<PAGE>
ACM INSTITUTIONAL RESERVES, INC.
SEMI-ANNUAL REPORT
OCTOBER 31, 1995
<PAGE>
STATEMENT OF NET ASSETS
OCTOBER 31, 1995 (UNAUDITED) ACM INSTITUTIONAL RESERVES - PRIME PORTFOLIO
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT
(000) SECURITY YIELD VALUE
- --------------------------------------------------------------------------------
<C> <S> <C> <C>
COMMERCIAL PAPER--45.4%
Abbey National North America
$ 2,000 12/07/95 . . . . . . . . . . . . . . . . 5.67% $ 1,988,660
Abn Amro North America Finance
5,000 2/05/96 . . . . . . . . . . . . . . . . . 5.85 4,922,000
AGA Capital, Inc.
1,500 11/29/95 . . . . . . . . . . . . . . . . 5.77 1,493,268
Alamo Funding
5,000 12/19/95 . . . . . . . . . . . . . . . . 5.73 4,961,800
Allianz Of America Finance Corp.
5,000 12/08/95 . . . . . . . . . . . . . . . . 5.70 4,970,708
BBV Finance Delaware, Inc.
5,000 12/05/95 . . . . . . . . . . . . . . . . 5.67 4,973,225
BHF Finance Delaware, Inc.
6,000 11/06/95 . . . . . . . . . . . . . . . . 5.74 5,995,217
Bil North America, Inc.
5,000 11/13/95 . . . . . . . . . . . . . . . . 5.72 4,990,467
Caisse Centrale Jardins
du Quebec
5,000 12/27/95 . . . . . . . . . . . . . . . . 5.70 4,955,667
Chemical Banking Corp.
5,000 1/19/96 . . . . . . . . . . . . . . . . . 5.70 4,937,458
Chiao Tung Bank Co., Ltd.
7,000 2/06/96 . . . . . . . . . . . . . . . . . 5.68 6,892,869
CS First Boston, Inc.
2,500 11/30/95 . . . . . . . . . . . . . . . . 5.73 2,488,460
Den Danske Corp.
4,000 1/29/96 . . . . . . . . . . . . . . . . . 5.71 3,943,495
Eksportfinans
7,000 12/08/95 . . . . . . . . . . . . . . . . 5.67 6,959,208
General Electric Capital Corp.
5,000 12/14/95 . . . . . . . . . . . . . . . . 5.67 4,966,138
Hanson Finance
5,000 1/26/96 . . . . . . . . . . . . . . . . . 5.72 4,931,678
Mitsubishi Motors Credit
of America
3,000 11/27/95 . . . . . . . . . . . . . . . . 5.95 2,987,108
New South Wales
Treasury Corp.
7,000 1/08/96 . . . . . . . . . . . . . . . . . 5.70 6,924,633
Province of Quebec
3,000 12/06/95 . . . . . . . . . . . . . . . . 6.10 2,982,208
Santander Finance
Delaware, Inc.
6,000 3/25/96 . . . . . . . . . . . . . . . . . 5.62 5,864,304
Sumitomo Corp. of America
6,000 11/16/95 . . . . . . . . . . . . . . . . 5.75 5,985,625
Svenska Handelsbanken
4,000 11/13/95 . . . . . . . . . . . . . . . . 5.70 3,992,400
Swedish Export Credit Corp.
7,000 1/19/96 . . . . . . . . . . . . . . . . . 5.69 6,912,595
Thames Asset Global
Securitization
7,000 11/30/95 . . . . . . . . . . . . . . . . 5.75 6,967,576
Vattenfall Treasury, Inc.
5,000 12/14/95 . . . . . . . . . . . . . . . . 5.67 4,966,138
Westpac Capital Corp.
5,000 12/13/95 . . . . . . . . . . . . . . . . 5.67 4,966,925
------------
Total Commercial Paper
(amortized cost
$126,919,830) . . . . . . . . . . . . . . 126,919,830
------------
CERTIFICATES OF DEPOSIT--25.8%
Bank of Montreal
5,000 5.77%, 12/05/95 . . . . . . . . . . . . . 5.76 5,000,043
Bank of Tokyo
5,000 5.84%, 11/06/95 . . . . . . . . . . . . . 5.83 5,000,007
Banque Nationale de Paris
5,000 5.79%, 1/31/96 . . . . . . . . . . . . . 5.80 4,999,864
Banque Paribas
5,000 5.80%, 11/01/95 . . . . . . . . . . . . . 5.80 5,000,000
Canadian Imperial Bank
of Commerce
6,000 5.77%, 11/30/95 . . . . . . . . . . . . . 5.77 5,999,978
Commerzbank
6,000 5.80%, 1/31/96 . . . . . . . . . . . . . 5.79 6,000,149
Dai Ichi Kangyo Bank Ltd.
