<PAGE>
Dreyfus
New York
Insured
Tax Exempt
Bond Fund
Semi-Annual Report
June 30, 1996
<PAGE>
DREYFUS NEW YORK INSURED TAX EXEMPT BOND FUND
LETTER TO SHAREHOLDERS
Dear Shareholder:
We are pleased to provide you with this report on the Dreyfus New York
Insured Tax Exempt Bond Fund. For its semi-annual reporting period ended June
30, 1996, your Fund paid income dividends exempt from Federal, State of New
York and New York City personal income taxes of approximately $.270 per
share, which is equivalent to an annualized tax-free distribution rate per
share of 4.87%.* Total return for the same period was -2.49% per share.**
Some income may be subject to the Federal Alternative Minimum Tax (AMT) for
certain shareholders.
THE ECONOMY
So far this year, the economic story has been upbeat: solid growth,
strong gains in employment and low inflation. Yet along with this good news
has come the fear that the Federal Reserve Board ("Fed") will tighten
monetary policy lest the continued economic expansion brings a resurgence in
inflation. The growth in the economy has resulted in strong gains in
employment. Over recent months, these reports of new jobs have been
accompanied by rises in long-term interest rates, a reflection of the
market's concern that inflation perceptions by the Fed would result in its
acting to cool down an economy that risks overheating. To date, the Fed has
refrained from any overt tightening moves. (The Fed cut rates three times
between last July and January, and has since held the Federal Funds rate
steady at 5.25%, even as long-term rates in the bond market have risen more
than a full percentage point.)
The interplay between job growth and economic growth has become the
dominant force affecting how investors think about the outlook for inflation
and the possibility that the Fed will raise short-term interest rates. Along
with handsome increases in new jobs have come solid gains in retail sales,
although many economists feel that heavy consumer debt burdens will act as a
constraint against any acceleration in growth. Automobile sales remain
strong, the third year in a row of steady growth for auto manufacturers. Yet,
what investors focus on and what concerns the Fed may be two different
things. On June 19, the Fed's Beige Book, a survey of business conditions in
the 12 districts of the Federal Reserve, reported that the economy was
growing at a moderate pace and that despite the tightening labor markets
"indications of rising wages remain scattered". Recent statements by
officials of the Federal Reserve Board have suggested that "sustained
moderate growth" is the most likely path for the economy and that labor
markets, while tightening, do not yet indicate significant inflationary
pressures.
There seem to be few signs of inflation. Commodity and producer prices
remain subdued. Anecdotal reports from companies continue to attest to their
lack of ability to raise prices. Another measure of potential inflation,
delivery lead times - one of Chairman Greenspan's favorite indicators - has
not changed much for months. Furthermore, some of the inflationary
consequences of running large budget deficits have eased due to the growth in
the economy. Higher than expected tax payments _ a result of economic growth
- - have reduced the Federal budget deficit to the $130 billion level, the
lowest since the early 1980s.
Nevertheless, there are limits to non-inflationary economic expansion. As
always, we remain watchful for signs of price pressures that could lead to a
resurgence of inflation. For now, there are few indications of that. In fact,
there also appears to be a growing consensus that the rate of economic growth
could taper off in the second half of the year due to the effect of higher
long-term interest rates on certain key sectors of the economy like housing
and consumer spending.
MARKET ENVIRONMENT
The municipal market experienced a dramatic decline beginning in the
first quarter of 1996. Precipitating this decline was the surprising growth
in employment and brisk increase in retail sales mentioned previously.
Inflation, however, has yet to show any troubling rise. The market reaction
to the growth in these numbers was swift. In a matter of weeks, interest
rates as measured by long-maturity U.S.Government bonds rose from below 6% to
above 7% - a rise of about 16% in yield. This negative price action also
pulled municipals down in value, albeit to a somewhat lesser extent.
Since May, the market has begun to stabilize in a new, lower trading
range. This trading range remains vulnerable, however, to further downward
pressure should further economic strength appear. Economic weakness, on the
other hand, would prove beneficial to long-term security prices, relieving
immediate fears of renewed inflation. In addition, of positive note, the
municipal market continues to benefit from lower supplies of new issues and
less discussion of a flat tax, both of which had produced weakness in
previous periods.
