DREYFUS STRATEGIC GROWTH, L.P.
LETTER TO INVESTORS
Dear Investor:
Dreyfus Strategic Growth, L.P. has maintained its defensive investment
posture through the end of the latest semi-annual fiscal period, June 30,
1995.
At present, we are reviewing investment strategy alternatives and expect
to be in a position to initiate new approaches in the very near future. In
the meantime, the Fund has kept its cash position somewhat above 50%.
We continued to hold about 35% of the portfolio in U.S. stocks, which
benefitted from the rise in stock prices that has taken place since early
this year.
However, the gains from these holdings were offset by declines incurred
in short positions in U.S. stocks and hedged index positions. Our short
positions covered a number of U.S. stocks, totaling about 8% of the
portfolio.
Most of the U.S. equity sectors in which the Fund was invested showed
gains for the period. This included Energy stocks, Finance issues, Health
Care, Producer Manufacturing, Retail Trade, Technology, Transportation and
Utilities.
Among the best performers in these groups were Alaska Air, JetForm in the
Technology sector, MGIC Investment and CMAC Investment in the Finance
category and Rowan Cos. in the Energy industry.
The Portfolio transactions and holdings resulted in a total return of
- -2.90% for the Fund for the half-year period ended June 30, 1995, based upon
net asset value per share.* For the same six months, the Dow Jones Industrial
Average returned 20.42% and the Standard & Poor's 500 Composite Stock Price
Index produced a total return of 20.19%.**
As of August 1, 1995, Michael Schonberg was appointed portfolio manager
of the Fund. He comes to Dreyfus with an extensive background in managing
growth-oriented portfolios. His experience includes portfolio
responsibilities at the DuPont Pension Fund and UBS Asset Management (New
York), where he served as Chief Investment Officer. Most recently, he has
been associated with Omega Advisors as a general partner.
Sincerely,
[Howard Stein signature logo]
Howard Stein
Chairman, The Dreyfus Corporation
July 12, 1995
New York, N.Y.
* Total return represents the change during the period in a hypothetical
account with distributions reinvested.
**SOURCE: LIPPER ANALYTICAL SERVICES, INC.-Reflects the reinvestment of
income dividends and, where applicable, capital gain distributions. Unlike
the Fund, which can utilize a broad range of investment techniques, both the
Standard & Poor's 500 Composite Stock Price Index and the Dow Jones Industrial
Average are widely accepted unmanaged indexes of U.S. stock market
performance composed of only equity securities.
<TABLE>
<CAPTION>
DREYFUS STRATEGIC GROWTH, L.P.
STATEMENT OF INVESTMENTS JUNE 30, 1995 (UNAUDITED)
COMMON STOCKS-52.7% SHARES VALUE
------- -----
<S> <C> <C>
ENERGY-5.0% Baker Hughes........................... 50,000 $ 1,025,000
Camco International.................... 33,000 771,375
Rowan Cos.............................. (a) 225,000 1,828,125
-----------
3,624,500
-----------
FINANCE-17.3% Allied Group........................... 15,000 427,500
CMAC Investment........................ 30,000 1,301,250
CNA Financial.......................... (a) 10,600 915,575
Commerzbank AG......................... 8,500 2,027,862
Deutsche Bank AG....................... 40,000 1,941,663
Dresdner Bank AG....................... 70,000 2,011,319
First Colony........................... 80,000 1,920,000
MGIC Investment........................ 25,000 1,171,875
20th Century Industries................ (a) 60,000 750,000
-----------
12,467,044
-----------
HEALTH CARE-1.3% Bard (C.R.)............................ 30,000 900,000
----------
PRODUCER
MANUFACTURING-4.7% Baan, N.V.............................. 7,000 216,125
Pentair................................ 14,000 609,000
Trafalgar House PLC.................... 3,600,000 2,580,660
----------
3,405,785
----------
RETAIL TRADE-3.3% Circle K................................ 87,000 1,468,125
Fay's.................................. 15,000 114,375
Federated Department Stores............ (a) 25,000 643,750
House of Fabrics....................... (a) 100,000 112,500
-----------
2,338,750
-----------
TECHNOLOGY-7.1%. JetForm................................ (a) 50,000 812,500
Palmer Wireless........................ 100,000 1,637,500
Transaction Systems Architects, Cl. A.. 20,000 515,000
Unisys................................. (a) 200,000 2,175,000
-----------
5,140,000
-----------
TRANSPORTATION-11.9% Alaska Air Group........................ (a) 175,000 3,215,625
Veba AG................................ 13,500 5,324,772
-----------
8,540,397
-----------
UTILITIES-2.1% Comsat, Ser. I......................... 75,000 1,471,875
-----------
TOTAL COMMON STOCKS
(cost $ 34,337,495).................. $37,888,351
===========
DREYFUS STRATEGIC GROWTH, L.P.
