<PAGE> 1
DEAN WITTER NEW YORK MUNICIPAL MONEY MARKET TRUST
Two World Trade Center
New York, New York 10048
DEAR SHAREHOLDER:
- --------------------------------------------------------------------------------
Following the lead of the taxable sector, tax-free money market interest
rates moved to higher levels during the first half of 1994. While the Federal
Reserve Board's tighter monetary policy was the primary determinant of higher
yields, seasonal forces at times played a role in the direction of the municipal
money market. Mounting evidence of a strengthening economy and heightened
inflationary concerns prompted the Federal Reserve's first short-term interest
rate increases in several years.
Within the short-term municipal securities market, the rising pattern of
interest rates was most clear among longer-term securities. One-year returns, as
measured by The Bond Buyer One-Year Note Index,* rose from 2.30 percent at the
end of December 1993 to 3.81 percent in early June 1994. This represented the
highest level since December 1991. Returns for variable rate demand obligations
(VRDOs) with daily and weekly rate changes were more susceptible to seasonal
imbalances in supply and demand. Weekly VRDO yields fluctuated between 1.50
percent and 3.20 percent during the period. Yields for New York-exempt weekly
VRDOs were 10 to 20 basis points lower on average than yields for national
issues and periods of peak demand caused yield spreads to widen even further.
Despite the swings, however, the overall trend was toward higher yields.
PORTFOLIO MANAGEMENT AND PERFORMANCE
The market's negative tone called for a more defensive portfolio strategy.
The Fund's targeted average maturity was shortened from between 52 and 67 days
in December 1993 to a range of 33 to 44 days in May 1994. The Fund's weighted
average maturity was extended during the latter half of June when the pressure
from the large supply of new seasonal financings caused one-year yields to rise
to relatively attractive levels.
Adherence to high quality standards is the prevailing focus in the selection
of investments. Banks providing letters of credit are watched closely for
changes in credit quality. Ongoing efforts have been made in recent periods to
reduce the Fund's overall exposure to banks, and investments are confined to
only the most highly regarded institutions. In particular, investments backed by
Japanese bank letters of credit have been limited because of the current
weakness in the Japanese economy.
On June 30, 1994, the Fund's annualized 30-day yield was 1.48 percent. The
Fund had net assets in excess of $41 million, with an average maturity of 45
days. At the end of June, the Fund's portfolio was broadly diversified in five
municipal market sections -- industrial development/pollution control, general
obligations/tax supported, transportation, public facilities, and housing
issues. The Fund was 79 percent invested in VRDOs. New York-exempt commercial
paper and municipal notes, the two other types of securities utilized in the
portfolio, comprised 5 percent and 16 percent of the portfolio, respectively.
LOOKING FORWARD
In the period immediately ahead, we will watch closely for further actions
by the Federal Reserve Board aimed at thwarting potential inflationary pressure.
The perceived bias toward higher interest rates warrants a continued cautious
approach. Average maturities will be monitored carefully to minimize exposure to
market volatility. As always, we will maintain our emphasis on quality and
liquidity in making investment selections.
We appreciate your support of Dean Witter New York Municipal Money Market
Trust and look forward to continuing to serve your investment needs and
objectives.
Very truly yours,
Charles A. Fiumefreddo
Chairman of the Board
- ---------------
* The Bond Buyer One-Year Note Index is the average of 12-month note rates for
10 state and local governments rated MIG-1 by Moody's Investors Service and
SP-1 plus or SP-1 by Standard & Poor's Corp.
