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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES

Investment Company Act file number 811-8056
--------------------------------------------

MMA Praxis Mutual Funds
- --------------------------------------------------------------------------------
(Exact name of registrant as specified in charter)

3435 Stelzer Road Columbus, OH 43219
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(Address of principal executive offices) (Zip code)

BISYS Fund Services 3435 Stelzer Rd. Columbus, OH 43219
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(Name and address of agent for service)

Registrant's telephone number, including area code: (614)-470-8000
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Date of fiscal year end: 12/31/04
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Date of reporting period: 6/30/04
-----------------------------

Form N-CSR is to be used by management investment companies to file
reports with the Commission not later than 10 days after the transmission to
stockholders of any report that is required to be transmitted to stockholders
under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1).
The Commission may use the information provided on Form N-CSR in its regulatory,
disclosure review, inspection, and policymaking roles.

A registrant is required to disclose the information specified by Form
N-CSR, and the Commission will make this information public. A registrant is not
required to respond to the collection of information contained in Form N-CSR
unless the Form displays a currently valid Office of Management and Budget
("OMB") control number. Please direct comments concerning the accuracy of the
information collection burden estimate and any suggestions for reducing the
burden to Secretary, Securities and Exchange Commission, 450 Fifth Street, NW,
Washington, DC 20549-0609. The OMB has reviewed this collection of information
under the clearance requirements of 44 U.S.C. Section 3507.

ITEM 1. REPORTS TO STOCKHOLDERS.

Include a copy of the report transmitted to stockholders pursuant to Rule
30e-1 under the Act (17 CFR 270.30e-1).

MMA PRAXIS MUTUAL FUNDS

SEMI-ANNUAL REPORT AND PRIVACY POLICY

FOR THE SIX MONTHS ENDING JUNE 30, 2004

INTERMEDIATE INCOME FUND
CORE STOCK FUND
VALUE INDEX FUND
INTERNATIONAL FUND

[MMA LOGO]
PROFITS RISE,
STEWARDSHIP MARKETS
SOLUTIONS HESITATE

NOTICE OF PRIVACY POLICY & PRACTICES

MMA PRAXIS MUTUAL FUNDS
NOTICE OF PRIVACY POLICY & PRACTICES

MMA Praxis Mutual Funds recognizes and respects the privacy concerns and
expectations of our customers(1). We are committed to maintaining the privacy
and confidentiality of your personal information. We provide this notice so
that you will know what kinds of information we collect and the circumstances in
which that information may be disclosed to third parties.

We collect nonpublic personal information about our customers from the following
sources:

- - ACCOUNT APPLICATIONS AND OTHER FORMS -- which may include a customer's
name, address,social security number, and information about a customer's
investment goals and risk tolerance;

- - ACCOUNT HISTORY -- including information about the transactions and
balances in a customer's account(s); and

- - CORRESPONDENCE -- written, telephonic or electronic between a customer and
MMA Praxis Mutual Funds or service providers to MMA Praxis Mutual Funds.

We may disclose all of the information described above to certain third parties
who are not affiliated with MMA Praxis Mutual Funds under one or more of these
circumstances:

- - AS AUTHORIZED -- if you request or authorize the disclosure of the
information.

- - AS PERMITTED BY LAW -- for example sharing information with companies who
maintain or service customer accounts for MMA Praxis Mutual Funds is
essential for us to provide shareholders with necessary or useful services
with respect to their accounts.

- - UNDER JOINT AGREEMENTS -- we may also share information with companies
that perform marketing services on our behalf or to other financial
institutions with whom we have joint marketing agreements.

We require service providers to MMA Praxis Mutual Funds:

- - to maintain policies and procedures designed to assure only appropriate
access to, and use of information about customers of MMA Praxis Mutual
Funds; and

- - to maintain physical, electronic and procedural safeguards that comply
with federal standards to guard nonpublic personal information of
customers of MMA Praxis Mutual Funds.

[MMA LOGO] We will adhere to the policies and practices described
in this notice regardless of whether you are a current
or former shareholder of MMA Praxis Mutual Funds.
- ---------
(1) For purposes of this notice, the terms "customer" or "customers" includes
individuals who provide nonpublic personal information to MMA Praxis
Mutual Funds, but do not invest in MMA Praxis Mutual Funds shares.

MMA PRAXIS
MUTUAL FUNDS

SEMI-ANNUAL REPORT
FOR THE SIX MONTHS ENDING JUNE 30, 2004

INTERMEDIATE INCOME FUND
CORE STOCK FUND
VALUE INDEX FUND
INTERNATIONAL FUND

TABLE OF CONTENTS

MESSAGE FROM THE PRESIDENT ....................... 1

MMA PRAXIS TRUSTEE Q&A ........................... 6
MMA PRAXIS STEWARDSHIP INVESTING UPDATE .......... 8

MMA PRAXIS INTERMEDIATE INCOME FUND

Portfolio managers' letter .................... 12
Performance review ............................ 14
Schedule of portfolio investments ............. 16
Statement of assets and liabilities ........... 23
Statement of operations ....................... 24
Statements of changes in net assets ........... 25
Financial highlights .......................... 26

MMA PRAXIS CORE STOCK FUND

Portfolio managers' letter .................... 29
Performance review ............................ 32
Schedule of portfolio investments ............. 34
Statement of assets and liabilities ........... 37
Statement of operations ....................... 38
Statements of changes in net assets ........... 39
Financial highlights .......................... 40

MMA PRAXIS VALUE INDEX FUND

Portfolio managers' letter .................... 42
Performance review ............................ 44
Schedule of portfolio investments ............. 46
Statement of assets and liabilities ........... 54
Statement of operations ....................... 55
Statements of changes in net assets ........... 56
Financial highlights .......................... 57

MMA PRAXIS INTERNATIONAL FUND

Portfolio manager's letter .................... 60
Performance review ............................ 62
Schedule of portfolio investments ............. 64
Statement of assets and liabilities ........... 70
Statement of operations ....................... 71
Statements of changes in net assets ........... 72
Financial highlights .......................... 73

NOTES TO FINANCIAL STATEMENTS .................... 75
MANAGEMENT OF TRUSTEES ........................... 81

Glossary of Terms

Lehman Brothers Aggregate Bond Index is composed of the Lehman Brothers
Government/Credit Index and the Lehman Brothers Mortgage-Backed Securities Index
and includes treasury issues, agency issues, corporate bond issues and
mortgage-backed securities.

The Morgan Stanley Capital Index-Europe, Australia and the Far East Index
(MSCI-EAFE) is an unmanaged Morgan Stanley Capital International Index that is
designed to measure the performance of the developed stock markets of Europe,
Australia and the Far East.

Standard & Poor's 500 Composite Stock Price Index (the "S&P 500 Index"), is a
widely recognized index of 500 selected common stocks, most of which are
listed on the New York Stock Exchange.

Standard & Poor's 500/Barra Value Index (the "S&P 500/Barra Value Index"), is
constructed by dividing the stocks in the S&P 500 Index into two categories,
growth and value, according to price-to-book ratios.

Gross Domestic Product (the "GDP"), is the measure of the market value of the
goods and services produced by labor and property in the United States.

Price-to-Earnings Ratio (the "P/E Ratio"), is a valuation ratio of a company's
current share price compared to its per-share earnings.

The above indices are unmanaged and do not reflect the deduction of expenses
associated with a mutual fund, such as investment management and fund accounting
fees. An investor cannot invest directly in an index, although they can invest
in the underlying securities.

MESSAGE FROM THE PRESIDENT

MESSAGE FROM THE PRESIDENT
FINANCIAL MARKETS IN REVIEW

Dear MMA Praxis Shareholder:

As the second quarter drew to a close, the market seemed more inclined to go out
with a whimper than with a bang. After the gut-wrenching highs and lows of the
past few years, this year's market has been in something of a holding pattern.
Investors have been holding back ahead of a widely anticipated hike in interest
rates at the end of June, and rising commodity prices have prompted new worries
about inflation. On the plus side, the economic recovery has proved more robust
than originally anticipated, with jobs growth well above previous expectations.
But the real test of a sustainable recovery lies with bottom-line profits, and
investors have been in wait-and-see mode ahead of second-quarter corporate
earnings reports, due out in July. Add in the normal uncertainty of an election
year, plus continued threats of terrorism and political instability in Iraq and
other areas of the world, and you've got a wall of worry that's tough to climb.
With most of the positives offset with negatives, returns on most asset classes
were quite muted. The following chart highlights the returns of several widely
followed indices:

FIRST QUARTER 2004 SECOND QUARTER 2004 YEAR-TO-DATE RETURNS
------------------ ------------------- --------------------

S&P 500 Index(1) 1.69% 1.72% 3.44%
---- ----- ----
Lehman Brothers Aggregate
Bond Index(1) 2.66% -2.44% 0.15%
---- ----- ----
S&P 500/Barra Value Index(1) 3.35% 0.80% 4.17%
---- ----- ----
MSCI EAFE Index(1) 4.34% 0.22% 4.56%
---- ----- ----

With optimism about the economic recovery weighed down with uncertainty,
investors sought refuge in larger-cap stocks - reversing the trend from the
previous several quarters, when smaller-cap stocks pulled well ahead of their
bigger counterparts. Large company stocks generally out-performed their smaller
cousins. Among investing styles, growth stocks generally fared better than value
issues, but size had a bigger impact on performance than style.

SNAPSHOT OVERVIEW OF THE FINANCIAL MARKETS AND THE ECONOMY

MMA's investment managers believe that most asset classes are close to their
fair value ranges. Within these ranges, we believe valuations are somewhat
better than they were earlier in the year when many equity-type asset classes
approached overvalued levels. Since then, prices have declined and fundamentals
have improved. The improvement is perhaps most noticeable with respect to U.S.
stocks. The surge in earnings has contributed to more reasonable price/earn-
ings metrics for many stocks. However, we continue to believe that investors
should expect more subdued returns from stocks over the next five years (with
volatility along the way), with average annual returns in the mid to upper
single digit range.

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(1) Please refer to the Glossary of Terms on page A for additional information
on the referenced benchmark indices.

With each passing month the economy gets stronger and we believe the United
States is in a healthy recovery. Over the last year, real (inflation-adjusted)
Gross Domestic Product(1) (GDP) grew at the fastest rate in 20 years. Though we
believe the level of economic stimulus will decline going forward, and the
economy will not maintain its recent pace, we believe the general economic pic-
ture looks solid for the near future.

Profits have boomed. Because profits suffered an unusually severe crash, the
rebound has been almost as amazing. Cash profit margins are at levels not seen
in decades, and the level of profits as a percentage of GDP, at over 10 percent,
is extremely high. Obviously, this won't last forever. In our opinion, profit
growth will definitely slow, but for the time being profi ts continue to
surprise on the upside even while they slow. Not surprisingly then, inflation is
picking up (more than 3 percent over the past 12 months) and rates have backed
up in the bond market as a result, with the 10-year Treasury yield about one
percentage point above its incredibly low level last summer. The virtual
certainty of the Federal Reserve System raising short-term interest rates (which
has now begun) has contributed to nervousness in the stock market. But it is
important to understand that we believe rates are rising because the economy is
getting stronger, and this is reflected in rising profits.

A FEW COMMENTS ON RISK, EQUILIBRIUM, AND OPPORTUNITY

Most investors normally think of risk in terms of cyclical risks, structural
risks, geopolitical risks, and sometimes, secular factors. These days, however,
the risks most often mentioned are oil prices and their impact on the economy,
China's overheating economy, terrorism, and interest rates. These risks, with
the exception of the terrorism wild card, don't seem worse than we've typically
observed over the years. Financial asset valuations seem consistent with this
observation, reflecting investors' willingness to take some risk, and perhaps
their recognition that this could be a benign cycle with satisfactory returns
supported by only moderate increases in inflation and interest rates.
At the same time there is not a high level of optimism priced into financial
assets, as investors understand that there are risks, including the
hard-to-assess terrorism factor. So things seem to be in equilibrium for now.

Equilibrium may sound like a healthy thing but we believe the real opportunity
for investors is when things are not in equilibrium. MMA's investment process
helps us deal with a complex and uncertain world and helps in our search for
stocks and bonds selling at attractive prices. A disciplined focus on asset
valuations is the key component. In our opinion this allows us to base decisions
on what is "knowable," which really means what can be confidently evaluated.
This analysis is most valuable when financial asset prices are out of balance,
as they were a few years ago when value stocks and high-yield bonds were cheap
and technology and large-cap growth stocks were massively overpriced. These are
the opportunities we look for because we believe the odds for significant,
long-term payoffs are so compelling. Unfortunately, great bargains are not an
every-year occurrence and we are forced to wait patiently for the excesses of
the market to create compelling opportunities.

As previously noted, we believe that portfolio returns could be decent, though
not spectacular, over the coming years compared to average inflation levels. At
some point along the way, some of the risks discussed (or others not discussed)
will turn into reality and there will be temporary losses. It is these
"opportunities" that patient investors wait for. This is why truly long-term
investors should welcome temporary market declines as an opportunity to buy
assets on sale.

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(1) Please refer to the Glossary of Terms on page A for additional information
on the referenced benchmark indices.

PAST PERFORMANCE DOES NOT GUARANTEE FUTURE RESULTS. THE PERFORMANCE DATA QUOTED
REPRESENTS PAST PERFORMANCE AND CURRENT RETURNS MAY BE LOWER OR HIGHER. THE
INVESTMENT RETURN AND PRINCIPAL VALUE WILL FLUCTUATE SO THAT AN INVESTOR'S
SHARES, WHEN REDEEMED MAY BE WORTH MORE OR LESS THAN THE ORIGINAL COST. TO
OBTAIN PERFORMANCE INFORMATION CURRENT TO THE MOST RECENT MONTH END, PLEASE
VISIT MMAPRAXIS.COM.

MUTUAL FUND SCANDAL SHOCK WAVES CONTINUE TO BE FELT

Shock waves from the mutual fund scandal continue to reverberate across the
landscape. Ten months after revelations that some fund companies were striking
deals with favored investors that resulted in cheating long-term shareholders,
virtually every aspect of how mutual funds are run and sold is being scrutinized
or reconsidered. Many of the changes rippling through the mutual fund world are,
of course, being made under orders from regulators or threats of legislation in
Congress. New rules from the Securities and Exchange Commission (SEC) are
forcing enhanced compliance procedures to make sure that funds are following the
rules and that fund boards are both independent and fully engaged in providing
appropriate oversight. As a result, mutual fund directors, even those who have
been doing their job well, are taking a fresh look at their practices.

With this in mind, MMA management felt that shareholders would appreciate
hearing from the independent directors who have been elected by you to provide
fiduciary oversight of the funds that have been entrusted to MMA Praxis Mutual
Funds. Elsewhere in this report, you can hear directly from the Trustees on
matters of compliance, oversight, and stewardship. We hope you find these
interviews helpful and informative.

PORTFOLIO PERFORMANCE

Investment Concerns:

CORE STOCK FUND: Equity securities (stocks) are more volatile and carry more
risk than other forms of investments, including investments in high-grade fixed
income securities. The net asset value per share of this Fund will fluctuate as
the value of the securities in the portfolio changes.Common stocks, and funds
investing in common stocks, generally provide greater return potential when
compared with other types of investments.

INTERMEDIATE INCOME FUND: Bond funds will tend to experience smaller
fluctuations in value than stock funds. However, investors in any bond fund
should anticipate fluctuations in price, especially for longer-term issues and
in environments of rising interest rates.

INTERNATIONAL FUND: International investing involves increased risk and
volatility. Among others, additional risks include fluctuations in currency
exchange rates, differences among various countries in how taxes are computed
and paid, differences in accounting standards which can result in different
valuations for similar companies, and differences in auditing and financial
reporting practices.

VALUE INDEX FUND: Value-based investments are subject to the risk that the broad
market may not recognize their intrinsic value. Equity securities (stocks) are
more volatile and carry more risk than other forms of investments, including
investments in high-grade fixed income securities. The net asset value per share
of this Fund will fluctuate as the value of the securities in the portfolio
changes. Common stocks, and funds investing in common stocks, generally provide
greater return potential when compared with other types of investments.
Securities indexes assume reinvestment of all distributions and interest
payments and do not take in account brokerage fees or expenses. Securities in
the fund do not match those in the indexes and performance of the fund will
differ. It is not possible to invest directly in an index.

- -------
PAST PERFORMANCE DOES NOT GUARANTEE FUTURE RESULTS. THE PERFORMANCE DATA QUOTED
REPRESENTS PAST PERFORMANCE AND CURRENT RETURNS MAY BE LOWER OR HIGHER. THE
INVESTMENT RETURN AND PRINCIPAL VALUE WILL FL UCTUATE SO THAT AN INVESTOR'S
SHARES, WHEN REDEEMED MAY BE WORTH MORE OR LESS THAN THE ORIGINAL COST. TO
OBTAIN PERFORMANCE INFORMATION CURRENT TO THE MOST RECENT MONTH END, PLEASE
VISIT MMAPRAXIS.COM.

MMA PRAXIS CORE STOCK FUND

Year to date through June 30, 2004, the Core Stock Fund A share (NAV) has
returned 3.75 percent*, outperforming its index (Standard & Poor's 500
Index(1)). The performance over the longer term is also noteworthy. Most
importantly, over the past five years, this fund's A share (NAV) has
outperformed the S&P 500 on a net basis, after expenses. Lipper, a widely used
mutual fund research service, designated the Core Stock Fund A share (NAV) as a
Lipper Leader based on its preservation of principal and for Tax Efficiency for
the period ended June 30, 2004.(2)

MMA PRAXIS INTERMEDIATE INCOME FUND

Year to date through June 30, 2004, the Intermediate Income Fund A share (NAV)
delivered performance of 0.02 percent.* Against the Lehman Aggregate Bond
Index(1), it lagged by the slight margin of 15 basis points (0.15%)* on a net
(after expenses) basis. The longer-term returns for this fund (A Share NAV) are
0.11 percent, 5.52 percent, and 6.09 percent for the trailing one, five and ten
years respectively.*

MMA PRAXIS INTERNATIONAL FUND

This fund had two outstanding years in 1998 and 1999. However, from 2000
forward, the fund has performed at unacceptable levels. At the end of 2003,
shareholders approved a recommendation from management and the trustees to
replace the subadvisor who had managed the fund since inception. After an
extensive search, led by Morningstar's institutional consulting division, we
selected Evergreen Investment Management Co. to assume management
responsibilities for this fund. Evergreen's international investment management
team has been in place for nearly 13 years, and over this time period has
developed an enviable track record of delivering superior risk-adjusted returns.

Unfortunately, performance during the first six months of their stewardship has
not been good. Year to date through June 30, 2004, the fund's A share (NAV) has
generated a return of 0.64 percent, lagging its benchmark by nearly 4 percent.*
Although we are obviously disappointed in the performance of Evergreen for their
very short-term performance, we remain confident of their proven ability that
should deliver competitive, risk-adjusted long-term returns for MMA Praxis
International Fund shareholders.

- ----------
* Returns shown are at Net Asset Value (NAV) and do not reflect the maximum
front-end sales charge or applicable deferred sales charge. Please refer
to each fund's individual performance overview section for more complete
performance history.

(1) Please refer to the Glossary of Terms on page A for additional information
on the referenced benchmark indices.

(2) Lipper ratings for Preservation reflect funds' historical loss avoidance
relative to other funds within the same asset class, as of 6/30/04.
Preservation ratings are relative, rather than absolute, measures, and
funds named Lipper Leaders for Preservation may still experience losses
periodically; those losses may be larger for equity and mixed equity funds
than for fixed income funds.

Lipper ratings for Tax Efficiency reflect funds' historical success in
postponing taxable distributions relative to peers as of 6/30/04. Tax
Efficiency offers no benefit to investors in tax-sheltered accounts such
as 401(k) plans.

The Lipper ratings are subject to change every month and are based on an
equal-weighted average of percentile ranks for the Preservation and Tax
Efficiency metrics over three-, five-, and ten-year periods (if
applicable). The highest 20% of funds in each peer group are named Lipper
Leaders, the next 20% receive a score of 2, the middle 20% are scored 3,
the next 20% are scored 4, and the lowest 20% are scored 5. MMA Praxis
Core Stock Fund was rated among 7,326 Large Cap Core funds for
Preservation, and 799 Large Cap Core funds for Tax Efficiency. Lipper
ratings are not intended to predict future results, and Lipper does not
guarantee the accuracy of this information. The Lipper rankings are based
on total return and do not reflect a sales charge. More information is
available at www.lipperleaders.com. Lipper Leader Copyright 2002, Reuters,
All Rights Reserved.

MMA PRAXIS VALUE INDEX FUND

The other domestic equity fund in the MMA Praxis family of mutual funds is the
MMA Praxis Value Index Fund. For the first six months of 2004, the fund (A Share
NAV) posted a return of 2.41 percent*, which lagged both the Barra Value
Index.(1) For a more detailed description of those factors that contributed to
the fund's underperformance, please read the portfolio managers' commentary
found later in this report.

CONCLUSION

At MMA, we continue to espouse the firm conviction that socially conscious
investing, and the alignment of faith, values, and financial decisions can, and
does, make a difference. This difference is manifested in a double bottom-line
benefit. First, ongoing and proactive investing in companies, which the
investor deems to be engaged in socially desirable activities or practices, can
provide for competitive investment returns. Numerous academic research studies
clearly reinforce this contention (see www.sristudies.org). Secondly, individual
and institutional investors are increasingly exploiting the opportunity to drive
their core values and missions through shareholder engagement by entering into
meaningful dialogue with company management. At MMA, we have focused our
initiatives in those areas where we feel we can make a material difference in
the lives of those who are marginalized and powerless. For an update on our work
in this area, please be sure to read Mark Regier's Stewardship Investing Update
in this report.

Thank you for the opportunity to partner with you in helping you meet your
financial goals. We will continue to work hard to help you realize a "double
bottom-line" return on the funds you have entrusted to us.

Sincerely,

/s/ John L. Liechty
- ----------------------
John L. Liechty
President, MMA Praxis Mutual Funds

- -------
* Returns shown are at Net Asset Value (NAV) and do not reflect the maximum
front-end sales charge or applicable deferred sales charge. Please refer
to each fund's individual performance overview section for more complete
performance history.

(1) Please refer to the Glossary of Terms on page A for additional information
on the referenced benchmark indices.

PAST PERFORMANCE DOES NOT GUARANTEE FUTURE RESULTS. THE PERFORMANCE DATA QUOTED
REPRESENTS PAST PERFORMANCE AND CURRENT RETURNS MAY BE LOWER OR HIGHER. THE
INVESTMENT RETURN AND PRINCIPAL VALUE WILL FL UCTUATE SO THAT AN INVESTOR'S
SHARES, WHEN REDEEMED MAY BE WORTH MORE OR LESS THAN THE ORIGINAL COST. TO
OBTAIN PERFORMANCE INFORMATION CURRENT TO THE MOST RECENT MONTH END, PLEASE
VISIT MMAPRAXIS.COM.

MMA PRAXIS TRUSTEE Q&A

MMA management felt that shareholders would appreciate hearing from the
independent directors who have been elected by you to provide fiduciary
oversight of the funds that have been entrusted to MMA Praxis Mutual Funds. We
posed the following questions to our independent trustees:

[PHOTO OF KAREN HARDER] [PHOTO OF RICHARD REIMER] [PHOTO OF CLAIR SAUDER]
[PHOTO OF DONALD E. SHOWALTER] [PHOTO OF AL YODER]

Q: WHAT'S THE MOST IMPORTANT QUALITY FOR A MUTUAL FUND TRUSTEE?

An independent mutual fund trustee must have the qualities of integrity and
optimism about the work he/she does in playing a small, but important, part in
maintaining the integrity of the American financial system. The trustees must
be mindful that the sponsor needs to be motivated to good performance and remain
financially healthy and vibrant in order to meet the ever-changing economic and
regulatory environment in which it operates - Donald E. Showalter

An understanding of the mutual fund industry and business environment within
which it functions; a strong belief in the "rightness" of socially responsible
investing from the perspective of a Christian/Anabaptist based system of values.
- - Karen Harder

In addition to the expected qualities of a mutual fund trustee, an MMA Praxis
trustee should have an understanding and appreciation for the core values and
mission of MMA. - Clair Sauder

Certainly a basic knowledge of financial markets is essential and beyond that,
taking time to keep abreast of what is happening in the financial field as
well as current economic conditions. Perhaps even more important is the ability
to listen and make sound judgements about various issues faced by mutual funds.
- - Richard Reimer

Q: HOW HAVE THE MUTUAL FUND SCANDALS IMPACTED YOUR ROLE AS A TRUSTEE OF THE MMA
PRAXIS MUTUAL FUNDS?

As a trustee, I have the responsibility to represent shareholder interests, in
terms of the return they receive on their investments. I also represent the
interests of MMA Praxis Mutual Funds investors in the essential relationships
between fund management, service providers, and the mutual fund regulatory
agencies. - Karen Harder

The many new regulations imposed on the work of trustees as a result of the
numerous scandals have given increased responsibility to independent trustees as
they work on audit committees, nominating committees, etc. These new regulations
require an increase in time and commitment on the part of a trustee. - Clair
Sauder

The recent scandals have certainly reminded us all that trustees are responsible
for the conduct and performance of the funds. Therefore, I try to keep up with
the legal changes affecting mutual funds and to make certain that the funds are
in compliance as well as to continue to carefully monitor performance. - Richard
Reimer

Q: HOW DO YOU EVALUATE THE PERFORMANCE OF THE INVESTMENT MANAGERS WHO MANAGE
SHAREHOLDER FUNDS?

As a trustee, I evaluate the performance of the investment managers in two basic
areas:

1. The economic performance of each fund as measured by the
benchmarks to which each fund's performance is compared.

2. The evaluation of how the fund managers adhere to the various
risks to investors as disclosed in the fund's prospectus. -
Donald E. Showalter

Return on investment compared to the industry and the benchmark. Also, complying
with the stated MMA Praxis mission statement. - Al Yoder

Q: THE MUTUAL FUND INDUSTRY IS UNDERGOING RAPID CHANGE. HOW DO YOU STAY ABREAST
OF THESE CHANGES?

The trustee must read and be prepared to do independent research. Each trustee
spends considerable time with industry publications, Wall Street Journal and
independent fund publications such as Morningstar reports. - Donald E. Showalter

I try to do as much reading as possible: this includes materials distributed by
MMA, BISYS, and our legal counsel. In addition, I try to keep up by reading
daily newspapers and financial periodicals. - Richard Reimer

Q: IN A NUTSHELL, WHAT IS THE MOST IMPORTANT RESPONSIBILITY CARRIED BY AN MMA
PRAXIS TRUSTEE?

The trustee's most important duty is to protect the interests of the
shareholder, which are primarily to make their money grow and/or to preserve
their capital in funds they have selected to meet these needs in a framework of
socially conscious faith-based investing. - Donald E. Showalter

I believe my most important responsibility is to represent the interests of each
MMA Praxis shareholder by assuring that the funds' activities are conducted
within the stewardship investing guidelines and that our investment objectives
are met. - Clair Sauder

To make certain, to the extent possible, that the funds are following all of the
relevant legal provisions and to evaluate the performance of the fund managers.
- - Richard Reimer

Q: WHAT MAKES MMA PRAXIS DIFFERENT FROM ALL OTHER MUTUAL FUNDS AVAILABLE TO
INVESTORS?

We have a faith-driven values philosophy. - Al Yoder

MMA Praxis provides an opportunity for people who want their faith and values to
be reflected in the way their investment assets are managed. MMA Praxis
shareholders also know that, where appropriate, we challenge companies whose
operations do not meet our stewardship investing philosophy. - Clair Sauder

MMA PRAXIS STEWARDSHIP INVESTING UPDATE

2004: A RECORD YEAR FOR SHAREHOLDER ADVOCACY

While the five-month proxy season is barely over, statistics released by the
Investor Responsibility Research Center (IRRC) indicate that a record 1,147
proposals have already been filed in 2004. This is up dramatically from 802
filed in 2002 - the year's widespread corporate scandals lit a fire under many
concerned investors. And not only are resolutions being filed, they are
receiving new levels of support - 161 received majority support (mostly issues
related to corporate governance) in 2003, a record that could be broken in 2004.

