1/2008
  
AAA/Aaa
  
$
  1,073,740
 
20,000
  
New York State Dormitory Authority, Refunding Revenue Bonds, (Series B), 5.25% (Original Issue Yield: 5.75%), 5/15/2019
  
AA-/A3
  
 
21,736
 
1,000,000
  
New York State Dormitory Authority, Refunding Revenue Bonds, 5.30% (Rochester, NY)/(MBIA INS)/(Original Issue Yield: 5.475%), 7/1/2017
  
AAA/Aaa
  
 
1,050,750
 
100,000
  
New York State Dormitory Authority, Refunding Revenue Bonds, 7.15%
(R & J Jewish Geriatric Center)/(FHA INS), 8/1/2014
  
AAA/NR
  
 
110,235
 
20,000
  
New York State Dormitory Authority, Revenue Bonds, 5.00% (Rochester University-Strong Memorial Hospital), 7/1/2005
  
AAA/NR
  
 
21,564
 
1,000,000
  
New York State Dormitory Authority, Revenue Bonds, 5.125% (FSA INS)/ (Original Issue Yield: 5.33%), 8/15/2017
  
AAA/Aaa
  
 
1,041,910
 
180,000
  
New York State Dormitory Authority, Revenue Bonds, 5.85% (Arden Hill)/(FHA INS), 8/1/2026
  
AAA/NR
  
 
204,941
 
415,000
  
New York State Dormitory Authority, Revenue Bonds, 5.85% (Wesley Health System)/(FHA INS), 8/1/2026
  
AAA/NR
  
 
441,602
 
100,000
  
New York State Dormitory Authority, Revenue Bonds, 6.00% (State University of New York), 5/15/2008
  
AA-/A3
  
 
114,200
 
1,000,000
  
New York State Dormitory Authority, Revenue Bonds, 6.05% (Lutheran Center at Poughkeepsie)/(Key Bank of New York LOC)/(Original Issue Yield: 6.08%), 7/1/2026
  
NR/A1
  
 
1,060,960
 
2,315,000
  
New York State Dormitory Authority, Revenue Bonds, (Series A), 7.50%, 5/15/2013
  
AA-/A3
  
 
3,011,977

36

VISION New York Municipal Income Fund
Principal Amount
  
 
Credit Rating(5)
  
Value
(4)Long-Term Municipals—continued
      
     
New York—continued
          
$
275,000
  
New York State Dormitory Authority, Schools Program, 5.10% (Original Issue Yield: 5.14%), 7/1/2011
  
AA-/Baa1
  
$
304,598
 
1,500,000
  
New York State Dormitory Authority, (Series C), 5.30% (Original Issue Yield: 5.45%), 5/15/2004
  
AA-/A3
  
 
  1,611,015
 
1,575,000
  
New York State Dormitory Authority, (Series C), 7.375% (Original Issue Yield: 7.471%), 5/15/2010
  
AA-/A3
  
 
1,893,560
 
425,000
  
New York State Dormitory Authority, (Series C), 7.375% (Original Issue Yield: 7.471%), 5/15/2010
  
AA-/A3
  
 
527,944
 
1,000,000
  
New York State Dormitory Authority, United Health Services, 5.375% (AMBAC INS)/(Original Issue Yield: 5.573%), 8/1/2027
  
AAA/Aaa
  
 
1,028,300
 
545,000
  
New York State Environmental Facilities Corp., (Series A), 5.00%, 10/15/2015
  
AAA/Aaa
  
 
586,587
 
35,000
  
New York State Environmental Facilities Corp., (Series C), 6.40% (Original Issue Yield: 6.40%), 9/15/2006
  
AAA/Aaa
  
 
35,482
 
1,055,000
  
New York State Environmental Facilities Corp., (Series C), PCRB, 5.85%, 1/15/2015
  
AAA/Aaa
  
 
1,165,817
 
1,500,000
  
New York State Environmental Facilities Corp., (Series G), 5.25% (Original Issue Yield: 4.39%), 10/15/2010
  
AAA/Aaa
  
 
1,626,390
 
75,000
  
New York State Environmental Facilities Corp., Refunding Revenue Bonds, 5.20% (Original Issue Yield: 5.20%), 5/15/2014
  
AAA/Aaa
  
 
83,429
 
75,000
  
New York State Environmental Facilities Corp., Refunding Revenue Bonds, 5.20% (Original Issue Yield: 5.20%), 5/15/2014
  
AAA/Aaa
  
 
83,105
Principal Amount
  
 
Credit Rating(5)
  
Value
(4)Long-Term Municipals—continued
      
     
New York—continued
          
$
25,000
  
New York State Environmental Facilities Corp., Solid Waste Disposal Revenue Bonds
(Series A), 5.70% (Occidental Petroleum Corp.)/(Original Issue Yield: 5.75%), 9/1/2028
  
BBB/Baa2
  
$
24,731
 
100,000
  
New York State HFA, Refunding Revenue Bonds, 7.90% (United States Treasury COL), 11/1/2006
  
AAA/Aaa
  
 
111,774
 
885,000
  
New York State HFA, (Series A), Service Contract Obligation Revenue Bonds, 6.375% (Original Issue Yield: 6.45%), 9/15/2015
  
AAA/NR
  
 
1,031,414
 
635,000
  
New York State HFA, Prerefunded Revenue Bonds, (Series A), 6.25% (Original Issue Yield: 6.35%), 9/15/2010
  
AAA/NR
  
 
728,897
 
365,000
  
New York State HFA, Unrefunded Revenue Bonds, (Series A), 6.25% (Original Issue Yield: 6.35%), 9/15/2010
  
AA-/NR
  
 
409,004
 
25,000
  
New York State HFA,
(Series A), 6.90%, 8/15/2007
  
NR/Aa1
  
 
25,557
 
1,000,000
  
New York State HFA, (Series A), 7.75% (FHA INS)/(Original Issue Yield: 7.748%), 2/15/2005
  
NR/A2
  
 
1,083,560
 
1,000,000
  
New York State Local Government Assistance Corp., (Series A), 6.00% (Original Issue Yield: 6.106%), 4/1/2016
  
AA-/A1
  
 
  1,091,090
 
50,000
  
New York State Medical Care Facilities Finance Agency, Hospital and Nursing Home, Revenue Bonds, 5.95% (FHA INS)/(Original Issue Yield: 6.00%), 2/15/2010
  
AAA/NR
  
 
54,032
 
30,000
  
New York State Medical Care Facilities Finance Agency, Hospital & Nursing Home Revenue Bonds (Series B), 6.00% (Buffalo General Hospital)/(FHA INS)/(Original Issue Yield: 6.219%), 8/15/2014
  
AAA/NR
  
 
32,313

37

VISION New York Municipal Income Fund
Principal Amount
  
 
Credit Rating(5)
  
Value
(4)Long-Term Municipals—continued
      
     
New York—continued
          
$
25,000
  
New York State Medical Care Facilities Finance Agency, Refunding Revenue Bonds, 5.75% (FHA INS)/(Original Issue Yield: 5.85%), 2/15/2008
  
AAA/NR
  
$
27,109
 
865,000
  
New York State Mortgage Agency, Refunding Revenue Bonds, 5.70% (Original Issue Yield: 5.70%), 4/1/2011
  
NR/Aa1
  
 
914,366
 
500,000
  
New York State Mortgage Agency, (Series 67), 5.80% (Original Issue Yield: 5.799%), 10/1/2028
  
NR/Aa1
  
 
535,945
 
300,000
  
New York State Mortgage Agency, Refunding Revenue Bonds (Series 53), 5.25%, 10/1/2006
  
NR/Aa1
  
 
323,379
 
400,000
  
New York State Power Authority, Revenue Bonds (Series A), 5.25% (Original Issue Yield: 5.38%), 11/15/2030
  
AA-/Aa2
  
 
409,068
 
1,000,000
  
New York State Thruway Authority, (Series A), 5.125% (Original Issue Yield: 4.601%), 4/1/2011
  
AAA/Aaa
  
 
1,092,380
 
1,000,000
  
New York State Thruway Authority, (Series B), 5.00% (Original Issue Yield: 5.35%), 4/1/2007
  
AAA/Aaa
  
 
1,048,270
 
1,000,000
  
New York State Thruway Authority, Highway & Bridge Transportation Fund Revenue Bonds (Series A), 6.00% (Original Issue Yield: 5.69%), 4/1/2015
  
AAA/Aaa
  
 
  1,146,810
 
1,000,000
  
New York State Thruway Authority, Highway & Bridge Transportation Fund Revenue Bonds (Series A), 6.25% (FSA INS), 4/1/2011
  
AAA/Aaa
  
 
1,179,140
 
1,000,000
  
New York State Urban Development Corp., Refunding Revenue Bonds, 5.75% (Original Issue Yield: 5.35%), 7/1/2009
  
AAA/Aaa
  
 
1,116,600
 
25,000
  
Niagara Falls, NY, Bridge Commission, (Series B), 5.25% (FGIC INS)/ (Original Issue Yield: 5.35%), 10/1/2015
  
AAA/Aaa
  
 
27,820
Principal Amount
  
 
Credit Rating(5)
  
Value
(4)Long-Term Municipals—continued
      
     
New York—continued
          
$
20,000
  
Niagara Frontier Transportation Authority, Revenue Bonds, 6.00% (Greater Buffalo International Airport)/(AMBAC INS)/(Original Issue Yield: 6.15%), 4/1/2007
  
AAA/Aaa
  
$
21,208
 
1,000,000
  
North Babylon Union Free School District, NY, (Series A), 5.50% (FGIC INS)/(Original Issue Yield: 5.57%), 2/15/2017
  
NR/Aaa
  
 
  1,082,000
 
340,000
  
Onondaga County, NY, IDA, (Series A), 4.00% (Original Issue Yield: 3.83%), 12/1/2004
  
NR/Baa2
  
 
350,703
 
85,000
  
Onondaga County, NY, IDA, University and College Improvements Revenue Bonds, 5.00%, 3/1/2009
  
NR/Baa2
  
 
88,550
 
1,580,000
  
Orange County, NY, GO UT, 5.10% (Original Issue Yield: 5.29%), 7/15/2019
  
NR/Aa1
  
 
1,642,868
 
170,000
  
Riverton Housing Corp., Revenue Bonds, 6.65% (FHA INS), 8/1/2024
  
AA-/NR
  
 
189,060
 
155,000
  
Schenectady, NY, IDA, (Series A), 5.45% (Union College)/(AMBAC INS)/ (Original Issue Yield: 5.467%), 12/1/2029
  
NR/Aaa
  
 
162,352
 
10,000
  
Spackenkill, NY, Unified Free School District, GO UT, 6.125%, 9/15/2014
  
NR/A1
  
 
11,744
 
10,000
  
Springville, NY, GO UT, 7.90%, 8/1/2003
  
NR/Baa1
  
 
10,435
 
1,000,000
  
Suffolk County, NY, GO UT, (Series A), Recreational Facilities, 5.25% (FGIC INS)/(Original Issue Yield: 4.92%), 8/1/2013
  
AAA/Aaa
  
 
1,119,890
 
225,000
  
Syracuse, NY, GO UT, (Series A), Refunding Bonds, 5.125%, 2/15/2009
  
BBB/Baa1
  
 
244,159
 
500,000
  
Syracuse, NY, GO UT, (Series C), 5.50% (FGIC INS), 1/1/2009
  
AAA/Aaa
  
 
549,045
 
1,500,000
  
TSASC, Inc. NY, Cash flow management, Public Improvements, 6.25%, 7/15/2027
  
A+/Aa
  
 
1,579,845
 
65,000
  
Tompkins County, NY, GO UT, (Series B), 5.625% (Original Issue Yield: 5.80%), 9/15/2013
  
NR/Aa2
  
 
68,201

38

VISION New York Municipal Income Fund
Principal Amount
  
 
Credit Rating(5)
  
Value
(4)Long-Term Municipals—continued
      
     
New York—continued
          
$
955,000
  
Tompkins County, NY, IDA, Revenue Bonds, 6.05% (Ithacare Center Project)/(FHA INS), 2/1/2017
  
AAA /NR
  
$
1,038,075
 
280,000
  
Tompkins, NY, Health Care Corp., 10.80% (FHA INS), 2/1/2028
  
A/NR
  
 
     328,227
 
640,000
  
Triborough Bridge & Tunnel Authority, NY, (Series A), 5.00% (Original Issue Yield: 5.24%), 1/1/2027
  
AA-/Aa3
  
 
642,995
 
725,000
  
Triborough Bridge & Tunnel Authority, NY, (Series A), 6.00% (Original Issue Yield: 4.98%), 1/1/2010
  
AA-/Aa3
  
 
843,712
 
100,000
  
Triborough Bridge & Tunnel Authority, NY, (Series B), 5.125% (Original Issue Yield: 4.73%), 11/15/2012
  
AA-/Aa3
  
 
101,409
 
540,000
  
Triborough Bridge & Tunnel Authority, NY, (Series Y), Refunding Bond, 5.50% (Original Issue Yield: 6.16%), 1/1/2017
  
AA-/Aa3
  
 
613,850
 
3,500,000
  
Triborough Bridge & Tunnel Authority, NY, (Series Y), Refunding Revenue Bond, 6.125% (CapMAC Holdings, Inc.)/(CapMAC Holdings, Inc. LOC)/(Original Issue Yield: 6.20%), 1/1/2021
  
AAA/Aaa
  
 
4,173,330
 
285,000
  
Triborough Bridge & Tunnel Authority, NY, Refunding Revenue Bonds, 6.75% (Original Issue Yield: 6.821%), 1/1/2009
  
AA-/Aa3
  
 
337,329
 
270,000
  
Utica, NY, Industrial Development Agency Civic Facility, (Series A), Revenue Bond, 5.50% (Munson Williams Proctor), 7/15/2029
  
NR/Aa3
  
 
281,251
Principal Amount
  
 
Credit Rating(5)
  
Value
(4)Long-Term Municipals—continued
      
     
New York—continued
          
$
320,000
  
Utica, NY, Industrial Development Agency Civic Facility, (Series A), 5.375% (Munson Williams Proctor)/(Original Issue Yield: 5.45%), 7/15/2019
  
NR/Aa3
  
$
337,722
 
510,000
  
Utica, NY, Industrial Development Agency Civic Facility, 5.50%, (ACA INS), 8/15/2013
  
A/NR
  
 
548,882
 
   350,000
  
Valley Center School District, GO UT, 7.15% (AMBAC INS)/(Original Issue Yield: 7.10%), 6/15/2005
  
AAA/Aaa
  
 
394,251
 
1,000,000
  
Webster, NY, CSD, GO UT, 5.125% (FGIC INS)/(Original Issue Yield: 5.40%), 6/15/2019
  
NR/Aaa
  
 
1,041,390
 
50,000
  
West Seneca, NY, CSD, GO UT, 5.625% (FGIC INS)/(Original Issue Yield: 5.70%), 6/15/2011
  
NR/Aaa
  
 
55,184
             
     
Total
      
 
80,475,202
             
     
Puerto Rico—0.0%
          
 
25,000
  
Puerto Rico Industrial, Medical & Environmental PCA, Revenue Bonds, 5.10% (American Home Products Corp.)/(Original Issue Yield: 5.30%), 12/1/2018
  
NR/A3
  
 
25,588
             
     
Wisconsin—1.8%
          
 
1,500,000
  
Badger, WI, Tobacco Asset Securitization Corp., Refunding Revenue Bonds, 6.125%, 6/1/2027
  
A/A1
  
 
1,444,650
             
     
Total Investments
(identified cost $78,742,389)
  
$
82,345,201
             

(See Notes to Portfolios of Investments)

39

VISION Pennsylvania Municipal Income Fund
Portfolio of Investments
October 31, 2002 (unaudited)

 
Principal Amount
  
 
Credit Rating(5)
  
Value
(4)Long-Term Municipals—95.7%
          
     
Pennsylvania—95.7%
          
$
1,185,000
  
Adams County, PA, GO UT, Refunding Notes, 5.30% (FGIC INS)/(Original Issue Yield: 5.42%), 11/15/2019
  
AAA/Aaa
  
$
  1,337,047
 
1,450,000
  
Allegheny County, PA, Airport Authority, Refunding Revenue Bonds, 5.75% (MBIA INS)/(Original Issue Yield: 4.85%), 1/1/2006
  
AAA/Aaa
  
 
1,578,470
 
1,365,000
  
Allegheny County, PA, GO UT Refunding Bonds
(Series C-53), 5.40% (FGIC INS)/(Original Issue Yield: 5.44%), 11/1/2019
  
AAA/Aaa
  
 
1,453,070
 
435,000
  
Allegheny County, PA, Higher Education Building Authority, Duquesne University Project, 5.125%, 3/1/2013
  
NR/Aaa
  
 
480,914
 
2,500,000
  
Allegheny County, PA, Port Authority, Refunding Revenue Bonds, 6.00% (MBIA INS)/(Original Issue Yield: 6.125%), 3/1/2024
  
AAA/Aaa
  
 
2,917,950
 
870,000
  
Allegheny County, PA, Residential Finance Agency, Revenue Bond, 5.15%, 11/1/2016
  
NR/Aaa
  
 
897,048
 
1,210,000
  
Belle Vernon, PA, Area School District, GO UT, 6.00% (FGIC INS)/(Original Issue Yield: 6.09%), 4/1/2021
  
AAA/Aaa
  
 
1,405,464
 
1,330,000
  
Berks County, PA, Municipal Authority, Refunding Revenue Bonds, 7.10% (FGIC INS)/(Original Issue Yield: 7.226%), 5/15/2022
  
AAA/Aaa
  
 
1,438,089
 
1,000,000
  
Blair County, PA, (Series A), 5.00% (AMBAC INS)/(Original Issue Yield: 3.45%), 8/1/2007
  
NR/Aaa
  
 
1,099,880
 
1,000,000
  
Butler County, PA, IDA, GO UT, 6.00% (FGIC INS)/(Original Issue Yield: 6.00%), 7/15/2011
  
AAA/Aaa
  
 
1,178,350
 
1,070,000
  
Charleroi, PA, Area School District, (Series C), 5.75% (FGIC INS)/(Original Issue Yield: 5.90%), 10/1/2014
  
AAA/NR
  
 
1,237,701
Principal Amount
  
 
Credit Rating(5)
  
Value
(4)Long-Term Municipals—continued
          
     
Pennsylvania—continued
          
$
1,330,000
  
Charleroi, PA, Area School District, (Series C), 6.00% (FGIC INS), 10/1/2017
  
AAA/NR
  
$
  1,557,779
 
2,000,000
  
Commonwealth of Pennsylvania, GO UT, 5.25% (Original Issue Yield: 4.69%), 10/15/2008
  
AA/Aa2
  
 
2,237,480
 
2,150,000
  
Commonwealth of Pennsylvania, GO UT, 5.75%, 1/15/2009
  
AA/Aa2
  
 
2,447,689
 
3,000,000
  
Commonwealth of Pennsylvania, GO UT, 6.00% (Original Issue Yield: 5.96%), 1/15/2018
  
AA/Aa2
  
 
3,377,670
 
475,000
  
Commonwealth of Pennsylvania, GO UT, (2nd Series), 5.10% (FSA INS)/(Original Issue Yield: 5.20%), 5/1/2022
  
AAA/Aaa
  
 
484,970
 
640,000
  
Conestoga Valley, PA, School District, GO UT, (Series A), 4.50% (FGIC INS)/(Original Issue Yield: 2.95%), 5/1/2005
  
NR/Aaa
  
 
677,990
 
1,510,000
  
Dover, PA, Area School District, GO UT, (Refunding Bonds), 5.00% (FGIC INS), 4/1/2015
  
NR/Aaa
  
 
1,601,989
 
1,365,000
  
Greater Johnstown, PA, School District, GO UT, 5.00% (FGIC INS), 2/1/2009
  
AAA
  
 
1,491,385
 
710,000
  
Greene County, PA, IDA, Refunding Revenue Bonds, 4.75% (MBIA INS)/ (Original Issue Yield: 4.749%), 2/1/2007
  
AAA/Aaa
  
 
766,417
 
505,000
  
Harbor Creek, PA, School District, (Series C), 4.00% (FGIC INS)/(Original Issue Yield: 3.25%), 8/1/2006
  
AAA/Aaa
  
 
534,502
 
1,300,000
  
Indiana County, PA, IDA, (Series A), 5.875% (AMBAC INS)/(Original Issue Yield: 6.04%), 11/1/2029
  
AAA/Aaa
  
 
1,395,485
 
795,000
  
Keystone, PA, Central School District, GO UT, 2.80%, 9/1/2004
  
A/NR
  
 
806,536
 
2,000,000
  
Lancaster County, PA, (Series A), 5.60% (FGIC INS)/(Original Issue Yield: 5.65%), 5/1/2012
  
NR/Aaa
  
 
2,250,380
 
1,500,000
  
Manheim, PA, Central School District, GO UT, 4.95% (FGIC INS), 6/1/2011
  
NR/Aaa
  
 
1,549,665

40

VISION Pennsylvania Municipal Income Fund
Principal Amount
  
 
Credit Rating(5)
  
Value
(4)Long-Term Municipals—continued
          
     
Pennsylvania—continued
          
$
   890,000
  
Millville, PA, Area School District, GO UT, 5.75% (AMBAC INS)/(Original Issue Yield: 5.748%), 6/1/2017
  
AAA/Aaa
  
$
     973,251
 
1,500,000
  
Montgomery County, PA, IDA, Refunding Revenue Bonds, 5.35% (MBIA INS)/(Original Issue Yield: 5.46%), 8/15/2027
  
NR/Aaa
  
 
1,526,280
 
1,000,000
  
North Penn, PA, School District, GO UT, 4.00% (FSA INS)/(Original Issue Yield: 3.999%), 9/1/2004
  
NR/Aaa
  
 
1,040,180
 
555,000
  
Northern Tioga, PA, School District, GO UT, 4.40% (Original Issue Yield: 4.45%), 9/15/2012
  
AAA/Aaa
  
 
561,793
 
630,000
  
Owen J. Roberts School District, PA, GO UT, Prerefunded (Series A), Bonds, 5.375% (Original Issue Yield: 5.50%), 5/15/2018
  
AAA/Aaa
  
 
702,815
 
870,000
  
Owen J. Roberts School District, PA, GO UT, Unrefunded (Series A), Bonds, 5.375% (Original Issue Yield: 5.50%), 5/15/2018
  
AAA/Aaa
  
 
917,711
 
1,000,000
  
Oxford, PA, School District, (Series A), 4.00% (FGIC INS)/(Original Issue Yield: 3.25%), 2/15/2005
  
AAA/Aaa
  
 
1,044,500
 
1,000,000
  
Parkland, PA, School District, GO UT, 5.25% (FGIC INS)/(Original Issue Yield: 3.80%), 9/1/2004
  
NR/Aaa
  
 
1,062,630
 
1,410,000
  
Pennsylvania HFA,
(Series 58A), 5.85%, 4/1/2017
  
AA+/Aa2
  
 
1,466,555
 
2,000,000
  
Pennsylvania HFA,
(Series 68A), 6.10%, 4/1/2021
  
AA+/Aa2
  
 
2,102,880
 
1,115,000
  
Pennsylvania HFA,
(Series 69A), 6.15% (FHA/VA MTGS LOC), 10/1/2020
  
AA+/Aa2
  
 
1,180,428
 
1,295,000
  
Pennsylvania HFA,
(Series 70A), 5.80%, 10/1/2021
  
AA+/Aa2
  
 
1,353,353
 
1,170,000
  
Pennsylvania HFA,
(Series 72A), 3.80% (Original Issue Yield: 3.80%), 10/1/2005
  
AA+/Aa2
  
 
1,209,008
Principal Amount
  
 
Credit Rating(5)
  
Value
(4)Long-Term Municipals—continued
          
     
Pennsylvania—continued
          
$
2,000,000
  
Pennsylvania Intergovernmental Coop Authority, Special Tax, 5.25% (FGIC INS)/(Original Issue Yield: 5.012%), 6/15/2015
  
AAA/Aaa
  
$
  2,162,820
 
1,475,000
  
Pennsylvania State, 5.00%, 8/1/2016
  
AA/Aa2
  
 
1,541,242
 
1,000,000
  
Pennsylvania State, GO UT, 6.00% (Original Issue Yield: 5.47%), 1/15/2011
  
AA/Aa2
  
 
1,159,150
 
1,000,000
  
Pennsylvania State Higher Education Assistance Agency, (Series 2002 A), 2.35% TOBs (FSA INS)/(Bayerische Landesbank Girozentrale, Lloyds TSB Bank PLC, London, State Street Bank and Trust Co. LIQ) and WestLB AG LOCs), Optional Tender (7/1/2003 @100)
  
AAA/Aaa
  
 
1,002,030
 
250,000
  
Pennsylvania State Higher Education Facilities Authority, Refunding Revenue Bonds, 5.25% (AMBAC INS)/(Original Issue Yield: 4.06%), 12/1/2012
  
AAA/Aaa
  
 
281,798
 
425,000
  
Pennsylvania State Higher Education Facilities Authority, University and College Improvement Bonds, 5.25% (Temple University)/(MBIA INS), 4/1/2014
  
AAA/Aaa
  
 
455,881
 
800,000
  
Pennsylvania State IDA, Refunding Revenue Bonds, 4.50% (AMBAC INS), 7/1/2008
  
AAA/Aaa
  
 
859,920
 
1,000,000
  
Pennsylvania State Turnpike Commission, (Series S), 5.625% (FGIC INS)/(Original Issue Yield: 4.77%), (6/1/2011 @101)
  
AAA/Aa3
  
 
1,140,990
 
1,000,000
  
Pennsylvania State University, Refunding Revenue Bonds, 5.00%, 8/15/2006
  
AA/Aa2
  
 
1,094,920
 
2,000,000
  
Pennsylvania State University, Refunding Revenue Bonds, 5.25%, 8/15/2013
  
AA/Aa2
  
 
2,242,360

41

VISION Pennsylvania Municipal Income Fund
    
Principal Amount
  
 
Credit Rating(5)
  
Value
(4)Long-Term Municipals—continued
          
     
Pennsylvania—continued
          
$
1,000,000
  
Pennsylvania State University, Refunding Revenue Bonds, 5.25% (Original Issue Yield: 4.67%), 8/15/2016
  
AA/Aa2
  
$
  1,109,550
 
1,000,000
  
Peters Township, PA, School District, (Series B), 5.00% (FSA INS), 9/1/2016
  
AAA/Aaa
  
 
1,051,750
 
1,000,000
  
Philadelphia, PA, Authority for Industrial Development, (Series B), 5.25% (FSA INS)/(Original Issue Yield: 4.50%), 10/1/2010
  
AAA/Aaa
  
 
1,115,310
 
1,000,000
  
Philadelphia, PA, GO UT, 5.25% (FSA INS)/(Original Issue Yield: 4.59%), 3/15/2011
  
AAA/Aaa
  
 
1,081,860
 
1,520,000
  
Philadelphia, PA, School District, GO UT, 5.50% (AMBAC INS)/(Original Issue Yield: 5.88%), 9/1/2015
  
AAA/Aaa
  
 
1,694,298
 
1,900,000
  
Philadelphia, PA, Water & Wastewater System, Refunding Revenue Bonds, 5.625% (MBIA INS)/(Original Issue Yield: 5.81%), 6/15/2009
  
AAA/Aaa
  
 
2,161,497
 
2,000,000
  
Philadelphia, PA, Water & Wastewater System,
(Series A), 5.00% (AMBAC INS)/(Original Issue Yield: 5.25%), 8/1/2013
  
AAA/Aaa
  
 
2,129,980
 
500,000
  
Pittsburgh, PA, School District, GO UT, 5.25% (FSA INS)/(Original Issue Yield: 4.12%), 9/1/2009
  
AAA/Aaa
  
 
559,905
Principal Amount or Shares
  
 
Credit Rating(5)
  
Value
(4)Long-Term Municipals—continued
          
     
Pennsylvania—continued
          
$
2,500,000
  
Radnor Township, PA, School District, GO UT, 5.75% (Original Issue Yield: 5.92%), 3/15/2019
  
NR/Aa3
  
$
  2,706,600
 
500,000
  
Southeastern, PA, Transportation Authority, (Series A) Revenue Bonds, 5.25%, 3/1/2013
  
AAA/Aaa
  
 
547,785
 
2,335,000
  
State Public School Building Authority, PA, Revenue Bonds, (Butler Community College), 5.95% (AMBAC INS)/(Original Issue Yield: 6.014%), 7/15/2020
  
AAA/Aaa
  
 
2,729,475
 
1,000,000
  
Tredyffrin-Easttown, PA, School District, GO UT, 5.00% (Original Issue Yield: 3.92%), 2/15/2009
  
NR/Aaa
  
 
1,098,350
 
1,000,000
  
Wilson, PA, School District, 5.00% (FSA INS), 5/15/2012
  
NR/Aaa
  
 
1,101,560
             
     
Total Long-Term Municipals
(identified cost $77,109,226)
      
 
82,374,335
             
Mutual Fund—3.3%
          
 
2,833,368
  
Federated Pennsylvania Municipal Cash Trust, (Series IS) (at net asset value)
      
 
2,833,368
             
     
Total Investments
(identified cost $79,942,594)
      
$
85,207,703
             

(See Notes to Portfolios of Investments)

42

VISION Intermediate Term Bond Fund
Portfolio of Investments
October 31, 2002 (unaudited)
Principal Amount
  
 
Value
Asset-Backed Securities—1.4%
      
$2,000,000
  
GMAC Mortgage Corp. Loan Trust 2002-HE2, Class A4, 6.00%, 6/25/2027 (identified cost $2,051,250)
  
$
    2,168,500
       
Corporate Bonds—24.3%
      
1,000,000
  
Allstate Corp., Deb.,
7.50%, 6/15/2013
  
 
1,158,340
2,000,000
  
American General Finance Corp., MTN, 5.875%, 7/14/2006
  
 
2,115,100
2,000,000
  
Associates Corp. of North America, Sub. Deb., 6.875%, 11/15/2008
  
 
2,210,000
1,500,000
  
Bank of America Corp., Sub. Note,
7.80%, 2/15/2010
  
 
1,770,540
1,000,000
  
Boeing Capital Corp., MTN,
6.35%, 11/15/2007
  
 
1,059,730
1,000,000
  
Caterpillar Financial Services Corp., Note, 7.59%, 12/10/2003
  
 
1,055,600
2,000,000
  
Citigroup, Inc., Note,
5.75%, 5/10/2006
  
 
2,135,480
1,000,000
  
Coca-Cola Enterprises, Inc., Deb.,
6.75%, 9/15/2028
  
 
1,074,840
1,000,000
  
ConocoPhillips, Note,
6.375%, 3/30/2009
  
 
1,106,330
2,000,000
  
Countrywide Home Loans, Inc., Note, 5.50%, 8/1/2006
  
 
2,076,500
1,000,000
  
Disney (Walt) Co., Note,
6.375%, 3/1/2012
  
 
1,072,340
1,000,000
  
First Data Corp., MTN,
6.375%, 12/15/2007
  
 
1,123,350
1,000,000
  
Gannett Co., Inc., Note,
4.95%, 4/1/2005
  
 
1,063,290
1,000,000
  
General Electric Capital Corp., MTN, 6.75%, 3/15/2032
  
 
1,054,780
1,000,000
  
Honeywell International, Inc., Note, 7.50%, 3/1/2010
  
 
1,140,380
1,000,000
  
Ingersoll-Rand Co., MTN, (Series B), 6.51%, 12/1/2004
  
 
1,073,400
1,200,000
  
International Business Machines Corp., Deb., 7.50%, 6/15/2013
  
 
1,446,888
1,000,000
  
Kraft Foods, Inc., Note,
6.25%, 6/1/2012
  
 
1,111,260
1,000,000
  
National City Corp., Sub. Note,
6.875%, 5/15/2019
  
 
1,066,840
1,000,000
  
National Rural Utilities Cooperative Finance Corp., Collateral Trust Bond, 6.00%, 5/15/2006
  
 
1,065,390
1,000,000
  
New York Telephone Co., Deb.,
6.00%, 4/15/2008
  
 
1,028,250
1,000,000
  
Occidental Petroleum Corp., Sr. Note, 7.375%, 11/15/2008
  
 
1,158,620
1,000,000
  
PP&L Capital Funding, Inc., MTN,
(Series C), 7.75%, 4/15/2005
  
 
1,052,440
1,500,000
  
SLM Corporation, Note,
5.625%, 4/10/2007
  
 
1,639,260
1,000,000
  
Target Corp., Note, 7.50%, 8/15/2010
  
 
1,168,330
Principal Amount
  
 
Value
Corporate Bonds—continued
      
$1,000,000
  
U.S. Bank, N.A., 6.300%, 7/15/2008
  
$
    1,123,320
1,000,000
  
Union Pacific Corp., Note,
5.75%, 10/15/2007
  
 
1,081,570
1,000,000
  
Washington Mutual, Inc., Note,
7.50%, 8/15/2006
  
 
1,123,420
1,000,000
  
Wyeth, Note, 6.70%, 3/15/2011
  
 
1,090,520
       
   
Total Corporate Bonds
(identified cost $35,733,007)
  
 
37,446,108
       
Government Agencies—20.4%
      
   
Federal Farm Credit Bank—0.6%
      
1,000,000
  
2.500%, 11/15/2005
  
 
999,100
       
   
Federal Home Loan Bank—4.0%
      
1,500,000
  
3.750%, 8/15/2007
  
 
1,536,345
4,000,000
  
6.500%, 11/13/2009
  
 
4,613,800
       
   
Total
  
 
6,150,145
       
   
Federal Home Loan Mortgage Corporation—4.5%
      
2,500,000
  
5.125%, 8/20/2012
  
 
2,509,350
2,000,000
  
5.375%, 8/16/2006
  
 
2,101,820
2,000,000
  
6.750%, 3/15/2031
  
 
2,300,580
       
   
Total
  
 
6,911,750
       
   
Federal National Mortgage Association—10.2%
      
2,000,000
  
4.100%, 2/15/2005
  
 
2,010,760
1,000,000
  
4.750%, 1/2/2007
  
 
1,050,800
3,000,000
  
4.750%, 6/18/2007
  
 
3,105,330
2,000,000
  
4.900%, 6/13/2007
  
 
2,136,570
2,000,000
  
5.250%, 3/22/2007
  
 
2,079,020
3,000,000
  
5.625%, 2/28/2012
  
 
3,122,400
2,000,000
  
6.000%, 12/15/2005
  
 
2,208,480
       
   
Total
  
 
15,713,360
       
   
Student Loan Marketing Association—1.1%
      
1,500,000
  
5.250%, 3/15/2006
  
 
1,624,080
       
   
Total Government Agencies
(identified cost $30,226,349)
  
 
31,398,435
       
Mortgage-Backed Securities—38.3%
      
   
Federal Home Loan Mortgage Corporation—12.0%
      
3,983,990
  
5.000%, 10/1/2017
  
 
4,058,690
29,660
  
5.500%, 4/1/2014
  
 
30,912
2,074,109
  
6.000%, 4/1/2016
  
 
2,162,902
4,950,138
  
6.000%, 7/1/2029
  
 
5,109,483
2,633,416
  
6.500%, 12/1/2021
  
 
2,743,704
4,195,731
  
7.500%, 9/1/2019
  
 
4,450,076
       
   
Total
  
 
18,555,767
       
   
Federal National Mortgage Association—14.8%
      
2,770,364
  
5.000%, 2/1/2009
  
 
2,853,475
4,668,265
  
5.500%, 7/1/2009
  
 
4,850,608

43

VISION Intermediate Term Bond Fund
Principal Amount
  
 
Value
Mortgage-Backed Securities—continued
      
   
Federal National Mortgage Association—continued
      
$3,989,004
  
6.000%, 10/1/2032
  
$
    4,101,174
3,000,000
  
6.000%, 12/1/2032
  
 
3,084,360
2,263,582
  
6.500%, 11/1/2030
  
 
2,345,637
1,054,123
  
7.000%, 12/1/2011
  
 
1,123,958
4,179,473
  
7.000%, 3/1/2032
  
 
4,368,844
       
   
Total
  
 
22,728,056
       
   
Government National Mortgage Association—11.5%
      
4,274,085
  
6.000%, 3/20/2031
  
 
4,414,318
3,949,301
  
6.500%, 7/15/2028
  
 
4,138,117
3,995,585
  
6.500%, 1/20/2029
  
 
4,169,153
2,512,691
  
7.000%, 7/20/2028
  
 
2,644,607
2,171,101
  
7.000%, 12/15/2030
  
 
2,290,512
       
   
Total
  
 
17,656,707
       
   
Total Mortgage-Backed Securities
(identified cost $56,600,095)
  
