Federated Investors
World-Class Investment Manager

Federated Managed Conservative Growth Portfolio

A Portfolio of Federated Managed Allocation Portfolios

SEMI-ANNUAL REPORT

May 31, 2002

NOT FDIC INSURED * MAY LOSE VALUE * NO BANK GUARANTEE

Portfolio of Investments

May 31, 2002 (unaudited)

Shares				Value in U.S. Dollars
			STOCKS--42.8%
			LARGE-CAP STOCKS--25.6%
			Consumer Discretionary--3.1%
	19,400	1	AOL Time Warner, Inc.	$	362,780
	4,600	1	Clear Channel Communications, Inc.		244,858
	6,500	1	Comcast Corp., Class A		183,040
	4,600		Costco Wholesale Corp.		180,642
	10,156		Ford Motor Co.		179,253
	11,550		Home Depot, Inc.		481,520
	6,500		Knight-Ridder, Inc.		427,895
	7,600		Target Corp.		315,020
	7,077	1	Viacom, Inc., Class B		346,490
	20,600		Wal-Mart Stores, Inc.		1,114,460
	18,700		Walt Disney Co.		428,417
			TOTAL		4,264,375
			Consumer Staples--2.9%
	10,900		Coca-Cola Co.		605,604
	33,500		Dial Corp.		676,700
	5,100		Gillette Co.		181,407
	5,600		Kimberly-Clark Corp.		363,552
	6,900		PepsiCo, Inc.		358,662
	11,400		Philip Morris Cos., Inc.		652,650
	5,200		Procter & Gamble Co.		465,660
	5,300		Unilever NV, ADR		347,256
	10,100		Walgreen Co.		386,426
			TOTAL		4,037,917
			Energy--2.4%
	8,900		Ashland, Inc.		338,111
	10,428		ChevronTexaco Corp.		909,843
	4,597		Conoco, Inc.		123,567
	26,680		Exxon Mobil Corp.		1,065,332
Shares				Value in U.S. Dollars
			STOCKS--continued
			LARGE-CAP STOCKS--continued
			Energy--continued
	11,600		Royal Dutch Petroleum Co., ADR	$	638,000
	4,900		Schlumberger Ltd.		253,036
			TOTAL		3,327,889
			Financials--4.8%
	7,204		Allstate Corp.		277,210
	8,600		American Express Co.		365,586
	11,329		American International Group, Inc.		758,703
	9,934		Bank of America Corp.		753,097
	6,000		Bank of New York Co., Inc.		217,800
	22,166		Citigroup, Inc.		957,128
	4,900		Fannie Mae		392,049
	6,400		Fleet Boston Financial Corp.		225,536
	3,200		Loews Corp.		182,720
	7,300		Mellon Financial Corp.		270,830
	6,800		Merrill Lynch & Co., Inc.		276,828
	6,700		Morgan Stanley Dean Witter & Co.		304,582
	6,600		Post Properties, Inc.		204,600
	6,500		Schwab (Charles) Corp.		78,585
	13,200		U.S. Bancorp		312,180
	10,100		Wachovia Corp.		387,537
	7,314		Washington Mutual, Inc.		284,295
	7,200		Wells Fargo & Co.		377,280
			TOTAL		6,626,546
			Healthcare--4.1%
	8,800		Abbott Laboratories		418,000
	5,200	1	Amgen, Inc.		247,676
	6,800		Baxter International, Inc.		365,160
	9,400		Bristol-Myers Squibb Co.		292,528
	3,700		Cardinal Health, Inc.		245,902
	3,800	1	Forest Laboratories, Inc.		280,554
	12,000		Johnson & Johnson		736,200
Shares				Value in U.S. Dollars
			STOCKS--continued
			LARGE-CAP STOCKS--continued
			Healthcare--continued
	5,000		Lilly (Eli) & Co.	$	323,500
	6,500	2	Medtronic, Inc.		299,975
	10,000		Merck & Co., Inc.		571,000
	26,675		Pfizer, Inc.		922,955
	10,669		Pharmacia Corp.		460,794
	8,000		Schering Plough Corp.		211,600
	3,700		UnitedHealth Group, Inc.		335,960
	990	1	Zimmer Holdings, Inc.		34,630
			TOTAL		5,746,434
			Industrials--2.4%
	5,300		Automatic Data Processing, Inc.		275,176
	5,300		Boeing Co.		226,045
	2,800		Eaton Corp.		226,296
	6,600		First Data Corp.		522,720
	37,900		General Electric Co.		1,180,206
	4,800		Honeywell International, Inc.		188,160
	7,100	1	US Airways Group, Inc.		21,655
	7,800		Union Pacific Corp.		477,672
	2,900		United Technologies Corp.		199,723
			TOTAL		3,317,653
			Information Technology--4.0%
	10,800	1	Applied Materials, Inc.		239,544
	3,300	1	Axcelis Technologies, Inc.		40,557
	31,200	1	Cisco Systems, Inc.		492,336
	5,700		Computer Associates International, Inc.		98,952
	6,400		Corning, Inc.		30,720
	12,900	1	Dell Computer Corp.		346,365
	10,500	1	EMC Corp.		76,125
	4,100		Electronic Data Systems Corp.		216,562
	16,232		Hewlett-Packard Co.		309,869
	29,000		Intel Corp.		800,980
Shares				Value in U.S. Dollars
			STOCKS--continued
			LARGE-CAP STOCKS--continued
			Information Technology--continued
	8,600		International Business Machines Corp.	$	691,870
	18,870		Lucent Technologies, Inc.		87,746
	21,500	1	Microsoft Corp.		1,094,565
	12,400		Motorola, Inc.		198,276
	15,100		Nortel Networks Corp.		33,371
	26,200	1	Oracle Corp.		207,504
	4,800	1	Qualcomm, Inc.		151,872
	16,600	1	Sun Microsystems, Inc.		114,374
	9,000		Texas Instruments, Inc.		258,030
	4,300	1	Veritas Software Corp.		97,481
	3,500	1	Yahoo, Inc.		56,070
			TOTAL		5,643,169
			Materials--0.7%
	8,301		Du Pont (E.I.) de Nemours & Co.		381,846
	4,200		PPG Industries, Inc.		240,156
	4,900		Weyerhaeuser Co.		320,950
			TOTAL		942,952
			Telecommunication Services--1.1%
	18,365		AT&T Corp.		219,829
	5,931	1	AT&T Wireless Services, Inc.		48,100
	4,400		Alltel Corp.		226,556
	10,900		BellSouth Corp.		362,752
	6,700	1	NEXTEL Communications, Inc., Class A		32,562
	7,496		Qwest Communications International, Inc.		38,679
	7,200	1	Sprint Corp. (PCS Group)		75,168
	12,324		Verizon Communications Inc.		529,932
	504		WorldCom, Inc. - MCI Group		1,421
			TOTAL		1,534,999
			Utilities--0.1%
	6,900		Reliant Energy, Inc.		117,369
			TOTAL LARGE-CAP STOCKS		35,559,303
Shares				Value in U.S. Dollars
			STOCKS--continued
			FOREIGN EQUITY--8.3%
			Australia--0.1%
	4,161		BHP Billiton Ltd.	$	25,429
	1,600		News Corp. Ltd.		11,408
	1,000		News Corp. Ltd., ADR		29,180
			TOTAL		66,017
			Canada--0.1%
	900		Alcan Inc.		34,688
	600		Barrick Gold Corp.		13,089
	2,550		Hudson's Bay Co.		24,208
	1,160	1	Inco Ltd.		26,391
	900		Sun Life Financial Services of Canada		20,800
	667		Talisman Energy, Inc.		29,664
			TOTAL		148,840
			Denmark--0.0%
	560		Novo Nordisk, Class B		17,877
	850		TDC AS		22,220
			TOTAL		40,097
			Finland--0.1%
	2,130		Nokia Oyj		30,438
	850		UPM - Kymmene Oyj		33,185
			TOTAL		63,623
			France--1.2%
	2,000		Alstom		25,199
	3,200	1	Arcelor		45,460
	710		Aventis SA		49,404
	1,225		Bouygues SA		36,224
	560		Casino Guichard Perrachon		46,106
	165		Compagnie de Saint Gobain		29,281
	59,900		iShares MSCI France Index Fund		1,114,140
	280		Pernod Ricard		25,145
	1,800		Publicis Groupe		54,572
	515		Societe Generale		34,993
Shares				Value in U.S. Dollars
			STOCKS--continued
			FOREIGN EQUITY--continued
			France--continued
	603		TotalFinaElf SA, Class B	$	93,998
	670		Valeo SA		29,787
	445		Vivendi Universal SA		13,965
			TOTAL		1,598,274
			Germany, Federal Republic of--0.8%
	228		Allianz AG Holding		51,279
	2,300		Deutsche Lufthansa AG		31,579
	775		E.On AG		40,376
	316		Henkel KGAA, Pfd.		22,519
	59,500		iShares MSCI Germany Index Fund		873,460
	900		Metro AG		29,169
	600	1	SGL Carbon AG		13,315
	606		Schering AG		36,496
	1,990		ThyssenKrupp AG		32,266
	340		Volkswagen AG		17,942
			TOTAL		1,148,401
			Hong Kong--0.0%
	16,000		Citic Pacific Ltd.		36,206
	2,000		Television Broadcasts Ltd.		9,436
	6,000		Wharf Holdings Ltd.		14,154
			TOTAL		59,796
			Ireland--0.0%
	300		DePfa Bank PLC		22,290
	10,700		Independent News & Media PLC		21,687
			TOTAL		43,977
			Italy--0.4%
	10,600		Arnoldo Mondadori Editore		70,491
	4,500		Autostrade SPA		36,566
	26,500		iShares MSCI Italy Index Fund		438,840
	3,600		Telecom Italia SPA		28,917
			TOTAL		574,814
Shares				Value in U.S. Dollars
			STOCKS--continued
			FOREIGN EQUITY--continued
			Japan--1.8%
	2,000		Ajinomoto Co., Inc.	$	22,477
	700		Capcom Co. Ltd.		19,118
	3,000		Fuji Heavy Industries Ltd.		14,453
	223,900		iShares MSCI Japan Index Fund		2,006,144
	11		Japan Telecom Co. Ltd.		36,068
	4,000		Komatsu Ltd.		14,340
	1,000	1	Leopalace21 Corp.		6,896
	2,000		Marui Co.		27,505
	3,000		NGK Insulators		24,749
	8,700		Nikko Cordial Corp.		52,288
	2,000		Nippon Meat Packers		23,202
	2,700		Nomura Securities Co. Ltd.		43,505
	1,500	1	Sega Corp.		37,462
	1,000		Seven-Eleven Japan		43,505
	500		TDK Corp.		28,399
	400		Tokyo Electron Ltd		27,005
	1,700		Toyota Motor Corp.		46,429
	1,000		Yamato Transport Co		19,738
			TOTAL		2,493,283
			Korea, Republic of--0.0%
	2,949		Coreana Cosmetics Co. Ltd.		9,326
	1,200		Korea Electric Power Corp.		24,903
	97		Samsung Electronics Co.		27,319
			TOTAL		61,548
			Netherlands--0.7%
	2,285	1	ASM Lithography Holding NV		43,666
	1,425		ING Groep NV		37,679
	34,900		iShares MSCI Netherlands Index Fund		623,314
	3,550		KPN NV		15,584
	1,344		Koninklijke (Royal) Philips Electronics NV		41,852
	510		Royal Dutch Petroleum Co.		28,533
Shares				Value in U.S. Dollars
			STOCKS--continued
			FOREIGN EQUITY--continued
			Netherlands--continued
	795		Unilever NV	$	52,200
	1,050		United Services Group NV		22,458
	6,300		Vendex KBB NV		86,027
	2,400		Wolters Kluwer NV		49,719
			TOTAL		1,001,032
			Portugal--0.1%
	29,781		Banco Comercial Portugues SA		101,526
	3,900	1	Telecel - Comunicacoes Pessoais SA		25,352
			TOTAL		126,878
			Russia--0.1%
	1,300	1	JSC Mining and Smelting Co. Norilsk Nickel, ADR		29,109
	395		Lukoil Oil Co., ADR		27,955
	580		RAO Unified Energy System, ADR		7,929
	320	1	Vimpel-Communications		9,181
	75		YUKOS Oil Co., ADR		11,598
			TOTAL		85,772
			Singapore--0.1%
	5,000		City Developments Ltd.		16,505
	50,000		Delgro Corporation Ltd.		62,664
	4,000		Singapore Airlines Ltd.		28,423
			TOTAL		107,592
			Spain--0.1%
	550		Grupo Empresarial Ence SA		8,810
	2,615		Telefonica SA		27,673
	1,600		Union Electrica Fenosa SA		28,737
			TOTAL		65,220
			Sweden--0.0%
	29,000		Rotternos AB		30,949
			Switzerland--0.7%
	1,000		Credit Suisse Group		36,871
	58,600		iShares MSCI Switzerland Index Fund		822,744
Shares				Value in U.S. Dollars
			STOCKS--continued
			FOREIGN EQUITY--continued
			Switzerland--continued
	1,450		Novartis AG	$	62,196
	1,150		STMicroelectronics N.V. (NY Reg Shs)		30,935
	1,078		UBS AG		56,305
			TOTAL		1,009,051
			Taiwan, Province of China--0.0%
	28,000	1	Advanced Semiconductor Engineering, Inc.		22,812
	5,000		Asustek Computer, Inc.		16,618
			TOTAL		39,430
			United Kingdom--2.0%
	4,091		Amvescap PLC		40,835
	9,090		BAE Systems PLC		51,049
	1,600		British American Tobacco PLC		19,165
	7,600		Carlton Communications PLC		28,065
	1,924		Diageo PLC		24,199
	900		GlaxoSmithKline PLC		18,480
	2,000		HSBC Holdings PLC		24,295
	3,400		Hanson PLC		25,758
	153,400		iShares MSCI United Kingdom Index Fund		2,218,164
	700		Imperial Tobacco Group PLC		11,875
	5,190		Kingfisher PLC		27,648
	2,671		Marks & Spencer Group PLC		14,805
	2,200		National Express Group PLC		20,335
	1,959		Pearson PLC		24,253
	7,800		Rank Group PLC		32,568
	8,880		Rentokil Initial PLC		36,104
	1,640		Royal Bank of Scotland PLC		47,730
	3,350		Sainsbury (J) PLC		18,471
	1,350		Six Continents PLC		15,064
	22,200		Stagecoach Group PLC		22,808
	32,075		Vodafone Group PLC		48,434
			TOTAL		2,770,105
			TOTAL FOREIGN EQUITY		11,534,699
Shares or Principal Amount				Value in U.S. Dollars
			STOCKS--continued
			FUTURES CONTRACTS COLLATERAL--8.9%3
$	12,400,000		United States Treasury Bill, 7/5/2002	$	12,385,616
			TOTAL STOCKS (IDENTIFIED COST $61,432,663)		59,479,618
			BONDS--56.7%
			TREASURY AND GOVERNMENT SECURITIES--16.3%
			Repurchase Agreement--1.2%4
	1,699,000		Greenwich Capital Markets, Inc., 1.780%, dated 5/31/2002, due 6/3/2002		1,699,000
			U.S. Treasury Agreements--15.1%
	6,020,000		United States Treasury Bond, 6.125%, 11/15/2027		6,290,539
	2,000,000		United States Treasury Note, 5.625%, 5/15/2008		2,108,000
	456,000		United States Treasury Note, 6.000%, 8/15/2009		488,718
	2,500,000		United States Treasury Note, 6.125%, 8/15/2007		2,695,400
	1,250,000		United States Treasury Note, 6.500%, 10/15/2006		1,363,250
	7,280,000		United States Treasury Note, 6.625%, 5/15/2007		8,008,437
			TOTAL		20,954,344
			TOTAL TREASURY AND GOVERNMENT SECURITIES		22,653,344
			HIGH YIELD SECURITIES--3.3%
	689,743		High Yield Bond Portfolio		4,490,223
			MORTGAGE-BACKED SECURITIES--18.4%
	2,516,075		Federated Mortgage Core Portfolio		25,563,329
			INVESTMENT GRADE CORPORATE BONDS--12.7%
			Air Transportation--0.2%
	265,000		Delta Air Lines, Inc., Sr. Note, 6.650%, 3/15/2004		255,725
			Automotive--0.3%
	350,000		Hertz Corp., Note, 8.250%, 6/1/2005		371,007
			Banking--1.2%
	400,000	2	Barclays Bank PLC, Bond, 8.550%, 9/29/2049		454,932
	100,000		City National Bank, Sub. Note, 6.375%, 1/15/2008		99,920
	250,000		Crestar Financial Corp., Sub. Note, 8.750%, 11/15/2004		278,443
	400,000	2	Swedbank, Sub. Note, 7.500%,11/29/2049		426,808
	385,000		U.S. BANK N.A., 6.300%, 2/4/2014		393,990
			TOTAL		1,654,093
			Cable Television--0.4%
	600,000		Continental Cablevision, Sr. Deb., 9.500%, 8/1/2013		621,882
Principal Amount				Value in U.S. Dollars
			BONDS--continued
			INVESTMENT GRADE CORPORATE BONDS--continued
			Chemicals & Plastics--0.3%
$	450,000	2	Bayer Corp., Deb., 6.500%, 10/1/2002	$	456,340
			Ecological Services & Equipment--0.2%
	275,000		Waste Management, Deb., 8.750%, 5/1/2018		298,914
			Education--0.3%
	375,000		Boston University, MTN, 7.625%, 7/15/2097		379,312
			Finance - Automotive--0.1%
	150,000		Ford Motor Credit Co., Unsecd. Note, 7.250%, 1/15/2003		152,899
			Financial Intermediaries--1.9%
	950,000		Amvescap PLC, Sr. Note, 6.600%, 5/15/2005		995,419
	350,000		Capital One Financial, Note, 7.125%, 8/1/2008		334,250
	300,000		Lehman Brothers Holdings, Inc., Sr. Sub. Note, 7.375%, 1/15/2007		321,702
	415,000		Marsh & McLennan Cos., Sr. Note, 7.125%, 6/15/2009		443,747
	225,000		Salomon, Inc., Note, 7.200%, 2/1/2004		237,521
	297,233	2	World Financial Properties, Pass Thru Cert., 6.910%, 9/1/2013		304,594
			TOTAL		2,637,233
			Food & Drug Retailers--0.7%
	950,000		Meyer (Fred), Inc., Company Guarantee, 7.450%, 3/1/2008		1,034,408
			Forest Products--0.5%
	650,000		Quno Corp., Sr. Note, 9.125%, 5/15/2005		664,937
			Insurance--0.4%
	250,000		AFC Capital Trust I, Company Guarantee, 8.207%, 2/3/2027		243,478
	250,000		USF&G Capital II, Company Guarantee, 8.470%, 1/10/2027		246,135
			TOTAL		489,613
			Leisure & Entertainment--0.5%
	600,000		International Speedway Corp., Company Guarantee, 7.875%, 10/15/2004		625,668
	125,000		Viacom, Inc., Sr. Deb., 8.250%, 8/1/2022		129,660
			TOTAL		755,328
			Metals & Mining--0.6%
	400,000		Barrick Gold Corp., Deb., 7.500%, 5/1/2007		427,364
	450,000		Santa Fe Pacific Gold, Note, 8.375%, 7/1/2005		467,150
			TOTAL		894,514
Principal Amount or Foreign Currency Par Amount				Value in U.S. Dollars
			BONDS--continued
			INVESTMENT GRADE CORPORATE BONDS--continued
			Printing & Publishing--0.9%
$	340,000		News America Holdings, Company Guarantee, 8.000%, 10/17/2016	$	357,949
	440,000		News America Holdings, Sr. Note, 8.500%, 2/15/2005		474,377
	450,000		Reed Elsevier, Inc., Company Guarantee, 6.750%, 8/1/2011		466,398
			TOTAL		1,298,724
			Real Estate--0.6%
	800,000		SUSA Partnership LP, Deb., 7.500%, 12/1/2027		810,048
			Retailers--1.1%
	400,000		Target Corp., Note, 5.400%, 10/1/2008		402,012
	975,000		Wal-Mart Stores, Inc., Sr. Unsecured Note, 6.875%, 8/10/2009		1,057,583
			TOTAL		1,459,595
			Sovereign Government--0.7%
	400,000		Colombia, Government of, Note, 7.250%, 2/15/2003		410,000
	460,000		Quebec, Province of, Deb., 7.500%, 9/15/2029		522,325
			TOTAL		932,325
			Supranational--0.2%
	250,000		Corp Andina De Fomento, Note, 7.375%, 1/18/2011		260,420
			Telecommunications & Cellular--0.9%
	435,000		Sprint Capital Corp., Company Guarantee, 5.875%, 5/1/2004		419,379
	840,000		Telecom de Puerto Rico, Company Guarantee, 6.650%, 5/15/2006		835,086
			TOTAL		1,254,465
			Utilities--0.7%
	250,000		Enersis SA, Note, 7.400%, 12/1/2016		227,050
	750,000		National Rural Utilities, MTN, 5.750%, 12/1/2008		734,010
			TOTAL		961,060
			TOTAL INVESTMENT GRADE CORPORATE BONDS		17,642,842
			FOREIGN BONDS--6.0%
			Australian Dollar--0.1%
	230,000		New South Wales, State of, 8.000%, 3/1/2008		140,461
			Austrian Schilling--0.1%
	120,000		Austria, Government of, Bond, 5.500%, 1/15/2010		114,222
Foreign Currency Par Amount				Value in U.S. Dollars
			BONDS--continued
			FOREIGN BONDS--continued
			British Pound--0.5%
	280,000		DaimlerChrysler N.A. Holdings, Company Guarantee, 7.500%, 12/7/2006	$	423,034
	180,000		United Kingdom, Government of, Bond, 7.000%, 6/7/2002		263,250
			TOTAL		686,284
			Canadian Dollar--0.2%
	100,000		Canada, Government of, Deb., 6.500%, 6/1/2004		68,546
	375,000		Ontario Hydro, 9.000%, 6/24/2002		246,334
			TOTAL		314,880
			Danish Krone--0.2%
	2,200,000		Denmark, Kingdom of, Note, 4.000%, 11/15/2004		271,851
			Deutsche Mark--1.0%
	280,000		Germany, Government of, 4.125%, 7/4/2008		251,138
	435,000		Germany, Government of, 4.500%, 7/4/2009		394,223
	330,000		Germany, Government of, 5.000%, 7/4/2011		305,908
	475,000		Germany, Government of, 5.375%, 1/4/2010		452,567
			TOTAL		1,403,836
			Finland Markka--0.3%
	350,000		Finland, Government of, Bond, 5.750%, 2/23/2011		337,067
			Greek Drachma--0.5%
	175,000		Greece, Government of, Bond, 6.5000%, 1/11/2014		176,156
	469,552		Greece, Government of, Floating Rate Note, 5.240%, 9/30/2003		445,973
	99,779		Greece, Government of, Floating Rate Note, 5.240%, 10/23/2003		93,017
			TOTAL		715,146
			Hungarian Forint--0.3%
	110,520,000		Hungary, Government of, 7.750%, 4/12/2005		414,507
			Italian Lira--0.9%
	880,000		Italy, Government of, Bond, 4.750%, 7/1/2005		825,276
	375,000		San Paolo-IMI SPA, Bank Guarantee, 8.126%, 12/29/2049		386,193
			TOTAL		1,211,469
			Japanese Yen--0.7%
	52,000,000		DSL Bank, Note, 2.600%, 7/10/2002		419,915
	70,000,000		Ontario, Province of, Note (Series EMTN), 1.875%, 1/25/2010		598,625
			TOTAL		1,018,540
Foreign Currency Par Amount				Value in U.S. Dollars
			BONDS--continued
			FOREIGN BONDS--continued
			Netherlands Guilder--0.0%
	50,000		Netherlands, Government, 5.500%, 1/15/2028	$	46,289
			Polish Zloty--0.6%
	1,025,000		Poland, Government of, 8.500%, 5/12/2006		253,540
	2,175,000		Poland, Government of, 10.000%, 6/12/2004		550,581
			TOTAL		804,121
			Portuguese Escudo--0.1%
	170,000		Portugal, Government of, 6.625%, 2/23/2007		170,070
			Spanish Peseta--0.4%
	540,910		Spain, Government of, 6.150%, 1/31/2013		535,820
			Swedish Krona--0.1%
	1,680,000		Sweden, Government of, 5.000%, 1/15/2004		172,282
			TOTAL FOREIGN BONDS		8,356,845
			TOTAL BONDS (IDENTIFIED COST $78,161,623)		78,706,583
			TOTAL INVESTMENTS (IDENTIFIED COST $139,594,286)5	$	138,186,201

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 Trustees. At May 31, 2002, these securities amounted to $1,942,649 which represents 1.4% of total net assets.

3 The fund purchases index futures contracts to efficiently manage cash flows resulting from shareholder purchases and redemptions, dividends and capital gain payments to shareholders and corporate actions while maintaining exposure to the index and to minimize trading costs. The underlying face amount, at value, of open index futures contracts was $11,979,300 at May 31, 2002.

4 The repurchase agreement is fully collateralized by U.S. government and/or agency obligations based on market prices at the date of the portfolio. The investment in the repurchase agreement is through participation in a joint account with other Federated funds.

5 The cost of investments for generally accepted accounting principles ("GAAP") is $139,594,286. Cost for federal tax purposes is $139,985,738. The difference between cost for GAAP and cost on a tax basis is related to amortization/accretion tax elections on fixed income securities. The net unrealized depreciation of investments on a federal tax basis amounts to $1,799,537 which is comprised of $10,284,620 appreciation and $12,084,159 depreciation at May 31, 2002.

Note: The categories of investments are shown as a percentage of net assets ($138,871,918) at May 31, 2002.