<PAGE> 2
DEAN WITTER NEW YORK MUNICIPAL MONEY MARKET TRUST
PORTFOLIO OF INVESTMENTS June 30, 1994 (unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal
Amount (in Current
thousands) Yield Value
- ---------- ---------- -----------
<C> <S> <C> <C>
NEW YORK TAX-EXEMPT SHORT-TERM VARIABLE RATE MUNICIPAL
OBLIGATIONS* (79.4%)
NEW YORK
$ 2,000 Franklin County Industrial Development Agency, KES Chateaugay Ser
1991 A (AMT), 2.65% due 7/6/94................................. 2.65% $ 2,000,000
1,400 Metropolitan Transportation Authority, Commuter Facilities Ser
1991, 2.10% due 7/6/94......................................... 2.10 1,400,000
300 New York City, Fiscal 1994 Subser A-5 3.60% due 7/1/94........... 3.60 300,000
New York City Cultural Resources Trust,
1,500 Carnegie Hall Series 1990, 2.40% due 7/6/94.................... 2.40 1,500,000
1,800 Jewish Museum Series 1992, 2.05% due 7/6/94.................... 2.05 1,800,000
1,000 New York City Housing Development Corporation, Multi-family James
Tower Dev 1994 Ser A, 2.30% due 7/6/94......................... 2.30 1,000,000
New York City Industrial Development Agency,
1,900 The Berkeley Carroll School Ser 1993, 2.00% due 7/6/94......... 2.00 1,900,000
1,000 The Calhoun School Inc Ser 1990, 2.10% due 7/7/94.............. 2.10 1,000,000
750 Composite Offrg I (AMT), 2.20% due 7/6/94...................... 2.20 750,000
950 Composite Offrg XXV 1990 Ser E (AMT), 2.20% due 7/6/94......... 2.20 950,000
1,000 New York City Municipal Water Finance Authority, Ser 1994 C,
3.00% due 7/1/94............................................... 3.00 1,000,000
2,000 New York Local Government Assistance Corporation, Series 1994 B,
2.00% due 7/6/94............................................... 2.00 2,000,000
1,000 New York State Dormitory Authority, Metropolitan Museum of Art
Ser A, 1.40% due 7/6/94........................................ 1.40 1,000,000
New York State Energy Research & Development Authority,
2,100 Central Hudson Gas & Electric Corp Ser 1987 A (AMT), 2.20% due
7/7/94......................................................... 2.20 2,100,000
1,000 Long Island Lighting Co Ser 1985 A, 3.00% due 3/1/95........... 3.00 1,000,000
1,000 Long Island Lighting Co Ser 1993 B (AMT), 2.85% due 11/1/94.... 2.85 1,000,000
1,100 New York State Medical Care Facilities Finance Agency, The
Children's
Hospital of Buffalo 1991 Ser A, 2.35% due 7/6/94............... 2.35 1,100,000
New York State Mortgage Agency,
1,000 Homeowner Ser 36-B (AMT), 3.20% due 9/29/94.................... 3.20 1,000,000
1,000 Homeowner Ser 40-C (AMT), 3.30% due 12/1/94.................... 3.30 1,000,000
4,000 New York State Power Authority, Tender Notes, 2.75% due 9/1/94... 2.75 4,000,000
Port Authority of New York & New Jersey,
1,000 Consolidated 86th Ser, 2.40% due 7/1/94........................ 2.40 1,000,000
1,000 KIAK Partners Special Proj Ser 3 (AMT), 2.45% due 7/6/94....... 2.45 1,000,000
1,000 Series 2, 3.50% due 7/1/94..................................... 3.50 1,000,000
1,500 Triborough Bridge & Tunnel Authority, Series 1994 (FGIC Insured),
2.10% due 7/6/94............................................... 2.10 1,500,000
PUERTO RICO
1,000 Puerto Rico Highway & Transportation Authority, Ser X,
2.40% due 7/6/94............................................... 2.40 1,000,000
-----------
TOTAL NEW YORK TAX-EXEMPT SHORT-TERM VARIABLE RATE MUNICIPAL
OBLIGATIONS (AMORTIZED COST $33,300,000)....................... 33,300,000
-----------
</TABLE>
<PAGE> 3
DEAN WITTER NEW YORK MUNICIPAL MONEY MARKET TRUST
PORTFOLIO OF INVESTMENTS June 30, 1994 (unaudited) (continued)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Yield to
Principal Maturity
Amount (in on Date of
