<PAGE>
Dreyfus
New York
Tax Exempt
Money Market Fund
Semi-Annual
Report
November 30, 1996
<PAGE>
Dreyfus New York Tax Exempt Money Market Fund
- --------------------------------------------------------------------------------
Letter to Shareholders
Dear Shareholder:
We are pleased to provide you with this report on the Dreyfus New York Tax
Exempt Money Market Fund. For its semi-annual reporting period ended November
30, 1996, your Fund produced an annualized yield of 2.69% per share. Income
dividends exempt from Federal, State of New York and New York City personal
income taxes of approximately $.013 per share were paid.* Reinvesting these
dividends and calculating the effect of compounding resulted in an annualized
effective yield of 2.72%.**
ECONOMIC AND MARKET ENVIRONMENT
The closing months of the period continued to show the economy downshifting
to lower gear, although the stage may be set for acceleration early in 1997.
Real gross domestic product (GDP) rose 2.2% in the third quarter of 1996, down
from 4.88% in the second, with forecasts calling for 2% growth in the fourth
quarter. October industrial production fell 0.5%, more than expected, while a
sharp dip in the length of the workweek in private employment and in orders
reported by purchasers evinced waning economic strength. Housing indicators have
also been edging lower of late, while retail sales rose only modestly in
November. The good news for investors continued with November's election
outcome, as reinforcement of the status quo postponed the prospect of action on
controversial measures like taxes, the deficit, and health care reform--action
that could spell market volatility. On the other hand, analysts point to growing
consumer confidence, hearty income gains and a rebound in auto production
schedules, as factors that could jump-start the economy in 1997.
Meanwhile, inflation data suggested a continuation in the benign backdrop we
have seen for many months. The core Consumer Price Index (CPI) rose only 0.2% in
October, while price increases in producer goods remained virtually absent.
Indeed, the Federal Reserve Board (the "Fed") took no action at its meeting in
November, while its widely watched beige book survey of Federal Reserve banks
around the country supported the view that monetary policy could remain on its
present course for now. Although the market had not been convinced of this
optimistic scenario in September--expecting an interest-rate hike that never
came--most participants seemed to have adopted the positive inflation outlook by
the end of the period. The inflation picture still bears watching, however, as
some economists contend that the risk of inflation may increase with a pickup in
the economy. Some suggest the Fed may choose to tighten rates slightly in early
1997 in anticipation of a stronger economy.
In the money market nationwide, rates appeared to have stabilized toward the
end of November. Earlier in the period, however, expectations for a Fed
interest-rate hike led to somewhat higher yields and a somewhat more volatile
rate environment. Yields had been inching up since March, when the first robust
employment growth figures of 1996 were announced. On a state level, New York
leads the nation in tax cuts, having reduced personal income taxes for the year
1996 by $1.8 billion--more than the combined cuts for the remaining 49 states.
Additionally, it is expected that the third phase of the tax cut will take place
three months earlier in 1997 than was scheduled, aided by the State's current
budget surplus of approximately $250 million.
PORTFOLIO OVERVIEW
There are times in the municipal money market when the execution of portfolio
strategy is hindered to some degree by a lack of available supply. Oftentimes,
the attempt to extend a fund's average maturity could be thwarted by a dearth of
high quality, short-term investments. These supply conditions can change
substantially and often during the course of one calendar year. One example of a
seasonal period of available supply is during the summer months when many
issuers look to the municipal note market to meet their short-term financing
needs. This year,
<PAGE>
the increased supply coincided well with our efforts to increase your
Fund's average maturity in anticipation of a decline in note yields. While the
lack of New York note supply, at times, postponed our strategy, we were able to
lock in some attractive rates in the six-month to one-year range. This extension
is designed to potentially benefit your Fund's performance in early 1997 as
yields on much shorter instruments historically have dropped significantly in
the first few weeks of the year. Of course, past performance is no guarantee of
future results. We will continue to monitor the market to adjust our strategy to
any unexpected changes as we seek out high quality issues that provide an
appropriate balance between both income and liquidity guidelines.
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
Director, Municipal Portfolio Management
The Dreyfus Corporation
December 15, 1996
New York, N.Y.
