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Wilmington Funds – ‘N-30D’ for 10/31/01

On:  Friday, 12/28/01   ·   For:  10/31/01   ·   Accession #:  1056288-1-500371   ·   File #:  811-05514

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

12/28/01  Wilmington Funds                  N-30D      10/31/01    1:3.5M                                   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   3.48M 
                          Shareholders

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  Vision Group of Funds December 28, 2001  

VISION GROUP OF FUNDS

Semi-Annual Report to
Shareholders

Dated October 31, 2001 and Supplement
to Combined Class A and B Shares
Prospectus Dated August 31, 2001

for Where you want to be

 

 

VISION NEW YORK MUNICIPAL INCOME FUND
VISION PENNSYLVANIA MUNICIPAL INCOME FUND
VISION U.S. GOVERNMENT SECURITIES FUND
(Portfolios of VISION Group of Funds)
Supplement to the Combined Class A and B Shares Prospectus dated August 31, 2001

 
1.  At its December 13, 2001 regular meeting, the VISION Group of Funds' Board of Trustees (``Board'') approved the following fundamental investment policy of VISION New York Municipal Income Fund: ``Under normal circumstances, VISION New York Municipal Income Fund will invest its assets so that at least 80% of the income it distributes will be exempt from federal regular income tax and personal income taxes imposed by the state of New York and New York municipalities.'' This will not change the management of the Fund. It merely changes an existing policy into one that cannot be changed without shareholder approval.
 
2.  At its December 13, 2001 regular meeting, the Board approved the following fundamental investment policy of VISION Pennsylvania Municipal Income Fund: ``Under normal circumstances, VISION Pennsylvania Municipal Income Fund will invest its assets so that at least 80% of the income it distributes will be exempt from federal regular income tax and income taxes imposed by the Commonwealth of Pennsylvania.'' This will not change the management of the Fund. It merely changes an existing policy into one that cannot be changed without shareholder approval.
 
3.  Effective January 1, 2002, Mark Tompkins will replace Thomas R. Pierce as portfolio manager for the VISION U.S. Government Securities Fund. Other fund responsibilities for Mr. Pierce and Mr. Tompkins will remain unchanged. Biographies for Mr. Pierce and Mr. Tompkins can be found on pages 56 and 57, respectively, of the Combined Class A and B Shares Prospectus.
 
December 31, 2001

 
Contents
 
          President's Message
  
1
          Investment Reviews
   
4
          Portfolios of Investments
   
18
          Statements of Assets and Liabilities
   
54
          Statements of Operations
   
58
          Statements of Changes in Net Assets
   
62
          Financial Highlights
   
70
          Notes to Financial Statements
   
78
          Trustees & Officers
   
95
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, 2001 through October 31, 2001. This report begins with a discussion by each equity or income 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.
 
The six-month reporting period was positive for bonds, as continued declines in interest rates caused the prices of existing bonds to rise. Stocks continued to record negative returns. I urge you to remember that the short-term volatility, while painful, is part of stock investing. Positive stock performance is best pursued over time--in years if not decades.
 
For more in-depth information on the investment climate, 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 (11.80)%, or (16.63)% adjusted for the fund's sales charge, due to a decline in international stock prices. Class B Shares produced a total return of (12.02)%, or (16.42)% adjusted for the fund's contingent deferred sales charge.** At the end of the reporting period, the fund's net assets totaled $40.3 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 (7.49)%, or (12.55)% adjusted for the fund's sales charge, the result of a decline in net asset value. Class B Shares produced a total return of (7.79)%, or (12.40)% 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 $100.7 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 (14.75)% or (19.41)% adjusted for the fund's sales charge, due to a decline in net asset value. Class B Shares produced a total return of (15.09)% or (19.34)% 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 $103.8 million.
 
VISION Large Cap Growth Fund
This fund pursues capital appreciation by investing in large, established blue-chip growth companies. Over the reporting period, in a difficult period for stocks, the fund's Class A Shares produced a total return of (9.02)%, or (14.05)% adjusted for the fund's sales charge, through a $0.77 decline in net asset value. Class B Shares produced a total return of (9.46)%, or (13.98)% adjusted for the fund's contingent deferred sales charge, through an $0.80 decline in net asset value.** At the end of the reporting period, the fund's net assets totaled $13.9 million.
 
VISION Large Cap Core Fund
This 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, which was a difficult period for stocks, the fund's Class A Shares produced a total return of (18.37)%, or (22.89)% adjusted for the fund's sales charge, through a $1.91 decrease in net asset value. Class B Shares produced a total return of (18.80)%, or (22.86)% adjusted for the fund's contingent deferred sales charge, through a $1.95 decrease in net asset value.** At the end of the reporting period, the fund's net assets totaled $158.9 million.
 
*
 
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
 
VISION Large Cap Value Fund
This fund offers a way to navigate toward income and capital appreciation from stocks believed to be undervalued. Over the reporting period, in a volatile stock market environment, the fund's Class A Shares produced a total return of (17.20)%, or (21.78)% adjusted for the fund's sales charge. Class B Shares produced a total return of (17.65)%, or (21.76)% adjusted for the contingent deferred sales charge.** The fund's net assets totaled $36.6 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 Funds with an emphasis on those investing in stocks.† Over the reporting period, the fund's Class A Shares produced a total return of (11.11)%, or (15.56)% adjusted for the fund's sales charge.** The fund's net assets totaled $2.5 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 (5.95)%, or (10.21)% adjusted for the fund's sales charge.** The fund paid dividend income of $0.07 per share. The fund's net assets totaled $4.1 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 Funds with an emphasis on those investing in bonds.† Over the reporting period, the fund's Class A Shares produced a total return of 0.13%, or (3.86)% adjusted for the fund's sales charge.** The fund paid dividend income totaling $0.15 per share. The fund's net assets totaled $1.4 million at the end of the reporting period.
 
VISION FIXED INCOME FUNDS
 
VISION New York Municipal Income Fund
The fund's portfolio of high-quality, New York municipal bonds paid tax-free income distributions totaling $0.21 per share for Class A Shares.‡ In a positive interest rate environment for bond prices, the fund's net asset value increased by $0.31. As a result, over the reporting period the fund's Class A Shares achieved a total return of 5.09%, or 0.38% adjusted for the fund's sales charge.** By the end of the reporting period, tax-sensitive New York residents had invested a total of $79.4 million in the fund.
 
VISION Pennsylvania Municipal Income Fund
This 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 $0.22 per share.‡ In a positive interest rate environment for bond prices, the net asset value increased by $0.31. As a result, over the reporting period the fund achieved a total return of 5.28%, or 0.57% adjusted for the fund's sales charge.** By the end of the reporting period, tax-sensitive Pennsylvania residents had invested a total of $84.7 million in the fund.
 
VISION Intermediate Term Bond Fund
This 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 $0.28 per share, while the fund's net asset value rose by $0.36 as declining interest rates caused bond prices to rise. As a result, the fund produced a total return of 6.84%, or 1.99% adjusted for the fund's sales charge.** At the end of the reporting period, the fund's net assets totaled $196.0 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.
†
 
Due to their strategy of investing in other mutual funds, these funds may incur certain additional expenses and tax results that would not be present with a direct investment in the underlying funds.
‡
 
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 $0.29 per share, while the fund's net asset value rose by $0.34 as declining interest rates caused an increase in bond prices. As a result, over the reporting period the fund produced a total return of 6.79%, or 2.03% adjusted for the fund's sales charge.** At the end of the reporting period, the fund's net assets totaled $101.0 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 $0.01 per share.‡ The fund's net assets totaled $191.5 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 $0.02 per share to Class A Shares investors and $0.02 per share to Class S Shares investors. The fund's net assets totaled $1.8 billion at the end of the reporting period.
 
VISION Treasury Money Market Fund, which invests exclusively in U.S. Treasury securities, paid dividends totaling $0.02 per share to Class A Shares investors and $0.02 per share to Class S Shares investors. The fund's net assets totaled $822.5 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/ Carol W. Jordan
Carl W. Jordan
President
December 15, 2001
 
**
 
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
 
Although there is scant hope that the U.S. economy will avoid recession, the September 11 terrorist attack on the World Trade Center and the Pentagon has probably dashed much of that hope. It is now likely that the U.S. economy will register negative growth, with consequences for the rest of the world economies and markets.
 
In the past six months, we continued to see downward earnings revisions across all sectors. European economies have slowed dramatically and the Japanese economy has fallen, once again, into recession.
 
We have made some changes to the portfolio but exposure to Information Technology remains underweight at the same level. This underweight will be reduced once we see evidence of a more stable earnings and business environment. At the same time, while defensive sectors have greatly aided the portfolio's relative performance, valuations within these sectors are no longer compelling, setting the stage for future portfolio readjustment.
 
While the defensive positioning of the portfolio proved fortunate in the aftermath of the attack, the fund is positioned for the eventual rebound as well. Our defensive positioning prior to the attack was based on our views of a weakening economic and earnings outlook. Going into September 11, we had limited exposure to Consumer Discretionary stocks and no exposure to Property & Casualty Insurance, Airlines, Hotels or Restaurants. For the period from May 1, 2001 to October 31, 2001, the fund's Class A Shares' total return was (11.80)%, or (16.63)% adjusted for the fund's sales charge, and the fund's Class B Shares' total return was (12.02)%, or (16.42)% adjusted for the fund's contingent deferred sales charge,* as compared to the benchmark index, the Morgan Stanley Capital International--Europe, Australasia, and Far East Index (``MSCI -- EAFE''),** which produced a total return of (18.38)%.
 
Given the renewed focus on earnings and fundamentals, we feel we are positioned to perform well and expect to be presented with opportunities over the next few months as the market incorporates the current environment into its expectations.
 
Uncertain times bring uncertain market reactions. With our focus on long-term underlying fundamental value, short-term market events and the reactions will not sway us. We will patiently wait for the opportunities that times like these invariably provide.
 
*
 
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 MSCI-EAFE is an unmanaged market capitalization-weighted equity index comprising 20 of the 48 countries in the MSCI universe and representing the developed world outside of North America. Each MSCI country index is created separately, then aggregated, without change, into regional MSCI indices. EAFE performance data is calculated in U.S. dollars and in local currency. Investments cannot be made in an index.

4
VISION
Small Cap Stock Fund
(LSV Asset Management)
 
LSV Asset Management (``LSV'') was selected to sub-advise a portion of the fund in early 2001 with a focus on small cap value stocks. We began managing a portion of the fund on July 2, 2001. Our objective is to outperform the value component of the Russell 2000 Index (Russell 2000 Value Index)* by building a diversified portfolio of small cap value stocks using our proprietary investment model developed by our founding principals. It is critical that we maintain strict style discipline so that we provide a complementary strategy to the fund's other sub-advisor who is focusing on small cap growth stocks.
 
The stock market was in a steep decline from July through September as the economy slowed towards recession and terrorism fears eroded consumer confidence. Fortunately, stocks recovered a bit in October as the Federal Reserve Board moved aggressively to cut interest rates and spur economic growth. Small cap value stocks outperformed small cap growth stocks over this time period. LSV's value equity strategy performed well in this environment on a relative basis as the strategy is focused on stocks with attractive valuations and good cash flow. Our conservative strategy for small cap investing has helped to limit downside risk in these difficult markets as well.
 
LSV's disciplined value investment strategy will continue to focus on stock selection while maintaining strict risk controls to help limit portfolio volatility. The resulting portfolio is diversified across industries and economic sectors making stock selection the major contributor to any excess returns. We plan to continue with the same investment approach and are confident our disciplined cash flow and earnings-based model will continue to select stocks that have the potential to outperform.
 
*
 
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. 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.

5
VISION
Small Cap Stock Fund
(Mazama Capital Management, Inc.)
 
The tragic events of September 11 sent shock waves around the world. While it will affect the U.S. economy for some time, the stock market is already beginning to show new signs of life after having faltered terribly over the eighteen months prior to the attack. To help move us toward economic recovery, the Federal Reserve Board has cut the target rate for federal funds by 50 basis points three times since September 11, after a record seven cuts already this year. Congress and President Bush have committed to decisive action as well, appearing to be on a fast track to pass an economic stimulus package that includes both government spending and tax relief.
 
After dropping nearly 15% in the first five trading days after the disaster, small cap growth stocks regained some traction as the Russell 2000 Growth Index* rebounded by 17% by October 31, 2001. While volatility will certainly be part of the landscape as we close out the year, the case for investing in the stock market in general, and small caps in particular, remains very strong. The Mazama Proprietary Price Performance Model (PPM) flashed a record ``buy'' signal for our small cap portfolios on Thursday, September 21, with a reading of 9.4. (Seven or more points indicate a ``buy,'' five to 6.9 points indicate a ``hold,'' and fewer than five points indicate a ``sell''). Since then, small caps have continued to trade at historically low valuations, particularly relative to those of large caps, yet have begun to rally from recent lows. It is within this valuation environment that we are finding a growing number of small, high-growth companies with exciting near-term business prospects and compelling financials. We are not alone in our sentiment, and have begun to see an increase in institutional funds flowing out of money markets, bonds, large caps, and value stocks and into small cap growth stocks.
 
We believe our portion of the fund's portfolio is well positioned to weather the fallout from the events of September 11. We expect a number of our holdings to experience an increase in business due to the heightened focus on security. Examples include Digimarc (DMRC), which has been working on significant opportunities with the G10 nations and the U.S. Department of Defense, pursuing contracts to provide watermark protection for several types of classified digital data and identification documents. We expect Digimarc's contract negotiations to accelerate as efforts to increase security are stepped up worldwide. Polycom (PLCM), another top holding, manufactures videoconferencing and voice over IP systems, which should experience a surge in demand due to the cutback in non-critical business travel. We also took an initial position in Visionics (VSNX), a company that produces systems that track and identify criminals and terrorists using a networked database of digitized biometrics like fingerprints and facial recognition profiles. The company's products provide real solutions for the security issues we now face and, as a result, the company is positioned to be a market leader in this area in the future.
 
There is no doubt that much has changed since September 11. What has not changed is Mazama's preparedness to operate in an ever-changing investment environment. We look forward to facing the coming year with confidence in our portfolio and in our ability to navigate a challenging environment.
 
*
 
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.

6
VISION
Mid Cap Stock Fund
 
The tragic events of September 11 cast a shadow of gloom and uncertainty over the nation. While their full economic impact remains unknown, in the short-term, the attacks have disrupted business activity, further weakening the economy and sending U.S. equity markets lower. The portfolio's strong stock selection in Healthcare boosted performance, but was not enough to offset the shortfall in Technology and Utilities. Your fund, while lagging the S&P Midcap 400 Index* during the last six months, performed in line with the Russell Midcap Index.** Your midcap mutual fund recently received a 3-star Overall Morningstar Rating™ in recognition of its strong risk adjusted performance among the 4,633 Domestic Equity Funds in its category as of September 30, 2001.†
 
 
As business spending slowed, the Technology sector was hit hard and software stocks, such as PeopleSoft and Adobe, suffered. Semiconductor names such as KLA-Tencor, Novellus and Advanced Micro Devices also fell. Intuit performed well, however, due to the recurring nature of the company's revenue stream for its tax software product.
 
The Utility sector had very divergent performance. Traditional regulated utilities with high dividend yields like Utilicorp United and Dominion Resources performed very well in this defensive environment. However, ``growth'' power companies in non-regulated markets, such as Dynegy and Calpine sank, as investors feared that falling natural gas prices and a slowing economy would hurt these companies. We repositioned your portfolio by selling a portion of Dynegy and buying Energy East, a traditional utility with a 4.6% dividend yield and cost-cutting potential.
 
While investors moved away from Cyclical names, they fled to areas of lower risk, such as Healthcare (Trigon Health Care and Lab Corp. of America) that typically thrive even in recessions. Accordingly, we added to your position in Mylan Labs, a pharmaceutical company focused on generic drugs and also added to First Health Group, a managed care company.
 
Our fundamental research analysts are continually assessing the impact of the slowing economy on sectors and individual companies and make appropriate earnings adjustments. We repositioned the portfolio by selling retailers such as CVS, Abercrombie & Fitch, Toys `R Us, and RadioShack whose earnings prospects could be diminished in this very competitive retail environment. We also repositioned your Technology holdings by selling some semiconductor stocks such as Vitesse, LSI Logic, and Qlogic and purchasing inexpensive technology stocks such as Network Associates, CDW Computer, and Tech Data whose earnings prospects are holding up relatively well despite the weakness in the Technology sector.
 
We will continue to monitor key indicators of economic health, including consumer confidence, consumer spending, and employment figures and look for the effects of both monetary and fiscal stimuli. Our team of investment professionals will continue to monitor and revise your portfolio as economic events unfold. Through continued adherence to a disciplined evaluation of information, along with thoughtful implementation, we will continue to pursue your investment objectives.
 
*
 
S&P Midcap 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.
**
 
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. For each fund with at least a three-year history, Morningstar calculates a Morningstar Rating™ metric each month by subtracting the return on a 90-day U.S. Treasury Bill from the fund's load-adjusted return for the same period, and then adjusting this excess return for risk. The top 10% of funds in each broad asset class receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars and the bottom 10% receive 1 star. The Overall Morningstar Rating for a fund is derived from a weighted average of the performance figures associated with its three-, five- and ten-year (if applicable) Morningstar Rating metrics. The VISION Mid Cap Stock Fund was rated against the following number of U.S.-domiciled Domestic Equity funds over the following time periods: 4633 funds in the last three years and 2904 funds in the last five years. With respect to these Domestic Equity funds, the Vision Mid Cap Stock Fund received 4-stars and 2-stars for the three- and five-year periods, respectively. Ratings are for the Class A Shares only. Other classes may vary.
 
 
©2001 by Morningstar, Inc. All rights reserved. The information contained herein is the proprietary information of Morningstar, Inc., may not be copied or redistributed for any purpose and may only be used for non-commercial, personal purposes. The information contained herein is not represented or warranted to be accurate, correct, complete or timely. Morningstar, Inc. shall not be responsible for investment decisions, damages or other losses resulting from the use of this information. Past performance is no guarantee of future performance. Morningstar, Inc. has not granted consent for it to be considered or deemed an ``expert'' under the Securities Act of 1933.

7
VISION
Large Cap Growth Fund
 
During the six months ended October 31, 2001, the fund performed significantly better than the universe of large cap growth funds in a difficult environment.
 
The sub-adviser, Montag & Caldwell, focuses on large capitalization companies that have above-average earnings growth rates which are undervalued in the stock market. This attention to valuation tends to make the investment style risk averse. While the most recent six months has been a rough environment for stocks, the fund has declined less in value than the general stock market indices. Our continued underweight in Technology (13.0% of the portfolio at 10/31) versus the market was beneficial, as the Technology sector of the benchmark S&P 500/Barra Growth Index* (26% of the index at 10/31) declined 20% during this six-month period. The fund's overweight position in Consumer Staples (24% at 10/31) and Financials (16% at 10/31) also aided performance. The fund's Consumer Cyclical holdings performed poorly as U. S. consumer activity and confidence, already showing signs of weakness in late summer, tumbled following September 11 for the full year 2001.
 
Portfolio activity during these six months was higher than usual as the weakening economic conditions affected many companies in our universe and made it necessary to adjust the portfolio accordingly. During the past several months we have established positions in several high quality cyclical growth companies that should benefit from an improving economy and have some degree of pricing power: Caterpillar -- the global heavy equipment manufacturer, and Minnesota Mining and Manufacturing -- the diversified manufacturing concern. We also established positions in Amgen and Genentech -- leading U. S. biotechnology companies, Bank of New York -- a leading processing and global custody financial institution, and Schlumberger -- the global energy services and technology company. Positions in Wells Fargo, McDonalds, Schering Plough, Gap, Solectron, and Oracle were eliminated. We reduced Electronic Data Systems and Johnson & Johnson as they had exceeded 5% of the portfolio due to superior performance. We reduced positions in General Electric, AOL-Time Warner, and Citigroup in anticipation of possible temporary disruptions in earnings momentum. These reductions, for the most part, took place in late August and resulted in a larger than normal cash position prior to September 11. We were able to re-deploy the cash reserves in the days after the markets re-opened. Several existing positions were increased at attractive prices, including Amgen, Gillette, Marsh & McLennan, UPS, Medtronic, and Disney. During this time of market weakness, we also established a new position in Qualcomm -- a leading provider of cellular phone technology. Most recently we have eliminated two health care holdings: Pharmacia and Cardinal Healthcare, as earnings growth for these companies has become more difficult.
 
The fund's portfolio has its heaviest weights in Healthcare (25%) and Consumer Staples (24%) as these are the sectors where we are finding the best combinations of earnings growth and attractive valuation. By and large, the earnings environment for technology companies remains very difficult and we continue to be selective in this sector. This is largely a function of weak demand for technology products, excess capacity of technology companies, and a poor pricing environment. We are of the opinion that technology and other capital spending will not improve markedly until corporate profitability improves. Even as demand eventually does come back, it will be important for investors to examine the income statements of technology companies, as profit margins are likely to be slimmer than in the last cycle due to increased competition. While stock market volatility is likely to persist for several more months, we are encouraged that the broader market should be in a position of being able to show improved performance as the economy begins to recover.
 
Thank you for this opportunity to communicate with you. We look forward to updating you on the fund's progress in the future.
 
*
 
The S&P 500/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.

8
VISION
Large Cap Core Fund
 
For the six months ended October 31, 2001, the fund's Class A Shares returned (18.37)% based on net asset value, or (22.89)% adjusted for the fund's sales charge, and the fund's Class B Shares returned (18.80)% based on net asset value, or (22.86)% adjusted for the fund's contingent deferred sales charge.* This compares with a (14.60)% 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 Core Fund Average*** returned (15.19)%.
 
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 primary dimensions: ``top down'' thematic perspective, ``bottom-up'' intensive security analysis, ``centered'' and balanced by risk control.
 
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 favor those sectors and industries that benefit the most from these themes. We identified five major themes that should prove important for the 2001-2002 time frame:
 
1.
 
Demographics -- The graying of America affects consumption patterns. Specific stocks that are part of this theme include Caremark RX, Carnival Corp, CVS Corp. and Medtronic.
 
2.
 
Supply/Demand Imbalances -- Cyclical industry conditions that create significant supply/demand imbalances. The U.S. hospital industry currently represents an excellent example of a situation where demand for certain services in particular geographies is outstripping supply. We own Tenet Healthcare and Health Management Associates as part of this theme.
 
3.
 
The Information Age -- Accelerated pace of change intensifies the battleground between innovators and incumbents. We want to invest in industry leaders with a continued and demonstrated commitment to preserving their competitive advantage. We also want to invest with innovators and disrupters who will be tomorrow's leaders. Additionally, many information age companies have a fair amount of intangible assets. Intangible assets require special qualitative analysis and can be key drivers of equity valuations. Some of our specific Information Age stocks include Clear Channel Communications, Corning, El Paso Corp., IBM, International Rectifier, Scientific Atlanta, Staples, and Symbol Technologies.
 
4.
 
Industry Consolidation -- Profit pressures and competitive forces will drive consolidation in the energy, financial services and utility sectors. Burlington Resources, USX-Marathon, FPL Group, and Jefferson-Pilot represent current holdings for this theme.
 
5.
 
The Global Market Place -- Open markets and new groups of global consumers are providing new growth opportunities, especially for companies that possess economies of scale and scope in their industry. Boeing Co., Citigroup Inc., General Electric, Kimberly-Clark Corp., Morgan Stanley Dean Witter and Tyco are a few of our holdings exercising their market power in new and existing international markets.
 
Identifying Growth at Reasonable Prices
 
We have emphasized stocks with growth prospects that on average appear to be 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 P/E's, or price/earnings ratios, are lower than the average P/E multiple of the S&P Barra Value Index.** Our emphasis on a favorable PEG ratio, or P/E to growth ratio, is our primary metric for measuring GARP, or Growth-At-a-Reasonable Price.
 
Risk control
 
Stringent risk control measures are utilized to minimize expected ``tracking error'' or expected variance from our chosen benchmark -- the ``value'' side of the S&P 500†. As a result of our risk control process, our portfolio invests in many industry leaders such as Alcoa, AOL Time Warner, AIG, Coca Cola, Bellsouth, ChevronTexaco, Disney, Exxon-Mobil, Pfizer, 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 Analytical Services, 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.

9
VISION
Large Cap Value Fund
 
For the six months ended October 31, 2001, the Fund's Class A Shares returned (17.20)% based on net asset value, or (21.78)% adjusted for the fund's sales charge, and the fund's Class B Shares returned (17.65)%, or (21.76)% adjusted for the fund's contingent deferred sales charge.* This compares with a (18.07)% 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 (12.88)%.
 
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 primary dimensions: ``top down'' thematic perspective, ``bottom-up'' intensive security analysis, ``centered'' and balanced by risk control.
 
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 favor those sectors and industries that benefit the most from these themes. We identified five major themes that should prove important for the 2001-2002 time frame:
 
1.
 
Demographics -- The graying of America affects consumption patterns. Specific stocks that are part of this theme include Caremark RX, Carnival Corp, and CVS Corp.
 
2.
 
Supply/Demand Imbalances -- Cyclical industry conditions that create significant supply/demand imbalances. The U.S. hospital industry currently represents an excellent example of a situation where demand for certain services in particular geographies is outstripping supply. We own Tenet Healthcare and Health Management Associates as part of this theme.
 
3.
 
The Information Age -- Accelerated pace of change intensifies the battleground between innovators and incumbents. We want to invest in industry leaders with a continued and demonstrated commitment to preserving their competitive advantage. We also want to invest with innovators and disrupters who will be tomorrow's leaders. Additionally, many information age companies have a fair amount of intangible assets. Intangible assets require special qualitative analysis and can be key drivers of equity valuations. Some of our specific Information Age stocks include Clear Channel Communications, Corning, El Paso Corp., International Rectifier, Openwave Systems, Scientific Atlanta, Staples, Symbol Technologies, and Texas Instruments.
 
4.
 
Industry Consolidation -- Profit pressures and competitive forces will drive consolidation in the energy, financial services and utility sectors. Burlington Resources, Conoco, USX-Marathon, Countrywide Credit, FPL Group, Jefferson-Pilot, and Keycorp represent current holdings for this theme.
 
5.
 
The Global Market Place -- Open markets and new groups of global consumers are providing new growth opportunities, especially for companies that possess economies of scale and scope in their industry. Boeing Co., Citigroup Inc., Kimberly-Clark Corp., McDonald's, Morgan Stanley Dean Witter and Tyco are a few of our holdings exercising their market power in new and existing international markets.
 
Identifying Growth at Reasonable Prices
 
We have emphasized 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 P/E's or price/earnings ratios, are lower than the average P/E multiple of the S&P Barra Value Index**. Our emphasis on a favorable PEG ratio or P/E to growth ratio is our primary metric for measuring GARP or Growth-At-a-Reasonable Price.
 
Risk control
 
Stringent risk control measures are utilized to minimize expected ``tracking error'' or expected variance from our chosen benchmark -- the ``value'' side of the S&P 500†. As a result of our risk control process, our portfolio invests in many industry leaders such as AOL, AIG, Bellsouth, ChevronTexaco, Disney, Exxon-Mobil, 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 consist 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 Analytical Services, 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.

10
VISION
Managed Allocation Fund--
Aggressive Growth
 
The past six months have been an extraordinary time in the fixed income and equity markets both in terms of the performance of those markets and the scope and magnitude of events driving that performance.
 
The most shocking events to rock the markets (and the broader world for that matter) were, of course, the horrific terrorist attacks on the World Trade Center and the Pentagon. The events of September 11 left thousands of people slain, led to U.S. involvement in a war in Central Asia and significantly exacerbated world economic maladies all in the span of seven weeks. The terrorist acts also spurred the U.S. Federal Reserve Board to dramatically quicken its already fast pace of short-term interest rate reduction in hopes of providing liquidity and cheap money to an economy in need of both.

 
The fund, with the bulk of its investment mix in equities, weathered rough and tumultuous markets for most of the past six months -- the biggest storms hitting after the events of September 11. Despite posting a (11.11)% return, based on net asset value, or (15.56)% adjusted for the fund's sales charge, for the six months ended October 31, 2001, the fund showed encouraging signs as the broader equity markets recovered during the month of October; the fund gained 2.70% that month, based on net asset value, or (2.46)% adjusted for the fund's sales charge.* Part of the fund's ability to rebound during the final month of the period is owed to some small but deliberate shifts within the allocation away from fixed income investments and mid-cap stocks to large cap growth and value alternatives in early October. The shift, designed to take advantage of more attractive equity valuations in the wake of the market sell-down, should help the fund ride the crest of the anticipated economic recovery projected over the next twelve to eighteen months.
 
*
 
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.

11
VISION
Managed Allocation Fund-- Moderate Growth
 
The past six months have been an extraordinary time in the fixed income and equity markets, both in terms of the performance of those markets and the scope and magnitude of events driving that performance.
 
The most shocking events to rock the markets (and the broader world for that matter) were, of course, the horrific terrorist attacks on the World Trade Center and the Pentagon. The events of September 11 left thousands of people slain, led to U.S. involvement in a war in Central Asia and significantly exacerbated world economic maladies all in the span of seven weeks. The terrorist acts also spurred the U.S. Federal Reserve Board to dramatically quicken its already fast pace of short-term interest rate reduction in hopes of providing liquidity and cheap money to an economy in need of both.
 

The fund has weathered these tumultuous seas admirably over the past six months and has emerged slightly bruised but poised to participate in any market upswing that occurs as the economy recovers. For the six months ended October 31, 2001, the fund posted a total return of (5.95)%, based on net asset value, or (10.21)% adjusted for the fund's sales charge.* While any negative performance number is always unwelcome, it is heartening to know that while other pure equity funds and indexes were losing upwards of 15% of their worth, the balance between stocks and bonds within the fund prevented a hemorrhaging of market value. Small but deliberate shifts in early October within the fund's allocation away from money market and mid-cap stocks and toward large-cap growth investments helped the fund right itself when the markets rebounded in October.
 
*
 
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.

12
VISION
Managed Allocation Fund--Conservative Growth
 
The past six months have been an extraordinary time in the fixed income and equity markets, both in terms of the performance of those markets and the scope and magnitude of events driving that performance.
 
The most shocking events to rock the markets (and the broader world for that matter) were, of course, the horrific terrorist attacks on the World Trade Center and the Pentagon. The events of September 11 left thousands of people slain, led to U.S. involvement in a war in Central Asia and significantly exacerbated world economic maladies all in the span of seven weeks. The terrorist acts also spurred the U.S. Federal Reserve Board to dramatically quicken its already fast pace of short-term interest rate reduction in hopes of providing liquidity and cheap money to an economy in need of both.
 
The impact of these developments on the fund was paradoxical. The small equity portion of the fund was hit hard, shedding value along with the broader domestic and international stock indexes. The fixed income side of the mix, however, moved upward in response to the natural inverse relationship between market rates and bond prices and the substantial ``flight to quality'' (i.e. U.S. government securities) effect observed both in the U.S. and abroad. As a result of the fund's attractive positioning for the last six months and a slight shift out of fixed income into equity in early October, the fund produced a total return of 0.13%, based on net asset value, or (3.86)% adjusted for the fund's sales charge, during the six-month period ended October 31, 2001.*
 
*
 
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 have been a good time for the municipal bond market. Over the six months from May 1, 2001 to October 31, 2001, 10-year municipal bond yields declined from 4.43% to 3.78%, while yields on 30-year municipal bonds fell from 5.32% to 4.93%. The drop in rates was due to aggressive short-term rate cuts by the Federal Reserve Board to combat a slowing economy along with high demand as investors rotated out of the equity markets into municipal bonds. With the drop in rates, supply increased as municipalities took advantage of the low rates to refinance their outstanding debt.

 
The fund posted a positive total return of 5.09% for the six months ended October 31, 2001, based on net asset value (0.38% adjusted for the fund's sales charge).* The Lipper New York Municipal Debt Funds Index total return for the same period was 5.21%.**
 
The fund continues to emphasize high quality New York municipals while keeping the average maturity of the portfolio short of its benchmark. We expect the municipal bond market to perform in line with other fixed income markets over the coming months.
 
*
 
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 Analytical Services, Inc. as falling into the respective categories indicated. These figures do not reflect sales charges.

14
VISION
Pennsylvania Municipal
Income Fund
 
Municipal yields have fallen dramatically this year, most recently in the short-end of the curve as a result of the flight to safety that followed September 11. However, municipal yields did not keep pace with the decline in short-term Treasurys. As a result, municipal/Treasury yield ratios moved sharply higher and valuation now appears better than any time since 1992.
 
Valuation appears even more attractive relative to corporate bonds. The 10-year Aaa Municipal/Corporate yield ratio surged to 83%, well-above its long term average of 71%. We are maintaining a longer-duration than the benchmark, although we have taken some profits on the long-end and reinvested into shorter maturities.* We continue to emphasize AA and AAA rated issues, and good diversification across the state of Pennsylvania.
 
Looking ahead, we expect good quality municipals to continue to perform well, but will continue to move closer to our benchmark duration in anticipation of rates moving higher sometime before the next half of next year.
 
*
 
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.

15
VISION
Intermediate Term
Bond Fund
 
Economic data released over the six-month period ended October 31, 2001 confirmed the consensus belief that the economy was slowing considerably. The Federal Reserve Board responded by providing the necessary cuts in short-term interest rates in an attempt to stimulate growth and improve consumer confidence. Unfortunately, the events of September 11 have more than likely prolonged the economic recovery for at least another two quarters. Since then, the steep drop in consumer and business confidence appear to have confirmed this view. Treasury yields have fallen across the yield curve, with short-term yields declining the most.
 
We began the reporting period targeting an above-benchmark duration in anticipation of falling interest rates.* We ended the period very close to that of the benchmark, as we find bonds near fair value at current levels. We are currently maintaining a defensive allocation across fixed income sectors, favoring the agency and corporate sectors over Treasurys and mortgage-backed securities at this time.
 
Looking ahead, we will watch closely for signs that the recovery is beginning. However, we do not anticipate that happening for another two to four months. The overall credit quality of the fund remains high, at AAA-, according to Standard and Poor's.**
 
*
 
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.
**   An AAA rating means that the fund's portfolio holdings and counterparties provide extremely strong protection against losses from credit defaults. Ratings are subject to change, and do not remove market risks.

16
VISION
U.S. Government
Securities Fund
 
The last six months have been a favorable period for the taxable bond market. Since our last report, yields on the 10-year Treasury note have declined from 5.34% on April 30, 2001 to 4.23% on October 31, 2001.
 
The economy continued to slow through the summer with real Gross Domestic Product declining 0.4% in the third quarter. In a continuation from last year, business investment has continued to decline, while consumer spending continues to be the engine of the economy. On the jobs front the unemployment rate increased in October to 5.4% from a rate of 4.5% in April.
 
The Federal Reserve Board continued to aggressively cut interest rates during the six-month period to combat the slowing economy. The federal funds rate declined by 2.00% from 4.50% to 2.50%.
 
The fund posted a total return of 6.79% for the six-month period ended October 31, 2001, based on net asset value (2.03% adjusted for the fund's sales charge).* The Lipper General U.S. Government Fund Index** total return for the same period was 8.14%.
 
The 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 securities backed by very seasoned, low loan balance mortgages. These mortgages possess lower refinancing risks relative to newer production mortgages. The duration*** of the fund has been shortened to about a quarter year shorter than the Lehman Brothers Aggregate Bond Index† for the period ended April 30, 2001.
 
*
 
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 Analytical Services, 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 duration.
†   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, 2001 (unaudited)

 
Shares
 
 
Value in
U.S. Dollars
 
Common Stocks--93.4%
     
     
Australia--2.9%
     
 
22,700
   
Australian Gas Light Co.
   
$      101,373
 
 
46,793
   
QBE Insurance Group Ltd.
   
145,932
 
 
12,500
   
Rio Tinto PLC
   
201,210
 
 
93,900
   
Westpac Banking Corp., Ltd.
   
698,890
 
         
 
     
    Total Australia
   
   1,147,405
 
         
 
     
Belgium--1.5%
     
 
1,120
   
Electrabel SA
   
234,217
 
 
15,720
   
Fortis AG
   
370,451
 
         
 
     
    Total Belgium
   
604,668
 
         
 
     
Denmark--1.0%
     
 
11,800
   
Danske Bank AS
   
174,590
 
 
5,800
   
Novo Nordisk, Class B
   
235,029
 
         
 
     
    Total Denmark
   
409,619
 
         
 
     
Finland--4.1%
     
 
20,900
   
Enso Oyj, Class R
   
253,780
 
 
35,600
   
Nokia Oyj
   
743,834
 
 
27,100
   
Sampo Oyj, Class A
   
243,751
 
 
12,600
   
UPM -- Kymmene Oyj
   
409,124
 
         
 
     
    Total Finland
   
1,650,489
 
         
 
     
France--11.2%
     
 
10,824
   
AXA
   
236,576
 
 
8,200
   
Alcatel
   
123,687
 
 
10,050
   
Aventis SA
   
738,977
 
 
4,510
   
BNP Paribas SA
   
374,822
 
 
1,320
   
Cap Gemini SA
   
74,205
 
 
2,170
   
Compagnie de St. Gobain
   
301,554
 
 
7
   
Elf Aquitaine SA
   
1,127
 
 
3,560
   
France Telecommunications
   
132,789
 
 
3,930
   
Groupe Danone
   
454,227
 
 
2,090
   
L'Air Liquide
   
281,601
 
 
6,890
   
Societe Generale
   
344,255
 
 
3,660
   
Suez Lyonnaise des Eaux SA
   
114,989
 
 
8,019
   
Total Fina SA, Class B
   
1,125,179
 
 
1,480
   
Unibail (Union du Credit-Bail Immobilier)
   
76,610
 
 
14,100
   
Usinor Sacilor
   
148,382
 
         
 
     
    Total France
   
4,528,980
 
         
 
     
Germany--3.4%
     
 
1,402
   
Allianz AG Holdings
   
330,137
 
 
5,550
   
Bayer AG
   
164,734
 
 
5,450
   
Bayerische Motoren Werke AG
   
161,962
 
 
8,650
   
Continental AG
   
87,995
 
 
7,250
   
Deutsche Telekom AG, Class REG
   
112,096
 
 
3,700
   
E.On AG
   
192,689
 
 
1,242

   
Muenchener Rueckversicherungs-Gesellschaft
AG
   
327,874
 
         
 
     
    Total Germany
   
1,377,487
 
         
 
Shares
 
 
Value in
U.S. Dollars
 
Common Stocks--continued
     
     
Hong Kong--1.4%
     
 
76,000
   
Esprit Asia Holdings Ltd.
   
$       79,897
 
 
95,000
   
Hong Kong Electric Holdings Ltd. 
   
360,513
 
 
22,000
   
Sun Hung Kai Properties Ltd. 
   
135,385
 
         
 
     
    Total Hong Kong
   
575,795
 
         
 
     
Ireland--1.3%
     
 
25,300
   
Bank of Ireland
   
225,968
 
 
19,490
   
CRH PLC
   
301,521
 
         
 
     
    Total Ireland
   
527,489
 
         
 
     
Italy--2.6%
     
 
11,000
   
Assicurazioni Generali SPA
   
301,271
 
 
41,500
   
ENI SPA
   
519,594
 
 
21,000
   
Istituto Bancario San Paolo di Torino
   
220,428
 
         
 
     
    Total Italy
   
   1,041,293
 
         
 
     
Japan--19.5%
     
 
10,400
   
Benesse Corp. 
   
320,796
 
 
10,000
   
Canon, Inc. 
   
290,506
 
 
14,000
   
Dai Nippon Printing Co., Ltd. 
   
148,974
 
 
5,000
   
Daikin Industries Ltd. 
   
72,218
 
 
58
   
East Japan Railway Co. 
   
337,460
 
 
800
   
Fanuc Co., Ltd. 
   
33,294
 
 
8,000
   
Fuji Photo Film Co., Ltd. 
   
263,740
 
 
1,100
   
Hirose Electric Co., Ltd. 
   
80,607
 
 
27,000
   
Hitachi Ltd. 
   
183,973
 
 
4,700
   
Honda Motor Co., Ltd. 
   
168,371
 
 
2,200
   
Hoya Corp. 
   
131,233
 
 
9,000
   
KAO Corp. 
   
212,983
 
 
21,000
   
Kamigumi Co. 
   
87,054
 
 
6,000
   
Matsushita Electric Industrial Co., Ltd. 
   
70,994
 
 
41,000
   
Minebea Co. 
   
212,787
 
 
27,000
   
Mitsubishi Corp. 
   
206,667
 
 
26,000
   
Mitsubishi Estate Co., Ltd. 
   
253,964
 
 
46,000
   
Mitsui Mining & Smelting
   
138,137
 
 
102
   
Mizuho Holdings, Inc. 
   
307,969
 
 
5,000
   
Murata Manufacturing Co., Ltd. 
   
313,354
 
 
24,000
   
Nikko Securities Co., Ltd. 
   
129,454
 
 
800
   
Nintendo Corp., Ltd. 
   
123,253
 
 
106
   
Nippon Telegraph & Telephone Corp. 
   
435,954
 
 
24,000
   
Nomura Securities Co., Ltd. 
   
315,313
 
 
3,000
   
Omron Corp. 
   
38,190
 
 
10,000
   
Ono Pharmaceutical Co., Ltd. 
   
318,250
 
 
4,700
   
Orix Corp. 
   
410,763
 
 
2,500
   
Rohm Co., Ltd. 
   
265,821
 
 
11,000
   
Sekisui House Ltd. 
   
88,506
 
 
1,000
   
Shin-Etsu Chemical Co., Ltd. 
   
32,886
 
 
11,100
   
Sony Corp. 
   
419,381
 
 
12,000
   
Sumitomo Bakelite Co., Ltd. 
   
75,695
 
 
36,000
   
Sumitomo Chemical Co., Ltd. 
   
137,190
 
 
19,000
   
Sumitomo Mitsui Banking Corp. 
   
117,369
 
 
10,000
   
Takeda Chemical Industries Ltd. 
   
483,904
 
 
1,800
   
Takefuji Corp. 
   
149,235
 
 
38
   
UFJ Holdings, Inc. 
   
169,309
 

18

VISION International Equity Fund
Shares
 
 
Value in
U.S. Dollars
Common Stocks--continued
     
 
Japan--continued
     
6,000
 
Yamanouchi Pharmaceutical Co., Ltd. 
   
$      177,731
 
18,200
 
Yasuda Fire & Marine Insurance Co. 
   
