<PAGE>
Dreyfus
Small Cap Stock
Index Fund
Semi-Annual Report
April 30, 1998
<PAGE>
Dreyfus Small Cap Stock Index Fund
- -----------------------------------------------------------------------------
Letter to Shareholders
Dear Shareholder:
We are pleased to provide you with this report for Dreyfus Small Cap Stock
Index Fund for the six months ended April 30, 1998. Your Fund produced a total
return of 12.82%.* This compares with a total return of 13.15% for the Standard
& Poor's Small Cap 600 Index for the same period, which the Fund is designed to
replicate.**
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 profit 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. Small- capitalization
stocks moderately lagged both large-cap and mid-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.
<PAGE>
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,
/S/ Steven A. Falci
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. -- The Standard & Poor's Small
Cap 600 Index is a broad-based index of 600 companies with market
capitalization generally ranging from the 50th percentile down to the
83rd percentile of the stock universe and is a widely accepted,
unmanaged index of small cap stock market performance. The Fund holds
stocks generally in the same proportion as each stock within the index
itself. Therefore, the Fund's performance should closely match that of
the index.
<PAGE>
Dreyfus Small Cap Stock Index Fund
- -----------------------------------------------------------------------------
<TABLE>
Statement of Investments April 30, 1998 (Unaudited)
<CAPTION>
Shares COMMON STOCKS -- 99% Value
- --------- ----------------
<S> <C> <C>
Basic Industries--6.1%
1,350 AMCOL International.................................... $ 18,478
1,100 AptarGroup............................................. 68,750
2,300 (a)Buckeye Technologies................................... 53,475
400 Butler Manufacturing................................... 14,925
600 Cambrex................................................ 33,300
1,600 Caraustar Industries................................... 54,800
2,700 Champion Enterprises................................... 67,163
1,000 ChemFirst.............................................. 26,625
700 (a)Dravo.................................................. 7,175
1,500 Geon................................................... 35,812
1,600 (a)Griffon................................................ 21,400
2,000 Harland (John H.)...................................... 35,625
1,200 Hughes Supply.......................................... 46,500
1,300 (a)Insituform Technol, Cl. A.............................. 15,113
900 Juno Lighting.......................................... 19,462
500 Lawson Products........................................ 12,625
1,100 Lilly Industries, Cl. A................................ 20,694
700 Lone Star Industries................................... 57,837
1,500 MacDermid.............................................. 44,906
800 (a)McWhorter Technololgies................................ 20,800
1,100 Medusa................................................. 67,650
2,100 Mississippi Chemical................................... 38,063
2,600 (a)Morrison Knudsen....................................... 31,037
1,180 Myers Industries....................................... 29,353
1,200 OM Group............................................... 53,175
2,500 Oakwood Homes.......................................... 70,469
700 O'Sullivan............................................. 6,869
600 Pope & Talbot.......................................... 9,337
700 Quaker Chemical........................................ 13,869
600 Republic Group......................................... 11,400
1,100 Ryland Group........................................... 23,031
1,000 Schweitzer-Mauduit International....................... 33,250
1,100 (a)Scotts, Cl. A.......................................... 40,150
1,200 (a)Shorewood Packaging.................................... 31,125
500 Skyline................................................ 15,188
1,200 (a)Southern Energy Homes.................................. 13,275
600 Stone & Webster........................................ 26,775
600 (a)TETRA Technologies..................................... 14,362
1,100 T J International...................................... 34,238
800 Tredegar Industries.................................... 62,650
800 Universal Forest Products.............................. 14,300
1,300 Valmont Industries..................................... 28,925
500 Watsco................................................. 14,625
1,200 Wynn's International................................... 27,000
----------
1,385,581
----------
Capital Spending--21.1%
1,650 AAR..................................................... 43,209
1,000 ABM Industries.......................................... 28,938
1,700 ADVO.................................................... 48,662
2,400 Acxiom.................................................. 58,200
800 Alliant Techsystems..................................... 51,150
</TABLE>
<TABLE>
<CAPTION>
Shares COMMON STOCKS (continued) Value
- --------- ----------------
<S> <C> <C>
Capital Spending (continued)
400 Amcast Industrial....................................... $ 8,625
2,300 American Management Systems............................. 66,556
1,200 Analysts International.................................. 34,800
400 Angelica................................................ 8,800
1,400 Applied Industrial Technologies......................... 35,525
1,600 Applied Power, Cl. A.................................... 59,800
500 Aquarion................................................ 16,219
1,600 Arctic Cat.............................................. 16,000
3,000 Aspect Telecommunications............................... 86,250
400 Astec Industries........................................ 11,800
1,800 (a)Auspex Systems.......................................... 13,050
1,700 BMC Industries.......................................... 31,025
1,500 BISYS Group............................................. 59,250
1,733 Baldor Electric......................................... 45,491
1,300 (a)BancTec................................................. 28,356
1,200 Barnes Group............................................ 37,575
1,900 (a)Billing Concepts........................................ 53,200
1,800 (a)Boole & Babbage......................................... 43,200
1,400 Brady (W.H.)............................................ 42,700
1,300 (a)Broderbund Software..................................... 23,238