 
58,940,530
       
Principal Amount or Shares
  
 
Value
U.S. Treasury Obligations—13.8%
      
   
U.S. Treasury Bonds—5.0%
      
$2,000,000
  
7.500%, 11/15/2016
  
$
    2,580,140
1,500,000
  
8.125%, 8/15/2019
  
 
2,052,780
1,000,000
  
8.125%, 5/15/2021
  
 
1,378,500
1,000,000
  
10.625%, 8/15/2015
  
 
1,600,480
       
   
Total
  
 
7,611,900
       
   
U.S. Treasury Notes—8.8%
      
2,000,000
  
5.500%, 5/15/2009
  
 
2,256,380
5,000,000
  
5.625%, 5/15/2008
  
 
5,659,350
2,000,000
  
5.750%, 11/15/2005
  
 
2,212,240
3,000,000
  
6.000%, 8/15/2009
  
 
3,462,840
       
   
Total
  
 
13,590,810
       
   
Total U.S. Treasury Obligations
(identified cost $20,006,064)
  
 
21,202,710
       
Mutual Fund—4.3%
      
6,545,263
  
Seven Seas Money Market Fund
(at net asset value)
  
 
6,545,263
       
   
Total Investments
(identified cost $151,162,028)
  
$
157,701,546
       
 

(See Notes to Portfolios of Investments)

44

VISION U.S. Government Securities Fund
Portfolio of Investments
October 31, 2002 (unaudited)

 
Principal Amount
  
 
Value
Asset-Backed Securities—0.1%
      
$     35,555
  
Guaranteed Export Trust, Class C,
5.200%, 10/15/2004
  
$
         36,535
21,312
  
Provident Bank Home Equity Loan Trust 1996-1, Class A1, 7.600%, 10/25/2012
  
 
22,573
25,251
  
The Money Store Home Equity Trust 1992-C, Class A1, 6.200%, 10/15/2017
  
 
25,241
       
   
Total Asset-Backed Securities
(identified cost $80,373)
  
 
84,349
       
Collateralized Mortgage Obligations—3.4%
      
   
Federal Home Loan Mortgage Corporation—1.4%
      
83,050
  
(Series 141-D), REMIC,
5.000%, 5/15/2021
  
 
84,435
105,000
  
(Series 1686-PJ), REMIC,
5.000%, 2/15/2024
  
 
105,899
105,000
  
(Series 1637-GA), REMIC,
5.800%, 6/15/2023
  
 
111,018
139,765
  
(Series 136-E), REMIC,
6.000%, 4/15/2021
  
 
143,345
314,000
  
(Series 1534-H), REMIC,
6.000%, 1/15/2023,
  
 
326,334
56,011
  
(Series 112-I), REMIC,
6.500%, 1/15/2021
  
 
57,600
279,000
  
(Series 1577-PK), REMIC,
6.500%, 9/15/2023
  
 
302,782
176,000
  
(Series 1644-K), REMIC,
6.750%, 12/15/2023
  
 
191,861
52,593
  
(Series 33-H), REMIC,
7.500%, 6/25/2023
  
 
56,672
145,472
  
(Series 126-A), REMIC,
9.000%, 3/15/2005
  
 
159,010
264,539
  
(Series 6-C), REMIC,
9.050%, 6/15/2019
  
 
301,259
       
   
Total
  
 
1,840,215
       
   
Federal National Mortgage
Association—2.0%
      
41,478
  
(Series L-DC), REMIC,
5.000%, 1/1/2006
  
 
42,498
42,000
  
(Series 1993-38-L), REMIC,
5.000%, 8/25/2022
  
 
43,157
152,000
  
(Series 1994-3-PL), REMIC,
5.500%, 1/25/2024
  
 
156,061
457,120
  
(Series 1992-136-PJ), REMIC,
6.000%, 5/25/2021
  
 
460,786
111,000
  
(Series 1993-198-K), REMIC,
6.000%, 12/25/2022
  
 
116,005
26,000
  
(Series 1993-160-PK), REMIC,
6.500%, 11/25/2022
  
 
28,730
175,000
  
(Series 1993-223-C), REMIC,
6.500%, 5/25/2023
  
 
195,501
Principal Amount
  
 
Value
Collateralized Mortgage Obligations—continued
      
   
Federal National Mortgage
Association—continued
      
$   415,000
  
(Series 1993-113-PK), REMIC,
6.500%, 7/25/2023
  
$
       450,723
554,000
  
(Series 1993-127-H), REMIC,
6.500%, 7/25/2023
  
 
612,353
155,000
  
(Series 1993-202-J), REMIC,
6.500%, 11/25/2023
  
 
170,814
181,000
  
(Series 1994-55-H), REMIC,
7.000%, 3/25/2024
  
 
200,590
       
   
Total
  
 
2,477,218
       
   
Total Collateralized Mortgage Obligations
(identified cost $3,783,901)
  
 
4,317,433
       
Corporate Bonds—16.6%
      
1,195,000
  
Associates Corp. of North America,
6.375%, 11/15/2005
  
 
1,269,413
500,000
  
Bay State Gas Co., 9.200%, 6/6/2011
  
 
535,170
1,000,000
  
Boeing Co., 6.625%, 2/15/2038
  
 
917,840
1,000,000
  
Bristol-Myers Squibb Co.,
5.750%, 10/1/2011
  
 
1,063,440
100,000
  
Countrywide Mortgage Investments, 6.510%, 2/11/2005
  
 
106,443
450,000
  
Countrywide Mortgage Investments, 7.200%, 10/30/2006
  
 
493,897
700,000
  
Ford Motor Co., 9.215%, 9/15/2021
  
 
658,763
59,000
  
Fortune Brands, Inc.,
8.625%, 11/15/2021
  
 
71,296
2,000,000
  
General Electric Capital Corp.,
6.000%, 6/15/2012
  
 
2,130,920
100,000
  
General Electric Capital Corp.,
8.300%, 9/20/2009
  
 
120,231
1,000,000
  
Household Finance Corp.,
5.750%, 1/30/2007
  
 
873,860
50,000
  
Loews Corp., 8.875%, 4/15/2011
  
 
58,571
1,120,083
  
NYNEX Corp., 9.550%, 5/1/2010
  
 
1,268,998
1,000,000
  
(2)Ohio National Life Insurance Co., 8.500%, 5/15/2026
  
 
1,068,930
125,000
  
Public Service Co. Colorado,
8.750%, 3/1/2022
  
 
127,969
1,000,000
  
SBC Communications, Inc.,
5.875%, 8/15/2012
  
 
1,055,540
1,000,000
  
Stanford University,
5.850%, 3/15/2009
  
 
1,047,500
1,000,000
  
Stanford University,
6.160%, 4/30/2011
  
 
1,080,050
1,000,000
  
Target Corp., 5.375%, 6/15/2009
  
 
1,060,220
1,000,000
  
Travelers Property Casualty Corp.,
6.750%, 11/15/2006
  
 
1,091,280
2,000,000
  
U.S. Bancorp, 5.100%, 7/15/2007
  
 
2,142,460

45

VISION U.S. Government Securities Fund
Principal Amount
  
 
Value
Corporate Bonds—continued
      
$2,000,000
  
Verizon Global Funding,
7.250%, 12/1/2010
  
$
    2,172,480
370,000
  
Weingarten Realty Investors,
6.650%, 7/12/2027
  
 
390,794
       
   
Total Corporate Bonds
(identified cost $20,340,864)
  
 
20,806,065
       
Government Agencies—30.7%
      
   
Department of Housing and Urban Development—2.0%
      
270,000
  
6.760%, 8/1/2006
  
 
278,203
360,000
  
6.930%, 8/1/2009
  
 
371,387
500,000
  
7.140%, 8/1/2007
  
 
556,785
1,200,000
  
7.660%, 8/1/2015
  
 
1,338,444
       
   
Total
  
 
2,544,819
       
   
Federal Home Loan Mortgage Corporation—2.7%
      
3,000,000
  
6.000%, 5/25/2012
  
 
3,131,610
175,000
  
6.943%, 3/21/2007
  
 
203,017
       
   
Total
  
 
3,334,627
       
   
Federal National Mortgage Association—5.8%
      
3,000,000
  
3.125%, 8/15/2005
  
 
3,017,760
53,000
  
5.125%, 2/13/2004
  
 
55,354
2,000,000
  
5.400%, 4/30/2007
  
 
2,030,820
2,000,000
  
6.250%, 2/17/2011
  
 
2,092,400
       
   
Total
  
 
7,196,334
       
   
Overseas Private Investment Corporation—2.8%
      
3,249,400
  
6.600%, 5/21/2016
  
 
3,556,598
       
   
Private Export Funding
Corporation—0.5%
      
500,000
  
6.490%, 7/15/2007
  
 
571,855
75,000
  
7.950%, 11/1/2006
  
 
82,861
       
   
Total
  
 
654,716
       
   
Small Business Administration—6.6%
      
565,976
  
5.600%, 9/1/2008
  
 
606,468
520,306
  
6.200%, 11/1/2007
  
 
559,378
559,081
  
6.700%, 3/1/2016
  
 
614,150
1,366,030
  
6.700%, 12/1/2016
  
 
1,510,584
3,464,991
  
6.950%, 11/1/2016
  
 
3,855,610
133,111
  
7.300%, 5/1/2017
  
 
150,510
138,368
  
7.300%, 9/1/2019
  
 
158,306
26,604
  
8.850%, 8/1/2011
  
 
29,121
289,315
  
9.250%, 2/1/2008
  
 
310,392
375,874
  
9.650%, 5/1/2010
  
 
409,854
       
   
Total
  
 
8,204,373
       
   
Tennessee Valley Authority—1.0%
      
1,148,433
  
7.430%, 4/1/2022
  
 
1,209,851
       
   
Title XI—9.3%
      
750,000
  
American Heavy Lift Shipping,
7.180%, 6/1/2017
  
 
813,751
1,799,997
  
ENSCO Offshore, Co.,
6.360%, 12/1/2015
  
 
1,895,739
Principal Amount
  
 
Value
Government Agencies—continued
      
   
Title XI—continued
      
$2,750,000
  
El Salvador Aid, Government of,
6.530%, 7/1/2007
  
$
    2,963,125
4,347,808
  
Puerto Quetzal Power LLC,
6.470%, 6/15/2012
  
 
4,807,776
920,000
  
Vessel Management Service,
6.750%, 6/15/2025
  
 
1,130,588
       
   
Total
  
 
11,610,979
       
   
Total Government Agencies
(identified cost $35,010,750)
  
 
38,312,297
       
Mortgage-Backed Securities—17.3%
      
   
Federal Home Loan Mortgage Corporation—4.4%
      
2,661,336
  
6.500%, 2/1/2032
  
 
2,760,311
63,497
  
7.000%, 11/1/2007
  
 
65,107
63,917
  
7.000%, 7/1/2008
  
 
66,194
143,572
  
7.000%, 8/1/2008
  
 
148,238
158,179
  
7.000%, 11/1/2008
  
 
163,813
51,024
  
7.000%, 11/1/2010
  
 
54,405
83,743
  
7.000%, 11/1/2017
  
 
89,134
588,249
  
7.000%, 11/1/2025
  
 
618,950
3,131
  
7.250%, 1/1/2005
  
 
3,178
4,771
  
7.250%, 11/1/2009
  
 
4,823
9,248
  
7.500%, 7/1/2007
  
 
9,570
83,519
  
7.500%, 3/1/2008
  
 
86,942
41,621
  
7.500%, 6/1/2008
  
 
43,637
9,226
  
7.500%, 11/1/2009
  
 
9,638
30,788
  
7.500%, 12/1/2010
  
 
32,164
12,020
  
7.500%, 3/1/2017
  
 
12,955
200,400
  
7.500%, 8/1/2017
  
 
217,434
2,285
  
8.000%, 5/1/2006
  
 
2,382
91,910
  
8.000%, 11/1/2006
  
 
97,080
2,523
  
8.000%, 3/1/2007
  
 
2,630
20,292
  
8.000%, 9/1/2007
  
 
21,434
192,280
  
8.000%, 11/1/2008
  
 
204,298
7,136
  
8.000%, 1/1/2010
  
 
7,538
24,006
  
8.000%, 12/1/2010
  
 
25,506
14,480
  
8.250%, 12/1/2007
  
 
15,410
22,656
  
8.250%, 5/1/2009
  
 
24,217
25,650
  
8.250%, 8/1/2009
  
 
27,417
41,426
  
8.500%, 7/1/2004
  
 
42,316
24,983
  
8.500%, 9/1/2009
  
 
26,631
523,928
  
8.500%, 8/1/2017
  
 
578,616
1,524
  
8.750%, 8/1/2008
  
 
1,627
2,512
  
9.000%, 9/1/2019
  
 
2,776
       
   
Total
  
 
5,466,371
       
   
Federal National Mortgage Association—7.0%
      
242,763
  
6.000%, 5/1/2009
  
 
254,751
20,048
  
6.000%, 1/1/2014
  
 
20,926
15,252
  
6.500%, 4/1/2004
  
 
15,574
1,411,139
  
7.000%, 5/1/2024
  
 
1,483,023
2,173,722
  
7.000%, 1/1/2025
  
 
2,302,102
3,924,832
  
7.000%, 2/1/2032
  
 
4,102,666
161,568
  
7.500%, 2/1/2014
  
 
168,485
67,199
  
8.000%, 1/1/2006
  
 
70,313
109,786
  
8.000%, 6/1/2008
  
 
115,687

46

VISION U.S. Government Securities Fund
Principal Amount
  
 
Value
Mortgage-Backed Securities—continued
      
   
Federal National Mortgage Association—continued
      
$     54,271
  
8.000%, 1/1/2010
  
$
         57,782
70,615
  
8.000%, 8/1/2021
  
 
77,036
47,126
  
8.250%, 7/1/2009
  
 
50,225
18,776
  
8.500%, 3/1/2012
  
 
20,149
13,687
  
9.000%, 10/1/2006
  
 
14,131
25,787
  
9.750%, 9/1/2017
  
 
28,821
       
   
Total
  
 
8,781,671
       
   
Government National Mortgage Association—5.9%
      
21,759
  
6.500%, 12/15/2003
  
 
21,910
585,503
  
7.000%, 5/15/2023
  
 
621,916
597,695
  
7.000%, 10/20/2023
  
 
632,248
2,057,916
  
7.000%, 9/15/2028
  
 
2,171,101
4,257
  
7.250%, 2/15/2005
  
 
4,381
8,630
  
7.250%, 3/15/2005
  
 
8,882
15,462
  
7.250%, 3/15/2005
  
 
15,914
31,853
  
7.250%, 5/15/2005
  
 
33,036
4,628
  
7.250%, 7/15/2005
  
 
4,799
2,924
  
7.250%, 10/15/2005
  
 
3,056
7,361
  
7.250%, 11/15/2005
  
 
7,634
17,247
  
7.250%, 4/15/2006
  
 
18,068
13,368
  
7.500%, 12/15/2005
  
 
13,977
27,534
  
7.500%, 4/15/2007
  
 
28,988
37,206
  
7.500%, 5/15/2007
  
 
39,314
16,159
  
7.500%, 6/15/2007
  
 
17,074
8,223
  
7.500%, 6/20/2007
  
 
8,906
8,428
  
8.000%, 6/15/2006
  
 
8,857
6,261
  
8.000%, 8/15/2006
  
 
6,631
14,767
  
8.000%, 9/15/2006
  
 
15,639
72,986
  
8.000%, 11/15/2006
  
 
77,297
331,981
  
8.000%, 9/15/2007
  
 
353,145
61,122
  
8.000%, 10/15/2007
  
 
65,840
41,252
  
8.000%, 12/15/2009
  
 
44,578
70,614
  
8.000%, 2/15/2010
  
 
76,749
50,558
  
8.000%, 12/15/2016
  
 
55,408
9,770
  
8.000%, 7/15/2024
  
 
10,597
33,808
  
8.250%, 6/15/2008
  
 
36,191
29,291
  
8.375%, 4/15/2010
  
 
31,817
188,029
  
8.500%, 9/15/2008
  
 
202,543
1,802,373
  
8.500%, 10/15/2008
  
 
1,924,592
85,344
  
8.500%, 10/20/2009
  
 
91,265
37,920
  
8.500%, 11/15/2017
  
 
42,269
27,034
  
9.000%, 10/15/2008
  
 
29,391
54,277
  
9.000%, 9/15/2016
  
 
60,706
89,724
  
9.000%, 11/15/2016
  
 
100,351
152,662
  
9.000%, 2/15/2017
  
 
171,220
Principal Amount or Shares
  
 
Value
Mortgage-Backed Securities—continued
      
   
Government National Mortgage Association—continued
      
$   194,513
  
9.000%, 4/20/2023
  
$
       213,598
53,080
  
9.000%, 10/20/2024
  
 
58,006
       
   
Total
  
 
7,327,894
       
   
Total Mortgage-Backed Securities
(identified cost $21,044,414)
  
 
21,575,936
       
Long-Term Municipals—3.8%
      
1,073,721
  
Arkansas Development Finance Authority, 9.750%, 11/15/2005
  
 
1,179,096
1,375,000
  
Boston, MA, U.S. Government Guaranteed Notes, 6.930%, 8/1/2008
  
 
1,418,491
225,000
  
Chicago, IL, Public Building Commission, 7.000%, 1/1/2007
  
 
258,091
250,000
  
Connecticut Development Authority, 8.550%, 8/15/2008
  
 
273,877
265,000
  
Connecticut Municipal Electric Energy Cooperative, 5.700%, 1/1/2004
  
 
276,872
100,000
  
Greater Orlando (FL) Aviation Authority, 8.250%, 10/1/2004
  
 
111,572
185,000
  
Miami, FL, 8.650%, 7/1/2019
  
 
243,234
898,401
  
Tobacco Settlement Funding Corp., 6.360%, 5/15/2025
  
 
958,917
       
   
Total Long-Term Municipals
(identified cost $4,583,998)
  
 
4,720,150
       
U.S. Treasury Obligations—22.9%
      
   
U.S. Treasury Bonds—13.3%
      
8,000,000
  
6.375%, 8/15/2027
  
 
9,373,040
6,000,000
  
13.750%, 8/15/2004
  
 
7,278,840
       
   
Total
  
 
16,651,880
       
   
U.S. Treasury Notes—9.6%
      
7,815,290
  
3.625%, 1/15/2008
  
 
8,471,852
3,000,000
  
6.500%, 2/15/2010
  
 
3,567,330
       
   
Total
  
 
12,039,182
       
   
Total U.S. Treasury Obligations
(identified cost $27,884,749)
  
 
28,691,062
       
Mutual Funds—4.1%
      
5,080,852
  
SSGA Money Market Fund
  
 
5,080,852
183
  
SSGA US Government Money Market Fund
  
 
183
       
   
Total Mutual Funds
(at net asset value)
  
 
5,081,035
       
   
Total Investments 
(identified cost $117,810,084)
  
$
123,588,327
       

(See Notes to Portfolios of Investments)

47

VISION New York Tax-Free Money Market Fund
Portfolio of Investments
October 31, 2002 (unaudited)

 
Principal Amount
  
 
Value
(4)Short-Term Municipals—99.7%
      
   
New York—99.7%
      
$1,455,000
  
ABN AMRO MuniTOPS Certificates Trust (New York Non-AMT),
(Series 1999-2), Weekly VRDNs, (Metropolitan Transportation Authority, NY)/(FSA INS)/(ABN AMRO Bank NV, Amsterdam LIQ)
  
$
    1,455,000
1,864,000
  
Albany, NY, 2.50% BANs, 8/1/2003
  
 
1,876,344
2,195,000
  
Albany, NY, IDA, (Series 2002: Corning Preserve/Hudson Riverfront), Weekly VRDNs, (Albany Local Development Corp.)/(Key Bank, N.A. LOC)
  
 
2,195,000
4,720,000
  
Auburn, NY, 2.50% BANs, 6/13/2003
  
 
4,739,900
1,545,000
  
Beacon, NY, 2.50% BANs, 12/27/2002
  
 
1,546,512
2,000,000
  
Center Moriches, NY, Union Free School District, 2.50% TANs, 6/30/2003
  
 
2,011,771
1,850,000
  
Chautauqua County, NY, IDA, IDRB, Weekly VRDNs, (Belknap Business Forms)/(Key Bank, N.A. LOC)
  
 
1,850,000
1,961,000
  
Chenango Valley, NY, CSD, 2.375% BANs, 6/27/2003
  
 
1,969,475
2,750,000
  
Clinton County, NY, IDA,
(Series 2002A), Weekly VRDNs, (Champlain Valley Physicians Hospital Medical Center)/(Radian Asset Assurance INS)/(Key Bank, N.A. LIQ)
  
 
2,750,000
2,000,000
  
Cornwall, NY, CSD, 2.250%, 10/17/2003
  
 
2,012,255
1,598,230
  
Dansville, NY, CSD, 2.50% BANs, 6/27/2003
  
 
1,604,876
1,850,000
  
Dutchess County, NY, IDA,
(Series 1998A), Weekly VRDNs, (Marist College)/(Bank of New York LOC)
  
 
1,850,000
3,500,000
  
Dutchess County, NY, IDA,
(Series 2002), Weekly VRDNs, (Trinity Pawling School Corp.)/(Allied Irish Banks PLC LOC)
  
 
3,500,000
335,000
  
East Rochester, NY, Housing Authority, (Series 2002), 3.00%, Bonds, (Jewish Home of Rochester)/(FHA INS), 2/15/2003
  
 
336,243
490,000
  
East Rochester, NY, Housing Authority, (Series 2002), 3.00%, Bonds, (Jewish Home of Rochester)/(FHA INS), 8/15/2003
  
 
494,943
1,515,000
  
Erie County, NY, IDA, (Series 1998), Weekly VRDNs, (B & G Properties LLC)/(HSBC Bank USA LOC)
  
 
1,515,000
1,835,000
  
Erie County, NY, IDA, Civic Facility Revenue Bonds, (Series 2002), Weekly VRDNs (People, Inc.)/(Key Bank,
N.A. LOC)
  
 
1,835,000
Principal Amount
  
 
Value
(4)Short-Term Municipals—continued
      
   
New York—continued
      
$1,083,638
  
Galway, NY, CSD, 2.60% BANs, 6/17/2003
  
$
    1,087,950
1,509,700
  
Guilderland, NY, 2.75% BANs, 5/2/2003
  
 
1,514,857
2,475,000
  
Herkimer County, NY, IDA, Civic Facility Revenue Bonds, (Series 2000), Weekly VRDNs, (Templeton Foundation)/(Key Bank, N.A. LOC)
  
 
2,475,000
435,000
  
Heuvelton, NY, CSD, 2.875%, GO UT Bonds, (FGIC INS), 6/15/2003
  
 
437,588
1,825,000
  
Jamesville-Dewitt, NY, CSD, 2.50% BANs, 7/25/2003
  
 
1,836,771
1,843,000
  
Jordan-Elbridge, NY, CSD,
(Series 2002), 2.375% BANs, 7/17/2003
  
 
1,850,868
1,500,000
  
Levittown Union Free School District, NY, 2.50% TANs, 6/26/2003
  
 
1,507,657
2,800,000
  
Long Island Power Authority, NY, (Series 1A), Weekly VRDNs, (Bayerische Hypotheken-und Vereinsbank
AG LOC)
  
 
2,800,000
2,000,000
  
(2) Long Island Power Authority, NY, (PA-807R), 1.60% TOBs (FSA INS)/(Merrill Lynch & Co., Inc. LIQ), Optional Tender 9/4/2003
  
 
2,000,000
1,200,000
  
Long Island Power Authority, NY, (Series 1B), Daily VRDNs, (Dexia Credit Local and State Street Bank and Trust Co. LOCs)
  
 
1,200,000
600,000
  
Long Island Power Authority, NY, (Series 3A), Weekly VRDNs, (JPMorgan Chase Bank LOC)
  
 
600,000
1,375,000
  
Long Island Power Authority, NY, Floater Certificates, (Series 1998-66), Weekly VRDNs, (MBIA INS)/(Morgan Stanley LIQ)
  
 
1,375,000
4,500,000
  
Metropolitan Transportation Authority, NY, Dedicated Tax Fund Variable Rate Bonds, (Series 2002B), Weekly VRDNs, (FSA INS)/(Dexia Credit Local LIQ)
  
 
4,500,000
8,300,000
  
Metropolitan Transportation Authority, NY, MERLOTS, (Series 1997C), Weekly VRDNs, (FGIC INS)/(Wachovia Bank N.A. LIQ)
  
 
8,300,000
1,430,000
  
Metropolitan Transportation Authority, NY, Trust Receipts, (Series 1997 FR/RI-9), Weekly VRDNs, (FGIC INS)/(Bank of New York LIQ)
  
 
1,430,000
250,000
  
Morrisville-Eaton, NY, CSD,
(Series 2002-B), 2.25% GO Bonds, (FGIC INS), 6/15/2003
  
 
250,380
2,500,000
  
Morrisville-Eaton, NY, CSD, 2.50% RANs, 6/27/2003
  
 
2,509,595
2,450,000
  
Nassau County, NY, Interim Finance Authority, (Series 2001B-2), 2.50% BANs, 12/5/2002
  
 
2,452,080

48

VISION New York Tax-Free Money Market Fund
Principal Amount
  
 
Value
(4)Short-Term Municipals—continued
      
   
New York—continued
      
$5,900,000
  
New York City, NY, IDA, Civic Facility Revenue Bonds, (Series 2000), Weekly VRDNs, (Columbia Grammar & Preparatory School)/(Allied Irish Banks PLC LOC)
  
$
    5,900,000
2,200,000
  
New York City, NY, (1994 Series C), Daily VRDNs, (JPMorgan Chase Bank LOC)
  
 
2,200,000
6,025,000
  
New York City, NY, (1995 Series F-4), Weekly VRDNs, (Landesbank Hessen-Thueringen, Frankfurt LOC)
  
 
6,025,000
6,700,000
  
New York City, NY, (PA-156), Weekly VRDNs, (Merrill Lynch & Co., Inc. LIQ)/(Merrill Lynch & Co., Inc. LOC)
  
 
6,700,000
3,600,000
  
New York City, NY, IDA, (Series 2000), Weekly VRDNs, (National Center on Addiction and Substance Abuse at Columbia University)/(JPMorgan Chase Bank LOC)
  
 
3,600,000
1,700,000
  
New York City, NY, IDA, (Series 2001), Weekly VRDNs, (Federation of Protestant Welfare Agencies, Inc.)/(Allied Irish Banks PLC LOC)
  
 
1,700,000
2,100,000
  
New York City, NY, IDA, Revenue Bonds, Weekly VRDNs, (Children’s Oncology Society)/(Bank of
New York LOC)
  
 
2,100,000
1,400,000
  
New York City, NY, Municipal Water Finance Authority, Trust Receipts, (Series 1997 FR/RI-6), Weekly VRDNs, (MBIA INS)/(Bank of
New York LIQ)
  
 
1,400,000
7,800,000
  
New York City, NY, Transitional Finance Authority, (1999 Subseries A-1), Weekly VRDNs, (Commerzbank AG, Frankfurt LIQ)
  
 
7,800,000
1,500,000
  
New York City, NY, Transitional Finance Authority, (1999 Subseries A-1), Weekly VRDNs, (JPMorgan Chase Bank LIQ)
  
 
1,500,000
3,400,000
  
New York City, NY, Transitional Finance Authority, MERLOTS, (Series 2002-A40), Weekly VRDNs, (MBIA INS)/(Wachovia Bank N.A. LIQ)
  
 
3,400,000
3,805,000
  
New York City, NY, Trust For Cultural Resources, (Series 2000), Weekly VRDNs, (Manhattan School of Music)/(Radian Asset Assurance INS)/(Wachovia Bank N.A. LIQ)
  
 
3,805,000
3,695,000
  
New York State Dormitory Authority, (Series 2000), Weekly VRDNs, (Glen Eddy, Inc.)/(Fleet National
Bank LOC)
  
 
3,695,000
2,990,000
  
New York State Dormitory Authority, MERLOTS, (Series 2001-A30), Weekly VRDNs, (AMBAC INS)/(Wachovia Bank N.A. LIQ)
  
 
2,990,000
Principal Amount
  
 
Value
(4)Short-Term Municipals—continued
      
   
New York—continued
      
$1,860,000
  
New York State Dormitory Authority, (Series 1993PA-60), Weekly VRDNs, (Rochester General Hospital)/(FHA INS)/(Merrill Lynch & Co., Inc. LIQ)
  
$
    1,860,000
2,000,000
  
New York State HFA, (Series 2000A), Weekly VRDNs, (1501 Associates)/(FNMA LOC)
  
 
2,000,000
2,900,000
  
New York State HFA, Service Contract Obligation Revenue Bonds, (2001 Series A), Weekly VRDNs, (Landesbank Hessen-Thueringen, Frankfurt LOC)
  
 
2,900,000
3,369,000
  
New York State HFA, Weekly VRDNs, (Special Surgery Hospital)/(JPMorgan Chase Bank LOC)
  
 
3,369,000
2,200,000
  
New York State Local Government Assistance Corp., (Series 1995B), Weekly VRDNs, (Bank of Nova Scotia, Toronto LOC)
  
 
2,200,000
1,100,000
  
New York State Local Government Assistance Corp., Class A Certificates, (Series 2002-203), Weekly VRDNs, (FSA INS)/(Bear Stearns Cos., Inc. LIQ)
  
 
1,100,000
200,000
  
New York State Medical Care Facilities Finance Agency, Weekly, VRDNs, (Pooled Loan Program)/(JPMorgan Chase Bank LOC)
  
 
200,000
1,500,000
  
New York State Mortgage Agency,
(PA-406), Weekly VRDNs, (Merrill Lynch & Co., Inc. LIQ)
  
 
1,500,000
2,000,000
  
New York State Mortgage Agency,
(PA-422), Weekly VRDNs, (Merrill Lynch & Co., Inc. LIQ)
  
 
2,000,000
2,530,000
  
New York State Thruway Authority, (PA-172), Weekly VRDNs, (Merrill Lynch & Co., Inc. LIQ)/(Merrill Lynch & Co., Inc. LOC)
  
 
2,530,000
4,000,000
  
New York State Thruway Authority, (PA-532), Weekly VRDNs, (Merrill Lynch & Co., Inc. LIQ)
  
 
4,000,000
3,700,000
  
Niagara County, NY, IDA,
(Series 2001B), Weekly VRDNs, (Niagara University)/(Radian Asset Assurance INS)/(HSBC Bank USA LIQ)
  
 
3,700,000
2,853,000
  
Onondaga County, NY, IDA, (Series 1999A), Weekly VRDNs, (Christian Brothers Academy of Syracuse, NY)/(Key Bank, N.A. LOC)
  
 
2,853,000
4,000,000
  
Port Authority of New York and New Jersey, Port Authority Equipment Note Agreement, (Series 2002-2), Weekly VRDNs
  
 
4,000,000
1,500,000
  
Riverhead, NY, IDA, IDRB,
(Series 1998), Weekly VRDNs, (Altaire Pharmaceuticals, Inc.)/(Mellon Bank NA, Pittsburgh LOC)
  
 
1,500,000

49

VISION New York Tax-Free Money Market Fund
Principal Amount
  
 
Value
(4)Short-Term Municipals—continued
      
   
New York—continued
      
$2,200,000
  
Seneca County, NY, IDA, (Series 2000), Weekly VRDNs, (Kidspeace National Centers of New York, Inc.)/(Key Bank, N.A. LOC)
  
$
    2,200,000
2,400,000
  
Seneca Falls, NY, CSD, 2.50% RANs, 6/18/2003
  
 
2,408,568
5,750,000
  
St. Lawrence County, NY, IDA,
(Series 1998A), Weekly VRDNs, (Alcoa, Inc.)
  
