Dreyfus Premier
Value Fund
SEMIANNUAL REPORT April 30, 2000
(reg.tm)
The views expressed herein are current to the date of this report. These views
and the composition of the fund's portfolio are subject to change at any time
based on market and other conditions.
* Not FDIC-Insured * Not Bank-Guaranteed * May Lose Value
Contents
THE FUND
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2 Letter from the President
3 Discussion of Fund Performance
6 Statement of Investments
10 Statement of Assets and Liabilities
11 Statement of Operations
12 Statement of Changes in Net Assets
14 Financial Highlights
19 Notes to Financial Statements
FOR MORE INFORMATION
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Back Cover
The Fund
Dreyfus Premier
Value Fund
LETTER FROM THE PRESIDENT
Dear Shareholder:
We are pleased to present this semiannual report for Dreyfus Premier Value Fund,
covering the six-month period from November 1, 1999 through April 30, 2000.
Inside, you' ll find valuable information about how the fund was managed during
the reporting period, including a discussion with the fund's portfolio manager,
Timothy M. Ghriskey.
The past six months have been highly volatile -- but generally rewarding -- for
investors in large-cap U.S. stocks. While the market's advance during the last
two months of 1999 was led primarily by technology stocks and large-cap growth
stocks in a fast-growing economy, the large-cap sector of the stock market
corrected substantially during the first quarter of 2000, causing large-cap
stocks to generally underperform small- and mid-cap stocks during those three
months.
In mid-March, investor sentiment appeared to shift once more. Faced with
evidence that inflationary pressures were building, the Nasdaq Composite Index,
a major measure of technology stock performance, fell substantially between
mid-March and the end of April, including a considerably large single-day drop
on April 14. Many "old economy" stocks declined less severely, and some
value-oriented stocks gained ground amid renewed investor interest. While it is
too soon to determine whether this broadening of the market is likely to
persist, we believe that it may be a positive sign for the stock market overall
We appreciate your confidence over the past six months, and we look forward to
your continued participation in Dreyfus Premier Value Fund.
Sincerely,
Stephen E. Canter
President and Chief Investment Officer
The Dreyfus Corporation
May 15, 2000
DISCUSSION OF FUND PERFORMANCE
Timothy M. Ghriskey, Senior Portfolio Manager
How did Dreyfus Premier Value Fund perform relative to its benchmark?
For the six-month period ended April 30, 2000, the fund produced a total return
of 2.86% for Class A shares, 2.49% for Class B shares, 2.35% for Class C shares
and 2.50% for Class R shares.(1) For the same period, the Russell 1000 Value
Index, the fund's benchmark, produced a total return of -0.99%.(2)
From its March 1, 2000 inception through April 31, 2000, the fund's Class T
shares achieved a total return of 7.62%.(1)
We attribute the fund's ability to achieve a positive return in this market and
its performance relative to its benchmark largely to our technology holdings.
Much of the market's advance during the period was driven by strong performance
among technology-related stocks. Since the fund held a greater concentration of
technology stocks than its benchmark, the fund enjoyed higher returns. However,
the fund' s holdings in technology stocks were scaled back shortly after the
reporting period ended, now reflecting those of its benchmark.
What is the fund's investment approach?
The fund invests in a diversified portfolio of value-oriented companies. We
define a value stock as one that appears underpriced in relation to the
company's intrinsic value, as measured by a wide range of financial and business
data. To put it another way, we seek to buy growing companies at bargain prices
We select investments one stock and one company at a time. Our investment
process starts with computerized, quantitative analysis of the universe of
stocks, first to identify those that meet our definition of value and then to
focus on those value stocks we believe are best positioned to grow in the
prevailing market environment. Our team of experienced analysts examines the
fundamentals of each top-ranked The Fund
DISCUSSION OF FUND PERFORMANCE (CONTINUED)
candidate, providing additional information to help the portfolio manager decide
which to purchase or sell. The result of our approach during the recent
six-month period was a portfolio of carefully selected stocks with notably
greater concentration than our benchmark in the technology sector.
What other factors influenced the fund's performance?
The fund' s performance during the reporting period was largely driven by the
rise of technology-related holdings. In fact, technology has been a driving
force behind U.S. economic growth and stock market performance over the past
several years. Although many technology- and Internet-related stocks failed to
meet our value-oriented investment criteria, we identified and invested in
several large, well-established technology companies that did meet our
standards. We allocated an average of approximately 14.8% of the fund's assets
to technology stocks during the period, compared with an average of
approximately 6.6% for the Russell 1000 Value Index. Our diversified technology
holdings included computer companies, such as Apple Computer; semiconductor
manufacturers, such as Intel; and software vendors, such as Computer Associates
International. Although many technology stocks suffered sharp declines in March
and April 2000, the fund' s value-oriented technology holdings preserved a
significant portion of the gains they had achieved earlier in the period.