1,000 (a)CDI..................................................... 38,688
2,700 CIBER................................................... 87,750
1,650 CLARCOR................................................. 37,022
1,100 (a)Catalina Marketing...................................... 57,200
300 Centigram Communications................................ 3,975
1,350 Central Parking......................................... 63,281
1,600 (a)Cerner.................................................. 47,700
2,300 Cognex.................................................. 55,631
1,200 Computer Task Group..................................... 46,650
2,480 (a)Comverse Technology..................................... 117,490
600 Consumers Water......................................... 12,075
1,500 Dames & Moore Group..................................... 19,219
1,100 Daniel Industries....................................... 21,519
2,100 (a)DeVRY................................................... 79,537
1,000 (a)Dialogic................................................ 37,375
900 (a)Digi Inernational....................................... 23,963
800 (a)Dionex.................................................. 42,700
600 (a)Electro Scientific Industries........................... 22,800
500 (a)Electroglas............................................. 8,437
1,300 Envoy................................................... 54,762
1,200 (a)Etec Systems............................................ 68,100
800 (a)Express Scripts, Cl. A.................................. 64,000
800 Fair Issac & Co......................................... 31,800
900 (a)Figgie International, Cl. A............................. 12,206
1,000 (a)FileNet................................................. 54,500
700 (a)Flow International...................................... 7,481
1,000 G & K Services, Cl. A................................... 40,250
1,000 Gallagher (Arthur J.)................................... 43,875
1,100 Gerber Scientific....................................... 28,050
1,700 (a)Global Industrial Technologies.......................... 30,494
1,500 Graco................................................... 51,656
</TABLE>
<PAGE>
Dreyfus Small Cap Stock Index Fund
- -----------------------------------------------------------------------------
<TABLE>
Statement of Investments (continued) April 30, 1998 (Unaudited)
<CAPTION>
Shares COMMON STOCKS (continued) Value
- --------- ----------------
<S> <C> <C>
Capital Spending (continued)
1,600 (a)Harbinger............................................. $ 58,200
1,000 Helix Technology...................................... 20,000
1,200 Henry (Jack) & Association............................ 41,700
600 Hilb, Rogal & Hamilton................................ 10,725
1,000 (a)Hyperion Software..................................... 43,375
2,200 (a)Interim Services...................................... 71,775
1,800 Inter-Tel............................................. 42,525
1,400 (a)InterVoice............................................ 18,900
3,000 JLG Industries........................................ 48,938
1,400 Kaman, Cl. A.......................................... 26,775
600 (a)Kronos................................................ 21,600
1,000 Kuhlman............................................... 49,000
1,300 (a)Kulicke & Soffa Industries............................ 27,950
600 Lindsay Manufacturing................................. 28,125
1,200 (a)Lydall................................................ 22,275
950 Manitowoc............................................. 44,294
700 (a)Material Sciences..................................... 7,175
1,200 (a)Metro Networks........................................ 47,700
1,500 (a)MicroAge.............................................. 24,000
2,200 Mutual Risk Management................................ 74,525
1,300 NFO Worldwide......................................... 27,219
84 NSC................................................... 194
300 (a)Nashua................................................ 4,613
1,400 National Computer Systems............................. 35,000
1,900 National Data......................................... 77,544
1,000 (a)Network Equipment Technologies........................ 20,562
1,600 Norrell............................................... 33,700
3,700 (a)PLATINUM Technology................................... 94,350
2,500 (a)PMT Services.......................................... 48,750
600 Pharmaceutical Marketing Services .................... 8,362
1,200 Philiadelphia Suburban................................ 25,350
1,200 (a)Photronics............................................ 44,250
1,600 (a)PictureTel............................................ 14,800
1,400 (a)Platinum Software..................................... 31,325
1,500 Polaris Industries.................................... 53,438
1,200 (a)Primark............................................... 44,625
800 (a)Progress Software..................................... 25,600
900 Quanex................................................ 26,381
1,400 Regal Beloit.......................................... 43,050
1,500 Regis.................................................. 42,562
600 Robbins & Myers........................................ 19,875
3,750 Rollins Truck Leasing.................................. 49,688
2,000 Roper Industries....................................... 62,000
1,100 SEI Investments........................................ 81,262
800 (a)SPS Technologies....................................... 49,450
700 SPX.................................................... 50,663
1,100 Smith (A.O.)........................................... 49,637
400 Southern Cal Water..................................... 9,300
900 (a)Speedfam International................................. 26,100
1,600 Sturm Ruger............................................ 31,500
800 (a)Symmetricom............................................ 5,900
</TABLE>
<TABLE>
<CAPTION>
Shares COMMON STOCKS (continued) Value
- --------- ----------------
<S> <C> <C>
Capital Spending (continued)
2,000 (a)System Software....................................... $ 17,375
1,000 (a)TCSI.................................................. 6,813
2,600 (a)Tech Data............................................. 129,675
1,500 (a)Technology Solutions.................................. 48,188
1,100 Telxon................................................ 35,544
1,050 Thomas Industries..................................... 27,234
2,500 True North Communications............................. 76,250
