<PAGE> 1
- -------------------------------------------------------------------------------
[Provident Institutional Funds Letterhead]
- -------------------------------------------------------------------------------
Thomas A. Melfe
Chairman
MUNICIPAL FUND FOR NEW YORK INVESTORS, INC.
September 4, 1997
Dear Shareholder:
We are pleased to present the Annual Report to Shareholders of Municipal
Fund for New York Investors, Inc. for the year ended July 31, 1997.
The improved financial condition of New York State and the City of New York
are highlighted in our Adviser's Annual Report. The safety and liquidity of your
investment in our Fund are our primary concerns, and credit quality helps
support both objectives.
Please call your Provident Distributors, Inc. account representative or our
Client Service Center at (800) 821-7432 if you have any questions. We welcome
the opportunity to serve you.
Sincerely,
/s/ Thomas A. Melfe
Thomas A. Melfe
Chairman
<PAGE> 2
MUNICIPAL FUND FOR NEW YORK INVESTORS, INC.
ANNUAL INVESTMENT ADVISER'S REPORT
New York's budget battles this year were of a decidedly more optimistic
character than in previous years. A stronger than projected performance by the
State's economy, together with the effects from an array of past budget measures
including tax cuts, reduction in the State payroll, and a friendlier environment
for business, combined to produce a cash surplus in the neighborhood of $1.4
billion dollars. The State, already leading the nation in tax reduction, has
written further tax relief into the new budget, particularly in the area of
property taxes, and has made a major commitment to upgrading the education
system. Governor Pataki, in his budget address earlier this year, made
optimistic reference to a New York State on the comeback trail, reaping the
rewards of two years of tough fiscal discipline and closing in on the elusive
goal of eliminating structural deficits.
The City of New York logged a record budget surplus of its own this year,
riding a wave of rising revenues produced largely by Wall Street profits from a
continuing stock market boom, and increases in tourism. Mayor Giuliani's new
budget proposals offer relief from the austerity of the past few years,
envisioning no further downsizing of the City workforce, and a reduction in
taxes. Part of the surplus would be used to pay down debt. The City is nearing
its constitutional limit on issuance of general obligation debt and, as a
consequence, may require aid for capital improvements financing from the New
York City Transitional Finance Authority, an agency created for that purpose by
the State. The City's progress in dealing with its structural deficits, like
that of the State, relies heavily on continued growth in the national economy.
The annual spring financing issue of New York State tax and revenue
anticipation notes, once the largest issue in the short term tax exempt market,
has not been an item on the note calendar since the State bonded out its deficit
a number of years ago. The approximately $2.4 billion of New York City tax
anticipation notes and revenue anticipation notes issued last August and October
matured in February, April and June of this year, and new notes are not expected
until early October. New York Money Fund has continued to accumulate positions
in some small school district issues often overlooked by other buyers due to
their size -- a strategy that has worked well in the past. The notes have been
acquired at attractive levels and are generally held to maturity, although some
of the holdings were sold earlier this year. Average weighted maturity for the
Fund has generally been in the 45-55 day range for the past twelve month period
except for the beginning of the calendar year when cash inflows dropped it into
the 30 to 40 day range. Total net assets for the Fund on July 31, 1997 stood at
$270,969,326.