The fund's performance was also strongly influenced by higher prices for several
individual stocks among our non-technology holdings. Our best performers
included well-known consumer staples companies, such as General Motors, as well
as less familiar names in the utilities sector, such as Dynegy. Our value
discipline prompted us to reduce holdings in stocks of some companies, such as
Cendant, that climbed higher than we believed to be justified by company
fundamentals.
Finally, during the first half of the reporting period, rising interest rates
hurt the fund' s financial company investments, which represented the fund's
largest single area of investment. However, our investments in the financial
sector rebounded in March and April as expectations rose tha
interest rates were nearing their peak. Our diversified holdings also included
significant positions in many other industries, most notably the traditional
value sectors of energy, basic materials, and producer manufacturing. While none
of these sectors made strong contributions to the fund's positive performance,
neither did they detract substantially.
What is the fund's current strategy?
As of April 30, 2000, we have continued to allocate a relatively high percentage
of the fund' s assets to value-oriented technology stocks, as compared to the
Russell 1000 Value Index. As mentioned earlier, the fund's technology holdings
have since been scaled back to reflect those of its benchmark. However, we
believe that technology remains a driving force behind U.S. economic growth,
delivering products that stimulate consumer spending and productivity
enhancements that enable businesses to grow earnings while limiting price
increases. Although many technology stocks appear overpriced to us in relation
to their intrinsic value, we have continued to find attractive investment
opportunities that meet our value-oriented investment criteria.
We continue to believe that value investing remains an important part of a
diversified portfolio, and we maintain our strict commitment to value investing
May 15, 2000
(1) TOTAL RETURN INCLUDES REINVESTMENT OF DIVIDENDS AND ANY CAPITAL GAINS PAID,
AND DOES NOT TAKE INTO CONSIDERATION THE MAXIMUM INITIAL SALES CHARGE IN THE
CASE OF CLASS A AND CLASS T SHARES, OR THE APPLICABLE CONTINGENT DEFERRED SALES
CHARGE IMPOSED ON REDEMPTIONS IN THE CASE OF CLASS B AND CLASS C SHARES. HAD
THESE CHARGES BEEN REFLECTED, RETURNS WOULD HAVE BEEN LOWER. PAST PERFORMANCE IS
NO GUARANTEE OF FUTURE RESULTS. SHARE PRICE AND INVESTMENT RETURN FLUCTUATE SUCH
THAT UPON REDEMPTION, FUND SHARES MAY BE WORTH MORE OR LESS THAN THEIR ORIGINAL
COST.
(2) SOURCE: LIPPER ANALYTICAL SERVICES, INC. -- REFLECTS THE REINVESTMENT OF
DIVIDENDS AND, WHERE APPLICABLE, CAPITAL GAIN DISTRIBUTIONS. THE RUSSELL 1000
VALUE INDEX IS AN UNMANAGED INDEX WHICH MEASURES THE PERFORMANCE OF THOSE
RUSSELL 1000 COMPANIES WITH LOWER PRICE-TO-BOOK RATIOS AND LOWER FORECASTED
GROWTH VALUES.
The Fund
<TABLE>
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<S> <C> <C>
STATEMENT OF INVESTMENTS
STATEMENT OF INVESTMENTS
April 30, 2000 (Unaudited)
COMMON STOCKS--95.6% Shares Value ($)
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BANKING--10.3%
Bank of America 65,100 3,189,900
Bank of New York 64,500 2,648,531
Chase Manhattan 30,800 2,219,525
First Union 101,700 3,241,687
Fleet Boston Financial 94,500 3,348,844
Wells Fargo 86,800 3,564,225
18,212,712
CONSUMER DURABLES--2.4%
Ford Motor 40,700 2,225,781