THE PORTFOLIO
We entered 1996 aggressively positioned with a long-duration portfolio.
Our expectation was that the economy, and therefore inflation, would remain
subdued. We furthermore expected the market to respond primarily to the
continuing low inflation numbers. With this rate expectation in mind, we
continued to extend the portfolio's aggressive position through the sale of
high-coupon securities which were vulnerable to early redemption during an
extended period of low interest rates.
Since the market moved against us in early March, the performance of the
portfolio has suffered. While we have modified the position of the portfolio
slightly, we still maintain an aggressive posture-poised to benefit should
inflationary fears prove unsubstantiated.
While mindful of the risk of additional declines, we believe that much of
the market correction is behind us. We are ready to take strong defensive
action should the market begin to decline again.
Our primary task - to earn a high level of current income to the extent
consistent with preservation of capital - continues to guide our portfolio
management decisions.
Included in this report is a series of detailed statements about your
Fund's holdings and its financial condition. We hope they are informative.
Please know that we greatly appreciate your continued confidence in the Fund
and in The Dreyfus Corporation.
Very truly yours,
[Richard J. Moynihan signature logo]
Richard J. Moynihan
Director, Municipal Portfolio Management
The Dreyfus Corporation
July 15, 1996
New York, N.Y.
* Annualized distribution rate per share is based upon dividends per share
paid from net investment income during the period, divided by the net asset
value per share at the end of the period.
**Total return includes reinvestment of dividends and any capital gains paid.
<TABLE>
<CAPTION>
DREYFUS NEW YORK INSURED TAX EXEMPT BOND FUND
STATEMENT OF INVESTMENTS JUNE 30, 1996 (UNAUDITED)
PRINCIPAL
LONG-TERM MUNICIPAL INVESTMENTS-100.0% AMOUNT VALUE
_______ _______
<S> <C> <C>
NEW YORK-96.7%
Briarcliff Manor (Water Improvement) 6%, 9/1/2013 (Insured; FGIC)........... $ 175,000 $ 183,333
Clifton Park Water Authority, Water System Revenue, Refunding
5%, 10/1/2026 (Insured; FGIC)........................................... 3,865,000 3,388,832
East Rockaway Union Free School District 6.10%, 9/1/2012 (Insured; FGIC).... 100,000 105,977
Havestraw-Stony Point Central School District:
6.10%, 6/15/2001 (Insured; MBIA)........................................ 15,000 15,930
6.10%, 6/15/2002 (Insured; MBIA)........................................ 15,000 16,021
Islip Resource Recovery Agency, RRR 6.125%, 7/1/2013 (Insured; AMBAC)....... 1,425,000 1,454,896
Metropolitan Transportation Authority, Revenue:
Commuter Facility (Grand Central Terminal)
5.70%, 7/1/2024 (Insured; FSA)........................................ 6,500,000 6,379,620
Transit Facility:
5%, 7/1/2017 (Insured; BIGI).......................................... 60,000 53,645
6.50%, 7/1/2018 (Insured; FGIC)....................................... 4,000,000 4,189,040
New York City:
7%, 8/1/2006 (Insured; MBIA)............................................ 340,000 354,185
7.25%, 3/15/2018 (Insured; FSA)......................................... 1,000,000 1,086,580
New York City Health and Hospital Corp., Revenue, Refunding
5.75%, 2/15/2022 (Insured; AMBAC)....................................... 6,475,000 6,317,722
New York City Housing Development Corp., General Housing
5.80%, 5/1/2002 (Insured; AMBAC)........................................ 400,000 405,028
New York City Municipal Water Finance Authority, Water and Sewer System
Revenue:
6.20%, 6/15/2021 (Insured; AMBAC)....................................... 2,000,000 2,044,740
5.50%, 6/15/2023 (Insured; MBIA)........................................ 5,000,000 4,741,250
New York City Transit Authority, Transit Facility Revenue
(Livingston Plaza Project) 6%, 1/1/2021 (Insured; FSA).................. 5,300,000 5,310,706
New York State Dormitory Authority, Revenue:
(City University):
6.30%, 7/1/2024 (Insured; AMBAC)...................................... 2,800,000 2,886,940
5.375%, 7/1/2025 (Insured; AMBAC)..................................... 5,000,000 4,686,750