2,000 5.90%, 11/27/95 . . . . . . . . . . . . . 5.89 2,000,014
Deutsche Bank
5,000 5.68%, 3/15/96 . . . . . . . . . . . . . 5.75 4,998,034
2,000 5.79%, 1/31/96 . . . . . . . . . . . . . 5.80 1,999,941
5,000 6.07%, 9/13/96 . . . . . . . . . . . . . 6.07 5,000,000
Fuji Bank
2,000 5.96%, 11/27/95 . . . . . . . . . . . . . 5.91 2,000,042
Industrial Bank of Japan
2,000 5.90%, 11/20/95 . . . . . . . . . . . . . 5.92 1,999,972
Mitsubishi Bank
4,000 6.00%, 1/10/96 . . . . . . . . . . . . . 6.00 4,000,000
National Westminster Bank
5,000 5.78%, 11/30/95 . . . . . . . . . . . . . 5.76 5,000,073
Norinchukin Bank
2,000 5.98%, 11/20/95 . . . . . . . . . . . . . 5.84 2,000,131
Societe Generale N.A., Inc.
5,000 7.65%, 1/11/96 . . . . . . . . . . . . . 6.17 5,012,548
3,000 5.73%, 1/16/96 . . . . . . . . . . . . . 5.83 2,999,291
<PAGE>
STATEMENT OF NET ASSETS (CONTINUED) ACM INSTITUTIONAL RESERVES - PRIME PORTFOLIO
- --------------------------------------------------------------------------------
<CAPTION>
PRINCIPAL
AMOUNT
(000) SECURITY YIELD VALUE
- --------------------------------------------------------------------------------
<C> <S> <C> <C>
Sumitomo Bank
$ 3,000 5.93%, 11/20/95 . . . . . . . . . . . . . 5.92% $ 3,000,016
------------
Total Certificates of Deposit
(amortized cost
$72,010,103). . . . . . . . . . . . . . . 72,010,103
------------
BANK OBLIGATIONS--12.2%
Bank of America Illinois
3,000 5.80%, 1/12/96 . . . . . . . . . . . . . 5.80 3,000,000
Bayerische Landesbank
5,000 4.63%, 4/02/96 . . . . . . . . . . . . . 5.80 4,975,017
Comerica Bank
2,000 5.56%, 11/22/95 FRN . . . . . . . . . . . 5.72 1,999,815
FCC National Bank
Wilmington Delaware
5,000 5.70%, 2/16/96 FRN. . . . . . . . . . . . 5.66 5,000,555
J.P. Morgan & Co.
10,000 5.86%, 4/08/96 FRN. . . . . . . . . . . . 5.88 9,999,122
Mellon Financial Co.
2,250 6.13%, 11/15/95 . . . . . . . . . . . . . 5.80 2,249,968
Morgan Guaranty Trust Co.
2,000 6.00%, 10/30/96 . . . . . . . . . . . . . 6.00 2,000,000
Wachovia Bank
5,000 6.30%, 7/15/96 . . . . . . . . . . . . . 5.78 5,016,906
------------
Total Bank Obligations
(amortized cost
$34,241,383). . . . . . . . . . . . . . . 34,241,383
------------
CORPORATE OBLIGATIONS--7.9%
Abbey National Treasury
Services
5,000 7.40%, 12/15/95 . . . . . . . . . . . . . 6.60 5,004,067
C.I.T Group Holdings, Inc.
5,000 8.75%, 2/15/96 . . . . . . . . . . . . . 5.83 5,039,353
General Electric Capital Corp.
5,000 5.60%, 7/22/96 FRN. . . . . . . . . . . . 5.80 4,992,738
Goldman Sachs Group
3,000 5.50%, 11/02/95 FRN . . . . . . . . . . . 5.50 3,000,000
Merrill Lynch & Co., Inc.