1,700 United Water Resources................................ 29,431
1,000 (a)Valence Technology.................................... 4,875
2,500 (a)Vanstar............................................... 33,281
1,600 (a)Vantive............................................... 51,200
900 (a)Volt Information Sciences............................. 29,925
800 (a)Wall Data............................................. 12,300
500 (a)Whittaker............................................. 7,125
1,600 (a)Xircom................................................ 27,300
2,700 (a)Xylan................................................. 76,866
1,500 (a)Zebra Technologies, Cl. A............................. 58,125
600 Zero.................................................. 18,488
----------
4,818,407
----------
Consumer Cyclical--20.4%
1,700 Allen Telecom......................................... 27,306
1,300 (a)AnnTaylor Stores...................................... 20,719
1,600 Apogee Enterprises.................................... 23,200
2,000 Applebee's International.............................. 49,750
1,100 Ashworth.............................................. 18,425
1,100 Authentic Fitness..................................... 19,937
1,500 (a)Aztar................................................. 11,719
1,400 (a)BE Aerospace.......................................... 43,662
700 Baker (J.)............................................ 8,225
600 Bassett Furniture..................................... 18,750
700 (a)Bell Sports........................................... 6,825
2,300 Blount International, Cl. A........................... 71,444
1,100 Bowne & Co............................................ 45,446
1,700 Breed Technologies.................................... 34,319
3,200 (a)Brightpoint........................................... 62,400
1,400 Brown Group........................................... 22,312
600 (a)Building Materials.................................... 8,700
400 (a)C-COR Electronics..................................... 5,900
2,600 CKE Restaurants....................................... 90,025
1 CVS................................................... 71
1,000 (a)California Microwave.................................. 22,687
1,500 (a)CapStar Hotel......................................... 48,188
700 (a)Carmike Cinemas, Cl. A................................ 21,219
3,000 Casey's General Stores................................ 49,125
1,400 Cato, Cl. A........................................... 19,950
750 (a)Cheesecake Factory.................................... 18,937
4,700 (a)Cineplex Odeon........................................ 8,519
1,200 (a)Cone Mills............................................ 10,875
800 (a)Consolidated Graphics................................. 46,150
750 (a)Consolidated Products................................. 15,281
2,000 (a)Corn Products International........................... 71,250
</TABLE>
<PAGE>
Dreyfus Small Cap Stock Index Fund
- -----------------------------------------------------------------------------
<TABLE>
Statement of Investments (continued) April 30, 1998 (Unaudited)
<CAPTION>
Shares COMMON STOCKS (continued) Value
- --------- ----------------
<S> <C> <C>
Consumer Cyclical (continued)
800 Cross (A.T.), Cl. A.................................. $ 10,600
400 (a)Damark International, Cl. A.......................... 4,250
2,600 (a)Digital Microwave.................................... 29,575
2,400 DiMon................................................ 35,100
1,100 (a)Discount Auto Parts.................................. 26,469
1,000 Dixie Group.......................................... 12,562
1,400 (a)Dress Barn........................................... 40,775
1,800 (a)Eagle Hardware & Garden.............................. 32,850
1,700 Ethan Allen Interiors................................ 86,594
1,300 (a)Fabri-Centers of America, Cl. A...................... 38,269
2,800 Fedders.............................................. 15,050
1,000 (a)Filene's Basement.................................... 5,563
2,100 Fleming Cos.......................................... 39,375
2,400 (a)Foodmaker............................................ 45,600
1,800 (a)Footstar............................................. 71,663
1,400 (a)Franklin Covey....................................... 35,000
400 (a)GC Cos............................................... 21,050
1,100 (a)Galey & Lord......................................... 28,738
1,100 (a)Galoob Toys.......................................... 11,894
2,300 (a)Gentex............................................... 77,625
1,000 (a)Gibson Greetings..................................... 26,156
500 (a)Gottschalks.......................................... 4,531
2,600 (a)Grand Casinos........................................ 45,662
1,400 Guilford Mills....................................... 39,550
1,200 (a)Gymboree............................................. 22,050
1,200 HA-LO Industries..................................... 40,275
400 Haggar............................................... 5,850
1,300 Hancock Fabrics...................................... 19,338
1,600 (a)Hartmarx............................................. 12,600
900 (a)Hollywood Park...................................... 10,519
900 Huffy................................................ 14,738
700 (a)IHOP................................................. 30,800
1,500 Interface, Cl. A..................................... 63,656
1,000 (a)Itron................................................ 15,312
500 (a)Johnston Industries.................................. 2,844
1,400 (a)Just For Feet........................................ 30,800
1,200 Justin Industries.................................... 18,750
1,000 K2................................................... 22,688
300 K-Swiss.............................................. 6,225
1,400 Kellwood............................................. 44,712
900 La-Z Boy............................................. 47,081
1,400 Landry's Seafood Restaurants......................... 39,900
500 Lillian Vernon....................................... 8,625
1,200 (a)Linens 'n Things..................................... 72,300
1,600 Luby's Cafeterias.................................... 30,700
1,800 Marcus............................................... 31,838
1,400 (a)Men's Wearhouse...................................... 58,975
1,200 Merrill.............................................. 24,900
1,800 (a)Michaels Stores...................................... 54,450
2,417 (a)Midway Games......................................... 44,724
