UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
[X] Quarterly report pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
For the quarterly period ended June 30, 1998 or
[ ] Transition report pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
For the transition period from to
Commission File No. 0-18314
DEAN WITTER PRINCIPAL PLUS FUND L.P.
(Exact name of registrant as specified in its charter)
Delaware 13-3541588
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification
No.)
c/o Demeter Management Corporation
Two World Trade Center, 62 Fl., New York, NY 10048
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (212) 392-5454
(Former name, former address, and former fiscal year, if changed
since last report)
Indicate by check mark whether the registrant (1) has filed all
reports required to be filed by Section 13 or 15(d) of the
Securities Exchange Act of 1934 during the preceding 12 months
(or for such shorter period that the registrant was required to
file such reports), and (2) has been subject to such filing
requirements for the past 90 days.
Yes X No
<PAGE>
<TABLE>
DEAN WITTER PRINCIPAL PLUS FUND L.P.
INDEX TO QUARTERLY REPORT ON FORM 10-Q
June 30, 1998
<CAPTION>
PART I. FINANCIAL INFORMATION
<S> <C>
Item 1. Consolidated Financial Statements
Consolidated Statements of Financial Condition
June 30, 1998 (Unaudited) and December 31, 1997.......2
Consolidated Statements of Operations for the
Quarters Ended June 30, 1998 and 1997 (Unaudited).....3
Consolidated Statements of Operations for the Six
Months Ended June 30, 1998 and 1997 (Unaudited).......4
Consolidated Statements of Changes in Partners'
Capital for the Six Months Ended June 30, 1998 and
1997 (Unaudited)..................................... 5
Consolidated Statements of Cash Flows for the
Six Months Ended June 30, 1998 and 1997
(Unaudited)...........................................6
Notes to Consolidated Financial Statements
(Unaudited)........................................7-12
Item 2. Management's Discussion and Analysis
of Financial Condition and Results of
Operations.................................13-18
PART II. OTHER INFORMATION
Item 1. Legal Proceedings.............................19
Item 6. Exhibits and Reports on Form 8-K.............
20
</TABLE>
<PAGE>
<TABLE>
PART I. FINANCIAL INFORMATION
ITEM 1. Consolidated Financial Statements
DEAN WITTER PRINCIPAL PLUS FUND L.P.
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
<CAPTION>
June 30, December 31,
1998 1997
$ $
(Unaudited)
ASSETS
<S> <C> <C>
Equity in Commodity futures trading accounts:
Cash 9,316,550 8,956,497
Net unrealized gain on open contracts 107,220
779,432
Net option premiums -
(719,950)
Total Trading Equity 9,423,770 9,015,979
Investment in Zero-coupon U.S. Treasury
Securities 43,809,765
45,239,044
Interest receivable (DWR) 38,200 39,109
Total Assets 53,271,735 54,294,132
LIABILITIES AND PARTNERS' CAPITAL
Liabilities
Redemptions payable 2,202,970 723,025
Accrued administrative expenses 206,640 159,640
Accrued brokerage fees (DWR) 176,884 181,150
Accrued management fees 44,221 45,287
Total Liabilities 2,630,715 1,109,102
Minority Interest 264,535 239,168
Partners' Capital
Limited Partners (27,464.848 and
30,223.237 Units, respectively)48,978,718 51,607,436
General Partner (783 Units) 1,397,767 1,338,426
Total Partners' Capital 50,376,485 52,945,862
Total Liabilities and Partners' Capital 53,271,735 54,2
94,132
NET ASSET VALUE PER UNIT 1,783.37 1,707.59
<FN>
The accompanying notes are an integral part
of these financial statements.
</TABLE>
<PAGE>
<TABLE>
DEAN WITTER PRINCIPAL PLUS FUND L.P.
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
<CAPTION>
For the Quarters Ended June 30,
1998 1997
$ $
REVENUES
<S> <C> <C>
Trading profit (loss):
Realized 1,057,953 (475,642)
Net change in unrealized (1,356,321) 1,771,729
Total Trading Results (298,368) 1,296,087
Interest Income 726,433 740,642
Change in value of Yield Pool 85,853 1
,289,915
Total Revenues 513,918 3,326,644
EXPENSES
Brokerage fees (DWR) 530,072 537,581
Management fees 132,518 134,395
Administrative expenses 24,000 27,000
Transaction fees and costs 21,466 34,100
Incentive fees (6,068) -
Total Expenses 701,988 733,076
INCOME (LOSS) BEFORE MINORITY INTEREST(188,070) 2
,593,568
Minority interest in (income) loss 27,713
(20,993)
NET INCOME (LOSS) (160,357) 2,572,575
NET INCOME (LOSS) ALLOCATION
Limited Partners (156,098) 2,512,788
General Partner
(4,259) 59,787
NET INCOME (LOSS) PER UNIT
Limited Partners (5.44) 76.35
General Partner
(5.44) 76.35
<FN>
The accompanying notes are an integral part
of these financial statements.
