Dear Shareholder:
We are pleased to send you the semiannual report for Daily Cash Accumulation
Fund, Inc. During the 6 months ended June 30, 1995, the Fund's compounded
annualized yield was 5.69%. The corresponding yield without compounding was
5.54%. The seven-day annualized yields with and without compounding on June
30, 1995 were 5.55% and 5.41%, respectively.((1))
Between February 1994 and February 1995, the Fed raised interest rates as a
proactive attempt to preempt inflation and prolong the current cycle of
economic growth. These rate rises successfully kept the economy from
overheating, as economic data released throughout the first half of the year
suggested that the Fed had finally achieved its intended effect of slowing the
rate of economic growth.
Although lower interest rates are generally good news for the economy and the
securities markets, they do not benefit short-term savings vehicles like money
market funds. With a share price designed not to fluctuate, income is the only
variable in money market fund returns--and declining rates limit the amount
of income available from the types of safe, short-term securities in which
money market funds invest.
Yet in any environment, it's important to have a portion of your money
allocated to stable investments. Money market funds are designed to offer
liquidity, a stable share price, and professional management aimed to capture
high yields.((2))
Moving forward, we believe the Fed will feel little pressure to increase
interest rates in the near term given the economy's slowdown--and rates on
money market funds will likely remain at current levels. If the Fed sees later
this year that the rate of growth has slowed less than initially anticipated,
it could move to raise rates again, which would boost yields. Or, if the Fed
discovers the economy has stalled, it could lower rates to stimulate growth.
Therefore, until the full extent of the economic slowdown is known, questions
about the direction of the economy will persist and money market funds should
remain an excellent defensive investment.
Thank you for your confidence in Daily Cash Accumulation Fund. We look forward
to helping you continue to reach your investment goals in the future.
Sincerely,
/s/ JON S. FOSSEL
Jon S. Fossel
President,
Daily Cash Accumulation Fund, Inc.
/s/ JAMES C. SWAIN
James C. Swain
Chairman,
Daily Cash Accumulation Fund, Inc.
July 24, 1995
1. Compounded yields assume reinvestment of dividends. Past performance is not
indicative of future results.
2. The Fund is neither insured nor guaranteed by the U.S. government, and
there is no assurance that the Fund will maintain a stable $1 share price in
the future.
<PAGE>
STATEMENT OF INVESTMENTS June 30, 1995 (Unaudited)
Daily Cash Accumulation Fund, Inc.
<TABLE>
<CAPTION>
Amortized
Face Cost
Amount See Note 1
------------- ------------------
<S> <C> <C>
CERTIFICATES OF DEPOSIT--5.0%
DOMESTIC CERTIFICATES OF DEPOSIT--0.8%
LaSalle National Bank, 5.81%, 9/19/95 $10,000,000 $ 10,000,000
LaSalle National Bank, 6.03%, 8/21/95 15,000,000 15,000,000
LaSalle National Bank, 6.04%, 8/17/95 5,000,000 5,000,000
----------------
30,000,000
YANKEE CERTIFICATES OF DEPOSIT--4.2%
Canadian Imperial Bank of Commerce, 6.07%, 8/15/95 10,000,000 10,000,332
Mitsubishi Bank Ltd., 6%, 8/15/95 10,000,000 10,000,000
Mitsubishi Bank Ltd., 6.03%, 8/14/95 3,000,000 2,999,892
Mitsubishi Bank Ltd., 6.04%, 8/11/95 5,000,000 5,000,000
Mitsubishi Bank Ltd., 6.06%, 8/10/95 10,000,000 10,000,328
Sanwa Bank Ltd., 5.95%, 7/6/95 11,000,000 10,999,739
Sanwa Bank Ltd., 6.02%, 8/14/95 10,000,000 9,999,878
Sanwa Bank Ltd., 6.03%, 8/14/95 20,000,000 20,000,581
Sanwa Bank Ltd., 6.03%, 8/14/95 6,000,000 5,999,847
Sanwa Bank Ltd., 6.04%, 7/17/95 5,000,000 4,999,969
Sanwa Bank Ltd., 6.05%, 9/13/95 5,000,000 5,000,304
Sanwa Bank Ltd., 6.06%, 7/18/95 5,000,000 5,000,070
Sanwa Bank Ltd., 6.06%, 7/18/95 5,000,000 4,999,988
Sanwa Bank Ltd., 6.06%, 8/10/95 10,000,000 10,000,130
Sanwa Bank Ltd., 6.06%, 8/22/95 5,000,000 5,000,071
Sanwa Bank Ltd., 6.14%, 7/24/95 10,000,000 10,000,182
Sanwa Bank Ltd., 6.27%, 7/5/95 8,000,000 8,000,087
Societe Generale, 6%, 8/4/95 10,000,000 10,000,000
----------------
148,001,398
----------------
Total Certificates of Deposit (Cost $178,001,398) 178,001,398
----------------
DIRECT BANK OBLIGATIONS--5.5%
Abbey National PLC, guaranteeing commercial paper of:
Abbey National North America Corp., 5.90%, 8/7/95 10,000,000 9,939,361
ABN Amro Bank NV, guaranteeing commercial paper of:
ABN Amro Bank, Canada, 5.75%, 9/7/95 10,000,000 9,891,389
Canadian Imperial Bank of Commerce, guaranteeing commercial paper of:
Canadian Imperial Holdings, Inc., 5.94%, 8/10/95 10,000,000 9,934,000
Canadian Imperial Bank of Commerce, guaranteeing commercial paper of:
Canadian Imperial Holdings, Inc., 5.94%, 8/9/95 5,000,000 4,967,825
FCC National Bank, 5.61%, 7/5/95((1)) 10,000,000 9,996,558
FCC National Bank, 5.72%, 7/5/95((1)) 10,000,000 10,000,000
2
<PAGE>
STATEMENT OF INVESTMENTS (Unaudited) (Continued)
Daily Cash Accumulation Fund, Inc.
