PRESIDENT'S LETTER
Dear Shareholder:
We are pleased to report that for the fiscal year ended December 31,
1993, the Dreyfus Life and Annuity Index Fund, Inc. produced a total
return of 9.33%.asterisk This performance does not reflect the deduction
of additional charges applicable to separate accounts of participating
insurance companies using the Fund as an underlying investment.
This closely reflects the performance of the Standard & Poor's 500
Composite Stock Price Index(S&P 500 Index) which produced a total return
of 10.06% during the same twelve month period.2 asterisk The stock
market, as measured by the S&P 500 Index,3 asterisk was in a rising mode
for a good part of the reporting period, which is reflected in the total
return of your Fund. The difference between the Fund's return and that
of the S&P 500 Index results from several factors, including the use of
futures contracts, commissions associated with equity and futures
trading, and other Fund expenses.
For the most part, economic news during the reporting period was
encouraging. Prices and wages were under little upward pressure.
Interest rates continued to be low by standards of recent years. This
provided a favorable background for higher industrial production and
factory orders. A fairly stable U.S. dollar at reasonable rates of
exchange continued to encourage exports, despite the fact that Japan and
Europe are still gripped by recession. Consumer confidence has improved
and there has been a strong inflow of assets into stocks by individuals
seeking higher returns than they can obtain on bank and money market
instruments. This has encouraged a large increase in the supply of new
issues coming to market. So far, however, demand appears to have kept
pace with supply.
Although the economy continued to grow at an anemic pace throughout
most of the year, by the 4th quarter it had begun to pick up steam.
Inflation for the most part was not a threat during 1993. However, as
the economy heats up, it could once again become an important factor.
There are also other aspects of the U.S. economy that bear watching.
Unemployment hovered stubbornly around the 7% level as many of America's
largest companies continued to lay off thousands of employees in an
effort to improve corporate bottom lines. In August, Congress passed the
Budget Reconciliation Act, a combination of tax increases and spending
cuts. The full impact of higher taxes on the economy may not be felt
until the 2nd quarter of 1994.
As we enter into the Fund's new fiscal year, we remain optimistic for
stock market investments as represented by the Dreyfus Life and Annuity
Index Fund. We look forward to serving your investment needs.
Sincerely,
Joseph S. DiMartino
President
January 19, 1994
New York, N.Y.
asterisk Total return represents the change during the period in a
hypothetical account with dividends reinvested.
2 asterisk SOURCE: LIPPER ANALYTICAL SERVICES, INC. - Reflects the
reinvestment of income dividends and, where applicable, capital gain
distributions.
3 asterisk The Standard & Poor's 500 Composite Stock Price Index is a
widely accepted unmanaged index of stock market performance. "S&P
registered" and "S&P 500 registered" are trademarks of Standard & Poor's
Corporation and have been licensed for use by the Fund. The Fund is not
sponsored, sold, endorsed or promoted by S&P.
DREYFUS LIFE AND ANNUITY INDEX FUND, INC. DECEMBER 31, 1993
COMPARISON OF CHANGE IN VALUE OF $10,000 INVESTMENT IN DREYFUS LIFE AND
ANNUITY INDEX FUND, INC.
AND THE STANDARD & POOR'S 500 COMPOSITE STOCK PRICE INDEX
(See exhibit A)
Past performance is not predictive of future performance.
THE FUND'S PERFORMANCE DOES NOT REFLECT THE DEDUCTION OF ADDITIONAL
CHARGES APPLICABLE TO SEPARATE ACCOUNTS OF PARTICIPATING INSURANCE
COMPANIES USING THE FUND AS AN UNDERLYING INVESTMENT.
The above illustration compares a $10,000 investment made in Dreyfus
Life and Annuity Index Fund on 9/29/89 (Inception Date) to a $10,000
investment made in the Standard & Poor's 500 Composite Stock Price Index
on that date. For comparative purposes, the value of the Index on
9/30/89 is used as the beginning value on 9/29/89. All dividends and
capital gain distributions are reinvested.
The Fund's performance takes into account all applicable fees and
expenses. The Standard & Poor's 500 Composite Stock Price Index is a
widely accepted, unmanaged index of overall stock market performance
which does not take into account charges, fees and other expenses.
Further information relating to Fund performance, including expense
reimbursement, if applicable, is contained in the Condensed Financial
Information section of the Prospectus and elsewhere in this report.
asterisk Source: Lipper Analytical Services, Inc.
DREYFUS LIFE AND ANNUITY INDEX FUND, INC.
STATEMENT OF INVESTMENTS DECEMBER 31, 1993
SHARES COMMON STOCKS--94.3% VALUE
- ----------- --------
CAPITAL GOODS--13.7%
1,840 AMP................................................ $ 116,150
1,580 (a) Advanced Micro Devices............................. 28,045
911 Alco Standard...................................... 49,877
2,475 Allied-Signal...................................... 195,525
1,990 (a) Amdahl............................................. 11,940
280 (a) Andrew............................................. 10,780
2,035 Apple Computer..................................... 59,524
425 Autodesk........................................... 19,125
1,475 Black & Decker..................................... 29,131
5,961 Boeing............................................. 257,813
250 Briggs & Stratton.................................. 20,625
3,015 Browning-Ferris Industries......................... 77,636
1,452 (a) COMPAQ Computer.................................... 107,448
1,770 Caterpillar........................................ 157,530
750 (a) Ceridian........................................... 14,250
590 Cincinnati Milacron................................ 12,980
310 (a) Clark Equipment.................................... 16,236
2,617 Columbia Healthcare................................ 87,015
2,895 Computer Associates International.................. 115,800
300 (a) Computer Sciences.................................. 29,850
2,000 Cooper Industries.................................. 98,500
3,525 Corning............................................ 98,700
450 (a) Cray Research...................................... 11,531
950 (a) DSC Communications................................. 58,425
540 (a) Data General....................................... 5,063
1,463 Deere & Co......................................... 108,262
2,350 (a) Digital Equipment.................................. 80,488
1,000 Dover.............................................. 60,750
985 EG & G............................................. 18,099
580 E-Systems.......................................... 25,158
1,225 Eaton.............................................. 61,863
3,950 Emerson Electric................................... 237,988
1,425 Fluor.............................................. 57,713
1 (a) GC Companies....................................... 17
544 General Dynamics................................... 50,184
14,921 General Electric................................... 1,564,837
834 General Signal..................................... 28,669
595 Giddings & Lewis................................... 15,321
900 Grainger (W.W.).................................... 51,750
590 Grumman............................................ 23,305
443 Harnischfeger Industries........................... 9,968
690 Harris............................................. 31,395
4,444 Hewlett-Packard.................................... 351,075
2,365 Honeywell.......................................... 81,001
1,970 Illinois Tool Works................................ 76,830
1,840 Ingersoll-Rand..................................... 70,380
7,279 Intel.............................................. 451,297
835 (a) Intergraph......................................... 8,872
10,122 International Business Machines.................... 571,892
1,080 Lockheed........................................... 73,710
1,439 Loral.............................................. 54,322
740 (a) Lotus Development.................................. 40,700
395 (a) M/A-COM............................................ 3,407