130,546
 
     
 
 
    Total Japan
   
   7,853,831
 
     
 
 
Netherlands--6.6%
     
19,709
 
ABN AMRO Holdings NV
   
300,657
 
8,877
 
Aegon NV
   
222,765
 
11,600
 
Akzo Nobel NV
   
475,251
 
41,200
 
Elsevier NV
   
478,410
 
6,700
 
ING Groep NV
   
166,929
 
9,186
 
Koninklijke (Royal) Philips Electronics
   
208,542
 
400
 
Royal Dutch Petroleum Co.
   
20,328
 
19,713
 
TNT Post Group NV
   
385,114
 
1,400

 
VNU--Verenigde Nederlandse
Uitgeversbedrijven
   
40,799
 
17,273
 
Wolters Kluwer NV
   
362,304
 
     
 
 
    Total Netherlands
   
2,661,099
 
     
 
 
New Zealand--0.5%
     
38,700
 
Lion Nathan Ltd. 
   
83,779
 
45,600
 
Lion Nathan Ltd. 
   
98,838
 
     
 
 
    Total New Zealand
   
182,617
 
     
 
 
Norway--0.3%
     
33,000
 
(1)Telenor AS
   
127,184
 
     
 
 
Portugal--1.7%
     
21,500
 
Brisa Auto Estradas de Portugal SA
   
191,448
 
168,600
 
Electricidade de Portugal SA
   
404,898
 
10,852
 
Portugal Telecom SGPS SA
   
85,895
 
     
 
 
    Total Portugal
   
682,241
 
     
 
 
Singapore--0.9%
     
40,000
 
DBS Group Holdings Ltd. 
   
228,189
 
151,000
 
Neptune Orient Lines Ltd. 
   
65,434
 
86,560
 
(1)Singapore Telecom Ltd. 
   
81,403
 
     
 
 
    Total Singapore
   
375,026
 
     
 
 
Spain--2.6%
     
5,351
 
Banco Popular Espanol SA
   
179,523
 
49,615
 
Banco Santander Central Hispano SA
   
381,554
 
39,773
 
Telefonica SA
   
477,217
 
     
 
 
    Total Spain
   
1,038,294
 
     
 
 
Sweden--2.8%
     
7,800
 
Sandvik AB
   
164,528
 
9,130
 
Svenska Cellulosa AB, Class B
   
206,276
 
22,910
 
Svenska Handelsbanken AB, Class A
   
282,431
 
95,170
 
Swedish Match AB
   
490,710
 
     
 
 
    Total Sweden
   
1,143,945
 
     
 
 
Switzerland--5.4%
     
726
 
Givaudan SA
   
221,978
 
3,203
 
Nestle SA
   
663,986
 
9,172
 
Novartis AG
   
342,975
 
9,418
 
Roche Holding AG
   
652,228
 
2,652
 
Swiss Re
   
272,449
 
2,652
 
Swiss Re, Rights (Expiring 11/12/2001)
   
0
 
     
 
 
    Total Switzerland
   
2,153,616
 
     
 
Shares or
Principal
Amount
 
 
Value in
U.S. Dollars
Common Stocks--continued
     
 
United Kingdom--23.7%
     
109,000
 
BP Amoco Co., PLC
   
$     878,811
 
13,000
 
Barclays PLC
   
390,922
 
33,000
 
British Aerospace PLC
   
71,429
 
16,000
 
British Land Co. 
   
103,432
 
94,800
 
British Telecom PLC
   
479,252
 
14,000
 
Carlton Communications PLC
   
38,845
 
32,000
 
Charter PLC
   
49,276
 
22,000
 
(1)Compass Group PLC
   
160,276
 
29,000
 
Diageo PLC
   
289,211
 
17,000
 
Dixons Group PLC
   
52,108
 
9,000
 
EMAP PLC
   
87,206
 
8,800
 
Electrocomponents PLC
   
58,550
 
65,000
 
Gallaher Group PLC
   
439,079
 
36,917
 
(1)GlaxoSmithKline PLC
   
992,143
 
29,000
 
HSBC Holdings PLC
   
317,437
 
148,000
 
Invensys PLC
   
135,450
 
79,000
 
Jefferson Smurfit Group PLC
   
156,388
 
42,000
 
Lloyds TSB Group PLC
   
423,433
 
30,000
 
National Grid Co., PLC
   
212,675
 
33,000
 
Prudential Corp., PLC
   
345,162
 
15,000
 
Reckitt Benckiser PLC
   
209,189
 
65,000
 
Rentokil Initial PLC
   
233,703
 
102,000
 
Rolls-Royce PLC
   
221,522
 
27,000
 
Royal Bank of Scotland PLC
   
645,217
 
35,000
 
Safeway PLC
   
177,956
 
20,000
 
Scottish & Newcastle PLC
   
149,047
 
28,000
 
Scottish & Southern Energy PLC
   
268,459
 
62,000
 
Scottish Power PLC
   
355,766
 
99,000
 
Shell Transport & Trading Co., PLC
   
740,660
 
9,909
 
United Business Media PLC
   
63,049
 
341,295
 
Vodafone Group PLC
   
788,322
 
     
 
 
    Total United Kingdom
   
9,533,975
 
     
 

  
    Total Common Stocks
    (identified cost $41,181,527)
   
37,615,053
 
     
 
Corporate Bond--0.1%
     
 
United States--0.1%
     
$      21,000


 
(2)ASM Lithography Holding NV,
Conv. Bond, 5.75%, 10/15/2006
(identified cost $21,000)
   
22,155
 
     
 
Preferred Stocks--0.6%
     
 
Australia--0.6%
     
4,100
 
National Australia Bank, Pfd.
   
119,310
 
22,400
 
News Corp. Ltd., Pfd.
   
132,679
 
     
 

  
    Total Preferred Stocks
    (identified cost $260,100)
   
251,989
 
     
 
Mutual Fund--26.4%
     
10,611,366

 
Seven Seas Money Market Fund
(at net asset value)
   
10,611,366
 
     
 

  
    Total Investments
    (identified cost $52,073,993)
   
$48,500,563
 
     
 
 

(See Notes to Portfolios of Investments)

19

VISION Small Cap Stock Fund
Portfolio of Investments
October 31, 2001 (unaudited)
Shares
 
 
Value
   
Common Stocks--90.1%
 
 
Aerospace/Defense Equipment--0.6%
 
51,300
 
GenCorp, Inc. 
 
$          610,470
   
 
Banking--5.4%
 
8,000
 
BSB Bancorp, Inc. 
 
178,240
53,700
 
BankAtlantic Bancorp, Inc., Class A
 
434,970
52,400
 
Colonial BancGroup, Inc. 
 
660,240
4,800
 
Corus Bankshares, Inc. 
 
201,120
4,500
 
First Citizens BancShares, Inc., Class A
 
423,000
65,400
 
Gold Banc Corp., Inc. 
 
488,538
35,600
 
Independence Community Bank Corp. 
 
865,792
700
 
Independent Bank Corp.-Michigan
 
19,054
47,200
 
Republic Bancorp, Inc.
 
696,200
4,100
 
Silicon Valley Bancshares
 
96,104
1,900
 
(1)Southwest Bancorporation of Texas, Inc.
 
54,511
23,600
 
Staten Island Bancorp, Inc.
 
682,984
25,000
 
United Bankshares, Inc.
 
680,000
   
 
    Total
 
   5,480,753
   
 
Business Services--1.6%
 
19,500
 
Banta Corp. 
 
566,475
18,600
 
(1)EMCOR Group, Inc. 
 
727,632
600
 
(1)Getty Images, Inc. 
 
9,354
80,500
 
(1)Labor Ready, Inc. 
 
286,580
   
 
    Total
 
1,590,041
   
 
Capital Goods--0.7%
 
6,000
 
(1)Nortek, Inc. 
 
120,900
18,700
 
York International Corp. 
 
572,968
   
 
    Total
 
693,868
   
 
Coal Exploration & Mining--0.1%
 
3,000
 
Arch Coal, Inc. 
 
66,150
   
 
Computers--0.0%
 
1,100
 
(1)Handspring, Inc. 
 
2,156
8,900
 
(1)Immersion Corp. 
 
39,605
   
 
    Total
 
41,761
   
 
Computers-Hardware--3.3%
 
65,000
 
(1)Drexler Technology Corp. 
 
1,300,000
108,000
 
(1)Hutchinson Technology, Inc. 
 
1,963,440
10,000
 
(1)Read-Rite Corp. 
 
49,800
   
 
    Total
 
3,313,240
   
 
Computers-Networks--1.0%
 
30,100
 
(1)Avocent Corp. 
 
561,666
19,900
 
(1)F5 Networks, Inc. 
 
300,291
14,600
 
(1)Foundry Networks, Inc. 
 
142,496
   
 
    Total
 
1,004,453
   
 
Computers-Services--7.9%
 
55,000

 
(1)Affiliated Computer Services, Inc., Class
A
 
4,842,750
4,200
 
(1)Carreker Corp. 
 
16,674
35,700
 
(1)Checkpoint Systems, Inc. 
 
373,422
55,400
 
(1)Digital Insight Corp. 
 
922,410
1,900
 
(1)Identix, Inc. 
 
13,186
24,400
 
(1)Imation Corp. 
 
511,668
115,500
 
(1)LivePerson, Inc.
 
40,425
Shares
 
 
Value
   
Common Stocks--continued
 
 
Computers-Services--continued
 
3,000
 
(1)RSA Security, Inc.
 
$            36,120
15,400
 
(1)Symantec Corp.
 
846,846
46,520
 
(1)United Online, Inc.
 
111,648
16,800
 
(1)Visionics Corp.
 
251,624
   
 
    Total
 
   7,966,773
   
 
Computers-Software--6.9%
 
60,000
 
(1)Ansys, Inc.
 
1,259,400
185,000
 
(1)Computer Network Technology
 
2,701,000
112,900
 
(1)Corillian Corp.
 
276,605
20,400
 
(1)Digimarc Corp.
 
249,492
1,200
 
(1)Echelon Corp.
 
16,320
6,700
 
(1)Legato Systems, Inc.
 
56,213
4,760
 
(1)McAfee.com Corp.
 
104,720
12,600
 
(1)Moldflow Corp.
 
129,276
19,700
 
(1)NetIQ Corp.
 
554,555
44,400
 
(1)ONYX Software Corp.
 
167,832
310,900
 
(1)Red Hat, Inc.
 
1,467,448
   
 
    Total
 
6,982,861
   
 
Consumer Finance--0.4%
 
22,800
 
Metris Cos., Inc.
 
369,588
   
 
Data Processing--2.1%
 
40,000
 
(1)ChoicePoint, Inc.
 
1,711,200
7,400
 
Fair, Isaac & Co., Inc.
 
351,870
   
 
    Total
 
2,063,070
   
 
Education--1.8%
 
60,000
 
(1)DeVRY, Inc.
 
1,617,000
8,300
 
(1)Sylvan Learning Systems, Inc.
 
185,920
5,000
 
(1)The Princeton Review, Inc.
 
32,000
   
 
    Total
 
1,834,920
   
 
Electric Utilities--1.2%
 
5,000
 
CH Energy Group, Inc.
 
199,850
13,900
 
El Paso Electric Co.
 
189,040
5,900
 
IDACORP, Inc.
 
224,200
24,600
 
Public Service Co. of New Mexico
 
602,700
   
 
    Total
 
1,215,790
   
 
Electronic Components--5.0%
 
5,400
 
(1)Active Power, Inc.
 
28,134
1,700
 
Alpha Industries, Inc.
 
39,576
25,000
 
(1)Coherent, Inc.
 
662,500
60,000
 
(1)Credence Systems Corp.
 
816,000
6,900
 
(1)Cree, Inc.
 
123,855
6,000
 
(1)FEI Co.
 
161,880
100,000
 
(1)Gentex Corp.
 
2,380,000
2,500
 
(1)Millennium Cell, Inc.
 
10,275
16,600
 
(1)OmniVision Technologies, Inc.
 
50,630
73,900
 
(1)Pixelworks, Inc.
 
746,390
30,300
 
(1)Tvia, Inc.
 
42,420
   
 
    Total
 
5,061,660
   
 
Entertainment--0.9%
 
24,000
 
(1)Pixar, Inc.
 
885,600
   

20

VISION Small Cap Stock Fund
Shares
 
 
Value
   
Common Stocks--continued
 
 
Financial Services--1.9%
 
28,600
 
Commercial Federal Corp.
 
$          713,856
56,400

 
(1)Friedman, Billings, Ramsey Group, Inc.,
Class A
 
270,720
32,300
 
Seacoast Financial Services Corp.
 
484,500
11,800
 
UMB Financial Corp.
 
495,836
   
 
    Total
 
1,964,912
   
 
Home Building--1.8%
 
14,000
 
M/I Schottenstein Homes, Inc.
 
517,300
8,100
 
Ryland Group, Inc.
 
433,350
10,100
 
(1)Toll Brothers, Inc.
 
314,716
55,100
 
Walter Industries, Inc.
 
577,999
   
 
    Total
 
1,843,365
   
 
Home Decoration Products--1.7%
 
80,000
 
Leggett and Platt, Inc.
 
1,733,600
   
 
Insurance--3.6%
 
18,500
 
AmerUs Group Co.
 
559,995
17,400
 
Commerce Group, Inc.
 
634,230
33,500
 
First American Corp.
 
557,775
95,400
 
Fremont General Corp.
 
477,954
9,800
 
Presidential Life Corp.
 
170,618
13,800
 
StanCorp Financial Group, Inc.
 
612,720
46,400
 
Vesta Insurance Group, Inc.
 
591,136
   
 
    Total
 
3,604,428
   
 
Manufacturing--6.6%
 
32,700
 
Albany International Corp., Class A
 
637,650
29,900
 
American Greetings Corp., Class A
 
419,198
7,700
 
Ameron International, Inc.
 
505,120
13,800
 
Ball Corp.
 
849,252
45,800
 
General Cable Corp.
 
517,540
20,800
 
Harsco Corp.
 
664,560
1,000
 
(1)Maverick Tube Corp.
 
12,100
19,000
 
Quanex Corp.
 
493,050
9,000
 
(1)Shaw Group, Inc.
 
247,500
18,700
 
(1)Symyx Technologies
 
293,403
60,000
 
Valspar Corp.
 
2,014,200
   
 
    Total
 
6,653,573
   
 
Medical Products & Supplies--5.2%
 
50,000
 
(1)ICU Medical, Inc.
 
2,199,500
110,000
 
Mentor Corp.
 
3,071,200
   
 
    Total
 
5,270,700
   
 
Oil & Gas Exploration & Production--3.7%
14,700
 
(1)Core Laboratories NV
 
239,610
39,900
 
(1)Evergreen Resources, Inc.
 
1,593,606
11,900
 
(1)Key Energy Services, Inc.
 
103,530
40,000
 
Patina Oil & Gas Corp.
 
1,078,000
20,700
 
(1)Patterson-UTI Energy, Inc.
 
373,014
12,900
 
(1)Swift Energy Co.
 
305,085
   
 
    Total
 
3,692,845
   
 
Pharmaceuticals--14.9%
 
6,800
 
(1)Accredo Health, Inc.
 
232,016
6,900
 
(1)AeroGen, Inc.
 
15,525
65,700
 
(1)Alkermes, Inc.
 
1,685,205
34,600
 
(1)Amylin Pharmaceuticals, Inc.
 
280,606
3,400
 
(1)AtheroGenics, Inc.
 
15,674
Shares
 
 
Value
   
Common Stock--continued
 
 
Pharmaceuticals--continued
 
6,900
 
(1)Atrix Laboratories, Inc.
 
$          173,190
23,600
 
(1)Celgene Corp.
 
776,912
16,700
 
(1)Cell Genesys, Inc.
 
298,930
21,100
 
(1)COR Therapeutics, Inc.
 
475,383
46,400
 
(1)Corixa Corp.
 
601,808
2,300
 
(1)Digene Corp.
 
81,535
15,900
 
(1)DUSA Pharmaceuticals, Inc.
 
155,820
4,300
 
(1)Emisphere Technologies, Inc.
 
103,415
42,200
 
(1)Endo Pharmaceuticals Holdings, Inc.
 
415,670
8,900
 
(1)First Horizon Pharmaceutical Corp.
 
234,515
3,200
 
(1)Gene Logic, Inc.
 
42,880
9,700
 
(1)Illumina, Inc.
 
97,097
39,400
 
(1)Incyte Genomics, Inc.
 
587,060
80,000
 
(1)Integra Lifesciences Corp.
 
2,352,000
1,300
 
(1)Neose Technologies, Inc.
 
38,168
163,300
 
(1)Paradigm Genetics, Inc.
 
937,342
10,150
 
(1)Pharmacopeia, Inc.
 
160,370
1,500
 
(1)Pharmacyclics, Inc.
 
32,595
300
 
(1)Sangamo BioSciences, Inc.
 
2,406
12,000
 
(1)Scios, Inc.
 
277,200
144,100
 
(1)Syncor International Corp.
 
4,178,900
13,400
 
(1)Third Wave Technologies, Inc.
 
118,590
35,400
 
(1)Transgenomic, Inc.
 
372,054
12,200
 
(1)ViroPharma, Inc.
 
305,366
   
 
    Total
 
15,048,232
   
 
Retail-Apparel--1.1%
 
2,200
 
(1)American Eagle Outfitters, Inc.
 
60,280
1,900
 
(1)Chico's Fas, Inc.
 
49,400
4,900
 
(1)Columbia Sportswear Co.
 
140,091
37,243
 
(1)Polo Ralph Lauren Corp.
 
820,091
   
 
    Total
 
1,069,862
   
 
Retail-Equipment--0.2%
 
19,700
 
(1)Paxar Corp.
 
217,685
   
 
Retail-Food--3.7%
 
34,900
 
Dole Food, Co., Inc.
 
710,564
17,200
 
Interstate Bakeries Corp.
 
405,404
76,000
 
(1)Whole Foods Market, Inc.
 
2,641,000
   
 
    Total
 
3,756,968
   
 
Retail-Restaurants--1.2%
 
16,100
 
Landry's Restaurants, Inc.
 
282,555
37,900
 
Lone Star Steakhouse & Saloon, Inc.
 
491,184
22,100
 
(1)Ryan's Family Steak Houses, Inc.
 
397,800
3,900

 
(1)Smith & Wollensky Restaurant Group,
Inc.
 
14,820
   
 
    Total
 
1,186,359
   
 
Retail-Speciality--0.6%
 
1,200
 
(1)99 Cents Only Stores
 
42,660
1,700

 
(1)Tweeter Home Entertainment
Group, Inc.
 
26,792
21,100
 
(1)Williams-Sonoma, Inc.
 
546,490
   
 
    Total
 
615,942
   
 
Semiconductor--0.6%
 
17,300
 
(1)Lattice Semiconductor Corp.
 
302,750
14,639
 
(1)TriQuint Semiconductor, Inc.
 
258,817
   
 
    Total
 
561,567
   

21

VISION Small Cap Stock Fund
Shares
 
 
Value
 
Common Stocks--continued
 
     
Technology--0.4%
 
 
16,200
   
(1)Macrovision Corp.
 
$        398,682
       
     
Telecommunications--2.5%
 
 
14,900
   
(1)Centillium Communications, Inc.
 
84,036
 
23,800
   
(1)Elastic Networks, Inc.
 
19,516
 
9,300
   
(1)Gentner Communications, Corp.
 
173,724
 
21,100
   
Inter-Tel, Inc.
 
320,298
 
45,000
   
(1)Polycom, Inc.
 
1,349,100
 
8,200
   
(1)SonicWALL, Inc.
 
116,440
 
55,700
   
(1)Sonus Networks, Inc.
 
234,497
 
12,700
   
(1)ViaSat, Inc.
 
188,087
       
     
    Total
 
   2,485,698
       
     
Transportation--0.9%
 
 
74,500
   
(1)Hawaiian Airlines, Inc.
 
178,800
 
25,100
   
Ryder Systems, Inc.
 
469,370
 
7,100
   
USFreightways Corp.
 
220,881
       
     
    Total
 
869,051
       
     
Utilities--0.6%
 
 
17,900
   
Southwestern Energy Co.
 
211,220
 
14,100
   
UGI Corp.
 
407,490
       
     
    Total
 
618,710
       
 

   
    Total Common Stocks
    (identified cost $64,064,943)
 
   90,773,177
       
Principal
Amount
or Shares
 
 
Value
(3)Commercial Paper--3.0%
 
 
Insurance--3.0%
 
$3,000,000

 
American General Corp. 2.360%,
11/13/2001 (at amortized cost)
 
$  3,000,000
   
Mutual Funds--5.3%
 
1,533,153

 
SSGA U.S. Government Money Market
Fund, Series A
 
1,533,153
3,835,351
 
Seven Seas Money Market Fund
 
3,835,351
   

 
    Total Mutual Funds
    (at net asset value)
 
5,368,504
   

 
    Total Investments
    (identified cost $72,433,447)
 
$99,141,681
   

(See Notes to Portfolios of Investments)

22

VISION Mid Cap Stock Fund
Portfolio of Investments
October 31, 2001 (unaudited)
Shares
 
 
Value
       
 
Common Stocks--95.6%
 
     
Autos Parts & Equipment--3.4%
 
 
15,400
   
Borg-Warner Automotive, Inc.
 
$          657,888
 
9,100
   
Harley Davidson, Inc.
 
411,866
 
4,100
   
Johnson Controls, Inc.
 
296,512
 
27,000
   
(1)Lear Corp.
 
828,900
 
21,700
   
Superior Industries International, Inc.
 
716,968
 
55,400
   
Visteon Corp.
 
659,260
       
     
    Total
 
3,571,394
       
     
Basic Materials--0.7%
 
 
24,200
   
Lubrizol Corp.
 
680,988
       
     
Chemicals--1.7%
 
 
13,000
   
Avery Dennison Corp.
 
601,900
 
13,000
   
Eastman Chemical Co.
 
446,030
 
15,000
   
Praxair, Inc.
 
707,700
       
     
    Total
 
1,755,630
       
     
Capital Goods--0.7%
 
 
12,000
   
(1)American Standard Cos., Inc.
 
694,800
       
     
Communications Services--1.1%
 
 
11,100
   
(1)Echostar Communications Corp., Class A
 
257,409
 
37,700
   
(1)Westwood One, Inc.
 
896,883
       
     
    Total
 
1,154,292
       
     
Computers--1.4%
 
 
21,400
   
(1)Lexmark International, Inc.
 
957,650
 
26,500
   
(1)Mentor Graphics Corp.
 
502,440
       
     
    Total
 
1,460,090
       
     
Computers-Services--2.4%
 
 
20,700
   
(1)Arbitron, Inc.
 
558,900
 
74,500
   
(1)Cadence Design Systems, Inc.
 
1,574,930
 
13,100
   
(1)Sabre Group Holdings, Inc.
 
344,530
       
     
    Total
 
2,478,360
       
     
Computers-Software--5.3%
 
 
8,600
   
(1)Citrix Systems, Inc.
 
201,240
 
17,200
   
(1)Electronic Arts, Inc.
 
885,112
 
24,700
   
(1)Intuit, Inc.
 
993,434
 
68,000
   
(1)Network Associates, Inc.
 
1,305,600
 
21,000
   
(1)PeopleSoft, Inc.
 
625,170
 
38,300
   
Reynolds & Reynolds Co., Class A
 
909,625
 
21,600
   
(1)SunGuard Data Systems, Inc.
 
544,320
       
     
    Total
 
5,464,501
       
     
Data Processing--0.5%
 
 
13,800
   
(1)Fiserv, Inc.
 
513,222
       
     
Distribution/Wholesale--1.0%
 
 
21,100
   
(1)BJ's Wholesale Club, Inc.
 
1,071,247
       
     
Electrical Equipment--0.7%
 
 
23,100
   
(1)American Power Conversion Corp.
 
297,297
 
24,700
   
(1)Vishay Intertechnology, Inc.
 
466,089
       
     
    Total
 
763,386
       
     
Electronic Components--1.9%
 
 
12,200
   
(1)Altera Corp.
 
246,440
Shares
 
 
Value
       
 
Common Stocks--continued
 
     
Electronic Components--continued
 
 
11,000
   
(1)Analog Devices, Inc.
 
$          418,000
 
14,900
   
Linear Technology Corp.
 
578,120
 
23,100
   
(1)Xilinx, Inc.
 
702,702
       
     
    Total
 
1,945,262
       
     
Energy--3.9%
 
 
9,300
   
(1)Calpine Corp.
 
230,175
 
7,600
   
Dominion Resources, Inc.
 
464,512
 
42,900
   
Energy East Corp.
 
807,378
 
23,900
   
(1)Mirant Corp.
 
621,400
 
66,200
   
Utilicorp United, Inc.
 
1,961,506
       
     
    Total
 
4,084,971
       
     
Financial-Diversified--1.8%
 
 
34,000
   
National Commerce Financial Corp.
 
773,500
 
50,000
   
SouthTrust Corp.
 
1,133,000
       
     
    Total
 
1,906,500
       
     
Financial Services--3.5%
 
 
36,750
   
Charter One Financial, Inc.
 
1,001,438
 
15,100
   
Golden West Financial Corp.
 
733,860
 
21,000
   
Synovus Financial Corp.
 
483,420
 
32,800
   
TCF Financial Corp.
 
1,377,600
       
     
    Total
 
3,596,318
       
     
Financial Services-Credit Cards--0.4%
 
 
10,800
   
Capital One Financial Corp.
 
446,148
       
     
Financial Services-Diversified--0.8%
 
 
16,200
   
Hartford Financial Services Group, Inc.
 
874,800
       
     
Food & Beverage--1.4%
 
 
29,800
   
Hormel Foods Corp.
 
715,200
 
25,000
   
PepsiAmericas, Inc.
 
326,000
 
27,400
   
Sensient Technologies Corp.
 
445,524
       
     
    Total
 
1,486,724
       
     
Hardware & Tools--1.0%
 
 
32,900
   
Black & Decker Corp.
 
1,088,661
       
     
Health Care--5.5%
 
 
47,500
   
(1)First Health Group Corp.
 
1,282,500
 
64,600
   
(1)Lincare Holdings, Inc.
 
1,660,220
 
29,200
   
(1)Trigon Healthcare, Inc.
 
1,792,588
 
23,200
   
(1)Universal Health Services, Inc., Class B
 
937,048
       
     
    Total
 
5,672,356
       
     
Health Care-Medical Products/Supplies--4.1%
 
11,500
   
Cambrex Corp.
 
425,500
 
6,300
   
(1)Cephalon, Inc.
 
397,215
 
26,000
   
(1)Genzyme Corp.
 
1,402,700
 
12,300
   
Hillenbrand Industries, Inc.
 
652,146
 
6,700
   
(1)King Pharmaceuticals, Inc.
 
261,233
 
31,000
   
Mylan Laboratories, Inc.
 
1,142,970
       
     
    Total
 
4,281,764
       
     
Home Building--0.9%
 
 
24,600
   
Centex Corp.
 
941,196
       

23

VISION Mid Cap Stock Fund
Shares
 
 
Value
       
 
Common Stocks--continued
 
     
Hotels & Motels--0.3%
 
 
34,700
   
Hilton Hotels Corp.
 
$          297,032
       
     
Insurance--1.7%
 
 
15,400
   
(1)Anthem, Inc.
 
644,952
 
17,400
   
Everest Re Group Ltd.
 
1,163,190
       
     
    Total
 
1,808,142
       
     
Insurance-Life/Health--4.1%
 
 
17,800
   
Lincoln National Corp.
 
753,830
 
20,200
   
PartnerRe Ltd.
 
939,300
 
20,700
   
Protective Life Corp.
 
570,285
 
23,800
   
Torchmark Corp.
 
881,314
 
12,500
   
XL Capital Ltd.
 
1,085,750
       
     
    Total
 
4,230,479
       
     
Manufacturing-Diversified--2.5%
 
 
14,300
   
Danaher Corp.
 
797,082
 
16,200
   
(1)KLA-Tencor Corp.
 
661,932
 
27,100
   
(1)NVIDIA Corp.
 
1,161,506
       
     
    Total
 
2,620,520
       
     
Medical-Biotechnology--1.3%
 
 
9,800
   
(1)Aviron
 
326,340
 
16,500
   
Invitrogen Corp.
 
1,012,110
       
     
    Total
 
1,338,450
       
     
Medical-Products & Supplies--1.0%
 
 
12,400

   
(1)Laboratory Corporation of America
Holdings
 
1,068,880
       
     
Metal--2.1%
 
 
31,100
   
Precision Castparts Corp.
 
707,214
 
31,300

   
(1)Freeport-McMoRan Copper & Gold,
Inc., Class B
 
347,430
 
83,100
   
Worthington Industries, Inc.
 
1,080,300
       
     
    Total
 
2,134,944
       
     
Natural Gas-Distribution-Pipe Line--1.8%
 
 
4,500
   
Dynegy, Inc.
 
161,550
 
12,000
   
Kerr-McGee Corp.
 
691,200
 
43,200
   
Sempra Energy
 
1,010,880
       
     
    Total
 
1,863,630
       
     
Office Equipment--0.3%
 
 
8,000
   
Pitney Bowes, Inc.
 
293,280
       
     
Oil-field Services--0.4%
 
 
11,700
   
Baker Hughes, Inc.
 
419,211
       
     
Oil & Gas-Drilling & Equipment--1.7%
 
 
4,600
   
Anadarko Petroleum Corp.
 
262,430
 
12,400
   
(1)Cooper Cameron Corp.
 
483,600
 
32,900
   
(1)Noble Drilling Corp.
 
1,005,095
       
     
    Total
 
1,751,125
       
 

   
Oil & Gas-Exploration & Production--
1.7%
 
 
9,200
   
Apache Corp.
 
474,720
 
51,800
   
(1)BJ Services Co.
 
1,325,562
       
     
    Total
 
1,800,282
       
     
Oil & Gas-Refining & Marketing-- 4.7%
 
 
12,800
   
Amerada-Hess Corp.
 
752,000
 
10,300
   
Ashland, Inc. 
 
414,678
Shares
 
 
Value
   
Common Stocks--continued
 
 
Oil & Gas-Refining & Marketing--continued
26,200
 
Conoco, Inc.
 
$          673,340
25,600
 
Imperial Oil Ltd.
 
704,256
11,000
 
Murphy Oil Corp.
 
874,500
29,900
 
Sunoco, Inc.
 
1,119,157
11,800
 
USX Corp.
 
325,562
   
 
    Total
 
4,863,493
   
 
Paper & Forest Products--1.2%
 
100,800
 
Abitibi-Consolidated, Inc.
 
618,912
14,500
 
Georgia-Pacific Corp.
 
402,520
30,000
 
Louisiana-Pacific Corp.
 
216,000
   
 
    Total
 
1,237,432
   
 
Personal Household Products--0.5%
 
11,000
 
Avon Products, Inc.
 
515,130
   
 
Pharmaceuticals--2.7%
 
19,100
 
Allergan, Inc.
 
1,371,189
17,400
 
(1)CV Therapeutics, Inc.
 
686,256
15,000
 
(1)Health Management Associates, Class A
 
292,350
37,000
 
(1)Inspire Pharmaceuticals, Inc.
 
432,900
   
 
    Total
 
2,782,695
   
 
Publishing-Newspapers--0.2%
 
13,000
 
Readers Digest Association, Inc., Class A
 
230,100
   
 
Regional Banks--0.9%
 
32,400
 
Amsouth Bancorporation
 
560,196
10,000
 
First Tennessee National Corp.
 
345,500
   
 
    Total
 
905,696
   
 
Retail--1.9%
 
36,400
 
(1)CDW Computer Centers, Inc.
 
1,676,220
15,200
 
J.C. Penny Co., Inc.
 
330,144
   
 
    Total
 
2,006,364
   
 
Retail-Discounters--2.0%
 
46,000
 
Family Dollar Stores, Inc.
 
1,327,560
23,200
 
TJX Cos., Inc.
 
784,160
   
 
    Total
 
2,111,720
   
 
Retail-Mail Order--0.7%
 
21,500
 
Lands' End, Inc.
 
688,860
   
 
Retail-Restaurants--1.9%
 
43,400
 
(1)Brinker International, Inc.
 
1,102,360
31,400
 
Wendy's International, Inc.
 
825,820
   
 
    Total
 
1,928,180
   
 
Retail-Specialty--1.5%
 
17,700
 
(1)Kohl's Corp.
 
984,297
24,600
 
(1)Bed Bath & Beyond, Inc.
 
616,476
   
 
    Total
 
1,600,773
   
 
Semiconductor--1.8%
 
12,400
 
(1)Maxim Integrated Products, Inc.
 
567,300
15,000
 
(1)PMC-Sierra, Inc.
 
243,450
22,600
 
(1)Teradyne, Inc.
 
520,930
29,200
 
(1)TriQuint Semiconductor, Inc.
 
516,256
   
 
    Total
 
1,847,936
   
 
Service-Advertising/Marketing--0.4%
 
5,800
 
Omnicom Group, Inc.
 
445,324
   

24

VISION Mid Cap Stock Fund
Shares
 
 
Value
       
 
Common Stocks--continued
 
     
Service-Commercial & Consumer--2.2%
 
 
37,200
   
(1)Concord EFS, Inc.
 
$        1,018,164
 
9,200
   
(1)Convergys Corp.
 
258,520
 
21,200
   
Donnelley (R.R.) & Sons Co.
 
540,600
 
12,000
   
Ecolab, Inc.
 
422,160
       
     
    Total
 
      2,239,444
       
     
Steel--0.7%
 
 
80,500
   
AK Steel Holding Corp.
 
732,550
       
     
Technology--3.6%
 
 
23,800
   
Adobe System, Inc.
 
628,320
 
12,000
   
(1)Cabot Microelectronics Corp.
 
795,360
 
10,700
   
General Dynamics Corp.
 
873,120
 
17,500
   
(1)Novellus Systems, Inc.
 
578,025
 
20,900
   
(1)Tech Data Corp.
 
892,221
       
     
    Total
 
3,767,046
       
     
Telecommunications Equipment--0.4%
 
9,000
   
Harris Corp.
 
308,520
 
4,000
   
General Motors Corp., Class H
 
55,000
       
     
    Total
 
363,520
       
Shares
 
 
Value
   
Common Stocks--continued
 
 
Tobacco--1.6%
 
48,300
 
UST, Inc.
 
$    1,623,363
   
 
Transportation--1.4%
 
17,600
 
CNF Transportation, Inc.
 
388,784
15,000
 
C.H. Robinson Worldwide, Inc.
 
401,550
34,600
 
Ryder System, Inc.
 
647,020
   
 
    Total
 
1,437,354
   
 
Utilities--2.3%
 
64,100
 
Allegheny Energy, Inc.
 
2,342,855
   

 
    Total Common Stocks
    (identified cost $96,701,659)
 
99,228,420
   
 
Mutual Fund--2.8%
 
2,941,566

 
Seven Seas Money Market Fund
(at net asset value)
 
2,941,566
   

 
    Total Investments
    (identified cost $99,643,225)
 
$102,169,986
   

(See Notes to Portfolios of Investments)

25

VISION Large Cap Growth Fund
Portfolio of Investments
October 31, 2001 (unaudited)
Shares
 
 
Value
 
Common Stocks--93.6%
 
     
Beverages--8.6%
 
 
13,200
   
Coca-Cola Co.
 
$       632,016
 
11,500
   
PepsiCo, Inc.
 
560,165
       
     
    Total
 
1,192,181
       
     
Capital Equipment Services--1.8%
 
 
5,500
   
Caterpillar, Inc.
 
245,960
       
     
Computers-Services--6.6%
 
 
7,500
   
AOL Time Warner, Inc.
 
234,075
 
10,700
   
Electronic Data Systems Corp.
 
688,759
       
     
    Total
 
922,834
       
     
Computers-Software--1.6%
 
 
4,400
   
Electronic Arts, Inc.
 
226,424
       
     
Consumer Basics--3.4%
 
 
8,200
   
Colgate-Palmolive Co.
 
471,664
       
     
Consumer Cyclical--1.8%
 
 
12,700
   
Masco Corp.
 
251,841
       
     
Consumer Non-Cyclical--3.3%
 
 
14,700
   
Gillette Co.
 
457,023
       
     
Cosmetics & Toiletries--3.8%
 
 
7,100
   
Procter & Gamble Co.
 
523,838
       
     
Distribution/Wholesale--3.1%
 
 
11,200
   
Costco Wholesale Corp.
 
423,696
       
     
Diversified--1.9%
 
 
7,100
   
General Electric Co.
 
258,511
       
     
Entertainment--2.8%
 
 
21,000
   
Disney (Walt) Co.
 
390,390
       
     
Financial Services-Diversified--12.2%
 
 
11,300
   
Bank of New York Co., Inc.
 
384,313
 
12,300
   
Citigroup, Inc.
 
559,896
 
6,300
   
Marsh & McLennan Cos., Inc.
 
609,525
 
4,300
   
Paychex, Inc.
 
137,858
       
     
    Total
 
1,691,592
       
     
Health Care-Drugs/Pharmaceuticals--10.6%
 
6,500
   
Amgen, Inc.
 
369,330
 
10,400
   
Bristol-Myers Squibb Co.
 
555,880
 
3,500
   
Cardinal Health, Inc.
 
234,885
 
5,900
   
Genentech, Inc.
 
308,275
       
     
    Total
 
1,468,370
       
Shares or
Principal
Amount
 
 
Value
 
Common Stocks--continued
 
     
Hotels & Motels--1.7%
 
 
7,400
   
Marriott International, Inc., Class A
 
$     231,842
       
     
Insurance--4.6%
 
 
8,050
   
American International Group, Inc.
 
632,730
       
     
Manufacturing-Diversified--1.5%
 
 
2,000
   
Minnesota Mining & Manufacturing Co.
 
208,760
       
     
Medical--3.7%
 
 
12,900
   
Medtronic, Inc.
 
519,870
       
     
Medical Products--5.0%
 
 
12,100
   
Johnson & Johnson
 
700,711
       
     
Oil Field Services--1.9%
 
 
5,500
   
Schlumberger Ltd.
 
266,310
       
     
Pharmaceuticals--5.3%
 
 
17,500
   
Pfizer, Inc.
 
733,250
       
     
Retail--1.4%
 
 
5,500
   
Home Depot, Inc.
 
194,973
       
     
Telecommunications Equipment--5.1%
 
 
24,200
   
Nokia Oyj, Class A, ADR
 
496,342
 
4,400
   
Qualcomm, Inc.
 
216,128
       
     
    Total
 
712,470
       
     
Transportation-Services--1.9%
 
 
5,200
   
United Parcel Service, Inc.
 
265,200
       
 

   
    Total Common Stocks
    (identified cost $13,532,091)
 
12,990,440
       
 
(3)Commercial Paper--1.8%
 
 
$250,000


   
General Electric Capital Corp. Disc.,
2.450%, 11/1/2001
(at amortized cost)
 
250,000
       
 
Mutual Fund--4.4%
 
 
616,904

   
Seven Seas Money Market Fund
(at net asset value)
 
616,904
       
 

   
    Total Investments
    (identified cost $14,398,995)
 
$13,857,344
       
 
(See Notes to Portfolios of Investments)

26

VISION Large Cap Core Fund
Portfolio of Investments
October 31, 2001 (unaudited)

 
Shares
 
 
Value
   
Common Stocks--97.7%
 
 
Aerospace/Defense--3.4%
 
46,600
 
Boeing Co. 
 
$            1,519,160
63,500
 
Raytheon Co. 
 
2,047,875
35,000
 
United Technologies Corp. 
 
1,886,150
   
 
    Total
 
5,453,185
   
 
Aluminum--0.8%
 
40,000
 
Alcoa, Inc. 
 
1,290,800
   
 
Banks-Major Regional--2.8%
 
121,000
 
U.S. Bancorp
 
2,151,380
60,000
 
Wells Fargo & Co. 
 
2,370,000
   
 
    Total
 
4,521,380
   
 
Beverages--2.4%
 
80,000
 
Coca-Cola Co. 
 
3,830,400
   
 
Broadcasting-TV, Radio & Cable--1.8%
 
31,500
 
Clear Channel Communications, Inc. 
 
1,200,780
44,800
 
Comcast Corp., Class A
 
1,605,632
   
 
    Total
 
2,806,412
   
 
Capital Goods--1.6%
 
60,600
 
Applied Materials, Inc. 
 
2,067,066
64,000
 
Corning, Inc. 
 
515,840
   
 
    Total
 
2,582,906
   
 
Computer Networks--2.3%
 
144,000
 
Cisco Systems, Inc. 
 
2,436,480
50,000
 
Intel Corp. 
 
1,221,000
   
 
    Total
 
3,657,480
   
 
Computers--3.4%
 
24,600
 
International Business Machines Corp. 
 
2,658,522
19,200
 
Lexmark International Group, Class A
 
859,200
180,000
 
Sun Microsystems, Inc. 
 
1,827,000
   
 
    Total
 
5,344,722
   
 
Computers-Services--2.4%
 
80,000
 
AOL Time Warner, Inc. 
 
2,496,800
96,500
 
E.piphany, Inc. 
 
569,350
26,000
 
Veritas Software Corp. 
 
737,880
   
 
    Total
 
3,804,030
   
 
Computers-Software--3.4%
 
80,000
 
Microsoft Corp. 
 
4,652,000
50,000
 
Oracle Corp. 
 
678,000
   
 
    Total
 
5,330,000
   
 
Consumer Products--1.5%
 
78,000
 
Gillette Co. 
 
2,425,020
   
 
Cosmetics & Toiletries--1.6%
 
46,000
 
Kimberly-Clark Corp. 
 
2,553,460
   
 
Data Processing--1.8%
 
55,000
 
Automatic Data Processing, Inc. 
 
2,841,300
   
 
Diversified--3.8%
 
166,000
 
General Electric Co. 
 
6,044,060
   
Shares
 
 
Value
   
Common Stocks--continued
 
 
Electric Companies--1.2%
 
37,000
 
FPL Group, Inc. 
 
$            1,964,700
   
 
Electronic Components--2.8%
 
77,000
 
International Rectifier Corp.
 
2,703,470
26,700
 
Sanmina Corp.
 
404,238
110,000
 
Symbol Technologies, Inc.
 
1,413,500
   
 
    Total
 
4,521,208
   
 
Entertainment--2.0%
 
169,000
 
Disney (Walt) Co.
 
3,141,710
   
 
Financial Services-Credit Cards--1.6%
 
63,500
 
Capital One Financial Corp.
 
2,623,185
   
 
Financial Services-Diversified--7.7%
 
51,000
 
Bank of New York Co., Inc.
 
1,734,510
75,000
 
Citigroup, Inc.
 