2,850 (a)Mohawk Industries.................................... 87,994
</TABLE>
<TABLE>
<CAPTION>
Shares COMMON STOCKS (continued) Value
- --------- ----------------
<S> <C> <C>
Consumer Cyclical (continued)
700 Nash Finch............................................ $ 13,738
400 National Presto Industries............................ 15,900
2,200 (a)Nautica Enterprises................................... 54,725
900 New England Business Service.......................... 29,869
1,000 (a)O'Reilly Automotive................................... 27,500
600 Oshkosh B'Gosh, Cl. A................................. 23,100
600 Oxford Industries..................................... 21,375
2,400 (a)P-COM................................................. 47,250
2,625 (a)Paxar................................................. 38,883
1,300 Phillips-Van Heusen................................... 15,356
3,650 Pier 1 Imports........................................ 96,269
715 Pillowtex............................................. 35,884
200 Plenum Publishing..................................... 13,200
1,500 (a)Primadonna Resorts.................................... 26,813
2,700 (a)Prime Hospitality..................................... 55,856
2,100 (a)Regal Cinemas......................................... 64,181
2,600 Richfood Holdings..................................... 71,338
600 Rival................................................. 9,637
2,900 Ross Stores........................................... 134,306
1,100 (a)Royal Appliance Manufacturing......................... 6,050
1,000 Ruby Tuesday.......................................... 33,500
1,500 Russ Berrie & Co..................................... 42,937
2,300 (a)Ryan's Family Steak House............................. 23,000
2,800 (a)Safeskin............................................. 99,750
1,000 St. John Knits........................................ 44,625
2,300 (a)Shoney's.............................................. 12,362
1,900 (a)Shopko Stores......................................... 65,787
1,200 (a)ShowBiz Pizza Time.................................... 46,350
1,000 Showboat.............................................. 30,312
1,400 Simpson Industries.................................... 19,425
900 (a)Sonic................................................. 28,800
600 Spartan Motors........................................ 4,537
1,500 (a)Sports Authority...................................... 26,344
600 Standard Motor Product................................ 14,212
1,000 Standard Products..................................... 32,000
900 Standex International................................. 27,394
1,400 (a)Stein Mart............................................ 49,350
2,700 Stride Rite........................................... 33,919
400 (a)Swiss Army Brands..................................... 4,800
1,600 (a)TBC................................................... 14,200
1,200 TCBY Enterprises...................................... 10,575
1,100 Thomas Nelson......................................... 14,644
900 Thor Industries............ .......................... 23,512
700 (a)Timberland, Cl. A..................................... 59,937
800 Toro.................................................. 30,300
1,400 (a)Tultex................................................ 4,725
2,300 (a)Valassis Communications............................... 90,275
1,200 Wabash National....................................... 37,050
1,700 (a)Westwood One.......................................... 51,000
1,500 (a)Whole Foods Market.................................... 92,812
1,400 (a)Williams-Sonoma....................................... 76,912
</TABLE>
<PAGE>
Dreyfus Small Cap Stock Index Fund
- -----------------------------------------------------------------------------
<TABLE>
Statement of Investments (continued) April 30, 1998 (Unaudited)
<CAPTION>
Shares COMMON STOCKS (continued) Value
- --------- ----------------
<S> <C> <C>
Consumer Cyclical (continued)
1,500 Winnebago Industries................................. $ 17,437
2,400 Wolverine World Wide................................. 69,300
2,100 (a)World Color Press.................................... 67,200
----------------
4,668,974
----------------
Consumer Staples--3.4%
700 (a)CPI.................................................. 18,156
1,100 Canandaigua Brands, Cl. A............................ 57,613
500 Chemed............................................... 20,031
3,400 Chiquita Brands International........................ 46,112
600 Coca-Cola Bottling................................... 36,675
2,100 DEKALB Genetics, Cl. B............................... 143,194
2,133 Delta & Pine Land.................................... 98,251
1,200 Earthgrains.......................................... 56,100
400 GoodMark Foods....................................... 9,150
800 (a)Ionics............................................... 35,650
800 (a)J & J Snack Foods.................................... 15,600
1,700 (a)Mycogen.............................................. 34,850
400 Penford.............................................. 14,000
2,300 (a)Smithfield Foods..................................... 69,863
1,900 (a)Triarc Cos., Cl. A................................... 49,044
1,000 (a)USA Detergents....................................... 13,813
1,300 (a)Ultratech Stepper.................................... 31,931
1,500 X-Rite............................................... 19,406
----------------
769,439
----------------
Electronics--8.0%
2,500 (a)Anixter International............................... 49,844
1,000 (a)Applied Magnetics................................... 10,312
700 (a)Bell Industries..................................... 9,581
600 (a)Benchmark Electronics............................... 13,462
2,000 (a)Burr-Brown.......................................... 60,875
1,000 (a)CTS................................................. 36,938
2,600 (a)C-Cube Microsystems................................. 62,887
2,000 (a)Checkpoint Systems.................................. 37,375
1,400 (a)Coherent........................................... 33,250
1,600 Dallas Semiconductor................................ 61,700
1,100 (a)Dynatech............................................ 53,625
1,100 Fluke............................................... 34,925
2,100 (a)General Semiconductor............................... 28,744
700 (a)Hadco............................................... 26,775
1,000 Harman International................................ 43,000