1,664 Martin Marietta.................................... 74,048
685 McDonnell Douglas.................................. 73,295
565 Morrison Knudson................................... 14,196
4,763 Motorola........................................... 439,982
1,915 (a) National Semiconductor............................. 30,879
1,281 (a) Navistar International............................. 30,264
4,380 Northern Telecommunications........................ 135,233
830 Northrop........................................... 31,021
5,500 (a) Novell............................................. 114,125
4,977 (a) Oracle Systems..................................... 143,089
2,025 Pall............................................... 37,209
845 Parker-Hannifin.................................... 31,899
763 Perkin-Elmer....................................... 29,376
1,875 Pet................................................ 32,813
2,755 Pitney Bowes....................................... 113,988
735 Raychem............................................ 27,563
2,385 Raytheon........................................... 157,410
3,856 Rockwell International............................. 143,154
660 Scientific-Atlanta................................. 21,780
1,805 (a) Sun Microsystems................................... 52,571
1,980 (a) Tandem Computers................................... 21,533
525 Tektronix.......................................... 12,338
1,583 Texas Instruments.................................. 100,521
330 Thomas & Betts..................................... 19,305
530 Timken............................................. 17,821
820 Tyco Laboratories.................................. 42,333
2,845 (a) Unisys............................................. 35,918
622 (a) Varity............................................. 27,835
8,448 WMX Technologies................................... 222,816
6,139 Westinghouse Electric.............................. 86,713
1,818 Xerox.............................................. 162,484
205 Zurn Industries.................................... 5,612
-----------
8,387,876
-----------
CONSUMER BASIC--14.8%
1,370 (a) ALZA............................................... 38,360
14,465 Abbott Laboratories................................ 426,717
4,440 Albertson's........................................ 118,770
1,155 Allergan........................................... 26,132
3,526 American Brands.................................... 117,240
5,415 American Home Products............................. 350,621
2,390 (a) Amgen.............................................. 118,305
5,855 Archer-Daniels-Midland............................. 133,201
900 Bard (C.R.)........................................ 22,725
1,036 Bausch & Lomb...................................... 53,095
4,835 Baxter International............................... 117,853
1,315 Becton Dickinson & Co.............................. 47,176
1,435 (a) Beverly Enterprises................................ 19,014
2,020 (a) Biomet............................................. 20,705
2,460 Borden............................................. 41,820
9,080 Bristol-Myers Squibb............................... 527,774
1,360 Bruno's............................................ 12,070
2,640 CPC Intl........................................... 125,730
4,405 Campbell Soup...................................... 180,605
970 Clorox............................................. 52,623
2,723 Colgate-Palmolive.................................. 169,847
745 (a) Community Psychiatric Centers...................... 10,430
4,400 ConAgra............................................ 116,050
650 Fleming Companies.................................. 16,088
2,767 General Mills...................................... 168,095
1,215 Gerber Products.................................... 34,476
1,040 Giant Food......................................... 26,780
675 Great Atlantic & Pacific Tea....................... 18,225
4,445 Heinz (H.J.)....................................... 159,464
1,585 Hershey Foods...................................... 77,665
11,443 Johnson & Johnson.................................. 512,073
3,994 Kellogg............................................ 226,660
1,855 (a) Kroger............................................. 37,332
5,137 Lilly (Eli) & Co................................... 305,009
1,005 Manor Care......................................... 24,497
1,005 Medtronic.......................................... 82,536
22,439 Merck & Co......................................... 771,340
500 Millipore.......................................... 20,000
2,895 National Medical Enterprises....................... 40,530
5,560 Pfizer............................................. 383,640
15,348 Philip Morris Companies............................ 855,650
1,577 Pioneer Hi Bred International...................... 61,503
570 Premark International.............................. 45,743
11,943 Procter & Gamble................................... 680,750
1,184 Quaker Oats........................................ 84,064
1,827 Ralston Purina..................................... 72,623
850 (a) Ryan's Family Steak House.......................... 7,650
810 St. Jude Medical................................... 21,465
8,514 Sara Lee........................................... 212,850
3,363 Schering-Plough.................................... 230,366
400 Shared Medical Systems............................. 9,950
1,255 Super Valu Stores.................................. 45,494
3,875 Syntex............................................. 61,516
3,260 Sysco.............................................. 95,355
3,665 UST................................................ 101,704
2,797 Unilever N.V....................................... 323,054
980 U.S. Surgical...................................... 22,050
3,055 Upjohn............................................. 88,977
2,360 Warner-Lambert..................................... 159,300
1,340 Winn-Dixie Stores.................................. 71,858
2,038 Wrigley (Wm.) Jr................................... 89,927
-----------
9,093,122
-----------
CONSUMER - DISCRETIONARY--15.6%
500 Alberto-Culver, Cl. B Convertible.................. 11,563
1,249 American Stores.................................... 53,707
4,680 Anheuser-Busch Companies........................... 229,905
1,260 Avon Products...................................... 61,268
740 (a) Bally Manufacturing................................ 6,290
253 Bassett Furniture.................................. 8,855
3,966 Blockbuster Entertainment.......................... 121,459
490 Brown-Forman....................................... 42,753
290 Brown Group........................................ 10,041
1,670 Brunswick.......................................... 30,060
1,785 Charming Shoppes................................... 21,197
6,147 Chrysler........................................... 327,328
22,723 Coca-Cola.......................................... 1,014,012
1,475 Cooper Tire & Rubber............................... 36,875
665 Coors (Adolph)..................................... 10,806
655 Cummins Engine..................................... 35,206
814 Dana............................................... 48,738
1,255 Dayton-Hudson...................................... 83,771
885 Delta Air Lines.................................... 48,343
1,975 Dillard Department Stores, Cl. A................... 75,050
9,380 Disney (Walt)...................................... 399,823
5,755 Eastman Kodak...................................... 322,280
1,010 Echlin............................................. 33,583
315 (a) Fedders............................................ 2,008
8,710 Ford Motor......................................... 561,794
2,530 Gap (The).......................................... 99,619
12,438 General Motors..................................... 682,534
360 (a) Genesco............................................ 1,890
2,180 Genuine Parts...................................... 82,023
3,860 Gillette........................................... 230,153
445 Goodrich (B.F.).................................... 17,911
2,613 Goodyear Tire & Rubber............................. 119,545
535 Handleman.......................................... 7,089