(Ellis Hospital Mortgage Project) 5.60%, 8/1/2025 (Insured; MBIA)....... 4,300,000 4,130,021
(New York University) 6%, 7/1/2015 (Insured; FGIC)...................... 1,750,000 1,765,400
(Refunding - Ithaca College) 6.25%, 7/1/2021 (Insured; MBIA)............ 2,000,000 2,046,020
(Refunding - Mount Sinai School of Medicine):
6.75%, 7/1/2009 (Insured; MBIA)....................................... 3,000,000 3,229,140
5%, 7/1/2021 (Insured; MBIA).......................................... 1,000,000 883,680
(University of Rochester-Strong Memorial Hospital)
5.50%, 7/1/2021 (Insured; MBIA)....................................... 3,000,000 2,857,260
DREYFUS NEW YORK INSURED TAX EXEMPT BOND FUND
STATEMENT OF INVESTMENTS (CONTINUED) JUNE 30, 1996 (UNAUDITED)
PRINCIPAL
LONG-TERM MUNICIPAL INVESTMENTS (CONTINUED) AMOUNT VALUE
_______ _______
NEW YORK (CONTINUED)
New York State Energy Research and Development Authority, Revenue:
Facilities:
(Con Edison Co. of New York Inc. Project):
6.375%, 12/1/2027 (Insured; MBIA)................................. $ 5,000,000 $ 5,106,250
6%, 3/15/2028 (Insured; MBIA)..................................... 11,000,000 10,960,070
Pollution Control:
(New York State Electric and Gas Corp.)
5.95%, 12/1/2027 (Insured; MBIA).................................. 2,000,000 1,987,220
(Refunding - Niagara Mohawk Power Corp.)
6.625%, 10/1/2013 (Insured; FGIC)................................. 4,500,000 4,818,015
New York State Environmental Facility Corp., Water Facilities Revenue
(Spring Valley Water Co. Inc. Project) 5.65%, 11/1/2023 (Insured; AMBAC) 1,330,000 1,277,186
New York State Medical Care Facilities Finance Agency,
Revenue:
(Aurelia Osborn Fox Memorial Hospital) 6.50%, 11/1/2019 (Insured; FSA) 3,000,000 3,132,000
(Hospital and Nursing Home):
6.125%, 2/15/2015 (Insured; MBIA)................................. 4,000,000 4,081,080
(Mental Health Service Facilities Improvement):
6.25%, 8/15/2018 (Insured; AMBAC)................................. 4,685,000 4,762,630
7.375%, 8/15/2019 (Insured; MBIA)................................. 1,345,000 1,463,737
5.25%, 8/15/2023 (Insured; FSA)................................... 1,000,000 909,370
(Montefiore Medical Center) 6%, 2/15/2035 (Insured; AMBAC)............ 5,000,000 4,980,900
(Sisters of Charity Hospital) 6.625%, 11/1/2018 (Insured; AMBAC)...... 2,000,000 2,122,440
New York State Mortgage Agency, Revenue (Homeownership Mortgage)
6.45%, 10/1/2017 (Insured; MBIA)........................................ 1,000,000 1,035,330
New York State Thruway Authority:
General Revenue 6%, 1/1/2025 (Insured; FGIC)............................ 3,165,000 3,195,669
Highway and Bridge Trust Fund 5.125%, 4/1/2015 (Insured; MBIA).......... 1,300,000 1,208,077
New York State Urban Development Corp., Revenue:
(Correctional Capital Facilities):
Refunding 5.50%, 1/1/2018 (Insured; FSA).............................. 1,000,000 959,360
5.50%, 1/1/2025 (Insured; MBIA)....................................... 5,000,000 4,755,300
(Correctional Facilities) Refunding:
5.50%, 1/1/2014 (Insured; FSA)........................................ 3,000,000 2,932,440
5.25%, 1/1/2018 (Insured; AMBAC)...................................... 5,000,000 4,632,650
Port Authority of New York and New Jersey:
5.875%, 7/15/2018 (Insured; MBIA)....................................... 3,600,000 3,595,464
5.125%, 10/1/2021 (Insured; FGIC)....................................... 3,685,000 3,323,207
6.25%, 1/15/2027 (Insured; AMBAC)....................................... 2,000,000 2,034,160
DREYFUS NEW YORK INSURED TAX EXEMPT BOND FUND
STATEMENT OF INVESTMENTS (CONTINUED) JUNE 30, 1996 (UNAUDITED)
PRINCIPAL
LONG-TERM MUNICIPAL INVESTMENTS (CONTINUED) AMOUNT VALUE
_______ _______
NEW YORK (CONTINUED)
Triborough Bridge and Tunnel Authority, Special Obligation Refunding:
6%, 1/1/2015 (Insured; AMBAC)........................................... $ 4,000,000 $ 4,037,240
6%, 1/1/2019 (Insured; MBIA)............................................ 2,000,000 2,005,060
U.S. RELATED-3.3%
Puerto Rico Public Buildings Authority,
Revenue (Guaranteed Government Facilities)
5.50%, 7/1/2021 (Insured; AMBAC)........................................ 4,900,000 4,722,816
__________
TOTAL INVESTMENTS (cost $139,975,719)....................................... $142,570,387
