A method is provided for converting synthesis gas to liquid hydrocarbon mixtures useful as distillate fuel and/or lube base oil containing no greater than about 25 wt % olefins and containing no greater than about 5 wt % C21+ normal paraffins. The synthesis gas is contacted with a synthesis gas conversion catalyst comprising a Fischer-Tropsch synthesis component and an acidic component in an upstream catalyst bed thereby producing a wax-free liquid containing a paraffin component and an olefin component. The olefin component is saturated by contacting the liquid with an olefin saturation catalyst in a downstream catalyst bed.