<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND Two World Trade Center,
LETTER TO THE SHAREHOLDERS July 31, 2000 New York, New York 10048
DEAR SHAREHOLDER:
This year's stock market continues to reverse trends established in 1999. In
contrast to prior periods, the large-cap segment of the U.S. equity market has
underperformed the mid-cap and small-cap market segments. Recent interest rate
hikes by the Federal Reserve Board have helped dissipate fears of growing
inflation but at the same time have forced investors to rethink the notions of
economic perfection that had been priced into the market. As a result,
technology, last year's favorite sector, has generated only modest returns over
the last six months and trails more defensive issues such as the utilities and
health-care sectors.
FUND PERFORMANCE
Since its inception on September 28, 1999, through July 31, 2000, Morgan Stanley
Dean Witter Total Market Index Fund's Class A, B, C and D shares produced total
returns of 13.99 percent, 13.29 percent, 13.29 percent and 14.30 percent,
respectively. During the same period, the Wilshire 5000 Total Market Index
(Wilshire 5000) returned 15.05 percent. The performance of the Fund's four share
classes varies because of differing expenses. Total return figures assume the
reinvestment of all distributions but do not reflect the deduction of any
applicable sales charges.
The Fund seeks to provide investment results that correspond, before expenses,
to the total return (i.e., the combination of capital change and income) of the
Wilshire 5000. The Fund seeks to achieve this objective by investing in a
representative sampling of companies that comprise the index. The Wilshire 5000
is widely considered to provide the best representation of the overall U.S.
market. As a result, investors are able to participate in the growth potential
of virtually the entire market.
LOOKING AHEAD
After a turbulent first half of the year, the bearish sentiment that has
overshadowed the markets over the last several months seems to have peaked. The
interest rate hikes conducted by the Federal Reserve have
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
LETTER TO THE SHAREHOLDERS July 31, 2000, continued
slowed economic growth moderately and have alleviated fears of higher inflation.
Continued strength in corporate earnings and hopes that the Fed can once again
orchestrate a soft landing may create a positive environment for the equity
markets.
We appreciate your ongoing support of Morgan Stanley Dean Witter Total Market
Index Fund and look forward to continuing to serve your investment needs.
Very truly yours,
/s/ CHARLES A. FIUMEFREDDO /s/ MITCHELL M. MERIN
---------------------------- ----------------------------
CHARLES A. FIUMEFREDDO MITCHELL M. MERIN
Chairman of the Board President
2
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
FUND PERFORMANCE July 31, 2000
[GRAPHIC OMITTED]
GROWTH OF $10,000
($ in Thousands)
WILSHIRE
DATE CLASS A CLASS B CLASS C CLASS D 5000(4)
--------------------------------------------------------------------------------
September 28, 1999 $9,475 $10,000 $10,000 $10,000 $10,000
--------------------------------------------------------------------------------
September 30, 1999 $9,494 $10,020 $10,020 $10,020 $10,015
--------------------------------------------------------------------------------
October 31, 1999 $10,082 $10,640 $10,640 $10,650 $10,652
--------------------------------------------------------------------------------
November 30, 1999 $10,413 $10,980 $10,980 $10,990 $11,008
--------------------------------------------------------------------------------
December 31, 1999 $11,181 $11,780 $11,780 $11,810 $11,844
--------------------------------------------------------------------------------
January 31, 2000 $10,697 $11,259 $11,259 $11,299 $11,352
--------------------------------------------------------------------------------
February 29, 2000 $10,944 $11,510 $11,510 $11,560 $11,607
--------------------------------------------------------------------------------
March 31, 2000 $11,551 $12,151 $12,151 $12,211 $12,296
--------------------------------------------------------------------------------
April 30, 2000 $10,953 $11,510 $11,510 $11,580 $11,656
--------------------------------------------------------------------------------
May 31, 2000 $10,583 $11,119 $11,119 $11,189 $11,249
--------------------------------------------------------------------------------
June 30, 2000 $11,029 $11,580 $11,580 $11,670 $11,745
--------------------------------------------------------------------------------
July 31, 2000 $10,801(3) $10,829(3) $11,229(3) $11,430(3) $11,505
--------------------------------------------------------------------------------
PAST PERFORMANCE IS NOT PREDICTIVE OF FUTURE RETURNS. INVESTMENT RETURN AND
PRINCIPAL VALUE WILL FLUCTUATE. WHEN YOU SELL FUND SHARES, THEY MAY BE WORTH
MORE OR LESS THAN THEIR ORIGINAL COST. PERFORMANCE FOR CLASS A, CLASS B, CLASS
C, AND CLASS D SHARES WILL VARY DUE TO DIFFERENCES IN SALES CHARGES AND
EXPENSES.
AVERAGE ANNUAL TOTAL RETURNS
--------------------------------------------------------------------------------
CLASS A SHARES*
------------------------------------------------------------
PERIOD ENDED 7/31/00
--------------------------
From Inception (9/28/99) 13.99%(1) 8.01%(2)
CLASS C SHARES+
--------------------------------------------------------------
PERIOD ENDED 7/31/00
--------------------------
From Inception (9/28/99) 13.29%(1) 12.29%(2)
CLASS B SHARES**
-------------------------------------------------------------
PERIOD ENDED 7/31/00
--------------------------
From Inception (9/28/99) 13.29%(1) 8.29%(2)
CLASS D SHARES#
------------------------------------------------------------
PERIOD ENDED 7/31/00
--------------------------
From Inception (9/28/99) 14.30%(1)
---------------
(1) Figure shown assumes reinvestment of all distributions and does not reflect
the deduction of any sales charges.
(2) Figure shown assumes reinvestment of all distributions and the deduction of
the maximum applicable sales charge. See the Fund's current prospectus for
complete details on fees and sales charges.
(3) Closing value assuming a complete redemption on July 31, 2000.
(4) The Wilshire 5000 Total Market Index measures the performance of all U.S.
headquartered equity securities and is the best measure of the entire U.S
stock market. Over 7,000 capitalization weighted security returns are used
to adjust the index. The Index does not include any expenses, fees or
charges. The Index is unmanaged and should not be considered an investment.
* The maximum front-end sales charge for Class A is 5.25%.
** The maximum contingent deferred sales charge (CDSC) for Class B is 5.0%.
The CDSC declines to 0% after six years.
+ The maximum contingent deferred sales charge for Class C shares is 1% for
shares redeemed within one year of purchase.
# Class D shares have no sales charge.
3
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000
<TABLE>
<CAPTION>
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
<S> <C> <C>
COMMON AND PREFERRED STOCKS
AND RIGHTS (96.4%)
Accident & Health Insurance (0.1%)
6,974 AFLAC, Inc. ............................. $ 362,212
287 HealthAxis, Inc.* ....................... 861
1,024 UICI* ................................... 8,192
6,291 UnumProvident Corp. ..................... 144,693
------------
515,958
------------
Advertising (0.4%)
1,226 24/7 Media, Inc.* ....................... 15,018
737 Ackerley Group, Inc. (The)* ............. 9,397
490 ADVO, Inc.* ............................. 20,059
1,337 Be Free, Inc.* .......................... 6,852
479 Catalina Marketing Corp.* ............... 51,552
434 Cybergold, Inc.* ........................ 2,984
1,370 Digital Courier Technologies, Inc.*...... 5,908
616 Digital Impact, Inc.* ................... 9,009
843 Direct Focus, Inc.* ..................... 41,728
3,097 DoubleClick Inc.* ....................... 111,298
347 FreeShop.com, Inc.* ..................... 1,269
1,275 Getty Images, Inc.* ..................... 46,139
25 Grey Global Group Inc. .................. 15,319
722 Harris Interactive Inc.* ................ 2,911
1,732 Harte-Hanks Inc. ........................ 43,841
1,083 infoUSA, Inc.* .......................... 6,498
7,968 Interpublic Group of Companies,
Inc. .................................. 319,218
1,875 Lamar Advertising Co.* .................. 85,547
577 LifeMinders, Inc.* ...................... 12,982
775 Mediaplex, Inc.* ........................ 7,023
478 Modem Media. Poppe Tyson, Inc.*.......... 5,975
637 MyPoints.com, Inc.* ..................... 8,998
816 Netcentives Inc.* ....................... 10,251
378 NetCreations, Inc.* ..................... 11,482
793 Netratings, Inc.* ....................... 15,959
4,651 Omnicom Group, Inc. ..................... 395,335
1,081 Promotions.com, Inc.* ................... 5,608
723 R.H. Donnelley Corp.* ................... 14,505
1,805 Snyder Communications, Inc.* ............ 45,576
2,373 TMP Worldwide, Inc.* .................... 170,856
1,263 True North Communications, Inc. ......... 61,650
1,419 Valassis Communications, Inc.* .......... 47,714
757 Wink Communications, Inc.* .............. 18,546
1,824 Young & Rubicam, Inc. ................... 103,056
------------
1,730,063
------------
Aerospace (0.6%)
547 AAR Corp. ............................... 6,564
2,474 BE Aerospace, Inc.* ..................... 29,843
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
23,959 Boeing Co. .............................. $ 1,173,991
295 Curtiss-Wright Corp. .................... 11,450
2,852 GenCorp Inc. ............................ 22,638
2,887 Goodrich (B.F.) Co. (The) ............... 103,030
10,377 Lockheed Martin Corp. ................... 291,853
327 Moog Inc. (Class A) ..................... 9,483
1,821 Northrop Grumman Corp. .................. 129,405
866 Orbital Sciences Corp.* ................. 13,044
285 Sequa Corp. (Class A)* .................. 12,166
2,366 Teledyne Technologies Inc.* ............. 47,172
362 Triumph Group, Inc.* .................... 11,086
12,449 United Technologies Corp. ............... 726,710
------------
2,588,435
------------
Agricultural Chemicals (0.0%)
2,888 IMC Global Inc. ......................... 39,890
722 Scotts Company (The) (Class A)* ......... 23,555
------------
63,445
------------
Air Freight/Delivery Services (0.2%)
1,275 Airborne Freight Corp. .................. 19,683
903 Atlas Air, Inc.* ........................ 40,071
1,039 C.H. Robinson Worldwide, Inc. ........... 66,252
448 Circle International Group, Inc. ........ 12,656
1,221 CNF Transportation, Inc. ................ 31,059
682 EGL, Inc.* .............................. 19,565
1,322 Expeditors International of
Washington, Inc. ...................... 66,430
7,599 FedEx Corp.* ............................ 301,110
898 Fritz Companies, Inc.* .................. 13,358
2,867 United Parcel Service, Inc.
(Class B) ............................. 168,436
------------
738,620
------------
Airlines (0.3%)
1,834 AirTran Holdings, Inc.* ................. 8,024
692 Alaska Air Group, Inc.* ................. 18,987
843 America West Holdings Corp.
(Class B)* ............................ 13,541
3,881 AMR Corp.* .............................. 128,316
495 Amtran, Inc.* ........................... 6,497
537 Atlantic Coast Airlines Holdings,
Inc.* ................................. 19,802
1,815 Continental Airlines, Inc.
(Class B)* ............................ 94,834
3,352 Delta Air Lines, Inc. ................... 179,960
1,759 Frontier Airlines, Inc.* ................ 31,552
3,174 Mesa Air Group, Inc.* ................... 17,854
845 Mesaba Holdings, Inc.* .................. 8,397
354 Midwest Express Holdings, Inc.* ......... 8,319
</TABLE>
See Notes to Financial Statements
4
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
2,214 Northwest Airlines Corp. (Class A)*...... $ 73,892
620 Skywest, Inc. ........................... 27,667
13,220 Southwest Airlines Co. .................. 312,322
8,079 Trans World Airlines, Inc.* ............. 18,683
1,350 UAL Corp.* .............................. 73,069
1,873 US Airways Group Inc.* .................. 73,515
------------
1,115,231
------------
Alcoholic Beverages (0.3%)
12,194 Anheuser-Busch Companies, Inc. .......... 981,617
467 Beringer Wine Estates Holdings,
Inc.* ................................. 17,162
2,090 Boston Beer Company, Inc. (The)
(Class A)* ............................ 18,287
1,796 Brown-Forman Corp. (Class B) ............ 89,800
456 Canandaigua Brands, Inc.
(Class A)* ............................ 22,515
966 Coors (Adolph) Co. (Class B) ............ 60,858
273 Mondavi (Robert) Corp. (The)
(Class A)* .............................. 8,531
------------
1,198,770
------------
Aluminum (0.2%)
22,802 Alcoa, Inc. ............................. 689,760
1,630 Century Aluminum Co. .................... 21,394
371 Commonwealth Industries, Inc. ........... 2,388
578 IMCO Recycling, Inc. .................... 2,818
1,415 Kaiser Aluminum Corp.* .................. 6,102
183 Maxxam, Inc.* ........................... 3,900
------------
726,362
------------
Apparel (0.1%)
4,386 Cintas Corp. ............................ 185,034
547 Columbia Sportswear Co.* ................ 20,034
1,122 Donna Karan International Inc.* ......... 6,732
1,028 Guess ?, Inc.* .......................... 14,006
3,211 Jones Apparel Group, Inc.* .............. 73,452
494 Kellwood Co. ............................ 11,053
1,549 Liz Claiborne, Inc. ..................... 60,411
2,199 Nautica Enterprises, Inc.* .............. 23,914
621 OshKosh B' Gosh, Inc. (Class A) ......... 9,858
426 Oxford Industries, Inc. ................. 8,227
1,090 Phillips-Van Heusen Corp. ............... 9,810
599 Polo Ralph Lauren Corp.* ................ 9,696
1,782 Quiksilver, Inc.* ....................... 23,834
651 Russell Corp. ........................... 12,817
367 Tarrant Apparel Group* .................. 2,936
3,096 VF Corp. ................................ 68,112
1,327 Warnaco Group, Inc. ..................... 5,474
------------
545,400
------------
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
Assisted Living Services (0.0%)
1,074 Alterra Healthcare Corp.* ............... $ 2,484
1,510 Sunrise Assisted Living, Inc.* .......... 24,160
------------
26,644
------------
Auto Parts: O.E.M. (0.2%)
1,073 American Axle & Manufacturing
Holdings, Inc.* ....................... 16,162
1,853 ArvinMeritor, Inc. ...................... 28,949
709 Borg-Warner Automotive, Inc. ............ 24,062
1,928 Collins & Aikman Corp.* ................. 11,086
4,312 Dana Corp. .............................. 98,906
14,808 Delphi Automotive Systems Corp. 219,343
414 Dura Automotive Systems, Inc.* .......... 4,269
1,929 Eaton Corp. ............................. 130,810
1,863 Federal Mogul Corp. ..................... 17,000
1,921 Gentex Corp.* ........................... 43,703
724 Hayes Lemmerz International, Inc.*....... 9,774
2,239 Johnson Controls, Inc. .................. 116,288
1,693 Lear Corp.* ............................. 39,468
1,111 Mark IV Industries, Inc. ................ 24,442
796 Mascotech, Inc. ......................... 9,154
704 Modine Manufacturing Co. ................ 19,008
800 Sauer-Danfoss, Inc. ..................... 7,850
418 Simpson Industries, Inc. ................ 3,396
545 Stoneridge, Inc. ........................ 4,530
127 Strattec Security Corp.* ................ 4,445
636 Superior Industries International,
Inc. .................................. 19,120
3,187 TRW Inc. ................................ 143,216
4,144 Visteon Corp. ........................... 58,016
------------
1,052,997
------------
Automotive Aftermarket (0.1%)
473 Aftermarket Technology Corp.* ........... 3,784
1,331 Apogee Enterprises, Inc. ................ 5,657
391 Bandag, Inc. ............................ 10,117
1,490 Barnes Group, Inc. ...................... 29,427
790 Carlisle Co., Inc. ...................... 35,747
533 CLARCOR Inc. ............................ 11,160
1,988 Cooper Tire & Rubber Co. ................ 22,241
964 Exide Corp. ............................. 6,808
4,660 Genuine Parts Co. ....................... 93,491
4,097 Goodyear Tire & Rubber Co. .............. 81,684
398 IMPCO Technologies, Inc.* ............... 9,552
817 SPX Corp.* .............................. 116,984
457 Standard Motor Products, Inc. ........... 4,427
See Notes to Financial Statements
5
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
2,682 TBC Corp.* .............................. $ 12,404
2,309 Tenneco Automotive Inc. ................. 13,565
-------------
457,048
-------------
Beverages - Non-Alcoholic (1.4%)
492 Coca-Cola Bottling Co. Consolidated...... 21,648
65,371 Coca-Cola Co. ........................... 4,008,059
11,151 Coca-Cola Enterprises Inc. .............. 213,960
1,122 National Beverage Corp.* ................ 9,116
3,911 Pepsi Bottling Group, Inc. (The) ........ 119,530
38,151 PepsiCo, Inc. ........................... 1,747,793
456 Triarc Co., Inc.* ....................... 9,946
3,561 Whitman Corp. ........................... 53,192
-------------
6,183,244
-------------
Biotechnology (1.6%)
2,096 Abgenix, Inc.* .......................... 105,062
817 Aclara Biosciences Inc.* ................ 34,314
4,276 Advanced Tissue Sciences, Inc.* ......... 23,117
716 Affymetrix, Inc.* ....................... 97,768
375 Alexion Pharmaceuticals, Inc.* .......... 24,187
1,426 Alkermes, Inc.* ......................... 47,236
27,119 Amgen Inc.* ............................. 1,761,040
1,357 Amylin Pharmaceuticals, Inc.* ........... 17,302
611 Antigenics Inc.* ........................ 10,692
674 Aphton Corp.* ........................... 18,788
1,036 ARIAD Pharmaceuticals, Inc.* ............ 9,712
703 Aurora Biosciences Corp.* ............... 56,591
1,990 AVANT Immunotherapeutics, Inc.*.......... 12,935
667 AVI BioPharma, Inc.* .................... 4,627
315 Avigen, Inc.* ........................... 11,340
1,306 Axys Pharmaceuticals, Inc.* ............. 7,183
1,335 Bio-Technology General Corp.* ........... 13,684
355 BioCryst Pharmaceuticals, Inc.* ......... 10,783
3,938 Biogen, Inc.* ........................... 208,714
1,688 Celgene Corp.* .......................... 87,670
1,166 Cell Genesys, Inc.* ..................... 24,850
817 Cephalon, Inc.* ......................... 32,935
4,761 Chiron Corp.* ........................... 199,367
634 COR Therapeutics, Inc.* ................. 51,037
709 Corixa Corp.* ........................... 24,195
515 Coulter Pharmaceutical, Inc.* ........... 12,102
912 Creative Biomolecules, Inc.* ............ 7,780
895 Cubist Pharmaceuticals, Inc.* ........... 40,387
1,184 CuraGen Corp.* .......................... 41,070
557 CV Therapeutics, Inc.* .................. 32,376
3,135 CYTOGEN Corp.* .......................... 19,986
183 Diversa Corp.* .......................... 6,588
609 Emisphere Technologies, Inc.* ........... 16,215
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
630 Enzo Biochem, Inc.* ..................... $ 33,587
1,050 Enzon, Inc.* ............................ 46,987
1,121 Exelixis, Inc.* ......................... 43,649
817 GelTex Pharmaceuticals, Inc.* ........... 23,693
608 Gene Logic, Inc.* ....................... 11,856
1,778 Genelabs Technologies, Inc.* ............ 6,112
2,201 Genentech, Inc.* ........................ 334,827
492 Genome Therapeutics Corp.* .............. 10,332
2,205 Genzyme Corp. (General Division)*........ 153,110
603 Genzyme Transgenics Corp.* .............. 18,128
459 Geron Corp.* ............................ 9,983
1,151 Gilead Sciences, Inc.* .................. 85,318
627 Guilford Pharmaceuticals Inc.* .......... 9,993
2,260 Hemispherx Biopharma, Inc.* ............. 16,102
1,430 Human Genome Sciences, Inc.* ............ 172,762
322 Hyseq, Inc.* ............................ 10,405
1,191 ICOS Corp.* ............................. 54,339
1,173 IDEC Pharmaceuticals Corp.* ............. 144,059
922 IDEXX Laboratories, Inc.* ............... 22,358
527 ILEX Oncology, Inc.* .................... 19,235
818 ImClone Systems, Inc.* .................. 59,816
13,220 Immunex Corp.* .......................... 670,089
1,206 ImmunoGen, Inc.* ........................ 12,437
1,008 Immunomedics, Inc.* ..................... 17,262
840 Incyte Pharmaceuticals, Inc.* ........... 63,682
971 Interneuron Pharmaceuticals, Inc.*....... 2,003
613 Invitrogen Corp.* ....................... 38,466
2,386 Isis Pharmaceuticals, Inc.* ............. 26,842
1,255 Lexicon Genetics Inc.* .................. 42,827
1,194 Ligand Pharmaceuticals, Inc.
(Class B)* ............................ 11,940
716 Luminex Corp.* .......................... 25,955
526 Maxim Pharmaceuticals, Inc.* ............ 25,610
846 Maxygen Inc.* ........................... 52,452
1,194 Medarex, Inc.* .......................... 87,013
5,511 MedImmune, Inc.* ........................ 327,904
377 MGI Pharma, Inc.* ....................... 10,367
2,416 Millennium Pharmaceuticals, Inc.* ....... 232,540
260 Myriad Genetics, Inc.* .................. 34,531
1,719 NABI, Inc.* ............................. 13,000
476 Nanogen, Inc.* .......................... 12,614
530 NeoRx Corp.* ............................ 8,745
481 Neurocrine Biosciences, Inc.* ........... 15,362
533 Neurogen Corp.* ......................... 15,124
459 Nexell Therapeutics Inc.* ............... 4,071
677 Northfield Laboratories, Inc.* .......... 10,493
905 NPS Pharmaceuticals, Inc.* .............. 25,566
869 Orchid Biosciences* ..................... 31,936
See Notes to Financial Statements
6
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
1,194 Organogenesis, Inc.* ..................... $ 14,477
1,235 OSI Pharameceuticals Inc.* ............... 41,450
909 OXiGENE, Inc.* ........................... 8,522
588 PathoGenesis Corp.* ...................... 15,472
1,473 PE Corporation-Celera Genomics
Group* ................................. 127,967
418 Pharmacyclics, Inc.* ..................... 19,646
432 Progenics Pharmaceuticals, Inc.* ......... 8,748
491 Protein Design Labs, Inc.* ............... 59,503
1,175 Regeneron Pharmaceuticals, Inc.* ......... 32,973
760 Ribozyme Pharmaceuticals, Inc.* .......... 18,525
616 SafeScience, Inc.* ....................... 2,368
450 SangStat Medical Corp.* .................. 8,437
1,639 SciClone Pharmaceuticals, Inc.* .......... 19,566
576 Sequenom Inc.* ........................... 16,308
2,369 SICOR Inc.* .............................. 22,357
801 SuperGen, Inc.* .......................... 22,215
1,990 Targeted Genetics Corp.* ................. 19,776
2,499 Texas Biotechnology Corp.* ............... 39,359
394 Titan Pharmaceuticals, Inc.* ............. 13,421
570 Transkaryotic Therapies, Inc.* ........... 15,105
897 Triangle Pharmaceuticals, Inc.* .......... 8,129
456 Trimeris, Inc.* .......................... 26,049
1,240 Tularik Inc.* ............................ 33,015
612 Valentis, Inc.* .......................... 4,877
673 Vertex Pharmaceuticals, Inc.* ............ 65,912
632 Vical, Inc.* ............................. 10,270
1,166 Vion Pharmaceuticals, Inc.* .............. 9,911
414 ViroPharma Inc.* ......................... 7,452
2,259 XOMA Ltd.* ............................... 13,836
------------
6,882,761
------------
Books/Magazines (0.1%)
1,174 Advanced Marketing Services, Inc. ........ 20,178
1,865 Harcourt General, Inc. ................... 102,925
512 Hollywood.com, Inc.* ..................... 4,864
785 Houghton Mifflin Co. ..................... 37,189
606 IDG Books Worldwide, Inc.* ............... 5,378
526 Information Holdings Inc.* ............... 18,344
1,623 John Wiley & Sons, Inc. (Class A) ........ 35,503
334 Martha Stewart Living Omnimedia,
Inc. (Class A)* ........................ 8,287
1,302 Meredith Corp. ........................... 41,420
832 Penton Media, Inc. ....................... 28,808
563 Playboy Enterprises, Inc. (Class B)*...... 6,791
4,149 PRIMEDIA Inc.* ........................... 84,536
2,795 Reader's Digest Assoc., Inc.
(Class A) ................................ 105,686
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
437 Scholastic Corp.* ........................ $ 27,913
2,616 Ziff-Davis, Inc.-ZDNET* .................. 37,441
------------
565,263
------------
Broadcasting (0.6%)
389 Acme Communications, Inc.* ............... 4,133
5,684 AMFM, Inc.* .............................. 406,051
601 BHC Communications, Inc.
(Class A) .............................. 89,474
908 Chris-Craft Industries, Inc.* ............ 60,722
927 Citadel Communications Corp.* ............ 27,752
8,871 Clear Channel Communications,
Inc.* .................................. 675,859
810 Cox Radio, Inc. (Class A)* ............... 19,541
649 Cumulus Media, Inc.* ..................... 6,328
1,074 Emmis Broadcasting Corp.
(Class A)* ............................. 38,731
880 Entercom Communications Corp.* ........... 34,155
275 Granite Broadcasting Corp.* .............. 1,702
1,299 Hearst-Argyle Television, Inc.* .......... 24,762
2,848 Hispanic Broadcasting Corp.* ............. 108,402
10,167 Infinity Broadcasting Corp.
(Series A)* ............................ 358,387
1,347 On2.com, Inc.* ........................... 4,209
1,280 Paxson Communications Corp.* ............. 13,280
584 Radio One, Inc.* ......................... 13,614
1,168 Radio One, Inc. (Class D)* ............... 22,046
483 Radio Unica Communications
Corp.* ................................. 3,668
498 Saga Communications, Inc.
(Class A)* ............................. 11,454
1,219 Salem Communications Corp.* .............. 14,780
2,734 Sinclair Broadcast Group, Inc.* .......... 29,903
1,005 Sirus Satellite Radio Inc.* .............. 38,567
530 Spanish Broadcasting System, Inc.
(Class A)* ............................. 5,896
1,087 Tanox, Inc.* ............................. 52,176
268 United Television, Inc. .................. 36,180
2,672 Univision Communications, Inc.
(Class A)* ............................... 331,996
7,695 USA Networks, Inc.* ...................... 162,076
2,907 Westwood One, Inc.* ...................... 80,851
843 XM Satellite Radio Holdings Inc.
(Class A)* ............................. 26,186
198 Young Broadcasting Corp.
(Class A)* ............................... 6,695
------------
2,709,576
------------
See Notes to Financial Statements
7
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
Building Materials (0.1%)
100 Ameron International Corp. .............. $ 3,750
443 Centex Construction Products, Inc. ...... 10,853
462 Elcor Corp. ............................. 8,865
437 Florida Rock Industries, Inc. ........... 15,732
3,716 Johns Manville Corp. .................... 47,843
1,809 Lafarge Corp. ........................... 40,702
1,224 Martin Marietta Materials, Inc. ......... 51,637
1,437 Owens Corning ........................... 7,903
941 Southdown, Inc. ......................... 58,577
502 Texas Industries, Inc. .................. 16,284
392 Trex Co., Inc.* ......................... 21,021
351 U.S. Aggregates, Inc. ................... 5,879
1,296 USG Corp. ............................... 38,070
2,622 Vulcan Materials Co. .................... 112,254
------------
439,370
------------
Building Materials/DIY Chains (0.9%)
994 Fastenal Co. ............................ 61,379
61,104 Home Depot, Inc. (The) .................. 3,162,132
10,020 Lowe's Companies, Inc. .................. 422,719
------------
3,646,230
------------
Building Products (0.1%)
1,854 American Standard Companies,
Inc.* ................................. 82,619
360 American Woodmark Corp. ................. 6,930
956 Armstrong Holdings, Inc. ................ 15,296
1,233 Dal-Tile International Inc.* ............ 11,097
1,275 Griffon Corp.* .......................... 7,969
778 Lennox International Inc. ............... 10,260
404 LSI Industries, Inc. .................... 6,767
11,715 Masco Corp. ............................. 231,371
557 NCI Building Systems, Inc.* ............. 10,513
1,005 Nortek, Inc.* ........................... 19,723
212 Simpson Manufacturing Co., Inc.* ........ 10,388
822 Watsco, Inc. ............................ 11,457
1,021 York International Corp. ................ 28,397
------------
452,787
------------
Cable Television (0.5%)
1,149 ACTV, Inc.* ............................. 17,163
2,963 Adelphia Communications Corp.
(Class A)* ............................ 104,446
1,889 AT&T Corp. - Liberty Media
Group (Class A)* ...................... 42,030
3,415 Cablevision Systems Corp.
(Class A)* ............................ 224,750
4,455 Charter Communications, Inc.
(Class A) ............................. 58,750
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
24,283 Comcast Corp. (Class A Special)* ........ $ 826,001
15,129 Cox Communications, Inc.