 
5,750,000
2,915,000
  
Suffolk County, NY, IDA,
(Series 1997B), Weekly VRDNs, (Maryhaven Center of Hope)/(Key Bank, N.A. LOC)
  
 
2,915,000
3,000,000
  
(2)Triborough Bridge & Tunnel Authority, NY, Trust Receipt,
(Series 2000 FR/RI-N16), 1.40% TOBs (Bank of New York LIQ), Optional Tender 11/13/2002
  
 
3,000,000
9,000,000
  
Triborough Bridge & Tunnel Authority, NY, Trust Receipt, (Series 2000 FR/RI-N17), Weekly VRDNs, (Bank of New York LIQ)
  
 
9,000,000
Principal Amount
  
 
Value
(4)Short-Term Municipals—continued
      
   
New York—continued
      
$9,600,000
  
VRDC/IVRC Trust, (Series 1993G), Weekly VRDNs, (St. Lukes Roosevelt Hospital Center)/(FHA INS)/(JPMorgan Chase Bank LIQ)
  
$
    9,600,000
1,100,000
  
Washington County, NY, 2.00% BANs, 8/22/2003
  
 
1,104,362
3,150,000
  
Watkins Glen, NY, CSD, (2002 Series B), 2.50% BANs, 6/17/2003
  
 
3,161,574
1,619,355
  
Yonkers, NY, IDA, Civic Facility Revenue Bonds, (Series 1994), Weekly VRDNs, (Consumers Union Facility)/(AMBAC INS)/(Dexia Credit Local LIQ)
  
 
1,619,355
210,000
  
Yorkshire-Pioneer, NY, CSD, 3.00% Bonds (FGIC INS), 6/15/2003
  
 
211,409
       
   
Total Investments
(at amortized cost)
  
$
201,167,333
       

(See Notes to Portfolios of Investments)

50

VISION Money Market Fund
Portfolio of Investments
October 31, 2002 (unaudited)

 
Principal Amount
  
 
Value
(3)Corporate Obligations—51.0%
      
   
Asset-Backed—10.3%
      
$65,000,000
  
Apreco, Inc., 1.763%, 11/19/2002
  
$
     64,942,800
45,000,000
  
Asset Securitization Cooperative Corp., 1.752%, 11/8/2002
  
 
44,984,688
45,000,000
  
CIESCO LP, 1.714%, 11/21/2002
  
 
44,957,250
       
   
Total
  
 
154,884,738
       
   
Banking—3.3%
      
50,000,000
  
Wells Fargo & Co.,
1.745%, 11/1/2002
  
 
50,000,000
       
   
Diversified—5.0%
      
75,000,000
  
General Electric Capital Corp., 1.764%—2.075%,
11/25/2002 - 2/19/2003
  
 
74,698,472
       
   
Financial Retail—4.0%
      
60,000,000
  
American Express Credit Corp., 1.677%, 11/13/2002
  
 
59,966,600
       
   
Financial Services—5.0%
      
75,000,000
  
Citicorp, 1.756%—1.781%, 11/4/2002 - 11/12/2002
  
 
74,969,312
       
   
Food & Beverage—4.6%
      
70,000,000
  
Nestle Capital Corp., 1.700%— 1.750%, 11/26/2002 - 1/13/2003
  
 
69,859,444
       
   
Insurance—11.6%
      
50,000,000
  
AIG Funding, Inc.,
1.863%, 3/10/2003
  
 
49,670,333
50,000,000
  
American General Finance Corp., 1.746%, 1/6/2003
  
 
49,840,500
25,000,000
  
Prudential Funding Corp.,
1.744%, 12/2/2002
  
 
24,962,542
50,000,000
  
Transamerica Finance Corp.,
1.775%, 11/14/2002
  
 
49,968,042
       
   
Total
  
 
174,441,417
       
   
Media—4.6%
      
70,000,000
  
Gannett Co., Inc.,
1.742%, 11/15/2002
  
 
69,952,633
       
   
Pharmaceutical—2.6%
      
40,000,000
  
Abbott Laboratories,
1.726%, 11/5/2002
  
 
39,992,356
       
   
Total Corporate Obligations
  
 
768,764,972
       
Principal Amount
  
 
Value
(3)U.S. Government Agencies—39.4%
      
   
Federal Home Loan Mortgage Corporation—4.0%
      
$60,000,000
  
1.750%, 12/30/2002
  
$
     59,827,917
       
   
Federal National Mortgage Association—32.4%
      
50,000,000
  
1.505%, 5/2/2003
  
 
49,619,569
45,000,000
  
1.565%, 4/9/2003
  
 
44,688,956
74,000,000
  
1.620%, 2/5/2003
  
 
73,680,320
100,000,000
  
1.675%, 4/16/2003
  
 
99,227,639
50,000,000
  
1.700%, 12/4/2002
  
 
49,922,083
50,000,000
  
1.700%, 12/20/2002
  
 
49,884,306
45,000,000
  
1.700%, 1/15/2003
  
 
44,840,625
50,000,000
  
1.900%, 11/27/2002
  
 
49,931,389
27,000,000
  
2.370%, 12/13/2002
  
 
26,925,345
       
   
Total
  
 
488,720,232
       
   
Student Loan Marketing Association—3.0%
      
45,000,000
  
1.638%, 3/21/2003
  
 
44,996,548
       
   
Total Government Agencies
  
 
593,544,697
       
(6)Note-Variable—5.0%
      
75,000,000
  
Morgan Stanley,
1.925%, 11/1/2002
  
 
75,000,000
       
Repurchase Agreement—4.7%
      
71,079,000
  
Repurchase agreement with State Street Corp., dated 10/31/2002, due 11/1/2002 at 1.840%, collateralized by U.S. Treasury Notes, due 3/31/2004 (repurchase proceeds $71,082,633) (cost of $71,079,000)
  
 
71,079,000
       
   
Total Investments
(at amortized cost)
  
$
1,508,388,669
       

(See Notes to Portfolios of Investments)

51

VISION Treasury Money Market Fund
Portfolio of Investments
October 31, 2002 (unaudited)

 
Principal Amount
  
 
Value
U.S. Treasury Obligations—58.6%
      
   
U.S Treasury Bills—56.3%
      
$380,000,000
  
United States Treasury Bills, 1.560%—1.705%,
11/7/2002 - 3/20/2003
  
$
378,788,626
   
U.S Treasury Notes—2.3%
      
15,000,000
  
United States Treasury Note, 4.250%, 3/31/2003
  
 
15,124,447
       
   
Total U.S. Treasury Obligations
  
 
393,913,073
       
Repurchase Agreements—41.5%
      
160,000,000
  
Repurchase agreement with Goldman Sachs & Co., dated 10/31/2002 due 11/1/2002 at 1.840%, collateralized by U.S. Treasury Bills due on 2/13/2003 (repurchase proceeds $160,008,178) (cost of $160,000,000)
  
 
160,000,000
Principal Amount
  
 
Value
Repurchase Agreements—continued
      
$118,995,000
  
Repurchase agreement with State Street Corp., dated 10/31/2002 due 11/1/2002 at 1.840%, collateralized by U.S. Treasury Notes due on 3/31/2004 (repurchase proceeds $119,001,082) (cost of $118,995,000)
  
$
118,995,000
       
   
Total Repurchase Agreements
  
 
278,995,000
       
   
Total Investments
(at amortized cost)
  
$
672,908,073
       
 

(See Notes to Portfolios of Investments)

52

Notes to Portfolios of Investments

 
The categories of investments are shown as a percentage of net assets at October 31, 2002.
 
(1)
Non-income producing security.
(2)
Denotes a restricted security which is subject to restrictions on resale under federal securities laws. These securities have been deemed liquid based upon criteria approved by the fund’s Board of Directors. At October 31, 2002, these securities amounted to $1,068,930 and $5,000,000 which represent 0.9% and 2.5% of net assets for the U.S. Government Securities Fund and New York Tax-Free Money Market Fund, respectively.
(3)
Each issue, with the exception of variable rate securities, shows the coupon or rate of discount at the time of purchase, if applicable.
(4)
At October 31, 2002, 6.9%, 12.7% and 8.0% of the total investments at market value were subject to alternative minimum tax for New York Municipal Income Fund, Pennsylvania Municipal Income Fund and New York Tax-Free Money Market Fund, respectively.
(5)
Please refer to the Appendix of the Statement of Additional Information for an explanation of the credit ratings. Current credit ratings are unaudited.
(6)
Denotes variable rate securities with current rate and next demand date.
 
The following acronyms are used throughout this report:
 
ADR—American Depositary Receipt
     
IDRB—Industrial Development Revenue Bond
AMBAC—American Municipal Bond Assurance Corporation
     
INS—Insured
AMT—Alternative Minimum Tax
     
LIQ—Liquidity Agreement
BANs—Bond Anticipation Notes
     
LOC(s)—Letter(s) of Credit
COL—Collateralized
     
MBIA—Municipal Bond Insurance Association
CSD—Central School District
     
MERLOTS—Municipal Exempt Receipts—Liquidity Optional
FGIC—Financial Guaranty Insurance Corporation
     
Tender Series
FHA—Federal Housing Administration
     
MTN—Medium Term Note
FHA/VA—Federal Housing Administration/Veterans Administration
     
PCA—Pollution Control Authority
FHLMC—Federal Home Loan Mortgage Corporation
     
PCRB—Pollution Control Revenue Bonds
FNMA—Federal National Mortgage Association
     
RANs—Revenue Anticipation Notes
FSA—Financial Security Assurance
     
REMIC—Real Estate Mortgage Investment Conduit
GNMA—Government National Mortgage Association
     
TANs—Tax Anticipation Notes
GO—General Obligation
     
TOBs—Tender Option Bonds
HFA—Housing Finance Agency
     
UT—Unlimited Tax
IDA—Industrial Development Authority
     
VRDNs—Variable Rate Demand Notes
 
VISION Fund
   
Cost of
Investments
for Federal Tax
Purposes
     
Net
Unrealized
Appreciation
(Depreciation)
for Federal
Tax Purposes
     
Gross
Unrealized
Appreciation
for Federal Tax
Purposes
   
Gross
Unrealized
Depreciation
for Federal Tax
Purposes
   
Total Net
Assets
International Equity Fund
   
$
45,062,842
 
   
$
(4,446,484
)
   
$
2,080,105
   
$
6,526,589
   
$
41,749,147
Small Cap Stock Fund
   
 
94,253,226
 
   
 
(768,399
)
   
 
13,555,698
   
 
14,324,097
   
 
92,336,778
Mid Cap Stock Fund
   
 
101,077,720
 
   
 
414,059
 
   
 
10,276,063
   
 
9,862,004
   
 
101,576,800
Large Cap Growth Fund
   
 
15,065,079
 
   
 
(826,460
)
   
 
509,624
   
 
1,336,084
   
 
14,651,459
Large Cap Core Fund
   
 
111,007,114
 
   
 
(9,767,920
)
   
 
10,903,126
   
 
20,671,046
   
 
100,820,360
Large Cap Value Fund
   
 
46,190,576
 
   
 
(7,357,114
)
   
 
960,040
   
 
8,317,154
   
 
38,701,664
Managed Allocation Fund—Aggressive Growth
   
 
6,805,123
 
   
 
(1,157,071
)
   
 
8,913
   
 
1,165,984
   
 
5,686,977
Managed Allocation Fund—Moderate Growth
   
 
12,120,314
 
   
 
(1,183,103
)
   
 
82,008
   
 
1,265,111
   
 
11,040,189
Managed Allocation Fund—Conservative Growth
   
 
4,334,386
 
   
 
(122,208
)
   
 
42,932
   
 
165,140
   
 
4,261,791
New York Municipal Income Fund
   
 
78,742,389
 
   
 
3,602,812
 
   
 
3,717,211
   
 
114,399
   
 
83,547,468
Pennsylvania Municipal Income Fund
   
 
79,942,594
 
   
 
5,265,109
 
   
 
5,307,656
   
 
42,547
   
 
86,090,485
Intermediate Term Bond Fund
   
 
151,162,028
 
   
 
6,539,518
 
   
 
6,611,648
   
 
72,130
   
 
153,869,395
U.S. Government Securities Fund
   
 
117,810,084
 
   
 
5,778,243
 
   
 
6,575,315
   
 
797,072
   
 
124,991,632
New York Tax-Free Money Market Fund
   
 
201,167,333
*
   
 
—
 
   
 
—
   
 
—
   
 
201,855,941
Money Market Fund
   
 
1,508,388,669
*
   
 
—
 
   
 
—
   
 
—
   
 
1,507,041,014
Treasury Money Market Fund
   
 
672,908,073
*
   
 
—
 
   
 
—
   
 
—
   
 
672,294,503
 
* at amortized cost

(See Notes which are an integral part of the Financial Statements)

53

 
VISION Group of Funds
Statements of Assets and Liabilities
October 31, 2002 (unaudited)

 
  
International
Equity
Fund
     
Small Cap
Stock
Fund
    
Mid Cap
Stock
Fund
  
Assets:
                         
                        
Investments in securities, at value
  
$
40,616,358
 
   
$
93,484,827
 
  
$
101,491,779
 
                        
Cash
  
 
—
 
   
 
71,889
 
  
 
—
 
                        
Cash denominated in foreign currencies (identified cost $860,987)
  
 
871,182
 
   
 
—
 
  
 
—
 
                        
Income receivable
  
 
135,691
 
   
 
89,359
 
  
 
62,882
 
                        
Net receivable for foreign currency exchange contracts
  
 
43,412
 
   
 
—
 
  
 
—
 
                        
Prepaid expenses
  
 
—  
 
   
 
—
 
  
 
7,139
 
                        
Receivable for shares sold
  
 
1,789
 
   
 
11,337
 
  
 
15,000
 
                        
Receivable for investments sold
  
 
664,714
 
   
 
792,913
 
  
 
—
 
 
  
 
Total assets
  
 
42,333,146
 
   
 
94,450,325
 
  
 
101,576,800
 
 
  
 
Liabilities:
                         
                        
Payable for investments purchased
  
 
581,380
 
   
 
2,103,167
 
  
 
—
 
                        
Payable for shares redeemed
  
 
—
 
   
 
16
 
  
 
—
 
                        
Accrued expenses
  
 
2,619
 
   
 
10,364
 
  
 
—
 
 
  
 
Total liabilities
  
 
583,999
 
   
 
2,113,547
 
  
 
—
 
 
  
 
Net Assets
  
$
41,749,147
 
   
$
92,336,778
 
  
$
101,576,800
 
 
  
 
Net Assets Consist of:
                         
                        
Paid in capital
  
$
53,512,833
 
   
$
73,735,472
 
  
$
110,924,887
 
                        
Net unrealized appreciation (depreciation) of investments and translation of assets & liabilities in foreign currency
  
 
(4,385,318
)
   
 
(768,399
)
  
 
414,059
 
                        
Accumulated net realized gain (loss) on investments and foreign currency transactions
  
 
(7,769,026
)
   
 
19,513,087
 
  
 
(9,755,390
)
                        
Accumulated undistributed (distributions in excess of) net investment income
  
 
390,658
 
   
 
(143,382
)
  
 
(6,756
)
 
  
 
Total Net Assets
  
$
41,749,147
 
   
$
92,336,778
 
  
$
101,576,800
 
 
  
 
 
 
(See Notes which are an integral part of the Financial Statements)

54

 

 
Large Cap
Growth
Fund
  
Large Cap
Core
Fund
       
Large Cap
Value
Fund
       
Managed Allocation
Fund—Aggressive
Growth
       
Managed Allocation
Fund—Moderate
Growth
  
                                          
$14,238,619
  
$
101,239,194
 
     
$
38,833,462
 
     
$
5,648,052
 
     
$
10,937,211
 
—
  
 
—
 
     
 
—
 
     
 
6
 
     
 
—
 
—
  
 
—
 
     
 
—
 
     
 
—
 
     
 
—
 
20,216
  
 
125,365
 
     
 
75,803
 
     
 
1,825
 
     
 
15,401
 
—
  
 
—
 
     
 
—
 
     
 
—
 
     
 
—
 
6,291
  
 
—
 
     
 
5,230
 
     
 
26,535
 
     
 
10,749
 
20,250
  
 
204
 
     
 
—
 
     
 
10,559
 
     
 
76,828
 
366,233
  
 
—
 
     
 
—
 
     
 
—
 
     
 
—
 
 
    
    
    
14,651,609
  
 
101,364,763
 
     
 
38,914,495
 
     
 
5,686,977
 
     
 
11,040,189
 
 
    
    
    
                                          
—
  
 
520,785
 
     
 
212,153
 
     
 
—
 
     
 
—
 
150
  
 
10,538
 
     
 
678
 
     
 
—
 
     
 
—
 
—
  
 
13,080
 
     
 
—
 
     
 
—
 
     
 
—
 
 
    
    
    
150
  
 
544,403
 
     
 
212,831
 
     
 
—
 
     
 
—
 
 
    
    
    
$14,651,459
  
$
100,820,360
 
     
$
38,701,664
 
     
$
5,686,977
 
     
$
11,040,189
 
 
    
    
    
                                          
$20,066,454
  
$
99,754,328
 
     
$
50,618,799
 
     
$
6,932,005
 
     
$
12,304,270
 
(826,460)
  
 
(9,767,920
)
     
 
(7,357,114
)
     
 
(1,157,071
)
     
 
(1,183,103
)
(4,583,057)
  
 
10,698,914
 
     
 
(4,605,867
)
     
 
(76,084
)
     
 
(73,976
)
(5,478)
  
 
135,038
 
     
 
45,846
 
     
 
(11,873
)
     
 
(7,002
)
 
    
    
    
$14,651,459
  
$
100,820,360
 
     
$
38,701,664
 
     
$
5,686,977
 
     
$
11,040,189
 
 
    
    
    

55

 
VISION Group of Funds
Statements of Assets and Liabilities—Continued
October 31, 2002 (unaudited)

 
Total Net Assets—Continued
  
International
Equity
Fund
     
Small Cap
Stock
Fund
    
Mid Cap
Stock
Fund
  
Class A Shares
  
$
41,697,028
 
   
$
91,908,360
 
  
$
99,862,681
 
 
  
 
Class B Shares
  
$
52,119
 
   
$
428,418
 
  
$
1,714,119
 
 
  
 
Shares Outstanding:
                         
                        
Class A Shares
  
 
5,581,769
 
   
 
11,108,085
 
  
 
8,380,492
 
 
  
 
Class B Shares
  
 
7,052
 
   
 
52,459
 
  
 
147,092
 
 
  
 
Net Asset Value, Offering Price and Redemption Proceeds Per Share:
                         
                        
Net Asset Value Per Share
                         
                        
Class A Shares
  
$
7.47
 
   
$
8.27
 
  
$
11.92
 
 
  
 
Class B Shares
  
$
7.39
 
   
$
8.17
 
  
$
11.65
 
 
  
 
Offering Price Per Share*
                         
                        
Class A Shares
  
$
7.90
**
   
$
8.75
**
  
$
12.61
**
 
  
 
Class B Shares
  
$
7.39
 
   
$
8.17
 
  
$
11.65
 
 
  
 
Redemption Proceeds Per Share*
                         
                        
Class A Shares
  
$
7.47
 
   
$
8.27
 
  
$
11.92
 
 
  
 
Class B Shares
  
 
7.02
***
   
 
7.76
***
  
 
11.07
***
 
  
 
Investments, at identified cost
  
$
45,062,842
 
   
$
94,253,226
 
  
$
101,077,720
 
 
  
 
 
        *See “What Do Shares Cost?” in the Prospectus.
      **Computation of offering price per share 100/94.5 of net asset value.
    ***Computation of redemption proceeds per share 95/100 of net asset value.
  ****Computationof offering price per share 100/95 of net asset value.
*****Computation of offering price per share 100/95.5 of net asset value.

(See Notes which are an integral part of the Financial Statements)

56

 

 
Large Cap
Growth
Fund
    
Large Cap
Core
Fund
       
Large Cap
Value
Fund
     
Managed
Allocation Fund—
Aggressive Growth
       
Managed
Allocation Fund—
Moderate Growth
  
$
13,584,821
 
  
$
100,441,891
 
     
$
38,256,363
 
   
$
4,715,569
 
     
$
8,789,932
 
 
    
  
    
$
1,066,638
 
  
$
378,469
 
     
$
445,301
 
   
$
971,408
 
     
$
2,250,257
 
 
    
  
    
                                            
 
2,071,587
 
  
 
16,277,421
 
     
 
4,826,830
 
   
 
602,065
 
     
 
1,018,904
 
 
    
  
    
 
166,545
 
  
 
62,187
 
     
 
56,791
 
   
 
124,547
 
     
 
261,346
 
 
    
  
    
                                            
                                            
$
6.56
 
  
$
6.17
 
     
$
7.93
 
   
$
7.83
 
     
$
8.63
 
 
    
  
    
$
6.40
 
  
$
6.09
 
     
$
7.84
 
   
$
7.80
 
     
$
8.61
 
 
    
  
    
                                            
 
6.94
**
  
 
6.53
**
     
 
8.39
**
   
 
8.24
****
     
 
9.04
*****
 
    
  
    
$
6.40
 
  
$
6.09
 
     
$
7.84
 
   
$
7.80
 
     
$
8.61
 
 
    
  
    
                                            
$
6.56
 
  
$
6.17
 
     
$
7.93
 
   
$
7.83
 
     
$
8.63
 
 
    
  
    
 
6.08
***
  
 
5.79
***
     
 
7.45
***
   
 
7.41
***
     
 
8.18
***
 
    
  
    
$
15,065,079
 
  
$
111,007,114
 
     
$
46,190,576
 
   
$
6,805,123
 
     
$
12,120,314
 
 
    
  
    

57

 
VISION Group of Funds
Statements of Assets and Liabilities—Continued
October 31, 2002 (unaudited)

 
     
Managed Allocation
Fund—Conservative
Growth
     
New York
Municipal
Income Fund
    
Pennsylvania
Municipal
Income Fund
  
Assets:
                            
                           
Investments in securities, at value
     
$
4,212,178
 
   
$
82,345,201
 
  
$
85,207,703
 
                           
Investments in repurchase agreements, at amortized cost
     
 
—
 
   
 
—
 
  
 
—
 
    
  
 
Total investments
     
 
4,212,178
 
   
 
82,345,201
 
  
 
85,207,703
 
                           
Cash
     
 
—
 
   
 
107,541
 
  
 
—
 
                           
Income receivable
     
 
11,258
 
   
 
1,264,805
 
  
 
1,028,827
 
                           
Prepaid expenses
     
 
21,875
 
   
 
—
 
  
 
—
 
                           
Receivable for shares sold
     
 
16,870
 
   
 
102,270
 
  
 
102,002
 
                           
Receivable for investments sold
     
 
—
 
   
 
—
 
  
 
—
 
    
  
 
Total assets
     
 
4,262,181
 
   
 
83,819,817
 
  
 
86,338,532
 
    
  
 
Liabilities:
                            
                           
Income distribution payable
     
 
—
 
   
 
265,870
 
  
 
237,755
 
                           
Payable for investments purchased
     
 
—
 
   
 
—
 
  
 
—
 
                           
Payable for shares redeemed
     
 
390
 
   
 
500
 
  
 
—
 
                           
Accrued expenses
     
 
—
 
   
 
5,979
 
  
 
10,292
 
    
  
 
Total liabilities
     
 
390
 
   
 
272,349
 
  
 
248,047
 
    
  
 
Net Assets
     
$
4,261,791
 
   
$
83,547,468
 
  
$
86,090,485
 
    
  
 
Net Assets Consist of:
                            
                           
Paid in capital
     
$
4,408,793
 
   
$
79,853,848
 
  
$
84,018,645
 
                           
Net unrealized appreciation (depreciation) of investments
     
 
(122,208
)
   
 
3,602,812
 
  
 
5,265,109
 
                           
Accumulated net realized gain (loss) on investments
     
 
(23,926
)
   
 
98,727
 
  
 
(3,195,656
)
                           
Accumulated undistributed (distributions in excess of) net investment income
     
 
(868
)
   
 
(7,919
)
  
 
2,387
 
    
  
 
Total Net Assets
     
$
4,261,791
 
   
$
83,547,468
 
  
$
86,090,485
 
    
  
 
 
 
(See Notes which are an integral part of the Financial Statements)

58

 

 
Intermediate
Term Bond
Fund
   
U.S. Government
Securities
Fund
       
New York
Tax-Free
Money Market
Fund
    
Money Market
Fund
       
Treasury
Money Market
Fund
  
                                        
$157,701,546
   
$
123,588,327
 
     
$
201,167,333
 
  
$
1,437,309,669
 
     
$
393,913,073
 
—
   
 
—
 
     
 
—
 
  
 
71,079,000
 
     
 
278,995,000
 
  
    
 
    
157,701,546
   
 
123,588,327
 
     
 
201,167,333
 
  
 
1,508,388,669
 
     
 
672,908,073
 
—
   
 
—
 
     
 
97,707
 
  
 
58
 
     
 
797
 
1,695,186
   
 
1,891,623
 
     
 
804,812
 
  
 
206,158
 
     
 
70,304
 
—
   
 
—
 
     
 
—
 
  
 
—
 
     
 
—
 
14,322
   
 
64,576
 
     
 
—
 
  
 
—
 
     
 
—
 
852,677
   
 
—
 
     
 
—
 
  
 
—
 
     
 
—
 
  
    
 
    
160,263,731
   
 
125,544,526
 
     
 
202,069,852
 
  
 
1,508,594,885
 
     
 
672,979,174
 
  
    
 
    
                                        
648,186
   
 
532,152
 
     
 
187,473
 
  
 
1,333,394
 
     
 
631,455
 
5,717,584
   
 
—
 
     
 
—
 
  
 
—
 
     
 
—
 
—
   
 
—
 
     
 
—
 
  
 
—
 
     
 
—
 
28,566
   
 
20,742
 
     
 
26,438
 
  
 
220,477
 
     
 
53,216
 
  
    
 
    
6,394,336
   
 
552,894
 
     
 
213,911
 
  
 
1,553,871
 
     
 
684,671
 
  
    
 
    
$153,869,395
   
$
124,991,632
 
     
$
201,855,941
 
  
$
1,507,041,014
 
     
$
672,294,503
 
  
    
 
    
                                        
$165,735,462
   
$
120,854,673
 
     
$
201,855,977
 
  
$
1,507,071,801
 
     
$
672,307,746
 
6,539,518
   
 
5,778,243
 
     
 
—
 
  
 
—
 
     
 
—
 
(18,185,106)
   
 
(1,092,791
)
     
 
230
 
  
 
14,756
 
     
 
195
 
(220,479)
   
 
(548,493
)
     
 
(266
)
  
 
(45,543
)
     
 
(13,438
)
  
    
 
    
$153,869,395
   
$
124,991,632
 
     
$
201,855,941
 
  
$
1,507,041,014
 
     
$
672,294,503
 
  
    
 
    

59

 
VISION Group of Funds
Statements of Assets and Liabilities—Continued
October 31, 2002 (unaudited)

 
Total Net Assets—Continued
     
    
Managed Allocation
Fund—Conservative
Growth
     
New York
Municipal
Income Fund
    
Pennsylvania
Municipal
Income Fund
  
Class A Shares
     
$
3,269,867
 
   
$
83,547,468
 
  
$
86,090,485
 
    
  
 
Class B Shares
     
$
991,924
 
   
 
—
 
  
 
—
 
    
  
 
Class S Shares
     
 
—
 
   
 
—
 
  
 
—
 
    
  
 
Institutional Shares
     
 
—
 
   
 
—
 
  
 
—
 
    
  
 
Shares Outstanding:
                            
                           
Class A Shares
     
 
348,557
 
   
 
7,840,380
 
  
 
8,225,519
 
    
  
 
Class B Shares
     
 
105,987
 
   
 
—
 
  
 
—
 
    
  
 
Class S Shares
     
 
—
 
   
 
—
 
  
 
—
 
    
  
 
Institutional Shares
     
 
—
 
   
 
—
 
  
 
—
 
    
  
 
Net Asset Value, Offering Price and Redemption Proceeds Per Share:
                            
                           
Net Asset Value Per Share
                            
                           
Class A Shares
     
$
9.38
 
   
$
10.66
 
  
$
10.47
 
    
  
 
Class B Shares
     
$
9.36
 
   
 
—
 
  
 
—
 
    
  
 
Class S Shares
     
 
—
 
   
 
—
 
  
 
—
 
    
  
 
Institutional Shares
     
 
—
 
   
 
—
 
  
 
—
 
    
  
 
Offering Price Per Share*
                            
                           
Class A Shares
     
$
9.77
**
   
$
11.16
***
  
$
10.96
***
    
  
 
Class B Shares
     
$
9.36
 
   
 
—
 
  
 
—
 
    
  
 
Redemption Proceeds Per Share*
                            
                           
Class A Shares
     
$
9.38
 
   
$
10.66
 
  
$
10.47
 
    
  
 
Class B Shares
     
$
8.89 
****
   
 
—
 
  
 
—
 
    
  
 
Investments, at identified cost
     
$
4,334,386
 
   
$
78,742,389
 
  
$
79,942,594
 
    
  
 
 
       *See "What Do Shares Cost?" in the Prospectus.
    **Computation of offering price per share 100/96 of net asset value.
  ***Computation of offering price per share 100/95.5 of net asset value.
****Computation of redemption price per share 95/100 of net asset value.

(See Notes which are an integral part of the Financial Statements)

60

 

Intermediate
Term Bond
Fund
   
U.S. Government
Securities
Fund
       
New York Tax-Free
Money Market
Fund
  
Money
Market
Fund
     
Treasury
Money Market
Fund
$153,869,395
   
$
124,991,632
 
     
$
201,855,941
  
$
1,404,169,449
     
$
646,454,161
  
    
 
    
—
   
 
—
 
     
 
—
  
 
—
     
 
—
  
    
 
    
—
   
 
—
 
     
 
—
  
$
100,429,298
     
$
25,840,342
  
    
 
    
—
   
 
—
 
     
 
—
  
$
2,442,267
     
 
—
  
    
 
    
                                  
15,815,969
   
 
12,766,300
 
     
 
201,855,977
  
 
1,404,395,307
     
 
646,585,193
  
    
 
    
—
   
 
—
 
     
 
—
  
 
—
     
 
—
  
    
 
    
—
   
 
—
 
     
 
—
  
 
100,233,950
     
 
25,722,553
  
    
 
    
—
   
 
—
 
     
 
—
  
 
2,442,544
     
 
—
  
    
 
    
                                  
                                  
$9.73
   
$
9.79
 
     
$
1.00
  
$
1.00
     
$
1.00
  
    
 
    
—
   
 
—
 
     
 
—
  
 
—
     
 
—
  
    
 
    
—
   
 
—
 
     
 
—
  
$
1.00
     
$
1.00
  
    
 
    
—
   
 
—
 
     
 
—
  
$
1.00
     
 
—
  
    
 
    
                                  
$10.19 ***
   
$
10.25
***
     
 
—
  
 
—
     
 
—
  
    
 
    
—
   
 
—
 
     
 
—
  
 
—
     
 
—
  
    
 
    
                                  
$9.73
   
$
9.79
 
     
 
—
  
 
—
     
 
—
  
    
 
    
—
   
 
—
 
     
 
—
  
 
—
     
 
—
  
    
 
    
$151,162,028
   
$
117,810,084
 
     
$
201,167,333
  
$
1,508,388,669
     
$
672,908,073
  
    
 
    

61

 
VISION Group of Funds
Statements of Operations
Six Months Ended October 31, 2002 (unaudited)
   
International
Equity
Fund
    
Small Cap Stock
Fund
    
Mid Cap
Stock
Fund
  
Investment Income:
                        
                       
Dividends
  
$
513,246
(a)
  
$
454,654
 
  
$
658,897
(b)
                       
Interest
  
 
10,782
 
  
 
28,041
 
  
 
17,429
 
 
 
 
Total investment income
  
 
524,028
 
  
 
482,695
 
  
 
676,326
 
                       
Expenses:
                        
                       
Investment adviser fee
  
 
215,543
 
  
 
419,009
 
  
 
465,992
 
                       
Administrative personnel and services fee
  
 
18,547
 
  
 
42,411
 
  
 
47,170
 
                       
Custodian fees
  
 
49,591
 
  
 
2,465
 
  
 
2,741
 
                       
Transfer and dividend disbursing agent fees and expenses
  
 
16,741
 
  
 
36,145
 
  
 
78,064
 
                       
Directors’ fees
  
 
415
 
  
 
1,341
 
  
 
1,145
 
                       
Auditing fees
  
 
1,383
 
  
 
4,837
 
  
 
3,569
 
                       
Legal fees
  
 
386
 
  
 
943
 
  
 
409
 
                       
Portfolio accounting fees
  
 
9,700
 
  
 
22,183
 
  
 
24,670
 
                       
Distribution services fee—Class B Shares
  
 
204
 
  
 
1,514
 
  
 
6,990
 
                       
Shareholder services fee—Class A Shares
  
 
53,818
 
  
 
122,733
 
  
 
134,727
 
                       
Shareholder services fee—Class B Shares
  
 
68
 
  
 
505
 
  
 
2,330
 
                       
Share registration costs
  
 
10,198
 
  
 
11,663
 
  
 
10,906
 
                       
Printing and postage
  
 
2,565
 
  
 
7,133
 
  
 
8,680
 
                       
Insurance premiums
  
 
462
 
  
 
608
 
  
 
600
 
                       
Miscellaneous
  
 
2,144
 
  
 
1,680
 
  
 
2,770
 
 
 
 
Total expenses
  
 
381,765
 
  
 
675,170
 
  
 
790,763
 
 
 
 
Waivers and Reimbursement:
                        
                       
Waiver of investment adviser fee
  
 
(21,554
)
  
 
—
 
  
 
—
 
                       
Waiver of shareholder services fee—Class A Shares
  
 
(32,291
)
  
 
(49,093
)
  
 
(107,781
)
                       
Reimbursement of other operating expenses
  
 
—
 
  
 
—
 
  
 
—
 
 
 
 
Total waivers and reimbursement
  
 
(53,845
)
  
 
(49,093
)
  
 
(107,781
)
 
 
 
Net expenses
  
 
327,920
 
  
 
626,077
 
  
 
682,982
 
 
 
 
Net investment income (net operating loss)
  
 
196,108
 
  
 
(143,382
)
  
 
(6,656
)
 
 
 
Realized and Unrealized Gain (Loss) on Investments and Foreign Currency Transactions:
                        
                       
Net realized gain (loss) on investments and foreign currency transactions
  
 
(1,449,289
)
  
 
591,213
 
  
 
(3,813,229
)
                       
Net change in unrealized appreciation (depreciation) of investments and translation of assets and liabilities in foreign currency
  
 
(6,375,620
)
  
 
(24,197,611
)
  
 
(17,398,002
)
 
 
 
Net realized and unrealized loss on investments and foreign currency transactions
  
 
(7,824,909
)
  
 
(23,606,398
)
  
 
(21,211,231
)
 
 
 
Change in net assets resulting from operations
  
$
(7,628,801
)
  
$
(23,749,780
)
  
$
(21,217,887
)
 
 
 
(a)
Includes dividend tax withheld expense of $54,453.
(b)
Includes dividend tax withheld expense of $3,062.