PNC INSTITUTIONAL MANAGEMENT CORPORATION
2
<PAGE> 3
NEW YORK MONEY FUND
MUNICIPAL FUND FOR NEW YORK INVESTORS
Statement of Net Assets
July 31, 1997
<TABLE>
<CAPTION>
INVESTMENTS IN MATURITY PAR
SECURITIES DATE (000) VALUE
- --------------------------------- ------- ------------
<S> <C> <C> <C>
NEW YORK -- 91.3%
Albany City School District BAN
4.375%................07/10/98 $ 1,825 $ 1,832,825
Babylon GO Bonds Series 1994B
MB (AMBAC Insurance)
4.875%................01/15/98 2,200 2,210,917
Beacon City BAN
4.25%.................05/04/98 1,100 1,102,809
City of New York GO DN (FGIC
Insurance) (A-1+, VMIG-1)**
3.60%.................08/01/97 600 600,000
City of New York GO Series D-22
DN (FGIC Insurance) (A-1+,
VMIG-1)**
3.65%.................08/07/97 11,600 11,600,000
City of New York GO Series F-5
DN (Mitsubishi Bank LOC)
(A-1+, VMIG-1)**
3.55%.................08/07/97 3,300 3,300,000
City of New York GO Series
1995F-2 DN (Toronto Dominion
LOC) (A-1+, VMIG-1)**
3.55%.................08/07/97 500 500,000
City of New York GO Series
1995F-3 DN (Landesbank Hessen
LOC) (A-1, VMIG-1)**
3.60%.................08/07/97 2,200 2,200,000
City of New York GO Series
1995F-4 DN (A-1+, VMIG-1)**
3.55%.................08/07/97 1,100 1,100,000
City of New York GO Series
1995F-6 DN (Morgan Guaranty
LOC) (A-1+, VMIG-1)**
3.60%.................08/07/97 3,400 3,400,000
City of New York Housing
Development Corporation
(Columbus Gardens Project)
Series 1993A DN (Citibank LOC)
(A-1)**
3.55%.................08/07/97 4,385 4,385,000
City of New York Housing
Development Corporation (East
96th St. Project) DN
(Mitsubishi Bank LOC) (A-1+,
VMIG-1)**
3.70%.................08/07/97 2,000 2,000,000
City of New York Housing
Development Corporation
(Queenswood Apartment Project)
DN (Sumitomo Bank LOC)
(VMIG-1)**
3.60%.................08/07/97 2,525 2,525,000
<CAPTION>
INVESTMENTS IN MATURITY PAR
SECURITIES DATE (000) VALUE
- --------------------------------- ------- ------------
<S> <C> <C> <C>
NEW YORK (CONTINUED)
City of New York Housing
Development Corporation DN
(Federal National Mortgage
Association LOC) (A-1+)**
3.45%.................08/07/97 $ 200 $ 200,000
City of New York IDA (Columbia
Grammar & Preparatory School
Civic Facility) RB Series 1994
DN (Chemical Bank LOC) (A-1)**
3.45%.................08/07/97 300 300,000
City of New York IDA Tender
Notes (La Guardia Associates)
Series 1985 DN Banque Indosuez
LOC)(P-1)**
3.70%.................08/06/97 10,200 10,200,000
City of New York IDA Tender
Notes Field Hotel Association
(JFK Project) DN (Banque
Indosuez LOC) (P-1)**
3.70%.................08/07/97 12,450 12,450,000
City of New York Municipal
Assistance Corporation (Public
Benefit Corporation of The
State of New York) Series
1991K DN (Bayerische
Landesbank Girozentrale LOC)
(A-1+, VMIG-1)**
3.65%.................08/07/97 3,200 3,200,000
City of New York Tender Option
Bond DN (MBIA Insurance)
(VMIG-1)**
3.73%.................08/07/97 7,000 7,000,000
City of New York Trust For
Cultural Resources (American
Museum of Natural History)
Series 1993A DN (MBIA
Insurance) (A-1+, VMIG-1)**
3.60%.................08/07/97 400 400,000
City of New York Trust For
Cultural Resources (Carnegie
Hall) Series 1985 DN
(Westdeutsche Landesbank
Girozentrale LOC) (A-1,
VMIG-1)**
3.65%.................08/07/97 9,250 9,250,000
City of New York Trust For
Cultural Resources (Carnegie
Hall) Series 1990 DN
(Westdeutsche Landesbank
Girozentrale LOC) (A-1,
VMIG-1)**
3.65%.................08/07/97 4,400 4,400,000
</TABLE>
3
<PAGE> 4
NEW YORK MONEY FUND
Statement of Net Assets (Continued)
<TABLE>
<CAPTION>
INVESTMENTS IN MATURITY PAR
SECURITIES DATE (000) VALUE
- --------------------------------- ------- ------------
<S> <C> <C> <C>
NEW YORK (CONTINUED)
City of New York Trust For
Cultural Resources (The Museum of
Broadcasting) Series 1989 DN
(Sumitomo Bank LOC) (A-1+,
VMIG-1)**
3.55%....................08/07/97 $ 7,200 $ 7,200,000
Dormitory Authority of The
State of New York (Beverwyck,