Amortized
Face Cost
Amount See Note 1
------------- ------------------
<S> <C> <C>
DIRECT BANK OBLIGATIONS (CONTINUED)
First National Bank of Boston, 6.25%, 7/3/95((1)) $10,000,000 $ 10,000,000
First National Bank of Boston, 6.27%, 7/3/95((1)) 10,000,000 10,000,000
First National Bank of Boston, 6.30%, 7/3/95((1)) 10,000,000 10,001,742
First National Bank of Boston, 6.35%, 7/3/95((1)) 10,000,000 10,000,000
Huntington National Bank, 5.80%, 12/8/95 10,000,000 10,000,000
National Westminster Bank, guaranteeing commercial paper of:
National Westminster Bank of Canada, 5.65%, 1/26/96 5,000,000 4,835,993
National Westminster Bank, guaranteeing commercial paper of:
National Westminster Bank of Canada, 5.72%, 9/29/95 10,000,000 9,857,000
National Westminster Bank, guaranteeing commercial paper of:
National Westminster Bank of Canada, 5.90%, 8/11/95 15,000,000 14,899,209
NationsBank Corp., guaranteeing commercial paper of:
NationsBank of Georgia, N.A., 6.10%, 8/16/95 9,000,000 9,000,446
PNC Bank, N.A., 6%, 7/5/95((1)) 10,000,000 9,999,315
Royal Bank of Canada, 5.95%, 8/31/95 5,000,000 4,949,590
Shawmut Bank of Connecticut, N.A., 6.208%, 8/10/95((1)) 10,000,000 10,000,000
Shawmut Bank of Connecticut, N.A., 6.25%, 7/3/95((1)) 15,000,000 15,000,000
Shawmut Bank of Connecticut, N.A., 6.25%, 7/3/95((1)) 10,000,000 10,000,000
----------------
Total Direct Bank Obligations (Cost $193,272,428) 193,272,428
----------------
LETTERS OF CREDIT--4.9%
Banc One Dayton, guaranteeing commercial paper of:
Nationwide Funding Corp., 6.07%, 7/6/95((1)(2)(3)) 16,651,000 16,651,000
Credit Suisse, guaranteeing commercial paper of:
Queensland Alumina Ltd., 5.90%, 9/22/95 5,000,000 4,931,986
Credit Suisse, guaranteeing commercial paper of:
Queensland Alumina Ltd., 5.95%, 7/17/95 10,000,000 9,973,556
Mitsubishi Bank Ltd., guaranteeing commercial paper of:
DIC Americas, Inc., 5.90%, 9/18/95 13,800,000 13,621,328
Mitsubishi Bank Ltd., guaranteeing commercial paper of:
DIC Americas, Inc., 5.98%, 8/24/95 14,000,000 13,874,420
Mitsubishi Motors Credit of America, 5.63%-5.65%, 12/5/95 23,000,000 22,434,233
Mitsubishi Motors Credit of America, 5.88%-5.93%, 9/29/95 60,000,000 59,115,500
Sanwa Bank Ltd., guaranteeing commercial paper of:
Orix America, Inc., 5.97%, 7/12/95((2)) 12,000,000 11,978,110
Sanwa Bank Ltd., guaranteeing commercial paper of:
Orix America, Inc., 5.97%, 8/4/95((2)) 6,000,000 5,966,170
Sanwa Bank Ltd., guaranteeing commercial paper of:
Orix America, Inc., 6.01%, 7/3/95((2)) 7,000,000 6,997,663
Sanwa Bank Ltd., guaranteeing commercial paper of:
Orix America, Inc., 6.03%, 8/1/95((2)) 2,000,000 1,989,615
3
<PAGE>
STATEMENT OF INVESTMENTS (Unaudited) (Continued)
Daily Cash Accumulation Fund, Inc.
Amortized
Face Cost
Amount See Note 1
------------- ------------------
<S> <C> <C>
LETTERS OF CREDIT (CONTINUED)
Sanwa Bank Ltd., guaranteeing commercial paper of:
Orix America, Inc., 6.03%, 8/1/95((2)) $ 3,500,000 $ 3,481,826
----------------
Total Letters of Credit (Cost $171,015,407) 171,015,407
----------------
SHORT-TERM NOTES--79.6%
BANKS--5.0%
Barnett Banks, Inc., 6%, 7/13/95 6,500,000 6,487,000
Barnett Banks, Inc., 6.02%, 7/10/95 35,000,000 34,947,325
Barnett Banks, Inc., 6.02%, 7/7/95 30,000,000 29,969,900
Barnett Banks, Inc., 6.03%-6.10%, 7/6/95 48,000,000 47,959,674
Barnett Banks, Inc., 6.20%, 7/11/95 5,000,000 4,991,389
Chemical Banking Corp., 5.60%, 12/8/95 10,000,000 9,751,111
CoreStates Capital Corp., 6.11%, 7/24/95((1)) 5,000,000 5,000,000
First Bank, N.A. Minneapolis, 6.033%, 7/19/95((1)) 10,000,000 10,000,000
Fleet Financial Group, Inc., 6.03%, 7/12/95 25,000,000 24,953,938
----------------
174,060,337
----------------
BEVERAGES--3.9%
Bass Finance (C.I.) Ltd., guaranteed by Bass PLC, 5.90%, 9/7/95 8,913,000 8,813,670
Bass Finance (C.I.) Ltd., guaranteed by Bass PLC, 5.95%, 9/6/95 6,000,000 5,933,558