</TABLE>
<PAGE>
<TABLE>
DEAN WITTER PRINCIPAL PLUS FUND L.P.
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
<CAPTION>
For the Six Months Ended June 30,
1998 1997
$ $
REVENUES
<S> <C> <C>
Trading profit (loss):
Realized 2,829,720 1,016,692
Net change in unrealized (672,212) 1,323,814
Total Trading Results 2,157,508 2,340,506
Interest Income 1,464,046 1,492,085
Change in value of Yield Pool 210,432
(60,616)
Total Revenues 3,831,986 3,771,975
EXPENSES
Brokerage fees (DWR) 1,081,963 1,095,295
Management fees 270,491 273,564
Transaction fees and costs 49,025 63,591
Administrative expenses 47,000 54,000
Total Expenses 1,448,479 1,486,450
INCOME BEFORE MINORITY INTEREST 2,383,507 2,285,525
Minority interest in income (25,367) (32,960)
NET INCOME 2,358,140 2,252,565
NET INCOME ALLOCATION
Limited Partners 2,298,799 2,199,930
General Partner 59,341 52,635
NET INCOME PER UNIT
Limited Partners 75.78 67.22
General Partner 75.78 67.22
<FN>
The accompanying notes are an integral part
of these financial statements.
</TABLE>
<PAGE>
<TABLE>
DEAN WITTER PRINCIPAL PLUS FUND L.P.
CONSOLIDATED STATEMENTS OF CHANGES IN PARTNERS' CAPITAL
For the Six Months Ended June 30, 1998 and 1997
(Unaudited)
<CAPTION>
Units of
Partnership Limited General
Interest Partners Partner Total
<S> <C> <C> <C>
<C>
Partners' Capital,
December 31, 1996 35,036.485 $50,688,703
$1,160,110 $51,848,813
Net Income - 2,199,930
52,635 2,252,565
Redemptions (2,683.213) (4,048,444)
- - (4,048,444)
Partners' Capital,
June 30, 1997 32,353.272 $48,840,189
$1,212,745 $50,052,934
Partners' Capital,
December 31, 1997 31,006.237 $51,607,436
$1,338,426 $52,945,862
Net Income - 2,298,799
59,341 2,358,140
Redemptions (2,758.389) (4,927,517)
- - (4,927,517)
Partners' Capital,
June 30, 1998 28,247.848 $48,978,718
$1,397,767 $50,376,485
<FN>
The accompanying notes are an integral part
of these financial statements.
</TABLE>
<PAGE>
<TABLE>
DEAN WITTER PRINCIPAL PLUS FUND L.P.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
<CAPTION>
For the Six Months Ended June 30,
1998 1997
$ $
CASH FLOWS FROM OPERATING ACTIVITIES
<S> <C> <C>
Net income 2,358,140 2
,252,565
Noncash item included in net income:
Net change in unrealized 672,212 (
1,323,814)
(Increase) decrease in operating assets:
Net option premiums (719,950) -
Investment in Zero-coupon U.S.
Treasury Securities 1,429,279 2
,162,252
Interest receivable (DWR) 909 (9,316)
Increase (decrease) in operating liabilities:
Accrued administrative expenses 47,000 (22,183)
Accrued brokerage fees (DWR) (4,266) (4,315)
Accrued management fees (1,066) (1,078)
Accrued transaction fees and costs -
38
Net cash provided by operating activities 3,782,258 3
,054,149
CASH FLOWS FROM FINANCING ACTIVITIES
Increase in redemptions payable 1,479,945 413,269
Increase in minority interest 25,367 32,959
Redemptions of units (4,927,517) (
4,048,444)
Net cash used for financing activities (3,422,205) (
3,602,216)
Net increase (decrease) in cash 360,053 (
548,067)
Balance at beginning of period 8,956,497 6
,625,325
Balance at end of period 9,316,550 6
,077,258
<FN>
The accompanying notes are an integral part
of these financial statements.