(See Notes which are an integral part of the Financial Statements)

62

 
Large Cap
Growth
Fund
    
Large Cap Core
Fund
       
Large Cap Value
Fund
    
Managed Allocation Fund—
Aggressive Growth
       
Managed Allocation Fund—
Moderate Growth
  
                                           
$
89,334
 
  
$
830,500
 
     
$
387,155
 
  
$
14,952
 
     
$
93,726
 
 
4,627
 
  
 
15,086
 
     
 
10,894
 
  
 
1,466
 
     
 
4,836
 
 
    
 
    
 
93,961
 
  
 
845,586
 
     
 
398,049
 
  
 
16,418
 
     
 
98,562
 
                                           
 
63,168
 
  
 
474,027
 
     
 
138,410
 
  
 
6,449
 
     
 
12,312
 
 
6,395
 
  
 
47,979
 
     
 
17,013
 
  
 
2,220
 
     
 
4,239
 
 
372
 
  
 
2,788
 
     
 
989
 
  
 
129
 
     
 
246
 
 
16,005
 
  
 
41,689
 
     
 
37,818
 
  
 
16,981
 
     
 
21,526
 
 
178
 
  
 
1,120
 
     
 
482
 
  
 
55
 
     
 
100
 
 
535
 
  
 
3,188
 
     
 
1,313
 
  
 
210
 
     
 
356
 
 
167
 
  
 
1,772
 
     
 
370
 
  
 
62
 
     
 
238
 
 
3,344
 
  
 
25,096
 
     
 
8,898
 
  
 
1,161
 
     
 
2,216
 
 
4,024
 
  
 
1,443
 
     
 
1,943
 
  
 
1,873
 
     
 
4,910
 
 
17,237
 
  
 
138,939
 
     
 
—
 
  
 
—
 
     
 
—
 
 
1,342
 
  
 
481
 
     
 
648
 
  
 
624
 
     
 
1,636
 
 
10,876
 
  
 
10,660
 
     
 
10,849
 
  
 
11,219
 
     
 
11,685
 
 
1,336
 
  
 
6,786
 
     
 
2,951
 
  
 
562
 
     
 
889
 
 
517
 
  
 
665
 
     
 
482
 
  
 
448
 
     
 
472
 
 
1,431
 
  
 
2,005
 
     
 
1,082
 
  
 
2,398
 
     
 
7,281
 
 
    
 
    
 
126,927
 
  
 
758,638
 
     
 
223,248
 
  
 
44,391
 
     
 
68,106
 
 
    
 
    
                                           
 
(17,835
)
  
 
—
 
     
 
—
 
  
 
(6,449
)
     
 
(12,312
)
 
(9,653
)
  
 
(55,576
)
     
 
—
 
  
 
—
 
     
 
—
 
 
—
 
  
 
—
 
     
 
—
 
  
 
(9,651
)
     
 
—
 
 
    
 
    
 
(27,488
)
  
 
(55,576
)
     
 
—
 
  
 
(16,100
)
     
 
(12,312
)
 
    
 
    
 
99,439
 
  
 
703,062
 
     
 
223,248
 
  
 
28,291
 
     
 
55,794
 
 
    
 
    
 
(5,478
)
  
 
142,524
 
     
 
174,801
 
  
 
(11,873
)
     
 
42,768
 
 
    
 
    
                                           
 
(1,975,944
)
  
 
(5,449,633
)
     
 
(4,532,436
)
  
 
(94,249
)
     
 
(74,881
)
 
(836,775
)
  
 
(25,888,920
)
     
 
(5,594,305
)
  
 
(859,499
)
     
 
(1,033,777
)
 
    
 
    
 
(2,812,719
)
  
 
(31,338,553
)
     
 
(10,126,741
)
  
 
(953,748
)
     
 
(1,108,658
)
 
    
 
    
$
(2,818,197
)
  
$
(31,196,029
)
     
$
(9,951,940
)
  
$
(965,621
)
     
$
(1,065,890
)
 
    
 
    

63

 
VISION Group of Funds
Statements of Operations—Continued
Six Months Ended October 31, 2002 (unaudited)

 
     
Managed
Allocation
Fund—Conservative
Growth
    
New York
Municipal
Income
Fund
    
Pennsylvania
Municipal
Income
Fund
  
Investment Income:
                           
                          
Dividends
     
$
59,166
 
  
$
—
 
  
$
—
 
                          
Interest
     
 
2,431
 
  
 
1,958,909
 
  
 
  1,881,558
 
    
 
 
Total investment income
     
 
61,597
 
  
 
1,958,909
 
  
 
1,881,558
 
                          
Expenses:
                           
                          
Investment adviser fee
     
 
4,415
 
  
 
292,071
 
  
 
302,847
 
                          
Administrative personnel and services fee
     
 
1,520
 
  
 
35,912
 
  
 
37,235
 
                          
Custodian fees
     
 
88
 
  
 
2,086
 
  
 
2,163
 
                          
Transfer and dividend disbursing agent fees and expenses
     
 
12,063
 
  
 
29,526
 
  
 
17,129
 
                          
Directors’ fees
     
 
38
 
  
 
982
 
  
 
1,017
 
                          
Auditing fees
     
 
126
 
  
 
2,256
 
  
 
2,704
 
                          
Legal fees
     
 
61
 
  
 
338
 
  
 
151
 
                          
Portfolio accounting fees
     
 
795
 
  
 
18,776
 
  
 
19,469
 
                          
Distribution services fee—Class B Shares
     
 
1,717
 
  
 
—
 
  
 
—
 
                          
Distribution services fee—Class S Shares
     
 
—
 
  
 
—
 
  
 
—
 
                          
Shareholder services fee—Class A Shares
     
 
—
 
  
 
—
 
  
 
108,159
 
                          
Shareholder services fee—Class B Shares
     
 
572
 
  
 
—
 
  
 
—
 
                          
Shareholder services fee—Class S Shares
     
 
—
 
  
 
—
 
  
 
—
 
                          
Shareholder services fee—Institutional Shares
     
 
—
 
  
 
—
 
  
 
—
 
                          
Share registration costs
     
 
12,160
 
  
 
7,137
 
  
 
7,268
 
                          
Printing and postage
     
 
302
 
  
 
5,371
 
  
 
5,476
 
                          
Insurance premiums
     
 
486
 
  
 
584
 
  
 
606
 
                          
Miscellaneous
     
 
2,346
 
  
 
1,144
 
  
 
2,812
 
    
 
 
Total expenses
     
 
36,689
 
  
 
396,183
 
  
 
507,036
 
    
 
 
Waivers and Reimbursement:
                           
                          
Waiver of investment adviser fee
     
 
(4,415
)
  
 
(37,552
)
  
 
(25,958
)
                          
Waiver of shareholder services fee—Class A Shares
     
 
—
 
  
 
—
 
  
 
(43,264
)
                          
Waiver of shareholder services fee—Institutional Shares
     
 
—
 
  
 
—
 
  
 
—
 
                          
Reimbursement of other operating expenses
     
 
(12,324
)
  
 
—
 
  
 
—
 
    
 
 
Total waivers and reimbursement
     
 
(16,739
)
  
 
(37,552
)
  
 
(69,222
)
    
 
 
Net expenses
     
 
19,950
 
  
 
358,631
 
  
 
437,814
 
    
 
 
Net investment income
     
 
41,647
 
  
 
1,600,278
 
  
 
1,443,744
 
    
 
 
Realized and Unrealized Gain (Loss) on Investments:
                           
                          
Net realized gain (loss) on investments
     
 
(24,234
)
  
 
204,230
 
  
 
396,340
 
                          
Net change in unrealized appreciation (depreciation) of investments
     
 
(94,344
)
  
 
1,636,156
 
  
 
1,926,092
 
    
 
 
Net realized and unrealized gain (loss) on investments
     
 
(118,578
)
  
 
1,840,386
 
  
 
2,322,432
 
    
 
 
Change in net assets resulting from operations
     
$
(76,931
)
  
$
3,440,664
 
  
$
3,766,176
 
    
 
 

(See Notes which are an integral part of the Financial Statements)

64

 

 
Intermediate
Term Bond
Fund
     
U.S. Government
Securities
Fund
     
New York
Tax-Free
Money Market
Fund
    
Money Market
Fund
       
Treasury
Money Market
Fund
  
                                          
$
—
 
   
$
—
     
$
—
 
  
$
—
 
     
$
—  
 
 
4,392,924
 
   
 
3,470,495
     
 
1,587,338
 
  
 
14,195,118
 
     
 
6,553,048
 
  
    
 
    
 
4,392,924
 
   
 
3,470,495
     
 
1,587,338
 
  
 
14,195,118
 
     
 
6,553,048
 
                                          
 
550,720
 
   
 
434,193
     
 
498,940
 
  
 
3,908,423
 
     
 
1,897,045
 
 
67,707
 
   
 
53,388
     
 
85,885
 
  
 
672,670
 
     
 
326,403
 
 
3,934
 
   
 
3,101
     
 
4,989
 
  
 
23,701
 
     
 
13,630
 
 
35,885
 
   
 
51,142
     
 
34,534
 
  
 
324,537
 
     
 
120,211
 
 
2,161
 
   
 
1,304
     
 
2,401
 
  
 
13,694
 
     
 
9,425
 
 
4,505
 
   
 
3,143
     
 
5,762
 
  
 
50,354
 
     
 
25,345
 
 
1,100
 
   
 
334
     
 
1,049
 
  
 
12,487
 
     
 
5,464
 
 
35,404
 
   
 
27,912
     
 
44,905
 
  
 
351,758
 
     
 
170,734
 
 
—
 
   
 
—
     
 
—
 
  
 
—
 
     
 
—
 
 
—
 
   
 
—
     
 
—
 
  
 
129,418
 
     
 
32,661
 
 
196,686
 
   
 
—
     
 
—
 
  
 
1,821,399
 
     
 
—
 
 
—
 
   
 
—
     
 
—
 
  
 
—
 
     
 
—
 
 
—
 
   
 
—
     
 
—
 
  
 
129,418
 
     
 
—
 
 
—
 
   
 
—
     
 
—
 
  
 
3,395
 
     
 
—
 
 
6,964
 
   
 
6,838
     
 
7,662
 
  
 
16,791
 
     
 
14,389
 
 
11,048
 
   
 
8,146
     
 
9,597
 
  
 
112,771
 
     
 
43,002
 
 
795
 
   
 
651
     
 
4,140
 
  
 
3,908
 
     
 
1,897
 
 
2,396
 
   
 
1,234
     
 
2,308
 
  
 
4,294
 
     
 
16,079
 
  
    
 
    
 
919,305
 
   
 
591,386
     
 
702,172
 
  
 
7,579,018
 
     
 
2,676,285
 
  
    
 
    
                                          
 
(180,951
)
   
 
—
     
 
(89,809
)
  
 
(1,563,369
)
     
 
(341,468
)
 
(118,012
)
   
 
—
     
 
—
 
  
 
(364,280
)
     
 
—
 
 
—
 
   
 
—
     
 
—
 
  
 
(2,037
)
     
 
—
 
 
—
 
   
 
—
     
 
—
 
  
 
—
 
     
 
—
 
  
    
 
    
 
(298,963
)
   
 
—
     
 
(89,809
)
  
 
(1,929,686
)
     
 
(341,468
)
  
    
 
    
 
620,342
 
   
 
591,386
     
 
612,363
 
  
 
5,649,332
 
     
 
2,334,817
 
  
    
 
    
 
3,772,582
 
   
 
2,879,109
     
 
974,975
 
  
 
8,545,786
 
     
 
4,218,231
 
  
    
 
    
                                          
 
475,830
 
   
 
775,031
     
 
230
 
  
 
—
 
     
 
195
 
 
3,500,212
 
   
 
3,458,554
     
 
—
 
  
 
—
 
     
 
—
 
  
    
 
    
 
3,976,042
 
   
 
4,233,585
     
 
230
 
  
 
—
 
     
 
195
 
  
    
 
    
$
7,748,624
 
   
$
7,112,694
     
$
975,205
 
  
$
8,545,786
 
     
$
4,218,426
 
  
    
 
    

65

VISION Group of Funds
Statements of Changes in Net Assets

 
   
International Equity Fund
    
Small Cap Stock Fund
  
   
Six Months
Ended
(unaudited)
    
Year Ended
    
Six Months
Ended
(unaudited)
    
Year Ended
  
Increase (Decrease) in Net Assets:
                                
                               
Operations:
                                
                               
Net investment income (net operating loss)
  
$
196,108
 
  
$
233,622
 
  
$
(143,382
)
  
$
(621,074
)
                               
Net realized gain (loss) on investments and foreign currency transactions
  
 
(1,449,289
)
  
 
(3,512,938
)
  
 
591,213
 
  
 
19,347,122
 
                               
Net change in unrealized appreciation (depreciation) of investments and translation of assets and liabilities in foreign currency
  
 
(6,375,620
)
  
 
1,996,503
 
  
 
(24,197,611
)
  
 
(9,189,552
)
 
 
 
 
Change in net assets resulting from operations
  
 
(7,628,801
)
  
 
(1,282,813
)
  
 
(23,749,780
)
  
 
9,536,496
 
 
 
 
 
Distributions to Shareholders:
                                
                               
Distributions from net investment income
                                
                               
Class A Shares
  
 
—
 
  
 
(814,278
)
  
 
—
 
  
 
—
 
                               
Class B Shares
  
 
—
 
  
 
(545
)
  
 
—
 
  
 
—
 
                               
Distributions from net realized gain on investments and foreign currency transactions
                                
                               
Class A Shares
  
 
—
 
  
 
—
 
  
 
—
 
  
 
(3,692,802
)
                               
Class B Shares
  
 
—
 
  
 
—
 
  
 
—
 
  
 
(4,909
)
 
 
 
 
Change in net assets resulting from distributions to shareholders
  
 
—
 
  
 
(814,823
)
  
 
—
 
  
 
(3,697,711
)
 
 
 
 
Share Transactions:
                                
                               
Proceeds from sales of shares
  
 
6,235,661
 
  
 
20,271,728
 
  
 
8,719,754
 
  
 
20,764,887
 
                               
Net asset value of shares issued to shareholders in payment of distributions declared
  
 
—  
 
  
 
324,947
 
  
 
—  
 
  
 
3,355,762
 
                               
Cost of shares redeemed
  
 
(2,668,482
)
  
 
(7,609,378
)
  
 
(8,031,412
)
  
 
(28,094,868
)
 
 
 
 
Change in net assets resulting from share transactions
  
 
3,567,179
 
  
 
12,987,297
 
  
 
688,342
 
  
 
(3,974,219
)
 
 
 
 
Change in net assets
  
 
(4,061,622
)
  
 
10,889,661
 
  
 
(23,061,438
)
  
 
1,864,566
 
                               
Net Assets:
                                
                               
Beginning of period
  
 
45,810,769
 
  
 
34,921,108
 
  
 
115,398,216
 
  
 
113,533,650
 
 
 
 
 
End of period
  
$
41,749,147
 
  
$
45,810,769
 
  
$
92,336,778
 
  
$
115,398,216
 
 
 
 
 
Undistributed (distributions in excess of) net investment income included in net assets at end of period
  
$
390,658
 
  
$
194,550
 
  
$
(143,382
)
  
$
—
 
 
 
 
 

(See Notes which are an integral part of the Financial Statements)

66

 
Mid Cap Stock Fund
    
Large Cap Growth Fund
    
Large Cap Core Fund
  
Six Months
Ended
(unaudited)
       
Year Ended
    
Six Months
Ended
(unaudited)
       
Year Ended
    
Six Months
Ended
(unaudited)
       
Year Ended
  
                                                      
                                                      
$
(6,656
)
     
$
(311,349
)
  
$
(5,478
)
     
$
(160
)
  
$
142,524
 
     
$
297,158
 
 
(3,813,229
)
     
 
(1,957,105
)
  
 
(1,975,944
)
     
 
(1,191,932
)
  
 
(5,449,633
)
     
 
22,419,942
 
 
(17,398,002
)
     
 
1,521,154
 
  
 
(836,775
)
     
 
75,012
 
  
 
(25,888,920
)
     
 
(52,761,839
)
    
 
    
 
    
 
(21,217,887
)
     
 
(747,300
)
  
 
(2,818,197
)
     
 
(1,117,080
)
  
 
(31,196,029
)
     
 
(30,044,739
)
    
 
    
 
    
                                                      
                                                      
 
—
 
     
 
—
 
  
 
—
 
     
 
—
 
  
 
(301,466
)
     
 
—
 
 
—
 
     
 
—
 
  
 
—
 
     
 
—
 
  
 
—
 
     
 
—
 
                                                      
 
—
 
     
 
—
 
  
 
—
 
     
 
—
 
  
 
—
 
     
 
(12,319,742
)
 
—
 
     
 
—
 
  
 
  —
 
     
 
—
 
  
 
—
 
     
 
(18,951
)
    
 
    
 
    
 
—
 
     
 
—
 
  
 
—
 
     
 
—
 
  
 
(301,466
)
     
 
(12,338,693
)
    
 
    
 
    
                                                      
 
12,694,420
 
     
 
21,075,801
 
  
 
2,381,420
 
     
 
6,461,101
 
  
 
16,343,324
 
     
 
34,572,346
 
 
—
 
     
 
—
 
  
 
—
 
     
 
—
 
  
 
93,097
 
     
 
11,352,830
 
 
(11,357,918
)
     
 
(19,643,773
)
  
 
(1,442,162
)
     
 
(1,383,216
)
  
 
(13,989,854
)
     
 
(75,355,483
)
    
 
    
 
    
 
1,336,502
 
     
 
1,432,028
 
  
 
939,258
 
     
 
5,077,885
 
  
 
2,446,567
 
     
 
(29,430,307
)
    
 
    
 
    
 
(19,881,385
)
     
 
684,728
 
  
 
(1,878,939
)
     
 
3,960,805
 
  
 
(29,050,928
)
     
 
(71,813,739
)
                                                      
 
121,458,185
 
     
 
120,773,457
 
  
 
16,530,398
 
     
 
12,569,593
 
  
 
129,871,288
 
     
 
201,685,027
 
    
 
    
 
    
$
101,576,800
 
     
$
121,458,185
 
  
$
14,651,459
 
     
$
16,530,398
 
  
$
100,820,360
 
     
$
129,871,288
 
    
 
    
 
    
$
(6,756
)
     
$
(100
)
  
$
(5,478
)
     
$
—
 
  
$
135,038
 
     
$
293,980
 
    
 
    
 
    

67

VISION Group of Funds
Statements of Changes in Net Assets—Continued

 
   
Large Cap Value
Fund
    
Managed Allocation Fund—
Aggressive Growth
  
   
Six Months
Ended
(unaudited)
    
Year Ended
    
Six Months
Ended
(unaudited)
    
Year Ended
  
Increase (Decrease) in Net Assets:
                                
                               
Operations:
                                
                               
Net investment income (net operating loss)
  
$
174,801
 
  
$
218,650
 
  
$
(11,873
)
  
$
6,485
 
                               
Net realized gain (loss) on investments
  
 
(4,532,436
)
  
 
(60,485
)
  
 
(94,249
)
  
 
(14,249
)
                               
Net realized gain on capital gain distributions from other investment companies
  
 
—
 
  
 
—
 
  
 
—
 
  
 
46,044
 
                               
Net change in unrealized appreciation (depreciation) of investments
  
 
(5,594,305
)
  
 
(5,087,412
)
  
 
(859,499
)
  
 
(176,449
)
 
 
 
 
Change in net assets resulting from operations
  
 
(9,951,940
)
  
 
(4,929,247
)
  
 
(965,621
)
  
 
(138,169
)
 
 
 
 
Distributions to Shareholders:
                                
                               
Distributions from net investment income
                                
                               
Class A Shares
  
 
(130,423
)
  
 
(217,301
)
  
 
—
 
  
 
(6,485
)
                               
Class B Shares
  
 
—
 
  
 
—
 
  
 
—
 
  
 
—
 
                               
Distributions from net realized gain on investments
                                
                               
Class A Shares
  
 
—
 
  
 
(585,946
)
  
 
—
 
  
 
(39,222
)
                               
Class B Shares
  
 
—
 
  
 
(5,253
)
  
 
—
 
  
 
—
 
 
 
 
 
Change in net assets resulting from distributions to shareholders
  
 
(130,423
)
  
 
(808,500
)
  
 
—
 
  
 
(45,707
)
 
 
 
 
Share Transactions:
                                
                               
Proceeds from sales of shares
  
 
9,401,237
 
  
 
17,149,257
 
  
 
2,367,244
 
  
 
3,663,981
 
                               
Net asset value of shares issued to shareholders in payment of distributions declared
  
 
89,649
 
  
 
540,425
 
  
 
—
 
  
 
45,581
 
                               
Cost of shares redeemed
  
 
(4,020,809
)
  
 
(6,713,479
)
  
 
(586,267
)
  
 
(287,898
)
 
 
 
 
Change in net assets resulting from share transactions
  
 
5,470,077
 
  
 
10,976,203
 
  
 
1,780,977
 
  
 
3,421,664
 
 
 
 
 
Change in net assets
  
 
(4,612,286
)
  
 
5,238,456
 
  
 
815,356
 
  
 
3,237,788
 
                               
Net Assets:
                                
                               
Beginning of period
  
 
43,313,950
 
  
 
38,075,494
 
  
 
4,871,621
 
  
 
1,633,833
 
 
 
 
 
End of period
  
$
38,701,664
 
  
$
43,313,950
 
  
$
5,686,977
 
  
$
4,871,621
 
 
 
 
 
Undistributed (distributions in excess of) net investment income included in net assets at end of period
  
$
45,846
 
  
$
1,468
 
  
$
(11,873
)
  
$
—
 
 
 
 
 
 

(See Notes which are an integral part of the Financial Statements)

68

 
Managed Allocation Fund—
Moderate Growth
    
Managed Allocation Fund—
Conservative Growth
    
New York Municipal
Income Fund
  
Six Months
Ended
(unaudited)
       
Year Ended
    
Six Months
Ended
(unaudited)
       
Year Ended
    
Six Months
Ended
(unaudited)
       
Year Ended
  
                                                      
                                                      
$
42,768
 
     
$
72,428
 
  
$
41,647
 
     
$
51,336
 
  
$
1,600,278
 
     
$
3,144,754
 
 
(74,881
)
     
 
(16,280
)
  
 
(24,234
)
     
 
(4,492
)
  
 
204,230
 
     
 
210,620
 
 
—
 
     
 
40,284
 
  
 
—
 
     
 
10,568
 
  
 
—
 
     
 
—
 
 
(1,033,777
)
     
 
(112,145
)
  
 
(94,344
)
     
 
(27,670
)
  
 
1,636,156
 
     
 
1,102,589
 
    
 
    
 
    
 
(1,065,890
)
     
 
(15,713
)
  
 
(76,931
)
     
 
29,742
 
  
 
3,440,664
 
     
 
4,457,963
 
    
 
    
 
    
                                                      
                                                      
 
(47,465
)
     
 
(73,565
)
  
 
(38,244
)
     
 
(51,899
)
  
 
(1,593,639
)
     
 
(3,142,739
)
 
(2,595
)
     
 
—
 
  
 
(4,271
)
     
 
—
 
  
 
—
 
     
 
—
 
                                                      
 
—
 
     
 
(8,803
)
  
 
—
 
     
 
(527
)
  
 
—
 
     
 
—
 
 
—
 
     
 
—
 
  
 
—
 
     
 
—
 
  
 
—
 
     
 
—
 
    
 
    
 
    
 
(50,060
)
     
 
(82,368
)
  
 
(42,515
)
     
 
(52,426
)
  
 
(1,593,639
)
     
 
(3,142,739
)
    
 
    
 
    
                                                      
 
5,056,066
 
     
 
6,973,217
 
  
 
1,870,587
 
     
 
2,687,249
 
  
 
9,564,578
 
     
 
20,209,605
 
 
49,989
 
     
 
82,025
 
  
 
41,556
 
     
 
50,990
 
  
 
736,631
 
     
 
1,597,624
 
 
(1,116,303
)
     
 
(711,066
)
  
 
(318,978
)
     
 
(375,485
)
  
 
(9,053,151
)
     
 
(17,520,654
)
    
 
    
 
    
 
3,989,752
 
     
 
6,344,176
 
  
 
1,593,165
 
     
 
2,362,754
 
  
 
1,248,058
 
     
 
4,286,575
 
    
 
    
 
    
 
2,873,802
 
     
 
6,246,095
 
  
 
1,473,719
 
     
 
2,340,070
 
  
 
3,095,083
 
     
 
5,601,799
 
                                                      
 
8,166,387
 
     
 
1,920,292
 
  
 
2,788,072
 
     
 
448,002
 
  
 
80,452,385
 
     
 
74,850,586
 
    
 
    
 
    
$
11,040,189
 
     
$
8,166,387
 
  
$
4,261,791
 
     
$
2,788,072
 
  
$
83,547,468
 
     
$
80,452,385
 
    
 
    
 
    
$
(7,002
)
     
$
290
 
  
$
(868
)
     
$
—
 
  
$
(7,919
)
     
$
(14,558
)
    
 
    
 
    

69

 
VISION Group of Funds
Statements of Changes in Net Assets—Continued
   
Pennsylvania Municipal
Income Fund
    
Intermediate Term
Bond Fund
  
   
Six Months
Ended
(unaudited)
    
Year Ended
    
Six Months
Ended
(unaudited)
    
Year Ended
  
Increase (Decrease) in Net Assets:
                                
                               
Operations:
                                
                               
Net investment income
  
$
1,443,744
 
  
$
3,425,132
 
  
$
3,772,582
 
  
$
10,194,589
 
                               
Net realized gain (loss) on investments
  
 
396,340
 
  
 
737,494
 
  
 
475,830
 
  
 
2,369,937
 
                               
Net change in unrealized appreciation (depreciation) of investments
  
 
1,926,092
 
  
 
661,084
 
  
 
3,500,212
 
  
 
(958,516
)
 
 
 
 
Change in net assets resulting from operations
  
 
3,766,176
 
  
 
4,823,710
 
  
 
7,748,624
 
  
 
11,606,010
 
 
 
 
 
Distributions to Shareholders:
                                
                               
Distributions from net investment income
                                
                               
Class A Shares
  
 
(1,443,662
)
  
 
(3,457,141
)
  
 
(4,132,382
)
  
 
(10,537,578
)
                               
Class S Shares
  
 
—
 
  
 
—
 
  
 
—
 
  
 
—
 
                               
Institutional Shares
  
 
—
 
  
 
—
 
  
 
—
 
  
 
—
 
 
 
 
 
Change in net assets resulting from distributions to shareholders
  
 
(1,443,662
)
  
 
(3,457,141
)
  
 
(4,132,382
)
  
 
(10,537,578
)
 
 
 
 
Share Transactions:
                                
                               
Proceeds from sales of shares
  
 
6,569,460
 
  
 
12,209,799
 
  
 
11,205,928
 
  
 
26,476,776
 
                               
Net asset value of shares issued to shareholders in payment of distributions declared
  
 
58,602
 
  
 
155,972
 
  
 
583,747
 
  
 
1,837,004
 
                               
Cost of shares redeemed
  
 
(7,618,080
)
  
 
(15,275,332
)
  
 
(21,482,222
)
  
 
(86,429,386
)
 
 
 
 
Change in net assets resulting from share transactions
  
 
(990,018
)
  
 
(2,909,561
)
  
 
(9,692,547
)
  
 
(58,115,606
)
 
 
 
 
Change in net assets
  
 
1,332,496
 
  
 
(1,542,992
)
  
 
(6,076,305
)
  
 
(57,047,174
)
                               
Net Assets:
                                
                               
Beginning of period
  
 
84,757,989
 
  
 
86,300,981
 
  
 
159,945,700
 
  
 
216,992,874
 
 
 
 
 
End of period
  
$
86,090,485
 
  
$
84,757,989
 
  
$
153,869,395
 
  
$
159,945,700
 
 
 
 
 
Undistributed (distributions in excess of) net investment income included
in net assets at end of period
  
$
2,387
 
  
$
2,305
 
  
$
(220,479
)
  
$
139,321
 
 
 
 
 

(See Notes which are an integral part of the Financial Statements)

70

 

 
U.S. Government
Securities Fund
    
New York Tax-Free
Money Market Fund
    
Money Market
Fund
    
Treasury Money Market
Fund
  
Six Months
Ended
(unaudited)
    
Year Ended
    
Six Months
Ended
(unaudited)
    
Year Ended
    
Six Months
Ended
(unaudited)
    
Year Ended
    
Six Months
Ended
(unaudited)
    
Year Ended
  
                                                             
                                                             
$
2,879,109
 
  
$
4,945,135
 
  
$
974,975
 
  
$
2,982,023
 
  
$
8,545,786
 
  
$
42,149,990
 
  
$
4,218,231
 
  
$
18,531,584
 
 
775,031
 
  
 
(96,564
)
  
 
230
 
  
 
—
 
  
 
—
 
  
 
(25,337
)
  
 
195
 
  
 
—
 
 
3,458,554
 
  
 
1,822,397
 
  
 
—
 
  
 
—
 
  
 
—
 
  
 
—
 
  
 
—
 
  
 
—
 
 
 
 
 
 
 
 
 
7,112,694
 
  
 
6,670,968
 
  
 
975,205
 
  
 
2,982,023
 
  
 
8,545,786
 
  
 
42,124,653
 
  
 
4,218,426
 
  
 
18,531,584
 
 
 
 
 
 
 
 
                                                             
 
(3,284,911
)
  
 
(6,139,293
)
  
 
(975,241
)
  
 
(2,982,023
)
  
 
(8,308,413
)
  
 
(40,321,122
)
  
 
(4,117,549
)
  
 
(17,978,918
)
 
—
 
  
 
—
 
  
 
—
 
  
 
—
 
  
 
(225,963
)
  
 
(1,823,120
)
  
 
(114,120
)
  
 
(552,666
)
 
—
 
  
 
—
 
  
 
—
 
  
 
—
 
  
 
(16,860
)
  
 
(5,748
)
  
 
—
 
  
 
—
 
 
 
 
 
 
 
 
 
(3,284,911
)
  
 
(6,139,293
)
  
 
(975,241
)
  
 
(2,982,023
)
  
 
(8,551,236
)
  
 
(42,149,990
)
  
 
(4,231,669
)
  
 
(18,531,584
)
 
 
 
 
 
 
 
                                                             
 
23,501,575
 
  
 
46,587,996
 
  
 
1,044,194,862
 
  
 
2,194,740,601
 
  
 
55,067,258,739
 
  
 
135,324,350,616
 
  
 
15,990,474,394
 
  
 
34,053,760,815
 
                                                             
 
1,501,560
 
  
 
3,210,442
 
  
 
461,374
 
  
 
1,714,421
 
  
 
3,528,353
 
  
 
22,888,383
 
  
 
370,352
 
  
 
2,061,620
 
 
(20,189,628
)
  
 
(22,959,459
)
  
 
(1,029,843,009
)
  
 
(2,167,771,022
)
  
 
(55,191,134,414
)
  
 
(135,379,575,107
)
  
 
(16,086,032,625
)
  
 
(34,099,703,149
)
 
 
 
 
 
 
 
 
4,813,507
 
  
 
26,838,979
 
  
 
14,813,227
 
  
 
28,684,000
 
  
 
(120,347,322
)
  
 
(32,336,108
)
  
 
(95,187,879
)
  
 
(43,880,714
)
 
 
 
 
 
 
 
 
8,641,290
 
  
 
27,370,654
 
  
 
14,813,191
 
  
 
28,684,000
 
  
 
(120,352,772
)
  
 
(32,361,445
)
  
 
(95,201,122
)
  
 
(43,880,714
)
                                                             
 
116,350,342
 
  
 
88,979,688
 
  
 
187,042,750
 
  
 
158,358,750
 
  
 
1,627,393,786
 
  
 
1,659,755,231
 
  
 
767,495,625
 
  
 
811,376,339
 
 
 
 
 
 
 
 
$
124,991,632
 
  
$
116,350,342
 
  
$
201,855,941
 
  
$
187,042,750
 
  
$
1,507,041,014
 
  
$
1,627,393,786
 
  
$
672,294,503
 
  
$
767,495,625
 
 
 
 
 
 
 
 
$
(548,493
)
  
$
(142,691
)
  
$
(266
)
  
$
—
 
  
$
(45,543
)
  
$
(40,093
)
  
$
(13,438
)
  
$
—
 
 
 
 
 
 
 
 

71
 
VISION Group of Funds
Financial Highlights
(For a share outstanding throughout each period)
 
Year
Ended
April 30,
     
Net Asset
Value,
beginning
of period
     
Net
Investment
Income
(Operating
Loss)
       
Net Realized
and
Unrealized
Gain (Loss) on
Investments
and Foreign
Currency
Transactions
       
Total from
Investment
Operations
       
Distributions
from Net
Investment
Income
       
Distributions
in Excess of
Net
Investment
Income
       
Distributions
from Net
Realized
Gain on
Investments
and Foreign
Currency
Transactions
  
International Equity Fund—Class A Shares(c)
                                    
1999 
(d)
   
$
10.00
     
0.11
 
     
0.48
 
     
0.59
 
     
—
 
     
—
 
     
—
 
2000 
(f)
   
$
10.59
     
0.08
 
     
1.28
 
     
1.36
 
     
(0.14
)
     
—
 
     
(0.14
)
2001 
(g)(h)
   
$
11.67
     
0.01
(i)
     
(1.31
)
     
(1.30
)
     
—
 
     
—
 
     
(0.71
)
2002
 
   
$
9.66
     
0.16
 
     
(0.71
)
     
(0.55
)
     
(0.16
)
     
—
 
     
—
 
2002 
(j)
   
$
8.95
     
0.03
 
     
(1.51
)
     
(1.48
)
     
—
 
     
—
 
     
—
 
International Equity Fund—Class B Shares
                                    
2001 
(k)
   
$
10.25
     
(0.05
)(i)
     
(0.55
)
     
(0.60
)
     
—
 
     
—
 
     
—
 
2002
 
   
$
9.65
     
0.20
 
     
(0.83
)
     
(0.63
)
     
(0.13
)
     
—
 
     
—
 
2002 
(j)
   
$
8.89
     
(0.01
)
     
(1.49
)
     
(1.50
)
     
—
 
     
—
 
     
—
 
Small Cap Stock Fund—Class A Shares(c)
                                    
1998 
(f)
   
$
10.24
     
(0.01
)
     
1.30
 
     
1.29
 
     
—
 
     
—
 
     
(0.12
)
1999 
(f)
   
$
11.41
     
(0.01
)
     
1.00
 
     
0.99
 
     
—
 
     
(0.01
)
     
(0.37
)
2000 
(f)
   
$
12.02
     
(0.03
)
     
1.60
 
     
1.57
 
     
—
 
     
—
 
     
(1.71
)
2001 
(g)(h)
   
$
11.88
     
(0.08
)(i)
     
(0.64
)
     
(0.72
)
     
—
 
     
—
 
     
(1.14
)
2002
 
   
$
10.02
     
0.00
(m)
     
0.77
 
     
0.77
 
     
—
 
     
—
 
     
(0.34
)
2002 
(j)
   
$
10.45
     
(0.01
)
     
(2.17
)
     
(2.18
)
     
—
 
     
—
 
     
—
 
Small Cap Stock Fund—Class B Shares
                                    
2001 
(k)
   
$
9.75
     
(0.05
)(i)
     
0.31
 
     
0.26
 
     
—
 
     
—
 
     
—
 
2002
 
   
$
10.01
     
(0.06
)
     
0.75
 
     
0.69
 
     
—
 
     
—
 
     
(0.34
)
2002 
(j)
   
$
10.36
     
(0.04
)
     
(2.15
)
     
(2.19
)
     
—
 
     
—
 
     
—
 
Mid Cap Stock Fund—Class A Shares(n)
                                    
1998
 
   
$
15.11
     
0.11
 
     
4.34
 
     
4.45
 
     
(0.09
)
     
—
 
     
(3.34
)
1999
 
   
$
16.13
     
0.05
 
     
(1.67
)
     
(1.62
)
     
(0.07
)
     
—
 
     
(0.99
)
2000
 
   
$
13.45
     
(0.01
)
     
2.54
 
     
2.53
 
     
(0.02
)
     
—
 
     
(0.45
)
2001
 
   
$
15.51
     
(0.03
)(i)
     
1.00
 
     
0.97
 
     
—
 
     
—
 
     
(1.97
)
2002
 
   
$
14.51
     
0.00
(m)
     
(0.12
)
     
(0.12
)
     
—
 
     
—
 
     
—
 
2002 
(j)
   
$
14.39
     
0.00
(m)
     
(2.47
)
     
(2.47
)
     
—
 
     
—
 
     
—
 
Mid Cap Stock Fund—Class B Shares
                                    
2000 
(o)
   
$
14.28
     
(0.03
)
     
1.25
 
     
1.22
 
     
—
 
     
—
 
     
—
 
2001
 
   
$
15.50
     
(0.15
)(i)
     
1.00
 
     
0.85
 
     
—
 
     
—
 
     
(1.97
)
2002
 
   
$
14.38
     
(0.07
)
     
(0.17
)
     
(0.24
)
     
—
 
     
—
 
     
—
 
2002 
(j)
   
$
14.14
     
(0.06
)
     
(2.43
)
     
(2.49
)
     
—
 
     
—
 
     
—
 
(a)
Based on net asset value, which does not reflect the sales charge or contingent deferred sales charge, if applicable.
(b)
This voluntary expense decrease is reflected in both the expense and net investment income (net operating loss) ratios shown above.
(c)
Formerly Governor International Equity Fund and Governor Aggressive Growth Fund, respectively.
(d)
Reflects operations for the period from February 9, 1999 (date of public investment) to June 30, 1999.
(e)
Computed on an annualized basis.
(f)
Reflects operations for the year ended June 30.
(g)
Reflects operations for the period from July 1, 2000 to April 30, 2001. The Funds have changed their fiscal year end from June 30 to April 30.
(h)
Effective January 8, 2001, the Funds changed their investment adviser from Martindale Andres & Company LLC to Manufactures and Traders Trust Company.
(i)
Based on average shares outstanding.
(j)
Six months ended October 31, 2002 (unaudited).
(k)
Reflects operations for the period from January 10, 2001 (date of public investment) to April 30, 2001.
(l)
Amount represents less than 0.01%.
(m)
Amount represents less than $0.01 per share.
(n)
Prior to October 15, 1999, reflects operations for VISION Growth and Income Fund.
(o)
Reflects operations for the period from March 15, 2000 (date of initial public investment) to April 30, 2000.

