40-17F2

                        REPORT OF INDEPENDENT ACCOUNTANTS

To the Board of Directors of Firstar Stellar Funds

We have examined management's assertion, included in the accompanying Management
Statement Regarding Compliance with Certain Provisions of the Investment Company
Act of 1940, about Firstar Stellar Funds' (the "Company's") compliance with the
requirements of subsections (b) and (c) of Rule 17f-2 under the Investment
Company Act of 1940 ("the Act") as of July 28, 2000. Management is responsible
for the Company's compliance with those requirements. Our responsibility is to
express an opinion on management's assertion about the Company's compliance
based on our examination.

Our examination was conducted in accordance with attestation standards
established by the American Institute of Certified Public Accountants and,
accordingly, included examining, on a test basis, evidence about the Company's
compliance with those requirements and performing such other procedures as we
considered necessary in the circumstances. Included among our procedures were
the following tests performed without prior notice to management as of July 28,
2000, and with respect to agreement of security purchases and sales, for the
period from March 31, 2000 (the date of our last examination) through July 28,
2000:

- - Confirmation of all securities held by the following institutions in book
  entry form: the Federal Reserve Bank of Chicago and the Depository Trust
  Company;

- - Confirmation of all securities and similar investments held by the following
  sub-custodian: Bank of New York;

- - Confirmation of all securities and similar investments held by outside
  brokers and other third parties, except for mutual fund holdings held in
  nominee name by Firstar Bank;

- - Confirmation of all repurchase agreements with brokers;

- - Reconciliation of all such securities to the books and records of the Company
  and the Custodian; and - Agreement of 5 security purchases and 5 security
  sales or maturities since our last report from the books and records of the
  Company to broker confirmations.

We believe that our examination provides a reasonable basis for our opinion. Our
examination does not provide a legal determination on the Company's compliance
with specified requirements.

In our opinion, management's assertion that Firstar Stellar Funds was in
compliance with the requirements of subsections (b) and (c) of Rule 17f-2 of the
Investment Company Act of 1940 as of July 28, 2000 with respect to securities
reflected in the investment account of the Company, except for the exceptions
noted, is fairly stated in all material respects.

This report is intended solely for the information and use of the Board of
Directors, management, and the Securities and Exchange Commission and is not
intended to be and should not be used by anyone other than these specified
parties.

September 21, 2000

EX-99

             MANAGEMENT STATEMENT REGARDING COMPLIANCE WITH CERTAIN
                PROVISIONS OF THE INVESTMENT COMPANY ACT OF 1940

We, as members of management of Firstar Stellar Funds (the "Company"), are
responsible for complying with the requirements of subsections (b) and (c) of
Rule 17f-2, Custody of Investments by Registered Management Investment
Companies, of the Investment Company Act of 1940. We are also responsible for
establishing and maintaining effective internal controls over compliance with
those requirements. We have performed an evaluation of the Company's compliance
with the requirements of subsections (b) and (c) of Rule 17f-2 as of July 28,
2000, and from March 31, 2000 through July 28, 2000.

Based on this evaluation, we assert that the Company was in compliance with the
requirements of subsections (b) and (c) of Rule 17f-2 of the Investment Company
Act of 1940 as of July 28, 2000, and from March 31, 2000 through July 28, 2000,
with respect to securities reflected in the investment account of the Company,
except that for several securities the books of the Company did not agree to the
Custodian records. These exceptions were the result of the untimely recording of
security transactions in the Custodian records. In each case the books of the
Company were determined to be proper and the Custodian records have been
subsequently corrected.

FIRSTAR STELLAR FUNDS

By:        /s/ Joseph Neuberger
           ------------------------------------------------------
           Name of Company Official

           Vice President
           ------------------------------------------------------
           Title

           09/27/2000
           ------------------------------------------------------
           Date

By:        /s/ Elaine E. Richards
           ------------------------------------------------------
           Name of Company Official

           Secretary
           ------------------------------------------------------
           Title

           09/27/2000
           ------------------------------------------------------
           Date