thousands) Purchase Value
- ---------- ---------- -----------
<C> <S> <C> <C>
NEW YORK TAX-EXEMPT COMMERCIAL PAPER (4.9%)
$ 1,000 New York State Energy Research & Development Authority, New York
State Electric & Gas Corp Ser 1994 B, 2.45% due 8/2/94......... 2.45% $ 1,000,000
1,050 Port Authority of New York & New Jersey, (AMT),
3.00% due 8/24/94.............................................. 3.00 1,050,000
-----------
TOTAL NEW YORK TAX-EXEMPT COMMERCIAL PAPER (AMORTIZED COST
$2,050,000).................................................... 2,050,000
-----------
NEW YORK TAX-EXEMPT SHORT-TERM MUNICIPAL
NOTES (15.5%)
1,000 Babylon, GO 1994 A BANs, dtd 1/21/94 3.00% due 9/21/94........... 2.50 1,001,103
1,500 Buffalo, 1993/1994 A RANs, dtd 12/13/93 3.00% due 7/14/94........ 2.38 1,500,326
1,500 Erie County, 1993 RANs, dtd 8/5/93 3.30% due 8/5/94.............. 3.10 1,500,278
1,000 Monroe County, GO 1994-A BANs, dtd 6/7/94 3.75% due 10/7/94...... 2.95 1,002,121
1,500 Smithtown, Central School District, 1994-95 TANs, dtd 6/23/94
4.00% due 6/23/95.............................................. 3.60 1,505,663
-----------
TOTAL NEW YORK TAX-EXEMPT SHORT-TERM
MUNICIPAL NOTES
(AMORTIZED COST $6,509,491)...................................... 6,509,491
-----------
TOTAL INVESTMENTS
(AMORTIZED COST $41,859,491) (A)............................... 99.8 % 41,859,491
CASH AND OTHER ASSETS IN EXCESS OF LIABILITIES................... 0.2 78,803
---------- -----------
NET ASSETS....................................................... 100.0 % $41,938,294
========= ==========
</TABLE>
- ---------------
<TABLE>
<S> <C>
AMT -- Alternative Minimum Tax
BANs -- Bond Anticipation Notes
RANs -- Revenue Anticipation Notes
TANs -- Tax Anticipation Notes
* Due date reflects next rate change.
(a) Cost is the same for federal income tax purposes.
</TABLE>
See Notes to Financial Statements
<PAGE> 4
DEAN WITTER NEW YORK MUNICIPAL MONEY MARKET TRUST
FINANCIAL STATEMENTS
- --------------------------------------------------------------------------------
<TABLE>
<S> <C>
STATEMENT OF ASSETS AND LIABILITIES
June 30, 1994 (unaudited)
- --------------------------------------------
ASSETS:
Investments in securities, at value
(amortized cost $41,859,491) (Note 1)..... $ 41,859,491
Cash........................................ 264,340
Interest receivable......................... 210,727
Deferred organizational expenses (Note 1)... 7,670
Prepaid expenses............................ 21,845
------------
TOTAL ASSETS........................ 42,364,073
------------
LIABILITIES:
Payable for:
Shares of beneficial interest
repurchased............................. 327,595
Investment management fee (Note 2)........ 17,857
Plan of distribution fee (Note 3)......... 3,571
Accrued expenses (Note 4)................... 76,756
------------
TOTAL LIABILITIES................... 425,779
------------
NET ASSETS:
Paid-in-capital............................. 41,938,635
Accumulated net realized loss on
investments............................... (421)
Accumulated undistributed net investment
income.................................... 80
------------
NET ASSETS.......................... $ 41,938,294
===========
NET ASSET VALUE PER SHARE,
41,938,635 shares outstanding (unlimited
shares authorized of $.01 par value)...... $1.00
=====
STATEMENT OF OPERATIONS For the six months
ended June 30, 1994 (unaudited)
- --------------------------------------------
INVESTMENT INCOME:
INTEREST INCOME........................... $ 532,678
------------
EXPENSES
Investment management fee (Note 2)...... 109,139
Shareholder reports and notices......... 24,121
Transfer agent fees and expenses........ 23,954
Plan of distribution fee (Note 3)....... 21,257
