<PAGE>
Dreyfus Core Value Fund
Letter to Shareholders
Dear Shareholder:
It is a pleasure to report that the Dreyfus Core Value Fund achieved
total returns of 35.56%, 35.60% and 36.05% for its Investor, Institutional
and Class R shares, respectively, for the fiscal year ended December 31,
1995.* These results compare with a total return of 37.53% for the Standard &
Poor's 500 Composite Stock Price Index (the "S&P 500") for the same period.**
ECONOMIC ENVIRONMENT
The dominant influence on the U.S. economy in 1995 was the policy of the
Federal Reserve Board's Open Market Committee, led by Federal Reserve Board
Chairman Alan Greenspan. By deft handling of credit controls, the Fed managed
to keep the U.S. economy growing at a moderate rate throughout the year.
At the start of 1995, the central bank was still fighting inflation,
culminating a year-long strategy of raising interest rates to prevent
overheating of the economy. This approach appeared to work. The economy began
to slow down, even raising some fear that the Fed might have caused a
recession. Yet by midsummer, the Fed switched gears, and began a very modest
lowering of interest rates. Its purpose was to maintain the growth of the
economy while keeping inflation at bay.
By fall, certain economic indicators indicated that growth was indeed
slowing. Construction activity was cooling off, business inventories were
creeping up, creation of new jobs slowed down, and unemployment inched
upward. However, other sectors of the economy remained strong. U.S.
merchandise exports were growing at 15 percent a year in constant dollars,
reflecting the tremendous competitiveness of U.S. manufacturers on world
markets. Fixed investments by businesses continued to grow. Orders for
nondefense capital goods, after a slump in early summer, appeared to be
picking up as well. In addition, low interest rates sustained a good level of
housing sales.
Retail sales were weak in late 1995 and the economy was no longer being
led by consumer spending. Yet, a sizable portion of the slowdown in consumer
spending reflected lower retail prices rather than a drop in the number of
transactions. The consumer is very cautious and is looking for bargains, but
still has money to spend _ carefully. To be sure, consumers have taken on a
lot of debt, but their assets rose in value, particularly investment assets.
Thus they were in position to carry more debt.
In December, the Fed lowered interest rates once again, but by a very
small amount. Other steps to reduce interest rates are expected in 1996 to
deal with a continued slowing of the economy.
MARKET OVERVIEW
For most investors in U.S. equities, 1995 was an extremely successful
year. Both the S&P 500 and the Dow Jones Industrial Average ended the year
with total returns, including reinvestment of dividends, in excess of 35%,
setting numerous records along the way and making 1995 the best year since
1958 for the S&P 500. The record gains in stock prices were driven by a
multitude of favorable factors including lower interest rates, strong
earnings momentum, corporate restructurings and acquisitions, share repurchase
s and record cash inflows to mutual funds.
Fourth quarter gains were slightly less robust than those of the prior
three periods. While the 6.02% return for the S&P 500 is a healthy number
(especially when compared to the 1.31% return for the entire year of 1994),
it masks a substantial amount of turbulence below the surface. The fourth
quarter was marked by a significant rotation within economic sectors, as well
as a shift away from small and medium capitalization companies in favor of
larger capitalization shares.
<PAGE>
The most dramatic change within the economic sectors of the S&P 500 in
recent months was the decline of the technology sector. After leading the
market through all of 1994 and the first half of 1995, technology shares as a
group underperformed in the second half of the year. Health care stocks
finished the quarter and the year ahead of all other sectors. Three other
groups which lagged the market through the first half of the year turned in
impressive results in the waning months of the year. Energy stocks, viewed by
many investors as good defensive holdings for their liquidity and
above-average yields, were strong. The public utilities sector, driven by the
shares of telephone companies, outperformed the market in the fourth quarter.
Financial services stocks, though volatile in recent months, finished the
year as the second best performing sector in the S&P 500.
PORTFOLIO FOCUS
As the year ended, the Fund was overweighted in the health care and
financial services sectors, as compared to weightings in the S&P 500. As
mentioned above, these were two of the best performing sectors in the S&P 500
for the year. Large holdings in the Fund's portfolio that rose more than 75%
were Bank of Boston, Chase Manhattan and Lilly (Eli) & Co.
Other sectors we emphasized included public utilities and energy stocks.
In line with our analysis of the economy and market outlook, we were
significantly underweighted in technology, basic industry and consumer
non-durable issues.
What of the future? We will continue to concentrate on identifying
attractively valued stocks which exhibit improving business fundamentals and
earnings momentum. Our recent discussions with the managements of some of the
companies in our portfolio indicate that top line growth in many cases will
be somewhat more subdued in the months ahead. In addition, many companies are
approaching difficult quarterly earnings comparisons. As a result,
restructuring opportunities continue to hold prominent positions in our
portfolio.
We look forward to continuing to serve your investment needs.
Sincerely,
[Guy Scott signature logo]
Guy Scott
Portfolio Manager
January 17, 1996
New York, N.Y.
* Total return includes reinvestment of dividends and any capital gains paid.
** SOURCE: LIPPER ANALYTICAL SERVICES, INC. _ Reflects the reinvestment of
income dividends and, where applicable, capital gain distributions. The
Standard & Poor's 500 Composite Stock Price Index is a widely accepted
unmanaged index of stock market performance.
<PAGE>
Dreyfus Core Value Fund December 31, 1995
______________________________________-
COMPARISON OF CHANGE IN VALUE OF $10,000 INVESTMENT IN DREYFUS CORE VALUE FUND
INVESTOR SHARES AND THE STANDARD AND POOR'S 500 COMPOSITE STOCK PRICE INDEX
[Exhibit A: CHART]
Dreyfus Core Standard &
Value Fund Poor's 500
(Investor Class Composite Stock
Shares) Price Index*
_______- _______-
12/31/85 10,000 10,000
12/31/86 12,248 11,866
12/31/87 12,281 12,489
12/31/88 14,681 14,557
12/31/89 18,345 19,162
12/31/90 15,880 18,566
12/31/91 19,512 24,210
12/31/92 20,298 26,052
12/31/93 23,650 28,673
12/31/94 23,731 29,048
12/31/95 32,170 39,955
*Source: Lipper Analytical Services, Inc.