============
</TABLE>
<TABLE>
<CAPTION>
SUMMARY OF ABBREVIATIONS
<S> <C> <S> <C>
AMBAC American Municipal Bond Assurance Corporation FSA Financial Security Assurance
BIGI Bond Investors Guaranty Insurance MBIA Municipal Bond Investors Assurance
FGIC Financial Guaranty Insurance Company Insurance Corporation
RRR Resources Recovery Revenue
</TABLE>
<TABLE>
<CAPTION>
SUMMARY OF COMBINED RATINGS
<S> <C> <C> <C>
FITCH (A) OR MOODY'S OR STANDARD & POOR'S PERCENTAGE OF VALUE
_____ _____ __________ ____________________
AAA Aaa AAA 100.0%
=========
</TABLE>
NOTES TO STATEMENT OF INVESTMENTS:
(a) Fitch currently provides creditworthiness information for a limited
number of investments.
(b) At June 30, 1996, 27.7% of the Fund's net assets are insured by
AMBAC and 36.5% are insured by MBIA.
See independent accountants' review report and notes to financial statements.
<TABLE>
<CAPTION>
DREYFUS NEW YORK INSURED TAX EXEMPT BOND FUND
STATEMENT OF ASSETS AND LIABILITIES JUNE 30, 1996 (UNAUDITED)
<S> <C> <C>
ASSETS:
Investments in securities, at value
(cost $139,975,719)-see statement..................................... $142,570,387
Cash.................................................................... 3,729,013
Interest receivable..................................................... 3,266,467
Prepaid expenses........................................................ 6,978
_____________
149,572,845
LIABILITIES:
Due to The Dreyfus Corporation and affiliates........................... $ 102,240
Due to Distributor...................................................... 1,970
Accrued expenses........................................................ 46,164 150,374
____________ _____________
NET ASSETS ................................................................ $149,422,471
=============
REPRESENTED BY:
Paid-in capital......................................................... $144,482,449
Accumulated undistributed investment income-net......................... 38,730
Accumulated undistributed net realized gain on investments.............. 2,306,624
Accumulated net unrealized appreciation on investments-Note 3........... 2,594,668
_____________
NET ASSETS at value applicable to 13,430,995 shares outstanding
(unlimited number of $.001 par value shares of Beneficial
Interest authorized).................................................... $149,422,471
=============
NET ASSET VALUE, offering and redemption price per share
($149,422,471 / 13,430,995 shares)...................................... $11.13
=======
</TABLE>
<TABLE>
<CAPTION>
STATEMENT OF OPERATIONS SIX MONTHS ENDED JUNE 30, 1996 (UNAUDITED)
<S> <C> <C>
INVESTMENT INCOME:
INTEREST INCOME......................................................... $ 4,325,635
EXPENSES:
Management fee-Note 2(a).............................................. $ 446,812
Shareholder servicing costs-Note 2(b)................................. 221,269
Professional fees..................................................... 28,456
Trustees' fees and expenses-Note 2(c)................................. 19,179
Prospectus and shareholders' reports-Note 2(b)........................ 9,294
Custodian fees........................................................ 7,957
Registration fees..................................................... 899
Miscellaneous......................................................... 8,357
_________
TOTAL EXPENSES.................................................... 742,223
Less-reimbursement of prospectus costs-Note 2(b)...................... 2,708
_________
NET EXPENSES...................................................... 739,515
__________
INVESTMENT INCOME-NET............................................. 3,586,120
REALIZED AND UNREALIZED (LOSS) ON INVESTMENTS:
Net realized gain on investments-Note 3................................. $ 2,168,268
Net unrealized (depreciation) on investments............................ (9,609,063)
_________
NET REALIZED AND UNREALIZED (LOSS) ON INVESTMENTS................. (7,440,795)
__________
NET (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS...................... $ (3,854,675)
=============
See independent accountants' review report and notes to financial statements.