1,335 Harcourt General................................... 48,394
510 (a) Hartmarx........................................... 3,570
1,525 Hasbro............................................. 55,281
834 Hilton Hotels...................................... 50,666
675 International Flavors & Fragrances................. 76,781
805 Jostens............................................ 15,899
7,140 K mart............................................. 151,725
645 (a) King World Productions............................. 24,752
6,365 Limited............................................ 109,001
1,440 Liz Claiborne...................................... 32,760
351 Longs Drug Stores.................................. 11,539
1,275 Lowe's Companies................................... 75,544
480 Luby's Cafeterias.................................. 10,800
2,052 Marriott........................................... 59,508
2,374 Mattel............................................. 65,582
4,360 May Department Stores.............................. 171,675
1,865 Maytag............................................. 33,570
6,197 McDonald's......................................... 353,229
1,842 Melville........................................... 74,831
650 Mercantile Stores.................................. 23,563
1,330 NIKE, Cl. B........................................ 61,679
1,431 Nordstrom.......................................... 47,223
225 Oshkosh B'Gosh..................................... 4,388
315 Outboard Marine.................................... 7,048
596 PACCAR............................................. 36,505
4,114 Penney (J.C.)...................................... 215,471
1,070 Pep Boys-Manny Moe & Jack.......................... 28,088
13,891 PepsiCo............................................ 567,794
825 Polaroid........................................... 27,844
3,802 (a) Price/Costco....................................... 73,189
1,784 (a) Promus Companies................................... 81,618
1,505 Reebok International............................... 45,150
1,535 Rite-Aid........................................... 24,368
2,800 Rubbermaid......................................... 97,300
705 Russell............................................ 19,916
220 SPX................................................ 3,905
1,005 Safety-Kleen....................................... 16,331
6,550 Seagram............................................ 171,119
690 (a) Shoney's........................................... 15,956
295 Springs Industries................................. 11,136
880 Stride Rite........................................ 14,410
1,275 TJX................................................ 37,134
500 TRINOVA............................................ 15,688
1,100 Tandy.............................................. 54,450
5,105 (a) Toys R Us.......................................... 208,667
428 (a) UAL................................................ 62,488
1,008 (a) USAir Group........................................ 12,978
1,120 V.F. Corp.......................................... 51,660
40,195 Wal-Mart Stores.................................... 1,004,873
2,145 Walgreen........................................... 87,677
1,740 Wendy's International.............................. 30,233
1,240 Whirlpool.......................................... 82,460
2,295 Woolworth (F.W.)................................... 58,236
535 Zenith Electronics................................. 3,745
-----------
9,566,876
-----------
ENERGY & RELATED--9.4%
1,618 Amerada Hess....................................... 73,012
8,713 Amoco.............................................. 460,700
1,042 Ashland Oil........................................ 35,558
2,785 Atlantic Richfield................................. 293,121
2,455 Baker Hughes....................................... 49,100
2,265 Burlington Resources............................... 95,979
5,710 Chevron............................................ 497,484
1,835 Coastal............................................ 51,609
2,411 Dresser Industries................................. 50,028
21,744 Exxon.............................................. 1,369,872
635 Foster Wheeler..................................... 21,273
2,006 Halliburton........................................ 63,941
405 Helmerich & Payne.................................. 11,289
846 Kerr-McGee......................................... 38,176
570 Louisiana Land & Exploration....................... 22,871
920 McDermott International............................ 24,380
7,010 Mobil.............................................. 553,790
813 (a) NL Industries...................................... 3,659
5,350 Occidental Petroleum............................... 91,619
1,690 Oryx Energy........................................ 29,153
800 Pennzoil........................................... 42,600
4,585 Phillips Petroleum................................. 132,965
1,460 (a) Rowan Companies.................................... 13,140
9,381 Royal Dutch Petroleum.............................. 979,142
1,578 Santa Fe Energy Resources.......................... 14,202
4,255 Schlumberger....................................... 251,577
1,860 Sun Co............................................. 54,638
4,535 Texaco............................................. 293,074
5,030 USX-Marathon Group................................. 82,995
4,215 Unocal............................................. 117,493
-----------
5,818,440
-----------
FINANCE--9.5%
1,980 Aetna Life & Casualty.............................. 119,543
2,055 Ahmanson (H.F.) & Co............................... 40,329
730 Alexander & Alexander Services..................... 14,235
8,515 American Express................................... 262,900
3,790 American General................................... 108,489
5,567 American International Group....................... 488,503
5,986 Banc One........................................... 234,202
1,840 Bank of Boston..................................... 42,320
6,281 BankAmerica........................................ 291,281
1,445 Bankers Trust NY................................... 114,336
1,705 Barnett Banks...................................... 70,758
886 Beneficial......................................... 33,890
1,805 Boatmen's Bancshares............................... 53,924
1,260 CIGNA.............................................. 79,065
1,085 (a) CNA Financial...................................... 84,088
1,765 Capital Holding.................................... 65,526
3,214 Chase Manhattan.................................... 108,874
4,411 Chemical Banking................................... 176,991
1,530 Chubb.............................................. 119,149
6,575 (a) Citicorp........................................... 241,631
975 Continental........................................ 26,934
2,065 CoreStates Financial............................... 53,948
3,145 Federal Home Loan.................................. 156,857
1,460 First Chicago...................................... 63,145
1,410 First Fidelity Bancorp............................. 64,155
1,375 First Interstate Bancorp........................... 88,172
2,950 First Union........................................ 121,688
2,400 Fleet/Norstar Financial Group...................... 80,100
1,480 General Re......................................... 158,360
1,130 Golden West Financial.............................. 44,070
2,315 Great Western Financial............................ 46,300
1,635 Household International............................ 53,342
895 Jefferson-Pilot.................................... 41,953
1,655 Lincoln National................................... 71,993
1,120 Mellon Bank........................................ 59,360
3,655 Merrill Lynch & Co................................. 153,510
3,374 Morgan (J.P.) & Co................................. 234,070
2,825 NBD Bancorp........................................ 83,338
5,100 Norwest............................................ 124,313
4,095 PNC Financial...................................... 118,755
1,095 SAFECO............................................. 60,225
740 St. Paul Companies................................. 66,508
6,142 Sears Roebuck & Co................................. 323,990