Average Annual Total Returns
______________________________________-
Investor Shares Institutional Shares
_______________ _________________
Period Ended 12/31/95 Period Ended 12/31/95
_______________ _________________
1 Year 35.56% 1 Year 35.60%
5 Years 15.13 From Inception (2/1/93) 16.41
10 Years 12.38
Class R Shares
_________________
Period Ended 12/31/95
_________________
1 Year 36.05%
From Inception (8/4/94) 22.36
Past performance is not predictive of future performance.
The above graph compares a $10,000 investment made in Investor shares of
Dreyfus Core Value Fund on 12/31/85 to a $10,000 investment made in the
Standard & Poor's 500 Composite Stock Price Index on that date. All
dividends and capital gain distributions are reinvested. Performance for
Institutional shares and Class R shares will vary from the performance of
Investor shares shown above due to differences in charges and expenses.
The Fund's performance shown in the line graph takes into account all
applicable fees and expenses. The Standard & Poor's 500 Composite Stock
Price Index is a widely accepted, unmanaged index of overall stock market
performance, which does not take into account charges, fees and other
expenses. Further information relating to Fund performance, including
expense reimbursements, if applicable, is contained in the Financial
Highlights section of the Prospectus and elsewhere in this report.
<PAGE>
Dreyfus Core Value Fund
_______________________________________
Statement of Investments December 31, 1995
<TABLE>
<CAPTION>
Common Stocks_97.9% Shares Value
___________________________________________- ____ ______
<S> <C> <C>
Domestic Common Stocks_80.8%
Basic Industries_2.0% Grace (W.R) & Co................................ 75,400 $ 4,458,025
James River..................................... 83,300 2,009,613
Praxair......................................... 66,800 2,246,150
Rayonier........................................ 25,625 855,234
______
9,569,022
______
Capital Goods_5.0% General Electric................................ 74,500 5,364,000
ITT............................................. 54,600 2,893,800
ITT Hartford Group.............................. 54,600 2,641,275
ITT Industries.................................. 54,600 1,310,400
Rockwell International.......................... 113,000 5,974,875
TRW............................................. 31,400 2,433,500
Varity.......................................... 93,000(a) 3,452,625
______
24,070,475
______
Consumer Cyclical_.3% Safeway......................................... 23,500(a) 1,210,250
______
Consumer Durables_2.0% Black & Decker.................................. 105,783 3,728,851
Ford Motor...................................... 200,000 5,800,000
______
9,528,851
______
Consumer Non-durables_7.1% Archer-Daniels Midland.......................... 157,710 2,838,780
Dial............................................ 132,400 3,922,350
Fruit of the Loom, Cl. A........................ 194,500(a) 4,740,938
Philip Morris Cos............................... 119,200 10,787,600
Polaroid........................................ 47,000 2,226,625
RJR Nabisco Holdings............................ 211,000 6,514,626
Sherwin Williams................................ 71,300 2,905,475
______
33,936,394
______
Consumer Services_11.7% American Stores................................. 152,300 4,074,025
Dillard Department Stores, Cl. A................ 139,000 3,961,500
Eckerd.......................................... 65,300(a) 2,914,013
Knight-Ridder................................... 30,500 1,906,250
Kroger.......................................... 153,500(a) 5,756,250
Limited......................................... 205,800 3,575,775
Liz Claiborne................................... 78,200 2,170,050
Loews........................................... 98,200 7,696,426
May Department Stores........................... 31,000 1,309,750
Melville........................................ 173,800 5,344,350
Rite Aid........................................ 182,000 6,233,500
Sears, Roebuck & Co............................. 70,000 2,730,000
Tandy........................................... 121,500 5,042,250
Toys R Us....................................... 152,300(a) 3,312,525
______
56,026,664
______
Energy_7.5% Amerada Hess.................................... 35,000 1,855,000
Baker Hughes.................................... 159,000 3,875,625
</TABLE>
<PAGE>
Dreyfus Core Value Fund
_______________________________________
Statement of Investments (continued) December 31, 1995
<TABLE>
<CAPTION>
Common Stocks (continued) Shares Value
___________________________________________- ____ ______
<S> <C> <C>
Energy (continued) Dresser Industries.............................. 93,400 $ 2,276,625
Exxon........................................... 103,000 8,252,876
MAPCO........................................... 68,000 3,714,500
Mobil........................................... 34,500 3,864,000
Oryx Energy..................................... 318,400(a) 4,258,600
Tosco........................................... 113,500 4,327,188
Union Texas Petroleum........................... 163,300 3,163,938
______
35,588,352
______
Financial Services_13.9% Allmerica Financial............................. 83,800 2,262,600
American Express................................ 158,000 6,537,250
American International Group.................... 46,050 4,259,625
Bank of Boston.................................. 150,000 6,937,500
BankAmerica..................................... 103,930 6,729,469
BayBanks........................................ 31,900 3,134,175
Chase Manhattan................................. 63,400 3,843,625
Dean Witter, Discover & Co...................... 134,000 6,298,000
First Chicago NBD............................... 132,130 5,219,135
First Colony.................................... 50,000 1,268,750
Fleet Financial Group........................... 136,855 5,576,841
Morgan (JP) & Co................................ 55,000 4,413,750
Republic New York............................... 37,000 2,298,625
SAFECO.......................................... 56,800 1,959,600
St. Paul Cos.................................... 99,000 5,506,875
______
66,245,820
______
Health Care_10.5% Allergan........................................ 141,000 4,582,500
Baxter International............................ 159,400 6,674,875
Bristol-Myers Squibb............................ 77,300 6,638,138
Columbia/HCA Healthcare......................... 88,560 4,494,420
Lilly (Eli) & Co................................ 73,582 4,138,988
Nu-Med.......................................... 13,812(a) 0
Pharmacia & Upjohn.............................. 238,300 9,234,125
Progressions Health Systems..................... 69,060(a) 60,428
