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Previous: YES CLOTHING CO, 10KSB, EX-27, 2000-06-29 |
Next: GATEWAY TAX CREDIT FUND II LTD, NT 10-K, 2000-06-29 |
Dreyfus
Small Cap
Stock Index Fund
SEMIANNUAL REPORT April 30, 2000
(reg.tm)
The views expressed herein are current to the date of this report. These views
and the composition of the fund's portfolio are subject to change at any time
based on market and other conditions.
* Not FDIC-Insured * Not Bank-Guaranteed * May Lose Value
Contents
THE FUND
--------------------------------------------------
2 Letter from the President
3 Discussion of Fund Performance
6 Statement of Investments
23 Statement of Assets and Liabilities
24 Statement of Operations
25 Statement of Changes in Net Assets
26 Financial Highlights
27 Notes to Financial Statements
FOR MORE INFORMATION
---------------------------------------------------------------------------
Back Cover
The Fund
Dreyfus
Small Cap Stock Index Fund
LETTER FROM THE PRESIDENT
Dear Shareholder:
We are pleased to present this semiannual report for Dreyfus Small Cap Stock
Index Fund, covering the six-month period from November 1, 1999 through April
30, 2000. Inside you'll find valuable information about how the fund was managed
during the reporting period, including a discussion with the fund's portfolio
managers, Steve Falci and Mark Sikorski.
The past six months have been favorable for small-cap stocks, which, as measured
by the Russell 2000 Index, outpaced the performance of large-cap stocks, as
measured by the Standard & Poor's 500 Composite Stock Price Index. However, a
closer look reveals that small-cap stocks experienced heightened volatility
during the reporting period, rising and falling sharply in response to shifting
investor preferences.
For example, during the last two months of 1999, small-cap stocks were generally
outpaced by large-cap growth stocks -- particularly technology stocks -- in a
fast-growing economy. Then, during the first two months of 2000, the
large-capitalization sector of the stock market corrected sharply while
small-cap stocks generally rose. In March and April, investor sentiment shifted
once more, and large-cap companies generally provided higher returns than
small-cap companies. In fact, small-cap stocks had their best performance ever
in February followed, in March, by their worst performance relative to large-cap
stocks since the small-cap market's benchmark was created in January 1979.
We appreciate your confidence over the past six months and we look forward to
your continued participation in Dreyfus Small Cap Stock Index Fund.
Sincerely,
Stephen E. Canter
President and Chief Investment Officer
The Dreyfus Corporation
May 15, 2000
DISCUSSION OF FUND PERFORMANCE
Steve Falci and Mark Sikorski, Portfolio Managers
How did Dreyfus Small Cap Stock Index Fund perform relative to its benchmark?
For the six-month period ended April 30, 2000, Dreyfus Small Cap Stock Index
Fund produced a total return of 16.92%.(1) The Standard & Poor's Small Cap 600
Index ("S&P 600 Index"), the fund's benchmark, produced a 17.25% return for the
same period.(2) The difference in returns was primarily due to transaction costs
and other fund operating expenses.
What is the fund's investment approach?
The fund seeks to match the total return of the S&P 600 Index. To reach that
goal, the fund generally invests in about 575-590 stocks in the S&P 600 Index,
in proportion to their weighting in the index. While the portfolio managers
strive to own the vast majority of the stocks in the S&P 600 Index, they may
avoid some very small, illiquid names. Often considered a barometer for the
small-cap stock market in general, the S&P 600 Index is composed of 600 domestic
stocks with market capitalizations ranging between $38 million and $2.7 billion;
the index contains approximately 500 industrial, 55 financial, 25 utility and 20
transportation stocks. Each stock is weighted by its market capitalization; that
is, larger companies have greater representation in the index than smaller ones.
The fund may also use stock index futures as a substitute for the sale or
purchase of stocks.
As an index fund, the fund uses a passive management approach; all investment
decisions are made based on the fund's objective, which is to seek to match the
performance of the S& P 600 Index. The fund does not attempt to manage market
volatility.
Small-cap stocks are often those of new and entrepreneurial companies, and tend
to grow faster than large-cap companies. They also typically use any profits for
expansion rather than for paying dividends. Because The Fun
DISCUSSION OF FUND PERFORMANCE (CONTINUED)
they carry additional risks, their earnings also tend to be less predictable. As
a result, their stocks may be less liquid and more volatile.
What other factors influenced the fund's performance?
The six-month reporting period was marked by high levels of stock market
volatility and changing investor preferences in three areas: technology versus
non-technology sectors; small-cap versus mid- and large-cap stocks; and growth
versus value investment styles.
From November 1, 1999, through mid-March, 2000, the U.S. stock market advanced
sharply, driven primarily by strong gains within the volatile technology sector.
During this period, the prices of many high-flying tech stocks continued to
climb, especially those stocks that were related to the "new economy" of
Internet-related products and services. In this environment, small- and mid-cap
stocks outpaced their large-cap counterparts.
By mid-March, however, those trends had reversed themselves when many technology
stocks quickly fell out of favor. Even during this downturn in the technology
sector as a whole, there were days when tech stocks bounced back to report
strong gains, which only increased the stock market's volatility levels. In this
environment, small-cap stocks generally underperformed large-cap stocks, and the
value style of investing provided better returns than the growth style.
During the six-month period, the largest gains within the S&P 600 Index, and
therefore the fund, came from the technology area, which includes electronic
instruments, semiconductor equipment companies, electronic semiconductor
companies, electrical equipment companies and computer hardware firms. In
addition, the S& P 600 Index' s holdings within the personal care products,
biotechnology and waste management areas provided strong returns, as did its
hospital and engineering and construction stocks.
On the other hand, the poorest performing returns of the S&P 600 Index, and
therefore of the fund as well, were generated from its hold
ings in diversified healthcare companies, retail department stores, long-
distance telecommunications companies, agricultural products, iron and steel and
aluminum companies. In addition, the stocks of publishing companies, retail
building supplies, computer services and alcoholic beverage companies provided
disappointing returns.
What is the fund's current strategy?
The fund is an index fund. Our goal is to replicate the returns of the S&P 600
Index. We plan to maintain our strategy of investing in the majority of the
stocks that comprise the S&P 600 Index, in proportion to their weighting in the
index.
Accordingly, as of the end of the reporting period, the largest sector
weightings of the S&P 600 Index, and for the fund as well, were approximately as
follows: technology - 28% ; producer goods - 16%; consumer cyclicals - 13%;
healthcare - 12%; services - 11%; interest sensitive - 11%; and energy - 6%.
May 15, 2000
(1) TOTAL RETURN INCLUDES REINVESTMENT OF DIVIDENDS AND ANY CAPITAL GAINS PAID.
PAST PERFORMANCE IS NO GUARANTEE OF FUTURE RESULTS. SHARE PRICE AND INVESTMENT
RETURN FLUCTUATE SUCH THAT UPON REDEMPTION, FUND SHARES MAY BE WORTH MORE OR
LESS THAN THEIR ORIGINAL COST.
(2) SOURCE: LIPPER ANALYTICAL SERVICES, INC. -- REFLECTS THE REINVESTMENT OF
DIVIDENDS AND, WHERE APPLICABLE, CAPITAL GAIN DISTRIBUTIONS. THE STANDARD &
POOR'S SMALL CAP 600 INDEX IS A BROAD-BASED INDEX AND A WIDELY ACCEPTED,
UNMANAGED INDEX OF OVERALL SMALL-CAP STOCK MARKET PERFORMANCE.
The Fund
<TABLE>
<CAPTION>
<S> <C> <C>
STATEMENT OF INVESTMENTS
April 30, 2000 (Unaudited)
STATEMENT OF INVESTMENTS
COMMON STOCKS--101.0% Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
BEVERAGES & TOBACCO--.5%
Beringer Wine Estates Holdings, Cl. B 2,600 (a) 93,925
Canandaigua Brands, Cl. A 2,400 (a) 120,900
DIMON 4,100 9,738
224,563
CONSUMER CYCLICAL--12.9%
Action Performance Cos. 2,200 (a) 20,350
Ames Department Stores 3,900 (a) 69,956
Anchor Gaming 1,600 (a) 64,400
Angelica 1,100 7,287
Ann Taylor Stores 4,200 (a) 86,887
Apogee Enterprises 4,000 14,250
Applebee's International 3,600 131,175
Applied Power, Cl. A 5,165 147,848
Arctic Cat 3,400 34,213
Ashworth 1,400 (a) 6,825
Atlantic Coast Airlines Holdings 2,500 (a) 74,687
Aztar 6,000 (a) 71,625
Baker (J.) 1,800 11,700
Bassett Furniture 1,700 22,631
Brown Shoe 2,400 24,600
CEC Entertainment 3,650 (a) 109,500
CKE Restaurants 6,490 23,932
CPI 1,200 28,650
Casey's General Stores 7,000 81,813
Cato 3,600 38,025
Cheesecake Factory 2,650 (a) 108,484
Coachmen Industries 2,200 33,963
Cone Mills 3,300 (a) 17,944
Consolidated Products 3,778 (a) 34,474
Copart 7,200 (a) 124,200
Cost Plus 2,700 (a) 82,519
Cross (A.T.), Cl. A 2,300 (a) 12,363
Damark International, Cl. A 700 (a) 18,200
Department 56 2,300 (a) 20,987
Discount Auto Parts 2,300 (a) 24,581
Dixie Group 1,500 6,187
Dress Barn 2,600 (a) 51,025
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
CONSUMER CYCLICAL (CONTINUED)
Enesco Group 1,800 8,100
Ethan Allen Interiors 5,400 144,113
Fedders 4,700 27,613
Footstar 2,800 (a) 104,125
Fossil 4,300 (a) 89,225
Goody's Family Clothing 4,600 (a) 29,900
Gottschalks 1,400 (a) 8,313
Group 1 Automotive 2,800 (a) 33,250
Guilford Mills 2,800 23,100
Gymboree 3,100 (a) 11,237
Haggar 1,100 14,369
Hancock Fabrics 1,900 7,481
Harman International 2,300 150,363
Hartmarx 3,200 (a) 8,000
Huffy 1,100 4,675
IHOP 2,700 (a) 43,875
Insight Enterprises 3,500 (a) 146,344
Interface, Cl. A 7,000 25,375
JAKKS Pacific 2,600 (a) 47,775
Jack In the Box 5,100 (a) 124,950
Jo-Ann Stores, Cl. A 2,400 (a) 22,350
Justin Industries 3,400 62,050
K2 2,500 (a) 17,813
K-Swiss 1,400 20,737
Kellwood 3,700 63,363
La-Z Boy 8,200 128,637
Landry's Seafood Restaurants 3,100 (a) 26,737
Lillian Vernon 1,300 12,350
Linens'n Things 5,300 (a) 163,637
Luby's 2,900 26,100
Marcus 3,900 41,681
Masco Tech 5,900 68,219
Men's Wearhouse 5,600 (a) 120,050
Michaels Stores 4,100 (a) 161,694
Midwest Express Holdings 1,900 (a) 48,094
Monaco Coach 2,500 (a) 40,938
99(Cents) Only Stores 4,500 (a) 169,313
The Fund
STATEMENT OF INVESTMENTS (Unaudited) (CONTINUED)
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
CONSUMER CYCLICAL (CONTINUED)
National Presto Industries 1,000 34,500
Nautica Enterprises 4,700 (a) 52,875
Oxford Industries 1,000 17,000
O'Reilly Automotive 6,700 (a) 90,450
OshKosh B'Gosh 1,700 27,413
Oshkosh Truck 2,200 69,300
Pacific Sunwear of California 4,150 (a) 141,359
Pep Boys-Manny, Moe & Jack 7,000 44,187
Phillips-Van Heusen 3,500 29,531
Pier 1 Imports 13,225 150,434
Pillowtex 1,415 7,429
Pinnacle Entertainment 3,600 (a) 72,225
Polaris Industries 3,300 101,063
Prime Hospitality 6,500 (a) 60,125
Quicksilver 3,000 (a) 56,625
Royal Appliance Manufacturing 2,400 (a) 12,300
Ruby Tuesday 4,100 85,844
Russ Berrie & Co. 2,700 50,287
Ryan's Family Steak House 4,700 (a) 45,972
SCP Pool 1,500 (a) 55,219
Salton 1,500 (a) 64,406
ShopKo Stores 4,100 (a) 73,287
Simpson Industries 2,400 (a) 24,750
SkyWest 3,300 139,013
Sonic 2,450 (a) 68,141
Spartan Motors 1,900 (a) 8,075
Sports Authority 3,300 (a) 9,281
Stein Mart 5,900 (a) 53,007
Stride Rite 5,900 49,781
Sturm Ruger 3,500 35,000
Swiss Army Brands 900 (a) 5,006
TBC 2,900 (a) 15,950
TCBY Enterprises 3,000 17,813
Taco Cabana 2,000 (a) 12,125
Thor Industries 1,600 43,100
Timberland, Cl. A 2,800 (a) 194,250
Tower Automotive 6,300 (a) 98,438
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
CONSUMER CYCLICAL (CONTINUED)
Wabash National 3,000 43,687
Whole Foods Market 3,500 (a) 148,969
Windmere 3,000 (a) 48,187
Winnebago Industries 2,900 49,300
Wolverine World Wide 5,500 66,000
Zale 4,700 (a) 193,875
6,516,806
CONSUMER STAPLES--2.5%
Agribrands International 1,400 (a) 52,413
American Italian Pasta, Cl. A 2,400 (a) 59,400
Chiquita Brands International 8,800 34,100
Coca-Cola Bottling Consolidated 1,200 61,200
Corn Products International 5,000 120,000
Delta and Pine Land 5,233 109,893
Earthgrains 5,600 78,750
Fleming Cos. 5,100 83,831
Hain Food Group 2,400 (a) 64,350
J & J Snack Foods 1,300 (a) 20,719
Libbey 2,300 70,150
Michael Foods 2,800 60,025
Nash Finch 1,500 11,063
Nature's Sunshine Products 2,200 18,700
Performance Food Group 1,900 (a) 50,113
Ralcorp Holdings 4,000 (a) 55,250
Smithfield Foods 7,500 (a) 159,844
Triarc Cos., Cl. A 3,100 (a) 63,937
United Natural Foods 2,500 (a) 37,813
W D-40 2,100 41,869
1,253,420
ENERGY--6.0%
American States Water 1,200 36,150
Atmos Energy 4,200 66,675
Atwood Oceanics 1,800 (a) 109,125
Barrett Resources 4,300 (a) 136,525
Cabot Oil & Gas, Cl. A 3,300 61,256
Cal Dive International 2,100 (a) 104,475
Cascade Natural Gas 1,400 22,575
The Fund
STATEMENT OF INVESTMENTS (Unaudited) (CONTINUED)
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
ENERGY (CONTINUED)
Cross Timbers Oil 6,500 93,844
Energen 4,000 73,250
Friede Goldman International 5,310 (a) 32,856
HS Resources 2,500 (a) 60,469
Laclede Gas 2,500 49,063
Louis Dreyfus Natural Gas 5,400 (a) 151,200
New Jersey Resources 2,400 96,600
Newfield Exploration 5,600 (a) 227,500
Northwest Natural Gas 3,300 72,600
NorthWestern 3,100 71,300
Oceaneering International 3,100 (a) 53,475
Offshore Logistics 2,800 (a) 33,950
Philadelphia Suburban 5,445 130,680
Piedmont Natural Gas 4,200 118,650
Plains Resources 2,500 (a) 35,469
Pogo Producing 5,400 138,375
Pride International 8,000 (a) 181,000
Remington Oil & Gas 3,000 (a) 13,125
Seitel 3,300 (a) 20,625
Southern Union 6,308 (a) 108,419
Southwest Gas 4,100 78,156
Southwestern Energy 3,200 27,200
St. Mary Land Exploration 1,500 50,625
Stone Energy 2,500 (a) 118,125
Tuboscope International 6,000 (a) 104,250
United Water Resources 5,200 180,700
Vintage Petroleum 8,400 166,950
3,025,237
HEALTH CARE--12.0%
ADAC Laboratories 2,700 (a) 40,500
ALPHARMA, Cl. A 3,950 152,569
Advanced Tissue Sciences 7,500 (a) 43,125
Alliance Pharmaceutical 6,100 (a) 48,419
Analogic 1,700 69,169
Barr Laboratories 3,100 (a) 133,881
Bindley Western Industries 4,500 78,469
Bio-Technology General 7,200 (a) 101,250
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
HEALTH CARE (CONTINUED)
Biomatrix 3,100 (a) 59,094
CONMED 2,100 (a) 54,863
COR Therapeutics 3,400 (a) 259,037
Cambrex 3,300 135,300
Cephalon 4,300 (a) 241,875
Cooper Cos. 1,900 63,887
Coventry Health Care 8,000 (a) 85,000
Curative Health Services 1,200 (a) 7,163
Cygnus 3,300 (a) 41,250
Datascope 2,000 66,250
Diagnostic Products 1,900 58,306
Dura Pharmaceuticals 5,800 (a) 75,400
Enzo Biochem 3,355 (a) 135,877