The following acronyms are used throughout this portfolio:

ADR	--American Depositary Receipt
MTN	--Medium Term Note

See Notes which are an integral part of the Financial Statements

Statement of Assets and Liabilities

May 31, 2002 (unaudited)

Assets:
Total investments in securities, at value (identified cost $139,594,286)			$	138,186,201
Cash				704
Cash denominated in foreign currency (identified cost $24,245)				24,921
Income receivable				749,712
Receivable for daily variation margin				600
Receivable for investments sold				41,113
Receivable for shares sold				3,144
Net receivable for foreign currency exchange contracts				2
Other assets				5,452
TOTAL ASSETS				139,011,849
Liabilities:
Payable for investments purchased	$	32,783
Payable for shares redeemed		48,481
Accrued expenses		58,667
TOTAL LIABILITIES				139,931
Net assets for 13,849,489 shares outstanding			$	138,871,918
Net Assets Consist of:
Paid in capital			$	144,923,174
Net unrealized depreciation of investments, translation of assets and liabilities in foreign currency and futures contracts				(1,840,128	)
Accumulated net realized loss on investments, foreign currency transactions and futures contracts				(4,041,493	)
Distributions in excess of net investment income				(169,635	)
TOTAL NET ASSETS			$	138,871,918
Net Asset Value, Offering Price and Redemption Proceeds Per Share
Institutional Shares:
$92,598,890 ÷ 9,231,359 shares outstanding				$10.03
Select Shares:
$46,273,028 ÷ 4,618,130 shares outstanding				$10.02

See Notes which are an integral part of the Financial Statements

Statement of Operations

Six Months Ended May 31, 2002 (unaudited)

Investment Income:
Dividends (net of foreign taxes withheld of $8,254)							$	1,526,246
Interest (net of foreign taxes withheld of $1,561)								1,593,667
TOTAL INCOME								3,119,913
Expenses:
Investment adviser fee				$	561,404
Administrative personnel and services fee					77,288
Custodian fees					32,262
Transfer and dividend disbursing agent fees and expenses					58,685
Directors'/Trustees' fees					1,647
Auditing fees					6,548
Legal fees					2,096
Portfolio accounting fees					33,460
Distribution services fee--Select Shares					181,827
Shareholder services fee--Institutional Shares					126,526
Shareholder services fee--Select Shares					60,609
Share registration costs					12,351
Printing and postage					17,441
Insurance premiums					748
Miscellaneous					1,347
TOTAL EXPENSES					1,174,239
Waivers:
Waiver of distribution services fee--Select Shares	$	(60,609	)
Waiver of shareholder services fee--Institutional Shares		(101,221	)
TOTAL WAIVERS					(161,830	)
Net expenses								1,012,409
Net investment income								2,107,504
Realized and Unrealized Gain (Loss) on Investments, Foreign Currency Transactions and Futures Contracts:
Net realized loss on investments and foreign currency transactions								(1,751,385	)
Net realized gain on futures contracts								345,860
Net change in unrealized depreciation of investments, translation of assets and liabilities in foreign currency and futures contracts								(1,784,139	)
Net realized and unrealized loss on investments, foreign currency transactions and futures contracts								(3,189,664	)
Change in net assets resulting from operations							$	(1,082,160	)

See Notes which are an integral part of the Financial Statements

Statement of Changes in Net Assets

	Six Months Ended (unaudited) 5/31/2002			Year Ended 11/30/2001
Increase (Decrease) in Net Assets
Operations:
Net investment income	$	2,107,504		$	5,780,468
Net realized loss on investment, foreign currency transactions and futures contracts		(1,405,525	)		(4,071,157	)
Net change in unrealized appreciation (depreciation) of investments, translation of assets and liabilities in foreign currency and futures contracts		(1,784,139	)		(3,210,267	)
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS		(1,082,160	)		(1,500,956	)
Distributions to Shareholders:
Distributions from net investment income
Institutional Shares		(1,342,878	)		(4,079,390	)
Select Shares		(480,476	)		(1,493,599	)
Distributions from net realized gains on investments, foreign currency transactions and futures contracts
Institutional Shares		--			(5,703,157	)
Select Shares		--			(2,569,651	)
CHANGE IN NET ASSETS RESULTING FROM DISTRIBUTIONS TO SHAREHOLDERS		(1,823,354	)		(13,845,797	)
Share Transactions:
Proceeds from sale of shares		11,845,229			47,753,874
Net asset value of shares issued to shareholders in payment of distributions declared		1,324,268			10,738,309
Cost of shares redeemed		(32,218,053	)		(58,886,407	)
CHANGE IN NET ASSETS RESULTING FROM SHARE TRANSACTIONS		(19,048,556	)		(394,224	)
Change in net assets		(21,954,070	)		(15,740,977	)
Net Assets:
Beginning of period		160,825,988			176,566,965
End of period (including undistributed net investment income of $22,763 for the year ended November 30, 2001)	$	138,871,918		$	160,825,988

See Notes which are an integral part of the Financial Statements

Financial Highlights -- Institutional Shares

(For a Share Outstanding Throughout Each Period)

	Six Months Ended (unaudited)			Year Ended November 30,
	5/31/2002			2001			2000			1999	1		1998			1997
Net Asset Value, Beginning of Period	$10.22			$11.19			$11.82			$12.15			$11.98			$11.37
Income From Investment Operations:
Net investment income	0.16	2		0.35			0.48	3		0.45			0.44			0.49
Net realized and unrealized gain (loss) on investments, foreign currency transactions and futures contracts	(0.22	)2		(0.43	)		(0.40	)		0.14			0.81			0.74
TOTAL FROM INVESTMENT OPERATIONS	(0.06	)		(0.08	)		0.08			0.59			1.25			1.23
Less Distributions:
Distributions from net investment income	(0.13	)		(0.37	)		(0.45	)		(0.45	)		(0.46	)		(0.50	)
Distributions from net realized gains on investments, foreign currency transactions and futures contracts	--			(0.52	)		(0.26	)		(0.47	)		(0.62	)		(0.12	)
TOTAL DISTRIBUTIONS	(0.13	)		(0.89	)		(0.71	)		(0.92	)		(1.08	)		(0.62	)
Net Asset Value, End of Period	$10.03			$10.22			$11.19			$11.82			$12.15			$11.98
Total Return4	(0.59	)%		(0.75	)%		0.60	%		5.11	%		11.19	%		11.25	%
Ratios to Average Net Assets:
Expenses	1.13	%5		1.13	%		1.06	%		1.04	%		1.08	%		1.05	%
Net investment income	3.04	%2,5		3.62	%		4.11	%		3.78	%		3.77	%		4.27	%
Expense waiver/reimbursement6	0.20	%5		0.20	%		0.20	%		0.20	%		0.20	%		0.25	%
Supplemental Data:
Net assets, end of period (000 omitted)	$92,599		$110,413			$121,563			$51,961			$178,521			$164,728
Portfolio turnover	3	%		20	%		43	%		94	%		117	%		130	%

1 Beginning with the year ended November 30, 1999, the fund was audited by Deloitte & Touche LLP. Each of the previous years was audited by other auditors.

2 Effective December 1, 2001, the Trust adopted the provisions of the American Institute of Certified Public Accountants (AICPA) Audit and Accounting Guide for Investment Companies and began accreting discount/amortizing premium on long-term debt securities. For the six months ended May 31, 2002 there was no impact to net investment income per share, or net realized gain/loss per share, but the ratio of net investment income to average net assets decreased from 3.14% to 3.04%. Per share, ratios and supplemental data for periods prior to December 1, 2001 have not been restated to reflect this change in presentation.

3 Based on average shares outstanding.

4 Based on net asset value, which does not reflect the sales charge or contingent deferred sales charge, if applicable.

5 Computed on an annualized basis.

6 This voluntary expense decrease is reflected in both the expense and the net investment income ratios shown above.

See Notes which are an integral part of the Financial Statements

Financial Highlights -- Select Shares

(For a Share Outstanding Throughout Each Period)

	Six Months Ended (unaudited)			Year Ended November 30,
	5/31/2002			2001			2000			1999	1		1998			1997
Net Asset Value, Beginning of Period	$10.22			$11.17			$11.80			$12.14			$11.96			$11.36
Income From Investment Operations:
Net investment income	0.12	2		0.34			0.40	3		0.37			0.37			0.40
Net realized and unrealized gain (loss) on investments, foreign currency transactions and futures contracts	(0.22	)2		(0.48	)		(0.40	)		0.13			0.81			0.74
TOTAL FROM INVESTMENT OPERATIONS	(0.10	)		(0.14	)		--			0.50			1.18			1.14
Less Distributions:
Distributions from net investment income	(0.10	)		(0.29	)		(0.37	)		(0.37	)		(0.38	)		(0.42	)
Distributions from net realized gains on investments, foreign currency transactions and futures contracts	---			(0.52	)		(0.26	)		(0.47	)		(0.62	)		(0.12	)
TOTAL DISTRIBUTIONS	(0.10	)		(0.81	)		(0.63	)		(0.84	)		(1.00	)		(0.54	)
Net Asset Value, End of Period	$10.02			$10.22			$11.17			$11.80			$12.14			$11.96
Total Return4	(0.99	)%		(1.33	)%		(0.11	)%		4.29	%		10.51	%		10.41	%
Ratios to Average Net Assets:
Expenses	1.83	%5		1.83	%		1.76	%		1.74	%		1.78	%		1.75	%
Net investment income	2.34	%2,5		2.92	%		3.42	%		3.08	%		3.07	%		3.51	%
Expense waiver/reimbursement6	0.25	%5		0.25	%		0.25	%		0.25	%		0.25	%		0.30	%
Supplemental Data:
Net assets, end of period (000 omitted)	$46,273		$50,413			$55,004			$64,972			$62,787			$47,499
Portfolio turnover	3	%		20	%		43	%		94	%		117	%		130	%

1 Beginning with the year ended November 30, 1999, the fund was audited by Deloitte & Touche LLP. Each of the previous years was audited by other auditors.

2 Effective December 1, 2001, the Trust adopted the provisions of the American Institute of Certified Public Accountants (AICPA) Audit and Accounting Guide for Investment Companies and began accreting discount/amortizing premium on long-term debt securities. For the six months ended May 31, 2002 there was no impact to net investment income per share, or net realized gain/loss per share, but the ratio of net investment income to average net assets decreased from 2.44% to 2.34%. Per share, ratios and supplemental data for periods prior to December 1, 2001 have not been restated to reflect this change in presentation.

3 Based on average shares outstanding.

4 Based on net asset value, which does not reflect the sales charge or contingent deferred sales charge, if applicable.

5 Computed on an annualized basis.

6 This voluntary expense decrease is reflected in both the expense and the net investment income ratios shown above.

See Notes which are an integral part of the Financial Statements

Notes to Financial Statements

May 31, 2002 (unaudited)

ORGANIZATION

Federated Managed Allocation Portfolios (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 four diversified portfolios. The financial statements included herein are only those of Federated Managed Conservative Growth Portfolio (the "Fund"). 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. The investment objective of the Fund is to seek total return with an emphasis on income and capital appreciation.

The Fund offers two classes of shares: Institutional Shares and Select Shares.

SIGNIFICANT ACCOUNTING POLICIES

The following is a summary of significant accounting policies consistently followed by the Fund in the preparation of its financial statements. These policies are in conformity with generally accepted accounting principles ("GAAP").

Investment Valuation

Listed equity securities are valued at the last sale price reported on a national securities exchange. U.S. government securities, listed corporate bonds, other fixed income and asset-backed securities and unlisted securities and private placement securities are generally valued at the mean of the latest bid and asked price as furnished by an independent pricing service. 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").

With respect to valuation of foreign securities, trading in foreign cities may be completed at times which vary from the closing of the New York Stock Exchange. Therefore, foreign securities are valued at the latest closing price on the exchange on which they are traded prior to the closing of the New York Stock Exchange. Foreign securities quoted in foreign currencies are translated into U.S. dollars at the foreign exchange rate in effect at noon, Eastern Time, on the day the value of the foreign security is determined.

Pursuant to an Exemptive Order issued by the Securities and Exchange Commission, the Fund may invest in Federated Core Trust ("Core Trust") which is managed by Federated Investment Management Company, the Fund's Adviser. Core Trust is an open-end management investment company, registered under the Investment Company Act of 1940, available only to registered investment companies and other institutional investors. The investment objective of High Yield Bond Portfolio, a series of Core Trust, is to seek high current income by investing primarily in a diversified portfolio of lower rated fixed income securities. The investment objective of Federated Mortgage Core Portfolio, a series of Core Trust, is to provide total return by investing in a diversified portfolio of mortgage-backed fixed income securities. Federated receives no advisory or administrative fees on behalf of Core Trust. Income distributions from Core Trust are declared daily and paid monthly, and are recorded by the Fund as dividend income. Capital gain distributions, if any, from Core Trust are declared annually, and are recorded by the Fund as capital gains. Additional information regarding High Yield Bond Portfolio and/or Federated Mortgage Core Portfolio is available upon request.

Repurchase Agreements

It is the policy of the Funds 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 Fund 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 Fund will only enter into repurchase agreements with banks and other recognized financial institutions, such as broker/dealers, which are deemed by the Fund's 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 Fund could receive less than the repurchase price on the sale of collateral securities. The Fund, along with other affiliated investment companies, may utilize a joint trading account for the purpose of entering into one or more repurchase agreements.

Investment Income, Expenses and Distributions

Interest income and expenses are accrued daily. All discounts/premiums are accreted/amortized for financial reporting purposes as required. Dividend income and distributions to shareholders are recorded on the ex-dividend date. Non-cash dividends included in dividend income, if any, are recorded at fair value. The 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.

Distributions are determined in accordance with income tax regulations which may differ from GAAP. These distributions do not represent a return of capital for federal income tax purposes.

Effective December 1, 2001, the Trust has adopted the provisions of the AICPA Audit and Accounting Guide for Investment Companies and began accreting discount/amortizing premium on long-term debt securities. The cumulative effect of this accounting change had no impact on the total net assets of the Fund, but resulted in adjustments to the financial statements as follows:

	As of 12/1/2001			For the Six Months Ended 5/31/2002
	Cost of Investments	Accumulated Net Realized Loss	Undistributed Net Investment Income	Net Investment Income	Net Unrealized Appreciation/ Depreciation	Net Realized Loss
Increase (Decrease)	$(476,028)	$(520)	$(476,548)	$(76,493)	$(84,576)	$161,069

The Statement of Changes in Net Assets and Financial Highlights for prior periods have not been restated to reflect this change in presentation.

Federal Taxes

It is the Fund's policy to comply with the provisions of the Internal Revenue Code, as amended ("the Code"), applicable to regulated investment companies and to distribute to shareholders each year substantially all of its income. Accordingly, no provision for federal tax is necessary.

Withholding taxes on foreign interest and dividends have been provided for in accordance with the Fund's applicable country's tax rules and rates.

At November 30, 2001, the Fund, for federal tax purposes, had a capital loss carryforward of $2,464,553, which will reduce the 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 Fund of any liability for federal tax. Pursuant to the Code, such capital loss carryforward will expire in 2009.

When-Issued and Delayed Delivery Transactions

The Fund may engage in when-issued or delayed delivery transactions. The Fund records when-issued securities on the trade date and maintains 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.

Futures Contracts

The Fund purchases stock index futures contracts to manage cashflows, enhance yield and to potentially reduce transaction costs. Upon entering into a stock index futures contract with a broker, the Fund is required to deposit in a segregated account a specified amount of cash or U.S. government securities. Futures contracts are valued daily and unrealized gains or losses are recorded in a "variation margin" account. Daily, the Fund receives from or pays to the broker a specified amount of cash based upon changes in the variation margin account. When a contract is closed, the Fund recognizes a realized gain or loss. For the six months ended May 31, 2002, the Fund had realized gains of $345,860 on futures contracts.

Futures contracts have market risks, including the risk that the change in the value of the contract may not correlate with changes in the value of the underlying securities.

At May 31, 2002, the Fund had outstanding futures contracts as set forth below:

Expiration Date	Contracts to Receive	Position	Unrealized Depreciation
June 2002	36 Russell 2000 Index Futures	Long	$(173,700	)
June 2002	12 S&P 500 Index Futures	Long	$(268,803	)
TOTAL UNREALIZED DEPRECIATION			$(442,503	)

Foreign Exchange Contracts

The 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 Fund's securities against currency fluctuations. Risks may arise upon entering these transactions from the potential inability of counterparties to meet the terms of their commitments and from unanticipated movements in security prices or foreign exchange rates. The foreign currency transactions are adjusted by the daily exchange rate of the underlying currency and any gains or losses are recorded for financial statement purpose as unrealized until the settlement date.

At May 31, 2002, the 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:
6/3/2002	5,762 Euro Dollars	$5,425	$5,382	$(43	)
Contracts Sold:
6/4/2002	728,450 Japanese Yen	$5,914	$5,869	$ 45
NET UNREALIZED APPRECIATION ON FOREIGN EXCHANGE CONTRACTS				$  2

Foreign Currency Translation

The accounting records of the Fund are maintained in U.S. dollars. All assets and liabilities denominated in foreign currencies ("FC") are translated into U.S. dollars based on the rates of exchange of such currencies against U.S. dollars on the date of valuation. Purchases and sales of securities, income and expenses are translated at the rate of exchange quoted on the respective date that such transactions are recorded. Differences between income and expense amounts recorded and collected or paid are adjusted when reported by the custodian bank. The Fund does not isolate that portion of the results of operations resulting from changes in foreign exchange rates on investments from the fluctuations arising from changes in market prices of securities held. Such fluctuations are included with the net realized and unrealized gain or loss from investments.

Reported net realized foreign exchange gains or losses arise from sales of portfolio securities, sales and maturities of short-term securities, sales of FCs, currency gains or losses realized between the trade and settlement dates on securities transactions, the difference between the amounts of dividends, interest and foreign withholding taxes recorded on the Fund's books, and the U.S. dollar equivalent of the amounts actually received or paid. Net unrealized foreign exchange gains and losses arise from changes in the value of assets and liabilities other than investments in securities at fiscal year end, resulting from changes in the exchange rate.

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 Fund 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 Fund will not incur any registration costs upon such resales. The Fund's restricted securities are valued at the price provided by dealers in the secondary market or, if no market prices are available, at the fair value as determined in good faith using methods approved by the Trustees.

Use of Estimates

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts of assets, liabilities, expenses and revenues reported in the financial statements. Actual results could differ from those estimated.

Other

Investment transactions are accounted for on a trade date basis.

SHARES OF BENEFICIAL INTEREST

The Declaration of Trust permits the Trustees to issue an unlimited number of full and fractional shares of beneficial interest (without par value) for each class of shares. Transactions in shares were as follows:

	Six Months Ended 5/31/2002					Year Ended 11/30/2001
Institutional Shares:	Shares			Amount		Shares			Amount
Shares sold	841,376		$	8,491,267		3,039,732		$	31,660,790
Shares issued to shareholders in payment of distributions declared	89,472			903,985		666,202			7,028,868
Shares redeemed	(2,499,387	)		(25,259,984	)	(3,770,801	)		(39,446,136	)
NET CHANGE RESULTING FROM INSTITUTIONAL SHARE TRANSACTIONS	(1,568,539	)	$	(15,864,732	)	(64,867	)	$	(756,478	)
	Six Months Ended 5/31/2002					Year Ended 11/30/2001
Select Shares:	Shares			Amount		Shares			Amount
Shares sold	332,106		$	3,353,962		1,515,020		$	16,093,084
Shares issued to shareholders in payment of distributions declared	41,579			420,283		350,711			3,709,441
Shares redeemed	(689,895	)		(6,958,069	)	(1,854,184	)		(19,440,271	)
NET CHANGE RESULTING FROM SELECT SHARE TRANSACTIONS	(316,210	)	$	(3,183,824	)	11,547		$	362,254
NET CHANGE RESULTING FROM SHARE TRANSACTIONS	(1,884,749	)	$	(19,048,556	)	(53,320	)	$	(394,224	)

INVESTMENT ADVISER FEE AND OTHER TRANSACTIONS WITH AFFILIATES

Investment Adviser Fee

Federated Investment Management Company, the Fund's investment adviser (the "Adviser"), receives for its services an annual investment Adviser fee equal to 0.75% of the 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.

Certain of the Fund's assets are managed by Federated Global Investment Management Corp. (the "Sub-Adviser"). Under the terms of a sub-adviser agreement between the Adviser and the Sub-Adviser, the Sub-Adviser receives an allocable portion of the Fund's adviser fee. The fee is paid by the Adviser out of its resources and is not an incremental Fund expense.

Administrative Fee

Federated Services Company ("FServ"), under the Administrative Services Agreement, provides the Fund with administrative personnel and services. The fee paid to FServ is based on a scale that ranges from 0.150% to 0.075% of the average aggregate daily net assets of all funds advised by subsidiaries of Federated Investors, Inc., subject to a $125,000 minimum per portfolio and $30,000 per each additional class.

Distribution Services Fee

The Fund has adopted a Distribution Plan (the "Plan") pursuant to Rule 12b-1 under the Act. Under the terms of the Plan, the Fund will compensate Federated Securities Corp. ("FSC"), the principal distributor, from the net assets of the Fund to finance activities intended to result in the sale of the Fund's Select Shares. The Plan provides that the Fund may incur distribution expenses of up to 0.75% of average net assets, annually, to compensate FSC. The distributor may voluntarily choose to waive any portion of its fee. The distributor 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 Federated Shareholder Services Company ("FSSC"), the Fund will pay FSSC up to 0.25% of average daily net assets of the Fund's shares for the period. The fee paid to FSSC is used to finance certain services for shareholders and to maintain shareholder accounts. FSSC may voluntarily choose to waive any portion of its fee. FSSC can modify or terminate this voluntary waiver at any time at its sole discretion.

Transfer and Dividend Disbursing Agent Fees and Expenses

FServ, through its subsidiary FSSC, serves as transfer and dividend disbursing agent for the Fund. The fee paid to FSSC is based on the size, type and number of accounts and transactions made by shareholders.

Portfolio Accounting Fees

FServ maintains the Fund's accounting records for which it receives a fee. The fee is based on the level of the Fund's average daily net assets for the period, plus out-of-pocket expenses.

General

Certain of the Officers and Trustees of the Fund are Officers and Directors or Trustees of the above companies.

INVESTMENT TRANSACTIONS

Purchases and sales of investments, excluding long-term U.S. government and short-term securities (and in-kind contributions), for the six months ended May 31, 2002, were as follows:

Purchases	$	4,822,590
Sales	$	17,597,192

Sales of long-term U.S. government securities for the six months ended May 31, 2002, were $2,971,449.

CONCENTRATION OF CREDIT RISK (UNAUDITED)

The 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 stability 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.

At May 31, 2002, the diversification of industries for non-U.S. issuers was as follows:

Industry	Percentage of Net Assets	Industry	Percentage of Net Assets
Agency	0.2%	Household & Personal Products	0.0%
Automobiles & Components	0.1%	Insurance	0.1%
Banking	1.1%	Materials	0.2%
Capital Goods	0.1%	Media	0.2%
Commercial Services & Supplies	0.1%	Metals & Mining	0.3%
Communications Equipment	0.0%	Oil & Gas	0.5%
Consumer Durables & Apparel	0.0%	Pharmaceuticals & Biotechnology	0.1%
Diversified Financials	6.0%	Real Estate	0.0%
Energy	0.1%	Retailing	0.2%
Finance	0.3%	Software & Services	0.0%
Financial Intermediaries	0.7%	Sovereign Government	5.1%
Food & Drug Retailing	0.1%	State/Provincial Government	0.5%
Food, Beverage & Tobacco	0.1%	Technology Hardware & Equipment	0.2%
Food Products	0.3%	Telecommunication Services	0.2%
Forest Products	0.5%	Transportation	0.2%
Hotels, Restaurants & Leisure	0.0%	Utilities	0.2%

Mutual funds are not bank deposits or obligations, are not guaranteed by any bank, and are not insured or guaranteed by the U.S. government, the Federal Deposit Insurance Corporation, the Federal Reserve Board, or any other government agency. Investment in mutual funds involves investment risk, including the possible loss of principal.

This report is authorized for distribution to prospective investors only when preceded or accompanied by the fund's prospectus, which contains facts concerning its objective and policies, management fees, expenses and other information.

IMPORTANT NOTICE ABOUT FUND DOCUMENT DELIVERY

In an effort to reduce costs and avoid duplicate mailings, the Fund(s) intend to deliver a single copy of certain documents to each household in which more than one shareholder of the Fund(s) resides (so-called "householding"), as permitted by applicable rules. The Fund's "householding" program covers its/their Prospectus and Statement of Additional Information, and supplements to each, as well as Semi-Annual and Annual Reports and any Proxies or information statements. Shareholders must give their written consent to participate in the householding program. The Fund is also permitted to treat a shareholder as having given consent ("implied consent") if (i) shareholders with the same last name, or believed to be members of the same family, reside at the same street address or receive mail at the same post office box, (ii) the Fund gives notice of its intent to "household" at least sixty (60) days before it begins "householding" and (iii) none of the shareholders in the household have notified the Fund(s) or their agent of the desire to "opt out" of householding. Shareholders who have granted written consent, or have been deemed to have granted implied consent, can revoke that consent and opt out of householding at any time by calling 1-800-341-7400.

Federated
World-Class Investment Manager
Federated Managed Conservative Growth Portfolio
Federated Investors Funds
5800 Corporate Drive
Pittsburgh, PA 15237-7000
www.federatedinvestors.com
Contact us at 1-800-341-7400 or
www.federatedinvestors.com/contact
Federated Securities Corp., Distributor

Cusip 314212408
Cusip 314212309

Federated is a registered mark of Federated Investors, Inc. 2002 ©Federated Investors, Inc.