Schering Plough................................. 106,000 5,803,500
Tenet Healthcare................................ 395,000(a) 8,196,250
______
49,823,224
______
Insurance_.7% American Financial Group........................ 42,000 1,286,250
Equitable Cos................................... 93,400 2,241,600
______
3,527,850
______
Real Estate_1.2% Associated Estates Realty....................... 70,700 1,520,050
Avalon Properties............................... 97,000 2,085,500
Camden Property Trust........................... 83,333 1,989,575
______
5,595,125
______
Technology_3.3% Digital Equipment............................... 70,700(a) 4,533,638
Harris.......................................... 32,300 1,764,388
</TABLE>
<PAGE>
Dreyfus Core Value Fund
_______________________________________
Statement of Investments (continued) December 31, 1995
<TABLE>
<CAPTION>
Common Stocks (continued) Shares Value
___________________________________________- ____ ______
<S> <C> <C>
Technology (continued) International Business Machines................. 105,000 $ 9,633,750
______
15,931,776
______
Transportation_4.5% Lockheed Martin................................. 129,400 10,222,600
Pittston Services Group......................... 157,000 4,925,875
Union Pacific................................... 97,700 6,448,200
______
21,596,675
______
Utilities_11.1% AT&T............................................ 200,500 12,982,376
CMS Energy...................................... 179,300 5,356,588
GTE............................................. 183,000 8,052,000
Illinova........................................ 154,100 4,623,000
MCI Communications.............................. 274,000 7,158,250
NYNEX........................................... 131,100 7,079,400
Pinnacle West Capital........................... 85,000 2,443,750
Unicom.......................................... 113,000 3,700,750
Western Resources............................... 53,200 1,775,550
______
53,171,664
______
Total Domestic Common Stocks.................... 385,822,142
======
Foreign Common Stocks_17.1%
Argentina_.8% YPF Sociedad Anonima............................ 178,000 3,849,250
______
Australia_.3% Amocor.......................................... 20,000 141,075
Boral........................................... 120,000 302,940
Goodman Fielder Limited......................... 166,000 166,394
Southcorp Holdings Limited...................... 100,000 232,402
Westpac Banking................................. 85,635 378,961
______
1,221,772
______
Austria_.0% Creditanstalt-Bankverein........................ 1,200 171,004
______
Belgium_.0% Electrabel Com NPV.............................. 800 189,701
______
Bermuda_.6% ACE Limited..................................... 68,500 2,722,875
______
Canada_4.4% Canadian National Railway ADR................... 257,000 3,855,000
Canadian Pacific ADR............................ 543,500 9,850,937
Horsham ADR..................................... 234,500 3,165,750
Quebecor Printing ADR........................... 92,000(a) 1,552,500
TransCanada Pipeline ADR........................ 179,000 2,461,250
______
20,885,437
______
Denmark_.1% Tele Danmark ADR................................ 14,000 386,750
______
France_.5% Alcatel Alsthom................................. 1,584 136,287
Alcatel Alsthom ADR............................. 14,635 256,113
Chargeurs....................................... 1,600 320,195
C.S.F. (Thompson)............................... 10,148 225,626
Danone.......................................... 2,038 335,583
</TABLE>
<PAGE>
Dreyfus Core Value Fund
_______________________________________
Statement of Investments (continued) December 31, 1995
<TABLE>
<CAPTION>
Common Stocks (continued) Shares Value
___________________________________________- ____ ______
<S> <C> <C>
France (continued) Elf Auitaine ADR................................ 8,158 $ 299,807
Guyenne & Gascogne.............................. 1,000 272,060
Societe Generale................................ 4,362 537,806
Societe Nationale Elf Equitiane................. 3,193 234,773
______
2,618,250
______
Germany_.5% Adidas AG....................................... 6,900 364,573
Bayer AG........................................ 2,000 526,976
Deutsche Bank AG................................ 10,000 473,164
SGL Carbon AG................................... 5,000 386,356
Siemens AG...................................... 700 382,527
VEBA AG......................................... 9,000 381,552
______
2,515,148
______
Great Britain_1.6% BTR............................................. 120,837 616,606
Boots........................................... 70,700 642,034
British Airways................................. 25,205 182,173
British Airways PLC ADR......................... 2,000 145,500
British Gas..................................... 70,000 275,767
British Gas ADR................................. 5,000 195,625
Hanson PLC...................................... 35,000 533,751
Laird Group PLC................................. 80,000 479,569
National Westminster Bank....................... 60,918 612,728
Powergen........................................ 80,401 664,038
RTZ............................................. 20,000 290,347
Scapa Group..................................... 80,862 278,425
SmithKline Beecham PLC ADR...................... 50,000 2,775,000
______
7,691,563
______
Hong Kong_.2% Cheung Kong (Holdings).......................... 61,000 371,562
HSBC (Holdings)................................. 21,682 328,069
Yue Yue Industrial (Holdings)................... 650,000 172,324
______
871,955
______
Italy_.2% Fiat Spa........................................ 45,000 146,221
Istituto Mobiliare Italiano ADR................. 15,000 283,125
Stet, Di Risp (Non Cnv)......................... 185,000 377,456
______
806,802
______
Japan_2.0% Canon........................................... 20,000 361,352
Chudenko........................................ 9,450 323,217
Dai-Tokyo Fire & Marine Insurance............... 80,000 609,083
Fuji Photo Film Limited......................... 7,000 201,545
Hitachi......................................... 43,000 432,077
Hitachi Koki.................................... 45,000 406,956
Honda Motor..................................... 10,000 205,797
Ito-Yokado...................................... 10,000 614,493
Kao............................................. 40,000 494,686
Mabuchi Motor................................... 9,000 558,261
Mikuni Coca Cola................................ 40,000 544,928
</TABLE>
<PAGE>
Dreyfus Core Value Fund
_______________________________________
Statement of Investments (continued) December 31, 1995
<TABLE>
<CAPTION>
Common Stocks (continued) Shares Value
___________________________________________- ____ ______
<S> <C> <C>