General Motors 22,000 2,059,750
4,285,531
CONSUMER NON-DURABLES--2.2%
Nabisco Holdings, Cl. A 24,900 935,306
PepsiCo 54,200 1,988,463
Philip Morris Cos. 39,200 857,500
3,781,269
CONSUMER SERVICES--6.8%
Cendant 42,500 (a) 656,094
Disney (Walt) 99,100 4,292,269
MediaOne Group 94,300 (a) 7,131,437
12,079,800
ELECTRONIC TECHNOLOGY--10.5%
Apple Computer 5,600 (a) 694,750
Boeing 31,600 1,254,125
Compaq Computer 42,300 1,237,275
Cypress Semiconductor 37,300 (a) 1,937,269
Dell Computer 55,300 (a) 2,771,912
Hewlett-Packard 7,500 1,012,500
Intel 22,300 2,827,919
International Business Machines 17,200 1,919,950
Micron Technology 7,700 (a) 1,072,225
Motorola 15,600 1,857,375
Unisys 52,800 (a) 1,224,300
Xircom 19,400 (a) 765,087
18,574,687
ENERGY MINERALS--10.4%
BP Amoco, ADS 38,044 1,940,244
COMMON STOCKS (CONTINUED) Shares Value ($)
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ENERGY MINERALS (CONTINUED)
Chevron 10,400 885,300
Conoco, Cl. B 23,700 589,538
Exxon Mobil 130,930 10,171,624
Royal Dutch Petroleum, ADR 30,200 1,732,725
Santa Fe International 62,000 2,131,250
Texaco 20,000 990,000
18,440,681
FINANCE--18.8%
American Express 10,500 1,575,656
American General 9,500 532,000
American International Group 41,625 4,565,742
Associates First Capital, Cl. A 84,000 1,863,750
Citigroup 181,050 10,761,159
Fannie Mae 18,600 1,121,812
Goldman Sachs Group 18,800 1,753,100
Merrill Lynch 20,200 2,059,138
Morgan (J.P.) 16,200 2,079,675
Morgan Stanley Dean Witter 65,400 5,019,450
XL Capital, Cl. A 39,100 1,862,138
33,193,620
HEALTH CARE--.5%
Guidant 16,100 (a) 923,737
HEALTH SERVICES--1.6%
Columbia/HCA Healthcare 100,600 2,860,812
HEALTH TECHNOLOGY--3.5%
Bristol-Myers Squibb 6,400 335,600
Pharmacia 31,543 1,575,179
Schering-Plough 46,900 1,890,656
Watson Pharmaceuticals 51,700 (a) 2,323,269
6,124,704
NON-ENERGY MINERALS--1.1%
Alcoa 28,500 1,848,938
PROCESS INDUSTRIES--2.1%
Dow Chemical 8,400 949,200
International Paper 14,700 540,225
PPG Industries 6,500 353,438
The Fund
STATEMENT OF INVESTMENTS (Unaudited) (CONTINUED)
COMMON STOCKS (CONTINUED) Shares Value ($)
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PROCESS INDUSTRIES (CONTINUED)
Union Carbide 32,600 1,923,400
3,766,263
PRODUCER MANUFACTURING--5.0%
Caterpillar 13,400 528,462
Emerson Electric 17,800 976,775
General Electric 19,200 3,019,200
Honeywell International 20,087 1,124,872
Minnesota Mining & Manufacturing 15,300 1,323,450
Tyco International 39,700 1,823,719
8,796,478
TECHNOLOGY SERVICES--1.9%
Computer Associates International 25,400 1,417,638
Electronic Data Systems 27,700 1,904,375
3,322,013
UTILITIES--18.5%
AES 15,300 (a) 1,376,044
AT&T - Liberty Media Group, Cl. A 56,200 2,806,487
Bell Atlantic 74,200 4,396,350
BellSouth 72,000 3,505,500
Coastal 33,300 1,671,244
Duke Energy 14,000 805,000
Dynegy, Cl. A 58,300 3,815,006
Enron 25,600 1,784,000
GTE 23,800 1,612,450
MCI WorldCom 27,550 (a) 1,251,803
SBC Communications 103,896 4,551,944
Sprint (FON Group) 25,700 1,580,550
U S West 49,300 3,509,544
32,665,922
TOTAL COMMON STOCKS
(cost $139,615,870) 168,877,167
Principal
SHORT-TERM INVESTMENTS--4.2% Amount ($) Value ($)
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U.S. TREASURY BILLS;
5.62%, 7/13/2000
(cost $7,505,659) 7,592,000 7,505,603
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TOTAL INVESTMENTS (cost $147,121,529) 99.8% 176,382,770
CASH AND RECEIVABLES (NET) .2% 271,212
NET ASSETS 100.0% 176,653,982
(A) NON-INCOME PRODUCING.