(Class A)* ............................ 558,827
6,059 EchoStar Communications Corp.
(Class A)* ............................ 238,952
1,173 Insight Communications Co., Inc.* ....... 14,369
982 Lodgenet Entertainment Corp.* ........... 25,532
1,530 Mediacom Communications Corp.
(Class A)* ............................ 23,332
852 Nucentrix Broadband Networks,
Inc.* ................................. 23,856
1,169 Pegasus Communications Corp.* ........... 49,390
1,587 TCI Satellite Entertainment, Inc.* ...... 16,862
2,017 UnitedGlobalCom, Inc. (Class A)* ........ 98,959
------------
2,323,219
------------
Canadian Oil & Gas (0.0%)
1,059 Denbury Resources Inc.* ................. 4,898
------------
Casino/Gambling (0.1%)
256 Anchor Gaming* .......................... 13,872
687 Argosy Gaming Co.* ...................... 9,575
928 Aztar Corp.* ............................ 14,152
1,653 Boyd Gaming Corp.* ...................... 7,335
843 Churchill Downs Inc. .................... 19,389
768 Dover Downs Entertainment, Inc. 8,832
832 GTECH Holdings Corp.* ................... 17,004
3,370 Harrah's Entertainment, Inc.* ........... 84,461
940 Isle of Capri Casinos, Inc.* ............ 11,632
2,377 Mandalay Resort Group* .................. 58,088
4,151 MGM Grand, Inc. ......................... 149,177
7,990 Park Place Entertainment Corp.* ......... 100,374
588 Pinnacle Entertainment, Inc.* ........... 11,503
466 Scientific Games Holding Corp.* ......... 11,941
1,508 Station Casinos, Inc.* .................. 19,409
------------
536,744
------------
Catalog/Specialty Distribution (0.2%)
1,961 1-800-Flowers.com, Inc. (Class H)* ...... 11,705
9,160 Amazon.com, Inc.* ....................... 275,945
2,585 Ashford.com, Inc.* ...................... 8,240
895 Audible, Inc.* .......................... 2,126
1,905 Barnesandnoble.com. Inc.* ............... 9,763
700 Beyond.com Corp.* ....................... 875
3,258 BUY.COM* ................................ 13,643
787 CDnow, Inc.* ............................ 2,336
2,266 CDW Computer Centers, Inc.* ............. 109,193
461 Coldwater Creek, Inc.* .................. 14,521
1,139 Cyberian Outpost, Inc.* ................. 4,485
1,035 Drugstore.com, Inc.* .................... 5,110
See Notes to Financial Statements
8
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
1,463 Egghead.com, Inc.* ....................... $ 3,566
2,444 EMusic.com Inc.* ......................... 5,193
394 Envision Development Corp.* .............. 4,777
3,042 eToys, Inc.* ............................. 14,545
919 Fatbrain.com, Inc.* ...................... 5,284
826 Fogdog, Inc.* ............................ 1,136
2,975 Gerald Stevens, Inc.* .................... 4,462
4,700 Hanover Direct, Inc.* .................... 4,700
2,021 iGo Corp.* ............................... 7,452
678 Insight Enterprises, Inc.* ............... 31,357
790 Lands' End, Inc.* ........................ 29,576
1,074 PC Connection, Inc.* ..................... 48,531
1,243 PlanetRx.com, Inc.* ...................... 1,243
1,139 Shop At Home, Inc.* ...................... 4,129
3,325 Spiegel, Inc. (Class A) .................. 23,275
427 Streamline.com, Inc.* .................... 1,254
1,023 Systemax, Inc.* .......................... 3,772
1,361 Tickets.com, Inc.* ....................... 3,232
3,418 Value America, Inc.* ..................... 2,670
1,009 Valuevision International, Inc.
(Class A)* ............................... 15,703
540 Webvan Group Inc.* ....................... 2,919
------------
676,718
------------
Cellular Telephone (1.0%)
737 Advanced Radio Telecom Corp.* ............ 8,429
285 AirGate PCS, Inc.* ....................... 14,321
1,494 Alamosa PCS Holdings, Inc.* .............. 29,880
2,046 Arch Communications Group, Inc.*.......... 10,230
2,375 Centennial Cellular Corp.
(Class A)* ............................. 36,070
4,371 Crown Castle International Corp.* ........ 148,614
2,449 Dobson Communications Corp.
(Class A)* ............................. 53,572
664 Leap Wireless International, Inc.* ....... 42,081
1,224 Motient Corp.* ........................... 14,458
20,029 Nextel Communications, Inc.
(Class A)* ............................. 1,120,372
811 Powertel, Inc.* .......................... 72,889
1,437 Price Communications Corp.* .............. 31,973
217 Rural Cellular Corp. (Class A)* .......... 17,007
849 SBA Communications Corp.* ................ 38,311
24,172 Sprint Corp. (PCS Group)* ................ 1,335,503
2,272 TeleCorp PCS, Inc.* ...................... 97,838
2,563 Tritel, Inc.* ............................ 79,773
1,408 Triton PCS Holdings, Inc.
(Class A)* ............................. 70,664
2,292 United States Cellular Corp.* ............ 155,856
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
5,561 Voicestream Wireless Corp.* .............. $ 713,198
1,853 Western Wireless Corp.
(Class A)* ............................... 101,915
------------
4,192,954
------------
Clothing/Shoe/Accessory Stores (0.5%)
2,600 Abercrombie & Fitch Co.
(Class A)* ............................. 41,762
1,177 American Eagle Outfitters, Inc.* ......... 17,508
827 Ann Taylor Stores Corp.* ................. 23,363
527 bebe stores, inc.* ....................... 5,237
1,611 Buckle (The), Inc.* ...................... 21,950
928 Burlington Coat Factory Warehouse
Corp. .................................. 10,904
2,179 Cato Corp. (Class A) ..................... 24,241
1,110 Charlotte Russe Holdings Inc.* ........... 13,389
2,353 Charming Shoppes, Inc.* .................. 13,236
696 Chico's Fas, Inc.* ....................... 20,532
1,803 Children's Place Retail Stores, Inc.
(The)* ................................. 46,427
1,342 Claire's Stores, Inc. .................... 22,646
588 Deb Shops, Inc. .......................... 5,843
1,539 Dress Barn, Inc.* ........................ 31,934
325 Factory 2-U Stores, Inc.* ................ 13,487
482 Footstar, Inc.* .......................... 15,183
22,300 Gap, Inc. (The) .......................... 798,619
763 Genesco Inc.* ............................ 11,636
1,059 Goody's Family Clothing, Inc.* ........... 5,527
932 Hot Topic, Inc.* ......................... 30,057
13,058 Intimate Brands, Inc. .................... 227,699
11,260 Limited, Inc. (The) ...................... 230,126
1,099 Men's Wearhouse, Inc. (The)* ............. 28,505
3,496 Nordstrom, Inc. .......................... 61,180
743 Pacific Sunwear of California, Inc.*...... 11,238
784 Payless ShoeSource, Inc.* ................ 40,474
2,283 Ross Stores, Inc.* ....................... 35,101
4,825 Stein Mart, Inc.* ........................ 53,075
794 Talbot's, Inc. (The) ..................... 40,097
8,127 TJX Companies, Inc. ...................... 136,127
774 Too, Inc.* ............................... 17,367
693 United Retail Group, Inc.* ............... 4,050
1,498 Urban Outfitters, Inc.* .................. 16,103
3,608 Venator Group, Inc.* ..................... 50,963
565 Wet Seal, Inc. (Class A)* ................ 6,286
1,425 Wilsons The Leather Experts Inc.*......... 26,184
------------
2,158,056
------------
See Notes to Financial Statements
9
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
Coal Mining (0.0%)
1,157 Arch Coal, Inc. ........................... $ 9,111
2,060 CONSOL Energy, Inc. ....................... 35,406
------------
44,517
------------
Computer Communications (3.8%)
9,266 3Com Corp.* ............................... 125,670
2,724 Adaptec, Inc.* ............................ 67,419
1,061 Alteon Websystems Inc.* ................... 139,986
764 Ancor Communications, Inc.* ............... 30,178
977 Auspex Systems, Inc.* ..................... 7,175
1,077 Avocent Corp.* ............................ 48,078
588 Aware, Inc.* .............................. 23,152
2,839 Brocade Communications Systems,
Inc.* ................................... 507,116
4,777 Cabletron Systems, Inc.* .................. 124,799
937 CacheFlow Inc.* ........................... 63,716
183,722 Cisco Systems, Inc.* ...................... 12,022,308
689 Cobalt Networks, Inc.* .................... 31,436
890 Computer Network Technology
Corp.* .................................. 14,462
671 Crossroads Systems, Inc.* ................. 3,061
787 Digi International Inc.* .................. 4,919
244 DSET Corp.* ............................... 7,167
1,285 Echelon Corp.* ............................ 47,706
946 Emulex Corp.* ............................. 47,300
240 Extended Systems Inc.* .................... 15,225
1,380 Extreme Networks, Inc.* ................... 192,704
4,030 Finisar Corp.* ............................ 107,047
3,017 Foundry Networks, Inc.* ................... 246,828
637 FVC.COM, Inc.* ............................ 3,026
650 Gadzoox Networks, Inc.* ................... 6,541
416 Intrusion.com, inc.* ...................... 4,524
528 JNI Corp.* ................................ 22,539
8,296 Juniper Networks, Inc.* ................... 1,181,661
850 MMC Networks, Inc.* ....................... 42,022
413 Netopia, Inc.* ............................ 22,302
660 NETRIX Corp.* ............................. 4,867
1,030 Network Equipment Technologies,
Inc.* ................................... 10,557
541 Network Peripherals Inc.* ................. 6,999
13,751 Palm, Inc.* ............................... 536,270
412 PC-Tel, Inc.* ............................. 12,592
1,195 Performance Technologies, Inc.* ........... 11,203
555 PLX Technology, Inc.* ..................... 15,609
308 Proxim, Inc.* ............................. 23,427
3,835 Redback Networks, Inc.* ................... 498,550
378 Tut Systems, Inc.* ........................ 34,492
880 Vertel Corp.* ............................. 7,370
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
516 Vixel Corp.* .............................. $ 3,048
778 Xircom, Inc.* ............................. 26,598
------------
16,351,649
------------
Computer Software (5.4%)
700 Actuate Software Corp.* ................... 34,475
3,162 Adobe Systems, Inc. ....................... 362,049
1,313 American Software, Inc.
(Class A)* .............................. 7,878
3,183 Applied Digital Solutions, Inc.* .......... 15,119
238 Applix Inc* ............................... 1,041
314 AremisSoft Corp.* ......................... 8,949
1,148 Artisoft, Inc.* ........................... 8,969
1,275 Aspect Communications Corp.* .............. 23,428
986 Aspen Technology, Inc.* ................... 29,642
1,614 Autodesk, Inc.* ........................... 34,903
892 Avant! Corp.* ............................. 13,937
737 AXENT Technologies, Inc.* ................. 18,149
1,393 Be Incorporated* .......................... 5,790
1,167 BindView Development Corp.* ............... 10,321
6,400 BMC Software, Inc.* ....................... 120,800
247 Bottomline Technologies, Inc.* ............ 5,804
695 Brio Techology, Inc.* ..................... 5,212
814 BSQUARE Corporation* ...................... 14,448
2,561 Centura Sotware Corp.* .................... 7,763
4,697 Citrix Systems, Inc.* ..................... 71,629
283 Clarus Corp.* ............................. 10,471
15,422 Computer Associates International,
Inc. .................................... 382,658
9,447 Compuware Corp.* .......................... 75,576
685 Cylink Corp.* ............................. 8,562
1,306 Daleen Technologies, Inc.* ................ 22,202
727 Datastream Systems, Inc.* ................. 6,543
588 Deltek Systems, Inc.* ..................... 3,528
495 Digital River, Inc.* ...................... 3,310
458 Documentum, Inc.* ......................... 21,469
850 E.piphany, Inc.* .......................... 79,103
1,404 Entrust Technologies Inc.* ................ 40,102
1,790 Epicor Software Corp.* .................... 6,712
852 eSoft, Inc.* .............................. 4,393
334 Excalibur Technologies Corp.* ............. 15,385
790 FileNET Corp.* ............................ 13,973
955 General Magic, Inc.* ...................... 4,924
458 Geoworks* ................................. 6,813
376 Great Plains Software, Inc.* .............. 8,789
620 HNC Software, Inc.* ....................... 27,357
787 Hyperion Solutions Corp.* ................. 20,954
5,111 i2 Technologies, Inc.* .................... 663,152
1,273 iGATE Capital Corp.* ...................... 12,014
See Notes to Financial Statements
10
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
2,520 Indus International, Inc.* ............. $ 20,475
1,143 Inet Technologies, Inc.* ............... 53,721
867 Informatica Corp.* ..................... 69,360
1,032 Information Architects Corp.* .......... 6,579
7,055 Informix Corp.* ........................ 31,527
2,387 Inprise Corp. (Mexico)* ................ 13,128
363 Inso Corp.* ............................ 2,359
311 Interactive Intelligence, Inc.* ........ 12,634
5,327 Intuit Inc.* ........................... 181,118
2,874 J.D. Edwards & Co.* .................... 36,464
864 JDA Software Group, Inc.* .............. 14,040
2,144 Legato Systems, Inc.* .................. 20,837
617 Level 8 Systems, Inc.* ................. 13,458
1,554 LHS Group, Inc.* ....................... 62,121
1,078 Lightspan Inc.* ........................ 6,064
799 Logility, Inc.* ........................ 3,296
1,292 Macromedia, Inc.* ...................... 98,838
1,011 MAPICS, Inc.* .......................... 3,791
457 MapInfo Corp.* ......................... 14,681
582 Marimba, Inc.* ......................... 10,440
760 Mercator Software, Inc.* ............... 15,580
2,101 Mercury Interactive Corp.* ............. 208,557
1,072 Metacreations Cor* ..................... 12,663
920 Metasolv Software, Inc.* ............... 43,355
884 Micromuse Inc.* ........................ 114,685
138,989 Microsoft Corp.* ....................... 9,703,170
1,130 MicroStrategy Inc.* .................... 25,072
1,311 National Instruments Corp.* ............ 56,619
351 NEON Systems, Inc.* .................... 4,146
324 netGuru, Inc.* ......................... 5,791
812 NetIQ Corp.* ........................... 39,179
614 NetScout Systems, Inc.* ................ 8,749
936 NetSpeak Corp.* ........................ 8,424
3,649 Network Associates, Inc.* .............. 70,015
915 New Era of Networks, Inc.* ............. 22,875
671 Novadigm, Inc.* ........................ 6,878
8,403 Novell, Inc.* .......................... 79,566
804 Nuance Communications Inc.* ............ 112,861
912 Objective Systems Integrators,
Inc.* ................................ 10,545
1,208 ONYX Software Corp.* ................... 29,218
74,967 Oracle Corp.* .......................... 5,636,581
676 Packeteer, Inc.* ....................... 26,026
7,206 Parametric Technology Corp.* ........... 72,060
485 pcOrder.com, Inc. (The)* ............... 2,455
7,036 PeopleSoft, Inc.* ...................... 153,473
3,602 Peregine Systems, Inc.* ................ 89,825
442 Persistence Software, Inc.* ............ 7,569
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
351 Pervasive Software, Inc.* .............. $ 1,294
859 Phoenix Technologies Ltd. .............. 14,603
2,079 Phone.com, Inc.* ....................... 166,060
398 Primus Knowledge Solutions, Inc.*....... 10,597
834 Progress Software Corp.* ............... 12,562
534 Project Software & Development,
Inc.* ................................ 9,412
1,060 Puma Technology, Inc.* ................. 21,200
2,204 QAD, Inc. .............................. 6,750
2,326 Rational Software Corp.* ............... 236,670
643 RAVISENT Technologies, Inc.* ........... 2,974
3,975 Red Hat, Inc.* ......................... 74,531
732 Remedy Corp.* .......................... 16,150
737 Saga Systems, Inc.* .................... 7,462
614 Sanchez Computer Associates, Inc.*...... 12,856
801 Santa Cruz Operation, Inc. (The)* ...... 2,503
1,530 Sapient Corp.* ......................... 174,037
528 SeaChange International, Inc.* ......... 11,129
1,709 Secure Computing Corp.* ................ 30,762
1,029 Serena Software, Inc.* ................. 28,297
5,272 Siebel Systems, Inc.* .................. 764,440
526 Sonic Foundry, Inc.* ................... 6,575
802 SPSS, Inc.* ............................ 23,960
720 StarBase Corp.* ........................ 5,670
640 Structural Dynamics Research
Corp.* ............................... 9,280
2,057 Sybase Inc.* ........................... 49,625
1,557 Symantec Corp.* ........................ 79,796
4,947 TIBCO Software, Inc.* .................. 509,541
706 Timberline Software Corp. .............. 4,324
821 Transaction Systems Architects,
Inc. (Class A)* ...................... 14,521
969 Ulticom, Inc.* ......................... 32,461
410 Unify Corp.* ........................... 1,614
2,525 USinternetworking, Inc.* ............... 40,084
1,232 VA Linux Systems, Inc.* ................ 39,116
10,324 Veritas Software Corp.* ................ 1,052,403
814 Verity, Inc.* .......................... 29,660
1,828 Wind River Systems, Inc.* .............. 53,583
531 Witness Systems, Inc.* ................. 8,496
980 Xybernaut Corp.* ....................... 7,687
663 Zamba Corp.* ........................... 3,729
------------
23,055,578
------------
Computer/Video Chains (0.2%)
5,357 Best Buy Co., Inc.* .................... 389,722
720 Blockbuster, Inc. (Class A) ............ 8,055
See Notes to Financial Statements
11
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
5,329 Circuit City Stores, Inc. - Circuit
City Group .............................. $ 122,234
1,423 Electronics Boutique Holdings
Corp.* ................................ 25,970
987 Hollywood Entertainment Corp.* .......... 9,006
1,042 InterTan, Inc.* ......................... 12,243
3,329 Musicland Stores Corp.* ................. 26,216
5,066 RadioShack Corp. ........................ 285,596
271 REX Stores Corp.* ....................... 4,742
932 Trans World Entertainment Corp.* ........ 11,242
518 Tweeter Home Entertainment
Group, Inc.* .......................... 18,713
192 Ultimate Electronics Inc.* .............. 4,728
------------
918,467
------------
Construction/Agricultural
Equipment/Trucks (0.2%)
1,421 AGCO Corp. .............................. 18,295
422 Astec Industries, Inc.* ................. 8,216
9,318 Caterpillar, Inc. ....................... 317,394
537 Columbus McKinnon Corp. ................. 7,921
1,045 Cummins Engine Co., Inc. ................ 33,440
6,133 Deere & Co. ............................. 236,504
513 Detroit Diesel Corp. .................... 11,671
619 Gardner Denver Machinery Inc.* .......... 9,092
2,591 Greenbrier Companies, Inc. (The) ........ 21,538
1,056 JLG Industries, Inc. .................... 10,758
533 Lindsay Manufacturing Co. ............... 9,461
681 Manitowoc Co., Inc. ..................... 16,770
464 NACCO Industries, Inc. (Class A) ........ 16,849
1,604 Navistar International Corp.* ........... 57,243
365 OshKosh Truck Corp. ..................... 12,364
2,053 PACCAR, Inc. ............................ 91,487
727 Stewart & Stevenson Services, Inc. ...... 10,996
656 Terex Corp.* ............................ 10,824
869 Titan International, Inc. ............... 4,617
1,599 Wabash National Corp. ................... 17,189
------------
922,629
------------
Consumer Electronics/Appliances (0.1%)
996 3DO Co. (The)* .......................... 6,412
756 Applica Inc.* ........................... 7,843
1,567 Fedders Corp. ........................... 8,129
450 Harman International Industries,
Inc. .................................. 28,462
3,121 Helen of Troy Ltd. (Bermuda)* ........... 18,336
159 Interlogix, Inc.* ....................... 1,679
2,213 Maytag Corp. ............................ 74,965
249 National Presto Industries, Inc. ........ 7,517
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
336 Salton, Inc.* ........................... $ 10,584
2,362 Sunbeam Corp.* .......................... 6,495
1,136 Universal Electronics Inc.* ............. 21,726
1,951 Whirlpool Corp. ......................... 84,259
------------
276,407
------------
Consumer Specialties (0.0%)
2,209 Boyds Collection, Ltd. (The)* ........... 19,881
765 Fossil, Inc.* ........................... 13,961
1,082 Matthews International Corp.
(Class A) ............................. 30,296
1,230 Movado Group, Inc. ...................... 16,912
449 Russ Berrie & Co., Inc. ................. 8,812
------------
89,862
------------
Consumer Sundries (0.0%)
1,628 American Greetings Corp.
(Class A) ............................. 27,676
1,223 Blyth Industries, Inc.* ................. 35,543
1,567 Oakley, Inc.* ........................... 22,721
606 Sola International, Inc.* ............... 3,598
1,429 Yankee Candle Co., Inc. (The)* .......... 29,830
------------
119,368
------------
Containers/Packaging (0.2%)
920 Aptargroup, Inc. ........................ 22,942
793 Ball Corp. .............................. 27,507
1,320 Bemis Company, Inc. ..................... 45,375
540 Caraustar Industries, Inc. .............. 7,290
3,390 Crown Cork & Seal Co., Inc. ............. 47,248
1,928 Earthshell Corp.* ....................... 5,543
352 Entrade, Inc.* .......................... 1,474
4,179 Gaylord Container Corp.
(Series A)* ........................... 10,970
544 Greif Bros. Corp. (Class A) ............. 13,804
874 Ivex Packaging Corp.* ................... 9,068
174 Liqui-Box Corp. ......................... 8,167
531 Myers Industries, Inc. .................. 7,102
3,788 Owens-Illinois, Inc.* ................... 50,428
2,671 Packaging Corp. of America* ............. 30,383
4,323 Pactiv Corp.* ........................... 39,988
1,961 Rock-Tenn Co. (Class A) ................. 21,081
2,189 Sealed Air Corp.* ....................... 110,271
406 Silgan Holdings, Inc.* .................. 3,597
5,193 Smurfit-Stone Container Corp.* .......... 64,588
2,672 Sonoco Products Co. ..................... 50,267
1,464 Temple-Inland, Inc. ..................... 63,592
311 U.S. Can Corp.* ......................... 5,831
------------
646,516
------------
See Notes to Financial Statements
12
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
Contract Drilling (0.3%)
345 Atwood Oceanics, Inc.* ................. $ 14,490
3,552 Diamond Offshore Drilling, Inc. ........ 133,422
3,599 ENSCO International Inc. ............... 121,466
4,571 Global Marine, Inc.* ................... 129,416
4,679 Grey Wolf, Inc.* ....................... 21,640
1,249 Helmerich & Payne, Inc. ................ 39,968
1,528 Marine Drilling Companies, Inc.* ....... 33,234
3,847 Nabors Industries, Inc.* ............... 160,131
3,445 Noble Drilling Corp.* .................. 150,073
6,510 Parker Drilling Co.* ................... 36,212
825 Patterson Energy, Inc.* ................ 20,573
1,524 Pride International, Inc.* ............. 31,718
5,086 R&B Falcon Corp.* ...................... 101,402
2,420 Rowan Companies, Inc.* ................. 61,105
3,008 Santa Fe International Corp. ........... 105,656
5,478 Transocean Sedco Forex Inc. ............ 271,161
------------
1,431,667
------------
Department Stores (0.3%)
2,708 Dillard's, Inc. (Class A) .............. 37,066
5,503 Federated Department Stores, Inc.*...... 132,416
8,545 Kohl's Corp.* .......................... 484,929
8,715 May Department Stores Co. .............. 206,981
1,237 Neiman Marcus Group, Inc. (The)
(Class A)* ........................... 40,821
6,826 Penney (J.C.) Co., Inc. ................ 110,069
3,654 Saks, Inc.* ............................ 36,997
9,905 Sears, Roebuck & Co. ................... 295,912
------------
1,345,191
------------
Discount Chains (1.9%)
875 99 Cents Only Stores* .................. 37,680
696 Ames Department Stores, Inc.* .......... 4,959
1,927 BJ's Wholesale Club, Inc.* ............. 57,690
2,793 Consolidated Stores Corp.* ............. 33,341
11,653 Costco Wholesale Corp.* ................ 379,451
8,658 Dollar General Corp. ................... 159,091
2,674 Dollar Tree Stores, Inc.* .............. 113,812
4,530 Family Dollar Stores, Inc. ............. 76,444
995 Fred's, Inc. ........................... 20,646
12,761 Kmart Corp.* ........................... 89,327
510 PriceSmart, Inc.* ...................... 19,125
725 ShopKo Stores, Inc.* ................... 10,467
24,088 Target Corp. ........................... 698,552
660 Value City Department Stores, Inc.* 5,775
117,716 Wal-Mart Stores, Inc. .................. 6,467,023
------------
8,173,383
------------
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
Diversified Commercial Services (0.6%)