Inc.) DN (Banque Paribas LOC)
(P-1)**
3.70%.................08/07/97 6,900 6,900,000
Dormitory Authority of The
State of New York
(Metropolitan Museum of Art)
Series 1993A DN (A-1+,
VMIG-1)**
3.50%.................08/07/97 1,720 1,720,000
Dormitory Authority of The
State of New York RB (Memorial
Sloan-Kettering Cancer Center)
TECP (Chemical Bank LOC) (A-1,
VMIG-1)
3.70%.................09/15/97 2,140 2,140,000
Dormitory Authority of The
State of New York RB (Memorial
Sloan-Kettering Cancer Center)
TECP (Morgan Guaranty LOC)
(A-1+, P-1)
3.75%.................08/29/97 800 800,000
Dormitory Authority of The
State of New York TECP
(Dai-Ichi Kangyo LOC) (A-1,
P-1)
3.85%.................08/15/97 8,135 8,135,000
3.85%.................09/15/97 1,414 1,414,000
East Irondequiot Central School
District BAN Series 1997
4.125%................01/21/98 1,260 1,262,156
Galway Central School District
BAN
4.125%................06/18/98 4,000 4,009,287
Metropolitan Transportation
Authority Commuter Facilities
Series 1991 DN (Morgan
Guaranty LOC) (A-1+, VMIG-1)**
3.65%.................08/07/97 19,900 19,900,000
Monroe County IDA (Canal Ponds
Business Park Project) Series
1995D DN (Fleet Bank LOC)
(A-1, VMIG-1)**
3.60%.................08/07/97 5,150 5,150,000
Monroe County IDRB (Emerson
Electric) MB (VMIG-1)
3.78%.................07/01/98 2,290 2,290,000
INVESTMENTS IN MATURITY PAR
SECURITIES DATE (000) VALUE
- --------------------------------- ------- ------------
NEW YORK (CONTINUED)
Montgomery County IDRB (Service
Merchandise Company) DN
(Barclays Bank LOC) (A-1+,
VMIG-1)**
3.75%.................08/15/97 $ 4,700 $ 4,700,000
Nassau County GO General
Improvement Bonds Series V MB
(AMBAC Insurance)
5.125%................03/01/98 3,000 3,025,334
New Paltz Central School
District BAN
4.125%................06/15/98 5,000 5,009,854
New York Local Government
Assistance Corporation Bonds
Series 1995D DN (Societe
Generale LOC) (A-1+, VMIG-1)**
3.55%.................08/07/97 8,700 8,700,000
New York State Energy, Research
& Development Authority PCRB
(Lilco Project) Series A
MB(Deutsche Bank LOC) (VMIG-1)
3.60%.................03/01/98 10,000 10,000,000
New York State Energy, Research
& Development Authority PCRB
(New York State Electric & Gas
Corporation) MB (Union Bank of
Switzerland LOC) (VMIG-1,
A-1+)
3.60%.................12/01/97 2,065 2,065,000
New York State Energy, Research
& Development Authority PCRB
(New York State Electric & Gas
Corporation) Series 1985A MB
(Morgan Guaranty LOC) (A-1+,
P-1)
3.65%.................03/15/98 5,000 5,000,000
New York State Energy, Research
& Development Authority PCRB
(New York State Electric & Gas
Corporation) Series 1985B MB
(Union Bank of Switzerland
LOC) (VMIG-1, A-1+)
3.75%.................10/15/97 2,000 2,000,000
New York State Energy, Research
& Development Authority PCRB
(Rochester Gas & Electric) DN
(Bank of New York LOC) (A-1,
VMIG-1)**
3.55%.................08/01/97 11,500 11,500,000
</TABLE>
4
<PAGE> 5
NEW YORK MONEY FUND
Statement of Net Assets (Continued)
<TABLE>
<CAPTION>
INVESTMENTS IN MATURITY PAR
SECURITIES DATE (000) VALUE
- --------------------------------- ------- ------------
<S> <C> <C> <C>
NEW YORK (CONTINUED)
New York State Environmental
Quality GO Series 1997A TECP
(Bayerische Landesbank
Girozentrale LOC) (A-1+, P-1)
3.45%....................08/29/97 $ 5,000 $ 5,000,000
3.75%.................08/29/97 500 500,000
New York State Housing Finance
Agency (State University
Construction) Series A MB
(Escrowed In U.S. Treasuries)
7.25%.................05/01/98 525 537,373
New York State Housing Finance
Agency Multifamily Housing RB
Series 1988A DN (AMBAC
Insurance) (A-1+, VMIG-1)**
3.60%.................08/07/97 700 700,000
New York State Housing Finance
Authority (Normandie Court I)
Series 1991A DN (Societe
Generale LOC) (A-1+, VMIG-1)**
3.50%.................08/07/97 6,500 6,500,000
New York State Job Development
Authority Series A DN
(Sumitomo Bank LOC) (A-1,
VMIG-1)**
