DREYFUS S&P 500 INDEX FUND
LETTER TO SHAREHOLDERS
Dear Shareholder:
We are pleased to provide you with this semi-annual report for Dreyfus
S&P 500 Index Fund for the six-month period ended April 30, 1998. Your Fund
produced a total return of 22.16%.* This compares with a total return of
22.50% for the Standard & Poor's 500 Composite Stock Price Index for the
six-month period, which the Fund is designed to replicate.** The difference
is primarily accounted for by transaction fees and other Fund expenses.
Economic Review
Although real Gross Domestic Product (GDP) sustained a growth trend
approaching 4% into the first quarter, incoming evidence suggests a shift to
somewhat slower economic growth in coming months. Aggregate profit margins
already have begun to narrow in some sectors. The conflicting pressures of a
softening economy and a still tightening labor market have kept the Federal
Reserve Board in neutral, although a bias favoring higher interest rates was
resumed recently. Market interest rates have likewise stayed within a narrow
range in recent months.
While manufacturing has turned appreciably sluggish since year-end,
this was overshadowed in the first quarter by a strong rebound in domestic
demand. The industrial sector has been slowed by the strong dollar and by
weak exports. However, with Asian economies still in turmoil, competition
from Asian-made imports has emerged only gradually. The first quarter rebound
in domestic demand was fueled primarily by strong housing market conditions
and rising real household incomes.
Rising real wages that have been such a boon to consumers in recent
months may also be taking a toll on corporate profit margins. The first sign
of profit pressure was seen last year as the dollar strengthened. This year,
profit margins have eroded further due to weak exports and falling prices in
some sectors. Accelerating wage growth that is apparent alongside limited
pricing power may also prove a harbinger of margin erosion. Hence, a shift to
slower economic growth that coexists with rising wage pressures creates a
further risk to overall profit growth.
The above pressures have kept Fed policy unchanged until now. However,
policymakers seem more concerned about wage growth than economic strains, as
evidenced by a recent shift towards a tightening bias. Although long-term
bond yields were below year-ago levels at the end of April, substantially
lower yields have proven difficult to attain in the absence of lower
short-term rates. This, too, could restrain the economic growth rate.
Market Overview
Equity prices during the six months ended April 30, 1998 continued to
display considerable volatility, most of the time on the upside.
Large-capitalization stocks continued the trend of outperforming both mid-cap
and small-cap equities. Last November, the markets were still trying to
recover from the financial crisis in Asia. As the months went by, however,
the U.S. equity markets rebounded from that severe blow.
Early in the new year, there were temporary setbacks due to worries
about inflation and concern about the corporate profit outlook. By midwinter,
however, the markets resumed their upward surge, which continued almost
unbroken until interest rate jitters struck again in late April. This time
the cause was a press report that the Fed was going to tilt its policy toward
tightening credit.
As it turned out, even that scare was short-lived and, as the month of
May began, stock prices set new records once again, especially the stocks of
the large-capitalized corporations.
Despite the impressive gains in the broad market averages, it was not a
market that would allow investors simply to sit back and relax. Some
commentators had begun to refer to it as the "bubble market," a market that
could inflate to record heights one week, yet the next week could be deflated
just as quickly by unexpected national, international and corporate news.
Now that most first-quarter corporate profits have been reported, it is
apparent that the quarter saw a slowdown in total profits. While some
analysts believe that there could be an increase in the growth of earnings in
the second quarter and beyond, many skeptics believe such possible increases
to be overoptimistic. The skeptics have cited several factors:
* possible delayed reaction to the collapse of Asian markets;
* the ever-present possibility that the Fed could still raise interest
rates;
* the approaching shadow of the midterm elections next fall, with all
the political acrimony they could bring.
There was also the risk that Fed Chairman Greenspan might once again
warn against excessive enthusiasm in the equity markets, as he did in late
1996 when he spoke of "irrational exuberance."
In this atmosphere, wary investors were as quick to sell as to buy,
depending on the ebb and flow of economic and political news. Volatility, it
appeared, was a condition the markets would need to live with for some time
to come, in rising as well as in falling markets.
We very much appreciate your investment in this Fund.
Sincerely,
[Steven A. Falci signature logo]
Steven A. Falci
Portfolio Manager
May 26, 1998
New York, N.Y.
* Total return includes reinvestment of dividends and any capital gains
paid.
** SOURCE: LIPPER ANALYTICAL SERVICES, INC. - Reflects the reinvestment of
income dividends and, where applicable, capital gain distributions. The
Standard & Poor's 500 Composite Stock Price Index is a widely accepted
unmanaged index of U.S. stock market performance.