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
The Fund
STATEMENT OF ASSETS AND LIABILITIES
April 30, 2000 (Unaudited)
Cost Value
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ASSETS ($):
Investments in securities--See Statement of
Investments 147,121,529 176,382,770
Cash 32,397
Receivable for investment securities sold 216,949
Dividends receivable 176,169
Receivable for shares of Beneficial Interest subscribed 61,909
Prepaid expenses 35,936
176,906,130
--------------------------------------------------------------------------------
LIABILITIES ($):
Due to The Dreyfus Corporation and affiliates 192,154
Payable for shares of Beneficial Interest redeemed 6,380
Accrued expenses 53,614
252,148
--------------------------------------------------------------------------------
NET ASSETS ($) 176,653,982
--------------------------------------------------------------------------------
COMPOSITION OF NET ASSETS ($):
Paid-in capital 135,185,424
Accumulated undistributed investment income--net 405,404
Accumulated net realized gain (loss) on investments 11,801,913
Accumulated net unrealized appreciation (depreciation)
on investments--Note 4(b) 29,261,241
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NET ASSETS ($) 176,653,982
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C>
NET ASSET VALUE PER SHARE
Class A Class B Class C Class R Class T
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Net Assets ($) 161,357,059 14,744,889 543,766 7,192 1,076
Shares Outstanding 7,823,941 743,434 27,655 353.772 52.219
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NET ASSET VALUE
PER SHARE ($) 20.62 19.83 19.66 20.33 20.61
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
STATEMENT OF OPERATIONS
Six Months Ended April 30, 2000 (Unaudited)
--------------------------------------------------------------------------------
INVESTMENT INCOME ($):
INCOME:
Cash dividends (net of $6,046 foreign taxes withheld at source) 1,452,042
Interest 77,191
TOTAL INCOME 1,529,233
EXPENSES:
Management fee--Note 3(a) 692,378
Shareholder servicing costs--Note 3(c) 337,864
Distribution fees--Note 3(b) 74,929
Professional fees 31,620
Trustees' fees and expenses--Note 3(d) 21,692
Registration fees 20,671
Custodian fees--Note 3(c) 11,488
Prospectus and shareholders' reports 6,530
Loan commitment fees--Note 2 1,961
Miscellaneous 2,708
TOTAL EXPENSES 1,201,841
INVESTMENT INCOME--NET 327,392
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REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS--NOTE 4 ($):
Net realized gain (loss) on investments 12,109,867
Net realized gain (loss) on financial futures (2,211)
NET REALIZED GAIN (LOSS) 12,107,656
Net unrealized appreciation (depreciation) on investments (7,263,865)
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS 4,843,791
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS 5,171,183
SEE NOTES TO FINANCIAL STATEMENTS.
The Fund
STATEMENT OF CHANGES IN NET ASSETS
Six Months Ended
April 30, 2000(a) Year Ended
(Unaudited) October 31, 1999
--------------------------------------------------------------------------------
OPERATIONS ($):
Investment income--net 327,392 800,499
Net realized gain (loss) on investments 12,107,656 17,030,671
Net unrealized appreciation (depreciation)
on investments (7,263,865) 10,093,329
NET INCREASE (DECREASE) IN NET ASSETS
RESULTING FROM OPERATIONS 5,171,183 27,924,499
--------------------------------------------------------------------------------
DIVIDENDS TO SHAREHOLDERS FROM ($):
Investment income--net:
Class A shares (792,500) (847,057)
Class R shares (26) (42)
Net realized gain on investments:
Class A shares (14,166,860) (12,313,696)
Class B shares (2,161,284) (3,589,217)
Class C shares (61,079) (48,455)
Class R shares (705) (498)
TOTAL DIVIDENDS (17,182,454) (16,798,965)
--------------------------------------------------------------------------------
BENEFICIAL INTEREST TRANSACTIONS:
Net proceeds from shares sold:
Class A shares 21,281,733 316,761,511
Class B shares 2,612,345 3,646,012
Class C shares 546,121 379,803
Class R shares 513 1,563
Class T shares 1,000 --
Dividends reinvested:
Class A shares 13,944,282 12,323,001
Class B shares 1,915,838 3,380,195
Class C shares 27,006 32,265
Class R shares 731 530
Cost of shares redeemed:
Class A shares (35,186,857) (345,359,378)
Class B shares (14,921,456) (29,533,115)
Class C shares (697,287) (378,037)
Class R shares (1,603) (719)
INCREASE (DECREASE) IN NET ASSETS FROM
BENEFICIAL INTEREST TRANSACTIONS (10,477,634) (38,746,369)
TOTAL INCREASE (DECREASE) IN NET ASSETS (22,488,905) (27,620,835)
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NET ASSETS ($):
Beginning of Period 199,142,887 226,763,722
END OF PERIOD 176,653,982 199,142,887
Undistributed investment income--net 405,404 870,538
(A) FROM MARCH 1, 2000 (COMMENCEMENT OF INITIAL OFFERING) TO APRIL 30, 2000 FOR
CLASS T SHARES.
SEE NOTES TO FINANCIAL STATEMENTS.
Six Months Ended
April 30, 2000(a) Year Ended
(Unaudited) October 31, 1999
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CAPITAL SHARE TRANSACTIONS:
CLASS A(B)
Shares sold 1,037,009 14,542,524
Shares issued for dividends reinvested 685,560 620,493
Shares redeemed (1,696,123) (15,842,402)
NET INCREASE (DECREASE) IN SHARES OUTSTANDING 26,446 (679,385)
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CLASS B(B)
Shares sold 130,852 171,590
Shares issued for dividends reinvested 97,598 175,321
Shares redeemed (753,404) (1,406,283)
NET INCREASE (DECREASE) IN SHARES OUTSTANDING (524,954) (1,059,372)
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CLASS C
Shares sold 27,476 18,015
Shares issued for dividends reinvested 1,386 1,685
Shares redeemed (35,019) (18,040)
NET INCREASE (DECREASE) IN SHARES OUTSTANDING (6,157) 1,660
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CLASS R
Shares sold 26 72
Shares issued for dividends reinvested 36 27
Shares redeemed (79) (33)
NET INCREASE (DECREASE) IN SHARES OUTSTANDING (17) 66
--------------------------------------------------------------------------------
CLASS T
SHARES SOLD 52 --
(A) FROM MARCH 1, 2000 (COMMENCEMENT OF INITIAL OFFERING) TO APRIL 30, 2000 FOR
CLASS T SHARES.