450 Harmon Industries................................... 11,025
800 Innovex............................................. 20,450
2,700 Input/Output........................................ 67,163
900 (a)Integrated Circuit Systems.......................... 13,612
2,200 (a)International Rectifier............................. 25,850
2,000 (a)KEMET............................................... 36,000
1,600 (a)Kent Electronics.................................... 35,200
3,000 (a)Komag............................................... 46,500
1,300 Lattice Semiconductor............................... 59,312
800 (a)Marshall Industries................................. 25,950
</TABLE>
<TABLE>
<CAPTION>
Shares COMMON STOCKS (continued) Value
- --------- ----------------
<S> <C> <C>
Electronics (continued)
1,700 Methode Electronics, Cl. A.......................... $ 27,200
3,100 (a)Microchip Technology................................ 87,963
1,800 (a)Novellus Systems.................................... 86,175
1,100 (a)Oak Industries...................................... 39,944
1,900 (a)Orbital Sciences.................................... 84,550
700 Park Electrochemical................................ 18,025
1,600 Pioneer Standard Electronics........................ 20,100
800 (a)Plexus.............................................. 17,600
2,800 (a)Read-Rite........................................... 38,675
1,300 (a)Sanmina............................................. 117,000
700 (a)Standard Microsystems............................... 7,700
1,000 Technitrol.......................................... 40,875
700 (a)Three-Five Systems.................................. 13,738
1,500 (a)Tracor.............................................. 58,969
1,200 (a)Trimble Navigation.................................. 22,200
1,200 (a)Unitrode............................................ 19,200
2,500 (a)VLSI Technology..................................... 51,562
2,100 (a)Vicor............................................... 42,131
2,000 (a)Vitesse Semiconductor............................... 115,375
600 (a)Watkins-Johnson..................................... 16,688
----------------
1,830,025
----------------
Energy--6.1%
2,000 Atmos Energy........................................ 58,875
1,700 (a)Barrett Resources................................... 63,113
1,400 (a)Benton Oil & Gas.................................... 17,062
1,500 Cabot Oil & Gas, Cl. A.............................. 35,156
500 Cascade Natural Gas................................. 8,031
600 Connecticut Energy.................................. 17,400
2,300 Cross Timbers Oil................................... 43,988
2,000 Devon Energy........................................ 79,750
1,600 Energen............................................. 35,700
1,000 (a)HS Resources........................................ 16,187
1,700 KCS Energy.......................................... 26,350
2,700 KN Energy........................................... 158,456
900 New Jersey Resources................................ 33,975
2,000 (a)Newfield Exploration................................ 48,500
1,500 Northwest Natural Gas............................... 40,500
1,300 (a)Oceaneering International........................... 29,819
1,200 (a)Offshore Logistics.................................. 28,350
500 Pennsylvania Enterprises............................ 11,719
1,800 Piedmont Natural Gas................................ 61,313
1,100 (a)Plains Resources.................................... 23,100
1,900 Pogo Producing...................................... 60,919
1,400 (a)Pool Energy Services................................ 36,925
2,700 (a)Pride International................................. 65,644
1,100 Public Service North Carolina....................... 22,550
1,000 (a)Remington Oil & Gas, Cl. B......................... 6,000
800 St. Mary Land Exploration........................... 25,600
5,000 Santa Fe Energy Resources........................... 51,562
1,400 (a)Seitel.............................................. 23,625
1,800 Snyder Oil.......................................... 38,363
</TABLE>
<PAGE>
Dreyfus Small Cap Stock Index Fund
- -----------------------------------------------------------------------------
<TABLE>
Statement of Investments (continued) April 30, 1998 (Unaudited)
<CAPTION>
Shares COMMON STOCKS (continued) Value
- --------- ----------------
<S> <C> <C>
Energy (continued)
1,700 Southwest Gas........................................ $ 39,206
1,700 Southwestern Energy.................................. 19,656
2,600 (a)Tuboscope............................................ 61,588
3,000 Vintage Petroleum.................................... 58,500
1,100 WICOR................................................ 52,731
----------------
1,400,213
----------------
Health Care--10.1%
1,300 ADAC Laboratories.................................... 28,275
1,700 ALPHARMA, Cl. A...................................... 38,675
1,000 (a)Access Health........................................ 33,750
1,600 Advanced Tissue Sciences............................. 13,550
1,400 Alliance Pharmaceutical.............................. 11,200
1,700 American Oncology Resources.......................... 25,500
1,800 Ballard Medical Products............................. 45,225
2,700 (a)Bio-Technology General............................... 24,047
1,700 (a)Cephalon............................................. 20,294
600 Circon............................................... 10,875
400 Collagen............................................. 7,550
800 (a)Cooper Cos........................................... 30,750
1,000 (a)Cor Therapeutics..................................... 18,875
1,900 (a)Coventry Health Care................................. 32,181
800 (a)Curative Health Services............................. 24,800
1,200 (a)Cygnus............................................... 13,200
900 (a)Datascope............................................ 25,313
800 Diagnostic Products.................................. 22,650
1,655 (a)Enzo Biochem......................................... 24,204
2,000 (a)Genesis Health Ventures.............................. 52,875
900 (a)Hologic.............................................. 21,150
2,000 (a)IDEXX Laboratories................................... 44,250
1,500 (a)Immune Response...................................... 18,281
2,512 Integrated Health Services........................... 96,869
1,400 Invacare............................................. 39,025
1,800 Jones Medical Industries............................. 51,919
1,700 (a)Lincare Holdings..................................... 137,913