</TABLE>
<TABLE>
<CAPTION>
DREYFUS NEW YORK INSURED TAX EXEMPT BOND FUND
STATEMENT OF CHANGES IN NET ASSETS
YEAR ENDED SIX MONTHS ENDED
DECEMBER 31, JUNE 30, 1996
1995 (UNAUDITED)
__________ __________
<S> <C> <C>
OPERATIONS:
Investment income-net............................................. $ 8,156,194 $ 3,586,120
Net realized gain on investments.................................. 1,438,863 2,168,268
Net unrealized appreciation (depreciation) on investments for the period 12,855,137 (9,609,063)
__________ __________
NET INCREASE (DECREASE) IN NET ASSETS RESULTING
FROM OPERATIONS............................................. 22,450,194 (3,854,675)
__________ __________
DIVIDENDS TO SHAREHOLDERS FROM;
Investment income-net............................................. (8,136,141) (3,590,726)
__________ __________
BENEFICIAL INTEREST TRANSACTIONS:
Net proceeds from shares sold..................................... 30,674,114 18,399,884
Dividends reinvested.............................................. 5,477,142 2,385,669
Cost of shares redeemed........................................... (44,843,810) (21,235,088)
__________ __________
(DECREASE) IN NET ASSETS FROM BENEFICIAL INTEREST TRANSACTIONS.. (8,692,554) (449,535)
__________ __________
TOTAL INCREASE (DECREASE) IN NET ASSETS..................... 5,621,499 (7,894,936)
NET ASSETS:
Beginning of period............................................... 151,695,908 157,317,407
__________ __________
End of period (including undistributed investment income-net:
$43,336 in 1995 and $38,730 in 1996)............................ $157,317,407 $149,422,471
============ =============
SHARES SHARES
_______ _______
CAPITAL SHARE TRANSACTIONS:
Shares sold....................................................... 2,730,812 1,628,265
Shares issued for dividends reinvested............................ 484,599 211,838
Shares redeemed................................................... (3,979,102) (1,878,430)
__________ __________
TOTAL (DECREASE) IN SHARES OUTSTANDING.......................... (763,691) (38,327)
============ =============
See independent accountants' review report and notes to financial statements.
</TABLE>
<TABLE>
<CAPTION>
DREYFUS NEW YORK INSURED TAX EXEMPT BOND 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 period indicated. This
information has been derived from the Fund's financial statements.
SIX MONTHS ENDED
YEAR ENDED DECEMBER 31, JUNE 30, 1996
______________________________________________________
PER SHARE DATA: 1991 1992 1993 1994 1995 (UNAUDITED)
______ ______ ______ ______ ______ ____________
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of period.. $10.64 $11.33 $11.60 $12.04 $10.66 $11.68
______ ______ ______ ______ ______ _______
INVESTMENT OPERATIONS:
Investment income-net................. .66 .63 .60 .60 .59 .27
Net realized and unrealized gain (loss)
on investments...................... .69 .31 .66 (1.39) 1.02 (.55)
______ ______ ______ ______ ______ _______
TOTAL FROM INVESTMENT OPERATIONS.... 1.35 .94 1.26 (.79) 1.61 (.28)
______ ______ ______ ______ ______ _______
DISTRIBUTIONS:
Dividends from investment income-net.. (.66) (.63) (.60) (.59) (.59) (.27)
Dividends from net realized gain
on investments...................... - (.04) (.22) - - -
______ ______ ______ ______ ______ _______
TOTAL DISTRIBUTIONS................. (.66) (.67) (.82) (.59) (.59) (.27)
______ ______ ______ ______ ______ _______
Net asset value, end of period........ $11.33 $11.60 $12.04 $10.66 $11.68 $11.13
====== ====== ======= ====== ======== =======
TOTAL INVESTMENT RETURN................... 13.06% 8.55% 11.08% (6.62%) 15.38% (4.99%)(1)
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets .88% .90% .96% .98% .99% .99%(1)
Ratio of net investment income to average
net assets ......................... 6.01% 5.49% 5.01% 5.31% 5.20% 4.80%(1)
Decrease reflected in above expense ratios
due to undertakings by the Manager.. .17% .11% .02% .01% - -
Portfolio Turnover Rate............... 15.95% 16.12% 19.89% 12.79% 31.13% 58.14%(2)
Net Assets, end of period (000's Omitted) $147,527 $180,326 $198,257 $151,696 $157,317 $149,422 (1)
Annualized.
