FORM 4 Check this box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See Instruction 1(b).

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP OF SECURITIES Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934, Section 17(a) of the Public Utility Holding Company Act of 1935 or Section 30(h) of the Investment Company Act of 1940

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(Print or Type Responses)

1. Name and Address of Reporting Person * OATES JAMES M   2. Issuer Name and Ticker or Trading Symbol INVESTORS FINANCIAL SERVICES CORP [IFIN] 5. Relationship of Reporting Person(s) to Issuer (Check all applicable) __X__ Director _____ 10% Owner _____ Officer (give title below) _____ Other (specify below) (Last) (First) (Middle) C/O INVESTORS FINANCIAL SERVICES CORP, 200 CLARENDON ST 3. Date of Earliest Transaction (Month/Day/Year) 07/02/2007 (Street) BOSTON, MA 02116 4. If Amendment, Date Original Filed(Month/Day/Year) 6. Individual or Joint/Group Filing(Check Applicable Line) _X_ Form filed by One Reporting Person ___ Form filed by More than One Reporting Person (City) (State) (Zip) Table I - Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned

1.Title of Security (Instr. 3) 2. Transaction Date (Month/Day/Year) 2A. Deemed Execution Date, if any (Month/Day/Year) 3. Transaction Code (Instr. 8) 4. Securities Acquired (A) or Disposed of (D) (Instr. 3, 4 and 5) 5. Amount of Securities Beneficially Owned Following Reported Transaction(s) (Instr. 3 and 4) 6. Ownership Form: Direct (D) or Indirect (I) (Instr. 4) 7. Nature of Indirect Beneficial Ownership (Instr. 4) Code V Amount (A) or (D) Price Common Stock 07/02/2007   D   35,669 D (1) 0 D

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Table II - Derivative Securities Acquired, Disposed of, or Beneficially Owned
(e.g., puts, calls, warrants, options, convertible securities)

1. Title of Derivative Security (Instr. 3)	2. Conversion or Exercise Price of Derivative Security	3. Transaction Date (Month/Day/Year)	3A. Deemed Execution Date, if any (Month/Day/Year)	4. Transaction Code (Instr. 8)		5. Number of Derivative Securities Acquired (A) or Disposed of (D) (Instr. 3, 4, and 5)		6. Date Exercisable and Expiration Date (Month/Day/Year)		7. Title and Amount of Underlying Securities (Instr. 3 and 4)		8. Price of Derivative Security (Instr. 5)	9. Number of Derivative Securities Beneficially Owned Following Reported Transaction(s) (Instr. 4)	10. Ownership Form of Derivative Security: Direct (D) or Indirect (I) (Instr. 4)	11. Nature of Indirect Beneficial Ownership (Instr. 4)
				Code	V	(A)	(D)	Date Exercisable	Expiration Date	Title	Amount or Number of Shares
Common Stock (right to buy)	$ 37.88	07/02/2007		D			5,000	(2)	04/23/2012	Common Stock	5,000	$ 0	0	D
Common Stock (right to buy)	$ 48.35	07/02/2007		D			5,000	(2)	04/18/2016	Common Stock	5,000	$ 0	0	D
Common Stock (right to buy)	$ 47.46	07/02/2007		D			3,091	(2)	11/08/2010	Common Stock	3,091	$ 0	0	D
Common Stock (right to buy)	$ 47.46	07/02/2007		D			1,737	(2)	04/15/2013	Common Stock	1,737	$ 0	0	D
Common Stock (right to buy)	$ 47.46	07/02/2007		D			1,304	(2)	11/08/2011	Common Stock	1,304	$ 0	0	D
Common Stock (right to buy)	$ 38.789	07/02/2007		D			707	(2)	04/15/2013	Common Stock	707	$ 0	0	D
Common Stock (right to buy)	$ 38.789	07/02/2007		D			2,051	(2)	11/08/2011	Common Stock	2,051	$ 0	0	D
Common Stock (right to buy)	$ 38.789	07/02/2007		D			465	(2)	11/08/2009	Common Stock	465	$ 0	0	D
Common Stock (right to buy)	$ 42.61	07/02/2007		D			5,000	(2)	04/13/2014	Common Stock	5,000	$ 0	0	D
Common Stock (right to buy)	$ 45.47	07/02/2007		D			5,000	(2)	04/14/2015	Common Stock	5,000	$ 0	0	D

Reporting Owners

Reporting Owner Name / Address	Relationships
	Director	10% Owner	Officer	Other
OATES JAMES M C/O INVESTORS FINANCIAL SERVICES CORP 200 CLARENDON ST BOSTON, MA 02116	X

Signatures

John E. Henry p/a for James M. Oates		07/05/2007
**Signature of Reporting Person		Date

Explanation of Responses:

*	If the form is filed by more than one reporting person, see Instruction 4(b)(v).
**	Intentional misstatements or omissions of facts constitute Federal Criminal Violations. See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).
(1)	Disposed of pursuant to the Agreement and Plan of Merger, dated February 4, 2007 among the Issuer and State Street Corporation in exchange for the right to receive 0.906 shares of State Street Corporation Common Stock. On the date of closing shares of State Street Corporation Common Stock closed at $68.70.
(2)	This option was cancelled on July 2, 2007, the date of the merger of the Issuer into State Street Bank for a cash payment of the excess of $61.9957 over the exercise price per share of Issuer common stock subject to such option.

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