(See Notes which are an integral part of the Financial Statements)

72
 
 
                  
Ratios to Average Net Assets
                
Total
Distributions
     
Net Asset
Value, end
of period
   
Total
Return(a)
     
Expenses
       
Net
Investment
Income
(Operating Loss)
       
Expense
Waiver/
Reimbursement(b)
     
Net Assets,
end
of period
(000 omitted)
     
Portfolio
Turnover
Rate
  
                                                          
—
 
   
$
10.59
   
5.90
%
   
0.98
%(e)
     
2.80
%(e)
     
1.86
%(e)
   
$
39,506
     
17
%
(0.28
)
   
$
11.67
   
12.87
%
   
0.97
%
     
0.72
%
     
1.85
%
   
$
44,697
     
56
%
(0.71
)
   
$
9.66
   
(11.41
)%
   
1.46
%(e)
     
0.07
%(e)
     
0.42
%(e)
   
$
34,916
     
73
%
(0.16
)
   
$
8.95
   
(5.60
)%
   
1.64
%
     
0.61
%
     
0.15
%
   
$
45,754
     
61
%
—
 
   
$
7.47
   
(16.54
)%
   
1.52
%(e)
     
0.91
%(e)
     
0.25
%(e)
   
$
41,697
     
23
%
                                                          
—
 
   
$
9.65
   
(5.85
)%
   
4.04
%(e)
     
(0.50
)%(e)
     
0.00
%(e)(l)
   
$
5
     
73
%
(0.13
)
   
$
8.89
   
(6.42
)%
   
2.44
%
     
0.04
%
     
0.10
%
   
$
57
     
61
%
—
 
   
$
7.39
   
(16.87
)%
   
2.42
%(e)
     
0.01
%(e)
     
0.10
%(e)
   
$
52
     
23
%
                                                          
(0.12
)
   
$
11.41
   
12.72
%
   
0.83
%
     
(0.09
)%
     
1.33
%
   
$
135,612
     
8
%
(0.38
)
   
$
12.02
   
9.24
%
   
1.04
%
     
(0.05
)%
     
1.47
%
   
$
139,512
     
18
%
(1.71
)
   
$
11.88
   
16.31
%
   
1.06
%
     
(0.25
)%
     
1.40
%
   
$
148,926
     
43
%
(1.14
)
   
$
10.02
   
(6.57
)%
   
1.30
%(e)
     
(0.83
)%(e)
     
0.17
%(e)
   
$
113,499
     
21
%
(0.34
)
   
$
10.45
   
8.03
%
   
1.23
%
     
(0.57
)%
     
0.07
%
   
$
115,011
     
136
%
—
 
   
$
8.27
   
(20.86
)%
   
1.27
%(e)
     
(0.29
)%(e)
     
0.10
%(e)
   
$
91,908
     
36
%
                                                          
—
 
   
$
10.01
   
2.67
%
   
0.89
%(e)
     
(0.72
)%(e)
     
—
 
   
$
35
     
21
%
(0.34
)
   
$
10.36
   
7.22
%
   
2.05
%
     
(1.35
)%
     
—
 
   
$
387
     
136
%
—
 
   
$
8.17
   
(21.14
)%
   
2.12
%(e)
     
(1.12
)%(e)
     
—
 
   
$
428
     
36
%
                                                          
(3.43
)
   
$
16.13
   
31.40
%
   
1.21
%
     
0.65
%
     
—
 
   
$
143,404
     
88
%
(1.06
)
   
$
13.45
   
(9.26
)%
   
1.20
%
     
0.32
%
     
—
 
   
$
82,203
     
145
%
(0.47
)
   
$
15.51
   
19.88
%
   
1.54
%
     
(0.13
)%
     
—
 
   
$
110,651
     
163
%
(1.97
)
   
$
14.51
   
6.51
%
   
1.39
%
     
(0.17
)%
     
—
 
   
$
119,409
     
112
%
—
 
   
$
14.39
   
(0.83
)%
   
1.39
%
     
(0.26
)%
     
0.06
%
   
$
119,407
     
91
%
—
 
   
$
11.92
   
(17.16
)%
   
1.23
%(e)
     
—
(e)(l)
     
0.20
%(e)
   
$
99,863
     
38
%
                                                          
—
 
   
$
15.50
   
8.54
%
   
2.45
%(e)
     
(1.82
)%(e)
     
—
 
   
$
53
     
163
%
(1.97
)
   
$
14.38
   
5.69
%
   
2.14
%
     
(1.06
)%
     
—
 
   
$
1,364
     
112
%
—
 
   
$
14.14
   
(1.67
)%
   
2.20
%
     
(1.09
)%
     
—
 
   
$
2,051
     
91
%
—
 
   
$
11.65
   
(17.61
)%
   
2.18
%(e)
     
(0.95
)%(e)
     
—
 
   
$
1,714
     
38
%

73
 
VISION Group of Funds
Financial Highlights—Continued
(For a share outstanding throughout each period)
 
Year
Ended
April 30,
     
Net Asset
Value,
beginning
of period
     
Net
Investment
Income
(Operating
Loss)
       
Net Realized
and
Unrealized
Gain (Loss) on
Investments
       
Total from
Investment
Operations
       
Distributions
from Net
Investment
Income
       
Distributions
in Excess
of Net
Investment
Income
       
Distributions
from Net
Realized
Gain on
Investments
  
Large Cap Growth Fund—Class A Shares
                                    
2000 
(c)
   
$
10.00
     
0.01
 
     
0.03
 
     
0.04
 
     
—
 
     
—
 
     
—
 
2001
 
   
$
10.04
     
(0.02
)(f)
     
(1.47
)
     
(1.49
)
     
(0.01
)
     
—
 
     
—
 
2002
 
   
$
8.54
     
0.00
(g)
     
(0.63
)
     
(0.63
)
     
—
 
     
—
 
     
—
 
2002 
(h)
   
$
7.91
     
(0.00
)(g)
     
(1.35
)
     
(1.35
)
     
—
 
     
—
 
     
—
 
Large Cap Growth Fund—Class B Shares
                                    
2000 
(i)
   
$
10.31
     
0.00
(g)
     
(0.27
)
     
(0.27
)
     
—
 
     
—
 
     
—
 
2001
 
   
$
10.04
     
(0.10
)(f)
     
(1.47
)
     
(1.57
)
     
(0.01
)
     
—
 
     
—
 
2002
 
   
$
8.46
     
(0.02
)
     
(0.68
)
     
(0.70
)
     
—
 
     
—
 
     
—
 
2002 
(h)
   
$
7.76
     
(0.02
)
     
(1.34
)
     
(1.36
)
     
—
 
     
—
 
     
—
 
Large Cap Core Fund—Class A Shares (j)
                                    
1997 
(k)
   
$
10.00
     
0.08
 
     
1.13
 
     
1.21
 
     
(0.08
)
     
—
 
     
—
 
1998 
(l)
   
$
11.13
     
0.10
 
     
2.99
 
     
3.09
 
     
(0.10
)
     
—
 
     
(0.06
)
1999 
(l)
   
$
14.06
     
0.06
 
     
2.16
 
     
2.22
 
     
(0.06
)
     
—
 
     
(0.34
)
2000 
(l)
   
$
15.88
     
0.01
 
     
1.20
 
     
1.21
 
     
(0.01
)
     
(0.00
)(g)
     
(3.41
)
2001 
(m)(n)
   
$
13.67
     
(0.03
)(f)
     
(1.93
)
     
(1.96
)
     
—
 
     
—
 
     
(1.31
)
2002
 
   
$
10.40
     
0.02
 
     
(1.60
)
     
(1.58
)
     
—
 
     
—
 
     
(0.65
)
2002 
(h)
   
$
8.17
     
0.01
 
     
(1.99
)
     
(1.98
)
     
(0.02
)
     
—
 
     
—
 
Large Cap Core Fund—Class B Shares
                                    
2001 
(o)
   
$
11.70
     
(0.05
)(f)
     
(1.28
)
     
(1.33
)
     
—
 
     
—
 
     
—
 
2002
 
   
$
10.37
     
(0.04
)
     
(1.61
)
     
(1.65
)
     
—
 
     
—
 
     
(0.65
)
2002 
(h)
   
$
8.07
     
(0.01
)
     
(1.97
)
     
(1.98
)
     
—
 
     
—
 
     
—
 
(a)
Based on net asset value, which does not reflect the sales charge or contingent deferred sales charge, if applicable.
(b)
This voluntary expense decrease is reflected in both the expense and net investment income (net operating loss) ratios shown above.
(c)
Reflects operations for the period from March 20, 2000 (date of initial public investment) to April 30, 2000.
(d)
Computed on an annualized basis.
(e)
Amount represents less than 0.01%.
(f)
Based on average shares outstanding.
(g)
Amount represents less than $0.01 per share.
(h)
Six months ended October 31, 2002 (unaudited).
(i)
Reflects operations for the period from April 6, 2000 (date of initial public investment) to April 30, 2000.
(j)
Formerly Governor Established Growth Fund.
(k)
Reflects operations for the period from December 2, 1996 (date of public investment) to June 30, 1997.
(l)
Reflects operations for the year ended June 30.
(m)
Reflects operations for the period from July 1, 2000 to April 30, 2001. The Fund has changed its fiscal year end from June 30 to April 30.
(n)
Effective January 8, 2001, the Fund changed its investment adviser from Martindale Andres & Company LLC to Manufactures and Traders Trust Company.
(o)
Reflects operations for the period from January 18, 2001 (date of public investment) to April 30, 2001.

(See Notes which are an integral part of the Financial Statements)

74
 
 
                  
Ratios to Average Net Assets
                
Total
Distributions
     
Net Asset
Value, end
of period
   
Total
Return(a)
     
Expenses
       
Net
Investment
Income
(Operating Loss)
       
Expense
Waiver/
Reimbursement(b)
     
Net Assets,
end
of period
(000 omitted)
     
Portfolio
Turnover
Rate
  
                                                          
—
 
   
$
10.04
   
0.40
%
   
0.00
%(d)(e)
     
1.23
%(d)
     
4.50
%(d)
   
$
6,617
     
1
%
(0.01
)
   
$
8.54
   
(14.87
)%
   
1.51
%
     
(0.23
)%
     
0.14
%
   
$
12,128
     
52
%
—
 
   
$
7.91
   
(7.38
)%
   
1.18
%
     
0.04
%
     
0.29
%
   
$
15,368
     
45
%
—
 
   
$
6.56
   
(17.07
)%
   
1.27
%(d)
     
(0.01
)%(d)
     
0.38
%(d)
   
$
13,585
     
23
%
                                                          
—
 
   
$
10.04
   
(2.62
)%
   
0.00
%(d)(e)
     
0.99
%(d)
     
5.50
%(d)
   
$
42
     
1
%
(0.01
)
   
$
8.46
   
(15.66
)%
   
2.51
%
     
(1.16
)%
     
0.14
%
   
$
442
     
52
%
—
 
   
$
7.76
   
(8.27
)%
   
2.15
%
     
(0.91
)%
     
0.24
%
   
$
1,162
     
45
%
—
 
   
$
6.40
   
(17.53
)%
   
2.16
%(d)
     
(0.90
)%(d)
     
0.24
%(d)
   
$
1,067
     
23
%
                                                          
(0.08
)
   
$
11.13
   
12.20
%
   
0.44
%(d)
     
1.39
%(d)
     
1.01
%(d)
   
$
190,914
     
1
%
(0.16
)
   
$
14.06
   
27.92
%
   
0.71
%
     
0.77
%
     
1.06
%
   
$
258,812
     
6
%
(0.40
)
   
$
15.88
   
16.20
%
   
0.91
%
     
0.42
%
     
1.19
%
   
$
260,437
     
2
%
(3.42
)
   
$
13.67
   
9.31
%
   
0.94
%
     
0.07
%
     
1.13
%
   
$
277,934
     
41
%
(1.31
)
   
$
10.40
   
(15.87
)%
   
1.12
%(d)
     
(0.26
)%(d)
     
0.09
%(d)
   
$
201,609
     
33
%
(0.65
)
   
$
8.17
   
(15.35
)%
   
1.09
%
     
0.18
%
     
0.03
%
   
$
129,434
     
66
%
(0.02
)
   
$
6.17
   
(24.29
)%
   
1.26
%(d)
     
0.26
%(d)
     
0.10
%(d)
   
$
100,442
     
17
%
                                                          
—
 
   
$
10.37
   
(11.37
)%
   
0.79
%(d)
     
(0.62
)%(d)
     
—
 
   
$
76
     
33
%
(0.65
)
   
$
8.07
   
(16.10
)%
   
2.07
%
     
(0.82
)%
     
—
 
   
$
437
     
66
%
—
 
   
$
6.09
   
(24.54
)%
   
2.11
%(d)
     
(0.58
)%(d)
     
—
 
   
$
378
     
17
%

75
 
VISION Group of Funds
Financial Highlights—Continued
(For a share outstanding throughout each period)
 
Year
Ended
April 30,
     
Net Asset
Value,
beginning
of period
     
Net
Investment
Income
(Operating
Loss)
       
Net Realized
and
Unrealized
Gain (Loss) on
Investments
       
Total from
Investment
Operations
       
Distributions
from Net
Investment
Income
       
Distributions
in Excess of
Net
Investment
Income
       
Distributions
from Net
Realized
Gain on
Investments
  
Large Cap Value Fund—Class A Shares(c)
                                    
1998 
(d)
   
$
9.99
     
0.08
 
     
1.47
 
     
1.55
 
     
(0.07
)
     
—
 
     
—
 
1999
 
   
$
11.47
     
0.19
 
     
0.78
 
     
0.97
 
     
(0.19
)
     
—
 
     
(0.01
)
2000
 
   
$
12.24
     
0.18
 
     
(0.94
)
     
(0.76
)
     
(0.18
)
     
—
 
     
(0.16
)
2001
 
   
$
11.14
     
0.09
(f)
     
1.24
 
     
1.33
 
     
(0.09
)
     
—
 
     
(0.42
)
2002
 
   
$
11.96
     
0.06
 
     
(1.49
)
     
(1.43
)
     
(0.06
)
     
—
 
     
(0.16
)
2002 
(g)
   
$
10.31
     
0.04
 
     
(2.39
)
     
(2.35
)
     
(0.03
)
     
—
 
     
—
 
Large Cap Value Fund—Class B Shares
                                    
2000 
(h)
   
$
11.18
     
0.05
 
     
0.12
 
     
0.17
 
     
(0.06
)
     
—
 
     
(0.16
)
2001
 
   
$
11.13
     
(0.04
)(f)
     
1.24
 
     
1.20
 
     
(0.01
)
     
—
 
     
(0.42
)
2002
 
   
$
11.90
     
(0.01
)
     
(1.52
)
     
(1.53
)
     
—
 
     
—
 
     
(0.16
)
2002 
(g)
   
$
10.21
     
(0.01
)
     
(2.36
)
     
(2.37
)
     
—
 
     
—
 
     
—
 
Managed Allocation Fund—Aggressive Growth—Class A Shares(i)
                           
1999 
(j)
   
$
10.00
     
0.02
 
     
0.77
 
     
0.79
 
     
(0.02
)
     
—
 
     
—
 
2000 
(k)
   
$
10.77
     
0.11
 
     
0.75
 
     
0.86
 
     
(0.11
)
     
(0.03
)
     
(0.00
)(l)
2001 
(m)(n)
   
$
11.49
     
0.07
 
     
(0.89
)
     
(0.82
)
     
(0.07
)
     
—
 
     
(0.34
)
2002
 
   
$
10.26
     
0.02
 
     
(0.63
)
     
(0.61
)
     
(0.02
)
     
—
 
     
(0.14
)
2002 
(g)
   
$
9.49
     
(0.01
)
     
(1.65
)
     
(1.66
)
     
—
 
     
—
 
     
—
 
Managed Allocation Fund—Aggressive Growth—Class B Shares(o)
                           
2002
 
   
$
9.49
     
(0.03
)
     
(1.66
)
     
(1.69
)
     
—
 
     
—
 
     
—
 
Managed Allocation Fund—Moderate Growth—Class A Shares(i)
                           
1999 
(p)
   
$
10.00
     
0.04
 
     
0.56
 
     
0.60
 
     
(0.04
)
     
—
 
     
—
 
2000 
(k)
   
$
10.56
     
0.18
 
     
0.54
 
     
0.72
 
     
(0.18
)
     
—
 
     
(0.01
)
2001 
(m)(n)
   
$
11.09
     
0.14
 
     
(0.48
)
     
(0.34
)
     
(0.14
)
     
—
 
     
(0.49
)
2002
 
   
$
10.12
     
0.15
 
     
(0.39
)
     
(0.24
)
     
(0.16
)
     
—
 
     
(0.02
)
2002 
(g)
   
$
9.70
     
0.05
 
     
(1.07
)
     
(1.02
)
     
(0.05
)
     
—
 
     
—
 
Managed Allocation Fund—Moderate Growth—Class B Shares(o)
                           
2002
 
   
$
9.70
     
(0.00
)(l)
     
(1.07
)
     
(1.07
)
     
(0.02
)
     
—
 
     
—
 
(a)
Based on net asset value, which does not reflect the sales charge or contingent deferred sales charge, if applicable.
(b)
This voluntary expense decrease is reflected in both the expense and net investment income (net operating loss) ratios shown above.
(c)
Formerly VISION Equity Income Fund, effective August 30, 1999.
(d)
Reflects operations for the period from September 26, 1997 (date of initial public investment) to April 30, 1998.
(e)
Computed on an annualized basis.
(f)
Based on average shares outstanding.
(g)
Six months ended October 31, 2002 (unaudited).
(h)
Reflects operations for the period from December 10, 1999 (date of initial public investment) to April 30, 2000.
(i)
Formerly Governor Lifestyle Growth Fund and Governor Lifestyle Moderate Growth Fund, respectively.
(j)
Reflects operations for the period from February 18, 1999 (date of initial public investment) to June 30, 1999.
(k)
Reflects operations for the year ended June 30.
(l)
Amount represents less than $0.01 per share.
(m)
Reflects operations for the period from July 1, 2000 to April 30, 2001. The Funds have changed their fiscal year end from June 30 to April 30.
(n)
Effective January 8, 2001, the Funds changed their investment adviser from Martindale Andres & Company LLC to Manufacturers and Traders Trust Company.
(o)
Reflects operations for the period from April 30, 2002 (date of initial public investment) to October 31, 2002 (unaudited).
(p)
Reflects operations for the period from February 4, 1999 (date of initial public investment) to June 30, 1999.

(See Notes which are an integral part of the Financial Statements)

76
 
 
                  
Ratios to Average Net Assets
                  
Total
Distributions
     
Net Asset
Value, end
of period
   
Total
Return(a)
     
Expenses
       
Net
Investment
Income
(Operating Loss)
       
Expense
Waiver/
Reimbursement(b)
       
Net Assets,
end
of period
(000 omitted)
     
Portfolio
Turnover
Rate
  
                                                            
(0.07
)
   
$
11.47
   
15.51
%
   
1.08
%(e)
     
1.41
%(e)
     
0.52
%(e)
     
$
37,403
     
11
%
(0.20
)
   
$
12.24
   
8.59
%
   
1.02
%
     
1.67
%
     
—
 
     
$
45,582
     
55
%
(0.34
)
   
$
11.14
   
(6.15
)%
   
0.99
%
     
1.53
%
     
—
 
     
$
30,721
     
88
%
(0.51
)
   
$
11.96
   
12.36
%
   
1.15
%
     
0.77
%
     
—
 
     
$
37,847
     
80
%
(0.22
)
   
$
10.31
   
(11.99
)%
   
1.13
%
     
0.56
%
     
—
 
     
$
42,697
     
63
%
(0.03
)
   
$
7.93
   
(22.82
)%
   
1.11
%(e)
     
0.90
%(e)
     
—
 
     
$
38,256
     
13
%
                                                            
(0.22
)
   
$
11.13
   
1.62
%
   
1.99
%(e)
     
0.17
%(e)
     
—
 
     
$
10
     
88
%
(0.43
)
   
$
11.90
   
11.11
%
   
2.15
%
     
(0.38
)%
     
—
 
     
$
229
     
80
%
(0.16
)
   
$
10.21
   
(12.88
)%
   
2.13
%
     
(0.47
)%
     
—
 
     
$
617
     
63
%
—
 
   
$
7.84
   
(23.21
)%
   
2.11
%(e)
     
(0.11
)%(e)
     
—
 
     
$
445
     
13
%
                                                            
(0.02
)
   
$
10.77
   
7.87
%
   
1.81
%(e)
     
0.07
%(e)
     
51.10
%(e)
     
$
218
     
0
%
(0.14
)
   
$
11.49
   
8.00
%
   
1.64
%
     
0.26
%
     
9.53
%
     
$
1,352
     
28
%
(0.41
)
   
$
10.26
   
(7.35
)%
   
1.40
%(e)
     
0.76
%(e)
     
3.43
%(e)
     
$
1,634
     
72
%
(0.16
)
   
$
9.49
   
(5.92
)%
   
1.00
%
     
0.23
%
     
1.22
%
     
$
4,872
     
4
%
—
 
   
$
7.83
   
(17.49
)%
   
1.00
%(e)
     
(0.36
)%(e)
     
0.62
%(e)
     
$
4,716
     
7
%
                                                            
—
 
   
$
7.80
   
(17.81
)%
   
2.00
%(e)
     
(1.38
)%(e)
     
0.62
%(e)
     
$
971
     
7
%
                                                            
(0.04
)
   
$
10.56
   
6.02
%
   
1.76
%(e)
     
1.17
%(e)
     
36.79
%(e)
     
$
285
     
6
%
(0.19
)
   
$
11.09
   
6.81
%
   
1.64
%
     
1.09
%
     
7.85
%
     
$
1,214
     
32
%
(0.63
)
   
$
10.12
   
(3.18
)%
   
1.39
%(e)
     
1.70
%(e)
     
3.73
%(e)
     
$
1,920
     
76
%
(0.18
)
   
$
9.70
   
(2.39
)%
   
1.00
%
     
1.63
%
     
0.67
%
     
$
8,166
     
2
%
(0.05
)
   
$
8.63
   
(10.53
)%
   
1.00
%(e)
     
1.01
%(e)
     
0.25
%(e)
     
$
8,790
     
5
%
                                                            
(0.02
)
   
$
8.61
   
(11.04
)%
   
2.00
%(e)
     
(0.03
)%(e)
     
0.25
%(e)
     
$
2,250
     
5
%

77
VISION Group of Funds
Financial Highlights—Continued
(For a share outstanding throughout each period)
 
Year
Ended
April 30,
       
Net Asset
Value,
beginning
of period
     
Net
Investment
Income
       
Net Realized
and
Unrealized
Gain (Loss) on
Investments
       
Total from
Investment
Operations
       
Distributions
from Net
Investment
Income
       
Distributions
from Net
Realized
Gain on
Investments
  
Managed Allocation Fund—Conservative Growth—Class A Shares(c)
1999
(d)
     
$
10.00
     
0.07
 
     
0.15
 
     
0.22
 
     
(0.07
)
     
—
 
2000
(f)
     
$
10.15
     
0.25
 
     
0.24
 
     
0.49
 
     
(0.25
)
     
(0.00
)(g)
2001
(h)(i)
     
$
10.39
     
0.19
(j)
     
(0.10
)
     
0.09
 
     
(0.20
)
     
(0.39
)
2002
 
     
$
9.89
     
0.32
(j)
     
(0.17
)
     
0.15
 
     
(0.30
)
     
—
 
2002
(k)
     
$
9.74
     
0.12
 
     
(0.36
)
     
(0.24
)
     
(0.12
)
     
—
 
Managed Allocation Fund—Conservative Growth—Class B Shares(l)
2002
 
     
$
9.74
     
0.08
 
     
(0.37
)
     
(0.29
)
     
(0.09
)
     
—
 
New York Municipal Income Fund
1998
 
     
$
10.08
     
0.46
 
     
0.38
 
     
0.84
 
     
(0.46
)
     
(0.04
)
1999
 
     
$
10.42
     
0.46
 
     
0.19
 
     
0.65
 
     
(0.46
)
     
(0.09
)
2000
 
     
$
10.52
     
0.46
 
     
(0.75
)
     
(0.29
)
     
(0.46
)
     
(0.05
)
2001
 
     
$
9.72
     
0.45
 
     
0.52
 
     
0.97
 
     
(0.45
)
     
—
 
2002
 
     
$
10.24
     
0.41
(m)
     
0.17
(m)
     
0.58
 
     
(0.41
)
     
—
 
2002
(k)
     
$
10.41
     
0.20
 
     
0.25
 
     
0.45
 
     
(0.20
)
     
—
 
Pennsylvania Municipal Income Fund(c)
1997
(n)
     
$
10.21
     
0.34
 
     
0.06
 
     
0.40
 
     
(0.32
)
     
(0.00
)(g)
1998
(f)
     
$
10.29
     
0.49
 
     
0.11
 
     
0.60
 
     
(0.50
)
     
—
 
1999
(f)
     
$
10.39
     
0.47
 
     
(0.26
)
     
0.21
 
     
(0.48
)
     
(0.07
)
2000
(f)
     
$
10.05
     
0.46
 
     
(0.27
)
     
0.19
 
     
(0.46
)
     
(0.01
)
2001
(h)(i)
     
$
9.77
     
0.37
 
     
0.26
 
     
0.63
 
     
(0.37
)
     
—
 
2002
 
     
$
10.03
     
0.41
 
     
0.16
 
     
0.57
 
     
(0.41
)
     
—
 
2002
(k)
     
$
10.19
     
0.17
 
     
0.28
 
     
0.45
 
     
(0.17
)
     
—
 
(a)
Based on net asset value, which does not reflect the sales charge or contingent deferred sales charge, if applicable.
(b)
This voluntary expense decrease is reflected in both the expense and net investment income ratios shown above.
(c)
Formerly Governor Lifestyle Conservative Growth Fund and Governor Pennsylvania Municipal Bond Fund, respectively.
(d)
Reflects operations for the period from February 3, 1999 (date of initial public investment) to June 30, 1999.
(e)
Computed on an annualized basis.
(f)
Reflects operations for the year ended June 30.
(g)
Amount represents less than $0.01 per share.
(h)
Reflects operations for the period from July 1, 2000 to April 30, 2001. The Funds have changed their fiscal year end from June 30 to April 30.
(i)
Effective January 8, 2001, the Funds changed their investment adviser from Martindale Andres & Company LLC to Manufacturers and Traders Trust Company.
(j)
Based on average shares outstanding.
(k)
Six months ended October 31, 2002 (unaudited).
(l)
Reflects operations for the period from April 30, 2002 (date of initial public investment) to October 31, 2002 (unaudited).
(m)
Effective May 1, 2001, New York Municipal Income Fund adopted the provisions of the American Institute of Certified Public Accountants (AICPA) Audit and Accounting Guide for Investment Companies and began accreting discount/amortizing premium on long term debt securities. For the year ended April 30, 2002, this change had no effect on net investment income per share and net realized gain/loss per share, and increased the ratio of net investment income to average net assets from 3.97% to 3.98%. Per share, ratios and supplemental data for periods prior to May 1, 2001, have not been restated to reflect this change in presentation.
(n)
Reflects operations for the period from October 1, 1996 (date of initial public investment) to June 30, 1997.

(See Notes which are an integral part of the Financial Statements)

78
 
                    
Ratios to Average Net Assets
                  
Total
Distributions
     
Net Asset
Value, end
of period
   
Total
Return(a)
       
Expenses
       
Net
Investment
Income
       
Expense
Waiver/
Reimbursement(b)
       
Net Assets,
end
of period
(000 omitted)
     
Portfolio
Turnover
Rate
  
                                                              
(0.07
)
   
$
10.15
   
2.21
%
     
1.79
%(e)
     
2.57
%(e)
     
92.41
%(e)
     
$
150
     
2
%
(0.25
)
   
$
10.39
   
4.94
%
     
1.65
%
     
2.19
%
     
25.56
%
     
$
311
     
28
%
(0.59
)
   
$
9.89
   
0.94
%
     
1.38
%(e)
     
2.71
%(e)
     
17.68
%(e)
     
$
448
     
91
%
(0.30
)
   
$
9.74
   
1.60
%
     
1.00
%
     
3.28
%
     
1.75
%
     
$
2,788
     
19
%
(0.12
)
   
$
9.38
   
(2.48
)%
     
1.00
%(e)
     
2.49
%(e)
     
0.95
%(e)
     
$
3,270
     
6
%
                                                              
(0.09
)
   
$
9.36
   
(3.00
)%
     
2.00
%(e)
     
1.46
%(e)
     
0.95
%(e)
     
$
992
     
6
%
                                                              
(0.50
)
   
$
10.42
   
8.37
%
     
0.96
%
     
4.35
%
     
0.31
%
     
$
43,456
     
45
%
(0.55
)
   
$
10.52
   
6.37
%
     
0.82
%
     
4.38
%
     
0.20
%
     
$
52,860
     
44
%
(0.51
)
   
$
9.72
   
(2.71
)%
     
0.85
%
     
4.60
%
     
0.20
%
     
$
48,081
     
34
%
(0.45
)
   
$
10.24
   
10.11
%
     
0.88
%
     
4.36
%
     
0.14
%
     
$
74,851
     
50
%
(0.41
)
   
$
10.41
   
5.74
%
     
0.83
%
     
3.98
%(m)
     
0.09
%
     
$
80,452
     
46
%
(0.20
)
   
$
10.66
   
4.38
%
     
0.86
%(e)
     
3.84
%(e)
     
0.09
%(e)
     
$
83,547
     
23
%
                                                              
(0.32
)
   
$
10.29
   
3.98
%
     
0.37
%(e)
     
4.46
%(e)
     
0.86
%(e)
     
$
123,194
     
98
%
(0.50
)
   
$
10.39
   
5.89
%
     
0.58
%
     
4.65
%
     
0.92
%
     
$
118,685
     
62
%
(0.55
)
   
$
10.05
   
1.94
%
     
0.59
%
     
4.45
%
     
1.00
%
     
$
111,893
     
90
%
(0.47
)
   
$
9.77
   
1.96
%
     
0.59
%
     
4.59
%
     
0.93
%
     
$
92,664
     
96
%
(0.37
)
   
$
10.03
   
6.53
%
     
0.82
%(e)
     
4.46
%(e)
     
0.16
%(e)
     
$
86,301
     
37
%
(0.41
)
   
$
10.19
   
5.80
%
     
0.89
%
     
4.03
%
     
0.09
%
     
$
84,758
     
22
%
(0.17
)
   
$
10.47
   
4.48
%
     
1.01
%(e)
     
3.34
%(e)
     
0.16
%(e)
     
$
86,090
     
16
%

79
 
VISION Group of Funds
Financial Highlights—Continued
(For a share outstanding throughout each period)
 
Year
Ended
April 30,
     
Net Asset
Value,
beginning
of period
     
Net
Investment
Income
       
Net Realized
and
Unrealized
Gain (Loss) on
Investments
       
Total from
Investment
Operations
     
Distributions
from Net
Investment
Income
       
Distributions
in Excess of
Net
Investment
Income
       
Distributions
from Net
Realized
Gain on
Investments
  
Intermediate Term Bond Fund(c)
                                           
1997
(d)
   
$
10.00
     
0.36
 
     
(0.23
)
     
0.13
     
(0.36
)
     
—
 
     
—
 
1998
(f)
   
$
9.77
     
0.62
 
     
0.33
 
     
0.95
     
(0.62
)
     
—
 
     
—
 
1999
(f)
   
$
10.10
     
0.59
 
     
(0.50
)
     
0.09
     
(0.59
)
     
—
 
     
(0.11
)
2000
(f)
   
$
9.49
     
0.60
 
     
(0.31
)
     
0.29
     
(0.60
)
     
—
 
     
—
 
2001
(g)(h)
   
$
9.18
     
0.49
 
     
0.28
 
     
0.77
     
(0.49
)
     
—
 
     
—
 
2002
 
   
$
9.46
     
0.55
(i)
     
0.04
(i)
     
0.59
     
(0.54
)
     
—
 
     
—
 
2002
(j)
   
$
9.51
     
0.23
 
     
0.25
 
     
0.48
     
(0.26
)
     
—
 
     
—
 
U.S. Government Securities Fund
                                           
1998
 
   
$
9.28
     
0.60
 
     
0.34
 
     
0.94
     
(0.60
)
     
(0.01
)(k)
     
—
 
1999
 
   
$
9.61
     
0.58
 
     
(0.08
)
     
0.50
     
(0.58
)
     
—
 
     
(0.02
)
2000
 
   
$
9.51
     
0.59
 
     
(0.49
)
     
0.10
     
(0.59
)
     
—
 
     
—
 
2001
 
   
$
9.02
     
0.59
 
     
0.41
 
     
1.00
     
(0.58
)
     
—
 
     
—
 
2002
 
   
$
9.44
     
0.59
(l)
     
0.03
(l)
     
0.62
     
(0.57
)
     
—
 
     
—
 
2002
(j)
   
$
9.49
     
0.23
 
     
0.33
 
     
0.56
     
(0.26
)
     
—
 
     
—
 
New York Tax-Free Money Market Fund
                                  
1998
 
   
$
1.00
     
0.03
 
     
—
 
     
0.03
     
(0.03
)
     
—
 
     
—
 
1999
 
   
$
1.00
     
0.03
 
     
—
 
     
0.03
     
(0.03
)
     
—
 
     
—
 
2000
 
   
$
1.00
     
0.03
 
     
—
 
     
0.03
     
(0.03
)
     
—
 
     
—
 
2001
 
   
$
1.00
     
0.03
 
     
—
 
     
0.03
     
(0.03
)
     
—
 
     
—
 
2002
 
   
$
1.00
     
0.02
 
     
—
 
     
0.02
     
(0.02
)
     
—
 
     
—
 
2002
(j)
   
$
1.00
     
0.01
 
     
0.00
(m)
     
0.01
     
(0.01
)
     
—
 
     
—
 
(a)
Based on net asset value, which does not reflect the sales charge or contingent deferred sales charge, if applicable.
(b)
This voluntary expense decrease is reflected in both the expense and net investment income ratios shown above.
(c)
Formerly Governor Intermediate Term Income Fund.
(d)
Reflects operations for the period from December 2, 1996 (date of public investment) to June 30, 1997.
(e)
Computed on an annualized basis.
(f)
Reflects operations for the year ended June 30.
(g)
Reflects operations for the period from July 1, 2000 to April 30, 2001. The Funds have changed their fiscal year end from June 30 to April 30.
(h)
Effective January 8, 2001, the Funds changed their investment adviser from Martindale Andres & Company LLC to Manufactures and Traders Trust Company.
(i)
Effective May 1, 2001, Intermediate Term Bond Fund adopted the provisions of the AICPA, Audit and Accounting Guide for Investment Companies and began accreting discount/amortizing premium on long term debt securities. The effect of this change for the year ended April 30, 2002 was to decrease net investment income per share by $0.04, increase net realized gain/loss per share by $0.04, and decrease the ratio of net investment income to average net assets from 5.68% to 5.45%. Per share, ratios and supplemental data for periods prior to May 1, 2001 have not been restated to reflect this change in presentation.
(j)
Six months ended October 31, 2002 (unaudited).
(k)
Distributions are determined in accordance with income tax regulations which may differ from generally accepted accounting principles. These distributions do not represent a return of capital for federal tax purposes.
(l)
Effective May 1, 2001, U.S. Government Securities Fund adopted the provisions of the AICPA, Audit and Accounting Guide for Investment Companies and began accreting discount/amortizing premium on long-term debt securities. For the year ended April 30, 2002, this change had no effect on the net investment income per share or net realized and unrealized gain (loss) on investment per share, but decreased the ratio of net investment income to average net assets from 6.00% to 4.84%. Per share, ratio and supplemental data for the periods prior to May 1, 2001 have not been restated to reflect this change in presentation.
(m)
Amount represents less than $0.01 per share.