</TABLE>
<PAGE>
DEAN WITTER PRINCIPAL PLUS FUND L.P.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(UNAUDITED)
The financial statements include, in the opinion of management,
all adjustments necessary for a fair presentation of the results
of operations and financial condition of Dean Witter Principal
Plus Fund L.P. (the "Partnership"). The consolidated financial
statements and condensed notes herein should be read in
conjunction with the Partnership's December 31, 1997 Annual
Report on Form 10-K.
1. Organization
Dean Witter Principal Plus Fund L.P. is a limited partnership
organized to engage in the speculative trading of commodity
futures contracts, commodity options contracts and forward
contracts on foreign currencies (collectively, "futures
interests"). The general partner is Demeter Management
Corporation ("Demeter"). The non-clearing commodity broker is
Dean Witter Reynolds Inc. ("DWR"), with an unaffiliated clearing
commodity broker, Carr Futures Inc. ("Carr"), providing clearing
and execution services. Demeter has retained RXR Inc. as the
trading manager. Both Demeter and DWR are wholly-owned
subsidiaries of Morgan Stanley Dean Witter & Co. ("MSDW").
2. Revenue Recognition
The investment in zero-coupon U.S. Treasury Securities (the
"Yield Pool") maintained to provide for the Partnership's
guaranteed
<PAGE>
DEAN WITTER PRINCIPAL PLUS FUND L.P.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
return is valued at the lesser of cost plus accreted interest or
market value. For the six months ended June 30, 1998, $1,231,393
of interest income has been accreted on the Yield Pool. At June
30, 1998, the cost of the Yield Pool was $38,287,099 and the
accreted interest receivable thereon was $5,522,666. The market
value of the Yield Pool on June 30, 1998 was approximately
$44,143,453.
3. Related Party Transactions
The Partnership's cash is on deposit with DWR and Carr in
commodity trading accounts to meet margin requirements as needed.
DWR pays interest on these funds based on current 13-week U.S.
Treasury bill rates. Brokerage expenses incurred by the
Partnership are paid to DWR.
4. Financial Instruments
The Partnership trades futures, options and forward contracts in
interest rates, stock indices, commodities and currencies.
Futures and forwards represent contracts for delayed delivery of
an instrument at a specified date and price. Risk arises from
changes in the value of these contracts and the potential
inability of counterparties to perform under the terms of the
contracts. There are numerous factors which may significantly
influence the market value of these contracts, including interest
rate volatility. At June 30, 1998 and December 31, 1997, open
contracts were:
<PAGE>
DEAN WITTER PRINCIPAL PLUS FUND L.P.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
Contract or Notional Amount
June 30, 1998 December 31, 1997
$ $
Exchange-Traded Contracts
Financial Futures:
Commitments to Purchase 71,922,000 56,150,000
Commitments to Sell 4,003,000 7,527,000
Commodity Futures:
Commitments to Purchase 1,350,000 -
Commitments to Sell 1,816,000 5,700,000
Foreign Futures:
Commitments to Purchase 72,343,000 50,112,000
Commitments to Sell 124,549,000 28,881,000
Off-Exchange-Traded
Forward Currency Contracts
Commitments to Purchase 7,110,000 2,606,000
Commitments to Sell 9,525,000 11,542,000
A portion of the amounts indicated as off-balance-sheet risk in
forward currency contracts is due to offsetting forward
commitments to purchase and to sell the same currency on the same
date in the future. These commitments are economically
offsetting, but are not offset in the forward market until the
settlement date.
The net unrealized gains on open contracts are reported as a
component of "Equity in Commodity futures trading accounts" on
the Consolidated Statements of Financial Condition and totaled
$107,220 and $779,432 at June 30, 1998 and December 31, 1997,
respectively.
Of the $107,220 net unrealized gain on open contracts at June 30,
1998, $493,040 related to exchange-traded futures contracts and
$(385,820) related to off-exchange-traded forward currency
contracts.
<PAGE>
DEAN WITTER PRINCIPAL PLUS FUND L.P.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
Of the $779,432 net unrealized gain on open contracts at December
31, 1997, $748,223 related to exchange-traded futures contracts
and $31,209 related to off-exchange-traded forward currency
contracts.