All of this activity is having real-world impact. According to Institutional
Shareholder Services (ISS), the nation's leading provider of independent proxy
voting analysis and services, 70 companies took action in 2004 to implement
majority votes on previous shareholder resolutions. More than 40 companies took
action on poison pills, while 50 moved to annual elections of directors. New
stock market listing standards (promoted by shareholder advocates) have inspired
greater director independence, strengthened board structures, and given
shareholders more say on equity plans and repricings. A proposal, not yet
adopted by the Securities and Exchange Commission (SEC), may even provide
qualified investors access to the proxy ballot to nominate directors in certain
circumstances. In addition, a new position of "corporate governance officer" is
being seen at an increasing number of corporations and institutions.

The election of an independent chairman (separate from the CEO) received new
levels of attention, particularly in the wake of the stunning "vote-no" campaign
targeting Disney CEO Michael Eisner. Executive compensation, along with board
independence, were the top resolutions in 2004, targeting pay for performance,
severance packages and stock options expensing. Many companies have engaged in a
"radical rethinking" of executive compensation strategies, but according to ISS
"examples of egregious pay still stand out" and remain a key component of the
unfinished corporate reform agenda.

Finally, ISS notes that socially responsible investor advocates (like MMA)
"continued to negotiate [their] way closer to the mainstream, thanks in part to
language that made the business case for SRI." Socially responsible investors
reached agreements with companies on issues such as reduced greenhouse
emissions, creation of environmental affairs offices, disclosure of global
warming and environmental risks, and adoption of substantial human rights
policies. MMA, rooted in our faith-based commitment to stewardship investing, is
proud to be an advocate for "business case" arguments for corporate change. We
have worked on a wide-range of issues with partner institutions through the
Interfaith Center on Corporate Responsibility and the Social Investment Forum to
leverage our voice to many different corporations.

SECOND QUARTER VOTES HIGHLIGHT IMPORTANCE OF PROXY VOTING

The proxy votes cast by MMA, on behalf of its shareholders, at corporate
meetings across the United States and around the world indicate the importance
of exercising this power in support of our stewardship investing values. In
meetings held from April through June (the bulk of the annual proxy-voting
season), MMA cast votes against the recommendations of management 378 times and
supported 169 shareholder-filed resolutions. The votes were cast based on
careful research and evaluation of each resolution and in accordance with MMA's
proxy voting guidelines (available on the MMA Praxis Web site). We view proxy
voting as a critical element of our rights and responsibilities as shareholders
in hundreds of corporations and stewards of God's resources.

MMA MEETS SECURITIES AND EXCHANGE COMMISSION VOTE DISCLOSURE REQUIREMENTS

Last year, the SEC adopted regulations requiring all mutual funds to disclose
and report their proxy voting records and guidelines. MMA Praxis Mutual Funds
supported this move and has been proudly disclosing our proxy voting record -
live - via the MMA Praxis Web site for over four years. MMA is on track to
submit its first required proxy voting report to the SEC (known as "Form NPX")
well ahead of the August 31 deadline. We encourage all investors to review the
proxy voting records (and guidelines) of the mutual funds in which they invest -
either on the mutual fund's Web site, by calling 800-527-3713 or by visiting the
SEC's Web site, www.sec.gov. These records speak loudly to whose interests are
being supported through the power of the proxy and whether your social
convictions are being adequately represented.

UPDATE ON MMA CORPORATE ENGAGEMENTS

This wave of advocacy has lead to new corporate approaches to dealing with
shareholders. ISS claims in its Preliminary 2004 Post Season Report, "To an
impressive degree, constructive dialogue between shareholders and corporations
replaced confrontation . . . and to the mutual benefit of both corporations and
institutional investors." A record number of shareholder resolutions were
actually withdrawn in the 2004 season - indicating a negotiated settlement on
issues of concern or corporate commitments to a meaningful dialogues on the
topic. MMA was privileged to be involved in a number of significant corporate
engagements this proxy season.

PROCTER & GAMBLE: FAIR TRADE PROMISES BECOME IN-STORE REALITY. In 2003,
concerned shareholders won an agreement from P&G to launch the first Fair Trade
Certified coffee product by any of the three largest U.S. coffee roasters,
making the company one of the world's largest purchasers of fair trade coffee.
An online retail launch for Millstone Mountain Moonlight Fair Trade Certified
Coffee took place last fall, with great success. The product topped, by a
significant margin, several other new coffee lines launched simultaneously.
Currently, final product planning and marketing work is being completed for an
in-store retail launch of its Fair Trade Certified coffee product this fall.

PEPSICO: CONTINUED DIALOGUE AND SECOND-YEAR VOTE INSPIRE AGREEMENT ON HIV/AIDS
REPORTING. Following a second year of dialogue and negotiation without signifi-
cant breakthrough, MMA took a shareholder resolution seeking a report on the
business risks of HIV/AIDS to Pepsi's current and future operations and markets,
to the 2004 PepsiCo annual shareholder meeting for vote. While the resolution
garnered the votes required to return for a third year, PepsiCo CEO, Steve
Reinemund, announced to the gathered shareholders that the company was committed
to addressing HIV/AIDS from a social and business perspective and would work
with shareholders to do so. A follow-up meeting with PepsiCo executives has been
scheduled for August.

FORD: SHAREHOLDER INVOLVEMENT AND MEETING WITH INDEPENDENT DIRECTOR HIGHLIGHT
COMPANY COMMITMENT ON HIV/AIDS. MMA has worked with other investors from the
Interfaith Center on Corporate Responsibility (ICCR) to move Ford Motor Company
- - a major employer and distributor in South Africa, India, and China - to more
inclusive and aggressive assessment of risks and response opportunities
surrounding HIV/AIDS. The company is working on an in-depth analysis of the
operational and market risks being faced and has included shareholder's
independent commentary on the importance of the HIV/AIDS pandemic in its latest
corporate social responsibility report. A meeting with Edsel Ford, lead director
for this issue on the Ford Motor board of directors, and other key executives
will take place at Ford headquarters later this summer.

PROCTER & GAMBLE: COMPANY COMMITS TO ANALYZING AND DISCLOSING HIV/AIDS IMPACT.
MMA and other religious investors made a first approach to this consumer
staples giant, seeking more information and involvement on the topic of HIV/AIDS
and its impact in key P&G markets in Africa, Asia and Eastern Europe. The
company was eager to talk and, prior to the closing of the proxy ballot, a
withdrawal agreement was reached that would include shareholder involvement in
the creation of a new HIV/AIDS section of the company's 2004 sustainability
report. The company also agreed to announce P&G's commitments in this area at
the upcoming shareholder meeting.

SARA LEE: SHAREHOLDERS SEEK TO BUILD ON FAIR TRADE SUCCESS AT P&G. Hoping to use
the retail success of P&G's launch of Fair Trade Certified coffee as
inspiration, MMA and nine other institutional investors have recently approached
Sara Lee. Shareholders seek to energize and expand Sara Lee's current - but
minor - fair trade coffee purchases through dialogue and engagement. We are
currently awaiting a response from the company.

WORLD BANK GROUP: MULTIPLE CONVERSATIONS OPEN NEW DOORS FOR CORPORATE IMPACT.
While institutional investors cannot buy shares directly in World Bank
institutions, this multi-lateral financial behemoth is a critical player in
some of the world's largest and most socially and environmentally sensitive
development projects. Many of these projects involve companies - as financiers
or corporate partners - held in institutional portfolios. Over the past decade,
the World Bank has emerged as an important - if often unofficial - standard
setting organization, and one that has proven eager to engage the social
investment community. Through the International SRI Working Group, currently
chaired by MMA, we have had a number of opportunities to interact with key World
Bank Group staff on topics of social and environmental standards, project
financing policy, the business impact of AIDS and the Bank's leadership role
with the global finance community.

In particular, shareholders have worked to support the launch of the EQUATOR
PRINCIPLES, which commit signatories (such as Citigroup, Barclays, and Dresdner
Bank), to maintaining World Bank social and environmental standards for
financing of major business and infrastructure projects around the world. Today,
80 percent of global project financing is provided by Equator-signatory
institutions. In addition, the recent launch of the Bank's EXTRACTIVE INDUSTRIES
REVIEW - and the social investment community's support of many of its key
provisions - has inspired requests for dialogue from the Bank and several
extractive industry corporations. These conversations have covered the current
ineffectiveness of nature resource exploitation in alleviating poverty and
contributing to development, the potentially beneficial role of the World Bank
Group in extractive projects, and possible alternatives for resources currently
targeting the extractive sector. In all, the conversations have been
enlightening and have opened new doors for shareholders to influence many of the
corporations and industries in which we invest.

MMA PRAXIS CELEBRATES BY OPENING DOORS OF OPPORTUNITY FOR OTHERS

As part of the 10(th) Anniversary Celebration of MMA Praxis Mutual Funds, MMA
Praxis has agreed to match contributions (at a 50 percent level, up to $10,000)
made to the Deka Fund through Dec. 31, 2004. And you're invited to participate!

The Deka Fund is a specially restricted fund established by MMA Community
Development Investments to help leverage additional investments in MMA CDI that
support economic opportunities for disadvantaged individuals and communities.
For each dollar donated to the Deka Fund, MMA CDI can receive and place $10 or
more with respected community development organizations around the world. We
invite all MMA Praxis shareholders to join us in this endeavor. Visit the
Community Development Investing section of the MMA Praxis Web site
(www.mmapraxis.com) for more information.

Mark A. Regier
Stewardship Investing Services Manager

- ---------------
Some of the companies in bold print may be investments within one or more of the
MMA Praxis Mutual Funds. Please check the fund's Schedule of Portfolio
Investments for a complete list of holdings as of 6/30/04.

MMA PRAXIS INTERMEDIATE INCOME FUND

MMA PRAXIS INTERMEDIATE INCOME FUND
SEMI-ANNUAL REPORT TO SHAREHOLDERS
PORTFOLIO MANAGERS' LETTER

INVESTMENT CONCERNS:

Bond funds will tend to experience smaller fluctuations in value than stock
funds. However, investors in any bond fund should anticipate fluctuations in
price, especially for longer-term issues and in environments of rising interest
rates.

During the first quarter of 2004, there was a great deal of concern about the
lack of job growth despite solid economic growth. Fixed income markets were
dominated by interest rate volatility based on monthly analysis of various
economic metrics. In particular, employment growth was the main metric during
the first half of 2004. Interest rates dropped during the first quarter, based
on very weak employment growth.

The second quarter began with a surprisingly strong employment report that, upon
release, caused interest rates to rise immediately. Prior to the April 2 release
of employment information, many market participants openly wondered when hiring
would pick up. The March data, released in early April, quickly eliminated the
naysayers and each subsequent jobs report throughout the quarter provided
further evidence of a cyclical upturn in hiring.

Evidence of solid economic footing and a mild uptick in inflation sent interest
rates higher. The yield for the 10-year Treasury began the second quarter at
3.84 percent and ended the quarter at 4.60 percent. This 76 basis point (0.76%)
rise in the 10-year accurately predicted the beginning of a more restrictive
Federal Reserve monetary policy.

Stimulative monetary policy is normally warranted in a depressed or slow growth
environment. We believe the economy is neither depressed nor growing slowly. The
economy is clipping along at a healthy 4 percent or so rate of growth. At the
June meeting, which coincided with quarter end, the Federal Funds rate of 1
percent was increased to 1.25 percent. We believe this is a moderate step toward
a less stimulative monetary policy. A step not intended to shock the system, but
a very loud warning shot across the bow that more rate hikes are coming.

In our view this marks the beginning of a phase of monetary policy that appears
to be moving from highly stimulative toward neutral. In the statement that
accompanied the 25 basis point (0.25%) rate hike the Fed provided further
information on its current policy: "... the Committee believes that policy
accommodation can be removed at a pace that is likely to be measured.
Nonetheless, the Committee will respond to changes in economic prospects as
needed to fulfill its obligation to maintain price stability." In other words,
the Fed believes current inflation and growth data is not cause for concern
but, if inflation should pick-up substantially, then the "measured" pace of
perhaps 25 basis points (0.25%) per meeting could be increased to perhaps 50
basis points (0.50%) at a subsequent meeting.

This Fed tightening cycle is arguably the most transparent monetary policy shift
on record. Despite Alan Greenspan's often-cited knack for ambiguity, the Fed
telegraphed quite clearly to the financial markets its intentions. On the day
in which the Fed increased the Fed Funds rate, longer-term interest rates
actually decreased moderately. We believe this indicates the capital markets had
adequately anticipated and "priced-in" the beginning of the Fed tightening
cycle.

The intermediate bond fund lost ground in the first quarter and then gained
considerable ground during the second quarter by minimizing its exposure to
rising interest rates. The outperformance during the second quarter was largely
a result of the portfolio maintaining a duration (or interest rate sensitivity)
of approximately 10 percent less than its benchmark, the Lehman Aggregate Bond
Index.(1) As rising rates hurt bond returns, they hurt the portfolio less than
the index or peer group comparisons. In addition, credit selection and below
investment grade credit exposure continued to provide positive excess returns.

OUTLOOK

We believe the economy appears to be strong. Corporations are experiencing
record profitability and have strong cashflow to show for it. Strong cash flow
and modest financial leverage engender very low defaults and, therefore,
stable to narrowing credit spreads for the remainder of the year.

We believe the Fed will continue to raise the Fed Funds rate during the second
half of the year. While the 10-year has already made quite a big move in the
second quarter, we believe further pressure on the 10-year should result in
higher yields.

Delmar King
MMA Praxis Intermediate Income Fund Co-Manager

Robert W. Nelson, CFA
MMA Praxis Intermediate Income Fund Co-Manager

- ----------------
(1)Please refer to the Glossary of Terms on page A for additional information on
the referenced benchmark indices.

PERFORMANCE REVIEW

MMA PRAXIS INTERMEDIATE INCOME FUND

PERFORMANCE REVIEW

AVERAGE ANNUAL TOTAL RETURNS AS OF 6/30/04

[BAR GRAPH]

INCEPTION
DATE 1 YEAR 3 YEAR 5 YEAR 10 YEAR
--------- ------ ------ ------ -------

Class A 5/12/99 0.11% 5.21% 5.52% 6.09%
Class A* 5/12/99 -3.67% 3.87% 4.72% 5.69%
Class B 1/4/94 -0.45% 4.77% 5.02% 5.73%
Class B** 1/4/94 -4.27% 4.16% 4.85% 5.73%

*Reflects maximum front-end sales charge of 3.75%.

**Reflects applicable contingent deferred sales charge of 4.00%.

Class A Share of this fund were not in existence prior to 5/12/99. Class A Share
performance calculated for any period prior to 5/12/99 is based on the
performance of Class B Share since inception 1/4/94.

The total return set forth reflects certain expenses that were voluntarily
reduced, reimbursed or paid by third party. In such instances, and without this
activity, total return would have been lower.

PAST PERFORMANCE DOES NOT GUARANTEE FUTURE RESULTS. THE PERFORMANCE DATA QUOTED
REPRESENTS PAST PERFORMANCE AND CURRENT RETURNS MAY BE LOWER OR HIGHER. THE
INVESTMENT RETURN AND PRINCIPAL VALUE WILL FLUCTUATE SO THAT AN INVESTOR'S
SHARES, WHEN REDEEMED MAY BE WORTH MORE OR LESS THAN THE ORIGINAL COST. THESE
PERFORMANCE FIGURES DO NOT REFLECT THE DEDUCTION OF TAXES THAT A SHAREHOLDER
WOULD PAY ON FUND DISTRIBUTIONS OR THE REDEMPTION OF FUND SHARES. TO OBTAIN
PERFORMANCE INFORMATION CURRENT TO THE MOST RECENT MONTH END, PLEASE VISIT
MMAPRAXIS.COM.

GROWTH OF $10,000 INVESTMENT 6/30/94 TO 6/30/04

[LINE GRAPH]

MMA Praxis Intermediate Income Fund

Lipper Intermediate
Lehman Brothers Investment Grade Bond
Class A* Class B** Aggregate Bond Index(1) Funds Average(2)

6/94 9629 10000 10000 10000
9663 10035 10099 10057
6/95 10762 11177 11255 11141
11351 11789 11965 11824
6/96 11115 11543 11819 11649
11603 12050 12399 12218
6/97 11856 12313 12783 12571
12486 12967 13596 13300
6/98 12924 13421 14130 13799
13397 13912 14777 14332
6/99 13294 13666 14575 14080
13363 13648 14656 14122
6/00 13663 13944 15240 14554
14437 14697 16360 15532
6/01 14934 15177 16951 16070
15387 15609 17741 16726
6/02 15825 16026 18414 17159
16775 16958 19560 18120
6/03 17376 17532 20329 18923
17391 17490 20363 18972
6/04 17394 17454 20394 18966

This chart represents historical performance of a hypothetical investment of
$10,000 in the Intermediate Income Fund from 6/30/94 to 6/30/03, and represents
the reinvestment of dividends and capital gains in the fund.

PAST PERFORMANCE DOES NOT GUARANTEE FUTURE RESULTS. THE PERFORMANCE DATA QUOTED
REPRESENTS PAST PERFORMANCE AND CURRENT RETURNS MAY BE LOWER OR HIGHER. THE
INVESTMENT RETURN AND PRINCIPAL VALUE WILL FLUCTUATE SO THAT AN INVESTOR'S
SHARES, WHEN REDEEMED MAY BE WORTH MORE OR LESS THAN THE ORIGINAL COST. THESE
PERFORMANCE FIGURES DO NOT REFLECT THE DEDUCTION OF TAXES THAT A SHAREHOLDER
WOULD PAY ON FUND DISTRIBUTIONS OR THE REDEMPTION OF FUND SHARES. TO OBTAIN
PERFORMANCE INFORMATION CURRENT TO THE MOST RECENT MONTH END, PLEASE VISIT
MMAPRAXIS.COM.

* Reflects maximum front-end sales charge of 3.75%.

** Reflects applicable contingent deferred sales charge of 4.00%.

(1) The Lehman Brothers Aggregate Bond Index is an unmanaged index composed of
the Lehman Brothers Government/ Credit Index and the Lehman Brothers
Mortgage-Backed Securities Index and includes treasury issues, agency
issues, corporate bond issues and mortgage-backed securities, and is
intended to be generally representative of the bond market as a whole.

(2) The Lipper Intermediate Investment Grade Bond Fund Average includes funds
that invest at least 65 percent of assets in investment grade debt issues
(rated in top four grades) with dollar-weighted average maturities of five
to 10 years.

The above indicies are for illustrative purposes only and the Lehman Brothers
Aggregate Bond Index does not reflect the deduction of expenses associated with
a mutual fund, such as investment management and fund accounting fees. However,
the Lipper Intermediate Investment Grade Bond Funds Average does reflect the
expenses associated with the mutual funds found in the Lipper category. The
fund's performance reflects the deduction of these value-added services. An
investor cannot invest directly in an index, although they can invest in its
underlying securities.

SCHEDULE OF PORTFOLIO INVESTMENTSs

MMA PRAXIS INTERMEDIATE INCOME FUND
SCHEDULE OF PORTFOLIO INVESTMENTS
JUNE 30, 2004
(UNAUDITED)

PRINCIPAL
AMOUNT VALUE
---------- ----------

COLLATERALIZED MORTGAGE OBLIGATIONS (0.2%)
Fannie Mae, Series 1997-M4, Class C, 7.44%, 8/17/18, ACES+............. $ 166,658 $ 173,301
----------
TOTAL COLLATERALIZED MORTGAGE OBLIGATIONS....................................... 173,301
----------
CORPORATE BONDS (35.4%)
AGRICULTURAL SERVICES (0.3%)
Cargill, Inc., 7.50%, 9/1/26........................................... 250,000 278,438
----------
ASSET BACKED SECURITIES(1.8%)
American Express Master Trust, Series 1994-3, Class A, 7.85%, 8/15/05.. 250,000 253,299
Discover Card Master Trust, 6.85%, 7/17/07............................. 500,000 512,840
Fleet Credit Card Master Trust II, Class A, 5.60%, 12/15/08............ 250,000 261,462
MBNA Credit Card Master Note Trust, Series 2003-A1, 3.30%, 7/15/10..... 300,000 294,308
Regions Auto Receivables Trust, 2.63%, 1/16/07......................... 246,310 247,175
----------
1,569,084
----------

AUTOMOTIVE(0.4%)
Lear Corp., Series B, 8.11%, 5/15/09................................... 300,000 341,714
----------
BROADCASTING/CABLE (0.8%)
Clear Channel Communications, 4.63%, 1/15/08 (a)....................... 150,000 151,582
Comcast Corp., 5.85%, 1/15/10.......................................... 300,000 313,040
Cox Enterprises, Inc., 8.00%, 2/15/07 (b).............................. 250,000 275,523
----------
740,145
----------
BROKERAGE SERVICES (1.7%)
Goldman Sachs Group, 6.65%, 5/15/09.................................... 500,000 544,377
Legg Mason, Inc., 6.75%, 7/2/08........................................ 350,000 379,520
Lehman Brothers Holdings, 7.00%, 2/1/08................................ 300,000 328,765
Morgan Stanley, 5.30%, 3/1/13 (a)...................................... 300,000 295,213
----------
1,547,875
----------
BUSINESS SERVICES (0.3%)
Equifax, Inc., 6.90%, 7/1/28........................................... 300,000 302,625
----------
CAPITAL GOODS (0.4%)
Cummins Engine Co., Inc., 6.45%, 3/1/05................................ 350,000 356,563
----------
COMMERCIAL BANKS (1.2%)
Bank of America Corp., 7.75%, 8/15/15.................................. 400,000 463,679
Corporation Andina de Fomento California, 5.20%, 5/21/13............... 300,000 288,493
State Street Corp., 7.35%, 6/15/26..................................... 300,000 346,451
----------
1,098,623
----------
COMMERCIAL BANKS--SOUTHERN U.S. (0.7%)
Bank One Texas, 6.25%, 2/15/08......................................... 600,000 643,500
----------
COMPUTER SERVICES (0.3%)
Unisys Corp., 8.13%, 6/1/06............................................ 250,000 265,625
----------
CONSTRUCTION (0.8%)
D.R. Horton, Inc., 8.50%, 4/15/12...................................... 200,000 221,000
KB Home, 8.63%, 12/15/08............................................... 200,000 215,000
Lafarge North America, 6.38%, 7/15/05.................................. 300,000 310,125
----------
746,125
----------
CONSUMER GOODS & SERVICES (0.6%)
VF Corp., 8.10%, 10/1/05............................................... 500,000 531,875
----------
DATA PROCESSING & REPRODUCTION (0.3%)
First Data Corp., 5.80%, 12/15/08...................................... 250,000 266,875
----------

MMA PRAXIS INTERMEDIATE INCOME FUND
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED
JUNE 30, 2004
(UNAUDITED)

PRINCIPAL
AMOUNT VALUE
---------- ----------

CORPORATE BONDS, CONTINUED
ELECTRIC - INTEGRATED (1.4%)
Alabama Power Co., Series V, 5.60%, 3/15/33............................ $ 300,000 $ 279,996
Kansas Gas & Electric, 6.50%, 8/1/05................................... 100,000 103,536
Ohio Power Co., 7.00%, 7/1/04.......................................... 200,000 200,000
Pacific Gas & Electric, 6.05%, 3/1/34.................................. 350,000 329,194
Pepco Holdings, Inc., 3.75%, 2/15/06................................... 300,000 301,444
----------
1,214,170
----------
ELECTRIC SERVICES (0.3%)
AEP Texas North Co., Series B, 5.50%, 3/1/13........................... 300,000 299,221
----------
ELECTRONIC COMPONENTS - SEMICONDUCTORS (0.3%)
Applied Materials, Inc., 7.13%, 10/15/17............................... 250,000 278,438
----------
ENTERTAINMENT (0.4%)
Harman International Ind., 7.32%, 07/1/07.............................. 300,000 327,000
----------
FINANCE - AUTO LOANS (0.4%)
Ford Motor Credit Co., 7.25%, 10/25/11 (a)............................. 350,000 365,502
----------
FINANCIAL SERVICES (2.8%)
Citifinancial, 6.13%, 12/1/05.......................................... 350,000 366,780
Equitable Life, 6.95%, 12/1/05......................................... 350,000 370,203
General Electric Capital Corp., 6.88%, 11/15/10........................ 300,000 334,252
General Electric Capital Corp., 6.75%, 3/15/32......................... 250,000 268,754
General Motors Acceptance Corp., 6.13%, 2/1/07 (a)..................... 450,000 469,688
SLM Corp., 4.00%, 1/15/09.............................................. 300,000 294,659
Wells Fargo Co., 5.13%, 9/1/12......................................... 400,000 397,773
----------
2,502,109
----------
FIRE, MARINE, AND CASUALTY INSURANCE (0.3%)
Berkley Corp., 5.13%, 9/30/10.......................................... 300,000 299,459
----------
FOOD PROCESSING (1.0%)
Dean Foods Co., 8.15%, 8/1/07.......................................... 300,000 323,250
General Mills, Inc., 5.13%, 2/15/07.................................... 250,000 259,688
Hormel Foods Corp., 6.63%, 6/1/11...................................... 300,000 333,750
----------
916,688
----------
GENERAL MEDICAL & SURGICAL HOSPITALS (0.4%)
Healthcare (Hca), Inc., 6.95%, 5/1/12.................................. 350,000 365,164
----------
GOVERNMENTS (FOREIGN) (0.4%)
CANADA (0.4%)
Province of Ontario, 5.70%, 12/1/08.................................... 500,000 391,945
----------
HOME DECORATION PRODUCTS (0.6%)
Leggett & Platt, Inc., 7.65%, 2/15/05.................................. 500,000 514,494
----------
INDUSTRIAL GASES (0.3%)
Praxair, Inc., 6.85%, 6/15/05.......................................... 300,000 311,065
----------
INDUSTRIAL GOODS & SERVICES (0.4%)
Masco Corp., 7.75%, 8/1/29............................................. 300,000 347,625
----------
INSURANCE (2.9%)
Allstate Corp., 7.50%, 6/15/13......................................... 350,000 403,393
Chubb Corp., 6.60%, 8/15/18............................................ 350,000 372,912
Lincoln National Corp., 9.13%, 10/1/24................................. 300,000 317,266
Old Republic International Corp., 7.00%, 6/15/07....................... 350,000 382,572

MMA PRAXIS INTERMEDIATE INCOME FUND
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED
JUNE 30, 2004
(UNAUDITED)

PRINCIPAL
AMOUNT VALUE
---------- ----------

CORPORATE BONDS, CONTINUED
INSURANCE, continued
Phoenix Home Life Mutual, 6.95%, 12/1/06 (b)........................... $ 300,000 $ 317,363
Principal Life Global, 6.25%, 2/15/12 (b).............................. 250,000 267,011
Protective Life Corp., 7.95%, 7/1/04................................... 500,000 499,999
----------
2,560,516
----------
INTERNAL COMBUSTION ENGINES, N.E.C. (0.5%)
Briggs & Stratton Corp., 8.88%, 3/15/11................................ 350,000 408,625
----------
MACHINERY - GENERAL INDUSTRIAL (0.4%)
Dover Corp., 6.45%, 11/15/05........................................... 350,000 367,052
----------
MEDICAL EQUIPMENT & SUPPLIES (0.4%)
Beckman Instruments, Inc., 7.05%, 6/1/26............................... 300,000 337,540
----------
NATURAL GAS PRODUCTION AND/OR DISTRIBUTION (1.3%)
Keyspan Gas East, 7.88%, 2/1/10........................................ 250,000 289,375
Laclede Group, Inc., 8.50%, 11/15/04................................... 250,000 255,677
Northern Natural Gas, 5.38%, 10/31/12 (b).............................. 300,000 297,558
Southern Union Co., 8.25%, 11/15/29.................................... 250,000 285,695
----------
1,128,305
----------
OIL & GAS EXPLORATION, PRODUCTION & SERVICES (3.2%)
Anadarko Finance Co., 7.50%, 5/1/31.................................... 500,000 569,374
Burlington Resources, Inc., 7.38%, 3/1/29.............................. 323,000 362,568
Conoco, Inc., 6.95%, 4/15/29........................................... 325,000 357,906
EOG Resources, Inc., 6.00%, 12/15/08................................... 300,000 319,963
National Fuel Gas Co., 6.30%, 5/27/08.................................. 300,000 322,185
Pemex Project, 7.38%, 12/15/14......................................... 200,000 204,000
Pioneer Natural Resource, 6.50%, 1/15/08............................... 350,000 371,959
XTO Energy, Inc., 7.50%, 4/15/12....................................... 200,000 225,672
----------
2,733,627
----------
OPERATIVE BUILDERS (0.1%)
Centex Corp., 7.38%, 6/1/05............................................ 100,000 103,234
----------
PAPER PRODUCTS (0.9%)
Boise Cascade Co., 7.50%, 2/1/08....................................... 300,000 318,750
Westvaco Corp., 6.85%, 11/15/04........................................ 500,000 507,500
----------
826,250
----------
PHARMACEUTICALS (0.3%)
Cardinal Health, Inc., 6.25%, 7/15/08.................................. 250,000 267,839
----------
PUBLISHING: NEWSPAPERS (1.2%)
Knight- Ridder, Inc., 7.13%, 6/1/11.................................... 500,000 562,241
Thomson Corp., 6.20%, 1/5/12........................................... 500,000 533,125
----------
1,095,366
----------
REAL ESTATE (0.4%)
EOP Operating LP, 7.00%, 7/15/11....................................... 300,000 326,974
----------
RETAIL - DISCOUNT (0.4%)
Dollar General Corp., 8.63%, 6/15/10................................... 350,000 388,938
----------
RETAIL - FOOD (1.2%)
Albertson's, Inc., 6.55%, 8/1/04....................................... 363,000 363,980
Kroger Co., 7.63%, 9/15/06............................................. 300,000 325,191
YUM! Brands, Inc., 8.88%, 4/15/11...................................... 300,000 362,018
----------
1,051,189
----------