STATEMENT OF INVESTMENTS (CONTINUED) JUNE 30, 1995 (UNAUDITED)
PRINCIPAL
SHORT-TERM INVESTMENTS-49.4% AMOUNT VALUE
_______ ______
U.S. TREASURY BILLS: 5.56%, 7/6/95.......................... $ 3,519,000 $ 3,516,431
5.58%, 7/20/95......................... 257,000 256,301
5.58%, 7/27/95......................... 833,000 829,877
5.55%, 8/3/95.......................... (b) 13,524,000 13,459,085
5.36%, 8/17/95......................... 6,547,000 6,500,647
5.33%, 8/24/95......................... 1,535,000 1,522,582
5.53%, 8/31/95......................... (b,c) 9,568,000 9,480,261
-----------
TOTAL SHORT-TERM INVESTMENTS
(cost $35,559,582) $35,565,184
===========
TOTAL INVESTMENTS (cost $69,897,077).................................. 102.1% $73,453,535
===========
LIABILITIES, LESS CASH AND RECEIVABLES................................. (2.1%) $ (1,531,029)
===========
NET ASSETS.................................................................. 100.0% $71,922,506
===========
NOTES TO STATEMENT OF INVESTMENTS:
(a) Non-income producing.
(b) Partially held by broker as collateral for open short positions.
(c) Partially held by the custodian in a segregated account as
collateral for open financial futures positions.
</TABLE>
<TABLE>
<CAPTION>
STATEMENT OF FINANCIAL FUTURES JUNE 30, 1995 (UNAUDITED)
MARKET VALUE UNREALIZED
NUMBER OF COVERED (DEPRECIATION)
FINANCIAL FUTURES SOLD SHORT CONTRACTS BY CONTRACTS EXPIRATION AT 6/30/95
-------- ----------- --------- ----------
<S> <C> <C> <C> <C>
Standard & Poor's 500........................ 150 $(41,036,250) September `95 $(407,425)
===========
See independent accountants' review report and notes to financial statements.
</TABLE>
<TABLE>
<CAPTION>
DREYFUS STRATEGIC GROWTH, L.P.
STATEMENT OF SECURITIES SOLD SHORT JUNE 30, 1995 (UNAUDITED)
COMMON STOCKS SHARES VALUE
------- ------
<S> <C> <C>
Circuit City Stores......................................................... 10,000 $ 316,250
Hasbro...................................................................... 5,000 158,750
Illinois Tool Works......................................................... 5,000 275,000
Lam Research................................................................ 10,000 640,000
Manpower.................................................................... 20,000 510,000
Mattel...................................................................... 12,500 325,000
Mentor Graphics............................................................. 10,000 172,500
Micro Warehouse............................................................. 10,000 460,000
Molten Metal Technology..................................................... 12,500 290,625
Novellus Systems............................................................ 10,000 677,500
Oracle...................................................................... 3,000 115,875
PacifiCare Health Systems, Cl. B............................................ 10,000 510,000
Scientific-Atlanta.......................................................... 5,000 110,000
Sensormatic Electronics..................................................... 20,000 710,000
Sun Microsystems............................................................ 10,000 485,000
Symbol Technologies......................................................... 5,000 191,875
---------
TOTAL SECURITES SOLD SHORT
(proceeds $4,760,112)................................................... $5,948,375
============
See independent accountants' review report and notes to financial statements.
</TABLE>
<TABLE>
<CAPTION>
DREYFUS STRATEGIC GROWTH, L.P.