Bass Finance (C.I.) Ltd., guaranteed by Bass PLC, 6.18%, 7/6/95 10,000,000 9,991,417
Coca-Cola Enterprises, Inc., 5.91%, 9/15/95((2)) 10,000,000 9,875,233
Coca-Cola Enterprises, Inc., 5.93%, 9/1/95((2)) 15,000,000 14,846,808
Coca-Cola Enterprises, Inc., 5.96%, 8/15/95((2)) 22,685,000 22,515,997
Coca-Cola Enterprises, Inc., 5.96%, 8/25/95((2)) 15,000,000 14,863,417
Coca-Cola Enterprises, Inc., 5.96%, 8/8/95((2)) 15,000,000 14,905,633
Coca-Cola Enterprises, Inc., 6.02%, 7/18/95((2)) 20,000,000 19,943,144
Coca-Cola Enterprises, Inc., 6.03%, 8/3/95((2)) 15,000,000 14,917,088
----------------
136,605,965
----------------
BROKER/DEALERS--6.1%
CS First Boston Group, Inc., 5.79%, 10/13/95 10,000,000 9,832,733
CS First Boston Group, Inc., 5.90%, 10/4/95 10,000,000 9,844,306
CS First Boston Group, Inc., 5.92%-5.97%, 9/6/95 21,000,000 20,767,603
CS First Boston Group, Inc., 5.96%, 10/6/95 10,000,000 9,839,411
CS First Boston Group, Inc., 5.97%, 7/28/95 10,000,000 9,955,225
Goldman Sachs Group L.P., 6.06%, 9/21/95((2)(4)) 28,000,000 28,000,000
Goldman Sachs Group L.P., 6.08%, 7/13/95((2)(4)) 25,000,000 25,000,000
Goldman Sachs Group L.P., 6.188%, 7/27/95((1)(2)(4)) 10,000,000 10,000,000
Goldman Sachs Group L.P., 6.25%, 7/18/95((1)(2)(4)) 10,000,000 10,000,000
4
<PAGE>
STATEMENT OF INVESTMENTS (Unaudited) (Continued)
Daily Cash Accumulation Fund, Inc.
Amortized
Face Cost
Amount See Note 1
------------- ------------------
<S> <C> <C>
SHORT-TERM NOTES (CONTINUED)
BROKER/DEALERS (CONTINUED)
Morgan Stanley Group, Inc., 5.94%, 8/7/95 $25,000,000 $ 24,847,375
Morgan Stanley Group, Inc., 5.96%, 7/3/95((1)) 46,100,000 46,100,000
Morgan Stanley Group, Inc., 6.02%, 7/26/95 10,000,000 9,958,194
----------------
214,144,847
----------------
CHEMICALS--0.4%
Monsanto Co., 5.60%, 11/10/95 15,000,000 14,692,000
----------------
COMMERCIAL FINANCE--8.4%
CIT Group Holdings, Inc., 5.65%, 10/10/95 10,000,000 9,841,486
CIT Group Holdings, Inc., 5.96%, 8/16/95 10,000,000 9,923,845
CIT Group Holdings, Inc., 6.208%, 7/12/95((1)(3)) 38,500,000 38,500,000
CIT Group Holdings, Inc., 6.45%, 7/3/95((1)) 10,000,000 9,998,397
FINOVA Capital Corp., 5.95%, 9/22/95 10,000,000 9,862,820
FINOVA Capital Corp., 5.97%, 9/21/95 5,000,000 4,932,008
FINOVA Capital Corp., 6%, 9/11/95 10,000,000 9,880,000
FINOVA Capital Corp., 6%, 9/6/95 45,000,000 44,497,500
FINOVA Capital Corp., 6%-6.07%, 8/30/95 44,000,000 43,556,500
FINOVA Capital Corp., 6.05%, 8/25/95 5,000,000 4,953,785
FINOVA Capital Corp., 6.07%, 8/4/95 10,000,000 9,942,672
Fleet Mortgage Group, Inc., 5.93%, 8/25/95 15,000,000 14,864,104
Fleet Mortgage Group, Inc., 6.02%, 7/17/95 10,000,000 9,973,244
Fleet Mortgage Group, Inc., 6.05%, 7/20/95 10,000,000 9,968,069
Fleet Mortgage Group, Inc., 6.30%, 7/3/95 17,000,000 16,994,050
Heller Financial, Inc., 5.52%, 3/12/96 20,000,000 19,218,000
Heller Financial, Inc., 5.85%, 9/25/95 10,000,000 9,860,250
Heller Financial, Inc., 5.95%, 8/14/95 20,000,000 19,854,556
----------------
296,621,286
----------------
CONGLOMERATES--0.7%
Mitsubishi International Corp., 6.01%, 7/11/95 3,400,000 3,394,324
Mitsubishi International Corp., 6.07%, 7/5/95 10,000,000 9,993,255
Pacific Dunlop Holdings, Inc., guaranteed by Pacific Dunlop Ltd., 5.97%, 8/21/95((2)) 10,000,000 9,915,425
----------------
23,303,004
----------------
CONSUMER FINANCE--1.5%
Beneficial Corp., 5.72%, 7/5/95((1)) 5,000,000 5,000,000
Sears Roebuck Acceptance Corp., 5.70%, 9/22/95 20,000,000 19,737,167
Sears Roebuck Acceptance Corp., 5.92%, 8/7/95 10,000,000 9,939,156
Sears Roebuck Acceptance Corp., 5.97%, 8/21/95 7,500,000 7,436,569
Sears Roebuck Acceptance Corp., 5.98%, 8/18/95 10,000,000 9,920,267
----------------
52,033,159
----------------
5
<PAGE>
STATEMENT OF INVESTMENTS (Unaudited) (Continued)
Daily Cash Accumulation Fund, Inc.