1,800 (a)Liposome............................................. 10,688
1,400 (a)Magellan Health Services............................. 38,850
1,700 (a)Mariner Health Group................................. 30,812
1,000 (a)Marquette Medical Systems............................ 27,000
1,500 (a)MedImmune............................................ 79,125
1,600 Mentor............................................... 43,500
3,600 (a)NBTY................................................. 72,000
1,100 NCS Healthcare, Cl. A................................ 32,313
1,200 Nature's Sunshine Products........................... 29,400
2,000 (a)North American Vaccine............................... 32,500
900 (a)Noven Pharmaceuticals...... ......................... 5,850
2,600 (a)Orthodontic Centers of America....................... 55,575
1,800 Owens & Minor........................................ 32,062
1,300 (a)PAREXEL International................................ 43,550
2,174 (a)Paragon Health Network............................... 40,627
1,950 (a)Patterson Dental..................................... 57,403
700 (a)Pediatrix Medical Group.............................. 29,531
</TABLE>
<TABLE>
<CAPTION>
Shares COMMON STOCKS (continued) Value
- --------- ----------------
<S> <C> <C>
Health Care (continued)
3,700 (a)PhyCor........................................ $ 84,175
1,200 (a)Protein Design Labs........................... 38,400
2,800 (a)Regeneron Pharmaceuticals..................... 27,475
1,200 (a)Renal Care Group.............................. 45,900
900 (a)ReSound....................................... 5,681
1,600 (a)Respironics................................... 26,700
1,800 (a)Roberts Pharmaceutical........................ 30,600
1,700 (a)SEQUUS Pharmaceuticals........................ 20,188
2,100 (a)STERIS........................................ 123,506
1,500 (a)Sola International............................ 63,750
500 (a)Spacelabs Medical............................. 8,937
1,500 Summit Technology............................. 8,531
1,200 (a)Sunrise Medical............................... 17,775
1,500 (a)TheraTech..................................... 12,188
1,100 (a)U.S. Bioscience............................... 10,175
1,800 (a)Universal Health Services, Cl. B.............. 103,612
1,200 (a)VISX.......................................... 52,950
1,500 (a)Vertex Pharmaceuticals........................ 46,688
700 Vital Signs................................... 13,037
----------------
2,314,250
----------------
Interest Sensitive--16.9%
1,800 ALLIED Group.................................. 53,775
2,200 AMRESCO....................................... 79,750
2,300 American Bankers Insurance Group.............. 141,306
1,600 Astoria Financial............................. 93,800
1,200 CCB Financial................................. 130,500
1,400 CMAC Investment............................... 90,388
800 Capital Re.................................... 59,050
1,200 Cash American International.................. 20,400
1,400 Centura Banks................................. 100,800
1,000 Commerce Bancorp.............................. 57,375
2,300 Commercial Federal............................ 83,375
500 (a)CompDent...................................... 6,563
1,300 Cullen/Frost Bankers.......................... 76,050
2,575 D.R. Horton................................... 47,798
800 Dain Rauscher................................. 48,150
1,224 (a)Delphi Financial Group, Cl. A................. 69,768
2,400 Deposit Guaranty........... .................. 136,650
1,600 Downey Financial........... .................. 55,500
1,100 Eaton Vance................ .................. 53,900
1,200 (a)Enhance Financial Services Group.............. 82,350
700 Executive Risk................................ 46,681
1,490 Fidelity National Financial................... 54,944
900 First American Financial...................... 63,956
2,090 First Commercial.............................. 153,876
1,100 First Midwest Bancorp......................... 52,844
700 FirstBank Puerto Rico......................... 39,725
3,300 FirstMerit.................................... 93,638
1,700 Fremont General............................... 94,775
1,900 Frontier Insurance Group...................... 50,350
1,200 HUBCO......................................... 44,100
</TABLE>
<PAGE>
Dreyfus Small Cap Stock Index Fund
- -----------------------------------------------------------------------------
<TABLE>
Statement of Investments (continued) April 30, 1998 (Unaudited)
<CAPTION>
Shares COMMON STOCKS (continued) Value
- --------- ----------------
<S> <C> <C>
Interest Sensitive (continued)
500 JSB Financial................................. $ 27,656
3,100 Keystone Financial............................ 120,900
1,600 Legg Mason.................................... 94,400
1,000 Life Re....................................... 72,000
800 M.D.C. Holdings............................... 13,750
2,000 Magna Group................................... 118,250
1,200 NAC Re........................................ 60,000
1,600 Orion Capital................................. 89,200
1,100 Piper Jaffray Cos............................. 40,838
3,600 Protective Life............................... 133,650
2,500 Provident Financial Group..................... 132,344
2,700 Raymond James Financial....................... 87,919
1,600 Riggs National................................ 46,100
2,150 St. Paul Bancorp.............................. 53,750
2,000 Selective Insurance Group..................... 55,000
1,000 (a)Sierra Health Services........................ 38,438
7,920 Sovereign Bancorp............................. 149,490
1,700 Standard Pacific.............................. 29,325
2,100 (a)Toll Brothers................................. 58,537
600 Trenwick Group................................ 23,100
800 (a)U.S. Home..................................... 33,200
1,800 UST........................................... 50,737
1,000 U.S. Trust.................................... 71,000
1,100 Whitney Holding............................... 66,962
800 Zenith National Insurance...................... 22,500
----------------
3,871,183
----------------
Mining & Metals--3.0%
1,600 Belden........................................ 66,300
1,900 Birmingham Steel.............................. 30,400
1,850 (a)Cable Design Technologies..................... 49,256
1,100 Castle (A.M.)................................. 26,125
1,300 (a)Coeur d'Alene Mines........................... 15,194
900 Commercial Metals............................. 30,038