4,000 5.90%, 4/01/96 FRN. . . . . . . . . . . . 5.90 4,000,000
------------
Total Corporate Obligations
(amortized cost
$22,036,158). . . . . . . . . . . . . . . 22,036,158
------------
U.S. GOVERNMENT & AGENCY
OBLIGATIONS--7.2%
Federal Home Loan Bank
5,000 5.97%, 7/18/96 . . . . . . . . . . . . . 5.97 5,000,000
8,000 9.80%, 3/25/96 . . . . . . . . . . . . . 5.81 8,121,179
Federal National Mortgage
Association
2,000 5.81%, 9/27/96 . . . . . . . . . . . . . 5.81 2,000,000
Student Loan Marketing
Association
5,000 5.80%, 1/21/98 FRN. . . . . . . . . . . . 5.83 4,996,805
-----------
Total U.S. Government &
Agency Obligations
(amortized cost
$20,117,984). . . . . . . . . . . . . . . 20,117,984
------------
REPURCHASE
AGREEMENT--0.6%
State Street Repo
1,700 5.50%, dated 10/31/95,
due 11/01/95 in the amount
of $1,700,260 (cost
$1,700,000; collateralized
by $1,330,000 U.S. Treasury
Bonds, 8.75%, 5/15/17,
value--$1,734,000). . . . . . . . . . . . 5.50 1,700,000
------------
TOTAL INVESTMENTS--99.1%
(amortized cost
$277,025,458) . . . . . . . . . . . . . . 277,025,458
Other assets less
liabilities--0.9% . . . . . . . . . . . . 2,468,509
------------
NET ASSETS--100%
(offering and redemption
price of $1.00 per share;
279,650,223 shares
outstanding). . . . . . . . . . . . . . . $279,493,967
------------
------------
- --------------------------------------------------------------------------------
GLOSSARY OF TERMS:
FRN Floating Rate Note
See notes to financial statements.
<PAGE>
STATEMENT OF NET ASSETS
OCTOBER 31, 1995 (UNAUDITED) ACM INSTITUTIONAL RESERVES - GOVERNMENT PORTFOLIO
- --------------------------------------------------------------------------------
<CAPTION>
PRINCIPAL
AMOUNT
(000) SECURITY YIELD VALUE
- --------------------------------------------------------------------------------
<C> <S> <C> <C>
U.S. GOVERNMENT & AGENCY
OBLIGATIONS--95.5%
FEDERAL HOME LOAN
MORTGAGE CORP.--28.6%
$ 2,000 11/10/95 . . . . . . . . . . . . . . . . 5.60% $ 1,997,200
7,000 1/02/96 . . . . . . . . . . . . . . . . . 5.60 6,932,489
6,000 11/20/95 . . . . . . . . . . . . . . . . 5.61 5,982,235
3,400 11/27/95 . . . . . . . . . . . . . . . . 5.62 3,386,200
5,500 11/15/95 . . . . . . . . . . . . . . . . 5.63 5,487,958
5,000 11/20/95 . . . . . . . . . . . . . . . . 5.64 4,985,117
500 5/01/96 . . . . . . . . . . . . . . . . . 5.88 485,136
1,000 3/29/96 . . . . . . . . . . . . . . . . . 5.97 975,291
1,000 4/01/96 . . . . . . . . . . . . . . . . . 6.20 973,822
750 6.45%, 4/08/96 . . . . . . . . . . . . . 6.50 749,779
------------
31,955,227
------------
FEDERAL FARM CREDIT BANK--23.6%
2,675 11/21/95 . . . . . . . . . . . . . . . . 5.81 2,666,366
500 5.60%, 7/01/96 . . . . . . . . . . . . . 5.69 499,677
10,000 5.75%, 5/24/96 FRN. . . . . . . . . . . . 5.79 9,998,874
4,000 5.76%, 6/20/96 FRN. . . . . . . . . . . . 5.81 3,998,732
7,300 5.77%, 9/03/96 FRN. . . . . . . . . . . . 5.77 7,300,000
2,000 6.76%, 2/28/96 . . . . . . . . . . . . . 6.71 2,000,183
------------
26,463,832
------------
FEDERAL NATIONAL MORTGAGE
ASSOCIATION--23.0%
5,000 2/28/96 . . . . . . . . . . . . . . . . . 5.54 4,908,436
2,000 2/21/96 . . . . . . . . . . . . . . . . . 5.55 1,965,498
1,000 12/27/95 . . . . . . . . . . . . . . . . 5.58 991,320
5,000 1/25/96 . . . . . . . . . . . . . . . . . 5.58 4,934,125
1,000 12/08/95 . . . . . . . . . . . . . . . . 5.63 994,214