Professional fees....................... 15,925
Trustees' fees and expenses (Note 4).... 13,608
Organizational expenses (Note 1)........ 5,316
Registration fees....................... 4,269
Custodian fees.......................... 1,862
Other................................... 3,557
------------
TOTAL EXPENSES........................ 223,008
------------
NET INVESTMENT INCOME AND NET
INCREASE IN NET ASSETS RESULTING
FROM OPERATIONS................... $ 309,670
===========
</TABLE>
STATEMENT OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the
six months ended For the
June 30, 1994 year ended
(unaudited) December 31, 1993
----------------- ------------------
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS:
Operations:
Net investment income.................................................... $ 309,670 $ 605,211
Net realized loss on investments......................................... -0- (1,000)
----------------- ------------------
Net increase in net assets resulting from operations................... 309,670 604,211
Dividends to shareholders from net investment income....................... (309,633) (605,204)
Net increase (decrease) from transactions in shares of beneficial interest
(Note 5)................................................................. 826,151 (4,013,139)
----------------- ------------------
Total increase (decrease).............................................. 826,188 (4,014,132)
NET ASSETS:
Beginning of period........................................................ 41,112,106 45,126,238
----------------- ------------------
END OF PERIOD (including undistributed net investment income of $80 and
$43, respectively)....................................................... $41,938,294 $ 41,112,106
================= ===================
</TABLE>
See Notes to Financial Statements
<PAGE> 5
DEAN WITTER NEW YORK MUNICIPAL MONEY MARKET TRUST
NOTES TO FINANCIAL STATEMENTS (unaudited)
- --------------------------------------------------------------------------------
1. ORGANIZATION AND ACCOUNTING POLICIES -- Dean Witter New York Municipal Money
Market Trust (the "Fund") is registered under the Investment Company Act of
1940, as amended (the "Act"), as a non-diversified, open-end management
investment company. It was organized on December 28, 1989 as a Massachusetts
business trust and commenced operations March 20, 1990.
The following is a summary of significant accounting policies:
A. Valuation of Investments -- Portfolio securities are valued at amortized
cost, which approximates market value.
B. Accounting for Investments -- Security transactions are accounted for on
the trade date (date the order to buy or sell is executed). In computing
net investment income, the Fund amortizes any premiums and original issue
discounts and accrues interest income daily. Realized gains and losses on
security transactions are determined on the identified cost method.
C. Federal Income Tax Status -- It is the Fund's policy to comply with the
requirements of the Internal Revenue Code applicable to regulated
investment companies and to distribute all of its taxable and non-taxable
income to its shareholders. Accordingly, no federal income tax provision is
required.
D. Dividends and Distributions to Shareholders -- Dividends and
distributions to shareholders are recorded by the Fund as of the close of
the Fund's business day.
E. Organizational Expenses -- The Fund's Investment Manager paid
organizational expenses of the Fund in amount of approximately $58,000. The
Fund reimbursed the Investment Manager for these costs which are being
amortized by the Fund on a straight line basis over a period not to exceed
five years from the commencement of operations.