(2) Not annualized.
See independent accountants' review report and notes to financial statements.
</TABLE>
DREYFUS NEW YORK INSURED TAX EXEMPT BOND FUND
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
NOTE 1-SIGNIFICANT ACCOUNTING POLICIES:
Dreyfus New York Insured Tax Exempt Bond Fund (the "Fund") is registered
under the Investment Company Act of 1940 ("Act") as a non-diversified
open-end management investment company. The Fund's investment objective is to
provide investors with as high a level of current income exempt from Federal,
New York State and New York City income taxes as is consistent with the
preservation of capital. The Dreyfus Corporation ("Manager") serves as the
Fund's investment adviser. The Manager is a direct subsidiary of Mellon Bank,
N.A. Premier Mutual Fund Services, Inc. (the "Distributor") acts as the
distributor of the Fund's shares, which are sold to the public without a
sales load.
(A) PORTFOLIO VALUATION: The Fund's investments are valued each business
day by an independent pricing service ("Service") approved by the Board of
Trustees. Investments for which quoted bid prices are readily available and
are representative of the bid side of the market in the judgment of the
Service are valued at the mean between the quoted bid prices (as obtained by
the Service from dealers in such securities) and asked prices (as calculated
by the Service based upon its evaluation of the market for such securities).
Other investments (which constitute a majority of the portfolio securities)
are carried at fair value as determined by the Service, based on methods
which include consideration of: yields or prices of municipal securities of
comparable quality, coupon, maturity and type; indications as to values from
dealers; and general market conditions.
(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. Interest
income, adjusted for amortization of premiums and original issue discounts on
investments, is earned from settlement date and recognized on the accrual
basis. Securities purchased or sold on a when-issued or delayed-delivery
basis may be settled a month or more after the trade date.
The Fund follows an investment policy of investing primarily in municipal
obligations of one state. Economic changes affecting the state and certain of
its public bodies and municipalities may affect the ability of issuers within
the state to pay interest on, or repay principal of, municipal obligations
held by the Fund.
(C) DIVIDENDS TO SHAREHOLDERS: It is the policy of the Fund to declare
dividends daily from investment income-net. Such dividends are paid monthly.
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.
(D) FEDERAL INCOME TAXES: It is the policy of the Fund to continue to
qualify as a regulated investment company, which can distribute tax exempt
dividends, by complying with the applicable provisions of the Internal
Revenue Code, and to make distributions of income and net realized capital
gain sufficient to relieve it from substantially all Federal income and
excise taxes.
NOTE 2-MANAGEMENT FEE AND OTHER TRANSACTIONS WITH AFFILIATES:
(A) Pursuant to a management agreement ("Agreement") with the Manager,
the management fee is computed at the annual rate of .60 of 1% of the value
of the Fund's average daily net assets and is
DREYFUS NEW YORK INSURED TAX EXEMPT BOND FUND
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) (CONTINUED)
payable monthly. The Agreement provides for an expense reimbursement from the
Manager should the Fund's aggregate expenses, exclusive of taxes, brokerage,
interest on borrowings and extraordinary expenses, exceed 11\2% of the value
of the Fund's average daily net assets for any full year. There was no
expense reimbursement for the six months ended June 30, 1996.