G00516-01 (7/02)

Federated Investors
World-Class Investment Manager

Federated Managed Growth Portfolio

A Portfolio of Federated Managed Allocation Portfolios

SEMI-ANNUAL REPORT

May 31, 2002

NOT FDIC INSURED * MAY LOSE VALUE * NO BANK GUARANTEE

Portfolio of Investments

May 31, 2002 (unaudited)

Shares				Value in U.S. Dollars
			STOCKS--83.5%
			LARGE-CAP STOCKS--48.7%
			Consumer Discretionary--5.9%
	30,000	1	AOL Time Warner, Inc.	$	561,000
	6,800	1	Clear Channel Communications, Inc.		361,964
	14,100	1	Comcast Corp., Class A		397,056
	8,000		Costco Wholesale Corp.		314,160
	15,672		Ford Motor Co.		276,611
	18,250		Home Depot, Inc.		760,843
	10,200		Knight-Ridder, Inc.		671,466
	12,100		Target Corp.		501,545
	11,228	1	Viacom, Inc., Class B		549,723
	29,900		Wal-Mart Stores, Inc.		1,617,590
	25,000		Walt Disney Co.		572,750
			TOTAL		6,584,708
			Consumer Staples--5.6%
	17,200		Coca-Cola Co.		955,632
	38,800		Dial Corp.		783,760
	8,100		Gillette Co.		288,117
	8,400		Kimberly-Clark Corp.		545,328
	10,900		PepsiCo, Inc.		566,582
	18,700		Philip Morris Cos., Inc.		1,070,575
	9,200		Procter & Gamble Co.		823,860
	8,400		Unilever NV, ADR		550,368
	15,800		Walgreen Co.		604,508
			TOTAL		6,188,730
			Energy--4.3%
	13,400		Ashland, Inc.		509,066
	12,400		ChevronTexaco Corp.		1,081,900
	7,118		Conoco, Inc.		191,332
	41,380		Exxon Mobil Corp.		1,652,303
	17,000		Royal Dutch Petroleum Co., ADR		935,000
	7,800		Schlumberger Ltd.		402,792
			TOTAL		4,772,393
Shares				Value in U.S. Dollars
			STOCKS--continued
			LARGE-CAP STOCKS--continued
			Financials--9.0%
	11,400		Allstate Corp.	$	438,672
	13,000		American Express Co.		552,630
	17,939		American International Group, Inc.		1,201,375
	13,894		Bank of America Corp.		1,053,304
	9,400		Bank of New York Co., Inc.		341,220
	33,333		Citigroup, Inc.		1,439,319
	7,800		Fannie Mae		624,078
	10,026		Fleet Boston Financial Corp.		353,316
	5,100		Loews Corp.		291,210
	10,600		Mellon Financial Corp.		393,260
	9,300		Merrill Lynch & Co., Inc.		378,603
	9,900		Morgan Stanley Dean Witter & Co.		450,054
	10,300		Post Properties, Inc.		319,300
	10,200		Schwab (Charles) Corp.		123,318
	19,114		U.S. Bancorp		452,046
	15,000		Wachovia Corp.		575,550
	10,400		Washington Mutual, Inc.		404,248
	11,400		Wells Fargo & Co.		597,360
			TOTAL		9,988,863
			Healthcare--8.1%
	15,100		Abbott Laboratories		717,250
	8,300	1	Amgen, Inc.		395,329
	10,800		Baxter International, Inc.		579,960
	13,900		Bristol-Myers Squibb Co.		432,568
	7,600		Cardinal Health, Inc.		505,096
	5,500	1	Forest Laboratories, Inc.		406,065
	18,700		Johnson & Johnson		1,147,245
	8,000		Lilly (Eli) & Co.		517,600
	10,200	2	Medtronic, Inc.		470,730
	15,100		Merck & Co., Inc.		862,210
	39,275		Pfizer, Inc.		1,358,915
Shares				Value in U.S. Dollars
			STOCKS--continued
			LARGE-CAP STOCKS--continued
			Healthcare--continued
	14,724		Pharmacia Corp.	$	635,929
	12,300		Schering Plough Corp.		325,335
	5,900		UnitedHealth Group, Inc.		535,720
	1,430	1	Zimmer Holdings, Inc.		50,021
			TOTAL		8,939,973
			Industrials--4.5%
	7,900		Automatic Data Processing, Inc.		410,168
	8,200		Boeing Co.		349,730
	4,300		Eaton Corp.		347,526
	8,900		First Data Corp.		704,880
	59,862		General Electric Co.		1,864,103
	7,700		Honeywell International, Inc.		301,840
	11,200	1	US Airways Group, Inc.		34,160
	10,400		Union Pacific Corp.		636,896
	4,400		United Technologies Corp.		303,028
			TOTAL		4,952,331
			Information Technology--8.0%
	17,200	1	Applied Materials, Inc.		381,496
	5,213	1	Axcelis Technologies, Inc.		64,068
	48,200	1	Cisco Systems, Inc.		760,596
	9,100		Computer Associates International, Inc.		157,976
	10,000	1	Corning, Inc.		48,000
	20,500	1	Dell Computer Corp.		550,425
	16,500	1	EMC Corp.		119,625
	7,400		Electronic Data Systems Corp.		390,868
	25,233		Hewlett-Packard Co.		481,698
	45,000		Intel Corp.		1,242,900
	12,200		International Business Machines Corp.		981,490
	29,900	1	Lucent Technologies, Inc.		139,035
	34,800	1	Microsoft Corp.		1,771,668
	19,500		Motorola, Inc.		311,805
Shares				Value in U.S. Dollars
			STOCKS--continued
			LARGE-CAP STOCKS--continued
			Information Technology--continued
	23,900	1	Nortel Networks Corp.	$	52,819
	40,300	1	Oracle Corp.		319,176
	7,500	1	Qualcomm, Inc.		237,300
	25,300	1	Sun Microsystems, Inc.		174,317
	14,300		Texas Instruments, Inc.		409,981
	5,900	1	Veritas Software Corp.		133,753
	5,500	1	Yahoo, Inc.		88,110
			TOTAL		8,817,106
			Materials--1.3%
	12,760		Du Pont (E.I.) de Nemours & Co.		586,960
	6,700		PPG Industries, Inc.		383,106
	6,800		Weyerhaeuser Co.		445,400
			TOTAL		1,415,466
			Telecommunication Services--1.9%
	24,865		AT&T Corp.		297,634
	9,407	1	AT&T Wireless Services, Inc.		76,291
	6,200		Alltel Corp.		319,238
	15,100		BellSouth Corp.		502,528
	10,500	1	NEXTEL Communications, Inc., Class A		51,030
	11,975		Qwest Communications International, Inc.		61,791
	11,500	1	Sprint Corp. (PCS Group)		120,060
	16,206		Verizon Communications, Inc.		696,858
			TOTAL		2,125,430
			Utilities--0.1%
	9,500		Reliant Energy, Inc.		161,595
			TOTAL LARGE-CAP STOCKS		53,946,595
Shares				Value in U.S. Dollars
			STOCKS--continued
			SMALL-CAP STOCKS--7.8%
			Consumer Discretionary--1.3%
	666	1	99 Cents Only Stores	$	20,426
	1,650	1	Ann Taylor Stores Corp.		46,992
	500	1	AutoZone, Inc.		40,925
	1,700		Bandag Inc.		54,400
	1,700		Borg-Warner Automotive, Inc.		109,480
	500	1	CDW Computer Centers, Inc.		26,075
	900	1	Chicos FAS, Inc.		34,443
	600	1	Christopher & Banks Corp.		23,868
	900		Circuit City Stores, Inc.		20,619
	1,700	1	Dollar Tree Stores, Inc.		68,459
	910		Dover Downs Gaming & Entertainment, Inc.		12,103
	1,300		Dover Motorsports, Inc.		7,787
	500	1	Electronics Boutique Holdings Corp.		14,845
	750		Freds, Inc.		25,650
	1,300	1	Genesco, Inc.		30,706
	200		Grey Global Group, Inc.		158,000
	1,000	1	Gtech Holdings Corp.		28,150
	1,300		Harman International Industries, Inc.		71,890
	700	1	Jones Apparel Group, Inc.		27,902
	1,000		KB HOME		51,530
	700		M/I Schottenstein Homes, Inc.		44,835
	900	1	Macrovision Corp.		14,517
	1,500		Marriott International, Inc., Class A		60,660
	1,300	1	Midway Games, Inc.		13,195
	200	1	NVR, Inc.		66,200
	500		OshKosh B'Gosh, Inc., Class A		19,000
	400	1	Panera Bread Co.		24,916
	1,900	1	Payless ShoeSource, Inc.		106,229
	900		Polaris Industries, Inc.		62,586
	1,500	1	Pricesmart, Inc.		59,895
	800	1	Timberland Co., Class A		31,024
	700	1	Tweeter Home Entertainment Group, Inc.		11,788
			TOTAL		1,389,095
Shares				Value in U.S. Dollars
			STOCKS--continued
			SMALL-CAP STOCKS--continued
			Consumer Staples--0.2%
	800		Coors (Adolph) Co., Class B	$	53,392
	500		Farmer Brothers Co.		171,000
			TOTAL		224,392
			Energy--0.4%
	2,063	1	FMC Technologies, Inc.		46,314
	800		Forest Oil Corp.		23,408
	800	1	Hanover Compressor Co.		10,464
	900		Helmerich & Payne, Inc.		34,380
	1,200	1	Key Production Co.		21,744
	2,400	1	Oceaneering International, Inc.		74,424
	2,100	1	SEACOR SMIT, Inc.		102,270
	2,000	1	Stone Energy Corp.		82,300
	800		Sunoco, Inc.		28,448
	1,200		Tidewater, Inc.		48,900
			TOTAL		472,652
			Financials--1.4%
	700	1	Actrade Financial Technologies Ltd.		12,439
	1,200	1	Affiliated Managers Group		83,280
	612		Alleghany Corp.		113,740
	900		Bank of Hawaii Corp.		26,055
	1,400		Capital One Financial Corp.		87,416
	2,800		Cathay Bancorp, Inc.		119,224
	1,100		Downey Financial Corp.		59,939
	1,300	1	Federal Agricultural Mortgage Association, Class C		40,300
	1,100		First Citizens Bancshares, Inc., Class A		122,375
	900		Greater Bay Bancorp		29,601
	5,400	1	IndyMac Bancorp, Inc.		124,902
	800		International Bancshares Corp.		37,160
	500	1	Investment Technology Group, Inc.		18,200
	800	1	Labranche & Co. Inc.		21,120
	600	1	Markel Corp.		125,496
Shares				Value in U.S. Dollars
			STOCKS--continued
			SMALL-CAP STOCKS--continued
			Financials--continued
	700	1	National Western Life Insurance Co., Class A	$	77,525
	1,500		Park National Corp.		141,765
	1,900	1	Philadelphia Consolidated Holding Corp.		80,408
	500		Seacoast Banking Corp. of Florida, Class A		25,680
	1,000	1	Silicon Valley Bancshares		31,120
	1,200		Suffolk Bancorp		37,920
	1,600		Wilmington Trust Corp.		99,872
	600		XL Capital Ltd.		53,112
			TOTAL		1,568,649
			Healthcare--1.1%
	1,400		Aetna US Healthcare		66,990
	1,500	1	AmeriPath, Inc.		44,250
	1,200	1	Applera Corp. -- Celera Genomics Group		17,340
	2,600	1	Apria Healthcare Group, Inc.		61,542
	1,300		Bausch & Lomb, Inc.		49,101
	700	1	Cerus Corp.		30,261
	1,700	1	Charles River Laboratories International, Inc.		62,475
	1,300	1	Conceptus, Inc.		24,102
	1,700	1	Cryolife, Inc.		49,266
	1,800		Galen Holdings PLC, ADR		54,126
	800	1	Genentech, Inc.		28,400
	1,900	1	Haemonetics Corp.		56,848
	600	1	IDEC Pharmaceuticals Corp.		25,734
	1,200	1	INAMED Corp.		38,940
	500	1	Imclone Systems, Inc.		4,830
	600	1,2	InterMune, Inc.		16,050
	2,200	1	Laboratory Corporation of America Holdings		107,910
	2,300	1	LifePoint Hospitals, Inc.		89,493
	1,300	1	Medarex, Inc.		13,039
	700	1	Medicis Pharmaceutical Corp., Class A		32,445
	600	1	Myriad Genetics, Inc.		13,374
Shares				Value in U.S. Dollars
			STOCKS--continued
			SMALL-CAP STOCKS--continued
			Healthcare--continued
	600	1	NPS Pharmaceuticals, Inc.	$	11,550
	500	1	Neurocrine Biosciences, Inc.		16,215
	1,700	1	Orthofix International NV		59,466
	900	1	Protein Design Laboratories, Inc.		10,233
	500	1	Quest Diagnostics, Inc.		43,710
	700	1	Sepracor, Inc.		8,197
	800	1	Tenet Healthcare Corp.		59,600
	700	1	Transkaryotic Therapies, Inc.		26,467
	1,000		Varian Medical Systems, Inc.		46,900
			TOTAL		1,168,854
			Industrials--1.0%
	500	1	Alliant Techsystems, Inc.		54,390
	800		Arbitron, Inc.		29,240
	1,700		CNF Transporation, Inc.		61,217
	1,300	1	Checkfree Corp.		27,586
	900	1	CoStar Group, Inc.		19,116
	600	1	Concord EFS, Inc.		18,762
	1,100	1	Continental Airlines, Inc., Class B		24,497
	3,100	1	Corporate Executive Board Company		108,810
	600	1	DRS Technologies, Inc.		23,520
	1,500	1	Emcor Group Inc.		84,705
	700	1	Genlyte Group, Inc.		29,568
	500		ITT Educational Services, Inc.		24,700
	750	1	Iron Mountain, Inc.		23,250
	1,200		Jacobs Engineering Group, Inc.		46,068
	700	1	Learning Tree International, Inc.		15,078
	700	1	Lynch Interactive Corp.		24,850
	700	1	Mercury Computer Systems, Inc.		19,159
	700	1	Morgan Group Holding Co.		560
	1,100		NACCO Industries, Inc., Class A		75,405
	1,700	1	National Processing, Inc.		47,770
Shares				Value in U.S. Dollars
			STOCKS--continued
			SMALL-CAP STOCKS--continued
			Industrials--continued
	400		SPX Corp.	$	55,000
	1,700		Sequa Corp., Class A		92,820
	500	1	Simpson Manufacturing Co., Inc.		31,500
	800		SkyWest, Inc.		18,640
	500		Strayer Education, Inc.		29,695
	2,300		Tennant Co.		91,425
	800		URS Corp.		23,616
	600		Woodward Governor Co.		36,192
			TOTAL		1,137,139
			Information Technology--1.5%
	1,200	1	Acxiom Corp.		21,336
	1,600	1	Affiliated Computer Services, Inc., Class A		89,024
	800		Alpha Industries, Inc.		8,152
	800	1	Amdocs Ltd.		14,880
	1,200	1	Amphenol Corp., Class A		53,940
	1,900		Analogic Corp.		82,194
	900	1	Avant! Corp.		16,803
	1,200	1	Avocent Corp.		27,120
	1,200		Bel Fuse, Inc.		32,160
	900	1	Black Box Corp.		45,594
	1,268	1	Brooks-PRI Automation, Inc.		38,256
	1,000	1	Cerner Corp.		54,400
	1,100	1	Documentum, Inc.		14,300
	700	1	Dupont Photomasks, Inc.		24,346
	900	1	Embarcadero Technologies, Inc.		8,604
	800	1	Emulex Corp.		24,088
	1,000	1	F5 Networks, Inc.		11,810
	500		Fair Isaac & Co., Inc.		29,300
	1,100		Fisher Scientific International, Inc.		33,825
	2,800		Franklin Electronics, Inc.		134,148
	1,000	1	FreeMarkets, Inc.		15,450
Shares				Value in U.S. Dollars
			STOCKS--continued
			SMALL-CAP STOCKS--continued
			Information Technology--continued
	399	1	Genesis Microchip, Inc.	$	6,552
	1,940	1	Intersil Corp., Class A		46,599
	1,100		Keane, Inc.		15,972
	600	1	Kronos, Inc.		24,636
	1,200	1	Macromedia, Inc.		26,640
	1,100	1	Manugistics Group, Inc.		8,701
	700		Microsemi Corp.		10,171
	800	1	Microtune, Inc.		8,056
	400	1	NVIDIA Corp.		13,384
	900	1	National Instruments Corp.		31,851
	900	1	NetIQ Corp.		20,808
	900	1	Network Associates, Inc.		17,415
	800	1	Numerical Technologies, Inc.		6,320
	16,800		Online Resources Corp.		54,600
	600	1	Photon Dynamics, Inc.		24,228
	800	1	Plantronics, Inc.		18,136
	800	1	Polycom, Inc.		15,320
	1,200	1	Powerwave Technologies, Inc.		12,732
	800	1	Retek, Inc.		19,512
	700		Roper Industries, Inc.		27,300
	900	1	ScanSource, Inc.		59,463
	800	1	Silicon Laboratories, Inc.		19,104
	900	1	THQ, Inc.		28,800
	700	1	Tollgrade Communications, Inc.		13,531
	1,300	1	UTStarcom, Inc.		28,925
	800	1	Veeco Instruments, Inc.		23,313
	800	1	WebEx Communications, Inc.		11,160
	1,100	1	Websense, Inc.		32,560
	1,100	1	Zebra Technologies Co., Class A		63,404
	7,800	1	Zoran Corp.		189,150
			TOTAL		1,658,073
Shares				Value in U.S. Dollars
			STOCKS--continued
			SMALL-CAP STOCKS--continued
			Materials--0.6%
	800		AEP Industries, Inc.	$	27,792
	600		Ameron, Inc.		42,720
	900		Arch Coal, Inc.		21,150
	1,600		Ball Corp.		66,528
	1,800		Commercial Metals Corp.		82,620
	800	1	Cytec Industries, Inc.		24,792
	1,200	1	FMC Corp.		42,600
	1,500		Greif Brothers Corp., Class A		50,895
	1,100		Lubrizol Corp.		38,511
	1,200		Massey Energy Co.		15,720
	1,100		OM Group, Inc.		72,160
	800	1	Phelps Dodge Corp.		31,208
	2,600		Rayonier, Inc.		136,552
			TOTAL		653,248
			Telecommunication Services--0.0%
	600		Conestoga Enterprises, Inc.		19,800
			Utilities--0.3%
	900		Alliant Energy Corp.		24,768
	1,400		Black Hills Corp.		49,574
	2,700		DQE, Inc.		47,736
	800		Entergy Corp.		35,184
	1,900		Kinder Morgan, Inc.		82,175
	1,200		NUI Corp. Holding Co.		30,576
	1,300		SJW Corp.		104,975
			TOTAL		374,988
			TOTAL SMALL-CAP STOCKS		8,666,890
			FOREIGN EQUITY--16.4%
			Australia--0.3%
	16,868		BHP Billiton Ltd.		103,083
	12,828		News Corp. Ltd.		91,460
	5,400		News Corp. Ltd., ADR		157,572
			TOTAL		352,115
Shares				Value in U.S. Dollars
			STOCKS--continued
			FOREIGN EQUITY--continued
			Canada--0.6%
	4,250		Alcan Inc.	$	163,806
	2,600		Barrick Gold Corp.		56,719
	10,000		Hudson's Bay Co.		94,933
	4,700	1	Inco Ltd.		106,930
	3,600		Sun Life Financial Services of Canada		83,200
	2,582		Talisman Energy, Inc.		114,832
			TOTAL		620,420
			Denmark--0.2%
	3,190		Novo Nordisk, Class B		101,834
	3,000		TDC AS		78,424
			TOTAL		180,258
			Finland--0.2%
	8,480		Nokia Oyj		121,181
	3,050		UPM - Kymmene Oyj		119,076
			TOTAL		240,257
			France--2.3%
	7,800		Alstom		98,277
	13,050	1	Arcelor		185,390
	3,250		Aventis SA		226,145
	4,419		Bouygues SA		130,672
	2,200		Casino Guichard Perrachon		181,131
	670		Compagnie de Saint Gobain		118,898
	32,900		iShares MSCI France Index Fund		611,940
	1,150		Pernod Ricard		103,275
	6,850		Publicis Groupe		207,676
	2,040		Societe Generale		138,615
	2,504		TotalFinaElf SA, Class B		390,335
	2,680		Valeo SA		119,148
	1,600		Vivendi Universal SA		50,212
			TOTAL		2,561,714
Shares				Value in U.S. Dollars
			STOCKS--continued
			FOREIGN EQUITY--continued
			Germany, Federal Republic of--1.4%
	912		Allianz AG Holding	$	205,115
	9,100		Deutsche Lufthansa AG		124,941
	2,840		E.On AG		147,960
	2,541		Henkel KGAA, Pfd.		181,082
	29,600		iShares MSCI Germany Index Fund		434,528
	3,350		Metro AG		108,573
	2,500	1	SGL Carbon AG		55,480
	2,129		Schering AG		128,217
	7,120		ThyssenKrupp AG		115,445
	1,365		Volkswagen AG		72,032
			TOTAL		1,573,373
			Hong Kong--0.2%
	66,000		Citic Pacific Ltd.		149,349
	9,000		Television Broadcasts Ltd.		42,462
	26,000		Wharf Holdings Ltd.		61,334
			TOTAL		253,145
			Ireland--0.2%
	1,200		DePfa Bank PLC		89,160
	37,600		Independent News & Media PLC		76,207
			TOTAL		165,367
			Italy--0.7%
	35,000		Arnoldo Mondadori Editore		232,753
	18,600		Autostrade SPA		151,140
	14,100		iShares MSCI Italy Index Fund		233,496
	14,500		Telecom Italia SPA		116,470
			TOTAL		733,859
			Japan--3.1%
	10,000		Ajinomoto Co., Inc.		112,387
	2,700		Capcom Co. Ltd.		73,740
	11,000		Fuji Heavy Industries Ltd.		52,995
	147,600		iShares MSCI Japan Index Fund		1,322,496
Shares				Value in U.S. Dollars
			STOCKS--continued
			FOREIGN EQUITY--continued
			Japan--continued
	46		Japan Telecom Co. Ltd.	$	150,832
	18,000		Komatsu Ltd.		64,532
	5,000	1	Leopalace21 Corp.		34,481
	7,000		Marui Co.		96,266
	13,000		NGK Insulators		107,247
	37,600		Nikko Cordial Corp.		225,979
	8,000		Nippon Meat Packers		92,810
	9,700		Nomura Securities Co. Ltd.		156,294
	5,900	1	Sega Corp.		147,351
	5,000		Seven-Eleven Japan		217,523
	2,100		TDK Corp.		119,275
	1,600		Tokyo Electron Ltd.		108,020
	6,800		Toyota Motor Corp.		185,716
	5,000		Yamato Transport Co.		98,691
			TOTAL		3,366,635
			Korea, Republic of--0.2%
	10,941		Coreana Cosmetics Co. Ltd.		34,599
	4,900		Korea Electric Power Corp.		101,688
	353		Samsung Electronics Co.		99,420
			TOTAL		235,707
			Netherlands--1.3%
	9,145	1	ASM Lithography Holding NV		174,758
	6,100		ING Groep NV		161,293
	18,300		iShares MSCI Netherlands Index Fund		326,838
	14,300		KPN NV		62,774
	5,095		Koninklijke (Royal) Philips Electronics NV		158,656
	2,080		Royal Dutch Petroleum Co.		116,369
	3,164		Unilever NV		207,749
	3,850		United Services Group NV		82,346
	1,750		Vendex KBB NV		23,896
	7,150		Wolters Kluwer NV		148,120
			TOTAL		1,462,799
Shares				Value in U.S. Dollars
			STOCKS--continued
			FOREIGN EQUITY--continued
			Portugal--0.4%
	115,925		Banco Comercial Portugues SA	$	395,200
	14,000	1	Telecel - Comunicacoes Pessoais SA		91,009
			TOTAL		486,209
			Russia--0.3%
	5,245	1	JSC Mining and Smelting Co. Norilsk Nickel, ADR		117,443
	1,600		Lukoil Oil Co., ADR		113,236
	2,320		RAO Unified Energy System, ADR		31,714
	1,500	1	Vimpel-Communications		43,035
	300		YUKOS Oil Co., ADR		46,394
			TOTAL		351,822
			Singapore--0.4%
	23,000		City Developments Ltd.		75,925
	182,000		Delgro Corporation Ltd.		228,098
	16,300		Singapore Airlines Ltd.		115,823
			TOTAL		419,846
			Spain--0.2%
	2,000		Grupo Empresarial Ence SA		32,036
	10,503		Telefonica SA		111,145
	6,500		Union Electrica Fenosa SA		116,745
			TOTAL		259,926
			Sweden--0.1%
	105,000		Rotternos AB		112,055
			Switzerland--1.0%
	3,900		Credit Suisse Group		143,795
	29,700		iShares MSCI Switzerland Index Fund		416,988
	5,625		Novartis AG		241,276
	4,600		STMicroelectronics N.V., NY Reg Shs		123,740
	4,168		UBS AG		217,698
			TOTAL		1,143,497
			Taiwan, Province of China--0.2%
	114,000	1	Advanced Semiconductor Engineering, Inc.		92,876
	20,000		Asustek Computer, Inc.		66,471
			TOTAL		159,347
Shares or Principal Amount				Value in U.S. Dollars
			STOCKS--continued
			FOREIGN EQUITY--continued
			United Kingdom--3.1%
	16,477		Amvescap PLC	$	164,466
	35,755		BAE Systems PLC		200,800
	6,600		British American Tobacco PLC		79,054
	29,800		Carlton Communications PLC		110,046
	7,964		Diageo PLC		100,167
	3,700		GlaxoSmithKline PLC		75,974
	9,200		HSBC Holdings PLC		111,759
	13,400		Hanson PLC		101,515
	84,900		iShares MSCI United Kingdom Index Fund		1,227,654
	2,900		Imperial Tobacco Group PLC		49,198
	25,104		Kingfisher PLC		133,733
	10,685		Marks & Spencer PLC		59,226
	4,600		National Express Group PLC		42,518
	8,348		Pearson PLC		103,349
	30,070		Rank Group PLC		125,555
	40,955		Rentokil Initial PLC		166,513
	6,258		Royal Bank of Scotland PLC		182,131
	13,600		Sainsbury (J) PLC		74,985
	5,500		Six Continents PLC		61,374
	91,300		Stagecoach Group PLC		93,802
	127,402		Vodafone Group PLC		192,381
			TOTAL		3,456,200
			TOTAL FOREIGN EQUITY		18,134,551
			FUTURES CONTRACTS COLLATERAL--10.6%3
$	11,700,000		United States Treasury Bill, 7/5/2002		11,686,428
			TOTAL STOCKS (IDENTIFIED COST $92,800,960)		92,434,464
			BONDS--16.3%
			TREASURY AND GOVERNMENT SECURITIES--9.9%
			Repurchase Agreement--1.7%4
	1,817,000		Greenwich Capital Markets, Inc., 1.780%, dated 5/31/2002, due 6/3/2002		1,817,000
Principal Amount				Value in U.S. Dollars
			BONDS--continued
			TREASURY AND GOVERNMENT SECURITIES--continued
			U.S. Treasury Securities--8.2%
$	315,000		United States Treasury Bond, 6.125%, 11/15/2027	$	329,156
	4,350,000		United States Treasury Bond, 8.125%, 5/15/2021		5,540,334
	1,317,000		United States Treasury Note, 6.000%, 8/15/2009		1,411,495
	1,375,000		United States Treasury Note, 6.375%, 8/15/2002		1,388,489
	405,000		United States Treasury Note, 6.500%, 10/15/2006		441,693
			TOTAL		9,111,167
			TOTAL TREASURY AND GOVERNMENT SECURITIES		10,928,167
			HIGH YIELD SECURITIES--2.2%
	374,381		High Yield Bond Portfolio		2,437,221
			MORTGAGE-BACKED SECURITIES--4.2%
	455,330		Federated Mortgage Core Portfolio		4,626,159
			TOTAL BONDS (IDENTIFIED COST $17,635,982)		17,991,547
			TOTAL INVESTMENTS (IDENTIFIED COST $110,436,942)5	$	110,426,011

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 Trustees. At May 31, 2002, these securities amounted to $486,780 which represents 0.4% of net assets.