DREYFUS S&P 500 INDEX FUND
STATEMENT OF INVESTMENTS APRIL 30, 1998 (UNAUDITED)
Shares COMMON STOCKS-95.5% Value
___________ ____________ ___________
Basic Industries-3.9%
23,500 Air Products & Chemicals............. $ 2,043,031
8,100 Armstrong World Industries........... 694,575
20,500 Avery Dennison....................... 1,073,688
6,000 Ball................................. 231,750
10,600 Bemis................................ 471,700
11,200 Boise Cascade........................ 420,700
11,800 Centex............................... 410,050
19,200 Champion International............... 1,033,200
25,600 Crown Cork & Seal.................... 1,332,800
45,300 Dow Chemical......................... 4,379,944
225,900 duPont (E.I.) de Nemours
& Co.............................. 16,448,344
15,700 Eastman Chemical..................... 1,079,375
28,800 Engelhard............................ 608,400
7,300 (a) FMC.................................. 566,206
16,700 Fluor................................ 789,075
41,700 Fort James........................... 2,069,363
34,300 Fortune Brands....................... 1,264,813
18,500 Georgia Pacific...................... 1,427,969
14,800 Grace (W.R).......................... 300,625
11,900 Great Lakes Chemical................. 597,975
19,300 Hercules............................. 922,781
60,300 International Paper.................. 3,146,906
7,800 Kaufman & Broad Home................. 226,688
21,900 Louisiana Pacific.................... 479,063
33,000 Masco................................ 1,914,000
20,900 Mead................................. 723,663
118,400 Monsanto............................. 6,260,400
26,000 Morton International................. 832,000
13,300 Nalco Chemical....................... 528,675
10,700 Owens-Corning........................ 444,719
28,000 (a) Owens-Illinois....................... 1,107,750
35,600 PPG Industries....................... 2,516,475
5,800 Potlach.............................. 274,775
31,500 Praxair.............................. 1,584,844
12,200 Rohm & Haas.......................... 1,315,313
7,932 Sealed Air........................... 497,287
34,500 Sherwin-Williams..................... 1,229,063
20,000 Sigma-Aldrich........................ 797,500
19,800 (a) Stone Container...................... 324,225
11,300 Temple-Inland........................ 729,556
34,000 Tenneco.............................. 1,464,125
13,900 Union Camp........................... 839,213
24,600 Union Carbide........................ 1,193,100
20,400 Westvaco............................. 618,375
39,800 Weyerhaeuser......................... 2,293,475
22,200 Willamette Industries................ 861,638
________________
70,369,192
________________
Capital Goods-22.8%
43,900 AMP.................................. $ 1,725,819
13,700 Adobe Systems........................ 685,856
28,300 (a) Advanced Micro Devices............... 785,325
5,606 Aeroquip-Vickers..................... 356,331
39,854 Allegheny Teledyne................... 1,011,295
112,600 AlliedSignal......................... 4,933,288
18,050 (a) Andrew............................... 412,894
26,400 (a) Apple Computer....................... 722,700
72,800 (a) Applied Materials.................... 2,629,900
9,700 Autodesk............................. 455,900
58,400 Automatic Data Processing............ 3,909,150
43,800 (a) Bay Networks......................... 1,026,563
199,498 Boeing............................... 9,987,369
5,000 Briggs & Stratton.................... 226,250
39,500 Browning-Ferris Industries........... 1,347,938
31,500 (a) Cabletron Systems.................... 417,375
15,000 Case................................. 953,438
74,300 Caterpillar.......................... 4,230,456
157,870 (a) Cendant.............................. 3,946,750
14,500 (a) Ceridian............................. 820,156
8,000 Cincinnati Milacron.................. 248,500
200,800 (a) Cisco Systems....................... 14,708,600
32,400 Cognizant............................ 1,666,575
302,240 Compaq Computer...................... 8,481,610
109,150 Computer Associates
International.................... 6,392,097
31,000 Computer Sciences.................... 1,635,250
24,200 Cooper Industries.................... 1,618,375
9,150 Crane................................ 492,384
7,600 Cummins Engine....................... 413,250
23,500 (a) DSC Communications................... 423,000
9,600 (a) Data General......................... 146,400
50,300 Deere & Co........................... 2,939,406
130,300 Dell Computer........................ 10,521,725
16,200 Deluxe............................... 542,700
29,500 (a) Digital Equipment.................... 1,640,938
44,400 Dover................................ 1,753,800
19,200 Dow Jones & Co....................... 934,800
34,000 Dun & Bradstreet..................... 1,207,000
9,000 EG&G................................. 271,125
99,000 (a) EMC.................................. 4,566,375
15,400 Eaton................................ 1,422,575
88,500 Emerson Electric..................... 5,630,813
30,000 Equifax.............................. 1,160,625
85,400 First Data........................... 2,892,925
8,100 Foster Wheeler....................... 224,269
30,900 (a) Gateway 2000......................... 1,813,444
DREYFUS S&P 500 INDEX FUND
STATEMENT OF INVESTMENTS (CONTINUED) APRIL 30, 1998 (UNAUDITED)
Shares COMMON STOCKS (continued) Value
___________ ____________ ___________
Capital Goods (continued)
25,200 General Dynamics................... $ 1,064,700
653,300 General Electric................... 55,612,102
9,900 General Signal..................... 435,600
35,700 Genuine Parts...................... 1,285,200
14,300 Goodrich (B.F.).................... 769,519
9,900 Grainger (W.W.).................... 1,078,481
42,200 HBO & Co........................... 2,524,088
20,800 H&R Block.......................... 936,000
9,900 Harnischfeger Industries........... 279,675
15,900 Harris............................. 769,163
207,600 Hewlett-Packard.................... 15,634,875
25,400 Honeywell.......................... 2,365,375
23,600 ITT Industries..................... 859,925
26,500 Ikon Office Solutions.............. 640,969
49,800 Illinois Tool Works................ 3,510,900
33,000 Ingersoll-Rand..................... 1,520,063
326,600 Intel.............................. 26,393,363
194,100 International Business
Machines....................... 22,491,338