Amortized
Face Cost
Amount See Note 1
------------- ------------------
<S> <C> <C>
SHORT-TERM NOTES (CONTINUED)
Diversified Financial--9.3%
Associates Corp. of North America, 6.25%, 7/3/95 $24,200,000 $ 24,191,597
Ford Motor Credit Co., 5.68%, 1/12/96 10,000,000 9,692,333
Ford Motor Credit Co., 5.70%, 9/1/95 30,000,000 29,705,500
Ford Motor Credit Co., 5.73%-5.77%, 10/2/95 30,000,000 29,554,375
Ford Motor Credit Co., 5.92%, 8/1/95 7,000,000 6,964,316
Ford Motor Credit Co., 5.93%, 8/23/95 10,000,000 9,912,697
General Electric Capital Corp., 5.56%, 12/4/95 10,000,000 9,759,067
General Electric Capital Corp., 5.65%, 12/8/95 25,000,000 24,372,222
General Electric Capital Corp., 5.75%, 9/18/95 15,000,000 14,810,729
General Electric Capital Corp., 5.85%, 9/25/95 15,000,000 14,790,375
General Electric Capital Corp., 6.02%, 8/4/95 10,000,000 9,943,144
General Motors Acceptance Corp., 5.58%-5.63%, 11/27/95 20,000,000 19,536,031
General Motors Acceptance Corp., 5.65%, 12/26/95 10,000,000 9,720,639
General Motors Acceptance Corp., 5.68%, 12/22/95 20,000,000 19,450,933
General Motors Acceptance Corp., 5.75%, 2/16/96 20,000,000 19,265,278
General Motors Acceptance Corp., 5.92%, 10/20/95 15,000,000 14,726,200
General Motors Acceptance Corp., 5.99%, 8/21/95 10,000,000 9,915,142
General Motors Acceptance Corp., 6%, 8/2/95 10,000,000 9,946,667
General Motors Acceptance Corp., 6.09%-6.11%, 7/17/95 20,000,000 19,945,733
General Motors Acceptance Corp., 6.40%, 7/3/95 10,000,000 9,996,444
Household Finance Corp., 5.75%, 9/7/95 10,000,000 9,891,389
----------------
326,090,811
----------------
DURABLE HOUSEHOLD GOODS--1.3%
Newell Co., 5.90%, 10/11/95((2)) 10,000,000 9,832,833
Newell Co., 5.91%, 10/16/95((2)) 15,000,000 14,736,513
Newell Co., 6.03%, 7/6/95((2)) 10,000,000 9,991,625
Newell Co., 6.05%, 7/19/95((2)) 10,000,000 9,969,750
----------------
44,530,721
----------------
ELECTRIC UTILITIES--2.0%
Central & Southwest Corp., 5.92%, 8/16/95 10,000,000 9,924,356
Central & Southwest Corp., 5.95%, 8/2/95 10,000,000 9,947,111
Vattenfall Treasury, Inc., guaranteed by Vattenfall AB, 5.95%, 8/25/95 20,000,000 19,818,194
Vattenfall Treasury, Inc., guaranteed by Vattenfall AB, 6%-6.05%, 7/7/95 29,985,000 29,954,807
----------------
69,644,468
----------------
ELECTRICAL EQUIPMENT--0.1%
Xerox Corp., 5.62%, 3/11/96 5,000,000 4,801,739
----------------
6
<PAGE>
STATEMENT OF INVESTMENTS (Unaudited) (Continued)
Daily Cash Accumulation Fund, Inc.
Amortized
Face Cost
Amount See Note 1
------------- ------------------
<S> <C> <C>
SHORT-TERM NOTES (CONTINUED)
ELECTRONICS--0.7%
Mitsubishi Electric Finance America, Inc., 5.93%, 9/14/95((2)) $ 10,000,000 $ 9,876,458
Mitsubishi Electric Finance America, Inc., 5.98%, 7/14/95((2)) 5,000,000 4,989,203
Mitsubishi Electric Finance America, Inc., 5.98%, 7/5/95 10,000,000 9,993,356
----------------
24,859,017
----------------
HEALTHCARE/DRUGS--0.8%
Sandoz Corp., 5.90%, 9/6/95 25,000,000 24,725,486
Sandoz Corp., 5.95%, 8/18/95 5,000,000 4,960,333
----------------
29,685,819
----------------
HEALTHCARE/SUPPLIES & SERVICES--2.2%
A.H. Robins Co., Inc., guaranteed by American Home Products, 6.02%, 7/24/95((2)) 23,000,000 22,911,539
Allergan, Inc., 6.02%, 7/25/95 5,500,000 5,477,927
Allergan, Inc., 6.03%, 7/6/95 10,000,000 9,991,625
American Home Food Products, Inc., 5.97%, 7/18/95((2)) 6,000,000 5,983,085
American Home Food Products, Inc., 6.08%, 7/10/95((2)) 10,000,000 9,984,800
American Home Products, 5.90%, 9/22/95((2)) 8,000,000 7,891,178
American Home Products, 6.02%, 7/5/95((2)) 15,000,000 14,989,967
----------------
77,230,121
----------------
INDUSTRIAL SERVICES--0.1%
Atlas Copco AB, 5.95%, 8/16/95 5,000,000 4,961,986
----------------
INSURANCE--6.7%
Pacific Mutual Life Insurance Co., 6.235%, 7/3/95((1)(3)(4)) 50,000,000 50,000,000
Protective Life Insurance Co., 6.19%, 8/16/95((2)(3)) 20,000,000 20,000,000
Protective Life Insurance Co., 6.213%, 7/3/95((1)(2)(4)) 20,000,000 20,000,000
Sun Life Insurance Co., 6.158%, 7/5/95((1)(3)) 145,000,000 145,000,000
----------------
235,000,000
----------------
LEASING & FACTORING--4.8%
International Lease Finance Corp., 6%, 7/20/95 10,000,000 9,968,333
International Lease Finance Corp., 6%, 7/24/95 10,000,000 9,961,667
Sanwa Business Credit Corp., 5.70%-5.88%, 9/14/95 27,000,000 26,676,750
Sanwa Business Credit Corp., 5.74%, 7/5/95((1)(2)) 10,000,000 10,000,000
Sanwa Business Credit Corp., 5.85%, 9/15/95 10,000,000 9,876,500
Sanwa Business Credit Corp., 5.87%, 9/18/95 5,000,000 4,935,593
Sanwa Business Credit Corp., 5.90%, 9/13/95 6,125,000 6,050,717
Sanwa Business Credit Corp., 5.91%, 8/31/95 5,000,000 4,949,929
Sanwa Business Credit Corp., 5.91%, 9/11/95 10,000,000 9,881,800
Sanwa Business Credit Corp., 5.93%, 9/1/95 5,000,000 4,948,936
7
<PAGE>
STATEMENT OF INVESTMENTS (Unaudited) (Continued)
Daily Cash Accumulation Fund, Inc.