(B) DURING THE PERIOD ENDED APRIL 30, 2000, 473,336 CLASS B SHARES REPRESENTING
$9,248,721 WERE AUTOMATICALLY CONVERTED TO 456,012 CLASS A SHARES AND DURING THE
PERIOD ENDED OCTOBER 31, 1999, 852,883 CLASS B SHARES REPRESENTING $17,862,901
WERE AUTOMATICALLY CONVERTED TO 825,011 CLASS A SHARES.
SEE NOTES TO FINANCIAL STATEMENTS.
The Fund
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C> <C>
FINANCIAL HIGHLIGHTS
The following tables describe the performance for each share class for the
fiscal periods indicated. All information (except portfolio turnover rate)
reflects financial results for a single fund share. Total return shows how much
your investment in the fund would have increased (or decreased) during each
period, assuming you had reinvested all dividends and distributions. These
figures have been derived from the fund's financial statements.
Six Months Ended
April 30, 2000 Year Ended October 31,
----------------------------------------------------------------
CLASS A SHARES (Unaudited) 1999 1998 1997 1996 1995
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PER SHARE DATA ($):
Net asset value,
beginning of period 22.00 21.07 24.30 22.42 21.59 19.83
Investment Operations:
Investment income--net .05(a) .11(a) .13 .12 .22 .31
Net realized and unrealized gain
(loss) on investments .56 2.50 .23 5.40 3.01 2.04
Total from Investment Operations .61 2.61 .36 5.52 3.23 2.35
Distributions:
Dividends from investment
income--net (.11) (.11) (.11) (.20) (.31) (.05)
Dividends from net realized gain
on investments (1.88) (1.57) (3.48) (3.44) (2.09) (.54)
Total Distributions (1.99) (1.68) (3.59) (3.64) (2.40) (.59)
Net asset value, end of period 20.62 22.00 21.07 24.30 22.42 21.59
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TOTAL RETURN (%)(B) 2.86(c) 13.24 1.53 27.43 15.95 12.43
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RATIOS/SUPPLEMENTAL DATA (%):
Ratio of operating expenses to
average net assets .60(c) 1.18 1.19 1.18 1.19 1.22
Ratio of interest expense, loan
commitment fees and dividends
on securities sold short to
average net assets .00(c,d) .00(d) .00(d) -- -- .05
Ratio of net investment income
to average net assets .22(c) .51 .54 .51 .94 1.51
Portfolio Turnover Rate 62.47(c) 141.85 159.30 123.53 147.64 244.82
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Net Assets, end of period
($ x 1,000) 161,357 171,526 178,593 206,333 207,388 208,786
(A) BASED ON AVERAGE SHARES OUTSTANDING AT EACH MONTH END.
(B) EXCLUSIVE OF SALES CHARGE.
(C) NOT ANNUALIZED.
(D) AMOUNT REPRESENTS LESS THAN .01%.
SEE NOTES TO FINANCIAL STATEMENTS.
Six Months Ended
April 30, 2000 Year Ended October 31,
----------------------------------------------------------------
CLASS B SHARES (Unaudited) 1999 1998 1997 1996 1995
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PER SHARE DATA ($):
Net asset value,
beginning of period 21.21 20.41 23.70 21.92 21.17 19.58
Investment Operations:
Investment income (loss)--net (.03)(a) (.05)(a) (.04) (.04) .04 .14
Net realized and unrealized gain
(loss) on investments .53 2.42 .23 5.29 2.96 2.02
Total from Investment Operations .50 2.37 .19 5.25 3.00 2.16
Distributions:
Dividends from investment
income--net -- -- -- (.03) (.16) (.03)
Dividends from net realized gain
on investments (1.88) (1.57) (3.48) (3.44) (2.09) (.54)
Total Distributions (1.88) (1.57) (3.48) (3.47) (2.25) (.57)
Net asset value, end of period 19.83 21.21 20.41 23.70 21.92 21.17
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TOTAL RETURN (%)(B) 2.49(c) 12.38 .75 26.55 15.05 11.50
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RATIOS/SUPPLEMENTAL DATA (%):
Ratio of operating expenses to
average net assets 1.00(c) 1.94 1.95 1.93 1.94 1.97
Ratio of interest expense, loan
commitment fees and dividends
on securities sold short to
average net assets .00(c,d) .00(d) .00(d) -- -- .05
Ratio of net investment income
(loss) to average net assets (.16)(c) (.25) (.22) (.27) .19 .71
Portfolio Turnover Rate 62.47(c) 141.85 159.30 123.53 147.64 244.82
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Net Assets, end of period
($ x 1,000) 14,745 26,897 47,512 52,847 44,152 44,365
(A) BASED ON AVERAGE SHARES OUTSTANDING AT EACH MONTH END.