(See Notes which are an integral part of the Financial Statements)

80
 
                    
Ratios to Average Net Assets
                  
Total
Distributions
     
Net Asset
Value, end
of period
   
Total
Return(a)
       
Expenses
       
Net
Investment
Income
       
Expense
Waiver/
Reimbursement(b)
       
Net Assets,
end
of period
(000 omitted)
     
Portfolio
Turnover
Rate
  
                                                              
(0.36
)
   
$
9.77
   
1.40
%
     
0.37
%(e)
     
6.45
%(e)
     
0.84
%(e)
     
$
207,859
     
329
%
(0.62
)
   
$
10.10
   
9.95
%
     
0.57
%
     
6.27
%
     
0.92
%
     
$
275,565
     
218
%
(0.70
)
   
$
9.49
   
0.82
%
     
0.56
%
     
5.97
%
     
0.98
%
     
$
305,981
     
149
%
(0.60
)
   
$
9.18
   
3.18
%
     
0.56
%
     
6.38
%
     
0.89
%
     
$
245,161
     
192
%
(0.49
)
   
$
9.46
   
8.58
%
     
0.70
%(e)
     
6.25
%(e)
     
0.22
%(e)
     
$
216,993
     
80
%
(0.54
)
   
$
9.51
   
6.34
%
     
0.70
%
     
5.45
%(i)
     
0.27
%
     
$
159,946
     
55
%
(0.26
)
   
$
9.73
   
5.04
%
     
0.79
%(e)
     
4.80
%(e)
     
0.38
%(e)
     
$
153,869
     
46
%
                                                              
(0.61
)
   
$
9.61
   
10.42
%
     
1.03
%
     
6.30
%
     
0.09
%
     
$
53,922
     
70
%
(0.60
)
   
$
9.51
   
5.31
%
     
0.92
%
     
5.95
%
     
0.05
%
     
$
64,100
     
68
%
(0.59
)
   
$
9.02
   
1.11
%
     
0.93
%
     
6.36
%
     
0.05
%
     
$
60,165
     
46
%
(0.58
)
   
$
9.44
   
11.43
%
     
0.95
%
     
6.27
%
     
0.03
%
     
$
88,980
     
47
%
(0.57
)
   
$
9.49
   
6.72
%
     
0.96
%
     
4.84
%(l)
     
—
 
     
$
116,350
     
41
%
(0.26
)
   
$
9.79
   
5.94
%
     
0.95
%(e)
     
4.64
%(e)
     
—
 
     
$
124,992
     
31
%
                                                              
(0.03
)
   
$
1.00
   
3.14
%
     
0.50
%
     
3.09
%
     
0.28
%
     
$
73,345
     
—
 
(0.03
)
   
$
1.00
   
2.75
%
     
0.58
%
     
2.69
%
     
0.14
%
     
$
110,291
     
—
 
(0.03
)
   
$
1.00
   
2.97
%
     
0.60
%
     
3.00
%
     
0.09
%
     
$
172,791
     
—
 
(0.03
)
   
$
1.00
   
3.52
%
     
0.62
%
     
3.44
%
     
0.09
%
     
$
158,359
     
—
 
(0.02
)
   
$
1.00
   
1.62
%
     
0.63
%
     
1.59
%
     
0.09
%
     
$
187,043
     
—
 
(0.01
)
   
$
1.00
   
0.50
%
     
0.61
%(e)
     
0.98
%(e)
     
0.09
%(e)
     
$
201,856
     
—
 

81
 
VISION Group of Funds
Financial Highlights—Continued
(For a share outstanding throughout each period)
 
Year Ended April 30,
       
Net Asset Value, beginning of period
     
Net Investment Income
       
Distributions from Net Investment Income
       
Net Asset Value, end of period
     
Total Return(a)
  
Money Market Fund—Class A Shares
                           
1998
 
     
$
1.00
     
0.05
 
     
(0.05
)
     
$
1.00
     
5.11
%
1999
 
     
$
1.00
     
0.05
 
     
(0.05
)
     
$
1.00
     
4.76
%
2000
 
     
$
1.00
     
0.05
 
     
(0.05
)
     
$
1.00
     
4.95
%
2001
 
     
$
1.00
     
0.06
 
     
(0.06
)
     
$
1.00
     
5.85
%
2002
 
     
$
1.00
     
0.02
 
     
(0.02
)
     
$
1.00
     
2.41
%
2002
(c)
     
$
1.00
     
0.01
 
     
(0.01
)
     
$
1.00
     
0.56
%
Money Market Fund—Class S Shares
                           
1999
(e)
     
$
1.00
     
0.04
 
     
(0.04
)
     
$
1.00
     
3.98
%
2000
 
     
$
1.00
     
0.05
 
     
(0.05
)
     
$
1.00
     
4.69
%
2001
 
     
$
1.00
     
0.05
 
     
(0.05
)
     
$
1.00
     
5.59
%
2002
 
     
$
1.00
     
0.02
 
     
(0.02
)
     
$
1.00
     
2.13
%
2002
(c)
     
$
1.00
     
0.00
(f)
     
(0.00
)(f)
     
$
1.00
     
0.41
%
Treasury Money Market Fund—Class A Shares
                           
1998
 
     
$
1.00
     
0.05
 
     
(0.05
)
     
$
1.00
     
4.98
%
1999
 
     
$
1.00
     
0.04
 
     
(0.04
)
     
$
1.00
     
4.54
%
2000
 
     
$
1.00
     
0.05
 
     
(0.05
)
     
$
1.00
     
4.71
%
2001
 
     
$
1.00
     
0.05
 
     
(0.05
)
     
$
1.00
     
5.60
%
2002
 
     
$
1.00
     
0.02
 
     
(0.02
)
     
$
1.00
     
2.38
%
2002
(c)
     
$
1.00
     
0.01
 
     
(0.01
)
     
$
1.00
     
0.57
%
Treasury Money Market Fund—Class S Shares
                           
1999
(e)
     
$
1.00
     
0.04
 
     
(0.04
)
     
$
1.00
     
3.77
%
2000
 
     
$
1.00
     
0.04
 
     
(0.04
)
     
$
1.00
     
4.45
%
2001
 
     
$
1.00
     
0.05
 
     
(0.05
)
     
$
1.00
     
5.34
%
2002
 
     
$
1.00
     
0.02
 
     
(0.02
)
     
$
1.00
     
2.12
%
2002
(c)
     
$
1.00
     
0.00
(f)
     
(0.00
)(f)
     
$
1.00
     
0.45
%
(a)
Based on net asset value, which does not reflect the sales charge or contingent deferred sales charge, if applicable.
(b)
This voluntary expense decrease is reflected in both the expense and net investment income ratios shown above.
(c)
Six months ended October 31, 2002 (unaudited).
(d)
Computed on an annualized basis.
(e)
Reflects operations for the period from June 8, 1998 (date of public investment) to April 30, 1999.
(f)
Amount represents less than $0.01 per share.

(See Notes which are an integral part of the Financial Statements)

82
 
Ratios to Average Net Assets
         
Expenses
       
Net
Investment Income
       
Expense
Waiver/ Reimbursement(b)
       
Net Assets, end
of period (000 omitted)
0.64
%
     
5.00
%
     
0.05
%
     
$
686,259
0.63
%
     
4.64
%
     
0.05
%
     
$
932,896
0.63
%
     
4.87
%
     
0.05
%
     
$
1,095,128
0.64
%
     
5.67
%
     
0.05
%
     
$
1,598,305
0.71
%
     
2.39
%
     
0.18
%
     
$
1,512,433
0.70
%(d)
     
1.12
%(d)
     
0.25
%(d)
     
$
1,404,169
0.88
%(d)
     
4.42
%(d)
     
0.05
%(d)
     
$
16,368
0.88
%
     
4.71
%
     
0.05
%
     
$
48,760
0.89
%
     
5.48
%
     
0.05
%
     
$
61,450
0.98
%
     
1.96
%
     
0.17
%
     
$
112,156
1.00
%(d)
     
0.82
%(d)
     
0.20
%(d)
     
$
100,429
0.59
%
     
4.96
%
     
0.08
%
     
$
441,422
0.59
%
     
4.49
%
     
0.08
%
     
$
498,548
0.58
%
     
4.62
%
     
0.08
%
     
$
423,685
0.59
%
     
5.45
%
     
0.09
%
     
$
790,307
0.59
%
     
2.27
%
     
0.09
%
     
$
741,357
0.61
%(d)
     
1.13
%(d)
     
0.09
%(d)
     
$
646,454
0.84
%(d)
     
4.17
%(d)
     
0.08
%(d)
     
$
21,153
0.83
%
     
4.36
%
     
0.08
%
     
$
20,704
0.84
%
     
5.26
%
     
0.09
%
     
$
21,070
0.84
%
     
2.03
%
     
0.09
%
     
$
26,138
0.86
%(d)
     
0.89
%(d)
     
0.09
%(d)
     
$
25,840

83

 
VISION Group of Funds
Notes to Financial Statements
October 31, 2002 (unaudited)

 
Organization
 
VISION Group of Funds (the “Trust”) is registered under the Investment Company Act of 1940, as amended (the “Act”), as an open-end management investment company. The Trust consists of 21 portfolios (individually referred to as the “Fund”, or collectively as the “Funds”). The following Funds are presented herein:
 
Portfolio Name
   
Investment Objective
VISION International Equity Fund (“International Equity Fund”) (d)
   
Seeks long-term capital appreciation, primarily through a diversified portfolio of non-U.S. equity securities.
VISION Small Cap Stock Fund (“Small Cap Stock Fund”) (d)
   
Seeks growth of capital.
VISION Mid Cap Stock Fund (“Mid Cap Stock Fund”) (d)
   
Seeks total return.
VISION Large Cap Growth Fund (“Large Cap Growth Fund”) (d)
   
Seeks to provide capital appreciation.
VISION Large Cap Core Fund (“Large Cap Core Fund”) (d)
   
Provide long-term capital appreciation. Current income is a secondary, non-fundamental investment consideration.
VISION Large Cap Value Fund (“Large Cap Value Fund”) (d)
   
Seeks to provide current income. Capital appreciation is a secondary investment consideration.
VISION Managed Allocation Fund—Aggressive Growth (“Aggressive Growth Fund”) (d)
   
Seeks capital appreciation.
VISION Managed Allocation Fund—Moderate Growth (“Moderate Growth Fund”) (d)
   
Seeks capital appreciation and, secondarily, income.
VISION Managed Allocation Fund—Conservative Growth (“Conservative Growth Fund”) (d)
   
Seeks capital appreciation and income.
VISION New York Municipal Income Fund (“New York Municipal Income Fund”) (n)
   
Seeks current income that is exempt from federal regular income tax, and the personal income taxes imposed by the State of New York and New York municipalities and is consistent with preservation of capital.
VISION Pennsylvania Municipal Income Fund (“Pennsylvania Municipal Income Fund”) (n)
   
Seeks income exempt from both federal and Pennsylvania state income taxes, and preservation of capital.
VISION Intermediate Term Bond Fund (“Intermediate Term Bond Fund”) (d)
   
Seeks current income with long-term growth of capital as a secondary objective.
VISION U.S. Government Securities Fund (“U.S. Government Securities Fund”) (d)
   
Seeks current income. Capital appreciation is a secondary, non-fundamental investment consideration.
VISION New York Tax-Free Money Market Fund (“New York Tax-Free Money Market Fund”) (n)
   
Seeks a high a level of current interest income that is exempt from federal regular income tax as is consistent with liquidity and relative stability of principal.
VISION Money Market Fund (“Money Market Fund”) (d)
   
Seeks current income with liquidity and stability of principal.
VISION Treasury Money Market Fund (“Treasury Money Market Fund”) (d)
   
Seeks current income with liquidity and stability of principal.
 
(d)  Diversified
(n)  Non-diversified

84

VISION Group of Funds

 
The financial statements of the other portfolios are presented separately. The assets of each portfolio are segregated and a shareholder’s interest is limited to the portfolio in which shares are held.
 
International Equity Fund is the successor to Governor International Equity Fund; Small Cap Stock Fund is the successor to Governor Aggressive Growth Fund; Large Cap Core Fund is the successor to Governor Established Growth Fund; Managed Allocation Fund—Aggressive Growth is the successor to Governor Lifestyle Growth Fund; Managed Allocation Fund—Moderate Growth is the successor to Governor Lifestyle Moderate Growth Fund; Managed Allocation Fund—Conservative Growth is the successor to Governor Lifestyle Conservative Growth Fund; Pennsylvania Municipal Income Fund is the successor to Governor Pennsylvania Municipal Bond Fund; and Intermediate Term Bond Fund is the successor to Governor Intermediate Term Income Fund pursuant to a reorganization that took place on January 8, 2001. Prior to that date, each VISION fund had no investment operations. Accordingly, the information in these financial statements for periods prior to January 8, 2001 is historical information for the corresponding Governor Fund.
 
Effective May 1, 2002, Class B Shares were added to Aggressive Growth Fund, Moderate Growth Fund, and Conservative Growth Fund.
 
Significant Accounting Policies
 
The following is a summary of significant accounting policies consistently followed by the Funds in the preparation of their financial statements. These policies are in conformity with generally accepted accounting principles (“GAAP”).
 
Investment Valuation—The money market funds use the amortized cost method to value their portfolio securities in accordance with Rule 2a-7 under the Act. For fluctuating funds, listed equity securities are valued at the last sale price reported on a national securities exchange. U.S. government securities are generally valued at the mean of the latest bid and asked price as furnished by an independent pricing service. Listed corporate bonds, and other fixed income and asset-backed securities, unlisted securities and short-term securities are valued at the prices provided by an independent pricing service. However, short-term securities with remaining maturities of 60 days or less at the time of purchase may be valued at amortized cost, which approximates fair market value. Municipal bonds are valued by an independent pricing service, taking into consideration yield, liquidity, risk, credit quality, coupon, maturity, type of issue, and any other factors or market data the pricing service deems relevant. Investments in other open-end regulated investment companies are valued at net asset value. Securities for which no quotations are readily available are valued at fair value as determined in good faith using methods approved by the Board of Trustees (the “Trustees”).
 
Repurchase Agreements—It is each Fund’s policy to require the custodian bank to take possession, to have legally segregated in the Federal Reserve Book Entry System, or to have segregated within the custodian bank’s vault, all securities held as collateral under repurchase agreement transactions. Additionally, procedures have been established by the Funds to monitor, on a daily basis, the market value of each repurchase agreement’s collateral to ensure that the value of collateral at least equals the repurchase price to be paid under the repurchase agreement transaction.
 
The Funds will only enter into repurchase agreements with banks and other recognized financial institutions, such as broker/dealers, which are deemed by the Funds’ adviser to be creditworthy pursuant to the guidelines and/or standards reviewed or established by the Trustees. Risks may arise from the potential inability of counterparties to honor the terms of the repurchase agreement. Accordingly, the Funds could receive less than the repurchase price on the sale of collateral securities. The Funds along with other affiliated investment companies may utilize a joint trading account for the purpose of entering into one or more repurchase agreements.
 
Investment Income, Expenses and Distributions—Interest income and expenses are accrued daily. All discounts/premiums are accreted/amortized for financial reporting purposes as required. Dividend income and distributions to shareholders are recorded on the ex-dividend date. Non-cash dividends included in dividend income, if any, are recorded at fair value. International Equity Fund, Small Cap Stock Fund, Mid Cap Stock Fund, Large Cap Growth Fund, Large Cap Core Fund, Large Cap Value Fund, Aggressive Growth Fund, Moderate Growth Fund, Conservative Growth Fund, Money Market Fund and Treasury Money Market Fund offer multiple classes of shares, which differ in their respective distribution and service fees. All shareholders bear the common

85

VISION Group of Funds

expenses of each Fund based on average daily net assets of each class, without distinction between share classes. Dividends are declared separately for each class. No class has preferential dividend rights; differences in per share dividend rates are generally due to differences in separate class expenses.
 
Distributions in excess of net investment income were a result of certain book and tax timing differences. These distributions do not represent a return of capital for federal income tax purposes.
 
Effective May 1, 2001, the Trust adopted the provisions of the AICPA Audit and Accounting Guide for Investment Companies and began amortizing long-term premiums and discounts on debt securities and classifying all paydown gains and losses as interest income. The cumulative effect of this accounting change had no impact on total net assets on the Funds, but resulted in adjustments to the financial statements as follows:
 
    
Increase (Decrease)
  
    
  
For the Year Ended April 30, 2002
  
    
Cost of Investments
     
Undistributed Net Investment Income
     
Accumulated Net Realized Gain (Loss)
   
Net Investment Income
       
Net Unrealized Appreciation (Depreciation)
     
Net Realized Gain (Loss)
  
New York Municipal Income Fund
   
$
12,857
 
   
$
12,857
 
   
$
—
   
$
2,240
 
     
$
(1,370
)
   
$
(870
)
Intermediate Bond Fund
   
 
(110,737
)
   
 
(216,252
)
   
 
105,515
   
 
(416,700
)
     
 
200,740
 
   
 
215,960
 
U.S. Government Securities Fund
   
 
2,424
 
   
 
(217,393
)
   
 
219,817
   
 
(1,176,870
)
     
 
963,162
 
   
 
213,708
 
 
The Statements of Changes in Net Assets and Financial Highlights for prior periods have not been restated to reflect this change in presentation.
 
Federal Taxes—It is the policy of the Funds to comply with the provisions of the Internal Revenue Code, as amended, (the “Code”) applicable to regulated investment companies and to distribute to shareholders each year substantially all of their income. Accordingly, no provisions for federal tax are necessary.
 
At April 30, 2002 the following Funds, for federal tax purposes had capital loss carryforwards, which will reduce each Fund’s taxable income arising from future net realized gain on investments, if any, to the extent permitted by the Code, and thus will reduce the amount of the distributions to shareholders which would otherwise be necessary to relieve each Fund of any liability for federal tax. Pursuant to the Code, such capital loss carryforwards will expire as follows:
 
Fund Name
   
Capital Loss Carryforward
to
Expire in 2007
   
Capital Loss
Carryforward
to
Expire in 2008
   
Capital Loss
Carryforward to
Expire in 2009
   
Capital Loss
Carryforward to
Expire in 2010
   
Total Capital
Loss
Carryforwards
International Equity
   
$
—
   
$
—
   
$
—
   
$
2,822,876
   
$
2,822,876
Mid Cap Stock Fund
   
 
3,307,137
   
 
—
   
 
—
   
 
2,587,451
   
 
5,894,588
Large Cap Growth Fund
   
 
—
   
 
—
   
 
725,317
   
 
1,384,661
   
 
2,109,978
Large Cap Value Fund
   
 
—
   
 
—
   
 
—
   
 
60,485
   
 
60,485
Pennsylvania Municipal
Income Fund
   
 
—
   
 
574,138
   
 
3,017,858
   
 
—
   
 
3,591,996
Intermediate Term Bond Fund
   
 
—
   
 
10,032,922
   
 
8,316,537
   
 
—
   
 
18,349,459
U.S. Government Securities Fund
   
 
—
   
 
447,818
   
 
—
   
 
78,709
   
 
526,527
New York Municipal
Income Fund
   
 
—
   
 
60,628
   
 
59,102
   
 
—
   
 
119,730

86

VISION Group of Funds

 
When-Issued and Delayed Delivery Transactions—The Funds may engage in when-issued or delayed delivery transactions. The Funds record when-issued securities on the trade date and maintain security positions such that sufficient liquid assets will be available to make payment for the securities purchased. Securities purchased on a when-issued or delayed delivery basis are marked to market daily and begin earning interest on the settlement date. Losses may occur on these transactions due to changes in market conditions or the failure of counterparties to perform under the contract.
 
Foreign Exchange Contracts—The International Equity Fund may enter into foreign currency commitments for the delayed delivery of securities or foreign currency exchange transactions. The Fund may enter into foreign currency contract transactions to protect assets against adverse changes in foreign currency exchange rates or exchange control regulations. Purchased contracts are used to acquire exposure to foreign currencies; whereas, contracts to sell are used to hedge the securities against currency fluctuations. Risks may arise upon entering these transactions from the potential inability of counterparties to meet the terms of their commitments and from unanticipated movements in security prices or foreign exchange rates. The foreign currency transactions are adjusted by the daily exchange rate of the underlying currency and any gains or losses are recorded for financial statement purposes as unrealized until the settlement date.
 
At October, 31, 2002, the International Equity Fund had outstanding foreign currency exchange contracts as set forth below:
 
Settlement Date
   
Deliver/Receive
   
In
Exchange for
   
Contracts at Value
     
Net Unrealized Appreciation (Depreciation)
  
Contracts Purchased:
                              
November 1, 2002
   
50,000 Australian Dollar
   
$
27,581
   
$
27,748
     
$
167
 
November 4, 2002
   
40,000 Australian Dollar
   
 
22,184
   
 
22,190
     
 
6
 
April 16, 2003
   
6,700,000 Australian Dollar
   
 
3,613,798
   
 
3,662,981
     
 
49,183
 
April 16, 2003
   
1,700,000 Danish Krone
   
 
223,917
   
 
224,097
     
 
180
 
April 16, 2003
   
1,045,677 Euro Currency
   
 
1,026,255
   
 
1,025,952
     
 
(303
)
April 16, 2003
   
180,000,000 Japanese Yen
   
 
1,464,456
   
 
1,476,531
     
 
12,075
 
April 16, 2003
   
1,050,000 Swiss Franc
   
 
710,817
   
 
712,235
     
 
1,418
 
Contracts Sold:
                              
April 16, 2003
   
1,200,000 Australian Dollar
   
 
656,383
   
 
656,056
     
 
327
 
April 16, 2003
   
2,700,000 British Pound Sterling
   
 
4,171,272
   
 
4,176,929
     
 
(5,657
)
April 16, 2003
   
600,000 Euro Currency
   
 
585,740
   
 
588,682
     
 
(2,942
)
April 16, 2003
   
1,200,000 Hong Kong Dollar
   
 
153,625
   
 
153,638
     
 
(13
)
April 16, 2003
   
32,000,000 Japanese Yen
   
 
262,549
   
 
262,495
     
 
54
 
April 16, 2003
   
350,000 Singapore Dollar
   
 
195,588
   
 
198,619
     
 
(3,031
)
April 16, 2003
   
7,400,000 Swedish Krona
   
 
787,988
   
 
796,040
     
 
(8,052
)
                         
    
Net Unrealized Appreciation on Foreign Exchange Contracts
                   
$
43,412
 
                         
 
Foreign Currency Translation—The International Equity Fund translates foreign currencies into U.S. dollars at the current rate of exchange to determine the value of investments, assets and liabilities. Purchase and sale of securities, and income and expense are translated at the prevailing rate of exchange on the respective dates of such transactions. The changes in foreign exchange rates on investments are not isolated on the Statement of Operations. Such fluctuations are included with the net realized and unrealized gain or loss from investments.
 
Restricted Securities—Restricted securities are securities that may only be resold upon registration under federal securities laws or in transactions exempt from such registration. In some cases, the issuer of restricted securities has agreed to register such securities for resale, at the issuer’s expense, either upon demand by the Funds or in

87

VISION Group of Funds

connection with another registered offering of the securities. Many restricted securities may be resold in the secondary market in transactions exempt from registration. Such restricted securities may be determined to be liquid under criteria established by the Trustees. The Funds will not incur any registration costs upon such resales. The Funds’ restricted securities are valued at the price provided by dealers in the secondary market or, if no market prices are available, at the fair value as determined in good faith using methods approved by the Trustees.
 
Use of Estimates—The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts of assets, liabilities, expenses and revenues reported in the financial statements. Actual results could differ from those estimated.
 
Other—Investment transactions are accounted for on a trade date basis.
 
Capital Stock
 
At October 31, 2002, there were 1,000,000,000 shares of $0.001 par value capital stock authorized with respect to International Equity Fund, Small Cap Stock Fund, Mid Cap Stock Fund, Large Cap Growth Fund, Large Cap Core Fund, Large Cap Value Fund, Aggressive Growth Fund, Moderate Growth Fund, Conservative Growth Fund, New York Municipal Income Fund, Pennsylvania Municipal Income Fund, Intermediate Term Bond Fund and U.S. Government Securities Fund; and 1,000,000,000 shares of $0.001 par value capital stock authorized with respect to New York Tax-Free Money Market Fund; 6,000,000,000 shares of $0.001 par value capital stock of the Trust (2,000,000,000 authorized as to Class A Shares, 2,000,000,000 authorized as to Class S Shares and 2,000,000,000 authorized as to Institutional Class Shares) authorized with respect to Money Market Fund and 4,000,000,000 shares of $0.001 par value capital stock of the Trust (2,000,000,000 authorized as to Class A Shares and 2,000,000,000 authorized as to Class S Shares) authorized with respect to Treasury Money Market Fund. Capital paid-in for New York Tax-Free Money Market Fund aggregated $201,855,977, par value was $201,856; Money Market Fund aggregated $1,507,071,801, par value was $1,504,699, and Treasury Money Market Fund aggregated $672,307,746, par value was $672,308. Transactions in capital stock were as follows:
 
    
International Equity Fund
  
    
Six Months Ended
     
Year Ended
  
Class A Shares
   
Shares
     
Amount
     
Shares
     
Amount
  
Shares sold
   
793,311
 
   
$
6,229,691
 
   
2,317,071
 
   
$
20,220,549
 
                               
Shares issued to shareholders in payment of distributions declared
   
—
 
   
 
—
 
   
38,391
 
   
 
324,402
 
                               
Shares redeemed
   
(325,555
)
   
 
(2,667,940
)
   
(856,702
)
   
 
(7,608,974
)
  
  
  
  
Net change resulting from Class A Share transactions
   
467,756
 
   
$
3,561,751
 
   
1,498,760
 
   
$
12,935,977
 
  
  
  
  
 
    
International Equity Fund
  
    
Six Months Ended
     
Year Ended
  
Class B Shares
   
Shares
     
Amount
     
Shares
     
Amount
  
Shares sold
   
732
 
   
$
5,970
 
   
5,867
 
   
$
51,179
 
                               
Shares issued to shareholders in payment of distributions declared
   
—
 
   
 
—
 
   
65
 
   
 
545
 
                               
Shares redeemed
   
(69
)
   
 
(542
)
   
(48
)
   
 
(404
)
  
  
  
  
Net change resulting from Class B Share transactions
   
663
 
   
$
5,428
 
   
5,884
 
   
$
51,320
 
  
  
  
  
Net change resulting from share transactions
   
468,419
 
   
$
3,567,179
 
   
1,504,644
 
   
$
12,987,297
 
  
  
  
  

88

VISION Group of Funds

 
    
Small Cap Stock Fund
  
    
Six Months Ended
     
Year Ended
  
Class A Shares
   
Shares
     
Amount
     
Shares
     
Amount
  
Shares sold
   
1,003,944
 
   
$
8,569,608
 
   
2,119,892
 
   
$
20,407,059
 
                               
Shares issued to shareholders in payment of distributions declared
   
—
 
   
 
—
 
   
356,474
 
   
 
3,350,853
 
                               
Shares redeemed
   
(901,570
)
   
 
(8,018,226
)
   
(2,797,016
)
   
 
(28,068,423
)
  
  
  
  
Net change resulting from Class A Share transactions
   
102,374
 
   
$
551,382
 
   
(320,650
)
   
$
(4,310,511
)
  
  
  
  
 
    
Small Cap Stock Fund
  
    
Six Months Ended
     
Year Ended
  
Class B Shares
   
Shares
     
Amount
     
Shares
     
Amount
  
Shares sold
   
16,811
 
   
$
150,146
 
   
35,927
 
   
$
357,828
 
                               
Shares issued to shareholders in payment of distributions declared
   
—
 
   
 
—
 
   
524
 
   
 
4,909
 
                               
Shares redeemed
   
(1,682
)
   
 
(13,186
)
   
(2,585
)
   
 
(26,445
)
  
  
  
  
Net change resulting from Class B Share transactions
   
15,129
 
   
$
136,960
 
   
33,866
 
   
$
336,292
 
  
  
  
  
Net change resulting from share transactions
   
117,503
 
   
$
688,342
 
   
(286,784
)
   
$
(3,974,219
)
  
  
  
  
 
    
Mid Cap Stock Fund
  
    
Six Months Ended
     
Year Ended
  
Class A Shares
   
Shares
     
Amount
     
Shares
     
Amount
  
Shares sold
   
974,358
 
   
$
12,523,023
 
   
1,470,152
 
   
$
20,279,831
 
                               
Shares issued to shareholders in payment of distributions declared
   
—
 
   
 
—
 
   
—
 
   
 
—
 
                               
Shares redeemed
   
(890,318
)
   
 
(11,222,302
)
   
(1,404,964
)
   
 
(19,533,399
)
  
  
  
  
Net change resulting from Class A Share transactions
   
84,040
 
   
$
1,300,721
 
   
65,188
 
   
$
746,432
 
  
  
  
  
 
    
Mid Cap Stock Fund
  
    
Six Months Ended
     
Year Ended
  
Class B Shares
   
Shares
     
Amount
     
Shares
     
Amount
  
Shares sold
   
13,576
 
   
$
171,397
 
   
58,027
 
   
$
795,970
 
                               
Shares issued to shareholders in payment of distributions declared
   
—
 
   
 
—
 
   
—
 
   
 
—
 
                               
Shares redeemed
   
(11,489
)
   
 
(135,616
)
   
(7,918
)
   
 
(110,374
)
  
  
  
  
Net change resulting from Class B Share transactions
   
2,087
 
   
$
35,781
 
   
50,109
 
   
 
685,596
 
  
  
  
  
Net change resulting from share transactions
   
86,127
 
   
$
1,336,502
 
   
115,297
 
   
$
1,432,028
 
  
  
  
  

89

VISION Group of Funds

 
    
Large Cap Growth Fund
  
    
Six Months Ended
     
Year Ended
  
Class A Shares
   
Shares
     
Amount
     
Shares
     
Amount
  
Shares sold
   
314,247
 
   
$
2,171,718
 
   
686,206
 
   
$
5,632,341
 
                               
Shares issued to shareholders in payment of distributions declared
   
—
 
   
 
—
 
   
—
 
   
 
—
 
                               
Shares redeemed
   
(185,826
)
   
 
(1,346,878
)
   
(163,438
)
   
 
(1,338,569
)
  
  
  
  
Net change resulting from Class A Share transactions
   
128,421
 
   
$
824,840
 
   
522,768
 
   
$
4,293,772
 
  
  
  
  
 
    
Large Cap Growth Fund
  
    
Six Months Ended
     
Year Ended
  
Class B Shares
   
Shares
     
Amount
     
Shares
     
Amount
  
Shares sold
   
31,097
 
   
$
209,702
 
   
103,098
 
   
$
828,760
 
                               
Shares issued to shareholders in payment of distributions declared
   
—
 
   
 
—
 
   
—
 
   
 
—
 
                               
Shares redeemed
   
(14,345
)
   
 
(95,284
)
   
(5,564
)
   
 
(44,647
)
  
  
  
  
Net change resulting from Class B Share transactions
   
16,752
 
   
$
114,418
 
   
97,534
 
   
$
784,113
 
  
  
  
  
Net change resulting from share transactions
   
145,173
 
   
$
939,258
 
   
620,302
 
   
$
5,077,885
 
  
  
  
  
 
    
Large Cap Core Fund
  
    
Six Months Ended
     
Year Ended
  
Class A Shares
   
Shares
     
Amount
     
Shares
     
Amount
  
Shares sold
   
2,477,726
 
   
$
16,241,303
 
   
3,646,229
 
   
$
34,165,283
 
                               
Shares issued to shareholders in payment of distributions declared
   
12,530
 
   
 
93,097
 
   
1,342,877
 
   
 
11,333,879
 
                               
Shares redeemed
   
(2,059,485
)
   
 
(13,939,255
)
   
(8,535,161
)
   
 
(75,345,853
)
  
  
  
  
Net change resulting from Class A Share transactions
   
430,771
 
   
$
2,395,145
 
   
(3,546,055
)
   
$
(29,846,691
)
  
  
  
  
 
    
Large Cap Core Fund
  
    
Six Months Ended
     
Year Ended
  
Class B Shares
   
Shares
     
Amount
     
Shares
     
Amount
  
Shares sold
   
16,496
 
   
$
102,021
 
   
45,687
 
   
$
407,063
 
                               
Shares issued to shareholders in payment of distributions declared
   
—
 
   
 
—
 
   
2,260
 
   
 
18,951
 
                               
Shares redeemed
   
(8,451
)
   
 
(50,599
)
   
(1,145
)
   
 
(9,630
)
  
  
  
  
Net change resulting from Class B Share transactions
   
8,045
 
   
$
51,422
 
   
46,802
 
   
$
416,384
 
  
  
  
  
Net change resulting from share transactions
   
438,816
 
   
$
2,446,567
 
   
(3,499,253
)
   
$
(29,430,307
)
  
  
  
  

90

VISION Group of Funds

 
    
Large Cap Value Fund
  
    
Six Months Ended
     
Year Ended
  
Class A Shares
   
Shares
     
Amount
     
Shares
     
Amount
  
Shares sold
   
1,147,957
 
   
$
9,380,638
 
   
1,545,342
 
   
$
16,665,760
 
                               
Shares issued to shareholders in payment of distributions declared
   
10,769
 
   
 
89,649
 
   
51,256
 
   
 
535,172
 
                               
Shares redeemed
   
(474,515
)
   
 
(3,972,857
)
   
(618,614
)
   
 
(6,654,028
)
  
  
  
  
Net change resulting from Class A Share transactions
   
684,211
 
   
$
5,497,430
 
   
977,984
 
   
$
10,546,904
 
  
  
  
  
 
    
Large Cap Value Fund
  
    
Six Months Ended
     
Year Ended
  
Class B Shares
   
Shares
     
Amount
     
Shares
     
Amount
  
Shares sold
   
2,265
 
   
$
20,599
 
   
46,217
 
   
$
483,497
 
                               
Shares issued to shareholders in payment of distributions declared
   
—
 
   
 
—
 
   
509
 
   
 
5,253
 
                               
Shares redeemed
   
(5,925
)
   
 
(47,952
)
   
(5,492
)
   
 
(59,451
)
  
  
  
  
Net change resulting from Class B Share transactions
   
(3,660
)
   
$
(27,353
)
   
41,234
 
   
 
429,299
 
  
  
  
  
Net change resulting from share transactions
   
680,551
 
   
$
5,470,077
 
   
1,019,218
 
   
$
10,976,203
 
  
  
  
  
 
    
Managed Allocation Fund— 
Aggressive Growth
  
    
Six Months Ended
     
Year Ended
  
Class A Shares
   
Shares
     
Amount
     
Shares
     
Amount
  
Shares sold
   
156,664
 
   
$
1,320,234
 
   
379,805
 
   
$
3,663,981
 
                               
Shares issued to shareholders in payment of distributions declared
   
—
 
   
 
—
 
   
4,835
 
   
 
45,581
 
                               
Shares redeemed
   
(68,087
)
   
 
(572,747
)
   
(30,386
)
   
 
(287,898
)
  
  
  
  
Net change resulting from Class A Share transactions
   
88,577
 
   
$
747,487
 
   
354,254
 
   
$
3,421,664
 
  
  
  
  
 
    
Managed Allocation Fund—Aggressive Growth
  
    
Period Ended
  
Class B Shares
   
Shares
       
Amount
  
Shares sold
   
126,230
 
     
$
1,047,010
 
                 
Shares issued to shareholders in payment of distributions declared
   
—
 
     
 
—
 
                 
Shares redeemed
   
(1,683
)
     
 
(13,520
)
  
    
Net change resulting from Class B Share transactions
   
124,547
 
     
$
1,033,490
 
  
    
Net change resulting from share transactions
   
213,124
 
     
$
1,780,977
 
  
    

91

VISION Group of Funds

 
    
Managed Allocation Fund— 
Moderate Growth
  
    
Six Months Ended
     
Year Ended
  
Class A Shares
   
Shares
     
Amount
     
Shares
     
Amount
  
Shares sold
   
294,149
 
   
$
2,651,960
 
   
716,547
 
   
$
6,973,217
 
                               
Shares issued to shareholders in payment of distributions declared
   
5,318
 
   
 
47,257
 
   
8,505
 
   
 
82,025
 
                               
Shares redeemed
   
(122,465
)
   
 
(1,075,500
)
   
(72,992
)
   
 
(711,066
)
  
  
  
  
Net change resulting from Class A Share transactions
   
177,002
 
   
$
1,623,717
 
   
652,060
 
   
$
6,344,176
 
  
  
  
  
 
    
Managed Allocation Fund—Moderate Growth
  
    
Period Ended
  
Class B Shares
   
Shares
       
Amount
  
Shares sold
   
265,723
 
     
$
2,404,106
 
                 
Shares issued to shareholders in payment of distributions declared
   
306
 
     
 
2,732
 
                 
Shares redeemed
   
(4,683
)
     
 
(40,803
)
  
    
Net change resulting from Class B Share transactions
   
261,346
 
     
$
2,366,035
 
  
    
Net change resulting from share transactions
   
438,348
 
     
$
3,989,752
 
  
    
 
    
Managed Allocation Fund—
Conservative Growth
  
    
Six Months Ended
     
Year Ended
  
Class A Shares
   
Shares
     
Amount
     
Shares
     
Amount
  
Shares sold
   
91,243
 
   
$
865,234
 
   
274,159
 
   
$
2,687,249
 
                               
Shares issued to shareholders in payment of distributions declared
   
3,959
 
   
 
37,324
 
   
5,272
 
   
 
50,990
 
                               
Shares redeemed
   
(32,837
)
   
 
(309,450
)
   
(38,557
)
   
 
(375,485
)
  
  
  
  
Net change resulting from Class A Share transactions
   
62,365
 
   
$
593,108
 
   
240,874
 
   
$
2,362,754
 
  
  
  
  
 
    
Managed
Allocation Fund—Conservative Growth
  
    
Period Ended
  
Class B Shares
   
Shares
       
Amount
  
Shares sold
   
106,563
 
     
$
1,005,353
 
                 
Shares issued to shareholders in payment of distributions declared
   
452
 
     
 