Japan (continued) Mitsubishi Heavy Industries..................... 50,000 $ 397,584
Murata Manufacturing............................ 15,400 557,972
Nishimatsu Construction......................... 35,000 409,178
Ono Pharmaceutical.............................. 10,000 383,574
Sekisui House................................... 50,000 637,682
Sumitomo........................................ 35,000 355,072
Toshiba......................................... 50,000 390,821
Toyota Motor.................................... 32,000 677,102
Yamanouchi Pharmaceutical....................... 15,000 321,739
Yamato Transport................................ 38,500 457,537
______
9,340,656
______
Luxembourg_.0% Espirito Santo Financial........................ 9,000 106,875
______
Malaysia_.0% Affin Holdings Berhad........................... 85,000 164,040
______
Mexico_.0% Telefonos De Mexico, Series L................... 120,000 192,873
Telefonos De Mexico, Series L, ADR.............. 1,000 31,875
______
224,748
______
Netherlands_2.6% ABN Amro Holdings............................... 13,300 604,621
Hollandsche Beton Groep......................... 1,000 152,363
ING Groep....................................... 4,887 325,800
Koninklinke KNP................................. 10,000 256,218
Philips Electronics NV ADR...................... 222,300 7,975,013
Royal Dutch Petroleum ADR....................... 12,300 1,735,838
Royal PTT Nederland............................. 6,500 235,625
Stad Rotterdam CVA.............................. 13,925 413,939
Unilever NV ADR................................. 4,000 563,000
______
12,262,417
______
New Zealand_.1% Air New Zealand................................. 47,000 159,593
Brierley Investments............................ 220,000 173,828
______
333,421
______
Norway_.0% Christiania Bank................................ 65,000 150,591
______
Portugal_.0% Portugal Telecom SA, ADR........................ 12,000(a) 228,000
______
Singapore_.1% Far East Levingston Shipbuilding................ 37,000 174,009
Malaysian International Shipping................ 106,666 279,112
______
453,121
______
Spain_1.1% Corporacion Bancaria De Espana.................. 18,000 362,250
Iberdrola SA.................................... 40,000 364,981
Repsol SA....................................... 8,000 261,405
Repsol SA, ADR.................................. 126,600 4,161,976
______
5,150,612
</TABLE>
<PAGE>
Dreyfus Core Value Fund
_______________________________________
Statement of Investments (continued) December 31, 1995
<TABLE>
<CAPTION>
Common Stocks (continued) Shares Value
___________________________________________- ____ ______
<S> <C> <C>
Sweden_.6% AGA AB, Series B................................ 19,000 $ 261,507
Astra AB, Class A, ADR.......................... 61,500 2,452,312
Volvo AB `B'.................................... 10,000 205,938
______
2,919,757
______
Switzerland_1.4% Ciba-Geigy AG................................... 600 527,730
Ciba-Geigy AG ADR............................... 100,000 4,425,000
Magazine Zum Globus............................. 450 257,365
Nestle SA....................................... 450 497,574
Schweizerischer Banksverein..................... 1,200 489,775
Zurich Versicherungs............................ 900 271,013
______
6,468,457
______
Total Foreign Common Stocks..................... 81,733,202
======
TOTAL COMMON STOCKS
(cost $379,642,232)........................... $467,555,344
======
Foreign Preferred Stocks_.1%
___________________________________________-
Germany; RWE AG (Non-Voting)
(cost $418,818)............................... 1,800 $ 501,218
======
Warrants_.0%
___________________________________________-
Chase Manhattan
(cost $3,671)................................. 534 $ 13,951
======
<CAPTION>
Principal
Short-Term Investments_.5% Amount
___________________________________________- _____
<S> <C> <C>
Commercial Paper: Ford Motor Credit Corporation
6% due 1/2/96
(cost $2,400,000)............................. $2,400,000 $ 2,400,000
======
TOTAL INVESTMENTS (cost $382,464,721).................................................. 98.5% $470,470,513
===== ======
CASH AND RECEIVABLES (NET)............................................................. 1.5% $ 6,995,485
===== ======
NET ASSETS............................................................................. 100.0% $477,465,998
===== ======
<FN>
Note to Statement of Investments;
___________________________________________
(a) Non-income producing.
</TABLE>
See notes to financial statements.
<PAGE>
Dreyfus Core Value Fund
_______________________________________
Statement of Assets and Liabilities December 31, 1995
<TABLE>
<S> <C> <C>
ASSETS:
Investments in securities, at value (cost $382,464,721)_see Statement
of Investments ....................................................... $470,470,513
Cash and foreign currency (cost $6,190,332)............................. 6,176,635
Receivable for investment securities sold............................... 1,130,097
Receivable for shares of Beneficial Interest subscribed................. 57,237
Dividends and interest receivable....................................... 1,153,810
______
478,988,292
LIABILITIES:
Due to The Dreyfus Corporation_Note 2(a)............................... $693,350
Due to Distributor_Note 2(b)........................................... 97,132
Payable for investment securities purchased............................. 691,971
Payable for shares of Beneficial Interest redeemed...................... 2,133
Trustees' fees payable_Note 2(c)....................................... 37,708 1,522,294
____ ______
NET ASSETS.................................................................. $477,465,998
======
REPRESENTED BY:
Paid-in capital......................................................... $379,428,169
Accumulated undistributed investment income_net........................ 35,924
Accumulated undistributed net realized gain on investments.............. 10,009,543
Accumulated net unrealized appreciation on investments and foreign
currency transactions................................................. 87,992,362
______
NET ASSETS at value......................................................... $477,465,998
======
NET ASSET VALUE, offering and redemption price per share:
Investor Shares
unlimited number of shares of Beneficial Interest
($401,674,361 / 13,330,949 shares of Beneficial Interest outstanding). $30.13
======
Institutional Shares
unlimited number of shares of Beneficial Interest
($75,607,117 / 2,510,148 shares of Beneficial Interest outstanding).... $30.12
======
Class R Shares
unlimited number of shares of Beneficial Interest
($184,520 / 6,114 shares of Beneficial Interest outstanding).......... $30.18
======
</TABLE>
See notes to financial statements.