STATEMENT OF ASSETS AND LIABILITIES JUNE 30, 1995 (UNAUDITED)
<S> <C> <C>
ASSETS:
Investments in securities, at value
(cost $69,897,077)-see statement...................................... $73,453,535
Cash.................................................................... 83,874
Receivable for investment securities sold............................... 12,800,216
Receivable from brokers for proceeds on securities sold short........... 4,760,112
Receivable for futures variation margin-Note 4(a)....................... 97,500
Dividends and interest receivable....................................... 3,922
Receivable for shares of Partnership Interest sold...................... 2,522
Prepaid expenses........................................................ 31,711
-------
91,233,392
LIABILITIES:
Due to The Dreyfus Corporation.......................................... $ 62,287
Due to Distributor...................................................... 3,565
Bank loans payable-Note 2............................................... 6,500,000
Payable for shares of Partnership Interest redeemed..................... 6,285,798
Securities sold short, at value
(proceeds $4,760,112)-see statement................................... 5,948,375
Payable for investment securities purchased............................. 202,263
Net unrealized (depreciation) on forward currency
exchange contracts-Note 4(a).......................................... 165,065
Loan commitment fees and interest payable............................... 41,615
Accrued expenses........................................................ 101,918 19,310,886
-------- ----------
NET ASSETS.................................................................. $71,922,506
===========
REPRESENTED BY:
Paid-in capital......................................................... $37,725,830
Accumulated undistributed investment income-net......................... 15,596,948
Accumulated undistributed net realized gain on investments and
foreign currency transactions......................................... 16,804,023
Accumulated net unrealized appreciation on investments and securities sold
short [including $(407,425) net unrealized (depreciation) on financial
futures]-Note 4(b).......................................................... 1,795,705
---------
NET ASSETS at value applicable to 1,881,384 outstanding shares of
Partnership Interest, equivalent to $38.23 per share
(unlimited number of Limited Partners)...................................... $71,922,506
===========
See independent accountants' review report and notes to financial statements.
</TABLE>
<TABLE>
<CAPTION>
DREYFUS STRATEGIC GROWTH, L.P.
STATEMENT OF OPERATIONS SIX MONTHS ENDED JUNE 30, 1995 (UNAUDITED)
<S> <C> <C>
INVESTMENT INCOME:
INCOME:
Interest.............................................................. $ 1,974,178
Cash dividends........................................................ 165,301
-----------
TOTAL INCOME...................................................... $ 2,139,479
EXPENSES:
Management fee-Note 3(a).............................................. 330,755
Investor servicing costs-Note 3(b).................................... 202,368
Interest expense-Note 2............................................... 58,244
Professional fees..................................................... 46,680
Registration fees..................................................... 26,527
Managing General Partners' fees and expenses-Note 3(c)................ 20,046
Loan commitment fees-Note 2........................................... 15,712
Custodian fees........................................................ 14,714
Dividends on securities sold short.................................... 13,600
Prospectus and investors' reports-Note 3(b)........................... 7,615
Miscellaneous......................................................... 2,068
-----------
TOTAL EXPENSES.................................................... 738,329
----------
INVESTMENT INCOME-NET............................................. 1,401,150
----------
REALIZED AND UNREALIZED (LOSS) ON INVESTMENTS:
Net realized (loss) on investments-Note 4(a):
Long transactions (including options transactions
and foreign currency transactions)................................ $ (216,103)
Short sale transactions............................................... (149,257)
Net realized (loss) on forward currency exchange contracts-Note 4(a);
Short transactions.................................................... (202,263)
Net realized gain (loss) on financial futures-Note 4(a):
Long transactions..................................................... 73,099
Short transactions.................................................... (6,424,441)
-----------
NET REALIZED (LOSS)................................................... (6,918,965)
Net unrealized appreciation on investments (including options
transactions), foreign currency transactions, forward currency
exchange contracts and securities sold short [including
($494,017) net unrealized (depreciation) on financial futures].............. 3,001,413
----------
NET REALIZED AND UNREALIZED (LOSS) ON INVESTMENTS................. (3,917,552)
----------
NET (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS...................... $(2,516,402)
===========
See independent accountants' review report and notes to financial statements.
</TABLE>
<TABLE>
<CAPTION>
DREYFUS STRATEGIC GROWTH, L.P.