900 Commonweath Industries........................ 15,300
1,500 (a)Getchell Gold................................. 36,938
1,500 Glamis Gold................................... 6,656
3,600 (a)Hecla Mining.................................. 22,950
600 IMCO Recycling................................ 11,100
400 Insteel Industries............................ 2,925
1,600 Intermet...................................... 33,600
700 Lukens........................................ 24,281
1,000 (a)Mueller Industries............................ 67,687
1,600 Pioneer Group................................. 50,400
600 Steel Technologies............................ 7,650
800 (a)Stillwater Mining............................. 21,150
1,300 Texas Industries.............................. 83,769
1,000 Titan International........................... 19,500
</TABLE>
<TABLE>
<CAPTION>
Shares COMMON STOCKS (continued) Value
- --------- ----------------
<S> <C> <C>
Mining & Metals (continued)
1,500 WHX........................................... $ 23,531
1,000 (a)Wolverine Tube................................ 39,375
----------------
684,125
----------------
Transportation--2.9%
2,050 Air Express International..................... 53,813
2,200 American Freightways.......................... 26,400
1,400 Arkansas Best................................. 14,700
3,750 Comair Holdings............................... 102,422
1,500 Expeditors International, Washington......... 63,750
1,700 (a)Fritz Cos..................................... 24,862
800 Frozen Food Express Industries................ 8,150
1,850 (a)Halter Marine Group........................... 33,531
1,900 (a)Heartland Express............................. 47,262
1,200 (a)Kirby......................................... 29,400
600 (a)Landstar System............................... 19,650
600 (a)M.S. Carriers................................. 20,400
1,300 Pittston Burlington Group..................... 24,375
700 (a)RailTex....................................... 10,369
700 Rural/Metro................................... 22,750
800 SkyWest....................................... 32,400
1,500 USFreightways................................. 53,625
2,200 Werner Enterprises............................ 53,075
1,700 (a)Yellow........................................ 30,494
----------------
671,428
----------------
Utilities--1.9%
900 CILCORP....................................... 43,032
1,100 Central Hudson Gas & Electric................. 44,345
800 Central Vermont Public Service................ 11,900
1,200 Commonwealth Energy Systems................... 45,900
1,000 Eastern Utility Association................... 26,250
2,000 (a)General Communication, Cl. A.................. 14,125
200 Green Mountain Power.......................... 3,676
800 Orange/Rockland Utility....................... 33,050
1,800 Sierra Pacific Resources...................... 63,000
800 TNP Enterprises............................... 25,800
3,800 (a)Tel-Save Holdings............................. 86,688
700 United Illuminating........................... 34,389
----------------
432,155
----------------
TOTAL COMMON STOCKS
(cost $19,554,749).......................... $ 22,845,780
================
TOTAL INVESTMENTS
(cost $19,554,749)............. 99.9% $ 22,845,780
====== ================
CASH AND RECEIVABLES (NET)....... .1% $ 32,210
====== ================
NET ASSETS....................... 100.0% $ 22,877,990
====== ================
</TABLE>
Notes to Statement of Investments:
- ------------------------------------------------------------------------------
(a) Non-income producing.
See notes to financial statements.
<PAGE>
Dreyfus Small Cap Stock Index Fund
- -------------------------------------------------------------------------------
<TABLE>
Statement of Assets and Liabilities April 30, 1998 (Unaudited)
<CAPTION>
Cost Value
----------- ------------
<S> <C> <C> <C>
ASSETS: Investments in securities--See Statement of Investments $19,554,749 $22,845,780
Cash........................................ 59,021
Receivable for investment securities sold.... 66,846
Receivable for shares of Common Stock subscribed 13,000
Dividends receivable......................... 7,376
-----------
22,992,023
-----------
LIABILITIES: Due to The Dreyfus Corporation................... 4,635
Due to Distributor............................... 4,635
Payable for investment securities purchased...... 104,763
-----------114,033
-----------
NET ASSETS..................................................................... $22,877,990
-----------
-----------
REPRESENTED BY: Paid-in capital.................................. $19,018,868
Accumulated undistributed investment income--net.. 25,929
Accumulated net realized gain (loss) on investments 542,162
Accumulated net unrealized appreciation (depreciation)
on investments--Note 4(b)....................... 3,291,031
-----------
NET ASSETS..................................................................... $22,877,990
-----------
-----------SHARES
OUTSTANDING
(200 million shares of $.001 par value Common Stock authorized)................ 1,477,707
NET ASSET VALUE, offering and redemption price per share--Note 3(c)............. $15.48 ------
------
</TABLE>
See notes to financial statements.
<PAGE>
Dreyfus Small Cap Stock Index Fund
- ------------------------------------------------------------------------------
<TABLE>
Statement of Operations Six Months Ended April 30, 1998 (Unaudited)
INVESTMENT INCOME
<CAPTION>
<S> <C> <C> <C>
INCOME: Cash dividends (net of $19 foreign taxes
withheld at source) $ 74,060
Interest................................... 1,754
-----------
Total Income............................. $ 75,814
EXPENSES: Management fee--Note 3(a)................... 24,275
Shareholder servicing costs--Note 3(b)...... 24,275
Loan commitment fees--Note 2................ 39
-----------
Total Expenses........................... 48,589
-----------
INVESTMENT INCOME--NET.................................................... 27,225
-----------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS--Note 4:
Net realized gain (loss) on investments.... $ 541,333
Net realized gain (loss) on financial futures (9,720)
-----------
Net Realized Gain (Loss)................. 531,613 Net
unrealized appreciation (depreciation) of
investments (including $11,625 net unrealized
appreciation on financial futures)........ 1,875,224
-----------
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS................... 2,406,837
-----------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS..................... $ 2,434,062
-----------
-----------
</TABLE>
See notes to financial statements.