(B) EXCLUSIVE OF SALES CHARGE.
(C) NOT ANNUALIZED.
(D) AMOUNT REPRESENTS LESS THAN .01%.
SEE NOTES TO FINANCIAL STATEMENTS.
The Fund
FINANCIAL HIGHLIGHTS (CONTINUED)
Six Months Ended
April 30, 2000 Year Ended October 31,
-----------------------------------------------------------
CLASS C SHARES (Unaudited) 1999 1998 1997 1996 995(a)
-------------------------------------------------------------------------------------------------------------------------------
PER SHARE DATA ($):
Net asset value,
beginning of period 21.06 20.28 23.67 21.90 21.16 21.21
Investment Operations:
Investment income (loss)--net (.04)(b) (.06)(b) (.05) (.14)(b) .06 (.04)
Net realized and unrealized gain
(loss) on investments .52 2.41 .20 5.35 3.05 (.01)
Total from Investment Operations .48 2.35 .15 5.21 3.11 (.05)
Distributions:
Dividends from investment
income--net -- -- (.06) -- (.28) --
Dividends from net realized gain
on investments (1.88) (1.57) (3.48) (3.44) (2.09) --
Total Distributions (1.88) (1.57) (3.54) (3.44) (2.37) --
Net asset value, end of period 19.66 21.06 20.28 23.67 21.90 21.16
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TOTAL RETURN (%)(C) 2.35(d) 12.25 .65 26.38 15.74 (.24)(d)
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RATIOS/SUPPLEMENTAL DATA (%):
Ratio of expenses to average
net assets 1.05(d) 1.96 2.08 2.00 1.94 .36(d)
Ratio of net investment income
(loss) to average net assets (.22)(d) (.29) (.35) (.56) (.51) (.18)(d)
Portfolio Turnover Rate 62.47(d) 141.85 159.30 123.53 147.64 244.82
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Net Assets, end of period
($ x 1,000) 544 712 652 594 6 1
(A) FROM SEPTEMBER 1, 1995 (COMMENCEMENT OF INITIAL OFFERING) TO OCTOBER 31, 1995.
(B) BASED ON AVERAGE SHARES OUTSTANDING AT EACH MONTH END.
(C) EXCLUSIVE OF SALES CHARGE.
(D) NOT ANNUALIZED.
SEE NOTES TO FINANCIAL STATEMENTS.
Six Months Ended
April 30, 2000 Year Ended October 31,
----------------------------------------------------------------
CLASS R SHARES (Unaudited) 1999 1998 1997 1996 1995(a)
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PER SHARE DATA ($):
Net asset value,
beginning of period 21.70 20.87 24.30 22.42 21.60 21.61
Investment Operations:
Investment income--net .02(b) .06(b) .21 .19 .40 --
Net realized and unrealized gain
(loss) on investments .56 2.47 (.01) 5.38 2.87 (.01)
Total from Investment Operations .58 2.53 .20 5.57 3.27 (.01)
Distributions:
Dividends from investment
income--net (.07) (.13) (.15) (.25) (.36) --
Dividends from net realized gain
on investments (1.88) (1.57) (3.48) (3.44) (2.09) --
Total Distributions (1.95) (1.70) (3.63) (3.69) (2.45) --
Net asset value, end of period 20.33 21.70 20.87 24.30 22.42 21.60
------------------------------------------------------------------------------------------------------------------------------------
TOTAL RETURN (%) 2.50(c) 12.99 .77 27.74 16.17 (.05)(c)
------------------------------------------------------------------------------------------------------------------------------------
RATIOS/SUPPLEMENTAL DATA (%):
Ratio of expenses to average
net assets .71(c) 1.40 1.00 .94 .97 .17(c)
Ratio of net investment income
to average net assets .10(c) .29 .51 .71 1.07 --
Portfolio Turnover Rate 62.47(c) 141.85 159.30 123.53 147.64 244.82
------------------------------------------------------------------------------------------------------------------------------------
Net Assets, end of period
($ x 1,000) 7 8 6 5 4 1
(A) FROM SEPTEMBER 1, 1995 (COMMENCEMENT OF INITIAL OFFERING) TO OCTOBER 31, 1995.
(B) BASED ON AVERAGE SHARES OUTSTANDING AT EACH MONTH END.
(C) NOT ANNUALIZED.