Exchange-traded futures contracts held by the Partnership at June
30, 1998 and December 31, 1997 mature through December 1998 and
March 1998, respectively. Off-exchange-traded forward currency
contracts held by the Partnership at June 30, 1998 and December
31, 1997 mature through September 1998 and March 1998,
respectively.
The contract amounts in the above table represent the
Partnership's extent of involvement in a particular class of
financial instrument, but not the credit risk associated with
counterparty non-performance. The credit risk associated with
these instruments is limited to the amounts reflected in the
Partnership's Consolidated Statements of Financial Condition.
The Partnership also has credit risk because DWR and Carr act as
the futures commission merchants or the counterparties, with
respect to most of the Partnership's assets. Exchange-traded
futures and futures styled options contracts are marked to market
on a daily basis, with variations in value settled on a daily
basis. Each of DWR and Carr, as a futures commission merchant
for the Partnership's exchange-traded futures and futures styled
<PAGE>
DEAN WITTER PRINCIPAL PLUS FUND L.P.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
options contracts, are required, pursuant to regulations of the
Commodity Futures Trading Commission ("CFTC"), to segregate from
their own assets and for the sole benefit of their commodity
customers, all funds held by them with respect to exchange-traded
futures and futures styled options contracts including an amount
equal to the net unrealized gain on all open futures and futures
styled options contracts, which funds, in the aggregate, totaled
$9,809,590 and $9,704,720 at June 30, 1998 and December 31, 1997,
respectively. With respect to the Partnership's off-exchange-
traded forward currency contracts, there are no daily settlements
of variations in value nor is there any requirement that an
amount equal to the net unrealized gain on open forward contracts
be segregated. With respect to those off-exchange-traded forward
currency contracts, the Partnership is at risk to the ability of
Carr, the sole counterparty on all such contracts, to perform.
Carr's parent, Credit Agricole Indosuez, has guaranteed to the
Partnership payment of the net liquidating value of the
transactions in the Partnership's account with Carr (including
foreign currency contracts).
For the six months ended June 30, 1998 and the year ended
December 31, 1997, the average fair value of financial
instruments held for trading purposes was as follows:
<PAGE>
DEAN WITTER PRINCIPAL PLUS FUND L.P.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONCLUDED)
June 30, 1998
Assets Liabilities
$ $
Exchange-Traded Contracts:
Financial Futures 54,504,000 18,297,000
Options on Financial Futures - 2,693,000
Commodity Futures 1,141,000 3,276,000
Foreign Futures 62,871,000 41,335,000
Off-Exchange-Traded Forward
Currency Contracts 14,514,000 16,656,000
December 31, 1997
Assets Liabilities
$ $
Exchange-Traded Contracts:
Financial Futures 61,485,000 17,437,000
Options on Financial Futures 2,226,000 4,442,000
Commodity Futures 5,800,000 4,475,000
Foreign Futures 37,032,000 32,469,000
Off-Exchange-Traded Forward
Currency Contracts 16,304,000 23,711,000
<PAGE>
Item 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS
Liquidity - The Partnership's assets are deposited with DWR, as
non-clearing broker and with Carr, as clearing broker in separate
futures interest trading accounts, and are used by the
Partnership as margin to engage in futures interest trading.
Such assets are held in either non-interest bearing bank accounts
or in securities approved by the CFTC for investment of customer
funds. The Partnership's assets held by DWR and Carr may be used
as margin solely for the Partnership's trading. Since the
Partnership's sole purpose is to trade in futures interests, it
is expected that the Partnership will continue to own such liquid
assets for margin purposes.
The Partnership's investment in futures interests may be
illiquid. If the price of a futures contract for a particular
commodity has increased or decreased by an amount equal to the
"daily limit," positions in the commodity can neither be taken
nor liquidated unless traders are willing to effect trades at or
within the limit. Commodity futures prices have occasionally
moved the daily limit for several consecutive days with little or
no trading. Such market conditions could prevent the Partnership
from promptly liquidating its commodity futures positions and
result in restrictions on redemptions.
There is no limitation on daily price moves in trading forward
contracts on foreign currencies. The markets for some world
currencies have low trading volume and are illiquid, which may
<PAGE>
prevent the Partnership from trading in potentially profitable
markets or prevent the Partnership from promptly liquidating
unfavorable positions in such markets and subjecting it to
substantial losses. Either of these market conditions could
result in restrictions on redemptions.