<PAGE>
Dreyfus Small Cap Stock Index Fund
- ------------------------------------------------------------------------------
Statement of Changes in Net Assets
<TABLE>
<CAPTION>
Six Months Ended
April 30, 1998 Year Ended
(Unaudited) October 31, 1997*
---------------- ----------------
OPERATIONS:
<S> <C> <C>
Investment income--net.................................................. $ 27,225 $ 22,097
Net realized gain (loss) on investments................................. 531,613 213,285
Net unrealized appreciation (depreciation) on investments............... 1,875,224 1,415,807
-------------- --------------
Net Increase (Decrease) in Net Assets Resulting from Operations...... 2,434,062 1,651,189
-------------- --------------
DIVIDENDS TO SHAREHOLDERS FROM:
Investment income--net.................................................. (23,393) --
Net realized gain on investments........................................ (202,736) --
-------------- --------------
Total Dividends...................................................... (226,129) --
-------------- --------------
CAPITAL STOCK TRANSACTIONS:
Net proceeds from shares sold........................................... 2,861,461 16,685,148
Dividends reinvested.................................................... 225,582 --
Cost of shares redeemed................................................. (497,595) (255,728)
-------------- --------------
Increase (Decrease) in Net Assets from Capital Stock Transactions.... 2,589,448 16,429,420
-------------- --------------
Total Increase (Decrease) in Net Assets........................... 4,797,381 18,080,609
NET ASSETS:
Beginning of Period..................................................... 18,080,609 --
-------------- --------------
End of Period........................................................... $ 22,877,990 $ 18,080,609
-------------- --------------
-------------- --------------
Undistributed investment income--net....................................... $ 25,929 $ 22,097
-------------- --------------
</TABLE>
[CAPTION]
<TABLE>
Shares Shares
-------------- --------------
<S> <C> <C>
CAPITAL SHARE TRANSACTIONS:
Shares sold............................................................. 195,485 1,319,474
Shares issued for dividends reinvested.................................. 16,897 --
Shares redeemed......................................................... (35,676) (18,473)
-------------- --------------
Net Increase (Decrease) in Shares Outstanding........................ 176,706 1,301,001
-------------- --------------
-------------- --------------
</TABLE>
* From June 30, 1997 (commencement of operations) to October 31, 1997.
See notes to financial statements.
<PAGE>
Dreyfus Small Cap Stock 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.
<TABLE>
<CAPTION>
Six Months Ended Year Ended
April 30, 1998 October 31,
(Unaudited) 1997(1)
---------------- -----------
<S> <C> <C>
PER SHARE DATA:
Net asset value, beginning of period.................................... $13.90 $12.50
------ ------
Investment Operations:
Investment income--net.................................................. .02 .02
Net realized and unrealized gain (loss) on investments.................. 1.74 1.38
------ ------
Total from Investment Operations........................................ 1.76 1.40
------ ------
Distributions:
Dividends from investment income--net................................... (.02) --
Dividends from net realized gain on investments......................... (.16) --
------ ------
Total Distributions..................................................... (.18) --
------ ------
Net asset value, end of period.......................................... $15.48 $13.90
------ ------
------ ------
TOTAL INVESTMENT RETURN(2)................................................. 12.82%(3) 11.20%(3)
RATIOS/SUPPLEMENATAL DATA:
Ratio of expenses to average net assets................................. .25%(3) .17%(3)
Ratio of net investment income to average net assets.................... .14%(3) .13%(3)
Portfolio Turnover Rate................................................. 12.19%(3) 10.59%(3)
Average commission rate paid (4)........................................ $.0385 $.0325
Net Assets, end of period (000's Omitted)............................... $22,878 $18,081 <FN>
- -----------------
(1) From June 30, 1997 (commencement of operations) to October 31, 1997.
(2) Exclusive of redemption fee.
(3) Not annualized.
(4) The Fund is required to disclose its average commission rate paid per
share for purchases and sales of investment securities.
</FN>
</TABLE>
See notes to financial statements.
<PAGE>
Dreyfus Small Cap Stock Index Fund
- -------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (Unaudited)
NOTE 1--Significant Accounting Policies:
Dreyfus Small Cap Stock Index Fund (the "Fund") is a 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 total return performance of predominantly small
capitalization common stocks in the aggregate, as represented by the Standard &
Poor's Small Cap 600 Index. The Dreyfus Corporation ("Dreyfus") serves as the
Fund's investment adviser. Dreyfus is a direct subsidiary of Mellon Bank, N.A.,
which is a wholly-owned subsidiary of Mellon Bank Corporation. 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 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.
As of April 30, 1998, MBIC Investment Corp., an indirect subsidiary of
Mellon Bank Corporation, held 1,215,640 shares of the Fund.
The Company accounts separately for the assets, liabilities and operations of
each fund. Expenses directly attributable to each fund are charged to that
fund's operations; expenses which are applicable to all funds are allocated
among them on a pro rata basis.
(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. Securities for which there are no such
valuations are valued at fair value as determined in good faith under the
direction of the Board of Directors.
(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 and 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
<PAGE>
Dreyfus Small Cap Stock Index Fund
- -------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (Unaudited) (continued)
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.
NOTE 3--Management Fee and Other Transactions With Affiliates:
(a) Pursuant to a 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
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
fee in an amount equal to the Fund's allocable portion of fees and expenses of
the non-interested Directors (including counsel). Each Director receives from
the Company an annual fee of $2,500 and an attendance fee $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. 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 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, bank
or other financial institution) in respect of these services. The Distributor
determines the amounts to be paid to Service Agents. During the period ended
April 30, 1998, the Fund was charged an aggregate of $24,275 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 $4,480.
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 $4,883,972 and $2,396,178, 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. At April 30, 1998, there were no financial
futures contracts outstanding.
(b) At April 30, 1998, accumulated net unrealized appreciation on
investments was $3,291,031, consisting of $4,166,928 gross unrealized
appreciation and $875,897 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).
<PAGE>
Dreyfus Small Cap Stock 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 02904
Printed in U.S.A. 077SA984