1,635 Shawmut National................................... 35,561
2,190 SunTrust Banks..................................... 98,550
1,297 Torchmark.......................................... 58,365
1,370 Transamerica....................................... 77,748
5,589 Travelers.......................................... 217,265
1,495 USF & G............................................ 22,051
405 USLIFE............................................. 15,542
1,745 U.S. Bancorp....................................... 43,625
3,039 Wachovia........................................... 101,807
967 Wells Fargo........................................ 125,106
-----------
5,840,740
-----------
GENERAL BUSINESS--6.7%
1,290 American Greetings................................. 43,860
2,435 Automatic Data Processing.......................... 134,534
1,870 Block (H & R)...................................... 76,203
266 CBS................................................ 76,741
273 Capital Cities/ABC................................. 169,124
1,670 Circuit City Stores................................ 36,323
2,161 (a) Cisco Systems...................................... 139,655
2,568 Comcast, Cl. A..................................... 92,448
2,982 Dean Witter Discovery.............................. 103,252
1,455 Deluxe............................................. 52,744
825 Dial............................................... 33,309
2,705 Donnelley (R.R.) & Sons............................ 84,193
1,745 Dow Jones & Co..................................... 62,384
3,075 Dun & Bradstreet................................... 189,496
970 (a) Federal Express.................................... 68,749
2,580 Gannett............................................ 147,705
555 Harland (John H)................................... 12,002
2,095 ITT................................................ 191,168
1,325 Interpublic Group Companies........................ 42,400
950 Knight-Ridder...................................... 56,763
796 (a) Litton Industries.................................. 51,243
1,745 MBNA............................................... 58,239
1,274 Marsh & Mclennan................................... 103,513
852 McGraw-Hill........................................ 57,617
700 McKesson........................................... 37,800
265 Meredith........................................... 10,600
3,755 Minnesota Mining & Manufacturing................... 408,354
845 Morton International............................... 79,008
465 (a) National Education................................. 2,906
860 National Service Industries........................ 22,038
4,733 NationsBank........................................ 231,916
1,840 New York Times, Cl. A.............................. 48,300
940 Rollins Environmental Services..................... 5,405
1,950 Salomon............................................ 92,869
1,465 Service Corporation International.................. 38,456
1,120 TRW................................................ 77,560
7,867 (a) Tele-Communications, Cl. A......................... 237,976
980 Teledyne........................................... 25,480
1,525 Textron............................................ 88,831
6,575 Time Warner........................................ 290,943
2,258 Times Mirror....................................... 75,361
1,180 Tribune............................................ 70,948
2,170 United Technologies................................ 134,540
1,870 Whitman............................................ 30,388
-----------
4,093,344
-----------
MANUFACTURING--6.3%
735 ASARCO............................................. 16,813
2,005 Air Products & Chemicals........................... 88,721
3,930 Alcan Aluminium.................................... 81,548
1,535 Aluminum Co. of America............................ 106,491
4,981 American Barrick Resources......................... 141,959
1,584 American Cyanamid.................................. 79,596
1,820 (a) Armco.............................................. 10,920
1,015 Avery Dennison..................................... 29,816
525 Ball............................................... 15,881
885 Bemis.............................................. 20,908
1,595 (a) Bethlehem Steel.................................... 32,498
1,535 (a) Crown Cork & Seal.................................. 64,278
1,600 Cyprus Amax Minerals............................... 41,400
4,789 Dow Chemical....................................... 271,775
11,865 DuPont (E.I.) de Nemours........................... 572,484
375 Eastern Enterprises................................ 9,563
1,950 Echo Bay Mines..................................... 25,106
565 Ecolab............................................. 25,425
1,677 Engelhard.......................................... 40,877
2,085 Ethyl.............................................. 36,488
640 (a) FMC................................................ 30,160
745 Federal Paper Board................................ 15,831
320 First Mississippi.................................. 4,200
1,630 Grace (W.R.)....................................... 66,219
1,255 Great Lakes Chemical............................... 93,654
745 Hercules........................................... 84,185
2,385 Homestake Mining................................... 52,470
1,340 IMCERA Group....................................... 45,058
1,915 Inco Ltd........................................... 51,466
610 (a) Inland Steel Industries............................ 20,206
2,163 International Paper................................ 146,543
1,430 James River........................................ 27,528
2,827 Kimberly-Clark..................................... 146,650
2,355 (a) Maxus Energy....................................... 12,953
1,045 Mead............................................... 47,025
2,100 Monsanto........................................... 154,087
1,735 Moore.............................................. 33,182
160 NACCO Industries, Cl. A............................ 8,240
1,210 Nalco Chemical..................................... 45,375
220 (a) National Intergroup................................ 2,915
1,185 Newmont Mining..................................... 68,286
1,510 Nucor.............................................. 80,030
755 Ogden.............................................. 17,176
1,860 PPG Industries..................................... 141,128
1,235 Phelps Dodge....................................... 60,206
700 Pittston........................................... 20,213
4,175 Placer Dome........................................ 103,853
2,328 Praxair............................................ 38,703
1,040 Reynolds Metals.................................... 47,190
1,180 Rohm & Haas........................................ 70,210
1,285 Scott Paper........................................ 52,846
1,250 (a) Stone Container.................................... 12,031
975 Temple-Inland...................................... 49,116
1,213 USX-US Steel Group................................. 52,614
1,230 Union Camp......................................... 58,579
2,645 Union Carbide...................................... 59,182
1,170 Westvaco........................................... 41,681
1,798 Williams Companies................................. 43,826
1,588 Worthington Industries............................. 32,544
-----------
3,849,908
-----------
SHELTER--2.6%
655 Armstrong World Industries......................... 34,879
670 Boise Cascade...................................... 15,745
555 Centex............................................. 23,310
1,620 Champion International............................. 54,068
530 Crane.............................................. 13,118
4,790 Federal National Mtg. Association.................. 376,014
810 Fleetwood Enterprises.............................. 19,238
1,562 Georgia-Pacific.................................... 107,388
7,836 Home Depot......................................... 309,521
720 Johnson Controls................................... 38,250
600 Kaufman & Broad Home............................... 14,250
1,915 Louisiana-Pacific.................................. 78,994
2,675 Masco.............................................. 98,975