Hanger Orthopedic Group 2,300 (a) 11,500
Hologic 2,100 (a) 16,406
Hooper Holmes 8,600 149,425
IDEC Pharmaceuticals 5,600 (a) 358,400
IDEXX Laboratories 5,000 (a) 131,250
Immune Response 3,500 (a) 29,313
Invacare 4,000 107,000
JONES PHARMA 8,675 249,947
Laser Vision Centers 3,400 (a) 13,813
Liposome 5,200 (a) 91,000
Medicis Pharmaceutical, Cl. A 3,900 (a) 170,625
Mentor 3,200 56,600
NBTY 8,900 (a) 157,975
North American Vaccine 4,000 (a) 15,000
Noven Pharmaceuticals 3,000 35,250
Organogenesis 4,000 (a) 45,750
Orthodontic Centers of America 6,400 (a) 135,600
Osteotech 1,900 (a) 13,538
Owens & Minor 4,400 52,800
Patterson Dental 4,500 (a) 216,563
Pediatrix Medical Group 2,200 (a) 18,150
Priority Healthcare, Cl. B 2,909 (a) 161,086
Protein Design Labs 2,500 (a) 253,750
Regeneron Pharmaceuticals 4,500 (a) 128,531
The Fund
STATEMENT OF INVESTMENTS (Unaudited) (CONTINUED)
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
HEALTH CARE (CONTINUED)
Renal Care Group 5,900 (a) 131,644
ResMed 4,000 (a) 136,000
Respironics 4,000 (a) 65,000
Scott Technologies 2,400 (a) 46,800
Sierra Health Services 3,500 (a) 12,469
Sola International 3,500 (a) 15,750
Spacelabs Medical 1,300 (a) 15,437
Summit Technology 6,300 (a) 55,913
Sunrise Medical 2,900 (a) 15,225
Syncor International 1,600 (a) 66,000
Techne 2,700 (a) 192,038
Theragenics 4,100 (a) 40,744
Universal Health Services, Cl. B 4,100 (a) 224,475
Varian Medical Systems 4,100 (a) 164,000
Vertex Pharmaceuticals 3,400 (a) 177,650
Vital Signs 1,600 32,000
Wesley Jessen Visioncare 2,300 (a) 90,563
6,051,664
INTEREST SENSITIVE--10.7%
Advance Paradigm 2,900 (a) 36,250
AmeriCredit 9,900 (a) 185,006
Anchor Bancorp Wisconsin 3,300 51,975
Banknorth Group 3,100 74,013
Cash America International 3,500 31,500
Centura Banks 5,250 216,891
Chittenden 3,800 100,937
ChoicePoint 3,900 (a) 148,200
Commerce Bancorp 3,914 155,337
Commercial Federal 7,800 121,387
Community First Bankshares 6,600 111,375
Cullen/Frost Bankers 7,100 175,281
Dain Rauscher 1,700 105,294
Delphi Financial Group, Cl. A 2,753 (a) 79,321
Downey Financial 3,780 112,927
E.W. Blanch Holdings 1,800 40,050
Eaton Vance 4,700 198,869
Enhance Financial Services Group 5,100 51,637
Fidelity National Financial 8,909 131,407
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
INTEREST SENSITIVE (CONTINUED)
First American Financial 8,700 134,306
First Bancorp 3,800 67,213
First Midwest Bancorp 5,500 136,813
Fremont General 9,300 54,056
Gallagher (Arthur J.) 4,900 182,525
Hilb, Rogal & Hamilton 1,800 50,963
Hudson United Bancorp 6,693 151,011
Investors Financial Services 2,000 163,250
Jefferies Group 3,200 70,600
MAF Bancorp 3,200 60,000
Morgan Keegan 4,000 63,750
Mutual Risk Management 5,900 92,556
National Discount Brokers Group 2,300 (a) 67,131
Pioneer Group 3,500 (a) 98,000
Provident Bankshares 3,581 53,484
Queens County Bancorp 2,850 57,891
RLI 1,300 41,763
Radian Group 5,000 254,687
Ramond James Financial 6,200 124,775
Riggs National 3,900 52,894
SCPIE Holdings 1,600 47,300
Selective Insurance Group 3,700 70,069
Silicon Valley Bancshares 3,000 (a) 185,250
South Financial Group 3,400 47,175
Staten Island Bancorp 5,300 91,094
Susquehanna Bancshares 5,000 69,063
Trenwick Group 2,500 35,313
Trustco Bank 7,240 86,427
U.S. Trust 2,450 376,994
United Bankshares 5,800 126,513
Whitney Holding 3,000 104,625
Zenith National Insurance 2,300 56,350
5,401,498
INTERNET--.2%
Books-A-Million 2,300 (a) 9,344
Harbinger 5,100 (a) 96,263
105,607
The Fund
STATEMENT OF INVESTMENTS (Unaudited) (CONTINUED)
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
PRODUCER GOODS--15.9%
AAR 3,750 56,484
AMCOL International 3,550 58,131
Alliant Techsystems 1,300 (a) 90,513
Amcast Industrial 1,000 8,687
American Freightways 4,300 (a) 80,087
Anixter International 4,800 (a) 161,700
Applied Industrial Technology 2,900 50,387
AptarGroup 4,900 139,650
Arch Chemicals 3,100 61,225
Arkansas Best 2,600 (a) 33,637
Astec Industries 2,600 (a) 65,325
BE Aerospace 3,300 (a) 24,337
Baldor Electric 4,733 87,856
Barnes Group 2,600 44,037
Belden 3,200 95,000
Birmingham Steel 4,000 17,000
Brady, Cl. A 3,000 88,125
Buckeye Technologies 4,700 (a) 89,887
Building Materials Holding 1,900 (a) 19,000
Butler Manufacturing 900 21,206
C&D Technologies 1,750 112,766
CLARCOR 3,250 58,500
CUNO 2,200 (a) 59,675
Cable Design Technologies 3,750 (a) 128,437
Caraustar Industries 3,400 51,637
Castle (A.M.) 1,900 23,275
Champion Enterprises 6,400 (a) 45,200
ChemFirst 2,400 46,500
Circle International Group 2,300 61,094
Coeur d' Alene Mines 3,800 (a) 9,500
Commercial Metals 2,000 58,750
Commonweath Industries 2,300 17,250
Commscope 6,800 (a) 323,000
D. R. Horton 8,375 108,352
Deltic Timber 1,700 37,400
Dril-Quip 2,300 (a) 93,437
EGL 3,800 (a) 87,163
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
PRODUCER GOODS (CONTINUED)
Elcor 2,600 82,713
Expeditors International of Washington 6,700 286,425
Fleetwood Enterprises 4,300 62,887
Florida Rock Industries 2,500 80,937
Flow International 2,100 (a) 23,625
Foster Wheeler 5,400 49,613
Fritz Cos. 4,800 (a) 46,200
Frozen Food Express Industries 2,000 6,875
Gardner Denver Machinery 2,000 (a) 34,875
GenCorp 5,600 56,350
Geon 3,200 70,000
Graco 2,900 98,237
Heartland Express 4,100 (a) 69,187
Helix Technology 3,000 153,187
Hughes Supply 3,100 47,275
IDEX 4,000 125,000
IMCO Recycling 2,400 24,750
Insituform Technology, Cl. A 3,400 (a) 114,113
Insteel Industries 900 5,231
Intermet 3,500 25,813
Ionics 2,200 (a) 51,700
JLG Industries 5,900 56,050
Kaman, Cl. A 3,100 32,937
Kirby 3,300 (a) 68,269
Landstar Systems 1,300 (a) 74,425
Lawson Products 1,400 33,775
Lennox International 7,507 63,340
Lilly Industries, Cl. A 3,000 32,625
Lindsay Manufacturing 1,700 30,387
Lydall 2,200 (a) 19,525
M.D.C. Holdings 3,100 (a) 59,094
M.S. Carriers 1,600 38,000
MacDermid 4,100 96,094
Manitowoc 3,475 (a) 115,327
Material Sciences 2,000 (a) 21,250
McWhorter Technologies 1,400 21,175
Mississippi Chemical 3,600 (a) 27,675
The Fund
STATEMENT OF INVESTMENTS (Unaudited) (CONTINUED)
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
PRODUCER GOODS (CONTINUED)
Morrison Knudsen 7,100 (a) 65,231
Mueller Industries 4,700 154,806
Myers Industries 2,588 36,232
Nashua 800 (a) 6,400
OM Group 3,200 147,200
Oakwood Homes 6,200 (a) 18,213
Omnova Solutions 5,700 (a) 34,200
Orbital Sciences 5,000 63,125
Penford 1,000 16,875
Pope & Talbot 2,000 42,375
Quaker Chemical 1,300 21,856
Quanex 1,900 31,113
RTI International Metals 2,900 30,631
Regal Beloit 2,800 (a) 50,575
Reliance Steel & Aluminum 3,800 87,400
Republic Group 1,600 18,300
Robins & Myers 1,500 36,563
Ryland Group 1,900 38,238
SEACOR SMIT 1,500 (a) 91,875
SLI 4,700 66,975
SPS Technologies 1,700 53,337
Schweitzer-Mauduit International 2,100 (a) 30,581
Scotts, Cl. A 3,700 (a) 133,663
Simpson Manufacturing 1,600 (a) 72,400
Skyline 1,200 24,450
Smith (A.O.) 3,150 64,772
Specialty Equipment Cos. 2,600 (a) 53,625
Speedfam International 4,000 (a) 63,250
Standard Motor Products 1,700 19,019
Standard Pacific 4,000 40,250
Steel Dynamics 6,300 (a) 71,663
Steel Technologies 1,500 12,094
Stillwater Mining 5,000 (a) 140,000
Stone & Webster 1,700 (a) 22,419
TETRA Technologies 1,800 (a) 25,650
Texas Industries 2,800 91,350
Thomas Industries 2,150 43,269
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
PRODUCER GOODS (CONTINUED)
Titan International 2,700 18,563
Toll Brothers 4,900 (a) 106,269
Toro 1,800 55,350
Tredegar Industries 5,000 129,063
USFreightsways 3,500 163,187
United Stationers 4,500 (a) 150,187
Universal Forest Products 2,800 37,800
Valmont Industries 3,200 63,600
WHX 1,900 (a) 13,181
Watsco 3,800 48,925
Watts Industries, Cl. A 3,600 48,150
Werner Enterprises 6,350 119,063
Wolverine Tube 1,700 (a) 25,500
Wynn's International 2,500 34,687
Yellow 3,300 (a) 62,906
8,015,557
SERVICES--11.4%
ABM Industries 3,000 75,750
ADVO 2,700 (a) 81,000
Aaron Rents 2,700 39,150
Adaptive Broadband 4,450 (a) 144,625
Administaff 1,800 (a) 72,450
American Management Systems 5,400 (a) 199,800
Analysts International 3,000 33,375
Audiovox, Cl. A 2,900 (a) 99,506
BARRA 1,900 (a) 80,037
BISYS Group 3,700 (a) 231,481
Billing Concepts 5,700 (a) 30,547
Bowne & Co. 4,900 56,350
CDI 2,600 (a) 58,500
Carmike Cinemas, Cl. A 1,300 (a) 7,475
Catalina Marketing 2,500 (a) 253,125
Central Parking 4,850 124,281
Chemed 1,400 41,825
Ciber 8,000 (a) 144,500
Computer Task Group 2,800 23,800
Consolidated Graphics 1,900 (a) 22,444
The Fund
STATEMENT OF INVESTMENTS (Unaudited) (CONTINUED)
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
SERVICES (CONTINUED)
DBT Online 2,600 (a) 51,187
eLoyalty 5,750 (a) 94,516
F.Y.I. 1,900 (a) 50,944
FactSet Research Systems 4,200 120,750
Fair Issac & Co 1,900 80,394
Franklin Covey 2,700 (a) 24,637
G & K Services, Cl. A 2,700 66,150
GC Companies 1,100 (a) 35,750
HA-LO Industries 6,650 (a) 48,627
Harland (John H.) 4,000 61,500
Information Resources 3,900 (a) 24,619
Insurance Auto Auction 1,600 (a) 26,600
Interim Services 8,500 (a) 145,563
Kroll-O'Gara 2,900 (a) 22,294
Labor Ready 5,650 (a) 51,203
Lason 2,400 (a) 10,800
MAXIMUS 2,800 (a) 65,975
Magellan Health Services 4,400 (a) 16,500
MarchFirst 19,100 (a) 407,069
MedQuist 4,800 (a) 170,100
Midas 2,200 55,687
NVR 500 (a) 31,125
National Data 4,400 (a) 122,100
New England Business Service 1,900 31,350
PAREXEL International 3,400 (a) 30,600
Paxar 6,125 (a) 62,397
Pegasus Systems 2,800 (a) 49,700
Pharmaceutical Product Development 3,400 (a) 57,163
Pre-Paid Legal Services 3,000 (a) 96,000
Primark 2,700 (a) 72,900
Profit Recovery Group International 6,450 (a) 113,277
QRS 1,800 (a) 59,400
Regis 5,400 63,113
Rollins Truck Leasing 7,550 75,027
SEI Investments 2,350 280,531
Snyder Communications 9,500 (a) 225,625
Staffmark 3,800 (a) 24,937
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
SERVICES (CONTINUED)
Standex International 1,800 29,587
StarTek 1,900 (a) 97,613
Teledyne Technologies 3,700 (a) 64,750
Tetra Tech 5,125 (a) 120,757
Thomas Nelson 1,900 13,300
True North Communications 6,400 263,600
URS 2,300 (a) 29,325
US Oncology 11,300 (a) 38,844
Veritas DGC 3,400 (a) 81,600
Volt Information Sciences 2,000 (a) 69,125
ZixIt 2,100 (a) 77,570
5,732,202
TECHNOLOGY--27.7%
APEX 2,800 (a) 82,775
Actel 2,900 (a) 106,756
Allen Telecom 3,700 (a) 65,675
Alpha Industries 5,300 (a) 275,600
Artesyn Technologies 5,000 (a) 121,250
Aspect Communications 6,500 (a) 230,750
Aspen Technology 3,400 (a) 120,275
Auspex Systems 3,800 (a) 28,975
Avid Technology 3,200 (a) 44,000
BMC Industries 3,700 18,500
Banyan Systems 3,300 (a) 45,787
Benchmark Electronics 2,200 (a) 88,413
Black Box 2,600 (a) 200,037
Brightpoint 7,300 (a) 86,231
Brush Wellman 2,300 42,550
Burr-Brown 7,400 (a) 504,125
C-COR Electronics 4,300 (a) 168,237
C-Cube Microsystems 5,400 (a) 346,950
CTS 3,700 233,331
Centigram Communications 800 (a) 12,350
Cerner 4,500 (a) 99,281
Checkpoint Systems 4,100 (a) 36,644
Cognex 5,500 (a) 312,813
Coherent 3,300 (a) 190,781
The Fund
STATEMENT OF INVESTMENTS (Unaudited) (CONTINUED)
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
TECHNOLOGY (CONTINUED)
Cohu 2,700 102,769
Concord 1,900 (a) 53,200
Cybex Computer Products 2,600 (a) 71,175
Dallas Semiconductor 7,700 330,619
Dendrite International 5,300 (a) 121,237
Digi International 2,000 (a) 10,875
Digital Microwave 9,300 (a) 343,519
Dionex 2,950 (a) 107,306
Electro Scientific Industries 3,500 (a) 220,719
Electroglas 2,700 (a) 104,625
Epicor Software 5,500 (a) 22,000
Esterline Technologies 2,500 (a) 30,625
FileNet 4,300 (a) 126,313
General Semiconductor 5,000 (a) 100,000
Gentex 9,700 (a) 312,825
Gerber Scientific 2,900 40,237
Great Plains Software 2,200 (a) 93,087
Griffon 3,900 (a) 26,325
HNC Software 3,300 (a) 163,350
Hadco 1,800 (a) 148,163
Harmon Industries 1,550 27,125
Henry (Jack) & Association 5,400 213,300
Hutchinson Technology 3,400 (a) 43,350
Hyperion Solutions 4,235 (a) 128,440
InaCom 5,824 (a) 9,100
Innovex 1,900 16,625
Input/Output 6,600 (a) 48,675
Inter-Tel 3,500 70,875
Intermagnetics General 1,800 (a) 21,937
International Rectifier 8,100 (a) 397,913
InterVoice 4,300 (a) 68,531
Itron 2,000 (a) 11,500
KEMET 5,750 (a) 428,375
Kent Electronics 3,800 (a) 110,913
Komag 7,100 (a) 20,856
Kronos 1,700 (a) 54,613
Kulicke & Soffa Industries 3,200 (a) 250,600
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
TECHNOLOGY (CONTINUED)
Lattice Semiconductor 6,400 (a) 431,200
MICROS Systems 2,200 (a) 88,550
Mercury Computer Systems 2,800 (a) 107,625
Mercury Interactive 10,200 (a) 918,000
Methode Electronics, Cl. A 4,800 200,025
MicroAge 2,000 (a) --
Midway Games 5,017 (a) 33,237
National Computer Systems 4,250 218,609
National Instruments 6,700 (a) 326,625
Network Equipment Technologies 2,800 (a) 23,100
P-COM 9,600 (a) 103,800
Park Electrochemical 1,400 35,875
Phoenix Technologies 3,300 (a) 64,763
Photronics 3,200 (a) 106,600
Pinnacle Systems 6,400 (a) 153,600
Pioneer Standard Electronics 3,600 55,125
Plantronics 2,150 (a) 190,275
Plexus 2,300 (a) 176,237
Progress Software 4,600 (a) 92,000
Project Software & Development 2,900 (a) 88,450
Proxim 1,550 (a) 119,253
RSA Security 5,150 (a) 302,241
Radisys 2,200 (a) 91,025
Read-Rite 6,700 (a) 20,100
Remedy 3,900 (a) 207,188
Roper Industries 4,000 126,000
S3 10,100 (a) 142,031
Saga Systems 3,800 (a) 70,775
Silicon Valley Group 4,400 (a) 125,400
Standard Microsystems 2,000 (a) 26,000
Symmetricom 2,000 (a) 23,750
Systems & Computer Technology 4,300 (a) 101,319
THQ 2,500 (a) 38,750
Technitrol 2,200 149,600
Telxon 2,200 (a) 32,450
Three-Five Systems 1,666 (a) 144,942
Trimble Navigation 3,000 (a) 82,875
The Fund
STATEMENT OF INVESTMENTS (Unaudited) (CONTINUED)
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
TECHNOLOGY (CONTINUED)
Ultratech Stepper 2,900 (a) 43,319
Valence Technology 4,600 (a) 71,013
Verity 4,100 (a) 132,994
Vicor 5,500 (a) 143,000
X-Rite 2,900 33,169
Xircom 4,000 (a) 157,750
Zebra Technologies, Cl. A 4,200 (a) 239,400
13,951,823
UTILITIES--1.2%
CH Energy Group 2,300 75,756
Dycom Industries 5,150 (a) 267,800
General Communication, Cl. A 6,500 (a) 32,500
Green Mountain Power 600 4,500
TALK.com 8,610 (a) 83,948
UniSource Energy 4,500 73,125
United Illuminating 1,900 87,400
625,029
TOTAL COMMON STOCKS
(cost $46,889,926) 50,903,406
------------------------------------------------------------------------------------------------------------------------------------
Principal
SHORT-TERM INVESTMENTS--.7% Amount ($) Value ($)
------------------------------------------------------------------------------------------------------------------------------------
REPURCHASE AGREEMENT;
Goldman Sachs & Co., 5.72% dated
4/28/2000, due 5/1/2000 in the amount
of $350,167 (fully collateralized by
$364,000 of various U.S. Government
Agency Securities, value $360,194)
(cost $350,000) 350,000 350,000
------------------------------------------------------------------------------------------------------------------------------------
TOTAL INVESTMENTS (cost $47,239,926) 101.7% 51,253,406
LIABILITIES, LESS CASH AND RECEIVABLES (1.7%) (865,080)
NET ASSETS 100.0% 50,388,326
(A) NON-INCOME PRODUCING.
