SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Commission File No. 811-2886
Form N-2
1940 Act File No. 811-2886
Registration Statement Under the Investment Company Act of 1940
Annual Amendment # 16
DK INVESTORS, INC.
(Exact Name of Registrant as Specified in Charter)
333 SEVENTH AVENUE
3RD FLOOR
NEW YORK, NY 10001
(Address of Principal Executive Offices) (Zip Code)
(212)239-7979
(Registrant's Telephone Number, include Area Code)
A Bond Fund
DK Investors, Inc.
333 Seventh Avenue
3rd Floor
New York, NY 10001
Attn: Gene Nadler, President
(212) 239-7979
(Name and address of Agent for Service)
Items 1 - 7 Not Applicable
Item 8. General Information and History
1. a) DK Investors, Inc. ("Registrant"), was formerly
named Donnkenny, Inc. and was incorporated under the laws of the
State of New York in the year 1934.
b) The Registrant has engaged solely in the business
of a closed end diversified Investment Company since December 1,
1978.
c) Not applicable.
d) The following table sets forth the per share net
asset value and the per share market value of the Registrant's
Common Stock on a quarterly basis for the past 3 years.
Registrant's securities are publicly held, there being 221
shareholders at the time of this filing. Trading in Registrant's
stock however is very sporadic and sales take place only a few
time each year. There is no record of the volume of trading in
Registrant's stock. Shares of closed-end investment companies
frequently trade for amounts less than net asset value. The
Company's shares are listed on the Pink Sheets of the Over the
Counter Market.
Table 1
Net Asset Value Price
High Low High Low
Year Ended December 31, 1995
Quarter Ended March 31, 1995 13.34 13.16 8.25 8.0
Quarter Ended June 30, 1995 13.42 13.30 8.5 8.0
Quarter Ended September 30, 1995 13.42 13.39 8.5 8.0
Quarter Ended December 31, 1995 13.45 13.35 8.5 8.25
Year Ended December 31, 1994
Quarter Ended March 31, 1994 13.81 13.44 8.5 7.5
Quarter Ended June 30, 1994 13.48 13.31 8.5 8.0
Quarter Ended September 30, 1994 13.44 13.19 8.5 7.5
Quarter Ended December 31, 1994 13.19 13.04 9.0 8.0
Year Ended December 31, 1993
Quarter Ended March 31, 1993 13.99 13.71 8.5
7.5Quarter Ended June 30, 1993 13.83 13.76 9.0 8.0
Quarter Ended September 30, 1993 13.89 13.75 8.75 7.75
Quarter Ended December 31, 1993 13.81 13.74 8.75 7.5
2. Investment Objectives and Policies
a) and b) Registrant's investment objectives and
policies were set forth on pages 22 through 25 of the Proxy
Statement dated November 9, 1978 under the caption "INVESTMENT
POLICIES". These are incorporated herein by reference. Said
investment objectives may not be changed without the vote of
stockholders. The Registrant intends to achieve its objectives
by investing in Tax Exempt Securities rated A or better.
Registrant does not intend to concentrate its investments in any
one state, municipality or agency.
c) For the fiscal year ended December 31, 1995, the
portfolio turnover rate was 23.9%; for the fiscal year ended
December 31, 1994 the portfolio turnover rate was 13.1%. The
movement toward lower interest rates during the past year and
instability during the latter half of the year as a result of the
fluctuations in the economy and the Federal Reserve's periodic
lowering of interest rates as well as the maturity of some of our
investments led our investment advisors to recommend some
repositioning of the company's holdings in an effort to maintain
the rate of income received by the Company from its investments.
As with any investment, a certain amount of risk must be assumed
by shareholders. However, Registrant, by investing in government
(state, municipal and government agencies) with a rating of A or
better hopes to minimize the risks to shareholders. Registrant
does not leverage any of its investments.
3. Tax Status
a) The Registrant qualifies as a regulated investment
company under the Internal Revenue Code and, accordingly, it is
free of Federal income taxation. The Registrant anticipates no
change in its tax-free status.
b) Interest income is tax-free to the Registrant.
Dividends paid to Shareholders are exempt interest dividends and,
accordingly, are also tax-free for Federal income tax purposes.
c) The Registrant does, and intends to continue to,
distribute at lease ninety (90%) percent of the income from its
investments to its shareholders on a quarterly dividend basis.
The Registrant has no dividend reinvestment plan. The Registrant
has not made, and does not intend to make, distributions of any
realized capital gains.
4. Brokerage Allocation
a) Registrant paid aggregate brokerage commissions
during the last three fiscal years as follows:
1995 - None
1994 - None
1993 - None
1995 - None
1994 - None
1993 - None
1995 - None
1994 - None
1993 - None
b) All transactions were effected through
Registrant's investment advisor, The Portfolio Group, a
subsidiary of Chemical Banking. The Portfolio Group may have
used other brokers to consummate such transactions for them,
however, the selection of such brokers was solely up to The
Portfolio Group. Since the Portfolio Group was paid a yearly fee
for acting as investment advisor to Registrant, no "extra" or
"additional" services were considered when brokerage commission
was paid. The Portfolio Group did not charge commissions to
Registrant for purchases of securities. The Portfolio Group may
pay a commission to brokers through whom they effect transactions
on behalf of Registrant. Such commissions however, may not be in
excess of those charged by other brokers who deal in such
securities. Registrant "spot checks" such commissions, if and
when charged, by calling other brokers to verify same.