4,232
 
                 
Shares redeemed
   
(1,028
)
     
 
(9,528
)
  
    
Net change resulting from Class B Share transactions
   
105,987
 
     
$
1,000,057
 
  
    
Net change resulting from share transactions
   
168,352
 
     
$
1,593,165
 
  
    

92

VISION Group of Funds

 
    
New York Municipal Income Fund
  
    
Six Months Ended
     
Year Ended
  
    
Shares
     
Amount
     
Shares
     
Amount
  
Shares sold
   
900,879
 
   
$
9,564,578
 
   
1,940,141
 
   
$
20,209,605
 
                               
Shares issued to shareholders in payment of distributions declared
   
69,384
 
   
 
736,631
 
   
153,236
 
   
 
1,597,624
 
                               
Shares redeemed
   
(854,954
)
   
 
(9,053,151
)
   
(1,681,248
)
   
 
(17,520,654
)
  
  
  
  
Net change resulting from share transactions
   
115,309
 
   
$
1,248,058
 
   
412,129
 
   
$
4,286,575
 
  
  
  
  
 
    
Pennsylvania Municipal Income Fund
  
    
Six Months Ended
     
Year Ended
  
    
Shares
     
Amount
     
Shares
     
Amount
  
Shares sold
   
632,571
 
   
$
6,569,460
 
   
1,197,299
 
   
$
12,209,799
 
                               
Shares issued to shareholders in payment of distributions declared
   
5,623
 
   
 
58,602
 
   
15,298
 
   
 
155,972
 
                               
Shares redeemed
   
(731,659
)
   
 
(7,618,080
)
   
(1,494,043
)
   
 
(15,275,332
)
  
  
  
  
Net change resulting from share transactions
   
(93,465
)
   
$
(990,018
)
   
(281,446
)
   
$
(2,909,561
)
  
  
  
  
 
    
Intermediate Term Bond Fund
  
    
Six Months Ended
     
Year Ended
  
    
Shares
     
Amount
     
Shares
     
Amount
  
Shares sold
   
1,162,050
 
   
$
11,205,928
 
   
2,766,941
 
   
$
26,476,776
 
                               
Shares issued to shareholders in payment of distributions declared
   
60,453
 
   
 
583,747
 
   
191,924
 
   
 
1,837,004
 
                               
Shares redeemed
   
(2,227,867
)
   
 
(21,482,222
)
   
(9,079,598
)
   
 
(86,429,386
)
  
  
  
  
Net change resulting from share transactions
   
(1,005,364
)
   
$
(9,692,547
)
   
(6,120,733
)
   
$
(58,115,606
)
  
  
  
  
 
    
U.S. Government Securities Fund
  
    
Six Months Ended
     
Year Ended
  
    
Shares
     
Amount
     
Shares
     
Amount
  
Shares sold
   
2,434,181
 
   
$
23,501,575
 
   
4,901,159
 
   
$
46,587,996
 
                               
Shares issued to shareholders in payment of distributions declared
   
155,018
 
   
 
1,501,560
 
   
336,732
 
   
 
3,210,442
 
                               
Shares redeemed
   
(2,078,750
)
   
 
(20,189,628
)
   
(2,407,976
)
   
 
(22,959,459
)
  
  
  
  
Net change resulting from share transactions
   
510,449
 
   
$
4,813,507
 
   
2,829,915
 
   
$
26,838,979
 
  
  
  
  

93

VISION Group of Funds

 
      
New York Tax-Free Money Market Fund
  
      
Six Months
Ended
       
Year Ended
  
Shares sold
     
1,044,194,862
 
     
2,194,740,601
 
                 
Shares issued to shareholders in payment of distributions declared
     
461,374
 
     
1,714,421
 
                 
Shares redeemed
     
(1,029,843,009
)
     
(2,167,771,022
)
    
    
Net change resulting from share transactions
     
14,813,227
 
     
28,684,000
 
    
    
 
    
Money Market Fund
  
Class A Shares
   
Six Months Ended
       
Year Ended
  
Shares sold
   
44,124,361,187
 
     
112,180,878,513
 
               
Shares issued to shareholders in payment of distributions declared
   
3,513,653
 
     
22,882,631
 
               
Shares redeemed
   
(44,235,936,338
)
     
(112,289,609,561
)
  
    
Net change resulting from Class A Share transactions
   
(108,061,498
)
     
(85,848,417
)
  
    
 
    
Money Market Fund
  
Class S Shares
   
Six Months Ended
       
Year Ended
  
Shares sold
   
10,935,079,098
 
     
23,139,522,831
 
               
Shares issued to shareholders in payment of distributions declared
   
—
 
     
4
 
               
Shares redeemed
   
(10,947,002,709
)
     
(23,088,815,283
)
  
    
Net change resulting from Class S Share transactions
   
(11,923,611
)
     
50,707,552
 
  
    
 
      
Money Market Fund
  
Institutional Shares
     
Six Months Ended
       
Period Ended
  
Shares sold
     
7,818,454
 
     
3,949,272
 
                 
Shares issued to shareholders in payment of distributions declared
     
14,700
 
     
5,748
 
                 
Shares redeemed
     
(8,195,367
)
     
(1,150,263
)
    
    
Net change resulting from Institutional Share transactions
     
(362,213
)
     
2,804,757
 
    
    
Net change resulting from share transactions
     
(120,347,322
)
     
(32,336,108
)
    
    

94

VISION Group of Funds

 
    
Treasury Money Market Fund
  
Class A Shares
   
Six Months Ended
       
Year Ended
  
Shares sold
   
13,249,025,004
 
     
27,305,844,226
 
               
Shares issued to shareholders in payment of distributions declared
   
370,352
 
     
2,061,616
 
               
Shares redeemed
   
(13,344,167,767
)
     
(27,356,854,865
)
  
    
Net change resulting from Class A Share transactions
   
(94,772,411
)
     
(48,949,023
)
  
    
 
    
Treasury Money Market Fund
  
Class S Shares
   
Six Months Ended
       
Year Ended
  
Shares sold
   
2,741,449,390
 
     
6,747,916,589
 
               
Shares issued to shareholders in payment of distributions declared
   
—
 
     
4
 
               
Shares redeemed
   
(2,741,864,858
)
     
(6,742,848,284
)
  
    
Net change resulting from Class S Share transactions
   
(415,468
)
     
5,068,309
 
  
    
Net change resulting from share transactions
   
(95,187,879
)
     
(43,880,714
)
  
    
(a)
Reflects operations for the period from May 1, 2002 (date of initial public investment) to October 31, 2002.
(b)
Reflects operations for the period from September 4, 2001 (date of initial public investment) to April 30, 2002.
 
Investment Adviser Fee and Other Transactions with Affiliates
 
Investment Adviser Fee—M&T Asset Management, a department of Manufacturers and Traders Trust Company, the Funds’ investment adviser (the “Adviser” or “M&T”), receives for its services an annual investment adviser fee based on a percentage of each Fund’s average daily net assets (see below). The Adviser may voluntarily choose to waive any portion of its fee. The Adviser can modify or terminate this voluntary waiver at any time at its sole discretion.
 
Fund Name
   
Annual Rate
International Equity Fund
   
1.00%
Small Cap Stock Fund
   
0.85%
Mid Cap Stock Fund
   
0.85%
Large Cap Growth Fund
   
0.85%
Large Cap Core Fund
   
0.85%
Large Cap Value Fund
   
0.70%
Aggressive Growth Fund
   
0.25%
Moderate Growth Fund
   
0.25%
Conservative Growth Fund
   
0.25%
New York Municipal Income Fund
   
0.70%
Pennsylvania Municipal Income Fund
   
0.70%
Intermediate Term Bond Fund
   
0.70%
U.S. Government Securities Fund
   
0.70%
New York Tax-Free Money Market Fund
   
0.50%
Money Market Fund
   
0.50%
Treasury Money Market Fund
   
0.50%
 
Sub-Adviser Fee—Federated Investment Management Company (“FIMCO”) is the sub-adviser to New York Tax-Free Money Market Fund, and receives for its services an allocable portion of the adviser fee that the Adviser receives from

95

VISION Group of Funds

New York Tax-Free Money Market Fund. FIMCO is paid by the Adviser as follows: 0.20% on the first $100 million of average daily net assets; 0.18% on the next $100 million of average daily net assets and 0.15% on average daily net assets over $200 million.
 
Independence Investment LLC (“Independence”) is the sub-adviser to the Mid Cap Stock Fund, and receives for its services an allocable portion of the adviser fee that the Adviser receives from Mid Cap Stock Fund. Independence’s fee is paid by the Adviser and not the Fund. The sub-adviser is paid by the Adviser as follows: 0.40% on the first $500 million average daily net assets and 0.35% on average daily net assets over $500 million.
 
Montag & Caldwell, Inc. (“Montag & Caldwell”) is the sub-adviser to the Large Cap Growth Fund, and receives for its services an allocable portion of the adviser fee that the Adviser receives from Large Cap Growth Fund. Montag & Caldwell’s fee is paid by the Adviser and not the Fund. The sub-adviser is paid by the Adviser as follows: 0.50% on the first $50 million average daily net assets; 0.40% on the next $50 million average daily net assets; 0.30% on the next $100 million average daily net assets and 0.20% on average daily net assets over $200 million.
 
LSV Asset Management (“LSV”) is the sub-adviser of the value component of Small Cap Stock Fund. For its services under the Sub-Advisory Agreement, LSV receives an allocable portion of the advisory fee the Adviser receives from Small Cap Stock Fund. The allocation is based on the amount of securities which LSV manages for the Fund. This fee is paid by the Adviser out of the fees it receives and is not a Fund expense. LSV is paid by the Adviser as follows: 0.65% on the first $50 million of average daily net assets and 0.55% on average daily net assets over $50 million.
 
Mazama Capital Management, Inc. (“Mazama”) is the sub-adviser of the growth component of Small Cap Stock Fund. For its services under the Sub-Advisory Agreement, Mazama receives an allocable portion of the advisory fee that the Adviser receives from Small Cap Stock Fund. The allocation is based on the amount of securities which Mazama manages for the Fund. The fee is paid by the Adviser out of the fees it receives and is not a Fund expense. Mazama is paid by the Adviser as follows: 0.70% of average daily net assets.
 
UBS Global Asset Management (Americas), Inc. (“UBS Global”) is the sub-adviser of International Equity Fund, and receives an allocable portion of the advisory fee the Adviser receives from International Equity Fund. The allocation is based on the amount of securities that UBS Global manages for the Fund. The fee is paid by the Adviser out of the fees it receives and is not a Fund expense. UBS Global is paid by the Adviser as follows: 0.40% on the first $50 million of average daily net assets; 0.35% on the next $150 million of average daily net assets and 0.30% on average daily net assets over $200 million.
 
Administrative Fee—Federated Services Company (“FServ”) and M&T Securities, Inc. (“M&T Securities”) serve as co-administrators to the Trust and provide the Funds with certain administrative personnel and services necessary to operate the Funds. During the period May 1, 2001 through September 30, 2002, administrative services were provided for an aggregate annual fee as specified below:
 
Fees Payable to FServ
 
Maximum Fee
   
Average Aggregate Daily Net Assets of the VISION Group of Funds
0.06%
   
on the first $2 billion
0.03%
   
on the next $3 billion
0.015%
   
on assets in excess of $5 billion
 
Fees Payable to M&T Securities, Inc.
 
Maximum Fee
   
Average Aggregate Daily Net Assets of the VISION Group of Funds
0.04%
   
on the first $5 billion
0.015%
   
on assets in excess of $5 billion

96

VISION Group of Funds

 
 
Effective October 1, 2002 the Administrative Fee has been changed to reflect the following fee schedule.
 
Fees Payable to FServ
 
Maximum Fee
   
Average Aggregate Daily Net Assets of the VISION Group of Funds
0.06%
   
on the first $2 billion
0.03%
   
on the next $3 billion
0.02%
   
on the next $2 billion
0.0125%
   
on the next $3 billion
0.01%
   
on assets in excess of $10 billion
 
Fees Payable to M&T Securities, Inc.
 
Maximum Fee
   
Average Aggregate Daily Net Assets of the VISION Group of Funds
0.04%
   
on the first $5 billion
0.03%
   
on the next $2 billion
0.0175%
   
on the next $3 billion
0.015%
   
on assets in excess of $10 billion
 
FServ and M&T Securities may each voluntarily choose to waive a portion of its fee, and can each modify or terminate its voluntary waiver at any time at its sole discretion.
 
Transfer and Dividend Disbursing Agent and Fund Accounting Fee—FServ provides the Funds with certain administrative personnel and fund accounting services. FServ through its subsidiary, Federated Shareholder Services Company, serves as transfer and dividend disbursing agent for the Funds. The fee paid to FServ is based on the level of average aggregate net assets of the Trust for the period.
 
Distribution Services Fee—The Trust has adopted a Distribution Plan (the “Plan”) pursuant to Rule 12b-1 under the Act. Under the terms of the Plan, the Funds will compensate Federated Securities Corporation (“FSC”), the principal distributor, from the net assets of the Funds to finance activities intended to result in the sale of the Funds’ Class A Shares, Class B Shares and Class S Shares. The Plan provides that each Fund may incur distribution expenses of up to 0.25%, 0.75% and 0.25% of the average daily net assets of each Funds’ Class A Shares, Class B Shares and Class S Shares, respectively, annually to compensate FSC. For the six months ended October 31, 2002, the Funds’ Class A Shares did not pay or accrue a distribution services fee. FSC may voluntarily choose to waive any portion of its fee. FSC can modify or terminate this voluntary waiver at any time at its sole discretion.
 
Shareholder Services Fee—Under the terms of a Shareholder Services Agreement with FServ and M&T Securities, M&T Securities may receive from FServ up to 0.25% of average daily net assets of each Fund for the period. The fee paid to M&T Securities is used to finance certain services for shareholders and to maintain shareholder accounts. M&T Securities may voluntarily choose to waive any portion of its fee with respect to the Funds. M&T Securities can modify or terminate this voluntary waiver at any time at its sole discretion.
 
General—Certain of the Officers of the Trust are Officers and Directors or Trustees of the above companies.
 
Interfund Transactions—During the six months ended October 31, 2002, New York Tax-Free Money Market Fund engaged in purchase and sale transactions with funds that have a common investment adviser (or affiliated investment advisers), common Directors/Trustees and or common officers. These purchase and sale transactions complied with Rule 17a-7 under the Act and amounted to $129,520,000 and $83,100,000, respectively.

97

VISION Group of Funds

 
Investment Transactions
 
Purchases and sales of investments, excluding short-term securities and long-term U.S. government securities (and in-kind contributions), for the six months ended October 31, 2002, were as follows:
 
Fund Name
   
Purchases
   
Sales
International Equity Fund
   
$
14,478,479
   
$
9,562,789
Small Cap Stock Fund
   
 
36,594,902
   
 
34,728,762
Mid Cap Stock Fund
   
 
42,995,549
   
 
40,734,232
Large Cap Growth Fund
   
 
3,764,620
   
 
3,280,823
Large Cap Core Fund
   
 
23,580,233
   
 
18,445,307
Large Cap Value Fund
   
 
12,092,144
   
 
5,172,674
Aggressive Growth Fund
   
 
2,156,524
   
 
366,847
Moderate Growth Fund
   
 
4,309,833
   
 
486,441
Conservative Growth Fund
   
 
1,692,184
   
 
200,865
New York Municipal Income Fund
   
 
21,868,028
   
 
18,963,218
Pennsylvania Municipal Income Fund
   
 
17,572,725
   
 
13,304,217
Intermediate Term Bond Fund
   
 
20,113,164
   
 
34,714,824
U.S. Government Securities Fund
   
 
11,248,990
   
 
11,666,019
 
Purchases and sales of long-term U.S. government securities for the six months ended October 31, 2002 were as follows:
 
Fund Name
   
Purchases
   
Sales
Intermediate Term Bond Fund
   
$
49,461,305
   
$
41,921,042
U.S. Government Securities Fund
   
 
26,844,611
   
 
25,460,989
 
Concentration of Credit Risk
 
Since New York Tax-Free Money Market, Pennsylvania Municipal Income Fund and New York Municipal Income Fund invest a substantial portion of their assets in issuers located in one state, they will be more susceptible to factors adversely affecting issuers of that state than would be a comparable tax-exempt mutual fund that invests nationally. In order to reduce the credit risk associated with such factors, at October 31, 2002, 63.3% for New York Tax-Free Money Market Fund, 61.4% for Pennsylvania Municipal Income Fund and 30.1% for New York Municipal Income Fund of the total market value of the securities in the portfolio of investments are backed by letters of credit or bond insurance of various financial institutions and financial guaranty assurance agencies. The value of investments insured by or supported (backed) by a letter of credit from any one institution or agency did not exceed 8.1% for New York Tax-Free Money Market Fund, 27.1% for Pennsylvania Municipal Income Fund and 5.1% for New York Municipal Income Fund of total market value of investments.
 
International Equity Fund invests in securities of non-U.S. issuers. Although the Fund maintains a diversified investment portfolio, the political or economic developments within a particular country or region may have an adverse effect on the ability of domiciled issuers to meet their obligations. Additionally, political or economic developments may have an effect on the liquidity and volatility of portfolio securities and currency holdings.

98

VISION Group of Funds

 
At October 31, 2002, the diversification of industries in International Equity Fund was as follows:
 
Industry
     
Percentage of Net Assets
  
Automobiles
     
2.9
%
Banking
     
14.4
%
Building Materials & Components
     
1.1
%
Business & Public Services
     
1.3
%
Chemicals
     
3.8
%
Commercial Services
     
1.1
%
Computers
     
0.7
%
Education
     
0.3
%
Electrical & Electronic
     
4.2
%
Energy Sources
     
10.4
%
Financial Services
     
3.9
%
Food & Beverage & Tobacco
     
7.6
%
Forest Products & Paper
     
1.1
%
Health & Personal Care
     
10.8
%
Industrial Components
     
0.5
%
Insurance
     
4.7
%
Manufacturing
     
4.3
%
Media
     
0.9
%
Printing & Publishing
     
4.3
%
Real Estate
     
0.6
%
Recreation, Other Consumer Goods
     
4.2
%
Retail
     
1.2
%
Telecommunications
     
7.5
%
Transportation
     
1.1
%
Utilities
     
2.0
%
Water
     
0.4
%
 
Line of Credit
 
The Funds (except Managed Allocation Fund — Aggressive Growth, Managed Allocation Fund — Moderate Growth and Managed Allocation Fund — Conservative Growth) entered into a $10,000,000 unsecured, committed revolving line of credit (“LOC”) agreement with State Street Bank & Trust Company. The LOC was made available for extraordinary or emergency purposes, primarily for financing redemption payments. Borrowings are charged interest at a rate of 0.50% per annum over the Federal Funds Rate. The LOC includes a commitment fee of 0.10% per annum on the daily unused portion. The funds did not utilize the LOC during the six months ended October 31, 2002.

99
 
 
 
Shares of the VISION Group of Funds are not FDIC insured or otherwise protected
by the U.S. government, are not deposits or other obligations of, or
guaranteed by, Manufacturers and Traders Trust Company,
and are subject to investment risks, including possible loss of the
principal amount invested.
 
This report is authorized for distribution to prospective investors only when preceded
or accompanied by the Funds’ prospectus which contains facts concerning their
objectives and policies, management fees, expenses and other information.

100

 

 
Contents
 
President’s Message
   
1
Investment Review
   
2
Portfolios of Investments
   
3
Statements of Assets and Liabilities
   
7
Statements of Operations
   
8
Statements of Changes in Net Assets
   
10
Financial Highlights
   
12
Notes to Financial Statements
   
14
President’s Message
 
Dear Investor:
 
I am pleased to present the Semi-Annual Report of the VISION Institutional Funds for the first half of the funds’ current fiscal year, which is the six-month period from May 1, 2002 through October 31, 2002. This report begins with a discussion by VISION Institutional Limited Duration U.S. Government Fund’s management about the economy, the market, and fund strategies over the reporting period. Next, you’ll find a complete list of portfolio holdings and financial statements for each fund.
 
Fund-by-fund performance highlights are as follows:
 
VISION Institutional Prime Money Market Fund pursues a competitive level of daily income, daily liquidity and a stable $1.00 net asset value.* It invests in a diversified portfolio of corporate and U.S. government money market securities. During the period, the Fund paid dividends totaling $0.007 per share. The Fund produced a total return of 0.72% based on net asset value. Net assets totaled $267.7 million at the end of the period.
 
VISION Institutional Limited Duration U.S. Government Fund pursues current income, with preservation of capital as a secondary objective, by investing in short-term government securities. The Fund paid dividends totaling $0.228 per share, while the net asset value rose by $0.14. As a result, the Fund produced a total return of 3.79% on a net asset value basis, or 0.71% adjusted for the Fund’s sales charge.** At the end of the period, the Fund’s net assets totaled $106.1 million.
 
VISION Money Market Fund, a diversified portfolio of corporate and U.S. government money market securities, pursues a stable $1.00 net asset value.* During the period, the Fund paid dividends totaling $0.006 per share. The Fund’s Institutional Shares produced a total return of 0.61% based on net asset value. The Fund’s net assets totaled $1.5 billion at the end of the period.
 
As always, thank you for choosing one or more of the VISION Institutional Funds to pursue your financial goals. We’ll continue to keep you up-to-date on your progress.
 
Sincerely,
 
/s/Carl W. Jordan
Carl W. Jordan
President
December 16, 2002
 
*
An investment in the funds is neither insured nor guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the fund seeks to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in the funds.
**
Performance quoted reflects past performance and is no guarantee of future results. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost.

1
 
VISION
Institutional Limited Duration  U.S. Government Fund
 
 
Even though the Federal Reserve Board kept monetary policy steady from May through October, yields on short and intermediate U.S. government obligations continued to fall, resulting in price appreciation. The net asset value of the Fund rose from $9.80 on April 30, 2002 to $9.94 on October 31, 2002. Yields on two-year Treasury Notes fell from over 3.00% in early May to less than 2.00% by the end of October. Since April 2002, the Fund has grown by over $17 million in net assets.
 
With war on the horizon, deflationary fears rising, a weak stock market, and an economy teetering between slow growth and recession, short government bonds were strong performers. The result of this strong performance was a steeper yield curve, reflecting greater yield differences between two-year and ten-year notes than existed six months or one year ago.

 
For the six months ended October 31, 2002, the total return of the Fund was 3.79% on a net asset value basis, or 0.71% adjusted for the Fund’s sales charge.* This compares favorably with the returns of money market mutual funds and short term corporate bond funds over the same period of time. Over the last six months, the Fund has generally maintained an average maturity shorter than the Lehman Brothers 1-3 Year Government Bond Index.** This strategy reflected our belief that the economy would regain its momentum during the summer, after significant stimulus in the form of easier monetary policy over the last twelve months. We continue to maintain our “AAA” credit quality,*** but will consider establishing a position in “A” rated corporate bonds should they continue to look attractive relative to the Treasuries, Agencies and Mortgage-Backed Securities already in the portfolio.
 
*
Past performance is no guarantee of future results. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost.
**
The Lehman Brothers 1-3 Year Government Bond Index is comprised of all publicly issued, non-convertible domestic debt of the U.S. government, or any agency thereof, or any quasi-federal corporation. The index also includes corporate debt guaranteed by the U.S. government. Only notes and bonds with a minimum maturity of one year and maximum maturity of 2.9 years are included. Indexes are unmanaged and investments cannot be made in an index.
***
Credit ratings pertain only to the securities in the portfolio and do not protect fund shares against market risk.

2

VISION Institutional Prime Money Market Fund
Portfolio of Investments
October 31, 2002 (unaudited)
Principal Amount
  
 
Value
(1)Corporate Obligations—43.4%
      
   
Asset-Backed—7.5%
      
$10,000,000
  
Apreco, Inc. 1.760%, 11/19/2002
  
$
9,991,200
5,000,000
  
Asset Securitization Cooperative Corp., 1.750%, 11/8/2002
  
 
4,998,299
5,000,000
  
CIESCO LP, 1.710%, 11/21/2002
  
 
4,995,250
       
   
Total
  
 
19,984,749
       
   
Banking—3.4%
      
9,000,000
  
Wells Fargo & Co., 1.740%, 11/1/2002
  
 
9,000,000
       
   
Diversified—4.4%
      
12,000,000
  
General Electric Capital Corp., 1.750%-2.050%, 11/25/2002-2/19/2003
  
 
11,947,775
       
   
Financial Retail—3.7%
      
10,000,000
  
American Express Credit Corp., 1.670%, 11/13/2002
  
 
9,994,433
       
   
Financial Services—4.7%
      
12,500,000
  
Citicorp, 1.750%-1.770%, 11/4/2002-11/12/2002
  
 
12,494,820
       
   
Food & Beverage—3.7%
      
10,000,000
  
Nestle Capital Corp.,
1.700%-1.740%, 11/26/2002-1/13/2003
  
 
9,976,722
       
   
Insurance—10.6%
      
8,500,000
  
AIG Funding, Inc., 1.840%, 3/10/2003
  
 
8,443,957
8,000,000
  
American General Finance Corp., 1.740%, 1/6/2003
  
 
7,974,480
3,000,000
  
Prudential Funding Corp., 1.740%, 12/2/2002
  
 
2,995,505
9,000,000
  
Transamerica Finance Corp., 1.770%, 11/14/2002
  
 
8,994,247
       
   
Total
  
 
28,408,189
       
   
Media—3.5%
      
9,445,000
  
Gannett Co., Inc., 1.740%, 11/15/2002
  
 
9,438,609
       
   
Pharmaceuticals—1.9%
      
5,000,000
  
Abbott Laboratories, 1.720%, 11/5/2002
  
 
4,999,044
       
   
Total Corporate Obligations
  
 
116,244,341
       
Principal Amount
  
 
Value
U.S. Government Agencies—38.4%
      
   
Federal Home Loan Mortgage Corporation—4.4%
      
$12,000,000
  
1.750%, 12/30/2002
  
$
11,965,583
       
   
Federal National Mortgage Association—32.1%
      
8,500,000
  
1.505%, 5/2/2003
  
 
8,435,327
5,000,000
  
1.565%, 4/9/2003
  
 
4,965,440
11,000,000
  
1.620%, 2/5/2003
  
 
10,952,480
15,000,000
  
1.675%, 4/16/2003
  
 
14,884,146
10,000,000
  
1.700%, 12/4/2002
  
 
9,984,417
8,500,000
  
1.700%, 12/20/2002
  
 
8,480,332
5,000,000
  
1.700%, 1/15/2003
  
 
4,982,292
20,000,000
  
1.900%, 11/27/2002
  
 
19,972,555
3,204,000
  
2.370%, 12/13/2002
  
 
3,195,141
       
   
Total
  
 
85,852,130
       
   
Student Loan Marketing Association—1.9%
      
5,000,000
  
1.638%, 3/21/2003
  
 
4,999,616
       
   
Total U.S. Government Agencies
  
 
102,817,329
       
(2)Note-Variable—3.9%
      
10,500,000
  
Morgan Stanley, 1.925%, 11/1/2002
  
 
10,500,000
       
Repurchase Agreement—14.4%
      
38,475,000
  
Repurchase agreement with State Street Corp., dated 10/31/2002, due 11/1/2002 at 1.840%, collateralized by U.S. Treasury Notes, due 3/31/2004 (repurchase proceeds $38,476,967) (cost of $38,475,000)
  
 
38,475,000
       
   
Total Investments
(at amortized cost)
  
$
268,036,670
       

(See Notes to Portfolios of Investments)

3

VISION Institutional Limited Duration U.S. Government Fund
Portfolio of Investments
October 31, 2002 (unaudited)
Principal Amount
  
 
Value
Collateralized Mortgage Obligations—37.7%
      
   
Federal Home Loan Mortgage Corporation—21.8%
$3,000,000
  
Series 2399-PM, REMIC, 5.500%, 6/15/2010
  
$
3,104,866
5,000,000
  
Series 2456-CB, REMIC, 5.500%, 9/15/2016
  
 
5,156,552
2,085,505
  
Series 1601-PH, REMIC, 6.000%, 4/15/2008
  
 
2,179,082
7,000,000
  
Series 1638-E, REMIC, 6.250%, 4/15/2023
  
 
7,444,150
787,400
  
Series 1197-G, REMIC, 6.750%, 12/15/2006
  
 
793,786
1,124,608
  
Series 1295-J, REMIC, 7.500%, 3/15/2007
  
 
1,143,906
2,783,777
  
Series 1154-GB, REMIC, 8.000%, 10/15/2006
  
 
2,874,529
405,425
  
Series 1253-E, REMIC, 8.000%, 2/15/2007
  
 
416,132
       
   
Total
  
 
23,113,003
       
   
Federal National Mortgage Association—11.0%
5,974,273
  
Series 1993-52-H, REMIC, 6.500%, 8/25/2007
  
 
6,104,213
1,000,000
  
Series 1997-26-K, REMIC, 6.600%, 9/18/2010
  
 
1,033,220
1,963,396
  
Series 1993-77-H, REMIC, 6.750%, 11/25/2020
  
 
2,010,399
984,576
  
Series 1992-43-E, REMIC, 7.500%, 4/25/2022
  
 
1,054,393
1,448,745
  
Series 1991-4-G, REMIC, 8.250%, 1/25/2006
  
 
1,522,066
       
   
Total
  
 
11,724,291
       
   
Government National Mortgage Association—4.9%
5,000,000
  
5.000%, 7/20/2024
  
 
5,161,400
       
   
Total Collateralized Mortgage Obligations
(identified cost $39,626,438)
  
 
39,998,694
       
Government Agencies—37.3%
      
   
Federal Home Loan Bank—27.8%
      
5,000,000
  
3.500%, 8/15/2006
  
 
5,116,200
5,000,000
  
4.540%, 8/1/2007
  
 
5,182,050
5,000,000
  
5.375%, 2/15/2006
  
 
5,429,950
5,000,000
  
5.945%, 7/28/2008
  
 
5,616,550
2,500,000
  
6.375%, 11/14/2003
  
 
2,625,950
5,000,000
  
7.125%, 2/15/2005
  
 
5,554,400
       
   
Total
  
 
29,525,100
       
   
Federal National Mortgage Association—9.5%
9,500,000
  
5.420%, 4/4/2007
  
 
10,093,370
       
   
Total Government Agencies
(identified cost $38,393,158)
  
 
39,618,470
       
Principal Amount or Shares
  
 
Value
Mortgage-Backed Securities—3.1%
      
   
Federal Home Loan Mortgage Corporation—1.9%
$1,000,465
  
6.000%, 8/1/2006
  
$
1,042,044
915,009
  
9.000%, 4/1/2016
  
 
991,065
       
   
Total
  
 
2,033,109
       
   
Federal National Mortgage Association—0.8%
750,677
  
9.000%, 6/1/2022
  
 
829,730
       
   
Government National Mortgage Association—0.4%
38,330
  
8.500%, 2/15/2017
  
 
42,738
14,340
  
8.500%, 4/15/2017
  
 
15,989
81,489
  
8.500%, 7/15/2021
  
 
89,892
129,006
  
8.500%, 7/15/2021
  
 
142,028
96,928
  
8.500%, 1/15/2023
  
 
106,711
       
   
Total
  
 
397,358
       
   
Total Mortgage-Backed Securities
(identified cost $3,168,638)
  
 
3,260,197
       
U.S. Treasury Obligations—21.1%
      
   
U.S. Treasury Notes—21.1%
      
5,000,000
  
2.875%, 6/30/2004
  
 
5,105,950
5,000,000
  
3.625%, 3/31/2004
  
 
5,150,300
5,000,000
  
5.750%, 11/15/2005
  
 
5,530,600
3,000,000
  
5.875%, 11/15/2004
  
 
3,250,020
3,000,000
  
6.750%, 5/15/2005
  
 
3,357,060
       
   
Total U.S. Treasury Obligations
(identified cost $21,855,844)
  
 
22,393,930
       
Mutual Fund—4.9%
      
5,258,292
  
Seven Seas Money Market Fund
(at net asset value)
  
 
5,258,292
       
   
Total Investments
(identified cost $108,302,370)
  
$
110,529,583
       

(See Notes to Portfolios of Investments)

4

VISION Money Market Fund
Portfolio of Investments
October 31, 2002 (unaudited)

Principal
Amount
  
 
Value
           
(1)Corporate Obligations—51.0%
      
   
Asset-Backed—10.3%
      
$  65,000,000
  
Apreco, Inc., 1.763%, 11/19/2002
  
$
64,942,800
45,000,000
  
Asset Securitization Cooperative Corp., 1.752%, 11/8/2002
  
 
44,984,688
45,000,000
  
CIESCO LP, 1.714%, 11/21/2002
  
 
44,957,250
       
   
Total
  
 
154,884,738
       
   
Banking—3.3%
      
50,000,000
  
Wells Fargo & Co., 1.745%, 11/1/2002
  
 
50,000,000
       
   
Diversified—5.0%
      
75,000,000
  
General Electric Capital Corp., 1.764%-2.075%, 11/25/2002-2/19/2003
  
 
74,698,472
       
   
Financial Retail—4.0%
      
60,000,000
  
American Express Credit Corp., 1.677%, 11/13/2002
  
 
59,966,600
       
   
Financial Services—5.0%
      
75,000,000
  
Citicorp, 1.756%-1.781%, 11/4/2002-11/12/2002
  
 
74,969,312
       
   
Food & Beverage—4.6%
      
70,000,000
  
Nestle Capital Corp., 1.700%-1.750%, 11/26/2002-1/13/2003
  
 
69,859,444
       
   
Insurance—11.6%
      
50,000,000
  
AIG Funding, Inc., 1.863%, 3/10/2003
  
 
49,670,333
50,000,000
  
American General Finance Corp., 1.746%, 1/6/2003
  
 
49,840,500
25,000,000
  
Prudential Funding Corp., 1.744%, 12/2/2002
  
 
24,962,542
50,000,000
  
Transamerica Finance Corp., 1.775%, 11/14/2002
  
 
49,968,042
       
   
Total
  
 
174,441,417
       
   
Media—4.6%
      
70,000,000
  
Gannett Co., Inc., 1.742%, 11/15/2002
  
 
69,952,633
       
   
Pharmaceutical—2.6%
      
40,000,000
  
Abbott Laboratories, 1.726%, 11/5/2002
  
 
39,992,356
       
   
Total Corporate Obligations
  
 
768,764,972
       
Principal
Amount
  
 
Value
(1)U.S. Government Agencies—39.4%
      
   
Federal Home Loan Mortgage Corporation—4.0%
      
$  60,000,000
  
1.750%, 12/30/2002
  
$
59,827,917
       
   
Federal National Mortgage Association—32.4%
      
50,000,000
  
1.505%, 5/2/2003
  
 
49,619,569
45,000,000
  
1.565%, 4/9/2003
  
 
44,688,956
74,000,000
  
1.620%, 2/5/2003
  
 
73,680,320
           
100,000,000
  
1.675%, 4/16/2003
  
 
99,227,639
50,000,000
  
1.700%, 12/4/2002
  
 
49,922,083
50,000,000
  
1.700%, 12/20/2002
  
 
49,884,306
45,000,000
  
1.700%, 1/15/2003
  
 
44,840,625
50,000,000
  
1.900%, 11/27/2002
  
 
49,931,389
27,000,000
  
2.370%, 12/13/2002
  
 
26,925,345
       
   
Total
  
 
488,720,232
       
   
Student Loan Marketing Association—3.0%
      
45,000,000
  
1.638%, 3/21/2003
  
 
44,996,548
       
   
Total Government Agencies
  
 
593,544,697
       
(2)Note-Variable—5.0%
      
75,000,000
  
Morgan Stanley, 1.925%, 11/1/2002
  
 
75,000,000
       
Repurchase Agreement—4.7%
      
71,079,000
  
Repurchase agreement with State Street Corp., dated 10/31/2002, due 11/1/2002 at 1.840%, collateralized by U.S. Treasury Notes, due 3/31/2004 (repurchase proceeds $71,082,633)
(cost of $71,079,000)
  
 
71,079,000
       
   
Total Investments
(at amortized cost)
  
$
1,508,388,669
       

(See Notes to Portfolios of Investments)

5

Notes to Portfolios of Investments

The categories of investments are shown as a percentage of net assets at October 31, 2002.
 