4,000 5.76%, 10/15/96 FRN . . . . . . . . . . . 5.83 3,997,344
5,000 5.78%, 9/03/96 FRN. . . . . . . . . . . . 5.82 4,998,382
2,000 5.81%, 9/27/96 . . . . . . . . . . . . . 5.81 2,000,000
1,000 6.48%, 3/27/96 . . . . . . . . . . . . . 5.81 1,002,336
------------
25,791,655
------------
FEDERAL HOME LOAN BANK--11.6%
4,500 4.36%, 4/25/96 . . . . . . . . . . . . . 5.78 4,468,576
2,500 5.63%, 8/05/96 FRN. . . . . . . . . . . . 5.75 2,497,327
3,500 5.97%, 7/18/96 . . . . . . . . . . . . . 5.97 3,500,000
2,500 5.99%, 9/18/96 . . . . . . . . . . . . . 5.99 2,500,000
------------
12,965,903
------------
STUDENT LOAN MARKETING
ASSOCIATION--8.7%
1,715 5.60%, 7/19/96 FRN. . . . . . . . . . . . 5.57 1,715,326
4,000 5.80%, 1/21/98 FRN. . . . . . . . . . . . 5.83 3,997,444
4,000 5.85%, 1/23/97 FRN. . . . . . . . . . . . 5.80 4,010,801
------------
9,723,571
------------
Total U.S. Government &
Agency Obligations
(amortized cost
$106,900,188) . . . . . . . . . . . . . . 106,900,188
------------
REPURCHASE
AGREEMENT--2.0%
State Street Repo
2,300 5.50%, dated 10/31/95,
due 11/01/95 in the amount
of $2,300,351 (cost
$2,300,000; collateralized by
$1,800,000 U.S. Treasury
Bonds, 8.75%, 5/15/17,
value--$2,346,000). . . . . . . . . . . . 5.50 2,300,000
------------
TOTAL INVESTMENTS--97.5%
(amortized cost
$109,200,188) . . . . . . . . . . . . . . 109,200,188
Other assets less
liabilities--2.5% . . . . . . . . . . . . 2,758,413
------------
NET ASSETS--100%
(offering and redemption
price of $1.00 per share;
112,073,965 shares
outstanding). . . . . . . . . . . . . . . $111,958,601
------------
------------
- --------------------------------------------------------------------------------
GLOSSARY OF TERMS:
FRN Floating Rate Note
See notes to financial statements.
<PAGE>
STATEMENT OF NET ASSETS
OCTOBER 31, 1995 (UNAUDITED) ACM INSTITUTIONAL RESERVES - TAX-FREE PORTFOLIO
- --------------------------------------------------------------------------------
<CAPTION>
PRINCIPAL
AMOUNT
(000) SECURITY+ YIELD VALUE
- --------------------------------------------------------------------------------
<C> <S> <C> <C>
ALABAMA--6.5%
Alabama HFA
(Rime Village Hoover
Project) Series '88A
$ 2,000 11/13/95 . . . . . . . . . . . . . . . . 3.90% $ 2,000,000
Alabama HFA MFHR
(Northbrook Project)
Series '89A VRDN*
560 4/01/14 . . . . . . . . . . . . . . . . . 4.20 560,000
Bridgeport IDR
(Beaulieu Nylon Inc.
Project) Series '87
VRDN*
2,500 11/01/15 . . . . . . . . . . . . . . . . 4.30 2,500,000
------------
5,060,000
------------
CALIFORNIA--4.9%
Alameda County TRAN
Board of Education
750 7/05/96 . . . . . . . . . . . . . . . . . 4.50 752,403
Santa Clara TRAN
Unified School District
Series '95
1,000 7/10/96 . . . . . . . . . . . . . . . . . 4.50 1,003,307
Tustin Assessment
District 85-1
2,000 11/17/95 . . . . . . . . . . . . . . . . 4.15 2,000,000
------------
3,755,710
------------
COLORADO--1.0%
Denver Airport Revenue
Series B AMT
800 11/06/95 . . . . . . . . . . . . . . . . 4.25 800,000
------------
DISTRICT OF COLUMBIA--4.9%
District of Columbia GO
Series '92 A-2
VRDN*
2,800 10/01/07 . . . . . . . . . . . . . . . . 4.10 2,800,000
District of Columbia
HFA MFHR
(Tyler Housing Trust)
AMT VRDN*
1,000 8/01/25 . . . . . . . . . . . . . . . . . 4.40 1,000,000
------------
3,800,000
------------
FLORIDA--1.3%
Broward County HFA MFHR
(Sawgrass Pines Apts.)