285 4Kids Entertainment, Inc.* ............. $ 5,415
394 ABM Industries Inc. .................... 10,244
1,461 ACNielsen Corp.* ....................... 35,794
964 Administaff, Inc.* ..................... 51,333
348 AHL Services, Inc.* .................... 2,827
2,116 ALPNET, Inc.* .......................... 4,761
1,055 AnswerThink Consulting Group,
Inc.* ................................ 17,737
2,350 Apac Teleservices* ..................... 16,891
1,044 Audio Visual Services Corp.* ........... 489
563 Bell & Howell Co.* ..................... 11,541
865 Billing Information Concepts
Corp.* ............................... 3,784
283 Bright Horizons Family Solutions,
Inc.* ................................ 6,898
752 Burns International Services Corp.* 9,964
1,175 Careerbuilder, Inc.* ................... 9,216
1,241 Carreker Corp.* ........................ 12,837
1,098 CDI Corp.* ............................. 21,823
2,178 Century Business Sevices, Inc.* ........ 4,492
345 Charles River Associates Inc.* ......... 4,269
1,567 CheckFree Holdings Corp.* .............. 95,195
799 click2learn.com, Inc.* ................. 14,032
5,390 Concord EFS, Inc.* ..................... 146,204
526 Concur Technologies, Inc.* ............. 2,071
4,002 Convergys Corp.* ....................... 180,340
404 Corporate Executive Board Co.* ......... 25,856
383 Costar Group, Inc.* .................... 14,051
823 CTC Communication Group, Inc.* ......... 21,347
1,026 Dendrite International, Inc.* .......... 27,814
543 Diamond Technology Partners,
Inc.* ................................ 48,361
1,157 Edgewater Technology, Inc.* ............ 7,484
646 Exchange Applications, Inc.* ........... 14,212
354 Fair, Isaac & Co., Inc. ................ 17,634
976 Freemarkets, Inc.* ..................... 46,909
466 G & K Services, Inc. (Class A) ......... 14,009
2,396 Galileo International, Inc. ............ 46,123
2,319 Gartner Group, Inc. (Class B)* ......... 25,654
748 GetThere.com, Inc.* .................... 7,947
654 Global Imaging Systems, Inc.* .......... 5,068
51 Global Sources Ltd. (Hong Kong)* ....... 1,530
1,600 HA-LO Industries, Inc.* ................ 8,100
853 Hall, Kinion & Associates, Inc.* ....... 33,374
588 Heidrick & Struggles International,
Inc.* ................................ 39,396
736 HotJobs.com, Ltd.* ..................... 12,926
See Notes to Financial Statements
13
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
1,098 Identix Inc.* ............................ $ 15,029
3,558 IKON Office Solutions, Inc. .............. 14,454
1,706 Industri-Matematik International
Corp. (Sweden)* ........................ 6,557
266 Insurance Auto Auctions, Inc.* ........... 5,586
427 Interact Commerce Corp.* ................. 5,231
861 Internet Pictures Corp.* ................. 9,525
1,431 Iron Mountain Inc.* ...................... 50,085
1,813 iXL Enterprises, Inc.* ................... 32,181
324 Jupiter Communications, Inc.* ............ 7,735
941 Kelly Services, Inc. (Class A) ........... 21,819
1,280 kforce.com, Inc.* ........................ 5,760
909 Korn/Ferry International* ................ 30,565
923 Labor Ready, Inc.* ....................... 4,615
335 Lason, Inc.* ............................. 628
570 Learning Tree International, Inc.* ....... 25,721
486 Loislaw.com, Inc.* ....................... 4,374
649 Management Network Group, Inc.
(The)* ................................. 15,535
1,988 Manpower, Inc. ........................... 76,911
760 Marketing Services Group, Inc.* .......... 3,895
529 MAXIMUS, Inc.* ........................... 12,630
376 MemberWorks Inc.* ........................ 12,314
265 Metro One Telecommunications,
Inc.* .................................. 2,584
2,423 Modis Professional Services, Inc.* ....... 18,475
859 Navigant Consulting, Inc.* ............... 2,899
1,607 Navigant International, Inc.* ............ 18,581
605 NCO Group, Inc.* ......................... 14,974
2,242 Nextera Enterprises, Inc. (Class A)*...... 9,809
1,930 NOVA Corp.* .............................. 22,316
726 On Assignment, Inc.* ..................... 20,010
9,716 Paychex, Inc. ............................ 444,507
1,213 Pegasystems Inc.* ........................ 5,989
610 Personnel Group of America, Inc.* ........ 1,944
496 ProBusiness Services, Inc.* .............. 11,470
1,228 Profit Recovery Group International,
Inc. (The)* ............................ 11,359
606 PROVANT, Inc.* ........................... 3,484
765 PurchasePro.com Inc.* .................... 29,835
915 RCM Technologies, Inc.* .................. 6,462
4,702 Robert Half International, Inc.* ......... 161,631
3,393 Sabre Holdings Corp. ..................... 82,916
2,507 Sitel Corp.* ............................. 16,295
1,656 Sodexho Marriott Services, Inc. .......... 28,048
637 Source Information Management
Co. (The)* ............................. 6,808
1,603 Spherion Corp.* .......................... 30,657
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
934 Staff Leasing, Inc.* ..................... $ 3,736
1,014 Stamps.com, Inc.* ........................ 5,070
347 StarTek, Inc.* ........................... 13,685
1,216 Sylvan Learning Systems, Inc.* ........... 13,756
2,496 TeleSpectrum Worldwide Inc.* ............. 8,892
1,634 TeleTech Holdings, Inc.* ................. 50,654
1,172 Ventro Corp.* ............................ 14,137
2,489 Viad Corp. ............................... 64,870
417 Volt Information Sciences, Inc.* ......... 14,699
1,033 Wackenhut Corp. (The) (Class A)* ......... 13,881
687 Wackenhut Corrections Corp.* ............. 5,668
1,053 Wireless Facilities, Inc.* ............... 66,997
------------
2,674,200
------------
Diversified Electronic Products (0.7%)
551 Caliper Technologies Corp.* .............. 30,305
1,067 Checkpoint Systems, Inc.* ................ 9,803
2,667 Gemstar-TV Guide International,
Inc.* .................................. 162,187
19,760 JDS Uniphase Corp.* ...................... 2,334,150
1,055 Macrovision Corp.* ....................... 79,652
1,059 Paxar Corp.* ............................. 13,105
4,973 Rockwell International Corp. ............. 174,366
1,010 RSA Security, Inc.* ...................... 64,009
3,793 SCI Systems, Inc.* ....................... 174,004
1,920 Sensormatic Electronics Corp.* ........... 24,840
1,151 Wave Systems Corp. (Class A)* ............ 20,790
756 Zomax, Inc.* ............................. 13,088
------------
3,100,299
------------
Diversified Financial Services (2.1%)
35,198 American Express Co. ..................... 1,995,287
11,358 AXA Financial, Inc. ...................... 434,443
89,131 Citigroup, Inc. .......................... 6,289,306
8,573 Conseco, Inc. ............................ 67,512
8,369 Hancock (John) Financial Services* ....... 197,718
1,416 Leucadia National Corp. .................. 37,789
1,254 Liberty Financial Co., Inc. .............. 27,588
805 StanCorp Financial Group, Inc. ........... 27,772
------------
9,077,415
------------
Diversified Manufacturing (0.6%)
768 Ametek, Inc. ............................. 15,984
690 Blount International, Inc.* .............. 5,736
3,731 Danaher Corp. ............................ 190,048
5,337 Dover Corp. .............................. 244,501
1,208 Federal Signal Corp. ..................... 24,009
901 Graphic Packaging International
Corp.* ................................. 2,140
21,081 Honeywell International, Inc. ............ 708,849
See Notes to Financial Statements
14
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
2,304 ITT Industries, Inc. .................... $ 75,744
10,457 Minnesota Mining & Manufacturing
Co. ................................... 941,784
1,263 Pentair, Inc. ........................... 38,679
1,567 PubliCARD, Inc.* ........................ 4,701
1,282 Smith (A.O.) Corp. ...................... 20,672
1,309 Standex International Corp. ............. 22,580
958 Teleflex, Inc. .......................... 34,727
7,394 Thermo Electron Corp.* .................. 153,420
940 Tredegar Corp. .......................... 20,680
996 Trinity Industries, Inc. ................ 19,173
2,142 U.S. Industries, Inc. ................... 28,114
935 United Dominion Industries Ltd. ......... 15,369
581 Valmont Industries, Inc. ................ 11,802
------------
2,578,712
------------
Drugstore Chains (0.3%)
10,271 CVS Corp. ............................... 405,063
330 Duane Reade, Inc.* ...................... 7,549
991 Longs Drug Stores Corp. ................. 20,068
6,533 Rite Aid Corp.* ......................... 28,174
26,619 Walgreen Co. ............................ 830,180
------------
1,291,034
------------
E.D.P. Peripherals (1.6%)
1,296 Advanced Digital Information
Corp.* ................................ 18,144
4,436 Ampex Corp. (Class A)* .................. 6,377
671 Avid Technology, Inc.* .................. 9,897
2,009 Communication Intelligence Corp.* ....... 7,471
693 DSP Group, Inc.* ........................ 29,063
1,468 Electronics for Imaging, Inc.* .......... 32,021
57,311 EMC Corp.* .............................. 4,878,599
1,529 Exabyte Corp.* .......................... 9,078
431 Gerber Scientific, Inc. ................. 4,310
592 Hauppauge Digital, Inc.* ................ 3,922
920 Imation Corp* ........................... 22,310
390 Immersion Corp.* ........................ 7,946
668 InFocus Corp.* .......................... 23,380
1,729 Intergraph Corp.* ....................... 10,806
552 Interlink Electronics, Inc.* ............ 18,216
6,807 Iomega Corp.* ........................... 25,952
309 ION Networks, Inc.* ..................... 782
3,347 Lexmark International Group, Inc.
(Class A)* ............................ 150,824
2,857 Maxtor Corp.* ........................... 16,606
601 Media 100 Inc.* ......................... 6,649
606 Mercury Computer Systems, Inc.* ......... 16,286
790 MTI Technology Corp.* ................... 3,259
7,982 Network Appliance, Inc.* ................ 687,949
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
1,204 Pinnacle Systems, Inc.* ................. $ 9,218
843 Procom Technology, Inc.* ................ 36,670
1,925 QLogic Corp.* ........................... 143,412
2,129 Quantum Corp.* .......................... 17,564
4,157 Quantum Corp. - DLT & Storage
Systems* .............................. 48,845
856 Rainbow Technologies, Inc.* ............. 37,129
356 SCM Microsystems, Inc.* ................. 18,378
5,955 Seagate Technology, Inc.* ............... 301,844
403 SmartDisk Corp.* ........................ 9,773
2,528 Storage Technology Corp.* ............... 32,548
3,486 Symbol Technologies, Inc. ............... 139,004
2,245 Western Digital Corp.* .................. 9,261
791 Zebra Technologies Corp.
(Class A)* .............................. 40,390
------------
6,833,883
------------
E.D.P. Services (0.9%)
689 4Front Technologies, Inc.* .............. 9,258
2,270 Acxiom Corp.* ........................... 48,379
1,245 Affiliated Computer Services, Inc.
(Class A)* ............................ 56,103
1,031 American Management Systems,
Inc.* ................................. 25,839
859 Analysts International Corp. ............ 7,785
16,518 Automatic Data Processing, Inc. ......... 818,673
723 Bisys Group, Inc. (The)* ................ 45,910
445 CACI International Inc. (Class A)* ...... 7,565
6,382 Cadence Design Systems, Inc.* ........... 133,224
1,441 Cambridge Technology Partners,
Inc.* ................................. 13,554
3,791 Ceridian Corp.* ......................... 86,245
1,213 Chequemate International, Inc.* ......... 2,502
1,492 CIBER, Inc.* ............................ 17,438
164 Cognizant Technology Solutions
Corp.* ................................ 6,744
991 Complete Business Solutions, Inc.*....... 12,635
809 Computer Horizons Corp.* ................ 10,568
4,386 Computer Sciences Corp.* ................ 274,125
645 Computer Task Group, Inc. ............... 2,782
399 Concero, Inc.* .......................... 3,940
342 Concord Communications, Inc.* ........... 9,405
1,358 CSG Systems International, Inc.* ........ 72,229
469 CyberCash, Inc.* ........................ 2,330
1,140 Datatec Systems, Inc.* .................. 4,667
1,662 DST Systems, Inc.* ...................... 155,189
12,338 Electronic Data Systems Corp. ........... 530,534
281 F.Y.I., Inc.* ........................... 10,292
10,983 First Data Corp. ........................ 505,904
See Notes to Financial Statements
15
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
3,214 Fiserv, Inc.* ........................... $ 179,381
516 Forrester Research, Inc.* ............... 32,024
848 Globix Corp.* ........................... 19,928
1,060 Henry (Jack) & Associates, Inc. ......... 47,567
1,106 IMRglobal Corp.* ........................ 14,516
7,931 Infonet Services Corp. (Class B)* ....... 111,530
2,756 Information Resources, Inc.* ............ 15,675
362 Intelligroup, Inc.* ..................... 747
615 InterCept Group, Inc. (The)* ............ 14,376
1,879 Keane, Inc.* ............................ 38,519
473 Lightbridge, Inc.* ...................... 10,406
1,279 Manhattan Associates, Inc.* ............. 48,682
3,765 MarchFirst, Inc.* ....................... 77,888
500 McAfee.com Corp.* ....................... 14,500
660 META Group, Inc.* ....................... 16,211
637 Metro Information Services, Inc.* ....... 4,777
805 National Computer Systems, Inc. ......... 57,859
1,074 National Processing, Inc.* .............. 12,619
359 Netsolve, Inc.* ......................... 8,436
465 Pegasus Solutions, Inc.* ................ 4,737
2,521 Perot Systems Corp. (Class A)* .......... 22,689
545 Pivotal Corp. (Canada)* ................. 17,644
849 Policy Management Systems Corp.*......... 11,780
662 Predictive Systems, Inc.* ............... 14,564
339 QRS Corp.* .............................. 6,229
894 Rainmaker Systems, Inc.* ................ 1,537
2,501 Razorfish, Inc.* ........................ 45,331
2,426 Renaissance Worldwide Inc.* ............. 4,549
758 ReSourcePhoenix.com, Inc.* .............. 1,326
1,949 Reynolds & Reynolds Co.
(Class A) ............................. 32,524
1,030 Sagent Technology, Inc.* ................ 10,557
362 SereNova, Inc.* ......................... 2,749
1,106 SVI Holdings, Inc.* ..................... 6,429
1,110 Sykes Enterprises, Inc.* ................ 13,944
1,003 Syntel, Inc. ............................ 9,403
813 Systems & Computer Technology
Corp.* ................................ 16,463
482 Tanning Technology Corp.* ............... 8,917
1,023 Technology Solutions Co.* ............... 5,115
874 TenFold Corp.* .......................... 7,921
5,105 Total System Services, Inc. ............. 92,209
489 U.S. Interactive, Inc.* ................. 6,601
8,140 Unisys Corp.* ........................... 79,874
819 USDATA Corp.* ........................... 5,272
1,302 viaLink Co. (The)* ...................... 8,788
984 ZapMe! Corp.* ........................... 3,290
------------
4,039,902
------------
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
Electric Utilities (1.8%)
11,379 AES Corp. (The)* ........................ $ 608,065
2,894 Allegheny Energy, Inc. .................. 90,799
2,064 Alliant Energy, Inc. .................... 54,309
3,596 Ameren Corp. ............................ 130,130
8,430 American Electric Power Co. ............. 276,609
1,235 Avista Corp. ............................ 23,156
1,041 Bangor Hydro-Electric Co. ............... 24,398
685 BayCorp Holdings, Ltd.* ................. 7,192
419 Black Hills Corp. ....................... 9,716
3,306 Calpine Corp.* .......................... 235,552
729 Central Vermont Public Service
Corp. ................................. 8,657
4,165 Cinergy Corp. ........................... 108,290
537 CLECO Corp. ............................. 19,802
850 CMP Group, Inc. ......................... 24,756
3,035 CMS Energy Corp. ........................ 77,582
301 CN Energy Group, Inc. ................... 9,820
2,347 Conectiv, Inc. .......................... 38,872
5,793 Consolidated Edison, Inc. ............... 175,600
3,920 Constellation Energy Group, Inc. ........ 130,585
4,183 CP&L, Inc ............................... 139,869
7,152 Dominion Resources, Inc. ................ 324,969
3,785 DPL, Inc. ............................... 91,313
1,974 DQE, Inc. ............................... 73,161
3,801 DTE Energy Co. .......................... 119,256
9,705 Duke Energy Corp. ....................... 598,677
9,100 Edison International .................... 179,156
1,077 El Paso Electric Co.* ................... 13,866
367 Empire District Electric Co. (The) ...... 8,808
3,186 Energy East Corp. ....................... 60,136
6,469 Entergy Corp. ........................... 175,472
6,107 FirstEnergy Corp. ....................... 155,728
2,574 Florida Progress Corp. .................. 126,126
4,698 FPL Group, Inc. ......................... 226,678
3,235 GPU, Inc. ............................... 85,727
844 Hawaiian Electric Industries, Inc. ...... 26,797
949 IDACORP, Inc. ........................... 35,113
2,163 IPALCO Enterprises, Inc. ................ 48,938
1,562 Kansas City Power & Light Co. ........... 37,293
3,399 LG&E Energy Corp. ....................... 82,426
1,283 Madison Gas & Electric Co. .............. 26,301
1,853 Minnesota Power, Inc. ................... 39,492
2,888 Montana Power Co. ....................... 83,571
809 National Data Corp. ..................... 22,247
3,028 New Century Energies, Inc. .............. 103,520
4,725 Niagara Mohawk Holdings Inc.* ........... 62,902
3,277 NiSource Inc. ........................... 63,697
See Notes to Financial Statements
16
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
3,661 Northeast Utilities .................... $ 81,000
4,057 Northern States Power Co. .............. 89,508
412 Northwestern Corp. ..................... 9,476
1,517 NSTAR .................................. 61,438
1,963 OGE Energy Corp. ....................... 37,297
428 Otter Tail Power Co. ................... 8,961
4,869 PECO Energy Co. ........................ 207,845
10,063 PG & E Corp. ........................... 260,380
2,221 Pinnacle West Capital Corp. ............ 87,868
3,106 Potomac Electric Power Co. ............. 76,679
3,766 PPL Corp. .............................. 101,682
973 Public Service Company of New
Mexico ............................... 17,636
5,729 Public Service Enterprise Group,
Inc. ................................. 192,638
2,216 Puget Sound Power & Light Co. .......... 50,275
7,749 Reliant Energy, Inc. ................... 259,591
865 RGS Energy Group Inc. .................. 19,841
3,036 SCANA Corp. ............................ 79,885
1,978 Sierra Pacific Resources ............... 27,939
17,641 Southern Co. ........................... 431,102
961 St. Joseph Light & Power Co. ........... 21,142
3,393 TECO Energy, Inc. ...................... 74,434
7,244 TXU Corp. .............................. 226,375
5,701 Unicom Corp. ........................... 234,097
792 UniSource Energy Corp. ................. 12,226
2,435 UtiliCorp United, Inc. ................. 51,896
1,718 Western Resources, Inc. ................ 27,166
3,089 Wisconsin Energy Corp. ................. 61,394
640 WPS Resources Corp. .................... 19,320
------------
7,894,220
------------
Electrical Products (0.4%)
346 Alpine Group, Inc. (The)* .............. 2,292
5,048 American Power Conversion Corp.*........ 128,408
696 American Superconductor Corp.* ......... 25,752
742 AstroPower, Inc.* ...................... 15,721
857 Baldor Electric Co.* ................... 15,747
448 Belden Inc. ............................ 11,256
680 C&D Technologies, Inc.* ................ 27,540
740 Cable Design Technologies Corp.* ....... 26,085
2,468 Cooper Industries, Inc. ................ 79,130
11,298 Emerson Electric Co. ................... 689,884
2,663 Energizer Holdings, Inc.* .............. 64,245
585 Energy Conversion Devices, Inc.* ....... 14,662
134 Franklin Electric Co., Inc. ............ 8,836
1,174 Genlyte Group Inc. (The)* .............. 26,121
1,634 Hubbell, Inc. (Class B) ................ 39,420
NUMBER OF
SHARES VALUE
513 Littelfuse, Inc.* ...................... $ 18,083
1,044 MagneTek, Inc.* ........................ 8,287
5,140 Molex Inc. ............................. 241,821
1,067 National Service Industries, Inc. ...... 21,807
965 Power-One, Inc.* ....................... 113,930
593 Rayovac Corp.* ......................... 14,788
637 SLI, Inc. .............................. 6,888
664 Superior TeleCom Inc. .................. 5,768
1,459 Thomas & Betts Corp. ................... 28,450
492 Thomas Industries, Inc. ................ 10,270
869 Valence Technology, Inc.* .............. 12,981
------------
1,658,172
------------
Electronic Components (0.6%)
1,106 3DFX Interactive* ...................... 8,364
383 ACT Manufacturing, Inc.* ............... 14,219
453 American Xtal Technology, Inc.* ........ 16,138
1,090 Amphenol Corp. (Class A)* .............. 57,157
286 Anaren Microwave, Inc.* ................ 20,753
326 APA Optics, Inc.* ...................... 4,890
976 Artesyn Technologies, Inc.* ............ 33,184
4,567 AVX Corp. .............................. 109,323
121 Bel Fuse Inc. (Class A) ................ 3,660
289 Benchmark Electronics, Inc.* ........... 11,885
1,063 Blue Wave Systems Inc.* ................ 9,168
278 California Amplifier, Inc.* ............ 9,226
869 Cree Research, Inc.* ................... 97,708
691 CTS Corp. .............................. 31,700
1,494 Flextronics International, Ltd.
(Singapore)* ......................... 105,771
1,377 Hutchinson Technology Inc.* ............ 20,483
5,011 Jabil Circuit, Inc.* ................... 250,863
2,276 Kemet Corp.* ........................... 54,624
2,949 Komag Inc.* ............................ 4,884
1,646 Kopin Corp.* ........................... 41,047
1,755 MEMC Electronic Materials, Inc.* ....... 29,287
943 Methode Electronics, Inc.
(Class A) ............................ 42,848
307 NETsilicon, Inc.* ...................... 8,481
1,610 NVIDIA Corp.* .......................... 96,600
1,332 Oak Technology, Inc.* .................. 30,636
1,039 Park Electrochemical Corp. ............. 35,131
455 Plexus Corp.* .......................... 51,330
670 Power Integrations, Inc.* .............. 12,939
2,508 Rambus Inc.* ........................... 183,868
1,941 Read Rite Corp.* ....................... 6,793
220 Sage, Inc.* ............................ 2,090
1,744 SanDisk Corp.* ......................... 111,180
3,916 Sanmina Corp.* ......................... 363,698
See Notes to Financial Statements
17
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
1,107 Sawtek, Inc.* ............................. $ 58,948
602 SIPEX Corp.* .............................. 18,700
15,747 Solectron Corp.* .......................... 634,801
435 Spectrian Corp.* .......................... 5,900
320 Superconductor Technologies Inc.* ......... 6,760
531 Three-Five Systems, Inc.* ................. 13,906
1,081 Vicor Corp.* .............................. 45,064
3,544 Vishay Intertechnology, Inc.* ............. 109,642
------------
2,773,649
------------
Electronic Data Processing (4.2%)
8,597 Apple Computer, Inc.* ..................... 436,835
44,847 Compaq Computer Corp. ..................... 1,258,519
1,393 Concurrent Computer Corp.* ................ 17,151
1,411 Corsair Communications, Inc.* ............. 24,516
68,010 Dell Computer Corp.* ...................... 2,988,189
363 eShare Communications, Inc.* .............. 1,702
8,499 Gateway, Inc.* ............................ 469,039
26,415 Hewlett-Packard Co. ....................... 2,884,188
47,243 International Business Machines
Corp. ................................... 5,311,885
2,430 Micron Electronics, Inc.* ................. 25,667
392 MICROS Systems, Inc.* ..................... 8,918
2,531 NCR Corp.* ................................ 89,692
391 RadiSys Corp.* ............................ 24,046
4,637 Silicon Graphics, Inc.* ................... 20,866
41,900 Sun Microsystems, Inc.* ................... 4,417,831
------------
17,979,044
------------
Electronic Distributors (0.1%)
947 Anixter International, Inc.* .............. 27,522
2,516 Arrow Electronics, Inc.* .................. 83,185
1,150 Avnet, Inc. ............................... 65,478
513 Black Box Corp.* .......................... 23,213
1,331 Brightpoint, Inc.* ........................ 7,237
1,297 CellStar Corp.* ........................... 3,040
3,096 CompuCom Systems, Inc.* ................... 7,933
407 En Pointe Technologies, Inc.* ............. 3,358
1,883 Ingram Micro Inc. (Class A)* .............. 34,129
619 Intraware, Inc.* .......................... 5,029
738 Kent Electronics Corp.* ................... 22,970
271 MCSi, Inc.* ............................... 6,335
668 Pioneer-Standard Electronics, Inc. ........ 9,018
3,096 Safeguard Scientifics, Inc.* .............. 96,169
327 ScanSource, Inc.* ......................... 12,385
1,367 Tech Data Corp.* .......................... 60,831
------------
467,832
------------
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
Electronic Production Equipment (0.8%)
660 ADE Corporation* .......................... $ 14,314
711 Advanced Energy Industries, Inc.*.......... 31,995
4,005 Amkor Technology, Inc.* ................... 110,137
21,329 Applied Materials, Inc.* .................. 1,618,338
473 Applied Science & Technology,
Inc.* ..................................... 7,952
1,095 Artisan Components, Inc.* ................. 9,171
811 Asyst Technologies, Inc.* ................. 19,565
735 ATMI, Inc.* ............................... 18,926
479 Brooks Automation, Inc.* .................. 23,770
1,086 Cognex Corp.* ............................. 53,282
500 Cohu, Inc. ................................ 8,844
1,300 Credence Systems Corp.* ................... 55,575
713 Cymer, Inc.* .............................. 32,352
394 DuPont Photomasks, Inc.* .................. 23,591
661 Electro Scientific Industries, Inc.* ...... 30,034
503 Electroglas, Inc.* ........................ 10,060
654 EMCORE Corp.* ............................. 44,962
2,123 Esterline Corp.* .......................... 31,314
692 FEI Co.* .................................. 18,381
541 FSI International, Inc.* .................. 8,893
609 GaSonics International Corp.* ............. 14,616
564 Helix Technology Corp. .................... 18,330
283 Ibis Technology Corp.* .................... 11,744
4,812 KLA-Tencor Corp.* ......................... 256,239
592 Kulicke & Soffa Industries, Inc.* ......... 26,714
3,261 Lam Research Corp.* ....................... 95,384
1,220 LTX Corp.* ................................ 26,840
752 Mattson Technology, Inc.* ................. 14,053
1,683 Mentor Graphics Corp.* .................... 33,555
620 MKS Instruments, Inc.* .................... 15,616
580 Nanometrics Inc.* ......................... 19,829
3,450 Novellus Systems, Inc.* ................... 186,084
778 Numerical Technologies, Inc.* ............. 36,274
180 Photon Dynamics, Inc.* .................... 9,720
601 Photronics, Inc.* ......................... 14,912
577 PRI Automation, Inc.* ..................... 26,326
312 Rudolph Technologies, Inc.* ............... 11,700
988 Semitool Inc* ............................. 13,523
834 Silicon Valley Group, Inc.* ............... 21,163
727 SpeedFam-IPEC, Inc.* ...................... 14,404
1,787 Synopsys, Inc.* ........................... 58,189
4,482 Teradyne, Inc.* ........................... 284,047
542 Therma-Wave Inc.* ......................... 12,127
727 Ultratech Stepper, Inc.* .................. 11,995
See Notes to Financial Statements
18
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
781 Varian Semiconductor Equipment
Associates, Inc.* ........................ $ 37,927
617 Veeco Instruments, Inc.* ................. 48,589
------------
3,491,356
------------
Engineering & Construction (0.2%)
3,084 Comfort Systems USA, Inc.* ............... 13,685
1,013 Dycom Industries, Inc.* .................. 43,306
473 EMCOR Group, Inc.* ....................... 11,086
3,559 Encompass Services Corp.* ................ 17,573
1,993 Fluor Corp. .............................. 59,416
3,063 Foster Wheeler Corp. ..................... 22,398
682 Granite Construction Inc. ................ 16,453
659 Insituform Technologies, Inc.
(Class A)* ............................. 15,898
2,910 Integrated Electrical Services, Inc.* 14,550
681 Jacobs Engineering Group, Inc.* .......... 24,303
1,221 MasTec, Inc.* ............................ 40,522
12,523 Metromedia Fiber Network, Inc.
(Class A)* ............................. 439,870
2,961 Morrison Knudsen Corp.* .................. 28,500
1,458 Quanta Services, Inc.* ................... 66,703
3,217 Spectrasite Holdings, Inc.* .............. 68,361
1,379 URS Corp.* ............................... 20,685
------------
903,309
------------
Environmental Services (0.1%)
4,765 Allied Waste Industries, Inc.* ........... 44,374
583 Casella Waste Systems Inc.,
(Class A)* ............................... 6,486
664 Catalytica, Inc.* ........................ 7,594
958 IT Group, Inc. (The)* .................... 4,191
367 Landauer, Inc. ........................... 5,964
3,766 Newpark Resources, Inc.* ................. 31,305
4,600 Republic Services, Inc.* ................. 77,050
962 Tetra Tech, Inc.* ........................ 24,110
1,184 Thermo Ecotek Corp.* ..................... 10,212
2,623 U.S. Plastic Lumber Corp. ................ 10,164
1,845 Waste Connections, Inc.* ................. 37,361
322 Waste Industries Inc.* ................... 3,663
16,239 Waste Management, Inc. ................... 303,466
------------
565,940
------------
Farming/Seeds/Milling (0.1%)
197 Agribrands International, Inc.* .......... 7,387
15,913 Archer-Daniels-Midland Co. ............... 149,184
1,009 Cadiz, Inc.* ............................. 9,712
940 Corn Products International, Inc. ........ 23,500
971 Delta & Pine Land Co. .................... 24,275
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
512 Hines Horticulture, Inc.* ................ $ 3,744
1,012 Tejon Ranch Co.* ......................... 24,478
------------
242,280
------------
Finance Companies (1.2%)
553 Advanta Corp. (Class A) .................. 6,325
1,816 Allied Capital Corp. ..................... 34,390
508 American Capital Strategies, Ltd. ........ 13,017
1,961 AmeriCredit Corp.* ....................... 40,691
3,389 Associates First Capital Corp.* .......... 112
19,086 Associates First Capital Corp.
(Class A) .............................. 499,815
5,168 Capital One Financial Corp. .............. 302,974
989 Cash American International, Inc. ........ 7,170
737 Charter Municipal Mortgage
Acceptance Co. ......................... 9,811
6,893 CIT Group, Inc. (The) (Series A) ......... 127,520
1,127 CompuCredit Corp.* ....................... 33,246
2,970 Countrywide Credit Industries, Inc. ...... 104,507
1,617 Credit Acceptance Corp.* ................. 9,803
388 Creditrust Corp.* ........................ 509
721 Doral Financial Corp. .................... 9,373
26,863 Fannie Mae ............................... 1,339,792
2,949 FiNet.com, Inc.* ......................... 2,120
1,545 FINOVA Group, Inc. ....................... 16,126
18,219 Freddie Mac .............................. 718,512
1,098 Heller Financial, Inc. ................... 26,352
12,497 Household International, Inc. ............ 556,898
3,588 Imperial Credit Industries, Inc.* ........ 15,697
21,013 MBNA Corp. ............................... 701,309
432 Medallion Financial Corp. ................ 6,912
1,524 Metris Companies, Inc. ................... 44,672
850 Mortgage.Com, Inc.* ...................... 1,062
541 New Century Financial Corp.* ............. 6,467
1,210 NextCard, Inc.* .......................... 10,701
3,721 Providian Financial Corp. ................ 379,309
4,169 SLM Holding Corp. ........................ 179,528
477 Student Loan Corp. (The) ................. 21,465
481 WFS Financial Inc.* ...................... 7,455
217 White Mountains Insurance Group,
Inc. ................................... 34,069
------------
5,267,709
------------
Financial Publishing/Services (0.2%)
776 Advent Software, Inc.* ................... 43,844
993 Aether Systems, Inc* ..................... 165,272
2,112 Ashton Technology Group, Inc.