2. INVESTMENT MANAGEMENT AGREEMENT -- Pursuant to an Investment Management
Agreement with Dean Witter InterCapital Inc. (the "Investment Manager"), the
Fund pays its Investment Manager a management fee calculated daily and payable
monthly by applying the following annual rates to the net assets of the Fund
determined as of the close of each business day: 0.50% of the portion of the
daily net assets not exceeding $500 million; 0.425% of the portion of the daily
net assets exceeding $500 million but not exceeding $750 million; 0.375% of the
portion of the daily net assets exceeding $750 million but not exceeding $1
billion; 0.35% of the portion of the daily net assets exceeding $1 billion but
not exceeding $1.5 billion; 0.325% of the portion of the daily net assets
exceeding $1.5 billion but not exceeding $2 billion; 0.30% of the portion of the
daily net assets exceeding $2 billion but not exceeding $2.5 billion; 0.275% of
the portion of the daily net assets exceeding $2.5 billion but not exceeding $3
billion; and 0.25% of the portion of the daily net assets exceeding $3 billion.
Under the terms of the Agreement, in addition to managing the Fund's
investment, the Investment Manager maintains certain of the Fund's books and
records and furnishes office space and facilities, equipment, clerical,
bookkeeping and certain legal services, and pays the salaries of all personnel,
including officers of the Fund who are employees of the Investment Manager. The
Investment Manager also bears the cost of telephone services, heat, light, power
and other utilities provided to the Fund.
3. PLAN OF DISTRIBUTION -- Shares of beneficial interest of the Fund are
distributed by Dean Witter Distributors Inc. (the "Distributor"), an affiliate
of the Investment Manager. The Fund has entered into a
<PAGE> 6
DEAN WITTER NEW YORK MUNICIPAL MONEY MARKET TRUST
NOTES TO FINANCIAL STATEMENTS (unaudited) (continued)
- --------------------------------------------------------------------------------
Plan of Distribution (the "Plan"), pursuant to Rule 12-1 under the Act, with the
Distributor whereby the Distributor finances certain activities in connection
with the distribution of shares of the Fund.
Under the Plan, the Distributor bears the expense of all promotional and
distribution related activities on behalf of the Fund, except for expenses that
the Trustees determine to reimburse, as described below. The following
activities and services may be provided by the Distributor under the Plan: (1)
compensation to sales representatives of the Distributor and other
broker-dealer; (2) sales incentives and bonuses to sales representatives and to
marketing personnel in connection with promoting sales of the Fund's shares; (3)
expenses incurred in connection with promoting sales of the Fund's shares; (4)
preparing and distributing sales literature; and (5) providing advertising and
promotional activities, including direct mail solicitation and television,
radio, newspaper, magazine and other media advertisements.
The Fund is authorized to reimburse the Distributor for specific expenses
the Distributor incurs or plans to incur in promoting the distribution of the
Fund's shares. The amount of each monthly reimbursement payment may in no event
exceed an amount equal to a payment at the annual rate of 0.15% of the Fund's
average daily net assets during the month. For the six months ended June 30,
1994, the distribution fees established by the Trustees and accrued was at the
annual rate of 0.10%.
4. SECURITY TRANSACTIONS AND TRANSACTIONS WITH AFFILIATES -- The cost of
purchases and the proceeds from sales/maturities of portfolio securities for the
six months ended June 30, 1994 aggregated $42,266,245 and $41,485,000,
respectively.
On April 1, 1991, the Fund established an unfunded noncontributory defined
benefit pension plan covering all independent Trustees of the Fund who will have
served as an independent Trustee for at least five years at the time of
retirement. Benefits under this plan are based on years of service and
compensation during the last five years of service. Aggregate pension cost for
the six months ended June 30, 1994, included in Trustees' fees and expenses in
the Statement of Operations, amounted to $4,047. At June 30, 1994 the Fund had
an accrued pension liability of $43,190 which is included in accrued expenses in
the Statement of Assets and Liabilities.
Dean Witter Trust Company, an affiliate of the Investment Manager and the
Distributor, is the Fund's transfer agent. At June 30, 1994, the Fund had
transfer agent fees and expenses payable of approximately $4,500.