3,414,000
14,530
 
Fannie Mae
 
1,176,349
23,000
 
Hartford Financial Services Group, Inc.
 
1,242,000
46,500
 
J.P. Morgan Chase & Co.
 
1,644,240
8,700
 
Merrill Lynch & Co., Inc.
 
380,277
53,000
 
Morgan Stanley, Dean Witter & Co.
 
2,592,760
   
 
    Total
 
12,184,136
   
 
Health Care--2.8%
 
146,200
 
Caremark Rx, Inc.
 
1,959,080
43,000
 
Tenet Healthcare Corp.
 
2,473,360
   
 
    Total
 
4,432,440
   
 
Insurance--5.0%
 
28,000
 
American International Group, Inc.
 
2,200,800
80,400
 
Jefferson-Pilot Corp.
 
3,324,540
51,200
 
St. Paul Cos., Inc.
 
2,350,080
   
 
    Total
 
7,875,420
   
 
Leisure--0.8%
 
60,000
 
Carnival Corp.
 
1,306,800
   
 
Leisure Time-Products--1.2%
 
100,000
 
Mattel, Inc.
 
1,893,000
   
 
Manufacturing-Diversified--2.4%
 
46,000
 
Agilent Technologies, Inc.
 
1,024,420
27,000
 
Honeywell International, Inc.
 
797,850
40,000
 
Tyco International Ltd.
 
1,965,600
   
 
    Total
 
3,787,870
   
 
Medical--2.0%
 
80,000
 
Medtronic, Inc.
 
3,224,000
   
 
Multimedia--0.6%
 
80,000
 
Liberty Media Corp., Class A
 
935,200
   
 
Oil--3.5%
 
10,000
 
ChevronTexaco Corp.
 
885,500
120,000
 
Exxon Mobil Corp.
 
4,734,000
   
 
    Total
 
5,619,500
   

27

VISION Large Cap Core Fund
Shares
 
 
Value
   
Common Stocks--continued
 

 
Oil & Gas-Exploration &
Production--7.3%
 
19,300
 
Apache Corp.
 
$               995,880
68,000
 
Burlington Resources, Inc.
 
2,533,000
100,000
 
El Paso Corp.
 
4,906,000
110,000
 
Williams Cos., Inc. (The)
 
3,175,700
   
 
    Total
 
   11,610,580
   
 
Oil & Gas-Extraction--0.6%
 
54,800
 
Global Marine, Inc.
 
882,280
   

 
Oil & Gas-Refining & Marketing--
1.9%
 
106,650
 
USX-Marathon Group
 
2,942,473
   
 
Pharmaceuticals--10.0%
 
30,000
 
Amgen, Inc.
 
1,704,600
77,240
 
Health Management Association, Class A
 
1,505,408
49,000
 
ICN Pharmaceuticals, Inc.
 
1,186,290
30,000
 
Lilly (Eli) & Co.
 
2,295,000
26,500
 
Merck & Co., Inc.
 
1,690,965
125,000
 
Pfizer, Inc.
 
5,237,500
60,000
 
Schering Plough Corp.
 
2,230,800
   
 
    Total
 
15,850,563
   
 
Retail--3.3%
 
25,100
 
CVS Corp.
 
599,890
120,000
 
Gap (The), Inc.
 
1,568,400
44,000
 
Home Depot, Inc.
 
1,682,120
27,000
 
Wal-Mart Stores, Inc.
 
1,387,800
   
 
    Total
 
5,238,210
   
Shares
 
 
Value
Common Stocks--continued
 
 
Retail-Specialty--0.7%
 
75,000
 
Staples, Inc.
 
$      1,093,500
   
 
Service-Commercial & Consumer--1.1%
138,000
 
Cendant Corp.
 
1,788,480
   
 
Telecommunications--2.0%
 
95,000
 
Sprint Corp.
 
1,900,000
60,000
 
Sprint Corp. (PCS Group)
 
1,338,000
   
 
    Total
 
3,238,000
   
 
Telecommunications Equipment--0.9%
 
69,200
 
Scientific-Atlanta, Inc.
 
1,444,204
   
 
Telecommunications Services--1.0%
 
144,500
 
American Tower Corp., Class A
 
1,592,390
   
 
Telephone--1.3%
 
41,400
 
Verizon Communications, Inc.
 
2,062,134
   
 
Utilities--1.0%
 
43,000
 
BellSouth Corp.
 
1,591,000
   

 
    Total Investments
    (identified cost $128,536,912)
 
$ 155,328,138
   
 

(See Notes to Portfolios of Investments)

28

VISION Large Cap Value Fund
Portfolio of Investments
October 31, 2001 (unaudited)
Shares
 
 
Value
       
 
Common Stocks--96.7%
 
     
Aerospace/Defense--2.3%
 
 
10,050
   
Boeing Co.
 
$       327,630
 
15,800
   
Raytheon Co.
 
509,550
       
     
    Total
 
837,180
       
     
Aluminum--1.4%
 
 
16,168
   
Alcoa, Inc.
 
521,741
       
     
Banks-Major Regional--4.9%
 
 
20,800
   
Fleet Boston Financial Corp.
 
683,488
 
30,392
   
U.S. Bancorp, Inc.
 
540,370
 
14,400
   
Wells Fargo & Co.
 
568,800
       
     
    Total
 
1,792,658
       
     
Banks-Money Center--1.8%
 
 
18,260
   
J.P. Morgan Chase & Co., Inc.
 
645,674
       
     
Broadcasting-TV, Radio & Cable--2.1%
 
 
8,900
   
Clear Channel Communications, Inc.
 
339,268
 
12,300
   
Comcast Corp., Class A
 
440,832
       
     
    Total
 
780,100
       
     
Capital Goods--1.5%
 
 
8,700
   
Applied Materials, Inc.
 
296,757
 
30,000
   
Corning, Inc.
 
241,800
       
     
    Total
 
538,557
       
     
Chemicals--0.6%
 
 
6,700
   
Dow Chemical Co.
 
222,775
       
     
Coal Companies--1.3%
 
 
15,500
   
Peabody Energy Corp.
 
465,000
       
     
Computer-Hardware--0.5%
 
 
8,900
   
Electronics for Imaging, Inc.
 
175,152
       
     
Computers-Services--2.9%
 
 
24,900
   
AOL Time Warner, Inc.
 
777,129
 
22,550
   
E.piphany, Inc.
 
133,045
 
18,200
   
Openwave Systems, Inc.
 
140,686
       
     
    Total
 
1,050,860
       
     
Computers-Software--1.6%
 
 
22,000
   
Macromedia, Inc.
 
329,120
 
4,700
   
Microsoft Corp.
 
273,305
       
     
    Total
 
602,425
       
     
Consumer Finance--0.6%
 
 
5,400
   
Countrywide Credit Industries, Inc.
 
215,622
       
     
Cosmetics & Toiletries--1.4%
 
 
9,500
   
Kimberly-Clark Corp.
 
527,345
       
     
Electric Companies--5.1%
 
 
13,600
   
Constellation Energy Group
 
304,232
 
11,010
   
DTE Energy Co.
 
459,007
 
8,100
   
FPL Group, Inc.
 
430,110
 
20,000
   
NRG Energy, Inc.
 
353,400
 
12,000
   
Xcel Energy, Inc.
 
339,360
       
     
    Total
 
1,886,109
       
Shares
 
 
Value
       
 
Common Stocks--continued
 
     
Electronic Components--2.8%
 
 
12,900
   
International Rectifier Corp.
 
$       452,919
 
40,200
   
Symbol Technologies, Inc.
 
516,570
 
2,000
   
Texas Instruments, Inc.
 
55,980
       
     
    Total
 
1,025,469
       
     
Entertainment--1.7%
 
 
32,850
   
Disney (Walt) Co.
 
610,681
       
     
Financial Services--3.1%
 
 
17,800
   
Merrill Lynch & Co., Inc.
 
778,038
 
12,300
   
Washington Mutual, Inc.
 
371,337
       
     
    Total
 
1,149,375
       
     
Financial Services-Credit Card--1.1%
 
 
14,200
   
MBNA Corp.
 
392,062
       
     
Financial Services-Diversified--8.0%
 
 
38,533
   
Citigroup, Inc.
 
1,754,022
 
7,350
   
Hartford Financial Services Group, Inc.
 
396,900
 
26,000
   
KeyCorp
 
552,760
 
4,500
   
Morgan Stanley, Dean Witter & Co.
 
220,140
       
     
    Total
 
2,923,822
       
     
Health Care--2.6%
 
 
27,000
   
Caremark Rx, Inc.
 
361,800
 
10,000
   
Tenet Healthcare Corp.
 
575,200
       
     
    Total
 
937,000
       
     
Home Building--0.4%
 
 
5,000
   
KB HOME
 
147,750
       
     
Houseware--0.9%
 
 
11,600
   
Newell Rubbermaid, Inc.
 
320,624
       
     
Insurance--7.9%
 
 
14,145
   
Allmerica Financial Corp.
 
551,655
 
12,000
   
Allstate Corp.
 
376,560
 
5,800
   
American International Group, Inc.
 
455,880
 
24,275
   
Jefferson-Pilot Corp.
 
1,003,771
 
11,200
   
St. Paul Cos., Inc.
 
514,080
       
     
    Total
 
2,901,946
       
     
Leisure--0.6%
 
 
10,000
   
Carnival Corp.
 
217,800
       
     
Leisure Time-Products--1.7%
 
 
33,900
   
Mattel, Inc.
 
641,727
       
     
Manufacturing-Diversified--3.3%
 
 
13,250
   
Agilent Technologies, Inc.
 
295,078
 
12,000
   
Honeywell International, Inc.
 
354,600
 
11,300
   
Tyco International Ltd.
 
555,282
       
     
    Total
 
1,204,960
       
     
Mutimedia--1.4%
 
 
14,100
   
Viacom, Inc., Class B
 
514,791
       
     
Oil--5.4%
 
 
11,500
   
ChevronTexaco Corp.
 
1,018,325
 
23,874
   
Exxon Mobil Corp.
 
941,829
       
     
    Total
 
1,960,154
       

29

VISION Large Cap Value Fund
Shares
 
 
Value
       
 
Common Stocks--continued
 
     
Oil Field Services--0.5%
 
 
3,800
   
Schlumberger Ltd.
 
$       183,996
       
     
Oil & Gas-Exploration & Production--6.8%
 
7,300
   
Apache Corp.
 
376,680
 
18,600
   
BJ Services Co.
 
475,974
 
21,000
   
Burlington Resources, Inc.
 
782,250
 
13,403
   
EL Paso Corp.
 
657,551
 
7,500
   
Williams Cos., Inc. (The)
 
216,525
       
     
    Total
 
2,508,980
       
     
Oil & Gas-Refining & Marketing--4.1%
 
 
30,700
   
Conoco, Inc.
 
788,990
 
25,300
   
USX-Marathon Corp.
 
698,027
       
     
    Total
 
1,487,017
       
     
Pharmaceuticals--2.0%
 
 
21,000
   
Health Management Association, Class A
 
409,290
 
14,000
   
ICN Pharmaceuticals, Inc.
 
338,940
       
     
    Total
 
748,230
       
     
Real Estate--0.6%
 
 
9,000
   
Archstone-Smith Trust
 
217,800
       
     
Retail--1.1%
 
 
9,300
   
CVS Corp.
 
222,270
 
14,100
   
Gap (The), Inc.
 
184,287
       
     
    Total
 
406,557
       
     
Retail--Restaurants--0.7%
 
 
10,100
   
McDonald's Corp.
 
263,307
       
     
Retail-Specialty--0.8%
 
 
20,800
   
Staples, Inc.
 
303,264
       
Shares
 
 
Value
Common Stocks--continued
 
 
Service-Commercial & Consumer--2.7%
53,500
 
Cendant Corp.
 
$     693,360
24,600
 
Dycom Industries, Inc.
 
293,970
   
 
    Total
 
987,330
   
 
Telecommunications Equipment--1.1%
18,600
 
Scientific-Atlanta, Inc.
 
388,182
   
 
Telecommunication Services--1.3%
 
39,100
 
American Tower Corp., Class A
 
430,882
42,800
 
Global Crossing Ltd.
 
48,364
   
 
    Total
 
479,246
   
 
Telephone--2.9%
 
21,380
 
Verizon Communications, Inc.
 
1,064,938
   
 
Telephone-Long Distance--0.4%
 
9,544
 
AT&T Corp.
 
145,546
   
 
Tobacco--0.5%
 
4,200
 
Philip Morris Cos., Inc.
 
196,560
   
 
Transportation--0.4%
 
6,600
 
Delta Air Lines, Inc.
 
150,876
   
 
Utilities--1.9%
 
18,400
 
BellSouth Corp.
 
680,800
   

 
    Total Common Stocks
    (identified cost $39,107,058)
 
35,421,988
   
Mutual Funds--4.4%
 
51

 
SSGA US Government Money Market
Fund, Series A
 
51
1,589,533
 
Seven Seas Money Market Fund
 
1,589,533
   

 
    Total Mutual Funds
    (at net asset value)
 
1,589,584
   

 
    Total Investments
    (identified cost $40,696,642)
 
$37,011,572
   

(See Notes to Portfolios of Investments)

30

VISION Managed Allocation Fund -- Aggressive Growth
Portfolio of Investments
October 31, 2001 (unaudited)
Shares
 
 
Value
 
Mutual Funds--99.5%
     
Equity Funds--87.2%
 
 
43,638
   
VISION International Equity Fund, Class A
 
$    371,799
 
56,655
   
VISION Large Cap Core Fund, Class A
 
481,005
 
52,785
   
VISION Large Cap Growth Fund, Class A
 
410,137
 
38,764
   
VISION Large Cap Value Fund, Class A
 
382,993
 
21,700
   
VISION Mid Cap Stock Fund, Class A
 
268,427
 
26,707
   
VISION Small Cap Stock Fund, Class A
 
247,574
       
     
    Total
 
2,161,935
       
Shares
 
 
Value
Mutual Funds--continued
 
 
Fixed Income Fund--8.2%
 
20,687
 
VISION U.S. Government Securities Fund
 
$    202,319
   
 
Money Market Fund--  4.1%
 
101,570

 
VISION Institutional Prime Money Market
Fund
 
101,570
   

 
    Total Investments
    (identified cost $2,836,758)
 
$2,465,824
   

(See Notes to Portfolios of Investments)

31

VISION Managed Allocation Fund -- Moderate Growth
Portfolio of Investments
October 31, 2001 (unaudited)
Shares
 
 
Value
 
Mutual Funds--98.9%
     
Equity Funds--56.8%
 
 
38,004
   
VISION International Equity Fund, Class A
 
$    323,797
 
46,427
   
VISION Large Cap Core Fund, Class A
 
394,162
 
60,832
   
VISION Large Cap Growth Fund, Class A
 
472,662
 
55,645
   
VISION Large Cap Value Fund, Class A
 
549,776
 
28,984
   
VISION Mid Cap Stock Fund, Class A
 
358,538
 
26,156
   
VISION Small Cap Stock Fund, Class A
 
242,462
       
     
    Total
 
2,341,397
       
     
Fixed Income Funds--34.9%
 
 
28,636

   
VISION Institutional Limited Duration U.S.
Government Fund, Class A
 
286,937
 
33,533
   
VISION Intermediate Term Bond Fund, Class A
 
329,297
 
84,436

   
VISION U.S. Government Securities Fund,
Class A
 
825,784
       
     
    Total
 
1,442,018
       
Shares
 
 
Value
Mutual Funds--continued
 
 
Money Market Fund--7.2%
 
295,631

 
VISION Institutional Prime Money Market
Fund
 
$    295,631
   

 
    Total Investments
    (identified cost $4,308,302)
 
$4,079,046
   

(See Notes to Portfolios of Investments)

32

VISION Managed Allocation Fund -- Conservative Growth
Portfolio of Investments
October 31, 2001 (unaudited)
Shares
 
 
Value
 
Mutual Funds--97.2%
     
Equity Funds--22.5%
 
 
6,020
   
VISION International Equity Fund, Class A
 
$       51,291
 
10,423
   
VISION Large Cap Core Fund, Class A
 
88,492
 
10,207
   
VISION Large Cap Value Fund, Class A
 
100,846
 
7,035
   
VISION Small Cap Stock Fund, Class A
 
65,213
       
     
    Total
 
305,842
       
     
Fixed Income Funds--64.9%
 
 
35,438

   
VISION Institutional Limited Duration U.S.
Government Fund
 
355,094
 
13,434
   
VISION Intermediate Term Bond Fund
 
131,924
 
40,676
   
VISION U.S. Government Securities Fund
 
397,809
       
     
    Total
 
884,827
       
Shares
 
 
Value
Mutual Funds--continued
 
 
Money Market Fund--9.8%
 
134,041

 
VISION Institutional Prime Money Market
Fund
 
$    134,041
   

 
    Total Investments
    (identified cost $1,337,568)
 
$1,324,710
   

(See Notes to Portfolios of Investments)

33

VISION New York Municipal Income Fund
Portfolio of Investments
October 31, 2001 (unaudited)
Principal
Amount
 
 
Credit
Rating(5)
 
Value
(4) Long-Term Municipals--97.5%
 
New York--93.2%
   
$       45,000



 
34th Street Partnership,
Inc., NY, 5.50% (Original
Issue Yield: 5.613%),
1/1/2023
 
NR/A1
 
$          45,445
200,000



 
Albany, NY, Housing
Authority, Revenue Bonds,
5.20% (KeyBank, N.A.
LOC), 12/1/2013
 
NR/Aa3
 
208,624
150,000



 
Albany, NY, Housing
Authority, Revenue Bonds,
5.40% (KeyBank, N.A.
LOC), 12/1/2018
 
NR/Aa3
 
153,562
200,000



 
Albany, NY, Housing
Authority, Revenue Bonds,
5.50% (KeyBank, N.A.
LOC), 12/1/2028
 
NR/Aa3
 
203,142
435,000




 
Albany, NY, Parking
Authority, Revenue Bonds,
(Series A), 5.00% (Original
Issue Yield: 4.79%),
7/15/2008
 
BBB+/NR
 
452,678
500,000




 
Albany, NY, Parking
Authority, Revenue Bonds,
(Series A), 5.625% (Original
Issue Yield: 5.75%),
7/15/2025
 
BBB+/NR
 
510,030
500,000

 
Albany, NY, 3.50%, GO UT,
(MBIA INS), 8/1/2004
 
AAA/Aaa
 
511,385
525,000




 
Allegany County, NY, IDA,
Revenue Bonds, 6.625%
(Atlantic Richfield Co.)/
(Original Issue Yield:
6.625%), 9/1/2016
 
AA+/Aa1
 
551,129
500,000






 
Appleridge Retirement
Community, Revenue
Bonds, 5.60% (GNMA
Collateralized Home
Mortgage Program)/
(GNMA COL),
9/1/2021
 
NR/Aaa
 
528,815
10,000



 
Batavia, NY, GO UT, 6.55%
(MBIA INS)/(Original
Issue Yield: 6.60%),
5/1/2005
 
AAA/Aaa
 
11,198
10,000

 
Brighton, NY, 8.00% (MBIA
INS), 10/15/2002
 
AAA/Aaa
 
10,552
50,000



 
Brockport, NY, Central
School District, GO UT,
5.40% (Original Issue Yield:
5.55%), 6/15/2011
 
AAA/Aaa
 
53,946
800,000



 
Brookhaven, NY, GO UT,
(Series B), 4.00% (FGIC
INS)/(Original Issue Yield:
3.52%), 10/1/2007
 
AAA/Aaa
 
827,464
Principal
Amount
 
 
Credit
Rating(5)
 
Value
(4) Long-Term Municipals--continued
 
New York--continued
   
$       50,000




 
Broome County, NY,
Certificate of Participation,
5.25% (MBIA INS)/(Original
Issue Yield: 5.578%),
4/1/2022
 
AAA/Aaa
 
$      50,537
10,000




 
Buffalo & Fort Erie, NY,
Public Bridge Authority,
6.00% (MBIA INS)/(Original
Issue Yield: 5.05%),
1/1/2004
 
AAA/Aaa
 
10,708
   1,000,000



 
Canton, NY, Human Services,
Revenue Bonds, 5.75%
(Original Issue Yield: 5.80%),
9/1/2032
 
NR/Baa2
 
1,028,460
100,000




 
Cheektowaga, NY, Central
School District, GO UT,
5.875% (FGIC INS)/
(Original Issue Yield: 5.95%),
6/1/2014
 
NR/Aaa
 
109,185
25,000


 
East Irondequoit, NY, Central
School District, GO UT,
6.90%, 12/1/2002
 
NR/A2
 
26,280
50,000




 
Erie County, NY, Water
Authority, (Series A), 6.00%,
(AMBAC INS)/(Original
Issue Yield: 7.25%),
12/1/2008
 
AAA/Aaa
 
56,703
20,000




 
Frontier, NY, Central School
District, Hamburg Township,
GO UT, 9.50% (MBIA INS)/
(Original Issue Yield: 9.50%),
6/1/2002
 
AAA/Aaa
 
20,843
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
 
125,847
20,000



 
Holland, NY, Central School
District, GO UT, 6.00%
(FGIC INS)/(Original Issue
Yield: 5.50%), 6/15/2003
 
AAA/Aaa
 
21,193
100,000



 
Housing Corp., NY,
Refunding Revenue Bonds,
5.00% (Original Issue Yield:
5.65%), 11/1/2018
 
AAA/Aa3
 
100,449
25,000



 
Housing Corp., NY,
Refunding Revenue Bonds,
5.00% (Original Issue Yield:
5.60%), 11/1/2013
 
AAA/Aa3
 
25,604
15,000


 
Irondequoit, NY, 6.80%
(Original Issue Yield: 7.20%),
3/1/2011
 
NR/A2
 
18,071

34

VISION New York Municipal Income Fund
Principal
Amount
 
 
Credit
Rating(5)
 
Value
(4)Long-Term Municipals--continued
 
New York--continued
   
$    500,000




 
Islip, NY, Union Free School
District, GO UT,
4.00% (FGIC INS)/
(Original Issue Yield: 3.20%),
7/15/2006
 
NR/Aaa
 
$       517,660
20,000


 
Kenmore, NY, GO UT,
6.35% (MBIA INS),
10/15/2009
 
AAA/Aaa
 
23,676
50,000



 
Lakewood, NY, GO UT,
Public Improvement Bonds,
5.50% (Original Issue Yield:
5.70%), 4/1/2012
 
NR/Baa1
 
52,341
495,000


 
Liverpool, NY, Central
School District, GO UT,
6.50%, 7/15/2004
 
AAA/Aaa
 
545,302
1,000,000




 
Mahopac, NY, Central
School District, GO UT,
(Series C) Bonds, 5.30%
(Original Issue Yield: 5.35%),
6/1/2018
 
NR/Aaa
 
1,050,460
100,000



 
Monroe County, NY, GO
UT, Public Improvement
Bonds, 5.50% (Original Issue
Yield: 5.60%), 6/1/2009
 
AA/Aa2
 
108,257
625,000



 
Monroe County, NY, GO
UT, Public Improvement
Bonds, 6.00% (Original Issue
Yield: 5.34%), 3/1/2016
 
AA/Aa2
 
730,800
25,000




 
Monroe County, NY, IDA,
Revenue Bonds, 5.80%
(Nazareth College)/(MBIA
INS)/(Original Issue Yield:
5.799%), 6/1/2010
 
AAA/Aaa
 
27,594
25,000



 
Monroe Woodbury, NY,
Center School District, GO
UT, 6.70% (FGIC INS),
11/15/2010
 
AAA/Aaa
 
27,592
1,000,000





 
Municipal Assistance Corp.
of New York, Refunding
Revenue Bonds, (Series C),
5.00% (AMBAC INS)/
(Original Issue Yield: 5.10%),
7/1/2006
 
AAA/Aaa
 
1,039,510
870,000




 
Municipal Assistance Corp.
of Troy, NY, Refunding
Revenue Bonds, (Series A),
5.00% (Original Issue Yield:
5.40%), 1/15/2010
 
AAA/Aaa
 
925,106
375,000



 
Nassau County, NY, GO
UT, 6.05% (FGIC INS)/
(Original Issue Yield: 6.15%),
5/15/2004
 
AAA/Aaa
 
389,115
500,000


 
Nassau County, NY, GO
UT, (Series F), 7.00% (FSA
INS), 3/1/2010
 
AAA/Aaa
 
608,345
Principal
Amount
 
 
Credit
Rating(5)
 
Value
(4)Long-Term Municipals--continued
 
New York--continued
   
$    500,000




 
Nassau County, NY, GO
UT, (Series X), 8.00%
(MBIA INS)/(Original
Issue Yield: 8.40%),
11/1/2004
 
AAA/Aaa
 
$       574,240
500,000




 
Nassau County, NY, (Series
A), Special Tax Revenue
Bonds, 5.75% (Original
Issue Yield: 5.18%),
11/15/2013
 
AA-/Aa3
 
561,580
50,000




 
New York City Housing
Development Corp.,
Revenue Refunding Bonds,
5.85% (FHA INS),
5/1/2026
 
AA/Aa2
 
50,951
1,000,000




 
New York City Municipal
Water Finance Authority,
(Series C), 5.125% (Original
Issue Yield: 5.43%),
6/15/2033
 
AA/Aa2
 
1,001,560
1,000,000





 
New York City Municipal
Water Finance Authority,
Revenue Bonds, 5.50%
(MBIA INS)/(Original
Issue Yield: 5.855%),
6/15/2027
 
AAA/Aaa
 
1,054,030
700,000



 
New York City, NY, GO
UT, (Series B), 8.25%
(Original Issue Yield:
8.40%), 6/1/2006
 
A/A2
 
838,229
435,000




 
New York City, NY, GO
UT, (Series B), Refunding
Revenue Bonds, 5.80%
(Original Issue Yield:
5.88%), 8/1/2013
 
A/A2
 
480,605
1,450,000



 
New York City, NY, GO
UT, (Series B1), 7.20%
(Original Issue Yield:
7.30%), 8/15/2008
 
A/A2
 
1,654,189
800,000


 
New York City, NY, GO
UT, (Series C) Bonds,
5.50%, 8/15/2008
 
A/A2
 
874,400
230,000



 
New York City, NY, GO
UT, (Series I) Bonds, 6.25%
(Original Issue Yield:
5.85%), 4/15/2006
 
A/A2
 
256,533
1,060,000



 
New York City, NY, GO
UT, (Series J), Refunding
Revenue Bonds, 6.125%,
8/1/2011
 
A/A2
 
1,171,830
500,000



 
New York City, NY, GO
UT, (Series L), Refunding
Revenue Bonds, 8.00%,
8/1/2006
 
AAA/Aaa
 
601,640

35

VISION New York Municipal Income Fund
Principal
Amount
 
 
Credit
Rating(5)
 
Value
(4)Long-Term Municipals--continued
 
New York--continued
   
$1,760,000





 
New York City, NY, IDA,
Revenue Bonds, 5.85%
(Nightingale-Bamford
School Project)/(Original
Issue Yield: 5.85%),
1/15/2020
 
A/A2
 
$   1,825,138
1,000,000




 
New York City, NY, IDA,
Revenue Bonds, 6.00%
(Terminal One Group
Association)/(Original Issue
Yield: 6.40%), 1/1/2015
 
A--/A3
 
1,025,400
595,000








 
New York City, NY, Transit
Authority 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
 
647,057
1,250,000





 
New York City, NY,
Transitional Finance
Authority, Revenue Bonds,
(Series A), 5.75% (Original
Issue Yield: 5.19%),
2/15/2015
 
AA+/Aa2
 
1,382,575
1,000,000





 
New York City, NY,
Transitional Finance
Authority, Revenue Bonds,
(Series B), 5.50% (Original
Issue Yield: 4.62%),
2/1/2013
 
AA+/Aa2
 
1,107,560
500,000





 
New York City, NY,
Transitional Finance
Authority, Revenue Bonds,
(Series B), 6.125% (Original
Issue Yield: 5.84%),
11/15/2015
 
AA+/Aa2
 
572,660
1,040,000



 
New York City, NY,
Transitional Finance
Authority, Revenue Bonds,
5.25%, 5/1/2014
 
AA+/Aa2
 
1,095,838
1,000,000



 
New York Counties Tobacco
Trust II, Refunding Revenue
Bonds, 5.25% (Original Issue
Yield: 5.30%), 6/1/2025
 
A/A1
 
1,012,510
425,000




 
New York State Dormitory
Authority, Prerefunded
Revenue Bonds, (Series C),
7.375% (Original Issue Yield:
7.471%), 5/15/2010
 
AA--/A3
 
541,892
1,000,000





 
New York State Dormitory
Authority, Health, Hospital,
Nursing Home
Improvement Revenue
Bonds, 5.10% (AMBAC
INS), 2/1/2019
 
NR/Aaa
 
1,006,150
Principal
Amount
 
 
Credit
Rating(5)
 
Value
(4)Long-Term Municipals--continued
 
New York--continued
   
$       20,000




 
New York State Dormitory
Authority, Refunding
Revenue Bonds, (Series B),
5.25% (Original Issue Yield:
5.75%), 5/15/2019
 
AA--/A3
 
$          21,193
1,000,000



 
New York State Dormitory
Authority, Refunding
Revenue Bonds, 5.30%,
7/1/2008
 
AAA/Aaa
 
1,072,360
70,000




 
New York State Dormitory
Authority, Refunding
Revenue Bonds, 5.75%
(FGIC INS)/(Original Issue
Yield: 6.00%), 7/1/2013
 
AAA/Aaa
 
80,585
505,000





 
New York State Dormitory
Authority, Refunding
Revenue Bonds, 6.00%
(Connie Lee LOC)/
(Original Issue Yield:
4.875%), 7/1/2008
 
AAA/NR
 
570,968
110,000





 
New York State Dormitory
Authority, Refunding
Revenue Bonds, 7.15%
(R & J Jewish Geriatric
Center)/(FHA INS),
8/1/2014
 
AAA/NR
 
123,937
20,000




 
New York State Dormitory
Authority, Revenue Bonds,
5.00% (Rochester
University-Strong Memorial
Hospital), 7/1/2005
 
AAA/NR
 
21,744
180,000



 
New York State Dormitory
Authority, Revenue Bonds,
5.85% (Arden Hill)/(FHA
INS), 8/1/2026
 
AAA/NR
 
191,749
435,000




 
New York State Dormitory
Authority, Revenue Bonds,
5.85% (Wesley Health
System)/(FHA INS),
8/1/2026
 
AAA/NR
 
463,392
100,000



 
New York State Dormitory
Authority, Revenue Bonds,
6.00% (State University of
New York), 5/15/2008
 
AA--/A3
 
112,723
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/Aa3
 
1,065,130
2,000,000


 
New York State Dormitory
Authority, Revenue Bonds,
7.50%, 5/15/2013
 
AA--/A3
 
2,591,140
275,000



 
New York State Dormitory
Authority, Schools Program,
5.10% (Original Issue Yield:
5.14%), 7/1/2011
 
AA--/Baa1
 
298,760

36

VISION New York Municipal Income Fund
Principal
Amount
 
 
Credit
Rating(5)
 
Value
(4)Long-Term Municipals--continued
 
New York--continued
   
$       50,000





 
New York State Dormitory
Authority, State University
Educational Facilities,
Revenue Bonds, (Series A),
5.50% (Original Issue Yield:
5.90%), 5/15/2013
 
AA-/A3
 
$          56,163
1,000,000






 
New York State Dormitory
Authority, United Health
Services, Refunding
Revenue Bonds, 5.375%
(AMBAC INS)/(Original
Issue Yield: 5.573%),
8/1/2027
 
AAA/Aaa
 
1,019,330
1,575,000




 
New York State Dormitory
Authority, Unrefunded
Revenue Bonds, (Series C),
7.375% (Original Issue
Yield: 7.471%), 5/15/2010
 
AA-/A3
 
1,876,423
545,000


 
New York State
Environmental Facilities
Corp., 5.00%, 10/15/2015
 
AAA/Aaa
 
568,915
150,000



 
New York State
Environmental Facilities
Corp., PCRB, 5.20%,
5/15/2014
 
AAA/Aaa
 
163,966
1,055,000



 
New York State
Environmental Facilities
Corp., (Series C), PCRB,
5.85%, 1/15/2015
 
AAA/Aaa
 
1,140,771
175,000




 
New York State
Environmental Facilities
Corp., (Series C), PCRB,
6.40% (Original Issue Yield:
6.40%), 9/15/2006
 
AAA/Aaa
 
179,119
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
 
25,104
110,000




 
New York State HFA,
Refunding Revenue Bonds,
7.90% (United States
Treasury COL),
11/1/2006
 
AAA/#Aaa
 
126,331
85,000



 
New York State HFA,
Refunding Revenue Bonds,
8.00% (Original Issue Yield:
8.079%), 11/1/2008
 
A/A3
 
85,000
25,000


 
New York State HFA,
(Series A), 6.90%,
8/15/2007
 
NR/Aa1
 
26,017
635,000




 
New York State HFA,
Prerefunded Revenue
Bonds, (Series A), 6.25%
(Original Issue Yield:
6.35%), 9/15/2010
 
AAA/NR
 
741,051
Principal
Amount
 
 
Credit
Rating(5)
 
Value
(4)Long-Term Municipals--continued
 
New York--continued
       
$    885,000




 
New York State HFA,
Prerefunded Revenue
Bonds, (Series A), 6.375%
(Original Issue Yield:
6.45%), 9/15/2015
   
AAA/NR
   
$   1,038,698
365,000




 
New York State HFA,
Unrefunded Revenue
Bonds, (Series A), 6.25%
(Original Issue Yield:
6.35%), 9/15/2010
   
AA-/NR
   
399,810
1,000,000




 
New York State Local
Government Assistance
Corp., (Series A), 6.00%
(Original Issue Yield:
6.106%), 4/1/2016
   
AA-/A3
   
1,072,220
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
   
55,009
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:
6.218%), 8/15/2014
   
AAA/NR
   
32,599
30,000





 
New York State Medical
Care Facilities Finance
Agency, Hospital & Nursing
Home Revenue Bonds,
(Series C), 7.00%,
8/15/2003
   
AA-/Aa2
   
30,706
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
   
27,313
300,000


 
New York State Mortgage
Agency, Refunding Revenue
Bonds, 5.25%, 10/1/2006
   
NA/Aa1
   
324,081
865,000




 
New York State Mortgage
Agency, Refunding Revenue
Bonds, 5.70% (Original
Issue Yield: 5.70%),
4/1/2011
   
NR/Aa1
   
924,253
500,000




 
New York State Mortgage
Agency, Refunding Revenue
Bonds, (Series 67), 5.80%
(Original Issue Yield:
5.799%), 10/1/2028
   
NR/Aa1
   
520,890

37

VISION New York Municipal Income Fund
Principal
Amount
 
 
Credit
Rating(5)
 
Value
(4)Long-Term Municipals--continued
 
New York--continued
   
$    750,000




 
New York State Power
Authority, Revenue Bonds,
(Series A), 5.25% (Original
Issue Yield: 5.38%),
11/15/2030
 
AA-/Aa2
 
$       761,033
1,000,000



 
New York State Thruway
Authority, (Series A), 5.125%
(Original Issue Yield:
4.601%), 4/1/2011
 
AAA/Aaa
 
1,081,350
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
 
1,140,780
500,000




 
New York State Thruway
Authority, Refunding
Revenue Bonds, 5.50%
(Original Issue Yield:
4.85%), 4/1/2004
 
AA-/A3
 
532,950
1,000,000





 
New York State Thruway
Authority, Refunding
Revenue Bonds, (Series B),
5.25% (FGIC INS)/
(Original Issue Yield:
5.02%), 4/1/2013
 
AAA/Aaa
 
1,065,860
1,000,000



 
New York State, GO UT,
5.25% (New York State
HFA)/(Original Issue Yield:
5.036%), 9/15/2013
 
AA/A2
 
1,067,420
1,000,000





 
New York State Urban
Development Corp.,
Refunding Revenue Bonds,
5.625% (AMBAC INS)/
(Original Issue Yield:
5.875%), 1/1/2007
 
AAA/Aaa
 
1,055,700
1,500,000




 
New York State Urban
Development Corp.,
Refunding Revenue Bonds,
5.75% (Original Issue Yield:
5.35%), 7/1/2009
 
AAA/Aaa
 
1,647,390
100,000


 
Niagara County, NY, GO
UT, 7.10% (MBIA INS),
2/15/2010
 
AAA/Aaa
 
122,272
25,000




 
Niagara Falls, NY, Bridge
Commission, (Series B),
5.25% (FGIC INS)/
(Original Issue Yield:
5.35%), 10/1/2015
 
AAA/Aaa
 
27,453
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
 
21,427
Principal
Amount
 
 
Credit
Rating(5)
 
Value
(4)Long-Term Municipals--continued
 
New York--continued
   
$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
 
$   1,070,850
400,000



 
Oneida, NY, Health Care
Corp., Revenue Bonds,
(Series A), 7.20% (FHA
INS), 8/1/2031
 
AA/NR
 
409,544
75,000


 
Onondaga County, NY, GO
UT, 8.80% (Original Issue
Yield: 9.20%), 3/15/2003
 
NR/Aa2
 
81,439
85,000



 
Onondaga County, NY,
IDA, University and College
Improvements Revenue
Bonds, 5.00%, 3/1/2009
 
NR/Baa2
 
86,429
1,580,000


 
Orange County, NY, GO
UT, 5.10% (Original Issue
Yield: 5.29%), 7/15/2019
 
NR/Aa1
 
1,613,859
50,000



 
Penfield, NY, Central
School District, GO UT,
5.20% (Original Issue Yield:
5.40%), 6/15/2010
 
AAA/Aaa
 
52,637
25,000

 
Putnam County, NY, GO
UT, 7.10%, 8/15/2002
 
NR/Aa2
 
26,010
170,000


 
Riverton Housing Corp.,
Revenue Bonds, 6.65%
(FHA INS), 8/1/2024
 
AA-/NR
 
189,030
760,000


 
Roslyn, NY, School District,
GO UT, 4.00%,
10/15/2006
 
NR/Aa2
 
790,301
20,000



 
Saugerties, NY, GO UT,
5.375% (FSA INS)/
(Original Issue Yield:
5.70%), 6/15/2015
 
NR/Aaa
 
22,144
155,000




 
Schenectady, NY, IDA,
(Series A), 5.45% (Union
College)/(AMBAC INS)/
(Original Issue Yield:
5.467%), 12/1/2029
 
NR/Aaa
 
161,099
10,000


 
Spackenkill, NY, Unified
Free School District, GO
UT, 6.125%, 9/15/2014
 
NR/A1
 
11,622
10,000


 
Springville, NY, GO UT,
Refunding Bonds, 7.90%,
8/1/2003
 
NR/Baa1
 
10,866
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
 
1,105,830
225,000


 
Syracuse, NY, GO UT,
(Series A), Refunding Bonds,
5.125%, 2/15/2009
 
BBB/Baa1
 
239,756
1,000,000



 
TSASC, Inc. NY, Cash Flow
Management, Public
Improvement Revenue Bonds,
6.25%, 7/15/2027
 
A/Aa1
 
1,068,700

38

VISION New York Municipal Income Fund
Principal
Amount
 
 
Credit
Rating(5)
 
Value
(4)Long-Term Municipals--continued
 
New York--continued
   
$       65,000



 
Tompkins County, NY, GO
UT, (Series B), 5.625%
(Original Issue Yield:
5.80%), 9/15/2013
 
NR/Aa2
 
$          69,231
1,000,000



 
Tompkins County, NY,
IDA, Revenue Bonds, 6.05%
(Ithacare Center Project)/
(FHA INS), 2/1/2017
 
AAA/NR
 
1,088,490
285,000




 
Tompkins, NY, Health Care
Corp., 10.80%
(Reconditioning Hane, Inc.
Project)/(FHA INS),
2/1/2028
 
A/NR
 
340,817
285,000




 
Triborough Bridge &
Tunnel Authority, NY,
Refunding Revenue Bonds,
6.75% (Original Issue Yield:
6.821%), 1/1/2009
 
AA-/Aa3
 
333,416
540,000





 
Triborough Bridge &
Tunnel Authority, NY,
(Series Y), General Purpose
Revenue Bonds, 5.50%
(Original Issue Yield:
6.16%), 1/1/2017
 
A+/Aa3
 
594,788
3,500,000







 
Triborough Bridge &
Tunnel Authority, NY,
(Series Y), Refunding
Revenue Bonds, 6.125%
(CAPMAC Holdings, Inc.)/
(CAPMAC Holdings, Inc.
LOC)/(Original Issue Yield:
6.20%), 1/1/2021
 
AAA/Aaa
 
4,098,430
50,000




 
Union Endicott, NY,
Central School District, GO
UT, (Series A), 5.50% (FSA
INS)/(Original Issue Yield:
5.55%), 7/15/2010
 
AAA/Aaa
 
53,982
510,000



 
Utica, NY, Industrial
Development Agency Civic
Facility, GO UT, 5.50%,
8/15/2013
 
A/NR
 
533,159
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
 
330,979
270,000





 
Utica, NY, Industrial
Development Agency Civic
Facility, (Series A), Revenue
Bonds, 5.50% (Munson
Williams Proctor),
7/15/2029
 
NR/Aa3
 
279,315
500,000




 
Valley Center School
District, NY, Montgomery,
GO UT, 7.15% (AMBAC
INS)/(Original Issue Yield:
7.10%), 6/15/2005
 
AAA/Aaa
 
571,195
Principal
Amount
 
 
Credit
Rating(5)
 
Value
(4)Long-Term Municipals--continued
 
New York--continued
   
$1,000,000




 
Webster, NY, Central
School District, GO UT,
5.125% (FGIC INS)/
(Original Issue Yield:
5.40%), 6/15/2019
 
NR/Aaa
 
$   1,023,590
50,000




 
West Seneca, NY, Central
School District, GO UT,
5.625% (FGIC INS)/
(Original Issue Yield:
5.70%), 6/15/2011
 
AAA/Aaa
 
54,131
30,000


 
Westchester County, NY, GO
UT, 6.60% (Original Issue
Yield: 6.90%), 5/1/2010
 
AAA/Aaa
 
36,041
1,000,000




 
Yorktown, NY, Central
School District, GO UT,
4.00% (MBIA INS)/
(Original Issue Yield:
3.32%), 6/15/2007
 
AAA\Aaa
 
1,035,360
     
 
    Total
   
73,998,300
     
 
Guam--4.3%
   
3,200,000



 
Guam Housing Corp.,
State Single Family
Housing Revenue Bonds,
5.75%, 9/1/2031
 
AAA/NR
 
3,384,512
     
 
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
 
25,361
     



 
    Total Long-Term
    Municipals
    (identified cost
    $74,416,737)
   