(The)* ................................. 8,052
440 BARRA, Inc.* ............................. 25,547
1,253 Data Broadcasting Corp.* ................. 5,208
See Notes to Financial Statements
19
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
4,216 Dun & Bradstreet Corp. ................... $ 124,635
3,707 Equifax, Inc. ............................ 87,578
829 FactSet Research Systems Inc. ............ 27,046
297 MarketWatch.com, Inc.* ................... 5,160
5,139 McGraw-Hill Companies, Inc. .............. 305,449
684 Multex.com, Inc.* ........................ 16,501
402 NewsEdge Corp.* .......................... 804
522 Omega Research, Inc.* .................... 1,525
364 Primark Corp.* ........................... 13,627
1,395 SEI Investments Co. ...................... 76,376
96 SmartServ Online, Inc.* .................. 4,486
3,361 SunGard Data Systems Inc.* ............... 111,123
526 Telescan, Inc.* .......................... 3,386
1,413 Thestreet.com, Inc.* ..................... 7,771
1,456 Track Data Corp.* ........................ 1,547
269 Value Line, Inc. ......................... 10,491
------------
1,045,428
------------
Fluid Controls (0.1%)
235 CIRCOR International, Inc. ............... 1,645
808 Flowserve Corp. .......................... 12,524
463 Graco Inc. ............................... 15,742
777 IDEX Corp.* .............................. 25,641
3,379 Parker-Hannifin Corp. .................... 120,166
1,012 Robbins & Myers, Inc. .................... 21,758
794 Roper Industries, Inc. ................... 21,934
1,571 Watts Industries, Inc. ................... 18,656
------------
238,066
------------
Food Chains (0.4%)
2,068 7-Eleven, Inc.* .......................... 25,979
11,103 Albertson's, Inc. ........................ 335,172
940 Casey's General Stores, Inc. ............. 11,104
4,106 Delhaize America, Inc. ................... 68,262
696 Grand Union Co. (The)* ................... 164
968 Great Atlantic & Pacific Tea Co.,
Inc. ................................... 13,915
1,107 Hannaford Brothers Company ............... 83,094
737 Ingles Markets, Inc. (Class A) ........... 7,738
21,866 Kroger Co.* .............................. 452,353
826 Pantry, Inc. (The)* ...................... 9,189
1,108 Ruddick Corp. ............................ 11,772
13,335 Safeway Inc.* ............................ 600,908
334 Seaway Food Town, Inc. ................... 5,177
3,083 Smart & Final, Inc.* ..................... 23,122
1,052 Weis Markets, Inc. ....................... 36,820
681 Whole Foods Market, Inc.* ................ 30,432
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
1,205 Wild Oats Markets, Inc.* ................. $ 12,201
3,750 Winn-Dixie Stores, Inc. .................. 53,672
------------
1,781,074
------------
Food Distributors (0.1%)
885 Fleming Companies, Inc. .................. 13,883
362 Performance Food Group Co.* .............. 11,923
3,659 Supervalu, Inc. .......................... 64,719
8,649 SYSCO Corp. .............................. 340,554
874 United Natural Foods, Inc.* .............. 12,454
------------
443,533
------------
Forest Products (0.1%)
4,481 Georgia-Pacific Corp. .................... 111,185
2,172 Georgia-Pacific Corp. (Timber
Group) ................................... 65,839
2,686 Louisiana-Pacific Corp. .................. 26,021
1,343 Pope & Talbot, Inc. ...................... 25,853
693 Rayonier Inc. ............................ 28,196
273 Republic Group Inc. ...................... 3,532
629 Universal Forest Products, Inc. .......... 7,902
6,155 Weyerhaeuser Co. ......................... 281,207
------------
549,735
------------
Generic Drugs (0.1%)
907 Alpharma Inc. (Class A) .................. 59,408
903 Barr Laboratories, Inc.* ................. 48,762
1,867 Duramed Pharmaceuticals, Inc.* ........... 10,619
2,054 ICN Pharmaceuticals, Inc. ................ 48,911
4,148 IVAX Corp.* .............................. 204,289
3,390 Mylan Laboratories, Inc. ................. 72,037
686 Pharmaceutical Resources, Inc.* .......... 3,559
2,515 Watson Pharmaceuticals, Inc.* ............ 138,954
------------
586,539
------------
Home Building (0.1%)
207 Beazer Homes USA Inc.* ................... 4,360
1,495 Centex Corp. ............................. 35,787
1,037 Champion Enterprises, Inc. ............... 5,639
3,531 Clayton Homes, Inc. ...................... 28,689
485 Crossmann Communities, Inc.* ............. 7,275
1,532 D.R. Horton, Inc. ........................ 23,746
791 Fairfield Communities, Inc.* ............. 5,883
779 Fleetwood Enterprises, Inc. .............. 10,078
1,250 Kaufman & Broad Home Corp. ............... 24,453
1,917 Lennar Corp. ............................. 46,008
599 M.D.C. Holdings, Inc. .................... 11,980
181 NVR, Inc.* ............................... 11,154
1,880 Oakwood Homes Corp. ...................... 3,760
637 Palm Harbor Homes, Inc.* ................. 9,396
See Notes to Financial Statements
20
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
1,134 Pulte Corp. ................................. $ 26,011
412 Ryland Group, Inc. (The) .................... 8,240
347 Skyline Corp. ............................... 7,005
874 Standard Pacific Corp. ...................... 11,089
870 Toll Brothers, Inc.* ........................ 21,043
438 Webb (Del) Corp.* ........................... 6,679
------------
308,275
------------
Home Furnishings (0.1%)
592 Bassett Furniture Industries, Inc. .......... 7,992
1,168 Department 56, Inc.* ........................ 11,534
597 Enesco Group ................................ 3,806
1,071 Ethan Allen Interiors, Inc. ................. 27,310
1,178 Furniture Brands International,
Inc.* ..................................... 17,449
1,551 La-Z-Boy, Inc. .............................. 24,040
5,144 Leggett & Platt, Inc. ....................... 90,020
318 Libbey, Inc. ................................ 9,918
809 Mikasa, Inc. ................................ 7,837
1,530 Mohawk Industries, Inc.* .................... 40,832
7,392 Newell Rubbermaid, Inc. ..................... 199,122
627 O'Sullivan Industries Holdings, Inc.
(Pref.)* .................................. 313
394 Oneida Ltd. ................................. 7,141
3,506 Shaw Industries, Inc. ....................... 44,921
1,511 Tupperware Corp. ............................ 29,370
1,274 Westpoint Stevens, Inc. ..................... 15,288
------------
536,893
------------
Hospital/Nursing Management (0.3%)
2,212 Beverly Enterprises, Inc.* .................. 7,604
14,762 HCA-The Healthcare Corp. .................... 501,908
6,392 Health Management Associates, Inc.
(Class A)* ................................ 100,274
1,233 LifePoint Hospitals, Inc.* .................. 32,983
2,600 Manor Care, Inc.* ........................... 25,675
964 NovaMed Eyecare, Inc.* ...................... 5,422
1,261 Orthodontic Centers of America,
Inc.* ..................................... 32,628
809 Province Healthcare Co.* .................... 34,686
1,686 Quorum Health Group, Inc.* .................. 18,230
1,603 Res-Care, Inc.* ............................. 11,221
8,175 Tenet Healthcare Corp.* ..................... 248,827
874 Triad Hospitals, Inc.* ...................... 21,959
774 Universal Health Services, Inc.
(Class B)* ................................ 52,148
------------
1,093,565
------------
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
Hotels/Resorts (0.2%)
422 American Classic Voyager Co.* ............... $ 7,807
1,037 Boca Resorts, Inc.* ......................... 9,981
16,170 Carnival Corp. .............................. 302,177
1,289 Choice Hotels International, Inc.* .......... 12,084
446 Crestline Capital Corp.* .................... 8,669
2,295 Extended Stay America, Inc.* ................ 31,556
9,800 Hilton Hotels Corp. ......................... 100,450
779 Marcus Corp. (The) .......................... 9,153
6,520 Marriott International, Inc.
(Class A) ................................. 260,800
1,157 Prime Hospitality Corp.* .................... 10,991
1,090 ResortQuest International, Inc.* ............ 6,540
4,706 Royal Caribbean Cruises Ltd. ................ 93,532
5,097 Starwood Hotels & Resorts
Worldwide, Inc. ........................... 173,935
363 Trendwest Resorts, Inc.* .................... 6,545
557 U.S. Franchise Systems, Inc.* ............... 2,506
1,463 Vail Resorts, Inc.* ......................... 25,968
------------
1,062,694
------------
Industrial Machinery/Components (0.2%)
1,024 Applied Power, Inc. (Class A) ............... 40,512
7,875 Illinois Tool Works Inc. .................... 450,844
4,287 Ingersoll-Rand Co. .......................... 168,265
794 Kennametal, Inc. ............................ 19,800
1,077 Lincoln Electric Holdings, Inc. ............. 16,290
660 Milacron Inc. ............................... 9,487
431 Nordson Corp. ............................... 24,351
1,264 Presstek, Inc.* ............................. 18,407
456 Regal-Beloit Corp. .......................... 7,353
1,274 Specialty Equipment Co., Inc.* .............. 34,716
503 Tecumseh Products Co. ....................... 17,856
261 Tennant Co .................................. 10,652
1,367 Thermo Fibertek, Inc.* ...................... 6,493
1,234 Wabtec Corp. ................................ 12,417
384 Woodward Governor Co. ....................... 12,672
------------
850,115
------------
Industrial Specialties (0.1%)
631 Albany International Corp.
(Class A)* ................................ 8,834
537 Bacou USA, Inc.* ............................ 12,888
792 BMC Industries, Inc.* ....................... 3,960
895 BP Prudhoe Bay Royalty Trust ................ 9,565
540 Brady (W.H.) Co. ............................ 16,436
631 Buckeye Technologies Inc.* .................. 15,381
469 CUNO, Inc.* ................................. 14,187
1,161 Donaldson Co., Inc. ......................... 22,277
See Notes to Financial Statements
21
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
3,396 Ecolab, Inc. ................................ $ 121,619
2,371 Foamex International Inc.* .................. 16,004
295 Ionics, Inc.* ............................... 9,034
2,006 Lydall, Inc.* ............................... 22,317
811 MacDermid, Inc. ............................. 20,782
700 Material Sciences Corp.* .................... 7,262
1,186 Millipore Corp. ............................. 74,570
450 Mine Safety Appliances Co. .................. 9,984
3,133 Omnova Solutions, Inc. ...................... 19,973
556 Research Frontiers Inc.* .................... 14,699
516 Rogers Corp.* ............................... 18,447
651 Spartech Corp. .............................. 17,455
724 Symyx Technologies, Inc.* ................... 30,634
1,076 UCAR International, Inc.* ................... 15,131
1,246 WD-40 Co. ................................... 23,596
1,363 Zoltek Companies, Inc.* ..................... 11,330
------------
536,365
------------
Insurance Brokers/Services (0.3%)
6,726 AON Corp. ................................... 242,136
280 Brown & Brown, Inc. ......................... 13,440
796 CCC Information Services Group,
Inc.* ..................................... 8,656
1,376 ChoicePoint Inc.* ........................... 59,856
1,407 Copart, Inc.* ............................... 18,643
189 CorVel Corp.* ............................... 5,197
1,189 Crawford & Co. .............................. 14,788
333 E. W. Blanch Holdings, Inc. ................. 9,428
928 Gallagher (Arthur J.) & Co. ................. 45,530
382 Hilb, Rogal & Hamilton Co. .................. 14,946
7,120 Marsh & McLennan Companies,
Inc. ...................................... 868,640
------------
1,301,260
------------
Integrated Oil Companies (2.5%)
2,377 Amerada Hess Corp. .......................... 143,808
17,200 Chevron Corp. ............................... 1,358,800
16,413 Conoco, Inc. (Class B) ...................... 378,525
91,942 Exxon Mobil Corp.* .......................... 7,355,360
1,179 Murphy Oil Corp. ............................ 71,035
6,638 Phillips Petroleum Co. ...................... 337,293
14,495 Texaco, Inc. ................................ 716,597
6,353 Unocal Corp. ................................ 192,178
------------
10,553,596
------------
Internet Services (3.1%)
449 About.com, Inc.* ............................ 13,863
677 Accrue Software, Inc.* ...................... 15,656
676 Active Software, Inc.* ...................... 38,532
848 Agency.com, Inc.* ........................... 18,285
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
1,210 Agile Software Co.* ......................... $ 66,928
453 Akamai Technologies, Inc.* .................. 35,723
676 Allaire Corp.* .............................. 20,861
1,334 Alloy Online, Inc.* ......................... 14,674
60,677 America Online, Inc.* ....................... 3,234,843
771 AppliedTheory Corp.* ........................ 7,035
820 AppNet, Inc.* ............................... 27,162
347 Apropos Technology, Inc.* ................... 5,378
6,228 Ariba, Inc.* ................................ 722,059
1,739 Art Technology Group, Inc.* ................. 151,293
1,838 ASD Systems, Inc.* .......................... 3,619
982 AsiaInfo Holdings, Inc.* .................... 35,106
930 Ask Jeeves, Inc.* ........................... 16,856
9,529 At Home Corp. (Series A)* ................... 133,406
6,433 BEA Systems, Inc.* .......................... 277,021
511 Bluestone Software, Inc.* ................... 11,306
553 Braun Consulting, Inc.* ..................... 11,959
878 Breakaway Solutions, Inc.* .................. 24,474
1,219 Broadbase Software, Inc.* ................... 28,723
6,509 BroadVision, Inc.* .......................... 235,544
437 C-Bridge Internet Solutions, Inc.* .......... 8,385
800 CAIS Internet, Inc.* ........................ 7,637
847 Calico Commerce, Inc.* ...................... 8,311
603 Centra Software, Inc. ....................... 4,598
878 Chordiant Software, Inc.* ................... 11,633
1,696 Circle.com* ................................. 5,300
7,430 CMGI Inc.* .................................. 281,411
2,219 CNET Networks, Inc.* ........................ 66,431
919 Cobalt Group, Inc. (The)* ................... 5,686
4,056 Commerce One, Inc.* ......................... 170,605
1,648 Critical Path, Inc.* ........................ 91,773
951 CUseeMe Networks, Inc.* ..................... 7,341
605 CyberSource Corp.* .......................... 5,218
726 Cysive, Inc.* ............................... 17,424
893 Data Return Corp.* .......................... 22,883
633 Digex, Inc.* ................................ 39,919
578 Digital Insight Corp.* ...................... 18,099
1,691 Digital Island, Inc.* ....................... 48,511
1,491 Digitas Inc.* ............................... 33,734
3,098 Earthlink, Inc.* ............................ 38,725
256 EarthWeb, Inc.* ............................. 2,944
724 eGain Communications Corp.* ................. 5,928
669 Elcom International, Inc.* .................. 3,721
1,082 eLoyalty Corp.* ............................. 16,061
4,576 Engage Technologies, Inc.* .................. 41,756
726 eXcelon Corp.* .............................. 4,311
10,808 Exodus Communications, Inc.* ................ 480,281
474 Extensity, Inc.* ............................ 7,673
See Notes to Financial Statements
22
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
533 F5 Networks, Inc.* .................... $ 24,085
819 FirePond, Inc.* ....................... 17,199
1,484 Go.com, Inc.* ......................... 15,860
997 Go2Net, Inc.* ......................... 58,885
1,286 GoTo.com, Inc.* ....................... 20,737
836 GraphOn Corp.* ........................ 4,180
752 HearMe Inc.* .......................... 2,914
1,293 High Speed Access Corp.* .............. 6,627
2,784 iBEAM Broadcacting Corp.* ............. 34,278
512 iManage, Inc.* ........................ 4,928
296 Inforte Corp.* ........................ 14,356
6,015 InfoSpace.com, Inc.* .................. 203,006
2,917 Inktomi Corp.* ........................ 312,119
1,243 Interliant, Inc.* ..................... 21,131
2,978 Internap Network Services Corp.* ...... 101,578
736 Internet Capital Group, Inc.* ......... 24,886
1,095 Internet Security Systems, Inc.* ...... 80,893
633 Internet.com Corp.* ................... 12,027
2,145 Intertrust Technologies Corp.* ........ 31,237
687 InterWorld Corp.* ..................... 15,028
1,264 Interwoven, Inc.* ..................... 81,607
1,007 ITXC Corp.* ........................... 18,252
745 iVillage Inc.* ........................ 4,819
762 JFAX.COM, Inc.* ....................... 1,953
975 Juno Online Services, Inc.* ........... 8,836
2,362 Kana Communications, Inc.* ............ 86,804
652 Keynote Systems, Inc.* ................ 24,735
949 Lante Corp.* .......................... 17,972
2,362 Liberate Technologies, Inc.* .......... 54,178
342 Lionbridge Technologies, Inc.* ........ 2,651
407 Liquid Audio, Inc.* ................... 3,765
2,304 LookSmart, Ltd.* ...................... 42,048
570 Luminant Worldwide Corp.* ............. 4,631
2,881 Lycos, Inc.* .......................... 174,661
1,040 Mail.com, Inc.* ....................... 8,288
1,097 MatrixOne, Inc.* ...................... 50,188
469 Media Metrix, Inc.* ................... 12,194
1,192 MessageMedia, Inc.* ................... 4,172
796 N2H2, Inc.* ........................... 2,438
1,340 National Information Consortium,
Inc.* ................................. 10,385
1,473 NaviSite, Inc.* ....................... 59,749
423 NBC Internet, Inc. (Class A)* ......... 4,362
588 Net Perceptions, Inc.* ................ 7,056
505 Netegrity, Inc.* ...................... 39,895
1,435 NetManage, Inc.* ...................... 3,722
687 NetObjects, Inc.* ..................... 2,898
1,340 Network Commerce Inc.* ................ 8,961
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
434 Netzee, Inc.* ......................... $ 2,685
2,644 Netzero, Inc.* ........................ 13,964
1,699 OneMain.com, Inc.* .................... 16,990
1,107 Open Market, Inc.* .................... 7,265
312 OpenTV Corp.* ......................... 15,360
1,257 Optio Software, Inc.* ................. 5,657
2,295 Organic, Inc.* ........................ 22,807
1,079 Pfsweb Inc.* .......................... 4,653
374 Pilot Network Services, Inc.* ......... 4,628
4,214 Portal Software, Inc.* ................ 212,214
398 Preview Systems, Inc.* ................ 4,129
1,617 Prodigy Communications Corp.
(Class A)* .......................... 12,936
1,408 Proxicom, Inc.* ....................... 58,168
4,929 PSINet, Inc.* ......................... 85,949
2,235 Quest Software, Inc.* ................. 105,604
842 Quintus Corp.* ........................ 9,999
1,523 Ramp Networks, Inc.* .................. 8,472
1,302 Rare Medium Group, Inc.* .............. 16,356
4,045 RealNetworks, Inc.* ................... 171,660
1,148 Retek, Inc.* .......................... 35,301
377 RoweCom, Inc.* ........................ 1,673
1,337 S1 Corp.* ............................. 34,010
2,435 SAVVIS Communications Corp.* .......... 29,829
1,851 Scient Corp.* ......................... 86,303
479 SilverStream Software, Inc.* .......... 18,262
413 Softnet Systems, Inc.* ................ 3,407
1,784 Software Technologies Corp.* .......... 47,499
1,247 Software.com, Inc.* ................... 125,791
666 SonicWall, Inc.* ...................... 57,776
1,704 StarMedia Network, Inc.* .............. 25,773
1,067 Talk City, Inc.* ...................... 1,667
706 theglobe.com, Inc.* ................... 1,169
640 Tumbleweed Communications
Corp.* .............................. 28,800
2,088 Verio Inc.* ........................... 113,666
5,064 VeriSign, Inc.* ....................... 803,594
2,143 VerticalNet, Inc.* .................... 102,328
1,277 VIA NET.WORKS, Inc.* .................. 21,390
341 Viador Inc.* .......................... 3,623
1,237 Viant Corp.* .......................... 40,821
662 Vicinity Corp.* ....................... 13,157
5,903 Vignette Corp.* ....................... 199,964
3,328 Vitria Technology, Inc.* .............. 157,248
1,003 Voyager.net, Inc.* .................... 7,773
660 WatchGuard Technologies, Inc.* ........ 32,381
311 Webb Interactive Services, Inc.* ...... 3,100
789 webMethods, Inc.* ..................... 91,130
See Notes to Financial Statements
23
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
643 WebTrends Corp.* ......................... $ 19,330
985 Women.com Networks, Inc.* ................ 4,063
512 WorldGate Communications, Inc.* .......... 12,288
1,193 Xpedior Inc.* ............................ 15,584
14,348 Yahoo! Inc.* ............................. 1,846,408
386 ZixIt Corp. .............................. 16,309
------------
13,134,692
------------
Investment Bankers/Brokers/
Services (1.7%)
207 Advest Group, Inc.* ...................... 5,421
4,576 AmeriTrade Holding Corp.
(Class A)* ............................. 58,630
3,007 Bear Stearns Companies, Inc. ............. 162,002
315 Dain Rauscher Corp. ...................... 21,361
3,338 Donaldson, Lufkin & Jenrette, Inc. ....... 172,116
7,577 E*TRADE Group, Inc.* ..................... 113,655
2,324 Edwards (A.G.), Inc. ..................... 122,882
208 eSPEED, Inc (Class A)* ................... 6,370
577 First Albany Companies Inc.* ............. 11,504
253 GlobalNet Financial.com, Inc.* ........... 3,953
1,929 Goldman Sachs Group, Inc. (The) .......... 190,850
783 Investment Technology Group, Inc.......... 38,073
764 Investors Financial Services Corp. ....... 29,319
450 Jefferies Group, Inc. .................... 12,038
3,204 Knight Trading Group, Inc.* .............. 85,106
1,066 LaBranche & Co., Inc.* ................... 21,720
1,646 Legg Mason, Inc. ......................... 85,592
3,145 Lehman Brothers Holdings, Inc. ........... 353,419
10,244 Merrill Lynch & Co., Inc. ................ 1,324,037
572 Morgan Keegan, Inc. ...................... 11,369
29,861 Morgan Stanley Dean Witter & Co.
(Note 4) ............................... 2,724,816
429 National Discount Brokers Group,
Inc.* .................................. 14,130
3,740 Paine Webber Group, Inc. ................. 258,995
1,129 Raymond James Financial, Inc. ............ 28,225
35,964 Schwab (Charles) Corp. ................... 1,299,200
2,159 Siebert Financial Corp. .................. 15,248
418 Southwest Securities Group, Inc. ......... 11,521
7,281 TD Waterhouse Group, Inc.* ............... 132,878
730 Tucker Anthony Sutro Corp. ............... 12,501
558 Web Street, Inc.* ........................ 1,360
459 Wit Soundview Group, Inc.* ............... 3,858
------------
7,332,149
------------
Investment Managers (0.3%)
276 Acacia Research Corp.* ................... 7,866
556 Affiliated Managers Group, Inc.* ......... 26,375
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
4,520 Alliance Capital Management
Holding L.P.* .......................... $ 215,548
905 Eaton Vance Corp. ........................ 46,890
3,133 Federated Investors, Inc. (Class B) ...... 82,045
6,517 Franklin Resources, Inc. ................. 233,797
816 John Nuveen Co. (The) (Class A) .......... 36,465
1,261 Neuberger Berman Inc. .................... 62,577
1,161 Nvest, L.P. .............................. 45,061
2,235 Phoenix Investment Partners, Ltd. ........ 32,268
695 Pioneer Group, Inc. (The)* ............... 29,711
3,136 Price (T.) Rowe Associates, Inc. ......... 128,184
5,794 Stillwell Financial, Inc.* ............... 255,298
1,399 United Asset Management Corp. ............ 33,663
2,152 Waddell & Reed Financial, Inc.
(Class A) .............................. 70,478
------------
1,306,226
------------
Life Insurance (0.3%)
6,476 American General Corp. ................... 431,868
668 American National Insurance Co. .......... 41,291
453 Amerus Life Holdings, Inc. ............... 10,362
479 Delphi Financial Group, Inc.
(Class A)* ............................. 18,442
1,673 FBL Financial Group, Inc.
(Class A) .............................. 22,586
1,011 Great American Financial
Resources, Inc. ........................ 17,693
2,745 Jefferson-Pilot Corp. .................... 167,445
249 Kansas City Life Insurance Co. ........... 7,120
490 Liberty (Corp.) (The) .................... 17,854
5,123 Lincoln National Corp. ................... 223,491
5,294 MetLife, Inc.* ........................... 111,174
327 National Western Life Insurance Co.
(Class A)* ............................. 24,035
555 Presidential Life Corp. .................. 8,013
1,627 Protective Life Corp. .................... 44,132
1,306 Reinsurance Group of America, Inc. 41,547
2,326 ReliaStar Financial Corp. ................ 123,714
1,192 The MONY Group Inc. ...................... 42,614
3,447 Torchmark Corp. .......................... 85,744
------------
1,439,125
------------
Major Banks (3.1%)
44,742 Bank of America Corp. .................... 2,119,652
19,479 Bank of New York Co., Inc. ............... 911,861
30,058 Bank One Corp. ........................... 956,220
10,235 BB&T Corp. ............................... 255,235
32,665 Chase Manhattan Corp. (The) .............. 1,623,042
4,099 Comerica, Inc. ........................... 209,049
See Notes to Financial Statements
24
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
25,887 First Union Corp. ......................... $ 668,208
23,995 FleetBoston Financial Corp. ............... 859,321
6,599 Huntington Bancshares, Inc. ............... 103,520
11,723 KeyCorp ................................... 205,885
13,331 Mellon Financial Corp. .................... 502,412
4,538 Morgan (J.P.) & Co., Inc.* ................ 605,823
16,159 National City Corp. ....................... 286,822
7,705 PNC Bank Corp. ............................ 391,992
3,558 Popular, Inc. ............................. 77,387
4,398 SouthTrust Corp. .......................... 108,301
4,193 State Street Corp. ........................ 420,872
4,580 Summit Bancorp. ........................... 112,496
8,386 SunTrust Banks, Inc. ...................... 401,480
19,745 U.S. Bancorp .............................. 378,857
4,257 UnionBanCal Corp. ......................... 80,883
5,314 Wachovia Corp. ............................ 292,270
44,213 Wells Fargo & Co. ......................... 1,826,508
------------
13,398,096
------------
Major Chemicals (0.5%)
17,855 Dow Chemical Co. (The) .................... 513,331
27,661 Du Pont (E.I.) de Nemours & Co.,
Inc. .................................... 1,253,389
2,050 Eastman Chemical Co. ...................... 96,094
2,683 Hercules Inc. ............................. 40,077
5,737 Rohm & Haas Co. ........................... 149,162
2,779 Solutia, Inc. ............................. 39,774
3,508 Union Carbide Corp. ....................... 157,202
------------
2,249,029
------------
Major Pharmaceuticals (6.5%)
40,923 Abbott Laboratories ....................... 1,703,420
34,446 American Home Products Corp. .............. 1,827,791
51,989 Bristol-Myers Squibb Co. .................. 2,579,954
36,736 Johnson & Johnson ......................... 3,418,744
29,828 Lilly (Eli) & Co. ......................... 3,098,384
61,260 Merck & Co., Inc. ......................... 4,391,576
166,249 Pfizer Inc. ............................... 7,169,488
33,525 Pharmacia Corp. ........................... 1,835,494
38,669 Schering-Plough Corp. ..................... 1,670,017
------------
27,694,868
------------
Major U.S. Telecommunications (3.9%)
8,228 ALLTEL Corp. .............................. 507,051
98,981 AT&T Corp. ................................ 3,062,225
49,694 BellSouth Corp. ........................... 1,978,442
89,845 SBC Communications, Inc. .................. 3,824,028
23,153 Sprint Corp. (FON Group) .................. 824,826
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
71,768 Verizon Communications .................... $ 3,373,096
75,618 WorldCom, Inc.* ........................... 2,953,828
------------
16,523,496
------------
Managed Health Care (0.4%)
3,776 Aetna Inc. ................................ 209,568
1,074 AmeriPath, Inc.* .......................... 13,626
5,233 Caremark Rx, Inc.* ........................ 44,153
4,692 CIGNA Corp. ............................... 468,614
1,053 Coventry Health Care, Inc.* ............... 17,638
1,238 First Health Group Corp.* ................. 37,914
3,085 Foundation Health Systems Inc.
(Class A)* .............................. 44,925
4,227 Humana, Inc.* ............................. 30,910
1,285 Magellan Health Services, Inc.* ........... 2,088
1,044 Mid Atlantic Medical Services,
Inc.* ................................... 14,355
2,057 Oxford Health Plans, Inc.* ................ 49,239
1,142 PacifiCare Health Systems, Inc.* .......... 74,230
831 Sierra Health Services, Inc.* ............. 2,649
991 Trigon Healthcare, Inc.* .................. 52,523
4,449 UnitedHealth Group Inc. ................... 363,984
1,668 Wellpoint Health Networks, Inc.* .......... 145,429
------------
1,571,845
------------
Marine Transportation (0.0%)
1,130 Alexander & Baldwin, Inc. ................. 28,462
476 Kirby Corp.* .............................. 10,621
850 Overseas Shipholding Group, Inc. .......... 19,338
472 SEACOR Holdings, Inc.* .................... 18,821
1,458 Tidewater, Inc. ........................... 46,838
------------
124,080
------------
Meat/Poultry/Fish (0.1%)
12,906 ConAgra, Inc. ............................. 263,766
934 Dean Foods Co. ............................ 32,515
3,656 Hormel Foods Corp. ........................ 59,182
2,689 IBP, Inc. ................................. 38,822
387 Michael Foods, Inc. ....................... 9,288
1,090 Pilgrim's Pride Corp. (Class B) ........... 7,903
40 Seaboard Corp. ............................ 8,160
1,424 Smithfield Foods, Inc.* ................... 40,495
5,792 Tyson Foods, Inc. (Class A) ............... 54,300
------------
514,431
------------
Media Conglomerates (1.8%)
54,878 Disney (Walt) Co. (The) ................... 2,123,093
4,627 Fox Entertainment Group, Inc.