Amortized
Face Cost
Amount See Note 1
------------- ------------------
<S> <C> <C>
SHORT-TERM NOTES (CONTINUED)
LEASING & FACTORING (CONTINUED)
Sanwa Business Credit Corp., 5.94%, 8/15/95 $10,000,000 $ 9,925,750
Sanwa Business Credit Corp., 5.95%, 8/21/95 19,000,000 18,839,846
Sanwa Business Credit Corp., 5.95%, 8/7/95 10,000,000 9,938,847
Sanwa Business Credit Corp., 6%, 7/10/95 4,000,000 3,994,000
Sanwa Business Credit Corp., 6.05%, 7/12/95 10,000,000 9,981,514
Sanwa Business Credit Corp., 6.16%, 7/3/95((1)(2)) 10,000,000 9,997,839
The Hertz Corp., 5.77%, 9/18/95 10,000,000 9,873,381
----------------
169,801,402
----------------
MANUFACTURING--4.9%
Hanson Finance (UK) PLC, guaranteed by Hanson PLC, 5.75%, 9/22/95 25,000,000 24,668,576
Hanson Finance (UK) PLC, guaranteed by Hanson PLC, 5.75%-5.88%, 9/8/95 24,000,000 23,733,008
Hanson Finance (UK) PLC, guaranteed by Hanson PLC, 5.93%, 8/25/95 15,000,000 14,864,104
Hanson Finance (UK) PLC, guaranteed by Hanson PLC, 5.94%, 8/17/95 10,000,000 9,922,450
Hanson Finance (UK) PLC, guaranteed by Hanson PLC, 5.95%, 8/15/95 15,000,000 14,888,438
Hanson Finance (UK) PLC, guaranteed by Hanson PLC, 5.96%, 8/21/95 24,900,000 24,689,761
Hanson Finance (UK) PLC, guaranteed by Hanson PLC, 5.96%, 8/9/95 15,000,000 14,903,150
Hanson Finance (UK) PLC, guaranteed by Hanson PLC, 5.97%, 8/18/95 10,000,000 9,920,400
Rexam PLC, 5.77%, 9/5/95((2)) 10,000,000 9,894,217
Rexam PLC, 5.90%, 9/27/95((2)) 5,000,000 4,927,889
Rexam PLC, 6.05%, 7/7/95((2)) 18,000,000 17,981,850
----------------
170,393,843
----------------
NONDURABLE HOUSEHOLD GOODS--0.6%
Colgate-Palmolive Co., 5.87%, 9/8/95((2)) 21,300,000 21,060,357
----------------
OIL-INTEGRATED--2.0%
Petrofina (DE), Inc., 5.90%, 9/11/95 10,000,000 9,882,000
Petrofina (DE), Inc., 5.95%, 7/7/95 10,000,000 9,990,083
Texaco, Inc., 5.95%, 8/11/95 30,000,000 29,796,708
Texaco, Inc., 6.05%, 7/12/95 20,000,000 19,963,028
----------------
69,631,819
----------------
SAVINGS & LOANS--0.6%
Household Bank FSB, 5.92%, 9/20/95 7,000,000 6,999,534
Household Bank FSB, 6%, 8/23/95 10,000,000 9,999,710
Household Bank FSB, 6%, 8/30/95 5,000,000 5,000,000
----------------
21,999,244
----------------
SPECIAL PURPOSE FINANCIAL--15.3%
Asset Securitization Cooperative, 5.93%, 8/23/95((2)) 20,000,000 19,825,394
Asset Securitization Cooperative, 5.95%, 8/11/95((2)) 10,000,000 9,932,236
Beta Finance, Inc., 5.90%, 9/15/95((2)) 8,000,000 7,900,355
Beta Finance, Inc., 5.94%, 8/22/95((2)) 12,000,000 11,897,040
8
<PAGE>
STATEMENT OF INVESTMENTS (Unaudited) (Continued)
Daily Cash Accumulation Fund, Inc.