*Some income may be subject to State and local taxes for non-New York residents
and to the Federal Alternative Minimum Tax (AMT) for certain shareholders.
**Annualized effective yield is based upon dividends declared daily and
reinvested monthly.
<PAGE>
Dreyfus New York Tax Exempt Money Market Fund
- --------------------------------------------------------------------------------
Statement of Investments November 30, 1996 (Unaudited)
<TABLE>
<CAPTION>
Principal
Tax Exempt Investments--100.0% Amount Value
- ------------------------------------------------------------------------ --------------- ------------
<S> <C> <C>
New York--97.6%
Deer Park Union Free School District, TAN 4.375%, 6/27/97.................... $ 7,750,000 $ 7,765,934
Erie County, RAN 4.25%, Series A, 4/17/97 (LOC; Union Bank of Switzerland) (a) 11,000,000 11,025,876
Half Hallow Hills Central School District, TAN
(Huntington and Babylon) 4.25%, 6/27/97................................... 6,000,000 6,009,849
Metropolitan Transportation Authority:
RAN 4.25%, Series A, 12/12/96............................................. 4,000,000 4,000,717
VRDN Commuter Facilities Revenue 3.55% (LOC: Bank of Tokyo-Mitsubishi,
Industrial Bank of Japan, JP Morgan, National Westminster Bank and
Sumitomo Bank) (a,b).................................................... 33,800,000 33,800,000
Monroe County Industrial Development Agency, Revenue, VRDN (Enbi Corp.)
3.30% (LOC; ABN-Amro Bank) (a,b).......................................... 4,700,000 4,700,000
New York City:
CP 3.55%, 12/6/96 (LOC; Morgan Guaranty Trust Co.) (a).................... 5,000,000 5,000,000
RAN 4.50, Series B, 6/30/97 (LOC: Bank of Nova Scotia,
Canadian Imperial Bank of Commerce and Commerz Bank) (a)................ 12,000,000 12,047,270
TAN 4.50%, Series A, 2/12/97.............................................. 14,500,000 14,520,302
VRDN:
3.90%, Subseries A-4 (LOC; Chase Manhattan Bank) (a,b).................. 4,900,000 4,900,000
Trust Cultural Resource Revenue, Refunding (American Museum of Natural History)
3.35%, Series A (Insured; MBIA and BPA; Credit Suisse) (b)............ 6,000,000 6,000,000
New York City Housing Development Corporation, Mortgage Revenue, VRDN:
(Multi-Family York Avenue Development Project) 3.50% (LOC; Midland Bank) (a,b) 7,000,000 7,000,000
(Park Gate Tower) 3.40% (LOC; Citibank) (a,b)............................. 610,000 610,000
(Residential East 17th Street) 4.10%, Series A (LOC; Chase Manhattan Bank) (a,b)2,800,000 2,800,000
New York City Industrial Development Agency, VRDN:
Civil Facility Revenue (Mercy College Project)
3.45% (LOC; The Bank of New York) (a,b)................................. 1,800,000 1,800,000
IDR:
(La Guardia Association Project) 3.50% (LOC; Banque Indosuez) (a,b)..... 13,700,000 13,700,000
(Stroheam & Roman Project) 3.65% (LOC; Westdeutsche Landesbank) (a,b)... 5,700,000 5,700,000
New York City Municipal Water Finance Authority, Water & Sewer Systems Revenue, VRDN
4.25%, Series A (Insured; FGIC and Liquidity Facility; FGIC) (b).......... 1,800,000 1,800,000
New York State Dormitory Authority, Revenues, CP (Memorial Sloan Kettering)
3.55%, Series A, 2/27/97 (LOC; Chase Manhattan Bank) (a).................. 7,700,000 7,700,000
New York State Energy, Research and Development Authority, PCR, VRDN:
(Central Hudson Gas and Electric)
3.30%, Series A (LOC; Union Bank of Switzerland) (a,b).................. 2,600,000 2,600,000
(Niagara Mohawk Power)
4.05%, Series A (LOC; Morgan Guaranty Trust Co.) (a,b).................. 11,500,000 11,500,000
New York State Housing Finance Agency, MFHR, VRDN
3.60%, Series A (b)....................................................... 3,100,000 3,100,000
New York State Local Government Assistance Corporation, VRDN:
3.30%, Series B (LOC; Credit Suisse) (a,b)................................ 5,200,000 5,200,000