3.80%.................08/01/97 785 785,000
New York State Job Development
Authority Special Purpose
Bonds Series 1984C DN
(Sumitomo Bank LOC) (A-1,
VMIG-1)**
4.00%.................08/01/97 6,375 6,375,000
New York State Job Development
Authority Special Purpose
Bonds Series 1984D DN
(Sumitomo Bank LOC) (A-1,
VMIG-1)**
4.00%.................08/01/97 290 290,000
New York State Job Development
Authority Special Purpose
Bonds Series 1984E DN
(Sumitomo Bank LOC) (A-1,
VMIG-1)**
4.00%.................08/01/97 1,310 1,310,000
New York State Job Development
Authority Special Purpose
Bonds Series 1984F DN
(Sumitomo Bank LOC) (A-1,
VMIG-1)**
4.00%.................08/01/97 1,740 1,740,000
New York State Job Development
Authority Special Purpose
Bonds Series 1984G DN
(Sumitomo Bank LOC) (A-1,
VMIG-1)**
4.00%.................08/01/97 2,280 2,280,000
INVESTMENTS IN MATURITY PAR
SECURITIES DATE (000) VALUE
- --------------------------------- ------- ------------
NEW YORK (CONTINUED)
New York State Job Development
Authority Special Purpose
Bonds Series 1984H DN
(Sumitomo Bank LOC) (A-1,
VMIG-1)**
4.00%.................08/01/97 $ 1,235 $ 1,235,000
New York State Power Authority
Revenue & General Purpose
Bonds MB (A-1, VMIG-1)
3.50%.................09/01/97 15,300 15,300,000
New York State Power Authority
TECP (A-1, P-1)
3.90%.................08/15/97 1,500 1,500,000
Niagara Falls Toll Bridge
Series 1993A DN (FGIC
Insurance) (A-1+, VMIG-1)**
3.60%.................08/07/97 300 300,000
Suffolk County Water Authority
BAN DN (Bank of Nova Scotia
LOC) (VMIG-1)**
3.65%.................08/07/97 2,200 2,200,000
Triborough Bridge & Tunnel
Authority DN (FGIC Insurance)
(A-1+, VMIG-1)**
3.60%.................08/07/97 700 700,000
West Babylon Union Free School
District TAN
4.25%.................06/25/98 3,000 3,008,023
------------
247,337,578
------------
PUERTO RICO -- 8.5%
Puerto Rico Government
Development Bank Series 1985
DN (Credit Suisse LOC) (A-1+,
VMIG-1)**
3.25%.................08/07/97 11,500 11,500,000
Puerto Rico Highway &
Transportation Authority RB
Series X DN (Landesbank
Hessen-Thuringen LOC) (A-1+,
VMIG-1)**
3.25%.................08/07/97 2,400 2,400,000
Puerto Rico Industrial, Medical
& Higher Education Revenue
Bonds (InterAmerican
University of Puerto Rico)
Series 1988 MB(Bank of Tokyo
LOC) (VMIG-1)
3.70%.................08/15/97 3,200 3,200,000
</TABLE>
5
<PAGE> 6
<TABLE>
<CAPTION>
NEW YORK MONEY FUND
Statement of Net Assets (Concluded)
INVESTMENTS IN MATURITY PAR
SECURITIES DATE (000) VALUE
- --------------------------------- ------- ------------
<S> <C> <C> <C>
PUERTO RICO (CONTINUED)
Puerto Rico Medical, Higher
Education & Environmental PCRB
(Ana G. Mendez Educational
Foundation Project) DN (Bank
of Tokyo LOC) (A-1+, VMIG-1)**
3.65%.................08/07/97 $ 5,900 $ 5,900,000
-----------
23,000,000
-----------
TOTAL INVESTMENTS IN SECURITIES
(Cost $270,337,578*)............... 99.8% 270,337,578
OTHER ASSETS IN EXCESS OF
LIABILITIES........................ 0.2% 631,748
---- -----------
NET ASSETS (Equivalent to $1.00
per share based on 269,846,128
Money Shares and 1,148,298
Dollar Shares of capital stock
outstanding).......................100.0% $270,969,326
====== ============
NET ASSET VALUE, OFFERING AND
REDEMPTION PRICE PER SHARE
($270,969,326 / 270,994,426).......................$1.00
=====
- -------------
* Aggregate cost for federal income tax purposes is
substantially the same.
** Variable rate demand notes -- The interest rate shown
is as of July 31, 1997 and the maturity date shown is
the longer of (i) the next interest readjustment date
or (ii) the date on which the principal amount owed can
be recovered through demand.
The Moody's Investors Service, Inc. and Standard &
Poor's Ratings Group ratings indicated are believed to
be the most recent ratings available at July 31, 1997.
The ratings have not been verified by the Independent
Accountants and, therefore, are not covered by the
Report of the Independent Accountants.