3 The fund purchases index futures contracts to efficiently manage cash flows resulting from shareholder purchases and redemptions, dividends and capital gain payments to shareholders and corporate actions while maintaining exposure to the index and to minimize trading costs. The underlying face amount, at value, of open index futures contracts was $11,214,800 at May 31, 2002.

4 The repurchase agreement is fully collateralized by U.S. government and/or agency obligations based on market prices at the date of the portfolio. The investments in the repurchase agreement is through participation in a joint account with other Federated funds.

5 The cost of investments for generally accepted accounting principles ("GAAP") is $110,436,942. Cost for federal tax purposes is $110,502,962. The difference between cost for GAAP and cost on a tax basis is related to amortization/accretion tax elections on fixed income securities. The net unrealized depreciation of investments on a federal tax basis amounts to $76,951, which is comprised of $13,782,490 appreciation and $13,859,441 depreciation at May 31, 2002.

Note: The categories of investments are shown as a percentage of net assets ($110,695,575) at May 31, 2002.

The following acronym is used throughout this portfolio:

ADR --American Depositary Receipt

See Notes which are an integral part of the Financial Statements

Statement of Assets and Liabilities

May 31, 2002 (unaudited)

Assets:
Total investments in securities, at value (identified cost $110,436,942)			$	110,426,011
Cash				388
Cash denominated in foreign currency (identified cost $73,481)				75,425
Income receivable				220,405
Receivable for investments sold				206,108
Receivable for shares sold				4,440
Net receivable for foreign currency exchange contracts				116
TOTAL ASSETS				110,932,893
Liabilities:
Payable for investments purchased	$	140,948
Payable for daily variation margin		5,750
Accrued expenses		90,620
TOTAL LIABILITIES				237,318
Net assets for 10,065,878 shares outstanding			$	110,695,575
Net Assets Consist of:
Paid in capital			$	122,701,584
Net unrealized depreciation of investments, translation of assets and liabilities in foreign currency and futures contracts				(229,643	)
Accumulated net realized loss on investments, foreign currency transactions and futures contracts				(11,762,965	)
Distributions in excess of net investment income				(13,401	)
TOTAL NET ASSETS			$	110,695,575
Net Asset Value, Offering Price and Redemption Proceeds Per Share
Institutional Shares:
$61,895,881 ÷ 5,624,601 shares outstanding				$11.00
Select Shares:
$48,799,694 ÷ 4,441,277 shares outstanding				$10.99

See Notes which are an integral part of the Financial Statements

Statement of Operations

Six Months Ended May 31, 2002 (unaudited)

Investment Income:
Dividends (net of foreign taxes withheld of $25,747)							$	966,731
Interest								419,099
TOTAL INCOME								1,385,830
Expenses:
Investment adviser fee				$	458,435
Administrative personnel and services fee					77,273
Custodian fees					29,351
Transfer and dividend disbursing agent fees and expenses					87,011
Directors'/Trustees' fees					1,284
Auditing fees					6,876
Legal fees					1,664
Portfolio accounting fees					33,604
Distribution services fee--Select Shares					210,236
Shareholder services fee--Institutional Shares					82,733
Shareholder services fee--Select Shares					70,079
Share registration costs					12,706
Printing and postage					17,006
Insurance premiums					554
Miscellaneous					1,692
TOTAL EXPENSES					1,090,504
Waivers and Expense Reduction:
Waiver of distribution services fee--Select Shares	$	(70,079	)
Waiver of shareholder services fee--Institutional Shares		(66,187	)
Fees paid indirectly		(998	)
TOTAL WAIVERS AND EXPENSE REDUCTION					(137,264	)
Net expenses								953,240
Net investment income								432,590
Realized and Unrealized Gain (Loss) on Investments, Foreign Currency Transactions and Futures Contracts:
Net realized loss on investments and foreign currency transactions								(1,778,393	)
Net realized gain on futures contracts								444,274
Net change in unrealized depreciation of investments, translation of assets and liabilities in foreign currency and futures contracts								(2,682,559	)
Net realized and unrealized loss on investments, foreign currency transactions and futures contracts								(4,016,678	)
Change in net assets resulting from operations							$	(3,584,088	)

See Notes which are an integral part of the Financial Statements

Statement of Changes in Net Assets

		Six Months Ended (unaudited) 5/31/2002			Year Ended 11/30/2001
Increase (Decrease) in Net Assets
Operations:
Net investment income	$	432,590		$	1,723,648
Net realized loss on investments, foreign currency transactions and futures contracts		(1,334,119	)		(12,489,819	)
Net change in unrealized appreciation (depreciation) of investments, translation of assets and liabilities in foreign currency and futures contracts		(2,682,559	)		(4,697,832	)
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS		(3,584,088	)		(15,464,003	)
Distributions to Shareholders:
Distributions from net investment income
Institutional Shares		(320,644	)		(1,106,277	)
Select Shares		(98,370	)		(536,576	)
Distributions from paid in capital
Institutional Shares		--			(167,451	)
Select Shares		--			(83,558	)
Distributions from net realized gains on investments, foreign currency transactions and futures contracts
Institutional Shares		--			(3,872,910	)
Select Shares		--			(3,352,056	)
CHANGE IN NET ASSETS RESULTING FROM DISTRIBUTIONS TO SHAREHOLDERS		(419,014	)		(9,118,828	)
Share Transactions:
Proceeds from sale of shares		15,417,930			38,012,965
Net asset value of shares issued to shareholders in payment of distributions declared		366,982			8,433,646
Cost of shares redeemed		(30,181,913	)		(48,640,452	)
CHANGE IN NET ASSETS RESULTING FROM SHARE TRANSACTIONS		(14,397,001	)		(2,193,841	)
Change in net assets		(18,400,103	)		(26,776,672	)
Net Assets:
Beginning of period		129,095,678			155,872,350
End of period (including undistributed net investment income of $24,748 for the year ended November 30, 2001)	$	110,695,575		$	129,095,678

See Notes which are an integral part of the Financial Statements

Financial Highlights--Institutional Shares

(For a Share Outstanding Throughout Each Period)

	Six Months Ended (unaudited)			Year Ended November 30,
	5/31/2002			2001			2000			1999	1		1998			1997
Net Asset Value, Beginning of Period	$11.39			$13.42			$15.17			$14.12			$13.58			$12.52
Income From Investment Operations:
Net investment income	0.06	2		0.18			0.27	3		0.22			0.23			0.30
Net realized and unrealized gain (loss) on investments, foreign currency transactions and futures contracts	(0.40	)2		(1.39	)		(1.02	)		1.75			1.22			1.43
TOTAL FROM INVESTMENT OPERATIONS	(0.34	)		(1.21	)		(0.75	)		1.97			1.45			1.73
Less Distributions:
Distributions from net investment income	(0.05	)		(0.18	)		(0.22	)		(0.20	)		(0.22	)		(0.31	)
Distributions from paid in capital4	--			(0.03	)		--			--			--			--
Distributions from net realized gains on investments, foreign currency transactions and futures contracts	--			(0.61	)		(0.78	)		(0.72	)		(0.69	)		(0.36	)
TOTAL DISTRIBUTIONS	(0.05	)		(0.82	)		(1.00	)		(0.92	)		(0.91	)		(0.67	)
Net Asset Value, End of Period	$11.00			$11.39			$13.42			$15.17			$14.12			$13.58
Total Return5	(2.97	)%		(9.55	)%		(5.48	)%		14.83	%		11.34	%		14.40	%
Ratios to Average Net Assets:
Expenses	1.24	%6		1.27	%		1.16	%		1.15	%		1.12	%		1.05	%
Net investment income	1.03	%2,6		1.52	%		1.81	%		1.53	%		1.66	%		2.27	%
Expense waiver/reimbursement7	0.20	%6		0.20	%		0.20	%		0.22	%		0.33	%		0.52	%
Supplemental Data:
Net assets, end of period (000 omitted)	$61,896		$69,632			$83,495			$93,453			$88,113			$76,271
Portfolio turnover	13	%		43	%		86	%		113	%		123	%		115	%

1 Beginning with the year ended November 30, 1999, the fund was audited by Deloitte & Touche LLP. Each of the previous years was audited by other auditors.

2 Effective December 1, 2001, the Trust adopted the provisions of the American Institute of Certified Public Accountants (AICPA) Audit and Accounting Guide for Investment Companies and began accreting discount/amortizing premium on long-term debt securities. For the six months ended May 31, 2002, there was no impact to net investment income per share, or net realized gain/loss per share, but the ratio of net investment income to average net assets decreased from 1.04% to 1.03%. Per share, ratios and supplemental data for periods prior to December 1, 2001 have not been restated to reflect this change in presentation.

3 Based on average shares outstanding.

4 Represents a return of capital for federal income tax purposes.

5 Based on net asset value, which does not reflect the sales charge or contingent deferred sales charge, if applicable.

6 Computed on an annualized basis.

7 This voluntary expense decrease is reflected in both the expense and the net investment income ratios shown above.

See Notes which are an integral part of the Financial Statements

Financial Highlights--Select Shares

(For a Share Outstanding Throughout Each Period)

	Six Months Ended (unaudited)			Year Ended November 30,
	5/31/2002			2001			2000			1999	1		1998			1997
Net Asset Value, Beginning of Period	$11.38			$13.40			$15.15			$14.10			$13.56			$12.50
Income From Investment Operations:
Net investment income	0.01	2		0.10			0.17	3		0.12			0.15			0.18
Net realized and unrealized gain (loss) on investments, foreign currency transactions and futures contracts	(0.38	)2		(1.39	)		(1.02	)		1.75			1.21			1.46
TOTAL FROM INVESTMENT OPERATIONS	(0.37	)		(1.29	)		(0.85	)		1.87			1.36			1.64
Less Distributions:
Distributions from net investment income	(0.02	)		(0.10	)		(0.12	)		(0.10	)		(0.13	)		(0.22	)
Distributions from paid in capital4	--			(0.02	)		--			--			--			--
Distributions from net realized gains on investments, foreign currency transactions and futures contracts	--			(0.61	)		(0.78	)		(0.72	)		(0.69	)		(0.36	)
TOTAL DISTRIBUTIONS	(0.02	)		(0.73	)		(0.90	)		(0.82	)		(0.82	)		(0.58	)
Net Asset Value, End of Period	$10.99			$11.38			$13.40			$15.15			$14.10			$13.56
Total Return5	(3.27	)%		(10.18	)%		(6.15	)%		14.05	%		10.58	%		13.66	%
Ratios to Average Net Assets:
Expenses	1.94	%6		1.97	%		1.86	%		1.85	%		1.82	%		1.75	%
Net investment income	0.33	%2,6		0.82	%		1.13	%		0.83	%		0.96	%		1.29	%
Expense waiver/reimbursement7	0.25	%6		0.25	%		0.25	%		0.27	%		0.38	%		0.57	%
Supplemental Data:
Net assets, end of period (000 omitted)	$48,800		$59,463			$72,377			$68,512			$66,407			$45,514
Portfolio turnover	13	%		43	%		86	%		113	%		123	%		115	%

1 Beginning with the year ended November 30, 1999, the fund was audited by Deloitte & Touche LLP. Each of the previous years was audited by other auditors.

2 Effective December 1, 2001, the Trust adopted the provisions of the American Institute of Certified Public Accountants (AICPA) Audit and Accounting Guide for Investment Companies and began accreting discount/amortizing premium on long-term debt securities. For the six months ended May 31, 2002, there was no impact to net investment income per share, or net realized gain/loss per share, but the ratio of net investment income to average net assets decreased from 0.34% to 0.33%. Per share, ratios and supplemental data for periods prior to December 1, 2001 have not been restated to reflect this change in presentation.

3 Based on average shares outstanding.

4 Represents a return of capital for federal income tax purposes.

5 Based on net asset value, which does not reflect the sales charge or contingent deferred sales charge, if applicable.

6 Computed on an annualized basis.

7 This voluntary expense decrease is reflected in both the expense and the net investment income ratios shown above.

See Notes which are an integral part of the Financial Statements

Notes to Financial Statements

May 31, 2002 (unaudited)

ORGANIZATION

Federated Managed Allocation Portfolios (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 four diversified portfolios. The financial statements included herein are only those of Federated Managed Growth Portfolio (the "Fund"). 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. The investment objective of the Fund is to seek capital appreciation.

The Fund offers two classes of shares: Institutional Shares and Select Shares.

SIGNIFICANT ACCOUNTING POLICIES

The following is a summary of significant accounting policies consistently followed by the Fund in the preparation of its financial statements. These policies are in conformity with generally accepted accounting principles ("GAAP").

Investment Valuations

Listed equity securities are valued at the last sale price reported on a national securities exchange. U.S. government securities, listed corporate bonds, other fixed income and asset-backed securities and unlisted securities and private placement securities are generally valued at the mean of the latest bid and asked price as furnished by an independent pricing service. 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").

With respect to valuation of foreign securities, trading in foreign cities may be completed at times which vary from the closing of the New York Stock Exchange. Therefore, foreign securities are valued at the latest closing price on the exchange on which they are traded prior to the closing of the New York Stock Exchange. Foreign securities quoted in foreign currencies are translated into U.S. dollars at the foreign exchange rate in effect at noon, Eastern Time, on the day the value of the foreign security is determined.

Pursuant to an Exemptive Order issued by the Securities and Exchange Commission, the Fund may invest in Federated Core Trust ("Core Trust") which is managed by Federated Investment Management Company, the Fund's Adviser. Core Trust is an open-end management investment company, registered under the Investment Company Act of 1940, available only to registered investment companies and other institutional investors. The investment objective of High Yield Bond Portfolio, a series of Core Trust, is to seek high current income by investing primarily in a diversified portfolio of lower rated fixed income securities. The investment objective of Federated Mortgage Core Portfolio, a series of Core Trust, is to provide total return by investing in a diversified portfolio of mortgage-backed fixed income securities. Federated receives no advisory or administrative fees on behalf of Core Trust. Income distributions from Core Trust are declared daily and paid monthly, and are recorded by the Fund as dividend income. Capital gain distributions, if any, from Core Trust are declared annually, and are recorded by the Fund as capital gains. Additional information regarding High Yield Bond Portfolio and/or Federated Mortgage Core Portfolio is available upon request.

Repurchase Agreements

It is the policy of the Fund 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 Fund 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 Fund will only enter into repurchase agreements with banks and other recognized financial institutions, such as broker/dealers, which are deemed by the Fund's 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 Fund could receive less than the repurchase price on the sale of collateral securities. The Fund, along with other affiliated investment companies, may utilize a joint trading account for the purpose of entering into one or more repurchase agreements.

Investment Income, Expenses and Distributions

Interest income and expenses are accrued daily. All discounts/premiums are accreted/amortized for financial reporting purposes as required. Dividend income and distributions to shareholders are recorded on the ex-dividend date. Non-cash dividends included in dividend income, if any, are recorded at fair value. The 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.

Distributions are determined in accordance with income tax regulations which may differ from GAAP. These distributions do not represent a return of capital for federal income tax purposes.

Effective December 1, 2001, the Trust has adopted the provisions of the AICPA Audit and Accounting Guide for Investment Companies and began accreting discount/amortizing premium on long-term debt securities. The cumulative effect of this accounting change had no impact on the total net assets of the Fund, but resulted in adjustments to the financial statements as follows:

	As of 12/1/2001			For the Six Months Ended 5/31/2002
	Cost of Investments	Undistributed Net Investment Income		Net Investment Income	Net Unrealized Appreciation/ Depreciation	Net Realized Loss
Increase (Decrease)	$(51,725)	$(51,725	)	$(7,366)	$14,295	$(6,929)

The Statement of Changes in Net Assets and Financial Highlights for prior periods have not been restated to reflect this change in presentation.

Federal Taxes

It is the Fund's policy to comply with the provisions of the Internal Revenue Code, as amended, (the "Code") applicable to regulated investment companies and to distribute to shareholders each year substantially all of its income. Accordingly, no provision for federal tax is necessary.

Withholding taxes on foreign interest and dividends have been provided for in accordance with the Fund's applicable country's tax rules and rates.

At November 30, 2001, the Fund, for federal tax purposes, had a capital loss carryforward of $10,114,846, which will reduce the Fund's taxable income arising from 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 Fund of any liability for federal tax. Pursuant to the Code, such capital loss carryforward will expire in 2009.

When-Issued and Delayed Delivery Transactions

The Fund may engage in when-issued or delayed delivery transactions. The Fund records when-issued securities on the trade date and maintains 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.

Futures Contracts

The Fund may purchase stock index futures contracts to manage cash flows, enhance yield and to potentially reduce transaction costs. Upon entering into a stock index futures contract with a broker, the Fund is required to deposit in a segregated account a specified amount of cash or U.S. government securities. Futures contracts are valued daily and unrealized gains or losses are recorded in a "variation margin" account. Daily, the Fund receives from or pays to the broker a specified amount of cash based upon changes in the variation margin account. When a contract is closed, the Fund recognizes a realized gain or loss. For the six months ended May 31, 2002, the Fund had net realized gains of $444,274 on futures contracts.

Futures contracts have market risks, including the risk that the change in the value of the contract may not correlate with changes in the value of the underlying securities.

At May 31, 2002, the Trust had outstanding futures contracts as set forth below:

Expiration Date	Contracts to Receive	Position	Unrealized Depreciation
June 2002	46 Russell 2000 Index Futures	Long	$(221,800)

Foreign Exchange Contracts

The 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 Fund's securities against currency fluctuations. Risks may arise upon entering these transactions from the potential inability of counterparties to meet the terms of their commitments and from unanticipated movements in security prices or foreign exchange rates. The foreign currency transactions are adjusted by the daily exchange rate of the underlying currency and any gains or losses are recorded for financial statement purpose as unrealized until the settlement date.

At May 31, 2002, the 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:
6/3/2002	14,405 Euro Dollars	$13,562	$13,454	$(108)
Contracts Sold:
6/4/2002	3,642,700 Japanese Yen	$29,571	$29,347	$  224
NET UNREALIZED APPRECIATION ON FOREIGN CONTRACTS				$ 116

Foreign Currency Translation

The accounting records of the Fund are maintained in U.S. dollars. All assets and liabilities denominated in foreign currencies ("FC") are translated into U.S. dollars based on the rates of exchange of such currencies against U.S. dollars on the date of valuation. Purchases and sales of securities, income and expenses are translated at the rate of exchange quoted on the respective date that such transactions are recorded. Differences between income and expense amounts recorded and collected or paid are adjusted when reported by the custodian bank. The Fund does not isolate that portion of the results of operations resulting from changes in foreign exchange rates on investments from the fluctuations arising from changes in market prices of securities held. Such fluctuations are included with the net realized and unrealized gain or loss from investments.

Reported net realized foreign exchange gains or losses arise from sales of portfolio securities, sales and maturities of short-term securities, sales of FCs, currency gains or losses realized between the trade and settlement dates on securities transactions, the difference between the amounts of dividends, interest and foreign withholding taxes recorded on the Fund's books, and the U.S. dollar equivalent of the amounts actually received or paid. Net unrealized foreign exchange gains and losses arise from changes in the value of assets and liabilities other than investments in securities at fiscal year end, resulting from changes in the exchange rate.

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 Fund 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 Fund will not incur any registration costs upon such resales. The Fund's restricted securities are valued at the price provided by dealers in the secondary market or, if no market prices are available, at the fair value as determined in good faith using methods approved by the Trustees.

Use of Estimates

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts of assets, liabilities, expenses and revenues reported in the financial statements. Actual results could differ from those estimated.

Other

Investment transactions are accounted for on a trade date basis.

SHARES OF BENEFICIAL INTEREST

The Declaration of Trust permits the Trustees to issue an unlimited number of full and fractional shares of beneficial interest (without par value) for each class of shares.

Transactions in shares were as follows:

	Six Months Ended 5/31/2002					Year Ended 11/30/2001
Institutional Shares:	Shares			Amount		Shares			Amount
Shares sold	902,096		$	10,228,141		1,820,745		$	22,370,473
Shares issued to shareholders in payment of distributions declared	23,914			273,958		368,414			4,668,643
Shares redeemed	(1,415,979	)		(16,017,553	)	(2,294,057	)		(27,884,727	)
NET CHANGE RESULTING FROM INSTITUTIONAL SHARE TRANSACTIONS	(489,969	)	$	(5,515,454	)	(104,898	)	$	(845,611	)
	Six Months Ended 5/31/2002					Year Ended 11/30/2001
Select Shares:	Shares			Amount		Shares			Amount
Shares sold	458,210		$	5,189,789		1,278,062		$	15,642,492
Shares issued to shareholders in payment of distributions declared	8,167			93,024		294,793			3,765,003
Shares redeemed	(1,252,413	)		(14,164,360	)	(1,745,681	)		(20,755,725	)
NET CHANGE RESULTING FROM SELECT SHARE TRANSACTIONS	(786,036	)	$	(8,881,547	)	(172,826	)	$	(1,348,230	)
NET CHANGE RESULTING FROM SHARE TRANSACTIONS	(1,276,005	)	$	(14,397,001	)	(277,724	)	$	(2,193,841	)

INVESTMENT ADVISER FEE AND OTHER TRANSACTIONS WITH AFFILIATES

Investment Adviser Fee

Federated Investment Management Company, the Fund's investment adviser (the "Adviser"), receives for its services an annual investment Adviser fee equal to 0.75% of the 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.

Certain of the Fund's assets are managed by Federated Global Investment Management Corp. (the "Sub-Adviser"). Under the terms of a sub-adviser agreement between the Adviser and the Sub-Adviser, the Sub-Adviser receives an allocable portion of the Fund's adviser fee. The fee is paid by the Adviser out of its resources and is not an incremental Fund expense.

Administrative Fee

Federated Services Company ("FServ"), under the Administrative Services Agreement, provides the Fund with administrative personnel and services. The fee paid to FServ is based on a scale that ranges from 0.150% to 0.075% of the average aggregate daily net assets of all funds advised by subsidiaries of Federated Investors, Inc., subject to a $125,000 minimum per portfolio and $30,000 per each additional class.

Distribution Services Fee

The Fund has adopted a Distribution Plan (the "Plan") pursuant to Rule 12b-1 under the Act. Under the terms of the Plan, the Fund will compensate Federated Securities Corp. ("FSC"), the principal distributor, from the net assets of the Fund to finance activities intended to result in the sale of the Fund's Select Shares. The Plan provides that the Fund may incur distribution expenses of up to 0.75% of average net assets, annually, to compensate FSC. The distributor may voluntarily choose to waive any portion of its fee. The distributor 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 Federated Shareholder Services Company ("FSSC"), the Fund will pay FSSC up to 0.25% of average daily net assets of the Fund's shares for the period. The fee paid to FSSC is used to finance certain services for shareholders and to maintain shareholder accounts. FSSC may voluntarily choose to waive any portion of its fee. FSSC can modify or terminate this voluntary waiver at any time at its sole discretion.

Transfer and Dividend Disbursing Agent Fees and Expenses

FServ, through its subsidiary FSSC, serves as transfer and dividend disbursing agent for the Fund. The fee paid to FSSC is based on the size, type and number of accounts and transactions made by shareholders.

Portfolio Accounting Fees

FServ maintains the Fund's accounting records for which it receives a fee. The fee is based on the level of the Fund's average daily net assets for the period, plus out-of-pocket expenses.

General

Certain of the Officers and Trustees of the Fund are Officers and Directors or Trustees of the above companies.

INVESTMENT TRANSACTIONS

Purchases and sales of investments, excluding long-term U.S. government and short-term securities (and in-kind contributions), for the six months ended May 31, 2002, were as follows:

Purchases	$15,065,437
Sales	$22,923,636

Sales of long-term U.S. government securities for the six months ended May 31, 2002, were $3,484,529.

CONCENTRATION OF CREDIT RISK

The 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 stability 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.

At May 31, 2002, the diversification of industries for non-U.S. issuers was as follows.

Industry	Percentage of Net Assets	Industry	Percentage of Net Assets
Automobiles & Components	0.4%	Insurance	0.3%
Banks	1.1%	Materials	1.1%
Capital Goods	0.7%	Media	1.1%
Commercial Services & Supplies	0.2%	Oil & Gas	0.8%
Communications Equipment	0.1%	Pharmaceuticals & Biotechnology	0.7%
Consumer Durables & Apparel	0.1%	Real Estate	0.1%
Diversified Financials	4.9%	Retailing	0.5%
Energy	0.7%	Software & Services	0.1%
Food & Drug Retailing	0.4%	Technology Hardware & Equipment	1.0%
Food, Beverage & Tobacco	0.7%	Telecommunication Services	0.9%
Food Products	0.5%	Transportation	0.8%
Hotels, Restaurants & Leisure	0.2%	Utilities	0.4%
Household & Personal Products	0.2%

Mutual funds are not bank deposits or obligations, are not guaranteed by any bank, and are not insured or guaranteed by the U.S. government, the Federal Deposit Insurance Corporation, the Federal Reserve Board or any other government agency. Investment in mutual funds involves investment risk, including the possible loss of principal.

This report is authorized for distribution to prospective investors only when preceded or accompanied by the fund's prospectus, which contains facts concerning its objective and policies, management fees, expenses and other information.

IMPORTANT NOTICE ABOUT FUND DOCUMENT DELIVERY

In an effort to reduce costs and avoid duplicate mailings, the Fund(s) intend to deliver a single copy of certain documents to each household in which more than one shareholder of the Fund(s) resides (so-called "householding"), as permitted by applicable rules. The Fund's "householding" program covers its/their Prospectus and Statement of Additional Information, and supplements to each, as well as Semi-Annual and Annual Reports and any Proxies or information statements. Shareholders must give their written consent to participate in the householding program. The Fund is also permitted to treat a shareholder as having given consent ("implied consent") if (i) shareholders with the same last name, or believed to be members of the same family, reside at the same street address or receive mail at the same post office box, (ii) the Fund gives notice of its intent to "household" at least sixty (60) days before it begins "householding" and (iii) none of the shareholders in the household have notified the Fund(s) or their agent of the desire to "opt out" of householding. Shareholders who have granted written consent, or have been deemed to have granted implied consent, can revoke that consent and opt out of householding at any time by calling 1-800-341-7400.