3.50%, Series A (LOC: Credit Suisse and Union Bank of Switzerland) (a,b).. 28,600,000 28,600,000
<PAGE>
Dreyfus New York Tax Exempt Money Market Fund
- --------------------------------------------------------------------------------
Statement of Investments November 30, 1996 (Unaudited)
Principal
Tax Exempt Investments--100.0% Amount Value
- --------------------------------------------------------------------- ---------------- -------------
New York (continued)
New York State Medical Care Facilities Finance Agency, Revenue, VRDN:
(Childrens Hospital Buffalo) 3.40%, Series A (LOC; Barclays Bank) (a,b)... $ 4,100,000 $ 4,100,000
(Pooled Equipment Loan Program) 3.40% (LOC; Chase Manhattan Bank) (a,b)... 8,000,000 8,000,000
New York State Power Authority, Revenue, General Purpose Junior Lien
3.70%, 3/1/97 (LOC: Bank of America, Bank of Tokyo-Mitsubishi,
Morgan Guaranty Trust Co. and Sumitomo Bank) (a).......................... 10,000,000 10,000,000
Port Authority of New York and New Jersey, VRDN
4.05%, Series 2 (LOC; Morgan Guaranty Trust Co.) (a,b).................... 2,900,000 2,900,000
Rochester County, BAN:
3.75%, Series I, 3/11/97.................................................. 14,000,000 14,012,131
4.25%, Series III, 10/30/97............................................... 10,000,000 10,039,612
Sachem Central School District, TAN 4.50%, 6/26/97........................... 5,750,000 5,767,242
Triborough Bridge and Tunnel Authority, Special Obligation, VRDN
3.50% (Insured; FGIC and Liquidity Facility; FGIC) (b).................... 14,500,000 14,500,000
Westchester County, TAN 3.75%, 12/11/96...................................... 9,000,000 9,001,564
U.S. Related--2.4%
Commonwealth of Puerto Rico Government Development Bank, CP
3.60%, 12/5/96............................................................ 7,000,000 7,000,000
-------------------
TOTAL INVESTMENTS
(cost $287,199,608)....................................................... $287,200,497
===================
</TABLE>
<PAGE>
Dreyfus New York Tax Exempt Money Market Fund
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Summary of Abbreviations
- -------------------------------------------------------------------------------
<S> <C> <C> <C>
BAN Bond Anticipation Notes MBIA Municipal Bond Investors Assurance
BPA Bond Purchase Agreement Corporation
MFHR Multi-Family Housing Revenue
CP Commercial Paper PCR Pollution Control Revenue
FGIC Financial Guaranty Insurance Company RAN Revenue Anticipation Notes
IDR Industrial Development Revenue TAN Tax Anticipation Notes
LOC Letter of Credit VRDN Variable Rate Demand Notes
</TABLE>
Summary of Combined Ratings (Unaudited)
- -----------------------------------------------------------------------
<TABLE>
<CAPTION>
Fitch (c) or Moody's or Standard & Poor's Percentage of Value
- ------ -------- ---------------- ------------------
<S> <C> <C> <C> <C> <C>
F1+/F1 VMIG1/MIG1, P1(d) SP1+/SP1, A1+/A1(d) 91.6%
AAA/AA (e) Aaa/Aa (e) AAA/AA (e) 3.5
Not Rated (f) Not Rated (f) Not Rated (f) 4.9
-------
100.0%
=======
<FN>
Notes to Statement of Investments:
- -------------------------------------------------------------------------------
(a) Secured by letters of credit. At November 30, 1996, 62.8% of the Fund's net
assets are backed by letters of credit issued by domestic banks, foreign
banks
and brokerage firms of which Union Bank of Switzerland is 11.2%.
(b) Securities payable on demand. The interest rate, which is subject to
change,
is based upon bank prime rates or an index of market interest rates.
(c) Fitch currently provides creditworthiness information for a limited
number of investments.
(d) P1 and A1 are the highest ratings assigned tax-exempt commercial
paper by
Moody's and Standard & Poor's, respectively.
(e) Notes which are not F, MIG or
SP rated are represented by bond ratings of the issuers.