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
STATEMENT OF ASSETS AND LIABILITIES
April 30, 2000 (Unaudited)
Cost Value
--------------------------------------------------------------------------------
ASSETS ($):
Investments in securities-
See Statement of Investments--Note 1(c) 47,239,926 51,253,406
Cash 224,852
Receivable for shares of Common Stock subscribed 108,787
Dividends receivable 15,560
51,602,605
--------------------------------------------------------------------------------
LIABILITIES ($):
Due to The Dreyfus Corporation and affiliates 20,328
Payable for investment securities purchased 216,577
Payable for shares of Common Stock redeemed 977,374
1,214,279
--------------------------------------------------------------------------------
NET ASSETS ($) 50,388,326
--------------------------------------------------------------------------------
COMPOSITION OF NET ASSETS ($):
Paid-in capital 45,396,655
Accumulated undistributed investment income--net 7,935
Accumulated net realized gain (loss) on investments 970,256
Accumulated net unrealized appreciation (depreciation)
on investments--Note 4(b) 4,013,480
--------------------------------------------------------------------------------
NET ASSETS ($) 50,388,326
--------------------------------------------------------------------------------
SHARES OUTSTANDING
(200 million shares of $.001 par value Common Stock authorized) 3,468,041
NET ASSET VALUE, offering and redemption price per share--Note 3(c) ($) 14.53
SEE NOTES TO FINANCIAL STATEMENTS.
The Fund
STATEMENT OF OPERATIONS
Six Months Ended April 30, 2000 (Unaudited)
--------------------------------------------------------------------------------
INVESTMENT INCOME ($):
INCOME:
Cash dividends (net of $69 foreign taxes withheld at source) 154,243
Interest 8,454
TOTAL INCOME 162,697
EXPENSES:
Management fee--Note 3(a) 56,061
Shareholder servicing costs--Note 3(b) 56,061
Loan commitment fees--Note 2 2,781
TOTAL EXPENSES 114,903
INVESTMENT INCOME--NET 47,794
--------------------------------------------------------------------------------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS--NOTE 4 ($):
Net realized gain (loss) on investments 1,393,749
Net realized gain (loss) on financial futures (5,525)
NET REALIZED GAIN (LOSS) 1,388,224
Net unrealized appreciation (depreciation) on investments 4,894,006
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS 6,282,230
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS 6,330,024
SEE NOTES TO FINANCIAL STATEMENTS.
STATEMENT OF CHANGES IN NET ASSETS
Six Months Ended
April 30, 2000 Year Ended
(Unaudited) October 31, 1999
--------------------------------------------------------------------------------
OPERATIONS ($):
Investment income--net 47,794 105,449
Net realized gain (loss) on investments 1,388,224 1,329,759
Net unrealized appreciation (depreciation)
on investments 4,894,006 1,577,846
NET INCREASE (DECREASE) IN NET ASSETS
RESULTING FROM OPERATIONS 6,330,024 3,013,054
--------------------------------------------------------------------------------
DIVIDENDS TO SHAREHOLDERS FROM ($):
Investment income--net (115,972) (99,909)
Net realized gain on investments (1,719,282) (1,092,480)
TOTAL DIVIDENDS (1,835,254) (1,192,389)
--------------------------------------------------------------------------------
CAPITAL STOCK TRANSACTIONS ($):
Net proceeds from shares sold 15,651,673 25,094,691
Dividends reinvested 1,783,974 1,159,446
Cost of shares redeemed (7,532,690) (16,408,852)
INCREASE (DECREASE) IN NET ASSETS
FROM CAPITAL STOCK TRANSACTIONS 9,902,957 9,845,285
TOTAL INCREASE (DECREASE) IN NET ASSETS 14,397,727 11,665,950
--------------------------------------------------------------------------------
NET ASSETS ($):
Beginning of Period 35,990,599 24,324,649
END OF PERIOD 50,388,326 35,990,599
Undistributed investment income--net 7,935 76,113
--------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS (SHARES):
Shares sold 1,097,596 1,950,950
Shares issued for dividends reinvested 136,598 92,830
Shares redeemed (528,649) (1,282,134)
NET INCREASE (DECREASE) IN SHARES OUTSTANDING 705,545 761,646
SEE NOTES TO FINANCIAL STATEMENTS.
The Fund
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C>
FINANCIAL HIGHLIGHTS
The following table describes the performance for the fiscal periods indicated.
Total return shows how much your investment in the fund would have increased (or
decreased) during each period, assuming you had reinvested all dividends and
distributions. These figures have been derived from the fund's financial
statements.
Six Months Ended
April 30, 2000 Year Ended October 31,
----------------------------
(Unaudited) 1999 1998 1997(a)
------------------------------------------------------------------------------------------------------------------------------------
PER SHARE DATA ($):
Net asset value, beginning of period 13.03 12.16 13.90 12.50
Investment Operations:
Investment income--net .02(b) .04(b) .04 .02
Net realized and unrealized
gain (loss) on investments 2.11 1.38 (1.60) 1.38
Total from Investment Operations 2.13 1.42 (1.56) 1.40
Distributions:
Dividends from investment
income--net (.04) (.05) (.02) --
Dividends from net realized gain
on investments (.59) (.50) (.16) --
Total Distributions (.63) (.55) (.18) --
Net asset value, end of period 14.53 13.03 12.16 13.90
------------------------------------------------------------------------------------------------------------------------------------
TOTAL RETURN (%) 16.92(c) 11.86 (11.38) 11.20(c)
------------------------------------------------------------------------------------------------------------------------------------
RATIOS/SUPPLEMENTAL DATA (%):
Ratio of operating expenses to
average net assets .25(c) .50 .50 .17(c)
Ratio of interest expense and
loan commitment fees
to average net assets .00(c,d) .01 -- --
Ratio of net investment income
to average net assets .11(c) .34 .35 .13(c)
Portfolio Turnover Rate 14.00(c) 41.97 25.14 10.59(c)
------------------------------------------------------------------------------------------------------------------------------------
Net Assets, end of period ($ x 1,000) 50,388 35,991 24,325 18,081
(A) FROM JUNE 30, 1997 (COMMENCEMENT OF OPERATIONS) TO OCTOBER 31, 1997.
(B) BASED ON AVERAGE SHARES OUTSTANDING AT EACH MONTH END.
(C) NOT ANNUALIZED.
(D) AMOUNT REPRESENTS LESS THAN .01%.
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
NOTES TO FINANCIAL STATEMENTS (Unaudited)
NOTE 1--Significant Accounting Policies:
Dreyfus Small Cap Stock 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, as amended (the "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 Financial Corporation. Effective March 22, 2000, Dreyfus Service
Corporation (" DSC" ), a wholly-owned subsidiary of the Manager, became the
distributor of the fund's shares, which are sold to the public without a sales
charge. Prior to March 22, 2000, Premier Mutual Fund Services, Inc. was the
distributor.
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, 2000, MBC Investment Corp., an indirect subsidiary of Mellon
Financial Corporation, held 1,171,364 shares of the fund.
(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.
The Fund
NOTES TO FINANCIAL STATEMENTS (Unaudited) (CONTINUED)
(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) Repurchase agreements: The fund may engage in repurchase agreement
transactions. Under the terms of a typical repurchase agreement, the fund,
through its custodian and sub-custodian, takes possession of an underlying debt
obligation subject to an obligation of the seller to repurchase, and the fund to
resell, the obligation at an agreed-upon price and time, thereby determining the
yield during the fund's holding period. This arrangement results in a fixed rate
of return that is not subject to market fluctuations during the fund's holding
period. The value of the collateral is at least equal, at all times, to the
total amount of the repurchase obligation, including interest. In the event of a
counterparty default, the fund has the right to use the collateral to offset
losses incurred. There is potential loss to the fund in the event the fund is
delayed or prevented from exercising its rights to dispose of the collateral
securities, including the risk of a possible decline in the value of the
underlying securities during the period while the fund seeks to assert its
rights. The Manager, acting under the supervision of the Board of Directors,
reviews the value of the collateral and the creditworthiness of those banks and
dealers with which the fund enters into repurchase agreements to evaluate
potential risks.
(d) 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 of 1986, as amended (the "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.
(e) 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 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 $500 million
redemption credit facility (the "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, 2000, the fund did not borrow under the Facility.
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 Board
members (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 Board members
(including counsel fees) . Each Board member also serves as a Board member of
other funds within the Dreyfus complex (collectively, the "Fund Group").
Effective April 25, 2000, each Board member receives an annual fee of $25,000
and a fee of $4,000 for each meeting held in person and $500 for telephone
meetings. These fees are allocated among the funds in the Fund Group. The
Chairman of The Fund
NOTES TO FINANCIAL STATEMENTS (Unaudited) (CONTINUED)
the Board receives an additional 25% of such compensation. Subject to the fund's
Director Emeritus Program Guidelines, Emeritus Board members, if any, receive
50% of the fund's annual retainer fee and per meeting fee paid at the time the
Board member achieved emeritus status. Prior to April 25, 2000, each Board
member received an annual fee of $2,500 and an attendance fee of $500 per
meeting and was reimbursed for travel and out-of-pocket expenses. The Chairman
of the Board received an additional 25% of such compensation (with the exception
of reimburseable amounts). These fees and expenses were charged and allocated to
each series based on net assets. Amounts required to be paid by the Company
directly to the non-interested Board members, that were applied to offset a
portion of the management fee payable to Dreyfus were in fact paid directly by
Dreyfus to the non-interested Board members.
(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, 2000,
the fund was charged an aggregate of $56,061 pursuant to the Shareholder
Services Plan, of which $13,718 was paid to DSC.
(c) A 1% redemption fee is charged and retained by the fund on shares where
redeemed within six months following the date of issuance, including redemptions
made through the use of the fund's exchange privilege. During the period ended
April 30, 2000, redemption fees charged and retained by the fund amounted to
$854.
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, 2000, amounted to $14,944,547 and $6,246,261,
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, 2000, there were no financial
futures contracts outstanding.
(b) At April 30, 2000, accumulated net unrealized appreciation on investments
was $4,013,480, consisting of $11,481,808 gross unrealized appreciation and
$7,468,328 gross unrealized depreciation.
At April 30, 2000, 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).
The Fund
NOTES
For More Information
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 02940
Distributor
Dreyfus Service Corporation
200 Park Avenue
New York, NY 10166
To obtain information:
BY TELEPHONE Call 1-800-645-6561
BY MAIL Write to: The Dreyfus Family of Funds 144 Glenn Curtiss Boulevard
Uniondale, NY 11556-0144
BY E-MAIL Send your request to [email protected]
ON THE INTERNET Information can be viewed online or downloaded from:
http://www.dreyfus.com
(c) 2000 Dreyfus Service Corporation 077SA004
Dreyfus
S&P 500
Index Fund
SEMIANNUAL REPORT April 30, 2000
(reg.tm)
The views expressed herein are current to the date of this report. These views
and the composition of the fund's portfolio are subject to change at any time
based on market and other conditions.
* Not FDIC-Insured * Not Bank-Guaranteed * May Lose Value
Contents
THE FUND
--------------------------------------------------
2 Letter from the President
3 Discussion of Fund Performance
6 Statement of Investments
21 Statement of Financial Futures
22 Statement of Assets and Liabilities
23 Statement of Operations
24 Statement of Changes in Net Assets
25 Financial Highlights
26 Notes to Financial Statements
FOR MORE INFORMATION
---------------------------------------------------------------------------
Back Cover
The Fund
Dreyfus
S&P 500 Index Fund
LETTER FROM THE PRESIDENT
Dear Shareholder:
We are pleased to present this semiannual report for Dreyfus S&P 500 Index Fund,
covering the six-month period from November 1, 1999 through April 30, 2000.
Inside you' ll find valuable information about how the fund was managed during
the reporting period, including a discussion with the fund's portfolio managers,
Steve Falci and Jocelin Reed.
The past six months have been highly volatile -- but generally rewarding -- for
investors in large-cap U.S. stocks. While the market's advance during the last
two months of 1999 was led primarily by technology stocks and large-cap growth
stocks in a fast-growing economy, the large-cap sector of the stock market
corrected substantially during the first quarter of 2000, causing large-cap
stocks to generally underperform small- and mid-cap stocks during those three
months.
In mid-March, investor sentiment appeared to shift once more. Faced with
evidence that inflationary pressures were building, a major measure of
technology stock performance, the Nasdaq Composite Index, fell substantially
between mid-March and the end of April, including a considerably large
single-day drop on April 14. Many "old economy" stocks declined less severely
and some value-oriented stocks gained ground amid renewed investor interest.
While it is too soon to determine whether this broadening of the market is
likely to persist, we believe that it may be a positive sign for the stock
market overall.
We appreciate your confidence over the past six months and we look forward to
your continued participation in Dreyfus S& P 500 Index Fund.
Sincerely,
Stephen E. Canter
President and Chief Investment Officer
The Dreyfus Corporation
May 15, 2000
DISCUSSION OF FUND PERFORMANCE
Steve Falci and Jocelin Reed, Portfolio Managers
How did Dreyfus S&P 500 Index Fund perform relative to its benchmark?
For the six-month period ended April 30, 2000, Dreyfus S&P 500 Index Fund
produced a total return of 6.88%.(1) The Standard & Poor's 500 Composite Stock
Price Index (the "S&P 500 Index"), the fund's benchmark, produced a 7.18% return
for the same period.(2) The difference in returns was primarily due to
transaction costs and other fund operating expenses.
What is the fund's investment approach?
The fund seeks to match the total return of the S&P 500 Index. To pursue that
goal, the fund generally invests in all 500 stocks in the S&P 500 Index in
proportion to their weighting in the index. Often considered a barometer for the
stock market in general, the S&P 500 Index is made up of 500 widely held common
stocks. The S&P 500 Index is dominated by large-cap blue chip stocks that cover
nearly 75% of total U.S. market capitalization.
However, it is important to note that the S&P 500 Index is not composed of the
500 largest companies; rather, it is designed to capture the returns of many
different sectors of the U.S. economy. The S&P 500 Index contains approximately
375 industrial, 40 utility, 75 financial and 10 transportation stocks. Each
stock is weighted by its market capitalization; that is, larger companies have
greater representation in the S&P 500 Index than smaller ones. The fund may also
use stock index futures as a substitute for the sale or purchase of stocks
As an index fund, the fund uses a passive management approach; all investment
decisions are made based on the fund's objective, which is to seek to match the
performance of the S& P 500 Index. The fund does not attempt to manage market
volatility.
The Fund
DISCUSSION OF FUND PERFORMANCE (CONTINUED)
What other factors influenced the fund's performance?
The six-month reporting period was marked by high levels of stock market
volatility and changing investor preferences in three areas: technology versus
non-technology sectors; small-cap versus mid- and large-cap stocks; and growth
versus value investment styles.
From November 1, 1999 through mid-March 2000, the U.S. stock market advanced
sharply, driven primarily by strong gains within the volatile technology sector.
During this period, the prices of many high-flying tech stocks continued to
climb, especially those stocks that were related to the "new economy" of
Internet-related products and services. In addition, large-cap stocks generally
underperformed their small- and mid-cap counterparts.
By mid-March, however, those trends had reversed themselves when many technology
stocks quickly fell out of favor. Even during this downturn in the technology
sector as a whole, there were days when tech stocks bounced back to report
strong gains, which increased the stock market's volatility levels. In this
environment, large-cap stocks generally outpaced small-cap stocks.
During the reporting period, the largest gains within the S&P 500 Index, and
therefore the fund as well, came from its technology group, which includes
electronic instruments, electronic semiconductors, electrical defense,
communications equipment and computer systems companies. In addition, the S&P
500 Index's holdings within the energy area, including oil and gas drilling, oil
well equipment and services and natural gas companies, provided strong returns,
as did its entertainment stocks.
On the other hand, the poorest performing returns of the S&P 500 Index, and
therefore of the fund as well during the reporting period, were generated from
its financial stocks, specifically within insurance companies, savings and
loans, and money center banks. In addition, the stocks of basic materials
companies, which include metal and glass
containers, miscellaneous metal companies, and hotel and motel stocks as well as
consumer staples firms such as household products and food companies, provided
disappointing returns.
What is the fund's current strategy?
As an index fund, our goal is to replicate the return of the S&P 500 Index.
Therefore, the fund' s strategy is to hold all 500 stocks that make up the S&P
500 Index in an effort to capture a similar return.
As of the end of the reporting period, the largest sector weightings of the S&P
500 Index, and for the fund as well, were approximately as follows: technology -
30% ; interest sensitive - 17% ; healthcare - 10%; consumer cyclicals - 8%;
utilities - 8%; producer goods - 6%; energy - 6%; and consumer staples - 4%. Of
course, this allocation is subject to change.
May 15, 2000
(1) TOTAL RETURN INCLUDES REINVESTMENT OF DIVIDENDS AND ANY CAPITAL GAINS PAID.
PAST PERFORMANCE IS NO GUARANTEE OF FUTURE RESULTS. SHARE PRICE AND INVESTMENT
RETURN FLUCTUATE SUCH THAT UPON REDEMPTION, FUND SHARES MAY BE WORTH MORE OR
LESS THAN THEIR ORIGINAL COST.