MMA PRAXIS INTERMEDIATE INCOME FUND
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED
JUNE 30, 2004
(UNAUDITED)

PRINCIPAL
AMOUNT VALUE
---------- ----------

CORPORATE BONDS, CONTINUED
SURGICAL AND MEDICAL INSTRUMENTS (0.4%)
Guidant Corp., 6.15%, 2/15/06........................................... $ 300,000 $ 314,597
----------
TELEPHONE - INTEGRATED (1.0%)
GTE California, Inc., 7.65%, 3/15/07................................... 300,000 329,844
Sprint Capital Corp., 7.63%, 1/30/11................................... 300,000 331,647
Verizon New York, Inc., Series A, 6.88%, 4/1/12........................ 250,000 268,028
----------
929,519
----------
TRANSPORTATION SERVICES (1.5%)
Golden State Petroleum Transportation, 8.04%, 2/1/19................... 250,000 253,545
Union Tank Car Co., 7.13%, 2/1/07...................................... 400,000 432,000
United Parcel Service, 8.38%, 4/1/30................................... 500,000 650,625
----------
1,336,170
----------
UTILITIES - NATURAL GAS (0.7%)
Michigan Consolidated Gas Co., 8.25%, 5/1/14........................... 500,000 600,000
----------
TOTAL CORPORATE BONDS........................................................... 31,597,688
----------
CORPORATE NOTES (1.1%)
COMMUNITY DEVELOPMENT (1.1%)
MMA Community Development Investment, Inc., 2.22%, 7/1/04 +(c)......... 625,000 625,000
MMA Community Development Investment, Inc., 1.48%, 7/1/04, +(c)........ 350,000 350,000
----------
TOTAL CORPORATE NOTES........................................................... 975,000
----------
INTEREST ONLY BOND (0.3%)
GOVERNMENT NATIONAL MORTGAGE ASSOC. (0.3%)
1.24%, 4/16/27+........................................................ 4,463,659 244,143
----------
TOTAL INTEREST ONLY BOND........................................................ 244,143
----------
MEDIUM TERM NOTES (0.3%)

ELECTRIC - INTEGRATED (0.3%)
Puget Sound Energy, Inc., 6.74%, 6/15/18............................... 250,000 268,438
----------
TOTAL MEDIUM TERM NOTES......................................................... 268,438
----------
MUTUAL FUNDS (1.6%)
MUTUAL FUNDS (1.6%)
Pax World High Yield Fund.............................................. 164,827 1,397,737
----------
TOTAL MUTUAL FUND............................................................... 1,397,737
----------
U.S. GOVERNMENT AGENCIES (58.1%)
FANNIE MAE (29.8%)
2.25%, 5/15/06 (a)..................................................... 1,750,000 1,728,111
4.75%, 1/2/07 (a)...................................................... 1,000,000 1,029,851
5.00%, 1/15/07 (a)..................................................... 750,000 779,652
5.25%, 1/15/09......................................................... 1,050,000 1,099,854
7.25%, 1/15/10......................................................... 2,450,000 2,789,081
6.63%, 11/15/10 (a).................................................... 1,400,000 1,554,417
7.45%, 10/1/11......................................................... 460,255 497,752
4.38%, 9/15/12 (a)..................................................... 1,500,000 1,439,841
4.38%, 7/17/13......................................................... 1,500,000 1,404,497

MMA PRAXIS INTERMEDIATE INCOME FUND
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED
JUNE 30, 2004
(UNAUDITED)

PRINCIPAL
AMOUNT VALUE
---------- -----------

U.S. GOVERNMENT AGENCIES, CONTINUED
FANNIE MAE, continued
4.13%, 4/15/14 (a)..................................................... $ 600,000 $ 551,785
6.00%, 4/1/16.......................................................... 492,478 514,043
6.00%, 8/1/16.......................................................... 154,292 160,997
6.00%, 11/1/16......................................................... 252,212 263,173
6.00%, 11/1/16......................................................... 300,538 313,599
5.50%, 12/1/16......................................................... 522,864 536,610
5.50%, 2/1/17.......................................................... 162,695 166,973
5.00%, 10/1/17......................................................... 366,217 367,885
5.00%, 3/1/18.......................................................... 396,748 398,160
5.00%, 7/1/18.......................................................... 379,003 380,352
5.00%, 9/1/18.......................................................... 690,340 692,797
7.00%, 11/1/19......................................................... 59,709 63,328
7.00%, 1/1/24.......................................................... 171,924 181,455
5.00%, 4/1/24.......................................................... 858,066 846,351
8.50%, 9/1/26.......................................................... 153,191 168,187
7.00%, 8/1/29.......................................................... 271,271 286,308
6.50%, 6/1/32.......................................................... 286,130 298,144
6.00%, 10/1/32......................................................... 663,167 678,219
5.00%, 2/1/33.......................................................... 1,756,959 1,702,765
5.50%, 3/1/33.......................................................... 944,178 942,923
5.50%, 4/1/33.......................................................... 1,066,935 1,064,912
6.00%, 8/1/33.......................................................... 553,272 565,519
6.00%, 10/1/33......................................................... 511,186 522,502
5.50%, 2/1/34.......................................................... 631,911 629,706
4.06%, 2/1/34.......................................................... 871,715 854,137
2.81%, 4/1/34.......................................................... 348,327 352,369
4.26%, 5/1/34.......................................................... 696,464 690,692
-----------
26,516,947
-----------
FEDERAL HOME LOAN BANK (3.1%)
3.63%, 10/15/04........................................................ 500,000 503,142
3.75%, 8/15/07 (a)..................................................... 1,000,000 1,005,329
6.63%, 11/15/10........................................................ 900,000 996,750
3.88%, 6/14/13......................................................... 300,000 276,001
-----------
2,781,222
-----------
FREDDIE MAC (21.5%)
6.88%, 1/15/05......................................................... 860,000 883,581
3.50%, 2/15/08......................................................... 700,000 852,902
2.75%, 3/15/08 (a)..................................................... 850,000 820,169
4.00%, 9/1/10.......................................................... 703,391 688,691
5.50%, 7/1/17.......................................................... 522,144 534,832
5.00%, 10/1/17......................................................... 500,307 502,043
5.50%, 11/1/17......................................................... 671,652 687,973
6.00%, 2/1/18.......................................................... 558,519 582,802
5.00%, 5/1/18.......................................................... 432,371 433,768
5.00%, 6/1/18.......................................................... 399,497 400,788
4.50%, 6/1/18.......................................................... 1,091,328 1,068,837
5.00%, 9/1/18.......................................................... 505,512 507,145

MMA PRAXIS INTERMEDIATE INCOME FUND
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED
JUNE 30, 2004
(UNAUDITED)

PRINCIPAL
AMOUNT VALUE
----------- -------------

U.S. GOVERNMENT AGENCIES, CONTINUED
FREDDIE MAC, continued
5.00%, 9/1/18.......................................................... $ 532,041 $ 533,760
5.00%, 10/1/18......................................................... 533,158 534,881
5.00%, 11/1/18......................................................... 551,490 553,272
5.00%, 5/15/23......................................................... 1,250,000 143,369
5.00%, 7/1/23.......................................................... 916,304 905,394
6.75%, 9/15/29......................................................... 785,000 875,213
7.00%, 2/1/30.......................................................... 460,540 486,069
7.50%, 7/1/30.......................................................... 400,588 430,930
6.50%, 2/1/31.......................................................... 48,897 51,042
7.00%, 3/1/31.......................................................... 190,021 200,555
6.75%, 3/15/31......................................................... 1,668,000 1,861,905
6.50%, 5/1/31.......................................................... 103,153 107,573
6.50%, 8/1/31.......................................................... 93,218 97,308
6.50%, 2/1/32.......................................................... 333,391 348,018
6.00%, 10/1/32......................................................... 512,521 524,410
5.50%, 11/15/32........................................................ 400,000 152,352
5.50%, 8/1/33.......................................................... 1,115,316 1,113,868
5.50%, 11/1/33......................................................... 578,783 578,032
5.50%, 12/1/33......................................................... 535,994 535,298
3.04%, 5/1/34.......................................................... 700,000 695,616
2.93%, 5/1/34.......................................................... 525,000 518,499
-------------
19,210,895
-------------
GOVERNMENT NATIONAL MORTGAGE ASSOC. (3.7%)
7.50%, 2/15/23......................................................... 267,285 283,782
7.00%, 12/20/30........................................................ 140,351 149,095
6.50%, 4/20/31......................................................... 185,126 193,240
6.50%, 7/20/31......................................................... 246,395 257,192
7.00%, 10/20/31........................................................ 83,378 88,523
6.50%, 10/20/31........................................................ 191,163 199,541
7.00%, 3/20/32......................................................... 418,824 444,528
3.50%, 1/20/34......................................................... 717,329 713,473
6.93%, 9/15/39......................................................... 428,148 471,468
6.85%, 10/15/39........................................................ 488,476 536,904
-------------
3,337,746
-------------
SMALL BUSINESS ADMINISTRATION (0.0%)
1.75%, 9/25/18......................................................... 40,842 40,919
-------------
TOTAL U.S. GOVERNMENT AGENCIES.................................................. 51,887,729
-------------
U.S. GOVERNMENT AGENCIES - DISCOUNT NOTES* (0.6%)

FEDERAL HOME LOAN BANK (0.6%)
0.97%, 7/2/04.......................................................... 500,000 499,983
-------------
TOTAL U.S. GOVERNMENT AGENCIES - DISCOUNT NOTES*................................ 499,983
-------------
U.S. TREASURY OBLIGATIONS (0.0%)

PRIVATE EXPORT FUNDING (0.0%)
Export Funding Trust, Series 1994-A, Class A, 7.89%, 2/15/05........... 25,000 25,610
-------------
TOTAL U.S. TREASURY OBLIGATIONS................................................. 25,610
-------------

MMA PRAXIS INTERMEDIATE INCOME FUND
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED
JUNE 30, 2004
(UNAUDITED)

PRINCIPAL
AMOUNT VALUE
------------ -------------

SECURITIES HELD AS COLLATERAL FOR SECURITIES LENDING (11.8%)
SHORT TERM (11.8%)
Credit Suisse First Boston Collateral.................................. $ 566,017 $ 566,017
Northern Institutional Liquid Asset Portfolio.......................... 8,830,687 8,830,687
Salomon Collateral..................................................... 1,071,959 1,071,959
Standard Chartered Bank Letter of Credit............................... 15,901 15,901
U.S. Treasury Bond, 6.00%, 2/15/06..................................... 10,665 10,665
-------------
10,495,229
-------------
TOTAL INVESTMENTS (COST $96,884,061) (d) - 109.4%............................ $ 97,564,858
Liabilities in excess of other assets - (9.4)%....................... (8,337,911)
-------------
NET ASSETS - 100.0%............................................................. $ 89,226,947
=============

- ----------------
(a) All or part of this security was on loan as of 6/30/04.

(b) 144A security is restricted as to resale to institutional investors. These
securities have been deemed liquid under guidelines established by the
Board of Trustees.

(c) Represents affiliated restricted security as to resale to investors and
is not registered under the Securities Act of 1933. These securities have
been deemed illiquid under guidelines established by the Board of
Trustees.

(d) Represents cost for financial reporting purposes, is substantially the
same as cost for federal income tax purposes, and differs from market
value by net unrealized appreciation of securities as follows:

Unrealized appreciation....................................... $ 1,713,750
Unrealized depreciation....................................... (1,032,953)
-----------
Net unrealized appreciation................................... $ 680,797
===========

* Effective yield at purchase.

+ Variable rate security. Rates presented are the rates in effect at June 30,
2004. Date presented reflects next rate change date.

ACES - Automatic Common Exchange Securities

SEE NOTES TO FINANCIAL STATEMENTS.

MMA PRAXIS INTERMEDIATE INCOME FUND
STATEMENT OF ASSETS AND LIABILITIES
JUNE 30, 2004
(UNAUDITED)

ASSETS:
Investments, at value (cost $85,413,832)................................................ $ 86,094,629
Investment in affiliates, at value (cost $975,000)...................................... 975,000
Investments held as collateral for securities lending, at value (cost $10,495,299)...... 10,495,229
-------------
Total Investments.................................................... 97,564,858
-------------
Cash.................................................................................... 1,506,213
Interest receivable..................................................................... 1,048,159
Prepaid expenses........................................................................ 28,714
-------------
Total Assets......................................................... 100,147,944
-------------
LIABILITIES:
Distributions payable to shareholders................................................... 348,430
Payable for investments purchased....................................................... 2,819
Payable for capital shares redeemed..................................................... 4,100
Payable for securities loaned........................................................... 10,495,229
Accrued expenses and other payables:
Investment Adviser fees........................................................ 5,863
Administration fees............................................................ 21,716
Distribution fees.............................................................. 32,578
Shareholder servicing fees..................................................... 3,626
Other.......................................................................... 6,636
-------------
Total Liabilities.................................................... 10,920,997
-------------
NET ASSETS:
Capital................................................................................. 90,342,024
Distributions in excess of net investment income........................................ (157,093
Accumulated net realized losses from investment and foreign
currency transactions.......................................................... (1,638,816
Net unrealized appreciation from investments and translation of assets and
liabilities in foreign currencies.............................................. 680,832
-------------
Net Assets........................................................... $ 89,226,947
=============
Net Assets..............................................................................
Class A........................................................................ $ 49,990,639
Class B........................................................................ 39,236,308
-------------
Total................................................................ $ 89,226,947
=============
Shares Outstanding......................................................................
(unlimited number of shares authorized with $.01 par value)
Class A........................................................................ 5,113,878
Class B........................................................................ 4,017,096
-------------
Total................................................................ 9,130,974
=============
Net asset value
Class A - Redemption Price Per Share........................................... $ 9.78
=============
Class A - Maximum Sales Charge................................................. 3.75%
=============
Class A - Maximum Offering Price Per Share
(100%/(100%-Maximum Sales Charge) of
net asset value adjusted to the nearest cent)........................ $ 10.16
=============
Class B - Offering Price Per Share*............................................ $ 9.77
=============

- ----------
* Redemption price per share (Class B) varies by length of time shares are
held.

SEE NOTES TO FINANCIAL STATEMENTS.

STATEMENT OF OPERATIONS

MMA PRAXIS INTERMEDIATE INCOME FUND
STATEMENT OF OPERATIONS
FOR THE SIX MONTHS ENDED JUNE 30, 2004
(UNAUDITED)

INVESTMENT INCOME:
Interest ................................................................. $ 2,026,574
Dividends ................................................................ 47,621
Income from securities lending ........................................... 2,720
Interest from affiliates ................................................. 6,889
-----------
Total Investment Income .............................. 2,083,804
-----------

EXPENSES:
Investment adviser fees .................................................. 217,493
Administration fees ...................................................... 130,433
Distribution fees-Class A ................................................ 56,971
Distribution fees-Class B ................................................ 155,327
Shareholder servicing fees-Class A ....................................... 56,971
Shareholder servicing fees-Class B ....................................... 51,776
Custodian fees ........................................................... 9,429
Trustees' fees and expenses .............................................. 4,242
Transfer agent fees ...................................................... 6,887
Other expenses ........................................................... 70,859
-----------
Total expenses before reductions/reimbursements ....... 760,388
Expenses reimbursed by Investment Adviser ....................... (195,076)
Expenses reduced by Distributor ................................. (97,352)
Expenses reduced by Custodian ................................... (5,082)
-----------
Net Expenses .......................................... 462,878
-----------

Net Investment Income ..................................................... 1,620,926
-----------
NET REALIZED AND UNREALIZED GAINS/(LOSSES) ON INVESTMENTS:
Net realized gains from investment and foreign currency transactions ...... 77,503
Change in unrealized appreciation/depreciation from investments and
translation of assets and liabilities in foreign currencies ..... (1,827,644)
-----------
Net realized/unrealized losses on investments ............................. (1,750,141)
-----------
Change in net assets resulting from operations ............................ $ (129,215)
===========

SEE NOTES TO FINANCIAL STATEMENTS.

STATEMENTS OF CHANGES IN NET ASSETS

MMA PRAXIS INTERMEDIATE INCOME FUND
STATEMENTS OF CHANGES IN NET ASSETS

Six Months Year Ended
Ended June 30, December 31,
2004 2003
-------------- ------------
(Unaudited)

From Investment Activities:
Net investment income ..................................................... $ 1,620,926 $ 2,876,544
Net realized gains from investment and foreign currency transactions ...... 77,503 1,231,516
Change in unrealized appreciation/depreciation from investments and
translation of assets and liabilities in foreign currencies ...... (1,827,644) (1,465,704)
------------ ------------
Change in net assets resulting from operations ............................ (129,215) 2,642,356
------------ ------------
Distributions to Class A Shareholders:
From net investment income ....................................... (1,001,403) (1,536,070)
Distributions to Class B Shareholders:
From net investment income ....................................... (796,088) (1,657,221)
------------ ------------
Change in net assets from distributions to shareholders ................... (1,797,491) (3,193,291)
------------ ------------

Change in net assets from capital transactions ............................ 7,645,865 10,123,508
------------ ------------
Change in net assets ...................................................... 5,719,159 9,572,573
Net Assets:
Beginning of period .............................................. 83,507,788 73,935,215
------------ ------------
End of period .................................................... $ 89,226,947 $ 83,507,788
============ ============
Accumulated/(Distributions in excess of) net investment income ............ $ (157,093) $ 19,472

SEE NOTES TO FINANCIAL STATEMENTS.

FINANCIAL HIGHLIGHTS

MMA PRAXIS INTERMEDIATE INCOME FUND
FINANCIAL HIGHLIGHTS

For a share outstanding throughout the period indicated.

Class A Shares
---------------------------------------------------------------------------------
Six Months Year Ended Year Ended Year Ended Year Ended Period Ended
Ended June December 31, December 31, December 31, December 31, December 31,
30, 2004 2003 2002 2001 2000 1999 (a)
---------- ---------- ---------- ---------- ---------- ------------
(Unaudited)

Net Asset Value, Beginning of Period $ 9.99 $ 10.05 $ 9.69 $ 9.62 $ 9.46 $ 9.88
---------- ---------- ---------- ---------- ---------- ----------
Investment Activities:
Net investment income 0.19 0.39 0.48 0.54 0.58 0.33
Net realized and unrealized gains (losses)
from investments (0.19) (0.03) 0.37 0.07 0.16 (0.37)
---------- ---------- ---------- ---------- ---------- ----------
Total from Investment Activities -- 0.36 0.85 0.61 0.74 (0.04)
---------- ---------- ---------- ---------- ---------- ----------
Distributions:
Net investment income (0.21) (0.42) (0.49) (0.54) (0.58) (0.37)
Net realized gains -- -- -- -- -- (0.01)
---------- ---------- ---------- ---------- ---------- ----------
Total Distributions (0.21) (0.42) (0.49) (0.54) (0.58) (0.38)
---------- ---------- ---------- ---------- ---------- ----------
Net Asset Value, End of Period $ 9.78 $ 9.99 $ 10.05 $ 9.69 $ 9.62 $ 9.46
========== ========== ========== ========== ========== ==========
Total Return (excludes sales charge) 0.02%(b) 3.67% 9.02% 6.47% 8.03% (0.45%)(b)
Ratios/Supplemental Data:
Net Assets at end of period (000) $ 49,991 $ 39,270 $ 32,391 $ 26,931 $ 20,410 $ 17,670
Ratio of expenses to average
net assets 0.85%(c) 0.85% 0.85% 0.85% 0.85% 0.85%(c)
Ratio of net investment income
to average net assets 3.94%(c) 3.85% 4.94% 5.59% 6.15% 5.81%(c)
Ratio of expenses to average
net assets* 1.51%(c) 1.58% 1.69% 1.65% 1.66% 1.66%(c)
Portfolio turnover (d) 12.89% 47.58% 58.16% 36.00% 49.66% 37.78%

- ----------------
* During the period, certain expenses were voluntarily reduced/reimbursed.
If such expense reductions had not occurred, the ratios would have been as
indicated.

(a) For the period from May 12, 1999 (commencement of operations) through
December 31, 1999.

(b) Not annualized.

(d) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing between classes of shares issued.

SEE NOTES TO FINANCIAL STATEMENTS.

MMA PRAXIS INTERMEDIATE INCOME FUND
FINANCIAL HIGHLIGHTS, CONTINUED

For a share outstanding throughout the period indicated.

Class B Shares
-----------------------------------------------------------------------------------
Six Months Year Ended Year Ended Year Ended Year Ended Year Ended
Ended June December 31, December 31, December 31, December 31, December
30, 2004 2003 2002 2001 2000 31, 1999
---------- ------------ ----------- ------------ ------------ ----------
(Unaudited)

Net Asset Value, Beginning of Period $ 9.98 $ 10.05 $ 9.69 $ 9.61 $ 9.46 $ 10.17
---------- ---------- ---------- ---------- ---------- ----------
Investment Activities:
Net investment income 0.17 0.34 0.45 0.52 0.55 0.54
Net realized and unrealized
gains (losses) from
investments (0.19) (0.03) 0.36 0.07 0.15 (0.73)
---------- ---------- ---------- ---------- ---------- ----------
Total from Investment Activities (0.02) 0.31 0.81 0.59 0.70 (0.19)
---------- ---------- ---------- ---------- ---------- ----------
Distributions:
Net investment income (0.19) (0.38) (0.45) (0.51) (0.55) (0.51)
Net realized gains from -- -- -- -- -- (0.01)
---------- ---------- ---------- ---------- ---------- ----------
Total Distributions (0.19) (0.38) (0.45) (0.51) (0.55) (0.52)
---------- ---------- ---------- ---------- ---------- ----------
Net Asset Value, End of Period $ 9.77 $ 9.98 $ 10.05 $ 9.69 $ 9.61 $ 9.46
========== ========== ========== ========== ========== ==========
Total Return (excludes redemption
charge) (0.21%)(a) 3.14% 8.64% 6.21% 7.68% (1.90%)
Ratios/Supplemental Data:
Net Assets at end of period (000) $ 39,236 $ 44,238 $ 41,544 $ 35,814 $ 33,212 $ 33,111
Ratio of expenses to average
net assets 1.30%(b) 1.30% 1.20% 1.20% 1.20% 1.16%
Ratio of net investment income to
average net assets 3.49%(b) 3.41% 4.59% 5.26% 5.79% 5.35%
Ratio of expenses to average
net assets* 2.01%(b) 2.07% 2.19% 2.15% 2.16% 2.17%
Portfolio turnover (c) 12.89% 47.58% 58.16% 36.00% 49.66% 37.78%

- --------------
* During the period, certain expenses were voluntarily reduced, reimbursed
or paid by third party. If such activity had not occurred, the ratios
would have been as indicated.

(a) Not annualized.

(b) Annualized.

(c) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing between classes of shares issued.

SEE NOTES TO FINANCIAL STATEMENTS.

This page intentionally left blank.

MMA PRAXIS CORE STOCK FUND

MMA PRAXIS CORE STOCK FUND
SEMI-ANNUAL REPORT TO SHAREHOLDERS
PORTFOLIO MANAGERS' LETTER

INVESTMENT CONCERNS:

Equity securities (stocks) are more volatile and carry more risk than other
forms of investments, including investments in high-grade fixed income
securities. The net asset value per share of this Fund will fluctuate as the
value of the securities in the portfolio changes. Common stocks, and funds
investing in common stocks, generally provide greater return potential when
compared with other types of investments.

Despite the meandering path taken by U.S. stocks during the first half of the
year, broad equity market indexes like the Standard & Poor's 500 Index(1) stand
within a few percentage points of their highs since bottoming in early October
2002. Strong, but moderating, economic growth continued into the first half of
2004, after racing ahead in the second half of 2003. Even as economic growth
moderates, corporate profits have remained strong into the first half of this
year on the benefits of increasing profitability, deep cost cutting, and
strong demand. We believe profit growth, too, will likely slow from its quick
pace as operating efficiencies get competed away throughout the year, but for
now, U.S.-based corporations appear to have gained a purchase on the slippery
slope to recovery.

Market leadership appears to be slowly shifting from the riskiest stocks in the
most tenuous sectors of the economy to larger, more stable companies whose
businesses are less reliant on the strength of the economy. Still, early in the
year, economically sensitive stocks - those whose profits ebb and flow with
the success of the economy at large - delivered huge profit growth results in
comparison to a year ago. We believe these outsized profit gains are unlikely
to continue, both because they resulted from deep cost cutting and because
comparisons with last year become mathematically more difficult to surpass as
the year wears on. And so, a hand-off appears to be occurring, where larger
companies whose stocks did not benefit greatly from 2003's bull market are
beginning to grab more attention from investors looking for predictability.

On the economic front we're also seeing an important hand-off from fiscal-led
to job-led consumer spending. As interest rates rise in anticipation of faster
economic growth, and the benefits of last year's tax cuts wear off, mortgage
refinancing and lower taxes are no longer spurring the American consumer.
Instead, the economy has seen an increase in jobs and personal income, both of
which appear to be picking up the slack. Rising interest rates and the specter
of inflation still have some economy watchers nervous, but all in all, we
believe the economic recovery is reasonably healthy.

With this as a backdrop, MMA Praxis Core Stock Fund performed reasonably well
during the first half of the year. The fund (A shares, up 3.47 percent)
outperformed its benchmark, the Standard and Poor's 500 Index(1) (3.44 percent)
during the first half of the year for a number of reasons. First of all, the
types of companies we typically invest in - those with higher-quality financial
profiles - have performed well as the leadership handoff began. Secondly, our
slightly more defensive portfolio fared well as the market rally of 2003
fizzled. Investments in energy, consumer

- ----------------
(1) Please refer to the Glossary of Terms on page A for additional information
on the referenced benchmark indices.

staples, industrials, and health care have all generated good returns so far
this year. In general, the decisions we made at the portfolio level, including
sector weightings and our slightly defensive position, were positive to
performance for the first half of the year. Stock specific decisions also were
a net positive, though they had a smaller impact than our top-down decisions.