(f) Securities which,
while not rated by Fitch, Moody's and Standard & Poor's have been
determined by
the Fund's Board of Trustees to be of comparable quality to those
rated securities in which the Fund may invest.
</TABLE>
See notes to financial statements.
<PAGE>
Dreyfus New York Tax Exempt Money Market Fund
- ----------------------------------------------------------------------
Statement of Assets and Liabilities November 30, 1996 (Unaudited)
<TABLE>
<CAPTION>
Cost Value
------------- -------------
<S> <C> <C> <C>
ASSETS: Investments in securities--See Statement of Investments $287,199,608 $287,200,497
Cash............................................. 3,153,706
Interest receivable.............................. 2,322,766
Prepaid expenses................................. 13,887
-------------
292,690,856
-------------
LIABILITIES: Due to The Dreyfus Corporation and affiliates.... 121,684
Accrued expenses and other liabilities........... 75,789
-------------
197,473
-------------
NET ASSETS..................................................................... $292,493,383
=============
REPRESENTED BY: Paid-in capital.................................. $292,547,983
Accumulated net realized gain (loss) on investments (55,489)
Accumulated gross unrealized appreciation (depreciation)
on investments................................. 889
-------------
NET ASSETS..................................................................... $292,493,383
=============
SHARES OUTSTANDING
(unlimited number of $.001 par value shares of Beneficial Interest authorized). 292,547,983
NET ASSET VALUE, offering and redemption price per share....................... $1.00
======
</TABLE>
See notes to financial statements.
<PAGE>
Dreyfus New York Tax Exempt Money Market Fund
- -------------------------------------------------------------------------
Statement of Operations Six Months Ended November 30, 1996 (Unaudited)
<TABLE>
<CAPTION>
INVESTMENT INCOME
<S> <C> <C> <C>
INCOME Interest Income.................................. $5,039,101
EXPENSES: Management fee--Note 2(a)......................... $745,156
Shareholder servicing costs--Note 2(b)............ 224,412
Professional fees................................ 22,826
Custodian fees................................... 15,733
Trustees' fees and expenses--Note 2(c)........... 10,233
Prospectus and shareholders' reports............. 6,026
Registration fees................................ 2,411
Miscellaneous.................................... 4,784
----------
Net Expenses................................ 1,031,581
------------
INVESTMENT INCOME--NET.......................................................... 4,007,520
NET UNREALIZED GAIN (LOSS) ON INVESTMENTS--Note 1(b)........................... 889
------------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS.......................... $4,008,409
============
</TABLE>
See notes to financial statements.
<PAGE>
Dreyfus New York Tax Exempt Money Market Fund
- --------------------------------------------------------------------
Statement of Changes in Net Assets
<TABLE>
<CAPTION>
Six Months Ended
November 30, 1996 Year Ended
(Unaudited) May 31, 1996
---------------- --------------
OPERATIONS:
<S> <C> <C>
Investment income--net................................................ $ 4,007,520 $ 9,399,503
Net realized gain (loss) on investments.............................. -- (3,214)
Net unrealized appreciation (depreciation) on investments............ 889 --
----------------- ---------------
Net Increase (Decrease) in Net Assets Resulting from Operations.. 4,008,409 9,396,289
----------------- ---------------
DIVIDENDS TO SHAREHOLDERS FROM:
Investment income--net................................................ (4,007,520) (9,399,503)
----------------- ---------------
BENEFICIAL INTEREST TRANSACTIONS ($1.00 per share):
Net proceeds from shares sold........................................ 141,834,683 326,637,302
Dividends reinvested................................................. 3,798,056 8,835,535
Cost of shares redeemed.............................................. (151,907,879) (354,541,767)
----------------- ---------------
Increase (Decrease) in Net Assets from Beneficial Interest Transactions (6,275,140) (19,068,930)
----------------- ---------------
Total Increase (Decrease) in Net Assets........................ (6,274,251) (19,072,144)
NET ASSETS:
Beginning of Period.................................................. 298,767,634 317,839,778
----------------- ---------------
End of Period........................................................ $ 292,493,383 $ 298,767,634
----------------- ---------------
----------------- ---------------
</TABLE>
See notes to financial statements.