(2) SOURCE: LIPPER ANALYTICAL SERVICES, INC. -- REFLECTS THE REINVESTMENT OF
DIVIDENDS AND, WHERE APPLICABLE, CAPITAL GAIN DISTRIBUTIONS. THE STANDARD &
POOR'S 500 COMPOSITE STOCK PRICE INDEX ("S&P 500 INDEX") IS A WIDELY ACCEPTED,
UNMANAGED INDEX OF U.S. STOCK MARKET PERFORMANCE
The Fund
<TABLE>
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April 30, 2000 (Unaudited)
STATEMENT OF INVESTMENTS
STATEMENT OF INVESTMENTS
COMMON STOCKS--97.6% Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
ALCOHOL & TOBACCO--.9%
Anheuser-Busch Cos. 113,500 8,008,844
Brown-Forman, Cl. B 16,700 911,194
Coors (Adolph), Cl. B 9,000 459,000
Philip Morris Cos. 577,300 12,628,438
Seagram 105,800 5,713,200
UST 41,700 625,500
28,346,176
CONSUMER CYCLICAL--8.4%
AMR 36,100 (a) 1,229,656
Albertson's 103,372 3,366,051
AutoZone 33,700 (a) 772,994
Bed Bath & Beyond 34,200 (a) 1,254,713
Best Buy 49,900 (a) 4,029,425
Black & Decker 21,200 891,725
Brunswick 22,400 429,800
CVS 95,600 4,158,600
Circuit City Group 49,600 2,917,100
Consolidated Stores 27,000 (a) 335,813
Cooper Tire and Rubber 18,500 249,750
Costco Wholesale 108,500 (a) 5,865,781
Dana 40,159 1,219,830
Darden Restaurants 31,300 577,094
Delphi Automotive Systems 137,869 2,636,745
Delta Air Lines 31,500 1,661,625
Dillard's, Cl. A 25,600 356,800
Dollar General 64,487 1,475,140
Eastman Kodak 77,000 4,307,188
Federated Department Stores 51,200 (a) 1,740,800
Ford Motor 294,700 16,116,406
Gap 207,625 7,630,219
General Motors 156,200 14,624,225
Grainger (W.W.) 22,800 988,950
Great Atlantic & Pacific 9,400 172,138
Harley-Davidson 73,800 2,938,163
Harrah's Entertainment 31,400 (a) 645,663
Hasbro 43,000 685,313
Hilton Hotel 90,000 765,000
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
CONSUMER CYCLICAL (CONTINUED)
Home Depot 561,703 31,490,474
K mart 118,800 (a) 965,250
Kohl's 79,600 (a) 3,820,800
Kroger 203,600 (a) 3,779,325
Leggett & Platt 47,900 1,023,863
Limited 52,400 2,367,825
Liz Claiborne 14,400 666,900
Longs Drug Stores 9,600 223,200
Lowes 93,300 4,618,350
Marriott International, Cl. A 60,700 1,942,400
Mattel 102,700 1,258,075
May Department Stores 81,150 2,231,625
Maytag 20,600 709,413
McDonald's 330,400 12,596,500
Mirage Resorts 47,100 (a) 959,663
NIKE, Cl. B 67,300 2,923,344
Navistar International 15,400 (a) 539,000
Nordstrom 32,800 912,250
Office Depot 80,300 (a) 848,169
PACCAR 19,100 908,444
Penney (J.C.) 63,500 877,094
Polaroid 10,900 220,044
Reebok International 13,700 (a) 232,900
Rite Aid 63,200 316,000
Russell 8,100 158,963
Safeway 124,100 (a) 5,475,913
Sears, Roebuck & Co. 92,200 3,376,825
Southwest Airlines 123,112 2,669,992
Springs Industries 4,400 180,675
Staples 114,650 (a) 2,185,516
TJX Cos. 75,700 1,452,494
Tandy 47,200 2,690,400
Target 106,900 7,115,531
Toys R Us 58,500 (a) 892,125
Tricon Global Restaurants 36,810 (a) 1,256,141
US Airways Group 17,400 (a) 483,938
V.F. 28,800 813,600
The Fund
STATEMENT OF INVESTMENTS (Unaudited) (CONTINUED)
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
CONSUMER CYCLICAL (CONTINUED)
Wal-Mart Stores 1,086,600 60,170,475
Walgreen 245,500 6,904,688
Wendy's International 29,200 653,350
Whirlpool 18,200 1,185,275
Winn-Dixie Stores 35,700 591,281
258,730,797
CONSUMER STAPLES--4.2%
Alberto-Culver, Cl. B 13,600 321,300
Archer Daniels Midland 148,156 1,472,300
Avon Products 59,136 2,454,144
Bestfoods 68,100 3,422,025
Campbell Soup 104,000 2,704,000
Clorox 57,700 2,120,475
Coca-Cola 602,600 28,359,863
Coca-Cola Enterprises 103,800 2,212,238
Colgate-Palmolive 142,100 8,117,463
ConAgra 120,100 2,266,888
Fortune Brands 40,000 1,000,000
General Mills 73,500 2,673,563
Gillette 261,700 9,682,900
Heinz (H.J.) 86,500 2,941,000
Hershey Foods 33,800 1,533,675
International Flavors & Fragrances 25,600 881,600
Kellogg 98,900 2,416,869
Nabisco Group Holdings 79,600 1,024,850
National Service Industries 9,900 212,850
Newell Rubbermaid 68,762 1,731,943
Owens-Illinois 36,600 (a) 494,100
PepsiCo 355,200 13,031,400
Procter & Gamble 321,000 19,139,625
Quaker Oats 32,600 2,125,113
Ralston-Purina Group 73,600 1,301,800
SUPERVALU 34,100 705,444
Sara Lee 221,700 3,325,500
Sysco 80,500 3,028,813
Tupperware 14,100 266,138
Unilever, N.V. 139,435 6,353,007
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
CONSUMER STAPLES (CONTINUED)
Wrigley, (Wm) Jr 28,200 2,040,975
129,361,861
ENERGY--5.7%
Amerada Hess 22,100 1,406,113
Anadarko Petroleum 31,100 1,350,906
Apache 27,800 1,346,563
Baker Hughes 80,290 2,554,226
Burlington Resources 53,045 2,085,332
Chevron 160,100 13,628,513
Coastal 52,100 2,614,769
Columbia Energy Group 19,800 1,242,450
Conoco, Cl. B 152,824 3,801,497
Duke Energy 89,194 5,128,655
Eastern Enterprises 6,600 401,775
El Paso Energy 55,700 2,367,250
Enron 174,600 12,167,438
Exxon Mobil 842,588 65,458,555
Halliburton 107,800 4,763,413
Kerr-McGee 23,265 1,203,964
Nicor 11,500 389,563
ONEOK 7,500 189,375
Occidental Petroleum 89,700 1,922,944
Peoples Energy 8,700 270,244
Phillips Petroleum 61,800 2,931,638
Rowan Cos. 22,500 (a) 628,594
Royal Dutch Petroleum 523,200 30,018,600
Sunoco 22,000 666,875
Texaco 134,900 6,677,550
Tosco 35,100 1,125,394
Transocean Sedco Forex 51,000 2,397,000
USX-Marathon Group 75,800 1,767,088
Union Pacific Resources Group 61,510 1,180,223
Unocal 59,100 1,909,669
Williams Cos. 106,100 3,958,856
177,555,032
HEALTH CARE--9.5%
ALZA 24,900 (a) 1,097,156
The Fund
STATEMENT OF INVESTMENTS (Unaudited) (CONTINUED)
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
HEALTH CARE (CONTINUED)
Abbott Laboratories 375,100 14,417,906
Allergan 32,100 1,889,888
American Home Products 318,600 17,901,338
Amgen 249,200 (a) 13,955,200
Bard (C.R.) 12,500 544,531
Bausch & Lomb 14,100 851,288
Baxter International 71,000 4,623,875
Becton, Dickinson & Co. 61,400 1,573,375
Biogen 36,700 (a) 2,158,419
Biomet 27,500 981,406
Boston Scientific 101,200 (a) 2,681,800
Bristol-Myers Squibb 484,000 25,379,750
Cardinal Health 68,650 3,780,041
Columbia/HCA Healthcare 137,450 3,908,734
Guidant 75,000 (a) 4,303,125
HEALTHSOUTH 94,200 (a) 759,488
Humana 40,900 (a) 314,419
Johnson & Johnson 339,500 28,008,750
Lilly (Eli) & Co. 266,100 20,572,856
Mallinckrodt Group 16,700 448,813
Manor Care 25,100 (a) 299,631
McKesson HBOC 68,777 1,160,612
Medtronic 291,400 15,134,588
Merck & Co. 570,300 39,635,850
Pfizer 944,500 39,787,063
Schering-Plough 358,400 14,448,000
Sigma-Aldrich 24,600 722,625
St. Jude Medical 20,500 (a) 639,344
Tenet Healthcare 76,100 1,940,550
UnitedHealth Group 41,400 2,760,863
Warner-Lambert 209,500 23,843,719
Watson Pharmaceuticals 23,400 (a) 1,051,538
Wellpoint Health Networks 15,500 (a) 1,143,125
292,719,666
INTEREST SENSITIVE--17.0%
AFLAC 64,900 3,167,931
Aetna 34,879 2,018,622
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
INTEREST SENSITIVE (CONTINUED)
Allstate 196,500 4,642,313
American Express 109,200 16,386,825
American General 60,245 3,373,720
American International Group 377,712 41,430,285
Amsouth Bancorp 95,400 1,389,263
Aon 62,575 1,693,436
Associates First Capital, Cl. A 177,638 3,941,343
BB&T 84,800 2,257,800
Bank One 279,804 8,534,022
Bank of America 416,552 20,411,048
Bank of New York 179,700 7,378,931
Bear Stearns Cos. 27,672 1,186,437
Block (H&R) 24,000 1,003,500
CIGNA 41,100 3,277,725
Capital One Financial 48,100 2,104,375
Cendant 172,270 (a) 2,659,418
Chase Manhattan 201,200 14,498,975
Chubb 42,900 2,729,513
Cincinnati Financial 40,000 1,612,500
Citigroup 822,639 48,895,606
Comerica 38,200 1,618,725
Conseco 79,803 433,929
Countrywide Credit Industries 27,600 762,450
Equifax 34,500 843,094
Fannie Mae 250,100 15,084,156
Federal Home Loan Mortgage 169,600 7,791,000
Fifth Third Bancorp 75,300 4,753,313
First Data 102,200 4,975,863
First Union 240,990 7,681,556
Firstar 239,139 5,948,583
FleetBoston Financial 223,355 7,915,143
Franklin Resources 60,700 1,957,575
General Electric 800,500 125,878,625
Golden West Financial 39,400 1,344,525
Hartford Financial Services Group 54,100 2,823,344
Household International 114,745 4,790,604
Huntington Bancshares 55,813 1,018,587
The Fund
STATEMENT OF INVESTMENTS (Unaudited) (CONTINUED)
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
INTEREST SENSITIVE (CONTINUED)
Jefferson-Pilot 25,550 1,700,672
Keycorp 109,100 2,018,350
Lehman Brothers Holdings 29,300 2,404,431
Lincoln National 47,700 1,660,556
Loews 25,900 1,427,738
MBIA 24,300 1,201,331
MBNA 195,625 5,196,289
MGIC Investment 25,800 1,233,563
Marsh & McLennan Cos. 65,100 6,416,419
Mellon Financial 124,100 3,986,713
Merrill Lynch 90,400 9,215,150
Morgan (J.P.) 42,200 5,417,425
Morgan Stanley Dean Witter & Co. 277,960 21,333,430
National City 150,400 2,556,800
Northern Trust 54,300 3,481,988
Old Kent Financial 32,400 976,050
PNC Bank 71,700 3,127,913
Paine Webber Group 34,800 1,526,850
Progressive 17,800 1,164,788
Providian Financial 34,650 3,051,366
Regions Financial 53,300 1,089,319
SLM Holding 38,800 1,214,925
Safeco 31,700 701,363
Schwab (Charles) 200,100 8,904,450
SouthTrust 40,900 976,488
St. Paul Cos. 55,494 1,976,974
State Street 39,000 3,778,125
Summit Bancorp 42,600 1,080,975
SunTrust Banks 78,100 3,963,575
Synovus Financial 68,250 1,266,891
T. Rowe Price Associates 29,200 1,113,250
Torchmark 32,100 804,506
U.S. Bancorp 183,848 3,734,413
Union Planters 34,400 973,950
UnumProvident 58,595 996,115
Wachovia 49,500 3,103,031
Washington Mutual 140,860 3,600,734
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
INTEREST SENSITIVE (CONTINUED)
Wells Fargo 402,800 16,539,975
525,131,541
INTERNET RELATED--1.7%
America Online 556,700 (a) 33,297,619
3COM 83,500 (a) 3,293,031
Yahoo! 128,500 (a) 16,737,125
53,327,775
PRODUCER GOODS--6.7%
Air Products & Chemicals 55,900 1,736,394
Alcan Aluminium 53,500 1,752,125
Alcoa 89,800 5,825,775
Allegheny Technologies 22,777 550,919
Armstrong World Industries 9,800 (a) 191,713
Ashland 17,300 590,363
Avery Dennison 27,500 1,804,688
Ball 7,400 233,100
Barrick Gold 96,200 1,617,363
Bemis 12,800 471,200
Bethlehem Steel 32,000 (a) 172,000
Boeing 211,998 8,413,671
Boise Cascade 13,900 452,619
Briggs & Stratton 5,600 214,900
Burlington Northern Santa Fe 111,500 2,689,938
CSX 53,300 1,115,969
Caterpillar 86,700 3,419,231
Centex 14,500 349,813
Champion International 23,500 1,545,125
Cooper Industries 23,000 789,188
Crane 16,125 433,359
Crown Cork & Seal 31,600 513,500
Cummins Engine 10,100 359,181
Deere & Co. 57,100 2,305,413
Dow Chemical 53,500 6,045,500
duPont (E.I.) deNemours & Co. 254,812 12,087,644
Eastman Chemical 19,100 999,169
Ecolab 31,600 1,234,375
Emerson Electric 105,200 5,772,850
The Fund
STATEMENT OF INVESTMENTS (Unaudited) (CONTINUED)
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
PRODUCER GOODS (CONTINUED)
Engelhard 30,700 539,169
FMC 7,500 (a) 436,406
FedEx 70,720 (a) 2,665,260
Fluor 18,600 624,263
Fort James 52,800 1,263,900
Freeport-McMoRan Copper, Cl. B 39,900 (a) 384,038
General Dynamics 49,000 2,866,500
Genuine Parts 43,400 1,139,250
Georgia-Pacific 41,700 1,532,475
Goodrich (B.F.) 26,900 857,438
Goodyear Tire & Rubber 38,100 1,052,513
Grace (W.R.) & Co. 17,500 (a) 227,500
Great Lakes Chemical 14,000 377,125
Hercules 25,900 403,069
Homestake Mining 63,500 381,000
Honeywell International 193,125 10,815,000
Illinois Tool Works 73,300 4,695,781
Inco 46,800 (a) 731,250
Ingersoll-Rand 39,900 1,872,806
International Paper 101,020 3,712,485
Kansas City Southern Industries 27,000 1,940,625
Kaufman & Broad Home 11,600 223,300
Kimberly-Clark 135,600 7,873,275
Lockheed Martin 96,600 2,402,925
Louisiana-Pacific 26,000 347,750
Masco 109,100 2,447,931
McDermott International 14,500 117,813
Mead 25,000 870,313
Milacron 9,000 164,250
Minnesota Mining & Manufacturing 97,300 8,416,450
NACCO Industries, Cl. A 2,000 89,750
Newmont Mining 40,925 959,180
Norfolk Southern 93,200 1,642,650
Northrop Grumman 17,000 1,204,875
Nucor 21,300 915,900
Owens-Corning 13,400 243,713
PPG Industries 42,400 2,305,500
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
PRODUCER GOODS (CONTINUED)
Pactiv 41,800 (a) 342,238
Pall 30,300 676,069
Parker-Hannifin 27,350 1,271,775
Pharmacia 305,335 15,247,667
Phelps Dodge 19,795 915,519
Placer Dome 79,400 645,125
Potlach 7,100 280,006
Praxair 38,800 1,724,175
Pulte 10,600 227,900
Raytheon, Cl. B 82,600 1,832,688
Reynolds Metals 15,400 1,024,100
Rockwell International 46,300 1,823,063
Rohm & Haas 53,415 1,902,909
Sealed Air 20,332 (a) 1,130,968
Sherwin-Williams 40,500 1,007,438
Snap-On 14,300 378,056
Stanley Works 21,813 643,484
TRW 29,700 1,737,450
Temple-Inland 13,600 681,700
Textron 36,300 2,248,331
Thomas & Betts 14,100 434,456
Timken 15,100 279,350
Tyco International 412,600 18,953,813
USX-U.S. Steel Group 21,600 541,350
Union Carbide 32,700 1,929,300
Union Pacific 60,600 2,552,775
United Technologies 115,900 7,207,531
Vulcan Materials 24,400 1,069,025
Westvaco 24,500 756,438
Weyerhaeuser 57,300 3,061,969
Willamette Industries 27,200 1,038,700
Worthington Industries 21,800 269,775
206,265,656
SERVICES--5.9%
ALLTEL 76,600 5,103,475
Allied Waste Industries 46,100 (a) 282,363
American Greetings, Cl. A 15,700 284,563
The Fund
STATEMENT OF INVESTMENTS (Unaudited) (CONTINUED)
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
SERVICES (CONTINUED)
Automatic Data Processing 153,800 8,276,363
CBS 186,013 (a) 10,928,264
Carnival 150,500 3,743,688
Ceridian 35,300 (a) 765,569
Clear Channel Communications 82,600 (a) 5,947,200
Comcast, Cl. A 226,100 (a) 9,058,131
Computer Sciences 40,800 (a) 3,327,750
Deluxe 7,900 450,856
Disney (Walt) 505,000 21,872,813
Donnelley (R.R.) & Sons 30,800 654,500
Dow Jones & Co 21,900 1,420,763
Dun & Bradstreet 39,300 1,183,913
Electronic Data Systems 114,900 7,899,375
Gannett 68,000 4,343,500
Harcourt General 17,400 650,325
IMS Health 75,100 1,281,394
Interpublic Group Cos. 68,500 2,808,500
Jostens 8,100 199,969
Knight-Ridder 20,500 1,005,781
McGraw-Hill Cos. 47,800 2,509,500
MediaOne Group 149,300 (a) 11,290,813
Meredith 12,500 347,656
NEXTEL Communications, Cl. A 88,900 (a) 9,728,994
New York Times, Cl. A 41,800 1,721,638
Omnicom Group 43,300 3,943,006
Paychex 60,250 3,170,656
Quintiles Transnational 28,000 (a) 400,750
Ryder System 14,600 323,938
Shared Medical Systems 6,600 273,488
Sprint (PCS Group) 210,300 (a) 11,566,500
Time Warner 313,900 28,231,381
Times Mirror, Cl. A 14,600 1,424,413
Tribune 58,000 2,254,750
Viacom, Cl. B 170,100 (a) 9,249,188
Waste Management 151,200 2,400,300
Young & Rubicam 17,000 946,688
181,272,714
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
TECHNOLOGY--29.7%
ADC Telecommunications 73,300 (a) 4,452,975
Adaptec 25,400 (a) 685,800
Adobe Systems 28,900 3,495,094
Advanced Micro Devices 35,900 (a) 3,150,225
Altera 48,900 (a) 5,000,025
Analog Devices 85,300 (a) 6,552,106
Andrew 19,650 (a) 578,447
Apple Computer 39,400 (a) 4,888,063
Applied Materials 186,700 (a) 19,008,394
Autodesk 15,000 575,625
BMC Software 59,600 (a) 2,790,025
Cabletron Systems 44,500 (a) 1,017,938
Cisco Systems 1,669,400 (a) 115,736,372
Citrix Systems 43,700 (a) 2,668,431
Compaq Computer 413,284 12,088,557
Computer Associates International 143,550 8,011,884
Compuware 87,900 (a) 1,104,244
Comverse Technology 37,200 (a) 3,317,775
Conexant Systems 52,400 (a) 3,137,450
Corning 67,200 13,272,000
Danaher 34,700 1,982,238
Dell Computer 625,900 (a) 31,373,238
Dover 49,700 2,525,381
EMC 248,300 (a) 34,498,181
Eaton 18,000 1,512,000
Gateway 77,200 (a) 4,265,300
Hewlett-Packard 245,200 33,102,000
ITT Industries 21,400 675,438
Ikon Office Solutions 36,600 215,025