(1)
Each issue, with the exception of variable rate securities, shows the coupon or rate of discount at the time of purchase, if applicable.
(2)
Denotes variable rate securities with current rate and next demand date.
 
The following acronym is used throughout this report:
 
REMIC—Real Estate Mortgage Investment Conduit
    
 
VISION Fund
   
Cost of Investments
for Federal Tax Purposes
     
Net
Unrealized Appreciation (Depreciation) for Federal Tax Purposes
   
Gross Unrealized Appreciation for Federal Tax Purposes
     
Gross Unrealized Depreciation for Federal Tax Purposes
   
Total Net Assets
Institutional Prime Money Market Fund
   
$
268,036,670
*
   
$
—
   
$
—
     
$
—
   
$
267,694,492
Institutional Limited Duration U.S. Government Fund
   
 
108,302,370
 
   
 
2,227,213
   
 
2,342,685
     
 
115,472
   
 
106,137,630
Money Market Fund
   
 
1,508,388,669
*
   
 
    —
   
 
    —
     
 
—
   
 
1,507,041,014
 
* at amortized cost

(See Notes which are an integral part of the Financial Statements)

6

VISION Group of Funds
Statements of Assets and Liabilities
October 31, 2002 (unaudited)

 
Institutional Prime
Money Market Fund
       
Institutional Limited Duration U.S. Government Fund
    
Money Market Fund
  
Assets:
                           
                          
Investments in securities, at amortized cost and value
  
$
229,561,670
 
     
$
110,529,583
 
  
$
1,437,309,669
 
                          
Investments in repurchase agreements, at amortized cost
  
 
38,475,000
 
     
 
—
 
  
 
71,079,000
 
 
    
 
Total investments
  
 
268,036,670
 
     
 
110,529,583
 
  
 
1,508,388,669
 
                          
Cash
  
 
551
 
     
 
104,229
 
  
 
58
 
                          
Income receivable
  
 
28,016
 
     
 
1,013,279
 
  
 
206,158
 
 
    
 
Total assets
  
 
268,065,237
 
     
 
111,647,091
 
  
 
1,508,594,885
 
 
    
 
Liabilities:
                           
                          
Income distribution payable
  
 
331,038
 
     
 
401,512
 
  
 
1,333,394
 
                          
Payable for investments purchased
  
 
—
 
     
 
5,104,229
 
  
 
—
 
                          
Accrued expenses
  
 
39,707
 
     
 
3,720
 
  
 
220,477
 
 
    
 
Total liabilities
  
 
370,745
 
     
 
5,509,461
 
  
 
1,553,871
 
 
    
 
Net Assets
  
$
267,694,492
 
     
$
106,137,630
 
  
$
1,507,041,014
 
 
    
 
Net Assets Consist of:
                           
                          
Paid in capital
  
$
267,673,310
 
     
$
105,715,646
 
  
$
1,507,071,801
 
                          
Net unrealized appreciation of investments
  
 
—
 
     
 
2,227,213
 
  
 
—
 
                          
Accumulated net realized gain (loss) on investments
  
 
32,166
 
     
 
(1,342,491
)
  
 
14,756
 
                          
Accumulated distributions in excess of net investment income
  
 
(10,984
)
     
 
(462,738
)
  
 
(45,543
)
 
    
 
Total Net Assets
  
$
267,694,492
 
     
$
106,137,630
 
  
$
1,507,041,014
 
 
    
 
Class A Shares
  
 
—
 
     
 
—
 
  
$
1,404,169,449
 
 
    
 
Class S Shares
  
 
—
 
     
 
—
 
  
$
100,429,298
 
 
    
 
Institutional Shares
  
$
267,694,492
 
     
$
106,137,630
 
  
$
2,442,267
 
 
    
 
Shares Outstanding:
                           
                          
Class A Shares
  
 
—
 
     
 
—
 
  
 
1,404,395,307
 
 
    
 
Class S Shares
  
 
—
 
     
 
—
 
  
 
100,233,950
 
 
    
 
Institutional Shares
  
 
267,698,892
 
     
 
10,675,372
 
  
 
2,442,544
 
 
    
 
Net Asset Value, Offering Price and Redemption Proceeds Per Share:
                           
                          
Net Asset Value Per Share
                           
                          
Class A Shares
  
 
—
 
     
 
—
 
  
$
1.00
 
 
    
 
Class S Shares
  
 
—
 
     
 
—
 
  
$
1.00
 
 
    
 
Institutional Shares
  
$
1.00
 
     
$
9.94
 
  
$
1.00
 
 
    
 
Offering Price Per Share*
                           
                          
Institutional Shares
  
$
— 
 
     
$
10.25
 **
  
$
— 
 
 
    
 
Investments, at identified cost
  
$
268,036,670
 
     
$
108,302,370
 
  
$
1,508,388,669
 
 
    
 
  * See “What Do Shares Cost?” in the Prospectus.
                           
** Computation of offering price per share 100/97 of net asset value.
                           

(See Notes which are an integral part of the Financial Statements)

7

 
VISION Group of Funds
Statements of Operations
Six Months Ended October 31, 2002 (unaudited)
  
Institutional Prime
Money Market Fund
     
Institutional Limited Duration U.S. Government Fund
    
Money Market Fund
  
Investment Income:
                          
                         
Interest
   
$
2,339,493
 
   
$
2,169,296
 
  
$
14,195,118
 
  
  
 
Expenses:
                          
                         
Investment adviser fee
   
 
644,070
 
   
 
297,417
 
  
 
3,908,423
 
                         
Administrative personnel and services fee
   
 
110,879
 
   
 
42,668
 
  
 
672,670
 
                         
Custodian fees
   
 
6,352
 
   
 
2,478
 
  
 
23,701
 
                         
Transfer and dividend disbursing agent fees and expenses
   
 
44,544
 
   
 
23,352
 
  
 
324,537
 
                         
Directors’ fees
   
 
3,022
 
   
 
1,138
 
  
 
13,694
 
                         
Auditing fees
   
 
5,386
 
   
 
3,400
 
  
 
50,354
 
                         
Legal fees
   
 
1,800
 
   
 
722
 
  
 
12,487
 
                         
Portfolio accounting fees
   
 
57,966
 
   
 
22,306
 
  
 
351,758
 
                         
Distribution services fee—Class S Shares
   
 
—
 
   
 
—
 
  
 
129,418
 
                         
Shareholder services fee—Class A Shares
   
 
—
 
   
 
—
 
  
 
1,821,399
 
                         
Shareholder services fee—Class S Shares
   
 
—
 
   
 
—
 
  
 
129,418
 
                         
Shareholder services fee—Institutional Shares
   
 
—
 
   
 
123,924
 
  
 
3,395
 
                         
Share registration costs
   
 
8,916
 
   
 
8,042
 
  
 
16,791
 
                         
Printing and postage
   
 
13,001
 
   
 
6,746
 
  
 
112,771
 
                         
Insurance premiums
   
 
964
 
   
 
593
 
  
 
3,908
 
                         
Miscellaneous
   
 
6,348
 
   
 
5,410
 
  
 
4,294
 
  
  
 
Total expenses
   
 
903,248
 
   
 
538,196
 
  
 
7,579,018
 
  
  
 
Waivers:
                          
                         
Waiver of investment adviser fee
   
 
(386,442
)
   
 
(99,139
)
  
 
(1,563,369
)
                         
Waiver of shareholder services fee—Class A Shares
   
 
—
 
   
 
—
 
  
 
(364,280
)
                         
Waiver of shareholder services fee—Institutional Shares
   
 
—
 
   
 
(99,139
)
  
 
(2,037
)
  
  
 
Total waivers
   
 
(386,442
)
   
 
(198,278
)
  
 
(1,929,686
)
  
  
 
Net expenses
   
 
516,806
 
   
 
339,918
 
  
 
5,649,332
 
  
  
 
Net investment income
   
 
1,822,687
 
   
 
1,829,378
 
  
 
8,545,786
 
  
  
 
Realized and Unrealized Gain on Investments:
                          
                         
Net realized gain on investments
   
 
—
 
   
 
586,512
 
  
 
—
 
                         
Net change in unrealized appreciation of investments
   
 
—
 
   
 
1,249,458
 
  
 
—
 
  
  
 
Net realized and unrealized gain on investments
   
 
—
 
   
 
1,835,970
 
  
 
—
 
  
  
 
Change in net assets resulting from operations
   
$
1,822,687
 
   
$
3,665,348
 
  
$
8,545,786
 
  
  
 

(See Notes which are an integral part of the Financial Statements)

8
 
 
 
 
[THIS PAGE INTENTIONALLY LEFT BLANK]

9

VISION Group of Funds
Statements of Changes in Net Assets

 
      
Institutional Prime
Money Market Fund
  
      
Six Months Ended
(unaudited)
       
Year Ended April 30,
2002
  
Increase (Decrease) in Net Assets:
                      
                     
Operations:
                      
                     
Net investment income
     
$
1,822,687
 
     
$
6,042,834
 
                     
Net realized gain (loss) on investments
     
 
—
 
     
 
—
 
                     
Net change in unrealized appreciation of investments
     
 
—
 
     
 
—
 
    
    
Change in net assets resulting from operations
     
 
1,822,687
 
     
 
6,042,834
 
    
    
Distributions to Shareholders:
                      
                     
Distributions from net investment income
                      
                     
Class A Shares
     
 
—  
 
     
 
—  
 
                     
Class S Shares
     
 
—  
 
     
 
—  
 
                     
Institutional Shares
     
 
(1,824,508
)
     
 
(6,042,834
)
    
    
Change in net assets resulting from distributions to shareholders
     
 
(1,824,508
)
     
 
(6,042,834
)
    
    
Share Transactions:
                      
                     
Proceeds from sale of shares
     
 
599,080,053
 
     
 
922,203,584
 
                     
Net asset value of shares issued to shareholders in payment of distributions declared
     
 
362,669
 
     
 
1,634,292
 
                     
Cost of shares redeemed
     
 
(550,565,228
)
     
 
(891,032,360
)
    
    
Change in net assets resulting from share transactions
     
 
48,877,494
 
     
 
32,805,516
 
    
    
Change in net assets
     
 
48,875,673
 
     
 
32,805,516
 
                     
Net Assets:
                      
                     
Beginning of period
     
 
218,818,819
 
     
 
186,013,303
 
    
    
End of period
     
$
267,694,492
 
     
$
218,818,819
 
    
    
Distributions in excess of net investment income included in net assets at end of period
     
$
(10,984
)
     
$
(9,163
)
    
    

(See Notes which are an integral part of the Financial Statements)

10

 
Institutional Limited Duration
U.S. Government Fund
       
Money Market Fund
  
Six Months Ended
(unaudited)
       
Year Ended April 30, 2002
       
Six Months Ended
(unaudited) October 31, 2002
       
Year Ended
  
                                      
                                      
$
1,829,378
 
     
$
3,045,340
 
     
$
8,545,786
 
     
$
42,149,990
 
 
586,512
 
     
 
48,737
 
     
 
—
 
     
 
(25,337
)
 
1,249,458
 
     
 
532,720
 
     
 
—
 
     
 
—
 
    
    
    
 
3,665,348
 
     
 
3,626,797
 
     
 
8,545,786
 
     
 
42,124,653
 
    
    
    
                                      
                                      
 
—
 
     
 
—
 
     
 
(8,308,413
)
     
 
(40,321,122
)
 
—
 
     
 
—
 
     
 
(225,963
)
     
 
(1,823,120
)
 
(2,270,824
)
     
 
(3,861,010
)
     
 
(16,860
)
     
 
(5,748
)
    
    
    
 
(2,270,824
)
     
 
(3,861,010
)
     
 
(8,551,236
)
     
 
(42,149,990
)
    
    
    
                                      
 
27,120,932
 
     
 
56,034,201
 
     
 
55,067,258,739
 
     
 
135,324,350,616
 
 
730,999
 
     
 
928,717
 
     
 
3,528,353
 
     
 
22,888,383
 
 
(12,122,350
)
     
 
(23,997,059
)
     
 
(55,191,134,414
)
     
 
(135,379,575,107
)
    
    
    
 
15,729,581
 
     
 
32,965,859
 
     
 
(120,347,322
)
     
 
(32,336,108
)
    
    
    
 
17,124,105
 
     
 
32,731,646
 
     
 
(120,352,772
)
     
 
(32,361,445
)
 
89,013,525
 
     
 
56,281,879
 
     
 
1,627,393,786
 
     
 
1,659,755,231
 
    
    
    
$
106,137,630
 
     
$
89,013,525
 
     
$
1,507,041,014
 
     
$
1,627,393,786
 
    
    
    
$
(462,738
)
     
$
(21,292
)
     
$
(45,543
)
     
$
(40,093
)
    
    
    

11
VISION Group of Funds
Financial Highlights
(For an Institutional Share outstanding throughout each period)
 
 
Period
Ended
April 30,
       
Net Asset Value, beginning of period
     
Net Investment Income
       
Net Realized and Unrealized Gain (Loss) on Investments
       
Total from Investment Operations
     
Distributions from Net Investment Income
       
Distributions from Net Realized Gains
  
Institutional Prime Money Market Fund(c)
                         
1997
(d)
     
$
1.00
     
0.04
 
     
0.00
(e)
     
0.04
     
(0.04
)
     
—
 
1998
(g)
     
$
1.00
     
0.05
 
     
0.00
(e)
     
0.05
     
(0.05
)
     
—
 
1999
(g)
     
$
1.00
     
0.05
 
     
0.00
(e)
     
0.05
     
(0.05
)
     
—
 
2000
(g)
     
$
1.00
     
0.05
 
     
0.00
(e)
     
0.05
     
(0.05
)
     
—
 
2001
(h)(i)
     
$
1.00
     
0.05
 
     
—
 
     
0.05
     
(0.05
)
     
—
 
2002
 
     
$
1.00
     
0.03
 
     
—
 
     
0.03
     
(0.03
)
     
—
 
2002
(j)
     
$
1.00
     
0.01
 
     
(0.00
)(e)
     
0.01
     
(0.01
)
     
—
 
Institutional Limited Duration U.S. Government Fund(k)
                         
1998
(l)
     
$
10.00
     
0.56
 
     
(0.04
)
     
0.52
     
(0.56
)
     
(0.00
)(e)
1999
(g)
     
$
9.96
     
0.54
 
     
(0.13
)
     
0.41
     
(0.54
)
     
(0.00
)(e)
2000
(g)
     
$
9.83
     
0.55
 
     
(0.14
)
     
0.41
     
(0.55
)
     
—
 
2001
(h)(i)
     
$
9.69
     
0.50
 
     
0.11
 
     
0.61
     
(0.49
)
     
—
 
2002
 
     
$
9.81
     
0.62
(m)
     
(0.06
)(m)
     
0.56
     
(0.57
)
     
—
 
2002
(j)
     
$
9.80
     
0.19
 
     
0.18
 
     
0.37
     
(0.23
)
     
—
 
Money Market Fund
                         
2002
(n)
     
$
1.00
     
0.01
 
     
—
 
     
0.01
     
(0.01
)
     
—
 
2002
(j)
     
$
1.00
     
0.01
 
     
—
 
     
0.01
     
(0.01
)
     
—
 
(a)
Based on net asset value, which does not reflect the sales charge or contingent deferred sales charge, if applicable.
(b)
This voluntary expense decrease is reflected in both the expense and net investment income ratios shown above.
(c)
Formerly Governor Prime Money Market Fund, effective date January 8, 2001.
(d)
Reflects operations for the period from October 7, 1996 (date of initial public investment) to June 30, 1997.
(e)
Less than $0.01 per share.
(f)
Computed on an annualized basis.
(g)
Reflects operations for the year ended June 30.
(h)
Reflects operations for the period from July 1, 2000 to April 30, 2001. The Funds changed their fiscal year end from June 30 to April 30.
(i)
Effective January 8, 2001, the Funds changed their investment adviser from Martindale Andres & Company LLC to Manufacturers and Traders Trust Company.
(j)
Six months ended October 31, 2002 (unaudited).
(k)
Formerly Governor Limited Duration Government Securities Fund, effective date January 8, 2001.
(l)
Reflects operations for the period from July 1, 1997 (date of initial public investment) to June 30, 1998.
(m)
Effective May 1, 2001, the Institutional Limited Duration U.S. Government Fund adopted the provisions of the American Institute of Certified Public Accountants (AICPA) Audit and Accounting Guide for Investment Companies and began accreting discount/amortizing premium on long term debt securities. The effect of this change for the year ended April 30, 2002 was to increase net investment income per share by $0.05, increase net realized gain/loss per share by $0.05, and decrease the ratio of net investment income to average net assets from 5.68% to 4.55%. Per share, ratios and supplemental data for periods prior to May 1, 2001 have not been restated to reflect this change in presentation.
(n)
Reflects operations for the period from September 4, 2001 (date of initial public investment) to April 30, 2002.

(See Notes which are an integral part of the Financial Statements)

12
 
                        
Ratios to Average Net Assets
                  
Total Distributions
       
Net Asset Value, end of period
     
Total Return(a)
       
Expenses
       
Net Investment Income
       
Expense Waiver/ Reimbursement(b)
       
Net Assets, end
of period (000 omitted)
     
Portfolio Turnover Rate
  
                                                                  
(0.04
)
     
$
1.00
     
3.73
%
     
0.36
%(f)
     
5.02
%(f)
     
0.70
%(f)
     
$
95,850
     
—
 
(0.05
)
     
$
1.00
     
5.19
%
     
0.48
%
     
5.14
%
     
0.76
%
     
$
217,861
     
—
 
(0.05
)
     
$
1.00
     
4.80
%
     
0.49
%
     
4.68
%
     
0.80
%
     
$
261,561
     
—
 
(0.05
)
     
$
1.00
     
5.46
%
     
0.47
%
     
5.34
%
     
0.70
%
     
$
282,014
     
—
 
(0.05
)
     
$
1.00
     
4.81
%
     
0.53
%(f)
     
5.76
%(f)
     
0.21
%(f)
     
$
186,013
     
—
 
(0.03
)
     
$
1.00
     
2.63
%
     
0.41
%
     
2.54
%
     
0.30
%
     
$
218,819
     
—
 
(0.01
)
     
$
1.00
     
0.72
%
     
0.40
%(f)
     
1.41
%(f)
     
0.30
%(f)
     
$
267,694
     
—
 
                                                                  
(0.56
)
     
$
9.96
     
5.39
%
     
0.65
%(f)
     
5.58
%(f)
     
1.18
%(f)
     
$
29,360
     
482
%
(0.54
)
     
$
9.83
     
4.25
%
     
0.59
%
     
5.51
%
     
1.03
%
     
$
52,041
     
519
%
(0.55
)
     
$
9.69
     
4.31
%
     
0.61
%
     
5.77
%
     
0.94
%
     
$
73,140
     
237
%
(0.49
)
     
$
9.81
     
6.47
%
     
0.71
%(f)
     
6.05
%(f)
     
0.21
%(f)
     
$
56,282
     
158
%
(0.57
)
     
$
9.80
     
5.87
%
     
0.63
%
     
4.55
%(m)
     
0.27
%
     
$
89,014
     
89
%
(0.23
)
     
$
9.94
     
3.79
%
     
0.69
%(f)
     
3.69
%(f)
     
0.40
%(f)
     
$
106,138
     
52
%
                                                                  
(0.01
)
     
$
1.00
     
1.19
%
     
0.61
%(f)
     
1.55
%(f)
     
0.36
%(f)
     
$
2,805
     
—
 
(0.01
)
     
$
1.00
     
0.61
%
     
0.60
%(f)
     
1.22
%(f)
     
0.35
%(f)
     
$
2,442
     
—
 

13

 
VISION Group of Funds
Notes to Financial Statements
October 31, 2002 (unaudited)

Organization
 
VISION Group of Funds (the “Trust”) is registered under the Investment Company Act of 1940, as amended (the “Act”), as an open-end management investment company. The Trust consists of 21 portfolios (individually referred to as the “Fund”, or collectively as the “Funds”). The following Funds are presented herein:
 
Portfolio Name
   
Investment Objective
VISION Institutional Prime Money Market Fund (“Institutional Prime Money Market Fund”) (d)
   
Seeks current income with liquidity and stability of principal.
VISION Institutional Limited Duration U.S. Government Fund (“Institutional Limited Duration U.S. Government Fund”) (d)
   
Seeks current income with preservation of capital as a secondary objective.
VISION Money Market Fund (“Money Market Fund”) (d)
   
Seeks current income with liquidity and stability of principal.
 
(d)  Diversified
 
The financial statements of the other portfolios are presented separately. The assets of each portfolio are segregated and a shareholder’s interest is limited to the portfolio in which shares are held.
 
Significant Accounting Policies
 
The following is a summary of significant accounting policies consistently followed by the Funds in the preparation of their financial statements. These policies are in conformity with generally accepted accounting principles (“GAAP”).
 
Investment Valuation—Institutional Prime Money Market Fund and Money Market Fund use the amortized cost method to value their portfolio securities in accordance with Rule 2a-7 under the Act. For Institutional Limited Duration U.S. Government Fund, U.S. government securities are generally valued at the mean of the latest bid and asked price as furnished by an independent pricing service. Listed corporate bonds, and other fixed income and asset-backed securities, unlisted securities and short-term securities are valued at the prices provided by an independent pricing service. However, short-term securities with remaining maturities of 60 days or less at the time of purchase may be valued at amortized cost, which approximates fair market value. Investments in other open-end regulated investment companies are valued at net asset value. Securities for which no quotations are readily available are valued at fair value as determined in good faith using methods approved by the Board of Trustees (the “Trustees”).
 
Repurchase Agreements—It is each Fund’s policy to require the custodian bank to take possession, to have legally segregated in the Federal Reserve Book Entry System, or to have segregated within the custodian bank’s vault, all securities held as collateral under repurchase agreement transactions. Additionally, procedures have been established by the Funds to monitor, on a daily basis, the market value of each repurchase agreement’s collateral to ensure that the value of collateral at least equals the repurchase price to be paid under the repurchase agreement transaction.
 
The Funds will only enter into repurchase agreements with banks and other recognized financial institutions, such as broker/dealers, which are deemed by the Funds’ adviser to be creditworthy pursuant to the guidelines and/or standards reviewed or established by the Trustees. Risks may arise from the potential inability of counterparties to honor the terms of the repurchase agreement. Accordingly, the Funds could receive less than the repurchase price on the sale of collateral securities. The Funds along with other affiliated investment companies, may utilize a joint trading account for the purpose of entering into one or more repurchase agreements.

14

 
Investment Income, Expenses and Distributions—Interest income and expenses are accrued daily. All discounts/premiums are accreted/amortized for financial reporting purposes as required. Dividend income and distributions to shareholders are recorded on the ex-dividend date. Non-cash dividends included in dividend income, if any, are recorded at fair value. Money Market Fund offers multiple classes of shares, which differ in their respective distribution and service fees. All shareholders bear the common expenses of the Fund based on average daily net assets of each class, without distinction between share classes. Dividends are declared separately for each class. No class has preferential dividend rights; differences in per share dividend rates are generally due to differences in separate class expenses.
 
Effective May 1, 2001, the Trust adopted the provision of the AICPA Audit and Accounting Guide for Investment Companies and began amortizing long-term premiums and discounts on long-term debt securities. The cumulative effect of this accounting change had no impact on total net assets of Institutional Limited Duration U.S. Government Fund, but resulted in adjustments to the financial statements as follows:
 
   
    
For the Year Ended April 30, 2002
   
Cost of Investments
       
Undistributed Net Investment Income
     
Accumulated Net Realized Gain (Loss)
     
Net Investment Income
     
Net Unrealized Appreciation (Depreciation)
   
Net Realized Gain (Loss)
Increase
(Decrease)
  
$
(110,854
)
     
$
(323,068
)
   
$
212,214
     
$
(757,309
)
   
$
219,961
   
$
537,348
 
The Statement of Changes in Net Assets and Financial Highlights for prior periods have not been restated to reflect this change in presentation.
 
Federal Taxes—It is the policy of the Funds to comply with the provisions of the Internal Revenue Code, as amended, (the “Code”) applicable to regulated investment companies and to distribute to shareholders each year substantially all of their income. Accordingly, no provisions for federal tax are necessary.
 
At April 30, 2002, Institutional Limited Duration U.S. Government Fund, for federal tax purposes, had a capital loss carryforward of $1,237,431, which will reduce the Institutional Limited Duration U.S. Government Fund’s taxable income arising from future net realized gain on investments, if any, to the extent permitted by the Code, and thus will reduce the amount of the distributions to shareholders which would otherwise be necessary to relieve the Institutional Limited Duration U.S. Government Fund of any liability for federal tax. Pursuant to the Code, such capital loss carryforward will expire as follows:
 
Expiration Year
   
Expiration Amount
2007
   
$
67,802
2008
   
 
616,878
2009
   
 
306,358
2010
   
 
246,393
    
    
$
1,237,431
    
 
When-Issued and Delayed Delivery Transactions—The Funds may engage in when-issued or delayed delivery transactions. The Funds record when-issued securities on the trade date and maintain security positions such that sufficient liquid assets will be available to make payment for the securities purchased. Securities purchased on a when-issued or delayed delivery basis are marked to market daily and begin earning interest on the settlement date. Losses may occur on these transactions due to changes in market conditions or the failure of counterparties to perform under the contract.
 
Use of Estimates—The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts of assets, liabilities, expenses and revenues reported in the financial statements. Actual results could differ from those estimated.
 
Other—Investment transactions are accounted for on a trade date basis.

15

 
Capital Stock
 
At October 31, 2002, there were 1,000,000,000 shares (without par value) capital stock authorized with respect to Institutional Prime Money Market Fund; 1,000,000,000 shares (without par value) capital stock authorized with respect to Institutional Limited Duration U.S. Government Fund; and 6,000,000,000 shares of $0.001 par value capital stock (2,000,000,000 authorized as to Class A Shares, 2,000,000,000 authorized as to Class S Shares and 2,000,000,000 authorized as to Institutional Shares) authorized with respect to Money Market Fund. Capital paid-in for Institutional Prime Money Market Fund aggregated $267,673,310 and for Money Market Fund aggregated $1,507,071,801. Transactions in capital stock were as follows:
 
   
Institutional Prime Money Market Fund
  
   
Six Months Ended
October 31, 2002
    
Year Ended
April 30, 2002
  
   
Shares
    
Amount
    
Shares
    
Amount
  
Shares sold
  
599,080,053
 
  
$
599,080,053
 
  
922,203,584
 
  
$
922,203,584
 
                           
Shares issued to shareholders in payment of distributions declared
  
362,669
 
  
 
362,669
 
  
1,634,293
 
  
 
1,634,292
 
                           
Shares redeemed
  
(550,565,228
)
  
 
(550,565,228
)
  
(891,032,360
)
  
 
(891,032,360
)
 
 
 
 
Net change resulting from share transactions
  
48,877,494
 
  
$
48,877,494
 
  
32,805,517
 
  
$
32,805,516
 
 
 
 
 
 
    
Institutional Limited Duration
U.S. Government Fund
  
    
Six Months Ended October 31, 2002
     
Year Ended
April 30, 2002
  
    
Shares
     
Amount
     
Shares
     
Amount
  
Shares sold
   
2,748,636
 
   
$
27,120,932
 
   
5,685,226
 
   
$
56,034,201
 
                               
Shares issued to shareholders in payment of distributions declared
   
73,919
 
   
 
730,999
 
   
94,318
 
   
 
928,717
 
                               
Shares redeemed
   
(1,227,487
)
   
 
(12,122,350
)
   
(2,437,502
)
   
 
(23,997,059
)
  
  
  
  
Net change resulting from share transactions
   
1,595,068
 
   
$
15,729,581
 
   
3,342,042
 
   
$
32,965,859
 
  
  
  
  
 
      
Money Market Fund
  
Class A Shares:
     
Six Months Ended October 31, 2002
       
Year Ended April 30, 2002
  
Shares sold
     
44,124,361,187
 
     
112,180,878,513
 
                 
Shares issued to shareholders in payment of distributions declared
     
3,513,653
 
     
22,882,631
 
                 
Shares redeemed
     
(44,235,936,338
)
     
(112,289,609,561
)
    
    
Net change resulting from Class A Share transactions
     
(108,061,498
)
     
(85,848,417
)
    
    

16

VISION Group of Funds

 
      
Money Market Fund
  
Class S Shares:
     
Six Months Ended October 31, 2002
       
Year Ended April 30, 2002
  
Shares sold
     
10,935,079,098
 
     
23,139,522,831
 
                 
Shares issued to shareholders in payment of distributions declared
     
—
 
     
4
 
                 
Shares redeemed
     
(10,947,002,709
)
     
(23,088,815,283
)
    
    
Net change resulting from Class S Share transactions
     
(11,923,611
)
     
50,707,552
 
    
    
 
      
Money Market Fund
  
Institutional Shares:
     
Six Months Ended October 31, 2002
       
Period Ended April 30, 2002 (a)
  
Shares sold
     
7,818,454
 
     
3,949,272
 
                 
Shares issued to shareholders in payment of distributions declared
     
14,700
 
     
5,748
 
                 
Shares redeemed
     
(8,195,367
)
     
(1,150,263
)
    
    
Net change resulting from Institutional Share transactions
     
(362,213
)
     
2,804,757
 
    
    
Net change resulting from share transactions
     
(120,347,322
)
     
(32,336,108
)
    
    
 
(a)
Reflects operations for the period from September 4, 2001 (date of initial public investment) to April 30, 2002.
 
Investment Adviser Fee and Other Transactions with Affiliates
 
Investment Adviser Fee—M&T Asset Management, a department of Manufacturers and Traders Trust Company, the Funds’ investment adviser (the “Adviser” or “M&T”), receives for its services an annual investment adviser fee based on a percentage of each fund’s average daily net assets (see below). The Adviser may voluntarily choose to waive any portion of its fee. The Adviser can modify or terminate this voluntary waiver at any time at its sole discretion.
 
Fund Name
   
Annual Rate
Institutional Prime Money Market Fund
   
0.50%
Institutional Limited Duration U.S. Government Fund
   
0.60%
Money Market Fund
   
0.50%

17

 
Administrative Fee—Federated Services Company (“FServ”) and M&T Securities, Inc. (“M&T Securities”) serve as co-administrators to the Trust and provide the Funds with certain administrative personnel and services necessary to operate the Funds. During the period May 1, 2001 through September 30, 2002, administrative services were provided for an aggregate annual fee as specified below:
 
Fees Payable to FServ
 
Maximum Fee
   
Average Aggregate Daily Net Assets of the VISION Group of Funds
0.06%
   
on the first $2 billion
0.03%
   
on the next $3 billion
0.015%
   
on assets in excess of $5 billion
 
Fees Payable to M&T Securities, Inc.
 
Maximum Fee
   
Average Aggregate Daily Net Assets of the VISION Group of Funds
0.04%
   
on the first $5 billion
0.015%
   
on assets in excess of $5 billion
 
Effective October 1, 2002, the Administrative Fee has been changed to reflect the following fee schedule.
 
Fees Payable to FServ
 
Maximum Fee
   
Average Aggregate Daily Net Assets of the VISION Group of Funds
0.06%
   
on the first $2 billion
0.03%
   
on the next $3 billion
0.02%
   
on the next $2 billion
0.0125%
   
on the next $3 billion
0.01%
   
on assets in excess of $10 billion
 
Fees Payable to M&T Securities, Inc.
 
Maximum Fee
   
Average Aggregate Daily Net Assets of the VISION Group of Funds
0.04%
   
on the first $5 billion
0.03%
   
on the next $2 billion
0.0175%
   
on the next $3 billion
0.015%
   
on assets in excess of $10 billion
 
Transfer and Dividend Disbursing Agent and Fund Accounting Fee—FServ provides the Funds with certain administrative personnel and fund accounting services. FServ, through its subsidiary, Federated Shareholder Services Company, serves as transfer and dividend disbursing agent for the Funds. The fee paid to FServ is based on the level of average aggregate net assets of the Trust for the period.
 
Distribution Services Fee—The Trust has adopted a Distribution Plan (the “Plan”) pursuant to Rule 12b-1 under the Act. Under the terms of the Plan, the Funds will compensate Federated Securities Corp. (“FSC”), the principal distributor, from the net assets of the Funds to finance activities intended to result in the sale of the Funds’ Shares. The Plan provides that each Fund may incur distribution expenses up to 0.25% of the average daily net assets of each Fund, annually, to compensate FSC. FSC may voluntarily choose to waive any portion of its fee. FSC can modify or terminate this voluntary waiver at any time at its sole discretion. The Institutional Shares of the Money Market Fund does not pay or accrue distribution services fees. Institutional Limited Duration U.S. Government Fund and Institutional Prime Money Market Fund did not pay or accrue distribution services fees during the six months ended October 31, 2002.

18

 
Shareholder Services Fee—Under the terms of a Shareholder Services Agreement with M&T Securities, M&T Securities may receive up to 0.25% of average daily net assets of each Fund for the period. The fee paid to M&T Securities is used to finance certain services for shareholders and to maintain shareholder accounts. M&T Securities may voluntarily choose to waive any portion of its fee. M&T Securities can modify or terminate this voluntary waiver at any time at its sole discretion. Institutional Prime Money Market Fund did not pay or accrue shareholder services fees during the six months ended October 31, 2002.
 
General—Certain of the Officers of the Trust are Officers and Directors or Trustees of the above companies.
 
Investment Transactions—Purchases and sales of long-term U.S. Government securities for Institutional Limited Duration U.S. Government Fund for the six months ended October 31, 2002, were $64,993,272 and $49,032,302, respectively.
 
Line of Credit
 
The Funds (except for Managed Allocation Fund-Aggressive Growth, Managed Allocation Fund-Moderate Growth and Managed Allocation Fund-Conservative Growth) entered into a $10,000,000 unsecured, committed revolving line of credit (“LOC”) agreement with State Street Bank & Trust Company. The LOC was made available for extraordinary or emergency purposes, primarily for financing redemption payments. Borrowings are charged interest at a rate of 0.50% per annum over the Federal Funds Rate. The LOC includes a commitment fee of 0.10% per annum on the daily unused portion. The Funds did not utilize the LOC during the six months ended October 31, 2002.

19
 
 
 
 
Shares of the VISION Group of Funds are not FDIC insured or otherwise protected  by the U.S. government, are not deposits or other obligations of, or  guaranteed by, Manufacturers and Traders Trust Company,  and are subject to investment risks, including possible loss of the  principal amount invested.
 
This report is authorized for distribution to prospective investors only when preceded  or accompanied by the Funds’ prospectus which contains facts concerning their  objectives and policies, management fees, expenses and other information.

20

 

Dates Referenced Herein   and   Documents Incorporated by Reference

This ‘N-30D’ Filing    Date    Other Filings
4/16/03
Filed on / Effective on:1/3/03
12/16/02
11/4/02
11/1/02
For Period End:10/31/02NSAR-A
10/1/02
9/30/02
5/1/02
4/30/0224F-2NT,  N-30D,  NSAR-B
10/31/01N-30D,  NSAR-A
9/4/01
5/1/01
4/30/0124F-2NT,  N-30D,  NSAR-B
1/18/01
1/10/01
1/8/01
7/1/00
4/30/0024F-2NT,  N-30D,  N-30D/A,  NSAR-B
4/6/00
3/20/00
3/15/00
12/10/99
10/15/99
8/30/99
6/30/99
4/30/9924F-2NT,  N-30D,  NSAR-B
2/18/99
2/9/99
2/4/99
2/3/99
6/30/98PRE 14A
6/8/98
4/30/9824F-2NT,  N-30D,  NSAR-B/A
9/26/97
7/1/97497,  N-30D
6/30/9724F-2NT,  NSAR-B
12/2/96
10/7/96
10/1/96
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