STATEMENT OF CHANGES IN NET ASSETS
YEAR ENDED SIX MONTHS ENDED
DECEMBER 31, JUNE 30, 1995
1994 (UNAUDITED)
--------- ----------
<S> <C> <C>
OPERATIONS:
Investment income-net............................................. $ 1,612,811 $ 1,401,150
Net realized gain (loss) on investments........................... 1,612,943 (6,918,965)
Net unrealized appreciation (depreciation) on investments for the period (3,309,863) 3,001,413
------- ----------
NET (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS......... (84,109) (2,516,402)
------- ----------
PARTNERSHIP INTEREST TRANSACTIONS:
Net proceeds from shares sold..................................... 72,386,547 3,149,457
Cost of shares redeemed........................................... (18,806,148) (27,604,258)
------- ----------
INCREASE (DECREASE) IN NET ASSETS FROM
PARTNERSHIP INTEREST TRANSACTIONS........................... 53,580,399 (24,454,801)
------- ----------
TOTAL INCREASE (DECREASE) IN NET ASSETS..................... 53,496,290 (26,971,203)
NET ASSETS:
Beginning of period............................................... 45,397,419 98,893,709
------- ----------
End of period (including undistributed investment income_net:
$14,195,798 in 1994 and $15,596,948 in 1995).................... $ 98,893,709 $ 71,922,506
============ =============
SHARES SHARES
-------- ---------
CAPITAL SHARE TRANSACTIONS:
Shares sold....................................................... 1,799,462 80,791
Shares redeemed................................................... (475,280) (711,536)
-------- ----------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING................... 1,324,182 (630,745)
============ =============
See independent accountants' review report and notes to financial statements.
</TABLE>
<TABLE>
<CAPTION>
DREYFUS STRATEGIC GROWTH, L.P.
FINANCIAL HIGHLIGHTS
Contained below is per share operating performance data for a share of
Partnership 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, 1995
--------------------------
PER SHARE DATA: 1990 1991 1992 1993 1994 (UNAUDITED)
---- ---- ---- ---- ---- ------
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of period.. $29.37 $27.27 $36.19 $30.63 $38.22 $39.37
---- ---- ---- ---- ---- ------
INVESTMENT OPERATIONS:
Investment income-net................. 2.37 2.07 1.38 2.21 .87(1) 2.64
Net realized and unrealized gain
(loss) on investments............... (4.47) 6.85 (6.94) 5.38 .28 (3.78)
---- ---- ---- ---- ---- ------
TOTAL FROM INVESTMENT OPERATIONS.... (2.10) 8.92 (5.56) 7.59 1.15 (1.14)
---- ---- ---- ---- ---- ------
Net asset value, end of period........ $27.27 $36.19 $30.63 $38.22 $39.37 $38.23
===== ===== ===== ====== ====== ======
TOTAL INVESTMENT RETURN(2)................ (7.15%) 32.71% (15.36%) 24.78% 3.01% (2.90%)(3)
RATIOS/SUPPLEMENTAL DATA:
Ratio of operating expenses to
average net assets.................. 1.50%(4) 1.50%(4) 1.50%(4) 1.59%(4) 1.46% .73%(3)
Ratio of interest expense, loan commitment
fees and dividends on securities sold
short to average net assets............... .96% .08% .22% .03% .16% .10%(3)
Ratio of net investment income to
average net assets.................. 1.79% 1.48% .83% .79% 2.17% 1.58%(3)
Decrease reflected in above expense ratios
due to undertaking by the Manager... -- -- -- .06% -- --
Portfolio Turnover Rate............... 188.16% 95.49% 209.38% 301.07% 269.41% 154.14%(3)
Net Assets, end of period (000's Omitted) $60,383 $61,063 $44,765 $45,397 $98,894 $71,923
(1) Based on an average of shares outstanding at each month end.
(2) Exclusive of sales load.
(3) Not annualized.
(4) Net of expenses reimbursed.
See independent accountants' review report and notes to financial statements.
</TABLE>
DREYFUS STRATEGIC GROWTH, L.P.
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
NOTE 1-SIGNIFICANT ACCOUNTING POLICIES:
The Fund is registered under the Investment Company Act of 1940 ("Act")
as a non-diversified open-end management investment company. The Dreyfus
Corporation ("Manager") serves as the Fund's investment adviser. Premier
Mutual Fund Services, Inc. (the "Distributor") acts as the Fund's
distributor. The Distributor, located at One Exchange Place, Boston,
Massachusetts 02109, is a wholly-owned subsidiary of FDI Distribution
Services, Inc., a provider of mutual fund administration services, which in
turn is a wholly-owned subsidiary of FDI Holdings, Inc., the parent company
of which is Boston Institutional Group, Inc. As of June 30, 1995, Dreyfus
Partnership Management Inc. held 27,634 shares. Dreyfus Service Corporation
and Dreyfus Partnership Management, Inc. are wholly-owned subsidiaries of the
Manager. The Manager is a direct subsidiary of Mellon Bank, N.A.