Among our consumer staples holdings, PEPSICO, GILLETTE, KIMBERLY CLARK, and
PROCTER & GAMBLE performed particularly well, all delivering double-digit
returns for the first half of the year. Often referred to as defensive stocks,
the stocks name here typically perform better later in economic cycles, after
growth slows to a moderate pace. By comparison, these stocks trailed their more
speedy peers in the race to the top during last year's fast economic growth
recovery.(1)

Another area of strength so far this year was the energy sector. Among our
energy holdings, ANADARKO PETROLEUM, TRANSOCEAN OFFSHORE, and SCHLUMBERGER all
rose in the double digits, followed closely by BP and ENSCO INTERNATIONAL. These
stocks rose not so much because the spot price of oil rose to above $40 per
barrel during June, but more because of the expectation that increasing global
demand for oil would persist. With the U.S. economy recovering and China and
India continuing to increase their demand for oil, we believe things are looking
better in the oil patch, especially for the oil services companies that will
benefit from increased drilling.(1)

While its stock only rose a modest 10 percent during the first half of the year,
TARGET CORPORATION generated the largest positive impact on the portfolio among
individuals stocks. The company continues to perform well even as it competes
against Wal-Mart. Long saddled with low-growth department store assets, analysts
have been suggesting that the company could grow faster if it sold its
traditional department store properties. Target management resisted this
argument for years, saying that while the department store unit grew slowly, it
generated free cash that was being used to aggressively build out the Target
store network. Nonetheless, speculation and later an announcement that Target
would be selling its Marshall Field's stores to May Department Stores pushed the
stock higher. Target also expects to announce a sale of its Mervyn's stores in
the near future.(1)

On the negative side, a few stock specific cases dampened returns during the
first half of the year. FANNIE MAE, a regular target for criticism on Capitol
Hill and in the business news, came under increasing scrutiny during the early
part of the year for the manner in which it hedges risk. Also, the perennial
discussion about removing the perception that the U.S. federal government fully
backs the company reared its head yet again. We believe that even if Fannie
Mae's government sponsored entity (GSE) status was revoked and the company was
forced to operate as a regular publicly traded company, it demands a higher
stock market value than investors are granting it now. We believe it remains
cheap relative to our earnings expectations for the company. We'll continue to
watch the political situation, but we expect the company's financial results to
speak louder than all of the blustering rhetoric.(1)

Another negative for the portfolio was MEDTRONIC, though the stock traded
virtually flat during the period. However, it underperformed many of its peers
in the medical technology industry and the health care sector at large. It
remains one of our favorite investments for its wide stable of medical products,
despite having trailed Boston Scientific and St. Jude Medical in the latest
round of product introductions of drug-coated stents. The stents are a small
portion of Medtronic's revenue stream, and only represent the difference between
"very good" and "great" future profit growth. We believe Medtronic's stock price
is still reasonable even if profit growth is only "very good."(1)

- -----------

(1) Portfolio holdings are subject to change and should not be considered a
recommendation to buy individual securities.

OUTLOOK

The long sustained rally in equities that ran for two decades beginning in the
early 1980s was an extraordinary time for investors. While this performance is
often explained by an increase in the use of technology which lead to above
trend productivity gains, increasing international trade, and the end of the
Cold War, we believe there is a bigger, more profound reason for it. Over this
same period, interest rates consistently fell, making investments in equity
shares ever more enticing. Some analysts have suggested that as much as 40
percent of the market gains over the last 20 years or so can be attributed to
lower and lower interest rates.

Why does this matter now? Because we believe that rising, not falling, interest
rates are more likely over the next few years, meaning that the last 20 years'
tailwind may actually become a headwind that impedes the upward progress of
equity prices. The correlation is not perfect, and there have been instances
where rates rose and so did stocks, but over longer periods of time higher
interest rates are a negative influence on stock prices. We say this not to
suggest that investors should completely shun equities as part of their
portfolio, but rather to temper expectations as they look into the future.

We believe stock valuations in general are in a reasonable range, and there
don't appear to be any large dispersions in expected returns among different
types of equities. That is, we see no obvious advantage to investing in large
versus small company stocks or growth versus value. However, one place we
continue to believe offers reasonable prospects is among the largest companies
in the economy. The biggest companies are trading at discounts to their normal
levels relative to their profits. This has come about over the last five years
or so as their stocks have not moved higher even as their profits have nearly
doubled in some cases. We think this trend plays into our hands as large cap
investment managers, but we will still have to identify those high quality
companies whose stocks trade at valuations that underestimate their profit
growth prospects.

Chad M. Horning, CFA
MMA Praxis Core Stock Fund Co-Manager

John M. Nussbaum, CFA
MMA Praxis Core Stock Fund Co-Manager

- -----------
PAST PERFORMANCE DOES NOT GUARANTEE FUTURE RESULTS. THE PERFORMANCE DATA QUOTED
REPRESENTS PAST PERFORMANCE AND CURRENT RETURNS MAY BE LOWER OR HIGHER. THE
INVESTMENT RETURN AND PRINCIPAL VALUE WILL FLUCTUATE SO THAT AN INVESTOR'S
SHARES, WHEN REDEEMED MAY BE WORTH MORE OR LESS THAN THE ORIGINAL COST. TO
OBTAIN PERFORMANCE INFORMATION CURRENT TO THE MOST RECENT MONTH END, PLEASE
VISIT MMAPRAXIS.COM.

PERFORMANCE REVIEW

MMA PRAXIS CORE STOCK FUND
PERFORMANCE REVIEW

AVERAGE ANNUAL TOTAL RETURNS AS OF 6/30/04

[PERFORMANCE GRAPH]

INCEPTION
DATE 1 YEAR 3 YEAR 5 YEAR 10 YEAR
--------- ------ ------ ------ -------

Class A 5/12/99 16.11% -0.86% -2.15% 8.60%
Class A* 5/12/99 9.98% -2.62% -3.20% 8.02%

Class B 1/4/94 15.40% -1.46% -2.76% 8.25%
Class B** 1/4/94 11.40% -2.12% -2.93% 8.25%

* Reflects maximum front-end sales charge of 5.25%.

** Reflects applicable contingent deferred sales charge of 4.00%.

PAST PERFORMANCE DOES NOT GUARANTEE FUTURE RESULTS. THE PERFORMANCE DATA QUOTED
REPRESENTS PAST PERFORMANCE AND CURRENT RETURNS MAY BE LOWER OR HIGHER. THE
INVESTMENT RETURN AND PRINCIPAL VALUE WILL FLUCTUATE SO THAT AN INVESTOR'S
SHARES, WHEN REDEEMED MAY BE WORTH MORE OR LESS THAN THE ORIGINAL COST. THESE
PERFORMANCE FIGURES DO NOT REFLECT THE DEDUCTION OF TAXES THAT A SHAREHOLDER
WOULD PAY ON FUND DISTRIBUTIONS OR THE REDEMPTION OF FUND SHARES. TO OBTAIN
PERFORMANCE INFORMATION CURRENT TO THE MOST RECENT MONTH END, PLEASE VISIT
MMAPRAXIS.COM.

GROWTH OF $10,000 INVESTMENT 6/30/94 TO 6/30/04

[PERFORMANCE GRAPH]

MMA Praxis Core Stock Fund

Class A* Class B** Standard & Poor's 500 Stock Index(1)

6/94 9479 10000 10000
9816 10356 10486
6/95 11718 12362 12603
13088 13807 14422
6/96 13732 14487 15877
15166 16000 17731
6/97 17618 18587 21383
19586 20662 23645
6/98 20670 21806 27835
20753 21894 30407
6/99 24119 25416 34167
23388 24556 36802
6/00 23964 25082 36645
23288 24301 33453
6/01 22202 23088 31214
21452 22229 29480
6/02 19521 20189 25603
17557 18100 22967
6/03 18633 19145 25666
20853 21352 29551
6/04 21635 22094 30568

This chart represents historical performance of a hypothetical investment of
$10,000 in the Core Stock Fund from 6/30/94 to 6/30/04, and represents the
reinvestment of dividends and capital gains in the fund.

PAST PERFORMANCE DOES NOT GUARANTEE FUTURE RESULTS. THE PERFORMANCE DATA QUOTED
REPRESENTS PAST PERFORMANCE AND CURRENT RETURNS MAY BE LOWER OR HIGHER. THE
INVESTMENT RETURN AND PRINCIPAL VALUE WILL FLUCTUATE SO THAT AN INVESTOR'S
SHARES, WHEN REDEEMED MAY BE WORTH MORE OR LESS THAN THE ORIGINAL COST. THESE
PERFORMANCE FIGURES DO NOT REFLECT THE DEDUCTION OF TAXES THAT A SHAREHOLDER
WOULD PAY ON FUND DISTRIBUTIONS OR THE REDEMPTION OF FUND SHARES. TO OBTAIN
PERFORMANCE INFORMATION CURRENT TO THE MOST RECENT MONTH END, PLEASE VISIT
MMAPRAXIS.COM.

* Reflects maximum front-end sales charge of 5.25%.

**Reflects applicable contingent deferred sales charge of 4.00%.

(1) The S&P 500 Composite Stock Price Index (the "S&P 500(R) Index")is a
widely recognized, unmanaged index of 500 selected common stocks, most of
which are listed on the New York Stock Exchange.

The above index is for illustrative purposes only and does not reflect the
deduction of expenses associated with a mutual fund, such as investment
management and fund accounting fees. The fund's performance reflects the
deduction of these value-added services. An investor cannot invest directly in
an index, although they can invest in its underlying securities.

SCHEDULE OF PORTFOLIO INVESTMENTS

MMA PRAXIS CORE STOCK FUND
SCHEDULE OF PORTFOLIO INVESTMENTS
JUNE 30, 2004
(UNAUDITED)

SHARES VALUE
------ -----

COMMON STOCKS (94.2%)
BANKS (6.3%)

Bank of America Corp. ................... 45,000 $ 3,807,900
Bank One Corp. .......................... 50,000 2,550,000
Wells Fargo Co. ......................... 88,000 5,036,240
-----------
11,394,140
-----------

BEVERAGES (2.8%)

PepsiCo, Inc. ........................... 94,000 5,064,720
-----------
BROKERAGE SERVICES (0.8%)
Goldman Sachs Group, Inc. ............... 16,000 1,506,560
-----------
CHEMICALS - GENERAL (1.5%)
Air Products & Chemicals, Inc. .......... 51,000 2,674,950
-----------
COMPUTERS & PERIPHERALS (4.9%)
Cisco Systems, Inc. (a) ................. 124,000 2,938,800
Dell, Inc. (a) .......................... 62,000 2,220,840
Hewlett-Packard Co. ..................... 32,000 675,200
Intel Corp. ............................. 110,000 3,036,000
-----------
8,870,840
-----------

CONSUMER GOODS & SERVICES (2.8%)
Procter & Gamble Co. .................... 94,000 5,117,360
-----------
COSMETICS & TOILETRIES (3.1%)
Gillette Co. ............................ 55,000 2,332,000
Kimberly Clark Corp. .................... 50,000 3,294,000
-----------
5,626,000
-----------

ELECTRONIC & ELECTRICAL - GENERAL (4.9%)
Emerson Electric Co. .................... 61,000 3,876,550
Jabil Circuit, Inc. (a) ................. 111,000 2,794,980
Texas Instruments, Inc. ................. 34,000 822,120
Thomas & Betts Corp. .................... 50,000 1,361,500
-----------
8,855,150
-----------

FINANCIAL SERVICES (7.0%)
Citigroup, Inc. ......................... 88,000 4,092,000
Fannie Mae .............................. 64,000 4,567,040
MBNA Corp. .............................. 144,000 3,713,760
-----------
12,372,800
-----------

FOOD DISTRIBUTORS & WHOLESALERS (1.3%)
Sysco Corp. ............................. 67,000 2,403,290
-----------
FOOD PRODUCTS (2.5%)
General Mills, Inc. ..................... 47,000 2,233,910
Sara Lee Corp. .......................... 99,000 2,276,010
-----------
4,509,920
-----------

HOME DECORATION PRODUCTS (1.5%)
Newell Rubbermaid, Inc. ................. 112,000 2,632,000
-----------
INDUSTRIAL GOODS & SERVICES (2.0%)
Masco Corp. ............................. 117,000 3,648,060
-----------

INSURANCE (6.3%)

Allstate Corp. .......................... 59,000 2,746,450
American International Group, Inc. ...... 61,000 4,348,080
Chubb Corp. ............................. 36,000 2,454,480

MMA PRAXIS CORE STOCK FUND
SCHEDULE OF PORTFOLIO INVESTMENTS,
JUNE 30, 2004
(UNAUDITED)

SHARES VALUE
------- -----------

COMMON STOCKS, CONTINUED
INSURANCE, continued
Protective Life Corp. ......................... 46,000 $ 1,778,820
-----------
11,327,830
-----------

MANUFACTURING (2.3%)
3M Co. ........................................ 16,000 1,440,160
Dover Corp. ................................... 63,000 2,652,300
-----------
4,092,460
-----------

MEDICAL SUPPLIES (6.7%)
Biomet, Inc. .................................. 44,500 1,977,580
Johnson & Johnson, Inc. ....................... 96,000 5,347,200
Medtronic, Inc. ............................... 94,000 4,579,680
-----------
11,904,460
-----------

MULTIMEDIA (0.7%)
Time Warner, Inc. (a) ......................... 74,000 1,300,920
-----------
NEWSPAPERS (1.0%)
Gannett Co., Inc. ............................. 21,900 1,858,215
-----------
OFFICE EQUIPMENT & SERVICES (2.3%)
Pitney Bowes, Inc. ............................ 92,000 4,071,000
-----------
OIL & GAS EXPLORATION, PRODUCTION & SERVICES (2.6%)
Anadarko Petroleum Corp. ...................... 48,000 2,812,800
ENSCO International, Inc. (b) ................. 30,000 873,000
Transocean Sedco Forex, Inc. (a) .............. 34,000 983,960
-----------
4,669,760
-----------

OIL - INTEGRATED (3.2%)
BP Amoco PLC ADR .............................. 108,000 5,785,560
-----------
OILFIELD SERVICES & EQUIPMENT (0.7%)
Schlumberger Ltd. ............................. 21,000 1,333,710
-----------
PACKAGING/CONTAINERS (1.5%)
Sonoco Products Co. ........................... 104,000 2,652,000
-----------
PHARMACEUTICALS (9.1%)
Cardinal Health, Inc. ......................... 93,000 6,514,649
Merck & Co., Inc. ............................. 69,000 3,277,500
Pfizer, Inc. .................................. 186,000 6,376,080
-----------
16,168,229
-----------

RAILROADS (1.4%)
Norfolk Southern Corp. ........................ 98,000 2,598,960
-----------
RESTAURANTS (0.7%)
Wendy's International, Inc. ................... 37,000 1,289,080
-----------
RETAIL (5.8%)
Dollar General Corp. .......................... 141,062 2,759,173
Lowe's Cos., Inc. ............................. 62,000 3,258,100
Target Corp. .................................. 106,000 4,501,820
-----------
10,519,093
-----------

SOFTWARE & COMPUTER SERVICES (5.8%)
First Data Corp. .............................. 63,000 2,804,760
Microsoft Corp. ............................... 175,000 4,998,000
Oracle Corp. (a) .............................. 229,000 2,731,970
-----------
10,534,730
-----------

MMA PRAXIS CORE STOCK FUND
SCHEDULE OF PORTFOLIO INVESTMENTS,
JUNE 30, 2004
(UNAUDITED)

SHARES OR
PRINCIPAL
AMOUNT VALUE
------------ ------------

COMMON STOCKS, CONTINUED
TECHNOLOGY (0.3%)
Applied Materials, Inc. (a) .................................... 32,000 $ 627,840
------------
TELECOMMUNICATIONS (1.8%)
SBC Communications, Inc. ....................................... 65,000 1,576,250
Verizon Communications, Inc. ................................... 46,000 1,664,740
------------
3,240,990
------------

TRANSPORTATION SERVICES (0.6%)
FedEx Corp. .................................................... 13,000 1,061,970
------------
TOTAL COMMON STOCKS ................................................ 169,712,597
------------
U.S. GOVERNMENT AGENCIES - DISCOUNT NOTES* (3.7%)
FEDERAL HOME LOAN MORTGAGE CORPORATION (1.1%)
0.97%, 7/2/04 .................................................. $ 2,000,000 1,999,930
------------
FEDERAL NATIONAL MORTGAGE ASSOCIATION (2.6%)
1.13%, 7/14/04 ................................................. 4,750,000 4,747,839
------------
TOTAL U.S. GOVERNMENT AGENCIES - DISCOUNT NOTES* ................... 6,747,769
------------
CORPORATE NOTES (1.1%)
COMMUNITY DEVELOPMENT (1.1%)
MMA Community Development Investment, Inc., 1.48%, 7/1/04 +(c).. 395,000 395,000
MMA Community Development Investment, Inc., 2.22%, 7/1/04 +(c).. 1,570,000 1,570,000
------------
TOTAL CORPORATE NOTES .............................................. 1,965,000
------------
SECURITIES HELD AS COLLATERAL FOR SECURITIES LENDING (0.3%)
SHORT TERM (0.3%)
Northern Institutional Liquid Assets Portfolio.................. 497,250 497,250
------------
497,250
------------
TOTAL INVESTMENTS (COST $163,629,525) (d) - 99.3 .................. 178,922,616
Other assets in excess of liabilities- 0.7% .................... 1,384,795
------------
NET ASSETS - 100.0% ................................................ $180,307,411
============

- -------------------
(a) Represents non-income producing securities.

(b) All or part of this security was on loan as of June 30, 2004.

Unrealized appreciation............................. $30,189,837
Unrealized depreciation............................. (14,896,746)
-----------
Net unrealized appreciation......................... $15,293,091
===========

* Effective yield at purchase.

+ Variable rate security. Rates presented are the rates in effect at June
30, 2004. Date presented reflects next rate change date.

ADR - American Depositary Receipt
PLC - Public Liability Co.

SEE NOTES TO FINANCIAL STATEMENTS.

STATEMENT OF ASSETS AND LIABILITIES

MMA PRAXIS CORE STOCK FUND
STATEMENT OF ASSETS AND LIABILITIES
JUNE 30, 2004
(UNAUDITED)

ASSETS:
Investments, at value (cost $161,167,275) ........................... $ 176,460,366
Investment in affiliates, at value (cost $1,965,000) ................ 1,965,000
Investments held as collateral for securities lending, at
value (cost $497,250) ............................................. 497,250
-------------
Total Investments .......................................... 178,922,616
-------------
Cash ................................................................ 1,925,511
Interest and dividends receivable ................................... 188,518
Receivable for capital shares issued ................................ 1,945
Prepaid expenses .................................................... 40,220
-------------
Total Assets ............................................... 181,078,810
-------------

LIABILITIES:

Payable for capital shares redeemed ................................. 523
Payable for securities loaned ....................................... 497,250
Accrued expenses and other payables:
Investment adviser fees ......................................... 58,630
Administration fees ............................................. 52,853
Distribution fees ............................................... 88,012
Shareholder servicing fees ...................................... 30,071
Other ........................................................... 44,060
-------------
Total Liabilities .......................................... 771,399
-------------
NET ASSETS:
Capital ............................................................. 187,942,970
Distributions in excess of net investment income .................... (53,276)
Accumulated net realized losses from investment transactions ........ (22,875,374)
Net unrealized appreciation from investments ........................ 15,293,091
-------------
Net Assets ................................................. $ 180,307,411
-------------
Net Assets
Class A ......................................................... $ 54,892,574
Class B ......................................................... 125,414,837
-------------
Total ...................................................... $ 180,307,411
=============
Shares outstanding
(unlimited number of shares authorized with $.01 par value)
Class A ......................................................... 4,051,132
Class B ......................................................... 9,568,372
-------------
Total ...................................................... 13,619,504
=============
Net asset value
Class A - Redemption Price Per Share ............................ $ 13.55
=============
Class A - Maximum Sales Charge .................................. 5.25%
=============
Class A - Maximum Offering Price Per Share
(100%/(100%-Maximum Sales Charge) of
net asset value adjusted to the nearest cent) .............. $ 14.30
=============
Class B - Offering Price Per Share* ............................. $ 13.11
=============

- --------
* Redemption price per share (Class B) varies by length of time shares are held.

SEE NOTES TO FINANCIAL STATEMENTS.

STATEMENT OF OPERATION

MMA PRAXIS CORE STOCK FUND
STATEMENT OF OPERATIONS
FOR THE SIX MONTHS ENDED JUNE 30, 2004
(UNAUDITED)

INVESTMENT INCOME:
Interest ...................................................... $ 39,238
Dividends ..................................................... 1,402,926
Income from securities lending ................................ 235
Interest from affiliates ..................................... 10,010
-----------
Total Investment Income .............................. 1,452,409
-----------
EXPENSES:
Investment adviser fees ....................................... 644,998
Administration fees ........................................... 305,011
Distribution fees-Class A ..................................... 57,925
Distribution fees-Class B ..................................... 479,938
Shareholder servicing fees-Class A ............................ 57,925
Shareholder servicing fees-Class B ............................ 159,979
Custodian fees ................................................ 14,766
Trustees' fees and expenses ................................... 7,558
Transfer agent fees ........................................... 45,581
Other expenses ................................................ 124,759
-----------
Total expenses before reductions/reimbursements ...... 1,898,440
Expenses reimbursed by Investment Adviser ................. (351,967)
Expenses reduced by Distributor ........................... (34,755)
Expenses reduced by Custodian ............................. (6,052)
-----------
Net Expenses ......................................... 1,505,666
-----------
Net Investment Loss ........................................... (53,257)
-----------
NET REALIZED AND UNREALIZED GAINS ON INVESTMENTS:
Net realized gains from investment transactions ............... 174,301
Change in unrealized appreciation/depreciation from
investments.................................................. 5,902,662
-----------
Net realized/unrealized gains on investments .................. 6,076,963
-----------
Change in net assets resulting from operations ................ $ 6,023,706
===========

SEE NOTES TO FINANCIAL STATEMENTS.

STATEMENTS OF CHANGES IN NET ASSETS

MMA PRAXIS CORE STOCK FUND
STATEMENTS OF CHANGES IN NET ASSETS

Six Months Year Ended
Ended June 30, December 31,
2004 2003
------------- -------------
(Unaudited)

From Investment Activities:
Net investment loss ................................... $ (53,257) $ (93,748)
Net realized gains/losses from investment transactions 174,301 (3,938,654)
Change in unrealized appreciation/depreciation from
investments.......................................... 5,902,662 29,510,367
------------- -------------
Change in net assets resulting from operations ........ 6,023,706 25,477,965
------------- -------------
Distributions to Class A Shareholders:
From net investment income ........................ -- (11,026)
------------- -------------
Change in net assets from distributions to
shareholders......................................... -- (11,026)
------------- -------------
Change in net assets from capital transactions ........ 5,691,209 6,213,682
------------- -------------
Change in net assets .................................. 11,714,915 31,680,621
Net Assets:
Beginning of period ............................... 168,592,496 136,911,875
------------- -------------
End of period ..................................... $ 180,307,411 $ 168,592,496
============= =============
Distributions in excess of net investment income ...... $ (53,276) --

SEE NOTES TO FINANCIAL STATEMENTS.

FINANCIAL HIGHLIGHTS

MMA PRAXIS CORE STOCK FUND
FINANCIAL HIGHLIGHTS

For a share outstanding throughout the period indicated.

Class A Shares
-------------------------------------------------------------------------------------
Six Months Year Ended Year Ended Year Ended Year Ended Period Ended
Ended June 30, December 31, December 31, December 31, December 31, December 31,
2004 2003 2002 2001 2000 1999 (a)
-------------- ------------ ------------ ------------ ------------ ------------
(Unaudited)

Net Asset Value, Beginning of Period ... $ 13.06 $ 11.00 $ 13.44 $ 14.59 $ 15.02 $ 17.39
---------- -------- --------- --------- --------- --------
Investment Activities:
Net investment income .............. 0.02 0.05 0.04 0.03 0.03 0.01
Net realized and unrealized
losses from investments .......... 0.47 2.01 (2.48) (1.18) (0.08) (0.24)
---------- -------- --------- --------- --------- --------
Total from Investment Activities ... 0.49 2.06 (2.44) (1.15) (0.05) (0.23)
---------- -------- --------- --------- --------- --------
Distributions:
Net investment income .............. -- --(b) -- -- -- --
Net realized gains ................. -- -- -- -- (0.38) (2.14)
---------- -------- --------- --------- --------- --------
Total Distributions ................ -- -- -- -- (0.38) (2.14)
---------- -------- --------- --------- --------- --------
Net Asset Value, End of Period ......... $ 13.55 $ 13.06 $ 11.00 $ 13.44 $ 14.59 $ 15.02
========== ======== ========= ========= ========= ========
Total Return (excludes sales charge).... 3.75%(c) 18.77 (18.15%) (7.88%) (0.43%) (0.91%)(c)

Ratios/Supplemental Data:
Net Assets at end of period (000)... $ 54,893 $ 41,244 $ 25,314 $ 24,780 $ 17,783 $ 10,318
Ratio of expenses to average
net assets ........................ 1.25%(d) 1.25 1.20% 1.20% 1.20% 1.20%(d)
Ratio of net investment income to
average net assets ................. 0.40%(d) 0.45 0.35% 0.25% 0.21% 0.20%(d)
Ratio of expenses to average
net assets* ....................... 1.81%(d) 1.86 1.94% 1.86% 1.82% 1.82%(d)
Portfolio turnover (e) ............. 5.59% 7.68 10.20% 17.58% 22.77% 77.18%

- -------
* During the period, certain expenses were voluntarily reduced/reimbursed.
If such expense reduction had not occurred, the ratios would have been as
indicated.

(a) For the period from May 12, 1999 (commencement of operations) through
December 31, 1999.

(b) Distribution per share was less than $0.005.

(d) Annualized.

(e) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing between classes of shares issued.

SEE NOTES TO FINANCIAL STATEMENTS.

MMA PRAXIS CORE STOCK FUND
FINANCIAL HIGHLIGHTS, CONTINUED

For a share outstanding throughout the period indicated.

Class B Shares
--------------------------------------------------------------------------------------
Six Months Year Ended Year Ended Year Ended Year Ended Year Ended
Ended June 30, December 31, December 31, December 31, December 31, December 31,
2004 2003 2002 2001 2000 1999
----------- ----------- ----------- ----------- ----------- -----------
(Unaudited)

Net Asset Value, Beginning of Period $ 12.67 $ 10.74 $ 13.19 $ 14.42 $ 14.94 $ 15.29
-------- --------- --------- --------- --------- --------
Investment Activities:
Net investment income (loss) ..... (0.02) (0.02) (0.02) (0.04) (0.05) (0.06)
Net realized and unrealized gains
(losses) from investments ....... 0.46 1.95 (2.43) (1.19) (0.09) 1.85
-------- --------- --------- --------- --------- --------
Total from Investment Activities.. 0.44 1.93 (2.45) (1.23) (0.14) 1.79
-------- --------- --------- --------- --------- --------

Distributions:
Net realized gains ............... -- -- -- -- (0.38) (2.14)
Total Distributions .............. -- -- -- -- (0.38) (2.14)
-------- --------- --------- --------- --------- --------
Net Asset Value, End of Period ...... $ 13.11 $ 12.67 $ 10.74 $ 13.19 $ 14.42 $ 14.94
======== ========= ========= ========= ========= ========
Total Return (excludes
redemption charge) ............... 3.47%(a) 17.97% (18.57%) (8.53%) (1.04%) 12.16%

Ratios/Supplemental Data:

Net Assets at end of period (000).... $125,415 $ 127,348 $ 111,598 $ 39,788 $ 58,850 $ 58,286
Ratio of expenses to average
net assets ....................... 1.90%(b) 1.90% 1.75% 1.75% 1.75% 1.75%
Ratio of net investment income to
average net assets ............... (0.23%)(b) (0.21%) (0.20%) (0.31%) (0.33%) (0.41%)
Ratio of expenses to average
net assets* ...................... 2.31%(b 2.33% 2.44% 2.36% 2.31% 2.35%
Portfolio turnover (c) .............. 5.59% 7.68% 10.20% 17.58% 22.77% 77.18%

- -----------------
* During the period, certain expenses were voluntarily reduced/reimbursed.
If such expense reduction had not occurred, the ratios would have been as
indicated.

(a) Notannualized.

(b) Annualized.

(c) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing between classes of shares issued.

SEE NOTES TO FINANCIAL STATEMENTS.

MMA PRAXIS VALUE INDEX FUND

MMA PRAXIS VALUE INDEX FUND
SEMI-ANNUAL REPORT TO SHAREHOLDERS
PORTFOLIO MANAGERS' LETTER

INVESTMENT CONCERNS:

Value-based investments are subject to the risk that the broad market may not
recognize their intrinsic value. Equity securities (stocks) are more volatile
and carry more risk than other forms of investments, including investments in
high-grade fixed income securities. The net asset value per share of this Fund
will fluctuate as the value of the securities in the portfolio changes. Common
stocks, and funds investing in common stocks, generally provide greater return
potential when compared with other types of investments. Securities indexes
assume reinvestment of all distributions and interest payments and do not take
in account brokerage fees or expenses. Securities in the fund do not match those
in the indexes and performance of the fund will differ. It is not possible to
invest directly in an index.