5. SHARES OF BENEFICIAL INTEREST -- Transactions in shares of beneficial
interest, at $1.00 per share, were as follows:
<TABLE>
<CAPTION>
For the six
months
ended For the
June 30, year ended
1994 December 31, 1993
----------- -----------------
<S> <C> <C>
Shares sold................................................. 53,459,367 122,306,064
Shares issued in reinvestment of dividends.................. 309,633 605,204
----------- ---------------
53,769,000 122,911,268
Shares repurchased.......................................... (52,942,849) (126,924,407)
----------- ---------------
Net increase (decrease) in shares outstanding............... 826,151 (4,013,139)
=========== ===============
</TABLE>
<PAGE> 7
DEAN WITTER NEW YORK MUNICIPAL MONEY MARKET TRUST
FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
Selected ratios and per share data for a share of beneficial interest
outstanding throughout each period:
<TABLE>
<CAPTION>
For the six For the year ended For the period
months ended December 31, March 20, 1990*
June 30, 1994 --------------------------- through
(unaudited) 1993 1992 1991 December 31, 1990
------------- ------- ------- ------- -----------------
<S> <C> <C> <C> <C> <C>
PER SHARE OPERATING
PERFORMANCE:
Net asset value, beginning
of period................ $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
----------- ------- ------- ------- -------------
Net investment income....... 0.007 0.014 0.019 0.035 0.045
Less dividends from net
investment income........ (0.007) (0.014) (0.019) (0.035) (0.045)
----------- ------- ------- ------- -------------
Net asset value, end of
period................... $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
=========== ======== ======== ======== =============
TOTAL INVESTMENT RETURN....... 0.71%(1) 1.36% 1.86% 3.57% 4.69%(1)
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period
(in thousands)........... $41,938 $41,112 $45,126 $66,196 $ 101,294
Ratio of expenses to average
net assets............... 1.02%(2) 1.03% 0.97% 0.87% 0.12%(2)(3)
Ratio of net investment
income to average net
assets................... 1.42%(2) 1.34% 1.86% 3.53% 5.66%(2)(3)
</TABLE>
- ---------------
* Date of commencement of operations.
(1) Not annualized.
(2) Annualized.
(3) If the Fund had borne all expenses that were assumed or waived by the
Investment Manager during the period ended December 31, 1990, the above
annualized expense ratio would have been .80% ($.007 per share) and the
annualized net investment income ratio would have been 4.98% ($.041 per
share).
See Notes to Financial Statements
<PAGE> 8
BOARD OF TRUSTEES
Jack F. Bennett
Michael Bozic
Charles A. Fiumefreddo
Edwin J. Garn
John R. Haire
Dr. John E. Jeuck
Dr. Manuel H. Johnson
Paul Kolton
Michael E. Nugent
Philip J. Purcell
John L. Schroeder
Edward R. Telling
OFFICERS
Charles A. Fiumefreddo
Chairman and Chief Executive Officer
Sheldon Curtis
Vice President, Secretary and General Counsel
John W. Vander Vliet
Vice President
Anita H. Kolleeny
Vice President
Thomas F. Caloia
Treasurer
TRANSFER AGENT
Dean Witter Trust Company
Harborside Financial Center - Plaza Two
Jersey City, New Jersey 07311
LEGAL COUNSEL
Sheldon Curtis
Two World Trade Center
New York, New York 10048
INDEPENDENT ACCOUNTANTS
Price Waterhouse LLP
1177 Avenue of the Americas
New York, New York 10036
INVESTMENT MANAGER
Dean Witter InterCapital Inc.
Two World Trade Center
New York, New York 10048
The financial statements included herein have been take from the records of the
Fund without examination by the independent accountants and accordingly they do
not express an opinion thereon.
This report is submitted for the general information of shareholders of the
Fund. For more detailed information about the Fund, its officers and trustees,
fees, expenses and other pertinent information, please see the prospectus of
the Fund.
This report is not authorized for distribution to prospective investors in the
Fund unless preceeded or accompanied by an effective prospectus.
DEAN WITTER
NEW YORK MUNICIPAL
MONEY MARKET
TRUST
Semiannual Report
June 30, 1994
