U.S. Securities and Exchange Commission
Washington, D.C. 20549
FORM N-17f-2
Certificate of Accounting of Securities and Similar Investments in the
Custody of Management Investment Companies
Pursuant to Rule 17f-2 [17 CFR 270, 17f-2]
1. Investment Company Act File Number: Date examination completed:
811-6082 December 31, 2002
2. State Identification Number:
AL AK AZ AR CA CO
CT DE DC FL GA HI
ID IL IN IA KS KY
LA ME MD MA MI MN
MS MO MT NE NV NH
NJ NM NY NC ND OH
OK OR PA RI SC SD
TN TX UT VT VA WA
WV WI WY PUERTO RICO
Other (specify):
3. Exact number of investment company as specified in registration statement:
RIVERFRONT FUNDS
4. Address of principal executive office:
(number, street, city, state, zip code)
FEDERATED INVESTORS TOWER
1001 LIBERTY AVENUE
PITTSBURGH, PA 15222-3779
INSTRUCTIONS
This Form must be completed by the investment companies that have custody
of securities or similar investments.
Investment Company
1. All items must be completed by the investment company.
2. Give this Form to the independent public accountant who, in compliance with
Rule 17f-2 under the Act and applicable state law, examines securities and
similar investments in the custody of the investment company.
Accountant
3. Submit this Form to the Securities and Exchange Commission and appropriate
state securities administrators when filing the certificate of accounting
required by Rule 17f-2 under the Act and applicable state law. File the
original and one copy with the Securities and Exchange Commission's
principal office in Washington, D.C., one copy with the regional office for
the region in which the investment company's principal business operations
are conducted, and one copy with the appropriate state administrator(s), if
applicable.
THIS FORM MUST BE GIVEN TO YOUR INDEPENDENT PUBLIC ACCOUNTANT
Note: The estimated average burden hours are made solely for purposes of
the Paperwork Reduction Act, and are not derived from a comprehensive or even a
representative survey or study of the costs of SEC rules and forms. Direct any
comments concerning the accuracy of the estimated average burden hours for
compliance with SEC rules and forms to Kenneth A. Fogash, Deputy Executive
Director, U.S. Securities and Exchange Commission, 450 Fifth Street, N.W.,
Washington, D.C. 20549 and Gary Waxman, Clearance Officer, Office of Management
and Budget, Room 3208 New Executive Office Building, Washington, D.C. 20503.
Management Statement Regarding Compliance With Certain Provisions of the
Investment Company Act of 1940
February 18, 2003
We, as members of management of The Riverfront Funds (the "Funds"), are
responsible for complying with the requirements of subsections (b) and (c) of
rule 17f-2, "Custody of Investments by Registered Management Investment
Companies," of the Investment Company Act of 1940. We are also responsible
for establishing and maintaining effective internal controls over compliance
with those requirements. We have performed an evaluation of the Funds'
compliance with the requirements of subsections (b) and (c) of rule 17f-2 as
of December 31, 2002, and from October 31, 2002 (the date of the last
examination) through December 31, 2002.
Based on this evaluation, we assert that the Funds were in compliance with
the requirements of subsections (b) and (c) of rule 17f-2 of the Investment
Company Act of 1940 as of December 31, 2002, and from October 31, 2002 (the
date of the last examination) through December 31, 2002, with respect to
securities reflected in the investment accounts of the Funds.
/s/Duane A. Dewey
Duane A. Dewey
President
/s/Timothy S. Johnson
Timothy S. Johnson
Secretary
/s/C. John Ollier
C. John Ollier
Treasurer
Report of Independent Auditors
To the Board of Trustees of
The Riverfront Funds
We have examined management's assertion, included in the accompanying
Management Statement Regarding Compliance With Certain Provisions of the
Investment Company Act of 1940, that The Riverfront Funds (comprised of U.S.
Government Securities Money Market Fund, Small Company Select Fund, Balanced
Fund, U.S. Government Income Fund, Select Value Fund and Large Company Select
Fund) (collectively, the "Funds") complied with the requirements of subsections
(b) and (c) of rule 17f-2 under the Investment Company Act of 1940 (the "Act")
as of December 31, 2002. Management is responsible for the Funds' compliance
with those requirements. Our responsibility is to express an opinion on
management's assertion about the Funds' compliance based on our examination.
Our examination was conducted in accordance with attestation standards
established by the American Institute of Certified Public Accountants and,
accordingly, included examining, on a test basis, evidence about the Funds'
compliance with those requirements and performing such other procedures as we
considered necessary in the circumstances. Included among our procedures were
the following tests performed as of December 31, 2002, and with respect to
agreement of security purchases and sales, for the period from October 31, 2002
(the date of our last examination) through December 31, 2002:
o Confirmation of all securities held by the Federal Reserve Bank of Boston,
Deutsche Bank and The Depository Trust Clearing Corporation in book entry
form;
o Reconciliation of all such securities to the books and records of the Funds
and the Custodian, Provident Bank;
o Confirmation of the repurchase agreement with the broker and agreement of
the underlying collateral with Provident Bank's records; and
o Agreement of six security purchases and six security sales or maturities
since our last report from the books and records of the Funds to broker
confirmations.
We believe that our examination provides a reasonable basis for our
opinion. Our examination does not provide a legal determination on the Funds'
compliance with specified requirements.
In our opinion, management's assertion that The Riverfront Funds complied
with the requirements of subsections (b) and (c) of rule 17f-2 of the Act as of
December 31, 2002, with respect to securities reflected in the investment
accounts of the Funds is fairly stated, in all material respects.
This report is intended solely for the information and use of management
and the Board of Trustees of The Riverfront Funds and the Securities and
Exchange Commission and is not intended to be and should not be used by anyone
other than these specified parties.
Ernst & Young LLP
Cincinnati, Ohio
February 18, 2003