Series '93A AMT VRDN*
1,000 11/01/23 . . . . . . . . . . . . . . . . 4.30 1,000,000
------------
GEORGIA--4.4%
Fulton County Housing
Authority
Series '86A VRDN*
1,000 8/01/16 . . . . . . . . . . . . . . . . . 4.30 1,000,000
Macon-Bibb County
Hospital Rev.
(Charter Med/Macon)
Series '86 VRDN*
2,400 3/01/05 . . . . . . . . . . . . . . . . . 4.25 2,400,000
------------
3,400,000
------------
IDAHO--2.6%
Custer County PCR
(Amoco Project: Cyprus
Minerals) Series '83
Putable
2,000 4/01/96 . . . . . . . . . . . . . . . . . 3.80 2,000,000
------------
ILLINOIS--6.1%
Fulton County Solid
Waste Disposal
(Fulton Project)
Series A
1,000 11/02/95 . . . . . . . . . . . . . . . . 4.00 1,000,000
Illinois Finance Dev. Auth.
(U.G.N. Inc. Project)
Series '86
AMT VRDN*
2,000 9/15/11 . . . . . . . . . . . . . . . . . 4.45 2,000,000
Illinois Health Fac. Auth.
(Springfield Memorial
Medical Center)
Series '85C VRDN*
1,200 1/01/16 . . . . . . . . . . . . . . . . . 4.00 1,200,000
Vernon Hills IDR
(Kinder Care Center)
VRDN*
550 2/01/01 . . . . . . . . . . . . . . . . . 4.15 550,000
------------
4,750,000
------------
INDIANA--5.4%
Jasper County
(N. Indiana Public
Service Project)
Series '88A
1,100 11/14/95 . . . . . . . . . . . . . . . . 3.90 1,100,000
Jasper County
(N. Indiana Public
Service Project)
Series '88B
550 11/08/95 . . . . . . . . . . . . . . . . 3.80 550,000
2,500 12/11/95 . . . . . . . . . . . . . . . . 3.80 2,500,000
------------
4,150,000
------------
<PAGE>
STATEMENT OF NET ASSETS (CONTINUED)
ACM INSTITUTIONAL RESERVES - TAX-FREE PORTFOLIO
- --------------------------------------------------------------------------------
<CAPTION>
PRINCIPAL
AMOUNT
(000) SECURITY+ YIELD VALUE
- --------------------------------------------------------------------------------
<C> <S> <C> <C>
KENTUCKY--2.6%
Bowling Green IDR
(TWN Fastener Inc.
Project) Series '88
AMT VRDN*
$ 2,000 3/01/08 . . . . . . . . . . . . . . . . . 4.45% $ 2,000,000
------------
LOUISIANA--2.6%
Louisiana Public Fac. Auth.
Hospital Equipment Fin. . . . . . . . ..
Program Series '85A
VRDN*
2,000 12/01/05 . . . . . . . . . . . . . . . . 4.30 2,000,000
------------
MARYLAND--3.0%
Maryland Health &
Education Facilities
(Loyola College Issue)
Series '85 VRDN*
2,300 10/01/10 . . . . . . . . . . . . . . . . 3.85 2,300,000
------------
MINNESOTA--0.6%
Eden Prairie Industrial
Dev. Auth.
(Kinder Care Project)
Series C VRDN*
465 2/01/01 . . . . . . . . . . . . . . . . . 4.15 465,000
------------
MISSOURI--3.3%
Blue Springs Industrial
Dev. Auth.
(Kinder Care Project)
Series C VRDN*
540 2/01/01 . . . . . . . . . . . . . . . . . 4.15 540,000
St Louis Industrial Dev. Auth.
(United Industries Corp./
Rex Realty Co.)