Intel 815,100 103,364,869
International Business Machines 439,800 49,092,675
Johnson Controls 20,800 1,316,900
KLA-Tencor 44,800 (a) 3,354,400
LSI Logic 72,600 (a) 4,537,500
Lexmark International Group, Cl. A 31,200 (a) 3,681,600
Linear Technology 75,500 4,312,938
Lucent Technologies 777,670 48,361,353
The Fund
STATEMENT OF INVESTMENTS (Unaudited) (CONTINUED)
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
TECHNOLOGY (CONTINUED)
Micron Technology 65,900 (a) 9,176,575
Microsoft 1,269,900 (a) 88,575,464
Millipore 11,000 788,563
Molex 47,800 2,626,013
Motorola 173,065 20,605,552
NCR 23,600 (a) 911,550
National Semiconductor 41,800 (a) 2,539,350
Network Appliance 74,400 (a) 5,500,950
Nortel Networks 352,240 39,891,180
Novell 79,700 (a) 1,564,113
Oracle 688,400 (a) 55,028,975
PE Biosystems Group 50,300 3,018,000
Parametric Technology 67,100 (a) 547,284
PeopleSoft 65,500 (a) 912,906
PerkinElmer 11,700 640,575
Pitney Bowes 64,700 2,644,613
QUALCOMM 180,000 (a) 19,518,750
Sabre Group Holdings 31,621 1,104,759
Schlumberger 134,200 10,274,688
Scientific-Atlanta 38,600 2,511,413
Seagate Technology 52,700 (a) 2,677,819
Silicon Graphics 44,900 (a) 322,719
Solectron 144,600 (a) 6,769,088
Sun Microsystems 385,100 (a) 35,405,131
Tektronix 11,500 665,563
Tellabs 98,100 (a) 5,377,106
Teradyne 41,700 (a) 4,587,000
Texas Instruments 198,400 32,314,400
Thermo Electron 38,600 (a) 747,875
Unisys 75,800 (a) 1,757,613
Veritas Software 94,400 (a) 10,125,875
Xerox 162,100 4,285,519
Xilinx 78,400 (a) 5,742,800
918,862,247
UTILITIES--7.9%
AES 50,400 (a) 4,532,850
AT&T 779,629 36,398,929
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
UTILITIES (CONTINUED)
Ameren 33,500 1,229,031
American Electric Power 47,400 1,736,025
Bell Atlantic 378,836 22,446,033
BellSouth 459,300 22,362,169
CINergy 38,800 1,037,900
CMS Energy 28,300 537,700
Carolina Power & Light 38,900 1,422,281
Central & Southwest 51,900 1,125,581
CenturyTel 34,100 835,450
Consolidated Edison 53,900 1,896,606
Constellation Energy Group 36,500 1,206,781
DTE Energy 35,400 1,154,925
Dominion Resources 58,108 2,614,860
Edison International 84,700 1,614,594
Entergy 60,200 1,531,338
FPL Group 43,700 1,974,694
FirstEnergy 56,900 1,447,394
Florida Progress 24,000 1,176,000
GPU 30,100 844,681
GTE 237,100 16,063,525
Global Crossing 190,265 (a) 5,993,348
MCI WorldCom 692,490 (a) 31,465,014
New Century Energies 28,200 920,025
Niagara Mohawk Power 43,300 (a) 600,788
Northern States Power 37,800 824,513
PG&E 93,700 2,430,344
PECO Energy 45,300 1,888,444
PPL 35,100 838,013
Pinnacle West Capital 20,700 727,088
Public Service Enterprise Group 53,300 1,912,138
Reliant Energy 72,166 1,921,420
SBC Communications 832,298 36,465,056
Sempra Energy 49,866 925,638
Southern 164,200 4,094,738
Sprint (FON Group) 212,600 13,074,900
Texas Utilities 67,397 2,270,436
The Fund
STATEMENT OF INVESTMENTS (Unaudited) (CONTINUED)
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
UTILITIES (CONTINUED)
UniCom 53,100 2,110,725
U S West 123,302 8,777,561
242,429,536
TOTAL COMMON STOCKS
(cost $1,770,276,898) 3,014,003,001
------------------------------------------------------------------------------------------------------------------------------------
Principal
SHORT-TERM INVESTMENTS--2.4% Amount ($) Value ($)
------------------------------------------------------------------------------------------------------------------------------------
REPURCHASE AGREEMENT--2.2%
Greenwich Capital Markets, 5.72% dated
4/28/2000, due 5/1/2000 in the amount
of $68,557,664 (fully collateralized by
$75,132,000 of various U.S. Government
Agency Obligations, value $69,898,878) 68,525,000 68,525,000
U.S. TREASURY BILLS--.2%
5.63%, 6/15/2000 1,000,000 (b) 993,270
5.63%, 7/20/2000 3,500,000 (b) 3,456,355
5.64%, 7/27/2000 500,000 (b) 493,185
4,942,810
TOTAL SHORT-TERM INVESTMENTS
(cost $73,467,370) 73,467,810
------------------------------------------------------------------------------------------------------------------------------------
TOTAL INVESTMENTS (cost $1,843,744,268) 100.0% 3,087,470,811
CASH AND RECEIVABLES (NET) .0% 1,279,323
NET ASSETS 100.0% 3,088,750,134
(A) NON-INCOME PRODUCING.
(B) PARTIALLY HELD BY THE CUSTODIAN IN A SEGREGATED ACCOUNT AS COLLATERAL FOR OPEN FINANCIAL FUTURES POSITIONS.
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C>
STATEMENT OF FINANCIAL FUTURES
April 30, 2000 (Unaudited)
Market Value Unrealized
Covered by (Depreciation)
Contracts Contracts ($) Expiration at 4/30/2000 ($)
------------------------------------------------------------------------------------------------------------------------------------
FINANCIAL FUTURES LONG
Standard & Poor's 500 211 77,015,000 June 2000 (268,800)
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
The Fund
STATEMENT OF ASSETS AND LIABILITIES
April 30, 2000 (Unaudited)
Cost Value
--------------------------------------------------------------------------------
ASSETS ($):
Investments in securities--
See Statement of Investments--Note 1(b) 1,843,744,268 3,087,470,811
Cash 2,640,196
Dividends and interest receivable 2,275,159
Receivable for shares of Common Stock subscribed 1,324,486
3,093,710,652
--------------------------------------------------------------------------------
LIABILITIES ($):
Due to The Dreyfus Corporation and affiliates 1,264,622
Payable for shares of Common Stock redeemed 3,302,496
Payable for futures variation margin-Note 4(b) 393,400
4,960,518
--------------------------------------------------------------------------------
NET ASSETS ($) 3,088,750,13
--------------------------------------------------------------------------------
COMPOSITION OF NET ASSETS ($):
Paid-in capital 1,862,964,17
Accumulated undistributed investment income--net 6,002,773
Accumulated net realized gain (loss) on investments (23,674,554)
Accumulated net unrealized appreciation (depreciation)
on investments [including ($268,800) net unrealized
(depreciation) on financial futures]--Note 4(b) 1,243,457,743
--------------------------------------------------------------------------------
NET ASSETS ($) 3,088,750,134
--------------------------------------------------------------------------------
SHARES OUTSTANDING
(200 MILLION SHARES OF $.001 PAR VALUE COMMON STOCK AUTHORIZED) 72,680,964
NET ASSET VALUE, offering and redemption price per share--Note3(c) ($) 42.5
SEE NOTES TO FINANCIAL STATEMENTS.
STATEMENT OF OPERATIONS
Six Months Ended April 30, 2000 (Unaudited)
--------------------------------------------------------------------------------
INVESTMENT INCOME ($):
INCOME:
Cash dividends (net of $22,767 foreign taxes withheld at source) 17,045,555
Interest 1,546,813
TOTAL INCOME 18,592,368
EXPENSES:
Management fee--Note 3(a) 3,707,049
Shareholder servicing costs--Note 3(b) 3,707,049
Loan commitment fees--Note 2 20,744
Interest expense--Note 2 322
TOTAL EXPENSES 7,435,164
INVESTMENT INCOME--NET 11,157,204
--------------------------------------------------------------------------------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS--NOTE 4 ($):
Net realized gain (loss) on investments (9,341,871)
Net realized gain (loss) on financial futures 435,994
NET REALIZED GAIN (LOSS) (8,905,877)
Net unrealized appreciation (depreciation) on investments
[including ($4,928,275) net unrealized (depreciation) on
financial futures] 190,603,249
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS 181,697,372
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS 192,854,576
SEE NOTES TO FINANCIAL STATEMENTS.
The Fund
STATEMENT OF CHANGES IN NET ASSETS
Six Months Ended
April 30, 2000 Year Ended
(Unaudited) October 31, 1999
--------------------------------------------------------------------------------
OPERATIONS ($):
Investment income--net 11,157,204 22,145,437
Net realized gain (loss) on investments (8,905,877) 25,103,352
Net unrealized appreication (depreciation)
on investments 190,603,249 439,174,812
NET INCREASE (DECREASE) IN NET ASSETS
RESULTING FROM OPERATIONS 192,854,576 486,423,601
--------------------------------------------------------------------------------
DIVIDENDS TO SHAREHOLDERS FROM ($):
Investment income--net (22,402,251) (21,016,765)
Net realized gain on investments (35,773,597) --
TOTAL DIVIDENDS (58,175,848) (21,016,765)
--------------------------------------------------------------------------------
CAPITAL STOCK TRANSACTIONS ($):
Net proceeds from shares sold 748,772,932 1,364,922,506
Dividends reinvested 56,332,368 19,813,208
Cost of shares redeemed (651,062,247) (893,875,934)
INCREASE (DECREASE) IN NET ASSETS FROM
CAPITAL STOCK TRANSACTIONS 154,043,053 490,859,780
TOTAL INCREASE (DECREASE) IN NET ASSETS 288,721,781 956,266,616
--------------------------------------------------------------------------------
NET ASSETS ($):
Beginning of Period 2,800,028,353 1,843,761,737
END OF PERIOD 3,088,750,134 2,800,028,353
Undistributed investment income--net 6,002,773 17,247,820
--------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS (SHARES):
Shares sold 17,930,391 35,881,434
Shares issued for dividends reinvested 1,342,845 545,219
Shares redeemed (15,651,800) (23,641,873)
NET INCREASE (DECREASE) IN SHARES OUTSTANDING 3,621,436 12,784,780
SEE NOTES TO FINANCIAL STATEMENTS
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C> <C>
FINANCIAL HIGHLIGHTS
The following table describes the performance for the fiscal periods indicated.
Total return shows how much your investment in the fund would have increased (or
decreased) during each period, assuming you had reinvested all dividends and
distributions. These figures have been derived from the fund's financial
statements.
Six Months Ended
April 30, 2000 Year Ended October 31,
-----------------------------------------------------------------
(Unaudited) 1999 1998 1997 1996 1995
------------------------------------------------------------------------------------------------------------------------------------
PER SHARE DATA ($):
Net asset value,
beginning of period 40.55 32.76 27.73 22.06 18.38 16.41
Investment Operations:
Investment income--net .16(a) .35(a) .34 .34 .33 .36
Net realized and unrealized
gain (loss) on investments 2.62 7.80 5.46 6.37 3.89 3.36
Total from Investment Operations 2.78 8.15 5.80 6.71 4.22 3.72
Distributions:
Dividends from investment
income--net (.32) (.36) (.30) (.38) (.32) (.42)
Dividends from net realized gain
on investments (.51) -- (.47) (.66) (.22) (1.33)
Total Distributions (.83) (.36) (.77) (1.04) (.54) (1.75)
Net asset value, end of period 42.50 40.55 32.76 27.73 22.06 18.38
------------------------------------------------------------------------------------------------------------------------------------
TOTAL RETURN (%) 6.88(b) 25.00 21.34 31.46 23.41 25.68
------------------------------------------------------------------------------------------------------------------------------------
RATIOS/SUPPLEMENTAL DATA (%):
Ratio of operating expenses to
average net assets .25(b) .50 .50 .50 .57 .55
Ratio of interest expense to
average net assets .00(b,c) -- -- -- -- --
Ratio of net investment income
to average net assets .37(b) .92 1.14 1.52 1.90 2.75
Decrease reflected in above expense
ratios due to undertakings by
The Dreyfus Corporation -- -- -- .05 -- --
Portfolio Turnover Rate 2.65(b) 9.61 7.15 2.26 5.22 3.66
------------------------------------------------------------------------------------------------------------------------------------
Net Assets, end of period
($ x 1,000) 3,088,750 2,800,028 1,843,762 1,279,451 591,631 336,147
(A) BASED ON AVERAGE SHARES OUTSTANDING AT EACH MONTH END.
(B) NOT ANNUALIZED.
(C) AMOUNT REPRESENTS LESS THAN .01%.
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
The 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, as amended (the "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. Dreyfus is a direct subsidiary of
Mellon Bank, N.A., which is a wholly-owned subsidiary of Mellon Financial
Corporation. Effective March 22, 2000, Dreyfus Service Corporation ("DSC"), a
wholly-owned subsidiary of the Manager, became the distributor of the fund's
shares, which are sold to the public without a sales charge. Prior to March 22,
2000, Premier Mutual Fund Services, Inc. was the distributor.
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. 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.
The fund may enter into repurchase agreements with financial institutions,
deemed to be creditworthy by the fund' s Manager, subject to the seller's
agreement to repurchase and the fund's agreement to resell such securities at a
mutually agreed upon price. Securities purchased subject to repurchase
agreements are deposited with the fund's custodian and, pursuant to the terms of
the repurchase agreements, must have an aggregate market value greater than or
equal to the repurchase price plus accrued interest at all times. If the value
of the underlying securities falls below the value of the repurchase price plus
accrued interest, the fund will require the seller to deposit additional
collateral by the next business day. If the request for additional collateral is
not met, or the seller defaults on its repurchase obligations, the fund
maintains the right to sell the underlying securities at market value and may
claim any resulting loss against the seller.
(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 of 1986, as amended (the "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 Code,
and to make distributions of taxable income sufficient to relieve it from
substantially all Federal income and excise taxes.
The Fund
NOTES TO FINANCIAL STATEMENTS (Unaudited) (CONTINUED)
NOTE 2--Bank Line of Credit:
The fund participates with other Dreyfus-managed funds in a $500 million
redemption credit facility (the "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.
The average daily amount of borrowings outstanding under the Facility during the
period ended April 30, 2000 was approximately $9,900 with a related weighted
average annualized interest rate of 6.53%.
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 Board
members (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 Board members
(including counsel fees) . Each Board member also serves as a Board member of
other funds within the Dreyfus complex (collectively, the "Fund Group").
Effective April 25, 2000, each Board member receives an annual fee of $25,000
and a fee of $4,000 for each meeting held in person and $500 for telephone
meetings. These fees are allocated among the funds in the Fund Group. The
Chairman of the Board receives an additional 25% of such compensation. Subject
to the fund's Director Emeritus Program Guidelines, Emeritus Board members, if
any, receive 50% of the fund's annual retainer fee and per meeting fee paid at
the time the Board member achieved emeritus status. Prior to April 25, 2000,
each Board member received an annual
fee of $2,500 and an attendance fee of $500 per meeting and was reimbursed for
travel and out-of-pocket expenses. The Chairman of the Board received an
additional 25% of such compensation (with the exception of reimburseable
amounts) . These fees and expenses were charged and allocated to each series
based on net assets. Amounts required to be paid by the Company directly to the
non-interested Board members, that were applied to offset a portion of the
management fee payable to Dreyfus were in fact paid directly by Dreyfus to the
non-interested Board members.