25,150 Interpublic Group Cos.............. 1,606,456
16,700 Johnson Controls................... 991,563
16,900 (a) KLA-Tencor......................... 681,281
28,300 (a) LSI Logic.......................... 767,638
38,800 Lockheed Martin.................... 4,321,350
256,250 Lucent Technologies................ 19,507,031
11,200 McDermott International............ 463,400
42,200 (a) Micron Technology.................. 1,310,838
481,700 (a) Microsoft.......................... 43,413,213
8,700 Millipore.......................... 300,150
81,600 Minnesota Mining
& Manufacturing................ 7,701,000
119,200 Motorola........................... 6,630,500
32,600 (a) National Semiconductor............. 717,200
8,600 National Service Industries........ 465,475
104,700 Northern
Telecommunications............. 6,373,613
13,300 Northrop Grumman................... 1,405,644
69,800 (a) Novell............................. 698,000
32,300 Omnicom Group...................... 1,530,213
195,700 (a) Oracle............................. 5,063,738
24,800 Pall............................... 486,700
50,900 (a) Parametric Technology.............. 1,627,209
22,250 Parker-Hannifin.................... 992,906
9,600 Perkin-Elmer....................... 656,400
57,800 Pitney Bowes....................... 2,774,400
17,200 Raychem............................ 691,225
67,700 Raytheon, Cl. B.................... 3,837,744
Capital Goods (continued)
40,000 Rockwell International............. $ 2,237,500
15,300 Ryder System....................... 532,631
15,700 Scientific-Atlanta................. 374,838
48,800 (a) Seagate Technology................. 1,302,350
50,300 Service Corp. International........ 2,074,875
5,000 Shared Medical Systems............. 364,688
37,400 (a) Silicon Graphics................... 488,538
12,200 Snap-On............................ 516,213
17,813 Stanley Works...................... 911,803
74,800 (a) Sun Microsystems................... 3,080,825
69,100 (a) 3COM............................... 2,366,675
10,100 Tektronix.......................... 434,300
36,200 (a) Tellabs............................ 2,565,675
77,900 Texas Instruments.................. 4,990,469
32,800 Textron............................ 2,566,600
30,200 (a) Thermo Electron.................... 1,202,338
11,000 Thomas & Betts..................... 642,125
12,600 Timken............................. 503,213
114,100 Tyco International................. 6,218,450
49,800 (a) Unisys............................. 1,117,388
46,500 United Technologies................ 4,577,344
90,800 Waste Management................... 3,041,800
65,100 Xerox.............................. 7,388,850
________________
417,019,025
________________
Consumer Cyclical-11.9%
49,000 Albertson's........................ 2,450,000
14,700 American Greetings, Cl. A.......... 679,875
54,500 American Stores.................... 1,308,000
30,200 (a) AutoZone........................... 911,663
18,900 Black & Decker..................... 975,713
19,900 Brunswick.......................... 646,750
140,500 CBS................................ 5,005,313
38,200 CVS................................ 2,817,250
129,200 Chrysler........................... 5,192,225
19,700 Circuit City Stores................ 800,313
23,500 (a) Clear Channel
Communications................... 2,214,875
69,700 Comcast, Cl. A..................... 2,496,131
21,400 (a) Consolidated Stores................ 856,000
15,700 Cooper Tire and Rubber............. 374,838
42,400 (a) Costco Cos......................... 2,369,100
21,000 Dana............................... 1,241,625
29,100 Darden Restaurants................. 465,600
43,500 Dayton Hudson...................... 3,798,094
22,100 Dillard's, Cl. A................... 809,413
134,800 Disney (Walt)...................... 16,757,325
29,100 Donnelley (R.R.) & Sons............ 1,282,219
DREYFUS S&P 500 INDEX FUND
STATEMENT OF INVESTMENTS (CONTINUED) APRIL 30, 1998 (UNAUDITED)
Shares COMMON STOCKS (continued) Value
___________ ____________ ___________
Consumer Cyclical (continued)
12,600 Echlin............................. $ 596,138
41,800 (a) Federated
Department Stores................ 2,056,038
7,200 Fleetwood Enterprises.............. 332,550
239,500 Ford Motor......................... 10,972,094
14,600 (a) Fruit of the Loom, Cl. A........... 545,675
56,600 Gannett............................ 3,845,263
80,300 Gap................................ 4,130,431
29,500 (a) General Instrument................. 661,906
141,200 General Motors..................... 9,513,350
12,000 Giant Food, Cl. A ................. 447,000
31,200 Goodyear Tire & Rubber............. 2,184,000
7,600 Great Atlantic & Pacific........... 236,550
14,100 Harcourt General................... 735,844
20,200 (a) Harrah's Entertainment............. 526,463
26,500 Hasbro............................. 975,531
50,000 Hilton Hotel....................... 1,596,875
146,001 Home Depot......................... 10,165,320
7,800 Jostens............................ 184,763
97,400 (a) K mart............................. 1,698,413
14,600 (a) King World Productions............. 389,638
15,900 Knight-Ridder...................... 927,169
50,900 (a) Kroger............................. 2,131,438
54,300 Limited............................ 1,822,444
13,300 Liz Claiborne...................... 654,194
7,700 Longs Drug Stores.................. 222,819
34,800 Lowes.............................. 2,433,825
25,500 Marriott International............. 841,500
25,500 Marriott International, Cl. A...... 816,000
58,000 Mattel............................. 2,222,125
46,200 May Department Stores.............. 2,849,963
19,000 Maytag............................. 978,500
137,300 McDonald's......................... 8,495,438
19,800 McGraw-Hill Cos.................... 1,533,263
7,300 Mercantile Stores.................. 533,356
10,600 Meredith........................... 455,800
35,800 (a) Mirage Resorts..................... 789,838
17,700 Moore.............................. 277,669
14,400 (a) Navistar International............. 430,200
19,200 New York Times, Cl. A.............. 1,362,000
58,000 NIKE, Cl. B........................ 2,769,500
15,400 Nordstrom.......................... 1,007,738
15,500 PACCAR............................. 920,313
49,900 Penney (J.C.)...................... 3,546,019
12,700 Pep Boys-Manny,
Moe & Jack...................... 276,225
11,200 (a) Reebok International............... 329,000
Consumer Cyclical (continued)......