77,408,173
     
Short-Term Municipals--1.2%
   
 
New York--1.2%
   
400,000





 
New York City Municipal
Water Finance Authority,
Water & Sewage System
Revenue Bonds, (Series
2001 F1) Daily VRDNs
(Dexia Credit Local LIQ)
 
AA/Aa2
 
400,000
200,000



 
New York City, NY, (Series
E6) Daily VRDNs (FGIC
Securities Purchase, Inc.
LIQ)/(FGIC INS)
 
AAA/Aaa
 
200,000
400,000



 
New York City, NY, (Series
1994A) Daily VRDNs
(Chase Manhattan Bank,
New York LOC)
 
AA-/Aa3
 
400,000
     


 
    Total Short-Term
    Municipals
    (at amortized cost)
   
1,000,000
     


 
    Total Investments
    (identified cost
    $75,416,737)
   
$78,408,173
     

(See Notes to Portfolios of Investments)

39

VISION Pennsylvania Municipal Income Fund
Portfolio of Investments
October 31, 2001 (unaudited)

 
Principal
Amount
 
 
Credit
Rating(5)
 
Value
(4)Long-Term Municipals--99.4%
   
 
Pennsylvania--99.4%
   
$1,185,000



 
Adams County, PA, GO UT,
5.30% (FGIC INS)/
(Original Issue Yield:
5.42%), 11/15/2019
 
AAA/Aaa
 
$   1,228,335
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
 
   1,425,101
1,450,000






 
Allegheny County, PA,
Airport, Refunding Revenue
Bonds, (Series A-1),
(Pittsburgh International
Airport), 5.75% (MBIA
INS)/(Original Issue Yield:
4.85%), 1/1/2006
 
AAA/Aaa
 
1,569,248
2,500,000




 
Allegheny County, PA, Port
Authority Special Revenue
Bonds, 6.00% (MBIA INS)/
(Original Issue Yield:
6.125%), 3/1/2024
 
AAA/Aaa
 
2,886,175
2,000,000




 
Allegheny County, PA,
Refunding Revenue Bonds
(Series 1999 A-1), 5.75%
(Pittsburgh International
Airport), 1/1/2010
 
AAA/Aaa
 
2,192,760
955,000



 
Allegheny County, PA,
Residential Finance Agency,
Mortgage Revenue Bonds,
5.15%, 11/1/2016
 
NR/Aaa
 
964,970
1,025,000





 
Antrim Township, PA,
Municipal Authority, Sewer
Improvement Revenue
Bonds, 5.60% (FGIC INS)/
(Original Issue Yield:
5.625%), 7/1/2023
 
AAA/Aaa
 
1,062,464
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
 
1,389,443
1,330,000




 
Berks County, PA, Municipal
Authority, Revenue Bonds,
7.10% (FGIC INS)/
(Original Issue Yield:
7.226%), 5/15/2022
 
AAA/Aaa
 
1,476,978
1,065,000




 
Bethlehem, PA, Water
Authority, (Series A), 6.30%
(MBIA INS)/(Original
Issue Yield: 6.30%),
11/15/2015
 
AAA/Aaa
 
1,111,189
Principal
Amount
 
 
Credit
Rating(5)
 
Value
(4)Long-Term Municipals--continued
 
 
Pennsylvania--continued
   
$2,000,000





 
Blair County, PA,
Convention & Sports Facility
Authority Revenue Bonds,
(Series B), 4.90% (FSA
INS)/(Original Issue Yield:
4.90%), 5/1/2003
 
AAA/Aaa
 
$   2,076,080
1,000,000



 
Blair County, PA, GO UT,
(Series A), 5.00% (AMBAC
INS)/(Original Issue Yield:
3.45%), 8/1/2007
 
NR/Aaa
 
1,081,520
1,400,000




 
Bucks County, PA, Water &
Sewer Authority Revenue
Bonds, 5.55% (FGIC INS)/
(Original Issue Yield:
5.65%), 12/1/2017
 
AAA/Aaa
 
1,456,462
1,330,000



 
Charleroi, PA, Area School
District, 6.00% (FGIC INS)/
(Original Issue Yield:
6046%), 10/1/2017
 
AAA/NR
 
1,540,202
1,070,000



 
Charleroi, PA, Area School
District, (Series C), 5.75%
(FGIC INS)/(Original Issue
Yield: 5.90%), 10/1/2014
 
AAA/NR
 
1,219,704
1,000,000




 
College Township, PA, Water
Authority, Revenue Bonds,
6.125% (Asset Guaranty
LOC)/(Original Issue Yield:
6.30%), 1/1/2029
 
AA/NR
 
1,042,040
2,000,000



 
Commonwealth of
Pennsylvania, GO UT,
5.25% (Original Issue Yield:
4.69%), 10/15/2008
 
AA/Aa2
 
2,203,360
2,150,000


 
Commonwealth of
Pennsylvania, GO UT,
5.75%, 1/15/2009
 
AA/Aa2
 
2,422,792
3,000,000



 
Commonwealth of
Pennsylvania, GO UT,
6.00% (Original Issue Yield:
5.96%), 1/15/2018
 
AA/Aa2
 
3,353,880
1,500,000






 
Cumberland County, PA,
Municipal Authority
Revenue Bond, (Messiah
College Project), 5.125%
(AMBAC INS)/(Original
Issue Yield: 5.50%),
10/1/2015
 
AAA/Aaa
 
1,537,230
1,510,000


 
Dover, PA, Area School
District, GO UT, 5.00%
(FGIC INS), 4/1/2015
 
NR/Aaa
 
1,571,502
505,000



 
Harbor Creek, PA, School
District, (Series C), 4.00%
(FGIC INS)/(Original Issue
Yield: 3.25%), 8/1/2006
 
AAA/NR
 
523,215

40

VISION Pennsylvania Municipal Income Fund
Principal
Amount
 
 
Credit
Rating(5)
 
Value
(4)Long-Term Municipals--continued
 
 
Pennsylvania--continued
   
$1,800,000







 
Indiana County, PA,
Industrial Development
Authority Revenue Bonds,
(Series A), (Student Coop
Association, Inc.), 5.875%
(AMBAC INS)/(Original
Issue Yield: 6.04%),
11/1/2029
 
AAA/Aaa
 
$   1,879,830
795,000


 
Keystone, PA, Central
School District, GO UT,
2.800%, 9/1/2004
 
A/NR
 
794,555
2,000,000



 
Lancaster County, PA, GO
UT, (Series A), 5.60% (FGIC
INS)/(Original Issue Yield:
5.65%), 5/1/2012
 
NR/Aaa
 
2,227,300
1,500,000



 
Lower Merion Township,
PA, School District, GO UT,
5.125% (Original Issue Yield:
4.95%), 5/15/2013
 
NR/Aaa
 
1,584,390
1,500,000



 
Lower Merion Township,
PA, School District, GO UT,
5.125% (Original Issue Yield:
5.125%), 5/15/2018
 
NR/Aaa
 
1,535,160
1,500,000


 
Manheim, PA, School
District, GO UT, 4.95%
(FGIC INS), 6/1/2011
 
NR/Aaa
 
1,547,340
1,500,000




 
Montgomery County, PA,
IDA, Refunding Revenue
Bonds, 5.35% (MBIA INS)/
(Original Issue Yield:
5.46%), 8/15/2027
 
NR/Aaa
 
1,525,830
1,500,000




 
Owen J. Roberts School
District, PA, GO UT, (Series
A), 5.375% (MBIA INS)/
(Original Issue Yield:
5.50%), 5/15/2018
 
AAA/NR
 
1,546,995
1,000,000



 
Parkland, PA, School
District, GO UT, 5.00%
(FGIC INS)/(Original Issue
Yield: 4.92%), 9/1/2013
 
NR/Aaa
 
1,061,780
1,000,000



 
Parkland, PA, School
District, GO UT, 5.25%
(FGIC INS)/(Original Issue
Yield: 3.80%), 9/1/2004
 
NR/Aaa
 
1,070,620
1,410,000


 
Pennsylvania HFA, Revenue
Bonds, (Series 58A), 5.85%,
4/1/2017
 
AA+/Aa2
 
1,472,971
2,000,000


 
Pennsylvania HFA, Revenue
Bonds, (Series 61A), 5.50%,
4/1/2029
 
AA+/Aa2
 
2,028,080
2,000,000


 
Pennsylvania HFA, Revenue
Bonds, (Series 68A), 6.10%,
4/1/2021
 
AA+/Aa2
 
2,113,100
1,115,000



 
Pennsylvania HFA, Revenue
Bonds, (Series 69A), 6.15%
(FHA/VA MTGS LOC),
10/1/2020
 
AA+/Aa2
 
1,185,468
Principal
Amount
 
 
Credit
Rating(5)
 
Value
(4)Long-Term Municipals--continued
 
 
Pennsylvania--continued
   
$1,295,000


 
Pennsylvania HFA, Revenue
Bonds, (Series 70A), 5.80%,
10/1/2021
 
AA+/Aa2
 
$   1,341,944
2,000,000







 
Pennsylvania
Intergovernmental Coop
Authority, Special Tax,
Revenue Bonds,
(Philadelphia Funding
Program), 5.25% (FGIC
INS)/(Original Issue Yield:
5.012%), 6/15/2015
 
AAA/Aaa
 
2,099,060
1,000,000


 
Pennsylvania State IDA, GO
UT, 4.50% (Original Issue
Yield: 4.30%), 12/1/2010
 
AA/Aa2
 
1,049,150
1,500,000




 
Pennsylvania State Turnpike
Commission, Revenue
Bonds, (Series R), 5.125%
(Original Issue Yield:
5.14%), 12/1/2022
 
AAA/Aaa
 
1,520,325
1,565,000




 
Pennsylvania State
University, Refunding
Revenue Bonds, 5.50%
(Original Issue Yield:
5.90%), 8/15/2016
 
AA-/Aa2
 
1,625,065
1,000,000


 
Peters Township, PA,
School District, 5.00% (FSA
INS), 9/1/2016
 
AAA/Aaa
 
1,029,630
1,520,000




 
Philadelphia, PA, School
District, GO UT, 5.50%
(AMBAC INS)/(Original
Issue Yield: 5.88%),
9/1/2015
 
AAA/NR
 
1,692,794
2,000,000




 
Philadelphia, PA, Water &
Wastewater System, (Series
A), 5.00% (AMBAC INS)/
(Original Issue Yield:
5.25%), 8/1/2013
 
AAA/Aaa
 
2,091,980
1,900,000




 
Philadelphia, PA, Water &
Wastewater System, Revenue
Bonds, 5.625% (MBIA
INS)/(Original Issue Yield:
5.81%), 6/15/2009
 
AAA/Aaa
 
2,124,181
1,000,000




 
Philadelphia, PA, Water &
Wastewater System, Revenue
Bonds, 6.25% (MBIA INS)/
(Original Issue Yield:
5.10%), 8/1/2002
 
AAA/Aaa
 
1,030,490
1,250,000






 
Philadelphia, PA, (Series
1995A), Airport Revenue
Bonds, (Series A), 6.10%
(Philadelphia Airport
System)/(AMBAC INS)/
(Original Issue Yield:
6.40%), 6/15/2025
 
AAA/Aaa
 
1,340,625
2,500,000



 
Radnor Township, PA,
School District, GO UT,
5.75% (Original Issue Yield:
5.92%), 3/15/2019
 
NR/Aa3
 
2,631,075

41

VISION Pennsylvania Municipal Income Fund
Principal
Amount
 
 
Credit
Rating(5)
 
Value
(4)Long-Term Municipals--continued
 
 
Pennsylvania--continued
   
$1,200,000



 
Radnor Township, PA,
School District, GO UT,
5.75% (Original Issue Yield:
5.97%), 3/15/2026
 
NR/Aa3
 
$   1,258,848
1,820,000




 
State Public School Building
Authority, PA, (Series A),
(School District of York
County Project), 4.85%
(FGIC INS), 2/15/2016
 
AAA/Aaa
 
1,839,820
2,335,000






 
State Public School Building
Authority, PA, Revenue
Bonds, (Butler County
Community College), 5.95%
(AMBAC INS)/(Original
Issue Yield: 6.014%),
7/15/2020
 
AAA/Aaa
 
2,706,802
1,850,000




 
York County, PA, IDA,
Refunding Revenue Bonds,
(Stanley Works Project),
6.25% (Original Issue Yield:
6.35%), 7/1/2002
 
A/A2
 
1,893,956
     



 
    Total  Long-term
    Municipals
    (identified cost
    $79,176,839)
   
84,183,814
     
Shares
 
    
Credit
Rating(5)
 
Value
Mutual Funds--2.3%
          
1,943,337


 
Federated Pennsylvania
Municipal Cash Trust, (Series
IS)
          
$   1,943,337
3,463


 
Federated Pennsylvania
Municipal Cash Trust, (Series
SS)
          
3,463
1

 
Seven Seas Money Market
Fund
          
1
            

 
    Total Mutual Funds
    (at net asset value)
          
1,946,801
        
   


 
    Total Investments
    (identified cost
    $81,123,640)
          
$86,130,615
        
   

(See Notes to Portfolios of Investments)

42

VISION Intermediate Term Bond Fund
Portfolio of Investments
October 31, 2001 (unaudited)

 
Principal
Amount
 
 
Value
   
Asset-Backed Securities--1.6%
 
$3,000,000


 
Honda Auto Lease Trust 1999-A, Class
A5, 6.65%, 7/15/2005
(identified cost $2,990,963)
 
$            3,065,580
   
Collateralized Mortgage Obligations--4.9%
 
9,000,000



 
Federal Home Loan Mortgage Corp.,
(Series 2228), Class PQ, 7.50%,
8/15/2025
(identified cost $8,814,540)
 
9,637,110
   
Corporate Bonds--29.3%
 
1,000,000
 
Alcoa, Inc., Note, 7.25%, 8/1/2005
 
1,089,490
2,000,000

 
American General Finance Corp.,
Note, 5.875%, 7/14/2006
 
2,076,160
2,000,000

 
American Home Products Corp., Note,
6.70%, 3/15/2011
 
2,140,220
2,000,000

 
Associates Corp. of North America,
Sub. Deb., 6.875%, 11/15/2008
 
2,098,580
2,500,000

 
Bank of America Corp., Unsecd. Note,
7.80%, 2/15/2010
 
2,802,350
2,500,000

 
Boeing Capital Corp., Sr. Note, (Series
X), 6.35%, 11/15/2007
 
2,639,100
1,000,000

 
Caterpillar Financial Services Corp.,
Note, 7.59%, 12/10/2003
 
1,083,770
2,000,000

 
Citigroup, Inc., Note, 5.75%,
5/10/2006
 
2,094,780
2,000,000

 
Countrywide Home Loans, Inc., Note,
5.50%, 8/1/2006
 
2,047,840
2,500,000

 
Credit Suisse First Boston, Inc., Note,
5.875%, 8/1/2006
 
2,591,425
2,500,000


 
Federal National Mortgage
Association, Bond, 6.625%,
11/15/2030
 
2,851,225
2,000,000

 
Ford Motor Co., Unsecd. Note,
7.45%, 7/16/2031
 
1,895,580
2,000,000

 
Ford Motor Credit Co., Note, 7.375%,
10/28/2009
 
2,049,440
2,000,000

 
General Motors Acceptance Corp.,
Note, 6.75%, 1/15/2006
 
2,045,460
2,000,000
 
Hertz Corp., Note, 7.40%, 3/1/2011
 
2,007,880
2,500,000

 
Household Finance Corp., Sr. Note,
5.875%, 2/1/2009
 
2,495,450
1,000,000

 
Ingersoll-Rand Co., Note, 6.51%,
12/1/2004
 
1,060,740
1,000,000

 
International Business Machines Corp.,
MTN, 5.40%, 10/1/2008
 
1,001,990
2,500,000

 
Lilly (Eli) & Co., Note, 7.125%,
6/1/2025
 
2,769,100
5,000,000

 
Pennsylvania Power & Light Capital
Funding, Sr. Note, 7.75%, 4/15/2005
 
5,393,450
2,000,000

 
Phillips Petroleum Co., Note, 6.375%,
3/30/2009
 
2,061,580
2,000,000

 
Sprint Capital Corp., Company
Guarantee, 6.90%, 5/1/2019
 
1,862,300
2,000,000

 
Time Warner, Inc., Deb., 7.57%,
2/1/2024
 
2,072,780
2,000,000

 
Tyco International Group, Company
Guarantee, 6.375%, 2/15/2006
 
2,106,500
Principal
Amount
 
 
Value
   
Corporate Bonds--continued
 
$1,000,000

 
Tyco International Group SA, Sr.
Note, 6.25%, 6/15/2003
 
$            1,039,390
2,000,000

 
Walt Disney Co., MTN, 5.50%,
12/29/2006
 
2,043,200
2,000,000

 
WorldCom, Inc., Note, 6.50%,
5/15/2004
 
2,074,700
   

 
    Total Corporate Bonds
    (identified cost $54,797,233)
 
57,494,480
   
Government Agencies--13.0%
 
 
Federal Home Loan Bank--2.3%
 
4,000,000
 
6.500%, 11/13/2009
 
4,462,160
   

 
Federal Home Loan Mortgage
Corporation--9.6%
 
3,000,000
 
5.000%, 5/15/2004
 
3,144,060
8,000,000
 
5.125%, 10/15/2008
 
8,246,560
5,000,000
 
5.375%, 8/16/2006
 
5,161,200
2,000,000
 
6.875%, 1/15/2005
 
2,214,180
   
 
    Total
 
18,766,000
   

 
Federal National Mortgage
Association--1.1%
 
2,000,000
 
7.000%, 7/15/2005
 
2,229,100
   

 
    Total Government Agencies
    (identified cost $24,182,192)
 
25,457,260
   
Mortgage Backed Securities--29.6%
 

 
Federal Home Loan Mortgage
Corporation--8.7%
 
34,939
 
5.500%, 4/1/2014
 
35,714
2,875,509
 
6.000%, 4/1/2016
 
2,959,071
6,641,189
 
6.000%, 7/1/2029
 
6,747,049
6,854,167
 
7.500%, 9/1/2019
 
7,253,628
   
 
    Total
 
16,995,462
   

 
Federal National Mortgage
Association--9.9%
 
4,727,986
 
6.500%, 11/1/2030
 
4,863,915
6,649,841
 
6.500%, 1/1/2031
 
6,836,835
1,649,756
 
7.000%, 12/1/2011
 
1,734,306
5,836,141
 
7.000%, 1/1/2031
 
6,082,368
   
 
    Total
 
19,517,424
   

 
Government National Mortgage
Association--11.0%
 
4,958,973
 
6.000%, 3/20/2031
 
5,019,423
5,889,432
 
6.500%, 1/20/2029
 
6,058,753
4,071,220
 
7.000%, 7/20/2028
 
4,239,157
5,961,587
 
7.000%, 12/15/2028
 
6,228,010
   
 
    Total
 
21,545,343
   

 
    Total Mortgage Backed Securities
    (identified cost $55,641,966)
 
58,058,229
   

43

VISION Intermediate Term Bond Fund
Principal
Amount
 
 
Value
   
U.S. Treasury Obligations--18.9%
 
 
U.S. Treasury Bonds--11.9%
 
$2,500,000
 
6.625%, 2/15/2027
 
$            3,059,050
4,500,000
 
7.250%, 5/15/2004
 
4,992,210
2,000,000
 
7.500%, 11/15/2016
 
2,549,060
3,000,000
 
8.125%, 8/15/2019
 
4,096,590
5,000,000
 
8.125%, 5/15/2021
 
6,902,350
1,000,000
 
10.625%, 8/15/2015
 
1,587,420
   
 
Total
 
23,186,680
   
 
U.S. Treasury Notes--7.0%
 
2,500,000
 
5.500%, 5/31/2003
 
2,625,850
4,000,000
 
6.000%, 8/15/2004
 
4,333,040
3,000,000
 
6.125%, 8/15/2007
 
3,354,420
3,000,000
 
7.000%, 7/15/2006
 
3,434,850
   
 
Total
 
13,748,160
   

 
    Total U.S. Treasury Obligations
    (identified cost $34,276,190)
 
36,934,840
   
    
Shares
 
 
Value
Mutual Funds--2.0%
 
1,165,446

 
SSGA US Government Money Market
Fund
 
$      1,165,446
2,722,792
 
Seven Seas Money Market Fund
 
2,722,792
   

 
    Total Mutual Funds
    (at net asset value)
 
3,888,238
   

 
    Total Investments
    (identified cost $184,591,322)
 
$ 194,535,737
   

(See Notes to Portfolios of Investments)

44

VISION U.S. Government Securities Fund
Portfolio of Investments
October 31, 2001 (unaudited)
Principal
Amount
 
 
Value
Asset-Backed Securities--0.1%
 
$          53,333

 
Guaranteed Export Trust, Class C,
5.200%, 10/15/2004
 
$             55,071
28,888


 
Provident Bank Home Equity Loan
Trust 1996-1, Class A1, 7.600%,
10/25/2012
 
30,310
42,063


 
The Money Store Home Equity Trust
1992-C, Class A1, 6.200%,
10/15/2017
 
42,036
   

 
    Total Asset-Backed Securities
    (identified cost $121,358)
 
127,417
   
Collateralized Mortgage Obligations--5.2%
 

 
Federal Home Loan Mortgage
Corporation--2.3%
 
130,833

 
(Series 141-D), REMIC, 5.000%,
5/15/2021
 
134,084
105,000

 
(Series 1686-PJ), REMIC, 5.000%,
2/15/2024
 
101,694
105,000

 
(Series 1637-GA), REMIC, 5.800%,
6/15/2023
 
110,005
214,122

 
(Series 136-E), REMIC, 6.000%,
4/15/2021
 
223,443
314,000

 
(Series 1534-H), REMIC, 6.000%,
1/15/2023
 
325,945
88,083

 
(Series 112-I), REMIC, 6.500%,
1/15/2021
 
92,860
279,000

 
(Series 1577-PK), REMIC, 6.500%,
9/15/2023
 
295,299
176,000

 
(Series 1644-K), REMIC, 6.750%,
12/15/2023
 
187,224
58,000

 
(Series 33-H), REMIC, 7.500%,
6/25/2023
 
62,892
360,321

 
(Series 126-A), REMIC, 9.000%,
3/15/2005
 
400,383
383,238

 
(Series 6-C), REMIC, 9.050%,
6/15/2019
 
424,931
   
 
    Total
 
         2,358,760
   

 
Federal National Mortgage
Association--2.9%
 
66,906

 
(Series L-DC), REMIC, 5.000%,
1/1/2006
 
67,767
42,000

 
(Series 1993-38-L), REMIC, 5.000%,
8/25/2022
 
43,164
152,000

 
(Series 1994-3-PL), REMIC, 5.500%,
1/25/2024
 
152,588
874,000

 
(Series 1992-136-PJ), REMIC,
6.000%, 5/25/2021
 
895,736
111,000

 
(Series 1993-198-K), REMIC, 6.000%,
12/25/2022
 
115,985
26,000

 
(Series 1993-160-PK), REMIC,
6.500%, 11/25/2022
 
27,772
175,000

 
(Series 1993-223-C), REMIC, 6.500%,
5/25/2023
 
188,001
415,000

 
(Series 1993-113-PK), REMIC,
6.500%, 7/25/2023
 
442,531
Principal
Amount
 
 
Value
Collateralized Mortgage Obligations--continued
 

 
Federal National Mortgage
Association--continued
 
$       554,000

 
(Series 1993-127-H), REMIC,
6.500%, 7/25/2023
 
$          586,287
155,000

 
(Series 1993-202-J), REMIC, 6.500%,
11/25/2023
 
164,489
181,000

 
(Series 1994-55-H), REMIC, 7.000%,
3/25/2024
 
197,543
14,656

 
(Series G93-1-HA), REMIC, 7.500%,
2/25/2021
 
14,848
   
 
    Total
 
2,896,711
   


 
    Total Collateralized Mortgage
    Obligations (identified cost
    $4,693,520)
 
5,255,471
   
Commercial Paper--3.5%
 
3,500,000

 
Prudential Funding Corp., 2.350%,
11/13/2001 (at amortized cost)
 
3,500,000
   
Corporate Bonds--24.2%
 
750,000

 
American Heavy Lift Shipping, 7.180%,
6/1/2017
 
858,210
1,195,000

 
Associates Corp. of North America,
6.375%, 11/15/2005
 
1,260,737
500,000
 
Bay State Gas Co., 9.200%, 6/6/2011
 
612,385
1,000,000
 
Boeing Co., 6.625%, 2/15/2038
 
973,020
100,000

 
Countrywide Mortgage Investments,
6.510%, 2/11/2005
 
105,862
450,000

 
Countrywide Mortgage Investments,
7.200%, 10/30/2006
 
489,955
800,000

 
Delmarva Power and Light Co.,
8.500%, 2/1/2022
 
888,024
3,300,000

 
El Salvado Aid, Government of,
6.530%, 7/1/2007
 
3,542,550
700,000
 
Ford Motor Co., 9.215%, 9/15/2021
 
788,557
59,000

 
Fortune Brands, Inc., 8.625%,
11/15/2021
 
68,613
150,000

 
GTE North, Inc., 8.500%,
12/15/2031
 
165,948
100,000

 
General Electric Capital Corp., 8.300%,
9/20/2009
 
119,905
1,000,000

 
Household Finance Corp., 6.375%,
10/15/2011
 
1,012,790
50,000
 
Loews Corp., 8.875%, 4/15/2011
 
58,052
150,000
 
Monsanto Co., 6.110%, 2/3/2005
 
156,437
1,270,148
 
NYNEX Corp., 9.550%, 5/1/2010
 
1,503,207
500,000

 
New Plan Realty Trust, 6.800%,
5/15/2002
 
507,055
1,000,000

 
(2)Ohio National Life Insurance Co.,
8.500%, 5/15/2026
 
1,064,770
307,000

 
Philip Morris Cos., Inc., 8.375%,
1/15/2017
 
321,583
1,000,000

 
Potomac Edison Co., 8.000%,
6/1/2006
 
1,011,140
60,000

 
Potomac Electric Power Co., 8.500%,
5/15/2027
 
65,760

45

VISION U.S. Government Securities Fund
Principal
Amount
 
 
Value
Corporate Bonds--continued
 
$       125,000

 
Public Service Co. Colorado, 8.750%,
3/1/2022
 
$          137,839
4,782,603

 
Puerto Quetzal Power LLC, 6.470%,
6/15/2012
 
5,177,234
1,000,000

 
Travelers Property & Casualty Corp.,
6.750%, 11/15/2006
 
1,070,640
960,000

 
Vessel Management Service, 6.750%,
7/15/2025
 
1,119,293
1,000,000
 
Wachovia Corp., 4.950%, 11/1/2006
 
1,002,700
370,000

 
Weingarten Realty Investors, 6.650%,
7/12/2027
 
390,306
   

 
    Total Corporate Bonds
    (identified cost $22,909,905)
 
   24,472,572
   
Government Agencies--17.6%
 

 
Department of Housing and Urban
Development--2.5%
 
270,000
 
6.760%, 8/1/2006
 
281,151
360,000
 
6.930%, 8/1/2009
 
371,102
500,000
 
7.140%, 8/1/2007
 
549,390
1,200,000
 
7.660%, 8/1/2015
 
1,287,372
   
 
Total
 
2,489,015
   

 
Federal Home Loan Mortgage
Corporation--0.3%
 
175,000
 
6.943%, 3/21/2007
 
197,152
59,525
 
9.875%, 3/15/2009
 
64,804
8,582
 
10.250%, 3/15/2009
 
9,315
   
 
    Total
 
271,271
   

 
Federal National Mortgage
Association--0.1%
 
53,000
 
5.125%, 2/13/2004
 
55,562
   

 
Overseas Private Investment
Corporation--3.7%
 
3,500,000
 
6.600%, 5/21/2016
 
3,744,160
   

 
Private Export Funding
Corporation--0.6%
 
500,000
 
6.490%, 7/15/2007
 
557,337
75,000
 
7.950%, 11/1/2006
 
83,810
   
 
    Total
 
641,147
   
 
Small Business Administration--9.1%
671,675
 
5.600%, 9/1/2008
 
699,283
618,252
 
6.200%, 11/1/2007
 
650,460
664,799
 
6.700%, 3/1/2016
 
709,450
1,520,764
 
6.700%, 12/1/2016
 
1,623,335
3,846,976
 
6.950%, 11/1/2016
 
4,142,154
149,584
 
7.300%, 5/1/2017
 
163,170
152,007
 
7.300%, 9/1/2019
 
166,580
53,393
 
8.850%, 8/1/2011
 
58,940
402,984
 
9.250%, 2/1/2008
 
442,101
514,523
 
9.650%, 5/1/2010
 
568,949
   
 
    Total
 
9,224,422
   
 
Tennessee Valley Authority--1.3%
 
1,320,574
 
7.430%, 4/1/2022
 
1,352,452
   

 
    Total Government Agencies
    (identified cost $15,475,759)
 
17,778,029
   
Principal
Amount
 
 
Value
 
Mortgage Backed Securities--10.5%
 
 

   
Federal Home Loan Mortgage
Corporation--3.3%
 
 
$108,291
   
7.000%, 11/1/2007
 
$          111,473
 
90,501
   
7.000%, 7/1/2008
 
93,386
 
218,169
   
7.000%, 8/1/2008
 
225,124
 
204,160
   
7.000%, 11/1/2008
 
211,179
 
81,761
   
7.000%, 11/1/2010
 
86,121
 
86,939
   
7.000%, 11/1/2017
 
91,884
 
6,971
   
7.250%, 1/1/2005
 
7,136
 
22,733
   
7.250%, 11/1/2009
 
23,190
 
17,651
   
7.500%, 7/1/2007
 
18,285
 
124,396
   
7.500%, 3/1/2008
 
128,866
 
59,446
   
7.500%, 6/1/2008
 
61,805
 
19,097
   
7.500%, 11/1/2009
 
19,819
 
52,833
   
7.500%, 12/1/2010
 
54,830
 
16,972
   
7.500%, 3/1/2017
 
17,911
 
417,984
   
7.500%, 8/1/2017
 
442,277
 
7,857
   
8.000%, 5/1/2002
 
7,967
 
3,190
   
8.000%, 5/1/2006
 
3,291
 
156,677
   
8.000%, 11/1/2006
 
163,287
 
4,434
   
8.000%, 3/1/2007
 
4,606
 
30,366
   
8.000%, 9/1/2007
 
31,647
 
248,492
   
8.000%, 11/1/2008
 
259,751
 
12,349
   
8.000%, 1/1/2010
 
12,828
 
36,584
   
8.000%, 12/1/2010
 
38,242
 
20,916
   
8.250%, 12/1/2007
 
21,982
 
5,587
   
8.250%, 5/1/2008
 
5,691
 
27,639
   
8.250%, 5/1/2009
 
29,215
 
41,061
   
8.250%, 8/1/2009
 
43,402
 
4,522
   
8.500%, 6/1/2002
 
4,558
 
85,639
   
8.500%, 7/1/2004
 
87,922
 
3,015
   
8.500%, 4/1/2006
 
3,071
 
40,020
   
8.500%, 9/1/2009
 
42,059
 
887,777
   
8.500%, 8/1/2017
 
961,019
 
3,158
   
8.750%, 8/1/2008
 
3,309
 
2,547
   
9.000%, 3/1/2002
 
2,563
 
4,556
   
9.000%, 9/1/2019
 
5,017
 
40,649
   
9.250%, 6/1/2002
 
41,009
       
     
    Total
 
         3,365,722
       
 

   
Federal National Mortgage
Association--1.5%
 
 
329,424
   
6.000%, 5/1/2009
 
342,703
 
29,914
   
6.000%, 1/1/2014
 
30,725
 
33,517
   
6.500%, 4/1/2004
 
34,008
 
1,726
   
6.750%, 12/1/2006
 
1,738
 
105,544
   
7.000%, 8/1/2005
 
107,890
 
35,078
   
7.500%, 11/1/2009
 
36,505
 
276,481
   
7.500%, 2/1/2014
 
285,898
 
7,376
   
8.000%, 4/1/2002
 
7,435
 
100,153
   
8.000%, 1/1/2006
 
103,314
 
87,307
   
8.000%, 1/1/2010
 
91,484
 
153,084
   
8.000%, 6/1/2008
 
159,002
 
85,611
   
8.000%, 8/1/2021
 
91,561
 
62,464
   
8.250%, 7/1/2009
 
65,842
 
13,308
   
8.500%, 10/1/2002
 
13,477
 
23,992
   
8.500%, 3/1/2012
 
25,649
 
49,003
   
8.750%, 5/1/2010
 
52,624
 
5,596
   
9.000%, 12/1/2002
 
5,704

46

VISION U.S. Government Securities Fund
Principal
Amount
 
 
Value
Mortgage Backed Securities--continued
 

 
Federal National Mortgage
Association--continued
 
$          26,546
 
9.000%, 10/1/2006
 
$             27,754
41,904
 
9.750%, 9/1/2017
 
46,527
   
 
    Total
 
         1,529,840
   

 
Government National Mortgage
Association--5.7%
 
9,755
 
6.500%, 9/15/2002
 
9,795
8,158
 
6.500%, 10/15/2002
 
8,192
10,611
 
6.500%, 12/15/2002
 
10,654
73,723
 
6.500%, 12/15/2003
 
74,461
9,377
 
7.250%, 2/15/2005
 
9,720
43,703
 
7.250%, 3/15/2005
 
45,303
48,400
 
7.250%, 5/15/2005
 
50,276
7,809
 
7.250%, 7/15/2005
 
8,112
3,846
 
7.250%, 10/15/2005
 
3,995
14,114
 
7.250%, 11/15/2005
 
14,661
21,939
 
7.250%, 4/15/2006
 
22,842
21,449
 
7.500%, 12/15/2005
 
22,394
43,443
 
7.500%, 4/15/2007
 
45,447
48,706
 
7.500%, 5/15/2007
 
50,953
23,531
 
7.500%, 6/15/2007
 
24,666
18,913
 
7.500%, 6/20/2007
 
20,084
17,995
 
8.000%, 6/15/2006
 
18,743
8,535
 
8.000%, 8/15/2006
 
8,920
24,463
 
8.000%, 9/15/2006
 
25,567
105,531
 
8.000%, 11/15/2006
 
110,292
452,460
 
8.000%, 9/15/2007
 
474,477
87,687
 
8.000%, 10/15/2007
 
92,337
51,909
 
8.000%, 12/15/2009
 
54,796
85,263
 
8.000%, 2/15/2010
 
90,539
92,845
 
8.000%, 12/15/2016
 
99,671
15,375
 
8.000%, 7/15/2024
 
16,398
64,247
 
8.250%, 6/15/2008
 
67,889
37,834
 
8.375%, 4/15/2010
 
40,175
258,238
 
8.500%, 9/15/2008
 
274,943
2,768,786
 
8.500%, 10/15/2008
 
2,946,154
96,435
 
8.500%, 10/20/2009
 
102,162
55,393
 
8.500%, 11/15/2017
 
60,344
1,149
 
8.750%, 2/15/2002
 
1,156
44,537
 
9.000%, 10/15/2008
 
48,114
74,081
 
9.000%, 9/15/2016
 
81,350
93,099
 
9.000%, 11/15/2016
 
102,161
187,424
 
9.000%, 2/15/2017
 
205,668
248,379
 
9.000%, 4/20/2023
 
266,774
89,045
 
9.000%, 10/20/2024
 
94,165
   
 
    Total
 
5,704,350
   

 
    Total Mortgage Backed Securities
    (identified cost $11,435,087)
 
10,599,912
   
Principal
Amount
or Shares
 
 
Value
Long-Term Municipals--7.5%
 
$   1,374,160

 
Arkansas Development Finance
Authority, 9.750%, 11/15/2005
 
$      1,501,847
1,375,000


 
Boston, MA, U.S. Government
Guaranteed Notes, 6.930%,
8/1/2008
 
         1,426,741
225,000

 
Chicago, IL, Public Building
Commission, 7.000%, 1/1/2007
 
253,303
250,000

 
Connecticut Development Authority,
8.550%, 8/15/2008
 
277,440
265,000


 
Connecticut Municipal Electric
Energy Cooperative, 5.700%,
1/1/2004
 
275,979
15,000

 
Connecticut State HEFA, 7.070%,
11/1/2001
 
15,000
100,000

 
Orlando, FL, Aviation Authority,
8.250%, 10/1/2004
 
112,495
190,000
 
Miami, FL, 8.650%, 7/1/2019
 
235,359
3,100,000

 
Minneapolis/St. Paul, MN Airport
Commission, 8.950%, 1/1/2022
 
3,263,649
80,000

 
New York City, NY, 9.900%,
2/1/2015
 
83,006
100,000

 
New York City, NY, 10.500%,
11/15/2012
 
102,295
   

 
    Total Long-term Municipals
    (identified cost $7,713,891)
 
7,547,114
   
U.S. Treasury Obligations--29.3%
 
 
U.S. Treasury Bonds--23.6%
 
13,000,000
 
13.750%, 8/15/2004
 
16,726,970
6,000,000
 
6.375%, 8/15/2027
 
7,147,200
   
 
    Total
 
23,874,170
   
 
U.S. Treasury Note--5.7%
 
5,493,500
 
3.625%, 1/15/2008
 
5,737,302
   

 
    Total U.S. Treasury Obligations
    (identified cost $28,681,578)
 
29,611,472
   
Mutual Fund--1.8%
 
1,789,138

 
Seven Seas Money Market Fund
(at net asset value)
 
1,789,138
   
(7)Repurchase Agreement--3.6%
 
$3,580,000


 
State Street Corp., 2.510%, dated
10/31/2001, due 11/1/2001
(at amortized cost)
 
3,580,000
   

 
    Total Investments
    (identified cost $99,900,236)
 
$ 104,261,125
   
 

(See Notes to Portfolios of Investments)

47

VISION New York Tax-Free Money Market Fund
Portfolio of Investments
October 31, 2001 (unaudited)

 
Principal
Amount
 
 
Value
(4)Short-Term Municipals--99.2%
 
 
New York--98.7%
 
$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 N.V.,
Amsterdam LIQ)
 
$      1,455,000
795,000

 
Albion, NY, CSD, 4.00%, (MBIA INS),
6/1/2002
 
799,968
3,000,000

 
Bath, NY, CSD, 3.20% BANs,
6/18/2002
 
3,005,854
2,050,000


 
Chautauqua County, NY, IDA, IDRB,
Weekly VRDNs, (Belknap Business
Forms)/(KeyBank, N.A. LOC)
 
2,050,000
1,395,000

 
Chemung County, NY, 3.125% BANs,
8/15/2002
 
1,401,975
1,900,000


 
Dutchess County, NY, IDA, (Series
1998A), Weekly VRDNs, (Marist
College)/(Bank of New York LOC)
 
1,900,000
3,000,000

 
East Moriches, NY, Union Free School
District, 3.125% BANs, 7/17/2002
 
3,006,701
1,695,000


 
Erie County, NY, IDA, (Series 1998),
Weekly VRDNs, (B & G Properties,
LLC)/(HSBC Bank USA LOC)
 
1,695,000
2,000,000
 
Erwin, NY, 4.10% BANs, 12/27/2001
 
2,000,145
2,960,000

 
Fairport, NY, CSD, 3.50% RANs,
6/28/2002
 
2,968,465
3,563,000

 
Falconer, NY, CSD, 4.75% BANs,
11/21/2001
 
3,563,579
1,321,700

 
Fayetteville-Manlius, NY, CSD, 4.75%
BANs, 11/16/2001
 
1,321,882
4,494,000

 
Fredonia, NY, CSD, 4.50% BANs,
12/13/2001
 
4,494,990
2,000,000

 
Freeport, NY, Union Free School
District, 3.25% TANs, 6/27/2002
 
      2,012,842
2,625,000



 
Herkimer County, NY, IDA, Civic Facility
Revenue Bonds, (Series 2000), Weekly
VRDNs, (Templeton Foundation)/
(KeyBank, N.A. LOC)
 
2,625,000
900,000

 
Homer, NY, CSD, 3.25% RANs,
6/28/2002
 
902,470
3,500,000

 
Islip, NY, Union Free School District,
3.125% TANs, 6/27/2002
 
3,507,210
1,375,000



 
Long Island Power Authority, Floater
Certificates, (Series 1998-66), Weekly
VRDNs, (MBIA INS)/(Morgan Stanley,
Dean Witter & Co. LIQ)
 
1,375,000
2,400,000


 
Long Island Power Authority, PA-513R,
Weekly VRDNs, (FSA INS)/(Merrill
Lynch & Co., Inc. LIQ)
 
2,400,000
1,445,000


 
Long Island Power Authority, PA-807R,
Weekly VRNDs, (FSA INS)/(Merrill
Lynch & Co., Inc. LIQ)
 
1,445,000
2,800,000


 
Long Island Power Authority, (Series 1A),
Weekly VRDNs, (Bayerische Hypotheken-
und Vereinsbank AG LOC)
 
2,800,000
Principal
Amount
 
 
Value
(4)Short-Term Municipals--continued
 
New York--continued
 
$600,000


 
Long Island Power Authority, (Series 3A),
Weekly VRDNs, (Morgan Guaranty Trust
Co., New York LOC)
 
$    600,000
1,168,800

 
Mamaroneck Village, NY, 3.50% BANs,
2/7/2002
 
1,169,099
8,300,000



 
Metropolitan Transportation Authority,
NY, MERLOTS, (Series 1997P), Weekly
VRDNs, (FGIC INS)/(First Union
National Bank, Charlotte, NC 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
2,000,000



 
New York City Municipal Water Finance
Authority, (Series 4), 2.20% CP
(Westdeutsche Landesbank Girozentrale
LOC), Mandatory Tender 1/10/2002
 
2,000,000
1,400,000



 
New York City Municipal Water Finance
Authority, Trust Receipts, (Series 1997
FR/RI-6), Weekly VRDNs, (MBIA INS)/
(Bank of New York LIQ)
 
1,400,000
6,000,000




 
New York City, NY, IDA, Civic Facility
Revenue Bonds, (Series 2000), Weekly
VRDNs, (Columbia Grammar &
Preparatory School)/(Allied Irish Banks
PLC LOC)
 
6,000,000
2,200,000


 
New York City, NY, IDA, Revenue Bonds,
Weekly VRDNs, (Children's Oncology
Society)/(Bank of New York LOC)
 
2,200,000
3,600,000




 
New York City, NY, IDA, (Series 2000),
Weekly VRDNs, (National Center on
Addiction and Substance Abuse at
Columbia University)/(Chase Manhattan
Bank N.A., New York 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
6,700,000



 
New York City, NY,
(PA-156), Weekly VRDNs, (Merrill Lynch
& Co., Inc. LIQ)/(Merrill Lynch & Co.,
Inc. LOC)
 
6,700,000
830,000

 
New York City, NY, (Series C), 4.10%,
8/15/2002
 
837,951
3,500,000



 
New York City, NY, Transitional Finance
Authority, (Series A, Subseries A-1),
Weekly VRDNs, (Commerzbank AG,
Frankfurt LIQ)
 
3,500,000
1,000,000


 
New York City, NY, Transitional Finance
Authority, (Series A, Subseries A-1), Weekly
VRDNs, (Societe Generale, Paris LIQ)
 
1,000,000
2,500,000


 
New York City, NY, Transitional Finance
Authority, NYC Recovery Notes (Fiscal
2002 Series A), 3.25% BANs, 10/2/2002
 
2,525,148

48

VISION New York Tax-Free Money Market Fund
Principal
Amount
 
 
Value
(4)Short-Term Municipals--continued
 
New York--continued
 
$1,700,000



 
New York City, NY, Transitional Finance
Authority, Trust Receipts (Series 2001
FR/RI-L29), Weekly VRDNs, (Lehman
Brothers, Inc. LIQ)
 
$1,700,000
1,500,000




 
New York City Trust For Cultural
Resources, (Series 2000), Weekly
VRDNs, (Manhattan School of Music)/
(Asset Guaranty INS)/(First Union
National Bank, Charlotte, NC LIQ)
 
1,500,000
3,000,000



 
New York State Dormitory Authority,
MERLOTS, (Series 2001-A30), Weekly
VRDNs, (AMBAC INS)/(First Union
National Bank, Charlotte, NC LIQ)
 
      3,000,000
1,950,000



 
New York State Dormitory Authority,
(PA-60), (Series 1993), Weekly VRDNs,
(Rochester General Hospital)/(FHA
INS)/(Merrill Lynch & Co., Inc. LIQ)
 
1,950,000
4,510,000




 
New York State Energy Research &
Development Authority, PCRB, (Series B),
Weekly VRDNs, (Rochester Gas & Electric
Corp.)/(MBIA INS)/(Credit Suisse First
Boston LIQ)
 
4,510,000
1,200,000




 
New York State Energy Research &
Development Authority, PCRB, (Series
1987 B), Daily VRDNs, (Niagara
Mohawk Power Corp.)/(Morgan
Guaranty Trust Co., New York LOC)
 
1,200,000
2,000,000


 
New York State HFA, (Series 2000A),
Weekly VRDNs, (1501 Associates)/
(FHLB of New York LOC)
 
2,000,000
3,669,000


 
New York State HFA, (Series A), Weekly
VRDNs, (Special Surgery Staff)/(Chase
Manhattan Bank N.A., New York LOC)
 
3,669,000
2,200,000



 
New York State Local Government
Assistance Corp., (Series 1995B), Weekly
VRDNs, (Bank of Nova Scotia, Toronto
LOC)
 
2,200,000
2,500,000


 
New York State Local Government
Assistance Corp., (Series 1995F), Weekly
VRDNs, (Toronto Dominion Bank LOC)
 
2,500,000
       600,000



 
New York State Medical Care Facilities
Finance Agency, Weekly VRDNs, (Pooled
Loan Program)/(Chase Manhattan Bank
N.A., New York LOC)
 
       600,000
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)
 
2,530,000
6,000,000


 
New York State Thruway Authority, (PA-
532), Weekly VRDNs, (Merrill Lynch &
Co., Inc. LIQ)
 
6,000,000
Principal
Amount
 
 
Value
(4)Short-Term Municipals--continued
 
New York--continued
 
$3,555,000



 
New York State Thruway Authority, (PT-
1141), 3.40% TOBs (Merrill Lynch &
Co., Inc. LIQ), Optional Tender
2/7/2002
 
$3,555,000
1,800,000



 
Niagara Falls, NY Bridge Commission,
Revenue Bonds, (Series 1993A), Weekly
VRDNs, (FGIC INS)/(Dexia Credit
Local De France LIQ)
 
1,800,000
2,923,000



 
Onondaga County, NY IDA, (Series
1999A), Weekly VRDNs, (Christian
Brothers Academy of Syracuse, NY)/
(KeyBank, N.A. LOC)
 
2,923,000
900,000

 
Owego-Apalachin, NY CSD, 3.50%
BANs, 4/5/2002
 
901,105
4,000,000


 
Port Authority of New York and New
Jersey, Port Authority Equipment Note
Agreement 2001-2, Weekly VRDNs
 
4,000,000
1,500,000



 
Riverhead, NY, IDA, IDRB, (Series
1998), Weekly VRDNs, (Altaire
Pharmaceuticals, Inc.)/(Mellon Bank
N.A., Pittsburgh LOC)
 
      1,500,000
2,220,000



 
Seneca County, NY, IDA, (Series 2000),
Weekly VRDNs, (Kidspeace National
Centers of New York, Inc.)/(KeyBank,
N.A. LOC)
 
2,220,000
940,000


 
Seneca County, NY, IDA, Weekly VRDNs,
(New York Chiropractic College)/(Fleet
National Bank N.A., LOC)
 
940,000
5,750,000

 
St. Lawrence County, NY, IDA, (Series
1998A), Weekly VRDNs, (Alcoa, Inc.)
 