(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, 2000, the fund was charged $3,707,049 pursuant to
the Shareholder Services Plan, of which $839,318 was paid to DSC.
(C) A 1% redemption fee is charged and retained by the fund on shares redeemed
within six month period following the date of issuance, including redemptions
made through the use of the fund's exchange privilege. During the period ended
April 30, 2000, redemption fees retained by the fund amounted to $29,169.
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, 2000, amounted to $218,166,354 and $77,019,166, 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 The Fund
NOTES TO FINANCIAL STATEMENTS (Unaudited) (CONTINUED)
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, 2000, are set forth in the Statement of Financial Futures.
(B) At April 30, 2000, accumulated net unrealized appreciation on investments
and financial futures was $1,243,457,743, consisting of $1,351,736,304 gross
unrealized appreciation and $108,278,561 gross unrealized depreciation.
At April 30, 2000, 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).
NOTES
For More Information
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
Distributor
Dreyfus Service Corporation
200 Park Avenue
New York, NY 10166
To obtain information:
BY TELEPHONE Call 1-800-645-6561
BY MAIL Write to: The Dreyfus Family of Funds 144 Glenn Curtiss Boulevard
Uniondale, NY 11556-0144
BY E-MAIL Send your request to [email protected]
ON THE INTERNET Information can be viewed online or downloaded from:
http://www.dreyfus.com
(c) 2000 Dreyfus Service Corporation 078SA004
Dreyfus International
Stock Index Fund
SEMIANNUAL REPORT April 30, 2000
(reg.tm)
The views expressed herein are current to the date of this report. These views
and the composition of the fund's portfolio are subject to change at any time
based on market and other conditions.
* Not FDIC-Insured * Not Bank-Guaranteed * May Lose Value
Contents
THE FUND
--------------------------------------------------
2 Letter from the President
3 Discussion of Fund Performance
6 Statement of Investments
27 Statement of Financial Futures
28 Statement of Assets and Liabilities
29 Statement of Operations
30 Statement of Changes in Net Assets
31 Financial Highlights
32 Notes to Financial Statements
FOR MORE INFORMATION
---------------------------------------------------------------------------
Back Cover
The Fund
Dreyfus International
Stock Index Fund
LETTER FROM THE PRESIDENT
Dear Shareholder:
We are pleased to present this semiannual report for Dreyfus International Stock
Index Fund, covering the six-month period from November 1, 1999 through April
30, 2000. Inside, you' ll find valuable information about how the fund was
managed during the reporting period, including a discussion with the fund's
portfolio manager, Susan Ellison.
When the reporting period began, it had become apparent that global economic
growth was substantially stronger than many analysts had expected. In fact, many
global markets had already rebounded sharply from 1998's currency and credit
crises in emerging market countries. The rally continued through the final two
months of 1999 and into the first quarter of 2000, before peaking in early
March. In April, many markets around the world experienced heightened levels of
volatility when expensively priced technology stocks began to decline sharply in
the wake of evidence that inflationary pressures were building.
We appreciate your confidence over the past six months, and we look forward to
your continued participation in Dreyfus International Stock Index Fund.
Sincerely,
Stephen E. Canter
President and Chief Investment Officer
The Dreyfus Corporation
May 15, 2000
DISCUSSION OF FUND PERFORMANCE
Susan Ellison, Portfolio Manager
How did Dreyfus International Stock Index Fund perform relative to its
benchmark?
For the six-month period ended April 30, 2000, the fund produced a total return
of 6.26%.(1) This performance met the fund's goal of mirroring, after adjustment
for fees and expenses, the return of its benchmark, the Morgan Stanley Capital
International Europe, Australasia, Far East Free Index ("MSCI EAFE Free Index"),
which reported a total return of 6.71% for the same period.(2)
What is the fund's investment approach?
In managing an index fund, our goal is to match the risk and return
characteristics of our benchmark. The MSCI EAFE Free Index is a broadly
diversified, international index composed of approximately 1,000 stocks that
trade in 20 major markets outside the United States, including Great Britain,
Germany and France in Europe, Japan, Hong Kong and Singapore in Asia, as well as
Australia and New Zealand. Weighted by market capitalization (the total value of
all shares outstanding in a country's stock market) approximately 73% of the
MSCI EAFE Free Index' s total value is represented by its top five countries,
which currently are Japan, Great Britain, France, Germany and Switzerland. The
Index is diversified among industry groups, as those groups are represented in
individual country markets.
In order to simplify management and control costs, the fund attempts to match
the Index' s return, not to duplicate its composition. Our carefully created
sample attempts to match index weightings at the country, industry and
individual security levels. Beginning by country, the fund invests in proportion
to each country' s weighting in the Index. That means if the Japanese market
comprises 28% of the Index, then approximately 28% of the fund's assets will be
invested in Japan. In addi The Fund
DISCUSSION OF FUND PERFORMANCE (CONTINUED)
tion, the fund' s industry allocation also matches that of the Index, in the
proper proportion. For example, if a certain percentage of the market value in
the British sub-index is comprised of financial service firms, that same
approximate percentage of the fund's investment in the British market will also
be invested in that sector. At the individual company level, the fund invests in
a carefully selected sample of the stocks that make up each country's index
component. The fund also invests in securities that represent the market as a
whole, such as stock index futures, and manages its exposure to foreign
currencies so that the fund's currency profile matches the currency makeup of
the Index.
What other factors influenced the fund's performance?
For most of the reporting period, a strong U.S. economy drove global growth.
After it became apparent that Y2K concerns were greatly overblown, U.S. stocks
surged ahead, rallying through mid-March. From that point, increasing concerns
over higher interest rates and their potential effect on lofty stock prices
served to trim gains. In an increasingly interconnected global market, the rally
and subsequent stumble in U.S. stocks greatly affected global stock markets.
In Japan, stocks fell back from previously strong gains while the economy, as
well as the stock market, moved forward in fits and starts. On the one hand,
investors continue to be encouraged by real steps that the Japanese government
appears to be taking in terms of corporate and financial restructuring. But
demand for Japanese products remained weak. In fact, technology and
telecommunications stocks that had previously shown strong gains seemed to
retreat beginning in December. Fortunately, strength in the yen improved
investment returns in dollar terms.
Europe, on the other hand, moved ahead sharply, although in dollar terms,
advances were held back by the weakness of the euro. In many countries, market
forces are replacing government guidance in determining how economies will be
run. For example, global forces are
making businesses rethink long-standing corporate practices and global
competition is creating a strong emphasis on adopting more competitive business
practices.
Several of the individual markets included in the Index advanced sharply,
including Sweden and Finland. A number of markets, however, performed poorly,
including Belgium, Singapore, New Zealand and Australia.
What is the fund's current strategy?
Many investors have come to view international investing as a means by which to
improve diversification and seek opportunities for growth outside the United
States. We believe that an investment in an index fund such as the Dreyfus
International Stock Index Fund offers investors a cost-effective,
well-diversified approach to broad exposure to international stock markets. To
provide such exposure to our shareholders, we plan to continue to follow our
strategy of remaining fully invested in such a manner that the fund mirrors the
risk/return characteristics of the MSCI EAFE Free Index.
May 15, 2000
(1) TOTAL RETURN INCLUDES REINVESTMENT OF DIVIDENDS AND ANY CAPITAL GAINS PAID.
PAST PERFORMANCE IS NO GUARANTEE OF FUTURE RESULTS. SHARE PRICE AND INVESTMENT
RETURN FLUCTUATE SUCH THAT UPON REDEMPTION, SHARES MAY BE WORTH MORE OR LESS
THAN THEIR ORIGINAL COST.
(2) SOURCE: MORGAN STANLEY CAPITAL INTERNATIONAL -- REFLECTS REINVESTMENT OF
NET DIVIDENDS AND, WHERE APPLICABLE, CAPITAL GAIN DISTRIBUTIONS. THE MORGAN
STANLEY CAPITAL INTERNATIONAL EUROPE, AUSTRALASIA, FAR EAST (MSCI EAFE) FREE
INDEX IS AN UNMANAGED INDEX COMPOSED OF A SAMPLE OF COMPANIES REPRESENTATIVE OF
THE MARKET STRUCTURE OF EUROPEAN AND PACIFIC BASIN COUNTRIES. THE INDEX REFLECTS
ACTUAL INVESTABLE OPPORTUNITIES FOR GLOBAL INVESTORS FOR STOCKS THAT ARE FREE OF
FOREIGN OWNERSHIP LIMITS OR LEGAL RESTRICTIONS AT THE COUNTRY LEVEL.
The Fund
<TABLE>
<CAPTION>
<S> <C> <C>
April 30, 2000 (Unaudited)
STATEMENT OF INVESTMENTS
STATEMENT OF INVESTMENTS
COMMON STOCKS--93.4% Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
AUSTRALIA-- 2.1%
AMP 4,413 38,625
AMP Diversified Property Trust (Units) 3,900 5,416
Amcor 1,500 4,438
Brambles Industries 800 22,500
Broken Hill Proprietary 9,400 101,142
CSL 600 7,212
CSR 11,900 26,039
Coca-Cola Amatil 5,020 11,992
Coles Myer 7,027 26,291
Colonial 4,632 23,895
Delta Gold NL 4,600 4,295
Foster's Brewing 4,700 11,864
General Property Trust (Units) 5,834 9,021
Howard Smith 1,839 9,550
Iluka Resources 4,328 9,470
Lend Lease 2,461 26,646
M.I.M. 14,639 7,090
National Australia Bank 6,731 92,140
Newcrest Mining 3,180 (a) 6,346
News 8,746 110,976
Normandy Mining 12,572 6,235
North 3,956 6,798
Orica 4,700 18,566
Pioneer International 2,100 5,882
QBE Insurance 3,500 14,690
Rio Tinto 1,551 23,021
Santos 2,200 5,006
Sons of Gwalia 4,131 10,485
Southcorp 1,524 4,749
Stockland Trust (Units) 2,678 5,422
TABCORP 800 4,279
Telstra 39,297 168,305
WMC 6,280 26,053
Wesfarmers 2,840 19,751
Westfield Trust (Units) 10,301 18,873
Westpac Banking 8,500 54,210
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
AUSTRALIA (CONTINUED)
Woolworths 3,630 12,167
959,440
AUSTRIA--.2%
Austria Tabakwerke 200 7,072
Bank Austria 325 14,453
Bau 150 6,124
Generali Holding Vienna 50 7,290
Lenzing 180 9,186
Mayr-Melnhof Karton 115 5,437
Oesterreichische Elektrizitaetswirtschafts, Cl. A 190 18,198
RHI 800 18,955
86,715
BELGIUM-- .7%
Barco 140 15,310
Bekaert 240 10,957
Colruyt 120 4,647
Compagnie Maritime Belge 300 13,533
Delhaize "Le lion" 100 5,071
D'Ieteren 50 12,530
Electrabel 180 43,617
Fortis (B) 2,902 73,440
Glaverbel 250 15,150
Groupe Bruxelles Lambert 90 21,899
KBC Bancassurance 1,280 47,125
Solvay 500 33,900
UCB 625 21,074
318,253
DENMARK--.7%
A/S Dampskibsselskabet Svenborg 3 41,618
Bang & Olufsen, Cl. B 100 3,325
Carlsberg, Cl. A 440 13,337
D/S 1912, Cl. B 5 50,419
Danisco 767 23,062
Den Danske Bank 290 28,888
ISS, Cl. B 290 18,361
Navision Software 100 7,334
Novo Nordisk, Cl. B 325 43,696
The Fund
STATEMENT OF INVESTMENTS (Unaudited) (CONTINUED)
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
DENMARK (CONTINUED)
Radiometer, Cl. B 100 3,178
Tele Danmark 1,010 74,070
Unidanmark, Cl. A 500 40,029
347,317
FINLAND--3.5%
Finnlines 175 3,054
Kesko, Cl. B 690 7,546
Kone, Cl. B 190 10,908
Metso 1,110 14,667
Nokia 23,148 1,331,080
Pohjola Group Insurance 115 5,694
Raisio 650 1,659
Sampo Insurance 225 8,530
Sonera 3,595 198,205
Stockmann, Cl. B 1,500 20,094
Tietoenator 350 16,905
UPM-Kymmene 1,190 30,907
1,649,249
FRANCE--9.5%
Accor 645 24,011
Air Liquide 460 60,029
Alcatel 986 229,128
Aventis 3,597 198,316
Axa 1,578 234,543
Banque Nationale de Paris 1,993 161,462
Bouygues 153 97,879
CPR 200 7,236
Canal Plus 550 106,258
Cap Gemini 352 69,288
Carrefour 3,339 217,867
Club Mediterranee 150 18,727
Coflexip 100 9,751
Compagnie de Saint Gobain 381 52,116
Compagnie Francaise d'etudes et de construction 200 22,873
Compagnie Generale des Etablissements Michelin, Cl. B 612 20,357
Danone 310 67,942
Dassault Systemes 420 32,380
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
FRANCE (CONTINUED)
Eridania Beghin-Say 139 11,508
Essilor International 50 13,396
Establissments Economiques du Casino Guichard-Perrachon 505 46,205
France Telecom 4,679 725,728
Imerys 80 9,478
L'Oreal 292 198,510
LVMH 454 190,978
Lafarge 343 28,476
Lagardere S.C.A. 525 35,643
Nord-Est 200 4,857
PSA Peugeot Citroen 217 45,008
Pechiney, Cl. A 200 8,785
Pernod Ricard 300 13,601
Pinault-Printemps-Redoute 515 104,142
Publicis 36 17,519
Sagem 50 62,333
Sanofi-Synthelabo 3,203 119,821
Schneider Electric 670 43,961
Sidel 147 9,217
Simco 120 7,775
Societe BIC 250 9,979
Societe Eurafrance 34 14,872
Societe Generale, Cl. A 500 103,797
Sodexho Alliance 90 13,516
Suez Lyonnaise des Eaux 948 149,265
Suez Lyonnaise des Eaux- VVPR Strips 240 2
Thomson CSF 891 31,748
Total Fina 2,971 451,877
Total Fina , Cl. B 358 54,157
Total Fina - VVPR Strips 1,008 9
Unibail 50 6,334
Usinor 1,040 13,695
Valeo 295 16,399
Vivendi 2,696 267,307
4,460,061
GERMANY--7.9%
AGIV 630 11,769
The Fund
STATEMENT OF INVESTMENTS (Unaudited) (CONTINUED)
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
GERMANY (CONTINUED)
Adidas-Salomon 230 14,504
Allianz 1,036 399,829
BASF 2,406 104,258
Bayer 3,375 140,095
Beiersdorf 355 23,131
Bilfinger & Berger Bau 220 3,088
Buderus 1,040 17,609
Continental 600 10,936
DaimlerChrysler 4,416 257,555
Deutsche Bank 2,541 171,124
Deutsche Lufthansa 1,924 40,239
Deutsche Telekom 13,730 882,107
Dresdner Bank 2,260 93,915
EM. TV & Merchandising 480 38,056
Fresenius Medical Care 350 25,836
Gehe 700 22,327
Heidelberger Zement 220 12,972
HypoVereinsbank 1,866 115,803
IWKA 500 7,860
Kamps 600 19,657
Karstadt 330 10,074
Linde 533 20,546
MAN 350 11,387
Merck KGaA 1,050 30,237
Metro 1,193 45,390
Muenchener Rueckversicherungs-Gesellschaft 790 231,097
Preussag 545 22,548
RWE 2,836 91,489
SAP 278 130,724
SGL Carbon 155 11,794
Salamandar 500 6,333
Schering 310 43,929
Siemens 2,635 389,727
Thyssen Krupp 2,450 51,352
Veba 2,158 106,884
Viag 2,711 52,375
Volkswagen 890 33,537
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
GERMANY (CONTINUED)
WCM Beteiligungs - und Grundbesitz 880 26,384
3,728,477
HONG KONG--2.1%
Bank of East Asia 4,600 9,951
CLP 11,740 52,602
Cable & Wireless HKT 57,908 136,421
Cathay Pacific Airways 18,000 32,468
Cheung Kong 11,000 131,336
Hang Seng Bank 9,400 86,588
Hong Kong & China Gas 23,795 26,119
Hutchison Whampoa 18,000 262,286
Johnson Electric 4,000 32,224
New World Development 14,515 19,567
Shangri-La Asia 20,000 22,210
Sino Land 38,000 14,270
Sun Hung Kai Properties 12,384 98,176
Swire Pacific, Cl. A 7,500 42,366
Television Broadcasts 1,000 6,836
Wharf 10,171 21,088
994,508
IRELAND--.4%
Allied Irish Banks 3,629 36,312
CRH 1,882 30,185
Eircom 9,000 (a) 31,413
Fyffes 5,063 8,536
Greencore 11 31
Independent News & Media 2,100 16,802
Irish Continental 800 7,582
Irish Life & Permanent 1,200 9,951
Jefferson Smurfit 8,300 18,153
Ryanair 1,200 (a) 10,006
168,971
ITALY--4.0%
Alitalia 5,500 11,002
Assicurazioni Generali 6,182 175,826
Autogrill 700 6,688
Banca di Roma 30,000 31,741
The Fund
STATEMENT OF INVESTMENTS (Unaudited) (CONTINUED)
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
ITALY (CONTINUED)
Banca Intesa 21,984 82,019
Banca Intesa (RNC) 9,712 19,569
Benetton 7,300 13,378
Bulgari 1,050 11,346
ENI 37,700 187,172
Enel 35,040 149,313
Fiat 2,385 58,640
Italcementi 1,505 13,202