1,390 Newell............................................. 56,121
740 Owens-Corning Fiberglas............................ 32,838
505 Potlatch........................................... 23,798
485 Pulte.............................................. 17,581
1,560 Sherwin-Williams................................... 55,770
165 Skyline............................................ 3,259
745 Snap-On Tools...................................... 28,217
785 Stanley Works...................................... 34,933
3,590 Weyerhaeuser....................................... 160,203
-----------
1,596,470
-----------
TRANSPORTATION--1.6%
1,330 (a) AMR................................................ 89,110
1,560 Burlington Northern................................ 90,285
1,815 CSX................................................ 147,015
610 (a) Consolidated Freightways........................... 14,411
1,405 Consolidated Rail.................................. 93,959
2,435 Norfolk Southern................................... 171,668
690 Roadway Services................................... 41,400
1,325 Ryder System....................................... 35,113
3,204 Santa Fe Pacific................................... 71,289
3,585 Union Pacific...................................... 224,510
500 Yellow Freight Systems............................. 12,438
-----------
991,198
-----------
UTILITIES--14.1%
3,228 American Electric Power............................ 119,840
23,656 American Telephone & Telegraph..................... 1,241,937
4,765 Ameritech.......................................... 365,714
2,135 Arkla.............................................. 16,813
2,542 Baltimore Gas & Electric........................... 64,503
7,655 Bell Atlantic...................................... 451,645
8,685 BellSouth.......................................... 502,643
2,805 Carolina Power & Light............................. 84,501
3,295 Central & South West............................... 99,674
895 (a) Columbia Gas System................................ 20,026
3,750 Commonwealth Edison................................ 105,938
4,110 Consolidated Edison................................ 132,034
1,615 Consolidated Natural Gas........................... 75,905
2,585 Detroit Edison..................................... 77,550
2,935 Dominion Resources................................. 133,176
3,595 Duke Power......................................... 152,338
4,200 Enron.............................................. 121,800
1,165 Enserch............................................ 18,931
3,080 Entergy............................................ 110,880
3,290 FPL Group.......................................... 128,721
16,555 GTE................................................ 579,425
2,270 Houston Industries................................. 108,109
9,385 MCI Communications................................. 265,126
3,604 (a) McCaw Cellular Communications...................... 182,002
990 NICOR.............................................. 27,720
7,236 NYNEX.............................................. 290,345
2,485 Niagara Mohawk Power............................... 50,321
1,170 Northern States Power.............................. 50,456
430 ONEOK.............................................. 8,116
2,675 Ohio Edison........................................ 60,856
985 PSI Holdings....................................... 26,103
1,466 Pacific Enterprises................................ 34,818
7,575 Pacific Gas & Electric............................. 266,072
7,280 Pacific Telesis Group.............................. 393,120
4,895 PacifiCorp......................................... 94,229
2,068 Panhandle Eastern.................................. 48,857
605 Peoples Energy..................................... 18,453
3,868 Philadelphia Electric.............................. 117,007
4,230 Public Service Enterprise Group.................... 135,360
7,835 SCEcorp............................................ 156,700
1,525 Sonat.............................................. 44,034
5,595 Southern........................................... 246,879
10,480 Southwestern Bell.................................. 434,920
5,950 Sprint............................................. 206,763
2,952 Tenneco............................................ 155,349
3,900 Texas Utilities.................................... 168,675
705 Transco Energy..................................... 9,958
1,780 Union Electric..................................... 69,865
7,695 US West............................................ 353,008
-----------
8,627,215
-----------
TOTAL COMMON STOCKS
(cost $53,293,656)............................... $57,865,189
===========
PRINCIPAL
AMOUNT SHORT-TERM INVESTMENTS--5.4% VALUE
- ---------- -----------
COMMERICAL PAPER MASTER NOTES--5.0%
General Electric Credit Corp.,
$3,071,000 3.026%, 01/03/94................................... $ 3,071,000
U.S. TREASURY BILLS--.4%
225,000 (b) 3.020%, 03/24/94................................. 223,260
-----------
TOTAL SHORT-TERM INVESTMENTS
(cost $3,294,260)................................ $ 3,294,260
===========
TOTAL INVESTMENTS
(cost $56,587,916)................................ 99.7% $61,159,449
===== ===========
CASH AND RECEIVABLES (NET).......................... .3% $ 159,558
===== ===========
TOTAL NET ASSETS..................................... 100.0% $61,319,007
===== ===========
(a) Non-income producing.
(b) Partially held by the custodian in a segregated account as
collateral for open financial futures position.
<TABLE>
<CAPTION>
DREYFUS LIFE AND ANNUITY INDEX FUND, INC.
STATEMENT OF FINANCIAL FUTURES DECEMBER 31, 1993
FINANCIAL FUTURES LONG
MARKET VALUE UNREALIZED
NUMBER OF COVERED (DEPRECIATION)
ISSUER CONTRACTS BY CONTRACTS EXPIRATION AT 12/31/93
- ------ --------- ------------ ---------- --------------
<S> <C> <C> <C> <C>
Standard & Poor's 500.......... 14 $3,268,650 March '94 ($1,625)
========
</TABLE>
<TABLE>
<CAPTION>
See notes to financial statements
DREYFUS LIFE AND ANNUITY INDEX FUND, INC.
STATEMENT OF ASSETS AND LIABILITIES DECEMBER 31, 1993
ASSETS:
<S> <C> <C>
Investments in securities, at value
(cost $56,587,916)--see statement.............................................. $61,159,449
Cash............................................................................. 42,764
Receivable for subscriptions to Common Stock..................................... 199,409
Dividends and interest receivable................................................ 136,322
Receivable for investment securities sold........................................ 22,070
Prepaid expenses................................................................. 13,235
-----------
61,573,249
LIABILITIES:
Due to The Dreyfus Corporation................................................... $ 6,390
Due to Wells Fargo Nikko Investment advisors..................................... 6,390
Payable for investment securities purchased...................................... 141,207
Due to Wells Fargo Institutional Trust Company, N.A.............................. 23,035
Payable for futures variation margin--Note 3(a).................................. 19,600
Payable for redemptions to Common Stock.......................................... 15
Accrued expenses................................................................. 57,605 254,242
---------- -----------
NET ASSETS......................................................................... $61,319,007
===========
REPRESENTED BY:
Paid-in capital.................................................................. $57,480,956
Accumulated distributions in excess of investment income--net.................... (90,054)
Accumulated distributions in excess of net realized gain on investments.......... (641,803)
Accumulated net unrealized appreciation on investments
[including $1,625 net unrealized (depreciation) on financial
futures]--Note 3(b)............................................................ 4,569,908
-----------
NET ASSETS at value applicable to 4,645,238 shares outstanding (200 million
shares of $.001 par value Common Stock authorized)............................... $61,319,007
===========
NET ASSET VALUE, per share
($61,319,007 divide 4,645,238 shares)............................................ $13.20
======
See notes to financial statements.