5,750,000
3,095,000


 
Suffolk County, NY, IDA, (Series
1997B), Weekly VRDNs, (Maryhaven
Center of Hope)/(KeyBank, N.A. LOC)
 
3,095,000
3,000,000

 
Sullivan West, NY, CSD, 3.05% BANs,
6/21/2002
 
3,004,264
5,500,000



 
Triborough Bridge & Tunnel Authority,
NY, 1991 Resolution, (Series 2000A),
Weekly VRDNs, (FSA INS)/(Morgan
Guaranty Trust Co., New York LIQ)
 
5,500,000
3,000,000



 
Triborough Bridge & Tunnel Authority,
NY, Trust Receipt, (Series 2000 FR/RI-
N16), 2.70% TOBs (Bank of New York
LIQ), Optional Tender 11/1/2001
 
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
5,600,000




 
VRDC/IVRC Trust, (Series 1992A),
Weekly VRDNs, (New York City
Municipal Water Finance Authority)/
(MBIA INS)/(Citibank N.A., New York
LIQ)
 
      5,600,000

49

VISION New York Tax-Free Money Market Fund
Principal
Amount
 
 
Value
(4)Short-Term Municipals--continued
 
New York--continued
 
$1,100,000



 
VRDC/IVRC Trust, (Series 1993B),
Weekly VRDNs, (Metropolitan
Transportation Authority, NY)/(AMBAC
INS)/(Citibank N.A., New York LIQ)
 
$1,100,000
1,400,000



 
VRDC/IVRC Trust, (Series 1993G),
Weekly VRDNs, (St. Lukes Roosevelt
Hospital Center)/(FHA INS)/(Chase
Manhattan Bank N.A., New York LIQ)
 
1,400,000
1,520,500

 
Vestal, NY, CSD, 3.20% BANs,
5/17/2002
 
1,521,690
2,000,000
 
Vestal, NY, 3.25% BANs, 7/19/2002
 
2,005,528
2,000,000

 
West Babylon, NY, Union Free School
District, 3.25% BANs, 8/9/2002
 
2,007,483
Principal
Amount
 
 
Value
(4)Short-Term Municipals--continued
 
New York--continued
 
$1,649,355




 
Yonkers, NY, IDA, Civic Facility Revenue
Bonds, (Series 1994), Weekly VRDNs,
(Consumers Union Facility)/(AMBAC
INS)/
(Dexia Credit Local de France LIQ)
 
$    1,649,355
   
 
    Total
 
189,024,704
   
 
Puerto Rico--0.5%
 
978,959





 
Commonwealth of Puerto Rico,
Municipal Revenues Collection Center,
1997A LeaseTOPS Trust, Weekly
VRDNs, (ABN AMRO Bank N.V.,
Amsterdam LIQ)/(State Street Bank and
Trust Co. LOC)
 
978,959
   

 
    Total Investments
    (at amortized cost)
 
$190,003,663
   

50

VISION Money Market Fund
Portfolio of Investments
October 31, 2001 (unaudited)

 
Principal
Amount
 
 
Value
(3)Corporate Obligations--66.1%
 
 
Banking--6.0%
 
$   61,000,000




 
Toronto Dominion Holdings
(USA), Inc., (Guaranteed by
Toronto Dominion Bank),
3.430%-4.810%,
11/16/2001-2/5/2002
 
$       60,556,333
50,000,000

 
Wells Fargo & Co., 2.400%,
1/29/2002
 
49,703,333
   
 
    Total
 
110,259,666
   
 
Chemicals--2.4%
 
45,000,000

 
Dow Chemical Co., 2.260%,
12/10/2001
 
44,889,825
   
 
Diversified--4.3%
 
80,000,000


 
General Electric Capital Corp.,
3.310%-3.480%,
3/4/2002-4/26/2002
 
78,924,142
   
 
Financial Retail--4.1%
 
75,000,000


 
American Express Credit Corp.,
2.290%-2.330%,
11/20/2001-12/11/2001
 
74,874,903
   
 
Financial Services--17.3%
 
50,000,000
 
Citicorp, 2.550%, 11/7/2001
 
49,978,750
75,000,000


 
IBM Credit Corp., (International
Business Machines Corp. Support
Agreement), 2.470%, 11/1/2001
 
75,000,000
90,000,000

 
(6)Morgan Stanley, Dean Witter &
Co., 2.675%, 11/1/2001
 
90,000,000
68,000,000

 
Nestle Capital Corp., 3.540%,
11/2/2001
 
67,993,313
36,000,000

 
Verizon Global Funding, 3.280%,
11/5/2001
 
35,986,880
   
 
    Total
 
318,958,943
   
 
Food & Beverage--4.4%
 
22,000,000

 
Coca-Cola Co., 3.360%,
11/21/2001
 
21,958,933
60,000,000

 
Kraft Foods, Inc., 2.420%,
11/5/2001
 
59,983,867
   
 
    Total
 
81,942,800
   
 
Insurance--12.6%
 
35,000,000

 
American General Corp., 3.520%,
1/28/2002
 
34,698,845
45,000,000

 
American General Finance Corp.,
3.590%, 11/13/2001
 
44,946,150
85,000,000


 
Prudential Funding LLC,
2.250%-2.470%,
11/9/2001-12/3/2001
 
84,880,789
Principal
Amount
 
 
Value
(3)Corporate Obligations--continued
 
 
Insurance--continued
 
$   67,000,000


 
Transamerica Finance Corp.,
2.250%-2.290%,
12/14/2001-3/18/2002
 
$       66,687,339
   
 
    Total
 
231,213,123
   
 
News & Publishing--4.1%
 
75,000,000

 
Gannett Co., Inc., 2.500%,
11/6/2001
 
74,973,958
   
 
Oil--6.8%
 
45,000,000

 
BP Amoco Capital PLC, 2.230%,
4/3/2002
 
44,573,513
80,000,000

 
Texaco, Inc., 2.280%,
11/28/2001
 
79,863,200
   
 
    Total
 
124,436,713
   
 
Retail--4.1%
 
75,000,000

 
Wal-Mart Stores, Inc., 2.450%,
11/2/2001
 
74,994,896
   
 
    Total Corporate Obligations
 
1,215,468,969
   
(3) U.S. Government Agencies--31.6%
 

 
Federal National Mortgage
Association--18.1%
 
50,000,000
 
3.820%, 11/8/2001
 
49,962,861
30,000,000
 
3.630%, 12/6/2001
 
29,894,125
45,000,000
 
2.290%%, 12/14/2001
 
44,876,913
75,000,000
 
3.290%, 2/21/2002
 
74,232,333
36,000,000
 
2.155%, 4/19/2002
 
35,635,805
100,000,000
 
2.320%, 6/27/2002
 
98,466,222
   
 
    Total
 
333,068,259
   

 
Federal Home Loan Mortgage
Corp.--9.4%
 
52,000,000
 
3.33%, 12/6/2001
 
51,831,650
47,000,000
 
3.48%, 1/30/2002
 
46,591,100
75,000,000
 
3.46%, 3/15/2002
 
74,034,083
   
 
    Total
 
172,456,833
   

 
Federal Home Loan Bank
System--4.1%
 
75,000,000
 
2.040%, 1/23/2002
 
74,647,250
   

 
    Total U.S. Government
    Agencies
 
580,172,342
   
(7)Repurchase Agreement--2.4%
 
44,395,300

 
State Street Corp., 2.510%, dated
10/31/2001, due 11/1/2001
 
44,395,300
   

 
    Total Investments
    (at amortized cost)
 
$ 1,840,036,611
   

(See Notes to Portfolios of Investments)

51

VISION Treasury Money Market Fund
Portfolio of Investments
October 31, 2001 (unaudited)
Principal
Amount
 
 
Value
U.S. Treasury Obligations--48.0%
 
 
U.S. Treasury Bills--33.2%
 
$275,000,000


 
United States Treasury Bills,
2.155%-3.516%,
11/8/2001-4/11/2002
 
$273,222,966
 
U.S. Treasury Notes--14.8%
 
120,000,000


 
United States Treasury
Notes, 5.875%-7.500%,
11/15/2001-7/31/2002
 
121,659,580
   
 
    Total U.S. Treasury Obligations
 
394,882,546
   
Principal
Amount
 
 
Value
(7)Repurchase Agreements--51.8%
 
$195,000,000


 
Credit Suisse First Boston Corp.,
2.540%, dated 10/31/2001,
due 11/1/2001
 
$195,000,000
35,000,000


 
Goldman Sachs Group, LP,
2.400%, dated 10/31/2001,
due 11/7/2001
 
35,000,000
35,000,000


 
Lehman Brothers, Inc.,
2.450%, dated 10/29/2001,
due 11/5/2001
 
35,000,000
30,000,000


 
J.P. Morgan & Co., Inc.,
2.400%, dated 10/31/2001,
due 11/7/2001
 
30,000,000
131,250,200

 
State Street Corp., 2.510%, dated
10/31/2001, due 11/1/2001
 
131,250,200
   
 
    Total Repurchase Agreements
 
426,250,200
   

 
    Total Investments
    (at amortized cost)
 
$821,132,746
   

(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, 2001.
 
(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, 2001, these securities amounted to $22,155 and $1,064,770 which represent 0.1% and 1.1% of net assets for International Equity Fund and U.S. Government Securities 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, 2001, 6.4%, 1.6% and 9.3% of the total investments at market value were subject to alternative minimum tax for New York Municipal Income, Pennsylvania Municipal Income and New York Tax-Free Money Market, 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 which show current rate and next demand date shown.
(7)
 
The repurchase agreements are fully collateralized by U.S. Treasury obligations based on market prices at October 31, 2001.
 
The following acronyms are used throughout this report:
 
ADR--American Depositary Receipt
AMBAC--American Municipal Bond Assurance Corporation
AMT--Alternative Minimum Tax
BANs--Bond Anticipation Notes
CAPMAC--Capital Municipal Assurance Corporation
COL--Collateralized
CP--Commercial Paper
CSD--Central School District
FGIC--Financial Guaranty Insurance Corporation
FHA--Federal Housing Administration
FHLB--Federal Home Loan Bank
FHLMC--Federal Home Loan Mortgage Corporation
FNMA--Federal National Mortgage Association
FSA--Financial Security Assurance
GNMA--Government National Mortgage Association
GO--General Obligation
HFA--Housing Finance Authority
    
IDA--Industrial Development Authority
IDRB--Industrial Development Revenue Bond
INS--Insured
LIQ--Liquidity Agreement
LOC--Letter of Credit
MBIA--Municipal Bond Insurance Association
MERLOTS--Municipal Exempt Receipts--Liquidity Optional Tender Series
MTN--Medium Term Note
PCA--Pollution Control Authority
PCRB--Pollution Control Revenue Bonds
RANs--Revenue Anticipation Notes
REMIC--Real Estate Mortgage Investment Conduit
TANs--Tax Anticipation Notes
TOBs--Tender Option Bonds
UT--Unlimited Tax
VA--Veterans Administration
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
    
$    52,073,993
      
$  (3,573,430
)
      
$  1,358,013
      
$  4,931,443
    
$     40,262,996
Small Cap Stock Fund
    
72,433,447
      
26,708,234
      
30,126,055
      
3,417,821
    
100,731,873
Mid Cap Stock Fund
    
99,643,225
      
2,526,761
      
10,433,385
      
7,906,624
    
103,779,312
Large Cap Growth Fund
    
14,398,995
      
(541,651
)
      
580,537
      
1,122,188
    
13,878,978
Large Cap Core Fund
    
128,536,912
      
26,791,226
      
38,971,101
      
12,179,875
    
158,908,427
Large Cap Value Fund
    
40,696,642
      
(3,685,070
)
      
1,657,512
      
5,342,582
    
36,615,042
Managed Allocation Fund--Aggressive Growth
    
2,836,758
      
(370,934
)
      
6,731
      
377,665
    
2,478,871
Managed Allocation Fund--Moderate Growth
    
4,308,302
      
(229,256
)
      
39,722
      
268,978
    
4,125,509
Managed Allocation Fund--Conservative Growth
    
1,337,568
      
(12,858
)
      
22,497
      
35,355
    
1,362,638
New York Municipal Income Fund
    
75,416,737
      
2,991,436
      
3,032,178
      
40,742
    
79,420,369
Pennsylvania Municipal Income Fund
    
81,123,640
      
5,006,975
      
5,006,775
      
--
    
84,651,327
Intermediate Term Bond Fund
    
184,818,752
      
9,716,985
      
9,801,287
      
84,302
    
195,961,777
U.S. Government Securities Fund
    
100,347,539
      
3,913,586
      
4,230,788
      
317,202
    
100,963,567
New York Tax-Free Money Fund
    
190,003,663
*
      
--
      
--
      
--
    
191,542,428
Money Market Fund
    
1,840,036,611
*
      
--
      
--
      
--
    
1,838,442,034
Treasury Money Market Fund
    
821,132,746
*
      
--
      
--
      
--
    
822,518,817
 
* 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, 2001 (unaudited)
 
International
Equity Fund
  
Small Cap
Stock Fund
  
Mid Cap
Stock Fund
Assets:
   
 
    
 
  
 
           
Investments in securities, at value
   
$48,500,563
    
$  99,141,681
  
$102,169,986
           
Cash
   
1,637
    
--
  
--
           
Cash denominated in foreign currencies (identified cost $437,194)
   
438,531
    
--
  
--
           
Income receivable
   
102,759
    
41,638
  
43,894
           
Net receivable for foreign currency exchange contracts
   
10,006
    
--
  
--
           
Receivable for shares sold
   
--
    
--
  
6,965
           
Receivable for investments sold
   
210,455
    
2,740,130
  
2,102,623
           
Other assets
   
--
    
--
  
58,668
   
    
  
       Total assets
   
49,263,951
    
101,923,449
  
104,382,136
   
    
  
Liabilities:
   
 
    
 
  
 
           
Payable for investments purchased
   
8,978,035
    
1,158,219
  
574,685
           
Payable for shares redeemed
   
--
    
--
  
--
           
Accrued expenses
   
22,920
    
33,357
  
28,139
   
    
  
       Total liabilities
   
9,000,955
    
1,191,576
  
602,824
   
    
  
Net Assets
   
$40,262,996
    
$100,731,873
  
$103,779,312
   
    
  
Net Assets Consist of:
   
 
    
 
  
 
           
Paid in capital
   
$46,485,975
    
$  72,043,062
  
$109,194,586
           
Net unrealized appreciation (depreciation) of investments and translation of assets
and liabilities in foreign currency
   
(3,528,458
)

    
26,708,234

  
2,526,761
           
Accumulated net realized gain (loss) on investments and foreign currency transactions
   
(2,982,185
)
    
2,329,456
  
(7,737,340
)
           
Accumulated undistributed (distributions in excess of) net investment income
   
287,664
    
(348,879
)
  
(204,695
)
   
    
  
       Total Net Assets
   
$40,262,996
    
$100,731,873
  
$103,779,312
   
    
  
Class A Shares
   
$40,246,050
    
$100,599,412
  
$102,298,307
   
    
  
Class B Shares
   
$       16,946
    
$       132,461
  
$    1,481,005
   
    
  
Shares Outstanding:
   
 
    
 
  
 
           
Class A Shares
   
4,721,588
    
10,850,246
  
8,271,783
   
    
  
Class B Shares
   
1,996
    
14,352
  
121,326
   
    
  
Net Asset Value, Offering Price and Redemption Proceeds Per Share:
   
 
    
 
  
 
           
Net Asset Value Per Share
   
 
    
 
  
 
           
Class A Shares
   
$          8.52
    
$             9.27
  
$          12.37
   
    
  
Class B Shares
   
$          8.49
    
$             9.23
  
$          12.21
   
    
  
Offering Price Per Share*
   
 
    
 
  
 
           
Class A Shares
   
$          9.02
**
    
$             9.81
**
  
$          13.09
**
   
    
  
Class B Shares
   
$          8.49
    
$             9.23
  
$          12.21
   
    
  
Redemption Proceeds Per Share*
   
 
    
 
  
 
           
Class A Shares
   
$          8.52
    
$             9.27
  
$          12.37
   
    
  
Class B Shares
   
$          8.07
***
    
$             8.77
***
  
$          11.60
***
   
    
  
Investments, at identified cost
   
$52,073,993
    
$  72,433,447
  
$  99,643,225
   
    
  
        *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.
  ****Computation of offering price per share 100/95.0 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)

54

 
Large Cap
Growth
Fund
  
Large Cap
Core
Fund
    
Large Cap
Value
Fund
    
Managed Allocation
Fund-Aggressive
Growth
    
Managed Allocation
Fund-Moderate
Growth
                         
$13,857,344
  
$155,328,138
    
$37,011,572
      
$2,465,824
        
$4,079,046
 
--
  
--
    
--
      
--
        
--
 
--
  
--
    
--
      
--
        
--
 
19,086
  
95,164
    
25,627
      
1,289
        
7,106
 
--
  
--
    
--
      
--
        
--
 
3,575
  
1,202
    
1,947
      
3,108
        
32,816
 
--
  
8,222,779
    
1,091,261
      
--
        
--
 
--
  
--
    
25,708
      
16,185
        
12,304
 
   
    
      
        
 
13,880,005
  
163,647,283
    
38,156,115
      
2,486,406
        
4,131,272
 
   
    
      
        
 
                         
--
  
3,511,179
    
1,525,778
      
--
        
--
 
--
  
1,190,087
    
--
      
4,807
        
3,194
 
1,027
  
37,590
    
15,295
      
2,728
        
2,569
 
   
    
      
        
 
1,027
  
4,738,856
    
1,541,073
      
7,535
        
5,763
 
   
    
      
        
 
$13,878,978
  
$158,908,427
    
$36,615,042
      
$2,478,871
        
$4,125,509
 
   
    
      
        
 
                         
$16,625,662
  
$119,586,820
    
$39,975,928
      
$2,837,906
        
$4,372,890
 
(541,651
)
  
26,791,226
    
(3,685,070
)
      
(370,934
)
        
(229,256
)
 
(2,204,931
)
  
12,339,059
    
306,133
      
14,503
        
(19,578
)
 
(102
)
  
191,322
    
18,051
      
(2,604
)
        
1,453
 
   
    
      
        
 
$13,878,978
  
$158,908,427
    
$36,615,042
      
$2,478,871
        
$4,125,509
 
   
    
      
        
 
$13,283,365
  
$158,708,585
    
$36,294,676
      
$2,478,871
        
$4,125,509
 
   
    
      
        
 
$      595,613
  
$       199,842
    
$      320,366
      
--
        
--
 
   
    
      
        
 
                         
1,709,087
  
18,704,169
    
3,674,151
      
271,925
        
436,497
 
   
    
      
        
 
77,754
  
23,720
    
32,676
      
--
        
--
 
   
    
      
        
 
                         
                         
$           7.77
  
$             8.49
    
$           9.88
      
$          9.12
        
$          9.45
 
   
    
      
        
 
$           7.66
  
$             8.42
    
$           9.80
      
--
        
--
 
   
    
      
        
 
                         
$           8.22
**
  
$             8.98
**
    
$          10.46
**
      
$          9.60
****
        
$          9.90
*****
 
   
    
      
        
 
$           7.66
  
$             8.42
    
$           9.80
      
--
        
--
 
   
    
      
        
 
                         
$           7.77
  
$             8.49
    
$           9.88
      
9.12
        
$          9.45
 
   
    
      
        
 
$           7.28
***
  
$             8.00
***
    
$           9.31
***
      
--
        
--
 
   
    
      
        
 
$14,398,995
  
$128,536,912
    
$40,696,642
      
$2,836,758
        
$4,308,302
 
   
    
      
        
 

55

 
VISION Group of Funds
Statements of Assets and Liabilities--Continued
October 31, 2001 (unaudited)
    
Managed Allocation
Fund-Conservative
Growth
  
New York
Municipal
Income Fund
  
Pennsylvania
Municipal
Income Fund
Assets:
      
 
      
 
      
 
 
                       
Investments in securities, at value
      
$1,324,710
      
$78,408,173
      
$86,130,615
 
                       
Investments in repurchase agreements, at amortized cost
      
--
      
--
      
--
 
       
      
      
 
Total investments
      
1,324,710
      
78,408,173
      
86,130,615
 
                       
Cash
      
--
      
--
      
--
 
                       
Income receivable
      
4,477
      
1,043,381
      
1,171,057
 
                       
Receivable for shares sold
      
17,911
      
139,767
      
64,915
 
                       
Receivable for investments sold
      
--
      
1,453,513
      
--
 
                       
Other assets
      
18,679
      
--
      
--
 
       
      
      
 
       Total assets
      
1,365,777
      
81,044,834
      
87,366,587
 
       
      
      
 
Liabilities:
      
 
      
 
      
 
 
                       
Income distribution payable
      
--
      
245,313
      
295,325
 
                       
Payable for investments purchased
      
--
      
1,357,825
      
2,399,628
 
                       
Payable for shares redeemed
      
--
      
--
      
--
 
                       
Accrued expenses
      
3,139
      
21,327
      
20,307
 
       
      
      
 
       Total liabilities
      
3,139
      
1,624,465
      
2,715,260
 
       
      
      
 
Net Assets
      
$1,362,638
      
$79,420,369
      
$84,651,327
 
       
      
      
 
Net Assets Consist of:
      
 
      
 
      
 
 
                       
Paid in capital
      
$1,382,822
      
$76,596,865
      
$83,701,534
 
                       
Net unrealized appreciation (depreciation) of investments
      
(12,858
)
      
2,991,436
      
5,006,975
 
                       
Accumulated net realized loss on investments
      
(8,184
)
      
(153,884
)
      
(4,069,801
)
 
                       
Accumulated undistributed (distributions in excess of) net investment
income
      
858

      
(14,048
)

      
12,619
 
       
      
      
 
       Total Net Assets
      
$1,362,638
      
$79,420,369
      
$84,651,327
 
       
      
      
 
Class A Shares
      
$1,362,638
      
$79,420,369
      
$84,651,327
 
       
      
      
 
Class S Shares
      
--
      
--
      
--
 
       
      
      
 
Institutional Shares
      
--
      
--
      
--
 
       
      
      
 
Shares Outstanding:
      
 
      
 
      
 
 
                       
Class A Shares
      
139,816
      
7,530,627
      
8,189,601
 
       
      
      
 
Class S Shares
      
--
      
--
      
--
 
       
      
      
 
Institutional Shares
      
--
      
--
      
--
 
       
      
      
 
Net Asset Value, Offering Price and Redemption Proceeds Per Share:
      
 
      
 
      
 
 
                       
Net Asset Value Per Share
      
 
      
 
      
 
 
                       
Class A Shares
      
$         9.75
      
$         10.55
      
$         10.34
 
       
      
      
 
Class S Shares
      
--
      
--
      
--
 
       
      
      
 
Institutional Shares
      
--
      
--
      
--
 
       
      
      
 
Offering Price Per Share*
      
 
      
 
      
 
 
                       
Class A Shares
      
$        10.16
**
      
$          11.05
***
      
$          10.83
***
 
       
      
      
 
Redemption Proceeds Per Share*
      
 
      
 
      
 
 
                       
Class A Shares
      
$         9.75
      
$         10.55
      
$         10.34
 
       
      
      
 
Investments, at identified and federal tax cost
      
$1,337,568
      
$75,416,737
      
$81,123,640
 
       
      
      
 
Identified cost reflecting generally accepted accounting principles
      
$1,337,568
      
$75,416,737
      
$81,123,640
 
       
      
      
 
                      
    *See "What Do Shares Cost" in the Prospectus.
  **Computation of offering price per share 100/96.0 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

 
Intermediate
Term Bond
Fund
    
U.S. Government
Securities Fund
    
New York
Tax-Free
Money Market
Fund
    
Money Market
Fund
    
Treasury
Money Market
Fund
                               
$194,535,737
      
$100,681,125
        
$190,003,663
      
$1,795,641,311
      
$394,882,546
 
--
      
3,580,000
        
--
      
44,395,300
      
426,250,200
 
       
        
      
      
 
194,535,737
      
104,261,125
        
190,003,663
      
1,840,036,611
      
821,132,746
 
--
      
220
        
389,931
      
1,868,531
      
655,366
 
2,362,417
      
1,774,881
        
1,447,391
      
199,246
      
2,448,711
 
9,550
      
9,549
        
--
      
--
      
--
 
--
      
--
        
--
      
--
      
--
 
--
      
--
        
--
      
--
      
--
 
       
        
      
      
 
196,907,704
      
106,045,775
        
191,840,985
      
1,842,104,388
      
824,236,823
 
       
        
      
      
 
                               
915,448
      
494,820
        
271,639
      
3,519,031
      
1,594,095
 
--
      
4,578,290
        
--
      
--
      
--
 
--
      
780
        
--
      
--
      
--
 
30,479
      
8,318
        
26,918
      
143,323
      
123,911
 
       
        
      
      
 
945,927
      
5,082,208
        
298,557
      
3,662,354
      
1,718,006
 
       
        
      
      
 
$195,961,777
      
$100,963,567
        
$191,542,428
      
$1,838,442,034
      
$822,518,817
 
       
        
      
      
 
                               
$204,964,726
      
$   97,710,178
        
$191,542,428
      
$1,838,442,034
      
$822,518,817
 
9,944,415
      
4,360,889
        
--
      
--
      
--
 
(18,605,736
)
      
(209,660
)
        
--
      
--
      
--
 
(341,628
)
      
(897,840
)
        
--
      
--
      
--
 
       
        
      
      
 
$195,961,777
      
$100,963,567
        
$191,542,428
      
$1,838,442,034
      
$822,518,817
 
       
        
      
      
 
$195,961,777
      
$100,963,567
        
$191,542,428
      
$1,740,037,131
      
$791,922,068
 
       
        
      
      
 
--
      
--
        
--
      
$      98,369,601
      
$   30,596,749
 
       
        
      
      
 
--
      
--
        
--
      
$             35,302
      
--
 
       
        
      
      
 
                               
19,948,319
      
10,326,950
        
191,542,428
      
1,740,037,131
      
791,922,068
 
       
        
      
      
 
--
      
--
        
--
      
98,369,601
      
30,596,749
 
       
        
      
      
 
--
      
--
        
--
      
35,302
      
--
 
       
        
      
      
 
                               
$             9.82
      
$             9.78
        
$             1.00
      
$                1.00
      
$             1.00
 
       
        
      
      
 
--
      
--
        
--
      
$                1.00
      
$             1.00
 
       
        
      
      
 
--
      
--
        
--
      
$                1.00
      
--
 
       
        
      
      
 
                               
$           10.28
***
      
$           10.24
***
        
--
      
--
      
--
 
       
        
      
      
 
                               
$             9.82
      
$             9.78
        
--
      
--
      
--
 
       
        
      
      
 
$184,818,752
      
$100,347,539
        
$190,003,663
      
$1,840,036,611
      
$821,132,746
 
       
        
      
      
 
$184,591,322
      
$   99,900,236
        
$190,003,683
      
$1,840,036,611
      
$821,132,746
 
       
        
      
      
 
                               

57

 
VISION Group of Funds
Statements of Operations
Six Months Ended October 31, 2001 (unaudited)
 
International
Equity Fund
 
Small Cap
Stock Fund
 
Mid Cap
Stock Fund
Investment Income:
   
 
   
 
 
 
         
Dividends
   
$    405,697
(a)
   
$    213,902
 
$     569,705
(b)
         
Interest
   
15,074
   
109,724
 
40,234
   
   
 
       Total investment income
   
420,771
   
323,626
 
609,939
         
Expenses:
   
 
   
 
 
 
         
Investment adviser fee
   
164,421
   
458,099
 
486,527
         
Administrative personnel and services fee
   
13,974
   
45,806
 
48,647
         
Custodian fees
   
43,401
   
2,695
 
2,862
         
Transfer and dividend disbursing agent fees and expenses
   
12,005
   
20,903
 
68,896
         
Directors' fees
   
306
   
618
 
1,081
         
Auditing fees
   
1,250
   
4,369
 
7,118
         
Legal fees
   
2,355
   
970
 
2,723
         
Portfolio accounting fees
   
7,327
   
24,252
 
25,757
         
Distribution services fee--Class B Shares
   
45
   
313
 
5,612
         
Shareholder services fee--Class A Shares
   
41,090
   
134,631
 
141,225
         
Shareholder services fee--Class B Shares
   
15
   
104
 
1,871
         
Share registration costs
   
10,618
   
2,095
 
12,319
         
Printing and postage
   
2,547
   
451
 
6,352
         
Insurance premiums
   
12
   
1,347
 
443
         
Miscellaneous
   
2,405
   
2,165
 
3,074
   
   
 
       Total expenses
   
301,771
   
698,818
 
814,507
   
   
 
Waivers:
   
 
   
 
 
 
         
Waiver of investment adviser fee
   
(16,442
)
   
--
 
--
         
Waiver of shareholder services fee--Class A Shares
   
--
   
(26,926
)
 
--
         
Reimbursement of other operating expenses
   
--
   
--
 
--
   
   
 
       Total waivers
   
(16,442
)
   
(26,926
)
 
--
   
   
 
              Net expenses
   
285,329
   
671,892
 
814,507
   
   
 
                     Net investment income (net operating loss)
   
135,442
   
(348,266
)
 
(204,568
)
   
   
 
Realized and Unrealized Gain (Loss) on Investments and Foreign Currency Transactions:
   
 
   
 
 
 
         
Net realized gain (loss) on investments and foreign currency transactions
   
(798,909
)
   
(943,007
)
 
(3,735,779
)
         
Net change in unrealized appreciation (depreciation) of investments and translation of assets
and liabilities in foreign currency
   
(3,522,257
)

   
(5,910,530
)

 
(13,764,146
)
   
   
 
       Net realized and unrealized gain (loss) on investments and foreign currency transactions
   
(4,321,166
)
   
(6,853,537
)
 
(17,499,925
)
   
   
 
              Change in net assets resulting from operations
   
$(4,185,724
)
   
$(7,201,803
)
 
$(17,704,493
)
   
   
 
(a)
 
Includes dividend tax withheld expense of $43,758.
(b)
 
Includes dividend tax withheld expense of $2,182.
(c)
 
Includes dividend tax withheld expense of $5,936.
(d)
 
Includes dividend tax withheld expense of $52.

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

58

 
Large Cap
Growth
Fund
 
Large Cap
Core
Fund
    
Large Cap
Value
Fund
 
Managed
Allocation
Fund--
Aggressive
Growth
    
Managed
Allocation
Fund--
Moderate
Growth
             
$      67,373
 
$    1,061,521
(c)
    
$     295,653
(d)
 
$    6,363
    
$   30,480
12,992
 
81,773
    
24,842
 
1,651
    
4,302
 
    
 
    
80,365
 
1,143,294
    
320,495
 
8,014
    
34,782
             
56,671
 
783,693
    
135,094
 
2,654
    
3,631
5,666
 
78,365
    
16,401
 
902
    
1,233
333
 
4,610
    
965
 
53
    
73
6,831
 
31,540
    
21,128
 
2,209
    
3,754
120
 
952
    
433
 
22
    
29
5,009
 
4,052
    
5,582
 
2,199
    
1,888
76
 
2,582
    
1,105
 
42
    
201
3,000
 
41,490
    
8,685
 
478
    
653
1,969
 
569
    
986
 
--
    
--
--
 
--
    
--
 
--
    
--
656
 
190
    
329
 
--
    
--
11,436
 
3,258
    
13,505
 
9,685
    
8,439
1,500
 
2,814
    
6,460
 
592
    
392
341
 
142
    
367
 
28
    
656
2,860
 
369
    
9,744
 
498
    
1,575
 
    
 
    
96,468
 
954,626
    
220,784
 
19,362
    
22,524
 
    
 
    
             
(16,001
)
 
--
    
--
 
(2,654
)
    
(3,631
)
--
 
--
    
--
 
--
    
--
--
 
--
    
--
 
(6,090
)
    
(4,370
)
 
    
 
    
(16,001
)
 
--
    
--
 
(8,744
)
    
(8,001
)
 
    
 
    
80,467
 
954,626
    
220,784
 
10,618
    
14,523
 
    
 
    
(102
)
 
188,668
    
99,711
 
(2,604
)
    
20,259
 
    
 
    
             
(789,750
)
 
6,271,761
    
(272,239
)
 
(11,089
)
    
(5,282
)
             
(476,954
)
 
(42,091,613
)
    
(7,009,673
)
 
(249,811
)
    
(192,075
)
 
    
 
    
(1,266,704
)
 
(35,819,852
)
    
(7,281,912
)
 
(260,900
)
    
(197,357
)
 
    
 
    
$(1,266,806
)
 
$(35,631,184
)
    
$(7,182,201
)
 
$(263,504
)
    
$(177,098
)
 
    
 
    

59

 
VISION Group of Funds
Statements of Operations--Continued
Six Months Ended October 31, 2001 (unaudited)
  
Managed
Allocation
Fund--
Conservative
Growth
 
New York
Municipal
Income
Fund
 
Pennsylvania
Municipal
Income
Fund
Investment Income:
    
 
   
 
   
 
 
               
Dividends
    
$18,477
   
$           --
   
$           --
 
               
Interest
    
1,771
   
1,887,167
   
2,186,140
 
     
   
   
 
       Total investment income
    
20,248
   
1,887,167
   
2,186,140
 
               
Expenses:
    
 
   
 
   
 
 
               
Investment adviser fee
    
1,165
   
273,612
   
306,738
 
               
Administrative personnel and services fee
    
396
   
33,215
   
37,239
 
               
Custodian fees
    
23
   
1,954
   
2,191
 
               
Transfer and dividend disbursing agent fees and expenses
    
1,409
   
20,544
   
15,053
 
               
Directors' fees
    
10
   
841
   
548
 
               
Auditing fees
    
2,188
   
3,991
   
3,880
 
               
Legal fees
    
14
   
782
   
2,741
 
               
Portfolio accounting fees
    
210
   
17,589
   
19,719
 
               
Distribution services fee--Class S Shares
    
--
   
--
   
--
 
               
Shareholder services fee--Class A Shares
    
--
   
--
   
--
 
               
Shareholder services fee--Class S Shares
    
--
   
--
   
--
 
               
Shareholder service fee--Institutional Shares
    
--
   
--
   
--
 
               
Share registration costs
    
10,546
   
6,239
   
5,149
 
               
Printing and postage
    
37
   
2,261
   
1,358
 
               
Insurance premiums
    
27
   
412
   
44
 
               
Miscellaneous
    
1,411
   
917
   
1,381
 
     
   
   
 
       Total expenses
    
17,436
   
362,357
   
396,041
 
     
   
   
 
Waivers:
    
 
   
 
   
 
 
               
Waiver of investment adviser fee
    
(1,165
)
   
(35,179
)
   
(26,292
)
 
               
Waiver of distribution services fee--Class S Shares
    
--
   
--
   
--
 
               
Waiver of shareholder services fee--Class A Shares
    
--
   
--
   
--
 
               
Waiver of shareholder services fee--Class S Shares
    
--
   
--
   
--
 
               
Waiver of shareholder services fee--Institutional Shares
    
--
   
--
   
--
 
               
Reimbursement of other operating expenses
    
(11,610
)
   
--
   
--
 
     
   
   
 
       Total waivers
    
(12,775
)
   
(35,179
)
   
(26,292
)
 
     
   
   
 
              Net expenses
    
4,661
   
327,178
   
369,749
 
     
   
   
 
                     Net investment income
    
15,587
   
1,559,989
   
1,816,391
 
     
   
   
 
Realized and Unrealized Gain (Loss) on Investments
    
 
   
 
   
 
 
               
Net realized gain (loss) on investments
    
(2,943
)
   
177,336
   
259,689
 
               
Net change in unrealized appreciation (depreciation) of investments
    
(12,664
)
   
2,114,512
   
2,329,042
 
     
   
   
 
       Net realized and unrealized gain (loss) on investments
    
(15,607
)
   
2,291,848
   
2,588,731
 
     
   
   
 
              Change in net assets resulting from operations
    
$       (20
)
   
$3,851,837
   
$4,405,122
 
     
   
   
 
(a)
 
Reflects operations for the period from September 4, 2001 (date of initial public investment) to October 31, 2001, for Money Market Fund's Institutional Shares.