51,400 Rite Aid........................... $ 1,651,225
7,300 Russell............................ 197,100
71,200 Seagram............................ 3,039,350
78,200 Sears, Roebuck & Co................ 4,638,238
4,000 Springs Industries................. 220,250
12,000 Supervalu.......................... 524,250
68,200 Sysco.............................. 1,624,013
32,600 TJX................................ 1,442,550
24,600 TRW................................ 1,299,188
20,600 Tandy.............................. 1,024,850
101,200 (a) Tele-Communications, Cl. A......... 3,263,700
115,300 Time Warner........................ 9,051,050
17,700 Times Mirror, Cl. A................ 1,083,019
57,000 (a) Toys R Us.......................... 1,571,063
24,500 Tribune............................ 1,617,000
30,310 (a) Tricon Global Restaurants.......... 962,343
121,200 US West Media Group................ 4,575,300
24,400 V.F................................ 1,268,800
70,500 (a) Viacom, Cl. B...................... 4,089,000
449,800 Wal-Mart Stores.................... 22,743,013
98,300 Walgreen........................... 3,391,350
26,400 Wendy's International.............. 635,250
15,000 Whirlpool.......................... 1,080,000
29,700 Winn-Dixie Stores.................. 1,117,463
26,900 (a) Woolworth.......................... 618,700
________________
216,600,565
________________
Consumer Staples-9.9%
11,200 Alberto-Culver, Cl. B.............. 329,000
97,800 Anheuser-Busch..................... 4,480,463
111,258 Archer Daniels Midland............. 2,392,047
26,368 Avon Products...................... 2,167,120
57,400 Bestfoods.......................... 3,149,825
13,800 Brown-Forman, Cl. B................ 781,425
91,300 Campbell Soup...................... 4,684,831
20,600 Clorox............................. 1,727,825
493,700 Coca-Cola.......................... 37,459,488
59,000 Colgate-Palmolive.................. 5,291,563
94,200 ConAgra............................ 2,749,463
7,400 Coors (Adolph), Cl B............... 264,550
64,900 Eastman Kodak...................... 4,684,969
25,800 Ecolab............................. 817,538
31,600 General Mills...................... 2,134,975
111,800 Gillette........................... 12,905,913
73,300 Heinz (H.J.)....................... 3,994,850
28,500 Hershey Foods...................... 2,087,625
21,800 International Flavors
& Fragrances................... 1,066,838
DREYFUS S&P 500 INDEX FUND
STATEMENT OF INVESTMENTS (CONTINUED) APRIL 30, 1998 (UNAUDITED)
Shares COMMON STOCKS (continued) Value
___________ ____________ ___________
Consumer Staples (continued)
82,000 Kellogg............................ $ 3,382,500
110,900 Kimberly-Clark..................... 5,628,175
1,600 NACCO Industries, Cl. A............ 269,100
31,800 Newell............................. 1,536,338
302,800 PepsiCo............................ 12,017,375
483,900 Philip Morris Cos.................. 18,055,519
48,900 Pioneer Hi-Bred
International.................. 1,845,975
9,000 Polaroid........................... 396,000
268,300 Procter & Gamble................... 22,050,906
27,600 Quaker Oats........................ 1,435,200
21,300 Ralston Purina Group............... 2,257,800
29,900 Rubbermaid......................... 855,888
95,800 Sara Lee........................... 5,706,088
12,200 Tupperware......................... 330,163
36,800 UST................................ 1,014,300
127,800 Unilever........................... 9,537,075
23,200 Wrigley, (Wm) Jr................... 2,064,800
________________
181,553,510
________________
Energy-8.1%
18,300 Amerada Hess....................... 1,052,250
194,400 Amoco.............................. 8,602,200
12,000 Anadarko Petroleum................. 879,000
19,100 Apache............................. 675,663
15,000 Ashland............................ 793,125
64,000 Atlantic Richfield................. 4,992,000
33,700 Baker Hughes....................... 1,364,850
35,245 Burlington Resources............... 1,656,515
131,100 Chevron............................ 10,840,331
21,200 Coastal............................ 1,514,475
11,100 Columbia Gas System................ 901,875
19,100 Consolidated Natural Gas........... 1,098,250
35,000 Dresser Industries................. 1,850,625
4,100 Eastern Enterprises................ 173,738
62,100 Enron.............................. 3,054,544
492,200 Exxon.............................. 35,899,838
52,300 Halliburton........................ 2,876,500
10,000 Helmerich & Payne.................. 305,000
9,500 Kerr-McGee......................... 627,000
156,600 Mobil.............................. 12,371,400
9,700 Nicor.............................. 397,094
6,200 ONEOK.............................. 251,100
67,600 Occidental Petroleum............... 1,989,975
21,100 (a) Oryx Energy........................ 551,238
16,600 Pacific Enterprises................ 646,363
9,500 Pennzoil........................... 608,594
Energy (continued)
7,000 Peoples Energy..................... $ 253,750
52,500 Phillips Petroleum................. 2,602,031
17,300 (a) Rowan Cos.......................... 509,269
428,000 Royal Dutch
Petroleum, A.D.R................ 24,208,750
98,800 Schlumberger....................... 8,188,050
21,900 Sonat.............................. 971,813
14,300 Sun................................ 578,256
109,400 Texaco............................. 6,728,100
50,710 Union Pacific
Resources Group................. 1,210,701
57,600 USX-Marathon Group................. 2,062,800
49,200 Unocal............................. 2,014,125
10,900 (a) Western Atlas...................... 861,100
82,700 Williams Cos....................... 2,615,388
________________
148,777,676
________________
Health Care-11.0%
17,000 (a) ALZA............................... 814,938
152,700 Abbott Laboratories................ 11,166,187
13,000 Allergan........................... 540,313
129,700 American Home Products............. 12,078,313
52,500 (a) Amgen.............................. 3,130,313
11,400 Bard (C.R.)........................ 408,263
11,000 Bausch & Lomb...................... 543,813
55,900 Baxter International............... 3,098,956
24,400 Becton, Dickinson & Co............. 1,698,850
22,300 Biomet............................. 669,000
38,800 (a) Boston Scientific.................. 2,805,725
198,500 Bristol-Myers Squibb............... 21,016,188
21,800 Cardinal Health.................... 2,098,250
129,250 Columbia/HCA Healthcare............ 4,257,172