(B) Under the Service Plan (the "Plan") adopted pursuant to Rule 12b-1
under the Act, the Fund (a) reimburses the Distributor for payments to
certain Service Agents (a securities dealer, financial institution or other
industry professional) for distributing the Fund's shares and servicing
shareholder accounts ("Servicing") and (b) pays the Manager, Dreyfus Service
Corporation, a wholly-owned subsidiary of the Manager, or any affiliate
(collectively "Dreyfus") for advertising and marketing relating to the Fund
and Servicing, at an aggregate annual rate of .25 of 1% of the value of the
Fund's average daily net assets. Both the Distributor and Dreyfus may pay
Service Agents a fee in respect of the Fund's shares owned by shareholders
with whom the Service Agent has a Servicing relationship or for whom the
Service Agent is the dealer or holder of record. Both the Distributor and
Dreyfus determine the amounts to be paid to Service Agents to which it will
make payments and the basis on which such payments are made. The Plan also
separately provides for the Fund to bear the costs of preparing, printing and
distributing certain of the Fund's prospectuses and statements of additional
information and costs associated with implementing and operating the Plan,
not to exceed the greater of $100,000 or .005 of 1% of the value of the
Fund's average daily net assets for any full year. During the six months
ended June 30, 1996, $188,880 was charged to the Fund pursuant to the Plan,
of which $2,708 was reimbursed by the Manager.
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. Such
compensation amounted to $26,695 during the six months ended June 30, 1996.
(C) Each trustee who is not an "affiliated person" as defined in the Act
receives from the Fund an annual fee of $2,500 and an attendance fee of $250
per meeting. The Chairman of the Board receives an additional 25% of such
compensation.
NOTE 3-SECURITIES TRANSACTIONS:
The aggregate amount of purchases and sales of investment securities,
excluding short-term securities, during the six months ended June 30, 1996
amounted to $84,423,654 and $94,480,487, respectively.
At June 30, 1996, accumulated net unrealized appreciation on investments
was $2,594,668, consisting of $4,006,940 gross unrealized appreciation and
$1,412,272 gross unrealized depreciation.
At June 30, 1996, 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).
DREYFUS NEW YORK INSURED TAX EXEMPT BOND FUND
REVIEW REPORT OF ERNST & YOUNG LLP, INDEPENDENT ACCOUNTANTS
SHAREHOLDERS AND BOARD OF TRUSTEES
DREYFUS NEW YORK INSURED TAX EXEMPT BOND FUND
We have reviewed the accompanying statement of assets and liabilities of
Dreyfus New York Insured Tax Exempt Bond Fund, including the statement of
investments, as of June 30, 1996, and the related statements of operations
and changes in net assets and financial highlights for the six month period
ended June 30, 1996. These financial statements and financial highlights are
the responsibility of the Fund's management.
We conducted our review in accordance with standards established by the
American Institute of Certified Public Accountants. A review of interim
financial information consists principally of applying analytical procedures
to financial data, and making inquiries of persons responsible for financial
and accounting matters. It is substantially less in scope than an audit
conducted in accordance with generally accepted auditing standards, which
will be performed for the full year with the objective of expressing an
opinion regarding the financial statements and financial highlights taken as
a whole. Accordingly, we do not express such an opinion.
Based on our review, we are not aware of any material modifications that
should be made to the interim financial statements and financial highlights
referred to above for them to be in conformity with generally accepted
accounting principles.
We have previously audited, in accordance with generally accepted
auditing standards, the statement of changes in net assets for the year ended
December 31, 1995 and financial highlights for each of the five years in the
period ended December 31, 1995 and in our report dated February 1, 1996, we
expressed an unqualified opinion on such statement of changes in net assets
and financial highlights.
[Ernst & Young LLP signature logo]
New York, New York
July 31, 1996
[Dreyfus lion "d" logo]
DREYFUS NEW YORK INSURED
TAX EXEMPT BOND FUND
200 Park Avenue
New York, NY 10166
MANAGER
The Dreyfus Corporation
200 Park Avenue
New York, NY 10166
CUSTODIAN
The Bank of New York
90 Washington Street
New York, NY 10286
TRANSFER AGENT &
DIVIDEND DISBURSING AGENT
Dreyfus Transfer, Inc.
P.O. Box 9671
Providence, RI 02940
Printed in U.S.A. 577SA966
[Dreyfus logo]
New York Insured
Tax Exempt
Bond Fund
Semi-Annual
Report
June 30, 1996