DREYFUS LIFE AND ANNUITY INDEX FUND, INC.
STATEMENT OF OPERATIONS YEAR ENDED DECEMBER 31, 1993
INVESTMENT INCOME:
INCOME:
Cash dividends (net of foreign taxes witheld at source of $5,887).............. $1,162,999
Interest....................................................................... 122,426
----------
TOTAL INCOME................................................................. $ 1,285,425
EXPENSES:
Index management fee--Note 2(a)................................................ $ 69,306
Administration fee--Note 2(a).................................................. 69,306
Auditing fees.................................................................. 57,389
Custodian fees--Note 2(c)...................................................... 44,388
Directors' fees and expenses--Note 2(d)........................................ 19,372
Organization expenses.......................................................... 17,695
Shareholder servicing costs--Note 2(b)......................................... 11,631
Legal fees..................................................................... 9,480
Prospectus and shareholders' reports........................................... 6,779
Miscellaneous.................................................................. 5,043
----------
310,389
Less--reduction in index management fee and administration fee
due to undertaking--Note 2(a)................................................ 125,566
----------
TOTAL EXPENSES............................................................... 184,823
-----------
INVESTMENT INCOME--NET....................................................... 1,100,602
REALIZED AND UNREALIZED GAIN ON INVESTMENTS:
Net realized gain on investments--Note 3(a)...................................... $8,399,300
Net realized gain on financial futures--Note 3(a)................................ 113,023
----------
NET REALIZED GAIN.............................................................. 8,512,323
Net unrealized depreciation on investments [including ($6,750) net
unrealized depreciation on financial futures].................................. (5,843,385)
-----------
NET REALIZED AND UNREALIZED GAIN ON INVESTMENTS.............................. 2,668,938
-----------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS............................... $ 3,769,540
===========
See notes to financial statements.
DREYFUS LIFE AND ANNUITY INDEX FUND, INC.
STATEMENT OF CHANGES IN NET ASSETS
FOUR MONTHS ENDED YEAR ENDED
DECEMBER 31, DECEMBER 31,
1992 1993
----------------- -------------
OPERATIONS:
Investment income-net........................................................... $ 636,808 $ 1,100,602
Net realized gain on investments................................................ 2,914,710 8,512,323
Net unrealized appreciation (depreciation) on investments for the year.......... 898,217 (5,843,385)
----------- -----------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS.......................... 4,449,735 3,769,540
----------- -----------
DIVIDENDS TO SHAREHOLDERS FROM:
Investment income-net........................................................... (1,011,624) (1,029,496)
Excess investment income-net.................................................... -- (90,054)
Net realized gain on investments................................................ (1,074,591) (11,029,996)
Excess net realized gain on investments......................................... -- (641,803)
----------- -----------
TOTAL DIVIDENDS.............................................................. (2,086,215) (12,791,349)
----------- -----------
CAPITAL STOCK TRANSACTIONS:
Net proceeds from shares sold.................................................. 9,341,690 40,165,929
Dividends reinvested........................................................... 105,760 14,046,814
Cost of shares redeemed........................................................ (16,185,227) (53,943,720)
----------- -----------
INCREASE (DECREASE) IN NET ASSETS FROM CAPITAL STOCK TRANSACTIONS............ (6,737,777) 269,023
----------- -----------
TOTAL (DECREASE) IN NET ASSETS............................................. (4,374,257) (8,752,786)
NET ASSETS:
Beginning of year.............................................................. 74,446,050 70,071,793
----------- -----------
End of year (including distributions in excess of investment
income-net; ($71,106) in 1992 and ($90,054) in 1993)......................... $70,071,793 $61,319,007
=========== ===========
SHARES SHARES
----------- -----------
CAPITAL SHARE TRANSACTIONS:
Shares sold.................................................................... 613,493 2,578,683
Shares issued for dividends reinvested......................................... 7,103 1,010,623
Shares redeemed................................................................ (1,055,946) (3,516,794)
----------- -----------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING................................ (435,350) 72,512
=========== ===========
See notes to financial statements.
</TABLE>
DREYFUS LIFE AND ANNUITY INDEX FUND, INC.
FINANCIAL HIGHLIGHTS
Contained below is per share operating performance data for a share
of Common Stock outstanding, total investment return, ratios to average
net assets and other supplemental data for each year indicated. This
information has been derived from information provided in the Fund's
financial statements.
<TABLE>
<CAPTION>
FOUR MONTHS
YEAR ENDED AUGUST 31, ENDED YEAR ENDED
------------------------------ DECEMBER 31, DECEMBER 31,
1990(1) 1991 1992 1992 1993
------ ------ ------ ------ ------
PER SHARE DATA:
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of year...................... $12.50 $11.62 $14.20 $14.87 $15.32
------ ------ ------ ------ ------
INVESTMENT OPERATIONS:
Investment income-net................................... .38 .39 .37 .13 .37
Net realized and unrealized gain (loss) on investments.. (.95) 2.60 .68 .77 1.04
------ ------ ------ ------ ------
TOTAL FROM INVESTMENT OPERATIONS..................... (.57) 2.99 1.05 .90 1.41
------ ------ ------ ------ ------
DISTRIBUTIONS:
Dividends from investment income-net.................... (.31) (.39) (.38) (.21) (.37)
Dividends from net realized gain on investments......... -- (.02) -- (.24) (3.00)
Excess dividends from net realized gain on investments. -- -- -- -- (.16)
------ ------ ------ ------ ------
TOTAL DISTRIBUTIONS.................................. (.31) (.41) (.38) (.45) (3.53)
------ ------ ------ ------ ------
Net asset value, end of year............................ $11.62 $14.20 $14.87 $15.32 $13.20
====== ====== ====== ====== ======
TOTAL INVESTMENT RETURN................................... (4.73%)(2) 26.26% 7.49% 6.05%(2) 9.33%
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets................. .37%(2) .40% .40% .13%(2) .40%
Ratio of net investment income to average net assets.... 3.12%(2) 3.05% 2.63% .85%(2) 2.38%
Decrease reflected in above expense ratios due to
undertakings by WFNIA and Dreyfus.................... .17%(2) .11% .13% .03%(2) .27%
Portfolio Turnover Rate................................. .99%(2) 1.02% 7.66% 6.94%(2) 71.71%
Net Assets, end of year (000's Omitted)................. $48,184 $62,400 $74,446 $70,072 $61,319
- ----------------------
(1) From September 29, 1989 (commencement of operations) to
August 31, 1990.