- ---------------------------------------------------------
</TABLE>
NEW YORK MONEY FUND
SUPPLEMENTARY INFORMATION
Maturity Schedule of Portfolio
July 31, 1997
<TABLE>
<CAPTION>
MATURITY
PERIOD PAR PERCENTAGE
------------- ------------ ---------
<S> <C> <C> <C> <C>
1-30 days $208,130,000 77.0%
31-60 days 18,854,000 7.0%
61-90 days 2,000,000 0.7%
121-150 days 2,065,000 0.8%
Over 150 days 39,200,000 14.5%
Average Weighted Maturity of Portfolio -- 48 days
- ---------------------------------------------------------
INVESTMENT ABBREVIATIONS:
BAN Bond Anticipation Note
DN Demand Note
GO General Obligation
IDA Industrial Development Authority
IDRB Industrial Development Revenue Bond
LOC Letter of Credit
MB Municipal Bond
PCRB Pollution Control Revenue Bond
RB Revenue Bond
TAN Tax Anticipation Note
TECP Tax-Exempt Commercial Paper
</TABLE>
See Notes to Financial Statements
6
<PAGE> 7
NEW YORK MONEY FUND
MUNICIPAL FUND FOR NEW YORK INVESTORS, INC.
Statement of Operations
Year Ended July 31, 1997
<TABLE>
<S> <C>
Investment income:
Interest income........................................................ $10,099,414
-----------
Expenses:
Investment advisory fees............................................... 570,789
Administration fees.................................................... 570,789
Legal fees............................................................. 48,723
Audit fees............................................................. 38,712
Directors' and officer's fees and expenses............................. 35,060
Custodian fees......................................................... 72,432
Transfer agent fees.................................................... 29,640
Printing............................................................... 11,870
Shareholder computer access program.................................... 12,790
Miscellaneous.......................................................... 19,924
-----------
1,410,729
Fees waived by Investment Adviser and Administrators................... (840,068)
-----------
570,661
Service Organization fees: Dollar Shares............................... 8,458
-----------
Total expenses...................................................... 579,119
-----------
Net investment income............................................... 9,520,295
Realized gain on investments:
Net realized gain on investments sold.................................. 6,328
-----------
Net increase in net assets resulting from operations..................... $ 9,526,623
===========
</TABLE>
See Notes to Financial Statements.
7
<PAGE> 8
NEW YORK MONEY FUND
MUNICIPAL FUND FOR NEW YORK INVESTORS, INC.
Statements of Changes in Net Assets
<TABLE>
<CAPTION>
YEAR ENDED YEAR ENDED
JULY 31, 1997 JULY 31, 1996
------------- -------------
<S> <C> <C>
Increase (decrease) in net assets:
Operations:
Net investment income................................... $ 9,520,295 $ 8,839,249
Net realized gain on investments sold................... 6,328 4
------------ ------------
Net increase in net assets resulting from operations.... 9,526,623 8,839,253
------------ ------------
Dividends to shareholders from net investment income:
Money Shares............................................ (9,414,149) (8,838,972)
Dollar Shares........................................... (106,146) (277)
Plus Shares............................................. -- --
------------ ------------
Total dividends to shareholders......................... (9,520,295) (8,839,249)
------------ ------------
Increase (decrease) in net assets from Fund share
transactions............................................ (1,201,801) 25,514,513
------------ ------------
Net increase (decrease) in net assets................... (1,195,473) 25,514,517
Net assets:
Beginning of period........................................ 272,164,799 246,650,282
------------ ------------
End of period.............................................. $ 270,969,326 $ 272,164,799
============ ============
</TABLE>
See Notes to Financial Statements.
8
<PAGE> 9
NEW YORK MONEY FUND
MUNICIPAL FUND FOR NEW YORK INVESTORS, INC.