<PAGE>
Dreyfus Core Value Fund
_______________________________________
Statement of Operations year ended December 31, 1995
<TABLE>
<S> <C> <C>
INVESTMENT INCOME:
Income:
Cash dividends (net of $240,056 foreign taxes withheld at source)..... $10,412,780
Interest.............................................................. 729,848
_____-
Total Income...................................................... $ 11,142,628
Expenses:
Investment management fee_Note 2(a).................................. 3,863,417
Distribution fee_Note 2(b)........................................... 1,015,899
Trustees' fees and expenses_Note 2(c)................................ 43,638
_____-
Total Expenses.................................................... 4,922,954
Less_reduction in management fee due to undertakings_Note 2(a)...... 66,949
_____-
Net Expenses...................................................... 4,856,005
______
INVESTMENT INCOME_NET............................................ 6,286,623
______
REALIZED AND UNREALIZED GAIN ON INVESTMENTS_Note 3:
Net realized gain on investments and foreign currency transactions...... $44,702,570
Net realized gain on forward currency exchange contracts................ 5,791
_____-
Net Realized Gain..................................................... 44,708,361
Net unrealized appreciation on investments and foreign currency transactions 80,269,570
______
NET REALIZED AND UNREALIZED GAIN ON INVESTMENTS................... 124,977,931
______
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS........................ $131,264,554
======
</TABLE>
See notes to financial statements.
<PAGE>
Dreyfus Core Value Fund
_______________________________________
Statement of Changes in Net Assets
<TABLE>
<CAPTION>
Year Ended December 31,
________________________________-
1995 1994
______ ______
<S> <C> <C>
OPERATIONS:
Investment income_net..................................................... $ 6,286,623 $ 6,090,607
Net realized gain on investments........................................... 44,708,361 38,921,441
Net unrealized appreciation (depreciation) on investments for the year..... 80,269,570 (42,542,693)
______ ______
Net Increase In Net Assets Resulting From Operations..................... 131,264,554 2,469,355
______ ______
DIVIDENDS TO SHAREHOLDERS:
From investment income_net:
Investor Shares.......................................................... (5,652,275) (4,790,982)
Institutional Shares..................................................... (1,170,331) (1,036,131)
Class R Shares........................................................... (20,018) (14,497)
From net realized gain on investments:
Investor Shares.......................................................... (32,708,062) (35,173,927)
Institutional Shares..................................................... (6,089,493) (7,027,785)
Class R Shares........................................................... (14,693) (147,807)
______ ______
Total Dividends........................................................ (45,654,872) (48,191,129)
______ ______
BENEFICIAL INTEREST TRANSACTIONS:
Net proceeds from shares sold:
Investor Shares.......................................................... 32,376,118 35,429,803
Institutional Shares..................................................... 92,766,522 342,392,264
Class R Shares........................................................... 3,629,228 1,806,424
Dividends reinvested:
Investor Shares.......................................................... 34,209,203 35,673,508
Institutional Shares..................................................... 7,078,027 7,485,142
Class R Shares........................................................... 17,322 123,153
Cost of shares redeemed:
Investor Shares.......................................................... (53,537,298) (64,780,077)
Institutional Shares..................................................... (97,834,686) (362,837,656)
Class R Shares........................................................... (5,221,642) (665,997)
______ ______
Increase (Decrease) In Net Assets From Beneficial Interest
Transactions......................................................... 13,482,794 (5,373,436)
______ ______
Total Increase (Decrease) In Net Assets.............................. 99,092,476 (51,095,210)
NET ASSETS:
Beginning of year.......................................................... 378,373,522 429,468,732
______ ______
End of year (including undistributed investment income_net:
$35,924 in 1995 and $591,925 in 1994).................................... $477,465,998 $378,373,522
====== ======
</TABLE>
<TABLE>
<CAPTION>
Shares
______________________________________________________________________________________----
Investor Institutional Class R
____________-____________- _____________-_____________- _____________-_____________
Year Ended Period Ended
Year Ended December 31, Year Ended December 31, December 31, December 31,
____________-____________- _____________-____________- __________ ____________
1995 1994 1995 1994 1995 1994*
____- ____- ____- _____ ___- ___-
<S> <C> <C> <C> <C> <C> <C>
CAPITAL SHARE TRANSACTIONS:
Shares sold.............. 1,133,898 1,267,535 3,304,350 12,106,152 138,967 63,627
Shares issued for dividends
reinvested............. 1,141,448 1,410,642 236,346 295,150 577 4,890
Shares redeemed.......... (1,888,328) (2,315,216) (3,450,788) (12,845,855) (177,018) (24,929)
____- ____- ____- _____ ___- ___-
Net Increase (Decrease) In
Shares Outstanding... 387,018 362,961 89,908 (444,553) (37,474) 43,588
===== ===== ===== ===== ==== ====
<FN>
______
* The Fund commenced selling Trust shares on April 4, 1994. Effective
October 17, 1994, the Trust shares were reclassified as Class R shares.
</TABLE>
See notes to financial statements.
<PAGE>
Dreyfus Core Value Fund
_______________________________________
Financial Highlights
Contained below is per share operating performance data for a share of
Beneficial Interest outstanding, total investment return, ratios to average
net assets and other supplemental data for each year indicated. This
information has been derived from the Fund's financial statements.