Federated
World-Class Investment Manager
Federated Managed Growth Portfolio
Federated Investors Funds
5800 Corporate Drive
Pittsburgh, PA 15237-7000
www.federatedinvestors.com
Contact us at 1-800-341-7400 or
www.federatedinvestors.com/contact
Federated Securities Corp., Distributor

Cusip 314212200
Cusip 314212101

Federated is a registered mark of Federated Investors, Inc. 2002 ©Federated Investors, Inc.

G00514-01 (7/02)

Federated Investors
World-Class Investment Manager

Federated Managed Income Portfolio

A Portfolio of Federated Managed Allocation Portfolios

SEMI-ANNUAL REPORT

May 31, 2002

NOT FDIC INSURED * MAY LOSE VALUE * NO BANK GUARANTEE

Portfolio of Investments

May 31, 2002 (unaudited)

Shares					Value in U.S. Dollars
			STOCKS--17.0%
			LARGE-COMPANY STOCKS--6.9%
			Consumer Discretionary--0.8%
	3,500	1	AOL Time Warner, Inc.	$	65,450
	800	1	Clear Channel Communications, Inc.		42,584
	1,100	1	Comcast Corp., Class A		30,976
	800		Costco Wholesale Corp.		31,416
	1,920		Ford Motor Co.		33,888
	2,100		Home Depot, Inc.		87,549
	1,200		Knight-Ridder, Inc.		78,996
	1,300		Target Corp.		53,885
	1,283	1	Viacom, Inc., Class B		62,816
	3,700		Wal-Mart Stores, Inc.		200,170
	3,300		Walt Disney Co.		75,603
			TOTAL		763,333
			Consumer Staples--0.8%
	2,000		Coca-Cola Co.		111,120
	6,100		Dial Corp.		123,220
	900		Gillette Co.		32,013
	1,000		Kimberly-Clark Corp.		64,920
	1,200		PepsiCo, Inc.		62,376
	2,000		Philip Morris Cos., Inc.		114,500
	900		Procter & Gamble Co.		80,595
	1,000		Unilever NV, ADR		65,520
	1,800		Walgreen Co.		68,868
			TOTAL		723,132
			Energy--0.7%
	1,600		Ashland, Inc.		60,784
	1,924		ChevronTexaco Corp.		167,869
	800		Conoco, Inc.		21,504
	4,776		Exxon Mobil Corp.		190,706
	2,200		Royal Dutch Petroleum Co., ADR		121,000
	900		Schlumberger Ltd.		46,476
			TOTAL		608,339
Shares					Value in U.S. Dollars
			STOCKS--continued
			LARGE-COMPANY STOCKS--continued
			Financials--1.3%
	1,296		Allstate Corp.	$	49,870
	1,600		American Express Co.		68,016
	2,102		American International Group, Inc.		140,771
	1,865		Bank of America Corp.		141,386
	1,100		Bank of New York Co., Inc.		39,930
	4,033		Citigroup, Inc.		174,145
	900		Fannie Mae		72,009
	1,110		FleetBoston Financial Corp.		39,117
	600		Loews Corp.		34,260
	1,300		Mellon Financial Corp.		48,230
	1,300		Merrill Lynch & Co., Inc.		52,923
	1,200		Morgan Stanley Dean Witter & Co.		54,552
	1,200		Post Properties, Inc.		37,200
	1,250		Schwab (Charles) Corp.		15,113
	2,321		U.S. Bancorp		54,892
	1,800		Wachovia Corp.		69,066
	1,518		Washington Mutual, Inc.		59,005
	1,300		Wells Fargo & Co.		68,120
			TOTAL		1,218,605
			Healthcare--1.1%
	1,600		Abbott Laboratories		76,000
	900	1	Amgen, Inc.		42,867
	1,200		Baxter International, Inc.		64,440
	1,700		Bristol-Myers Squibb Co.		52,904
	600		Cardinal Health, Inc.		39,876
	700	1	Forest Laboratories, Inc.		51,681
	2,200		Johnson & Johnson		134,970
	900		Lilly (Eli) & Co.		58,230
	1,200	2	Medtronic, Inc.		55,380
	1,800		Merck & Co., Inc.		102,780
	4,725		Pfizer, Inc.		163,485
	1,842		Pharmacia Corp.		79,556
	1,400		Schering Plough Corp.		37,030
	700		UnitedHealth Group, Inc.		63,560
	170	1	Zimmer Holdings, Inc.		5,947
			TOTAL		1,028,706
Shares					Value in U.S. Dollars
			STOCKS--continued
			LARGE-COMPANY STOCKS--continued
			Industrials--0.6%
	900		Automatic Data Processing, Inc.	$	46,728
	1,000		Boeing Co.		42,650
	500		Eaton Corp.		40,410
	1,200		First Data Corp.		95,040
	6,700		General Electric Co.		208,638
	800		Honeywell International, Inc.		31,360
	1,300	1	US Airways Group, Inc.		3,965
	1,400		Union Pacific Corp.		85,736
	500		United Technologies Corp.		34,435
			TOTAL		588,962
			Information Technology--1.1%
	2,000	1	Applied Materials, Inc.		44,360
	643	1	Axcelis Technologies, Inc.		7,903
	5,700	1	Cisco Systems, Inc.		89,946
	1,000		Computer Associates International, Inc.		17,360
	1,300	1	Corning, Inc.		6,240
	2,300	1	Dell Computer Corp.		61,755
	2,100	1	EMC Corp.		15,225
	700		Electronic Data Systems Corp.		36,974
	2,954		Hewlett-Packard Co.		56,392
	5,300		Intel Corp.		146,386
	1,500		International Business Machines Corp.		120,675
	3,360	1	Lucent Technologies, Inc.		15,624
	3,900	1	Microsoft Corp.		198,549
	2,200		Motorola, Inc.		35,178
	2,800	1	Nortel Networks Corp.		6,188
	5,400	1	Oracle Corp.		42,768
	900	1	Qualcomm, Inc.		28,476
	3,000	1	Sun Microsystems, Inc.		20,670
	1,700		Texas Instruments, Inc.		48,739
	800	1	Veritas Software Corp.		18,136
	500	1	Yahoo, Inc.		8,010
			TOTAL		1,025,554
Shares					Value in U.S. Dollars
			STOCKS--continued
			LARGE-COMPANY STOCKS--continued
			Materials--0.2%
	1,525		Du Pont (E.I.) de Nemours & Co.	$	70,150
	800		PPG Industries, Inc.		45,744
	900		Weyerhaeuser Co.		58,950
			TOTAL		174,844
			Telecommunication Services--0.3%
	3,390		AT&T Corp.		40,578
	1,090	1	AT&T Wireless Services, Inc.		8,840
	800		Alltel Corp.		41,192
	2,000		BellSouth Corp.		66,560
	1,800	1	NEXTEL Communications, Inc., Class A		8,748
	1,429		Qwest Communications International, Inc.		7,374
	1,200	1	Sprint Corp. (PCS Group)		12,528
	2,318		Verizon Communications, Inc.		99,674
	88		WorldCom, Inc. - MCI Group		248
			TOTAL		285,742
			Utilities--0.0%
	1,300		Reliant Energy, Inc.		22,113
			TOTAL LARGE-COMPANY STOCKS		6,439,330
			FOREIGN EQUITY--2.2%
			France--0.4%
	18,000		iShares MSCI France Index Fund		334,800
			Germany--0.3%
	20,000		iShares MSCI Germany Index Fund		293,600
			Italy--0.1%
	8,000		iShares MSCI Italy Index Fund		132,480
			Japan--0.5%
	50,000		iShares MSCI Japan Index Fund		448,000
			Netherlands--0.2%
	11,000		iShares MSCI Netherlands Index Fund		196,460
			United Kingdom--0.7%
	46,000		iShares MSCI United Kingdom Index Fund		665,160
			TOTAL FOREIGN EQUITY		2,070,500
Principal Amount					Value in U.S. Dollars
			STOCKS--continued
			FUTURES CONTRACTS COLLATERAL--7.9%3
$	7,400,000		United States Treasury Bill, 7/5/2002	$	7,391,416
			TOTAL STOCKS (IDENTIFIED COST $16,641,272)		15,901,246
			BONDS--82.2%
			TREAURY AND GOVERNMENT SECURITIES--27.9%
			Repurchase Agreement--3.1%4
	2,912,000		Greenwich Capital Markets, Inc., 1.780%, dated 5/31/2002, due 6/3/2002		2,912,000
			Treasury Securities--24.8%
	6,935,000		United States Treasury Bond, 6.125%, 11/15/2027		7,246,659
	1,507,000		United States Treasury Note, 6.000%, 8/15/2009		1,615,127
	4,919,000		United States Treasury Note, 6.625%, 5/15/2007		5,411,195
	8,300,000		United States Treasury Note, 7.250%, 5/15/2004		8,938,685
			TOTAL		23,211,666
			TOTAL TREAURY AND GOVERNMENT SECURITIES		26,123,666
			HIGH YIELD SECURITIES--4.0%
	569,794		High Yield Bond Portfolio		3,709,364
			MORTGAGE-BACKED SECURITIES--25.2%
	2,322,753		Federated Mortgage Core Portfolio		23,599,168
			INVESTMENT GRADE BONDS--17.0%
			Air Transportation--0.3%
	265,000		Delta Air Lines, Inc., Sr. Note, 6.650%, 3/15/2004		255,725
			Banking--0.9%
	100,000		City National Bank, Sub. Note, 6.375%, 1/15/2008		99,920
	470,000	2	Swedbank, Sub. Note, 7.500%, 11/1/2049		501,499
	240,000		U.S. BANK N.A., 6.300%, 2/4/2014		245,604
			TOTAL		847,023
			Cable Television--0.9%
	800,000		Continental Cablevision, Sr. Deb., 9.500%, 8/1/2013		829,176
			Chemicals & Plastics--0.4%
	350,000	2	Bayer Corp., Deb., 6.500%, 10/1/2002		354,932
			Education--0.3%
	300,000		Boston University, MTN, 7.625%, 7/15/2097		303,450
			Finance - Automotive--0.1%
	100,000		Ford Motor Credit Corp., Unsecured Note, 7.250%, 1/15/2003		101,933
Principal Amount					Value in U.S. Dollars
			INVESTMENT GRADE BONDS--continued
			Financial Intermediaries--1.7%
$	400,000		Amvescap PLC, Sr. Note, 6.600%, 5/15/2005	$	419,124
	250,000		Capital One Financial, Note, 7.125%, 8/1/2008		238,750
	400,000		Donaldson Lufkin Jenrette, Inc., Sr. Note, 6.875%, 11/1/2005		422,204
	325,000		Lehman Brothers Holdings, Inc., Sr. Sub. Note, 7.375%, 1/15/2007		348,510
	100,000		Salomon, Inc., Note, 7.200%, 2/1/2004		105,565
			TOTAL		1,534,153
			Food & Drug Retailers--1.2%
	850,000		Meyer (Fred), Inc., Company Guarantee, 7.450%, 3/1/2008		925,522
	190,000		Safeway, Inc., Note, 7.250%, 9/15/2004		202,308
			TOTAL		1,127,830
			Forest Products--0.4%
	400,000		Quno Corp., Sr. Note, 9.125%, 5/15/2005		409,192
			Insurance--0.7%
	250,000		AFC Capital Trust I, Company Guarantee, 8.207%, 2/3/2027		243,478
	250,000		Delphi Funding LLC, Note, 9.310%, 3/25/2027		187,637
	250,000		USF&G Capital II, Company Guarantee, 8.470%, 1/10/2027		246,135
			TOTAL		677,250
			Leisure & Entertainment--0.6%
	400,000		International Speedway Corp., Company Guarantee, 7.875%, 10/15/2004		417,112
	125,000		Viacom, Inc., Sr. Deb., 8.250%, 8/1/2022		129,660
			TOTAL		546,772
			Metals & Mining--0.8%
	725,000		Barrick Gold Corp., Company Guarantee, 7.500%, 5/1/2007		774,597
			Printing & Publishing--0.6%
	200,000		News America Holdings, Sr. Note, 8.500%, 2/15/2005		215,626
	350,000		Reed Elsevier, Inc., Company Guarantee, 6.750%, 8/1/2011		362,754
			TOTAL		578,380
			Real Estate--1.1%
	1,000,000		SUSA Partnership LP, Deb., 7.500%, 12/1/2027		1,012,560
			Retailers--2.0%
	450,000		Target Corp., Note, 5.400%, 10/1/2008		452,263
	1,325,000		Wal-Mart Stores, Inc., Sr. Unsecured Note, 6.875%, 8/10/2009		1,437,227
			TOTAL		1,889,490
Principal Amount or Foreign Currency Par Amounts					Value in U.S. Dollars
			INVESTMENT GRADE BONDS--continued
			Sovereign--0.7%
$	250,000		Colombia, Government of, Note, 7.250%, 2/15/2003	$	256,250
	305,000		Quebec, Province of, Deb., 7.500%, 9/15/2029		346,324
			TOTAL		602,574
			Supranational--0.5%
	415,000		Corp Andina De Fomento, Note, 7.375%, 1/18/2011		432,297
			Technology Services--0.5%
	500,000		Dell Computer Corp., Deb., 7.100%, 4/15/2028		498,495
			Telecommunications & Cellular--2.8%
	300,000		BellSouth Telecommunications, Note, 6.000%, 6/15/2002		300,642
	410,000		CenturyTel, Inc., Sr. Note, 8.375%, 10/15/2010		429,151
	1,000,000		Qwest Capital Funding, Company Guarantee, 7.250%, 2/15/2011		765,000
	435,000		Sprint Capital Corp., Company Guarantee, 5.875%, 5/1/2004		419,379
	720,000		Telecom de Puerto Rico, Company Guarantee, 6.650%, 5/15/2006		715,788
			TOTAL		2,629,960
			Utilities--0.5%
	250,000		Enersis SA, Note, 7.400%, 12/1/2016		227,050
	250,000		National Rural Utilities, MTN, 5.750%, 12/1/2008		244,670
			TOTAL		471,720
			TOTAL INVESTMENT GRADE BONDS		15,877,509
			FOREIGN BONDS--8.1%
			Australian Dollar--0.1%
	170,000		New South Wales, State of, 8.000%, 3/1/2008		103,819
			Belgian Franc--0.2%
	177,741		Belgium, Government of, Bond, 6.500%, 3/31/2005		174,246
			British Pound--0.6%
	230,000		DaimlerChrysler N.A. Holdings, Company Guarantee, Series EMTN, 7.500%, 12/7/2006		347,492
	160,000		United Kingdom, Government of, Bond, 7.000%, 6/7/2002		234,000
			TOTAL		581,492
			Canadian Dollar--0.3%
	187,000		Canada, Government of, Deb., 6.500%, 6/1/2004		128,181
	200,000		Ontario Hydro, 9.000%, 6/24/2002		131,378
			TOTAL		259,559
Foreign Currency Par Amounts					Value in U.S. Dollars
			FOREIGN BONDS--continued
			Danish Krone--0.3%
$	1,900,000		Denmark, Kingdom of, Note, 4.000%, 11/15/2004	$	234,781
			Deutsche Mark--1.6%
	250,000		Germany, Government of, 4.125%, 7/4/2008		224,230
	330,000		Germany, Government of, 4.500%, 7/4/2009		299,066
	315,000		Germany, Government of, 5.000%, 7/4/2011		292,003
	380,000		Germany, Government of, 5.375%, 1/4/2010		362,054
	300,000		Germany, Government of, 6.000%, 1/4/2007		294,504
			TOTAL		1,471,857
			Finland Markka--0.4%
	350,000		Finland, Government of, Bond, 5.750%, 2/23/2011		337,067
			Greek Drachma--0.8%
	275,000		Greece, Government of, Bond, 6.500%, 1/11/2014		276,817
	440,205		Greece, Government of, Floating Rate Note, 5.240%, 9/30/2003		418,100
	33,455		Greece, Government of, Floating Rate Note, 5.240%, 10/23/2003		31,188
			TOTAL		726,105
			Hungarian Forint--0.4%
	99,810,000		Hungary, Government of, Bond, 7.750%, 4/12/2005		374,340
			Italian Lira--1.3%
	980,000		Italy, Government of, Bond, 4.750%, 7/1/2005		919,057
	300,000		San Paolo-IMI SPA, Bank Guarantee, 8.126%, 12/31/2049		308,954
			TOTAL		1,228,011
			Japanese Yen--0.8%
	41,000,000		DSL Bank, Note, 2.600%, 7/10/2002		331,087
	58,000,000		Italy, Government of, Bond, 1.800%, 2/23/2010		497,533
			TOTAL		828,620
			Netherlands Guilder--0.0%
	35,000		Netherlands, Government of, 5.500%, 1/15/2028		32,402
			Polish Zloty--0.8%
	1,105,000		Poland, Government of, 8.500%, 5/12/2006		273,328
	1,875,000		Poland, Government of, 10.000%, 6/12/2004		474,638
			TOTAL		747,966
Foreign Currency Par Amounts					Value in U.S. Dollars
			FOREIGN BONDS--continued
			Portuguese Escudo--0.0%
$	45,000		Portugal, Government of, 6.625%, 2/23/2007	$	45,019
			Spanish Peseta--0.3%
	240,404		Spain, Government of, 6.150%, 1/31/2013		238,142
			Swedish Krona--0.2%
	1,540,000		Sweden, Government of, 5.000%, 1/15/2004		157,925
			TOTAL FOREIGN BONDS		7,541,351
			TOTAL BONDS (IDENTIFIED COST $76,549,185)		76,851,058
			TOTAL INVESTMENTS (IDENTIFIED COST $93,190,457)5	$	92,752,304

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 Trustees. At May 31, 2002, these securities amounted to $911,811 which represents 1.0% of net assets.

3 The fund purchases index futures contracts to efficiently manage cash flows resulting from shareholder purchases and redemptions, dividend and capital gain payments to shareholders and corporate actions while maintaining exposure to the index and minimizing trade costs. The underlying face amount, at value, of open index futures contracts was $6,938,750 at May 31, 2002.

4 The repurchase agreement is fully collateralized by U.S. government and/or agency obligations based on market prices at the date of the portfolio. The investment in the repurchase agreement is through participation in a joint account with other Federated funds.

5 The cost of investments for generally accepted accounting principles ("GAAP") is $93,190,457. Cost for federal tax purposes is $93,736,492. The difference between cost for GAAP and cost on a tax basis is related to amortization/accretion tax elections on fixed income securities. The net unrealized depreciation of investments on a federal tax basis amounts to $984,188, which is comprised of $3,202,536 appreciation and $4,186,724 depreciation at May 31, 2002.

Note: The categories of investments are shown as a percentage of net assets ($93,514,318) at May 31, 2002.

The following acronyms are used throughout this portfolio:

ADR	--American Depositary Receipt
MTN	--Medium Term Note

See Notes which are an integral part of the Financial Statements

Statement of Assets and Liabilities

May 31, 2002 (unaudited)

Assets:
Total investments in securities, at value (identified cost $93,190,457)			$	92,752,304
Cash				762
Income receivable				600,124
Receivable for daily variation margin				11,050
Receivable for shares sold				156,837
TOTAL ASSETS				93,521,077
Liabilities:
Accrued expenses	$	6,759
TOTAL LIABILITIES				6,759
Net assets for 9,254,990 shares outstanding			$	93,514,318
Net Assets Consist of:
Paid in capital			$	96,521,381
Net unrealized depreciation of investments, translation of assets and liabilities in foreign currency and futures contracts				(1,043,679	)
Accumulated net realized loss on investments, foreign currency transactions and futures contracts				(1,600,608	)
Distributions in excess of net investment income				(362,776	)
TOTAL NET ASSETS			$	93,514,318
Net Asset Value, Offering Price and Redemption Proceeds Per Share
Institutional Shares:
$62,366,136 ÷ 6,173,467 shares outstanding				$10.10
Select Shares:
$31,148,182 ÷ 3,081,523 shares outstanding				$10.11

See Notes which are an integral part of the Financial Statements

Statement of Operations

Six Months Ended May 31, 2002 (unaudited)

Investment Income:
Dividends (net of foreign taxes withheld of $432)							$	1,059,291
Interest (net of foreign taxes withheld of $1,410)								1,536,498
TOTAL INCOME								2,595,789
Expenses:
Investment adviser fee				$	362,475
Administrative personnel and services fee					77,288
Custodian fees					8,313
Transfer and dividend disbursing agent fees and expenses					46,687
Directors'/Trustees' fees					1,498
Auditing fees					4,824
Legal fees					2,561
Portfolio accounting fees					31,173
Distribution services fee--Select Shares					116,602
Shareholder services fee--Institutional Shares					81,958
Shareholder services fee--Select Shares					38,867
Share registration costs					10,536
Printing and postage					15,707
Insurance premiums					628
Miscellaneous					1,160
TOTAL EXPENSES					800,277
Waivers and Expense Reduction:
Waiver of investment adviser fee	$	(168,720	)
Waiver of distribution services fee--Select Shares		(38,867	)
Waiver of shareholder services fee--Institutional Shares		(65,566	)
Fees paid indirectly		(290	)
TOTAL WAIVERS AND EXPENSE REDUCTION					(273,443	)
Net expenses								526,834
Net investment income								2,068,955
Realized and Unrealized Gain (Loss) on Investments, Foreign Currency Transactions and Futures Contracts:
Net realized loss on investments and foreign currency transactions								(435,942	)
Net realized gain on futures contracts								98,874
Net change in unrealized depreciation of investments, translation of assets and liabilities in foreign currency and futures contracts								(1,492,954	)
Net realized and unrealized loss on investments, foreign currency transactions and futures contracts								(1,830,022	)
Change in net assets resulting from operations							$	238,933

See Notes which are an integral part of the Financial Statements

Statement of Changes in Net Assets

		Six Months Ended (unaudited) 5/31/2002			Year Ended 11/30/2001
Increase (Decrease) in Net Assets
Operations:
Net investment income	$	2,068,955		$	5,222,383
Net realized loss on investments, foreign currency transactions and futures contracts		(337,068	)		(1,633,363	)
Net change in unrealized depreciation of investments, translation of assets and liabilities in foreign currency and futures contracts		(1,492,954	)		2,148,511
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS		238,933			5,737,531
Distributions to Shareholders:
Distributions from net investment income
Institutional Shares		(1,403,979	)		(3,545,590	)
Select Shares		(556,084	)		(1,512,721	)
Distributions from net realized gains on investments, foreign currency transactions and futures contracts
Institutional Shares		--			(158,392	)
Select Shares		--			(79,647	)
CHANGE IN NET ASSETS RESULTING FROM DISTRIBUTIONS TO SHAREHOLDERS		(1,960,063	)		(5,296,350	)
Share Transactions:
Proceeds from sale of shares		9,933,036			32,153,315
Net asset value of shares issued to shareholders in payment of distributions declared		1,255,199			3,271,755
Cost of shares redeemed		(19,791,387	)		(39,674,203	)
CHANGE IN NET ASSETS RESULTING FROM SHARE TRANSACTIONS		(8,603,152	)		(4,249,133	)
Change in net assets		(10,324,282	)		(3,807,952	)
Net Assets:
Beginning of period		103,838,600			107,646,552
End of period (including undistributed net investment income of $33,609 for the year ended November 30, 2001)	$	93,514,318		$	103,838,600

See Notes which are an integral part of the Financial Statements

Financial Highlights--Institutional Shares

(For a Share Outstanding Throughout Each Period)

	Six Months Ended (unaudited)			Year Ended November 30,
	5/31/2002			2001			2000			1999	1		1998			1997
Net Asset Value, Beginning of Period	$10.28			$10.24			$10.41			$11.13			$10.77			$10.56
Income From Investment Operations:
Net investment income	0.24	2		0.51			0.58	3		0.55			0.55			0.60
Net realized and unrealized gain (loss) on investments, foreign currency transactions and futures contracts	(0.20	)2		0.06			(0.13	)		(0.42	)		0.49			0.30
TOTAL FROM INVESTMENT OPERATIONS	0.04			0.57			0.45			0.13			1.04			0.90
Less Distributions:
Distributions from net investment income	(0.22	)		(0.51	)		(0.53	)		(0.54	)		(0.55	)		(0.62	)
Distributions from net realized gains on investments, foreign currency transactions and futures contracts	--			(0.02	)		(0.09	)		(0.31	)		(0.13	)		(0.07	)
TOTAL DISTRIBUTIONS	(0.22	)		(0.53	)		(0.62	)		(0.85	)		(0.68	)		(0.69	)
Net Asset Value, End of Period	$10.10			$10.28			$10.24			$10.41			$11.13			$10.77
Total Return4	0.37	%		5.76	%		4.49	%		1.22	%		10.06	%		8.88	%
Ratios to Average Net Assets:
Expenses	0.86	%5		0.83	%		0.80	%		0.80	%		0.80	%		0.80	%
Net investment income	4.51	%2,5		5.13	%		5.62	%		5.21	%		5.09	%		5.63	%
Expense waiver/reimbursement6	0.55	%5		0.57	%		0.52	%		0.54	%		0.62	%		0.70	%
Supplemental Data:
Net assets, end of period (000 omitted)	$62,366			$71,668			$71,408			$86,919			$81,421			$71,058
Portfolio turnover	3	%	19		%	35		%	95		%	122		%	99		%

1 Beginning with the year ended November 30, 1999, the fund was audited by Deloitte & Touche LLP. Each of the previous years was audited by other auditors.

2 Effective December 1, 2001, the Trust adopted the provisions of the American Institute of Certified Public Accountants (AICPA) Audit and Accounting Guide for Investment Companies and began accreting discount/amortizing premium on long-term debt securities. For the six months ended May 31, 2002 there was no impact to net investment income per share, or net realized gain/loss per share, but the ratio of net investment income to average net assets decreased from 4.70% to 4.51%. Per share, ratios and supplemental data for periods prior to December 1, 2001 have not been restated to reflect this change in presentation.