(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(a)
    
Treasury
Money
Market
Fund
                 
$             --  
   
$             --
      
$                  --
 
$              --
    
$              --
6,320,693
   
2,853,917
      
2,520,216
 
35,724,108
    
15,302,046
   
      
 
    
6,320,693
   
2,853,917
      
2,520,216
 
35,724,108
    
15,302,046
                 
711,063
   
342,801
      
461,305
 
4,512,390
    
1,997,888
86,329
   
41,613
      
78,396
 
766,877
    
339,537
5,079
   
2,449
      
4,613
 
26,721
    
14,148
36,621
   
34,259
      
35,491
 
452,668
    
131,547
1,171
   
810
      
1,900
 
23,968
    
3,395
6,340
   
6,421
      
8,066
 
38,471
    
22,046
3,133
   
5,017
      
4,329
 
30,222
    
4,611
45,711
   
22,037
      
41,517
 
406,115
    
179,810
--
   
--
      
--
 
103,469
    
32,846
--
   
--
      
--
 
730,628
    
--
--
   
--
      
--
 
38,946
    
--
--
   
--
      
--
 
20
    
--
6,148
   
10,311
      
12,708
 
39,079
    
6,765
2,951
   
2,701
      
14,642
 
122,800
    
14,815
1,928
   
442
      
2,854
 
2,267
    
1,602
2,643
   
2,570
      
4,374
 
9,885
    
3,607
   
      
 
    
909,117
   
471,431
      
670,195
 
7,304,526
    
2,752,617
   
      
 
    
                 
(233,635
)
   
--
      
(83,035
)
 
(912,996
)
    
(359,620
)
--
   
--
      
--
 
(7,789
)
    
--
--
   
--
      
--
 
(146,126
)
    
--
--
   
--
      
--
 
(4,360
)
    
--
--
   
--
      
--
 
(11
)
    
--
--
   
--
      
--
 
--
    
--
   
      
 
    
(233,635
)
   
--
      
(83,035
)
 
(1,071,282
)
    
(359,620
)
   
      
 
    
675,482
   
471,431
      
587,160
 
6,233,244
    
2,392,997
   
      
 
    
5,645,211
   
2,382,486
      
1,933,056
 
29,490,864
    
12,909,049
   
      
 
    
                 
1,792,185
   
278,367
      
--
 
--
    
--
5,944,092
   
3,785,770
      
--
 
--
    
--
   
      
 
    
7,736,277
   
4,064,137
      
--
 
--
    
--
   
      
 
    
$13,381,488
   
$6,446,623
      
$  1,933,056
 
$29,490,864
    
$12,909,049
   
      
 
    

61

 
VISION Group of Funds
Statements of Changes in Net Assets
 
International Equity
Fund(1)
 
Small Cap Stock
Fund(1)
 
Six Months
Ended
(unaudited)
October 31,
2001
 
Period Ended
April 30,
2001(2)
 
Year Ended
June 30,
2000
 
Six Months
Ended
(unaudited)
October 31,
2001
 
Period Ended
April 30,
2001(2)
 
Year Ended
June 30,
2000
Increase (Decrease) in Net Assets:
   
 
     
 
   
 
 
 
   
 
   
 
                       
Operations:
   
 
     
 
   
 
 
 
   
 
   
 
                       
    Net investment income (loss)
   
$     135,442
     
$       24,425
   
$     302,603
 
$       (348,266
)
   
$       (902,408
)
   
$       (343,486
)
                       
    Net realized gain (loss) on investments
    and foreign currency transactions
   
(798,909
)
     
(1,461,585
)
   
2,780,031
 
(943,007
)
   
3,420,177
   
25,757,987
                       
    Net change in unrealized appreciation
    (depreciation) of investments and
    translation of assets and liabilities in
    foreign currency
   
(3,522,257
)
     
(3,654,089
)
   
2,013,467
 
(5,910,530
)
   
(11,231,448
)
   
(3,264,106
)
   
     
   
 
   
   
       Change in net assets resulting from
       operations
   
(4,185,724
)
     
(5,091,249
)
   
5,096,101
 
(7,201,803
)
   
(8,713,679
)
   
22,150,395
   
     
   
 
   
   
Distributions to Shareholders:
   
 
     
 
   
 
 
 
   
 
   
 
                       
    Distributions from net investment income
   
 
     
 
   
 
 
 
   
 
   
 
                       
    Class A Shares
   
--
     
--
   
(535,161
)
 
--
   
--
   
--
                       
    Class B Shares
   
--
     
--
   
--
 
--
   
--
   
--
                       
    Distributions in excess of net investment
    income
   
 
     
 
   
 
 
 
   
 
   
 
                       
    Class A Shares
   
--
     
--
   
--
 
--
   
--
   
--
                       
    Distributions from net realized gain on
    investments and foreign currency
    transactions
   
 
     
 
   
 
 
 
   
 
   
 
                       
    Class A Shares
   
--
     
(2,805,623
)
   
(511,261
)
 
--
   
(13,841,167
)
   
(18,983,848
)
                       
    Class B Shares
   
--
     
--
   
--
 
--
   
--
   
--
   
     
   
 
   
   
       Change in net assets resulting from
       distributions to shareholders
   
--
     
(2,805,623
)
   
(1,046,422
)
 
--
   
(13,841,167
)
   
(18,983,848
)
   
     
   
 
   
   
Share Transactions:
   
 
     
 
   
 
 
 
   
 
   
 
                       
    Proceeds from sale of shares
   
13,012,130
     
6,966,025
   
12,187,174
 
10,515,748
   
58,082,767
   
86,895,351
                       
    Net asset value of shares issued to share-
    holders in payment of distributions declared
   
--
     
1,201,992
   
408,746
 
--
   
13,566,276
   
18,728,504
                       
    Cost of shares redeemed
   
(3,484,518
)
     
(10,047,065
)
   
(11,454,151
)
 
(16,115,722
)
   
(84,486,316
)
   
(99,376,242
)
   
     
   
 
   
   
       Change in net assets resulting from
       share transactions
   
9,527,612
     
(1,879,048
)
   
1,141,769
 
(5,599,974
)
   
(12,837,273
)
   
6,247,613
   
     
   
 
   
   
              Change in net assets
   
5,341,888
     
(9,775,920
)
   
5,191,448
 
(12,801,777
)
   
(35,392,119
)
   
9,414,160
                       
Net Assets:
   
 
     
 
   
 
 
 
   
 
   
 
                       
    Beginning of period
   
34,921,108
     
44,697,028
   
39,505,580
 
113,533,650
   
148,925,769
   
139,511,609
   
     
   
 
   
   
    End of period
   
$40,262,996
     
$34,921,108
   
$44,697,028
 
$100,731,873
   
$113,533,650
   
$148,925,769
   
     
   
 
   
   
    Undistributed (distributions in excess of )
    net investment income included in net
    assets at end of period
   
$     287,664
     
$     152,222
   
$     (312,494
)
 
$       (348,879
)
   
$             (613
)
   
$          (1,311
)
   
     
   
 
   
   
(1)
 
Formerly Governor International Equity Fund, Governor Aggressive Growth Fund and Governor Established Growth Fund, respectively.
(2)
 
The Funds changed their fiscal year end from June 30 to April 30.
 
(See Notes which are an integral part of the Financial Statements)

62

 
 
Mid Cap Stock
Fund
 
Large Cap Growth
Fund
 
Large Cap Core
Fund(1)
Six Months
Ended
(unaudited)
October 31,
2001
    
Year Ended
April 30,
2001
 
Six Months
Ended
(unaudited)
October 31,
2001
    
Year Ended
April 30,
2001
 
Six Months
Ended
(unaudited)
October 31,
2001
    
Period Ended
 
Year Ended
June 30,
2000
                    
                    
$       (204,568
)
    
$       (197,995
)
 
$             (102
)
    
$       (22,401
)
 
$       188,668
    
$       (525,292
)
 
$       174,280
(3,735,779
)
    
7,962,946
 
(789,750
)
    
(1,413,124
)
 
6,271,761
    
11,575,917
 
51,706,557
                    
                    
(13,764,146
)
    
(505,790
)
 
(476,954
)
    
(38,420
)
 
(42,091,613
)
    
(51,362,266
)
 
(28,304,512
)
    
 
    
 
    
 
(17,704,493
)
    
7,259,161
 
(1,266,806
)
    
(1,473,945
)
 
(35,631,184
)
    
(40,311,641
)
 
23,576,325
    
 
    
 
    
 
                    
                    
--
    
--
 
--
    
(8,763
)
 
--
    
--
 
(176,790
)
--
    
--
 
--
    
(240
)
 
--
    
--
 
--
                    
                    
--
    
--
 
--
    
--
 
--
    
--
 
(5,907
)
                    
                    
                    
--
    
(14,074,914
)
 
--
    
--
 
--
    
(25,921,785
)
 
(54,637,729
)
--
    
(59,523
)
 
--
    
--
 
--
    
--
 
--
    
 
    
 
    
 
                    
--
    
(14,134,437
)
 
--
    
(9,003
)
 
--
    
(25,921,785
)
 
(54,820,426
)
    
 
    
 
    
 
                    
11,129,278
    
22,610,695
 
3,000,169
    
7,556,504
 
16,208,498
    
48,198,627
 
87,957,373
                    
                    
                    
--
    
12,503,976
 
--
    
6,234
 
--
    
24,829,377
 
53,919,438
(10,418,930
)
    
(18,170,080
)
 
(423,978
)
    
(168,348
)
 
(23,353,914
)
    
(83,043,792
)
 
(93,135,539
)
    
 
    
 
    
 
710,348
    
16,944,591
 
2,576,191
    
7,394,390
 
(7,145,416
)
    
(10,015,788
)
 
48,741,272
    
 
    
 
    
 
(16,994,145
)
    
10,069,315
 
1,309,385
    
5,911,442
 
(42,776,600
)
    
(76,249,214
)
 
17,497,171
120,773,457
    
110,704,142
 
12,569,593
    
6,658,151
 
201,685,027
    
277,934,241
 
260,437,070
    
 
    
 
    
 
$103,779,312
    
$120,773,457
 
$13,878,978
    
$12,569,593
 
$158,908,427
    
$201,685,027
 
$277,934,241
    
 
    
 
    
 
                    
                    
$       (204,695
)
    
$              (127
)
 
$             (102
)
    
$              --
 
$       191,322
    
$           2,654
 
$           1,533
    
 
    
 
    
 

63

 
VISION Group of Funds
Statements of Changes in Net Assets--(Continued)
 
Large Cap Value
Fund
 
Managed Allocation Fund-Aggressive
Growth(1)
 
Six Months
Ended
(unaudited)
October 31,
2001
 
Year Ended
April 30,
 
Six Months
Ended
(unaudited)
October 31,
2001
 
Period
Ended
April 30,
2001(2)
 
Year
Ended
June 30,
Increase (Decrease) in Net Assets:
 
 
 
 
   
 
   
 
 
 
             
Operations:
 
 
 
 
   
 
   
 
 
 
             
    Net investment income (loss)
 
$       99,711
 
$      253,740
   
$       (2,604
)
   
$       9,357
 
$       1,702
             
    Net realized gain (loss) on investments
 
(272,239
)
 
2,506,019
   
(11,089
)
   
26,004
 
6,457
             
    Net realized gain on capital gain distributions from other
    investment companies
 
--
 
--
   
--
   
--
 
45,256
             
    Net change in unrealized appreciation (depreciation) of investments
 
(7,009,673
)  
 
1,328,888
   
(249,811
)
   
(140,237
)
 
8,435
 
 
   
   
 
       Change in net assets resulting from operations
 
(7,182,201
)
 
4,088,647
   
(263,504
)
   
(104,876
)
 
61,850
 
 
   
   
 
Distributions to Shareholders:
 
 
 
 
   
 
   
 
 
 
             
    Distributions from net investment income
 
 
 
 
   
 
   
 
 
 
             
    Class A Shares
 
(81,660
)
 
(266,934
)
   
--
   
(9,769
)
 
(1,702
)
             
    Class B Shares
 
--
 
(114
)
   
--
   
--
 
--
             
    Distributions in excess of net investment income
 
 
 
 
   
 
   
 
 
 
             
    Class A Shares
 
--
 
--
   
--
   
--
 
(1,478
)
             
    Distributions from net realized gain on investments
 
 
 
 
   
 
   
 
 
 
             
    Class A Shares
 
--
 
(1,187,339
)
   
  --
   
(46,021
)
 
(4,214
)
             
    Class B Shares
 
--
 
(1,534
)
   
--
   
--
 
--
 
 
   
   
 
       Change in net assets resulting from distributions to shareholders
 
(81,660
)
 
(1,455,921
)
   
--
   
(55,790
)
 
(7,394
)
 
 
   
   
 
Share Transactions:
 
 
 
 
   
 
   
 
 
 
             
    Proceeds from sale of shares
 
8,849,206
 
11,945,391
   
1,244,033
   
606,255
 
1,151,088
             
    Net asset value of shares issued to shareholders in payment of
    distributions declared
 
52,915
 
966,391
   
--
   
45,754
 
7,249
             
    Cost of shares redeemed
 
(3,098,712
)
 
(8,200,054
)
   
(135,491
)
   
(209,752
)
 
(78,363
)
 
 
   
   
 
       Change in net assets resulting from share transactions
 
5,803,409
 
4,711,728
   
1,108,542
   
442,257
 
1,079,974
 
 
   
   
 
              Change in net assets
 
(1,460,452
)
 
7,344,454
   
845,038
   
281,591
 
1,134,430
             
Net Assets:
 
 
 
 
   
 
   
 
 
 
             
    Beginning of period
 
38,075,494
 
30,731,040
   
1,633,833
   
1,352,242
 
217,812
 
 
   
   
 
    End of period
 
$36,615,042
 
$38,075,494
   
$2,478,871
   
$1,633,833
 
$1,352,242
 
 
   
   
 
    Undistributed (distributions in excess of ) net investment income
    included in net assets at end of period
 
$       18,051
 
$               --
   
$       (2,604
)
   
$          (412
)
 
$             --
 
 
   
   
 
(1)
 
Formerly Governor Lifestyle Growth Fund, Governor Lifestyle Moderate Growth Fund and Governor Lifestyle Conservative Growth Fund, respectively.
(2)
 
The Funds changed their fiscal year end from June 30 to April 30.

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

64

 
Managed Allocation Fund-Moderate
Growth (1)
    
Managed Allocation Fund-Conservative
Growth (1)
Six Months
Ended
(unaudited)
October 31,
2001
    
Period Ended
    
Year Ended
June 30,
2000
    
Six Months
Ended
(unaudited)
October 31,
2001
    
Period Ended
    
Year Ended
                                            
                                            
 
$      20,259
        
$      18,996
      
$       8,950
      
$      15,587
        
$    7,001
        
$    4,986
 
 
(5,282
)
        
(14,297
)
      
(1,520
)
      
(2,943
)
        
(5,241
)
        
(1,238
)
 
                                            
 
--
        
--
      
66,033
      
--
        
--
        
13,295
 
 
(192,075
)
        
(33,944
)
      
(11,699
)
      
(12,664
)
        
2,206
        
(3,649
)
 
 
        
      
      
        
        
 
 
(177,098
)
        
(29,245
)
      
61,764
      
(20
)
        
3,966
        
13,394
 
 
        
      
      
        
        
 
                                            
                                            
 
(20,233
)
        
(17,569
)
      
(9,000
)
      
(15,292
)
        
(6,438
)
        
(4,995
)
 
 
--
        
--
      
--
      
--
        
--
        
--
 
                                            
 
--
        
--
      
--
      
--
        
--
        
--
 
                                            
 
--
        
(59,095
)
      
(5,609
)
      
--
        
(10,881
)
        
(1,182
)
 
 
--
        
--
      
--
      
--
        
--
        
--
 
 
        
      
      
        
        
 
 
(20,233
)
        
(76,664
)
      
(14,609
)
      
(15,292
)
        
(17,319
)
        
(6,177
)
 
 
        
      
      
        
        
 
                                            
 
2,616,557
        
987,947
      
1,013,278
      
984,836
        
229,927
        
183,374
 
                                            
 
20,122
        
69,305
      
11,924
      
14,978
        
15,590
        
4,841
 
 
(234,131
)
        
(244,960
)
      
(143,490
)
      
(69,866
)
        
(95,414
)
        
(34,299
)
 
 
        
      
      
        
        
 
 
2,402,548
        
812,292
      
881,712
      
929,948
        
150,103
        
153,916
 
 
        
      
      
        
        
 
 
2,205,217
        
706,383
      
928,867
      
914,636
        
136,750
        
161,133
 
                                            
 
1,920,292
        
1,213,909
      
285,042
      
448,002
        
311,252
        
150,119
 
 
        
      
      
        
        
 
 
$4,125,509
        
$1,920,292
      
$1,213,909
      
$1,362,638
        
$448,002
        
$311,252
 
 
        
      
      
        
        
 
 
$       1,453
        
$       1,427
      
$             --
      
$          858
        
$       563
        
$          --
 
 
        
      
      
        
        
 

65

VISION Group of Funds
Statements of Changes in Net Assets--Continued
 
New York Municipal
Income Fund
 
Pennsylvania Municipal
Income Fund(1)
 
Six Months
Ended
(unaudited)
October 31,
2001
 
Year Ended
April 30,
2001
 
Six Months
Ended
(unaudited)
October 31,
2001
 
Period
Ended
April 30,
2001(2)
 
Year Ended
June 30,
2000
Increase (Decrease) in Net Assets:
 
 
 
 
 
 
 
 
 
 
         
Operations:
 
 
 
 
 
 
 
 
 
 
         
    Net investment income
 
$   1,559,989
 
$   2,822,721
 
$   1,816,391
 
$   3,381,015
 
$    4,586,449
         
    Net realized gain (loss) on investments
 
177,336
 
40,922
 
259,689
 
538,260
 
(4,867,666
)
         
    Net change in unrealized appreciation (depreciation) of
    investments
 
2,114,512
 
3,117,517
 
2,329,042
 
1,993,822
 
2,135,942
 
 
 
 
 
       Change in net assets resulting from operations
 
3,851,837
 
5,981,160
 
4,405,122
 
5,913,097
 
1,854,725
 
 
 
 
 
Distributions to Shareholders:
 
 
 
 
 
 
 
 
 
 
         
    Distributions from net investment income
 
 
 
 
 
 
 
 
 
 
         
    Class A Shares
 
(1,559,704
)
 
(2,836,440
)
 
(1,835,781
)
 
(3,361,327
)
 
(4,574,099
)
         
    Distributions from net realized gain on investments
 
 
 
 
 
 
 
 
 
 
         
    Class A Shares
 
--
 
--
 
--
 
--
 
(88,712
)
 
 
 
 
 
       Change in net assets resulting from distributions to
       shareholders
 
(1,559,704
)
 
(2,836,440
)
 
(1,835,781
)
 
(3,361,327
)
 
(4,662,811
)
 
 
 
 
 
Share Transactions:
 
 
 
 
 
 
 
 
 
 
         
    Proceeds from sale of shares
 
9,168,436
 
35,273,609
 
4,707,710
 
7,673,783
 
42,044,692
         
    Net asset value of shares issued to shareholders in payment of
    distributions declared
 
637,839
 
1,371,565
 
65,823
 
108,208
 
176,708
         
    Cost of shares redeemed
 
(7,528,625
)
 
(13,019,996
)
 
(8,992,528
)
 
(16,697,133
)
 
(58,641,802
)
 
 
 
 
 
       Change in net assets resulting from share transactions
 
2,277,650
 
23,625,178
 
(4,218,995
)
 
(8,915,142
)
 
(16,420,402
)
 
 
 
 
 
              Change in net assets
 
4,569,783
 
26,769,898
 
(1,649,654
)
 
(6,363,372
)
 
(19,228,488
)
         
Net Assets:
 
 
 
 
 
 
 
 
 
 
         
    Beginning of period
 
74,850,586
 
48,080,688
 
86,300,981
 
92,664,353
 
111,892,841
 
 
 
 
 
    End of period
 
$79,420,369
 
$74,850,586
 
$84,651,327
 
$86,300,981
 
$   92,664,353
 
 
 
 
 
    Undistributed (distributions in excess of ) net investment
    income included in net assets at end of period
 
$       (14,048
)
 
$       (14,333
)
 
$       12,619
 
$       32,009
 
$          12,321
 
 
 
 
 
(1)
 
Formerly Governor Pennsylvania Municipal Bond Fund and Governor Intermediate Term Income Fund, respectively.
(2)
 
The Funds changed their fiscal year end from June 30 to April 30.

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

66

Intermediate Term Bond Fund(1)
  
U.S. Government
Securities Fund
  
New York Tax-Free Money
Market Fund
Six Months
Ended
(unaudited)
October 31,
2001
  
Period
Ended
April 30,
2001(2)
  
Year Ended
June 30,
2000
  
Six Months
Ended
(unaudited)
October 31,
2001
  
Year Ended
April 30,
2001
  
Six Months
Ended
(unaudited)
October 31,
2001
  
Year Ended
                 
                 
                 
                 
$    5,645,211
  
$   12,260,605
  
$   18,178,902
  
$    2,382,486
  
$   4,692,119
  
$    1,933,056
  
$    5,518,588
                 
1,792,185
  
1,464,902
  
(15,658,140
)
  
278,367
  
166,348
  
--
  
--
                 
5,944,092
  
5,970,965
  
5,792,518
  
3,785,770
  
3,197,638
  
--
  
--
  
  
  
  
  
  
13,381,488
  
19,696,472
  
8,313,280
  
6,446,623
  
8,056,105
  
1,933,056
  
5,518,588
  
  
  
  
  
  
                 
                 
                 
                 
(5,833,696
)
  
(12,248,489
)
  
(18,133,008
)
  
(2,970,735
)
  
(4,704,968
)
  
(1,933,056
)
  
(5,518,588
)
                 
                 
                 
--
  
--
  
--
  
--
  
--
  
--
  
--
  
  
  
  
  
  
(5,833,696
)
  
(12,248,489
)
  
(18,133,008
)
  
(2,970,735
)
  
(4,704,968
)
  
(1,933,056
)
  
(5,518,588
)
  
  
  
  
  
  
                 
                 
13,172,815
  
19,940,685
  
72,228,909
  
19,679,497
  
38,486,665
  
998,441,866
  
1,536,158,356
                 
873,023
  
3,951,150
  
5,999,134
  
1,243,067
  
2,383,939
  
941,008
  
2,856,794
                 
(42,624,727
)
  
(59,507,892
)
  
(129,227,892
)
  
(12,414,573
)
  
(15,406,694
)
  
(966,199,196
)
  
(1,553,447,441
)
  
  
  
  
  
  
(28,578,889
)
  
(35,616,057
)
  
(50,999,849
)
  
8,507,991
  
25,463,910
  
33,183,678
  
(14,432,291
)
  
  
  
  
  
  
(21,031,097
)
  
(28,168,074
)
  
(60,819,577
)
  
11,983,879
  
28,815,047
  
33,183,678
  
(14,432,291
)
                 
                 
                 
216,992,874
  
245,160,948
  
305,980,525
  
88,979,688
  
60,164,641
  
158,358,750
  
172,791,041
  
  
  
  
  
  
$195,961,777
  
$216,992,874
  
$245,160,948
  
$100,963,567
  
$88,979,688
  
$191,542,428
  
$158,358,750
  
  
  
  
  
  
$       (341,628
)
  
$          65,610
  
$          53,494
  
$       (897,840
)
  
$      (125,515
)
  
$                --
  
$                --
  
  
  
  
  
  

67

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

 
Money Market Fund
 
Treasury Money Market Fund
 
Six Months
Ended
(unaudited)
 
Year Ended
 
Six Months
Ended
(unaudited)
 
Year Ended
Increase (Decrease) in Net Assets:
 
 
 
 
 
 
 
 
       
Operations:
 
 
 
 
 
 
 
 
       
    Net investment income
 
$       29,490,864
 
$          81,963,219
 
$       12,909,049
 
$       37,013,797
 
 
 
 
Distributions to Shareholders:
 
 
 
 
 
 
 
 
       
    Distributions from net investment income
 
 
 
 
 
 
 
 
       
    Class A Shares
 
(28,257,637
)
 
(78,322,062
)
 
(12,519,300
)
 
(35,813,489
)
       
    Class S Shares
 
(1,233,021
)
 
(3,641,157
)
 
(389,749
)
 
(1,200,308
)
       
    Institutional Shares
 
(206
)
 
--
 
--
 
--
 
 
 
 
       Change in net assets resulting from distributions to
       shareholders
 
(29,490,864
)
 
(81,963,219
)
 
(12,909,049
)
 
(37,013,797
)
 
 
 
 
Share Transactions:
 
 
 
 
 
 
 
 
       
    Proceeds from sale of shares
 
66,673,447,040
 
100,462,993,687
 
16,020,235,073
 
22,924,116,548
       
    Shares issued in connection with the transfer of assets from
    Governor U.S. Treasury Obligations Money Market Fund
 
--
 
--
 
--
 
15,404,486
       
    Net asset value of shares issued to shareholders in payment of
    distributions declared
 
14,294,714
 
42,093,952
 
1,219,400
 
3,912,680
       
    Cost of shares redeemed
 
(66,509,054,951
)
 
(99,989,220,429
)
 
(16,010,311,995
)
 
(22,576,445,486
)
 
 
 
 
       Change in net assets resulting from share transactions
 
178,686,803
 
515,867,210
 
11,142,478
 
366,988,228
 
 
 
 
              Change in net assets
 
178,686,803
 
515,867,210
 
11,142,478
 
366,988,228
       
Net Assets:
 
 
 
 
 
 
 
 
       
    Beginning of period
 
1,659,755,231
 
1,143,888,021
 
811,376,339
 
444,388,111
 
 
 
 
    End of period
 
$   1,838,442,034
 
$    1,659,755,231
 
$      822,518,817
 
$      811,376,339
 
 
 
 

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

68
 
 
 
[THIS PAGE INTENTIONALLY LEFT BLANK]

69
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
)
 
2001(j)
    
$  9.66
        
0.04
(i)
        
(1.18
)
        
(1.14
)
        
--
        
--
        
--
 
International Equity Fund--Class B Shares
        
 
        
 
        
 
        
 
 
2001(k)
    
$10.25
        
(0.05
)(i)
        
(0.55
)
        
(0.60
)
        
--
        
--
        
--
 
2001(j)
    
$  9.65
        
(0.00
)(i)(m)
        
(1.16
)
        
(1.16
)
        
--
        
--
        
--
 
Small Cap Stock Fund--Class A Shares(c)
        
 
        
 
        
 
        
 
 
1997(n)
    
$10.00
        
0.01
        
0.24
        
0.25
        
(0.01
)
        
--
        
--
 
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
)
 
2001(j)
    
$10.02
        
(0.03
)(i)
        
(0.72
)
        
(0.75
)
        
--
        
--
        
--
 
Small Cap Stock Fund--Class B Shares
        
 
        
 
        
 
        
 
 
2001(k)
    
$  9.75
        
(0.05
)(i)
        
0.31
        
0.26
        
--
        
--
        
--
 
2001(j)
    
$10.01
        
(0.07
)(i)
        
(0.71
)
        
(0.78
)
        
--
        
--
        
--
 
Mid Cap Stock Fund--Class A Shares(o)
        
 
        
 
        
 
        
 
 
1997
    
$13.35
        
0.13
        
2.35
        
2.48
        
(0.13
)
        
--
        
(0.59
)
 
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
)
 
2001(j)
    
$14.51
        
(0.02
)
        
(2.12
)
        
(2.14
)
        
--
        
--
        
--
 
Mid Cap Stock Fund--Class B Shares
        
 
        
 
        
 
        
 
 
2000(p)
    
$14.28
        
(0.03
)
        
1.25
        
1.22
        
--
        
--
        
--
 
2001
    
$15.50
        
(0.15
)(i)
        
1.00
        
0.85
        
--
        
--
        
(1.97
)
 
2001(j)
    
$14.38
        
(0.06
)
        
(2.11
)
        
(2.17
)
        
--
        
--
        
--
 
(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 (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)
 
Reflects operations for the six months ended October 31, 2001 (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)
 
Reflects operations for the period from February 3, 1997 (date of public investment) to June 30, 1997.
(o)
 
Prior to October 15, 1999, reflects operations for Vision Growth and Income Fund.
(p)
 
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)

70
 
 
        
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
%
 
 
--
      
$  8.52
    
(11.80
)%
    
1.74
%(e)
        
0.82
%(e)
        
0.10
%(e)
      
$   40,246
        
26
%
 
                                                      
 
--
      
$  9.65
    
(5.85
)%
    
4.04
%(e)
        
(0.50
)%(e)
        
0.00
%(e)(l)
      
$            5
        
73
%
 
 
--
      
$  8.49
    
(12.02
)%
    
2.49
%(e)
        
0.03
%(e)
        
0.10
%(e)
      
$          17
        
26
%
 
                                                      
 
(0.01
)
      
$10.24
    
2.52
%
    
0.66
%(e)
        
0.28
%(e)
        
1.35
%(e)
      
$105,258
        
2
%
 
 
(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
%
 
 
--
      
$  9.27
    
(7.49
)%
    
1.25
%(e)
        
(0.65
)%(e)
        
0.05
%(e)
      
$100,599
        
84
%
 
                                                      
 
--
      
$10.01
    
2.67
%
    
0.89
%(e)
        
(0.72
)%(e)
        
--
      
$         35
        
21
%
 
 
--
      
$  9.23
    
(7.79
)%
    
2.05
%(e)
        
(1.42
)%(e)
        
--
      
$       132
        
84
%
 
                                                      
 
(0.72
)
      
$15.11
    
18.61
%
    
1.14
%
        
0.87
%
        
--
      
$114,090
        
134
%
 
 
(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
%
 
 
--
      
$12.37
    
(14.75
)%
    
1.41
%(e)
        
(0.35
)%(e)
        
--
      
$102,298
        
41
%
 
                                                      
 
--
      
$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
%
 
 
--
      
$12.21
    
(15.09
)%
    
2.16
%(e)
        
(1.11
)%(e)
        
--
      
$    1,481
        
41
%
 

71
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
)
        
--
        
--
 
2001(g)
    
$  8.54
        
(0.00
)(f)(h)
        
(0.77
)
        
(0.77
)
        
--
        
--
        
--
 
Large Cap Growth Fund--Class B Shares
 
2000 (i)
    
$10.31
        
0.00
(h)
        
(0.27
)
        
(0.27
)
        
--
        
--
        
--
 
2001
    
$10.04
        
(0.10
)(f)
        
(1.47
)
        
(1.57
)
        
(0.01
)
        
--
        
--
 
2001(g)
    
$  8.46
        
(0.04
)(f)
        
(0.76
)
        
(0.80
)
        
--
        
--
        
--
 
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
)(h)
        
(3.41
)
 
2001 (m)(n)
    
$13.67
        
(0.03
)(f)
        
(1.93
)
        
(1.96
)
        
--
        
--
        
(1.31
)
 
2001(g)
    
$10.40
        
0.01
        
(1.92
)
        
(1.91
)
        
--
        
--
        
--
 
Large Cap Core Fund--Class B Shares (j)
 
2001 (o)
    
$11.70
        
(0.05
)(f)
        
(1.28
)
        
(1.33
)
        
--
        
--
        
--
 
2001(g)
    
$10.37
        
(0.03
)
        
(1.92
)
        
(1.95
)
        
--
        
--
        
--
 
Large Cap Value Fund--Class A Shares (p)
 
1998 (q)
    
$  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
)
 
2001(g)
    
$11.96
        
0.03
(f)
        
(2.09
)
        
(2.06
)
        
(0.02
)
        
--
        
--
 
Large Cap Value Fund--Class B Shares
 
2000 (r)
    
$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
)
 
2001(g)
    
$11.90
        
(0.03
)(f)
        
(2.07
)
        
(2.10
)
        
--
        
--
        
--
 
(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 (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)
 
Represents less than 0.01%.
(f)
 
Based on average shares outstanding.
(g)
 
Reflects operations for the six months ended October 31, 2001 (unaudited).
(h)
 
Amount represents less than $0.01 per share.
(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 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 January 18, 2001 (date of public investment) to April 30, 2001.
(p)
 
Formerly VISION Equity Income Fund, effective August 30, 1999.
(q)
 
Reflects operations for the period from September 26, 1997 (date of initial public investment) to April 30, 1998.
(r)
 
Reflects operations for the period from December 10, 1999 (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
                                                  
 
--
      
$10.04
    
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
%
 
 
--
      
$  7.77
    
(9.02
)%
  
1.17
%(d)
      
0.04
%(d)
        
0.24
%(d)
      
$  13,283
        
30
%
 
                                                  
 
--
      
$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
%
 
 
--
      
$  7.66
    
(9.46
)%
  
2.17
%(d)
      
(0.96
)%(d)
        
0.24
%(d)
      
$       596
        
30
%
 
                                                  
 
(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
%
 
 
--
      
$  8.49
    
(18.37
)%
  
1.03
%(d)
      
0.21
%(d)
        
--
      
$158,709
        
34
%
 
                                                  
 
--
      
$10.37
    
(11.37
)%
  
0.79
%(d)
      
(0.62
)%(d)
        
--
      
$         76
        
33
%
 
 
--
      
$  8.42
    
(18.80
)%
  
2.03
%(d)
      
(0.83
)%(d)
        
--
      
$       200
        
34
%
 
                                                  
 
(0.07
)
      
$11.47
    
15.51
%
  
1.08
%(d)
      
1.41
%(d)
        
0.52
%(d)
      
$  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
%
 
 
(0.02
)
      
$  9.88
    
(17.20
)%
  
1.14
%(d)
      
0.52
%(d)
        
--
      
$  36,295
        
34
%
 
                                                  
 
(0.22
)
      
$11.13
    
1.62
%
  
1.99
%(d)
      
0.17
%(d)
        
--
      
$         10
        
88
%
 
 
(0.43
)
      
$11.90
    
11.11
%
  
2.15
%
      
(0.38
)%
        
--
      
$       229
        
80
%
 
 
--
      
$  9.80
    
(17.65
)%
  
2.14
%(d)
      
(0.52
)%(d)
        
--
      
$       320
        
34
%
 

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
Investment
Income
    
Distributions
from Net
Realized
Gain on
Investments
Managed Allocation Fund--Aggressive Growth(c)
 
1999
(d)
    
$10.00
        
0.02
        
0.77
        
0.79
        
(0.02
)
        
--
        
--
 
2000
(f)
    
$10.77
        
0.11
        
0.75
        
0.86
        
(0.11
)
        
(0.03
)
        
(0.00
)(g)
 
2001
(h)(i)
    
$11.49
        
0.07
        
(0.89
)
        
(0.82
)
        
(0.07
)
        
--
        
(0.34
)
 
2001
(j)
    
$10.26
        
(0.01
)
        
(1.13
)
        
(1.14
)
        
--
        
--
        
--
 
Managed Allocation Fund--Moderate Growth(c)
 
1999
(k)
    
$10.00
        
0.04
        
0.56
        
0.60
        
(0.04
)
        
--
        
--
 
2000
(f)
    
$10.56
        
0.18
        
0.54
        
0.72
        
(0.18
)
        
--
        
(0.01
)
 
2001
(h)(i)
    
$11.09
        
0.14
        
(0.48
)
        
(0.34
)
        
(0.14
)
        
--
        
(0.49
)
 
2001
(j)
    
$10.12
        
0.07
        
(0.67
)
        
(0.60
)
        
(0.07
)
        
--
        
--
 
Managed Allocation Fund--Conservative Growth(c)
 
1999
(l)
    
$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
(m)
        
(0.10
)
        
0.09
        
(0.20
)
        
--
        
(0.39
)
 
2001
(j)
    
$  9.89
        
0.16
(m)
        
(0.15
)
        
0.01
        
(0.15
)
        
--
        
--
 
New York Municipal Income Fund
 
1997
    
$  9.90
        
0.48
        
0.18
        
0.66
        
(0.48
)
        
--
        
--
 
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
)
        
--
        
--
 
2001
(j)
    
$10.24
        
0.21
        
0.31
        
0.52
        
(0.21
)
        
--
        
--
 
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
)
        
--
        
--
 
2001
(j)
    
$10.03
        
0.22
        
0.31
        
0.53
        
(0.22
)
        
--
        
--
 
Intermediate Term Bond Fund(c)
 
1997
(o)
    
$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
(h)(i)
    
$  9.18
        
0.49
        
0.28
        
0.77
        
(0.49
)
        
--
        
--
 
2001
(j)
    
$  9.46
        
0.27
(p)
        
0.37
        
0.64
        
(0.28
)
        
--
        
--
 
(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 (loss) ratios shown above.
(c)
 
Formerly Governor Lifestyle Growth Fund, Governor Lifestyle Moderate Growth Fund, Governor Lifestyle Conservative Growth Fund, Governor Pennsylvania Municipal Bond Fund and Governor Intermediate Term Income Fund, respectively.
(d)
 
Reflects operations for the period from February 18, 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)
 
Reflects operations for the six months ended October 31, 2001 (unaudited).
(k)
 
Reflects operations for the period from February 4, 1999 (date of initial public investment) to June 30, 1999.
(l)
 
Reflects operations for the period from February 3, 1999 (date of initial public investment) to June 30, 1999.
(m)
 
Based on average shares outstanding.
(n)
 
Reflects operations for the period from October 1, 1996 (date of initial public investment) to June 30, 1997.
(o)
 
Reflects operations for the period from December 2, 1996 (date of public investment) to June 30, 1997.
(p)
 
As required, effective May 1, 2001, the Fund has adopted the provisions of the AICPA Audit and Accounting Guide for Investment Companies and began amortizing premium on debt securities. The effect of this change for the six months ended October 31, 2001 resulted in a $0.01 decrease in the net investment income per share and a corresponding increase in the net realized and unrealized gain (loss) per share, and decreased the ratio of net investment income to average net assets from 5.79% to 5.56%. Per share, ratios and supplemental data for periods prior to October 31, 2001 have not been restated to reflect this change in presentation.

(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
                                                      
 
(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
%
 
 
--
      
$  9.12
    
(11.11
)%
    
1.00
%(e)
        
(0.25)
%(e)
        
0.82
%(e)
      
$    2,479
        
5
%
 
                                                      
 
(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
%
 
 
(0.07)
      
$  9.45
    
(5.95)
%
    
1.00
%(e)
        
1.39
%(e)
        
0.55
%(e)
      
$    4,126
        
2
%
 
                                                      
 
(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
%
 
 
(0.15)
      
$  9.75
    
0.13
%
    
1.00
%(e)
        
3.34
%(e)
        
2.74
%(e)
      
$    1,363
        
20
%
 
                                                      
 
(0.48)
      
$10.08
    
6.76
%
    
1.01
%
        
4.74
%
        
0.38
%
      
$  35,480
        
79
%
 
 
(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
%
 
 
(0.21)
      
$10.55
    
5.09
%
    
0.84
%(e)
        
3.99
%(e)
        
0.09
%(e)
      
$  79,420
        
28
%
 
                                                      
 
(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
%
 
 
(0.22)
      
$10.34
    
5.28
%
    
0.84
%(e)
        
4.15
%(e)
        
0.06
%(e)
      
$  84,651
        
11
%
 
                                                      
 
(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
%
 
 
(0.28)
      
$  9.82
    
6.84
%
    
0.66
%(e)
        
5.56
%(e)(p)
        
0.23
%(e)
      
$195,962
        
28
%
 

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
    
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
U.S. Government Securities Fund
 
1997
      
$9.31
        
0.58
        
(0.03
)
        
0.55
        
(0.58
)
        
--
        
--
 
1998
      
$9.28
        
0.60
        
0.34
        
0.94
        
(0.60
)
        
(0.01
)(c)
        
--
 
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
)
        
--
        
--
 
2001
(d)
      
$9.44
        
0.24
(g)
        
0.39
        
0.63
        
(0.29
)
        
--
        
--
 
New York Tax-Free Money Market Fund
 
1997
      
$1.00
        
0.03
        
--
        
0.03
        
(0.03
)
        
--
        
--
 
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
)
        
--
        
--
 
2001
(d)
      
$1.00
        
0.01
        
--
        
0.01
        
(0.01
)
        
--
        
--
 
Money Market Fund--Class A Shares
 
1997
      
$1.00
        
0.05
        
--
        
0.05
        
(0.05
)
        
--
        
--
 
1998
      
$1.00
        
0.05
        
--
        
0.05
        
(0.05
)
        
--
        
--
 
1999
      
$1.00
        
0.05
        
--
        
0.05
        
(0.05
)
        
--
        
--
 
2000
      
$1.00
        
0.05
        
--
        
0.05
        
(0.05
)
        
--
        
--
 
2001
      
$1.00
        
0.06
        
--
        
0.06
        
(0.06
)
        
--
        
--
 
2001
(d)
      
$1.00
        
0.02
        
--
        
0.02
        
(0.02
)
        
--
        
--
 
Money Market Fund--Class S Shares
 
1999
(f)
      
$1.00
        
0.04
        
--
        
0.04
        
(0.04
)
        
--
        
--
 
2000
      
$1.00
        
0.05
        
--
        
0.05
        
(0.05
)
        
--
        
--
 
2001
      
$1.00
        
0.05
        
--
        
0.05
        
(0.05
)
        
--
        
--
 
2001
(d)
      
$1.00
        
0.02
        
--
        
0.02
        
(0.02
)
        
--
        
--
 
Treasury Money Market Fund--Class A Shares
 
1997
      
$1.00
        
0.05
        
--
        
0.05
        
(0.05
)
        
--
        
--
 
1998
      
$1.00
        
0.05
        
--
        
0.05
        
(0.05
)
        
--
        
--
 
1999
      
$1.00
        
0.04
        
--
        
0.04
        
(0.04
)
        
--
        
--
 
2000
      
$1.00
        
0.05
        
--
        
0.05
        
(0.05
)
        
--
        
--
 
2001
      
$1.00
        
0.05
        
--
        
0.05
        
(0.05
)
        
--
        
--
 
2001
(d)
      
$1.00
        
0.02
        
--
        
0.02
        
(0.02
)
        
--
        
--
 
Treasury Money Market Fund--Class S Shares
 
1999
(f)
      
$1.00
        
0.04
        
--
        
0.04
        
(0.04
)
        
--
        
--
 
2000
      
$1.00
        
0.04
        
--
        
0.04
        
(0.04
)
        
--
        
--
 
2001
      
$1.00
        
0.05
        
--
        
0.05
        
(0.05
)
        
--
        
--
 
2001
(d)
      
$1.00
        
0.02
        
--
        
0.02
        
(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 ratios shown above.
(c)
 
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.
(d)
 
Reflects operations for the six months ended October 31, 2001 (unaudited).
(e)
 
Computed on an annualized basis.
(f)
 
Reflects operations for the period from June 8, 1998 (date of initial public investment) to April 30, 1999.
(g)
 
As required, effective May 1, 2001, the fund has adopted the provisions of the AICPA Audit and Accounting Guide for Investment Companies and began amortizing premium on debt securities. The effect of this change for the six months ended October 31, 2001 resulted in a $0.05 decrease in the net investment income per share and a corresponding increase in the net realized and unrealized gain (loss) per share, and decreased the ratio of net investment income to average net assets from 6.05% to 4.87%. Per share, ratios and supplemental data for periods prior to October 31, 2001 have not been restated to reflect this change in presentation.