<TABLE>
<CAPTION>
Investor Class (1,2)
______________________________________________________
Year Ended December 31,
______________________________________________________
PER SHARE DATA: 1995 1994 1993(3) 1992 1991
___ ___ ___ ___ ___
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of year................ $24.56 $27.80 $25.46 $27.40 $23.20
___ ___ ___ ___ ___
Investment Operations:
Investment income_net............................ .41 .42 .31 .36 .39
Net realized and unrealized gain (loss) on investments 8.24 (.29) 3.86 .70 4.88
___ ___ ___ ___ ___
Total from Investment Operations................ 8.65 .13 4.17 1.06 5.27
___ ___ ___ ___ ___
Distributions:
Dividends from investment income-net.............. (.45) (.40) (.30) (.36) (.50)
Dividends from net realized gain on investments... (2.63) (2.97) (1.53) (2.64) (.57)
___ ___ ___ ___ ___
Total Distributions............................. (3.08) (3.37) (1.83) (3.00) (1.07)
___ ___ ___ ___ ___
Net asset value, end of year...................... $30.13 $24.56 $27.80 $25.46 $27.40
=== === === === ===
TOTAL INVESTMENT RETURN............................... 35.56% .38% 16.51% 4.03% 22.87%
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets........... 1.13% 1.11% 1.15% 1.22% 1.20%
Ratio of net investment income to average net assets 1.43% 1.47% 1.13% 1.33% 1.61%
Decrease reflected in above expense ratios due to
undertakings by the Manager..................... .02% .01% .01% _ _
Portfolio Turnover Rate........................... 54.42% 73.00% 75.00% 66.00% 157.00%
Net Assets, end of year (000's Omitted)........... $401,674 $317,868 $349,813 $423,286 $508,971
<FN>
________-
(1) On February 1, 1993 existing shares of the Fund were designated the
Retail Class and effective April 4, 1994 the Retail Class shares were
reclassified as Investor Shares.
(2) Prior to April 4, 1994, The Boston Company Advisors, Inc. served as the
Fund's investment adviser. From April 4, 1994 through October 16, 1994,
Mellon Bank, N.A. served as the Fund's investment manager. Effective
October 17, 1994, The Dreyfus Corporation serves as the Fund's
investment manager.
(3) Per share amounts have been calculated using the monthly average share
method.
</TABLE>
See notes to financial statments.
<PAGE>
Dreyfus Core Value Fund
_______________________________________
Financial Highlights (continued)
Contained below is per share operating performance data for a share of
Beneficial Interest outstanding, total investment return, ratios to average
net assets and other supplemental data for each year indicated. This
information has been derived from the Fund's financial statements.
<TABLE>
<CAPTION>
Institutional Class Class R
___________________________________ _____________-_________________
Year Ended Period Ended Year Ended Period Ended
December 31, December 31, December 31, December 31,
__________ __________ __________ __________
PER SHARE DATA: 1995 1994(1) 1993(2)(3) 1995 1994(1)(4)
___ ___ ____- ___ ____-
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of year.. $24.56 $27.80 $25.96 $24.56 $28.45
___ ___ ___ ___ ___
Investment Operations:
Investment income_net.............. .47 .47 .32 .62 .29
Net realized and unrealized gain (loss)
on investments.................... 8.20 (.31) 3.38 8.16 (.83)
___ ___ ___ ___ ___
Total from Investment Operations 8.67 .16 3.70 8.78 (.54)
___ ___ ___ ___ ___
Distributions:
Dividends from investment income-net (.48) (.43) (.33) (.53) (.38)
Dividends from net realized gain
on investments.................... (2.63) (2.97) (1.53) (2.63) (2.97)
___ ___ ___ ___ ___
Total Distributions........... (3.11) (3.40) (1.86) (3.16) (3.35)
___ ___ ___ ___ ___
Net asset value, end of year........ $30.12 $24.56 $27.80 $30.18 $24.56
=== === === === ===
TOTAL INVESTMENT RETURN................. 35.60% .49% 14.38%(5) 36.05% (2.31%)(5)
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets 1.03% 1.02% 1.04%(6) .88% .86%(6)
Ratio of net investment income to
average net assets................ 1.53% 1.57% 1.24%(6) 1.93% 1.72%(6)
Decrease reflected in above expense ratios
due to undertakings by the Manager .02% .01% _ .02% .02%(6)
Portfolio Turnover Rate............. 54.42% 73.00% 75.00%(5) 54.42% 73.00%
Net Assets, end of year (000's Omitted) $75,607 $59,435 $79,656 $185 $1,070
<FN>
_________-
(1) Prior to April 4, 1994, The Boston Company Advisors, Inc. served as the
Fund's investment adviser. From April 4, 1994 through October 16, 1994,
Mellon Bank, N.A. served as the Fund's investment manager. Effective
October 17, 1994, The Dreyfus Corporation serves as the Fund's
investment manager.
(2) On February 1, 1993, the Fund commenced selling Institutional shares.
(3) Per share amounts have been calculated using the monthly average share
method.
(4) On August 4, 1994, the Fund commenced selling Trust shares. Effective
October 17, 1994 the Trust shares were reclassified as Class R shares.
(5) Not annualized.
(6) Annualized.
</TABLE>
See notes to financial statements.
<PAGE>
Dreyfus Core Value Fund
_______________________________________
NOTES TO FINANCIAL STATEMENTS
NOTE 1_Significant Accounting Policies:
Dreyfus Core Value Fund (the "Fund") is a diversified equity fund seeking
long-term growth of capital, with current income as a secondary objective,
primarily through investments primarily in common stocks and securities
convertible into common stock. The Dreyfus/Laurel Funds Trust (the "Trust")
is registered under the Investment Company Act of 1940 ("Act") and operates
as a series company currently offering four series including the Fund. The
Dreyfus Corporation ("Manager") serves as the Fund's investment adviser. The
Manager is a direct subsidiary of Mellon Bank, N.A. ("Mellon Bank").