3 Based on average shares outstanding.

4 Based on net asset value, which does not reflect the sales charge or contingent deferred sales charge, if applicable.

5 Computed on an annualized basis.

6 This voluntary expense decrease is reflected in both the expense and the net investment income ratios shown above.

See Notes which are an integral part of the Financial Statements

Financial Highlights--Select Shares

(For a Share Outstanding Throughout Each Period)

	Six Months Ended (unaudited)		Year Ended November 30,
	5/31/2002		2001		2000		1999	1	1998		1997
Net Asset Value, Beginning of Period	$10.28		$10.24		$10.41		$11.13		$10.77		$10.56
Income From Investment Operations:
Net investment income	0.20	2	0.46		0.51	3	0.48		0.48		0.51
Net realized and unrealized gain (loss) on investments, foreign currency transactions and futures contracts	(0.19	)2	0.04		(0.13	)	(0.42	)	0.49		0.31
TOTAL FROM INVESTMENT OPERATIONS	0.01		0.50		0.38		0.06		0.97		0.82
Less Distributions:
Distributions from net investment income	(0.18	)	(0.44	)	(0.46	)	(0.47	)	(0.48	)	(0.54	)
Distributions from net realized gains on investments, foreign currency transactions and futures contracts	--		(0.02	)	(0.09	)	(0.31	)	(0.13	)	(0.07	)
TOTAL DISTRIBUTIONS	(0.18	)	(0.46	)	(0.55	)	(0.78	)	(0.61	)	(0.61	)
Net Asset Value, End of Period	$10.11		$10.28		$10.24		$10.41		$11.13		$10.77
Total Return4	0.12	%	5.01	%	3.76	%	0.52	%	9.29	%	8.14	%
Ratios to Average Net Assets:
Expenses	1.56	%5	1.53	%	1.50	%	1.50	%	1.50	%	1.50	%
Net investment income	3.81	%2,5	4.43	%	4.92	%	4.50	%	4.39	%	4.93	%
Expense waiver/reimbursement6	0.60	%5	0.62	%	0.57	%	0.59	%	0.67	%	0.75	%
Supplemental Data:
Net assets, end of period (000 omitted)	$31,148		$32,171		$36,238		$43,523		$46,193		$36,608
Portfolio turnover	3	%	19	%	35	%	95	%	122	%	99	%

1 Beginning with the year ended November 30, 1999, the fund was audited by Deloitte & Touche LLP. Each of the previous years was audited by other auditors.

2 Effective December 1, 2001, the Trust adopted the provisions of the American Institute of Certified Public Accountants (AICPA) Audit and Accounting Guide for Investment Companies and began accreting discount/amortizing premium on long-term debt securities. For the six months ended May 31, 2002 there was no impact to net investment income per share, or net realized gain/loss per share, but the ratio of net investment income to average net assets decreased from 4.01% to 3.81%. Per share, ratios and supplemental data for periods prior to December 1, 2001 have not been restated to reflect this change in presentation.

3 Based on average shares outstanding.

4 Based on net asset value, which does not reflect the sales charge or contingent deferred sales charge, if applicable.

5 Computed on an annualized basis.

6 This voluntary expense decrease is reflected in both the expense and the net investment income ratios shown above.

See Notes which are an integral part of the Financial Statements

Notes to Financial Statements

May 31, 2002 (unaudited)

ORGANIZATION

Federated Managed Allocation Portfolios (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 four diversified portfolios. The financial statements included herein are only those of Federated Managed Income Portfolio (the "Fund"). 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. The investment objective of the Fund is to seek total return with an emphasis on income and potential for capital appreciation.

The Fund offers two classes of shares: Institutional Shares and Select Shares.

SIGNIFICANT ACCOUNTING POLICIES

The following is a summary of significant accounting policies consistently followed by the Fund in the preparation of its financial statements. These policies are in conformity with generally accepted accounting principles ("GAAP").

Investment Valuations

Listed equity securities are valued at the last sale price reported on a national securities exchange. U.S. government securities, listed corporate bonds, other fixed income and asset-backed securities, and unlisted securities and private placement securities are generally valued at the mean of the latest bid and asked price as furnished by an independent pricing service. 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. Investment 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").

With respect to valuation of foreign securities, trading in foreign cities may be completed at times which vary from the closing of the New York Stock Exchange. Therefore, foreign securities are valued at the latest closing price on the exchange on which they are traded prior to the closing of the New York Stock Exchange. Foreign securities quoted in foreign currencies are translated into U.S. dollars at the foreign exchange rate in effect at noon, Eastern Time, on the day the value of the foreign security is determined.

Pursuant to an Exemptive Order issued by the Securities and Exchange Commission, the Fund may invest in Federated Core Trust ("Core Trust") which is managed by Federated Investment Management Company, the Fund's Adviser. Core Trust is an open-end management investment company, registered under the Investment Company Act of 1940, available only to registered investment companies and other institutional investors. The investment objective of High Yield Bond Portfolio, a series of Core Trust, is to seek high current income by investing primarily in a diversified portfolio of lower rated fixed income securities. The investment objective of Federated Mortgage Core Portfolio, a series of Core Trust, is to provide total return by investing in a diversified portfolio of mortgage-backed fixed income securities. Federated receives no advisory or administrative fees on behalf of Core Trust. Income distributions from Core Trust are declared daily and paid monthly, and are recorded by the Fund as dividend income. Capital gain distributions, if any, from Core Trust are declared annually, and are recorded by the Fund as capital gains. Additional information regarding High Yield Bond Portfolio and/or Federated Mortgage Core Portfolio is available upon request.

Repurchase Agreements

It is the policy of the Fund 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 Fund 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 Fund will only enter into repurchase agreements with banks and other recognized financial institutions, such as broker/dealers, which are deemed by the Fund's 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 Fund could receive less than the repurchase price on the sale of collateral securities. The Fund, along with other affiliated investment companies, may utilize a joint trading account for the purpose of entering into one or more repurchase agreements.

Investment Income, Expenses and Distributions

Interest income and expenses are accrued daily. All discounts/premiums are accreted/amortized for financial reporting purpose as required. Dividend income and distributions to shareholders are recorded on the ex-dividend date. Non-cash dividends included in dividend income, if any, are recorded at fair market value. The 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 share class expenses.

Distributions are determined in accordance with income tax regulations which may differ from GAAP. These distributions do not represent a return of capital for federal income tax purposes.

Effective December 1, 2001, the Trust has adopted the provisions of the AICPA Audit and Accounting Guide for Investment Companies and began accreting discount/amortizing premium on long-term debt securities. The cumulative effect of this accounting change had no impact on the total net assets of the Fund, but resulted in adjustments to the financial statements as follows:

	As of 12/1/2001		For the Six Months Ended 5/31/2002
	Cost of Investments	Undistributed Net Investment Income	Net Investment Income	Net Unrealized Appreciation/ Depreciation	Net Realized Loss
Increase (Decrease)	$(505,277)	$(505,277)	$(96,527)	$40,758	$55,769

The Statement of Changes in Net Assets and Financial Highlights for prior periods have not been restated to reflect this change in presentation.

Federal Taxes

It is the Fund's policy to comply with the provisions of the Internal Revenue Code, as amended ("the Code"), applicable to regulated investment companies and to distribute to shareholders each year substantially all of its income. Accordingly, no provision for federal tax is necessary.

Withholding taxes on foreign interest and dividends have been provided for in accordance with the Fund's applicable country's tax rules and rates.

At November 30, 2001, the Fund, for federal tax purposes, had a capital loss carryforward of $1,145,554 which will reduce the Fund's taxable income arising from 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 Fund of any liability for federal tax. Pursuant to the Code, such capital loss carryforward will expire in 2009.

When-Issued and Delayed Delivery Transactions

The Fund may engage in when-issued or delayed delivery transactions. The Fund records when-issued securities on the trade date and maintains 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.

Futures Contracts

The Fund may purchase stock index futures contracts to manage cashflows, enhance yield and to potentially reduce transaction costs. Upon entering into a stock index futures contract with a broker, the Fund is required to deposit in a segregated account a specified amount of cash or U.S. government securities. Futures contracts are valued daily and unrealized gains or losses are recorded in a "variation margin" account. Daily, the Fund receives from or pays to the broker a specified amount of cash based upon changes in the variation margin account. When a contract is closed, the Fund recognizes a realized gain or loss. For the six months ended May 31, 2002, the Fund had net realized gains of $98,874 on futures contracts.

Futures contracts have market risks, including the risk that the change in the value of the contract may not correlate with changes in the value of the underlying securities.

At May 31, 2002, the Fund had outstanding futures contracts as set forth below:

Expiration Date	Contracts to Receive	Position	Unrealized Depreciation
June 2002	26 S&P 500 Index Futures	Long	$(613,927)

Foreign Exchange Contracts

The 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 Fund's securities against currency fluctuations. Risks may arise upon entering these transactions from the potential inability of counterparties to meet the terms of their commitments and from unanticipated movements in security prices or foreign exchange rates. The foreign currency transactions are adjusted by the daily exchange rate of the underlying currency and any gains or losses are recorded for financial statement purpose as unrealized until the settlement date. For the six months ended May 31, 2002, there were no open foreign currency commitments.

Foreign Currency Translation

The accounting records of the Fund are maintained in U.S. dollars. All assets and liabilities denominated in foreign currencies ("FC") are translated into U.S. dollars based on the rate of exchange of such currencies against U.S. dollars on the date of valuation. Purchases and sales of securities, income and expenses are translated at the rate of exchange quoted on the respective date that such transactions are recorded. The Fund does not isolate that portion of the results of operations resulting from changes in foreign exchange rates on investments from the fluctuations arising from changes in market prices of securities held. Such fluctuations are included with the net realized and unrealized gain or loss from investments.

Reported net realized foreign exchange gains or losses arise from sales of portfolio securities, sales and maturities of short-term securities, sales of FCs, currency gains or losses realized between the trade and settlement dates on securities transactions, the difference between the amounts of dividends, interest and foreign withholding taxes recorded on the books, and the U.S. dollar equivalent of the amounts actually received or paid. Net unrealized foreign exchange gains and losses arise from changes in the value of assets and liabilities other than investments in securities at fiscal year end, resulting from changes in the exchange rate.

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 Fund 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 Fund will not incur any registration costs upon such resales. The Fund's restricted securities are valued at the price provided by dealers in the secondary market or, if no market prices are available, at the fair value as determined in good faith using methods approved by the Trustees.

Use of Estimates

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts of assets, liabilities, expenses and revenues reported in the financial statements. Actual results could differ from those estimated.

Other

Investment transactions are accounted for on a trade date basis.

SHARES OF BENEFICIAL INTEREST

The Declaration of Trust permits the Trustees to issue an unlimited number of full and fractional shares of beneficial interest (without par value) for each class of shares.

Transactions in shares were as follows:

	Six Months Ended 5/31/2002					Year Ended 11/30/2001
Institutional Shares:	Shares		Amount			Shares		Amount
Shares sold	656,565		$	6,644,835		2,148,375		$	22,078,221
Shares issued to shareholders in payment of distributions declared	86,017			868,807		219,950			2,255,241
Shares redeemed	(1,543,953	)		(15,633,184	)	(2,368,293	)		(24,391,781	)
NET CHANGE RESULTING FROM INSTITUTIONAL SHARE TRANSACTIONS	(801,371	)	$	(8,119,542	)	32		$	(58,319	)
	Six Months Ended 5/31/2002					Year Ended 11/30/2001
Select Shares:	Shares		Amount			Shares		Amount
Shares sold	324,720		$	3,288,201		978,935		$	10,075,094
Shares issued to shareholders in payment of distributions declared	38,216			386,392		99,039			1,016,514
Shares redeemed	(410,554	)		(4,158,203	)	(1,486,755	)		(15,282,422	)
NET CHANGE RESULTING FROM SELECT SHARE TRANSACTIONS	(47,618	)	$	(483,610	)	(408,781	)	$	(4,190,814	)
NET CHANGE RESULTING FROM SHARE TRANSACTIONS	(848,989	)	$	(8,603,152	)	(408,749	)	$	(4,249,133	)

INVESTMENT ADVISER FEE AND OTHER TRANSACTIONS WITH AFFILIATES

Investment Adviser Fee

Federated Investment Management Company, the Fund's investment adviser (the "Adviser"), receives for its services an annual investment adviser fee equal to 0.75% of the 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.

Certain of the Fund's assets are managed by Federated Global Investment Management Corp. (the "Sub-Adviser"). Under the terms of a sub-adviser agreement between the Adviser and the Sub-Adviser, the Sub-Adviser receives an allocable portion of the Fund's adviser fee. This fee is paid by the Adviser out of its resources and is not an incremental Fund expense.

Administrative Fee

Federated Services Company ("FServ"), under the Administrative Services Agreement, provides the Fund with administrative personnel and services. The fee paid to FServ is based on a scale that ranges from 0.150% to 0.075% of the average aggregate daily net assets of all funds advised by subsidiaries of Federated Investors, Inc., subject to a $125,000 minimum per portfolio and $30,000 per each additional class.

Distribution Services Fee

The Fund has adopted a Distribution Plan (the "Plan") pursuant to Rule 12b-1 under the Act. Under the terms of the Plan, the Fund will compensate Federated Securities Corp. ("FSC"), the principal distributor, from the net assets of the Fund to finance activities intended to result in the sale of the Fund's Select Shares. The Plan provides that the Fund may incur distribution expenses of up to 0.75% of average net assets, annually, to compensate FSC. The distributor may voluntarily choose to waive any portion of its fee. The distributor 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 Federated Shareholder Services Company ("FSSC"), the Fund will pay FSSC up to 0.25% of average daily net assets of the Fund's shares for the period. The fee paid to FSSC is used to finance certain services for shareholders and to maintain shareholder accounts. FSSC may voluntarily choose to waive any portion of its fee. FSSC can modify or terminate this voluntary waiver at any time at its sole discretion.

Transfer and Dividend Disbursing Agent Fees and Expenses

FServ, through its subsidiary FSSC, serves as transfer and dividend disbursing agent for the Fund. The fee paid to FSSC is based on the size, type and number of accounts and transactions made by shareholders.

Portfolio Accounting Fees

FServ maintains the Fund's accounting records for which it receives a fee. The fee is based on the level of each of the Fund's average daily net assets for the period, plus out-of-pocket expenses.

General

Certain of the Officers and Trustees of the Trust are Officers and Directors or Trustees of the above companies.

INVESTMENT TRANSACTIONS

Purchases and sales of investments, excluding long-term U.S. government and short-term securities (and in-kind contributions), for the six months ended May 31, 2002, were as follows:

Purchases	$	3,049,352
Sales	$	18,329,405

Sales of long-term U.S. government securities for the six months ended May 31, 2002 were $983,109.

CONCENTRATION OF CREDIT RISK

The 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 stability 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.

At May 31, 2002, the diversification of industries for non-U.S. issuers was as follows.

Industry	Percentage of Net Assets
Agency	0.1%
Banking	0.9%
Communications Equipment	0.0%
Diversified Financials	2.2%
Finance	0.4%
Financial Intermediaries	0.5%
Food Products	0.1%
Forest Products	0.4%
Metals & Mining	0.8%
Oil & Gas	0.1%
Sovereign Government	7.4%
State/Provincial Government	0.1%
Utilities	0.2%

Mutual funds are not bank deposits or obligations, are not guaranteed by any bank, and are not insured or guaranteed by the U.S. government, the Federal Deposit Insurance Corporation, the Federal Reserve Board, or any other government agency. Investment in mutual funds involves investment risk, including the possible loss of principal.

This report is authorized for distribution to prospective investors only when preceded or accompanied by the fund's prospectus, which contains facts concerning its objective and policies, management fees, expenses and other information.

IMPORTANT NOTICE ABOUT FUND DOCUMENT DELIVERY

In an effort to reduce costs and avoid duplicate mailings, the Fund(s) intend to deliver a single copy of certain documents to each household in which more than one shareholder of the Fund(s) resides (so-called "householding"), as permitted by applicable rules. The Fund's "householding" program covers its/their Prospectus and Statement of Additional Information, and supplements to each, as well as Semi-Annual and Annual Reports and any Proxies or information statements. Shareholders must give their written consent to participate in the householding program. The Fund is also permitted to treat a shareholder as having given consent ("implied consent") if (i) shareholders with the same last name, or believed to be members of the same family, reside at the same street address or receive mail at the same post office box, (ii) the Fund gives notice of its intent to "household" at least sixty (60) days before it begins "householding" and (iii) none of the shareholders in the household have notified the Fund(s) or their agent of the desire to "opt out" of householding. Shareholders who have granted written consent, or have been deemed to have granted implied consent, can revoke that consent and opt out of householding at any time by calling 1-800-341-7400.

Federated
World-Class Investment Manager
Federated Managed Income Portfolio
Federated Investors Funds
5800 Corporate Drive
Pittsburgh, PA 15237-7000
www.federatedinvestors.com
Contact us at 1-800-341-7400 or
www.federatedinvestors.com/contact
Federated Securities Corp., Distributor

Cusip 314212804
Cusip 314212705

Federated is a registered mark of Federated Investors, Inc. 2002 ©Federated Investors, Inc.

G00517-01 (7/02)

Federated Investors
World-Class Investment Manager

Federated Managed Moderate Growth Portfolio

A Portfolio of Federated Equity Fund, Inc.

SEMI-ANNUAL REPORT

May 31, 2002

NOT FDIC INSURED * MAY LOSE VALUE * NO BANK GUARANTEE

Portfolio of Investments

May 31, 2002 (unaudited)