(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
    
Expense Waiver/
Reimbursement(b)
  
Net Assets,
end of period
(000 omitted)
    
Portfolio
Turnover
Rate
                                                          
 
(0.58
)
        
$9.28
      
6.05
%
        
1.11
%
      
6.23
%
      
0.20
%
      
$      44,485
        
121
%
 
 
(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
%
 
 
(0.29
)
        
$9.78
      
6.79
%
        
0.96
%(e)
      
4.87
%(e)(g)
      
--
      
$    100,964
        
24
%
 
                                                          
 
(0.03
)
        
$1.00
      
2.96
%
        
0.50
%
      
2.95
%
      
0.35
%
      
$      56,618
        
--
 
 
(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
        
--
 
 
(0.01
)
        
$1.00
      
1.07
%
        
0.64
%(e)
      
2.09
%(e)
      
0.09
%(e)
      
$    191,542
        
--
 
                                                          
 
(0.05
)
        
$1.00
      
4.93
%
        
0.61
%
      
4.77
%
      
0.10
%
      
$    599,817
        
--
 
 
(0.05
)
        
$1.00
      
5.11
%
        
0.64
%
      
5.00
%
      
0.05
%
      
$    686,259
        
--
 
 
(0.05
)
        
$1.00
      
4.76
%
        
0.63
%
      
4.64
%
      
0.05
%
      
$    932,896
        
--
 
 
(0.05
)
        
$1.00
      
4.95
%
        
0.63
%
      
4.87
%
      
0.05
%
      
$ 1,095,128
        
--
 
 
(0.06
)
        
$1.00
      
5.85
%
        
0.64
%
      
5.67
%
      
0.05
%
      
$ 1,598,305
        
--
 
 
(0.02
)
        
$1.00
      
1.67
%
        
0.68
%(e)
      
3.28
%(e)
      
0.12
%(e)
      
$ 1,740,037
        
--
 
                                                          
 
(0.04
)
        
$1.00
      
3.98
%
        
0.88
%(e)
      
4.42
%(e)
      
0.05
%(e)
      
$      16,368
        
--
 
 
(0.05
)
        
$1.00
      
4.69
%
        
0.88
%
      
4.71
%
      
0.05
%
      
$      48,760
        
--
 
 
(0.05
)
        
$1.00
      
5.59
%
        
0.89
%
      
5.48
%
      
0.05
%
      
$      61,450
        
--
 
 
(0.02
)
        
$1.00
      
1.55
%
        
0.93
%(e)
      
2.98
%(e)
      
0.14
%(e)
      
$      98,370
        
--
 
                                                          
 
(0.05
)
        
$1.00
      
4.82
%
        
0.58
%
      
4.75
%
      
0.10
%
      
$    373,485
        
--
 
 
(0.05
)
        
$1.00
      
4.98
%
        
0.59
%
      
4.96
%
      
0.08
%
      
$    441,422
        
--
 
 
(0.04
)
        
$1.00
      
4.54
%
        
0.59
%
      
4.49
%
      
0.08
%
      
$    498,548
        
--
 
 
(0.05
)
        
$1.00
      
4.71
%
        
0.58
%
      
4.62
%
      
0.08
%
      
$    423,685
        
--
 
 
(0.05
)
        
$1.00
      
5.60
%
        
0.59
%
      
5.45
%
      
0.09
%
      
$    790,307
        
--
 
 
(0.02
)
        
$1.00
      
1.66
%
        
0.59
%(e)
      
3.23
%(e)
      
0.09
%(e)
      
$    791,922
        
--
 
                                                          
 
(0.04
)
        
$1.00
      
3.77
%
        
0.84
%(e)
      
4.17
%(e)
      
0.08
%(e)
      
$      21,153
        
--
 
 
(0.04
)
        
$1.00
      
4.45
%
        
0.83
%
      
4.36
%
      
0.08
%
      
$      20,704
        
--
 
 
(0.05
)
        
$1.00
      
5.34
%
        
0.84
%
      
5.26
%
      
0.09
%
      
$      21,070
        
--
 
 
(0.02
)
        
$1.00
      
1.53
%
        
0.84
%(e)
      
2.98
%(e)
      
0.09
%(e)
      
$      30,597
        
--
 

77

 
VISION Group of Funds
Notes to Financial Statements
October 31, 2001 (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 eighteen 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'') (formerly Governor 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'') (formerly Governor Aggressive Growth
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'') (formerly Governor Established Growth
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 Fund (``Aggressive Growth Fund'')(formerly
Governor Lifestyle Growth Fund) (d)
  
Seeks capital appreciation.
VISION Managed Allocation Fund -- Moderate
Growth Fund (``Moderate Growth Fund'') (formerly
Governor Lifestyle Moderate Growth Fund) (d)
  
Seeks capital appreciation and secondarily, income.
VISION Managed Allocation Fund -- Conservative
Growth Fund (``Conservative Growth Fund'')
(formerly Governor Lifestyle 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'') (formerly
Governor Pennsylvania Municipal Bond 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'') (formerly
Governor Intermediate Term Income 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.

78

VISION Group of Funds
Portfolio Name
  
Investment Objective
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
 
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.
 
On January 4, 2001, Treasury Money Market Fund acquired all the net assets of Governor U.S. Treasury Obligations Money Market Fund in a tax-free reorganization as follows:
 
Class A Shares of
Treasury Money Market
Fund Issued
    
Governor U.S. Treasury
Obligations Money Market
Fund Net Assets
Received
 
Net Assets of Treasury
Money Market Fund Prior
to Combination
  
Net Assets of the
Governor U.S.
Treasury Obligations
Money Market Fund
Immediately Prior to
Combination
 
Net Assets of Treasury
Money Market Fund
Immediately After
Combination
15,404,486
    
$15,404,486
 
$710,710,568
  
$15,404,486
 
$726,115,054
 
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 and 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; 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 of these VISION funds 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 August 31, 2001, Institutional Shares were added to the Money Market 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.
 
 
Investment Valuations--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'').

79

VISION Group of Funds

 
 
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. Bond premium and discount, if applicable, are amortized/accreted as required by the Internal Revenue Code, as amended (the ``Code'') and for financial reporting purposes. 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, 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 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 difference 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.
 
Change in Accounting Principle
 
 
As required, effective May 1, 2001, the Trust has adopted the provisions of the AICPA Audit and Accounting Guide for Investment Companies and began amortizing long-term premiums and discounts on debt securities. Prior to May 1, 2001, the Funds did not amortize long-term premiums and discounts on debt securities. The cumulative effect of this accounting change had no impact on total net assets of the Funds, but resulted in the following adjustments based on securities held by the Funds on May 1, 2001:
 
    
Undistributed
(Distributions
in Excess of)
Net Investment
Income
  
Accumulated
Net Realized
Loss
  
Unrealized
Appreciation
Intermediate Bond Fund
      
$(218,753
)
      
$105,515
      
$113,238
 
U.S. Government Securities Fund
      
(184,076
)
      
108,673
      
75,403
 
 
 
The effect of this change for the six months ended October 31, 2001 was as follows:
 
    
Distributions
in Excess of
Net Investment
Income
  
Accumulated
Net Realized
Loss
  
Unrealized
Appreciation
Intermediate Bond Fund
      
$(234,690
)
      
$120,498
      
$114,192
 
U.S. Government Securities Fund
      
(580,093
)
      
208,193
      
371,900
 
 
 
The statement of changes in net assets and financial highlights for prior periods have not been restated to reflect this change in presentation. For the Funds of the Trust not indicated above, the adoption of the Guide did not have any effect on their financial statements.
 

80

VISION Group of Funds

 
 
Federal Taxes--It is the policy of the Funds to comply with the provisions of 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, 2001 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
  
Total Capital
Loss
Carryforwards
Mid Cap Stock Fund
    
$3,307,137
      
$                 --
      
$               --
      
$   3,307,137
 
Large Cap Growth Fund
    
--
      
--
      
725,317
      
725,317
 
U.S. Government Securities Fund
    
--
      
447,818
      
--
      
447,818
 
Intermediate Term Bond Fund
    
--
      
12,202,481
      
8,316,537
      
20,519,018
 
Managed Allocation Fund--Conservative
     Growth
    
--
      
--
      
1,458
      
1,458
 
Pennsylvania Municipal Income Fund
    
--
      
1,311,632
      
3,017,858
      
4,329,490
 
New York Municipal Income Fund
    
--
      
232,213
      
59,102
      
291,315
 
 
 
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 change 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 counterparts to meet the terms of their commitments and from unanticipated movements in security prices or foreign exchange rates. The foreign currency transactions are adjusted by the daily exchange rate of the underlying currency and any gains or losses are recorded for financial statement purposes as unrealized until the settlement date.

81

VISION Group of Funds

 
 
At October 31, 2001, the International Equity Fund had outstanding foreign currency commitments as set forth below:
 
Settlement Date
  
Contracts to
Deliver/Receive
  
In
Exchange for
  
Contracts
at Value
    
Net
Unrealized
Appreciation
(Depreciation)
Contracts Purchased:
                       
 
 
November 5, 2001
  
550,000 Australian Dollar
    
$    277,695
      
$    276,514
        
$   (1,181
)
 
January 11, 2002
  
6,050,000 Australian Dollar
    
3,074,704
      
3,030,217
        
(44,487
)
 
November 2, 2001

  
1,525,000 British Pound
Sterling
    
2,216,740

      
2,215,369

        
(1,371
)
 
January 11, 2002

  
1,390,000 British Pound
Sterling
    
2,012,146

      
2,012,836

        
690
 
November 2, 2001
  
775,000 Danish Krone
    
93,746
      
93,606
        
(140
)
 
November 2, 2001
  
3,500,000 Euro Currency
    
3,152,100
      
3,148,074
        
(4,026
)
 
January 11, 2002
  
4,900,000 Euro Currency
    
4,300,240
      
4,395,475
        
95,235
 
November 2, 2001
  
950,000 Hong Kong Dollar
    
121,797
      
121,795
        
(2
)
 
January 11, 2002
   900,000 Hong Kong Dollar     
115,411
      
115,403
        
(8
)
 
November 5, 2001
  
230,000,000 Japanese Yen
    
1,880,467
      
1,877,462
        
(3,005
)
 
January 11, 2002
  
42,000,000 Japanese Yen
    
349,902
      
344,249
        
(5,653
)
 
November 2, 2001
  
250,000 Norwegian Krone
    
28,249
      
28,091
        
(158
)
 
November 2, 2001
  
2,950,000 Swedish Krona
    
277,386
      
276,556
        
(830
)
 
January 11, 2002
  
6,000,000 Swedish Krona
    
565,931
      
560,696
        
(5,235
)
 
November 2, 2001
  
925,000 Swiss Franc
    
566,442
      
565,645
        
(797
)
 
January 11, 2002
   900,000 Swiss Franc     
532,051
      
550,493
        
18,442
 
Contracts Sold:
                       
 
 
January 11, 2002
  
650,000 Australian Dollar
    
338,510
      
325,561
        
12,949
 
January 11, 2002

  
3,700,000 British Pound
Sterling
    
5,286,385

      
5,354,345

        
(67,960
)
 
January 11, 2002
  
1,290,000 Euro Currency
    
1,182,485
      
1,157,176
        
25,309
 
January 11, 2002
  
5,150,000 Hong Kong Dollar
    
660,411
      
660,363
        
48
 
January 11, 2002
  
382,000,000 Japanese Yen
    
3,122,168
      
3,131,030
        
(8,862
)
 
January 11, 2002
  
1,600,000 Swedish Krona
    
150,567
      
149,519
        
1,048
 
                       
 



   
Net Unrealized
Appreciation
on Foreign Exchange
Contracts
                    
$10,006
 
                       
 
 
 
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. Purchases 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 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.

82

VISION Group of Funds

 
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 by the Funds' pricing committee.
 
 
Change in Fiscal Year--The VISION International Equity Fund, VISION Small Cap Stock Fund, VISION Large Cap Core Fund, VISION Managed Allocation Fund--Aggressive Growth, VISION Managed Allocation Fund--Moderate Growth, VISION Managed Allocation Fund--Conservative Growth, VISION Pennsylvania Municipal Income Fund, and VISION Intermediate Term Bond Fund changed their fiscal year end from June 30 to April 30.
 
 
Use of Estimates--The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts of assets, liabilities, expenses and revenues reported in the financial statements. Actual results could differ from those estimated.
 
 
Other--Investment transactions are accounted for on a trade date basis.
 
Capital Stock
 
At October 31, 2001, 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, Managed Allocation Fund-Aggressive Growth, Managed Allocation Fund-Moderate Growth, Managed Allocation Fund-Conservative Growth, New York Municipal Income Fund, Pennsylvania Municipal Income Fund, Intermediate Term Bond Fund, U.S. Government Securities Fund and 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 $191,542,428, par value was $191,542; Money Market Fund aggregated $1,838,442,034, par value was $1,838,442, and Treasury Money Market Fund aggregated $822,518,817, par value was $822,519. Transactions in capital stock were as follows:
 
 
International Equity Fund
 
Six Months Ended
October 31, 2001
 
Period Ended
April 30, 2001(a)
 
Year Ended
June 30, 2000
Class A Shares
 
Shares
 
Amount
 
Shares
 
Amount
 
Shares
 
Amount
Shares sold
 
1,488,924
 
$12,998,880
 
669,427
 
$   6,961,276
 
1,078,265
 
$12,187,174
           
Shares issued to shareholders in
     payment of distributions declared
 
--
 
--
 
118,891
 
1,201,992
 
34,885
 
408,746
           
Shares redeemed
 
(382,589
)
 
(3,484,518
)
 
(1,002,006
)
 
(10,047,065
)
 
(1,013,473
)
 
(11,454,151
)
 
 
 
 
 
 
          Net change resulting from Class
               A Share transactions
 
1,106,335
 
$   9,514,362
 
(213,688
)
 
$  (1,883,797
)
 
99,677
 
$  1,141,769
 
 
 
 
 
 
 
  
International Equity Fund
 
 
Six Months Ended
October 31, 2001
 
Period Ended
April 30, 2001(b)
   
Class B Shares
 
Shares
 
Amount
 
Shares
 
Amount
   
Shares sold
 
1,491
 
$         13,250
 
505
 
$            4,749
 
 
 
 
 
 
 
 
   
          Net change resulting from Class
               B Share Transactions
 
1,491
 
$         13,250
 
505
 
$            4,749
 
 
 
 
 
 
 
 
   
          Net change resulting from share
               transactions
 
1,107,826
 
$    9,527,612
 
(213,183
)
 
$   (1,879,048
)
 
 
 
 
 
 
 
 
   

83

VISION Group of Funds
 
Small Cap Stock Fund
 
Six Months Ended
October 31, 2001
 
Period Ended
April 30, 2001(a)
 
Year Ended
June 30, 2000
Class A Shares
 
Shares
 
Amount
 
Shares
 
Amount
 
Shares
 
Amount
Shares sold
 
1,140,833
 
$ 10,407,917
 
5,524,508
 
$ 58,049,332
 
7,805,388
 
$ 86,895,351
           
Shares issued to shareholders in
     payment of distributions declared
 
--
 
--
 
1,288,345
 
13,566,276
 
1,936,764
 
18,728,504
           
Shares redeemed
 
(1,616,948
)
 
(16,111,100
)
 
(8,027,364
)
 
(84,486,316
)
 
(8,810,987
)
 
(99,376,242
)
 
 
 
 
 
 
          Net change resulting from
               Class A Share transactions
 
(476,115
)
 
$   (5,703,183
)
 
(1,214,511
)
 
$(12,870,708
)
 
931,165
 
$   6,247,613
 
 
 
 
 
 
 
Small Cap Stock Fund
 
 
Six Months Ended
 
Period Ended
   
Class B Shares
 
Shares
 
Amount
 
Shares
 
Amount
   
Shares sold
 
11,351
 
$       107,831
 
3,464
 
$          33,435
 
 
 
 
           
Shares redeemed
 
(463
)
 
(4,622
)
 
--
 
--
 
 
 
 
 
 
 
 
   
          Net change resulting from
               Class B Share transactions
 
10,888
 
$       103,209
 
3,464
 
$          33,435
 
 
 
 
 
 
 
 
   
          Net change resulting from
               share transactions
 
(465,227
)
 
$   (5,599,974
)
 
(1,211,047
)
 
$ (12,837,273
)
 
 
 
 
 
 
 
 
   
 
  
Mid Cap Stock Fund
  
Six Months Ended
  
Year Ended
Class A Shares
  
Shares
  
Amount
  
Shares
  
Amount
Shares sold
  
784,112
  
$10,753,841
  
1,436,501
  
$ 21,312,846
           
Shares issued to shareholders in payment of distributions
     declared
  
--
  
--
  
876,393
  
12,444,777
           
Shares redeemed
  
(743,593
)
  
(10,402,863
)
  
(1,216,151
)
  
(18,133,951
)
  
  
  
  
          Net change resulting from Class A Share transactions
  
40,519
  
$      350,978
  
1,096,743
  
$ 15,623,672
  
  
  
  
  
Mid Cap Stock Fund
  
Six Months Ended
  
Year Ended
Class B Shares
  
Shares
  
Amount
  
Shares
  
Amount
Shares sold
  
27,594
  
$       375,437
  
89,766
  
$   1,297,849
           
Shares issued to shareholders in payment of distributions
     declared
  
--
  
--
  
4,190
  
59,199
           
Shares redeemed
  
(1,164
)
  
(16,067
)
  
(2,511
)
  
(36,129
)
  
  
  
  
Net change resulting from Class B Share transactions
  
26,430
  
$       359,370
  
91,445
  
$   1,320,919
  
  
  
  
          Net change resulting from share transactions
  
66,949
  
$       710,348
  
1,188,188
  
$ 16,944,591
  
  
  
  

84

VISION Group of Funds

 
  
Large Cap Growth Fund
  
Six Months Ended
  
Year Ended
Class A Shares
  
Shares
    
Amount
  
Shares
    
Amount
Shares sold
  
339,150
    
$2,779,768
  
778,666
    
$7,109,812
               
Shares issued to shareholders in payment of distributions declared
  
--
    
--
  
644
    
5,994
               
Shares redeemed
  
(50,461
)
    
(407,729
)
  
(17,769
)
    
(163,428
)
  
    
  
    
          Net change resulting from Class A Share transactions
  
288,689
    
$2,372,039
  
761,541
    
$6,952,378
  
    
  
    
  
Large Cap Growth Fund
  
Six Months Ended
October 31, 2001
  
Year Ended
Class B Shares
  
Shares
    
Amount
  
Shares
    
Amount
Shares sold
  
27,528
    
$    220,401
  
48,607
    
$    446,692
               
Shares issued to shareholders in payment of distributions declared
  
--
    
--
  
26
    
240
               
Shares redeemed
  
(2,033
)
    
(16,249
)
  
(520
)
    
(4,920
)
  
    
  
    
          Net change resulting from Class B Share transactions
  
25,495
    
$    204,152
  
48,113
    
$    442,012
  
    
  
    
          Net change resulting from share transactions
  
314,184
    
$ 2,576,191
  
809,654
    
$ 7,394,390
  
    
  
    
 
 
Large Cap Core Fund
 
Six Months Ended
October 31, 2001
 
Period Ended
April 30, 2001(a)
 
Year Ended
June 30, 2000
Class A Shares
 
Shares
 
Amount
 
Shares
 
Amount
 
Shares
 
Amount
Shares sold
 
1,744,362
 
$ 16,052,810
 
4,135,310
 
$ 48,117,433
 
6,346,779
 
$87,957,373
           
Shares issued to shareholders in
     payment of distributions declared
 
--
 
--
 
2,013,737
 
24,829,377
 
4,243,667
 
53,919,438
           
Shares redeemed
 
(2,432,898
)
 
(23,353,914
)
 
(7,083,137
)
 
(83,036,947
)
 
(6,668,074
)
 
(93,135,539
)
 
 
 
 
 
 
          Net change resulting from
               Class A Share transactions
 
(688,536
)
 
$  (7,301,104
)
 
(934,090
)
 
$(10,090,137
)
 
3,922,372
 
$48,741,272
 
 
 
 
 
 
 
Large Cap Core Fund
   
 
Six Months Ended
October 31, 2001
 
Period Ended
April 30, 2001(c)
   
Class B Shares
 
Shares
 
Amount
 
Shares
 
Amount
   
Shares sold
 
16,380
 
$       155,688
 
8,062
 
$         81,194
 
 
 
 
           
Shares redeemed
 
--
 
--
 
(722
)
 
(6,845
)
 
 
 
 
 
 
 
 
   
          Net change resulting from
               Class B Share transactions
 
16,380
 
$       155,688
 
7,340
 
$         74,349
 
 
 
 
 
 
 
 
   
          Net change resulting from
               share transactions
 
(672,156
)
 
$   (7,145,416
)
 
(926,750
)
 
$(10,015,788
)
 
 
 
 
 
 
 
 
   

85

VISION Group of Funds

 
 
Large Cap Value Fund
 
Six Months Ended
October 31, 2001
 
Year Ended
April 30, 2001
Class A Shares
 
Shares
 
Amount
 
Shares
 
Amount
Shares sold
 
780,403
 
$8,671,446
 
1,039,108
 
$11,728,847
       
Shares issued to shareholders in payment of distributions declared
 
5,029
 
52,915
 
87,801
 
964,816
       
Shares redeemed
 
(275,916
)
 
(3,060,157
)
 
(719,494
)
 
(8,192,315
)
 
 
 
 
          Net change resulting from Class A Share transactions
 
509,516
 
$5,664,204
 
407,415
 
$  4,501,348
 
 
 
 
 
Large Cap Value Fund
 
Six Months Ended
October 31, 2001
 
Year Ended
April 30, 2001
Class B Shares
 
Shares
 
Amount
 
Shares
 
Amount
Shares sold
 
16,931
 
$    177,760
 
18,909
 
$      216,544
       
Shares issued to shareholders in payment of distributions declared
 
--
 
--
 
144
 
1,575
       
Shares redeemed
 
(3,472
)
 
(38,555
)
 
(697
)
 
(7,739
)
 
 
 
 
          Net change resulting from Class B Share transactions
 
13,459
 
$    139,205
 
18,356
 
$      210,380
 
 
 
 
          Net change resulting from share transactions
 
522,975
 
$ 5,803,409
 
425,771
 
$   4,711,728
 
 
 
 
 
 
Managed Allocation Fund--Aggressive Growth
 
Six Months Ended
October 31, 2001
 
Period Ended
April 30, 2001(a)
 
Year Ended
June 30, 2000
 
Shares
 
Amount
 
Shares
 
Amount
 
Shares
 
Amount
Shares sold
 
126,991
 
$1,244,033
 
56,846
 
$606,255
 
103,808
 
$1,151,088
           
Shares issued to shareholders in payment of
     distributions declared
 
--
 
--
 
4,179
 
45,754
 
641
 
7,249
           
Shares redeemed
 
(14,300
)
 
(135,491
)
 
(19,530
)
 
(209,752
)
 
(6,925
)
 
(78,363
)
 
 
 
 
 
 
          Net change resulting from share transactions
 
112,691
 
$1,108,542
 
41,495
 
$442,257
 
97,524
 
$1,079,974
 
 
 
 
 
 
 
 
Managed Allocation Fund--Moderate Growth
 
Six Months Ended
October 31, 2001
 
Period Ended
April 30, 2001(a)
 
Year Ended
June 30, 2000
 
Shares
 
Amount
 
Shares
 
Amount
 
Shares
 
Amount
Shares sold
 
268,698
 
$2,616,557
 
97,803
 
$987,947
 
94,448
 
$ 1,013,278
           
Shares issued to shareholders in payment of
     distributions declared
 
2,151
 
20,122
 
6,623
 
69,305
 
1,097
 
11,924
           
Shares redeemed
 
(24,194
)
 
(234,131
)
 
(24,057
)
 
(244,960
)
 
(13,057
)
 
(143,490
)
 
 
 
 
 
 
          Net change resulting from share transactions
 
246,655
 
$2,402,548
 
80,369
 
$812,292
 
82,488
 
$    881,712
 
 
 
 
 
 

86

VISION Group of Funds

 
 
Managed Allocation Fund--Conservative Growth
 
Six Months Ended
October 31, 2001
 
Period Ended
April 30, 2001(a)
 
Year Ended
June 30, 2000
 
Shares
 
Amount
 
Shares
 
Amount
 
Shares
 
Amount
Shares sold
 
100,101
 
$984,836
   
23,421
   
$229,927
   
18,022
   
$183,374
                   
Shares issued to shareholders in payment of
     distributions declared
 
1,564
 
14,978
   
1,558
   
15,590
   
472
   
4,841
                   
Shares redeemed
 
(7,167
)
 
(69,866
)
   
(9,615
)
   
(95,414
)
   
(3,323
)
   
(34,299
)
 
 
   
   
   
   
          Net change resulting from share transactions
 
94,498
 
$929,948
   
15,364
   
$150,103
   
15,171
   
$153,916
 
 
   
   
   
   
 
    
New York Municipal Income Fund
    
Six Months Ended
October 31, 2001
  
Year Ended
April 30, 2001
    
Shares
    
Amount
  
Shares
    
Amount
Shares sold
    
878,655
    
$9,168,436
  
3,518,054
    
$35,273,609
 
               
Shares issued to shareholders in payment of
     distributions declared
    
61,026
    
637,839
  
135,951
    
1,371,565
 
               
Shares redeemed
    
(721,996
)
    
(7,528,625
)
  
(1,290,142
)
    
(13,019,996
)
    
    
  
    
          Net change resulting from share transactions
    
217,685
    
$2,277,650
  
2,363,863
    
$23,625,178
    
    
  
    
 
 
Pennsylvania Municipal Income Fund
 
Six Months Ended
October 31, 2001
 
Period Ended
April 30, 2001(a)
 
Year Ended June 30, 2000
 
Shares
 
Amount
 
Shares
 
Amount
 
Shares
 
Amount
Shares sold
 
461,751
 
$ 4,707,710
 
769,878
 
$   7,673,783
 
4,329,280
 
$ 42,044,692
           
Shares issued to shareholders in
     payment of distributions
     declared
 
6,449
 
65,823
 
10,868
 
108,208
 
18,000
 
176,708
           
Shares redeemed
 
(879,029
)
 
(8,992,528
)
 
(1,669,168
)
 
(16,697,133
)
 
(5,992,222
)
 
(58,641,802
)
 
 
 
 
 
 
          Net change resulting from
               share transactions
 
(410,829
)
 
$(4,218,995
)
 
(888,422
)
 
$  (8,915,142
)
 
(1,644,942
)
 
$(16,420,402
)
 
 
 
 
 
 
 
 
Intermediate Term Bond Fund
 
Six Months Ended
October 31, 2001
 
Period Ended
April 30, 2001(a)
 
Year Ended
June 30, 2000
 
Shares
 
Amount
 
Shares
 
Amount
 
Shares
 
Amount
Shares sold
 
1,379,504
 
$ 13,172,815
 
2,122,988
 
$ 19,940,685
 
7,800,195
 
$   72,228,909
           
Shares issued to shareholders in
     payment of distributions
     declared
 
91,227
 
873,023
 
424,556
 
3,951,150
 
647,909
 
5,999,134
           
Shares redeemed
 
(4,464,478
)
 
(42,624,727
)
 
(6,320,571
)
 
(59,507,892
)
 
(13,960,961
)
 
(129,227,892
)
 
 
 
 
 
 
          Net change resulting from
               share transactions
 
(2,993,747
)
 
$(28,578,889
)
 
(3,773,027
)
 
$(35,616,057
)
 
(5,512,857
)
 
$  (50,999,849
)
 
 
 
 
 
 

87

VISION Group of Funds

 
    
U.S. Government Securities Fund
    
Six Months Ended
  
Year Ended
      
Shares
  
Amount
  
Shares
  
Amount
Shares sold
    
2,067,735
  
$ 19,679,497
  
4,166,597
  
$38,486,665
             
Shares issued to shareholders in payment of
     distributions declared
    
130,337
  
1,243,067
  
257,332
  
2,383,939
             
Shares redeemed
    
(1,297,058
)
  
(12,414,573
)
  
(1,664,875
)
  
(15,406,694
)
    
  
  
  
          Net change resulting from share
               transactions
    
901,014
  
$   8,507,991
  
2,759,054

  
 
$25,463,910
    
  
  
  
    
New York Tax-Free
Money Market Fund
    
Six Months Ended
October 31, 2001
  
Year Ended
April 30, 2001
Shares sold
      
998,441,866
    
1,536,158,356
           
Shares issued to shareholders in payment of distributions declared
      
941,008
    
2,856,794
           
Shares redeemed
      
(966,199,196
)
    
(1,553,447,441
)
      
    
          Net change resulting from share transactions
      
33,183,678
    
(14,432,291
)
      
    
    
Money Market Fund
Class A Shares
    
Six Months Ended
October 31, 2001
  
Year Ended
April 30, 2001
Shares sold
      
56,310,222,335
    
83,759,967,105
           
Shares issued to shareholders in payment of distributions declared
      
14,294,658
    
42,093,381
           
Shares redeemed
      
(56,182,785,084
)
    
(83,298,883,597
)
      
    
          Net change resulting from Class A Share transactions
      
141,731,909
    
503,176,889
      
    
    
Money Market Fund
Class S Shares
    
Six Months Ended
  
Year Ended
April 30, 2001
Shares sold
      
10,363,139,455
    
16,703,026,582
           
Shares issued to shareholders in payment of distributions declared
      
3
    
571
           
Shares redeemed
      
(10,326,219,866
)
    
(16,690,336,832
)
      
    
          Net change resulting from Class S Share transactions
      
36,919,592
    
12,690,321
      
    

88

VISION Group of Funds

 
    
Money Market Fund
Institutional Shares
    
Period Ended
October 31, 2001(d)
    
Year Ended
April 30, 2001
Shares sold
      
85,250
        
--
 
                  
Shares issued to shareholders in payment of distributions declared
      
53
        
--
 
                  
Shares redeemed
      
(50,001
)
        
--
 
       
        
 
          Net change resulting from Institutional Shares transactions
      
35,302
        
--
 
       
        
 
                   Net change resulting from share transactions
      
178,686,803
        
515,867,210
 
       
        
 
 
  
Treasury Money Market Fund
Class A Shares
  
Six Months Ended
October 31, 2001
    
Year Ended
April 30, 2001
Shares sold
    
12,721,890,626
      
17,209,039,877
           
Shares issued to shareholders in payment of distributions declared
    
1,219,397
      
3,912,668
           
Shares redeemed
    
(12,721,494,582
)
      
(16,846,330,483
)
    
      
          Net change resulting from Class A Share transactions
    
1,615,441
      
366,622,062
    
      
 
  
Treasury Money Market Fund
Class S Shares
  
Six Months Ended
October 31, 2001
    
Year Ended
April 30, 2001
Shares sold
    
3,298,344,447
      
5,730,481,156
           
Shares issued to shareholders in payment of distributions declared
    
3
      
12
           
Shares redeemed
    
(3,288,817,413
)
      
(5,730,115,002
)
    
      
          Net change resulting from Class S Share transactions
    
9,527,037
      
336,166
    
      
                   Net change resulting from share transactions
    
11,142,478
      
366,988,228
    
      
 
a)
 
Reflects operations for the period from July 1, 2000 to April 30, 2001.
b)
 
Reflects operations for the period from January 10, 2001 (date of initial public investment) to April 30, 2001.
c)
 
Reflects operations for the period from January 18, 2001 (date of initial public investment) to April 30, 2001.
d)
 
Reflects operations for the period from September 4, 2001 (date of initial public investment) to October 31, 2001.

89

VISION Group of Funds

 
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.
 
Pursuant to a contractual agreement between M&T and the Trust, the Adviser will waive a portion of the management fee during the one year period ending January 8, 2002, for International Equity Fund, Managed Allocation Fund--Aggressive Growth, Managed Allocation Fund--Moderate Growth, Managed Allocation Fund--Conservative Growth, Pennsylvania Municipal Income Fund, Intermediate Term Bond Fund and Treasury Money Market Fund.
 
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
%
 
Managed Allocation Fund--Aggressive Growth
    
0.25
%
 
Managed Allocation Fund--Moderate Growth
    
0.25
%
 
Managed Allocation Fund--Conservative Growth
    
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
%
 
 
Prior to January 8, 2001, Martindale Andres & Company, LLC (formerly Martindale Andres & Company, Inc.) acted as Investment Advisor to the Governor Funds. Effective May 31, 2000, Governors Group Advisors, Inc. reorganized into Martindale Andres & Company, LLC (``Martindale'') a wholly owned subsidiary of Keystone Financial, Inc., with no resulting change of actual control or management. Martindale assumed all of the obligations and responsibilities of Governors Group Advisors, Inc. under the Investment Advisory Agreement with the Governor Funds and under the Sub-Advisory Agreement with Brinson Partners, Inc., sub-advisor to the International Equity Fund. For its services as Investment Advisor, Martindale was entitled to receive a fee, computed daily and paid monthly, based on the average daily net assets of the fund, at the following annual percentage rates:
 
Fund Name
  
Fee
Rate
Governor International Equity Fund
  
1.25
%
Governor Aggressive Growth Fund
  
1.00
%
Governor Established Growth Fund
  
0.75
%
Governor Lifestyle Growth Fund
  
0.25
%
Governor Lifestyle Moderate Growth Fund
  
0.25
%
Governor Lifestyle Conservative Growth Fund
  
0.25
%
Governor Pennsylvania Municipal Bond Fund
  
0.60
%
Governor Intermediate Term Income Fund
  
0.60
%
Governor U.S. Treasury Obligations Money Market Fund
  
0.40
%

90

VISION Group of Funds

 
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 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.
 
Independent Investment Associates (``IIA'') 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. IIA's fee is paid by the Adviser and not the Fund. IIA 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. Montag & Caldwell 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 the 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 the 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 the Small Cap Stock Fund. For its services under the Sub-Advisory Agreement, Mazama receives an allocable portion of the advisory fee the Adviser receives from the Small Cap Stock Fund. The allocation is based on the amount of securities which Mazama manages for the Fund. This 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.
 
Brinson Partners, Inc. (``Brinson'') 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 Brinson manages for the Fund. The fee is paid by the Adviser out of the fees it receives and is not a Fund expense. Brinson 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; 0.30% on average daily net assets over $200 million.
 
Administrative Fee--Federated Services Company (``FServ'') and M&T Securities, Inc. serve as co-administrators to the Trust and provide the Funds with certain administrative personnel and services necessary to operate the Funds. Administrative services are provided for an aggregate annual fee as specified below:
 
Fee 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
 
Fee 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

91

VISION Group of Funds

 
Prior to January 8, 2001, BISYS Fund Services Ohio, Inc. (``BISYS Ohio''), served the Governor Funds as Co-Administrator, to which certain VISION Funds succeeded on January 8, 2001. BISYS Ohio is a wholly owned subsidiary of The BISYS Group, Inc., with whom certain officers of the Governor Funds were affiliated. Such officers were paid no fees directly by the Governor Funds for serving as officers of the Governor Funds. Martindale, served as the other Co-Administrator. Under terms of the administration agreement, BISYS Ohio and Martindale were entitled to receive from the Governor Funds, except the Lifestyle Funds (now the Managed Allocation Funds), a fee computed daily and paid monthly, based on the average daily net assets of the fund at an annual rate of 0.15%. Administration fees were paid by the underlying funds in the Lifestyle Funds.
 
FServ and M&T Securities, Inc. 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. FServ may voluntarily choose to waive a portion of its fee. FServ can modify or terminate this voluntary waiver at any time at its sole discretion.
 
State Street Bank provides financial administration and fund accounting services to the Funds.
 
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, 2001, the Funds' Class A Shares did not pay or accrue a distribution services fee. Pursuant to a contractual agreement between FSC and the Trust, the Class A Shares of International Equity Fund, Small Cap Stock Fund, Large Cap Core Fund, Managed Allocation Fund-Aggressive Growth, Managed Allocation Fund-Moderate Growth, Managed Allocation Fund-Conservative Growth, Pennsylvania Municipal Income Fund and Intermediate Bond Fund will not pay or accrue the distribution services fee for the one year ending January 8, 2002.
 
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, M&T 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 is used to finance certain services for shareholders and to maintain shareholder accounts. M&T may voluntarily choose to waive any portion of its fee with respect to the Funds. M&T can modify or terminate this voluntary waiver at any time at its sole discretion.
 
Pursuant to a contractual agreement, between FAS and M&T, Large Cap Core Fund, Class A Shares, Intermediate Term Bond Fund and Treasury Money Market Fund will not pay or accrue the shareholder services fee during the one year period ending January 8, 2002.
 
Interfund Transactions--During the six months ended October 31, 2001, the 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 $141,910,000 and $93,800,000, respectively.
 
General--Certain of the Officers of the Trust are Officers and Directors or Trustees of the above companies.

92

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, 2001, were as follows:
 
Fund Name
    
Purchases
    
Sales
International Equity Fund
    
$18,192,512
    
$   8,517,462
Small Cap Stock Fund
    
81,980,819
    
97,180,537
Mid Cap Stock Fund
    
45,781,483
    
48,897,360
Large Cap Growth Fund
    
5,778,597
    
3,701,273
Large Cap Core Fund
    
60,575,885
    
64,750,362
Large Cap Value Fund
    
19,010,739
    
12,511,685
Managed Allocation Fund--Aggressive Growth
    
1,175,084
    
91,401
Managed Allocation Fund--Moderate Growth
    
2,329,024
    
56,534
Managed Allocation Fund--Conservative Growth
    
1,008,330
    
157,289
New York Municipal Income Fund
    
24,779,371
    
20,794,260
Pennsylvania Municipal Income Fund
    
8,923,989
    
12,467,195
Intermediate Term Bond Fund
    
18,673,295
    
25,701,982
U.S. Government Securities Fund
    
6,276,617
    
5,642,557
 
Purchases and sales of long-term U.S. government securities for the six months ended October 31, 2001 were as follows:
 
Fund Name
    
Purchases
    
Sales
Intermediate Term Bond Fund
    
$36,832,860
    
$54,877,381
U.S. Government Securities Fund
    
27,179,355
    
15,393,165
 
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, 2001, 54.9% for New York Tax-Free Money Market Fund, 60.6% for Pennsylvania Municipal Income Fund and 33.0% 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 7.2% for New York Tax-Free Money Market Fund, 26.4% for Pennsylvania Municipal Income Fund and 8.3% 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.

93

VISION Group of Funds

 
At October 31, 2001, the diversification of industries was as follows:
 
Industry
    
Percentage
of Net
Assets
Automobiles
      
1.4
%
 
Banking
      
12.2
%
 
Building Materials & Components
      
2.4
%
 
Business & Public Services
      
0.5
%
 
Capital Goods
      
0.2
%
 
Chemicals
      
2.7
%
 
Commercial Services
      
1.4
%
 
Computers
      
0.2
%
 
Electrical & Electronic
      
6.5
%
 
Energy Sources
      
11.3
%
 
Financial Services
      
6.6
%
 
Food & Beverage & Tobacco
      
7.0
%
 
Forest Products & Paper
      
4.1
%
 
Health & Personal Care
      
10.6
%
 
Industrial Components
      
0.7
%
 
Insurance
      
4.3
%
 
Manufacturing
      
2.9
%
 
Media
      
0.9
%
 
Printing & Publishing
      
2.6
%
 
Real Estate
      
1.4
%
 
Recreation, Other Consumer Goods
      
0.3
%
 
Retail
      
0.8
%
 
Telecommunications
      
8.9
%
 
Transportation
      
2.8
%
 
Utilities
      
1.0
%
 
Water
      
0.3
%
 

94
Trustees
  
Officers
Randall I. Benderson
  
Edward C. Gonzales
  
     Chairman and Treasurer
Joseph J. Castiglia
  
Carl W. Jordan
  
     President
John S. Cramer
  
Kenneth G. Thompson
  
     Vice President
Mark J. Czarnecki
  
Beth S. Broderick
  
     Vice President and Assistant Treasurer
Daniel R. Gernatt, Jr.
  
C. Grant Anderson
  
     Secretary
George K. Hambleton, Jr.
  
Victor R. Siclari
  
     Assistant Secretary
 
 
 
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.

95
VISION EQUITY FUNDS
  VISION International Equity Fund
  VISION Small Cap Stock Fund
  VISION Mid Cap Stock Fund
  VISION Large Cap Growth Fund
  VISION Large Cap Core Fund
  VISION Large Cap Value Fund
   
VISION FIXED INCOME FUNDS
  VISION U.S. Government Securities Fund
  VISION New York Municipal Income Fund
  VISION Pennsylvania Municipal Income Fund
 

VISION Intermediate Term Bond Fund

   
VISION FUND-OF-FUNDS
 

VISION Managed Allocation Fund--
      Aggressive Growth

  VISION Managed Allocation Fund--
      Moderate Growth
 

VISION Managed Allocation Fund--
      Conservative Growth

   

VISION MONEY MARKET FUNDS

  VISION New York Tax-Free Money Market Fund
  VISION Money Market Fund
 

VISION Treasury Money Market Fund

   
   
Cusip 92830F307
 Cusip 92830F877
Cusip 92830F109
Cusip 92830F885
Cusip 92830F208
Cusip 92830F406
Cusip 92830F505
Cusip 92830F802
Cusip 92830F810
Cusip 92830F794
Cusip 92830F786
Cusip 92830F851
Cusip 92830F844
Cusip 92830F679
Cusip 92830F661
Cusip 92830F752
Cusip 92830F778
Cusip 92830F760
Cusip 92830F711
Cusip 92830F737
Cusip 92830F729
Cusip 92830F745
 Cusip 92830F695
 Cusip 92830F687
 G00158-03 (12/01)		  
 
 
 
 
 
 
 
 
 
 
 
 
VISION
GROUP OF FUNDS
 
 
www.visionfunds.net          •           visionfunds@mandtbank.com
 
Mutual Fund Shareholder Services
P.O. Box 4556
Buffalo, NY 14240-4556

Institutional Funds

VISION GROUP OF FUNDS

Semi-Annual Report to
Shareholders

October 31, 2001

for Where you want to be

 
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
   
9
Financial Highlights
   
11
Notes to Financial Statements
   
13
Trustees & Officers
   
19
President's Message
 
Dear Investor:
 
I am pleased to present the Semi-Annual Report of the VISION Institutional Funds, portfolios 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, 2001 through October 31, 2001. This report begins with a discussion by the 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.
 
Please note that this report contains information about the latest addition to the VISION Institutional Funds, VISION Money Market Fund, which began operation on September 4, 2001.
 
Fund-by-fund performance highlights are as follows:
 
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 $0.30 per share, while the net asset value rose by $0.21. As a result, the fund produced a total return of 5.33%.* At the end of the reporting period, the fund's net assets totaled $63.3 million.
 