After opening up a gap of value style outperformance early in the year,
so-called value stocks and growth stocks returned roughly equal performance for
the first six months of the year. The modest absolute returns and the lack of
divergence between the two investment styles mirrors what we have been observing
in the stock market at large. That is, the strategies that worked in 2003 are
not working so far this year. Last year's advantage to value style investing and
the outperformance of low priced, high-risk stocks, appears to not be working
any longer. Small company stocks have continued to do well early in the year,
but that strategy has also begun to yield smaller advantages as large company
stocks make up lost ground.

We describe these trends not to encourage investors to try to guess which market
sector or style strategy will perform best in the coming period, but to explain
past performance in the context of a fickle market. It also serves as a
reminder that a properly managed portfolio has elements of different asset
classes and equity types that, when combined, can reduce risk and may improve
performance if rebalanced on a periodic basis (though not too often). As we
often remind investors in this section, the MMA Praxis Value Index Fund is a
passively-managed portfolio that we recommend be used as part of an asset
allocation model. We don't recommend that it be used as an attempt to time the
market when value-style investing is in favor by other market participants. Such
behavior is fraught with danger and often causes investors to experience returns
lower than what the mutual fund actually earned for investors who remained
invested through the period.

The fund's first half underperformance relative to its benchmark, the Standard
and Poor's 500/ Barra Value Index,(1) was most significantly driven by lack of
exposure to companies excluded from the fund for socially responsible (SRI)
reasons. This factor negatively impacted the fund by 1.05 percent. The fund also
underperformed due to a lack of exposure to the smaller companies in the
benchmark index. This factor impacted the fund by 0.20 percent. However, some of
this underperformance was offset by good performance in some names not in the
index that are held by the fund. The most notable company was BP.(2)

- ----------------
(1) Please refer to the Glossary of Terms on page A for additional information
on the referenced benchmark indices.

(2) Portfolio holdings are subject to change and should not be considered a
recommendation to buy individual securities.

As a passively managed index fund, the managers do not explicitly manage the MMA
Praxis Value Index Fund on a daily basis. Index constituents are determined
twice each year and stocks are purchased in relative proportion to their market
values. We continue to believe the fund remains appropriate for diversified
investors seeking exposure to the U.S. large-cap value portion of the market and
who want their investments to reflect their values.

Chad M. Horning, CFA
MMA Praxis Core Stock Fund Co-Manager

John M. Nussbaum, CFA
MMA Praxis Core Stock Fund Co-Manager

- ----------------
PAST PERFORMANCE DOES NOT GUARANTEE FUTURE RESULTS. THE PERFORMANCE DATA QUOTED
REPRESENTS PAST PERFORMANCE AND CURRENT RETURNS MAY BE LOWER OR HIGHER. THE
INVESTMENT RETURN AND PRINCIPAL VALUE WILL FLUCTUATE SO THAT AN INVESTOR'S
SHARES, WHEN REDEEMED MAY BE WORTH MORE OR LESS THAN THE ORIGINAL COST. TO
OBTAIN PERFORMANCE INFORMATION CURRENT TO THE MOST RECENT MONTH END, PLEASE
VISIT MMAPRAXIS.COM.

PERFORMANCE REVIEW

MMA PRAXIS VALUE INDEX FUND
PERFORMANCE REVIEW

AVERAGE ANNUAL TOTAL RETURNS AS OF 6/30/04

[BAR GRAPH]

INCEPTION SINCE
DATE 1 YEAR 3 YEAR INCEPTION
--------- ------ ------ ---------

Class A 5/1/01 18.92% -2.35% -2.94%
Class A* 5/1/01 12.62% -4.08% -4.57%
Class B 5/1/01 18.25% -2.88% -3.45%
Class B** 5/1/01 14.25% -3.52% -4.06%

*Reflects maximum front-end sales charge of 5.25%.

**Reflects applicable contingent deferred sales charge of 4.00%.

PAST PERFORMANCE DOES NOT GUARANTEE FUTURE RESULTS. THE PERFORMANCE DATA QUOTED
REPRESENTS PAST PERFORMANCE AND CURRENT RETURNS MAY BE LOWER OR HIGHER. THE
INVESTMENT RETURN AND PRINCIPAL VALUE WILL FLUCTUATE SO THAT AN INVESTOR'S
SHARES, WHEN REDEEMED MAY BE WORTH MORE OR LESS THAN THE ORIGINAL COST. THESE
PERFORMANCE FIGURES DO NOT REFLECT THE DEDUCTION OF TAXES THAT A SHAREHOLDER
WOULD PAY ON FUND DISTRIBUTIONS OR THE REDEMPTION OF FUND SHARES. TO OBTAIN
PERFORMANCE INFORMATION CURRENT TO THE MOST RECENT MONTH END, PLEASE VISIT
MMAPRAXIS.COM.

GROWTH OF $10,000 INVESTMENT 5/1/01 TO 6/30/04

[LINE CHART]
MMA Praxis Value Index Fund

Class A* Class B** Standard & Poor's 500/Barra Value Index(1)

12/01 8368 8799 8846
8187 8608 8603
7977 8378 8526
8339 8759 8963
7892 8278 8514
7920 8308 8548
6/02 7320 7676 8009
6584 6904 7143
6642 6954 7192
5848 6121 6370
6451 6753 6900
6890 7205 7385
12/02 6459 6754 7001
6324 6613 6809
6161 6442 6624
6122 6392 6615
6709 7006 7269
7189 7499 7804
6/03 7251 7566 7862
7406 7728 8036
7474 7789 8210
7406 7718 8061
7909 8233 8612
7957 8284 8690
12/03 8421 8768 9227
8518 8859 9390
8674 9012 9602
8606 8951 9535
8401 8727 9300
8499 8819 9407
6/04 8623 8771 9611

This chart represents historical performance of a hypothetical investment of
$10,000 in the Value Index Fund from 5/01/01 to 6/30/04, and represents the
reinvestment of dividends and capital gains in the fund.

PAST PERFORMANCE DOES NOT GUARANTEE FUTURE RESULTS. THE PERFORMANCE DATA QUOTED
REPRESENTS PAST PERFORMANCE AND CURRENT RETURNS MAY BE LOWER OR HIGHER. THE
INVESTMENT RETURN AND PRINCIPAL VALUE WILL FLUCTUATE SO THAT AN INVESTOR'S
SHARES, WHEN REDEEMED MAY BE WORTH MORE OR LESS THAN THE ORIGINAL COST. THESE
PERFORMANCE FIGURES DO NOT REFLECT THE DEDUCTION OF TAXES THAT A SHAREHOLDER
WOULD PAY ON FUND DISTRIBUTIONS OR THE REDEMPTION OF FUND SHARES. TO OBTAIN
PERFORMANCE INFORMATION CURRENT TO THE MOST RECENT MONTH END, PLEASE VISIT
MMAPRAXIS.COM.

* Reflects maximum front-end sales charge of 5.25%.

** Reflects applicable contingent deferred sales charge of 4.00%.

(1) The Standard & Poor's 500/Barra Value Index is an unmanaged index and is
constructed by dividing the stocks in the Standard & Poor's 500 Index into
two categories, growth and value, according to price-to-book ratios. This
index is for illustrative purposes only and does not reflect the
deduction of expenses associated with a mutual fund, such as investment
management and fund accounting fees. The fund's performance reflects the
deductions of these value-added services. An investor cannot invest
directly in an index, although they can invest in its underlying
securities.

SCHEDULE OF PORTFOLIO INVESTMENTS

MMA PRAXIS VALUE INDEX FUND
SCHEDULE OF PORTFOLIO INVESTMENTS
JUNE 30, 2004
(UNAUDITED)

SHARES VALUE
------ -----

COMMON STOCKS (99.5%)
ADVERTISING AGENCIES (0.2%)
Interpublic Group of Co.,
Inc. (a) .......................... 4,980 $ 68,375
----------
AIRLINES (0.1%)
Southwest Airlines Co. ............. 1,711 28,693
----------
APPAREL MANUFACTURERS (0.4%)
Jones Apparel Group, Inc. .......... 1,158 45,718
Liz Claiborne, Inc. ................ 907 32,634
V.F. Corp. ......................... 1,217 59,268
----------
137,620
----------
AUTOMOTIVE (1.6%)
AutoNation, Inc. (a) ............... 2,107 36,030
Dana Corp. ......................... 1,770 34,692
Ford Motor Co. ..................... 22,140 346,491
Lear Corp. ......................... 700 41,293
PACCAR, Inc. ....................... 1,995 115,690
----------
574,196
----------
BANKS (17.8%)
AmSouth Bancorp. ................... 4,220 107,483
Bank of America Corp. .............. 24,270 2,053,726
Bank of New York Co., Inc. ......... 4,812 141,858
Bank One Corp. ..................... 13,350 680,850
BB&T Corp. ......................... 6,920 255,832
Charter One Financial, Inc. ........ 2,370 104,730
Comerica, Inc. ..................... 1,986 108,992
Golden West Financial Corp. ........ 550 58,493
Huntington Bancshares, Inc. ........ 2,591 59,334
KeyCorp ............................ 4,880 145,863
M & T Bank Corp. ................... 1,410 123,093
Marshall & Ilsley Corp. ............ 2,575 100,657
National City Corp. ................ 7,670 268,527
Northern Trust Corp. ............... 251 10,612
Regions Financial Corp. ............ 2,547 93,093
SouthTrust Corp. ................... 2,280 88,487
State Street Corp. ................. 960 47,078
SunTrust Banks, Inc. ............... 3,330 216,417
U.S. Bancorp ....................... 22,560 621,754
Union Planters Corp. ............... 2,018 60,157
Wachovia Corp. ..................... 15,890 707,104
Wells Fargo Co. .................... 8,440 483,021
Zions Bancorp. ..................... 493 30,295
----------
6,567,456
----------
BEVERAGES (0.6%)
Coca-Cola Enterprises, Inc. ........ 5,800 168,142
Pepsiamericas, Inc. ................ 1,630 34,621
----------
202,763
----------
BROADCAST SERVICES & PROGRAMMING (0.3%)
Clear Channel Communications, Inc... 2,530 93,483
Univision Communications, Inc. (a).. 434 13,858
----------
107,341
----------

MMA PRAXIS VALUE INDEX FUND
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED
JUNE 30, 2004
(UNAUDITED)

SHARES VALUE
------ ----------

COMMON STOCKS, CONTINUED
BROKERAGE SERVICES (7.5%)
A.G. Edwards, Inc. .............................................................. 814 $ 27,700
Bear Stearns Co., Inc. .......................................................... 1,195 100,750
Goldman Sachs Group, Inc. ....................................................... 3,100 291,896
J.P. Morgan Chase & Co. ......................................................... 24,780 960,722
Lehman Brothers Holdings, Inc. .................................................. 3,469 261,042
Merrill Lynch & Co. ............................................................. 7,890 425,902
Morgan Stanley Dean Witter & Co. ................................................ 13,080 690,232
----------
2,758,244
----------
CABLE TV (2.0%)
Comcast Corp., Class A (a) ...................................................... 16,160 452,965
Comcast Corp., Special Class A (a) .............................................. 10,520 290,457
----------
743,422
----------
CHEMICALS - GENERAL (0.5%)
Air Products & Chemicals, Inc. .................................................. 2,535 132,961
Engelhard Corp. ................................................................. 416 13,441
Lyondell Petrochemical .......................................................... 2,120 36,867
----------
183,269
----------
COMPUTERS & PERIPHERALS (3.1%)
Apple Computer, Inc. (a) ........................................................ 2,800 91,112
Ceridian Corp. (a) .............................................................. 448 10,080
EMC Corp. (a) ................................................................... 5,240 59,736
Hewlett-Packard Co. ............................................................. 36,290 765,718
NCR Corp. (a) ................................................................... 979 48,549
Sun Microsystems, Inc. (a) ...................................................... 39,590 171,821
----------
1,147,016
----------
CONSUMER PRODUCTS (0.0%)
Bausch & Lomb, Inc. ............................................................. 250 16,268
----------
CONTAINERS - PAPER & PLASTIC (0.1%)
Bemis Co., Inc. ................................................................. 1,270 35,878
----------
COSMETICS & TOILETRIES (0.0%)
Alberto-Culver Co., Class B ..................................................... 136 6,819
----------
DISTRIBUTION (0.3%)
Genuine Parts Co. ............................................................... 1,805 71,622
W.W. Grainger, Inc. ............................................................. 580 33,350
----------
104,972
----------

ELECTRIC SERVICES (0.9%)
CenterPoint Energy, Inc. (b) .................................................... 3,149 36,214
Cinergy Corp. ................................................................... 2,052 77,976
Consolidated Edison, Inc. (b) ................................................... 2,950 117,292
NiSource, Inc. .................................................................. 3,349 69,056
Pepco Holdings, Inc. ............................................................ 1,389 25,391
----------
325,929
----------
ELECTRONIC & ELECTRICAL - GENERAL (2.0%)
Advanced Micro Devices, Inc. (a)( b) ............................................ 3,608 57,367
American Power Conversion Corp. ................................................. 2,380 46,767
Avnet, Inc. (a) ................................................................. 1,430 32,461
Jabil Circuit, Inc. (a) ......................................................... 84 2,115

MMA PRAXIS VALUE INDEX FUND
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED
JUNE 30, 2004
(UNAUDITED)

SHARES VALUE
------ -----

COMMON STOCKS, CONTINUED
ELECTRONIC & ELECTRICAL - GENERAL, continued
LSI Logic Corp. (a)(b) ............. 2,904 $ 22,128
Micron Technology, Inc. (a)(b) ..... 2,414 36,958
Molex, Inc. (b) .................... 212 6,801
Molex, Inc., Class A ............... 196 5,347
Novellus Systems, Inc. (a) ......... 126 3,961
Sanmina-SCI Corp. (a) .............. 1,945 17,700
Solectron Corp. (a) ................ 87 563
Texas Instruments, Inc. ............ 20,800 502,945
----------
735,113
----------
ENERGY (0.3%)
Valero Energy ...................... 1,530 112,853
----------
FINANCIAL SERVICES (10.3%)
Ambac Financial Group, Inc. ........ 586 43,036
Capital One Financial Corp. ........ 509 34,805
Charles Schwab Corp. ............... 2,270 21,815
Citigroup, Inc. .................... 47,390 2,203,634
Countrywide Credit Industries, Inc.. 3,320 233,230
E*Trade Group, Inc. (a) ............ 1,390 15,499
First Horizon Natl Corp. (b) ....... 1,337 60,793
Franklin Resources, Inc. ........... 1,310 65,605
Freddie Mac. ....................... 4,180 264,594
Janus Capital Group, Inc. .......... 2,110 34,794
MBIA, Inc. ......................... 976 55,749
MBNA Corp. ......................... 3,040 78,402
MGIC Investment Corp. .............. 853 64,709
PNC Financial Services Group ....... 3,480 184,718
Providian Financial Corp. (a)(b) ... 3,004 44,069
Washington Mutual, Inc. ............ 10,290 397,605
----------
3,803,057
----------
FOOD DISTRIBUTORS & WHOLESALERS (1.0%)
Albertsons, Inc. (b) ............... 4,440 117,838
Dean Foods Co. (a) ................. 1,870 69,770
Safeway, Inc. (a) .................. 4,924 124,774
SUPERVALU, Inc. .................... 1,251 38,293
----------
350,675
----------
FOOD PRODUCTS (0.6%)
Kraft Foods, Inc. .................. 6,650 210,672
----------
FORESTRY (0.2%)
Plum Creek Timber Co., Inc. ........ 1,969 64,150
----------
FURNITURE & HOME FURNISHINGS (0.1%)
Leggett & Platt, Inc. .............. 940 25,107
----------
HEALTH CARE SERVICES (0.9%)
Aetna, Inc. ........................ 940 79,900
AmerisourceBergen Corp. ............ 530 31,683
Anthem, Inc. (a) ................... 528 47,288
Humana, Inc. (a) ................... 850 14,365
McKesson HBOC, Inc. ................ 1,200 41,196

MMA PRAXIS VALUE INDEX FUND
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED
JUNE 30, 2004
(UNAUDITED)

SHARES VALUE
------ -----

COMMON STOCKS, CONTINUED
HEALTH CARE SERVICES, continued
Medco Health Solutions, Inc. (a) ................ 867 $ 32,513
Tenet Healthcare Corp. (a) ...................... 5,540 74,291
Wellpoint Health Networks, Inc. (a) ............. 236 26,434
----------
347,670
----------
HOME DECORATION PRODUCTS(0.2%)
Newell Rubbermaid, Inc. ......................... 3,270 76,845
----------
HOTELS & MOTELS (0.2%)
Marriott International, Inc., Class A ........... 383 19,104
Starwood Hotels & Resorts Worldwide, Inc. ....... 984 44,132
----------
63,236
----------
INDUSTRIAL GOODS & SERVICES (0.4%)
Masco Corp. ..................................... 5,210 162,448
----------
INSURANCE (7.2%)
AFLAC, Inc. ..................................... 902 36,811
Allstate Corp. .................................. 8,450 393,347
American International Group, Inc. .............. 7,760 553,132
Aon Corp. ....................................... 4,216 120,030
Chubb Corp. ..................................... 2,340 159,541
CIGNA Corp. ..................................... 1,570 108,032
Cincinnati Financial Corp. ...................... 2,122 92,360
Hartford Financial Services Group, Inc. ......... 2,545 174,943
Jefferson-Pilot Corp. ........................... 1,462 74,270
Lincoln National Corp. .......................... 1,437 67,898
MetLife, Inc. ................................... 9,190 329,462
Principal Financial Group, Inc. ................. 2,039 70,916
SAFECO Corp. .................................... 1,465 64,460
St. Paul Cos., Inc. ............................. 7,830 317,428
Torchmark Corp. ................................. 1,170 62,946
UnumProvident Corp. ............................. 2,865 45,554
Wesco Financial Corp. ........................... 80 28,960
----------
2,700,090
----------
INSURANCE PROPERTY-CASUALTY (0.6%)
ACE Ltd. ........................................ 2,370 100,204
XL Capital Ltd. ................................. 1,390 104,889
----------
205,093
----------
MACHINERY (0.4%)
Ingersoll-Rand Co., Ltd. ........................ 2,160 147,550
----------
MANUFACTURING (0.4%)
Brunswick Corp. ................................. 1,130 46,104
Cooper Industries Ltd., Class A ................. 1,004 59,647
Dover Corp. ..................................... 629 26,481
SPX Corp. ....................................... 583 27,075
----------
159,307
----------
MEDICAL - HOSPITALS (0.1%)
Health Management Associates, Inc., Class A (b).. 1,930 43,271
----------
MEDICAL SUPPLIES (0.0%)
Hillenbrand Industry, Inc. ...................... 216 13,057
----------

MMA PRAXIS VALUE INDEX FUND
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED
JUNE 30, 2004
(UNAUDITED)

SHARES VALUE
------ -----

COMMON STOCKS, CONTINUED
METALS (0.3%)
Alcan, Inc. ............................... 1,530 $ 63,342
Nucor Corp. (b) ........................... 381 29,246
----------
92,588
----------
MINING (0.1%)
Placer Dome, Inc. (b) ..................... 1,280 21,299
----------
MULTIMEDIA (2.1%)
Time Warner, Inc. (a) ..................... 43,960 772,817
----------
NEWSPAPERS (1.2%)
Gannett Co., Inc........................... 3,329 282,466
Tribune Co. ............................... 3,843 175,010
----------
457,476
----------
OIL & GAS EXPLORATION, PRODUCTION & SERVICES (2.6%)
Anadarko Petroleum Corp. .................. 2,931 171,757
Apache Corp. .............................. 3,890 169,410
Burlington Resources, Inc. ................ 4,548 164,547
Devon Energy Corp. ........................ 2,840 187,439
ENSCO International, Inc. ................. 745 21,680
EOG Resources, Inc. ....................... 1,233 73,622
GlobalSantaFe Corp. (b) ................... 1,747 46,296
Nabors Industries Ltd. (a) ................ 546 24,690
Noble Corp. (a) ........................... 606 22,961
Transocean Sedco Forex, Inc. (a) .......... 3,130 90,582
----------
972,984
----------
OIL & GAS TRANSMISSION (0.5%)
El Paso Corp............................... 6,943 54,711
KeySpan Corp............................... 1,559 57,215
Sempra Energy.............................. 2,559 88,107
----------
200,033
----------
OIL - INTEGRATED (13.9%)
BP Amoco PLC ADR .......................... 43,460 2,328,152
ConocoPhillips ............................ 8,160 622,526
Royal Dutch Petroleum Co. ................. 24,800 1,281,416
Shell Transport & Trading Co. PLC ADR (b).. 19,160 856,452
Sunoco, Inc. (b) .......................... 800 50,896
----------
5,139,442
----------
PAPER PRODUCTS (1.6%)
Boise Cascade Corp. ....................... 1,040 39,146
International Paper Co. ................... 5,670 253,448
MeadWestvaco Corp. ........................ 2,122 62,366
Temple-Inland, Inc. ....................... 562 38,919
Weyerhaeuser Co. .......................... 2,860 180,523
----------
574,402
----------
PHARMACEUTICALS (0.2%)
Caremark Rx, Inc. (a) ..................... 820 27,011
King Pharmaceuticals, Inc. (a) ............ 2,084 23,862
Watson Pharmaceutical, Inc. (a) ........... 436 11,728
----------
62,601
----------

MMA PRAXIS VALUE INDEX FUND
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED
JUNE 30, 2004
(UNAUDITED)

SHARES VALUE
------ -----

COMMON STOCKS, CONTINUED
PIPELINES (0.4%)
Kinder Morgan, Inc. ........................ 663 $ 39,309
Questar Corp. .............................. 860 33,230
The Williams Cos., Inc. .................... 5,336 63,499
--------
136,038
--------
PRINTING - COMMERCIAL (0.2%)
R.R. Donnelley & Sons Co. .................. 2,590 85,522
--------
RAILROADS (0.6%)
CSX Corp. .................................. 2,630 86,185
Norfolk Southern Corp. ..................... 4,463 118,359
--------
204,544
--------
RAW MATERIALS (0.1%)
Vulcan Materials Co. ....................... 1,143 54,350
--------
REAL ESTATE INVESTMENT TRUST (1.2%)
AMB Property Corp. ......................... 980 33,937
Apartment Investment & Management Co. ...... 975 30,352
Avalonbay Communities, Inc. ................ 880 49,738
Duke Realty Investments, Inc. .............. 1,569 49,910
Equity Office Properties Trust ............. 4,920 133,823
Equity Residential Properties Trust ........ 3,131 93,085
ProLogis ................................... 1,862 61,297
--------
452,142
--------
RESIDENTIAL BUILDING CONSTRUCTION (0.2%)
Centex Corp. ............................... 308 14,091
KB Home .................................... 382 26,217
Pulte Homes, Inc. .......................... 810 42,144
--------
82,452
--------
RESTAURANTS (1.1%)
Darden Restaurants, Inc. ................... 15 308
McDonald's Corp. ........................... 15,150 393,900
Wendy's International, Inc. ................ 518 18,047
--------
412,255
--------
RETAIL (2.3%)
Costco Wholesale Corp. ..................... 3,240 133,067
CVS Corp. .................................. 2,160 90,763
Federated Department Stores, Inc. .......... 1,938 95,156
J.C. Penney Co., Inc. ...................... 3,149 118,906
Limited, Inc. .............................. 5,950 111,265
May Department Stores Co. .................. 3,410 93,741
Office Depot, Inc. (a) ..................... 3,720 66,625
Sears, Roebuck & Co. ....................... 2,627 99,196
Toys "R" Us, Inc. (a) ...................... 2,550 40,749
--------
849,468
--------
SOFTWARE & COMPUTER SERVICES (0.4%)
Affiliated Computer Services - Class A (a).. 320 16,941
Compuware Corp. (a) ........................ 4,600 30,360
PeopleSoft, Inc. (a) ....................... 3,906 72,260
Siebel Systems, Inc. (a) ................... 3,470 37,060
--------
156,621
--------

MMA PRAXIS VALUE INDEX FUND
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED
JUNE 30, 2004
(UNAUDITED)

SHARES OR
PRINCIPAL
AMOUNT VALUE
------------ ------------

COMMON STOCKS, CONTINUED
TELECOMMUNICATIONS (9.4%)
ALLTEL Corp. ........................................................ 3,750 $ 189,825
Andrew Corporation (a) .............................................. 1,070 21,411
AT&T Corp. .......................................................... 8,980 131,377
AT&T Wireless Services, Inc. (a) .................................... 6,490 92,937
BellSouth Corp. ..................................................... 22,390 587,066
CenturyTel, Inc. .................................................... 1,335 40,103
Citizens Communications Co. (a) ..................................... 2,922 35,356
SBC Communications, Inc. ............................................ 39,420 955,935
Sprint Corp. ........................................................ 10,530 185,328
Telephone & Data Systems, Inc. ...................................... 595 42,364
Verizon Communications, Inc. ........................................ 32,970 1,193,185
------------
3,474,887
------------
TELECOMMUNICATIONS-SERVICES & EQUIPMENT (0.5%)
Comverse Technology, Inc. (a) ....................................... 776 15,473
Corning, Inc. (a) ................................................... 6,210 81,103
JDS Uniphase Corp. (a)(b) ........................................... 860 3,259
Scientific-Atlanta, Inc. ............................................ 1,536 52,992
Tellabs, Inc. (a)(b) ................................................ 3,498 30,573
------------
183,400
------------
TRANSPORTATION SERVICES (0.2%).............................................
FedEx Corp. ......................................................... 741 60,532
------------
TRAVEL SERVICES (0.1%).....................................................
Sabre Holdings Corp. ................................................ 1,211 33,557
------------
TOTAL COMMON STOCKS ....................................................... $ 36,707,865
------------

CORPORATE NOTES (0.8%).....................................................
COMMUNITY DEVELOPMENT (0.8%)...............................................
MMA Community Development Investment, Inc., 1.48%, 7/1/04, +(c) ..... $ 75,000 75,000
MMA Community Development Investment, INC., 2.22%, 7/1/04, +(c) ..... 235,000 235,000
------------
TOTAL CORPORATE NOTES ..................................................... 310,000
------------
SECURITIES HELD AS COLLATERAL FOR SECURITIES LENDING (4.6%)
SHORT TERM (4.6%)
Den Danske Bank Collateral .......................................... 81 81
Lloyd's Letter of Credit ............................................ 124 124
LOCC HSBC Letter of Credit .......................................... 62 62
Monte Dei Paschi Di Siena Collateral ................................ 78 78
National Australia Collateral ....................................... 155 155
Northern Institutional Liquid Asset Portfolio ....................... 1,708,206 1,708,206
Paribas Letter of Credit ............................................ 214 214
Royal Bank of Canada Letter of Credit ............................... 135 135
Standard Chartered Bank Letter of Credit ............................ 47 47
------------
1,709,102
------------
TOTAL INVESTMENTS (COST $35,586,380) (d) - 104.9% ......................... 38,726,967
Liabilities in excess of other assets - (4.9)% ...................... (1,834,840)
------------
NET ASSETS - 100.0% ....................................................... $ 36,892,127
============

MMA PRAXIS VALUE INDEX FUND
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED
JUNE 30, 2004
(UNAUDITED)

SHARES OR
PRINCIPAL
AMOUNT VALUE
------------ -----

(a) Represents non-income producing securities.

(b) All or part of this security was on loan, as of June 30, 2004.

(c) Represents affiliated restricted security as to resale to investors and is
not registered under the Securities Act of 1933. These securities have
been deemed illiquid under guidelines established by the Board of
Trustees.

Unrealized appreciation ...................................................................... $4,098,3252
Unrealized depreciation ...................................................................... (957,738)
-----------
Net unrealized appreciation .................................................................. $ 3,140,587
===========

+ Variable rate security. Rates presented are the rates in effect at June
30, 2004. Date presented reflects next rate change date.

ADR - American Depositary Receipt

PLC - Public Liability Co.

SEE NOTES TO FINANCIAL STATEMENTS.