29,600 Guidant............................ 1,979,500
78,600 (a) HEALTHSOUTH........................ 2,372,738
32,700 (a) Humana............................. 882,900
268,400 Johnson & Johnson.................. 19,157,050
221,400 Lilly (Eli)........................ 15,401,138
14,600 Mallinckrodt Group................. 470,850
12,700 Manor Care......................... 445,294
93,600 Medtronic.......................... 4,925,700
239,200 Merck & Co......................... 28,823,600
258,100 Pfizer............................. 29,375,006
101,300 Pharmacia & Upjohn................. 4,260,931
146,100 Schering-Plough.................... 11,706,263
18,300 (a) St. Jude Medical................... 648,506
60,900 (a) Tenet Healthcare................... 2,279,944
15,100 U.S. Surgical...................... 475,650
DREYFUS S&P 500 INDEX FUND
STATEMENT OF INVESTMENTS (CONTINUED) APRIL 30, 1998 (UNAUDITED)
Shares COMMON STOCKS (continued) Value
___________ ____________ ___________
Health Care (continued)
37,600 United Healthcare.................. $ 2,641,400
54,400 Warner-Lambert... 10,291,800
________________
200,464,551
________________
Interest Sensitive-17.1%
29,679 Aetna.............................. 2,398,434
21,900 Ahmanson (H.F.) & Co............... 1,669,875
85,600 Allstate........................... 8,239,000
92,800 American Express................... 9,465,600
50,645 American General................... 3,374,223
140,050 American International
Group............................ 18,425,328
33,450 Aon................................ 2,157,525
71,569 Associates First Capital, Cl. A.... 5,349,783
28,400 BB&T............................... 1,909,900
29,000 BANKBOSTON......................... 3,130,188
128,840 Banc One........................... 7,577,403
75,200 Bank of New York................... 4,441,500
138,400 BankAmerica........................ 11,764,000
19,600 Bankers Trust New York............. 2,530,850
10,600 Beneficial......................... 1,381,975
14,800 CIGNA.............................. 3,062,675
84,100 Chase Manhattan.................... 11,653,106
34,000 Chubb.............................. 2,683,875
11,000 Cincinnati Financial............... 1,401,125
91,200 Citicorp........................... 13,725,600
31,500 Comerica........................... 2,108,531
37,600 Conseco............................ 1,865,900
21,500 Countrywide Credit
Industries....................... 1,040,063
211,800 Federal National
Mortgage Association............. 12,681,525
46,200 Fifth Third Bancorp................ 2,541,000
58,100 First Chicago NBD.................. 5,396,038
189,290 First Union........................ 11,428,384
54,400 Fleet Financial Group.............. 4,698,800
138,700 Federal Home Loan Mortgage......... 6,423,544
51,500 (a) Franklin Resources................. 2,755,250
15,700 General Re......................... 3,509,931
11,300 Golden West Financial.............. 1,190,031
27,200 Green Tree Financial............... 1,108,400
23,600 Hartford Financial
Services Group................... 2,613,700
21,400 Household International............ 2,812,763
38,200 Huntington Bancshares.............. 1,358,488
21,150 Jefferson Pilot.................... 1,241,241
87,700 Keycorp............................ 3,480,594
Interest Sensitive (continued)
20,300 Lehman Brothers Holdings........... $ 1,442,569
20,400 Lincoln National................... 1,811,775
23,000 Loews.............................. 2,301,438
33,900 Marsh & McLennan................... 3,089,138
19,500 MBIA............................... 1,455,188
100,050 MBNA............................... 3,389,194
22,800 MGIC Investment.................... 1,436,400
50,800 Mellon Bank........................ 3,657,600
26,000 Mercantile Bancorp................. 1,439,750
66,500 Merrill Lynch & Co................. 5,835,375
35,500 Morgan (J.P.) & Co................. 4,659,375
118,280 Morgan Stanley, Dean Witter,
Discover and Co................. 9,329,335
63,300 National City...................... 4,383,525
187,676 NationsBank........................ 14,216,457
22,300 Northern Trust..................... 1,627,900
150,800 Norwest............................ 5,984,875
60,900 PNC Bank........................... 3,680,644
14,400 Progressive........................ 1,950,300
19,000 Providian Financial................ 1,143,563
4,200 Pulte.............................. 214,988
10,900 Republic New York.................. 1,457,875
28,200 Safeco............................. 1,408,238
53,000 Schwab (Charles)................... 1,855,000
23,047 St. Paul Cos....................... 1,953,233
32,100 State Street....................... 2,295,150
35,100 Summit Bancorp..................... 1,759,388
38,900 SunAmerica......................... 1,942,569
42,100 SunTrust Banks..................... 3,428,519
34,900 Synovus Financial.................. 1,228,044
28,000 Torchmark.......................... 1,247,750
12,500 Transamerica....................... 1,443,750
228,943 Travelers Group.................... 14,008,450
49,016 U.S. Bancorp....................... 6,225,032
27,700 UNUM............................... 1,488,875
40,700 Wachovia........................... 3,456,956
51,360 Washington Mutual.................. 3,598,410
17,300 Wells Fargo........................ 6,375,050
________________
312,817,826
________________
Mining and Metals-.8%
21,600 (a) ARMCO.............................. 148,500
8,100 ASARCO............................. 201,994
45,400 Alcan Aluminium.................... 1,475,500
34,400 Aluminum Co. of America............ 2,666,000
74,400 Barrick Gold....................... 1,669,350
45,900 Battle Mountain Gold............... 329,906
DREYFUS S&P 500 INDEX FUND
STATEMENT OF INVESTMENTS (CONTINUED) APRIL 30, 1998 (UNAUDITED)
Shares COMMON STOCKS (continued) Value
___________ ____________ ___________
Mining and Metals (continued)
22,500 (a) Bethlehem Steel..................... $ 350,156
18,700 Cyprus Amax Minerals................ 322,575
38,600 Freeport-McMoRan
Copper, Cl. B.................... 726,163
29,300 Homestake Mining.................... 340,613
33,300 Inco................................ 584,831
9,800 Inland Steel Industries............. 287,263
31,225 Newmont Mining...................... 1,005,055
17,500 Nucor............................... 1,048,906
11,700 Phelps Dodge........................ 785,363
47,800 Placer Dome......................... 705,050
14,800 Reynolds Metals..................... 976,800