Amortized
Face Cost
Amount See Note 1
------------- ------------------
<S> <C> <C>
SHORT-TERM NOTES (CONTINUED)
SPECIAL PURPOSE FINANCIAL (CONTINUED)
CIESCO L.P., 5.83%, 10/13/95 $10,000,000 $ 9,831,578
CIESCO L.P., 5.95%, 7/27/95 15,000,000 14,935,542
CIESCO L.P., 5.95%, 8/11/95 50,000,000 49,661,180
Cooperative Association of Tractor Dealers, Inc., 5.77%, 10/20/95 10,000,000 9,822,092
Cooperative Association of Tractor Dealers, Inc., 5.85%, 11/8/95 7,700,000 7,537,337
Cooperative Association of Tractor Dealers, Inc., 5.94%, 8/23/95 6,000,000 5,947,530
Cooperative Association of Tractor Dealers, Inc., 6%, 7/13/95 4,500,000 4,491,000
Cooperative Association of Tractor Dealers, Inc., 6.03%, 7/24/95 11,900,000 11,854,155
CXC, Inc., 5.87%, 9/22/95((2)) 20,000,000 19,729,328
CXC, Inc., 5.96%-6.03%, 8/14/95((2)) 25,000,000 24,817,033
CXC, Inc., 6.05%, 7/10/95((2)) 20,000,000 19,969,750
Falcon Asset Securitization Corp., 5.93%, 8/15/95((2)) 10,000,000 9,925,875
Falcon Asset Securitization Corp., 5.93%, 8/18/95((2)) 10,000,000 9,920,933
Falcon Asset Securitization Corp., 5.94%, 8/17/95((2)) 15,000,000 14,883,675
First Deposit Master Trust 1993-3, 5.88%, 9/29/95((2)(4)) 5,000,000 4,926,563
Madison Funding Corp., 5.95%, 7/20/95 10,850,000 10,815,928
Madison Funding Corp., 5.98%, 7/11/95 10,000,000 9,983,389
New Center Asset Trust, 5.95%, 8/3/95 25,000,000 24,863,646
New Center Asset Trust, 5.95%, 8/7/95 10,000,000 9,938,847
New Center Asset Trust, 5.98%, 8/11/95 10,000,000 9,931,894
New Center Asset Trust, 6.01%, 8/2/95 23,000,000 22,877,129
New Center Asset Trust, 6.02%, 7/24/95 10,000,000 9,961,539
New Center Asset Trust, 6.02%, 8/1/95 10,000,000 9,948,161
New Center Asset Trust, 6.03%, 7/26/95 5,000,000 4,979,062
New Center Asset Trust, 6.03%, 7/31/95 10,000,000 9,949,750
New Center Asset Trust, 6.07%, 7/10/95 10,000,000 9,984,825
New Center Asset Trust, 6.07%, 7/11/95 10,000,000 9,983,139
New Center Asset Trust, 6.30%, 7/3/95 35,000,000 34,987,750
Sheffield Receivables Corp., 5.95%, 8/9/95 6,000,000 5,961,325
SMM Trust 1995-I, 6.083%, 7/31/95((1)(2)(4)) 5,000,000 4,998,676
Structured Enhanced Return Trust 1994 Series A-11, 6.25%, 7/3/95((1)(2)(4)) 10,000,000 10,000,000
WCP Funding, 5.87%, 9/27/95((2)) 10,800,000 10,645,032
WCP Funding, 5.92%, 8/18/95((2)) 10,000,000 9,921,067
WCP Funding, 5.92%, 8/25/95 10,000,000 9,909,556
WCP Funding, 5.93%, 8/10/95((2)) 10,000,000 9,934,111
WCP Funding, 5.95%, 7/28/95 5,000,000 4,977,688
WCP Funding, 5.95%, 8/16/95 10,000,000 9,923,972
WCP Funding, 5.97%, 8/9/95 15,000,000 14,902,988
----------------
537,188,070
----------------
9
<PAGE>
STATEMENT OF INVESTMENTS (Unaudited) (Continued)
Daily Cash Accumulation Fund, Inc.
Amortized
Face Cost
Amount See Note 1
------------- ------------------
<S> <C> <C>
SHORT-TERM NOTES (CONTINUED)
SPECIALTY RETAILING--0.7%
St. Michael Finance Ltd., guaranteed by Marks & Spencer PLC, 5.93%, 8/7/95 $ 5,000,000 $ 4,969,526
St. Michael Finance Ltd., guaranteed by Marks & Spencer PLC, 6.02%, 7/27/95 5,000,000 4,978,261
St. Michael Finance Ltd., guaranteed by Marks & Spencer PLC, 6.05%, 7/5/95 15,000,000 14,989,917
----------------
24,937,704
----------------
TELECOMMUNICATIONS-TECHNOLOGY--1.4%
NYNEX Corp., 5.57%, 11/2/95 15,000,000 14,712,217
NYNEX Corp., 5.89%, 9/14/95 15,000,000 14,815,937
NYNEX Corp., 5.94%, 9/5/95 10,000,000 9,891,100
NYNEX Corp., 6%, 8/31/95 10,000,000 9,898,333
----------------
49,317,587
----------------
TOYS--0.1%
Hasbro, Inc., 5.95%, 9/22/95 4,000,000 3,945,128
----------------
Total Short-Term Notes (Cost $2,796,540,434) 2,796,540,434
----------------
U.S. GOVERNMENT OBLIGATIONS--1.8%
Small Business Administration, 6.875%-10.875%, 7/3/95 (Cost $61,686,945)((5)) 59,885,350 61,686,945
----------------
Total Investments, at Amortized Cost 96.8% 3,400,516,612
Other Assets Net of Liabilities 3.2% 110,700,117
----------- ----------------
Net Assets 100.0% $3,511,216,729
=========== ================
</TABLE>
Short-term notes, direct bank obligations and letters of credit are generally
traded on a discount basis; the interest rate is the discount rate received
by the Fund at the time of purchase. Other securities normally bear interest
at the rates shown.
1. Variable rate security. The interest rate, which is based on specific, or
an index of, current market interest rates, is subject to change
periodically and is the effective rate on June 30, 1995.
2. Security purchased in private placement transaction, without registration
under the Securities Act of 1933 (the Act). The securities are carried at
amortized cost, and amount to $731,028,069, or 20.8% of the Fund's net
assets.