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
The Fund
FINANCIAL HIGHLIGHTS (CONTINUED)
Six Months
Ended
April 30,
2000(a)
CLASS T SHARES (Unaudited)
-------------------------------------------------------------------------------
PER SHARE DATA ($)
Net asset value, beginning of period 19.15
Investment Operations:
Investment income--net .00(b,c)
Net realized and unrealized gain (loss) on investments 1.46
Total from Investment Operations 1.46
Net asset value, end of period 20.61
-------------------------------------------------------------------------------
TOTAL RETURN (%)(D) 7.62(e)
-------------------------------------------------------------------------------
RATIOS/SUPPLEMENTAL DATA (%):
Ratio of expenses to average net assets .24(e)
Ratio of investment (loss) to average net assets (.01)(e)
Portfolio Turnover Rate 62.47(e)
-------------------------------------------------------------------------------
Net Assets, end of period ($ x 1,000) 1
(A) FROM MARCH 1, 2000 (COMMENCEMENT OF INITIAL OFFERING) TO APRIL 30, 2000.
(B) BASED ON AVERAGE SHARES OUTSTANDING AT EACH MONTH END.
(C) AMOUNT REPRESENTS LESS THAN $.01 PER SHARE.
(D) EXCLUSIVE OF SALES CHARGE.
(E) NOT ANNUALIZED.
SEE NOTES TO FINANCIAL STATEMENTS.
NOTES TO FINANCIAL STATEMENTS (Unaudited)
NOTE 1--Significant Accounting Policies:
Dreyfus Premier Value Fund (the "fund") is a separate non-diversified series of
Dreyfus Premier Value Equity Funds (the "Company") which is registered under the
Investment Company Act of 1940, as amended (the "Act" ), as an open-end
management investment company and operates as a series company, currently
offering two series including the fund. The fund's investment objective is
capital growth. The Dreyfus Corporation (the "Manager") serves as the fund's
investment adviser. The Manager is a direct subsidiary of Mellon Bank, N.A.
("Mellon"), which is a wholly-owned subsidiary of Mellon Financial Corporation.
On November 3, 1999, the Board of Trustees approved the addition of Class T
shares, which became effective March 1, 2000.
Effective March 22, 2000, Dreyfus Service Corporation ("DSC"), a wholly-owned
subsidiary of the Manager, became the distributor of the fund's shares. Prior to
March 22, 2000, Premier Mutual Fund Services, Inc. was the distributor. The fund
is authorized to issue an unlimited number of $.001 par value shares in the
following classes of shares: Class A, Class B, Class C ,Class R and Class T.
Class A and Class T shares are subject to a sales charge imposed at the time of
purchase, Class B shares are subject to a contingent deferred sales charge
("CDSC") imposed on Class B share redemptions made within six years of purchase,
Class C shares are subject to a CDSC imposed on Class C shares redeemed within
one year of purchase and Class R shares are sold at net asset value per share
only to institutional investors. Class B shares automatically convert to Class A
shares after six years. Other differences between the classes include the
services offered to and the expenses borne by each class and certain voting
rights.
The Company accounts separately for the assets, liabilities and operations of
each series. Expenses directly attributable to each series are charged to that
series' operations; expenses which are applicable to all series are allocated
among them on a pro rata basis.
The Fund
NOTES TO FINANCIAL STATEMENTS (Unaudited) (CONTINUED)
The fund' s financial statements are prepared in accordance with generally
accepted accounting principles which may require the use of management estimates
and assumptions. Actual results could differ from those estimates.
(A) PORTFOLIO VALUATION: Investments in securities (including options and
financial futures) 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, except for open
short positions, where the asked price is used for valuation purposes. 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) FOREIGN CURRENCY TRANSACTIONS: The fund does not isolate that portion of the
results of operations resulting from changes in foreign exchange rates on
investments from the fluctuations arising from changes in market prices of
securities held. Such fluctuations are included with the net realized and
unrealized gain or loss from investments.
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 and the difference between the amounts 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.
(C) 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. Under the terms of the custody agreement, the fund received net
earnings credits of $31 during the period ended April 30, 2000, based on
available cash balances left on deposit. Income earned under this arrangement is
included in interest income.
(D) DIVIDENDS TO SHAREHOLDERS: Dividends are recorded on the ex-dividend date.
Dividends from investment income-net and 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 of 1986, as amended (the "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.
(E) 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 Code,
and to make distributions of taxable income sufficient to relieve it from
substantially all Federal income and excise taxes.
NOTE 2--Bank Line of Credit:
The fund participates with other Dreyfus-managed funds in a $500 million
redemption credit facility (the "Facility" ) primarily to be utilized for
temporary or emergency purposes, including the financing of redemptions. In
connection therewith, the fund has agreed to pay commitment fees on its pro rata
portion of the Facility. Interest is charged to the fund at rates based on
prevailing market rates in effect at the time of borrowings. During the period
ended April 30, 2000, the fund did not borrow under the Facility.