Financial Highlights
(FOR A FUND SHARE OUTSTANDING THROUGHOUT EACH PERIOD)
<TABLE>
<CAPTION>
MONEY SHARES
-----------------------------------------------------------------------------
YEAR ENDED YEAR ENDED YEAR ENDED YEAR ENDED YEAR ENDED
JULY 31, 1997 JULY 31, 1996 JULY 31, 1995 JULY 31, 1994 JULY 31, 1993
------------- ------------- ------------- ------------- -------------
<S> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Period.............. $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
------- ------- ------- ------- -------
Income From Investment Operations:
Net Investment Income........................ 0.0334 0.0339 0.0338 0.0226 0.0230
------- ------- ------- ------- -------
Less Distributions:
Dividends to Shareholders from Net Investment
Income..................................... (0.0334) (0.0339) (0.0338) (0.0226) (0.0230)
------- ------- ------- ------- -------
Net Asset Value, End of Period.................... $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
======= ======= ======= ======= =======
Total Return...................................... 3.39% 3.44% 3.43% 2.29% 2.33%
Ratios/Supplemental Data:
Net Assets, End of Period $(000)............. 269,821 272,145 246,650 279,483 204,670
Ratio of Expenses to Average Daily Net
Assets(1).................................. 0.20% 0.20% 0.20% 0.20% 0.25%
Ratio of Net Investment Income to Average
Daily Net Assets........................... 3.34% 3.37% 3.36% 2.28% 2.31%
</TABLE>
- ---------------
(1) Operating expense ratios before waivers of fees by the Investment Adviser
and Administrators for Money Shares for the years ended July 31, 1997, 1996,
1995, 1994 and 1993 were .49%, .50%, .49%, .48% and .51%, respectively.
See Notes to Financial Statements.
9
<PAGE> 10
NEW YORK MONEY FUND
MUNICIPAL FUND FOR NEW YORK INVESTORS, INC.
Financial Highlights
(FOR A FUND SHARE OUTSTANDING THROUGHOUT EACH PERIOD)
<TABLE>
<CAPTION>
DOLLAR SHARES
--------------------------------------------------------------------------------
YEAR ENDED YEAR ENDED YEAR ENDED
YEAR ENDED JULY 31, JULY 31, JULY 31, YEAR ENDED
JULY 31, 1997 1996(3) 1995(3) 1994(3) JULY 31, 1993
------------- -------------- -------------- -------------- -------------
<S> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Period........... $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
-------- -------- ----- -------- --------
Income From Investment Operations:
Net Investment Income..................... 0.0309 0.0089 0.00 0.0127 0.0205
-------- -------- ----- -------- --------
Less Distributions:
Dividends to Shareholders from Net
Investment Income....................... (0.0309) (0.0089) 0.00 (0.0127) (0.0205)
-------- -------- ----- -------- --------
Net Asset Value, End of Period................. $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
======== ======== ===== ======== ========
Total Return................................... 3.14% 3.05%(2) -- 1.96%(2) 2.08%
Ratios/Supplemental Data:
Net Assets, End of Period $(000).......... 1,148 20 -- -- 46,509
Ratio of Expenses to Average Daily Net
Assets(1)............................... .45% .45%(2) -- 0.45%(2) 0.50%
Ratio of Net Investment Income to Average
Daily Net Assets........................ 3.09% 3.07%(2) -- 1.94%(2) 2.06%
</TABLE>
- ---------------
(1) Operating expense ratios before waivers of fees by the Investment Adviser
and Administrators for Dollar Shares for the years ended July 31, 1997,
1996, 1994 and 1993 were .74%, .75% (annualized), .73% (annualized) and
.76%, respectively.
(2) Annualized.
(3) There were no Dollar Shares outstanding during the period from March 28,
1994 to April 14, 1996.
See Notes to Financial Statements.
10
<PAGE> 11
NEW YORK MONEY FUND
MUNICIPAL FUND FOR NEW YORK INVESTORS, INC.
Financial Highlights
(FOR A FUND SHARE OUTSTANDING THROUGHOUT EACH PERIOD)
<TABLE>
<CAPTION>
PLUS SHARES
--------------------------------------------------------------------------------
YEAR ENDED YEAR ENDED YEAR ENDED
JULY 31, JULY 31, JULY 31, YEAR ENDED YEAR ENDED
1997(3) 1996(3) 1995(3) JULY 31, 1994 JULY 31, 1993
-------------- -------------- -------------- ------------- -------------
<S> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Period........... $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
----- ----- -------- -------- --------
Income From Investment Operations:
Net Investment Income..................... 0.00 0.00 0.0090 0.0201 0.0205
----- ----- -------- -------- --------
Less Distributions:
Dividends to Shareholders from Net
Investment Income....................... 0.00 0.00 (0.0090) (0.0201) (0.0205)
----- ----- -------- -------- --------
Net Asset Value, End of Period................. $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
===== ===== ======== ======== ========
Total Return................................... -- -- 2.69%(2) 2.04% 2.08%
Ratios/Supplemental Data:
Net Assets, End of Period $(000).......... -- -- -- 435 1,481
Ratio of Expenses to Average Daily Net
Assets(1)............................... -- -- 0.45%(2) 0.45% 0.50%
Ratio of Net Investment Income to Average
Daily Net Assets........................ -- -- 2.64%(2) 2.03% 2.06%
</TABLE>
- ---------------
(1) Operating expense ratios before waivers of fees by the Investment Adviser
and Administrators for Plus Shares for the years ended July 31, 1995, 1994
and 1993 were .73% (annualized), .73% and .76%, respectively.