STATEMENT OF ASSETS AND LIABILITIES

MMA PRAXIS VALUE INDEX FUND
STATEMENT OF ASSETS AND LIABILITIES
JUNE 30, 2004
(UNAUDITED)

ASSETS:
Investments, at value (cost $33,567,278) ....................................................... $ 36,707,865
Investment in affiliates, at value (cost $310,000) ............................................. 310,000
Investments held as collateral for securities lending, at value (cost $1,709,102) .............. 1,709,102
------------
Total Investments ........................................................... 38,726,967
------------
Cash ........................................................................................... 220,356
Interest and dividends receivable .............................................................. 36,832
Receivable for capital shares issued ........................................................... 10,836
Receivable for investments sold ................................................................ 2,196,620
Prepaid expenses ............................................................................... 13,878
------------
Total Assets ................................................................ 41,205,489
------------

LIABILITIES:
Distributions payable to shareholders .......................................................... 226,268
Payable for investments purchased .............................................................. 2,346,950
Payable for securities loaned .................................................................. 1,709,102
Accrued expenses and other payables:
Investment adviser fees ............................................................... 13,234
Administration fees ................................................................... 9,578
Distribution fees ..................................................................... 4,752
Shareholder servicing fees ............................................................ 602
Other ................................................................................. 2,876
------------
Total Liabilities ........................................................... 4,313,362
------------
NET ASSETS:
Capital ........................................................................................ 36,278,263
Distributions in excess of net investment income ............................................... (928)
Accumulated net realized losses from investment transactions ................................... (2,525,795)
Net unrealized appreciation from investments ................................................... 3,140,587
------------
Net Assets .................................................................. $ 36,892,127
============
Net Assets
Class A ............................................................................... $ 29,624,394
Class B ............................................................................... 7,267,733
------------
Total ....................................................................... $ 36,892,127
============
Shares outstanding
(unlimited number of shares authorized with $.01 par value)
Class A ............................................................................... 3,367,308
Class B ............................................................................... 827,741
------------
Total ....................................................................... 4,195,049
============

Net asset value
Class A - Redemption Price Per Share .................................................. $ 8.80
============
Class A - Maximum Sales Charge ........................................................ 5.25%
============
Class A - Maximum Offering Price Per Share (100%/(100%-Maximum Sales Charge)
of net asset value adjusted to the nearest cent) ............................ $ 9.29
============

Class B - Offering Price Per Share* ................................................... $ 8.78
============

* Redemption price per share (Class B) varies by length of time shares are held.

SEE NOTES TO FINANCIAL STATEMENTS.

STATEMENT OF OPERATIONS

MMA PRAXIS VALUE INDEX FUND
STATEMENT OF OPERATIONS
FOR THE SIX MONTHS ENDED JUNE 30, 2004
(UNAUDITED)

INVESTMENT INCOME:
Dividends ........................................................ $ 408,952
Foreign tax withholding .......................................... (4,536)
Income from securities lending ................................... 985
Interest from affiliates ......................................... 2,420
---------
Total Investment Income ....................... 407,821
---------
EXPENSES:
Investment adviser fees .......................................... 51,896
Administration fees .............................................. 51,856
Distribution fees-Class A ........................................ 34,984
Distribution fees-Class B ........................................ 24,789
Shareholder servicing fees-Class A ............................... 34,984
Shareholder servicing fees-Class B ............................... 8,263
Custodian fees ................................................... 2,865
Trustees' fees and expenses ...................................... 1,686
Transfer agent fees .............................................. 11,221
Other expenses ................................................... 34,062
---------
Total expenses before reductions
/reimbursements.............................. 256,606
Expenses reimbursed by Investment Adviser ................... (304)
Expenses reduced by Distributor ............................. (72,732)
Expenses reduced by Custodian ............................... (1,137)
---------
Net Expenses .................................. 182,433
---------

Net Investment Income ............................................ 225,388
---------
NET REALIZED AND UNREALIZED GAINS/(LOSSES) ON INVESTMENTS:
Net realized losses from investment transactions ................. (236,573)
Change in unrealized appreciation/depreciation from investments .. 750,582
---------
Net realized/unrealized gains on investments ..................... 514,009
---------
Change in net assets resulting from operations ................... $ 739,397
=========

SEE NOTES TO FINANCIAL STATEMENTS.

STATEMENTS OF CHANGES IN NET ASSETS

MMA PRAXIS VALUE INDEX FUND
STATEMENTS OF CHANGES IN NET ASSETS

Six Months Year Ended
Ended June 30, December 31,
2004 2003
--------------- ------------
(Unaudited)

From Investment Activities:
Net investment income ......................................... $ 225,388 $ 331,974
Net realized losses from investment transactions .............. (236,573) (328,641)
Change in unrealized appreciation/depreciation from
investments ................................................. 750,582 6,701,971
------------ ------------
Change in net assets resulting from operations ................ 739,397 6,705,304
------------ ------------

Distributions to Class A Shareholders:
From net investment income .................................. (196,128) (299,237)
------------ ------------

Distributions to Class B Shareholders:
From net investment income .................................. (30,188) (40,332)
------------ ------------
Change in net assets from distributions to shareholders ....... (226,316) (339,569)
------------ ------------
Change in net assets from capital transactions ................ 4,912,974 6,802,871
------------ ------------

Change in net assets .......................................... 5,426,055 13,168,606

Net Assets:
Beginning of period ......................................... 31,466,072 18,297,466
------------ ------------
End of period ............................................... $ 36,892,127 $ 31,466,072
============ ============

Distributions in excess of net investment income .............. $ (928) --

SEE NOTES TO FINANCIAL STATEMENTS.

FINANCIAL HIGHLIGHTS

MMA PRAXIS VALUE INDEX FUND
FINANCIAL HIGHLIGHTS

For a share outstanding throughout the period indicated.

Class A Shares
------------------------------------------------------------------
Six Months Year Ended Year Ended Period Ended
Ended June 30, December 31, December 31, December 31,
2004 2003 2002 2001 (a)
------------- ----------- ------------ ------------
(Unaudited)

Net Asset Value, Beginning of Period .......... $ 8.65 $ 6.72 $ 8.79 $ 10.00
Investment Activities:
Net investment income ..................... 0.06 0.10 0.07 0.03
Net realized and unrealized losses
from investments ..................... 0.15 1.93 (2.07) (1.20)
Total from Investment Activities .......... 0.21 2.03 (2.00) (1.17)

Distributions:
Net investment income ..................... (0.06) (0.10) (0.07) (0.03)
Net realized gains ........................ -- -- -- (0.01)
---------- ---------- ---------- ----------
Total Distributions ....................... (0.06) (0.10) (0.07) (0.04)
---------- ---------- ---------- ----------
Net Asset Value, End of Period ................ $ 8.80 $ 8.65 $ 6.72 $ 8.79
========== ========== ========== ==========
Total Return (excludes sales charge) .......... 2.41%(b) 30.38% (22.81%) (11.72%)(b)

Ratios/Supplemental Data:
Net Assets at end of period (000) ......... $ 29,624 $ 25,815 $ 15,071 $ 14,136
Ratio of expenses to average net assets ... 0.95%(c) 0.95% 0.95% 0.95%(c)
Ratio of net investment income to
average net assets ................... 1.41%(c) 1.49% 0.98% 0.61%(c)
Ratio of expenses to average net assets* .. 1.39%(c) 1.71% 2.13% 2.44%(c)
Portfolio turnover (d) .................... 6.54% 35.21% 30.61% 17.86%

- -------------
* During the period, certain expenses were voluntarily
reduced/reimbursed. If such expense reductions had not occurred, the
ratios would have been as indicated.

(a) For the period from May 2, 2001 (commencement of operations) through
December 31, 2001.

(b) Not annualized.

(d) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing between classes of shares issued.

SEE NOTES TO FINANCIAL STATEMENTS.

MMA PRAXIS VALUE INDEX FUND
FINANCIAL HIGHLIGHTS, CONTINUED

For a share outstanding throughout the period indicated.

Class B Shares
--------------------------------------------------------------
Six Months Year Ended Year Ended Period Ended
Ended June 30, December 31, December 31, December 31,
2004 2003 2002 2001 (a)
-------------- ------------ ------------ ------------
(Unaudited)

Net Asset Value, Beginning of Period ........ $ 8.64 $ 6.71 $ 8.78 $ 10.00
--------- --------- --------- ---------
Investment Activities:
Net investment income ................... 0.04 0.07 0.03 -
Net realized and unrealized losses
from investments ................... 0.14 1.93 (2.07) (1.20)
--------- --------- --------- ---------
Total from Investment Activities ........ 0.18 2.00 (2.04) (1.20)
--------- --------- --------- ---------
Distributions:
Net investment income ................... (0.04) (0.07) (0.03) (0.01)
Net realized gains ...................... -- -- -- (0.01)
--------- --------- --------- ---------
Total Distributions ..................... (0.04) (0.07) (0.03) (0.02)
--------- --------- --------- ---------
Net Asset Value, End of Period .............. $ 8.78 $ 8.64 $ 6.71 $ 8.78
========= ========= ========= =========
Total Return (excludes redemption charge) ... 2.04%(b) 29.82% (23.24%) (12.01%)(b)

Ratios/Supplemental Data:
Net Assets at end of period (000) ........... $ 7,268 $ 5,651 $ 3,227 $ 2,593
Ratio of expenses to average net assets ..... 1.50%(c) 1.50% 1.50% 1.50%(c)
Ratio of net investment income to
average net assets ...................... 0.86%(c) 0.94% 0.44% 4.00%(c)
Ratio of expenses to average net assets* .... 1.88%(c) 2.21% 2.64% 2.58%(c)
Portfolio turnover (d) ...................... 6.54% 35.21% 30.61% 17.86%

- ---------------------
* During the period, certain expenses were voluntarily reduced/
reimbursed. If such expense reductions had not occurred, the ratios
would have been as indicated.

(a) For the period from May 2, 2001 (commencement of operations) through
December 31, 2001.

(b) Not annualized.

(d) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing between classes of shares issued.

SEE NOTES TO FINANCIAL STATEMENTS.

This page intentionally left blank.

MMA PRAXIS INTERNATIONAL FUND

MMA PRAXIS INTERNATIONAL FUND
SEMI-ANNUAL REPORT TO SHAREHOLDERS
PORTFOLIO MANAGER'S LETTER

INVESTMENT CONCERNS:

International investing involves increased risk and volatility. Among others,
additional risks include fluctuations in currency exchange rates, differences
among various countries in how taxes are computed and paid, differences in
accounting standards which can result in different valuations for similar
companies, and differences in auditing and financial reporting practices.

BACKGROUND

MMA Praxis International Fund invests in international equities, which are
screened to exclude companies deemed not socially responsible (SRI). This means
that several industries are excluded from investment, and investment in certain
other industries is limited. Excluded industries include tobacco, gambling,
defense, alcohol, abortifacients, nuclear power, and adult entertainment.
Investing in other industries is limited, for example, in the manufacturing and
mining industries. In addition, some large companies, which dominate the Europe
Australasia, Far East (EAFE) index, are excluded because they do not meet SRI
criteria (e.g. Ericsson, Siemans, Hitachi, UBS).

There are about 880 companies that are not appropriate for investment due to
these restrictions. However, the MSCI EAFE Index,(1) against which this fund is
compared, has no such restrictions. Thus, holders of the MMA Praxis fund should
remember that investments are made using rigorous SRI criteria. The large number
of excluded names and industries means that comparing the fund with an index
that has no such restrictions can and does result in wide performance
deviations.

STRATEGY

During the first half of 2004, Japan was overweight with an average weight for
the period of 23.51 percent. We believe Japanese equities are inexpensive, and
have benefited from three things: China's strong growth, a strong U.S. economy,
and the first stage of new domestic demand in Japan itself. As has been the case
in the United States and Europe, the lowest quality Japanese equities performed
the best. Your fund concentrates on better quality companies and did not fully
participate as a result. This was particularly significant in the banking
sector where the fund owned the best banks and the worst banks outperformed. We
make no apologies for sticking to what we believe are better quality companies
with good management.

Emerging market exposure was reduced during the first half from about 14
percent to 5 percent. Emerging markets did very well in 2003, and have had to
deal with several "one off" situations, which collectively have caused signifi
cant declines across the board in Emerging Markets. These "one-offs" include:
the surprise defeat of India's ruling party in its recent election, China's
sharp change in economic measures to reduce growth and inflationary pressure
there, and the Yukos energy trial in Russia.

- ---------------------
(1) Please refer to the Glossary of Terms on page A for additional information
on the referenced benchmark indices.

(2) Portfolio holdings are subject to change and should not be considered a
recommendation to buy individual securities.

PAST PERFORMANCE DOES NOT GUARANTEE FUTURE RESULTS. THE PERFORMANCE DATA QUOTED
REPRESENTS PAST PERFORMANCE AND CURRENT RETURNS MAY BE LOWER OR HIGHER. THE
INVESTMENT RETURN AND PRINCIPAL VALUE WILL FL UCTUATE SO THAT AN INVESTOR'S
SHARES, WHEN REDEEMED MAY BE WORTH MORE OR LESS THAN THE ORIGINAL COST. TO
OBTAIN PERFORMANCE INFORMATION CURRENT TO THE MOST RECENT MONTH END, PLEASE
VISIT MMAPRAXIS.COM.

Some of the specific names that added to performance during the period are as
follows (these are some of our favorite companies that did well):

- - BRASCAN is a Canadian conglomerate that we have held for several years. We
meet with the management regularly. When we first bought it, it was
trading at a 34 percent discount to its net asset value. Over the years,
it has changed from a rag-tag group of businesses, to a more focused group
of companies that we believe generate good cash flow.(1)

- - OTP BANK is Hungary's largest commercial bank. Business has been booming
because mortgage loans have been introduced over the last few years, and
OTP has been the largest player in this trend. The government passed tax
laws favorable to home ownership. However, these laws have recently become
less generous and we have been reducing OTP holdings as a result.(1)

- - VIVENDI UNIVERSAL, a much-maligned French media company under its former
management, has new management, and is selling off non-core units, of
which there are many. It is paying down debt with the proceeds, and we
believe the remaining businesses are good cash flow businesses.(1)

- - One of our favorites, SMITH & NEPHEW, keeps on keeping on. It is a leading
UK producer of artificial hip and knee joints. The populations of Europe,
Japan, and the United States are aging, and our research has revealed that
the demand for their important products will increase significantly over
the next decade. It is one of three manufacturers that share the world
market.(1)

Now let's turn to some names that didn't do so well:

- - Top on our list of underperformers was RELIANCE, an Indian conglomerate.
It is involved in telecommunications (cellular), energy, and
petrochemicals. It is one of India's blue chips. When the heavily favored
incumbent BJP party was ousted from power in favor of the Congress party,
the Indian market declined significantly. Reliance was down about 35
percent in a short period of time. We reviewed the holding and concluded
that nothing had changed about the company, and we would continue to hold
it.(1)

- - NOKIA is the most widely known manufacturer of cell phones. It's shares
had a tough half, and we concluded that competition was growing
significantly and that it would not regain its preeminent position in a
more crowded global field. We sold it.(1)

In general, the funds' management looks for the best value (e.g., Brascan when
we bought it) and growth (e.g., Smith & Nephew) companies we can find. We like
well-managed companies, or companies where there is an improvement underway.
Cash flow is more important to us than earnings because it is more difficult
for companies to manipulate cash flow. And our search is for companies that are
socially responsible.

OUTLOOK

In the international markets, we believe the second half of 2004 will be much
like the first half of the year. Uncertainty about the effects of higher
interest rates, geopolitical issues, and high energy prices may continue to
dominate investor sentiment. As a result, we believe the international stock
markets are likely to remain in a trading range. In this environment, stock
selection could be the key to performance. We have positioned the fund to take
advantage of some of the best global companies, and we believe this will benefit
total return over the longer term.

Gilman Gunn
Evergreen portfolio manager

- ------------------------
(1) Portfolio holdings are subject to change and should not be considered a
recommendation to buy individual securities.

PERFORMANCE REVIEW

MMA PRAXIS INTERNATIONAL FUND
PERFORMANCE REVIEW

AVERAGE ANNUAL TOTAL RETURNS AS OF 6/30/04

[BAR GRAPH]

INCEPTION SINCE
DATE 1 YEAR 3 YEAR 5 YEAR INCEPTION
-------- ------ ------ ------ -----------

Class A 5/12/99 21.91% -1.96% -3.87% 2.00%
Class A* 5/12/99 15.51% -3.71% -4.90% 1.25%

Class B 4/1/97 21.04% -2.56% -4.44% 1.58%
Class B** 4/1/97 17.04% -3.20% -4.60% 1.58%

* Reflects maximum front-end sales charge of 5.25%.

** Reflects applicable contingent deferred sales charge of 4.00%.

PAST PERFORMANCE DOES NOT GUARANTEE FUTURE RESULTS. THE PERFORMANCE DATA QUOTED
REPRESENTS PAST PERFORMANCE AND CURRENT RETURNS MAY BE LOWER OR HIGHER. THE
INVESTMENT RETURN AND PRINCIPAL VALUE WILL FLUCTUATE SO THAT AN INVESTOR'S
SHARES, WHEN REDEEMED MAY BE WORTH MORE OR LESS THAN THE ORIGINAL COST. THESE
PERFORMANCE FIGURES DO NOT REFLECT THE DEDUCTION OF TAXES THAT A SHAREHOLDER
WOULD PAY ON FUND DISTRIBUTIONS OR THE REDEMPTION OF FUND SHARES. TO OBTAIN
PERFORMANCE INFORMATION CURRENT TO THE MOST RECENT MONTH END, PLEASE VISIT
MMAPRAXIS.COM.

GROWTH OF $10,000 INVESTMENT 4/1/97 TO 6/30/04

[LINE GRAPH]

MMA Praxis International Fund

Class A* Class B** MSCI AC World Free-(ex. U.S.) Index(1)

4/97 9479 10000 10000
6/97 10901 11501 11298
12/97 10085 10640 10230
6/98 12497 13184 11454
12/98 12504 13191 11708
6/99 13328 14061 12546
12/99 17811 18732 15327
6/00 16587 17402 14817
12/00 14208 14867 13015
6/01 11611 12110 11290
12/01 10596 11014 10478
6/02 10136 10516 10368
12/02 8552 8841 8941
6/03 8975 9257 9933
12/03 10872 11180 12643
6/94 10942 11204 13162

This chart represents historical performance of a hypothetical investment of
$10,000 in the International Fund from 4/1/97 to 6/30/04, and represents the
reinvestment of dividends and capital gains in the fund.

PAST PERFORMANCE DOES NOT GUARANTEE FUTURE RESULTS. THE PERFORMANCE DATA QUOTED
REPRESENTS PAST PERFORMANCE AND CURRENT RETURNS MAY BE LOWER OR HIGHER. THE
INVESTMENT RETURN AND PRINCIPAL VALUE WILL FLUCTUATE SO THAT AN INVESTOR'S
SHARES, WHEN REDEEMED MAY BE WORTH MORE OR LESS THAN THE ORIGINAL COST. THESE
PERFORMANCE FIGURES DO NOT REFLECT THE DEDUCTION OF TAXES THAT A SHAREHOLDER
WOULD PAY ON FUND DISTRIBUTIONS OR THE REDEMPTION OF FUND SHARES. TO OBTAIN
PERFORMANCE INFORMATION CURRENT TO THE MOST RECENT MONTH END, PLEASE VISIT
MMAPRAXIS.COM.

* Reflects maximum front-end sales charge of 5.25%.

** Reflects applicable contingent deferred sales charge of 4.00%.

(1) The MSCI AC World Free-(ex-U.S.) Index is a widely recognized, unmanaged
index composed of a sample of companies representative of the markets of
both developed and emerging markets throughout the world, excluding the
United States.

SCHEDULE OF PORTFOLIO INVESTMENTS

MMA PRAXIS INTERNATIONAL FUND
SCHEDULE OF PORTFOLIO INVESTMENTS
JUNE 30, 2004
(UNAUDITED)

SHARES VALUE
------ -----

COMMON STOCKS (97.8%)
AUSTRALIA (1.8%)
INSURANCE (1.0%)
QBE Insurance Group Ltd. (a) ..... 138,337 $ 1,233,479
-----------
MINING (0.8%)
Newcrest Mining Ltd. ............. 102,771 986,514
-----------
2,219,993
-----------
AUSTRIA (0.5%)
BANKS (0.5%)
Bank Austria Creditanstalt ....... 11,294 662,309
-----------
BELGIUM (0.8%)
SPECIAL PURPOSE ENTITY(0.8%)
Groupe Bruxelles Lambert S.A ..... 14,972 957,234
-----------
CANADA (4.1%)
AUCTION HOUSE (0.4%)
Ritchie Brothers Auctioneers, Inc. 17,663 514,170
-----------
DIVERSIFIED OPERATIONS(1.9%)
Brascan Corp. .................... 83,750 2,337,442
-----------
GOLD MINING (0.3%)
Kinross Gold Corp. (b) ........... 56,300 311,576
-----------
OIL & GAS EXPLORATION SERVICES(1.5%)
Petro-Canada ..................... 43,900 1,887,626
-----------
5,050,814
-----------
FRANCE (11.8%)
ADVERTISING (1.1%)
Publicis Groupe (a) .............. 46,299 1,370,501
-----------
APPAREL MANUFACTURERS (0.3%)
Hermes International ............. 1,946 388,523
-----------
BANKS (2.6%)
BNP Paribas S.A .................. 23,103 1,420,873
Credit Agricole S.A .............. 70,224 1,708,761
-----------
3,129,634
-----------
BUILDING & CONSTRUCTION (0.1%)
Imerys S.A ........................ 1,997 116,380
-----------
INSURANCE (0.8%)
CNP Assurances .................... 8,101 470,037
Scor (b) .......................... 314,364 489,563
-----------
959,600
-----------
MEDIA (3.1%)
Vivendi Universal S.A. (b) ........ 139,499 3,869,650
-----------
OFFICE AUTOMATION & EQUIPMENT(0.9%)
Neopost S.A ....................... 18,512 1,094,149
-----------
RETAIL (0.3%)
Galeries Lafayette S.A ............ 1,650 324,809
-----------
TELECOMMUNICATIONS (1.8%)
France Telecom S.A ................ 83,182 2,167,777
-----------
TELEVISION (0.8%)
Societe Television Francaise 1 (a) 29,614 932,813
-----------
14,353,836
-----------

MMA PRAXIS INTERNATIONAL FUND
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED
JUNE 30, 2004
(UNAUDITED)

SHARES VALUE
---------- ----------

COMMON STOCKS, CONTINUED
GERMANY (4.9%)
BANKS (1.7%)
Deutsche Bank AG .................................. 26,285 $2,067,485
----------
INSURANCE (0.5%)
Allianz AG ........................................ 6,064 656,621
----------
MACHINERY / PRINT TRADE(0.8%)
Heidelberger Druckmaschinen (b) ................... 28,299 936,495
----------
PUBLISHING (0.1%)
Axel Springer AG .................................. 1,482 155,064
----------
TELECOMMUNICATIONS (1.1%)
Deutsche Telecom AG (b) ........................... 74,275 1,305,799
----------
TIRE & RUBBER (0.7%)
Continental AG .................................... 17,180 828,766
----------
5,950,230
----------
HONG KONG (0.4%)
TELEVISION (0.4%)
Television Broadcasts Ltd. (a) .................... 111,000 475,320
HUNGARY (1.5%)
BANKS (0.5%)
OTP Bank Rt. GDR .................................. 14,100 581,625
----------
OIL COMP-INTERGRATED(0.6%)
Mol Magyar Olaj-Es Gz-Sp GDR ...................... 17,689 689,871
----------
PHARMACEUTICALS(0.4%)
Gedeon Richter Rt. GDR ............................ 5,102 513,771
----------
1,785,267
----------
INDIA (0.5%)
CHEMICALS (0.5%)
Reliance Industries Ltd. GDR (a)(b)(c) ............ 32,100 637,185
----------
IRELAND (1.7%)
BANKS (1.1%)
Anglo Irish Bank Corp. PLC ........................ 86,001 1,349,767
----------
FINANCIAL SERVICES(0.6%)
Irish Life & Permanent PLC ........................ 51,046 776,314
----------
2,126,081
----------
ITALY (0.8%)
INSURANCE (0.2%)
Assicurazioni Generali SpA ........................ 11,646 314,129
----------
PUBLISHING (0.2%)
Mondadori (Arnoldo) Editore SpA ................... 22,470 212,691
----------
TELEVISION (0.2%)
Mediaset SpA ...................................... 21,382 243,755
----------
WIRELESS TELECOMMUNICATIONS(0.2%)
Telecom Italia Mobile SpA ......................... 44,593 252,824
----------
1,023,399
----------
JAPAN (23.5%)
AUTOMOTIVE (3.5%)
Hino Motors Ltd. (a) .............................. 39,000 282,363
Toyota Industries Corp. ........................... 36,600 878,816

MMA PRAXIS INTERNATIONAL FUND
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED
JUNE 30, 2004
(UNAUDITED)

SHARES VALUE
------- ------------

COMMON STOCKS, CONTINUED
JAPAN, continued
AUTOMOTIVE, continued
Toyota Motor Corp. ...................... 75,600 $ 3,062,385
------------
4,223,564
------------
BANKS (2.1%)
Bank of Yokohama Ltd. ................... 100,000 625,029
Chiba Bank .............................. 98,000 599,954
Mitsubishi Tokyo Financial Group, Inc. .. 49 453,558
Sumitomo Trust & Banking Co. ............ 126,000 897,237
------------
2,575,778
------------
CHEMICALS (0.6%)
Sanyo Chemical Industries Ltd. .......... 30,000 222,426
Sumitomo Chemical Co., Ltd. ............. 120,000 559,776
------------
782,202
------------
COSMETICS & TOILETRIES (1.0%)
Uni-Charm Corp. (a) ..................... 23,900 1,191,550
------------
ELECTRONIC & ELECTRICAL - GENERAL (5.8%)
CANON, Inc. ............................. 23,000 1,212,024
Fanuc Ltd. .............................. 5,500 328,140
Keyence Corp. ........................... 2,200 501,838
Matsushita Electric Industrial Co., Ltd.. 135,000 1,916,464
Nidec Corp. (a) ......................... 11,900 1,219,282
Sharp Corp. ............................. 107,000 1,709,215
------------
6,886,963
------------
FINANCIAL SERVICES (0.6%)
Acom Co., Ltd. .......................... 10,190 662,119
Nissin Co., Ltd. (a) .................... 25,400 104,519
------------
766,638
------------
INSTRUMENTS-SCIENTIFIC (0.1%)
Hamamatsu Photonics (a) ................. 9,500 181,964
------------
MACHINERY (0.5%)
OSG Corp. (a) ........................... 16,000 187,105
THK Co., Ltd. (a) ....................... 24,300 459,877
------------
646,982
------------
MACHINERY / PRINT TRADE (0.2%)
Komori Corp. ............................ 14,000 231,334
------------
PHARMACEUTICALS (2.8%)
Daiichi Pharmaceuticals Co., Ltd. ....... 25,400 452,761
Eisai Co., Ltd. ......................... 44,700 1,286,331
Taisho Pharmaceutical Co., Ltd. ......... 24,000 532,282
Yamanouchi Pharmaceuticals Co., Ltd. .... 34,900 1,173,835
------------
3,445,209
------------
PRINTING (0.9%)
Toppan Printing Co., Ltd. ............... 97,000 1,097,878
------------
REAL ESTATE INVESTMENT / MANAGEMENT (0.7%)
Mitsubishi Estate Co., Ltd. ............. 64,000 794,171
------------

MMA PRAXIS INTERNATIONAL FUND
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED
JUNE 30, 2004
(UNAUDITED)