The Fund
NOTES TO FINANCIAL STATEMENTS (Unaudited) (CONTINUED)
NOTE 3--Management Fee and Other Transactions With Affiliates:
(A) Pursuant to a management agreement with the Manager, the management fee is
computed at the annual rate of .75 of 1% of the value of the fund's average
daily net assets and is payable monthly.
DSC retained $21,364 during the period ended April 30, 2000 from commissions
earned on sales of the fund's shares.
(B) Under a Distribution Plan (the "Plan") adopted pursuant to Rule 12b-1 under
the Act, Class B, Class C and Class T shares pay the distributor for
distributing their shares at the following annual rates: .75 of 1% of the value
of the average daily net assets of Class B and Class C shares, respectively, and
.25 of 1% of the value of the average daily net assets of Class T shares. During
the period ended April 30, 2000, Class B, Class C and Class T shares were
charged $72,847, $2,081 and $1 respectively, pursuant to the Plan, of which
$12,665, $441 and $1 for Class B, Class C and Class T shares, respectively, were
paid to DSC.
(C) Under the Shareholder Services Plan, Class A, Class B, Class C and Class T
shares pay the distributor, at an annual rate of .25 of 1% of the value of their
average daily net assets for the provision of certain services. The services
provided may include personal services relating to shareholder accounts, such as
answering shareholder inquiries regarding the fund and providing reports and
other information, and services related to the maintenance of shareholder
accounts. The distributor may make payments to Service Agents (a securities
dealer, financial institution or other industry professional) in respect of
these services. The distributor determines the amounts to be paid to Service
Agents. During the period ended April 30, 2000, Class A, Class B, Class C and
Class T shares were charged $205,806, $24,282, $694, and $1, respectively,
pursuant to the Shareholder Services Plan, of which $44,675, $4,222, $147 and $1
for Class A, Class B, Class C and Class T shares, respectively, were paid to
DSC.
The fund compensates Dreyfus Transfer, Inc., a wholly-owned subsidiary of the
Manager, under a transfer agency agreement for providing personnel and
facilities to perform transfer agency services for the fund. During the period
ended April 30, 2000, the fund was charged $63,509 pursuant to the transfer
agency agreement.
The fund compensates Mellon under a custody agreement for providing custodial
services for the fund. During the period ended April 30, 2000, the fund was
charged $11,488 pursuant to the custody agreement.
(D) Each trustee who is not an "affiliated person" as defined in the Act
receives from the Company an annual fee of $2,500 and an attendance fee of $500
per meeting. The Chairman of the Board receives an additional 25% of such
compensation.
(E) During the period ended April 30, 2000, the fund incurred total brokerage
commissions of $248,603, of which $6,921 was paid to Dreyfus Brokerage Services,
a wholly-owned subsidiary of Mellon Financial Corporation.
NOTE 4--Securities Transactions:
(A) The aggregate amount of purchases and sales of investment securities,
excluding short-term securities and financial futures, during the period ended
April 30, 2000, amounted to $113,924,227 and $146,526,998, respectively.
The fund may invest in financial futures contracts in order to gain exposure to
or protect against changes in the market. The fund is exposed to market risk as
a result of changes in the value of the underlying financial instruments.
Investments in financial futures require the fund to "mark to market" on a daily
basis, which reflects the change in the market value of the contract at the
close of each day's trading. Accordingly, variation margin payments are received
or made to reflect daily unrealized gains or losses. When the contracts are
closed, the fund The Fund
NOTES TO FINANCIAL STATEMENTS (Unaudited) (CONTINUED)
recognizes a realized gain or loss. These investments require initial margin
deposits with a custodian, which consist of cash or cash equivalents, up to
approximately 10% of the contract amount. The amount of these deposits is
determined by the exchange or Board of Trade on which the contract is traded and
is subject to change. At April 30, 2000, there were no financial futures
contracts outstanding.
(B) At April 30, 2000, accumulated net unrealized appreciation on investments
was $29,261,241, consisting of $32,882,969 gross unrealized appreciation and
$3,621,728 gross unrealized depreciation.
At April 30, 2000, 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).
For More Information
Dreyfus Premier Value Fund
200 Park Avenue
New York, NY 10166
Manager
The Dreyfus Corporation
200 Park Avenue
New York, NY 10166
Custodian
Mellon Bank, N.A.
One Mellon Bank Center
Pittsburgh, PA 15258
Transfer Agent & Dividend Disbursing Agent
Dreyfus Transfer, Inc.
P.O. Box 9671
Providence, RI 02940
Distributor
Dreyfus Service Corporation
200 Park Avenue
New York, NY 10166
To obtain information:
BY TELEPHONE Call your financial representative or 1-800-554-4611
BY MAIL Write to: The Dreyfus Premier Family of Funds 144 Glenn Curtiss
Boulevard Uniondale, NY 11556-0144
(c) 2000 Dreyfus Service Corporation 037SA004