(2) Annualized.
(3) There were no Plus Shares outstanding during the period from December 2,
1994 to July 31, 1997.
See Notes to Financial Statements.
11
<PAGE> 12
NOTES TO FINANCIAL STATEMENTS
1. General Information
Municipal Fund for New York Investors, Inc. (the "Company") is a no-load,
non-diversified, open-end management investment company registered under the
Investment Company Act of 1940, as amended. The Company offers three series of
shares--New York Money ("Money"), New York Money Dollar ("Dollar"), and New York
Money Plus ("Plus"). Shares of each series represent equal pro rata interests in
a single investment portfolio of the Company and are identical in all respects
except that the Dollar and Plus Shares bear the service fees described below and
are entitled to vote separately on matters relating to these fees.
Dollar Shares are sold pursuant to a non-12b-1 Shareholder Services Plan to
institutions other than broker/dealers, and Plus Shares are sold pursuant to a
12b-1 Services Plan only to broker/dealers which enter into agreements with the
Company requiring them to provide certain support services to their customers in
consideration of the Company's payment of .25% (on an annualized basis) of the
average daily net asset value of such shares held by the institutions on behalf
of their customers. Dividends paid to Dollar and Plus shareholders are reduced
by such fees. In addition, broker/dealers purchasing Plus Shares may be
requested to provide assistance in connection with the distribution of such
shares. Money Shares are sold to institutional investors who choose not to enter
into such servicing agreements with the Company.
Certain New York municipal obligations in the Company's portfolio may be
obligations of issuers which rely in whole or in part on New York State
revenues, real property taxes, revenues from health care institutions, or
obligations secured by mortgages on real property. Consequently, the possible
effect of economic conditions in New York State and of New York law on these
obligations must be considered.
2. Significant Accounting Policies
The preparation of financial statements in conformity with generally accepted
accounting principles requires management to make estimates and assumptions that
affect the reported amounts of assets and liabilities at the date of the
financial statement and the reported amounts of revenues and expenses during the
reporting period. Actual results could differ from these estimates. The
following is a summary of significant accounting policies consistently followed
by the Company in the preparation of its financial statements.
Portfolio valuation--Portfolio securities of the Company are valued at
amortized cost which approximates market value. Amortized cost valuation
involves valuing an instrument at its cost initially and, thereafter, assuming a
constant amortization to maturity of any discount or premium.
Securities transactions and investment income--Securities transactions are
recorded on the trade date. Realized gains and losses on investments sold are
recorded on the identified cost basis. Interest income is recorded on the
accrual basis.
Dividends and distributions to shareholders--It is the policy of the Company
to declare dividends from net investment income daily and to pay such dividends
within five business days of the end of each month. Net realized capital gains,
if any, are distributed at least annually.
Federal taxes--No provision is made for federal income or excise taxes since
the Company intends to continue to qualify as a regulated investment company by
complying with the applicable requirements of the Internal Revenue Code of 1986,
as amended, and by distributing all of its earnings to its shareholders.
3. Investment Advisory Fee, Administration Fee and Other Related Party
Transactions
The Company has entered into an Investment Advisory Agreement with PNC
Institutional Man-
12
<PAGE> 13
agement Corporation (the "Investment Adviser"), an indirect wholly-owned
subsidiary of PNC Bank, National Association ("PNC Bank"). PNC Bank serves as
the Company's sub-investment adviser pursuant to a Sub-Advisory Agreement. Under
the Investment Advisory Agreement, the Investment Adviser is entitled to receive
a fee from the Company, computed daily and payable monthly, at an annual rate of
.20% of the Company's average daily net assets.
Provident Distributors, Inc. ("PDI") is the Company's distributor. No
compensation is payable by the Company to PDI for its distribution services.
The Company has entered into an Administration Agreement with PFPC Inc.
("PFPC"), an indirect wholly-owned subsidiary of PNC Bank, and PDI (the
"Administrators"), for certain administrative services. Pursuant to their
administrative agreement with the Company, PFPC and PDI jointly are entitled to
receive a fee at an annual rate of .20% of the Company's average daily net
assets.
The Investment Adviser and Administrators have agreed to reduce the advisory
and administration fees otherwise payable to them and to reimburse the Company
for its operating expenses to the extent necessary to ensure that its annual
operating expense ratio (excluding fees paid to Service Organizations pursuant
to Servicing Agreements) does not exceed .20% of the Company's average daily net
assets.