Series A
AMT VRDN*
1,000 1/01/01 . . . . . . . . . . . . . . . . . 4.45 1,000,000
St. Louis County IDR
(Schnuck Mkts.)
VRDN*
1,000 12/01/15 . . . . . . . . . . . . . . . . 4.45 1,000,000
------------
2,540,000
------------
NEW JERSEY--2.6%
Jersey City BAN
2,000 9/27/96 . . . . . . . . . . . . . . . . . 4.75 2,012,694
------------
OHIO--1.6%
Toledo Ohio
Special Assessment Note
1,260 12/01/95 . . . . . . . . . . . . . . . . 4.52 1,260,164
------------
OKLAHOMA--2.5%
Broken Arrow IDR
(Paragon Films Project)
AMT VRDN*
1,970 8/01/04 . . . . . . . . . . . . . . . . . 4.25 1,970,000
------------
PENNSYLVANIA--13.5%
Allegheny County
(U.S. Steel Environment
Imp.) Series '85
2,000 12/08/95 . . . . . . . . . . . . . . . . 4.00 2,000,000
Montgomery County
Industrial Dev. Auth.
(Kinder Care Project)
Series D VRDN*
400 10/01/00 . . . . . . . . . . . . . . . . 4.15 400,000
Philadelphia Gas Works
Series B
3,000 11/09/95 . . . . . . . . . . . . . . . . 3.80 3,000,000
Philadelphia GO TRAN
Series A
1,000 6/27/96 . . . . . . . . . . . . . . . . . 4.50 1,003,594
Philadelphia Industrial
Dev. Auth.
Hospital Revenue:
Charter Hospital
Series '86 VRDN*
2,000 1/01/01 . . . . . . . . . . . . . . . . . 4.25 2,000,000
Philadelphia School
District TRAN
1,000 6/28/96 . . . . . . . . . . . . . . . . . 4.50 1,003,477
Washington County
Higher Education Pooled
Equipment Series '85A
VRDN*
1,000 11/01/05 . . . . . . . . . . . . . . . . 4.00 1,000,000
------------
10,407,071
------------
TEXAS--14.4%
Brownsville Utility Systems
Series A
2,000 12/11/95 . . . . . . . . . . . . . . . . 3.85 2,000,000
<PAGE>
STATEMENT OF NET ASSETS (CONTINUED)
ACM INSTITUTIONAL RESERVES - TAX-FREE PORTFOLIO
- --------------------------------------------------------------------------------
<CAPTION>
PRINCIPAL
AMOUNT
(000) SECURITY+ YIELD VALUE
- --------------------------------------------------------------------------------
<C> <S> <C> <C>
Calhoun County Industrial
Dev. Auth.
(Formosa Plastics Corp.
Project) Series '94
VRDN*
$ 3,000 11/01/15 . . . . . . . . . . . . . . . . 4.30% $ 3,000,000
Dallas Rapid Transit
Series A
2,000 12/21/95 . . . . . . . . . . . . . . . . 3.80 2,000,000
El Paso HFA MFHR
(Viva Apartments
Project) Series '93 AMT
Putable
1,500 9/01/96 . . . . . . . . . . . . . . . . . 4.25 1,500,000
Midlothian Industrial
Dev. Corp.
(Box-Crow Cement Co.)
VRDN*
600 12/01/09 . . . . . . . . . . . . . . . . 4.40 600,000
Tyler Health Facilities
(East Texas Medical
Center)
2,000 12/06/95 . . . . . . . . . . . . . . . . 4.05 2,000,000
------------
11,100,000
------------
UTAH--1.9%
Intermountain Power Agency
Power Supply Rev.