17,200 USX-U.S. Steel...................... 672,950
19,300 Worthington Industries.............. 346,797
________________
14,643,772
________________
Transportation-1.1%
18,200 (a) AMR................................ 2,773,225
31,200 Burlington Northern Santa Fe....... 3,088,800
43,600 CSX.............. 2,289,000
14,800 Delta Air Lines.................... 1,720,500
33,260 (a) FDX................................ 2,261,680
65,600 Laidlaw............................ 914,300
75,300 Norfolk Southern................... 2,517,844
43,750 Southwest Airlines................. 1,200,391
49,300 Union Pacific...................... 2,699,175
18,200 (a) USAir Group........................ 1,294,475
________________
20,759,390
________________
Utilities-8.9%
37,000 ALLTEL............................. 1,581,750
324,200 AT&T............................... 19,472,263
112,600 (a) Airtouch Communications............ 5,981,875
27,400 Ameren............................. 1,085,725
37,800 American Electric Power............ 1,804,950
218,500 Ameritech.......................... 9,299,906
29,500 Baltimore Gas & Electric........... 929,250
155,068 Bell Atlantic...................... 14,508,550
197,900 BellSouth.......................... 12,702,706
31,500 CINergy............................ 1,098,563
30,000 Carolina Power & Light............. 1,291,875
42,400 Central & Southwest................ 1,105,050
46,900 Consolidated Edison................ 2,122,225
46,100 Corning............................ 1,844,000
29,000 DTE Energy......................... 1,136,438
38,600 Dominion Resources................. 1,527,113
71,794 Duke Power......................... 4,155,078
76,100 Edison International............... 2,268,731
Utilities (continued)
48,700 Entergy............................ $ 1,211,413
36,300 FPL Group.......................... 2,252,869
46,000 FirstEnergy........................ 1,391,500
32,800 Frontier........................... 981,950
25,300 GPU................................ 1,002,513
191,100 GTE................................ 11,167,406
56,966 Houston Industries................. 1,655,574
139,000 MCI Communications................. 6,993,438
53,300 (a) NEXTEL Communications,
Cl. A........................... 1,529,044
28,800 (a) Niagara Mohawk Power............... 352,800
14,900 Northern States Power.............. 839,988
87,500 PG&E............................... 2,832,813
33,100 PP&L Resources..................... 763,369
44,400 PECO Energy........................ 1,057,275
59,200 PacifiCorp......................... 1,376,400
46,300 Public Service
Enterprise Group................. 1,553,944
365,838 SBC Communications................. 15,159,412
137,800 Southern........................... 3,651,700
85,800 Sprint............................. 5,861,213
49,197 Texas Utilities.................... 1,967,880
96,400 US West............................ 5,085,100
43,200 UniCom............................. 1,501,200
202,200 (a) WorldCom........................... 8,650,369
________________
162,755,218
________________
TOTAL COMMON STOCKS
(cost $1,123,538,116)........... $1,745,760,725
================
DREYFUS S&P 500 INDEX FUND
STATEMENT OF INVESTMENTS (CONTINUED) APRIL 30, 1998 (UNAUDITED)
Principal SHORT-TERM
Amount INVESTMENTS-5.5% Value
____________ _______________ _______________
U.S. Treasury Bills:
$20,835,000 5.03%, 5/28/1998................... $ 20,763,744
9,018,000 (b) 4.96%, 6/25/1998................... 8,952,800
30,622,000 4.95%, 7/2/1998.................... 30,366,613
30,926,000 4.93%, 7/23/1998................... 30,580,866
10,161,000 4.87%, 7/30/1998................... 10,037,747
________________
TOTAL SHORT-TERM
INVESTMENTS
(cost $100,678,354).............. $ 100,701,770
================
TOTAL INVESTMENTS
(cost $1,224,216,470)................... 101.0% $1,846,462,495
======= ================
LIABILITIES, LESS CASH
AND RECEIVABLES......................... (1.0%) $ (18,460,146)
======= ================
NET ASSETS................................ 100.0% $1,828,002,349
======= ================
Notes to Statement of Investments:
(a) Non-income producing.
(b) Partially held by the custodian in a segregated account as
collateral for open financial futures positions.
<TABLE>
<CAPTION>
STATEMENT OF FINANCIAL FUTURES APRIL 30, 1998 (UNAUDITED)
Market Value Unrealized
Covered Appreciation
Issuer: Contracts by Contracts Expiration at 4/30/98
_________________________ _____________ ____________ ______________ ______________
<S> <C> <C> <C> <C>
Standard & Poor's 500.................. 305 $85,339,000 June '98 $180,125
=========
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
<TABLE>
<CAPTION>
DREYFUS S&P 500 INDEX FUND
STATEMENT OF ASSETS AND LIABILITIES APRIL 30, 1998 (UNAUDITED)
Cost Value
_______________ _______________
<S> <C> <C> <C>
ASSETS: Investments in securities-See Statement of Investments $1,224,216,470 $1,846,462,495
Cash........................................................ 4,871,022
Dividends and interest receivable........................... 1,727,369
Receivable for shares of Common Stock subscribed............ 464,370
Receivable for futures variation margin-Note 4(a)........... 1,970,109
_______________
1,855,495,365
_______________
LIABILITIES: Due to The Dreyfus Corporation and affiliates............... 375,279
Due to Distributor.......................................... 375,278
Payable for investment securities purchased................. 23,993,790
Payable for shares of Common Stock redeemed................. 2,748,669
_______________
27,493,016
_______________
NET ASSETS..................................................................... $1,828,002,349
===============
REPRESENTED BY: Paid-in capital............................................. $1,190,675,653
Accumulated undistributed investment income-net............. 5,700,615
Accumulated net realized gain (loss) on investments......... 9,199,931
Accumulated net unrealized appreciation (depreciation)
on investments (including $180,125 net unrealized
appreciation on financial futures)-Note 4(b)............... 622,426,150
_______________
NET ASSETS..................................................................... $1,828,002,349
===============
SHARES OUTSTANDING
(200 million shares of $.001 par value Common Stock authorized)................ 55,416,861
NET ASSET VALUE, offering and redemption price per share-Note 3(d)............. $32.99
=======
SEE NOTES TO FINANCIAL STATEMENTS.