(2) Not annualized.
See notes to financial statements.
</TABLE>
DREYFUS LIFE AND ANNUITY INDEX FUND, INC.
NOTES TO FINANCIAL STATEMENTS
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.
Wells Fargo Nikko Investment Advisors ("WFNIA") serves as the Fund's
index manager. Wells Fargo Investment Advisors ("WFIA"), the predecessor
index manager of the Fund, and The Nikko Securities Co., Ltd. and an
affiliate ("Nikko") each own 50% of WFNIA. Wells Fargo Institutional
Trust Company, N.A. ("WFITC"), an affiliate of WFNIA, is the custodian
of the Fund's investments. The Dreyfus Corporation ("Dreyfus") serves as
the Fund's administrator. Dreyfus Service Corporation ("Distributor"), a
wholly-owned subsidiary of Dreyfus, acts as the exclusive distributor of
the Fund's shares, which are sold without a sales charge.
(A) PORTFOLIO VALUATION: Investments in securities 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. Bid price is
used when no asked price is available. Short-term investments are
carried at amortized cost, which approximates value. Investments traded
in foreign currencies are translated to U.S. dollars at the prevailing
rates of exchange.
(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.
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.
(C) DIVIDENDS TO SHAREHOLDERS: Dividends are recorded on the ex-
dividend date. Dividends from investment income-net are declared and
paid on a quarterly basis. 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. This may result in distributions that are in
excess of net realized gains on a fiscal year basis. 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.
Dividends in excess of investment income net and net realized gain for
financial statement purposes result from Federal income tax distribution
requirements, primarily losses from security transactions incurred in
prior years.
(D) 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 provisions
available to certain investment companies, as defined in applicable
sections of the Internal Revenue Code, and to make distributions of
taxable income sufficient to relieve it from all, or substantially all,
Federal income taxes.
NOTE 2--MANAGEMENT FEE, ADMINISTRATION FEE AND OTHER TRANSACTIONS WITH
AFFILIATES:
(A) Fees paid by the Fund pursuant to the provisions of an Index
Management Agreement with WFNIA and an Administration Agreement with
Dreyfus are payable monthly. WFNIA and Dreyfus each receive annual fees
of .15 of 1% of the average daily value of the Fund's net assets. The
agreements further provide that if in any full year the aggregate
expenses of the Fund, exclusive of interest, taxes, brokerage and
extraordinary expenses, exceed the expense limitation of any state
having jurisdiction over the Fund, the Fund may deduct from the fees to
be paid to each of WFNIA and Dreyfus, or WFNIA and Dreyfus will each
bear 50% of such excess expenses. The most stringent state expense
limitation applicable to the Fund presently requires reimbursement of
expenses in any full year that such expenses 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. However, WFNIA and Dreyfus have
currently undertaken from January 1, 1993 until December 31, 1993 and
thereafter until such a time as they give shareholders at least 180 days
notice to the contrary that if the Fund's aggregate expenses (exclusive
of brokerage commissions, transaction fees and extraordinary expenses)
exceed an annual rate of .40 of 1% of the average daily value of the
Fund's net assets, the Fund may deduct from the payments to be made to
WFNIA and Dreyfus, or WFNIA and Dreyfus will bear, such excess expense.
Pursuant to undertakings, WFNIA and Dreyfus reduced the index management
fee and the administration fee for the year ended December 31, 1993
62,783 each.
(B) Pursuant to the Fund's Shareholder Services Plan, the Fund
reimburses the Distributor an amount not to exceed an annual rate of .25
of 1% of the Value of the Fund's average daily net assets for servicing
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 year ended December 31, 1993, the Fund was charged
an aggregate of $508 pursuant to the Shareholder Services Plan.
(C) During the year ended December 31, 1993, Wells Fargo Institutional
Trust Company, N.A. earned $44,388 for custodian services provided to
the Fund.
(D) Certain officers and directors of the Fund are "affiliated
persons," as defined in the Act, of Dreyfus. Each director who is not an
"affiliated person" receives an annual fee of $2,500 and an attendance
fee of $500 per meeting.
(E) On December 5, 1993, Dreyfus entered into an Agreement and Plan of
Merger providing for the merger of Dreyfus with a subsidiary of Mellon
Bank Corporation ("Mellon").
Upon closing of the merger, it is planned that Dreyfus will retain its
New York headquarters and will be a separate subsidiary within the
Mellon organization. It is expected that the Dreyfus' management team
and mutual fund managers will remain in place, and the Dreyfus mutual
funds will be operated in the same manner as they are currently.
Following the merger, Dreyfus will be either a direct or indirect
subsidiary of Mellon, whose principal banking subsidiary is Mellon Bank,
N.A. Closing of this merger is subject to a number of contingencies,
including the receipt of certain regulatory approvals and the approvals
of the stockholders of Dreyfus and of Mellon. The merger is expected to
occur in mid-1994, but could occur later.
NOTE 3--SECURITIES TRANSACTIONS:
(A) The aggregate amount of purchases and sales of investment
securities, other than short-term securities, for the year ended
December 31, 1993 amounted to $31,318,067 and $42,988,046, respectively.
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 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.
(B) At December 31, 1993, accumulated net unrealized appreciation on
investments was $4,569,908, consisting of $5,981,076, gross unrealized
appreciation and $1,411,168 gross unrealized depreciation.
At December 31, 1993, the costs of investments for Federal income tax
purposes was substantially the same as the cost for financial reporting
purposes (see the Statement of Investments).
DREYFUS LIFE AND ANNUITY INDEX FUND, INC.