<PAGE>
Dreyfus New York Tax Exempt Money Market 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.
<TABLE>
<CAPTION>
Six Months Ended
November 30, 1996 Year Ended May 31,
---------------------------------------------------
PER SHARE DATA: (Unaudited) 1996 1995 1994 1993 1992
----------- ------ ------ ------ ------ ------
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of period.. $1.00 $1.00 $1.00 $1.00 $1.00 $1.00
------ ------ ------ ------ ------ ------
Investment Operations:
Investment income--net................. .014 .030 .027 .017 .019 .032
------ ------ ------ ------ ------ ------
Distributions:
Dividends from investment income--net.. (.014) (.030) (.027) (.017) (.019) (.032)
------ ------ ------ ------ ------ ------
Net asset value, end of period........ $1.00 $1.00 $1.00 $1.00 $1.00 $1.00
====== ====== ====== ====== ====== ======
TOTAL INVESTMENT RETURN.................. 2.71%* 3.05% 2.76% 1.69% 1.87% 3.26%
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets .69%* .64% .68% .68% .67% .64%
Ratio of net investment income
to average net assets.............. 2.69%* 3.00% 2.71% 1.68% 1.86% 3.22%
Net Assets, end of period (000's Omitted) $292,493 $298,768 $317,840 $343,964 $379,816 $418,763
<FN>
- --------------------
* Annualized.
</TABLE>
See notes to financial statements.
<PAGE>
Dreyfus New York Tax Exempt Money Market Fund
- -------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (Unaudited)
NOTE 1--Significant Accounting Policies:
Dreyfus New York Tax Exempt Money Market 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 and the maintenance of liquidity. 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 charge.
It is the Fund's policy to maintain a continuous net asset value per share of
$1.00; the Fund has adopted certain investment, portfolio valuation and dividend
and distribution policies to enable it to do so. There is no assurance, however,
that the Fund will be able to maintain a stable net asset value per share of
$1.00.
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 are valued at amortized cost, which has
been determined by the Fund's Board of Trustees to represent the fair value of
the Fund's investments.
(b) Securities transactions and investment income: Securities transactions are
recorded on a trade date 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. Realized gain and loss from securities
transactions are recorded on the identified cost basis.
Cost of investments represents amortized cost.
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, if any, 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, 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.
The Fund has an unused capital loss carryover of approximately $52,000
available for Federal income tax purposes to be applied against future net
securities profits, if any, realized subsequent to May 31, 1996. The carryover
does not include net realized securities losses from November 1, 1995 through
May 31, 1996, which are treated, for Federal income tax purposes as arising in
fiscal 1997. If not applied, $15,000 expires in fiscal 1998, $1,000 expires in
fiscal 1999, $2,000 expires in fiscal 2002, $27,000 expires in fiscal 2003 and
$7,000 expires in fiscal 2004.
At November 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).
<PAGE>
Dreyfus New York Tax Exempt Money Market Fund
- -------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (Unaudited) (continued)
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 .50 of 1% of the value of the
Fund's average daily net assets and is payable monthly. The Agreement provides
that if in any full fiscal year the aggregate expenses of the Fund, exclusive of
taxes, brokerage, interest on borrowings and extraordinary expenses, exceed
11/2% of the value of the Fund's average net assets the Fund may deduct from the
payments to be made to the Manager, or the Manager will bear such excess
expense. There was no expense reimbursement for the period ended November 30,
1996.
(b) Pursuant to the Fund's Shareholder Services Plan, the Fund reimburses
Dreyfus Service Corporation, a wholly-owned subsidiary of the Manager, an amount
not to exceed an annual rate of .25 of 1% of the value of the Fund's average
daily net assets for certain allocated expenses of providing personal services
and/or maintaining shareholder accounts. 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.
During the period ended November 30, 1996, the Fund was charged an aggregate of
$118,415 pursuant to the Shareholder Services Plan.
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 $58,878 for the period ended November 30, 1996.
(c) Each trustee who is not an "affiliated person" as defined in the Act
receives from the Fund an annual fee of $1,500 and an attendance fee of $250 per
meeting. The Chairman of the Board receives an additional 25% of such
compensation.
<PAGE>
Dreyfus New York Tax Exempt
Money Market 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. 273SA9611