DREYFUS S&P 500 INDEX FUND
STATEMENT OF OPERATIONS SIX MONTHS ENDED APRIL 30, 1998 (UNAUDITED)
INVESTMENT INCOME
INCOME: Cash dividends (net of $18,034 foreign taxes
withheld at source)............................................... $ 11,246,401
Interest.......................................................... 1,587,201
_____________
Total Income....................................................... $ 12,833,602
EXPENSES: Management fee-Note 3(a)................................... 1,912,252
Shareholder servicing costs-Note 3(b)............................. 1,912,252
Loan commitment fees-Note 2....................................... 3,751
_____________
Net Expenses....................................................... 3,828,255
_____________
INVESTMENT INCOME-NET......................................................... 9,005,347
_____________
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS-NOTE 4:
Net realized gain (loss) on investments.... $ 1,591,384
Net realized gain (loss) on financial futures..................... 8,276,256
_____________
NET REALIZED GAIN (LOSS)............................................. 9,867,640
Net unrealized appreciation (depreciation)
of investments
(including $2,247,550 net unrealized
appreciation on
financial futures)................................................... 287,280,298
_____________
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS........................ 297,147,938
_____________
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS.......................... $306,153,285
=============
SEE NOTES TO FINANCIAL STATEMENTS.
DREYFUS S&P 500 INDEX FUND
STATEMENT OF CHANGES IN NET ASSETS
Six Months Ended
April 30, 1998 Year Ended
(Unaudited) October 31, 1997
________________ ________________
OPERATIONS:
Investment income (loss)-net............................................ $ 9,005,347 $ 14,346,260
Net realized gain (loss) on investments................................. 9,867,640 24,705,075
Net unrealized appreciation (depreciation) on investments............... 287,280,298 189,796,889
_______________ _______________
Net Increase (Decrease) in Net Assets Resulting from Operations..... 306,153,285 228,848,224
_______________ _______________
DIVIDENDS TO SHAREHOLDERS FROM:
Investment income-net .................................................. (14,501,384) (10,625,144)
Net realized gain on investments........................................ (22,114,610) (18,728,587)
_______________ _______________
Total Dividends..................................................... (36,615,994) (29,353,731)
_______________ _______________
CAPITAL STOCK TRANSACTIONS:
Net proceeds from shares sold........................................... 524,866,536 740,252,211
Dividends reinvested ................................................... 34,776,386 27,500,971
Cost of shares redeemed................................................. (280,629,192) (279,427,033)
_______________ _______________
Increase (Decrease) in Net Assets from Capital Stock Transactions... 279,013,730 488,326,149
_______________ _______________
Total Increase (Decrease) in Net Assets........................... 548,551,021 687,820,642
NET ASSETS:
Beginning of Period..................................................... 1,279,451,328 591,630,686
_______________ _______________
End of Period........................................................... $1,828,002,349 $1,279,451,328
=============== ===============
Undistributed investment income-net....................................... $ 5,700,615 $ 11,196,652
_______________ _______________
CAPITAL SHARE TRANSACTIONS: Shares Shares
_______________ _______________
Shares sold............................................................. 17,344,002 29,141,689
Shares issued for dividends reinvested ................................. 1,233,205 1,216,319
Shares redeemed......................................................... (9,298,996) (11,036,833)
_______________ _______________
Net Increase (Decrease) in Shares Outstanding....................... 9,278,211 19,321,175
=============== ===============
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
<TABLE>
<CAPTION>
DREYFUS S&P 500 INDEX FUND
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 period indicated. This
information has been derived from the Fund's financial statements.
Six Months Ended
April 30, 1998 Year Ended October 31,
______________________________________________________
PER SHARE DATA: (Unaudited) 1997 1996 1995 1994 1993
__________ ______ ______ ______ ______ ______
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of period............. $27.73 $22.06 $18.38 $16.41 $16.88 $15.16
______ ______ ______ ______ ______ ______
Investment operations:
Investment income-net............................ .16 .34 .33 .36 .39 .30
Net realized and unrealized gain (loss)
on investments................................. 5.86 6.37 3.89 3.36 .11 1.86
______ ______ ______ ______ ______ ______
Total from Investment Operations................. 6.02 6.71 4.22 3.72 .50 2.16
______ ______ ______ ______ ______ ______
Distributions:
Dividends from net investment income-net......... (.30) (.38) (.32) (.42) (.31) (.40)
Dividends from net realized gains on investments. (.46) (.66) (.22) (1.33) (.66) (.04)
______ ______ ______ ______ ______ ______
Total Distributions.............................. (.76) (1.04) (.54) (1.75) (.97) (.44)
______ ______ ______ ______ ______ ______
Net asset value, end of period................... $32.99 $27.73 $22.06 $18.38 $16.41 $16.88
====== ====== ====== ====== ====== ======
TOTAL INVESTMENT RETURN.............................. 22.16%(1) 31.46% 23.41% 25.68% 3.14% 14.49%
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets .25%(1) .50% .57% .55% .61% .39%
Ratio of net investment income
to average net assets.......................... .58%(1) 1.52% 1.90% 2.75% 2.26% 2.36%
Decrease reflected in above expense ratios due
to undertakings by WFNIA and Dreyfus........... - .05% - - .03% .14%
Portfolio Turnover Rate.......................... .51%(1) 2.26% 5.22% 3.66% 18.81% 3.77%
Average commission rate paid(2).................. $.0202 $.0301 $.0297 - - -
Net assets, end of period (000's Omitted)... $1,828,002 $1,279,451 $591,631 $336,147 $245,202 $281,403
</TABLE>
(1) Not annualized.
(2) For fiscal years beginning November 1, 1995, the Fund is required to
disclose its average commission rate paid per share for purchases and
sales of investment securities.
SEE NOTES TO FINANCIAL STATEMENTS.
DREYFUS S&P 500 INDEX FUND
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
NOTE 1-SIGNIFICANT ACCOUNTING POLICIES:
Dreyfus S&P 500 Index Fund (the "Fund") is a separate non-diversified
series of Dreyfus Index Funds, Inc. (the "Company") which is registered under
the Investment Company Act of 1940 ("Act") as an open-end management
investment company and operates as a series company currently offering three
series including the Fund. The Fund's investment objective is to provide
investment results that correspond to the price and yield performance of
publicly-traded common stocks in the aggregate, as represented by the
Standard & Poor's 500 Composite Stock Price Index. The Dreyfus Corporation
("Dreyfus") serves as the Fund's investment adviser. Boston Safe Deposit and
Trust Company, an affiliate of Dreyfus, is the Fund's custodian. Dreyfus is a
direct subsidiary of Mellon Bank, N.A. Premier Mutual Fund Services, Inc.