VISION Institutional Prime Money Market Fund pursues a competitive level of daily income, daily liquidity and a stable $1 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 $0.02 per share. Assets totaled $243.1 million 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 15, 2001  

*
 
Past performance is no guarantee of future results. Investment return and principal value will fluctuate so than an investor's shares, when redeemed, may be worth more or less than their original cost.
**
 
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.

1
VISION
Institutional Limited Duration U.S. Government Fund
 
Over the last six months, interest rates have continued to fall, the result of a stagnant economy and the tragic attack of September 11. The Federal Open Market Committee has lowered the federal funds rate from 6.5% on December 31, 2000 to 2.0% on November 6, 2001.
 
Over the last six months, we have continued to concentrate our purchases on the one-to five-year maturities. As the assets in the fund continued to grow, additional investments were made in Treasury notes, U.S. agency obligations and mortgage-backed securities with short average maturities.
 
Looking ahead, we are anticipating that the U.S. economy will gradually accelerate over the next six months, the result of the massive monetary stimulus, and the expected fiscal package currently under debate in Washington. Our current average maturity in the portfolio approximates that of the Lehman Brothers 1-3 year Government Bond Index.* If the economy begins to recover and rates begin to rise, it is our intent to shorten our average maturity. We expect the portfolio's average credit quality to remain at the AAA level.**
 
*
 
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 Limited Duration U.S. Government Fund
Portfolio of Investments
October 31, 2001 (unaudited)
Principal
Amount
 
 
Value
Collateralized Mortgage Obligations--34.4%
 

 
Federal Home Loan Mortgage
Corporation--17.2%
 
$2,410,182

 
Series 1197-G, REMIC,
6.750%, 12/15/2006
 
$   2,464,821
2,413,384

 
Series 1295-J, REMIC,
7.500%, 3/15/2007
 
2,503,692
4,871,722

 
Series 1154-GB, REMIC,
8.000%, 10/15/2006
 
5,120,764
781,554

 
Series 1253-E, REMIC
8.000%, 2/15/2007
 
816,669
   
 
    Total
 
10,905,946
   

 
Federal National Mortgage
Association--17.2%
 
2,100,000

 
Series 1993-77-H, REMIC,
6.750%, 11/25/2020
 
2,205,399
4,125,266

 
Series 1993-37-PH, REMIC,
7.000%, 1/25/2021
 
4,203,934
1,655,566

 
Series 1992-43-E, REMIC,
7.500%, 4/25/2022
 
1,770,346
2,574,334

 
Series 1991-4-G, REMIC,
8.250%, 1/25/2006
 
2,743,313
   
 
    Total
 
10,922,992
   


 
    Total Collateralized Mortgage
    Obligations
    (identified cost $21,482,080)
 
21,828,938
   
Government Agencies--36.4%
 
 
Federal Home Loan Bank--18.0%
 
3,000,000
 
5.375%, 2/15/2006
 
3,166,410
2,500,000
 
6.375%, 11/14/2003
 
2,678,100
5,000,000
 
7.125%, 2/15/2005
 
5,570,700
   
 
    Total
 
11,415,210
   
Principal
Amount
or Shares
 
 
Value
Government Agencies--continued
 

 
Federal National Mortgage
Association--18.4%
 
$5,000,000
 
6.500%, 8/15/2004
 
$  5,436,350
1,000,000
 
6.580%, 6/24/2004
 
1,024,580
5,000,000
 
7.125%, 9/19/2005
 
5,184,450
   
 
    Total
 
11,645,380
   

 
    Total Government Agencies
    (identified cost $22,047,828)
 
23,060,590
   
Mortgage Backed Securities--7.5%
 

 
Federal Home Loan Mortgage
Corporation--6.6%
 
1,724,544
 
6.000%, 8/1/2006
 
1,794,060
1,294,160
 
9.000%, 4/1/2016
 
1,394,056
866,325
 
9.000%, 6/1/2022
 
950,792
   
 
    Total
 
4,138,908
   

 
Government National Mortgage
Association--0.9%
 
69,075
 
8.500%, 2/15/2017
 
75,033
22,188
 
8.500%, 4/15/2017
 
24,057
131,665
 
8.500%, 7/15/2021
 
142,013
123,528
 
8.500%, 7/15/2021
 
133,410
198,600
 
8.500%, 1/15/2023
 
213,929
   
 
    Total
 
588,442
   

 
    Total Mortgage Backed Securities
    (identified cost $4,629,866)
 
4,727,350
   
U.S. Treasury Obligations--20.4%
 
 
U.S. Treasury Notes--20.4%
 
6,900,000
 
5.750%, 11/15/2005
 
7,501,956
5,000,000
 
5.875%, 11/15/2004
 
5,416,300
   

 
    Total U.S. Treasury Obligations
    (identified cost $12,381,037)
 
12,918,256
   
Mutual Fund--0.2%
 
115,989

 
Seven Seas Money Market Fund
(at net asset value)
 
115,989
   

 
    Total Investments
    (identified cost $60,656,800)
 
$62,651,123
   

(See Notes to Portfolios of Investments)

3

VISION Institutional Prime Money Market Fund
Portfolio of Investments
October 31, 2001 (unaudited)
Principal
Amount
 
 
Value
(1) Corporate Obligations--59.5%
 
 
Banking--3.7%
 
$ 9,000,000



 
Toronto Dominion Holdings (USA),
Inc., (Guaranteed by Toronto
Dominion Bank), 3.430%-4.810%,
11/16/2001-2/5/2002
 
$      8,946,250
   
 
Capital Equipment & Services--2.0%
5,000,000

 
General Electric Capital Services,
3.480%, 4/26/2002
 
4,914,933
   
 
Chemicals--4.1%
 
10,000,000

 
Dow Chemical Co., 2.260%,
12/10/2001
 
9,975,517
   
 
Diversified--2.0%
 
5,000,000

 
General Electric Capital Corp., 3.310%,
3/4/2002
 
4,943,454
   
 
Financial Retail--4.5%
 
  11,000,000


 
American Express Credit Corp.,
2.290%-2.330%, 11/20/2001-
12/11/2001
 
10,979,899
   
 
Financial Services--9.9%
 
5,000,000
 
Citicorp, 2.550%, 11/7/2001
 
4,997,875
10,000,000


 
IBM Credit Corp., (International
Business Machines Corp. Support
Agreement), 2.470%, 11/1/2001
 
10,000,000
4,000,000

 
Verizon Global Funding, 3.280%,
11/5/2001
 
3,998,542
5,000,000

 
Wells Fargo & Co., 2.400%,
1/29/2002
 
4,970,333
   
 
    Total
 
23,966,750
   
 
Food & Beverage--8.2%
 
3,000,000
 
Coca-Cola Co., 3.360%, 11/21/2001
 
2,994,400
10,000,000
 
Kraft Foods, Inc., 2.420%, 11/5/2001
 
9,997,311
7,000,000

 
Nestle Capital Corp., 3.540%,
11/2/2001
 
6,999,312
   
 
    Total
 
19,991,023
   
 
Insurance--11.5%
 
4,000,000

 
American General Corp., 3.520%,
1/28/2002
 
3,965,582
5,000,000

 
American General Finance Corp.,
3.590%, 11/13/2001
 
4,994,017
11,000,000

 
Prudential Funding LLC, 2.470%-
2.250%, 11/9/2001-12/3/2001
 
10,985,256
8,000,000

 
Transamerica Finance Corp., 2.250%-
2.290%, 12/14/2001-3/18/2002
 
7,960,418
   
 
    Total
 
27,905,273
   
Principal
Amount
 
 
Value
(1) Corporate Obligations--continued
 
 
News & Publishing--3.3%
 
$   8,000,000

 
Gannett Co., Inc., 2.500%,
11/6/2001
 
$     7,997,222
   
 
Oil--6.2%
 
5,000,000

 
BP Amoco Capital PLC, 2.230%,
4/3/2002
 
4,952,613
10,000,000
 
Texaco, Inc., 2.280%, 11/28/2001
 
9,982,900
   
 
    Total
 
14,935,513
   
 
Retail--4.1%
 
10,000,000

 
Wal-Mart Stores, Inc., 2.450%,
11/2/2001
 
9,999,319
   
 
    Total Corporate Obligations
 
144,555,153
   
U.S. Government Agencies--32.8%

 
Federal National Mortgage
Association--22.3%
4,000,000
 
2.155%, 4/19/2002
 
3,959,534
5,000,000
 
2.290%, 12/14/2001
 
4,986,324
15,000,000
 
2.320%, 6/27/2002
 
14,769,933
10,000,000
 
3.290%, 2/21/2002
 
9,897,644
5,000,000
 
3.630%, 12/6/2001
 
4,982,354
15,642,000
 
3.820%, 11/8/2001
 
15,630,382
   
 
    Total
 
54,226,171
   

 
Federal Home Loan Mortgage
Corporation--6.5%
8,025,000
 
3.330%, 12/6/2001
 
7,999,019
5,000,000
 
3.460%, 3/15/2002
 
4,935,606
3,000,000
 
3.480%, 1/30/2002
 
2,973,900
   
 
    Total
 
15,908,525
   

 
Federal Home Loan Bank
System--4.0%
 
9,660,000
 
2.040%, 1/23/2002
 
9,614,566
   
 
    Total U.S. Government Agencies
 
79,749,262
   
(2) Notes--Variable--3.7%
 
9,000,000

 
Morgan Stanley, Dean Witter & Co.,
2.675%, 11/1/2001
 
9,000,000
   
(3) Repurchase Agreement--5.8%
 
14,093,100

 
State Street Corp., 2.510%, dated
10/31/2001, due 11/1/2001
 
14,093,100
   

 
    Total Investments
    (at amortized cost)
 
$247,397,515
   

(See Notes to Portfolios of Investments)

4

VISION Money Market Fund
Portfolio of Investments
October 31, 2001 (unaudited)
Principal
Amount
 
 
Value
(1) Corporate Obligations--66.1%
 
 
Banking--6.0%
 
$61,000,000



 
Toronto Dominion Holdings
(USA), Inc., (Guaranteed by
Toronto Dominion Bank), 3.430%-
4.810%, 11/16/2001-2/5/2002
 
$        60,556,333
50,000,000

 
Wells Fargo & Co.,
2.400%, 1/29/2002
 
49,703,333
   
 
    Total
 
110,259,666
   
 
Chemicals--2.4%
 
45,000,000

 
Dow Chemical Co.,
2.260%, 12/10/2001
 
44,889,825
   
 
Diversified--4.3%
 
80,000,000


 
General Electric Capital Corp.,
3.310%-3.480%,
3/4/2002-4/26/2002
 
78,924,142
   
 
Financial Retail--4.1%
 
75,000,000


 
American Express Credit Corp.,
2.290%-2.330%,
11/20/2001-12/11/2001
 
74,874,903
   
 
Financial Services--17.3%
 
50,000,000
 
Citicorp, 2.550%, 11/7/2001
 
49,978,750
75,000,000


 
IBM Credit Corp., (International
Business Machines Corp. Support
Agreement), 2.470%, 11/1/2001
 
75,000,000
90,000,000

 
(2) Morgan Stanley, Dean Witter &
Co., 2.675%, 11/1/2001
 
90,000,000
68,000,000

 
Nestle Capital Corp.,
3.540%, 11/2/2001
 
67,993,313
36,000,000

 
Verizon Global Funding,
3.280%, 11/5/2001
 
35,986,880
   
 
    Total
 
318,958,943
   
 
Food & Beverage--4.4%
 
22,000,000
 
Coca-Cola Co., 3.360%, 11/21/2001
 
21,958,933
60,000,000
 
Kraft Foods, Inc., 2.420%, 11/5/2001
 
59,983,867
   
 
    Total
 
81,942,800
   
 
Insurance--12.6%
 
35,000,000

 
American General Corp.,
3.520%, 1/28/2002
 
34,698,845
45,000,000

 
American General Finance Corp.,
3.590%, 11/13/2001
 
44,946,150
85,000,000


 
Prudential Funding LLC,
2.250%-2.470%,
11/9/2001-12/3/2001
 
84,880,789
67,000,000


 
Transamerica Finance Corp.,
2.250%-2.290%,
12/14/2001-3/18/2002
 
66,687,339
   
 
    Total
 
231,213,123
   
Principal
Amount
 
 
Value
(1) Corporate Obligations--continued
 
 
News & Publishing--4.1%
 
$75,000,000

 
Gannett Co., Inc.,
2.500%, 11/6/2001
 
$      74,973,958
   
 
Oil--6.8%
 
45,000,000

 
BP Amoco Capital PLC,
2.230%, 4/3/2002
 
44,573,513
80,000,000
 
Texaco, Inc., 2.280%, 11/28/2001
 
79,863,200
   
 
    Total
 
124,436,713
   
 
Retail--4.1%
 
75,000,000

 
Wal-Mart Stores, Inc.,
2.450%, 11/2/2001
 
74,994,896
   
 
    Total Corporate Obligations
 
1,215,468,969
   
(1) U.S. Government Agencies--31.6%
 

 
Federal National Mortgage
Association--18.1%
 
36,000,000
 
2.155%, 4/19/2002
 
35,635,805
45,000,000
 
2.290%, 12/14/2001
 
44,876,913
100,000,000
 
2.320%, 6/27/2002
 
98,466,222
75,000,000
 
3.290%, 2/21/2002
 
74,232,333
30,000,000
 
3.630%, 12/6/2001
 
29,894,125
50,000,000
 
3.820%, 11/8/2001
 
49,962,861
   
 
    Total
 
333,068,259
   

 
Federal Home Loan Mortgage
Corporation--9.4%
 
52,000,000
 
3.33%, 12/6/2001
 
51,831,650
75,000,000
 
3.46%, 3/15/2002
 
74,034,083
47,000,000
 
3.48%, 1/30/2002
 
46,591,100
   
 
    Total
 
172,456,833
   
 
Federal Home Loan Bank
System--4.1%
 
75,000,000
 
2.040%, 1/23/2002
 
74,647,250
   
 
    Total U.S. Government Agencies
 
580,172,342
   
(3) Repurchase Agreement--2.4%
 
44,395,300

 
State Street Corp., 2.510%, dated
10/31/2001, due 11/1/2001
 
44,395,300
   

 
    Total Investments
    (at amortized cost)
 
$1,840,036,611
   

(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, 2001.
 
(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 which show current rate and next demand date shown.
(3)
 
The repurchase agreements are fully collateralized by U.S. Treasury obligations based on market prices at October 31, 2001.
 
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 Limited Duration U.S. Government Fund
 
$    60,859,527
    
$1,791,596
      
$1,791,596
        
$--
   
$      63,338,930
Institutional Prime Money Market Fund
 
247,397,515
*
    
--
      
--
        
--
   
243,120,764
Money Market Fund
 
1,840,036,611
*
    
--
      
--
        
--
   
1,838,442,034
 
* at amortized cost

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

6

 
VISION Group of Funds
Statements of Assets and Liabilities
Six Months Ended October 31, 2001 (unaudited)
  
Institutional
Limited Duration
U.S. Government
Fund
  
Institutional
Prime
Money Market
Fund
 
Money Market
Fund
Assets:
    
 
              
                    
Investments in securities, at amortized cost and value
    
$62,651,123
      
$247,397,515
     
$1,840,036,611
 
                    
Cash
    
118,559
      
75,825
     
1,868,531
 
                    
Income receivable
    
805,937
      
20,377
     
199,246
 
                    
Receivable for shares sold
    
82,449
      
--
     
--
 
     
      
     
 
       Total assets
    
63,658,068
      
247,493,717
     
1,842,104,388
 
     
      
     
 
Liabilities:
    
 
              
                    
Income distribution payable
    
300,677
      
586,050
     
3,519,031
 
                    
Payable for shares redeemed
    
--
      
3,765,193
     
--
 
                    
Accrued expenses
    
18,461
      
21,710
     
143,323
 
     
      
     
 
       Total liabilities
    
319,138
      
4,372,953
     
3,662,354
 
     
      
     
 
Net Assets
    
$63,338,930
      
$243,120,764
     
$1,838,442,034
 
     
      
     
 
Net Assets Consist of:
    
 
              
                    
Paid in capital
    
$62,782,365
      
$243,120,764
     
$1,838,442,034
 
                    
Net unrealized appreciation of investments
    
1,994,323
      
--
     
--
 
                    
Accumulated net realized loss on investments
    
(781,987
)
      
--
     
--
 
                    
Distributions in excess of net investment income
    
(655,771
)
      
--
     
--
 
     
      
     
 
       Total Net Assets
    
$63,338,930
      
$243,120,764
     
$1,838,442,034
 
     
      
     
 
Class A Shares
    
--
      
--
     
$1,740,037,131
 
     
      
     
 
Class S Shares
    
--
      
--
     
$     98,369,601
 
     
      
     
 
Institutional Shares
    
$63,338,930
      
$243,120,764
     
$            35,302
 
     
      
     
 
Shares Outstanding:
    
 
              
                    
Class A Shares
    
--
      
--
     
1,740,037,131
 
     
      
     
 
Class S Shares
    
--
      
--
     
98,369,601
 
     
      
     
 
Institutional Shares
    
6,319,075
      
243,123,342
     
35,302
 
     
      
     
 
Net Asset Value, Offering Price and Redemption Proceeds Per Share:
    
 
              
                    
Net Asset Value and Redemption Proceeds Per Share
    
 
              
                    
Class A Shares
    
--
      
--
     
$               1.00
 
     
      
     
 
Class S Shares
    
--
      
--
     
$               1.00
 
     
      
     
 
Institutional Shares
    
$         10.02
      
$             1.00
     
$               1.00
 
     
      
     
 
Offering Price Per Share*
    
 
              
                    
Institutional Shares
    
$         10.33
**
      
$             1.00
     
$               1.00
 
     
      
     
 
Investments, at identified and federal tax cost
    
$60,859,527
      
$247,397,515
     
$1,840,036,611
 
     
      
     
 
Identified cost reflecting generally accepted accounting principles
    
$60,656,800
      
$247,397,515
     
$1,840,036,611
 
     
      
     
 
*
 
See "What Do Shares Cost?" in the Prospectus.
**
 
Computation of offering price per share 100/97.0 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, 2001 (unaudited)
  
Institutional
Limited
Duration
U.S. Government
Fund
  
Institutional
Prime
Money Market
Fund
 
Money Market
Fund(a)
Investment Income:
    
 
      
 
     
 
 
                    
Interest
    
$1,629,702
      
$4,386,335
     
$35,724,108
 
     
      
     
 
Expenses:
    
 
      
 
     
 
 
                    
Investment adviser fee
    
173,682
      
571,161
     
4,512,390
 
                    
Administrative personnel and services fee
    
24,597
      
97,045
     
766,877
 
                    
Custodian fees
    
1,447
      
5,683
     
26,721
 
                    
Transfer and dividend disbursing agent fees and expenses
    
12,450
      
39,396
     
452,668
 
                    
Directors' fees
    
510
      
1,371
     
23,968
 
                    
Auditing fees
    
3,399
      
5,717
     
38,471
 
                    
Legal fees
    
2,229
      
2,300
     
30,222
 
                    
Portfolio accounting fees
    
13,026
      
51,404
     
406,115
 
                    
Distribution services fee--Class S Shares
    
--
      
--
     
103,469
 
                    
Shareholder services fee--Class A Shares
    
--
      
--
     
730,628
 
                    
Shareholder services fee--Class S Shares
    
--
      
--
     
38,946
 
                    
Shareholder services fee--Institutional Shares
    
--
      
--
     
20
 
                    
Share registration costs
    
5,049
      
7,332
     
39,079
 
                    
Printing and postage
    
1,381
      
4,035
     
122,800
 
                    
Insurance premiums
    
1,575
      
634
     
2,267
 
                    
Miscellaneous
    
1,759
      
1,130
     
9,885
 
     
      
     
 
       Total expenses
    
241,104
      
787,208
     
7,304,526
 
     
      
     
 
Waivers:
    
 
      
 
     
 
 
                    
Waiver of investment adviser fee
    
(57,894
)
      
(342,696
)
     
(912,996
)
 
                    
Waiver of distribution services fee--Class S Shares
    
--
      
--
     
(7,789
)
 
                    
Waiver of shareholder services fee--Class A Shares
    
--
      
--
     
(146,126
)
 
                    
Waiver of shareholder services fee--Class S Shares
    
--
      
--
     
(4,360
)
 
                    
Waiver of shareholder services fee--Institutional Shares
    
--
      
--
     
(11
)
 
     
      
     
 
       Total waivers
    
(57,894
)
      
(342,696
)
     
(1,071,282
)
 
     
      
     
 
              Net expenses
    
183,210
      
444,512
     
6,233,244
 
     
      
     
 
                     Net investment income
    
1,446,492
      
3,941,823
     
29,490,864
 
     
      
     
 
Realized and Unrealized Gain (Loss) on Investments:
    
 
      
 
     
 
 
                    
Net realized loss on investments
    
98,379
      
--
     
--
 
                    
Net change in unrealized appreciation of investments
    
1,516,033
      
--
     
--
 
     
      
     
 
       Net realized and unrealized gain (loss) on investments
    
1,614,412
      
--
     
--
 
     
      
     
 
              Change in net assets resulting from operations
    
$3,060,904
      
$3,941,823
     
$29,490,864
 
     
      
     
 
(a)
 
Reflects operations for the period from September 4, 2001 (date of initial public investment) to October 31, 2001 for Money Market Fund's Institutional Shares.

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

8

VISION Group of Funds
Statements of Changes in Net Assets
 
Institutional Limited Duration
U.S. Government Fund
 
Six Months
Ended
(unaudited)
October 31,
2001
 
Period Ended
April 30,
2001(1)
 
Year Ended
June 30,
2000
Increase (Decrease) in Net Assets:
 
 
   
 
   
 
         
Operations:
 
 
   
 
   
 
         
    Net investment income
 
$   1,446,492
   
$   3,406,633
   
$   3,327,425
         
    Net realized gain (loss) on investments
 
98,379
   
(76,307
)
   
(409,559
)
         
    Net change in unrealized appreciation (depreciation) of investments
 
1,516,033
   
884,134
   
(321,773
)
 
   
   
       Change in net assets resulting from operations
 
3,060,904
   
4,214,460
   
2,596,093
 
   
   
Distributions to Shareholders:
 
 
   
 
   
 
         
    Distributions from net investment income
 
 
   
 
   
 
         
    Class A Shares
 
--
   
--
   
--
         
    Class S Shares
 
--
   
--
   
--
         
    Institutional Shares
 
(1,766,011
)
   
(3,381,973
)
   
(3,314,951
)
 
   
   
       Change in net assets resulting from distributions to shareholders
 
(1,766,011
)
   
(3,381,973
)
   
(3,314,951
)
 
   
   
Share Transactions:
 
 
   
 
   
 
         
    Proceeds from sale of shares
 
18,004,458
   
10,363,021
   
40,570,589
         
    Net asset value of shares issued to shareholders in payment of distributions declared
 
180,715
   
635,131
   
442,532
         
    Cost of shares redeemed
 
(12,423,015
)
   
(28,689,065
)
   
(19,194,805
)
 
   
   
       Change in net assets resulting from share transactions
 
5,762,158
   
(17,690,913
)
   
21,818,316
 
   
   
              Change in net assets
 
7,057,051
   
(16,858,426
)
   
21,099,458
         
Net Assets:
 
 
   
 
   
 
         
    Beginning of period
 
56,281,879
   
73,140,305
   
52,040,847
 
   
   
    End of period
 
$63,338,930
   
$56,281,879
   
$73,140,305
 
   
   
    Undistributed (distributions in excess of ) net investment income included in net assets at end
    of period
 
$     (655,771
)
   
$       37,066
   
$       12,406
 
   
   
(1)
 
Formerly Governor Limited Duration Government Securities Fund and Governor Prime Money Market Fund, respectively. The Funds changed their fiscal year end from June 30 to April 30. Operations for the period are from July 1, 2000 to April 30, 2001.
(2)
 
The Institutional Prime Money Market Fund commenced offering Class S Shares on April 19, 1999 and discontinued offering Class S Shares on November 30, 2000.

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

9

 
Institutional Prime
Money Market Fund
  
Money Market Fund
Six Months
Ended
(unaudited)
October 31,
2001
  
Period Ended
April 30,
2001(1)
    
Year Ended
June 30,
2000
  
Six Months
Ended
(unaudited)
October 31,
2001
    
Year Ended
April 30,
2001
               
               
$    3,941,823
  
$   10,531,927
    
$   15,906,773
  
$       29,490,864
    
$          81,963,219
--
  
--
    
8,750
  
--
    
--
--
  
--
    
--
  
--
    
--
  
    
  
    
3,941,823
  
10,531,927
    
15,915,523
  
29,490,864
    
81,963,219
  
    
  
    
               
               
--
  
--
    
--
  
(28,257,637
)
    
(78,322,062
)
--
  
(64,644
)(2)
    
(143,381
)(2)
  
(1,233,021
)
    
(3,641,157
)
(3,941,823
)
  
(10,478,624
)
    
(15,763,392
)
  
(206
)
    
--
  
    
  
    
(3,941,823
)
  
(10,543,268
)
    
(15,906,773
)
  
(29,490,864
)
    
(81,963,219
)
  
    
  
    
               
514,556,676
  
658,046,912
    
994,402,561
  
66,673,447,040
    
100,462,993,687
855,066
  
2,737,844
    
1,779,251
  
14,294,714
    
42,093,952
(458,304,281
)
  
(760,249,793
)
    
(972,947,088
)
  
(66,509,054,951
)
    
(99,989,220,429
)
  
    
  
    
57,107,461
  
(99,465,037
)
    
23,234,724
  
178,686,803
    
515,867,210
  
    
  
    
57,107,461
  
(99,476,378
)
    
23,243,474
  
178,686,803
    
515,867,210
186,013,303
  
285,489,681
    
262,246,207
  
1,659,755,231
    
1,143,888,021
               
  
    
  
    
$243,120,764
  
$186,013,303
    
$285,489,681
  
$   1,838,442,034
    
$    1,659,755,231
  
    
  
    
               
$              --  
  
$              --  
    
$          11,341
  
$                    --  
    
$                     --  
  
    
  
    

10
VISION Group of Funds
Financial Highlights
(For a 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 Limited Duration U.S. Government Fund(c)
        
 
        
 
        
 
 
1998
(d)
      
$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
)
        
--
 
2001
(j)
      
$  9.81
        
0.26
(n)
        
0.25
        
0.51
        
(0.30
)
        
--
 
Institutional Prime Money Market Fund(k)
        
 
        
 
        
 
 
1997
(l)
      
$  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
)
        
--
 
2001
(j)
      
$  1.00
        
0.02
        
--
        
0.02
        
(0.02
)
        
--
 
Money Market Fund
        
 
        
 
        
 
 
2001
(m)
      
$  1.00
        
0.00
(e)
        
--
        
0.00
(e)
        
(0.00
)(e)
        
--
 
(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 Limited Duration Government Securities Fund, effective date January 8, 2001.
(d)
 
Reflects operations for the period from July 1, 1997 (date of initial public investment) to June 30, 1998.
(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)
 
Reflects operations for the six months ended October 31, 2001 (unaudited).
(k)
 
Formerly Governor Prime Money Market Fund, effective date January 8, 2001.
(l)
 
Reflects operations for the period from October 7, 1996 (date of initial public investment) to June 30, 1997.
(m)
 
Reflects operations for the period from September 4, 2001 (date of initial public investment) to October 31, 2001 (unaudited).
(n)
 
As required, effective May 1, 2001, the Fund has adopted the provisions of the AICPA Audit and Accounting Guide for Investment Companies and began amortizing premium on debt securities. The effect of this change for the six months ended October 31, 2001 resulted in a $0.04 decrease in the net investment income per share and a corresponding increase in the net realized and unrealized gain (loss) per share, and decreased the ratio of net investment income to average net assets from 5.98% to 5.00%. Per share, ratios and supplemental data for periods prior to October 31, 2001 have not been restated to reflect this change in presentation.
 
 
(See Notes which are an integral part of the Financial Statements)

11
 
 
          
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
                                                          
 
(0.56
)
      
$   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
%
 
 
(0.30
)
      
$10.02
        
5.33
%
      
0.63
%(f)
      
5.00
%(f)(n)
      
0.20
%(f)
        
$   63,341
        
43
%
 
                                                          
 
(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
        
--
 
 
(0.02
)
      
$   1.00
        
1.77
%
      
0.39
%(f)
      
3.45
%(f)
      
0.30
%(f)
        
$243,121
        
--
 
                                                          
 
(0.00
)(e)
      
$   1.00
        
0.41
%
      
0.65
%(f)
      
2.50
%(f)
      
0.34
%(f)
        
$          35
        
--
 

12

VISION Group of Funds
Notes to Financial Statements
October 31, 2001 (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 eighteen portfolios (individually referred to as the "Fund", or collectively as the "Funds"). The following Funds are presented herein:
 
Portfolio Name
  
Investment Objective
VISION Institutional Limited Duration U.S.
Government Fund ("Institutional Limited Duration
U.S. Government Fund") (formerly Governor Limited
Duration Government Securities Fund) (d)
  
Seeks current income with preservation of capital as a
secondary objective.
VISION Institutional Prime Money Market Fund
("Institutional Prime Money Market Fund") (formerly
Governor Prime Money Market Fund) (d)
  
Seeks current income with liquidity and stability of
principal.
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.
 
Institutional Limited Duration U.S. Government Fund is the successor to Governor Limited Duration Government Securities Fund and Institutional Prime Money Market Fund is the successor to Governor Prime Money Market Fund pursuant to a reorganization that took place on January 8, 2001. Prior to that date, each of these VISION Funds 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.
 
The Board of Trustees of the Governor Funds, at a meeting held on October 27, 2000, approved the liquidation of the S Shares of the Governor Prime Money Market Fund. The liquidation was effective on November 30, 2000.
 
Effective August 31, 2001, Institutional Shares were added to the Money Market 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.
 
 
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

13

VISION Group of Funds

 
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. Bond premium and discount, if applicable, are amortized/accreted as required by the Internal Revenue Code, as amended (the "Code") and for financial reporting purposes. Dividend income and distributions to shareholders are recorded on the ex-dividend date. Non-cash dividends included in dividend income, if any, are recorded at fair value. The 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.
 
 
Change in Accounting Principle--As required, effective May 1, 2001, the Trust has adopted the provisions of the AICPA Audit and Accounting Guide for Investment Companies and began amortizing long-term premiums on debt securities. Prior to May 1, 2001, the Fund did not amortize long-term premiums on debt securities. The cumulative effect of this accounting change had no impact on total net assets of the Fund, but resulted in the following adjustments based on securities held by the Fund on May 1, 2001:
 
    
Undistributed
Net Investment
Income
  
Accumulated
Net Realized
Loss
  
Unrealized
Appreciation
Institutional Limited Duration U.S. Government Fund
      
$(373,318
)
      
$229,209
      
$144,109
 
 
 
The effect of this change for the six months ended October 31, 2001 was as follows:
 
    
Distributions
in Excess of
Net Investment
Income
  
Accumulated
Net Realized
Loss
    
Unrealized
Appreciation
Institutional Limited Duration U.S. Government Fund
      
$(284,064
)
      
$225,446
        
$58,618
 
 
 
The statement of changes in net assets and financial highlights for prior periods have not been restated to reflect this change in presentation. For the Funds of the Trust not indicated above, the adoption of the Guide did not have any effect on their financial statements.
 
 
Federal Taxes--It is the policy of the Funds to comply with the provisions of 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, 2001, Institutional Limited Duration U.S. Government Fund, for federal tax purposes, had a capital loss carryforward of $991,038, 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
 
    
 
    
$991,038
 
    
 

14

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.
 
 
Change in Fiscal Year--Institutional Limited Duration U.S. Government Fund and Institutional Prime Money Market Fund changed their fiscal year end from June 30 to April 30.
 
 
Use of Estimates--The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts of assets, liabilities, expenses and revenues reported in the financial statements. Actual results could differ from those estimated.
 
 
Other--Investment transactions are accounted for on a trade date basis.
 
Capital Stock
 
At October 31, 2001, there were 1,000,000,000 shares (without par value) capital stock authorized with respect to Institutional Limited Duration U.S. Government Fund; 1,000,000,000 shares (without par value) capital stock authorized with respect to Institutional Prime Money Market 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 $243,120,764. Capital paid-in for Money Market Fund aggregated $1,838,442,034, par value was $1,838,442. Transactions in capital stock were as follows:
 
 
Institutional Limited Duration U.S. Government Fund
 
Six Months Ended
 
Period Ended
 
Year Ended
 
Shares
 
Amount
 
Shares
 
Amount
 
Shares
 
Amount
Shares sold
 
1,822,750
 
$18,004,458
 
1,061,258
 
$10,363,021
 
4,176,016
 
$40,570,589
           
Shares issued to shareholders in
     payment of distributions
     declared
 
18,295
 
180,715
 
65,218
 
635,131
 
45,576
 
442,532
           
Shares redeemed
 
(1,260,232
)
 
(12,423,015
)
 
(2,932,410
)
 
(28,689,065
)
 
(1,972,643
)
 
(19,194,805
)
 
 
 
 
 
 
          Net change resulting from
               share transactions
 
580,813
 
$   5,762,158
 
(1,805,934
)
 
$(17,690,913
)
 
2,248,949
 
$21,818,316
 
 
 
 
 
 
 
 
Institutional Prime Money Market Fund
 
Six Months Ended
 
Period Ended
 
Year Ended
Institutional Shares
 
Shares
 
Amount
 
Shares
 
Amount
 
Shares
 
Amount
Shares sold
 
514,556,676
 
$514,556,676
 
653,560,772
 
$653,561,184
 
981,122,385
 
$981,122,385
           
Shares issued to
     shareholders in
     payment of
     distributions declared
 
855,066
 
855,066
 
2,727,275
 
2,727,275
 
1,779,251
 
1,779,251
           
Shares redeemed
 
(458,304,281
)
 
(458,304,281
)
 
(752,277,442
)
 
(752,277,442
)
 
(962,457,888
)
 
(962,457,888
)
 
 
 
 
 
 
          Net change
               resulting from
               Institutional
               Shares
               transactions
 
57,107,461
 
$   57,107,461
 
(95,989,395
)
 
$   (95,988,983
)
 
20,443,748
 
$   20,443,748
 
 
 
 
 
 

15

VISION Group of Funds

 
 
Institutional Prime Money Market Fund
 
Six Months Ended
October 31, 2001
 
Period Ended
 
Year Ended
Class S Shares
 
Shares
 
Amount
 
Shares
 
Amount
 
Shares
 
Amount
Shares sold
 
--
 
$                 --
 
4,485,728
 
$   4,485,728
 
13,280,176
 
$13,280,176
           
Shares issued to shareholders in
     payment of distributions
     declared
 
--
 
--
 
10,569
 
10,569
 
--
 
--
           
Shares redeemed
 
--
 
--
 
(7,972,351
)
 
(7,972,351
)
 
(10,489,200
)
 
(10,489,200
)
 
 
 
 
 
 
          Net change resulting from
               Class S Share transactions
 
--
 
$                 --
 
(3,476,054
)
 
$   (3,476,054
)
 
2,790,976
 
$   2,790,976
 
 
 
 
 
 
                   Net change resulting
                        from share
                        transactions
 
57,107,461
 
$57,107,461
 
(99,465,449
)
 
$(99,465,037
)
 
23,234,724
 
$23,234,724
 
 
 
 
 
 
 
  
Money Market Fund
Class A Shares
  
Six Months
Ended
  
Year
Ended
Shares sold
  
56,310,222,335
  
83,759,967,105
     
Shares issued to shareholders in payment of distributions declared
  
14,294,658
  
42,093,381
     
Shares redeemed
  
(56,182,785,084
)
  
(83,298,883,597
)
  
  
          Net change resulting from Class A Share transactions
  
141,731,909
  
503,176,889
  
  
 
  
Money Market Fund
Class S Shares
  
Six Months
Ended
  
Year
Ended
Shares sold
  
10,363,139,455
  
16,703,026,582
     
Shares issued to shareholders in payment of distributions declared
  
3
  
571
     
Shares redeemed
  
(10,326,219,866
)
  
(16,690,336,832
)
  
  
          Net change resulting from Class S Share transactions
  
36,919,592
  
12,690,321
  
  
 
  
Money Market Fund
Institutional Shares
  
Period
Ended
October 31,
2001(b)
  
Year
Ended
April 30,
2001
Shares sold
    
85,250
    
--
         
Shares issued to shareholders in payment of distributions declared
    
53
    
--
         
Shares redeemed
    
(50,001
)
    
--
    
    
          Net change resulting from Institutional Shares transactions
    
35,302
    
--
    
    
                   Net change resulting from share transactions
    
178,686,803
    
515,867,210
    
    
 
(a)
 
Reflects operations for the period from July 1, 2000 to April 30, 2001.
(b)
 
Reflects operations for the period from September 4, 2001 (date of initial public investment) to October 31, 2001.

16

VISION Group of Funds

 
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 equal to 0.60% of Institutional Limited Duration U.S. Government Fund's average daily net assets, 0.50% of Institutional Prime Money Market Fund's average daily net assets, and 0.50% of Money Market Fund's average daily net assets. The Adviser may voluntarily choose to waive any portion of its fee. The Adviser can modify or terminate this voluntary waiver at any time at its sole discretion.
 
Prior to January 8, 2001, Martindale Andres & Company, LLC (formerly Martindale Andres & Company, Inc.) acted as Investment Adviser to the Institutional Limited Duration U.S. Government Fund and Institutional Prime Money Market Fund. Effective May 31, 2000, Governors Group Advisors, Inc. reorganized into Martindale Andres & Company, LLC (``Martindale'') a wholly owned subsidiary of Keystone Financial, Inc. with no resulting change of equal control or management. Martindale assumed all of the obligations and responsibilities of Governors Group Advisors, Inc. under the Investment Advisory Agreement with the Funds. For the services as Investment Adviser, Martindale was entitled to receive a fee, computed daily and paid monthly, based on the average daily net assets of the Funds, at the following annual percentage rates:
 
Fund Name
  
Fee Rate
Governor Limited Duration Government Securities Fund
    
0.60
%
 
Governor Prime Money Market Fund
    
0.40
%
 
 
Administrative Fee--Federated Services Company (``FServ'') and M&T Securities, Inc. serve as co-administrators to the Trust and provide the Funds with certain administrative personnel and services necessary to operate the Funds. Administrative services are 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
 
 
Prior to January 8, 2001, BISYS Fund Services Ohio, Inc. (``BISYS Ohio'') served as co-administrator to Institutional Limited Duration U.S. Government Fund and Institutional Prime Money Market Fund. BISYS Ohio is a wholly owned subsidiary of the BISYS Group, Inc., with whom certain officers of the Funds were affiliated. Such officers were paid no fees directly by the Funds for serving as officers. Martindale served as the other co-administrator. Under the terms of the administration agreement, BISYS Ohio and Martindale were entitled to receive from Institutional Limited Duration U.S. Government Fund and Institutional Prime Money Market Fund, a fee computed daily and paid monthly, based on the average daily net assets of the fund at an annual rate of 0.15%.
 
FServ and M&T Securities, Inc. 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. FServ may voluntarily choose to waive a portion of its fee. FServ can modify or terminate this voluntary waiver at any time at its sole discretion.

17

VISION Group of Funds

 
State Street Bank provides financial administration and fund accounting services to the Funds for an aggregate annual fee of 0.045% of the Funds' average daily net assets.
 
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. Institutional Limited Duration U.S. Government Fund, Institutional Prime Money Market Fund and Money Market Fund did not pay or accrue distribution services fees during the period ended October 31, 2001.
 
Institutional Limited Duration U.S. Government Fund and Institutional Prime Money Market Fund have agreed not to accrue or pay a distribution services fee for one year period ending January 8, 2002.
 
Shareholder Services Fee--Under the terms of a Shareholder Services Agreement with M&T Securities, Inc., M&T Securities, Inc. may receive up to 0.25% of average daily net assets of each Fund for the period. The fee paid to M&T Securities, Inc. is used to finance certain services for shareholders and to maintain shareholder accounts. M&T Securities, Inc. may voluntarily choose to waive any portion of its fee. M&T Securities, Inc. can modify or terminate this voluntary waiver at any time at its sole discretion. Institutional Limited Duration U.S. Government Fund and Institutional Prime Money Market did not pay or accrue shareholder services fees during the six months ended October 31, 2001.
 
General--Certain of the Officers of the Trust are Officers and Directors or Trustees of the above companies.
 
Investment Transactions--Purchases and sales of investments for Institutional Limited Duration U.S. Government Fund, excluding short-term securities (and in-kind contributions) for the six months ended October 31, 2001, were $30,213,777, and $23,990,326, respectively.

18
 
Trustees: Officers
Trustees
 
Officers
Randall I. Benderson
 
Edward C. Gonzales
 
    Chairman and Treasurer
Joseph J. Castiglia
 
Carl W. Jordan
 
    President
John S. Cramer
 
Kenneth G. Thompson
 
    Vice President
Mark J. Czarnecki
 
Beth S. Broderick
 
    Vice President and Assistant Treasurer
Daniel R. Gernatt, Jr.
 
C. Grant Anderson
 
    Secretary
George K. Hambleton, Jr.
 
Victor R. Siclari
 
    Assistant Secretary
 
 
 
 
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.

19

VISION INSTITUTIONAL LIMITED
DURATION U.S. GOVERNMENT FUND

VISION INSTITUTIONAL PRIME
MONEY MARKET FUND

VISION MONEY MARKET FUND

 
VISION
GROUP OF FUNDS
 
 
ww.visionfunds.net    .    visionfunds@mandtbank.com
Cusip 92830F653  
Cusip 92830F646 Mutual Fund Shareholder Services
Cusip 92830F612 P.O. Box 4556
26973 (12/01) Buffalo, NY 14240-4556

Dates Referenced Herein   and   Documents Incorporated by Reference

This ‘N-30D’ Filing    Date    Other Filings
1/8/02
1/1/02
12/31/01
Filed on:12/28/01NSAR-A
12/15/01
12/13/01
11/6/01
For Period End:10/31/01NSAR-A
9/30/01
9/4/01
8/31/01
7/2/01N-30D
5/1/01
4/30/0124F-2NT,  N-30D,  NSAR-B
1/18/01
1/10/01
1/8/01
1/4/01
12/31/00
11/30/00
10/27/00
7/1/00
6/30/00497J
5/31/00
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
4/19/99
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
2/3/97
12/2/96
10/7/96
10/1/96
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Filing Submission 0001056288-01-500371   –   Alternative Formats (Word / Rich Text, HTML, Plain Text, et al.)
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