For the year ended July 31, 1997, the Investment Adviser and Administrators
voluntarily waived fees totaling $840,068.
Expenses include legal fees paid to counsel to the Company, a partner of which
is secretary of the Company.
PNC Bank is the Company's custodian and PFPC is transfer agent.
Service Organization fees of $8,408 were paid to affiliates of PNC Bank for
the year ended July 31, 1997.
4. Fund Shares
Since the Company has sold, issued as reinvestments of dividends and redeemed
shares only at a constant net asset value of $1.00 per share, the number of
shares is the same as the following amounts for such transactions.
<TABLE>
<CAPTION>
YEAR YEAR
ENDED ENDED
JULY 31, 1997 JULY 31, 1996
--------------- ---------------
<S> <C> <C>
Sold
Money shares....... $ 1,249,241,950 $ 1,050,446,668
Dollar shares...... 61,700,122 40,000
Plus shares........ -- --
Issued as
reinvestments
of dividends
Money shares....... 396,348 143,673
Dollar shares...... 45,758 --
Plus shares........ -- --
Redeemed
Money shares....... (1,251,968,397) (1,025,095,828)
Dollar shares...... (60,617,582) (20,000)
Plus shares........ -- --
--------------- ---------------
Net increase
(decrease)......... $ (1,201,801) $ 25,514,513
=============== ===============
</TABLE>
The authorized capital of the Company consists of 1.4 billion Money Shares,
300 million Dollar Shares and 300 million Plus Shares, each with a par value of
$.001 per share.
On July 31, 1997, five shareholders held approximately 73% of the outstanding
shares of the New York Money Fund.
5. Capital Loss Carryover
At July 31, 1997, a capital loss carryover of $23,663, expiring at various
times from 1998-2001, was available to offset possible future capital gains.
At July 31, 1997, a reduction of $1,437 was made to accumulated net realized
loss on investments and to paid-in capital to reflect the expiration of a
capital loss carryover for federal income tax purposes.
6. Net Assets
At July 31, 1997, net assets consisted of the following:
<TABLE>
<S> <C>
Paid-in capital............... $270,992,989
Accumulated net realized loss
on investments.............. (23,663)
------------
Total Net Assets.............. $270,969,326
=============
</TABLE>
13
<PAGE> 14
REPORT OF INDEPENDENT ACCOUNTANTS
To the Shareholders and Board of Directors of
Municipal Fund for New York Investors, Inc.
We have audited the accompanying statement of net assets of Municipal Fund for
New York Investors, Inc. as of July 31, 1997 and the related statement of
operations for the year then ended, the statements of changes in net assets for
each of the two years in the period then ended, and the financial highlights for
each of the five 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.
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 held by the
custodian as of July 31, 1997. 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
Municipal Fund for New York Investors, Inc. as of July 31, 1997, the results of
its operations for the year then ended, the changes in net assets for each of
the two years in the period then ended, and the financial highlights for each of
the five years in the period then ended, in conformity with generally accepted
accounting principles.
COOPERS & LYBRAND L.L.P.
2400 Eleven Penn Center
Philadelphia, Pennsylvania
August 27, 1997
<PAGE> 15
DIRECTORS
Thomas A. Melfe
Chairman
Francis E. Drake, Jr.
Rodney D. Johnson
Anthony M. Santomero
OFFICERS
Edward J. Roach
President and Treasurer
Morgan R. Jones
Secretary
INVESTMENT ADVISER
PNC Institutional Management Corporation
400 Bellevue Parkway
Wilmington, DE 19809
CO-ADMINISTRATORS
PFPC Inc.
400 Bellevue Parkway
Wilmington, DE 19809
Provident Distributors, Inc.
Four Falls Corporate Center
6th Floor
West Conshohocken, PA 19428
DISTRIBUTOR
Provident Distributors, Inc.
Four Falls Corporate Center
6th Floor
West Conshohocken, PA 19428
TRANSFER AGENT
PFPC Inc.
P.O. Box 8950
Wilmington, DE 19885-9628
This report is submitted for the general information of the shareholders of the
Company. It is not authorized for distribution to prospective investors unless
accompanied or preceded by an effective prospectus for the Company, which
contains information concerning its investment policies as well as other
pertinent information.
PIF-A-012
NEW YORK MONEY FUND
An Investment Portfolio
Offered by
Municipal Fund for
New York Investors, Inc.
[PROVIDENT INSTITUTIONAL FUNDS LOGO]
Annual Report to Shareholders
July 31, 1997