Premier Mutual Fund Services, Inc. (the "Distributor") acts as the
distributor of the Fund's shares. The Distributor, located at One Exchange
Place, Boston, Massachusetts 02109, is a wholly-owned subsidiary of FDI
Distribution Services, Inc., a provider of mutual fund administration
services, which in turn is a wholly-owned subsidiary of FDI Holdings, Inc.,
the parent company of which is Boston Institutional Group, Inc.
The Fund currently offers three classes of shares: Investor,
Institutional and Class R shares. Investor shares are sold primarily to
retail investors and bear a distribution fee. Institutional shares are
offered only to those customers of certain financial planners and investment
advisers who held shares of a predecessor class of the Fund as of April 4,
1994, and bear a distribution fee. Class R shares are sold primarily to bank
trust departments and other financial service providers (including Mellon Bank
and its affiliates) acting on behalf of customers having a qualified trust
or investment account or relationship at such institution, and bear no
distribution fee. Each class of shares has identical rights and privileges,
except with respect to the distribution fee and voting rights on matters
affecting a single class.
Investment income, net of expenses (other than class specific expenses)
and realized and unrealized gains and losses are allocated daily to each
class of shares based upon the relative proportion of net assets of each
class.
(a) Portfolio Valuation: Investments in securities are valued at the last
sales price on the securities exchange on which such securities are primarily
traded or at the last sales price on the national securities market.
Securities not listed on an exchange or the national securities market, or
securities for which there were no transactions, are valued at the average of
the most recent bid and asked prices. Bid price is used when no asked price
is available. Securities for which there are no such valuations are valued at
fair value as determined in good faith under the direction of the Board of
Trustees. Investments denominated in foreign currencies are translated to
U.S. dollars at the prevailing rates of exchange. Forward currency exchange
contracts are valued at the forward rate.
(b) Securities Transactions and Investment Income: Securities
transactions are recorded on a trade date basis. Realized gain and loss from
securities transactions are recorded on the identified cost basis. Dividend
income is recognized on the ex-dividend date and interest income, including,
where applicable, amortization of discount on investments, is recognized on
the accrual basis.
(c) Foreign Currency Transactions: The Fund does not isolate that portion
of the results of the operations resulting from changes in foreign exchange
rates on investment from the fluctuations arising from changes in the market
prices of securities held. Such fluctuations are included with the net
realized and unrealized gain or loss from investments.
<PAGE>
Dreyfus Core Value Fund
_______________________________________
NOTES TO FINANCIAL STATEMENTS (continued)
Net realized foreign exchange gains or losses arise from sales and
maturities of short-term securities, sales of foreign currencies, currency
gains or losses realized on securities transactions, the difference between
the amount of dividends, interest, and foreign withholding taxes recorded on
the Fund's books, and the U.S. dollar equivalent of the amounts actually
received or paid. Net unrealized foreign exchange gains and losses arise from
changes in the value of assets and liabilities other than investments in
securities, resulting from changes in exchange rates. Such gains and losses
are included with net realized and unrealized gain or loss on investments.
(d) Forward Currency Exchange Contracts: The Fund enters into forward
currency exchange contracts in order to hedge its exposure to changes in
foreign currency exchange rates on its foreign portfolio holdings. When
executing forward currency exchange contracts, the Fund is obligated to buy
or sell a foreign currency at a specified rate on a certain date in the
future. With respect to sales of forward currency exchange contracts, the
Fund would incur a loss if the value of the contract increases between the
date the forward contract is opened and the date the forward contract is
closed. The Fund realizes a gain if the value of the contract decreases
between those dates. With respect to purchases of forward currency exchange
contracts, the Fund would incur a loss if the value of the contract decreases
between the date the forward contract is opened and the date the forward
contract is closed. The Fund realizes a gain if the value of the contract
increases between those dates. The Fund is also exposed to credit risk
associated with counter party nonperformance on these forward currency
exchange contracts which is typically limited to the unrealized gains on such
contracts that are recognized in the statement of assets and liabilities. At
December 31, 1995, there were no open forward currency exchange contracts.
(e) Distributions to Shareholders: Dividends are recorded on the
ex-dividend date. Dividends from investment income-net are declared and paid
quarterly. Dividends from net realized capital gain are normally declared and
paid annually, but the Fund may make distributions on a more frequent basis
to comply with the distribution requirements of the Internal Revenue Code. To
the extent that net realized capital gain can be offset by capital loss
carryovers, if any, it is the policy of the Fund not to distribute
such gain.
(f) Federal Income Taxes: It is the policy of the Fund to continue to
qualify as a regulated investment company, if such qualification is in the
best interests of its shareholders, by complying with the applicable
provisions of the Internal Revenue Code, and to make distributions of taxable
income sufficient to relieve it from substantially all Federal income and
excise taxes.
NOTE 2_Investment Management Fee and Other Transactions With Affiliates:
(a) Investment Management Fee: Pursuant to an Investment Management
agreement with the Manager, the Manager provides or arranges for one or more
third parties and or affiliates to provide investment advisory,
administrative, custody, fund accounting and transfer agency services to the
Fund. The Manager also directs the investments of the Fund in accordance with
its investment objective, policies and limitations. For these services, the
Fund is contractually obligated to pay the Manager a fee, calculated daily
and paid monthly, at the annual rate of .90% of the value of the Fund's
average daily net
<PAGE>
Dreyfus Core Value Fund
_______________________________________
NOTES TO FINANCIAL STATEMENTS (continued)
assets. The Manager has voluntarily agreed to waive this fee to .88% of
the Fund's average daily net assets excluding certain fees outlined below.
Out of its fee, the Manager pays all of the expenses of the Fund except
brokerage fees, taxes, interest, Rule 12b-1 distribution fees and expenses,
fees and expenses of non-interested Trustees (including counsel fees) and
extraordinary expenses. In addition, the Manager is required to reduce its
fee in an amount equal to the Fund's allocable portion of fees and expenses
of the non-interested Trustees (including counsel). The reduction in
management fee, pursuant to the undertaking amounted to $66,949 for the year
ended December 31, 1995.