3. Put obligation redeemable at full face value on the date reported.
4. In addition to being restricted, the security is considered illiquid by
virtue of the absence of a readily available market or because of legal or
contractual restrictions on resale. Illiquid securities amount to
$162,925,239, or 4.6% of the Fund's net assets, at June 30, 1995. The Fund
may not invest more than 10% of its net assets (determined at the time of
purchase) in illiquid securities.
5. Floating or variable rate obligation maturing in more than one year. The
interest rate, which is based on specific, or an index of, market interest
rates, is subject to change periodically and is the effective rate on June
30, 1995. This instrument may also have a demand feature which allows the
recovery of principal at any time, or at specified intervals not exceeding
one year, on up to 30 days' notice. Maturity date shown represents
effective maturity based on variable rate and, if applicable, demand
feature.
See accompanying Notes to Financial Statements.
10
<PAGE>
STATEMENT OF ASSETS AND LIABILITIES June 30, 1995 (Unaudited)
Daily Cash Accumulation Fund, Inc.
<TABLE>
<CAPTION>
<S> <C>
ASSETS:
Investments, at amortized cost--see accompanying statement $3,400,516,612
Cash 7,952,108
Receivables:
Shares of capital stock sold 131,234,524
Interest and principal paydowns 7,708,979
Other 221,864
--------------
Total assets 3,547,634,087
--------------
LIABILITIES:
Payables and other liabilities:
Shares of capital stock redeemed 27,118,834
Dividends 7,527,013
Transfer and shareholder servicing agent fees 759,791
Service plan fees 277,484
Directors' fees 6,543
Other 727,693
--------------
Total liabilities 36,417,358
--------------
NET ASSETS $3,511,216,729
==============
COMPOSITION OF NET ASSETS:
Par value of shares of capital stock 351,060,908
Additional paid-in capital 3,159,548,173
Accumulated net realized gain from investment transactions 607,648
--------------
NET ASSETS--Applicable to 3,510,609,081 shares of capital stock outstanding $3,511,216,729
==============
NET ASSET VALUE, REDEMPTION PRICE AND OFFERING PRICE PER SHARE $1.00
</TABLE>
See accompanying Notes to Financial Statements.
11
<PAGE>
STATEMENT OF OPERATIONS For the Six Months Ended June 30, 1995 (Unaudited)
Daily Cash Accumulation Fund, Inc.
<TABLE>
<CAPTION>
<S> <C>
INVESTMENT INCOME:
Interest $97,344,092
-------------
EXPENSES:
Management fees--Note 3 6,014,964
Service plan fees--Note 3 3,107,521
Transfer and shareholder servicing agent fees--Note 3 1,810,100
Shareholder reports 154,546
Registration and filing fees 80,726
Legal and auditing fees 26,392
Custodian fees and expenses 21,554
Directors' fees and expenses 13,240
Other 20,259
-------------
Total expenses 11,249,302
-------------
NET INVESTMENT INCOME 86,094,790
NET REALIZED GAIN ON INVESTMENTS 506,941
-------------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS $86,601,731
=============
</TABLE>
STATEMENTS OF CHANGES IN NET ASSETS
Daily Cash Accumulation Fund, Inc.
<TABLE>
<CAPTION>
Six Months
Ended Year Ended
June 30, 1995 December 31,
(Unaudited) 1994
--------------- -----------------
<S> <C> <C>
OPERATIONS:
Net investment income $ 86,094,790 $ 123,072,616
Net realized gain (loss) on investments 506,941 (27,746)
------------- ---------------
Net increase in net assets resulting from operations 86,601,731 123,044,870
DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS (86,094,790) (123,088,801)
CAPITAL STOCK TRANSACTIONS:
Net increase (decrease) in net assets resulting from capital stock
transactions--Note 2 552,477,625 (630,590,211)
------------- ---------------
NET ASSETS
Total increase (decrease) 552,984,566 (630,634,142)
Beginning of period 2,958,232,163 3,588,866,305
------------- ---------------
End of period $3,511,216,729 $2,958,232,163
============= ===============
</TABLE>
See accompanying Notes to Financial Statements.
12
<PAGE>
FINANCIAL HIGHLIGHTS
Daily Cash Accumulation Fund, Inc.
<TABLE>
<CAPTION>
Six Months
Ended Year Ended December 31,
June 30, 1995 -----------------------------------------------------------
(Unaudited) 1994 1993 1992 1991 1990
--------------- --------- -------- -------- -------- ----------
<S> <C> <C> <C> <C> <C> <C>
PER SHARE OPERATING DATA:
Net asset value, beginning of period $1.00 $1.00 $1.00 $1.00 $1.00 $1.00
------------- ------- ------ ------ ------ --------
Income from investment operations--net
investment income and net realized gain on
investments .02 .04((1)) .03 .03 .06 .08
Dividends and distributions to shareholders (.02) (.04) (.03) (.03) (.06) (.08)
------------- ------- ------ ------ ------ --------
Net asset value, end of period $1.00 $1.00 $1.00 $1.00 $1.00 $1.00
============= ======= ====== ====== ====== ========
TOTAL RETURN, AT NET ASSET VALUE((2)) 2.75% 3.77% 2.69% 3.54% 5.87% 7.93%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (in millions) $3,511 $2,958 $3,589 $4,061 $5,208 $5,025
Average net assets (in millions) $3,171 $3,378 $3,940 $4,760 $5,434 $4,849
Number of shares outstanding at end of period
(in millions) 3,511 2,958 3,589 4,061 5,208 5,024
Ratios to average net assets:
Net investment income 5.48%((3)) 3.64% 2.67% 3.50% 5.64% 7.61%
Expenses
.72%((3)) .73%((1)) .74% .70% .67% .68%
</TABLE>
1. Net investment income would have been $.04 per share absent the voluntary
expense limitation, resulting in an expense ratio of .74%.