Capital Resources - The Partnership does not have, nor does it
expect to have, any capital assets. Redemptions of Units of
Limited Partnership Interest in the future will affect the amount
of funds available for investment in futures interests in
subsequent periods. Since they are at the discretion of the
Limited Partners, it is not possible to estimate the amount and
therefore, the impact of future redemptions.
Results of Operations
For the Quarter and Six Months Ended June 30, 1998
For the quarter ended June 30, 1998, the Partnership recorded
total revenues consisting of trading losses, interest income and
change in value of the Yield Pool of $513,918 and posted a
decrease in Net Asset Value per Unit after expenses. The most
significant net trading losses were recorded in the managed
futures component of the balanced portfolio from long positions
in Australian bond futures as prices moved lower during April and
June. In currencies, losses were recorded during April and June
from crossrate transactions involving the Japanese yen relative
to the Australian dollar as the value of Pacific Rim currencies
moved in a short-term volatile pattern in reaction to the
economic instability in that region. Additional currency losses
were
<PAGE>
recorded from short Singapore dollar positions as its value moved
higher relative to the U.S. dollar during June. These losses
were partially offset by gains from short nickel futures
positions as nickel prices declined during June. Additional
gains recorded during June from short positions in crude oil
futures and long positions in cotton futures helped to offset the
Partnership's overall losses. Trading in the stock index futures
component was slightly profitable for the quarter as gains
recorded from long S&P 500 Index futures positions during April
and June offset losses recorded in this same market during May.
Small profits were also recorded from long U.S. Treasury note
futures positions. Total expenses for the three months ended
June 30, 1998 were $701,988, resulting in a net loss before
minority interest of $188,070. The minority interest in such
loss was $27,713, resulting in a net loss of $160,357 for the
Partnership. The value of an individual Unit in the Partnership
decreased from $1,788.81 at March 31, 1998 to $1,783.37 at June
30, 1998.
For the six months ended June 30, 1998, the Partnership recorded
total trading revenues including interest income and change in
value of the Yield Pool of $3,831,986 and posted an increase in
Net Asset Value per Unit. The most significant gains were
recorded from long S&P 500 Index futures positions in the stock
index portion of the balanced portfolio as domestic stock prices
climbed to record highs during the first quarter. Additional
gains were recorded in the managed futures component from short
crude oil futures positions during January and February, as oil
prices declined on news of a tentative agreement between the U.N.
<PAGE>
and Iraq. Short crude oil futures positions also proved
profitable during June as oil prices declined following a move up
higher in March and April. Gains were also recorded from short
nickel futures positions as nickel prices moved lower during June
and from trading livestock futures during February. In the bond
futures component, small profits were recorded from long U.S.
Treasury note futures positions as prices finished the first half
of the year slightly higher. A portion of the Partnership's
overall gains for the first half of the year was offset by losses
experienced in the managed futures component of the balanced
portfolio from long positions in Australian bond futures as
prices moved lower during April and June. Losses were also
experienced in the currency markets from crossrate transactions
involving the Japanese yen relative to the Australian dollar
during April and June. Smaller currency losses were recorded
from short Singapore dollar positions as its value moved higher
relative to the U.S. dollar during June. Total expenses for the
six months ended June 30, 1998 were $1,448,479, resulting in net
income before minority interest of $2,383,507. The minority
interest in such income was $25,367, resulting in a net income of
$2,358,140 for the Partnership. The value of an individual Unit
in the Partnership increased from $1,707.59 at December 31, 1997
to $1,783.37 at June 30, 1998.
For the Quarter and Six Months Ended June 30, 1997
For the quarter ended June 30, 1997, the Partnership recorded
total revenues, consisting of net trading income, an increase in
the value of the Yield Pool, and interest income of $3,326,644
and
<PAGE>
posted an increase in Net Asset Value per Unit. The most
significant gains were recorded in the stock and bond portion of
the balanced portfolio, as domestic stock and bond prices moved
higher during the quarter. Trading gains were also recorded in
the managed futures portion of the portfolio from long Australian
bond futures positions as prices moved higher during May and
June. Additionally, gains during the quarter were attributed to
an increase in the value of zero coupon U.S. Treasury Securities
held in the guarantee portion of the Partnership. A portion of
the Partnership's overall gains was offset by losses in the
managed futures portion of the balanced portfolio from trading
crude oil and natural gas futures, as oil and gas prices moved in
a short-term volatile pattern during May and June. Losses were
also recorded in the currency markets from transactions involving
the Italian lira, Swiss franc and French franc. Total expenses
for the three months ended June 30, 1997 were $733,076, resulting
in a net gain before minority interest of $2,593,568. The
minority interest in such gains was $20,993 resulting in a net
income of $2,572,575 for the Partnership. The value of an
individual Unit in the Partnership increased from $1,470.72 at
March 31, 1997 to $1,547.07 at June 30, 1997.