(Series A)* ............................. 141,702
See Notes to Financial Statements
25
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
34,751 Time Warner Inc. ......................... $ 2,664,967
40,278 Viacom, Inc. (Class B)
(Non-Voting)* ............................ 2,670,935
------------
7,600,697
------------
Medical Equipment & Supplies (0.4%)
760 Acuson Corp.* ............................ 9,358
1,688 ADAC Laboratories* ....................... 33,444
557 Cyberonics Inc.* ......................... 7,520
271 Datascope Corp. .......................... 10,230
1,332 DENTSPLY International, Inc. ............. 45,038
2,248 Eclipse Surgical Technologies, Inc.*...... 8,852
3,799 Imatron Inc.* ............................ 9,498
2,164 LaserSight, Inc.* ........................ 7,845
31,612 Medtronic, Inc. .......................... 1,614,188
2,032 Sunrise Technology International,
Inc.* .................................. 14,097
1,406 Thermo Cardiosystems, Inc.* .............. 13,357
1,623 VISX, Inc.* .............................. 40,879
591 Zoll Medical Corp.* ...................... 24,009
------------
1,838,315
------------
Medical Specialties (0.9%)
201 ABIOMED, Inc.* ........................... 7,990
2,677 ALZA Corp.* .............................. 173,336
646 Aradigm Corp.* ........................... 9,771
871 ArQule, Inc.* ............................ 15,896
545 Arrow International, Inc. ................ 18,598
572 ArthroCare Corp.* ........................ 20,771
413 Aspect Medical Systems, Inc.* ............ 8,931
414 ATS Medical, Inc.* ....................... 5,511
1,342 Bard (C.R.), Inc. ........................ 67,184
1,456 Bausch & Lomb, Inc. ...................... 90,545
7,739 Baxter International, Inc. ............... 601,707
733 Beckman Coulter, Inc. .................... 48,836
6,593 Becton, Dickinson & Co. .................. 166,473
351 Bio-Rad Laboratories, Inc.
(Class A)* ............................. 8,292
580 Biomatrix, Inc.* ......................... 12,071
3,125 Biomet, Inc. ............................. 139,844
940 Biopure Corp.* ........................... 16,450
687 Biosite Diagnostics Inc.* ................ 32,718
10,869 Boston Scientific Corp.* ................. 180,018
425 Cerus Corp.* ............................. 23,800
737 ChromaVision Medical Systems,
Inc.* .................................. 10,226
310 Closure Medical Corp.* ................... 6,316
362 CONMED Corp.* ............................ 4,842
318 Cooper Companies, Inc. ................... 11,170
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
831 Cygnus, Inc.* ............................ $ 7,557
961 Cytyc Corp.* ............................. 46,128
364 Diagnostic Products Corp. ................ 14,560
1,672 Diametrics Medical, Inc.* ................ 11,495
400 Digene Corp.* ............................ 14,000
1,468 Edwards Lifesciences Corp.* .............. 32,021
8,055 Guidant Corp.* ........................... 454,101
618 Haemonetics Corp.* ....................... 14,137
1,652 Hillenbrand Industries, Inc. ............. 52,864
364 I-STAT Corp.* ............................ 6,825
396 IGEN International, Inc.* ................ 7,475
471 INAMED Corp.* ............................ 15,484
548 Inhale Therapeutic Systems, Inc.* ........ 44,491
756 Invacare Corp. ........................... 17,483
864 KeraVision, Inc.* ........................ 2,457
512 KV Pharmaceutical Co. (Class A)* ......... 15,264
278 Lifecore Biomedical, Inc.* ............... 2,068
936 LJL Biosystems, Inc.* .................... 21,645
283 Lynx Therapeutics, Inc.* ................. 9,693
1,755 Mallinckrodt, Inc. ....................... 80,291
615 Mentor Corp. ............................. 11,070
815 MiniMed, Inc.* ........................... 102,741
323 Molecular Devices Corp.* ................. 25,356
537 Novoste Corp.* ........................... 31,280
526 Ocular Sciences, Inc.* ................... 6,345
645 Osteotech, Inc.* ......................... 6,450
3,250 Pall Corp. ............................... 67,438
5,502 PE Corporation-PE Biosystems
Group .................................. 479,706
750 ResMed, Inc.* ............................ 20,813
1,082 Respironics, Inc.* ....................... 18,462
482 Scott Technologies, Inc.* ................ 9,279
349 SonoSite, Inc.* .......................... 10,470
2,205 St. Jude Medical, Inc.* .................. 90,956
703 Staar Surgical Co.* ...................... 9,886
1,610 STERIS Corp.* ............................ 14,490
5,083 Stryker Corp. ............................ 218,251
490 SurModics, Inc.* ......................... 21,805
2,728 Sybron International Corp.* .............. 56,777
531 Techne Corp.* ............................ 53,034
4,250 Techniclone Corp. ........................ 11,953
1,241 Thoratec Laboratories Corp.* ............. 19,236
770 Varian Medical Systems, Inc.* ............ 33,110
621 Ventana Medical Systems, Inc.* ........... 12,769
494 Vital Signs, Inc. ........................ 7,997
405 Wesley Jessen VisionCare, Inc.* .......... 14,985
See Notes to Financial Statements
26
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
268 West Pharmaceutical Services, Inc....... $ 5,528
437 Xceed, Inc.* ........................... 3,523
------------
3,915,045
------------
Medical/Dental Distributors (0.3%)
1,291 AmeriSource Health Corp.
(Class A)* ........................... 45,104
1,665 Andrx Corp.* ........................... 129,974
3,202 Bergin Brunswig Corp. (Class A) ........ 28,018
660 Bindley Western Industries, Inc. ....... 17,366
7,372 Cardinal Health, Inc. .................. 541,842
725 Henry Schein, Inc.* .................... 10,195
7,384 McKesson HBOC, Inc. .................... 179,524
1,458 Neoforma.com, Inc.* .................... 6,197
885 Owens & Minor, Inc. .................... 14,160
1,700 Patterson Dental Co.* .................. 45,050
354 PolyMedica Industries, Inc.* ........... 13,397
552 Priority Healthcare Corp.* ............. 29,601
1,692 PSS World Medical, Inc.* ............... 10,152
615 SciQuest.com, Inc.* .................... 6,015
883 Syncor International Corp.* ............ 64,018
------------
1,140,613
------------
Medical/Nursing Services (0.1%)
1,242 Apria Healthcare Group, Inc.* .......... 18,552
987 Cyber-Care, Inc.* ...................... 6,878
485 Gentiva Health Services, Inc.* ......... 3,850
684 Hanger Orthopedic Group, Inc.* ......... 2,779
10,123 Healthsouth Corp.* ..................... 60,105
1,632 Hooper Holmes, Inc. .................... 19,992
675 InfoCure Corp.* ........................ 3,354
2,051 Laser Vision Centers, Inc.* ............ 10,608
4,956 LCA-Vision, Inc.* ...................... 12,855
1,363 Lincare Holdings, Inc.* ................ 36,460
1,600 Matria Healthcare, Inc.* ............... 5,900
684 Pediatrix Medical Group, Inc.* ......... 10,517
1,941 PhyCor, Inc.* .......................... 1,092
1,170 Renal Care Group, Inc.* ................ 27,129
5,029 Total Renal Care Holdings, Inc.* ....... 38,346
------------
258,417
------------
Metals Fabrications (0.1%)
687 ABC-NACO, Inc.* ........................ 4,508
332 Commercial Metals Co. .................. 9,753
1,090 Fairchild Corp. (Class A)* ............. 6,336
2,442 General Cable Corp. .................... 21,062
463 Gibraltar Steel Corp. .................. 7,090
1,013 Harsco Corp. ........................... 29,377
4,103 Hexcel Corp.* .......................... 58,724
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
901 Intermet Corp. ......................... $ 6,532
735 Kaydon Corp. ........................... 15,389
543 Maverick Tube Corp.* ................... 12,387
2,954 Metals USA, Inc. ....................... 12,739
264 Mobile Mini, Inc.* ..................... 5,066
917 Mueller Industries, Inc.* .............. 26,650
162 Penn Engineering & Manufacturing
Corp. ................................ 5,498
645 Precision Castparts Corp. .............. 41,240
432 Shaw Group Inc.* ....................... 20,358
254 SPS Technologies, Inc.* ................ 11,398
1,623 Timken Co. (The) ....................... 28,910
1,118 Tower Automotive, Inc.* ................ 13,626
588 Wolverine Tube, Inc.* .................. 10,217
------------
346,860
------------
Mid-Sized Banks (0.7%)
10,250 AmSouth Bancorporation ................. 172,328
1,840 BancWest Corp. ......................... 33,925
1,584 Commerce Bancshares, Inc. .............. 51,975
2,979 Compass Bancshares, Inc. ............... 54,181
12,137 Fifth Third Bancorp .................... 501,389
303 First Citizens BancShares, Inc.
(Class A) ............................ 18,483
5,130 First Security Corp. ................... 73,744
3,417 First Tennessee National Corp. ......... 62,360
1,302 First Virginia Banks, Inc. ............. 51,673
25,689 Firstar Corp. .......................... 507,358
4,202 Hibernia Corp. (Class A) ............... 45,959
240 M&T Bank Corp. ......................... 113,385
2,791 Marshall & Ilsley Corp. ................ 126,293
1,807 Mercantile Bankshares Corp. ............ 57,485
5,834 Northern Trust Corp. ................... 436,821
3,647 Old Kent Financial Corp. ............... 98,013
2,025 Pacific Century Financial Corp. ........ 28,223
5,730 Regions Financial Corp. ................ 114,242
1,189 South Financial Group, Inc. (The) ...... 16,869
7,333 Synovus Financial Corp. ................ 131,994
2,174 TCF Financial Corp. .................... 63,997
545 UMB Financial Corp. .................... 19,075
3,696 Union Planters Corp. ................... 106,029
------------
2,885,801
------------
Military/Gov't/Technical (0.3%)
858 Aeroflex Inc.* ......................... 24,560
283 Alliant Techsystems, Inc.* ............. 20,022
414 Cubic Corp. ............................ 8,228
1,036 ESCO Technologies Inc.* ................ 19,684
1,227 FLIR Systems, Inc.* .................... 9,509
See Notes to Financial Statements
27
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
327 FuelCell Energy, Inc.* .................. $ 24,137
5,267 General Dynamics Corp. .................. 297,256
18,075 General Motors Corp. (Class H)* ......... 467,691
581 Integral Systems, Inc.* ................. 9,296
1,193 Litton Industries, Inc.* ................ 58,979
7,756 Loral Space & Communications
Ltd.* ................................. 40,234
229 Microvision, Inc.* ...................... 8,473
787 Newport News Shipbuilding Inc. .......... 31,775
1,252 PerkinElmer, Inc. ....................... 80,050
461 Primex Technologies, Inc. ............... 10,632
8,870 Raytheon Co. (Class B) .................. 215,098
1,143 REMEC, Inc.* ............................ 29,254
507 SatCon Technology Corp.* ................ 13,911
364 SBS Technologies, Inc.* ................. 14,560
585 The Kroll-O'Gara Co.* ................... 3,053
519 ThermoTrex Corp.* ....................... 5,839
1,501 Titan Corp. (The)* ...................... 44,561
356 UTL Holdings Corp.* ..................... 16,955
------------
1,453,757
------------
Motor Vehicles (0.6%)
31,834 Ford Motor Co. .......................... 1,482,271
16,153 General Motors Corp. .................... 919,711
7,932 Harley-Davidson, Inc. ................... 355,949
------------
2,757,931
------------
Movies/Entertainment (0.1%)
2,391 AMC Entertainment, Inc.* ................ 7,173
6,635 AMF Bowling, Inc.* ...................... 4,976
1,362 Cedar Fair, L.P. ........................ 24,261
1,124 Championship Auto Racing Teams,
Inc.* ................................. 28,030
788 Gaylord Entertainment Co.* .............. 19,552
311 GC Companies, Inc.* ..................... 5,365
1,392 International Speedway Corp.
(Class A) ............................. 44,283
893 Launch Media, Inc.* ..................... 6,139
2,458 Learn2.com Inc.* ........................ 5,531
698 Liberty Digital, Inc. (Class A)* ........ 19,021
255 Liberty Livewire Corp. (Class A)* ....... 13,898
4,815 Loews Cineplex Entertainment
Corp.* ................................ 14,144
5,282 Metro-Goldwyn-Mayer Inc.* ............... 132,380
826 Musicmaker.com, Inc.* ................... 1,162
539 On Command Corp.* ....................... 6,603
1,233 Pixar, Inc.* ............................ 41,228
1,203 Quokka Sports, Inc.* .................... 8,496
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
1,684 SFX Entertainment, Inc.
(Class A)* ............................ $ 77,464
1,974 Six Flags, Inc.* ........................ 29,980
1,050 Speedway Motorsports, Inc.* ............. 24,150
594 SportsLine USA, Inc.* ................... 9,356
898 TiVo Inc.* .............................. 19,868
232 World Wrestling Federation
Entertainment, Inc.* .................. 4,930
418 YouthStream Media Networks,
Inc.* ................................. 1,568
------------
549,558
------------
Multi-Line Insurance (1.6%)
21,108 Allstate Corp. .......................... 581,789
61,065 American International Group, Inc. ...... 5,354,637
4,804 CNA Financial Corp.* .................... 185,254
5,808 Hartford Financial Services Group,
Inc. .................................. 373,164
931 Horace Mann Educators Corp. ............. 12,976
628 Nationwide Financial Services, Inc.
(Class A) ............................. 23,079
3,407 Safeco Corp. ............................ 78,574
1,825 Unitrin, Inc. ........................... 51,556
432 Zenith National Insurance Corp. ......... 10,152
------------
6,671,181
------------
Multi-Sector Companies (3.3%)
950 Ampal-American Israel Corp.
(Class A)* ............................ 13,359
1,662 Crane Co. ............................... 36,564
812 Fidelity Holdings, Inc.* ................ 1,446
4,300 Fortune Brands, Inc. .................... 96,750
261,301 General Electric Co.** .................. 13,440,670
2,333 Kaman Corp. ............................. 29,163
1,010 Lancaster Colony Corp. .................. 23,735
1,158 McDermott International, Inc.* .......... 8,613
1,209 Pittston Brink's Group .................. 14,508
2,197 St. Joe Co. (The) ....................... 65,361
3,898 Textron, Inc. ........................... 222,430
2,683 Tyler Technologies, Inc.* ............... 6,875
2,891 Valhi, Inc. ............................. 31,620
903 Walter Industries, Inc. ................. 9,877
227 Wesco Financial Corp. ................... 51,302
------------
14,052,273
------------
Mutual Funds (0.0%)
425 Winfield Capital Corp.* ................. 5,020
------------
See Notes to Financial Statements
28
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
Natural Gas (0.2%)
1,493 AGL Resources, Inc. ...................... $ 26,967
741 Atmos Energy Corp. ....................... 15,283
1,337 Cascade Natural Gas Corp. ................ 22,061
268 CTG Resources, Inc. ...................... 9,966
682 Eastern Enterprises ...................... 42,710
532 Energen Corp. ............................ 11,970
242 EnergyNorth, Inc. ........................ 14,535
834 Equitable Resources, Inc. ................ 43,420
3,508 KeySpan Corp. ............................ 111,379
2,950 Kinder Morgan, Inc. ...................... 100,300
437 Laclede Gas Co. .......................... 8,658
2,245 MCN Energy Group Inc. .................... 48,548
1,603 MDU Resources Group, Inc. ................ 37,270
1,024 National Fuel Gas Co. .................... 50,496
418 New Jersey Resources Corp. ............... 16,720
1,187 Nicor Inc. ............................... 41,174
539 Northwest Natural Gas Co. ................ 12,464
377 NUI Corp. ................................ 10,627
754 ONEOK, Inc. .............................. 20,122
895 Peoples Energy Corp. ..................... 28,360
820 Piedmont Natural Gas Co. ................. 23,268
573 Providence Energy Corp. .................. 24,173
2,080 Questar Corp. ............................ 40,560
1,070 SEMCO ENERGY, Inc. ....................... 15,716
5,734 Sempra Energy ............................ 107,513
355 South Jersey Industries, Inc. ............ 9,607
1,214 Southern Union Co.* ...................... 20,942
736 Southwest Gas Corp. ...................... 13,248
1,122 Southwestern Energy Co. .................. 8,275
757 UGI Corp. ................................ 16,985
1,607 Vectren Corp. ............................ 28,323
1,173 Washington Gas Light Co. ................. 28,885
------------
1,010,525
------------
Newspapers (0.4%)
3,104 Belo (A.H.) Corp. (Series A) ............. 59,946
857 Central Newspapers, Inc.
(Class A) .............................. 54,848
2,354 Dow Jones & Co., Inc. .................... 155,217
7,306 Gannett Co., Inc. ........................ 393,611
2,723 Hollinger International, Inc.
(Class A) .............................. 44,249
1,174 Journal Register Co.* .................... 20,545
2,118 Knight-Ridder, Inc. ...................... 110,401
1,158 Lee Enterprises, Inc. .................... 30,687
1,134 McClatchy Co. (The) (Class A) ............ 38,485
671 Media General, Inc. (Class A) ............ 33,550
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
4,488 New York Times Co. (The)
(Class A) .............................. $ 184,850
211 Pulitzer, Inc. ........................... 8,625
2,047 Scripps (E.W.) Co. ....................... 101,071
10,158 Tribune Co. .............................. 330,135
279 Washington Post Co. (The)
(Class B) .............................. 133,920
------------
1,700,140
------------
Office Equipment/Supplies (0.2%)
590 Anacomp Inc.* ............................ 1,180
2,953 Avery Dennison Corp. ..................... 160,200
1,807 Diebold, Inc. ............................ 51,161
448 General Binding Corp.* ................... 4,004
1,582 Hon Industries, Inc. ..................... 42,220
5,212 Interface, Inc. .......................... 26,712
962 Kimball International, Inc.
(Class B) .............................. 14,550
2,019 Miller (Herman), Inc. .................... 63,346
6,952 Pitney Bowes, Inc. ....................... 240,713
2,084 Steelcase, Inc. (Class A) ................ 35,428
17,409 Xerox Corp. .............................. 258,959
------------
898,473
------------
Office/Plant Automation (0.0%)
491 Brooktrout, Inc.* ........................ 14,853
1,055 ePresence, Inc.* ......................... 6,594
1,639 General DataComm Industries,
Inc.* .................................... 7,376
1,106 Hypercom Corp.* .......................... 10,369
864 InterVoice-Brite, Inc.* .................. 5,508
301 Kronos, Inc.* ............................ 10,309
980 Manugistics Group, Inc.* ................. 54,390
789 NYFIX, Inc.* ............................. 29,785
799 Radiant Systems, Inc.* ................... 14,881
1,249 Telxon Corp.* ............................ 22,794
1,395 Unova, Inc.* ............................. 11,073
------------
187,932
------------
Oil & Gas Production (0.5%)
6,348 Anardarko Petroleum Corp. ................ 303,465
2,990 Apache Corp. ............................. 148,753
854 Barrett Resources Corp.* ................. 23,752
450 Basin Exploration, Inc.* ................. 7,144
1,446 Belco Oil & Gas Corp.* ................... 12,020
671 Berry Petroleum Co. (Class A) ............ 12,204
606 Brown (Tom), Inc.* ....................... 11,666
5,700 Burlington Resources, Inc. ............... 185,963
557 Cabot Oil & Gas Corp. (Class A) .......... 10,305
8,434 Chesapeake Energy Corp.* ................. 48,496
See Notes to Financial Statements
29
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
2,754 Cross Timbers Oil Co. ................... $ 45,269
2,248 Devon Energy Corp. ...................... 102,846
3,177 EOG Resources, Inc. ..................... 93,920
1,236 Evergreen Resources, Inc.* .............. 33,836
1,403 Forest Oil Corp.* ....................... 18,064
464 Houston Exploration Co. (The)* .......... 10,208
568 HS Resources, Inc.* ..................... 15,691
923 Hugoton Royalty Trust ................... 10,961
2,502 Kerr-McGee Corp. ........................ 137,297
1,055 Louis Dreyfus Natural Gas Corp.* ........ 27,430
442 McMoRan Exploration Co.* ................ 5,304
1,904 Meridian Resource Corp. (The)* .......... 9,044
1,239 Mitchell Energy & Development
Corp. (Class A) ....................... 39,493
1,050 Newfield Exploration Co.* ............... 35,766
1,495 Noble Affiliates, Inc. .................. 44,850
555 Nuevo Energy Co.* ....................... 8,464
9,634 Occidental Petroleum Corp. .............. 195,089
4,373 Ocean Energy, Inc.* ..................... 53,023
1,639 Patina Oil & Gas Corp. .................. 27,658
414 Pennaco Energy, Inc.* ................... 5,020
2,630 Pioneer Natural Resources Co.* .......... 28,273
1,717 Plains Resources, Inc.* ................. 25,326
1,014 Pogo Producing Co. ...................... 20,153
4,833 Santa Fe Snyder Corp.* .................. 48,330
1,441 Spinnaker Exploration Co.* .............. 35,935
390 St. Mary Land & Exploration Co. ......... 11,676
462 Stone Energy Corp.* ..................... 22,176
730 Swift Energy Co.* ....................... 16,014
2,388 Transmontaigne, Inc.* ................... 12,836
2,758 Unit Corp.* ............................. 34,475
2,560 Vastar Resources, Inc. .................. 211,040
1,575 Vintage Petroleum, Inc. ................. 28,350
------------
2,177,585
------------
Oil Refining/Marketing (0.1%)
1,821 Ashland, Inc. ........................... 59,979
1,393 Frontier Oil Corp.* ..................... 9,751
696 Getty Realty Corp. ...................... 7,830
2,044 Pennzoil-Quaker State Co. ............... 25,550
2,365 Sunoco, Inc. ............................ 57,647
2,065 Tesoro Petroleum Corp.* ................. 19,747
3,772 Tosco Corp. ............................. 99,958
2,271 Ultramar Diamond Shamrock Corp........... 51,949
8,143 USX-Marathon Group ...................... 197,977
1,407 Valero Refining and Marketing
Corp. ................................... 36,494
------------
566,882
------------
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
Oil/Gas Transmission (0.7%)
639 Buckeye Partners, L.P.* ................. $ 17,812
5,599 Coastal Corp. ........................... 323,342
2,130 Columbia Energy Group ................... 145,373
4,236 Dynegy, Inc. (Class A) .................. 298,109
5,984 El Paso Energy Corp. .................... 289,476
19,334 Enron Corp. ............................. 1,423,466
1,194 Enterprise Products Partners L.P. ....... 27,537
1,185 Midcoast Energy Resources, Inc. ......... 18,960
1,575 Plains All American Pipeline, L.P. ...... 29,827
1,291 TC Pipelines, L.P.* ..................... 21,624
785 TEPPCO Partners, L.P. ................... 20,067
1,814 Western Gas Resources, Inc. ............. 33,106
11,668 Williams Companies, Inc. ................ 487,139
------------
3,135,838
------------
Oilfield Services/Equipment (0.7%)
8,628 Baker Hughes Inc. ....................... 298,745
2,250 BJ Services Co.* ........................ 131,344
300 Cal Dive International, Inc. ............ 14,475
1,080 Carbo Ceramics, Inc. .................... 37,395
1,361 Cooper Cameron Corp.* ................... 87,955
435 Dril-Quip, Inc.* ........................ 17,373
895 Friede Goldman International, Inc.*...... 5,762
2,300 Global Industries Ltd.* ................. 28,750
2,833 Grant Prideco, Inc.* .................... 57,014
11,578 Halliburton Co. ......................... 534,035
1,450 Hanover Compressor Co.* ................. 49,481
3,870 Input/Output, Inc.* ..................... 31,686
2,247 Key Energy Group, Inc.* ................. 17,133
2,375 National-Oilwell, Inc.* ................. 78,375
545 Oceaneering International, Inc.* ........ 8,311
934 Offshore Logistics, Inc.* ............... 11,792
1,319 RPC, Inc. ............................... 13,437
15,030 Schlumberger Ltd. ....................... 1,111,281
934 Seitel, Inc.* ........................... 10,741
1,282 Smith International, Inc.* .............. 91,503
1,419 Superior Energy Services, Inc.* ......... 14,190
1,122 Trico Marine Service, Inc.* ............. 11,080
481 UTI Energy Corp.* ....................... 15,152
2,388 Varco International, Inc.* .............. 41,193
474 Veritas DGC Inc.* ....................... 10,191
2,833 Weatherford International, Inc.* ........ 113,497
------------
2,841,891
------------
Other Consumer Services (0.3%)
825 ACE Cash Express, Inc.* ................. 9,539
736 Advantage Learning Systems, Inc.*........ 12,144
1,949 Apollo Group, Inc. (Class A)* ........... 71,504
See Notes to Financial Statements
30
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
763 Autobytel.com, Inc.* .................... $ 4,053
1,016 Autoweb.com, Inc.* ...................... 1,969
522 Bally Total Fitness Holding Corp.*....... 11,354
2,577 Block (H.&R.), Inc. ..................... 82,464
595 Career Education Corp.* ................. 33,989
19,044 Cendant Corp.* .......................... 244,001
966 Central Parking Corp. ................... 19,803
1,314 Cheap Tickets, Inc.* .................... 14,865
313 Chemed Corp. ............................ 9,018
465 Coinstar, Inc.* ......................... 5,231
515 Corinthian Colleges, Inc.* .............. 17,365
1,824 DeVry, Inc.* ............................ 61,788
629 drkoop.com, Inc.* ....................... 727
995 E-LOAN, Inc.* ........................... 3,980
787 E-Stamp Corp.* .......................... 885
6,824 eBay, Inc.* ............................. 341,200
1,021 Edison Schools Inc.* .................... 22,717
716 Education Management Corp.* ............. 14,768
797 Engreetings Network, Inc.* .............. 1,245
984 Expedia, Inc. (Class A)* ................ 16,851
392 garden.com, Inc.* ....................... 613
1,064 Homeseekers.com, Inc.* .................. 2,727
2,018 Homestore.com, Inc.* .................... 70,630
827 InsWeb Corp.* ........................... 1,137
1,655 ITT Educational Services, Inc.* ......... 31,445
1,729 MP3.com, Inc.* .......................... 17,074
518 Official Payments Corp.* ................ 2,784
4,458 Priceline.com Inc.* ..................... 105,320
3,069 Protection One, Inc.* ................... 6,138
609 Rollins, Inc. ........................... 9,211
796 Scientific Learning Corp.* .............. 5,062
7,131 Service Corp. International* ............ 18,273
8,005 ServiceMaster Co. ....................... 74,547
1,483 Sotheby's Holdings, Inc. (Class A)*...... 27,806
1,011 Source Media, Inc.* ..................... 5,181
1,992 Stewart Enterprises, Inc.
