Notes to Financial Statements
Finally, we thank you for your continued confidence in us. We look forward to providing you with investment
management services to meet your needs now and in the years ahead.
WALTER B. GRIMM
Walter B. Grimm
Commentary From the Investment Manager
HSBC Bank USA
U.S. Economic Review
The U.S. economy during the six-month period ended April 30, 2000, remained strong, driven by increases in
worker productivity and strong consumer spending. In fact, the economy's 109-month expansion through April
marks the longest period of economic growth in our country's history. The Gross Domestic Product (GDP)(1)
during the second half of 1999 grew an annualized 6.5%, well above the Federal Reserve Board's (the "Fed's")
targeted growth rate of 3.0% to 3.5%. The Fed worried that such strong growth, rising energy prices and a tight
labor market could lead to a spike in inflation. Those concerns seemed justified: the Consumer Price Index(2)
rose 0.4% in March, excluding the volatile food and energy sectors. That was the index's highest monthly
increase in five years. The Fed raised the federal funds rate three times during the period in an attempt to forestall
inflation, for a total increase of three-quarters of a percentage point.
(1) The Gross Domestic Product is the measure of the market value of the goods and services produced by labor
and property in the United States.
(2) The Consumer Price Index is a measure of the average change in prices over time in a fixed market basket.
Investors cannot invest directly in an index, although they can invest in the underlying securities.
Republic Money Market Fund'D' (Class A (Investor) Shares, D (Private Investor) Shares and Y (Adviser)
by Peter J. Loftus
The Republic Money Market Fund (the "Fund") returned 2.57% for Class A (Investor) Shares, 2.65% for Class
D (Private Investor) Shares and 2.77% for Class Y (Adviser) Shares during th