Italgas 2,836 12,416
La Rinascente 3,900 17,745
Mediaset 5,395 89,234
Mediobanca 4,444 36,979
Mondadori (Arnoldo) Editore 700 17,013
Olivetti 22,940 (a) 75,677
Parmalat Finanziaria 14,050 14,673
Pirelli 7,500 18,160
Riunione Adriatica di Sicurta 2,700 27,461
San Paolo-IMI 7,013 98,676
Societa Assicuratrice Industriale 500 3,937
Telecom Italia 17,550 246,105
Telecom Italia (RNC) 4,100 25,725
Telecom Italia Mobile 30,011 287,302
Telecom Italia Mobile (RNC) 9,020 35,132
UniCredito Italiano 27,092 111,273
1,877,404
JAPAN--25.0%
ALPS ELECTRIC 1,000 12,723
AMADA 2,000 18,209
ASAHI BREWERIES 2,000 20,356
ASATSU-DK 300 12,380
Acom 600 57,793
Advantest 500 114,319
Ajinomoto 2,800 31,996
Aoyamma Trading 200 2,611
Asahi Bank 13,000 62,549
Asahi Chemical Industry 7,900 45,467
Asahi Glass 5,800 50,876
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
JAPAN (CONTINUED)
BANK OF FUKUOKA 3,000 19,792
Bank of Tokyo-Mitsubishi 21,620 278,864
Bank of Yokohama 3,000 11,492
Benesse 500 43,627
Bridgestone 4,400 95,471
CASIO COMPUTER 2,000 22,022
CHIYODA 3,000 (a) 3,442
CSK 200 7,680
Canon 4,100 187,407
Central Japan Railway 10 53,666
Chugai Pharmaceutical 1,400 26,944
Chuo Mitsui Trust and Banking 4,380 19,737
Citzen Watch 3,000 22,484
Credit Saison 500 8,165
DAIKYO 2,000 (a) 4,090
DAINIPPON INK AND CHEMICALS 4,000 16,433
DAITO TRUST CONSTRUCTION 1,100 17,303
DAIWA HOUSE INDUSTRY 2,400 15,989
Dai Nippon Printing 3,800 64,450
Daido Steel 200 324
Daiei 4,000 11,843
Daiichi Pharmaceutical 1,000 17,192
Daikin Industries 1,000 19,015
Daiwa Bank 13,000 35,132
Daiwa Securities 6,000 91,603
Denki Kagaku Kougyo Kabushiki Kaisha 600 2,065
Denso 4,000 97,895
EBARA 1,000 11,557
East Japan Railway 18 106,592
Eisai 1,000 29,147
FANUC 1,000 104,742
FUJI MACHINERY 200 13,898
FUJI SOFT ABC 200 11,844
Fuji Bank 14,900 124,080
Fuji Photo Film 2,200 88,143
Fujitsu 9,800 277,474
Furukawa Electric 3,000 41,610
The Fund
STATEMENT OF INVESTMENTS (Unaudited) (CONTINUED)
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
JAPAN (CONTINUED)
Gunma Bank 4,000 20,060
HIROSE ELECTRIC 100 12,084
Hitachi 14,900 177,849
Hokuriku Bank 4,000 (a) 8,883
Honda Motor 4,400 196,641
House Foods 1,220 17,610
ITOCHU 6,500 (a) 30,252
Industrial Bank of Japan 11,200 92,232
Isetan 1,000 9,253
Ito-Yokado 2,000 146,010
JAPAN TOBACCO 10 73,560
JUSCO 1,000 18,506
Japan Airlines 9,600 29,846
Japan Energy 600 516
Joyo Bank 4,462 15,937
KADOKAWA SHOTEN PUBLISHING 100 16,192
KAJIMA 7,800 18,115
KANDENKO 105 371
KANEKA 1,000 12,861
KINDEN 3,000 18,515
KIRIN BREWERY 4,000 52,075
KONAMI 300 18,321
KONICA 2,000 9,642
KYOWA HAKKO KOGYO 2,000 19,153
Kamigumi 400 1,743
Kansai Electric Power 5,899 92,790
Kao 3,000 91,326
Kawasaki Heavy Industries 15,000 16,794
Kawasaki Steel 19,600 (a) 30,467
Kinki Nippon Railway 7,995 30,182
Komatsu 2,600 12,510
Konami 300 17,516
Kubota 9,000 29,313
Kumagai Gumi 7,000 (a) 3,692
Kuraray 2,000 16,433
Kurita Water Industries 1,000 21,791
Kyocera 800 133,759
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
JAPAN (CONTINUED)
MAEDA ROAD CONSTRUCTION 200 842
MARUHA 400 492
MITSUBISHI MATERIALS 4,000 13,324
MITSUI MINING 3,000 17,294
Marubeni 9,000 26,065
Marui 2,000 37,567
Matsushita Electric Industrial 9,400 248,753
Meiji Seika Kaisha 2,000 13,047
Minebea 1,000 12,214
Mitsubishi 7,000 60,884
Mitsubishi Chemical 9,200 36,860
Mitsubishi Electric 10,000 85,404
Mitsubishi Estate 6,000 67,453
Mitsubishi Heavy Industries 20,700 64,355
Mitsubishi Trust & Banking 5,200 43,640
Mitsui & Co. 6,400 47,434
Mitsui Fudosan 3,000 30,479
Mitsui Marine & Fire Insurance 5,600 24,612
Mitsukoshi 3,000 (a) 12,242
Murata Manufacturing 1,000 194,310
Mycal 1,000 3,054
NAMCO 200 8,161
NEC 6,800 184,983
NGK INSULATORS 3,000 27,620
NGK SPARK PLUG 2,000 21,171
NIDEC 200 13,879
NIPON MEAT PACKERS 1,000 12,630
NISSHIN FLOUR MILLING 2,000 14,620
NITTO DENKO 1,000 39,232
NSK 3,000 23,123
Nikon 1,600 56,257
Nintendo 600 99,931
Nippon Paper Industries 6,000 37,974
Nippon Express 5,000 31,552
Nippon Light Metal 400 270
Nippon Mitsubishi Oil 6,800 23,532
Nippon Sheet Glass 2,000 17,765
The Fund
STATEMENT OF INVESTMENTS (Unaudited) (CONTINUED)
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
JAPAN (CONTINUED)
Nippon Steel 27,100 60,933
Nippon Telegraph & Telephone 59 731,529
Nippon Yusen Kabushiki Kaisha 6,800 27,055
Nissan Motor 16,000 (a) 72,690
Nissin Food Products 700 16,063
Nomura Securities 9,000 226,509
OBAYASHI 6,000 20,874
OLYMPUS OPTICAL 1,000 16,396
ONWARD KASHIMAYA 1,000 12,935
ORIENTAL LAND 500 53,065
OSAKA GAS 9,000 24,566
Oji Paper 5,000 31,367
Omron 1,000 27,203
Orient 2,000 8,198
Orix 340 48,511
PIONEER 1,000 27,296
Promise 500 40,481
RENOWN 6,000 6,662
Rohm 600 200,972
SEGA ENTERPRISES 300 5,385
SHIMAMURA 200 29,110
SHIMANO 800 14,879
SHIMIZU 3,000 8,105
SMC 300 59,681
SOFTBANK 1,800 444,136
SONY 3,980 458,547
Sakura Bank 17,600 123,440
Sankyo 2,000 44,044
Sanwa Shutter 200 557
Sanyo Electric 7,000 46,699
Secom 1,000 83,831
Seino Transportation 1,000 4,580
Sekisui Chemical 1,000 3,664
Sekisui House 3,000 27,481
77 Bank 1,000 7,180
Sharp 5,000 96,461
Shin-Etsu Chemical 2,000 105,667
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
JAPAN (CONTINUED)
Shionogi & Co. 1,000 15,452
Shiseido 2,000 25,279
Shizuoka Bank 4,400 40,713
Snow Brand Milk Products 500 1,943
Sumitomo 5,000 55,980
Sumitomo Bank 14,307 178,846
Sumitomo Chemical 7,000 34,846
Sumitomo Electric Industries 2,800 37,282
Sumitomo Marine & Fire Insurance 4,000 21,096
Sumitomo Metal Industries 19,000 (a) 12,306
TAKARA SHUZO 1,000 21,467
TAKARA STANDARD 5,000 17,164
TAKEFUJI 700 74,032
TERUMO 1,000 30,257
TOHO 100 18,876
TOKYO DOME 1,000 4,395
TOKYO GAS 25,000 55,054
TOSHIBA 14,000 135,757
TOSOH 3,000 15,850
TOTA 4,000 24,538
TOYOBO 200 281
TRANS COSMOS 100 19,894
Taiheiyo Cement 4,000 5,699
Taisho Pharmaceutical 1,000 33,495
Taiyo Yuden 1,100 77,863
Takashimaya 1,000 7,819
Takeda Chemical Industries 4,000 263,150
Teijin 3,000 13,407
Tohoku Electric Power 1,000 11,788
Tokai Bank 9,800 50,961
Tokio Marine & Fire Insurance 7,800 76,069
Tokyo Broadcasting System 1,000 43,488
Tokyo Electric Power 5,972 140,907
Tokyo Electron 1,000 162,942
Tokyu 4,820 18,910
Toppan Printing 4,000 41,823
Toray Industries 7,000 25,389
The Fund
STATEMENT OF INVESTMENTS (Unaudited) (CONTINUED)
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
JAPAN (CONTINUED)
Tostem 1,000 14,721
Toyo Seikan Kaisha 1,000 17,673
Toyota Motor 17,014 845,387
UNI-CHARM 300 20,319
Ube Industries 600 1,304
WACOAL 2,000 16,877
WORLD 200 15,027
YAMAZAKI BAKING 1,000 8,698
YOKOGAWA ELECTRIC 2,900 22,137
Yamaha 1,000 6,773
Yamanouchi Pharmaceutical 2,000 105,667
Yamato Transport 2,400 59,958
11,764,629
NETHERLANDS--5.5%
ABN AMRO 7,026 145,023
ASM International 2,070 81,115
Aegon 3,113 224,255
Akzo Nobel 1,432 58,763
Baan Company 600 1,952
Buhrmann 496 12,814
Elsevier 3,650 35,591
Getronics 601 35,929
Hagemeyer 406 8,010
Heineken 1,332 74,045
IHC Caland 415 16,829
ING Groep 4,232 231,474
KLM 288 4,855
KPN 2,163 218,501
Koninklijke Ahold 3,172 74,145
Koninklijke Nedlloyd 502 10,636
Koninklijke Pakhoed 578 14,459
Koninkilijke (Royal) Philips Electronics 6,528 291,916
Royal Dutch Petroleum 10,451 603,821
STMicroelectronics 1,320 252,492
Stork 443 5,490
TNT Post 1,929 42,190
Unilever 2,641 120,241
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
NETHERLANDS (CONTINUED)
Vedior 708 7,517
Wolters Kluwer 1,048 24,793
2,596,856
NEW ZEALAND--.2%
Carter Holt Harvey 15,900 13,451
Fisher & Paykel Industries 7,650 22,688
Lion Nathan 6,730 13,612
Telecom Corporation of New Zealand 5,900 24,957
74,708
NORWAY--.3%
Christiania Bank Og Kreditkasse 3,100 14,344
Den Norske Bank 2,300 8,072
Kvaerner 350 4,303
Leif Hough & Co. 1,450 14,019
Norsk Hydro 1,450 53,076
Orkla 1,914 29,629
Petroleum Geo-Services 400 (a) 6,259
SAS Norge Cl. B 1,030 9,152
Schibsted 460 9,563
Storebrand 800 (a) 5,007
153,424
PORTUGAL--.4%
BPI-SGPS 3,620 11,810
Banco Comercial Portugues 3,195 15,024
Banco Espirito Santo 397 9,226
Brisa-Auto Estradas de Portugal 1,000 7,081
Cimpor-Cimentos de Portugal 239 3,565
Companhia de Seguros Tranquilidade 200 5,887
EDP 3,080 54,733
Engil-SGPS 300 12,084
Jeronimo Martins 533 9,530
Portugal Telecom 5,695 63,679
192,619
SINGAPORE--.9%
City Developments 5,000 22,694
Creative Technology 1,000 24,305
Cycle & Carriage 4,000 11,830
The Fund
STATEMENT OF INVESTMENTS (Unaudited) (CONTINUED)
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
SINGAPORE (CONTINUED)
DBS 6,059 83,389
DBS Land 11,000 15,590
First Capital 9,000 9,013
Keppel 3,500 8,117
Oversea-Chinese Banking 5,143 35,240
Sembcorp Industries 8,037 8,472
Singapore Airlines 7,000 72,562
Singapore Press 1,900 37,165
Singapore Technology Engineering 15,000 21,084
Singapore Telecommunications 29,000 41,780
United Overseas Bank 4,112 28,658
Venture Manufacturing 1,000 11,713
431,612
SPAIN--2.7%
ACS 350 9,722
Acerinox 370 14,768
Altadis 2,070 24,391
Autopistas, Concesionaria Espanola 695 6,144
Banco Bilbao Vizcaya 13,748 187,928
Banco Santander Cental Hispano 19,701 205,927
Corporacion Mapfre 900 13,664
Endesa 4,883 106,174
Fomento de Construcciones y Contratas 231 4,747
Gas Natural SDG, Cl. E 1,950 32,662
Grupo Dragados 2,040 15,616
Iberdrola 4,700 60,435
Portland Valderrivas 200 3,864
Repsol-YPF 5,940 121,795
Sociedad General de Aguas de Barcelona 610 8,961
Sol Melia 1,000 12,248
Telefonica 16,049 358,031
TelePizza 1,650 13,367
Union Electrica Fenosa 1,100 21,121
Uralita 2,740 21,574
Vallehermoso 2,870 19,459
1,262,598
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
EDEN--3.4%
Atlas Copco, Cl. A 300 7,020
Atlas Copco, Cl. B 500 11,449
Drott, Cl. B 600 5,361
Electrolux, Cl. B 1,500 25,383
Esselte, Cl. B 1,845 11,437
ForeningsSparbanken 2,475 36,491
Gambro 2,332 13,544
Hennes & Mauritz, Cl. B 4,300 114,308
NetCom, Cl. B 400 (a) 28,460
Nordic Baltic 8,000 50,486
OM Gruppen 550 22,852
SAPA 500 9,159
SKF 500 10,164
SSAB Svenskt Stal, Cl. A 400 4,289
SSAB Svenskt Stal, Cl. B 400 4,602
Sandvik, Cl. A 1,400 33,776
Sandvik, Cl. B 200 4,781
Securitas, Cl. B 1,620 41,979
Skandia Forsakrings 2,445 117,157
Skandinaviska Enskilda Banken, Cl. A 3,120 34,152
Skanska, Cl. B 600 21,914
Svenska Cellulosa, Cl. B 1,583 30,058
Svenska Handelsbanken, Cl. A 2,700 35,737
Swedish Match 3,700 11,034
Telefonaktiebolaget LM Ericsson, Cl. B 9,340 831,451
Volvo, Cl. A 1,200 28,080
Volvo, Cl. B 1,250 30,367
WM-Data, Cl. B 335 11,749
1,587,240
SWITZERLAND--5.4%
ABB 1519 (a) 170,838
Adecco 93 76,487
Alisuisse Lonza 31 19,676
Credit Suisse 1,280 231,747
Georg Fischer 25 7,185
Holderbank Financiere Glarus 29 32,868
Holderbank Financiere Glarus, Cl. B 17 5,434
The Fund
STATEMENT OF INVESTMENTS (Unaudited) (CONTINUED)
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
SWITZERLAND (CONTINUED)
Jelmoli 25 6,502
Kuoni Reisen 5 21,709
Lonza 28 13,736
Moevenpick 15 6,626
Nestle 193 341,017
Novartis 337 471,859
Roche Holding Ag-Genusss 33 345,440
Roche Holding (Bearer) 8 96,019
SAirGroup 60 10,671
SGS Societe Generale de Surveillance 7 10,904
Schindler (Part. Cert) 5 7,146
Schindler (Reg'd) 5 7,164
Schweizerische Rueckversicherungs-Gesellschaft 61 98,245
Sulzer 20 12,834
Swatch (Bearer) 13 13,963
Swatch (Reg'd) 142 32,106
Swisscom 350 123,685
UBS 969 237,955
Valora 39 10,155
Zurich Allied 243 103,527
2,515,498
UNITED KINGDOM--18.5%
AMEC 3,473 9,620
ARM 3,350 34,336
Abbey National 7,049 80,687
Airtours 3,090 16,367
Allied Zurich 7,169 71,516
Amvescap 3,200 46,493
Anglian Water 569 5,189
Arjo Wiggins Appleton 3,233 9,575
AstraZeneca 7,999 336,578
BAA 3,878 25,168
BBA 2,533 15,656
BG 15,153 90,815
BOC 1,973 32,633
BP Amoco 101,003 876,384
Barclays 6,565 168,681
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
UNITED KINGDOM (CONTINUED)
Barratt Developments 2,000 7,808
Bass 3,753 44,104
Berekeley 500 4,186
Blue Circle Industries 4,421 29,782
Boots 3,119 24,269
British Aerospace 13,583 83,744
British Airways 3,150 16,402
British America Tobacco 8,249 50,115
British Land 2,700 18,072
British Sky Broadcasting 8,276 203,967
British Telecommunications 28,643 515,885
Bunzl 1,523 6,899
Burmah Castrol 686 16,961
CGU 5,247 75,413
Cadbury Schweppes 10,476 71,965
Canary Wharf Finance 2,500 13,692
Capita 1,000 25,772
Carillion 894 1,371
Carlton Communications 2,326 28,171
Celltech 1,220 20,043
Centrica 15,265 54,462
Compass 2,425 34,569
Corus 13,280 17,871
De La Rue 850 3,734
Diageo 14,995 121,896
Dixons 8,293 34,000
Electrocomponents 1,300 13,121
EMI 3,700 35,607
FKI 3,110 11,843
GKN 2,600 36,128
Glaxo Wellcome 16,154 500,753
Granada 7,133 69,872
Great Portland Estates 5,000 16,422
Great Universal Stores 3,800 23,042
HSBC 37,609 418,428
Halifax 9,785 91,716
Hammerson 3,200 21,027
The Fund
STATEMENT OF INVESTMENTS (Unaudited) (CONTINUED)
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
UNITED KINGDOM (CONTINUED)
Hanson 3,367 24,868
Hays 6,570 45,364
Hepworth 1,500 4,108
Hilton 6,299 26,564
Imperial Chemical Industries 3,842 33,066
Invensys 14,267 68,649
Johnson Matthey 2,000 25,804
Kingfisher 5,624 46,268
LASMO 6,000 10,117
Land Securities 2,050 24,845
Legal & General 22,140 58,030
Lloyds TSB 25,702 252,572
Logica 1,735 52,534
London Bridge Software 180 9,847
MEPC 1,735 11,796
Marconi 12,283 154,052
Marks & Spencer 13,845 50,858
Meyer International 2,929 23,375
Misys 2,011 23,066
National Grid 5,385 44,450
National Power 6,403 29,157
Nycomed Amersham 2,590 19,890
Ocean 360 6,923
Pearson 2,550 88,224
Peninsular and Oriental Steam Navigation 2,373 23,542
Pilkington 3,902 4,305
Provident Financial 1,800 15,450
Prudential 8,700 134,232
Psion 300 18,013
RMC 1,500 18,203
Racal Electronic 1,800 12,324
Railtrack 2,053 26,118
Rank 2,061 4,733
Reed International 6,090 42,359
Rentokil International 11,600 31,902
Reuters 6,043 108,650
COMMON STOCKS (CONTINUED) Shares Value ($)
------------------------------------------------------------------------------------------------------------------------------------
UNITED KINGDOM (CONTINUED)
Rio Tinto 4,400 68,507
Rolls-Royce 59 220
Royal Bank Of Scotland 13,444 209,635
SEMA 1,680 27,130
Sage 6,725 74,822
Sainsbury (J.) 8,650 45,479
Schroders 975 14,906
Scottish Power 8,837 71,111
Slough Estates 1,200 6,666
Smith & Nephew 5,500 15,916
SmithKline Beecham 24,157 332,081
Smiths Industries 1,650 19,326
Stagecoach 3,826 3,772
TI 2,000 10,914
Tate & Lyle 2,500 8,861
Tesco 26,037 89,227
Thames Water 1,219 15,450
3I 3I2,700 54,460
Unigate 4,284 19,088
Unilever 14,233 85,802
United Utilities 3,390 32,623
Vodafone AirTouch 270,183 1,245,094
WPP 3,180 51,453
Williams 4,150 23,541
Wimpey (George) 4,000 7,198
Wolseley 2,383 13,125
8,703,475
TOTAL COMMON STOCKS
(cost $36,321,797) 43,873,054
------------------------------------------------------------------------------------------------------------------------------------
PREFERRED STOCKS--.5%
--------------------------------------------------------------------------------
AUSTRALIA--.2%
News 10,367 111,425
GERMANY--.3%
MAN 250 4,875
Metro 185 3,894
The Fund
STATEMENT OF INVESTMENTS (Unaudited) (CONTINUED)
PREFERRED STOCKS (CONTINUED) Shares Value ($)
--------------------------------------------------------------------------------
GERMANY (CONTINUED)
RWE 214 5,636
SAP 181 106,719
Volkswagen 790 17,422
138,546
TOTAL PREFERRED STOCK
(cost $203,079) 249,971
------------------------------------------------------------------------------------------------------------------------------------
Principal
SHORT-TERM INVESTMENTS--4.2% Amount ($) Value ($)
------------------------------------------------------------------------------------------------------------------------------------
U.S. TREASURY BILLS:
5.695%, 6/15/2000 200,000 (b) 198,654
5.65%, 7/13/2000 1,786,000 1,765,675
TOTAL SHORT-TERM INVESTMENTS
(cost $1,964,316) 1,964,329
------------------------------------------------------------------------------------------------------------------------------------
TOTAL INVESTMENTS (cost $38,489,192) 98.1% 46,087,354
CASH AND RECIEVABLES (NET) 1.9% 906,231
NET ASSETS 100.0% 46,993,585
(A) NON-INCOME PRODUCING.