(b) Distribution Plan: The Fund has adopted a distribution plan (the
"Plan") pursuant to Rule 12b-1 under the 1940 Act relating to its Investor
and Institutional shares. Under the Plan, the Fund may pay annually up to
.25% of the value of the average daily net assets attributable to its
Investor shares and up to .15% of the value of the average daily net assets
attributable to its Institutional shares to compensate the Distributor and
Dreyfus Service Corporation, an affiliate of the Manager, for shareholder
servicing activities and the Distributor for activities primarily intended to
result in the sale of Investor and Institutional shares. The Class R shares
bear no distribution fee. For the year ended December 31, 1995, the
distribution fee for the Investor and Institutional shares was $909,513 and
$106,386, respectively.
Under its terms, the Plan shall remain in effect from year to year,
provided such continuance is approved annually by a vote of majority of those
Trustees who are not "interested persons" of the Investment Company and who
have no direct or indirect financial interest in the operation of the Plan or
in any agreement related to the Plan.
(c) Trustees' Fees: Each trustee who is not an "interested person" as
defined in the Act receives $27,000 per year, $1,000 for each Board meeting
attended and $750 for each Audit Committee attended and is reimbursed for
travel and out-of-pocket expenses. These expenses are paid in total by the
following funds: the Dreyfus/Laurel Funds, Inc., The Dreyfus/Laurel Tax-Free
Municipal Funds, and the Dreyfus/Laurel Funds Trust. In addition the
Chairman of the Board receives an annual fee of $75,000 per year. These fees
and expenses are charged and allocated to each series based on net assets.
NOTE 3_Securities Transactions:
The aggregate amount of purchases and sales of investment securities,
excluding short-term securities and forward currency exchange contracts,
during the year ended December 31, 1995 amounted to $228,658,073 and
$251,837,814, respectively.
At December 31, 1995, accumulated net unrealized appreciation on
investments was $88,005,792, consisting of $93,749,273 gross unrealized
appreciation and $5,743,481 gross unrealized depreciation.
At December 31, 1995, the cost of investments for Federal income tax
purposes was substantially the same as the cost for financial reporting
purposes (see the Statement of Investments).
<PAGE>
Dreyfus Core Value Fund
_______________________________________
Independent Auditors Report
Board of Trustees and Shareholders:
The Dreyfus/Laurel Funds Trust
We have audited the accompanying statement of assets and liabilities of
the Dreyfus Core Value Fund of The Dreyfus/Laurel Funds Trust as of December
31, 1995, and the related statement of operations for the year then ended,
and the statement of changes in net assets and the financial highlights for
each of the two years in the period then ended. 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 audits. The financial highlights for each
of the years or periods in the three-year period ended December 31, 1993 were
audited by other auditors whose report thereon, dated February 14, 1994,
expressed an unqualified opinion on that statement and those financial
highlights.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements and
financial highlights 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 as of December 31, 1995, by correspondence with the custodian
and brokers. An audit also includes assessing the accounting principles
used and significant estimates made by management, as well as evaluating the
overall financial statement presentation. We believe that our audits provide
a reasonable basis for our opinion.
In our opinion, the financial statements and financial highlights
referred to above present fairly, in all material respects, the financial
position of the Dreyfus Core Value Fund of The Dreyfus/Laurel Funds Trust, as
of December 31, 1995, and the results of its operations for the year then
ended, changes in its net assets, and the financial highlights for each of
the years in the two year period then ended, in conformity with generally
accepted accounting principles.
KPMG Peat Marwick LLP
Pittsburgh, Pennsylvania
February 6, 1996
<PAGE>
Dreyfus Core Value Fund
_______________________________________
Important Tax Information (Unaudited)
For Federal tax purposes the Fund hereby designates $.2242 per share as a
long-term capital gain distribution paid on July 27, 1995. The Fund also
designates $1.81 per share as a long-term capital gain distribution paid on
December 28, 1995.
<PAGE>
[Dreyfus lion "d" logo]
Dreyfus Core Value Fund
200 Park Avenue
New York, NY 10166
Manager
The Dreyfus Corporation
200 Park Avenue
New York, NY 10166
Custodian
Mellon Trust
One Cabot Road
Medford, MA 02155
Transfer Agent &
Dividend Disbursing Agent
Dreyfus Transfer, Inc.
One American Express Plaza
Providence, RI 02903
Further information is contained in the Prospectus,
which must precede or accompany this report.
Printed in U.S.A. 312/392/712AR9512
[Dreyfus logo]
<PAGE>
Dreyfus
Core Value
Fund
Annual Report
December 31, 1995
COMPARISON OF CHANGE IN VALUE OF $10,000 INVESTMENT IN
DREYFUS CORE VALUE FUND INVESTOR CLASS SHARES AND THE
STANDARD & POOR'S 500 COMPOSITE STOCK PRICE INDEX
EXHIBIT A:
_______________________________________________________
| | DREYFUS CORE | |
| | VALUE FUND | STANDARD & POOR'S |
| PERIOD | (INVESTOR CLASS | 500 COMPOSITE |
| | SHARES) | STOCK PRICE INDEX*|
|------------|---------------------|-------------------|
| 12/31/85 | 10,000 | 10,000 |
| 12/31/86 | 12,248 | 11,866 |
| 12/31/87 | 12,281 | 12,489 |
| 12/31/88 | 14,681 | 14,557 |
| 12/31/89 | 18,345 | 19,162 |
| 12/31/90 | 15,880 | 18,566 |
| 12/31/91 | 19,512 | 24,210 |
| 12/31/92 | 20,298 | 26,052 |
| 12/31/93 | 23,650 | 28,673 |
| 12/31/94 | 23,731 | 29,048 |
| 12/31/95 | 32,170 | 39,955 |
|------------|---------------------|-------------------|
*Source: Lipper Analytical Services, Inc.