(Class A) ............................. 4,358
440 Strayer Education, Inc. ................. 9,598
817 Student Advantage, Inc.* ................ 6,945
690 Ticketmaster Online-CitySearch,
Inc. (Series B)* ...................... 13,498
616 Travelocity.com Inc.* ................... 9,702
940 US Search.com, Inc.* .................... 2,233
855 Veterinary Centers of America,
Inc.* ................................. 12,130
------------
1,437,872
------------
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
Other Metals/Minerals (0.0%)
2,360 Allegheny Technologies Inc. ............. $ 48,823
684 AMCOL International Corp. ............... 2,522
609 Brush Engineered Materials Inc. ......... 10,087
534 Minerals Technologies, Inc. ............. 25,599
2,220 Phelps Dodge Corp. ...................... 90,326
570 Southern Peru Copper Corp. (Peru)........ 6,733
1,044 Titanium Metals Corp.* .................. 4,763
2,162 USEC Inc. ............................... 9,459
------------
198,312
------------
Other Pharmaceuticals (0.3%)
3,446 Allergan, Inc. .......................... 230,667
1,904 Alliance Pharmaceutical Corp.* .......... 20,111
413 Aviron* ................................. 11,874
879 BioMarin Pharmaceutical, Inc.* .......... 16,481
1,041 Cell Pathways, Inc.* .................... 27,066
427 Chattem, Inc.* .......................... 5,231
464 Collateral Therpeutics, Inc.* ........... 11,143
1,297 Columbia Laboratories, Inc.* ............ 8,187
612 Connetics Corp.* ........................ 9,869
1,055 Dura Pharmaceuticals, Inc.* ............. 23,869
1,157 Elan Corp. (Rights) (Ireland)* .......... 832
445 Elan Corp. PLC (ADR) (Ireland)* ......... 23,780
1,592 Endo Pharmaceuticals Holdings,
Inc.* ................................. 13,532
435 EntreMed, Inc.* ......................... 13,213
2,214 Forest Laboratories, Inc.* .............. 236,898
1,704 Jones Pharma Incorporated ............... 55,700
2,341 King Pharmaceuticals, Inc.* ............. 70,523
915 Kos Pharmaceuticals, Inc.* .............. 13,496
727 Medicis Pharmaceutical Corp.
(Class A)* ............................ 40,894
418 Miravant Medical Technologies
Inc.* ................................. 7,106
500 Noven Pharmaceuticals, Inc.* ............ 14,188
1,582 Perrigo Co.* ............................ 10,679
1,047 PRAECIS Pharmaceuticals Inc.* ........... 29,381
1,926 Sepracor, Inc.* ......................... 203,675
826 Theragenics Corp.* ...................... 6,143
464 United Therapeutics Corp.* .............. 45,472
------------
1,150,010
------------
Other Specialty Stores (0.3%)
10,494 AutoNation, Inc.* ....................... 72,802
3,642 AutoZone, Inc.* ......................... 83,311
1,751 Barnes & Noble, Inc.* ................... 35,458
3,678 Bed Bath & Beyond Inc.* ................. 135,396
1,729 Bombay Co., Inc. (The)* ................. 4,971
See Notes to Financial Statements
31
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
1,970 Borders Group, Inc.* .................... $ 25,364
2,116 Central Garden & Pet Co.* ............... 15,606
487 Cost Plus, Inc.* ........................ 16,223
926 CPI Corp. ............................... 22,976
2,073 CSK Auto Corp.* ......................... 17,621
592 Discount Auto Parts, Inc.* .............. 4,810
495 Group 1 Automotive, Inc.* ............... 5,909
977 Guitar Center, Inc.* .................... 14,411
2,085 Haverty Furniture Companies, Inc......... 24,108
2,060 Heilig-Meyers Co.* ...................... 1,931
752 Jo-Ann Stores, Inc. (Class A)* .......... 5,452
995 Linens 'N Things, Inc.* ................. 29,788
780 Michaels Stores, Inc.* .................. 33,784
427 Midas, Inc. ............................. 6,779
1,209 O'Reilly Automotive, Inc.* .............. 17,455
8,394 Office Depot, Inc.* ..................... 52,463
2,704 Officemax, Inc.* ........................ 10,647
3,063 Pep Boys-Manny Moe & Jack ............... 17,804
775 Petco Animal Supplies, Inc* ............. 15,355
2,798 PETsMART, Inc.* ......................... 10,667
2,614 Pier 1 Imports, Inc. .................... 31,205
924 Regis Corp. ............................. 12,128
512 Rent-A-Center, Inc.* .................... 14,080
278 Sharper Image Corp.* .................... 4,900
800 Sonic Automotive, Inc.* ................. 9,150
12,792 Staples, Inc.* .......................... 176,690
934 Sunglass Hut International, Inc.* ....... 6,772
3,792 Tiffany & Co. ........................... 129,876
6,176 Toys 'R' Us, Inc.* ...................... 101,904
838 Tuesday Morning Corp.* .................. 8,144
752 United Auto Group, Inc.* ................ 5,875
492 Whitehall Jewellers, Inc.* .............. 4,367
1,479 Williams-Sonoma, Inc.* .................. 57,311
889 Zale Corp.* ............................. 33,226
500 Zany Brainy, Inc.* ...................... 1,344
------------
1,278,063
------------
Other Telecommunications (1.2%)
898 Adelphia Business Solutions, Inc.*....... 12,909
712 Alaska Communications Systems
Holdings, Inc.* ....................... 6,764
2,259 Allegiance Telecom, Inc.* ............... 125,516
1,430 Allied Riser Communications
Corporation* ............................ 14,658
6,274 BroadWing Inc.* ......................... 164,693
837 CapRock Communications Corp.* ........... 5,127
3,661 CenturyTel, Inc. ........................ 107,313
463 CFW Communications Co.* ................. 18,462
6,847 Citizens Communications Co.* ............ 114,687
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
850 Clarent Corp.* .......................... $ 36,444
579 Commonwealth Telephone
Enterprises, Inc.* ...................... 24,897
1,390 COMSAT Corp. ............................ 39,094
2,623 Convergent Communications, Inc.* ........ 13,443
3,763 Covad Communications Group,
Inc.* ................................... 62,090
438 CT Communications, Inc. ................. 11,826
1,157 Cypress Communications, Inc.* ........... 5,640
295 Deltathree.Com Inc.* .................... 2,544
1,473 DSL.net, Inc.* .......................... 7,273
1,259 e. spire Communications, Inc.* .......... 6,610
1,447 Efficient Networks, Inc.* ............... 90,890
582 FirstCom Corp.* ......................... 8,075
1,598 Focal Communications Corp.* ............. 59,326
1,880 General Communication, Inc.
(Class A)* ............................ 9,870
5,151 Global Telesystems Group, Inc.* ......... 43,784
447 GRIC Communications, Inc.* .............. 3,548
320 Hickory Tech Corp. ...................... 5,920
770 iBasis, Inc.* ........................... 13,860
1,200 ICG Communications, Inc.* ............... 18,300
608 IDT Corp.* .............................. 21,850
783 Illuminet Holdings, Inc.* ............... 32,935
1,379 Intermedia Communications Inc.* ......... 24,305
1,499 ITC DeltaCom, Inc.* ..................... 25,202
765 LCC International, Inc. (Class A)* ...... 15,683
9,585 Level 3 Communications, Inc.* ........... 655,973
15,154 McLeodUSA, Inc. (Class A)* .............. 256,671
1,538 Metrocall, Inc.* ........................ 8,075
940 MGC Communication, Inc.* ................ 42,300
446 Net2Phone, Inc.* ........................ 11,986
1,139 Network Access Solutions Corp.* ......... 11,390
1,374 Network Plus Corp.* ..................... 16,832
6,030 NEXTLINK Communications, Inc.
(Class A)* ............................ 199,367
336 North Pittsburgh Systems, Inc. .......... 4,536
3,365 NorthPoint Communications Group,
Inc.* ................................. 39,749
3,711 NTL Inc.* ............................... 167,227
893 Pac-West Telecomm, Inc.* ................ 17,079
657 Pacific Gateway Exchange, Inc.* ......... 1,971
500 PanAmSat Corp.* ......................... 17,031
1,266 Pinnacle Holdings Inc.* ................. 71,133
928 Primus Telecommunications Group,
Inc.* ................................... 15,138
1,551 PTEK Holdings, Inc.* .................... 6,204
See Notes to Financial Statements
32
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
43,115 Qwest Communications
International, Inc.* ...................... $ 2,023,710
2,127 RCN Corp.* ................................ 46,262
2,059 Rhythms NetConnections Inc.* .............. 24,708
1,551 STAR Telecommunications, Inc.* ............ 3,974
872 Startec Global Communications
Corp.* .................................... 8,829
1,543 TALK.com, Inc.* ........................... 7,908
1,619 Telephone & Data Systems, Inc. ............ 180,316
999 Teligent, Inc. (Class A)* ................. 19,356
866 Time Warner Telecom Inc.
(Class A)* ................................ 53,638
376 U.S. LEC Corp. (Class A)* ................. 4,512
1,311 Viatel, Inc.* ............................. 18,272
804 WebLink Wireless, Inc.* ................... 8,090
1,673 West TeleServices Corp.* .................. 39,525
1,788 Williams Communications Group,
Inc.* ..................................... 48,276
2,246 WinStar Communications, Inc.* ............. 67,942
1,706 WorldPages.com, Inc.* ..................... 9,383
550 Z-Tel Technologies, Inc.* ................. 4,091
------------
5,264,992
------------
Other Transportation (0.0%)
224 Carey International, Inc.* ................ 4,018
------------
Package Goods/Cosmetics (1.3%)
1,408 Alberto-Culver Co. (Class B) .............. 42,768
6,350 Avon Products, Inc. ....................... 252,016
561 Block Drug, Inc. .......................... 22,510
1,179 Carter-Wallace, Inc. ...................... 25,201
980 Church & Dwight Co., Inc. ................. 17,273
6,199 Clorox Co. ................................ 256,096
15,268 Colgate-Palmolive Co. ..................... 850,237
629 Del Laboratories, Inc.* ................... 7,863
2,659 Dial Corp. (The) .......................... 33,736
3,253 Estee Lauder Companies, Inc.
(Class A) (The) ......................... 143,132
28,112 Gillette Co. .............................. 820,519
889 Guest Supply, Inc.* ....................... 14,946
2,755 International Flavors & Fragrances,
Inc. .................................... 73,696
14,561 Kimberly-Clark Corp. ...................... 836,347
2,711 Nu Skin Asia Pacific Inc.
(Class A)* .............................. 15,588
1,445 Playtex Products, Inc.* ................... 17,521
34,482 Procter & Gamble Co. ...................... 1,961,164
2,487 Revlon Inc. (Class A)* .................... 15,388
------------
5,406,001
------------
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
Packaged Foods (0.7%)
1,599 Aurora Foods, Inc.* ....................... $ 4,897
7,310 Bestfoods ................................. 508,959
11,176 Campbell Soup Co. ......................... 296,164
1,126 Del Monte Foods Co.* ...................... 8,164
1,463 Dole Food Co., Inc. ....................... 20,665
7,892 General Mills, Inc. ....................... 271,288
9,295 Heinz (H.J.) Co. .......................... 371,219
1,861 International Home Foods, Inc.* ........... 40,244
10,625 Kellogg Co. ............................... 275,586
8,548 Nabisco Group Holdings Corp. .............. 226,522
1,348 Nabisco Holdings Corp. (Class A) .......... 71,276
3,506 Quaker Oats Company (The) ................. 235,779
7,991 Ralston-Ralston Purina Group .............. 161,318
23,815 Sara Lee Corp. ............................ 439,089
------------
2,931,170
------------
Paints/Coatings (0.1%)
925 Ferro Corp. ............................... 21,506
350 Fuller (H.B.) Co. ......................... 13,519
640 Lilly Industries, Inc. (Class A) .......... 19,320
4,555 PPG Industries, Inc. ...................... 185,332
2,725 RPM, Inc. ................................. 25,377
4,347 Sherwin-Williams Co. ...................... 90,472
1,084 Valspar Corp. (The) ....................... 33,740
------------
389,266
------------
Paper (0.3%)
1,442 Boise Cascade Corp. ....................... 39,835
1,354 Bowater, Inc. ............................. 66,685
479 Chesapeake Corp. .......................... 12,544
2,379 Consolidated Papers, Inc. ................. 93,078
1,248 FiberMark, Inc.* .......................... 14,898
5,671 Fort James Corp. .......................... 173,320
752 Glatfelter (P.H.) Co. ..................... 7,614
12,635 International Paper Co. ................... 429,590
1,233 Longview Fibre Co. ........................ 14,796
2,690 Mead Corp. ................................ 68,259
730 Potlatch Corp. ............................ 25,094
1,297 Wausau-Mosinee Paper Corp. ................ 11,754
2,628 Westvaco Corp. ............................ 72,106
2,924 Willamette Industries, Inc. ............... 88,634
------------
1,118,207
------------
Photographic Products (0.1%)
542 Concord Camera Corp.* ..................... 10,772
8,271 Eastman Kodak Co. ......................... 453,871
351 ParkerVision, Inc.* ....................... 16,124
1,123 Polaroid Corp. ............................ 20,354
------------
501,121
------------
See Notes to Financial Statements
33
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
Precious Metals (0.1%)
4,097 Battle Mountain Gold Co.* .............. $ 7,426
3,856 Echo Bay Mines Ltd. (Canada)* .......... 3,615
4,125 Freeport-McMoRan Copper & Gold,
Inc. (Class B)* ...................... 37,125
12,424 Glamis Gold Ltd. (Canada)* ............. 21,742
6,567 Homestake Mining Co. ................... 35,708
1,313 Meridian Gold Inc. (Canada)* ........... 7,796
4,393 Newmont Mining Corp. ................... 77,976
956 Stillwater Mining Co.* ................. 25,095
------------
216,483
------------
Precision Instruments (0.3%)
12,651 Agilent Technologies, Inc.* ............ 515,528
302 Analogic Corp. ......................... 13,892
1,334 BriteSmile, Inc.* ...................... 6,503
651 Coherent, Inc.* ........................ 38,979
531 Dionex Corp.* .......................... 13,806
1,020 Excel Technology, Inc.* ................ 38,760
526 GenRad, Inc.* .......................... 4,471
444 LightPath Technologies, Inc.
(Class A)* ........................... 12,876
921 Mechanical Technology, Inc.* ........... 11,743
895 MTS Systems Corp. ...................... 5,873
734 Newport Corp. .......................... 71,840
633 Robotic Vision Systems, Inc.* .......... 8,506
408 Spectra-Physics Lasers, Inc.* .......... 32,334
425 Technitrol, Inc. ....................... 46,856
1,238 Tektronix, Inc.* ....................... 76,137
964 Trimble Navigation Ltd.* ............... 41,693
842 Varian, Inc.* .......................... 35,469
1,630 Waters Corp.* .......................... 193,359
295 Zygo Corp.* ............................ 21,627
------------
1,190,252
------------
Printing/Forms (0.1%)
1,122 Applied Graphics Technologies,
Inc.* ................................ 4,488
587 Banta Corp. ............................ 11,336
767 Bowne & Co., Inc. ...................... 6,759
1,325 Consolidated Graphics, Inc.* ........... 14,161
432 CSS Industries, Inc.* .................. 8,991
1,852 Deluxe Corp. ........................... 39,818
3,314 Donnelley (R.R.) & Sons Co. ............ 73,737
553 Harland (John H.) Co. .................. 7,396
374 ImageX.com, Inc.* ...................... 2,244
1,174 Mail-Well, Inc.* ....................... 8,291
1,060 New England Business Service, Inc....... 21,995
1,544 Standard Register Co. .................. 19,783
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
947 Wallace Computer Services, Inc. ........ $ 8,464
915 Workflow Management, Inc.* ............. 6,405
------------
233,868
------------
Property - Casualty Insurers (1.0%)
2,190 21st Century Insurance Group ........... 31,755
331 Acceptance Insurance Co., Inc.* ........ 1,531
946 Alfa Corp. ............................. 17,265
235 Alleghany Corp.* ....................... 41,624
1,422 Allmerica Financial Corp. .............. 84,076
1,474 American Financial Group, Inc. ......... 36,850
684 Arch Capital Group Ltd.* ............... 10,602
424 Argonaut Group, Inc. ................... 6,599
430 Baldwin & Lyons, Inc. (Class B) ........ 6,853
1,406 Berkley (W.R.) Corp. ................... 34,096
40 Berkshire Hathaway, Inc.* .............. 2,204,000
4,611 Chubb Corp. ............................ 341,214
4,301 Cincinnati Financial Corp. ............. 162,363
896 Commerce Group, Inc. (The) ............. 24,864
1,649 Erie Indemnity Co. (Class A) ........... 52,562
1,185 Everest Re Group, Ltd. (Bermuda) ....... 47,030
239 Farm Family Holdings, Inc. ............. 7,962
1,249 Fremont General Corp. .................. 5,074
1,691 Harleysville Group, Inc. ............... 30,755
1,290 HCC Insurance Holdings, Inc. ........... 26,445
763 HSB Group, Inc. ........................ 27,087
2,779 Loews Corp. ............................ 174,382
1,380 Mercury General Corp. .................. 36,053
425 Midland Co. (The) ...................... 11,263
1,434 Ohio Casualty Corp. .................... 12,749
3,308 Old Republic International Corp. ....... 73,810
1,324 Philadelphia Consolidated Holding
Corp.* ................................. 21,432
674 PMA Capital Corp. (Class A) ............ 11,879
1,916 Progressive Corp. ...................... 128,851
2,740 Reliance Group Holdings, Inc. .......... 599
288 RLI Corp. .............................. 10,080
1,548 Selective Insurance Group, Inc. ........ 28,541
5,956 St. Paul Companies, Inc. ............... 264,670
952 State Auto Financial Corp. ............. 10,889
910 Transatlantic Holdings, Inc. ........... 77,293
1,624 Trenwick Group Inc. .................... 28,623
418 United Fire & Casualty Co. ............. 7,994
------------
4,099,715
------------
Railroads (0.2%)
11,976 Burlington Northern Santa Fe
Corp. ................................ 292,664
5,722 CSX Corp. .............................. 141,977
See Notes to Financial Statements
34
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
919 Florida East Coast Industries, Inc. ...... $ 38,598
1,448 Kansas City Southern Industries,
Inc. ................................... 10,046
10,012 Norfolk Southern Corp. ................... 186,474
6,515 Union Pacific Corp. ...................... 281,367
1,223 Wisconsin Central Transportation
Corp.* ................................. 15,517
------------
966,643
------------
Real Estate (0.1%)
1,157 American Real Estate Partners,
L.P.* .................................. 10,847
2,703 Catellus Development Corp.* .............. 46,627
1,897 CB Richard Ellis Services, Inc.* ......... 21,578
2,716 Flightserv.com* .......................... 2,377
787 Forest City Enterprise, Inc.
(Class A) .............................. 27,053
1,139 Insignia Financial Group, Inc.* .......... 12,671
1,847 Jones Lang LaSalle, Inc.* ................ 25,281
474 LNR Property Corp. ....................... 9,628
756 Newhall Land & Farming Co. (The).......... 20,696
1,314 Security Capital Group Inc.
(Class B)* ............................. 23,570
1,343 Syntroleum Corp.* ........................ 18,131
745 Trammell Crow Co.* ....................... 7,729
1,607 United Leisure Corp.* .................... 11,450
563 W.P. Carey & Co., LLC .................... 9,817
------------
247,455
------------
Real Estate Investment Trusts (0.9%)
122 Alexander's, Inc.* ....................... 9,081
313 Alexandria Real Estate Equities,
Inc. ..................................... 11,209
2,148 AMB Property Corp. ....................... 51,284
446 Amli Residential Properties Trust ........ 10,871
1,760 Apartment Investment &
Management Co. (Class A) ................. 85,140
3,646 Archstone Communities Trust .............. 94,568
1,598 Arden Realty, Inc. ....................... 42,347
2,266 Associated Estates Realty Corp. .......... 18,128
1,734 Avalonbay Communities, Inc. .............. 81,715
535 Bedford Property Investors, Inc. ......... 10,299
1,781 Boston Properties, Inc. .................. 73,912
674 Boykin Lodging Co. ....................... 9,647
543 Bradley Real Estate, Inc. ................ 11,675
905 Brandywine Realty Trust .................. 19,853
1,127 BRE Properties, Inc. (Class A) ........... 36,557
743 Burnham Pacific Properties, Inc. ......... 5,201
969 Cabot Industrial Trust ................... 19,865
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
959 Camden Property Trust .................... $ 29,969
727 Capital Automotive REIT .................. 10,996
1,193 Capstead Mortgage Corp. .................. 9,619
1,686 CarrAmerica Realty Corp. ................. 50,369
440 CBL & Associates Properties, Inc. ........ 11,000
1,678 Center Trust, Inc. ....................... 9,019
492 CenterPoint Properties Corp. ............. 20,910
522 Charles E. Smith Residential Realty,
Inc. ................................... 23,066
677 Chateau Communities, Inc. ................ 19,083
303 Chelsea GCA Realty, Inc. ................. 10,984
436 Colonial Properties Trust ................ 12,072
895 Commercial Net Lease Realty .............. 9,677
964 Cornerstone Realty Income Trust,
Inc. ................................... 10,484
812 Cousins Properties, Inc. ................. 35,424
3,066 Crescent Real Estate Equities Co. ........ 67,644
1,611 Developers Diversified Realty Corp........ 25,373
3,315 Duke-Weeks Realty Corp. .................. 81,218
528 EastGroup Properties, Inc. ............... 12,276
611 Entertainment Properties Trust ........... 7,523
3,418 Equity Inns, Inc. ........................ 22,431
7,956 Equity Office Properties Trust ........... 242,658
3,359 Equity Residential Properties Trust....... 167,530
421 Essex Property Trust, Inc. ............... 20,734
963 Federal Realty Investment Trust .......... 20,584
1,664 FelCor Lodging Trust, Inc. ............... 36,400
961 First Industrial Realty Trust, Inc. ...... 30,752
1,979 First Union Real Estate Equity &
Mortgage Investments ..................... 5,566
442 First Washington Realty Trust, Inc........ 9,696
1,414 Franchise Finance Corp. of
America ................................ 33,936
696 Frontline Capital Group* ................. 13,529
568 Gables Residential Trust ................. 15,443
1,304 General Growth Properties, Inc. .......... 44,173
574 Glenborough Realty Trust Inc. ............ 11,408
1,843 Glimcher Realty Trust .................... 27,530
619 Great Lakes REIT, Inc. ................... 11,490
1,299 Health Care Property Investors, Inc....... 38,645
1,521 Health Care REIT, Inc. ................... 27,378
954 Healthcare Realty Trust, Inc. ............ 18,961
1,557 Highwoods Properties, Inc. ............... 42,039
346 Home Properties of New York, Inc.......... 10,618
1,424 Hospitality Properties Trust ............. 35,244
5,778 Host Marriot Corp. ....................... 64,280
3,328 HRPT Properties Trust .................... 21,840
99 Imperial Parking Corp. (Canada)* ......... 1,620
See Notes to Financial Statements
35
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
2,034 INDYMAC Bancorp Inc.* .................... $ 34,832
1,044 Innkeepers USA Trust ..................... 10,832
1,044 IRT Property Co. ......................... 9,331
2,143 iStar Financial Inc. ..................... 44,065
593 JDN Realty Corp. ......................... 6,227
526 JP Realty, Inc. .......................... 9,928
646 Kilroy Realty Corp. ...................... 17,119
1,595 Kimco Realty Corp. ....................... 65,794
620 Koger Equity, Inc. ....................... 10,501
1,535 Konover Property Trust, Inc. ............. 7,387
1,571 LaSalle Hotel Properties ................. 22,681
1,909 Lexington Corporate Properties
Trust .................................. 22,789
1,690 Liberty Property Trust ................... 48,588
3,070 LTC Properties, Inc. ..................... 18,036
813 Macerich Co. (The) ....................... 19,461
1,475 Mack-Cali Realty Corp. ................... 38,627
465 Manufactured Home Communities,
Inc. ................................... 11,160
3,396 Meditrust Corp. (Paired Stock)* .......... 8,490
1,139 MeriStar Hospitality Corp. ............... 25,272
440 Mid-America Apartment
Communities, Inc. ...................... 10,423
522 Mills Corp. .............................. 9,527
420 National Golf Properties, Inc. ........... 8,741
533 National Health Investors, Inc. .......... 5,263
1,103 Nationwide Health Properties, Inc. ....... 17,372
2,233 New Plan Excel Realty Trust .............. 34,472
454 OMEGA Healthcare Investors, Inc........... 2,838
454 Pacific Gulf Properties, Inc. ............ 11,577
524 Pan Pacific Retail Properties, Inc. ...... 10,971
297 Parkway Properties, Inc. ................. 9,504
498 Pennsylvania Real Estate
Investment Trust ....................... 8,777
1,030 Post Properties, Inc. .................... 47,766
897 Prentiss Properties Trust ................ 22,537
609 Prime Group Realty Trust* ................ 9,478
1,432 Prime Retail, Inc.* ...................... 1,701
2,824 Prison Realty Trust, Inc.* ............... 7,766
4,258 ProLogis Trust ........................... 99,265
421 PS Business Parks, Inc. (Class A) ........ 10,736
3,264 Public Storage, Inc. ..................... 83,640
478 Realty Income Corp. ...................... 11,592
1,070 Reckson Associates Realty Corp. .......... 28,088
1,414 Regency Realty Corp. ..................... 33,936
836 RFS Hotel Investores, Inc. ............... 11,182
1,816 Rouse Co. (The) .......................... 47,330
592 Saul Centers, Inc. ....................... 9,435
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
2,220 Senior Housing Properties Trust .......... $ 18,731
692 Shurgard Storage Centers, Inc.
(Class A) .............................. 16,522
4,467 Simon Property Group, Inc. ............... 116,700
467 SL Green Realty Corp. .................... 13,864
1,226 Sovran Self Storage, Inc. ................ 26,895
1,709 Spieker Properties, Inc. ................. 88,334
669 Storage USA, Inc. ........................ 20,363
497 Summit Properties Inc. ................... 11,866
309 Sun Communities, Inc. .................... 9,772
183 Tanger Factory Outlet Centers, Inc........ 4,220
1,271 Taubman Centers, Inc. .................... 14,299
2,399 Thornburg Mortgage Asset Corp. ........... 20,092
539 Town & Country Trust ..................... 9,668
2,704 United Dominion Realty Trust, Inc......... 31,096
320 Urban Shopping Centers, Inc. ............. 10,600
6,382 Ventas, Inc. ............................. 29,118
2,268 Vornado Realty Trust ..................... 88,736
637 Washington Real Estate Investment
Trust .................................. 12,581
701 Weingarten Realty Investors .............. 29,004
1,893 Western Properties Trust ................. 23,189
1,922 Westfield America, Inc. .................. 29,190
9,258 Wyndham International, Inc.