(B) HELD BY THE CUSTODIAN IN A SEGREGATED ACCOUNT AS COLLATERAL FOR OPEN FINANCIAL FUTURES POSITIONS.
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C>
STATEMENT OF FINANCIAL FUTURES
April 30, 2000 (Unaudited)
Unrealized
Market Value Appreciation
Covered (Depreciation)
Contracts by Contracts ($) Expiration at 4/30/2000 ($)
------------------------------------------------------------------------------------------------------------------------------------
FINANCIAL FUTURES LONG:
CAC 40 6 364,664 June 2000 3,227
DAX 30 3 531,249 June 2000 (14,604)
Financial Times 100 9 904,071 June 2000 (23,300)
Nikkei 300 34 1,020,153 June 2000 34,883
206
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
The Fund
STATEMENT OF ASSETS AND LIABILITIES
April 30, 2000 (Unaudited)
Cost Value
--------------------------------------------------------------------------------
ASSETS ($):
Investments in securities--See Statement of Investments 38,489,192 46,087,354
Cash 520,414
Cash denominated in foreign currencies 260,377 255,473
Receivable for investment securities sold 174,513
Dividends receivable 146,573
Receivable for shares of Common Stock subscribed 70,767
Receivable for futures variation margin--Note 4(a) 60,049
47,315,143
--------------------------------------------------------------------------------
LIABILITIES ($):
Due to The Dreyfus Corporation and affiliates 23,028
Payable for shares of Common Stock redeemed 172,591
Payable for investment securities purchased 65,447
Net unrealized (depreciation) on forward currency exchange
contracts--Note 4(a) 60,492
321,558
--------------------------------------------------------------------------------
NET ASSETS ($) 46,993,585
--------------------------------------------------------------------------------
COMPOSITION OF NET ASSETS ($):
Paid-in capital 38,970,109
Accumulated undistributed investment income--net 131,396
Accumulated net realized gain (loss) on investments 365,873
Accumulated net unrealized appreciation (depreciation)
on investments and foreign currency transactions
(including $206 net unrealized appreciation on
financial futures) 7,526,207
--------------------------------------------------------------------------------
NET ASSETS ($) 46,993,585
--------------------------------------------------------------------------------
SHARES OUTSTANDING
(200 MILLION SHARES OF $.001 PAR VALUE COMMON STOCK AUTHORIZED) 2,990,916
NET ASSET VALUE, offering and redemption
price per share--Note 3(c) ($)
15.71
SEE NOTES TO FINANCIAL STATEMENTS.
STATEMENT OF OPERATIONS
Six Months Ended April 30, 2000 (Unaudited)
--------------------------------------------------------------------------------
INVESTMENT INCOME ($):
INCOME:
Cash dividends (net of $31,066 foreign taxes withheld at source) 247,407
Interest 67,849
TOTAL INCOME 315,256
EXPENSES:
Management fee--Note 3(a) 74,292
Shareholder servicing costs--Note 3(b) 53,065
TOTAL EXPENSES 127,357
INVESTMENT INCOME--NET 187,899
--------------------------------------------------------------------------------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS--NOTE 4 ($):
Net realized gain (loss) on investments and foreign currency transactions
531,043
Net realized gain (loss) on forward currency exchange contracts (151,758)
Net realized gain (loss) on financial futures 243,421
NET REALIZED GAIN (LOSS) 622,706
Net unrealized appreciation (depreciation) on investments
and foreign currency transactions [including ($41,495)
net unrealized (depreciation) on financial futures) 1,429,535
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS 2,052,241
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS 2,240,140
SEE NOTES TO FINANCIAL STATEMENTS.
The Fund
STATEMENT OF CHANGES IN NET ASSETS
Six Months Ended
April 30, 2000 Year Ended
(Unaudited) October 31, 1999
--------------------------------------------------------------------------------
OPERATIONS ($):
Investment income--net 187,899 402,537
Net realized gain (loss) on investments 622,706 53,471
Net unrealized appreication (depreciation)
on investments 1,429,535 5,855,033
NET INCREASE (DECREASE) IN NET ASSETS
RESULTING FROM OPERATIONS 2,240,140 6,311,041
--------------------------------------------------------------------------------
DIVIDENDS TO SHAREHOLDERS FROM ($):
INVESTMENT INCOME--NET (454,249) (187,311)
--------------------------------------------------------------------------------
CAPITAL STOCK TRANSACTIONS ($):
Net proceeds from shares sold 37,716,219 16,784,134
Dividends reinvested 421,080 172,143
Cost of shares redeemed (30,433,881) (10,462,407)
INCREASE (DECREASE) IN NET ASSETS FROM
CAPITAL STOCK TRANSACTIONS 7,703,418 6,493,870
TOTAL INCREASE (DECREASE) IN NET ASSETS 9,489,309 12,617,600
--------------------------------------------------------------------------------
NET ASSETS ($):
Beginning of Period 37,504,276 24,886,676
END OF PERIOD 46,993,585 37,504,276
Undistributed investment income--net 131,396 397,746
--------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS (SHARES):
Shares sold 2,359,912 1,206,253
Shares issued for dividends reinvested 26,138 13,031
Shares redeemed (1,904,457) (740,920)
NET INCREASE (DECREASE) IN SHARES OUTSTANDING 481,593 478,364
SEE NOTES TO FINANCIAL STATEMENTS.
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C>
FINANCIAL HIGHLIGHTS
The following table describes the performance for the fiscal periods indicated.
Total return shows how much your investment in the fund would have increased (or
decreased) during each period, assuming you had reinvested all dividends and
distributions. These figures have been derived from the fund's financial
statements.
Six Months Ended
April 30, 2000 Year Ended October 31,
--------------------------
(Unaudited) 1999 1998 1997(a)
------------------------------------------------------------------------------------------------------------------------------------
PER SHARE DATA ($):
Net asset value, beginning of period 14.95 12.25 11.27 12.50
Investment Operations:
Investment income--net .07(b) .17(b) .12 .07
Net realized and unrealized gain (loss)
on investments .87 2.62 .96 (1.30)
Total from Investment Operations .94 2.79 1.08 (1.23)
Distributions:
Dividends from investment income--net (.18) (.09) (.10) --
Net asset value, end of period 15.71 14.95 12.25 11.27
------------------------------------------------------------------------------------------------------------------------------------
TOTAL RETURN (%) 6.26(c) 22.87 9.68 (9.84)(c)
------------------------------------------------------------------------------------------------------------------------------------
RATIOS/SUPPLEMENTAL DATA (%):
Ratio of expenses to average net assets .30(c) .60 .60 .20(c)
Ratio of net investment income
to average net assets .44(c) 1.27 1.32 .32(c)
Portfolio Turnover Rate 13.81(c) 9.01 22.62 .16(c)
------------------------------------------------------------------------------------------------------------------------------------
Net Assets, end of period ($ x 1,000) 46,994 37,504 24,887 9,246
(A) FROM JUNE 30, 1997 (COMMENCEMENT OF OPERATIONS) TO OCTOBER 31, 1997.
(B) BASED ON AVERAGE SHARES OUTSTANDING AT EACH MONTH END.
(C) NOT ANNUALIZED.
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
The Fund
NOTES TO FINANCIAL STATEMENTS (Unaudited)
NOTE 1--Significant Accounting Policies:
Dreyfus International Stock Index Fund (the "fund" ) is a separate
non-diversified series of Dreyfus Index Fund, Inc. (the "Company") which is
registered under the Investment Company Act of 1940, as amended (the "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 net dividend
and total return performance of equity securities of international issuers in
the aggregate, as represented by the Morgan Stanley Capital International
Europe, Australia, Far East (Free) Index. The Dreyfus Corporation ("Dreyfus")
serves as the fund' s investment advisor. Dreyfus is a direct subsidiary of
Mellon Bank, N.A., which is a wholly-owned subsidiary of Mellon Financial
Corporation. Effective March 22, 2000, Dreyfus Service Corporation ("DSC"), a
wholly-owned subsidiary of the Manager, became the distributor of the fund's
shares, which are sold to the public without a sales charge. Prior to March 22,
2000, Premier Mutual Fund Services, Inc. was the distributor.
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. Investments denominated in foreign currencies
are translated to U.S. dollars at the prevailing rates of exchange. Forward
currency exchange contracts are valued at the forward rate. 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) Foreign currency transactions: The fund does not isolate that portion of the
results of operations resulting from changes in foreign exchange rates on
investments from the fluctuations arising from changes in market prices of
securities held. Such fluctuations are included with the net realized and
unrealized gain or loss from investments.
Net realized foreign exchange gains or losses arise from sales and maturities of
short-term securities, sales of foreign currencies, currency gains or losses
realized on securities transactions and the difference between the amounts of
dividends, interest and foreign withholding taxes recorded on the fund's books
and the U.S. dollar equivalent of the amounts actually received or paid. Net
unrealized foreign exchange gains and losses arise from changes in the value of
assets and liabilities other than investments in securities, resulting from
changes in exchange rates. Such gain and losses are included with net realized
and unrealized gain or loss on investments.
(c) 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.
(d) 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 of 1986, as amended (the "Code"). To
the extent that net realized capital gain can be offset by capital loss
carryovers, it is the policy of the fund not to distribute such gains.
(e) 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 provi The Fun
NOTES TO FINANCIAL STATEMENTS (Unaudited) (CONTINUED)
sions of the Code, and to make distributions of taxable income sufficient to
relieve it from substantially all Federal income and excise taxes.
The fund has an unused capital loss carryover of approximately $856,000
available for Federal income tax purposes, to be applied against future net
securities profits, if any, realized subsequent to October 31, 1999. A portion
of this loss which can be utilized in subsequent years is subject to an annual
limitation due to the fund's merger with Dreyfus International Equity Allocation
Fund. If not applied, $603,000 of the carryover expires in fiscal 2000, $27,000
expires in fiscal 2002, $58,000 expires in fiscal 2005 and $168,000 expires in
fiscal 2006.
NOTE 2--Bank Line of Credit:
The fund participates with other Dreyfus-managed funds in a $500 million
redemption credit facility (the "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, 2000, the fund did not borrow under the Facility.
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 .35 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 Board
members (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 Board
members (including counsel fees) . Each Board member also serves as a Board
member of other funds within the Dreyfus complex (collectively, the "Fund
Group" ). Effective April 25, 2000, each Board member receives an annual fee of
$25,000 and a fee of $4,000 for each meeting held in person and $500 for
telephone meetings. These fees are allocated among the funds in the Fund Group.
The Chairman of the Board receives an additional 25% of such compensation.
Subject to the fund' s Director Emeritus Program Guidelines, Emeritus Board
members, if any, receive 50% of the fund's annual retainer fee and per meeting
fee paid at the time the Board member achieved emeritus status. Prior to April
25, 2000, each Board member received an annual fee of $2,500 and an attendance
fee of $500 per meeting and was reimbursed for travel and out-of-pocket
expenses. The Chairman of the Board received an additional 25% of such
compensation (with the exception of reimburseable amounts). These fees and
expenses were charged and allocated to each series based on net assets. Amounts
required to be paid by the Company directly to the non-interested Board members,
that were applied to offset a portion of the management fee payable to Dreyfus
were in fact paid directly by Dreyfus to the non-interested Board members.
(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 ended April 30, 2000, the fund was charged $53,065 pursuant to
the Shareholder Services Plan of which $12,713 was paid to DSC.
The Fund
NOTES TO FINANCIAL STATEMENTS (Unaudited) (CONTINUED)
(c) A 1% redemption fee is charged and retained by the fund on shares redeemed
within six months following the date of issuance, including redemptions made
through the use of the fund's Exchange privilege.
NOTE 4--Securities Transactions:
(a) The aggregate amount of purchases and sales of investment securities,
excluding short-term securities, forward currency exchange contracts and
financial futures, during the period ended April 30, 2000, amounted to
$12,636,400 and $5,472,592, respectively.
The following summarizes open forward currency exchange contracts at April 30,
2000:
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C>
Foreign Unrealized
Currency Appreciation
Forward Currency Exchange Contracts Amounts Cost ($) Value ($) (Depreciation) ($)
------------------------------------------------------------------------------------------------------------------------------------
PURCHASES:
British Pounds, expiring 6/30/00 523,290 828,985 819,217 (9,768)
Euro Dollars, expiring 12/20/99 903,307 856,156 826,416 (29,740)
Japanese Yen, expiring 12/20/99 86,262,000 829,505 806,614 (22,891)
SALES: PROCEEDS ($)
British Pounds, expiring 5/3/00 77,858 122,900 121,831 1,069
Euro Dollars, expiring 5/4/00 97 154 153 1
Japanese Yen, expiring 5/31/00 48,376 44,922 44,085 837
TOTAL (60,492)
</TABLE>
The fund may enter into forward currency exchange contracts in order to hedge
its exposure to changes in foreign currency exchange rates on its foreign
portfolio holdings and to settle foreign currency transactions. When executing
forward currency exchange contracts, the fund is obligated to buy or sell a
foreign currency at a specified rate on a certain date in the future. With
respect to sales of forward currency exchange contracts, the fund would incur a
loss if the value of the contract increases between the date the forward
contract is opened and the date the forward contract is closed. The fund
realizes a gain if the value of the contract decreases between those dated. With
respect to purchases of forward currency exchange contracts, the fund would
incur a loss if the value of the contract decreases between the date the forward
contract is opened and the date the forward contract is closed.
The fund realizes a gain if the value of the contract increases between those
dates. The fund is also exposed to credit risk associated with counter party
nonperformance on these forward currency exchange contracts which is typically
limited to the unrealized gain on each open contract.
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. Typically, 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, 2000, are set
forth in the Statement of Financial Futures.
(b) At April 30, 2000, accumulated net unrealized appreciation on investments,
forward currency exchange contracts and financial futures was $7,537,876,
consisting of $10,949,309 gross unrealized appreciation and $3,411,433 gross
unrealized depreciation.
At April 30, 2000, 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).
The Fund
For More Information
Dreyfus International
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 02940
Distributor
Dreyfus Service Corporation
200 Park Avenue
New York, NY 10166
To obtain information:
BY TELEPHONE Call 1-800-645-6561
BY MAIL Write to: The Dreyfus Family of Funds 144 Glenn Curtiss Boulevard
Uniondale, NY 11556-0144
BY E-MAIL Send your request to [email protected]
ON THE INTERNET Information can be viewed online or downloaded from:
http://www.dreyfus.com
(c) 2000 Dreyfus Service Corporation 079SA004
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