SHARES VALUE
-------- -------------

COMMON STOCKS, CONTINUED
RETAIL (2.7%)
Aeon Co., Ltd............................ 15,300 $ 614,159
Isetan Co., Ltd.......................... 52,200 751,558
Marui Co., Ltd........................... 55,700 750,392
Ryohin Keikaku Co., Ltd.................. 5,100 263,144
Yamada Denki Co., Ltd. (a) .............. 25,700 958,612
------------
3,337,865
------------
SEMICONDUCTORS (0.5%)
Advantest Corp........................... 9,800 656,537
------------
STEEL - PRODUCERS (0.2%)
JFE Holdings, Inc........................ 11,600 284,379
------------
TELECOMMUNICATIONS (1.0%)
Nippon Telegraph & Telephone Corp. ...... 218 1,164,771
------------
TELEVISION (0.2%)
TV Asahi Corp............................ 101 190,680
------------
TRANSPORTATION (0.1%)
Seino Transportation Co., Ltd............ 16,000 165,257
------------
28,623,722
------------
MEXICO (1.2%)
BROADCASTING (0.3%)
Grupo Televisa S.A. ADR.................. 8,258 373,840
------------
BUILDING PRODUCTS (0.5%)
Cemex S.A. ADR........................... 20,748 603,766
------------
TELECOMMUNICATIONS (0.4%)
Telefonos de Mexico S.A. ADR ............ 12,936 430,381
------------
1,407,987
------------
NETHERLANDS (0.8%)
DISTRIBUTION/WHOLESALE (0.1%)
Buhrmann N.V ............................ 18,190 180,809
------------
HUMAN RESOURCES (0.1%)
Vedior N.V. - CVA........................ 6,984 101,795
------------
MANUFACTURING - CONSUMER GOODS (0.2%)
Adidas Salomon AG........................ 2,121 253,407
------------
PUBLISHING (0.4%)
N.V. Holdingsmaatschappij De Telegraaf... 17,974 401,279
------------
937,290
------------
SOUTH AFRICA (0.4%)
GOLD MINING (0.4%)
Gold Fields Ltd.......................... 44,721 470,156
------------
SOUTH KOREA (1.1%)
AUTOMOTIVE (1.1%)
Hyundai Motor Co., Ltd GDR (a)........... 152,587 1,373,283
------------
SPAIN (0.5%)
UTILITIES - TELECOMMUNICATIONS (0.5%)
Telefonica S.A........................... 37,483 554,085
------------
SWEDEN (1.5%)
AUTOMOTIVE (1.5%)
Autoliv, Inc. (a)........................ 42,900 1,791,071
------------

MMA PRAXIS INTERNATIONAL FUND
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED
JUNE 30, 2004
(UNAUDITED)

SHARES VALUE
-------- -------------

COMMON STOCKS, CONTINUED
SWITZERLAND (10.6%)
BANKS (0.6%)
Ubs AG Registered ............................ 10,681 $ 752,634
------------
CHEMICALS (0.3%)
Lonza Group AG ............................... 7,914 400,945
------------
FOOD PRODUCTS (3.8%)
Lindt & Spruengli AG ......................... 431 452,543
------------
Nestle S.A. .................................. 15,433 4,115,794
------------
4,568,337
------------
INSURANCE (0.3%)
Baloise Holding Ltd. ......................... 7,553 328,077
------------
INVESTMENT COMPANIES (0.6%)
Pargesa Holding AG ........................... 287 773,186
------------
PHARMACEUTICALS (4.9%)
Novartis AG .................................. 59,974 2,645,771
Roche Holding AG ............................. 23,938 2,370,099
Serono S.A. .................................. 1,487 936,796
------------
5,952,666
------------
PUBLISHING (0.1%)
Edipresse S.A. ............................... 245 133,025
------------
12,908,870
------------
UNITED KINGDOM (28.3%)
BANKS (6.5%)
HBOS PLC ..................................... 122,724 1,518,972
HSBC Holdings PLC ............................ 178,743 2,658,033
Lloyds TSB Group PLC ......................... 124,192 972,397
Royal Bank of Scotland Group PLC ............. 95,468 2,749,323
------------
7,898,725
------------
CHEMICALS (1.8%)
Imperial Chemical Industries PLC ............. 515,680 2,155,603
------------
FINANCIAL SERVICES (0.3%)
3I Group PLC ................................. 31,838 353,646
------------
MANUFACTURING - CONSUMER GOODS (1.9%)
Reckitt Benckiser PLC ........................ 80,609 2,281,938
------------
MEDICAL PRODUCTS (2.0%)
Smith & Nephew PLC ........................... 229,460 2,469,706
------------
MINERALS (0.7%)
Billiton PLC ................................. 97,399 845,189
------------
OIL COMP-INTEGRATED (1.9%)
BP Amoco PLC - ADR ........................... 42,209 2,261,136
------------
OIL COMP-INTERGRATED (3.5%)
BP PLC ....................................... 484,524 4,279,192
------------
PHARMACEUTICALS (2.3%)
AstraZeneca Group PLC ........................ 17,697 793,993
GlaxoSmithKline PLC .......................... 100,432 2,032,609
------------
2,826,602
------------
REAL ESTATE OPERATORS/DEVELOPERS (0.8%)
British Land Co., PLC ........................ 73,507 924,470
------------

MMA PRAXIS INTERNATIONAL FUND
SCHEDULE OF PORTFOLIO INVESTMENTS, CONTINUED
JUNE 30, 2004
(UNAUDITED)

SHARES OR
PRINCIPAL
AMOUNT VALUE
------------ -------------

COMMON STOCKS, CONTINUED
RETAIL (3.7%)
Boots Group PLC ................................................ 64,720 $ 807,504
Dixons Group PLC ............................................... 152,158 455,988
Kingfisher PLC ................................................. 443,209 2,300,761
Next PLC ....................................................... 36,878 951,677
-------------
4,515,930
-------------
TELECOMMUNICATIONS - SERVICES & EQUIPMENT (0.6%)
BT Group PLC ................................................... 210,790 758,801
-------------
WIRELESS TELECOMMUNICATIONS (2.3%)
Vodafone Group PLC ............................................. 1,301,046 2,849,032
-------------
34,419,970
-------------
UNITED STATES (1.1%)
GOLD MINING (1.1%)
Barrick Gold Corp............................................... 36,653 723,897
Glamis Gold Ltd. (a)(b)......................................... 18,453 323,481
Meridian Gold, Inc. (a)(b)...................................... 25,939 336,429
-------------
1,383,807
-------------
TOTAL COMMON STOCKS................................................. $ 119,111,909
-------------
CORPORATE NOTES (1.1%)
COMMUNITY DEVELOPMENT (1.1%)
DOMESTIC (1.1%)
MMA Community Development Investment, Inc., 1.48%, 7/1/04 +(d).. $ 495,000 495,000
MMA Community Development Investment, Inc., 2.22%, 7/1/04 +(d).. 880,000 880,000
-------------
1,375,000
-------------
TOTAL CORPORATE NOTES .............................................. 1,375,000
-------------
SECURITIES HELD AS COLLATERAL FOR SECURITIES LENDING (6.8%)
SHORT TERM (6.8%)
Northern Institutional Liquid Asset Portfolio................... 8,275,335 8,275,335
-------------
8,275,335
-------------
TOTAL INVESTMENTS (COST $121,162,745) (e) - 98.9% .................. 128,762,244
Liabilities in excess of other assets - (5.7)% ................. (6,955,653)
-------------
NET ASSETS - 100.0% ................................................ $ 121,806,591
=============

- ----------
(a) All or part of this security was on loan, as of 6/30/04

(b) Represents non-income producing securities.

(c) 144A security is restricted as to resale to institutional investors. These
securities have been deemed liquid under guidelines established by the
Board of Trustees.

(d) Represents affiliated restricted security as to resale to investors and
is not registered under the Securities Act of 1933. These securities have
been deemed illiquid under guidelines established by the Board of
Trustees.

(e) Represents cost for financial reporting purposes, is substantially the
same as cost for federal income tax purposes, and differs from market
value by net unrealized appreciation of securities as follows:

Unrealized appreciation ...... $ 9,812,540
Unrealized depreciation ...... (2,213,041)
------------
Net unrealized appreciation .. $ 7,599,499
============

+ Variable rate security. Rates presented are the rates in effect at June 30,
2004. Date presented reflects next rate change date.

ADR - American Depositary Receipt
GDR - Global Depositary Receipt
PLC - Public Limited Company

SEE NOTES TO FINANCIAL STATEMENTS.

STATEMENT OF ASSETS AND LIABILITIES

MMA PRAXIS INTERNATIONAL FUND
STATEMENT OF ASSETS AND LIABILITIES
JUNE 30, 2004
(UNAUDITED)

ASSETS:
Investments, at value (cost $111,512,410) ............................................ $ 119,111,909
Investment in affiliates, at value (cost $1,375,000) ................................. 1,375,000
Investments held as collateral for securities lending, at value (cost $8,275,335) .... 8,275,335
--------------
Total Investments ........................................................... 128,762,244
--------------
Cash ................................................................................. 3,120,680
Foreign currency, at value (cost $55,427) ............................................ 55,427
Interest and dividends receivable .................................................... 151,158
Receivable for capital shares issued ................................................. 1,796
Receivable for investments sold ...................................................... 763,508
Tax reclaims receivable .............................................................. 63,459
Prepaid expenses ..................................................................... 32,069
--------------
Total Assets ................................................................ 132,950,341
--------------
LIABILITIES:
Distributions payable to shareholders ................................................ 321,641
Payable for investments purchased .................................................... 2,371,783
Payable for securities loaned ........................................................ 8,275,335
Accrued expenses and other payables:
Investment adviser fees .......................................................... 55,753
Administration fees .............................................................. 40,277
Distribution fees ................................................................ 33,636
Shareholder servicing fees ....................................................... 12,576
Other ............................................................................ 32,749
--------------
Total Liabilities ........................................................... 11,143,750
--------------
NET ASSETS:
Capital .............................................................................. 149,482,117
Distributions in excess of net investment income ..................................... (28,814)
Accumulated net realized losses from investments and foreign currency transactions ... (35,248,163)
Net unrealized appreciation from investments and translation of assets and
liabilities in foreign currencies ................................................ 7,601,451
--------------
Net Assets .................................................................. $ 121,806,591
==============
Net Assets
Class A .......................................................................... $ 100,279,065
Class B .......................................................................... 21,527,526
--------------
Total ....................................................................... $ 121,806,591
==============
Shares outstanding
(unlimited number of shares authorized with $.01 par value)
Class A .......................................................................... 10,630,147
Class B .......................................................................... 2,309,019
--------------
Total ....................................................................... 12,939,166
==============
Net asset value
Class A - Redemption Price Per Share ............................................. $ 9.43
==============
Class A - Maximum Sales Charge ................................................... 5.25%
==============
Class A - Maximum Offering Price Per Share (100%/(100%-Maximum Sales
Charge) of net asset value adjusted to the nearest cent) .................... $ 9.95
==============
Class B - Offering Price Per Share* .............................................. $ 9.32
==============

- -------------
* Redemption price per share (Class B) varies by length of time shares are held.

SEE NOTES TO FINANCIAL STATEMENTS.

STATEMENT OF OPERATIONS

MMA PRAXIS INTERNATIONAL FUND
STATEMENT OF OPERATIONS
FOR THE SIX MONTHS ENDED JUNE 30, 2004
(UNAUDITED)

INVESTMENT INCOME:
Dividends ............................................................ $ 1,422,876
Foreign tax withholding .............................................. (157,008)
Income from securities lending ....................................... 11,213
Interest from affiliates ............................................. 12,875
------------
Total Investment Income .................................. 1,289,956
------------

EXPENSES:
Investment adviser fees ............................................... 542,971
Administration fees ................................................... 241,291
Distribution fees-Class A ............................................. 123,657
Distribution fees-Class B ............................................. 81,505
Shareholder servicing fees-Class A .................................... 123,657
Shareholder servicing fees-Class B .................................... 27,168
Custodian fees ........................................................ 89,075
Accounting fees ....................................................... 3,881
Trustees' fees and expenses ........................................... 6,534
Other expenses ........................................................ 56,708
------------
Total expenses before reductions/reimbursements ........... 1,296,447
Expenses reimbursed by Investment Adviser ....................... (225,055)
Expenses reduced by Distributor ................................. (74,195)
Expenses reduced by Custodian ................................... (21,558)
------------
Net Expenses .............................................. 975,639
------------
Net Investment Income ................................................. 314,317
------------

NET REALIZED AND UNREALIZED GAINS/(LOSSES) ON INVESTMENTS:
Net realized gains from investment and foreign currency transactions .. 653,113

Change in unrealized appreciation/depreciation from investments and
translation of assets and liabilities in foreign currencies .... (594,528)
------------
Net realized/unrealized gains on investments ......................... 58,585
------------
Change in net assets resulting from operations ....................... $ 372,902
============

SEE NOTES TO FINANCIAL STATEMENTS.

STATEMENTS OF CHANGES IN NET ASSETS

MMA PRAXIS INTERNATIONAL FUND
STATEMENTS OF CHANGES IN NET ASSETS

Six Months Year Ended
Ended June 30, December 31,
2004 2003
------------- ------------
(Unaudited)

From Investment Activities:
Net investment income .................................................. $ 314,317 $ 355,030
Net realized gains from investment and foreign currency transactions ... 653,113 7,333,756
Change in unrealized appreciation/depreciation from investments and
translation of assets and liabilities in foreign currencies ........ (594,528) 17,699,507
------------- ------------
Change in net assets resulting from operations ......................... 372,902 25,388,293
------------- ------------

Distributions to Class A Shareholders:
From net investment income ......................................... (321,650) (578,048)

Distributions to Class B Shareholders:
From net investment income ......................................... (110) (86,593)
------------- ------------
Change in net assets from distributions to shareholders ................ (321,760) (664,641)
------------- ------------
Change in net assets from capital transactions ......................... 2,891,651 7,542,829
------------- ------------
Change in net assets ................................................... 2,942,793 32,266,481

Net Assets:
Beginning of period ................................................. 118,863,798 86,597,317
------------- ------------
End of period ....................................................... $ 121,806,591 $118,863,798
============= ============
Distributions in excess of net investment income ....................... $ (28,814) $ (21,371)

SEE NOTES TO FINANCIAL STATEMENTS.

FINANCIAL HIGHLIGHTS

MMA PRAXIS INTERNATIONAL FUND
FINANCIAL HIGHLIGHTS

For a share outstanding throughout the period indicated.

Class A Shares
---------------------------------------------------------------------------------------
Six Months Year Ended Year Ended Year Ended Year Ended Period Ended
Ended June December 31, December 31, December 31, December 31, December 31,
30, 2004 2003 2002 2001 2000 1999 (a)
---------- ----------- ----------- ----------- ----------- ------------
(Unaudited)

Net Asset Value, Beginning of Period ... $ 9.43 $ 7.45 $ 9.28 $ 12.53 $ 18.19 $ 13.76
---------- ----------- ----------- ----------- ----------- ----------
Investment Activities:
Net investment income (loss) ...... 0.03 0.04 0.01 0.04 0.42 (0.01)
Net realized and unrealized gains
(losses) from investments ....... -- 2.00 (1.79) (3.23) (4.04) 4.81
---------- ----------- ----------- ----------- ----------- ----------
Total from Investment Activities ....... 0.03 2.04 (1.78) (3.19) (3.62) 4.80
---------- ----------- ----------- ----------- ----------- ----------

Distributions:

Net investment income ............. (0.03) (0.06) (0.03) (0.06) (0.32) (0.10)
Net realized gains ................ -- -- -- -- (1.68) (0.27)
Return of capital ................. -- -- (0.02) -- (0.04) --
---------- ----------- ----------- ----------- ----------- ----------
Total Distributions ............... (0.03) (0.06) (0.05) (0.06) (2.04) (0.37)
---------- ----------- ----------- ----------- ----------- ----------

Net Asset Value, End of Period ......... $ 9.43 $ 9.43 $ 7.45 $ 9.28 $ 12.53 $ 18.19
========== =========== =========== =========== =========== ==========
Total Return (excludes sales charge) ... 0.64%(b) 27.53% (19.29%) 25.42% (20.23%) 35.09%(b)

Ratios/Supplemental Data:
Net Assets at end of period (000).. $ 100,279 $ 97,396 $ 68,989 $ 71,043 $ 30,790 $ 24,215
Ratio of expenses to average
net assets ...................... 1.50%(c) 1.50% 1.45% 1.45% 1.45% 1.45%(c)
Ratio of net investment income
to average net assets ........... 0.64%(c) 0.49% 0.11% 0.11% 1.99% 0.02%(c)
Ratio of expenses to average
net assets* ..................... 2.06%(c) 2.14% 2.24% 2.16% 2.25% 2.28%(c)
Portfolio turnover (d) ............ 48.39% 145.51% 76.38% 61.33% 48.31% 57.73%

- ------------
* During the period, certain expenses were voluntarily reduced/reimbursed.
If such expense reduction had not occurred, the ratios would have been as
indicated.

(a) For the period from May 12, 1999 (commencement of operations) through
December 31, 1999.

(b) Not annualized.

(d) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing between classes of shares issued.

SEE NOTES TO FINANCIAL STATEMENTS.

MMA PRAXIS INTERNATIONAL FUND
FINANCIAL HIGHLIGHTS, CONTINUED

For a share outstanding throughout the period indicated.

Class B Shares
----------------------------------------------------------------------------------
Six Months Year Ended Year Ended Year Ended Year Ended Year Ended
Ended June December 31, December 31, December 31, December 31, December 31,
30, 2004 2003 2002 2001 2000 1999
---------- ----------- ----------- ----------- ----------- ------------
(Unaudited)

Net Asset Value, Beginning of Period... $ 9.32 $ 7.39 $ 9.23 $ 12.51 $ 18.21 $ 13.05
Investment Activities:
Net investment income (loss) ...... -- (0.01) (0.04) (0.04) 0.31 (0.08)
Net realized and unrealized gains
(losses) from investments ..... -- 1.98 (1.78) (3.20) (4.01) 5.54
---------- ----------- ----------- ----------- ----------- ------------
Total from Investment Activities... -- 1.97 (1.82) (3.24) (3.70) 5.46
---------- ----------- ----------- ----------- ----------- ------------

Distributions:
Net investment income ............. --(a) (0.04) -- (0.04) (0.28) (0.03)
Net realized gains ................ -- -- -- -- (1.68) (0.27)
Return of capital ................. -- -- (0.02) -- (0.04) --
---------- ----------- ----------- ----------- ----------- ------------
Total Distributions ............... -- (0.04) (0.02) (0.04) (2.00) (0.30)
---------- ----------- ----------- ----------- ----------- ------------
Net Asset Value, End of Period ........ $ 9.32 $ 9.32 $ 7.39 $ 9.23 $ 12.51 $ 18.21
========== =========== =========== =========== =========== ============
Total Return (excludes
redemption charge) ................ 0.22%(b) 26.73% (19.73%) 25.92% (20.64%) 42.00%

Ratios/Supplemental Data:
Net Assets at end of period (000) ..... $ 21,528 $ 21,468 $ 17,608 $ 22,364 $ 30,317 $ 34,509
Ratio of expenses to average
net assets ........................ 2.15%(c) 2.15% 2.00% 2.00% 2.00% 2.00%
Ratio of net investment income to
average net assets ................ (0.02%)(c) (0.15%) (0.44%) (0.44%) 1.73% (0.28%)
Ratio of expenses to average
net assets* ....................... 2.56%(c) 2.63% 2.74% 2.65% 2.74% 2.82%
Portfolio turnover (d) ................ 48.39% 145.51% 76.38% 61.33% 48.31% 57.73%

- ----------------
* During the period, certain expenses were voluntarily reduced/reimbursed.
If such expense reduction had not occurred, the ratios would have been as
indicated.

(a) Distribution per share was less than $0.005.

(b) Not annualized.

(d) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing between classes of shares issued.

SEE NOTES TO FINANCIAL STATEMENTS.

NOTES TO FINANCIAL STATEMENTS

MMA PRAXIS MUTUAL FUNDS
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2004
(UNAUDITED)

1. ORGANIZATION:

The MMA Praxis Mutual Funds (the "Trust") is an open-end management investment
company established as a Delaware business trust under a Declaration of Trust
dated September 27, 1993, as amended and restated December 1, 1993, and is
registered under the Investment Company Act of 1940, as amended (the "1940
Act"). The Trust currently consists of the MMA Praxis Intermediate Income Fund,
the MMA Praxis Core Stock Fund, the MMA Praxis Value Index Fund, and the MMA
Praxis International Fund (individually a "Fund", collectively "the Funds").
Also known as the Intermediate Income fund, Core Stock Fund, International Fund,
and Value Index Fund.

The Funds offer two classes of shares, Class A and Class B. Each class of shares
in the Fund has identical rights and privileges except with respect to fees paid
under the distribution and shareholder servicing agreements, voting rights on
matters affecting a single class of shares and the exchange privileges of each
class of shares.

Under the Trust's organizational documents, its officers and trustees are
indemnified against certain liabilities arising out of the performance of their
duties to the Trust. In addition, in the normal course of business, the Trust
enters into contracts with its vendors and others that provide general
indemnification. Each Fund's maximum exposure under these arrangements is
unknown, as this would involve future claims that may be made against a Fund.
However, based on experience, the Trust expects the risk of loss to be remote.

2. SIGNIFICANT ACCOUNTING POLICIES:

The following is a summary of significant accounting policies followed by the
Trust in the preparation of its financial statements. The policies are in
conformity with accounting principles generally accepted in the United States.
The preparation of financial statements requires management to make estimates
and assumptions that affect the reported amounts of assets and liabilities and
contingent assets and liabilities at the date of the financial statements and
the reported amounts of income and expenses for the period. Actual results could
differ from those estimates.

Securities Valuation:

Securities are valued at market values determined on the basis of the latest
available bid prices in the principal market (closing sales prices if the
principal market is an exchange) in which such securities are normally traded.
Investments in investment companies are valued at their respective net asset
values as reported by such companies. The differences between the cost and
market values of investments are reflected as either unrealized appreciation or
depreciation. The Funds use various independent pricing services to value most
of their investments. If market quotations are not available, the securities are
valued by a method which the Board of Trustees believes accurately reflects
fair value.

Securities Transactions and Related Income:

Security transactions are accounted for on the trade date. Gains or losses
realized on sales of securities are determined by comparing the identified cost
of the security lot sold with the net sales proceeds. Interest income is
recognized on the accrual basis and includes, where

MMA PRAXIS MUTUAL FUNDS
NOTES TO FINANCIAL STATEMENTS, CONTINUED
JUNE 30, 2004
(UNAUDITED)

applicable, the pro rata amortization of premium or accretion of discount.
Dividend income is recorded on the ex-dividend date. Income and realized and
unrealized gains and losses on investments are allocated to each class of shares
based upon relative net assets or other appropriate basis.

Risk Associated with Foreign Securities and Currencies:

Investments in securities of foreign issuers carry certain risks not ordinarily
associated with investments in securities of domestic issuers. Such risks
include adverse future political and economic developments and the possible
imposition of exchange controls or other foreign governmental laws and
restrictions. In addition, with respect to certain countries, there is the
possibility of expropriation of assets, confiscatory taxation, political or
social instability or diplomatic developments which could adversely affect
investments in those countries.

Certain countries may also impose substantial restrictions on investments on
their capital markets by foreign entities, including restriction on investment
in issuers or industries deemed sensitive to the relevant nation's interests.
These factors may limit the investment opportunities available or result in lack
of liquidity and high price volatility with respect to securities of issuers
from developing countries.

Foreign Currency Translation:

The market value of investment securities, other assets and liabilities of the
Intermediate Fund, Value Index Fund and the International Fund denominated in
foreign currencies are translated into U.S. dollars at the current exchange rate
at the close of each business day. Purchases and sales of securities, income
receipts and expense payments are translated into U.S. dollars based on the
exchange rate on the date of the transaction.

The Funds do 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/unrealized gain (loss) from investments.

Reported net realized foreign exchange gains or losses arise from sales and
maturities of short-term securities, sales of foreign currencies, 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 including investments in securities at fiscal year end, resulting
from changes in the exchange rate.

Forward Foreign Currency Contracts:

The International Fund may enter into forward foreign currency exchange
contracts for the purchase or sale of specific foreign currencies at a fixed
price on a future date. Risks may arise upon entering these contracts for the
potential inability of counterparties to meet the terms of their contracts and
from unanticipated movements in the value of a foreign currency relative to the
U.S. dollar. The International Fund will enter into forward contracts as a hedge
against

MMA PRAXIS MUTUAL FUNDS
NOTES TO FINANCIAL STATEMENTS, CONTINUED
JUNE 30, 2004
(UNAUDITED)

specific transactions or portfolio positions to protect against adverse
currency movements. The forward foreign currency exchange contracts 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 contract
settlement date, at which time the International Fund records a realized gain or
loss equal to the difference between the value of the contract at the time it
was opened and the value at the time it was closed.

Restricted Securities:

Investments in restricted securities are valued by the Board of Trustees or
valued pursuant to valuation procedures approved by the Board of Trustees (the
"Valuation Procedures"). The Valuation Procedures contemplate the Board's
delegation of the implementation of the Valuation Procedures to the Funds'
adviser. In valuating restricted securities under the Valuation Procedures, the
Funds' adviser will consider (but is not limited to) certain specific and
general factors enumerated in the Valuation Procedures. The Valuation Procedures
require that the Funds' adviser report to the Board at each of its regular
quarterly meetings regarding valuation of restricted securities and actions
taken in connection with the Valuation Procedures.

Community Development Investments:

Consistent with the investment criteria for socially responsible investing, the
Board of Trustees of the Fund has authorized the Funds to make certain types of
community development investments. In connection with the community development
investments, the Funds have received from the Securities and Exchange Commission
an exemptive order that would permit each of the Funds to invest a limited
portion of their respective net assets in securities issued by an affiliate of
MMA Capital Management (the "Adviser"), MMA Community Development Investments,
Inc. ("MMA-CDI"). MMA-CDI is a not-for-profit corporation that was organized
specifically to promote community development investing and it seeks to fund its
efforts primarily through the sale to investors of interests in certain
investment pools that it has established (the "CDI-Notes"). Assets raised
through offerings of CDI-Notes are then invested directly in non-profit and
not-for-profit community development organizations. Each Fund, in accordance
with guidelines established by the Board of Trustees, would be permitted to
invest up to 3% of its net assets in CDI-Notes. CDI-Notes have certain specific
risk factors associated with them. These types of investments offer a rate of
return below the prevailing market rate at acquisition and are considered
illiquid, unrated and below-investment grade. They also involve a greater risk
of default or price decline than investment-grade securities. However, these
investments have been determined by the Board of Trustees as being a beneficial
way to carry out each Fund's goals for stewardship investing at the community
level. In addition, these investments are priced in accordance with procedures
approved by the Board of Trustees.

Dividends and Distributions:

Dividends from net investment income are declared and paid monthly for the
Intermediate Income Fund. Dividends from net investment income are declared and
paid semi-annually for the Core Stock Fund, the Value Index Fund, and the
International Fund. Distributable net realized capital gains, if any, are
declared and distributed at least annually.

The amounts of dividends from net investment income and of distributions from
net realized

MMA PRAXIS MUTUAL FUNDS
NOTES TO FINANCIAL STATEMENTS, CONTINUED
JUNE 30, 2004
(UNAUDITED)

gains are determined in accordance with federal income tax regulations, which
may differ from accounting principles generally accepted in the United States.
These "book/tax" differences are either considered temporary or permanent in
nature. To the extent these differences are permanent in nature, such amounts
are reclassified within the composition of net assets based on their federal
tax-basis treatment; temporary differences do not require reclassification. To
the extent dividends exceed net investment income and net realized gains for tax
purposes, they are reported as distributions of capital.

Federal Income Taxes:

It is each Fund's policy to continue to qualify as a regulated investment
company by complying with the provisions available to certain investment
companies, as defined in applicable sections of Subchapter M of the Internal
Revenue Code, and to distribute timely all of its net investment company taxable
income and net capital gains to shareholders. Therefore, no federal income tax
provision is required. Under the applicable foreign tax law, a withholding tax
may be imposed on interest, dividends and capital gains earned on foreign
investments at various rates. Where available, the International Fund will file
for claims on foreign taxes withheld.

Other:

Expenses that are directly related to a Fund are charged directly to that Fund.
Other operating expenses of the Trust are prorated to each Fund on the basis of
relative net assets or another reasonable basis. Expenses specific to a class
are charged directly to that class.

Each Fund maintains a cash balance with its custodian and receives a reduction
of their custody fees and expenses for the amounts of interest earned on such
uninvested cash balance. For financial reporting purposes for the period ended
June 30, 2004, custodian fees and expenses paid by third parties were $5,082,
$6,052, $1,137 and $21,558 for the Intermediate Income Fund, Core Stock Fund,
Value Index Fund and International Fund, respectively. There was no effect on
net investment income. The Funds could have invested such cash amounts in an
income producing asset if they had not agreed to a reduction of fees or expenses
under the expense offset arrangement with their custodian.