(Class A) .............................. 19,673
------------
3,652,093
------------
Recreational Products/Toys (0.2%)
1,275 Acclaim Entertainment, Inc.* ............. 1,873
485 Action Performance Companies,
Inc.* .................................. 4,123
537 Activision, Inc.* ........................ 4,699
996 Arctic Cat, Inc. ......................... 12,201
3,688 Autotote Corp. (Class A)* ................ 14,752
2,317 Brunswick Corp. .......................... 43,589
1,919 Callaway Golf Co. ........................ 24,107
1,945 Coachmen Industries, Inc. ................ 20,179
1,684 Electronic Arts Inc.* .................... 148,929
4,889 Hasbro, Inc. ............................. 55,612
3,858 ImaginOn, Inc.* .......................... 3,858
537 Infogrames, Inc.* ........................ 3,885
3,135 Intelect Communications, Inc.* ........... 5,486
1,960 International Game Technology* ........... 58,188
445 IntraNet Solutions, Inc.* ................ 16,799
1,235 JAKKS Pacific, Inc.* ..................... 20,378
3,210 K2 Inc.* ................................. 31,899
779 Marvel Enterprises, Inc.* ................ 4,187
11,028 Mattel, Inc. ............................. 121,997
840 Meade Instruments Corp.* ................. 15,173
See Notes to Financial Statements
36
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
906 Midway Games, Inc.* ...................... $ 7,758
1,174 Monaco Coach Corp.* ...................... 17,537
243 National R.V. Holdings, Inc.* ............ 2,187
943 Navarre Corp.* ........................... 1,650
582 Polaris Industries Inc. .................. 17,606
446 Steinway Musical Instruments Inc.*........ 8,195
1,052 Sturm, Ruger & Co., Inc. ................. 9,271
859 Take-Two Interactive Software,
Inc.* .................................. 8,536
356 Thor Industries, Inc. .................... 8,388
399 THQ, Inc.* ............................... 6,584
1,114 Topps Co., Inc. (The)* ................... 10,705
396 Winnebago Industries, Inc. ............... 5,123
813 WMS Industries, Inc.* .................... 12,398
------------
727,852
------------
Rental/Leasing Companies (0.1%)
574 Aaron Rents, Inc (Class A)* .............. 9,148
372 AMERCO* .................................. 7,347
1,311 ANC Rental Corp. ......................... 8,931
743 Avis Group Holdings, Inc.* ............... 16,625
1,319 Budget Group, Inc. (Class A)* ............ 5,936
3,999 Comdisco, Inc. ........................... 103,474
488 Dollar Thrifty Automotive Group,
Inc.* .................................. 9,181
752 Electro Rent Corp.* ...................... 9,353
183 ePlus, Inc.* ............................. 4,392
485 Financial Federal Corp.* ................. 9,579
1,240 GATX Corp. ............................... 49,523
1,025 Hertz Corp. (Class A) .................... 32,223
3,410 Interpool, Inc. .......................... 39,002
522 McGrath Rent Corp. ....................... 7,895
809 National Equipment Services, Inc.*........ 4,247
1,297 NationsRent, Inc.* ....................... 4,540
730 Neff Corp.* .............................. 2,646
1,315 Rent-Way, Inc.* .......................... 40,765
1,238 Rollins Truck Leasing Corp. .............. 8,821
1,620 Ryder System, Inc. ....................... 33,818
895 SierraCities.com Inc.* ................... 1,846
1,889 United Rentals, Inc.* .................... 38,961
237 XTRA Corp.* .............................. 9,510
------------
457,763
------------
Restaurants (0.4%)
714 Applebee's International, Inc. ........... 15,842
1,475 Avado Brands, Inc.* ...................... 2,213
942 Bob Evans Farms, Inc. .................... 15,072
1,651 Brinker International, Inc.* ............. 47,157
874 Buffets, Inc.* ........................... 10,980
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
1,537 CBRL Group, Inc. ......................... $ 18,252
649 CEC Entertainment, Inc.* ................. 18,091
790 Cheesecake Factory, Inc. (The)* .......... 23,947
1,343 CKE Restaurants, Inc. .................... 3,945
2,423 Consolidated Products, Inc.* ............. 22,261
3,316 Darden Restaurants, Inc. ................. 54,092
1,409 IHOP Corp.* .............................. 23,072
1,003 Jack in the Box Inc.* .................... 21,502
1,175 Landry's Seafood Restaurants, Inc......... 9,106
1,253 Lone Star Steakhouse & Saloon,
Inc. ................................... 11,199
737 Luby's Cafeterias, Inc. .................. 5,988
35,486 McDonald's Corp. ......................... 1,117,809
855 NPC International, Inc.* ................. 7,481
668 O'Charley's, Inc.* ....................... 8,935
1,965 Outback Steakhouse, Inc.* ................ 45,072
432 P.F. Chang's China Bistro, Inc.* ......... 12,717
726 Papa John's International, Inc.* ......... 17,288
420 RARE Hospitality International,
Inc. ................................... 12,206
1,380 Ruby Tuesday, Inc. ....................... 16,991
977 Ryan's Family Steak Houses, Inc.* ........ 8,915
346 Sonic Corp.* ............................. 10,531
4,810 Starbucks Corp.* ......................... 180,375
3,957 Tricon Global Restaurants, Inc.* ......... 95,710
3,134 Wendy's International, Inc. .............. 53,082
------------
1,889,831
------------
Savings & Loan Associations (0.4%)
470 Alliance Bancorp ......................... 7,667
572 Anchor Bancorp Wisconsin, Inc. ........... 9,438
317 Andover Bancorp, Inc. .................... 8,579
1,372 Astoria Financial Corp. .................. 39,960
818 Bank United Corp. (Class A) .............. 29,806
1,428 Bay View Capital Corp. ................... 12,495
895 Brookline Bankcorp, Inc. ................. 10,181
1,196 BSB Bancorp, Inc. ........................ 25,565
2,183 Capitol Federal Financial ................ 26,605
917 CFS Bancorp, Inc. ........................ 9,113
5,561 Charter One Financial, Inc. .............. 119,909
1,407 Commercial Federal Corp. ................. 24,974
553 Commonwealth Bancorp, Inc. ............... 7,517
2,905 Dime Bancorp, Inc. ....................... 46,843
1,474 Dime Community Bancshares ................ 25,242
738 Downey Financial Corp. ................... 25,830
2,031 First Federal Capital Corp. .............. 22,341
1,701 First Financial Holdings, Inc. ........... 23,708
409 First Indiana Corp. ...................... 8,180
912 First Niagara Financial Group, Inc. ...... 8,208
See Notes to Financial Statements
37
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
1,187 First Sentinel Bancorp, Inc. ............ $ 10,331
524 First Washington Bancorp, Inc. .......... 7,205
1,811 Firstfed Financial Corp.* ............... 28,976
3,182 Golden State Bancorp Inc. ............... 60,856
4,236 Golden West Financial Corp. ............. 194,856
2,826 GreenPoint Financial Corp. .............. 66,411
760 Harbor Florida Bancshares, Inc. ......... 8,645
3,324 Harris Financial, Inc. .................. 22,853
3,025 Hudson City Bancorp, Inc. ............... 50,102
1,913 Hudson River Bancorp, Inc. .............. 22,956
1,785 Independence Community Bank
Corp. ................................. 24,098
1,350 InterWest Bancorp, Inc. ................. 17,044
477 MAF Bancorp, Inc. ....................... 9,510
634 Net.B@nk, Inc.* ......................... 6,617
1,139 Northwest Bancorp, Inc. ................. 8,222
572 OceanFirst Financial Corp. .............. 10,868
1,489 Ocwen Financial Corp.* .................. 9,492
418 Oriental Financial Group, Inc. .......... 5,277
2,174 PBOC Holdings, Inc.* .................... 17,256
1,608 People's Bank ........................... 31,758
1,398 PFF Bancorp, Inc. ....................... 24,290
462 Queens County Bancorp, Inc. ............. 10,684
1,098 Republic Security Financial Corp. ....... 4,735
573 Richmond County Financial Corp. ......... 10,887
1,856 Roslyn Bancorp, Inc. .................... 34,568
5,533 Sovereign Bancorp, Inc. ................. 38,904
448 St. Francis Capital Corp. ............... 6,664
945 Staten Island Bancorp, Inc. ............. 17,010
2,753 United Community Financial Corp.......... 16,174
627 Virginia Capital Bancshares, Inc. ....... 9,875
1,786 W Holding Co., Inc. ..................... 17,414
1,304 Washington Federal, Inc. ................ 24,450
15,130 Washington Mutual, Inc. ................. 486,051
2,063 Webster Financial Corp. ................. 46,160
663 Westcorp ................................ 8,619
263 WSFS Financial Corp. .................... 2,663
------------
1,864,642
------------
Semiconductors (5.7%)
1,110 8x8, Inc.* .............................. 9,574
553 Actel Corp.* ............................ 20,565
4,046 Advanced Micro Devices, Inc.* ........... 291,059
1,066 Alliance Semiconductor Corp.* ........... 21,387
1,042 Alpha Industries, Inc.* ................. 35,493
5,228 Altera Corp.* ........................... 513,324
780 ANADIGICS, Inc.* ........................ 20,621
9,345 Analog Devices, Inc.* ................... 624,947
3,207 Applied Micro Circuits Corp.* ........... 478,645
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
5,768 Atmel Corp.* ............................ $ 172,680
5,683 Broadcom Corp. (Class A)* ............... 1,274,413
1,458 Burr-Brown Corp.* ....................... 110,626
1,024 C-Cube Semiconductor* ................... 20,416
1,655 Cirrus Logic, Inc.* ..................... 32,066
5,628 Conexant Systems, Inc.* ................. 180,096
3,155 Cypress Semiconductor Corp.* ............ 117,721
1,514 Dallas Semiconductor Corp. .............. 63,399
480 Elantec Semiconductor, Inc.* ............ 34,950
977 ESS Technology, Inc.* ................... 16,487
488 Exar Corp.* ............................. 45,293
2,077 Fairchild Semiconductor Corp.
(Class A)* ............................ 73,474
929 General Semiconductor, Inc.* ............ 13,935
1,735 GlobeSpan, Inc.* ........................ 195,947
223 hi/fn, Inc.* ............................ 10,802
2,451 Integrated Device Technology, Inc.*...... 129,903
940 Integrated Silicon Solution, Inc.* ...... 19,740
176,904 Intel Corp. ............................. 11,808,342
1,601 International Rectifier Corp.* .......... 88,555
1,098 Intersil Holding Corp. (Class H)* ....... 62,929
1,256 Lattice Semiconductor Corp.* ............ 68,923
8,153 Linear Technology Corp. ................. 450,453
8,108 LSI Logic Corp.* ........................ 274,659
7,465 Maxim Integrated Products, Inc.* ........ 493,157
2,162 Micrel, Inc.* ........................... 108,235
2,007 Microchip Technology Inc.* .............. 139,361
14,654 Micron Technology, Inc.* ................ 1,194,301
786 Microsemi Corp.* ........................ 26,036
642 MIPS Technologies, Inc.* ................ 26,322
765 MIPS Technologies, Inc.
(Class A)* ............................ 35,668
1,502 MRV Communications, Inc.* ............... 86,928
4,663 National Semiconductor Corp.* ........... 168,742
1,131 NeoMagic Corp.* ......................... 3,358
224 Pericom Semiconductor Corp.* ............ 11,872
654 Quantum Effect Devices, Inc.* ........... 48,682
1,448 QuickLogic Corporation* ................. 29,051
1,920 S-3* .................................... 19,680
2,022 SDL, Inc.* .............................. 701,760
854 Semtech Corp.* .......................... 68,480
650 Silicon Image, Inc.* .................... 34,450
750 Silicon Storage Technology, Inc.* ....... 47,391
783 Siliconix, Inc.* ........................ 42,527
1,229 Standard Microsystems Corp.* ............ 21,661
619 Supertex, Inc.* ......................... 24,296
1,015 TelCom Semiconductor, Inc.* ............. 22,964
43,220 Texas Instruments, Inc. ................. 2,536,474
See Notes to Financial Statements
38
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
1,022 TranSwitch Corp.* ..................... $ 81,632
1,984 TriQuint Semiconductor, Inc.* ......... 76,012
4,926 Vitesse Semiconductor Corp.* .......... 293,713
472 Xicor, Inc.* .......................... 4,071
8,421 Xilinx, Inc.* ......................... 632,101
331 Zoran Corp.* .......................... 14,605
------------
24,274,954
------------
Services to the Health Industry (0.2%)
462 Accredo Health, Inc.* ................. 15,246
378 Advance Paradigm, Inc.* ............... 9,332
404 Albany Molecular Research, Inc.* ...... 22,372
458 Allscripts, Inc.* ..................... 9,790
1,869 CareInsite, Inc.* ..................... 30,839
848 Cerner Corp.* ......................... 29,680
1,393 Covance, Inc.* ........................ 15,845
540 Data Critical Corp.* .................. 5,603
581 DVI, Inc.* ............................ 10,095
380 eBenX, Inc.* .......................... 8,408
834 Eclipsys Corp.* ....................... 9,383
1,135 Eltrax Systems, Inc.* ................. 4,540
1,010 Express Scripts, Inc. (Class A)* ...... 64,893
940 First Consulting Group, Inc.* ......... 6,756
4,771 Healtheon/WebMD Corp.* ................ 63,514
639 HealthExtras, Inc.* ................... 2,556
663 IDX Systems Corp.* .................... 9,986
303 IMPATH Inc.* .......................... 18,123
8,070 IMS Health Inc. ....................... 145,764
486 InterDent, Inc.* ...................... 1,655
376 Laboratory Corp. of America
Holdings* ............................. 36,942
995 Medical Manager Corp.* ................ 32,151
1,104 MedicaLogic Inc.* ..................... 6,831
941 MedQuist Inc.* ........................ 20,232
453 Morrison Management Specialists,
Inc. ................................ 13,052
2,393 Omnicare, Inc. ........................ 23,182
1,074 PAREXEL International Corp.* .......... 10,673
937 Per-Se Technologies, Inc.* ............ 11,127
684 Pharmaceutical Product
Development, Inc.* .................. 14,621
917 Pharmacopeia, Inc.* ................... 36,737
370 Professional Detailing, Inc.* ......... 13,690
756 ProxyMed, Inc.* ....................... 1,181
582 QuadraMed Corp.* ...................... 1,382
1,164 Quest Diagnostics Inc.* ............... 117,491
2,900 Quintiles Transnational Corp.* ........ 45,494
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
340 Stericycle, Inc.* ..................... $ 8,500
1,558 Sunquest Information Systems,
Inc.* ............................... 16,846
500 TriZetto Group, Inc. (The)* ........... 6,438
1,523 US Oncology, Inc.* .................... 7,615
1,607 Ventiv Health, Inc.* .................. 20,891
------------
929,456
------------
Shoe Manufacturing (0.1%)
515 Brown Shoe Co., Inc. .................. 7,307
473 Global Sports, Inc.* .................. 3,548
281 K-Swiss, Inc. (Class A) ............... 4,777
532 Kenneth Cole Productions, Inc.
(Class A)* .......................... 22,976
7,234 Nike, Inc. (Class B) .................. 316,488
1,475 Reebok International Ltd.* ............ 24,891
3,897 Stride Rite Corp. ..................... 23,138
1,096 Timberland Co.* ....................... 35,963
855 Wolverine World Wide, Inc. ............ 9,031
------------
448,119
------------
Smaller Banks (0.5%)
1,135 1st Source Corp. ...................... 19,295
802 Alabama National BanCorporation........ 15,338
611 Amcore Financial, Inc. ................ 9,814
389 Area Bancshares Corp. ................. 7,975
1,775 Associated Banc-Corp. ................. 40,492
296 BancFirst Corp. ....................... 9,694
426 BancFirst Ohio Corp. .................. 6,017
1,364 BancorpSouth, Inc. .................... 20,716
425 Bank of Granite Corp. ................. 9,669
3,492 Banknorth Group, Inc. ................. 53,471
1,287 BOK Financial Corp.* .................. 23,568
767 Brenton Banks, Inc. ................... 9,300
470 BT Financial Corp. .................... 8,666
392 Capital City Bank Group, Inc. ......... 7,399
264 Cathay Bancorp, Inc. .................. 12,243
924 Centennial Bancorp* ................... 7,161
994 Centura Banks, Inc. ................... 31,622
406 Century South Banks, Inc. ............. 7,181
318 Chemical Financial Corp. .............. 7,433
743 Chittenden Corp. ...................... 19,272
1,246 Citizens Banking Corp. ................ 24,920
1,543 City Holding Co. ...................... 10,994
1,248 City National Corp. ................... 45,786
2,899 Colonial BancGroup, Inc. (The) ........ 31,164
772 Commerce Bancorp, Inc. ................ 40,096
375 Community Bank System, Inc. ........... 8,297
1,309 Community First Bankshares, Inc. ...... 21,926
See Notes to Financial Statements
39
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
481 Community Trust Bancorp, Inc. ............ $ 7,335
362 Corus Bankshares, Inc. ................... 10,589
418 CPB, Inc. ................................ 10,450
1,340 Cullen/Frost Bankers, Inc. ............... 38,106
447 CVB Financial Corp. ...................... 7,040
906 East West Bancorp, Inc. .................. 14,496
710 F & M Bancorp ............................ 14,466
510 F & M National Corp. ..................... 12,304
255 Farmers Capital Bank Corp. ............... 7,857
533 FCNB Corp. ............................... 9,294
517 First Bancorp ............................ 9,920
482 First Busey Corp. ........................ 9,640
1,729 First Charter Corp. ...................... 25,179
1,304 First Commonwealth Financial
Corp. .................................. 12,633
1,117 First Financial Bancorp .................. 19,268
289 First Financial Bankshares, Inc. ......... 8,381
269 First Financial Corp. .................... 7,801
413 First Merchants Corp. .................... 8,776
1,077 First Midwest Bancorp, Inc. .............. 28,675
1,181 First Republic Bank* ..................... 25,687
643 First United Bancshares, Inc. ............ 10,851
2,266 FirstMerit Corp. ......................... 47,303
1,431 Flagstar Bancorp ......................... 16,546
384 FNB Corp. ................................ 7,824
461 Frontier Financial Corp. ................. 8,125
1,819 Fulton Financial Corp. ................... 39,109
492 GBC Bancorp .............................. 15,990
458 German American Bancorp .................. 6,527
399 Gold Banc Corp., Inc. .................... 1,945
467 Greater Bay Bancorp ...................... 25,130
1,371 Hamilton Bancorp, Inc.* .................. 24,678
239 Hancock Holding Co. ...................... 7,768
276 Harleysville National Corp. .............. 8,625
1,323 Hudson United Bancorp .................... 31,587
1,132 Imperial Bancorp* ........................ 19,244
723 Independent Bank Corp. ................... 8,360
266 Independent Bank Corp. ................... 4,073
394 Integra Bank Corp. ....................... 6,846
513 International Bancshares Corp. ........... 16,160
1,483 Irwin Financial Corp. .................... 20,855
1,277 Keystone Financial, Inc. ................. 29,052
494 Merchants New York Bancorp, Inc........... 8,460
315 Mid-State Bancshares ..................... 8,899
397 MidAmerica Bancorp ....................... 9,776
538 Midwest Banc Holdings, Inc. .............. 7,196
323 Mississippi Valley Bancshares, Inc. ...... 7,752
203 National City Bancorporation ............. 2,969
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
5,436 National Commerce Bancorporation.......... $ 95,130
433 National Penn Bancshares, Inc. ........... 9,310
1,128 NBT Bancorp, Inc. ........................ 12,408
4,620 North Fork Bancorporation, Inc. .......... 71,321
1,568 Old National Bancorp ..................... 41,650
294 Omega Financial Corp. .................... 8,214
585 Pacific Capital Bancorp .................. 14,771
279 Park National Corp. ...................... 24,657
377 Peoples Bancorp Inc. ..................... 5,467
627 Premier National Bancorp, Inc. ........... 12,618
1,617 Provident Bankshares Corp. ............... 21,830
1,225 Provident Financial Group, Inc. .......... 30,319
976 Republic Bancorp Inc. .................... 7,930
995 Republic Bancshares, Inc.* ............... 11,318
2,157 Riggs National Corp. ..................... 27,502
585 S & T Bancorp, Inc. ...................... 11,188
1,101 Sandy Spring Bancorp, Inc. ............... 24,084
917 Santander BanCorp. ....................... 11,119
940 Seacoast Financial Services Corp. ........ 8,989
772 Second Bancorp, Inc. ..................... 11,966
470 Shoreline Financial Corp. ................ 5,875
1,124 Silicon Valley Bancshares* ............... 49,245
308 Simmons First National Corp.
(Class A) .............................. 6,545
1,970 Sky Financial Group, Inc. ................ 35,460
537 Southwest Bancorp, Inc.* ................. 14,063
813 Sterling Bancshares, Inc. ................ 10,976
367 Sterling Financial Corp. ................. 5,551
798 Susquehanna Bancshares, Inc. ............. 11,870
380 Texas Regional Bancshares, Inc.
(Class A) .............................. 9,049
345 Three Rivers Bancorp, Inc. ............... 2,825
448 Trust Co. Of New Jersey (The) ............ 7,392
1,278 Trustco Bank Corp. of New York ........... 15,496
1,798 Trustmark Corp. .......................... 35,286
986 UCBH Holdings, Inc. ...................... 28,286
1,120 United Bankshares, Inc. .................. 21,210
487 United National Bancorp .................. 8,279
766 USB Holding Co., Inc. .................... 10,150
690 USBANCORP, Inc. .......................... 3,407
1,601 Valley National Bancorp .................. 39,124
742 Washington Trust Bancorp, Inc. ........... 10,759
376 WesBanco, Inc. ........................... 8,813
712 West Coast Bancorp ....................... 6,542
986 Westamerica Bancorporation ............... 27,362
592 Whitney Holding Corp. .................... 22,015
See Notes to Financial Statements
40
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
853 Wilmington Trust Corp. ................... $ 37,372
2,241 Zions Bancorporation ..................... 98,044
------------
2,191,843
------------
Specialty Chemicals (0.3%)
247 AEP Industries, Inc.* .................... 6,576
6,010 Air Products & Chemicals, Inc. ........... 200,584
1,675 Airgas, Inc.* ............................ 9,003
1,225 Albemarle Corp. .......................... 30,242
583 Arch Chemicals, Inc. ..................... 11,660
1,758 Cabot Corp. .............................. 56,256
1,380 Calgon Carbon Corp. ...................... 10,523
645 Cambrex Corp. ............................ 29,146
784 ChemFirst Inc. ........................... 19,012
1,294 ChiRex, Inc.* ............................ 39,871
3,001 Crompton Corp. ........................... 29,447
1,065 Cytec Industries, Inc.* .................. 33,281
604 Dexter Corp. ............................. 32,578
3,298 Engelhard Corp. .......................... 59,570
2,314 Ethyl Corp. .............................. 4,628
772 FMC Corp.* ............................... 46,513
566 Geon Co. (The) ........................... 9,304
739 Georgia Gulf Corp. ....................... 12,055
1,881 Grace (W. R.) & Co.* ..................... 18,575
1,451 Great Lakes Chemical Corp. ............... 42,623
872 Hanna (M.A.) Co. ......................... 6,976
1,592 International Specialty Products,
Inc. ................................... 9,353
1,378 Lubrizol Corp. (The) ..................... 29,455
3,082 Lyondell Chemical Co. .................... 43,148
1,739 Millennium Chemicals Inc. ................ 26,955
210 NCH Corp. ................................ 8,006
1,233 NL Industries, Inc. ...................... 22,811
1,075 Olin Corp. ............................... 16,864
623 OM Group, Inc. ........................... 29,554
4,166 Praxair, Inc. ............................ 164,817
555 Schulman (A.), Inc. ...................... 6,972
2,644 Sigma-Aldrich Corp. ...................... 72,049
624 Uniroyal Technology Corp.* ............... 9,867
------------
1,148,274
------------
Specialty Foods/Candy (0.2%)
362 American Italian Pasta Co.
(Class A)* ............................. 7,150
410 Bush Boake Allen, Inc.* .................. 17,348
5,088 Chiquita Brands International, Inc. ...... 19,080
548 Dreyer's Grand Ice Cream, Inc. ........... 13,049
961 Earthgrains Co. .......................... 19,220
49 Farmer Brothers Co. ...................... 8,624
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
2,531 Flowers Industries, Inc. ................. $ 53,942
2,964 Fresh Del Monte Produce, Inc.* ........... 18,525
689 Gum Tech International, Inc.* ............ 8,957
1,354 Hain Celestial Group, Inc.* .............. 36,050
3,626 Hershey Foods Corp. ...................... 167,703
1,551 Imperial Sugar Co. ....................... 2,520
1,669 International Multifoods Corp. ........... 29,103
1,673 Interstate Bakeries Corp. ................ 32,833
427 J & J Snack Foods* ....................... 6,352
2,202 Keebler Foods Co. ........................ 97,163
783 Lance, Inc. .............................. 7,634
567 Mannatech, Inc.* ......................... 815
1,855 McCormick & Co., Inc. .................... 54,375
1,733 NBTY, Inc.* .............................. 11,048
925 Neose Technologies, Inc.* ................ 35,208
546 Ralcorp Holdings, Inc.* .................. 7,542
501 Riviana Foods, Inc. ...................... 8,141
520 Smucker (J.M.) Co. (Class A) ............. 9,360
787 Suiza Foods Corp.* ....................... 36,497
810 Tootsie Roll Industries, Inc. ............ 30,628
1,086 Twinlab Corp.* ........................... 6,109
1,200 Universal Foods Corp.* ................... 23,400
1,331 Vlasic Foods International Inc.* ......... 2,163
3,034 Wrigley (Wm.) Jr. Co. (Class A) .......... 230,584
------------
1,001,123
------------
Specialty Insurers (0.2%)
1,832 Ambac Financial Group, Inc. .............. 118,050
786 CNA Surety Corp. ......................... 8,548
821 Enhance Financial Services Group
Inc. ................................... 12,982
2,155 Fidelity National Financial, Inc. ........ 38,117
1,710 First American Financial Corp. ........... 26,612
1,101 FPIC Insurance Group, Inc.* .............. 13,143
1,059 Frontier Insurance Group, Inc.* .......... 496
453 LandAmerica Financial Group, Inc. 10,985
200 Markel Corp.* ............................ 30,925
2,610 MBIA, Inc. ............................... 145,344
430 Medical Assurance, Inc.* ................. 5,160
2,770 MGIC Investment Corp. .................... 157,371
1,875 MIIX Group, Inc. ......................... 21,914
1,610 PICO Holdings, Inc.* ..................... 20,930
1,171 PMI Group, Inc. .......................... 73,334
569 Pre-Paid Legal Services, Inc.* ........... 17,390
901 Professionals Group, Inc.* ............... 20,047
974 Radian Group, Inc. ....................... 59,292
308 SCPIE Holdings Inc. ...................... 6,372
See Notes to Financial Statements
41
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
588 Stewart Information Services Corp.* $ 7,791
551 Triad Guaranty, Inc.* .................. 13,362
------------
808,165
------------
Specialty Steels (0.0%)
508 Carpenter Technology Corp. ............. 15,558
864 NS Group, Inc.* ........................ 12,420
2,286 Nucor Corp. ............................ 86,297
874 Oregon Steel Mills, Inc. ............... 2,895
1,110 Quanex Corp. ........................... 19,980
------------
137,150
------------
Steel/Iron Ore (0.1%)
2,909 AK Steel Holding Corp. ................. 29,272
3,129 Bethlehem Steel Corp.* ................. 14,472
688 Birmingham Steel Corp.* ................ 2,193
288 Cleveland-Cliffs, Inc. ................. 7,146
624 Lone Star Technologies, Inc.* .......... 25,428
7,354 LTV Corp. (The) ........................ 17,925
4,559 Metal Management, Inc.* ................ 5,271
1,331 National Steel Corp. (Class B)* ........ 5,574
663 Reliance Steel & Aluminum Co. .......... 13,923
445 Ryerson Tull, Inc. ..................... 3,922
1,144 Steel Dynamics, Inc.* .................. 12,942
2,317 USX-U.S. Steel Group ................... 41,561
3,182 Weirton Steel Corp.* ................... 10,540
2,248 Worthington Industries, Inc. ........... 23,745
------------
213,914
------------
Telecommunication Equipment (3.5%)
626 Active Voice Corp.* .................... 5,634
981 Adaptive Broadband Corp.* .............. 35,377
17,822 ADC Telecommunications, Inc.* .......... 747,410
1,035 Adtran, Inc.* .......................... 62,294
2,073 Advanced Fibre Communications,
Inc.* ................................ 88,880
561 Airnet Communications Corp.* ........... 15,568
775 Alcatel (ADR) (France) ................. 56,672
977 Allen Telecom Inc.* .................... 17,098
3,867 American Tower Corp. (Class A)* ........ 165,798
2,070 Andrew Corp.* .......................... 58,348
986 Antec Corp.* ........................... 37,283
572 Audiovox Corp. (Class A)* .............. 8,866
180 Avanex Corp.* .......................... 22,849
765 AVT Corp.* ............................. 4,208
840 C-COR.net Corp.* ....................... 22,208
608 Carrier Access Corp.* .................. 36,404
583 Catapult Communications Corp.* ......... 7,761
446 Celeritec, Inc.* ....................... 15,833
842 Centillium Communications, Inc.* ....... 68,294
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
3,730 CIENA Corp.* ........................... $ 530,126
684 Com21, Inc.* ........................... 11,970
1,331 CommScope, Inc.* ....................... 44,505
4,002 Comverse Technology, Inc.* ............. 351,176
1,310 Copper Mountain Networks, Inc.* ........ 103,306
7,283 Corning Inc. ........................... 1,703,767
303 Davox Corp.* ........................... 2,547
1,319 Digital Lightwave, Inc.* ............... 115,330
1,825 Digital Microwave Corp.* ............... 49,617
738 Ditech Communications Corp.* ........... 35,332
2,838 eLOT, Inc.* ............................ 5,410
3,069 Glenayre Technologies, Inc.* ........... 30,882
2,728 Global Crossing Ltd. (Bermuda)* ........ 66,325
612 Globecomm Systems Inc.* ................ 7,115
1,496 Harmonic, Inc.* ........................ 35,250
1,898 Harris Corp. ........................... 65,007
2,022 InteliData Technologies Corp.* ......... 14,660
654 Inter-Tel, Inc. ........................ 8,502
1,749 InterDigital Communications Corp.*...... 31,482
603 Interspeed, Inc.* ...................... 7,990
827 L-3 Communications Holdings,
Inc.* ................................ 48,690
356 Latitude Communications, Inc.* ......... 1,736
86,007 Lucent Technologies Inc. ............... 3,762,806
451 MCK Communications, Inc.* .............. 8,174
966 Metawave Communications Corp.* ......... 26,142
802 Metricom, Inc.* ........................ 28,220
56,844 Motorola, Inc. ......................... 1,879,405
433 Natural Microsystems Corp.* ............ 48,252
1,315 Netro Corp.* ........................... 71,092
1,529 New Focus, Inc.* ....................... 153,473
2,168 Next Level Communications, Inc.* ....... 194,544
1,554 Nortel Networks Corp. (Canada) ......... 115,579
411 NorthEast Optic Network, Inc.* ......... 17,288
946 Optical Cable Corp.* ................... 25,187
280 Osicom Technologies, Inc.* ............. 15,960
1,817 P-COM, Inc.* ........................... 11,016
777 Paradyne Networks, Inc.* ............... 22,145
2,350 PictureTel Corp.* ...................... 9,473
424 Plantronics, Inc.* ..................... 58,512
860 Polycom, Inc.* ......................... 81,579
1,585 Powerwave Technologies, Inc.* .......... 54,980
19,572 QUALCOMM Inc.* ......................... 1,270,957
2,092 RF Micro Devices, Inc.* ................ 157,685
896 Science Dynamics Corp.* ................ 7,392
4,144 Scientific - Atlanta, Inc. ............. 319,088
1,005 Somera Communications, Inc.* ........... 11,558
1,063 SpectraLink Corp.* ..................... 12,490
See Notes to Financial Statements
42
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
6,409 Sycamore Networks, Inc.* ................... $ 790,310
1,508 Tekelec* ................................... 59,189
385 Telaxis Communications Corp.* .............. 7,339
10,815 Tellabs, Inc.* ............................. 702,975
663 Telular Corp.* ............................. 9,199
1,631 Terayon Communication Systems,
Inc.* .................................... 83,181
402 Tollgrade Communications, Inc.* ............ 42,204
170 Turnstone Systems, Inc.* ................... 21,728
328 U.S. Wireless Corp.* ....................... 5,699
188 ViaSat, Inc.* .............................. 9,306
1,222 Virata Corp.* .............................. 78,208
659 Visual Networks, Inc.* ..................... 7,867
2,322 Wavo Corp.* ................................ 1,596
1,555 Westell Technologies, Inc.