(the "Distributor") is the distributor of the Fund's shares, which are sold
to the public without a sales charge.
The Company accounts separately for the assets, liabilities and
operations of each fund. Expenses directly attributable to each fund are
charged to the fund's operations; expenses which are applicable to all funds
are allocated among them on a pro rata basis.
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 in securities (including financial
futures) are valued at the last sales price on the securities exchange on
which such securities are primarily traded or at the last sales price on the
national securities market. Securities not listed on an exchange or the
national securities market, or securities for which there were no
transactions, are valued at the average of the most recent bid and asked
prices. Bid price is used when no asked price is available.
(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 annually.
Dividends from net realized capital gain are normally declared and paid
annually, but the Fund may make distributions on a more frequent basis to
comply with the distribution requirements of the Internal Revenue Code. To
the extent that net realized capital gain can be offset by capital loss
carryovers, if any, it is the policy of the Fund not to distribute such gain.
(d) Federal income taxes: It is the policy of the Fund to continue to
qualify as a regulated investment company, if such qualification is in the
best interests of its shareholders, by complying with the applicable
provisions of the Internal Revenue Code, and to make distributions of taxable
income sufficient to relieve it from substantially all Federal income and
excise taxes.
NOTE 2-BANK LINE OF CREDIT:
The Fund participates with other Dreyfus-managed funds in a $600 million
redemption credit facility ("Facility") to be utilized for temporary or
emergency purposes, including the financing of redemptions. In connection
therewith, the Fund has agreed to pay commitment fees on its pro rata portion
of the Facility. Interest is charged to the Fund at rates based on prevailing
market rates in effect at the time of borrowings. During the period ended
April 30, 1998, the Fund did not borrow under the Facility.
DREYFUS S&P 500 INDEX FUND
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) (CONTINUED)
NOTE 3-MANAGEMENT FEE AND OTHER TRANSACTIONS WITH AFFILIATES:
(a) Pursuant to an Investment Management agreement ("Agreement") with
Dreyfus, the management fee is computed at the annual rate of .25 of 1% of
the value of the Fund's average daily net assets, and is payable monthly.
Under the terms of the Agreement, Dreyfus has agreed to pay all the expenses
of the Fund, except management fees, brokerage commissions, taxes, interest,
commitment fees, Shareholder Services Plan fees, fees and expenses of
non-interested Directors (including counsel fees), and extraordinary expenses.
In addition, Dreyfus is required to reduce its fees in an amount equal to
the Fund's allocable portion of fees and expenses of the non-interested
Directors (including counsel). Each Director receives an annual fee of $2,500
and an attendance fee of $500 per meeting and is reimbursed for travel and
out-of-pocket expenses. The Chairman of the Board receives an additional 25%
of such compensation. These fees pertain to the following funds: Dreyfus S&P
500 Index Fund, Dreyfus International Stock Index Fund and Dreyfus Small Cap
Stock Index Fund. These fees and expenses are charged and allocated to each
series based on net assets. Amounts required to be paid by the Company
directly to the non-interested Directors, that would be applied to offset a
portion of the management fee payable to Dreyfus are in fact paid directly by
Dreyfus to the non-interested Directors.
(b) Under the Shareholder Services Plan, the Fund pays the Distributor
for the provision of certain services a fee, at the annual rate of .25 of 1%
of the value of the Fund's average daily net assets. 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. The Distributor may make payments to Service Agents (a securities
dealer, financial institution or other industry professional) in respect of
these services. The distributor determines the amounts to be paid to Service
Agents. During the period April 30, 1998, the Fund was charged $1,912,252
pursuant to the Shareholder Services Plan.
(c) A 1% redemption fee is charged and retained by the Fund on certain
redemptions of Fund shares where the redemption occurs within the initial six
month period following the opening of the account. During the period ended
April 30, 1998, redemption fees amounted to $7,606.
NOTE 4-SECURITIES TRANSACTIONS:
(a) The aggregate amount of purchases and sales of investment securities,
excluding short-term securities and financial futures during the period ended
April 30, 1998 amounted to $266,467,455 and $7,491,720, respectively.
The Fund may invest in financial futures contracts in order to gain
exposure to or protect against changes in the market. The Fund is exposed to
market risk as a result of changes in the value of the underlying financial
instruments. 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 received or made to reflect daily unrealized gains or
losses. When the contracts are closed, the Fund recognizes a realized gain or
loss. These investments require initial margin deposits with a custodian,
which consist of cash or cash equivalents, up to approximately 10% of the
contract amount. The amount of these deposits is determined by the exchange
or Board of Trade on which the contract is traded and is subject to change.
Contracts open as of April 30, 1998 are set forth in the Statement of
Financial Futures.
(b) At April 30, 1998, accumulated net unrealized appreciation on
investments and financial futures was $622,426,150 consisting of $630,531,199
gross unrealized appreciation and $8,105,049 gross unrealized depreciation.
At April 30, 1998, 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).
Registration Mark
[Dreyfus lion "d" logo]
DREYFUS S&P 500 INDEX FUND
200 Park Avenue
New York, NY 10166
MANAGER
The Dreyfus Corporation
200 Park Avenue
New York, NY 10166
CUSTODIAN
Boston Safe Deposit and Trust Company
One Boston Place
Boston MA 02109
TRANSFER AGENT &
DIVIDEND DISBURSING AGENT
Dreyfus Transfer, Inc.
P.O. Box 9671
Providence, RI 02940
Printed in U.S.A. 078SA984
Registration Mark
[Dreyfus logo]
S&P 500
Index Fund
Semi-Annual
Report
April 30, 1998