For the six months ended June 30, 1997, the Partnership recorded
total revenues consisting of net trading income, a decrease in
the value of the Yield Pool, and interest income of $3,771,975
and posted an increase in Net Asset Value per Unit. The most
significant gains were recorded in the managed futures portion of
the portfolio from a strengthening in the value of the U.S.
dollar
<PAGE>
relative to most European currencies during January and February.
Additional gains were recorded in the stock portion of the
balanced portfolio from long S&P 500 Index futures positions as
domestic stock prices moved higher throughout most of the first
six months of the year. Gains were also recorded in the managed
futures portion of the portfolio from long Australian bond
futures positions as prices moved higher during May and June. A
portion of the Partnership's overall gains was offset by losses
recorded in the managed futures portion of the portfolio from
trading agricultural futures, as prices moved in a choppy pattern
during the first half of the year. Total expenses for the six
months ended June 30, 1997 were $1,486,450, resulting in net
income before minority interest of $2,285,525. The minority
interest in such gains was $32,960, resulting in net income of
$2,252,565 for the Partnership. The value of an individual Unit
in the Partnership increased from $1,479.85 at December 31, 1996
to $1,547.07 at June 30, 1997.
<PAGE>
PART II. OTHER INFORMATION
Item 1. LEGAL PROCEEDINGS
Previously filed. See Form 10-Q for the quarter ended March 31,
1998.
<PAGE>
Item 6. EXHIBITS AND REPORTS ON FORM 8-K
Reports on Form 8-K. - No such reports have been
Filed for the quarter ended June 30, 1998.
<PAGE>
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of
1934, the Registrant has duly caused this report to be signed on
its behalf by the undersigned, thereunto duly authorized.
Dean Witter Principal Plus
Fund L.P. (Registrant)
By: Demeter Management
Corporation
(General Partner)
August 12, 1998 By:/s/ Lewis A. Raibley, III
Lewis A. Raibley, III
Chief Financial
Officer
The General Partner which signed the above is the only party
authorized to act for the Registrant. The Registrant has no
principal executive officer, principal financial officer,
controller, or principal accounting officer and has no Board of
Directors.
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
The schedule contains summary financial information extracted from Dean
Witter Principal Plus Fund L.P. and is qualified in its entirety by
reference to such financial statements.
</LEGEND>
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1998
<PERIOD-END> JUN-30-1998
<CASH> 9,316,550
<SECURITIES> 0
<RECEIVABLES> 38,200
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 0
<PP&E> 0
<DEPRECIATION> 0
<TOTAL-ASSETS> 53,271,735<F1>
<CURRENT-LIABILITIES> 0
<BONDS> 0
0
0
<COMMON> 0
<OTHER-SE> 0
<TOTAL-LIABILITY-AND-EQUITY> 53,271,735<F2>
<SALES> 0
<TOTAL-REVENUES> 3,831,986<F3>
<CGS> 0
<TOTAL-COSTS> 0
<OTHER-EXPENSES> 1,448,479
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 2,358,140<F4>
<INCOME-TAX> 0
<INCOME-CONTINUING> 2,358,140
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 2,358,140
<EPS-PRIMARY> 0
<EPS-DILUTED> 0
<FN>
<F1>In addition to cash and receivables, total assets include net unrealized
gain on open contracts of $107,220 and Investment in U.S. Treasury
Securities of $43,809,765.
<F2>Liabilities include redemptions payable of $2,202,970, accrued brokerage
fees of $176,884, accrued administrative expenses of $206,640 and accrued
management fees of $44,221.
<F3>Total revenue includes realized trading revenue of $2,829,720, net
change in unrealized of $(672,212), interest income of $1,464,046 and
change in valuation of Yield Pool of $210,432.
<F4>Income-Pretax, Income Continuing and Net Income includes minority
interest in income of $25,367.
</FN>
</TABLE>