(Class A)* ................................. 37,417
1,080 World Access, Inc.* ........................ 9,720
------------
14,976,445
------------
Textiles (0.0%)
2,149 Burlington Industries, Inc.* ............... 3,492
1,037 Guilford Mills, Inc. ....................... 3,500
724 Polymer Group, Inc. ........................ 5,566
419 Springs Industries, Inc. (Class A) ......... 13,513
1,413 Unifi, Inc.* ............................... 15,985
786 Wellman, Inc. .............................. 11,495
------------
53,551
------------
Tobacco (0.4%)
62,012 Philip Morris Companies, Inc. .............. 1,565,803
2,873 R. J. Nabisco Tobacco Holdings,
Inc. ..................................... 81,521
706 Schweitzer-Mauduit International,
Inc. ..................................... 9,355
739 Universal Corp. ............................ 16,397
4,484 UST, Inc. .................................. 65,018
539 Vector Group Ltd. .......................... 8,355
------------
1,746,449
------------
Tools/Hardware (0.1%)
2,276 Black & Decker Corp. ....................... 84,639
602 Briggs & Stratton Corp. .................... 21,183
2,180 Metromedia International Group,
Inc.* .................................... 9,265
1,469 Snap-On, Inc. .............................. 44,345
2,344 Stanley Works .............................. 61,384
254 Toro Co. (The) ............................. 7,652
------------
228,468
------------
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
Trucking (0.1%)
1,741 American Freightways Corp.* ................ $ 30,195
745 Arkansas Best Corp.* ....................... 10,570
696 Arnold Industries, Inc. .................... 9,527
525 Consolidated Freightways Corp.* ............ 2,313
291 Covenant Transport, Inc.
(Class A)* ............................... 2,328
613 Forward Air Corp.* ......................... 27,662
648 Heartland Express, Inc.* ................... 11,583
723 Hunt (J.B.) Tansport Services, Inc. ........ 10,709
1,259 Knight Transportation, Inc.* ............... 22,347
259 Landstar Systems, Inc.* .................... 14,099
372 M.S. Carriers, Inc.* ....................... 7,463
450 Roadway Express, Inc. ...................... 10,688
1,686 Swift Transportation Co., Inc.* ............ 27,292
1,041 Transport Corporation of America,
Inc.* .................................... 6,246
632 USFreightways Corp. ........................ 17,538
1,133 Werner Enterprises, Inc. ................... 16,429
625 Yellow Corp.* .............................. 10,039
------------
237,028
------------
Unregulated Power Generation (0.0%)
1,180 Ogden Corp.* ............................... 14,529
1,131 Plug Power Inc.* ........................... 56,621
------------
71,150
------------
Water Supply (0.0%)
300 American States Water Co. .................. 9,038
2,540 American Water Works Co., Inc. ............. 61,595
3,072 Azurix Corp.* .............................. 26,112
341 California Water Service Group ............. 8,141
264 Connecticut Water Service, Inc. ............ 8,184
199 E'Town Corp. ............................... 13,321
1,074 Philadelphia Suburban Corp. ................ 23,829
100 SJW Corp. .................................. 12,050
------------
162,270
------------
Wholesale Distributors (0.1%)
198 Actrade International, Ltd.* ............... 4,257
2,162 Anicom, Inc.* .............................. 8,310
616 Applied Industries Technologies,
Inc. ..................................... 9,933
2,265 Aviation Sales Co.* ........................ 13,307
775 Daisytek International Corp.* .............. 5,134
667 eMerge Interactive, Inc.
(Class A)* ................................. 15,258
1,010 Fisher Scientific International, Inc.*...... 25,124
2,447 Grainger (W.W.), Inc. ...................... 77,692
See Notes to Financial Statements
43
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
PORTFOLIO OF INVESTMENTS July 31, 2000, continued
NUMBER OF
SHARES VALUE
-------------------------------------------------------------------------------
2,094 Handleman Co.* ............................ $ 27,353
438 Hughes Supply, Inc. ....................... 8,295
5,653 Lanier Worldwide, Inc.* ................... 3,886
422 Lawson Products, Inc. ..................... 10,867
1,122 MSC Industrial Direct Co., Inc.* .......... 20,406
632 School Specialty, Inc.* ................... 10,942
622 SCP Pool Corp.* ........................... 16,376
891 United Stationers, Inc.* .................. 25,954
2,743 WESCO International, Inc.* ................ 25,373
------------
308,467
------------
TOTAL COMMON AND PREFERRED
STOCKS AND RIGHTS
(Cost $376,990,678)........................ 412,077,347
------------
PRINCIPAL
AMOUNT IN
THOUSANDS
-----------
SHORT-TERM INVESTMENT (a) (3.4%)
U.S. GOVERNMENT AGENCY
$ 14,350 Federal Home Loan Banks
6.43% due 08/01/00
(Cost $14,350,000) ..................... 14,350,000
------------
TOTAL INVESTMENTS
(Cost $391,340,678) (b).................... 99.8% 426,427,347
OTHER ASSETS IN EXCESS OF
LIABILITIES ............................... 0.2 895,959
----- ------------
NET ASSETS ................................ 100.0% $427,323,306
===== ============
FUTURES CONTRACTS OPEN AT JULY 31, 2000:
DESCRIPTION, UNDERLYING
NUMBER OF DELIVERY MONTH, FACE AMOUNT UNREALIZED
CONTRACTS AND YEAR AT VALUE DEPRECIATION
-------------------------------------------------------------------------------
4 Russell 2000 Index
September/2000 $ 1,012,000 $ (42,132)
35 S&P 500 Index
September/2000 12,590,375 (478,730)
---------
Total unrealized depreciation ........ $(520,862)
=========
--------------------------------
ADR American Depository Receipt.
* Non-income producing security.
** Some or all of these securities are segregated in connection with open
futures contracts.
(a) Purchased on a discount basis. The interest rate shown has been adjusted
to reflect a money market equivalent yield.
(b) The aggregate cost for federal income tax purposes approximates the
aggregate cost for book purposes. The aggregate gross unrealized
appreciation is $77,647,102 and the aggregate gross unrealized depreciation
is $42,560,433, resulting in net unrealized appreciation of $35,086,669.
See Notes to Financial Statements
44
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
FINANCIAL STATEMENTS
STATEMENT OF ASSETS AND LIABILITIES
July 31, 2000
ASSETS:
Investments in securities, at value
(cost $391,340,678) ......................................... $426,427,347
Cash .......................................................... 46,538
Receivable for:
Shares of beneficial interest sold ......................... 925,519
Investments sold ........................................... 384,505
Dividends .................................................. 232,815
Variation margin ........................................... 83,375
Deferred offering costs ....................................... 25,150
Prepaid expenses and other assets ............................. 42,249
------------
TOTAL ASSETS ............................................... 428,167,498
------------
LIABILITIES:
Payable for:
Plan of distribution fee ................................... 353,928
Shares of beneficial interest repurchased .................. 182,156
Investment management fee .................................. 112,614
Accrued expenses and other payables ........................... 195,494
------------
TOTAL LIABILITIES .......................................... 844,192
------------
NET ASSETS ................................................. $427,323,306
============
COMPOSITION OF NET ASSETS:
Paid-in-capital ............................................... $392,651,779
Net unrealized appreciation ................................... 34,565,807
Net realized gain ............................................. 105,720
------------
NET ASSETS ................................................. $427,323,306
============
CLASS A SHARES:
Net Assets .................................................... $22,894,852
Shares Outstanding (unlimited authorized, $.01 par value) ..... 2,011,401
NET ASSET VALUE PER SHARE .................................. $11.38
======
MAXIMUM OFFERING PRICE PER SHARE,
(net asset value plus 5.54% of net asset value) .......... $12.01
======
CLASS B SHARES:
Net Assets .................................................... $356,898,860
Shares Outstanding (unlimited authorized, $.01 par value) ..... 31,554,587
NET ASSET VALUE PER SHARE .................................. $11.31
======
CLASS C SHARES:
Net Assets .................................................... $43,901,407
Shares Outstanding (unlimited authorized, $.01 par value) ..... 3,881,492
NET ASSET VALUE PER SHARE .................................. $11.31
======
CLASS D SHARES:
Net Assets .................................................... $3,628,187
Shares Outstanding (unlimited authorized, $.01 par value) ..... 318,056
NET ASSET VALUE PER SHARE .................................. $11.41
======
See Notes to Financial Statements
45
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
FINANCIAL STATEMENTS, continued
STATEMENT OF OPERATIONS
For the period September 28, 1999* through July 31, 2000
NET INVESTMENT LOSS:
INCOME
Dividends ......................................... $ 3,237,221
Interest .......................................... 1,003,753
-----------
TOTAL INCOME ................................... 4,240,974
-----------
EXPENSES
Plan of distribution fee (Class A shares) ......... 40,896
Plan of distribution fee (Class B shares) ......... 2,693,569
Plan of distribution fee (Class C shares) ......... 322,830
Investment management fee ......................... 1,278,642
Transfer agent fees and expenses .................. 319,167
Offering costs .................................... 133,552
Registration fees ................................. 111,057
Shareholder reports and notices ................... 78,643
Custodian fees .................................... 76,909
Professional fees ................................. 54,054
Trustees' fees and expenses ....................... 10,823
Other ............................................. 9,311
-----------
TOTAL EXPENSES ................................. 5,129,453
Less: amounts waived/reimbursed ................... (473,856)
-----------
NET EXPENSES ................................... 4,655,597
-----------
NET INVESTMENT LOSS ............................ (414,623)
-----------
NET REALIZED AND UNREALIZED GAIN:
Net realized gain on:
Investments .................................... 240,409
Futures contracts .............................. 484,162
-----------
NET GAIN ....................................... 724,571
-----------
Net unrealized appreciation/depreciation on:
Investments .................................... 35,086,669
Futures contracts .............................. (520,862)
-----------
NET APPRECIATION ............................... 34,565,807
-----------
NET GAIN ....................................... 35,290,378
-----------
NET INCREASE ...................................... $34,875,755
===========
---------------------
* Commencement of operations.
See Notes to Financial Statements
46
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
FINANCIAL STATEMENTS, continued
STATEMENT OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
FOR THE PERIOD
SEPTEMBER 28, 1999*
THROUGH
JULY 31, 2000
--------------------
INCREASE (DECREASE) IN NET ASSETS:
OPERATIONS:
<S> <C>
Net investment loss ..................................................... $ (414,623)
Net realized gain ....................................................... 724,571
Net unrealized appreciation ............................................. 34,565,807
------------
NET INCREASE ......................................................... 34,875,755
------------
DISTRIBUTIONS TO SHAREHOLDERS FROM NET REALIZED GAIN:
Class A shares .......................................................... (29,372)
Class B shares .......................................................... (509,664)
Class C shares .......................................................... (58,809)
Class D shares .......................................................... (263)
------------
TOTAL DISTRIBUTIONS .................................................. (598,108)
------------
Net increase from transactions in shares of beneficial interest ......... 392,945,659
------------
NET INCREASE ......................................................... 427,223,306
NET ASSETS:
Beginning of period ..................................................... 100,000
------------
END OF PERIOD ........................................................ $427,323,306
============
</TABLE>
---------------------
* Commencement of operations.
See Notes to Financial Statements
47
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
NOTES TO FINANCIAL STATEMENTS July 31, 2000
1. ORGANIZATION AND ACCOUNTING POLICIES
Morgan Stanley Dean Witter Total Market Index Fund (the "Fund") is registered
under the Investment Company Act of 1940, as amended (the "Act"), as a
diversified, open-end management investment company. The Fund's investment
objective is to provide investment results that, before expenses, correspond to
the total return of the Wilshire 5000 Equity Index (the "Index"). The Fund seeks
to achieve its objective by investing at least 80% of its total assets in stocks
included in the Index. The Fund was organized as a Massachusetts business trust
on March 11, 1999 and had no operations other than those relating to
organizational matters and the issuance of 2,500 shares of beneficial interest
by each class for $25,000 of each class to Morgan Stanley Dean Witter Advisors
Inc. (the "Investment Manager") to effect the Fund's initial capitalization. The
Fund commenced operations on September 28, 1999.
The Fund offers Class A shares, Class B shares, Class C shares and Class D
shares. The four classes are substantially the same except that most Class A
shares are subject to a sales charge imposed at the time of purchase and some
Class A shares, and most Class B shares and Class C shares are subject to a
contingent deferred sales charge imposed on shares redeemed within one year, six
years and one year, respectively. Class D shares are not subject to a sales
charge. Additionally, Class A shares, Class B shares and Class C shares incur
distribution expenses.
The preparation of financial statements in accordance with generally accepted
accounting principles requires management to make estimates and assumptions that
affect the reported amounts and disclosures. Actual results could differ from
those estimates.
The following is a summary of significant accounting policies:
A. VALUATION OF INVESTMENTS -- (1) an equity portfolio security listed or traded
on the New York or American Stock Exchange, NASDAQ, or other exchange is valued
at its latest sale price, prior to the time when assets are valued; if there
were no sales that day, the security is valued at the latest bid price (in cases
where a security is traded on more than one exchange, the security is valued on
the exchange designated as the primary market pursuant to procedures adopted by
the Trustees); (2) all other portfolio securities for which over-the-counter
market quotations are readily available are valued at the latest available bid
price; (3) when market quotations are not readily available, including
circumstances under which it is determined by Investment Manager that sale or
bid prices are not reflective of a security's market value, portfolio securities
are valued at their fair value as determined in good faith under procedures
established by and under the general supervision of the Trustees (valuation of
debt securities for which market quotations are not readily available may be
based upon current market prices of securities which are comparable in coupon,
rating and maturity or an appropriate matrix utilizing similar
48
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
NOTES TO FINANCIAL STATEMENTS July 31, 2000, continued
factors); and (4) short-term debt securities having a maturity date of more than
sixty days at time of purchase are valued on a mark-to-market basis until sixty
days prior to maturity and thereafter at amortized cost based on their value on
the 61st day. Short-term debt securities having a maturity date of sixty days or
less at the time of purchase are valued at amortized cost.
B. ACCOUNTING FOR INVESTMENTS -- Security transactions are accounted for on the
trade date (date the order to buy or sell is executed). Realized gains and
losses on security transactions are determined by the identified cost method.
Dividend income and other distributions are recorded on the ex-dividend date.
Discounts are accreted over the life of the respective securities. Interest
income is accrued daily.
C. MULTIPLE CLASS ALLOCATIONS -- Investment income, expenses (other than
distribution fees), and realized and unrealized gains and losses are allocated
to each class of shares based upon the relative net asset value on the date such
items are recognized. Distribution fees are charged directly to the respective
class.
D. FUTURES CONTRACTS -- A futures contract is an agreement between two parties
to buy and sell financial instruments at a set price on a future date. Upon
entering into such a contract, the Fund is required to pledge to the broker
cash, U.S. Government securities or other liquid portfolio securities equal to
the minimum initial margin requirements of the applicable futures exchange.
Pursuant to the contract, the Fund agrees to receive from or pay to the broker
an amount of cash equal to the daily fluctuation in the value of the contract
which is known as variation margin. Such receipts or payments are recorded by
the Fund as unrealized gains or losses. Upon closing of the contract, the Fund
realizes a 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.
E. FEDERAL INCOME TAX STATUS -- It is the Fund's policy to comply with the
requirements of the Internal Revenue Code applicable to regulated investment
companies and to distribute all of its taxable income to its shareholders.
Accordingly, no federal income tax provision is required.
F. DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS -- The Fund records dividends and
distributions to its shareholders on the ex-dividend date. The amount of
dividends and distributions from net investment income and net realized capital
gains are determined in accordance with federal income tax regulations which may
differ from generally accepted accounting principles. 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 capital accounts based on their federal tax-basis treatment;
temporary differences do not require reclassification. Dividends and
distributions which exceed net investment income and net realized capital gains
for financial reporting purposes but not for tax purposes are reported as
dividends in excess of net investment income or distributions in excess of net
realized
49
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
NOTES TO FINANCIAL STATEMENTS July 31, 2000, continued
capital gains. To the extent they exceed net investment income and net realized
capital gains for tax purposes, they are reported as distributions of
paid-in-capital.
G. OFFERING COSTS -- The Investment Manager incurred offering costs on behalf of
the Fund in the amount of approximately $159,000, which will be reimbursed by
the Fund for the full amount thereof. Such expenses were deferred and are being
amortized on the straight-line method over a period of approximately one year or
less from the commencement of operations.
2. INVESTMENT MANAGEMENT AGREEMENT
Pursuant to an Investment Management Agreement, the Fund pays the Investment
Manager a management fee, accrued daily and payable monthly, by applying the
annual rate of 0.40% to the net assets of the Fund determined as of the close of
each business day.
The Investment Manager has agreed to assume all operating expenses (except for
Plan of Distribution fees) and to waive the compensation provided for in its
Investment Management Agreement to the extent that such expenses and
compensation on an annualized basis exceed 0.50% of the daily net assets of the
Fund.
3. PLAN OF DISTRIBUTION
Shares of the Fund are distributed by Morgan Stanley Dean Witter Distributors
Inc. (the "Distributor"), an affiliate of the Investment Manager. The Fund has
adopted a Plan of Distribution (the "Plan") pursuant to Rule 12b-1 under the
Act. The Plan provides that the Fund will pay the Distributor a fee which is
accrued daily and paid monthly at the following annual rates: (i) Class A -- up
to 0.25% of the average daily net assets of Class A; (ii) Class B -- 1.0% of
the average daily net assets of Class B; and (iii) Class C -- up to 1.0% of the
average daily net assets of Class C.
In the case of Class B shares, provided that the Plan continues in effect, any
cumulative expenses incurred by the Distributor but not yet recovered may be
recovered through the payment of future distribution fees from the Fund pursuant
to the Plan and contingent deferred sales charges paid by investors upon
redemption of Class B shares. Although there is no legal obligation for the Fund
to pay expenses incurred in excess of payments made to the Distributor under the
Plan and the proceeds of contingent deferred sales charges paid by investors
upon redemption of shares, if for any reason the Plan is terminated, the
Trustees will consider at that time the manner in which to treat such expenses.
The Distributor has advised the Fund that such excess amounts totaled
$15,462,992 at July 31, 2000.
In the case of Class A shares and Class C shares, expenses incurred pursuant to
the Plan in any calendar year in excess of 0.25% or 1.0% of the average daily
net assets of Class A or Class C, respectively, will
50
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
NOTES TO FINANCIAL STATEMENTS July 31, 2000, continued
not be reimbursed by the Fund through payments in any subsequent year, except
that expenses representing a gross sales credit to Morgan Stanley Dean Witter
Financial Advisors or other selected broker-dealer representatives may be
reimbursed in the subsequent calendar year. For the period ended July 31, 2000,
the distribution fee was accrued for Class A shares and Class C shares at the
annual rate of 0.25% and 1.0%, respectively.
The Distributor has informed the Fund that for the period ended July 31, 2000,
it received contingent deferred sales charges from certain redemptions of the
Fund's Class A shares, Class B shares and Class C shares of $3,202, $727,244 and
$45,054, respectively and received $118,994 in front-end sales charges from
sales of the Fund's Class A shares. The respective shareholders pay such charges
which are not an expense of the Fund.
4. SECURITY TRANSACTIONS AND TRANSACTIONS WITH AFFILIATES
The cost of purchases and proceeds from sales of portfolio securities, excluding
short-term investments, for the period ended July 31, 2000 aggregated
$383,073,932 and $6,323,663, respectively. Included in the aforementioned are
purchases of common stock of Morgan Stanley Dean Witter & Co., an affiliate of
the Investment Manager and Distributor, of $1,516,251.
Morgan Stanley Dean Witter Trust FSB, an affiliate of Investment Manager and
Distributor, is the Fund's transfer agent.
5. FEDERAL INCOME TAX STATUS
Capital losses incurred after October 31 ("post-October losses") within the
taxable year are deemed to arise on the first business day of the Fund's next
taxable year. The Fund incurred and will elect to defer net capital losses of
approximately $415,000 during fiscal 2000.
As of July 31, 2000, the Fund had temporary book/tax differences primarily
attributable to post-October losses, and the mark-to-market of open futures
contracts and permanent book/tax differences primarily attributable to a net
operating loss and nondeductible expenses. To reflect reclassifications arising
from the permanent differences, paid-in-capital was charged $393,880, net
realized loss was charged $20,743 and net investment loss was credited $414,623.
51
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
NOTES TO FINANCIAL STATEMENTS July 31, 2000, continued
6. SHARES OF BENEFICIAL INTEREST
Transactions in shares of beneficial interest were as follows:
FOR THE PERIOD
SEPTEMBER 28, 1999*
THROUGH
JULY 31, 2000
---------------------------------
SHARES AMOUNT
-------------- ----------------
CLASS A SHARES
Sold .................................. 2,368,002 $ 24,946,767
Reinvestment of distributions ......... 2,489 28,154
Redeemed .............................. (361,590) (4,072,114)
--------- ------------
Net increase - Class A ................ 2,008,901 20,902,807
--------- ------------
CLASS B SHARES
Sold .................................. 35,671,094 375,048,235
Reinvestment of distributions ......... 42,470 479,435
Redeemed .............................. (4,161,477) (47,539,647)
---------- ------------
Net increase - Class B ................ 31,552,087 327,988,023
---------- ------------
CLASS C SHARES
Sold .................................. 4,550,160 48,134,021
Reinvestment of distributions ......... 4,961 55,999
Redeemed .............................. (676,129) (7,681,286)
---------- ------------
Net increase - Class C ................ 3,878,992 40,508,734
---------- ------------
CLASS D SHARES
Sold .................................. 315,545 3,545,971
Reinvestment of distributions ......... 11 124
---------- ------------
Net increase - Class D ................ 315,556 3,546,095
---------- ------------
Net increase in Fund .................. 37,755,536 $392,945,659
========== ============
---------------
* Commencement of operations.
7. PURPOSES OF AND RISKS RELATING TO CERTAIN FINANCIAL INSTRUMENTS
To hedge against adverse interest rate, foreign currency and market risks, the
Fund may purchase and sell interest rate, currency and index futures contracts
("futures contracts").
Futures contracts involve elements of market risk in excess of the amounts
reflected in the Statement of Assets and Liabilities. The Fund bears the risk of
an unfavorable change in the value of the underlying securities or currencies.
Risks may also arise upon entering into these contracts from the potential
inability of the counterparties to meet the terms of their contracts.
At July 31, 2000, the Fund had open futures contracts.
52
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
FINANCIAL HIGHLIGHTS
Selected ratios and per share data for a share of beneficial interest
outstanding throughout the period:
<TABLE>
<CAPTION>
FOR THE PERIOD SEPTEMBER 28, 1999* THROUGH JULY 31,
2000**
------------------------------------------------------
CLASS A CLASS B CLASS C CLASS D
SHARES SHARES SHARES SHARES
------------ --------------- ------------- -----------
<S> <C> <C> <C> <C>
SELECTED PER SHARE DATA:
Net asset value, beginning of period ........... $10.00 $10.00 $10.00 $10.00
------ ------ ------ ------
Income (loss) from investment operations:
Net investment income (loss) .................. 0.06 (0.02) (0.02) 0.08
Net realized and unrealized gain .............. 1.34 1.35 1.35 1.35
------ ------ ------ ------
Total income from investment operations ........ 1.40 1.33 1.33 1.43
------ ------ ------ ------
Less distributions from net realized gains ..... (0.02) (0.02) (0.02) (0.02)
------ ------ ------ ------
Net asset value, end of period ................. $11.38 $11.31 $11.31 $11.41
====== ====== ====== ======
TOTAL RETURN+(1) .............................. 13.99% 13.29 % 13.29 % 14.30%
RATIOS TO AVERAGE NET ASSETS (2)(3)(4):
Expenses ....................................... 0.75% 1.50 % 1.50 % 0.50%
Net investment income (loss) ................... 0.58% (0.17)% (0.17)% 0.83%
SUPPLEMENTAL DATA:
Net assets, end of period, in thousands ........ $22,895 $356,899 $43,901 $3,628
Portfolio turnover rate ........................ 2% 2 % 2 % 2%
</TABLE>
-------------
* Commencement of operations.
** The per share amounts were computed using an average number of shares
outstanding during the period.
+ Does not reflect the deduction of sales charge. Calculated based on the
net asset value as of the last business day of the period.
(1) Not annualized.
(2) Annualized.
(3) Reflects overall Fund ratios for investment income and non-class specific
expenses.
(4) If the Fund had borne all its expenses that were reimbursed or waived by the
Investment Manager, the annualized expense and net investment income (loss)
ratios for the period ended July 31, 2000 would have been 0.90% and 0.43%,
respectively, for Class A; 1.65% and (0.32)%, respectively, for Class B;
1.65% and (0.32)%, respectively, for Class C; and 0.65% and 0.68%,
respectively, for Class D.
See Notes to Financial Statements
53
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
INDEPENDENT AUDITORS' REPORT
TO THE SHAREHOLDERS AND BOARD OF TRUSTEES
OF MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND:
We have audited the accompanying statement of assets and liabilities of Morgan
Stanley Dean Witter Total Market Index Fund (the "Fund"), including the
portfolio of investments, as of July 31, 2000, and the related statements of
operations and changes in net assets, and financial highlights for the period
September 28, 1999 (commencement of operations) to July 31, 2000. These
financial statements and financial highlights are the responsibility of the
Fund's management. Our responsibility is to express an opinion on these
financial statements and financial highlights based on our audit.
We conducted our audit in accordance with auditing standards generally accepted
in the United States of America. Those standards require that we plan and
perform the audit to obtain reasonable assurance about whether the financial
statements are free of material misstatement. An audit includes examining, on a
test basis, evidence supporting the amounts and disclosures in the financial
statements. Our procedures included confirmation of securities owned at July 31,
2000 by correspondence with the custodian. An audit also includes assessing the
accounting principles used and significant estimates made by management, as well
as evaluating the overall financial presentation. We believe that our audit
provides a reasonable basis for our opinion.
In our opinion, such financial statements and financial highlights present
fairly, in all material respects, the financial position of Morgan Stanley Dean
Witter Total Market Index Fund as of July 31, 2000, the results of its
operations, the changes in its net assets and the financial highlights for the
period September 28, 1999 (commencement of operations) to July 31, 2000 in
conformity with accounting principles generally accepted in the United States of
America.
Deloitte & Touche LLP
New York, New York
September 12, 2000
2000 FEDERAL TAX NOTICE (unaudited)
During the fiscal year ended July 31, 2000, the Fund paid to its
shareholders $0.01 per share from long-term capital gains.
54
<PAGE>
MORGAN STANLEY DEAN WITTER TOTAL MARKET INDEX FUND
CHANGE IN INDEPENDENT ACCOUNTANTS
On July 1, 2000 PricewaterhouseCoopers LLP resigned as independent accountants
of the Fund.
The report of PricewaterhouseCoopers LLP on the financial statements of the Fund
as of July 21, 1999 contained no adverse opinion or disclaimer of opinion and
was not qualified or modified as to uncertainty, audit scope or accounting
principle.
From July 21, 1999 through July 1, 2000, there have been no disagreements with
PricewaterhouseCoopers LLP on any matter of accounting principles or practices,
financial statement disclosure, or auditing scope or procedure, which
disagreements if not resolved to the satisfaction of PricewaterhouseCoopers LLP
would have caused them to make reference thereto in their report on the
financial statements.
The Fund, with the approval of its Board of Trustees and its Audit Committee,
engaged Deloitte & Touche LLP as its new independent accountants for the period
ended July 31, 2000.
55
<PAGE>
TRUSTEES
Michael Bozic
Charles A. Fiumefreddo
Edwin J. Garn
Wayne E. Hedien
James F. Higgins
Dr. Manuel H. Johnson
Michael E. Nugent
Philip J. Purcell
John L. Schroeder
OFFICERS
Charles A. Fiumefreddo
Chairman and Chief Executive Officer
Mitchell M. Merin
President
Barry Fink
Vice President, Secretary and General Counsel
Kevin Jung
Vice President
Thomas F. Caloia
Treasurer
TRANSFER AGENT
Morgan Stanley Dean Witter Trust FSB
Harborside Financial Center - Plaza Two
Jersey City, New Jersey 07311
INDEPENDENT ACCOUNTANTS
Deloitte & Touche LLP
Two World Financial Center
New York, New York 10281
INVESTMENT MANAGER
Morgan Stanley Dean Witter Advisors Inc.
Two World Trade Center
New York, New York 10048
This report is submitted for the general information of shareholders of the
Fund. For more detailed information about the Fund, its officers and trustees,
fees, expenses and other pertinent information, please see the prospectus of
the Fund.
This report is not authorized for distribution to prospective investors
in the Fund unless preceded or accompanied by an effective prospectus.
Read the prospectus carefully before investing.
Morgan Stanley Dean Witter Distributors Inc., member NASD.
MORGAN STANLEY
DEAN WITTER
TOTAL MARKET
INDEX FUND
[GRAPHIC OMITTED]
ANNUAL REPORT
JULY 31, 2000