Shares				Value in U.S. Dollars
			STOCKS--61.0%
			LARGE-COMPANY STOCKS--34.4%
			Consumer Discretionary--4.2%
	35,300	1	AOL Time Warner, Inc.	$	660,110
	8,100	1	Clear Channel Communications, Inc.		431,163
	15,300	1	Comcast Corp., Special Class A		430,848
	9,100		Costco Wholesale Corp.		357,357
	18,342		Ford Motor Co.		323,736
	21,500		Home Depot, Inc.		896,335
	12,000		Knight-Ridder, Inc.		789,960
	14,100		Target Corp.		584,445
	13,108	1	Viacom, Inc., Class B		641,768
	35,500		Wal-Mart Stores, Inc.		1,920,550
	30,100		Walt Disney Co.		689,591
			TOTAL		7,725,863
			Consumer Staples--3.9%
	20,100		Coca-Cola Co.		1,116,756
	47,800		Dial Corp.		965,560
	9,400		Gillette Co.		334,358
	9,900		Kimberly-Clark Corp.		642,708
	12,800		PepsiCo, Inc.		665,344
	21,800		Philip Morris Cos., Inc.		1,248,050
	10,500		Procter & Gamble Co.		940,275
	9,800		Unilever NV, ADR		642,096
	18,600		Walgreen Co.		711,636
			TOTAL		7,266,783
			Energy--3.1%
	15,800		Ashland, Inc.		600,242
	15,209		ChevronTexaco Corp.		1,326,985
	8,430		Conoco, Inc.		226,598
	48,504		Exxon Mobil Corp.		1,936,765
	20,200		Royal Dutch Petroleum Co., ADR		1,111,000
	9,200		Schlumberger Ltd.		475,088
			TOTAL		5,676,678
Shares				Value in U.S. Dollars
			STOCKS--continued
			LARGE-COMPANY STOCKS--continued
			Financials--6.3%
	13,400		Allstate Corp.	$	515,632
	15,300		American Express Co.		650,403
	21,048		American International Group, Inc.		1,409,585
	16,618		Bank of America Corp.		1,259,811
	11,000		Bank of New York Co., Inc.		399,300
	39,266		Citigroup, Inc.		1,695,506
	9,100		Fannie Mae		728,091
	11,729		FleetBoston Financial Corp.		413,330
	6,000		Loews Corp.		342,600
	12,600		Mellon Financial Corp.		467,460
	11,200		Merrill Lynch & Co., Inc.		455,952
	11,700		Morgan Stanley Dean Witter & Co.		531,882
	12,100		Post Properties, Inc.		375,100
	12,000		Schwab (Charles) Corp.		145,080
	22,601		U.S. Bancorp		534,514
	17,700		Wachovia Corp.		679,149
	12,408		Washington Mutual, Inc.		482,299
	13,300		Wells Fargo & Co.		696,920
			TOTAL		11,782,614
			Healthcare--5.7%
	17,200		Abbott Laboratories		817,000
	9,700	1	Amgen, Inc.		462,011
	12,800		Baxter International, Inc.		687,360
	16,500		Bristol-Myers Squibb Co.		513,480
	8,450		Cardinal Health, Inc.		561,587
	6,500	1	Forest Laboratories, Inc.		479,895
	22,000		Johnson & Johnson		1,349,700
	9,400		Lilly (Eli) & Co.		608,180
	12,000	2	Medtronic, Inc.		553,800
	17,800		Merck & Co., Inc.		1,016,380
	46,425		Pfizer, Inc.		1,606,305
Shares				Value in U.S. Dollars
			STOCKS--continued
			LARGE-COMPANY STOCKS--continued
			Healthcare--continued
	17,627		Pharmacia Corp.	$	761,310
	14,500		Schering Plough Corp.		383,525
	7,000		UnitedHealth Group, Inc.		635,600
	1,720	1	Zimmer Holdings, Inc.		60,166
			TOTAL		10,496,299
			Industrials--3.2%
	9,300		Automatic Data Processing, Inc.		482,856
	9,600		Boeing Co.		409,440
	5,200		Eaton Corp.		420,264
	10,700		First Data Corp.		847,440
	70,110		General Electric Co.		2,183,225
	9,100		Honeywell International, Inc.		356,720
	13,200	1	US Airways Group, Inc.		40,260
	12,400		Union Pacific Corp.		759,376
	5,200		United Technologies Corp.		358,124
			TOTAL		5,857,705
			Information Technology--5.6%
	20,000	1	Applied Materials, Inc.		443,600
	6,092	1	Axcelis Technologies, Inc.		74,871
	56,600	1	Cisco Systems, Inc.		893,148
	10,700		Computer Associates International, Inc.		185,752
	11,800	1	Corning, Inc.		56,640
	24,000	1	Dell Computer Corp.		644,400
	19,400	1	EMC Corp.		140,650
	8,400		Electronic Data Systems Corp.		443,688
	29,747		Hewlett-Packard Co.		567,870
	52,900		Intel Corp.		1,461,098
	14,500		International Business Machines Corp.		1,166,525
	34,990	1	Lucent Technologies, Inc.		162,703
	40,400	1	Microsoft Corp.		2,056,764
	22,900		Motorola, Inc.		366,171
Shares				Value in U.S. Dollars
			STOCKS--continued
			LARGE-COMPANY STOCKS--continued
			Information Technology--continued
	28,100	1	Nortel Networks Corp.	$	62,101
	47,500	1	Oracle Corp.		376,200
	8,800	1	Qualcomm, Inc.		278,432
	29,800	1	Sun Microsystems, Inc.		205,322
	16,700		Texas Instruments, Inc.		478,789
	7,000	1	Veritas Software Corp.		158,690
	6,500	1	Yahoo, Inc.		104,130
			TOTAL		10,327,544
			Materials--0.9%
	15,110		Du Pont (E.I.) de Nemours & Co.		695,060
	7,700		PPG Industries, Inc.		440,286
	8,200		Weyerhaeuser Co.		537,100
			TOTAL		1,672,446
			Telecommunication Services--1.4%
	29,879		AT&T Corp.		357,652
	10,981	1	AT&T Wireless Services, Inc.		89,056
	7,400		Alltel Corp.		381,026
	18,000		BellSouth Corp.		599,040
	12,300	1	NEXTEL Communications, Inc., Class A		59,778
	13,961		Qwest Communications International, Inc.		72,039
	13,500	1	Sprint Corp. (PCS Group)		140,940
	19,488		Verizon Communications		837,984
			TOTAL		2,537,515
			Utilities--0.1%
	11,400		Reliant Energy, Inc.		193,914
			TOTAL LARGE-COMPANY STOCKS		63,537,361
Shares				Value in U.S. Dollars
			STOCKS--continued
			SMALL-COMPANY STOCKS--4.0%
			Consumer Discretionary--0.7%
	533	1	99 Cents Only Stores	$	16,347
	1,500	1	Ann Taylor Stores Corp.		42,720
	400	1	AutoZone, Inc.		32,740
	1,400		Bandag Inc.		44,800
	1,500		Borg-Warner Automotive, Inc.		96,600
	400	1	CDW Computer Centers, Inc.		20,860
	750	1	Chico FAS, Inc.		28,702
	500	1	Christopher & Banks Corp.		19,890
	800		Circuit City Stores, Inc.		18,328
	1,500	1	Dollar Tree Stores, Inc.		60,405
	770		Dover Downs Gaming & Entertainment, Inc.		10,241
	1,100		Dover Motorsports, Inc.		6,589
	400	1	Electronics Boutique Holdings Corp.		11,876
	600		Freds, Inc.		20,520
	1,100	1	Genesco, Inc.		25,982
	200		Grey Global Group, Inc.		158,000
	800	1	Gtech Holdings Corp.		22,520
	1,100		Harman International Industries, Inc.		60,830
	600	1	Jones Apparel Group, Inc.		23,916
	900		KB HOME		46,377
	600		M/I Schottenstein Homes, Inc.		38,430
	800	1	Macrovision Corp.		12,904
	1,400		Marriott International, Inc., Class A		56,616
	1,100	1	Midway Games, Inc.		11,165
	200	1	NVR, Inc.		66,200
	400		OshKosh B'Gosh, Inc., Class A		15,200
	300	1	Panera Bread Co.		18,687
	1,700	1	Payless ShoeSource, Inc.		95,047
	800		Polaris Industries, Inc.		55,632
	1,400	1	Pricesmart, Inc.		55,902
	700	1	Timberland Co., Class A		27,146
	600	1	Tweeter Home Entertainment Group, Inc.		10,104
			TOTAL		1,231,276
Shares				Value in U.S. Dollars
			STOCKS--continued
			SMALL-COMPANY STOCKS--continued
			Consumer Staples--0.1%
	700		Coors (Adolph) Co., Class B	$	46,718
	400		Farmer Brothers Co.		136,800
			TOTAL		183,518
			Energy--0.2%
	1,719	1	FMC Technologies, Inc.		38,592
	700		Forest Oil Corp.		20,482
	700	1	Hanover Compressor Co.		9,156
	800		Helmerich & Payne, Inc.		30,560
	1,000	1	Key Production Co.		18,120
	2,100	1	Oceaneering International, Inc.		65,121
	1,900	1	SEACOR SMIT, Inc.		92,530
	1,800	1	Stone Energy Corp.		74,070
	700		Sunoco, Inc.		24,892
	1,000		Tidewater, Inc.		40,750
			TOTAL		414,273
			Financials--0.7%
	600	1	Actrade Financial Technologies Ltd.		10,662
	1,000	1	Affiliated Managers Group		69,400
	510		Alleghany Corp.		94,783
	800		Bank of Hawaii Corp.		23,160
	1,200		Capital One Financial Corp.		74,928
	2,400		Cathay Bancorp, Inc.		102,192
	900		Downey Financial Corp.		49,041
	1,100	1	Federal Agricultural Mortgage Association, Class C		34,100
	900		First Citizens Bancshares, Inc., Class A		100,125
	800		Greater Bay Bancorp		26,312
	4,800	1	IndyMac Bancorp, Inc.		111,024
	700		International Bancshares Corp.		32,515
	400	1	Investment Technology Group, Inc.		14,560
	700	1	Labranche & Co. Inc.		18,480
	500	1	Markel Corp.		104,580
Shares				Value in U.S. Dollars
			STOCKS--continued
			SMALL-COMPANY STOCKS--continued
			Financials--continued
	600	1	National Western Life Insurance Co., Class A	$	66,450
	1,300		Park National Corp.		122,863
	1,700	1	Philadelphia Consolidated Holding Corp.		71,944
	400		Seacoast Banking Corp. of Florida, Class A		20,544
	900	1	Silicon Valley Bancshares		28,008
	1,000		Suffolk Bancorp		31,600
	1,500		Wilmington Trust Corp.		93,630
	500		XL Capital Ltd.		44,260
			TOTAL		1,345,161
			Healthcare--0.5%
	1,200		Aetna US Healthcare		57,420
	1,400	1	AmeriPath, Inc.		41,300
	1,000	1	Applera Corp. -- Celera Genomics Group		14,450
	2,300	1	Apria Healthcare Group, Inc.		54,441
	1,100		Bausch & Lomb, Inc.		41,547
	600	1	Cerus Corp.		25,938
	1,500	1	Charles River Laboratories International, Inc.		55,125
	1,100	1	Conceptus, Inc.		20,394
	1,500	1	Cryolife, Inc.		43,470
	1,600		Galen Holdings PLC, ADR		48,112
	700	1	Genentech, Inc.		24,850
	1,700	1	Haemonetics Corp.		50,864
	500	1	IDEC Pharmaceuticals Corp.		21,445
	1,000	1	INAMED Corp.		32,450
	400	1	Imclone Systems, Inc.		3,864
	500	1,2	InterMune, Inc.		13,375
	1,800	1	Laboratory Corporation of America Holdings		88,290
	2,000	1	LifePoint Hospitals, Inc.		77,820
	1,100	1	Medarex, Inc.		11,033
	600	1	Medicis Pharmaceutical Corp., Class A		27,810
	500	1	Myriad Genetics, Inc.		11,145
Shares				Value in U.S. Dollars
			STOCKS--continued
			SMALL-COMPANY STOCKS--continued
			Healthcare--continued
	500	1	NPS Pharmaceuticals, Inc.	$	9,625
	400	1	Neurocrine Biosciences, Inc.		12,972
	1,500	1	Orthofix International NV		52,470
	800	1	Protein Design Laboratories, Inc.		9,096
	400	1	Quest Diagnostics, Inc.		34,968
	600	1	Sepracor, Inc.		7,026
	700	1	Tenet Healthcare Corp.		52,150
	600	1	Transkaryotic Therapies, Inc.		22,686
	800		Varian Medical Systems, Inc.		37,520
			TOTAL		1,003,656
			Industrials--0.5%
	400	1	Alliant Techsystems, Inc.		43,512
	700		Arbitron, Inc.		25,585
	1,500		CNF Transporation, Inc.		54,015
	1,100	1	Checkfree Corp.		23,342
	800	1	CoStar Group, Inc.		16,992
	500	1	Concord EFS, Inc.		15,635
	900	1	Continental Airlines, Inc., Class B		20,043
	2,700	1	Corporate Executive Board Company		94,770
	500	1	DRS Technologies, Inc.		19,600
	1,400	1	Emcor Group Inc.		79,058
	600	1	Genlyte Group, Inc.		25,344
	500		ITT Educational Services, Inc.		24,700
	600	1	Iron Mountain, Inc.		18,600
	1,000		Jacobs Engineering Group, Inc.		38,390
	600	1	Learning Tree International, Inc.		12,924
	600	1	Lynch Interactive Corp.		21,300
	700	1	Mercury Computer Systems, Inc.		19,159
	600	1	Morgan Group Holding Co.		480
	900		NACCO Industries, Inc., Class A		61,695
	1,500	1	National Processing, Inc.		42,150
Shares				Value in U.S. Dollars
			STOCKS--continued
			SMALL-COMPANY STOCKS--continued
			Industrials--continued
	300		SPX Corp.	$	41,250
	1,500		Sequa Corp., Class A		81,900
	400	1	Simpson Manufacturing Co., Inc.		25,200
	700		SkyWest, Inc.		16,310
	400		Strayer Education, Inc.		23,756
	1,900		Tennant Co.		75,525
	700		URS Corp.		20,664
	500		Woodward Governor Co.		30,160
			TOTAL		972,059
			Information Technology--0.8%
	1,000	1	Acxiom Corp.		17,780
	1,400	1	Affiliated Computer Services, Inc., Class A		77,896
	700		Alpha Industries, Inc.		7,133
	700	1	Amdocs Ltd.		13,020
	1,000	1	Amphenol Corp., Class A		44,950
	1,700		Analogic Corp.		73,542
	800	1	Avant! Corp.		14,936
	1,000	1	Avocent Corp.		22,600
	1,000		Bel Fuse, Inc.		26,800
	800	1	Black Box Corp.		40,528
	1,116	1	Brooks-PRI Automation, Inc.		33,670
	900	1	Cerner Corp.		48,960
	900	1	Documentum, Inc.		11,700
	600	1	Dupont Photomasks, Inc.		20,868
	800	1	Embarcadero Technologies, Inc.		7,648
	700	1	Emulex Corp.		21,077
	900	1	F5 Networks, Inc.		10,629
	400		Fair Isaac & Co., Inc.		23,440
	900		Fisher Scientific International, Inc.		27,675
	2,400		Franklin Electronics, Inc.		114,984
	900	1	FreeMarkets, Inc.		13,905
Shares				Value in U.S. Dollars
			STOCKS--continued
			SMALL-COMPANY STOCKS--continued
			Information Technology--continued
	342	1	Genesis Microchip, Inc.	$	5,616
	1,692	1	Intersil Holding Corp.		40,642
	900		Keane, Inc.		13,068
	500	1	Kronos, Inc.		20,530
	1,000	1	Macromedia, Inc.		22,200
	900	1	Manugistics Group, Inc.		7,119
	600		Microsemi Corp.		8,718
	700	1	Microtune, Inc.		7,049
	300	1	NVIDIA Corp.		10,038
	800	1	National Instruments Corp.		28,312
	800	1	NetIQ Corp.		18,496
	800	1	Network Associates, Inc.		15,480
	700	1	Numerical Technologies, Inc.		5,530
	14,700		Online Resources Corp.		47,775
	500	1	Photon Dynamics, Inc.		20,190
	700	1	Plantronics, Inc.		15,869
	700	1	Polycom, Inc.		13,405
	1,000	1	Powerwave Technologies, Inc.		10,610
	700	1	Retek, Inc.		17,073
	600		Roper Industries, Inc.		23,400
	800	1	ScanSource, Inc.		52,856
	700	1	Silicon Laboratories, Inc.		16,716
	750	1	THQ, Inc.		24,000
	600	1	Tollgrade Communications, Inc.		11,598
	1,100	1	UTStarcom, Inc.		24,475
	700	1	Veeco Instruments, Inc.		20,399
	700	1	WebEx Communications, Inc.		9,765
	900	1	Websense, Inc.		26,640
	900	1	Zebra Technologies Co., Class A		51,876
	6,750	1	Zoran Corp.		163,687
			TOTAL		1,426,873
Shares				Value in U.S. Dollars
			STOCKS--continued
			SMALL-COMPANY STOCKS--continued
			Materials--0.3%
	700		AEP Industries, Inc.	$	24,318
	500		Ameron, Inc.		35,600
	800		Arch Coal, Inc.		18,800
	1,400		Ball Corp.		58,212
	1,600		Commercial Metals Corp.		73,440
	700	1	Cytec Industries, Inc.		21,693
	1,000	1	FMC Corp.		35,500
	1,400		Greif Brothers Corp., Class A		47,502
	900		Lubrizol Corp.		31,509
	1,000		Massey Energy Co.		13,100
	900		OM Group, Inc.		59,040
	700	1	Phelps Dodge Corp.		27,307
	2,300		Rayonier, Inc.		120,796
			TOTAL		566,817
			Telecommunication Services--0.0%
	500		Conestoga Enterprises, Inc.		16,500
			Utilities--0.2%
	800		Alliant Energy Corp.		22,016
	1,200		Black Hills Corp.		42,492
	2,400		DQE, Inc.		42,432
	700		Entergy Corp.		30,786
	1,700		Kinder Morgan, Inc.		73,525
	1,000		NUI Corp. Holding Co.		25,480
	1,100		SJW Corp.		88,825
			TOTAL		325,556
			TOTAL SMALL-COMPANY STOCKS		7,485,689
			FOREIGN EQUITY--11.9%
			Australia--0.3%
	32,626		BHP Billiton Ltd.		199,383
	18,394		News Corp. Ltd.		131,144
	7,800		News Corp. Ltd., ADR		227,604
			TOTAL		558,131
Shares				Value in U.S. Dollars
			STOCKS--continued
			FOREIGN EQUITY--continued
			Canada--0.4%
	5,800		Alcan Inc.	$	223,547
	3,500		Barrick Gold Corp.		76,352
	13,300		Hudson's Bay Co.		126,260
	6,300	1	Inco Ltd.		143,332
	4,900		Sun Life Financial Services of Canada		113,245
	3,392		Talisman Energy, Inc.		150,857
			TOTAL		833,593
			Denmark--0.1%
	4,970		Novo Nordisk, Class B		158,656
	3,800		TDC AS		99,338
			TOTAL		257,994
			Finland--0.2%
	11,260		Nokia Oyj		160,908
	4,150		UPM - Kymmene Oyj		162,021
			TOTAL		322,929
			France--1.7%
	10,400		Alstom		131,036
	17,400	1	Arcelor		247,187
	4,365		Aventis SA		303,730
	6,070		Bouygues SA		179,493
	2,550		Casino Guichard Perrachon		209,947
	895		Compagnie de Saint Gobain		158,827
	28,600		iShares MSCI France Index Fund		531,960
	1,495		Pernod Ricard		134,257
	9,150		Publicis Groupe		277,406
	2,735		Societe Generale		185,839
	3,311		TotalFinaElf SA, Class B		516,134
	3,550		Valeo SA		157,827
	2,080		Vivendi Universal SA		65,275
			TOTAL		3,098,918
Shares				Value in U.S. Dollars
			STOCKS--continued
			FOREIGN EQUITY--continued
			Germany, Federal Republic of--1.0%
	1,215		Allianz AG Holding	$	273,262
	12,100		Deutsche Lufthansa AG		166,131
	3,815		E.On AG		198,756
	3,384		Henkel KGAA, Pfd.		241,158
	25,700		iShares MSCI Germany Index Fund		377,276
	4,550		Metro AG		147,465
	3,300	1	SGL Carbon AG		73,233
	3,568		Schering AG		214,880
	8,980		ThyssenKrupp AG		145,604
	1,835		Volkswagen AG		96,835
			TOTAL		1,934,600
			Hong Kong--0.2%
	88,000		Citic Pacific Ltd.		199,132
	11,000		Television Broadcasts Ltd.		51,898
	35,000		Wharf Holdings Ltd.		82,566
			TOTAL		333,596
			Ireland--0.1%
	1,500		DePfa Bank PLC		111,450
	50,500		Independent News & Media PLC		102,352
			TOTAL		213,802
			Italy--0.5%
	45,400		Arnoldo Mondadori Editore		301,914
	24,800		Autostrade SPA		201,520
	12,200		iShares MSCI Italy Index Fund		202,032
	19,350		Telecom Italia SPA		155,427
			TOTAL		860,893
			Japan--2.1%
	15,000		Ajinomoto Co., Inc.		168,580
	3,600		Capcom Co. Ltd.		98,320
	15,000		Fuji Heavy Industries Ltd.		72,266
	128,000		iShares MSCI Japan Index Fund		1,146,880
Shares				Value in U.S. Dollars
			STOCKS--continued
			FOREIGN EQUITY--continued
			Japan--continued
	61		Japan Telecom Co. Ltd.	$	200,016
	24,000		Komatsu Ltd.		86,042
	7,000	1	Leopalace21 Corp.		48,274
	10,000		Marui Co.		137,523
	17,000		NGK Insulators		140,246
	49,300		Nikko Cordial Corp.		296,296
	10,000		Nippon Meat Packers		116,012
	12,900		Nomura Securities Co. Ltd.		207,855
	7,900	1	Sega Corp.		197,301
	7,000		Seven-Eleven Japan		304,532
	2,700		TDK Corp.		153,353
	2,100		Tokyo Electron Ltd		141,776
	9,100		Toyota Motor Corp.		248,532
	6,000		Yamato Transport Co.		118,429
			TOTAL		3,882,233
			Korea, Republic of--0.2%
	14,755		Coreana Cosmetics Co. Ltd.		46,660
	6,600		Korea Electric Power Corp.		136,968
	470		Samsung Electronics Co.		132,373
			TOTAL		316,001
			Netherlands--1.0%
	12,225	1	ASM Lithography Holding NV		233,615
	8,260		ING Groep NV		218,407
	15,900		iShares MSCI Netherlands Index Fund		283,974
	19,050		KPN NV		83,626
	6,951		Koninklijke (Royal) Philips Electronics NV		216,451
	2,800		Royal Dutch Petroleum Co.		156,650
	4,220		Unilever NV		277,086
	4,900		United Services Group NV		104,804
	7,850		Vendex KBB NV		107,192
	7,500		Wolters Kluwer NV		155,371
			TOTAL		1,837,176
Shares				Value in U.S. Dollars
			STOCKS--continued
			FOREIGN EQUITY--continued
			Portugal--0.3%
	147,221		Banco Comercial Portugues SA	$	501,891
	17,500	1	Telecel - Comunicacoes Pessoais SA		113,761
			TOTAL		615,652
			Russia--0.2%
	7,000	1	JSC Mining and Smelting Co. Norilsk Nickel, ADR		156,741
	2,140		Lukoil Oil Co., ADR		151,454
	3,075		RAO Unified Energy System, ADR		42,035
	2,010	1	Vimpel-Communications		57,667
	400		YUKOS Oil Co., ADR		61,858
			TOTAL		469,755
			Singapore--0.3%
	30,000		City Developments Ltd.		99,032
	228,000		Delgro Corporation Ltd.		285,749
	21,000		Singapore Airlines Ltd.		149,219
			TOTAL		534,000
			Spain--0.2%
	2,550		Grupo Empresarial Ence SA		40,846
	14,031		Telefonica SA		148,479
	8,700		Union Electrica Fenosa SA		156,259
			TOTAL		345,584
			Sweden--0.1%
	132,000		Rotternos AB		140,869
			Switzerland--0.7%
	5,210		Credit Suisse Group		192,096
	25,800		iShares MSCI Switzerland Index Fund		362,232
	7,425		Novartis AG, Registered Shares		318,485
	6,200		STMicroelectronics NV, NY Registered Shares		166,780
	5,567		UBS AG		290,768
			TOTAL		1,330,361
Shares				Value in U.S. Dollars
			STOCKS--continued
			FOREIGN EQUITY--continued
			Taiwan, Province of China--0.1%
	152,000	1	Advanced Semiconductor Engineering, Inc.	$	123,835
	27,000		Asustek Computer, Inc.		89,735
			TOTAL		213,570
			United Kingdom--2.2%
	21,984		Amvescap PLC		219,435
	48,365		BAE Systems PLC		271,618
	8,900		British American Tobacco PLC		106,603
	39,700		Carlton Communications PLC		146,605
	11,049		Diageo PLC		138,969
	4,950		GlaxoSmithKline PLC		101,641
	12,000		HSBC Holdings PLC		145,772
	17,900		Hanson PLC		135,606
	3,900		Imperial Tobacco Group PLC		66,163
	73,700		iShares MSCI United Kingdom Index Fund		1,065,702
	24,831		Kingfisher PLC		132,279
	14,328		Marks & Spencer PLC		79,418
	6,000		National Express Group PLC		55,458
	10,112		Pearson PLC		125,187
	40,915		Rank Group PLC		170,838
	54,900		Rentokil Initial PLC		223,210
	8,448		Royal Bank of Scotland PLC		245,868
	18,150		Sainsbury (J) PLC		100,072
	7,350		Six Continents PLC		82,018
	122,400		Stagecoach Group PLC		125,754
	169,398		Vodafone Group PLC		255,796
			TOTAL		3,994,012
			TOTAL FOREIGN EQUITY		22,093,669
			FUTURES CONTRACTS COLLATERAL--10.7%3
	17,500,000		United States Treasury Bill, 7/5/2002		17,479,700
	2,300,000		United States Treasury Bill, 8/29/2002		2,291,214
			TOTAL FUTURES CONTRACTS COLLATERAL		19,770,914
			TOTAL STOCKS (IDENTIFIED COST $111,176,899)		112,887,633
Principal Amount				Value in U.S. Dollars
			BONDS--38.5%
			TREASURY AND GOVERNMENT SECURITIES--12.6%
			Repurchase Agreement--3.9%4
$	7,197,000		Greenwich Capital Markets, Inc., 1.780%, dated 5/31/2002, due 6/3/2002	$	7,197,000
			U.S. Treasury Securities--8.7%
	3,583,000		United States Treasury Bond, 6.125%, 11/15/2027		3,744,020
	4,800,000		United States Treasury Bond, 8.875%, 8/15/2017		6,387,984
	493,000		United States Treasury Note, 5.750%, 8/15/2003		511,946
	245,000		United States Treasury Note, 6.000%, 8/15/2009		262,579
	675,000		United States Treasury Note, 6.250%, 2/15/2003		694,696
	4,055,000		United States Treasury Note, 6.500%, 10/15/2006		4,422,383
			TOTAL		16,023,608
			TOTAL TREASURY AND GOVERNMENT SECURITIES		23,220,608
			High Yield Securities--2.1%
	602,241		High Yield Bond Portfolio		3,920,589
			Mortgage-Backed Securities--11.7%
	2,131,124		Federated Mortgage Core Portfolio		21,652,221
			INVESTMENT GRADE CORPORATE BONDS--8.5%
			Air Transportation--0.4%
	695,000		Delta Air Lines, Inc., Sr. Note, 6.650%, 3/15/2004		670,675
			Automotive--0.2%
	300,000		Hertz Corp., Sr. Note, 7.625%, 8/15/2007		313,176
			Banking--0.8%
	100,000		City National Bank, Sub. Note, 6.375%, 1/15/2008		99,920
	500,000		Santander Finance Issuances, Bank Guarantee, 7.875%, 4/15/2005		542,180
	330,000	2	Swedbank, Sub. Note, 7.500%, 11/1/2049		352,117
	430,000		U.S. BANK N.A., 6.300%, 2/4/2014		440,041
			TOTAL		1,434,258
			Broadcast Radio & Television--0.3%
	500,000		Clear Channel Communications, Sr. Unsecured Note, 7.650%, 9/15/2010		523,020
			Cable Television--0.5%
	960,000		Continental Cablevision, Sr. Deb., 9.500%, 8/1/2013		995,011
	20,000		Cox Communications Inc., MTN, 6.690%, 9/20/2004		20,505
			TOTAL		1,015,516
Principal Amount				Value in U.S. Dollars
			BONDS--continued
			INVESTMENT GRADE CORPORATE BONDS--continued
			Education--0.3%
$	500,000		Boston University, MTN, 7.625%, 7/15/2097	$	505,750
			Finance - Automotive--0.5%
	50,000		Ford Motor Credit Co., Unsecured Note, 7.250%, 1/15/2003		50,966
	300,000		Ford Motor Credit Co., Note, 6.125%, 4/28/2003		305,208
	470,000		General Motors Acceptance Corp., Sr. Note, 5.750%, 11/10/2003		480,702
			TOTAL		836,876
			Financial Intermediaries--1.1%
	600,000		Capital One Financial, Note, 7.125%, 8/1/2008		573,000
	450,000		Donaldson Lufkin Jenrette, Inc., Sr. Note, 6.875%, 11/1/2005		474,979
	300,000		Lehman Brothers Holdings, Inc., Sr. Sub. Note, 7.375%, 1/15/2007		321,702
	525,000		Marsh & McLennan Cos., Sr. Note, 7.125%, 6/15/2009		561,367
	150,000		Salomon, Inc., Note, 7.200%, 2/1/2004		158,348
			TOTAL		2,089,396
			Food & Drug Retailers--0.7%
	450,000		Kroger Co., Company Guarantee, 7.250%, 6/1/2009		477,671
	175,000		Meyer (Fred), Inc., Company Guarantee, 7.450%, 3/1/2008		190,549
	540,000		Safeway, Inc., Note, 7.250%, 9/15/2004		574,981
			TOTAL		1,243,201
			Forest Products--0.2%
	450,000		Quno Corp., Sr. Note, 9.125%, 5/15/2005		460,341
			Insurance--0.1%
	250,000	2	USF&G Capital III, Company Guarantee, 8.312%, 7/1/2046		248,165
			Leisure & Entertainment--0.3%
	450,000		International Speedway Corp., Company Guarantee, 7.875%, 10/15/2004		469,251
	100,000		Viacom, Inc., Sr. Deb., 8.250%, 8/1/2022		103,728
			TOTAL		572,979
			Metals & Mining--0.3%
	275,000		Barrick Gold Corp., Deb., 7.500%, 5/1/2007		293,813
	250,000		Santa Fe Pacific Gold, Note, 8.375%, 7/1/2005		259,528
			TOTAL		553,341
Principal Amount or Foreign Currency Par Amount				Value in U.S. Dollars
			BONDS--continued
			INVESTMENT GRADE CORPORATE BONDS--continued
			Oil & Gas--0.4%
$	500,000		Apache Finance Property Ltd., Company Guarantee, Sr. Note, 7.000%, 3/15/2009	$	518,875
	300,000		Occidental Petroleum Corp., Sr. Note, 6.750%, 11/15/2002		305,037
			TOTAL		823,912
			Printing &Publishing--0.4%
	360,000		News America Holdings, Sr. Note, 8.500%, 2/15/2005		388,127
	400,000		Reed Elsevier, Inc., Company Guarantee, 6.750%, 8/1/2011		414,576
			TOTAL		802,703
			Real Estate--0.1%
	100,000		SUSA Partnership, LP, Deb., 7.500%, 12/1/2027		101,256
			Retailers--0.2%
	300,000		Wal-Mart Stores, Inc., Sr. Unsecured Note, 6.875%, 8/10/2009		325,410
			Sovereign--0.5%
	535,000		Colombia, Government of, Note, 7.250%, 2/15/2003		548,375
	345,000		Quebec, Province of, Deb., 7.500%, 9/15/2029		391,744
			TOTAL		940,119
			Technology Services--0.3%
	500,000		Dell Computer Corp., Deb., 7.100%, 4/15/2028		498,495
			Telecommunications & Cellular--0.5%
	330,000		Sprint Capital Corp., Company Guarantee, 5.875%, 5/1/2004		318,150
	540,000		Telecom de Puerto Rico, Note, 6.650%, 5/15/2006		536,841
			TOTAL		854,991
			Utilities--0.4%
	800,000	2	Israel Electric Corp. Ltd., Note, 7.950%, 5/30/2011		821,752
			TOTAL INVESTMENT GRADE CORPORATE BONDS		15,635,332
			FOREIGN BONDS--3.6%
			Australian Dollar--0.1%
	200,000		New South Wales, State of, 8.000%, 3/1/2008		122,140
			Austrian Schilling--0.0%
	100,000		Austria, Government of, Bond, 5.500%, 1/15/2010		95,185
Foreign Currency Par Amount				Value in U.S. Dollars
			BONDS--continued
			FOREIGN BONDS--continued
			British Pound--0.3%
	270,000		DaimlerChrysler N.A. Holdings, Company Guarantee, Series EMTN, 7.500%, 12/7/2006	$	407,925
	130,000		United Kingdom, Government of, Bond, 7.000%, 6/7/2002		190,125
			TOTAL		598,050
			Canadian Dollar--0.1%
	400,000		Ontario Hydro, 9.000%, 6/24/2002		262,756
			Danish Krone--0.1%
	2,100,000		Denmark, Kingdom of, Note, 4.000%, 11/15/2004		259,495
			Finland Markka--0.2%
	300,000		Finland, Government of, Bond, 5.750%, 2/23/2011		288,914
			Deutsche Mark--0.7%
	300,000		Germany, Government of, 4.125%, 7/4/2008		269,076
	410,000		Germany, Government of, 4.500%, 7/4/2009		371,567
	305,000		Germany, Government of, 5.000%, 7/4/2011		282,733
	380,000		Germany, Government of, 5.375%, 1/4/2010		362,054
			TOTAL		1,285,430
			Greek Drachma--0.2%
	392,663		Greece, Government of, Floating Rate Note, 5.240%, 10/23/2003		366,050
			Hungarian Forint--0.2%
	89,670,000		Hungary, Government of, Bond, 7.750%, 4/12/2005		336,309
			Italian Lira--0.5%
	585,000		Italy, Government of, Bond, 4.750%, 7/1/2005		548,621
	325,000		San Paolo-IMI SPA, Bank Guarantee, 8.126%, 12/31/2049		334,700
			TOTAL		883,321
			Japanese Yen--0.4%
	43,000,000		DSL Bank, Note, 2.600%, 7/10/2002		347,237
	50,000,000		Deutsche Post AG, Sr. Unsub., Series EMTN, 1.750%, 10/7/2009		426,042
			TOTAL		773,279
Foreign Currency Par Amount				Value in U.S. Dollars
			BONDS--continued
			FOREIGN BONDS--continued
			Netherlands Guilder--0.2%
	350,000		Netherlands, Government of, 5.500%, 1/15/2028	$	324,023
			Polish Zloty--0.4%
	870,000		Poland, Government of, Bond, 8.500%, 5/12/2006		215,200
	1,950,000		Poland, Government of, 10.000%, 6/12/2004		493,624
			TOTAL		708,824
			Portuguese Escudo--0.2%
	330,000		Portugal, Government of, 6.625%, 2/23/2007		330,135
			Swedish Krona--0.0%
	980,000		Sweden, Government of, 5.000%, 1/15/2004		100,498
			TOTAL FOREIGN BONDS		6,734,409
			TOTAL BONDS (IDENTIFIED COST $69,971,310)		71,163,159
			TOTAL INVESTMENTS (IDENTIFIED COST $181,148,209)5	$	184,050,792

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 Trustees. At May 31, 2002, these securities amounted to $1,989,209 which represents 1.1% of net assets.

3 The fund purchases index futures contracts to efficiently manage cash flows resulting from shareholder purchases and redemptions, dividend and capital gain payments to shareholders and corporate actions while maintaining exposure to the index and minimizing trade costs. The underlying face amount, at value, of open index futures contracts was $18,967,225 at May 31, 2002.