(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 Managing General
Partners. Investments denominated in foreign currencies are translated to
U.S. dollars at the prevailing rates of exchange.
(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 change 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, 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 at period end, resulting from changes in exchange rates.
(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.
(D) DISTRIBUTIONS TO INVESTORS: Distributions from investment income-net
and distributions from net realized capital gains may be allocated and paid
annually after the end of the year in which earned.
(E) INCOME TAXES: As a partnership, the Fund itself will not be subject
to Federal, State and City
DREYFUS STRATEGIC GROWTH, L.P.
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) (CONTINUED)
income taxes. Instead, each investor will be allocated, and subject to tax
on, his distributive share of the Fund's income. Therefore, no income tax
provision is required.
NOTE 2-BANK LINE OF CREDIT:
In accordance with an agreement with a bank, the Fund may borrow up to
$25 million under a short-term unsecured line of credit. In connection
therewith, the Fund has agreed to pay commitment fees at an annual rate of
.125 of 1% on the total line of credit. Interest on borrowings is charged at
rates which are related to Federal Funds rates in effect from time to time.
Outstanding borrowings on June 30, 1995 under the line of credit, amounted to
$6.5 million, at an annualized interest rate of 6.96%.
The average daily amount of short-term debt outstanding during the six
months ended June 30, 1995 was approximately $1,652,000, with a related
weighted average annualized interest rate of 7.11%. The maximum amount
borrowed at any time during the six months ended June 30, 1995 was $13.5
million.
NOTE 3-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 .75 of 1% of the average
daily value of the Fund's net assets and is 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
(which, in the view of Stroock & Stroock & Lavan, counsel to the Fund, also
contemplates loan commitment fees and dividends and interest accrued on
securities sold short), and extraordinary expenses, exceed the expense
limitation of any state having jurisdiction over the Fund, the Fund may
deduct from payments to be made to the Manager, or the Manager will bear the
amount of such excess to the extent required by state law. The most stringent
state expense limitation applicable to the Fund presently requires
reimbursement of expenses in any full year that such expenses (exclusive of
distribution expenses and certain expenses as described above) exceed 2 1/2%
of the first $30 million, 2% of the next $70 million and 1 1/2% of the excess
over $100 million of the average value of the Fund's net assets in accordance
with California "blue sky" regulations. There was no expense reimbursement
for the six months ended June 30, 1995.
Dreyfus Service Corporation retained $7,420 during the six months ended
June 30, 1995 from commissions earned on sales of Fund shares.
(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 third parties for distributing
the Fund's shares and servicing investor accounts and (b) pays the Manager,
Dreyfus Service Corporation or any affiliate (collectively "Dreyfus") for
advertising and marketing relating to the Fund and servicing investor
accounts, at an annual rate of .25 of 1% of the value of the Fund's average
daily net assets. Each of the Distributor and Dreyfus may pay Service Agents
(a securities dealer, financial institution or other industry professional) a
fee in respect of the Fund's shares owned by investors with whom the Service
Agent has a servicing relationship or for whom the Servicing Agent is the
dealer or holder of record. Each of the Distributor and Dreyfus determine the
amounts, if any, to be paid to Service Agents under the plan 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
DREYFUS STRATEGIC GROWTH, L.P.
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) (CONTINUED)
information and costs associated with implementing and operating the Plan,
not to exceed the greater of $100,000 or .005 of 1% of the Fund's average net
assets for any full year. During the six months ended June 30, 1995, $115,210
was charged to the Fund pursuant to the Plan.