2. Assumes a hypothetical initial investment on the business day before the
first day of the fiscal period, with all dividends reinvested in
additional shares on the reinvestment date, and redemption at the net
asset value calculated on the last business day of the fiscal period.
Total returns are not annualized for periods of less than one full year.
Total returns reflect changes in net investment income only.
3. Annualized.
See accompanying Notes to Financial Statements.
13
<PAGE>
NOTES TO FINANCIAL STATEMENTS (Unaudited)
Daily Cash Accumulation Fund, Inc.
1. SIGNIFICANT ACCOUNTING POLICIES
Daily Cash Accumulation Fund, Inc. (the Fund) is registered under the
Investment Company Act of 1940, as amended, as a diversified, open-end
management investment company. The Fund's investment advisor is Centennial
Asset Management Corporation (the Manager), a subsidiary of Oppenheimer
Management Corporation (OMC). The following is a summary of significant
accounting policies consistently followed by the Fund.
Investment Valuation--Portfolio securities are valued on the basis of
amortized cost, which approximates market value.
Federal Taxes--The Fund intends to continue to comply with provisions of the
Internal Revenue Code applicable to regulated investment companies and to
distribute all of its taxable income to shareholders. Therefore, no federal
income or excise tax provision is required.
Distributions to Shareholders--The Fund intends to declare dividends from net
investment income each day the New York Stock Exchange is open for business
and pay such dividends monthly. To effect its policy of maintaining a net
asset value of $1.00 per share, the Fund may withhold dividends or make
distributions of net realized gains.
Other--Investment transactions are accounted for on the date the investments
are purchased or sold (trade date). Realized gains and losses on investments
are determined on an identified cost basis, which is the same basis used for
federal income tax purposes.
2. CAPITAL STOCK
The Fund has authorized 15,000,000,000 shares of $.10 par value capital
stock. Transactions in shares of capital stock were as follows:
<TABLE>
<CAPTION>
Six Months Ended
June 30, 1995 Year Ended December 31, 1994
---------------------------------- -----------------------------------
Shares Amount Shares Amount
--------------- --------------- --------------- ----------------
<S> <C> <C> <C> <C>
Sold 3,908,938,586 $ 3,908,938,586 7,074,792,010 $ 7,074,792,010
Dividends and distributions
reinvested 22,097,089 22,097,089 120,864,868 120,864,868
Redeemed (3,378,558,050) (3,378,558,050) (7,826,247,089) (7,826,247,089)
------------- ------------- ------------- ---------------
Net increase (decrease) 552,477,625 $ 552,477,625 (630,590,211) $ (630,590,211)
============= ============= ============= ===============
</TABLE>
3. MANAGEMENT FEES AND OTHER
TRANSACTIONS WITH AFFILIATES
Management fees paid to the Manager were in accordance with the investment
advisory agreement with the Fund which provides for a fee of .45% on the
first $500 million of average annual net assets with a reduction of .025% on
each $500 million thereafter, to .25% on net assets in excess of $4 billion.
The Manager has agreed to reimburse the Fund if aggregate expenses (with
specified exceptions) exceed the most stringent applicable regulatory limit
on Fund expenses.
The Manager has voluntarily undertaken to assume Fund expenses to the level
needed to maintain a seven-day yield at least equal to that
14
<PAGE>
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)
Daily Cash Accumulation Fund, Inc.
of Centennial Money Market Trust, another registered investment company
advised by the Manager, effective December 1, 1994.
Shareholder Services, Inc. (SSI), a subsidiary of OMC, is the transfer and
shareholder servicing agent for the Fund, and for other registered investment
companies. SSI's total costs of providing such services are allocated ratably
to these companies.
Under an approved plan of distribution, the Fund may expend up to .20% of
its net assets annually to reimburse certain securities dealers and other
financial institutions and organizations for costs incurred in distributing
Fund shares.
15
<PAGE>
DAILY CASH ACCUMULATION FUND, INC.
Officers and Directors
James C. Swain, Chairman and
Chief Executive Officer
Robert G. Avis, Director
William A. Baker, Director
Charles Conrad, Jr., Director
Jon S. Fossel, Director and President
Raymond J. Kalinowski, Director
C. Howard Kast, Director
Robert M. Kirchner, Director
Ned M. Steel, Director
Andrew J. Donahue, Vice President
Dorothy G. Warmack, Vice President
Carol E. Wolf, Vice President
Arthur J. Zimmer, Vice President
George C. Bowen, Vice President,
Secretary and Treasurer
Robert J. Bishop, Assistant Treasurer
Scott Farrar, Assistant Treasurer
Robert G. Zack, Assistant Secretary
Investment Advisor and Distributor
Centennial Asset Management Corporation
Transfer and Shareholder Servicing Agent
Shareholder Services, Inc.
Custodian of Portfolio Securities
Citibank, N.A.
Independent Auditors
Deloitte & Touche LLP
Legal Counsel
Myer, Swanson, Adams & Wolf, P.C.
The financial statements included herein have been taken from the records of
the Fund without examination by the independent auditors.
This is a copy of a report to shareholders of Daily Cash Accumulation Fund,
Inc. This report must be preceded or accompanied by a Prospectus of Daily Cash
Accumulation Fund, Inc. For material information concerning the Fund, see the
Prospectus.
Shares of Daily Cash Accumulation Fund, Inc. are not deposits or obligations
of any bank, are not guaranteed by any bank, and are not insured by the FDIC
or any other agency, and involve investment risks, including possible loss of
the principal amount invested.
For shareholder servicing, call:
1-800-525-7048 (in U.S.)
303-671-3200 (outside U.S.)
Or write:
Shareholder Services, Inc.
P.O. Box 5270
Denver, CO 80217-5270
RS0140.001.0895
[LOGO]Printed on recycled paper.
[COVER]
1995 Semiannual Report
Daily Cash Accumulation Fund, Inc.