REPORT OF INDEPENDENT ACCOUNTANTS
TO THE SHAREHOLDERS AND BOARD OF DIRECTORS OF
DREYFUS LIFE AND ANNUITY INDEX FUND, INC.:
We have audited the accompanying statement of assets and liabilities
of the Dreyfus Life and Annuity Index Fund, Inc. (the Fund), including
the statements of investments and financial futures, as of December 31,
1993, and the related statement of operations for the year then ended,
the statements of changes in net assets for the year then ended and for
the period September 1, 1992 to December 31, 1992, and the financial
highlights for the year then ended, for the period September 1, 1992 to
December 31, 1992, the years ended August 31, 1992 and 1991, and for the
period September 29, 1989 (commencement of operations) to August 31,
1990. These financial statements and financial highlights are the
responsibility of the Fund's management. Our responsibility is to
express an opinion on these financial statements and financial
highlights based on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements and
financial highlights are free of material misstatement. An audit
includes examining, on a test basis, evidence supporting the amounts and
disclosures in the financial statements. Our procedures included
confirmation of securities owned as of December 31, 1993, by
correspondence with the custodian and brokers. An audit also includes
assessing the accounting principles used and significant estimates made
by management, as well as evaluating the overall financial statement
presentation. We believe that our audits provide a reasonable basis for
our opinion.
In our opinion, the financial statements and financial highlights
referred to above present fairly, in all material respects, the
financial position of the Dreyfus Life and Annuity Index Fund, Inc. as
of December 31, 1993, the results of its operations for the year then
ended, the changes in its net assets for the year then ended and for the
period from September 1, 1992 to December 31, 1992, and the financial
highlights for the year then ended, for the period from September 1,
1992 to December 31, 1992, for the years ended August 31, 1992 and 1991,
and for the period September 29, 1989 (commencement of operations) to
August 31, 1990, in conformity with generally accepted accounting
principles.
COOPERS & LYBRAND
New York, New York
February 10, 1994
DREYFUS LIFE AND ANNUITY INDEX FUND, INC.
IMPORTANT TAX INFORMATION (UNAUDITED)
For Federal Tax purposes the Fund hereby designates $.945 per share as
long-term capital gain distribution of the $.960 per share paid on
September 1, 1993. The Fund also designates $2.175 per share as a long-
term capital gain distribution of the $2.29 per share paid on December
31, 1993.
DREYFUS LIFE AND ANNUITY INDEX FUND, INC.
144 Glenn Curtiss Boulevard
Uniondale, NY 11556
INDEX FUND MANAGER
Wells Fargo Nikko
Investment Advisors
45 Fremont Street
San Francisco, CA 94105
ADMINISTRATOR
The Dreyfus Corporation
200 Park Avenue
New York, NY 10166
DISTRIBUTOR
Dreyfus Service Corporation
200 Park Avenue
New York, NY 10166
CUSTODIAN
Wells Fargo Institutional Trust Company, N.A.
45 Fremont Street
San Francisco, CA 94105
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. 763AR9312
Life and
Annuity
Index Fund, Inc.
Annual Report
December 31, 1993
(Dreyfus Lion Logo)
COMPARISON OF CHANGE IN VALUE OF $10,000 INVESTMENT
IN DREYFUS LIFE AND ANNUITY INDEX FUND, INC.
AND THE STANDARD & POOR'S 500 COMPOSITE STOCK PRICE
INDEX
EXHIBIT A:
____________________________________________________________________
| | STANDARD | |
| | & POOR'S 500 | DREYFUS |
| PERIOD | COMPOSITE STOCK | LIFE AND ANNUNITY |
| | PRICE INDEX * | INDEX FUND |
| --------- | --------------- | ----------------- |
| 9/29/89 | 10,000 | 10,000 |
| 9/30/89 | 10,000 | 10,000 |
| 10/31/89 | 9,768 | 9,784 |
| 11/30/89 | 9,966 | 9,976 |
| 12/31/89 | 10,205 | 10,216 |
| 1/31/90 | 9,521 | 9,530 |
| 2/28/90 | 9,644 | 9,643 |
| 3/31/90 | 9,899 | 9,901 |
| 4/30/90 | 9,653 | 9,649 |
| 5/31/90 | 10,592 | 10,577 |
| 6/30/90 | 10,521 | 10,503 |
| 7/31/90 | 10,487 | 10,470 |
| 8/31/90 | 9,540 | 9,527 |
| 9/30/90 | 9,077 | 9,068 |
| 10/31/90 | 9,038 | 9,029 |
| 11/30/90 | 9,621 | 9,599 |
| 12/31/90 | 9,889 | 9,860 |
| 1/31/91 | 10,318 | 10,286 |
| 2/28/91 | 11,055 | 11,013 |
| 3/31/91 | 11,322 | 11,280 |
| 4/30/91 | 11,349 | 11,294 |
| 5/31/91 | 11,837 | 11,773 |
| 6/30/91 | 11,295 | 11,243 |
| 7/31/91 | 11,822 | 11,758 |
| 8/31/91 | 12,101 | 12,030 |
| 9/30/91 | 11,899 | 11,826 |
| 10/31/91 | 12,058 | 11,984 |
| 11/30/91 | 11,573 | 11,498 |
| 12/31/91 | 12,895 | 12,803 |
| 1/31/92 | 12,655 | 12,562 |
| 2/29/92 | 12,820 | 12,717 |
| 3/31/92 | 12,571 | 12,468 |
| 4/30/92 | 12,939 | 12,826 |
| 5/31/92 | 13,003 | 12,878 |
| 6/30/92 | 12,809 | 12,688 |
| 7/31/92 | 13,331 | 13,200 |
| 8/31/92 | 13,060 | 12,930 |
| 9/30/92 | 13,214 | 13,070 |
| 10/31/92 | 13,259 | 13,118 |
| 11/30/92 | 13,709 | 13,555 |
| 12/31/92 | 13,878 | 13,713 |
| 1/31/93 | 13,995 | 13,811 |
| 2/28/93 | 14,185 | 13,982 |
| 3/31/93 | 14,484 | 14,277 |
| 4/30/93 | 14,134 | 13,917 |
| 5/31/93 | 14,511 | 14,286 |
| 6/30/93 | 14,553 | 14,322 |
| 7/31/93 | 14,495 | 14,259 |
| 8/31/93 | 15,044 | 14,794 |
| 9/30/93 | 14,928 | 14,669 |
| 10/31/93 | 15,237 | 14,973 |
| 11/30/93 | 15,093 | 14,819 |
| 12/31/93 | 15,271 | 14,993 |
| |
|
| ----------------------------------------------------------------------------|
| DREYFUS LIFE AND ANNUITY INDEX FUND |
| ----------------------------------------------------------------------------|
| AVERAGE ANNUAL TOTAL RETURNS ENDED ON 12/31/93 |
| ----------------------------------------------------------------------------|
| | SINCE INCEPTION |
| 1 YEAR | (9/29/89) |
| ----------------------------------------------------------------------------|
| 9.33% | 9.98% |
| ----------------------------------------------------------------------------|