(C) Each Managing General Partner 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 4-SECURITIES TRANSACTIONS:
(A) The following summarizes the aggregate amount of purchases and sales
of investment securities and securities sold short, excluding short-term
securities, forward currency exchange contracts and options transactions,
during the six months ended June 30, 1995:
PURCHASES SALES
--------- -------
Long transactions................. $48,262,282 $36,145,939
Short sale transactions........... 14,572,867 6,436,494
--------- -------
TOTAL............................. $62,835,149 $42,582,433
=========== ===========
The Fund is engaged in short-selling which obligates the Fund to replace
the security borrowed by purchasing the security at current market value. The
Fund would incur a loss if the price of the security increases between the
date of the short sale and the date on which the Fund replaces the borrowed
security. The Fund would realize a gain if the price of the security declines
between those dates. Until the Fund replaces the borrowed security, the Fund
will maintain daily, a segregated account with a broker and custodian, of
cash and/or U.S. Government securities sufficient to cover its short
position. Securities sold short at June 30, 1995 and their related market
values and proceeds are set forth in the Statement of Securities Sold Short.
<TABLE>
<CAPTION>
U.S. DOLLAR
VALUE UNREALIZED
PROCEEDS 6/30/95 (DEPRECIATION)
FORWARD CURRENCY SALE CONTRACTS: -------- -------- ------------
<S> <C> <C> <C>
Swiss Franc, expiring 8/25/95 & 9/13/95................. $11,321,075 $11,445,211 $ (124,136)
British Pound, expiring 8/8/95.......................... 2,917,193 2,958,122 (40,929)
FORWARD CURRENCY SALE CONTRACTS: -------- -------- --------
TOTAL................................................. $14,238,268 $14,403,333 $ (165,065)
FORWARD CURRENCY SALE CONTRACTS: ========== =========== ==========
</TABLE>
When executing forward currency exchange contracts, the Fund
is obligated to buy or sell a foreign currency at a specified
rate on a certain date in the future. With respect to sales of forward
currency exchange contracts, the Fund would incur a loss if the value of the
contract increases between the date the forward contract is opened and the
date the forward contract is closed. The Fund realizes a gain if the value of
the contract decreases between those dates. With respect to purchases of
forward currency exchange contracts, the Fund would incur a loss if the value
of the contract decreases between the date the forward contract is opened and
the date the forward contract is closed. The Fund realizes a gain if the
value of the contract increases between those dates. The Fund is also exposed
to credit risk associated with counter party nonperformance on these forward
currency exchange contracts which is typically limited to the unrealized
gains on such contracts that are recognized in the statement of assets and
liabilities.
DREYFUS STRATEGIC GROWTH, L.P.
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) (CONTINUED)
The Fund is engaged in trading financial futures contracts. The Fund is
exposed to market risk as a result of changes in the value of the underlying
financial instruments (see the Statement of Financial Futures). 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 made or
received to reflect daily unrealized gains or losses. When the contracts are
closed, the Fund 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. Contracts open at June 30,
1995 and their related unrealized market depreciation are set forth in the
Statement of Financial Futures.
(B) At June 30, 1995, accumulated net unrealized appreciation on
investments was $1,795,705, consisting of $4,150,943 gross unrealized
appreciation and $2,355,238 gross unrealized depreciation.
At June 30, 1995, the cost of investments for Federal income tax purposes
was substantially the same as the cost for financial reporting purposes (see
the Statement of Investments).
DREYFUS STRATEGIC GROWTH, L.P.
REVIEW REPORT OF ERNST & YOUNG LLP, INDEPENDENT ACCOUNTANTS
INVESTORS AND MANAGING GENERAL PARTNERS
DREYFUS STRATEGIC GROWTH, L.P.
We have reviewed the accompanying statement of assets and liabilities of
Dreyfus Strategic Growth, L.P., including the statements of investments,
financial futures and securities sold short, as of June 30, 1995, and the
related statements of operations and changes in net assets and financial
highlights for the six month period ended June 30, 1995. 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, 1994 and financial highlights for each of the five years in the
period ended December 31, 1994 and in our report dated February 2, 1995, we
expressed an unqualified opinion on such statement of changes in net assets
and financial highlights.
[Ernst and Young LLP signature logo]
New York, New York
August 8, 1995
[Dreyfus lion "d" logo]
DREYFUS STRATEGIC GROWTH, L.P.
200 Park Avenue
New York, NY 10166
INVESTMENT ADVISER
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
The Shareholder Services Group, Inc.
P.O. Box 9671
Providence, RI 02940
Further information is contained
in the Prospectus, which must
precede or accompany this report.
Printed in U.S.A. 038SA956
[Dreyfus logo]
Strategic
Growth, L.P.
Semi-Annual
Report
June 30, 1995