3. PURCHASES AND SALES OF SECURITIES:

Purchases and sales of securities (excluding short-term securities) for the
six-month period ended June 30, 2004 were as follows:

PURCHASES SALES
------------ ------------

Intermediate Income Fund.... $ 49,086,939 $ 36,501,771
Core Stock Fund............. 19,946,931 10,642,809
Value Index Fund............ 15,988,293 8,283,984
International Fund.......... 141,351,187 134,948,202

The Funds will charge a redemption fee of 2.00% of the total redemption amount
if you sell or exchange your shares after holding them for less than 30 days
subject to certain exceptions and limitations described in the prospectus.

MMA PRAXIS MUTUAL FUNDS
NOTES TO FINANCIAL STATEMENTS, CONTINUED
JUNE 30, 2004
(UNAUDITED)

4. RELATED PARTY TRANSACTIONS:

Menno Insurance Service, Inc., d/b/a MMA Capital Management, (the "Adviser") (a
separate corporate entity controlled by Mennonite Mutual Aid, Inc.), provides
investment advisory services to the Funds. Under the terms of the investment
advisory agreement, the Adviser is entitled to receive fees based on a
percentage of the average daily net assets of each of the Funds as follows;
0.50% for the Intermediate Income Fund, 0.74% for the Core Stock Fund; 0.30% for
the Value Index Fund and 0.90% for the International Fund. Evergreen Investment
Management Company, LLC, serves as the sub-adviser to the International Fund.
The Advisor entered into an expense limitation agreement until April 30, 2005
pursuant to which the Adviser agreed to waive fees and/or reimburse expenses to
the extent necessary in order to limit the total annual fund operating expenses.
Each Fund has agreed to repay the Adviser for the amounts waived and/or
reimbursed by the Adviser pursuant to this expense limitation agreement provided
that such repayment does not cause the total annual fund operating expenses of
Class A and Class B of each Fund to exceed 0.85% and 1.30% for the Intermediate
Income Fund, 1.25% and 1.90% for the Core Stock Fund, 0.95% and 1.50% for the
Value Index Fund, and 1.50% and 2.15% for the International Fund. For the six
months ended June 30, 2004, the Adviser reimbursed the Intermediate Income Fund,
Core Stock Fund, Value Index Fund and International Fund in the amounts
$195,076, $351,967, $304, and $225,055, respectively.

BISYS Fund Services ("BISYS"), an Ohio limited partnership, serves the Company
as administrator. Under the terms of the omnibus agreement effective 7/1/03,
BISYS receives fees for administration, transfer agent, and fund accounting
services computed daily at an annual rate of each Fund's average daily net
assets. The fees for the Intermediate Income Fund, Core Stock Fund, Value Index
Fund, and International Fund are .30%, .35%, .30%, and .40%, respectively.

Pursuant to a Distribution Agreement between the Trust and BISYS, BISYS serves
as the Funds' distributor ("Distributor"). Under a distribution (12b-1) plan
adopted by the Trust, each Fund pays the Distributor an aggregate fee not to
exceed on an annual basis 0.50% of the average daily net assets of such Fund's
Class A Shares. The Distributor may use up to 0.25% of the 12b-1 fee for
shareholder servicing and up to 0.25% for distribution. Each Fund pays the
Distributor an aggregate fee not to exceed on an annual basis 1.00% of the
average daily net assets of such Fund's Class B Shares. The Distributor may
incur 0.25% of the 12b-1 fee for shareholder servicing and up to 0.75% for
distribution.

For the six months ended June 30, 2004, the distributor received approximately
$520,646 from commissions earned on sales of Class A shares and on redemption of
Class B shares of the Funds, all of which the Distributor reallowed to dealers
of the Funds' shares. Of the commissions reallowed, $17,870 went to affiliated
dealers.

Certain officers of the Trust are affiliated with BISYS and/or the Adviser. Such
officers are not paid any fees directly by the Funds for serving as officers of
the Trust.

BISYS is a subsidiary of The BISYS Group, Inc.

MMA PRAXIS MUTUAL FUNDS
NOTES TO FINANCIAL STATEMENTS, CONTINUED
JUNE 30, 2004
(UNAUDITED)

5. CAPITAL SHARE TRANSACTIONS

Transactions in shares of the Funds are summarized below:

Intermediate Income Fund Core Stock Fund Value Index Fund
---------------------------------------------------------------------------------------------
Six Months Year Ended Six Months Year Ended Six Months Year Ended
Ended June December 31, Ended June December 31, Ended June December 31,
30, 2004 2003 30, 2004 2003 30, 2004 2003
---------------------------------------------------------------------------------------------

Capital Transactions:
Class A Shares:

Proceeds from shares issued.. $ 13,583,915 $ 10,952,297 $ 14,526,055 $ 14,069,287 $ 4,068,317 $ 6,414,811
Dividends reinvested ........ 395,494 611,731 -- 9,990 151,328 191,949
Cost of shares redeemed...... (2,205,360) (4,423,230) (2,593,472) (4,070,014) (830,757) (1,126,306)
------------ ------------ ------------ ------------ ------------ ------------
Class A Share Transactions.. $ 11,774,049 $ 7,140,798 $ 11,932,583 $ 10,009,263 $ 3,388,888 $ 5,480,454
------------ ------------ ------------ ------------ ------------ ------------

Class B Shares:

Proceeds from shares issued.. $ 2,634,101 $ 8,278,823 $ 4,474,858 $ 8,808,071 $ 1,679,643 $ 1,813,980
Dividends reinvested......... 892,145 1,347,346 -- -- 24,616 23,510
Cost of shares redeemed ..... (7,654,430) (6,643,459) (10,716,213) (12,603,652) (180,173) (515,073)
------------ ------------ ------------ ------------ ------------ ------------
Class B Share
Transactions ............. $ (4,128,184) $ 2,982,710 $ (6,241,355) $ (3,795,581) $ 1,524,086 $ 1,322,417
------------ ------------ ------------ ------------ ------------ ------------
Net increase (decrease)
from capital transactions ... $ 7,645,865 $ 10,123,508 $ 5,691,228 $ 6,213,682 $ 4,912,974 $ 6,802,871
============ ============ ============ ============ ============ ============

Share Transactions:
Class A Shares:

Issued ...................... 1,363,625 1,087,566 1,087,197 1,206,812 461,752 864,340
Reinvested .................. 39,672 60,851 -- 856 17,495 26,832
Redeemed .................... (221,082) (440,869) (194,172) (350,688) (94,670) (150,954)
------------ ------------ ------------ ------------ ------------ ------------
Change in Class A Shares.... 1,182,215 707,548 893,025 856,980 384,577 740,218
------------ ------------ ------------ ------------ ------------ ------------
Class B Shares:

Issued ...................... 264,326 824,384 345,296 781,338 191,547 238,705
Reinvested .................. 89,497 134,459 -- -- 2,849 3,287
Redeemed .................... (769,519) (661,417) (827,843) (1,121,916) (20,672) (68,786)
------------ ------------ ------------ ------------ ------------ ------------
Change in Class B Shares.... (415,696) 297,426 (482,547) (340,578) 173,724 173,206
------------ ------------ ------------ ------------ ------------ ------------
Net increase (decrease)
from share transactions...... 766,519 1,004,974 410,478 516,402 558,301 913,424
============ ============ ============ ============ ============ ============

International Fund
----------------------------
Six Months Year Ended
Ended June December 31,
30, 2004 2003
----------------------------

Capital Transactions:
Class A Shares:

Proceeds from shares issued.. $ 8,309,657 $ 21,176,906
Dividends reinvested ........ 8 535,584
Cost of shares redeemed...... (5,476,465) (13,608,670)
------------ ------------
Class A Share Transactions.. $ 2,833,200 $ 8,103,820
------------ ------------

Class B Shares:

Proceeds from shares issued.. $ 1,205,677 $ 1,893,805
Dividends reinvested......... 110 83,554
Cost of shares redeemed ..... (1,147,336) (2,538,351)
------------ ------------
Class B Share
Transactions ............. $ 58,451 $ (560,992)
------------ ------------
Net increase (decrease)
from capital transactions ... $ 2,891,651 $ 7,542,828
============ ============

Share Transactions:
Class A Shares:

Issued ...................... 867,612 2,788,473
Reinvested .................. 1 69,019
Redeemed .................... (570,710) (1,782,233)
------------ ------------
Change in Class A Shares.... 296,903 1,075,259
------------ ------------
Class B Shares:

Issued ...................... 126,966 239,190
Reinvested .................. 9 10,851
Redeemed .................... (122,173) (327,162)
------------ ------------
Change in Class B Shares ... 4,802 (77,121)
------------ ------------
Net increase (decrease)
from share transactions...... 301,705 998,138
============ ============

MANAGEMENT OF TRUSTEES

MANAGEMENT OF TRUSTEES
(UNAUDITED)

TERM OF OFFICE
POSITION HELD AND LENGTH OF PRINCIPAL OCCUPATION DURING
NAME AND ADDRESS BIRTHDATE WITH THE TRUST TIME SERVED THE PAST FIVE YEARS
- ----------------------------------------------------------------------------------------------------------------------------------

Howard L. Brenneman 3/26/40 Chairman and Indefinite, President and CEO, Mennonite Mutual Aid
PO Box 483 Trustee Since 12/2/93 December 1991 - present
Goshen, IN 46527

Karen Klassen Harder, Ph.D. 1/22/56 Trustee Indefinite, Associate Professor of Economics and Business,
Bluffton College Since 12/2/93 Bluffton College, August 2000 - present
Bluffton, OH 45817 Professor, Bethel College, Jan. 1990 - Aug. 2000

Richard Reimer, Ph.D. 10/6/31 Trustee Indefinite, Retired. Professor of Economics,
The College of Wooster Since 12/2/93 The College of Wooster
Wooster, OH 44691 January 1990 - present

Donald E. Showalter, Esq. 2/23/41 Trustee Indefinite, Attorney, the law firm of Wharton, Aldhizer
100 South Mason Street Since 12/2/93 & Weaver
Harrisonburg, VA 22801 June 1965 - present

Allen Yoder, Jr. 8/4/27 Trustee Indefinite, President, Jayco, Inc.
PO Box 460 Since 12/2/93 September 1993 - retirement
Middlebury, IN 46540

Bruce Harder 1/17/41 Trustee Indefinite, Executive Director for Finance and Admin.,Tri-Met
4012 SE 17th Ave Since 2/11/00 1986 - present
Portland, OR 97202

R. Clair Sauder 1/11/43 Trustee Indefinite, Partner, Encore Enterprises, LLC
630 Millcross Road Since 6/30/02 May 2001 - present; Partner, C&D Enterprises
Lancaster, PA 17601 Unlimited, 1998 to May 2001

John L. Liechty 6/12/54 President Indefinite, Executive Management, Mennonite Mutual Aid
PO Box 483 Since 8/19/97 1976 - present
Goshen, IN 46527

Trent Statczar 8/31/71 Treasurer Indefinite, BISYS Fund Services
3435 Stelzer Rd Since 8/19/02 1993 - present
Columbus, OH 43219

Marlo J. Kauffman 9/19/56 Vice President Indefinite, Financial Services Operation Manager,
PO Box 483 Since 12/2/93 Mennonite Mutual Aid
Goshen, IN 46527 January 1981 - present

Walter B. Grimm 6/3/45 Vice President Indefinite, BISYS Fund Services
3435 Stelzer Rd Since 12/2/93 June 1992 - present
Columbus, OH 43219

George Stevens 2/10/51 Secretary Indefinite, BISYS Fund Services
3435 Stelzer Rd Since 5/19/98 September 1996 - present
Columbus, OH 43219

Alaina Metz 4/7/67 Assistant Indefinite, Chief Admin Officer, BISYS Fund Services
3435 Stelzer Rd Secretary Since 11/12/96 June 1995 - present
Columbus, OH 43219

NUMBER OF PORTFOLIOS
OVERSEEN WITHIN THE
NAME AND ADDRESS FUND COMPLEX
- -----------------------------------------------------------

Howard L. Brenneman 4
PO Box 483
Goshen, IN 46527

Karen Klassen Harder, Ph.D. 4
Bluffton College
Bluffton, OH 45817

Richard Reimer, Ph.D. 4
The College of Wooster
Wooster, OH 44691

Donald E. Showalter, Esq. 4
100 South Mason Street
Harrisonburg, VA 22801

Allen Yoder, Jr. 4
PO Box 460
Middlebury, IN 46540

Bruce Harder 4
4012 SE 17th Ave
Portland, OR 97202

R. Clair Sauder 4
630 Millcross Road
Lancaster, PA 17601

John L. Liechty 4
PO Box 483
Goshen, IN 46527

Trent Statczar 4
3435 Stelzer Rd
Columbus, OH 43219

Marlo J. Kauffman 4
PO Box 483
Goshen, IN 46527

Walter B. Grimm 4
3435 Stelzer Rd
Columbus, OH 43219

George Stevens 4
3435 Stelzer Rd
Columbus, OH 43219

Alaina Metz 4
3435 Stelzer Rd
Columbus, OH 43219

The Statement of Additional Information contains more information about The
Funds and can be obtained free of charge by calling 1-800-762-6212.

A copy of the Trust's quarterly portfolio holdings for the quarter ending
September 30, 2004, will be available without charge on the Securities and
Exchange Commission's website at www.sec.gov.

INVESTMENT ADVISER
MMA Capital Management
Post Office Box 483
Goshen, Indiana 46527

INVESTMENT SUB-ADVISER
(INTERNATIONAL FUND ONLY)
Evergreen Investment Management Co. LLC
200 Berkley Street
Boston, Massachusetts 02116

ADMINISTRATOR AND DISTRIBUTOR
BISYS Fund Services
3435 Stelzer Road
Columbus, Ohio 43219

LEGAL COUNSEL
Dechert LLP
200 Clarendon Street, 27th Floor
Boston, Massachusetts 02116

AUDITORS
Ernst & Young, LLP
41 South High Street
Columbus, Ohio 43215

TRANSFER AGENT
BISYS Fund Services Ohio, Inc.
3435 Stelzer Road
Columbus, Ohio 43219

MMA PRAXIS MUTUAL FUNDS
3435 STELZER ROAD
COLUMBUS, OHIO 43219

ITEM 2. CODE OF ETHICS.

Disclose whether, as of the end of the period covered by the report, the
registrant has adopted a code of ethics that applies to the registrant's
principal executive officer, principal financial officer, principal
accounting officer or controller, or persons performing similar functions,
regardless of whether these individuals are employed by the registrant or
a third party. If the registrant has not adopted such a code of ethics,
explain why it has not done so.

NOT APPLICABLE - ONLY FOR ANNUAL REPORTS.

The registrant must briefly describe the nature of any amendment, during the
period covered by the report, to a provision of its code of ethics that applies
to the registrant's principal executive officer, principal financial officer,
principal accounting officer or controller, or persons performing similar
functions, regardless of whether these individuals are employed by the
registrant or a third party, and that relates to any element of the code of
ethics definition enumerated in paragraph (b) of this Item. The registrant must
file a copy of any such amendment as an exhibit pursuant to Item 11(a)(1),
unless the registrant has elected to satisfy paragraph (f) of this Item by
posting its code of ethics on its website pursuant to paragraph (f)(2) of this
Item, or by undertaking to provide its code of ethics to any person without
charge, upon request, pursuant to paragraph (f)(3) of this Item.

If the registrant has, during the period covered by the report, granted a
waiver, including an implicit waiver, from a provision of the code of
ethics that applies to the registrant's principal executive officer,
principal financial officer, principal accounting officer or controller,
or persons performing similar functions, regardless of whether these
individuals are employed by the registrant or a third party, that relates
to one or more items set forth in paragraph (b) of this Item, the
registrant must briefly describe the nature of the waiver, the name of the
person to whom the waiver was granted, and the date of the waiver.

DURING THE PERIOD COVERED BY THE REPORT, WITH RESPECT TO THE REGISTRANT'S
CODE OF ETHICS THAT APPLIES TO ITS PRINCIPAL EXECUTIVE OFFICER, PRINCIPAL
FINANCIAL OFFICER, PRINCIPAL ACCOUNTING OFFICER OR CONTROLLER, OR PERSONS
PERFORMING SIMILAR FUNCTIONS; THERE HAVE BEEN NO AMENDMENTS TO, NOR ANY
WAIVERS GRANTED FROM, A PROVISION THAT RELATES TO ANY ELEMENT OF THE CODE
OF ETHICS DEFINITION ENUMERATED IN PARAGRAPH (b) OF THIS ITEM 2.

ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.

(a) (1) Disclose that the registrant's board of directors has
determined that the registrant either:

(i) Has at least one audit committee financial expert serving
on its audit committee; or

(ii) Does not have an audit committee financial expert
serving on its audit committee.

(2) If the registrant provides the disclosure required by
paragraph (a)(1)(i) of this Item, it must disclose the name
of the audit committee financial expert and whether that
person is "independent." In order to be considered
"independent" for purposes of this Item, a member of an
audit committee may not, other than in his or her capacity
as a member of the audit committee, the board of directors,
or any other board committee:

(i) Accept directly or indirectly any consulting, advisory,
or other compensatory fee from the issuer; or

(ii) Be an "interested person" of the investment company as
defined in Section 2(a)(19) of the Act (15 U.S.C. 80a-
2(a)(19)).

(3) If the registrant provides the disclosure required by
paragraph (a)(1)(ii) of this Item, it must explain why it
does not have an audit committee financial expert.

NOT APPLICABLE - ONLY FOR ANNUAL REPORTS.

ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.

(a) Disclose, under the caption Audit Fees, the aggregate fees billed for
each of the last two fiscal years for professional services rendered by the
principal accountant for the audit of the registrant's annual financial
statements or services that are normally provided by the accountant in
connection with statutory and regulatory filings or engagements for those fiscal
years.

(b) Disclose, under the caption Audit-Related Fees, the aggregate fees
billed in each of the last two fiscal years for assurance and related services
by the principal accountant that are reasonably related to the performance of
the audit of the registrant's financial statements and are not reported under
paragraph (a) of this Item. Registrants shall describe the nature of the
services comprising the fees disclosed under this category.

(c) Disclose, under the caption Tax Fees, the aggregate fees billed in
each of the last two fiscal years for professional services rendered by the
principal accountant for tax compliance, tax advice, and tax planning.
Registrants shall describe the nature of the services comprising the fees
disclosed under this category.

(d) Disclose, under the caption All Other Fees, the aggregate fees billed
in each of the last two fiscal years for products and services provided by the
principal accountant, other than the services reported in paragraphs (a) through
(c) of this Item. Registrants shall describe the nature of the services
comprising the fees disclosed under this category.

(e) (1) Disclose the audit committee's pre-approval policies and
procedures described in paragraph (c)(7) of Rule 2-01 of Regulation S-X.

(2) Disclose the percentage of services described in each of
paragraphs (b) through (d) of this Item that were approved by the audit
committee pursuant to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X.

(f) If greater than 50 percent, disclose the percentage of hours expended
on the principal accountant's engagement to audit the registrant's financial
statements for the most recent fiscal year that were attributed to work
performed by persons other than the principal accountant's full-time, permanent
employees.

(g) Disclose the aggregate non-audit fees billed by the registrant's
accountant for services rendered to the registrant, and rendered to the
registrant's investment adviser (not including any sub-adviser whose role is
primarily portfolio management and is subcontracted with or overseen by another
investment adviser), and any entity controlling, controlled by, or under common
control with the adviser that provides ongoing services to the registrant for
each of the last two fiscal years of the registrant.

(h) Disclose whether the registrant's audit committee of the board of
directors has considered whether the provision of nonaudit services that were
rendered to the registrant's investment adviser (not including any subadviser
whose role is primarily portfolio management and is subcontracted with or
overseen by another investment adviser), and any entity controlling, controlled
by, or under common control with the investment adviser that provides ongoing
services to the registrant that were not pre-approved pursuant to paragraph
(c)(7)(ii) of Rule 2-01 of Regulation S-X is compatible with maintaining the
principal accountant's independence.

NOT APPLICABLE - ONLY FOR ANNUAL REPORTS.

ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS.

(a) If the registrant is a listed issuer as defined in Rule 10A-3 under
the Exchange Act (17CFR 240.10A-3), state whether or not the
registrant has a separately-designated standing audit committee
established in accordance with Section 3(a)(58)(A) of the Exchange
Act (15 U.S.C. 78c(a)(58)(A)). If the registrant has such a
committee, however designated, identify each committee member. If
the entire board of directors is acting as the registrant's audit
committee as specified in Section 3(a)(58)(B) of the Exchange Act
(15 U.S.C. 78c(a)(58)(B)), so state.

(b) If applicable, provide the disclosure required by Rule 10A-3(d)
under the Exchange Act (17CFR 240.10A-3(d)) regarding an exemption
from the listing standards for all audit committees.

NOT APPLICABLE.

ITEM 6. SCHEDULE OF INVESTMENTS.

File Schedule I - Investments in securities of unaffiliated issuers as of the
close of the reporting period as set forth in Section 210.12-12 of Regulation
S-X, unless the schedule is included as part of the report to shareholders filed
under Item 1 of this Form.

NOT APPLICABLE.

ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END
MANAGEMENT INVESTMENT COMPANIES.

A closed-end management investment company that is filing an annual report
on this Form N-CSR must, unless it invests exclusively in non-voting securities,
describe the policies and procedures that it uses to determine how to vote
proxies relating to portfolio securities, including the procedures that the
company uses when a vote presents a conflict between the interests of its
shareholders, on the one hand, and those of the company's investment adviser;
principal underwriter; or any affiliated person (as defined in Section 2(a)(3)
of the Investment Company Act of 1940 (15 U.S.C. 80a-2(a)(3)) and the rules
thereunder) of the company, its investment adviser, or its principal
underwriter, on the other. Include any policies and procedures of the company's
investment adviser, or any other third party, that the company uses, or that are
used on the company's behalf, to determine how to vote proxies relating to
portfolio securities.

NOT APPLICABLE.

ITEM 8. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT
COMPANY AND AFFILIATED PURCHASERS.

If the registrant is a closed-end management investment company, provide the
information specified in paragraph (b) of this Item with respect to any purchase
made by or on behalf of the registrant or any "affiliated purchaser," as defined
in Rule 10b-18(a)(3) under the Exchange Act (17 CFR 240.10b-18(a)(3)), of shares
or other units of any class of the registrant's equity securities that is
registered by the registrant pursuant to Section 12 of the Exchange Act (15
U.S.C. 781).

NOT APPLICABLE.

ITEM 9. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.

Describe any material changes to the procedures by which shareholders may
recommend nominees to the registrant's board of directors, where those changes
were implemented after the registrant last provided disclosure in response to
the requirements of Item 7(d)(2)(ii)(G) of Schedule 14A (17 CFR 240.14a-101), or
this Item.

NOT APPLICABLE.

{NOTE - THIS IS REQUIRED BEGINNING WITH THE FIRST REPORTING PERIOD ENDING AFTER
JANUARY 1, 2004. For purposes of this Item, adoption of procedures by which
shareholders may recommend nominees to the registrant's board of directors,
where the registrant's most recent proxy disclosure (in response to the
requirements of Item 7(d)(2)(ii)(G) of Schedule 14A (17 CFR 240.14a-101)), or
this Item, indicated that the registrant did not have in place such procedures,
will constitute a material change.}

ITEM 10. CONTROLS AND PROCEDURES.

(a) Disclose the conclusions of the registrant's principal executive and
principal financial officers, or persons performing similar functions, regarding
the effectiveness of the registrant's disclosure controls and procedures (as
defined in Rule 30a-3(c) under the Act (17 CFR 270.30a-3(c))) as of a date
within 90 days of the filing date of the report that includes the disclosure
required by this paragraph, based on the evaluation of these controls and
procedures required by Rule 30a-3(b) under the Act (17 CFR 270.30a-3(b)) and
Rules 13a-15(b) or 15d-15(b) under the Exchange Act (17 CFR 240.13a-15(b) or
240.15d-15(b)).

THE REGISTRANT'S PRINCIPAL EXECUTIVE OFFICER AND PRINCIPAL FINANCIAL OFFICER
HAVE CONCLUDED, BASED ON THEIR EVALUATION OF THE REGISTRANT'S DISCLOSURE
CONTROLS AND PROCEDURES AS CONDUCTED WITHIN 90 DAYS OF THE FILING DATE OF THIS
REPORT, THAT THESE DISCLOSURE CONTROLS AND PROCEDURES ARE ADEQUATELY DESIGNED
AND ARE OPERATING EFFECTIVELY TO ENSURE THAT INFORMATION REQUIRED TO BE
DISCLOSED BY THE REGISTRANT ON FORM N-CSR IS (i) ACCUMULATED AND COMMUNICATED TO
THE INVESTMENT COMPANY'S MANAGEMENT, INCLUDING ITS CERTIFYING OFFICERS, TO ALLOW
TIMELY DECISIONS REGARDING REQUIRED DISCLOSURE; AND (ii) RECORDED, PROCESSED,
SUMMARIZED AND REPORTED WITHIN THE TIME PERIODS SPECIFIED IN THE SECURITIES AND
EXCHANGE COMMISSION'S RULES AND FORMS.

(b) Disclose any change in the registrant's internal control over financial
reporting (as defined in Rule 30a-3(d) under the Act (17 CFR 270.30a-3(d)) that
occurred during the registrant's last fiscal half-year (the registrant's second
fiscal half-year in the case of an annual report) that has materially affected,
or is reasonably likely to materially affect, the registrant's internal control
over financial reporting.

THERE WERE NO CHANGES IN THE REGISTRANT'S INTERNAL CONTROL OVER FINANCIAL
REPORTING THAT OCCURRED DURING THE REGISTRANT'S MOST RECENT FISCAL HALF-YEAR
(THE REGISTRANT'S SECOND FISCAL HALF-YEAR IN THE CASE OF AN ANNUAL REPORT) THAT
HAVE MATERIALLY AFFECTED OR ARE REASONABLY LIKELY TO MATERIALLY AFFECT, THE
REGISTRANT'S INTERNAL CONTROL OVER FINANCIAL REPORTING.

ITEM 11. EXHIBITS.

(a) File the exhibits listed below as part of this Form. Letter or number
the exhibits in the sequence indicated.

(a)(1) Any code of ethics, or amendment thereto, that is the subject of
the disclosure required by Item 2, to the extent that the registrant intends to
satisfy the Item 2 requirements through filing of an exhibit.

NOT APPLICABLE - ONLY EFFECTIVE FOR ANNUAL REPORTS.

(a)(2) A separate certification for each principal executive officer and
principal financial officer of the registrant as required by Rule 30a-2(a) under
the Act (17 CFR 270.30a-2). CERTIFICATIONS PURSUANT TO RULE 30a-2(a) ARE
ATTACHED HERETO.

(a)(3) Any written solicitation to purchase securities under Rule 23c-1
under the Act (17 CFR 270.23c-1) sent or given during the period covered by the
report by or on behalf of the registrant to 10 or more persons. NOT APPLICABLE.

(b) If the report is filed under Section 13(a) or 15(d) of the Exchange
Act, provide the certifications required by rule 30a-2(b) under the Act as an
exhibit. A certification furnished pursuant to this paragraph will not be deemed
"filed" for purposes of Section 18 of the Exchange Act, or otherwise subject to
the liability of that section. Such certification will not be deemed to be
incorporated by reference into any filing under the Securities Act of 1933 or
the Exchange Act, except to the extent that the registrant incorporates it by
reference. CERTIFICATIONS PURSUANT TO RULE 30a-2(b) ARE FURNISHED HEREWITH.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and
the Investment Company Act of 1940, the registrant has duly caused this report
to be signed on its behalf by the undersigned, thereunto duly authorized.

(Registrant) MMA Praxis Mutual Funds
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By (Signature and Title)* /s/ Trent Statczar Trent Statczar, Treasurer
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Date 09/02/04
--------------------------------

Pursuant to the requirements of the Securities Exchange Act of 1934 and
the Investment Company Act of 1940, this report has been signed below by the
following persons on behalf of the registrant and in the capacities and on the
dates indicated.

By (Signature and Title)* /s/ Trent Statczar Trent Statczar, Treasurer
-------------------------------------------------------

Date 09/02/04
--------------------------------

By (Signature and Title)* /s/ John L. Liechty John L. Liechty, President
-------------------------------------------------------

Date 09/08/04
--------------------------------

* Print the name and title of each signing officer under his or her signature.