4 The repurchase agreement is fully collateralized by U.S. government and/or agency obligations based on market prices at the date of the portfolio. The investment in the repurchase agreement is through participation in a joint account with other Federated funds.

5 The cost of investments for generally accepted accounting principles ("GAAP") is $181,148,209. Cost for federal tax purposes is $181,293,663. The difference between cost for GAAP and cost on a tax basis is related to amortization/accretion tax elections on fixed income securities. The net unrealized appreciation of investments on a federal tax basis amounts to $2,757,129 which is comprised of $18,872,653 appreciation and $16,115,524 depreciation at May 31, 2002.

Note: The categories of investments are shown as a percentage of net assets ($184,991,651) at May 31, 2002.

The following acronyms are used throughout this portfolio:

ADR	--American Depositary Receipt
MTN	--Medium Term Note

See Notes which are an integral part of the Financial Statements

Statement of Assets and Liabilities

May 31, 2002 (unaudited)

Assets:
Total investments in securities, at value (identified cost $181,148,209)			$	184,050,792
Cash				467
Cash denominated in foreign currency (identified cost $98,906)				101,496
Income receivable				835,074
Receivable for daily variation margin				950
Receivable for investments sold				274,135
Receivable for shares sold				4,955
Net receivable for foreign currency exchange contracts				162
TOTAL ASSETS				185,268,031
Liabilities:
Payable for investments purchased	$	189,517
Payable for shares redeemed		1,100
Income distribution payable		64
Accrued expenses		85,699
TOTAL LIABILITIES				276,380
Net assets for 17,427,976 shares outstanding			$	184,991,651
Net Assets Consist of:
Paid in capital			$	196,667,745
Net unrealized appreciation of investments, translation of assets and liabilities in foreign currency and futures contracts				2,354,656
Accumulated net realized loss on investments, foreign currency transactions and futures contracts				(14,124,333	)
Undistributed net investment income				93,583
TOTAL NET ASSETS			$	184,991,651
Net Asset Value, Offering Price and Redemption Proceeds Per Share
Institutional Shares:
$115,954,657 ÷ 10,910,915 shares outstanding				$10.63
Select Shares:
$69,036,994 ÷ 6,517,061 shares outstanding				$10.59

See Notes which are an integral part of the Financial Statements

Statement of Operations

Six Months Ended May 31, 2002 (unaudited)

Investment Income:
Dividends (net of foreign taxes withheld of $33,485)							$	1,688,880
Interest (net of foreign taxes withheld of $1,271)								1,499,856
TOTAL INCOME								3,188,736
Expenses:
Investment adviser fee				$	736,439
Administrative personnel and services fee					77,288
Custodian fees					50,863
Transfer and dividend disbursing agent fees and expenses					80,910
Directors'/Trustees' fees					1,866
Auditing fees					7,942
Legal fees					2,749
Portfolio accounting fees					38,786
Distribution services fee--Select Shares					270,856
Shareholder services fee--Institutional Shares					155,194
Shareholder services fee--Select Shares					90,285
Share registration costs					11,979
Printing and postage					18,460
Insurance premiums					786
Miscellaneous					1,964
TOTAL EXPENSES					1,546,367
Waivers:
Waiver of distribution services fee--Select Shares	$	(90,285	)
Waiver of shareholder services fee--Institutional Shares		(124,155	)
TOTAL WAIVERS					(214,440	)
Net expenses								1,331,927
Net investment income								1,856,809
Realized and Unrealized Gain (Loss) on Investments, Foreign Currency Transactions and Futures Contracts:
Net realized loss on investments and foreign currency transactions								(3,080,486	)
Net realized gain on futures contracts								556,193
Net change in unrealized appreciation of investments, translation of assets and liabilities in foreign currency and futures contracts								(2,822,624	)
Net realized and unrealized loss on investments, foreign currency transactions and futures contracts								(5,346,917	)
Change in net assets resulting from operations							$	(3,490,108	)

See Notes which are an integral part of the Financial Statements

Statement of Changes in Net Assets

	Six Months Ended (unaudited) 5/31/2002				Year Ended 11/30/2001
Increase (Decrease) in Net Assets
Operations:
Net investment income	$	1,856,809		$	5,548,783
Net realized loss on investments, foreign currency transactions and futures contracts		(2,524,293	)		(14,230,372	)
Net change in unrealized appreciation of investments, translation of assets and liabilities in foreign currency and futures contracts		(2,822,624	)		(4,170,297	)
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS		(3,490,108	)		(12,851,886	)
Distributions to Shareholders:
Distributions from net investment income
Institutional Shares		(1,157,258	)		(3,699,268	)
Select Shares		(420,155	)		(1,633,426	)
Distributions from net realized gains on investments, foreign currency transactions and futures contracts
Institutional Shares		--			(6,937,266	)
Select Shares		--			(3,844,595	)
CHANGE IN NET ASSETS RESULTING FROM DISTRIBUTIONS TO SHAREHOLDERS		(1,577,413	)		(16,114,555	)
Share Transactions:
Proceeds from sale of shares		24,049,324			55,969,048
Net asset value of shares issued to shareholders in payment of distributions declared		1,254,746			13,453,195
Cost of shares redeemed		(37,050,533	)		(89,741,053	)
CHANGE IN NET ASSETS RESULTING FROM SHARE TRANSACTIONS		(11,746,463	)		(20,318,810	)
Change in net assets		(16,813,984	)		(49,285,251	)
Net Assets:
Beginning of period		201,805,635			251,090,886
End of period (including undistributed net investment income of $93,583 and $27,887, respectively)	$	184,991,651		$	201,805,635

See Notes which are an integral part of the Financial Statements

Financial Highlights -- Institutional Shares

(For a Share Outstanding Throughout Each Period)

	Six Months Ended (unaudited)			Year Ended November 30,
	5/31/2002			2001			2000			1999	1		1998			1997
Net Asset Value, Beginning of Period	$10.91			$12.33			$13.55			$13.15			$13.10			$12.23
Income From Investment Operations:
Net investment income	0.12	2		0.29			0.39	3		0.35			0.35			0.38
Net realized and unrealized gain (loss) on investments, foreign currency transactions and futures contracts	(0.30	)2		(0.89	)		(0.64	)		1.00			0.92			1.19
TOTAL FROM INVESTMENT OPERATIONS	(0.18	)		(0.60	)		(0.25	)		1.35			1.27			1.57
Less Distributions:
Distributions from net investment income	(0.10	)		(0.30	)		(0.36	)		(0.35	)		(0.34	)		(0.40	)
Distributions from net realized gains on investments, foreign currency transactions and futures contracts	--			(0.52	)		(0.61	)		(0.60	)		(0.88	)		(0.30	)
TOTAL DISTRIBUTIONS	(0.10	)		(0.82	)		(0.97	)		(0.95	)		(1.22	)		(0.70	)
Net Asset Value, End of Period	$10.63			$10.91			$12.33			$13.55			$13.15			$13.10
Total Return4	(1.67	)%		(5.17	)%		(2.19	)%		11.00	%		10.56	%		13.39	%
Ratios to Average Net Assets:
Expenses	1.10	%5		1.09	%		1.07	%		1.06	%		1.07	%		1.05	%
Net investment income	2.15	%2,5		2.70	%		2.89	%		2.69	%		2.67	%		3.07	%
Expense waiver/reimbursement6	0.20	%5		0.20	%		0.20	%		0.20	%		0.20	%		0.26	%
Supplemental Data:
Net assets, end of period (000 omitted)	$115,955		$125,741			$161,366			$168,702			$173,514			$163,519
Portfolio turnover	10	%		36	%		72	%		113	%		111	%		136	%

1 Beginning with the year ended November 30, 1999, the fund was audited by Deloitte & Touche LLP. Each of the previous years was audited by other auditors.

2 Effective December 1, 2001, the Trust adopted the provisions of the American Institute of Certified Public Accountants (AICPA) Audit and Accounting Guide for Investment Companies and began accreting discount/amortizing premium on long-term debt securities. For the six months ended May 31, 2002 there was no impact to net investment income per share, or net realized gain/loss per share, but the ratio of net investment income to average net assets decreased from 2.18% to 2.15%. Per share, ratios and supplemental data for periods prior to December 1, 2001 have not been restated to reflect this change in presentation.

3 Based on average shares outstanding.

4 Based on net asset value, which does not reflect the sales charge or contingent deferred sales charge, if applicable.

5 Computed on an annualized basis.

6 This voluntary expense decrease is reflected in both the expense and the net investment income ratios shown above.

See Notes which are an integral part of the Financial Statements

Financial Highlights -- Select Shares

(For a Share Outstanding Throughout Each Period)

	Six Months Ended (unaudited)			Year Ended November 30,
	5/31/2002			2001			2000			1999	1		1998			1997
Net Asset Value, Beginning of Period	$10.87			$12.29			$13.51			$13.11			$13.06			$12.20
Income From Investment Operations:
Net investment income	0.07	2		0.23			0.30	3		0.26			0.26			0.30
Net realized and unrealized gain (loss) on investments, foreign currency transactions and futures contracts	(0.29	)2		(0.91	)		(0.64	)		1.00			0.92			1.18
TOTAL FROM INVESTMENT OPERATIONS	(0.22	)		(0.68	)		(0.34	)		1.26			1.18			1.48
Less Distributions:
Distributions from net investment income	(0.06	)		(0.22	)		(0.27	)		(0.26	)		(0.25	)		(0.32	)
Distributions from net realized gains on investments, foreign currency transactions and futures contracts	--			(0.52	)		(0.61	)		(0.60	)		(0.88	)		(0.30	)
TOTAL DISTRIBUTIONS	(0.06	)		(0.74	)		(0.88	)		(0.86	)		(1.13	)		(0.62	)
Net Asset Value, End of Period	$10.59			$10.87			$12.29			$13.51			$13.11			$13.06
Total Return4	(2.02	)%		(5.89	)%		(2.87	)%		10.26	%		9.80	%		12.56	%
Ratios to Average Net Assets:
Expenses	1.80	%5		1.79	%		1.77	%		1.76	%		1.77	%		1.75	%
Net investment income	1.45	%2,5		2.00	%		2.19	%		1.99	%		2.00	%		2.37	%
Expense waiver/reimbursement6	0.25	%5		0.25	%		0.25	%		0.25	%		0.25	%		0.31	%
Supplemental Data:
Net assets, end of period (000 omitted)	$69,037		$76,065			$89,725			$95,824			$88,588			$72,746
Portfolio turnover	10	%		36	%		72	%		113	%		111	%		136	%

1 Beginning with the year ended November 30, 1999, the fund was audited by Deloitte & Touche LLP. Each of the previous years was audited by other auditors.

2 Effective December 1, 2001, the Trust adopted the provisions of the American Institute of Certified Public Accountants (AICPA) Audit and Accounting Guide for Investment Companies and began accreting discount/amortizing premium on long-term debt securities. For the six months ended May 31, 2002 there was no impact to net investment income per share, or net realized gain/loss per share, but the ratio of net investment income to average net assets decreased from 1.48% to 1.45%. Per share, ratios and supplemental data for periods prior to December 1, 2001 have not been restated to reflect this change in presentation.

3 Based on average shares outstanding.

4 Based on net asset value, which does not reflect the sales charge or contingent deferred sales charge, if applicable.

5 Computed on an annualized basis.

6 This voluntary expense decrease is reflected in both the expense and the net investment income ratios shown above.

See Notes which are an integral part of the Financial Statements

Notes to Financial Statements

May 31, 2002 (unaudited)

ORGANIZATION

Federated Managed Allocation Portfolios (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 four diversified portfolios. The financial statements included herein are only those of Federated Managed Moderate Growth Portfolio (the "Fund"). 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. The investment objective of the Fund is to seek capital appreciation with income as a secondary objective.

The Fund offers two classes of shares: Institutional Shares and Select Shares.

SIGNIFICANT ACCOUNTING POLICIES

The following is a summary of significant accounting policies consistently followed by the Fund in the preparation of its financial statements. These policies are in conformity with generally accepted accounting principles ("GAAP").

Investment Valuation

Listed equity securities are valued at the last sale price reported on a national securities exchange. U.S. government securities, listed corporate bonds, other fixed income and asset-backed securities, and unlisted securities and private placement securities are generally valued at the mean of the latest bid and asked price as furnished by an independent pricing service. 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").

With respect to valuation of foreign securities, trading in foreign cities may be completed at times which vary from the closing of the New York Stock Exchange. Therefore, foreign securities are valued at the latest closing price on the exchange on which they are traded prior to the closing of the New York Stock Exchange. Foreign securities quoted in foreign currencies are translated into U.S. dollars at the foreign exchange rate in effect at noon, Eastern Time, on the day the value of the foreign security is determined.

Pursuant to an Exemptive Order issued by the Securities and Exchange Commission, the Fund may invest in Federated Core Trust ("Core Trust") which is managed by Federated Investment Management Company, the Fund's Adviser. Core Trust is an open-end management investment company, registered under the Investment Company Act of 1940, available only to registered investment companies and other institutional investors. The investment objective of High Yield Bond Portfolio, a series of Core Trust, is to seek high current income by investing primarily in a diversified portfolio of lower rated fixed income securities. The investment objective of Federated Mortgage Core Portfolio, a series of Core Trust, is to provide total return by investing in a diversified portfolio of mortgage-backed fixed income securities. Federated receives no advisory or administrative fees on behalf of Core Trust. Income distributions from Core Trust are declared daily and paid monthly, and are recorded by the Fund as dividend income. Capital gain distributions, if any, from Core Trust are declared annually, and are recorded by the Fund as capital gains. Additional information regarding High Yield Bond Portfolio and/or Federated Mortgage Core Portfolio is available upon request.

Repurchase Agreements

It is the policy of the Fund 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 Fund 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 Fund will only enter into repurchase agreements with banks and other recognized financial institutions, such as broker/dealers, which are deemed by the Fund's 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 Fund could receive less than the repurchase price on the sale of collateral securities. The Fund, along with other affiliated investment companies, may utilize a joint trading account for the purpose of entering into one or more repurchase agreements.

Investment Income, Expenses and Distributions

Interest income and expenses are accrued daily. All discounts/premiums are accreted/amortized for financial reporting purpose as required. Dividend income and distributions to shareholders are recorded on the ex-dividend date. Non-cash dividends included in dividend income, if any, are recorded at fair market value. The 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.

Distributions are determined in accordance with income tax regulations which may differ from GAAP. These distributions do not represent a return of capital for federal income tax purposes.

Effective December 1, 2001, the Trust has adopted the provisions of the AICPA Audit and Accounting Guide for Investment Companies and began accreting discount/amortizing premium on long-term debt securities. The cumulative effect of this accounting change had no impact on the total net assets of the Fund, but resulted in adjustments to the financial statements as follows:

	As of 12/1/2001				For the Six Months Ended 5/31/2002
	Cost of Investments		Undistributed Net Investment Income		Net Investment Income		Net Unrealized Appreciation/ Depreciation		Net Realized Loss
Increase (Decrease)	$(213,700	)	$(213,700	)	$(27,301	)	$(68,246	)	$95,547

The Statement of Changes in Net Assets and Financial Highlights for prior periods have not been restated to reflect this change in presentation.

Federal Taxes

It is the Fund's policy to comply with the provisions of the Internal Revenue Code, as amended (the "Code"), applicable to regulated investment companies and to distribute to shareholders each year substantially all of its income. Accordingly, no provision for federal tax is necessary.

Withholding taxes on foreign interest and dividends have been provided for in accordance with the Fund's applicable country's tax rules and rates.

At November 30, 2001, the Fund, for federal tax purposes, had a capital loss carryforward of $11,069,114, which will reduce the Fund's taxable income arising from 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 Fund of any liability for federal tax. Pursuant to the Code, such capital loss carryforward will expire in 2009.

When-Issued and Delayed Delivery Transactions

The Fund may engage in when-issued or delayed delivery transactions. The Fund records when-issued securities on the trade date and maintains 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.

Futures Contracts

The Fund purchases stock index futures contracts to manage cashflows, enhance yield and to potentially reduce transaction costs. Upon entering into a stock index futures contract with a broker, the Fund is required to deposit in a segregated account a specified amount of cash or U.S. government securities. Futures contracts are valued daily and unrealized gains or losses are recorded in a "variation margin" account. Daily, the Fund receives from or pays to the broker a specified amount of cash based upon changes in the variation margin account. When a contract is closed, the Fund recognizes a realized gain or loss. For the six months ended May 31, 2002, the Fund had net realized gains of $556,193 on futures contracts.

Futures contracts have market risks, including the risk that the change in the value of the contract may not correlate with changes in the value of the underlying securities.

At May 31, 2002, the Fund had outstanding futures contracts as set forth below:

Expiration Date	Contracts to Receive	Position	Unrealized Depreciation
June 2002	57 Russell 2000 Index Futures	Long	$(275,100	)
June 2002	19 S&P 500 Index Futures	Long	$(284,952	)
TOTAL UNREALIZED DEPRECIATION			$(560,052	)

Foreign Exchange Contracts

The 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 Fund's securities against currency fluctuations. Risks may arise upon entering into these transactions from the potential inability of counterparties to meet the terms of their commitments and from unanticipated movements in security prices or foreign exchange rates. The foreign currency transactions are adjusted by the daily exchange rate of the underlying currency and any gains or losses are recorded for financial statement purposes as unrealized until the settlement date.

At May 31, 2002, the 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:
6/3/2002	20,167 Euro Dollars	$18,987	$18,836	$(151	)
Contracts Sold:
6/4/2002	5,099,780 Japanese Yen	$41,399	$41,086	$  313
NET UNREALIZED APPRECIATION ON FOREIGN EXCHANGE CONTRACTS				$  162

Foreign Currency Translation

The accounting records of the Fund are maintained in U.S. dollars. All assets and liabilities denominated in foreign currencies ("FC") are translated into U.S. dollars based on the rates of exchange of such currencies against U.S. dollars on the date of valuation. Purchases and sales of securities, income and expenses are translated at the rate of exchange quoted on the respective date that such transactions are recorded. Differences between income and expense amounts recorded and collected or paid are adjusted when reported by the custodian bank. The Fund does not isolate that portion of the results of operations resulting from changes in foreign exchange rates on investments from the fluctuations arising from changes in market prices of securities held. Such fluctuations are included with the net realized and unrealized gain or loss from investments.

Reported net realized foreign exchange gains or losses arise from sales of portfolio securities, sales and maturities of short-term securities, sales of FCs, currency gains or losses realized between the trade and settlement dates on securities transactions, the difference between the amounts of dividends, interest and foreign withholding taxes recorded on the Fund's books, and the U.S. dollar equivalent of the amounts actually received or paid. Net unrealized foreign exchange gains and losses arise from changes in the value of assets and liabilities other than investments in securities at fiscal year end, resulting from changes in the exchange rate.

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 Fund 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 Fund will not incur any registration costs upon such resales. The Fund's restricted securities are valued at the price provided by dealers in the secondary market or, if no market prices are available, at the fair value as determined in good faith using methods approved by the Trustees.

Use of Estimates

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts of assets, liabilities, expenses and revenues reported in the financial statements. Actual results could differ from those estimated.

Other

Investment transactions are accounted for on a trade date basis.

SHARES OF BENEFICIAL INTEREST

The Declaration of Trust permits the Trustees to issue an unlimited number of full and fractional shares of beneficial interest (without par value) for each class of shares.

Transactions in shares were as follows:

	Six Months Ended 5/31/2002					Year Ended 11/30/2001
Institutional Shares:	Shares			Amount		Shares			Amount
Shares sold	1,785,152		$	19,415,728		2,994,535		$	34,595,112
Shares issued to shareholders in payment of distributions declared	80,536			875,909		713,575			8,318,442
Shares redeemed	(2,484,378	)		(26,868,780	)	(5,267,410	)		(60,619,303	)
NET CHANGE RESULTING FROM INSTITUTIONAL SHARE TRANSACTIONS	(618,690	)	$	(6,577,143	)	(1,559,300	)	$	(17,705,749	)
	Six Months Ended 5/31/2002					Year Ended 11/30/2001
Select Shares:	Shares			Amount		Shares			Amount
Shares sold	430,169		$	4,633,596		1,861,042		$	21,373,936
Shares issued to shareholders in payment of distributions declared	34,888			378,837		439,918			5,134,753
Shares redeemed	(944,652	)		(10,181,753	)	(2,607,136	)		(29,121,750	)
NET CHANGE RESULTING FROM SELECT SHARE TRANSACTIONS	(479,595	)	$	(5,169,320	)	(306,176	)	$	(2,613,061	)
NET CHANGE RESULTING FROM SHARE TRANSACTIONS	(1,098,285	)	$	(11,746,463	)	(1,865,476	)	$	(20,318,810	)

INVESTMENT ADVISER FEE AND OTHER TRANSACTIONS WITH AFFILIATES

Investment Adviser Fee

Federated Investment Management Company, the Fund's investment adviser (the "Adviser"), receives for its services an annual investment adviser fee equal to 0.75% of the 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.

Certain of the Fund's assets are managed by Federated Global Investment Management Corp. (the "Sub-Adviser"). Under the terms of a sub-adviser agreement between the Adviser and the Sub-Adviser, the Sub-Adviser receives an allocable portion of the Fund's adviser fee. This fee is paid by the Adviser out of its resources and is not an incremental Fund expense.

Administrative Fee

Federated Services Company ("FServ"), under the Administrative Services Agreement, provides the Fund with administrative personnel and services. The fee paid to FServ is based on a scale that ranges from 0.150% to 0.075% of the average aggregate daily net assets of all funds advised by subsidiaries of Federated Investors, Inc., subject to a $125,000 minimum per portfolio and $30,000 per each additional class.

Distribution Services Fee

The Fund has adopted a Distribution Plan (the "Plan") pursuant to Rule 12b-1 under the Act. Under the terms of the Plan, the Fund will compensate Federated Securities Corp. ("FSC"), the principal distributor, from the net assets of the Fund to finance activities intended to result in the sale of the Fund's Select Shares. The Plan provides that the Fund may incur distribution expenses of up to 0.75% of average net assets, annually, to compensate FSC. The distributor may voluntarily choose to waive any portion of its fee. The distributor 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 Federated Shareholder Services Company ("FSSC"), the Fund will pay FSSC up to 0.25% of average daily net assets of the Fund shares for the period. The fee paid to FSSC is used to finance certain services for shareholders and to maintain shareholder accounts. FSSC may voluntarily choose to waive any portion of its fee. FSSC can modify or terminate this voluntary waiver at any time at its sole discretion.

Transfer and Dividend Disbursing Agent Fees and Expenses

FServ, through its subsidiary FSSC, serves as transfer and dividend disbursing agent for the Fund. The fee paid to FSSC is based on the size, type and number of accounts and transactions made by shareholders.

Portfolio Accounting Fees

FServ maintains the Fund's accounting records for which it receives a fee. The fee is based on the level of the Fund's average daily net assets for the period, plus out-of-pocket expenses.

General

Certain of the Officers and Trustees of the Trust are Officers and Directors or Trustees of the above companies.

INVESTMENT TRANSACTIONS

Purchases and sales of investments, excluding long-term U.S. government and short-term securities (and in-kind contributions), for the six months ended May 31, 2002, were as follows:

Purchases	$	18,156,512
Sales	$	50,628,826

Sales of long-term U.S. government securities for the six months ended May 31, 2002, were $3,000,246.

CONCENTRATION OF CREDIT RISK

The 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 stability 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.

At May 31, 2002, the diversification of industries for non-U.S. issuers was as follows.

Industry	Percentage of Net Assets
Agency	0.1%
Automobiles & Components	0.3%
Banking	1.7%
Capital Goods	0.5%
Commercial Services & Supplies	0.2%
Communications Equipment	0.0%
Consumer Durables & Apparel	0.1%
Diversified Financials	2.8%
Energy	0.6%
Finance	0.2%
Food & Drug Retailing	0.3%
Food, Beverage & Tobacco	0.5%
Food Products	0.3%
Forest Products	0.3%
Hotels, Restaurants & Leisure	0.1%
Household & Personal Products	0.2%
Insurance	0.2%
Materials	0.9%
Media	0.9%
Metals & Mining	0.2%
Oil & Gas	0.9%
Pharmaceuticals & Biotechnology	0.6%
Real Estate	0.1%
Retailing	0.4%
Software & Services	0.1%
Sovereign Government	3.1%
State/Provincial Government	0.1%
Technology Hardware & Equipment	0.8%
Telecommunication Services	0.7%
Transportation	0.6%
Utilities	0.7%

Mutual funds are not bank deposits or obligations, are not guaranteed by any bank, and are not insured or guaranteed by the U.S. government, the Federal Deposit Insurance Corporation, the Federal Reserve Board, or any other government agency. Investment in mutual funds involves investment risk, including the possible loss of principal.

This report is authorized for distribution to prospective investors only when preceded or accompanied by the fund's prospectus, which contains facts concerning its objective and policies, management fees, expenses and other information.

IMPORTANT NOTICE ABOUT FUND DOCUMENT DELIVERY

In an effort to reduce costs and avoid duplicate mailings, the Fund(s) intend to deliver a single copy of certain documents to each household in which more than one shareholder of the Fund(s) resides (so-called "householding"), as permitted by applicable rules. The Fund's "householding" program covers its/their Prospectus and Statement of Additional Information, and supplements to each, as well as Semi-Annual and Annual Reports and any Proxies or information statements. Shareholders must give their written consent to participate in the householding program. The Fund is also permitted to treat a shareholder as having given consent ("implied consent") if (i) shareholders with the same last name, or believed to be members of the same family, reside at the same street address or receive mail at the same post office box, (ii) the Fund gives notice of its intent to "household" at least sixty (60) days before it begins "householding" and (iii) none of the shareholders in the household have notified the Fund(s) or their agent of the desire to "opt out" of householding. Shareholders who have granted written consent, or have been deemed to have granted implied consent, can revoke that consent and opt out of householding at any time by calling 1-800-341-7400.

Federated
World-Class Investment Manager
Federated Managed Moderate Growth Portfolio
Federated Investors Funds
5800 Corporate Drive
Pittsburgh, PA 15237-7000
www.federatedinvestors.com
Contact us at 1-800-341-7400 or
www.federatedinvestors.com/contact
Federated Securities Corp., Distributor

Cusip 314212606
Cusip 314212507

Federated is a registered mark of Federated Investors, Inc. 2002 ©Federated Investors, Inc.

G00515-01 (7/02)