Series '85F
1,500 12/12/95 . . . . . . . . . . . . . . . . 3.85 1,500,000
------------
VIRGINIA--4.3%
Peninsula Port Authority
Series '87B
1,700 12/07/95 . . . . . . . . . . . . . . . . 3.90 1,700,000
Richmond GO Bond
Series A
1,600 1/15/96 . . . . . . . . . . . . . . . . . 3.80 1,600,798
------------
3,300,798
------------
WASHINGTON--6.0%
Pilchuck IDR
(Crystal Creek Association)
Series III '89 VRDN*
408 8/01/10 . . . . . . . . . . . . . . . . . 4.15 408,000
Pilchuck IDR
(Kohkoku USA Project)
AMT VRDN*
450 11/01/99 . . . . . . . . . . . . . . . . 4.25 450,000
Pilchuck IDR
(Trinity at Canyon Park)
Series III '89 VRDN*
829 8/01/10 . . . . . . . . . . . . . . . . . 4.15 829,000
Washington GO
Community Economic
Revitalization Board
Series '88 VRDN*
2,985 7/01/98 . . . . . . . . . . . . . . . . . 4.30 2,985,000
------------
4,672,000
------------
WISCONSIN--2.9%
Wausau PCR
(Minnesota Mining &
Manufacturing)
VRDN*
300 8/01/17 . . . . . . . . . . . . . . . . . 4.12 300,000
Wisconsin Health &
Education Facilities
(Alexian Village of
Milwaukee)
Series '88A
1,000 11/30/95 . . . . . . . . . . . . . . . . 4.00 1,000,000
Wisconsin State
Series '95
900 6/17/96 . . . . . . . . . . . . . . . . . 4.50 903,375
------------
2,203,375
------------
TOTAL INVESTMENTS--98.9%
(amortized cost
$76,446,797). . . . . . . . . . . . . . . 76,446,812
Other assets less
liabilities--1.1% . . . . . . . . . . . . 844,441
------------
NET ASSETS--100%
(offering and redemption
price of $1.00 per share;
77,375,221 shares
outstanding). . . . . . . . . . . . . . . $ 77,291,253
------------
------------
</TABLE>
<PAGE>
STATEMENT OF NET ASSETS (CONTINUED)
ACM INSTITUTIONAL RESERVES - TAX-FREE PORTFOLIO
- --------------------------------------------------------------------------------
+ All securities either mature or their interest rate changes in one year or
less.
* Variable Rate Demand Notes (VRDN) are instruments whose interest rates
change on a specified date (such as a coupon date or interest payment date)
or whose interest rates vary with changes in a designated base rate (such
as the prime interest rate). These instruments are payable on demand and
are secured by letters of credit or other credit support agreements from
major banks. Periodic Put Bonds (PPB) are payable on demand quarterly,
semi-annually or annually and their interest rates change less frequently
than rates on Variable Rate Demand Notes.
GLOSSARY OF TERMS:
AMT Alternative Minimum Tax
BAN Bond Anticipation Note
GO General Obligation
HFA Housing Finance Agency/Authority
IDR Industrial Development Revenue
MFHR Multi-Family Housing Revenue
PCR Pollution Control Revenue
TRAN Tax & Revenue Anticipation Note
VRDN Variable Rate Demand Note
See notes to financial statements.
<PAGE>
STATEMENT OF NET ASSETS
OCTOBER 31, 1995 (UNAUDITED) ACM INSTITUTIONAL RESERVES - TRUST PORTFOLIO
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT
(000) SECURITY YIELD VALUE
- --------------------------------------------------------------------------------
<C> <S> <C> <C>
U.S. GOVERNMENT & AGENCY
OBLIGATIONS--99.7%
FEDERAL NATIONAL MORTGAGE
ASSOCIATION--41.2%
$ 5,000 2/28/96 . . . . . . . . . . . . . . . . . 5.54% $ 4,908,436
2,000 2/21/96 . . . . . . . . . . . . . . . . . 5.55 1,965,498
6,100 12/08/95 . . . . . . . . . . . . . . . . 5.55 6,065,205
5,000 1/25/96 . . . . . . . . . . . . . . . . . 5.58 4,934,125
3,000 1/30/96 . . . . . . . . . . . . . . . . . 5.59 2,958,075
1,000 12/08/95 . . . . . . . . . . . . . . . . 5.63 994,214
7,055 11/07/95 . . . . . . . . . . . . . . . . 5.64 7,048,368
10,000 5.75%, 7/05/96 FRN. . . . . . . . . . . . 5.84 9,995,343
6,000 5.76%, 10/15/96 FRN . . . . . . . . . . . 5.83 5,996,017
5,000 5.78%, 9/03/96 FRN. . . . . . . . . . . . 5.82 4,998,382
2,000 5.81%, 9/27/96 . . . . . . . . . . . . . 5.81 2,000,000
4,000 6.48%, 3/27/96 . . . . . . . . . . . . . 5.81 4,009,343
------------
55,873,006
------------
STUDENT LOAN MARKETING
ASSOCIATION--23.5%
1,680 5.60%, 7/19/96 FRN. . . . . . . . . . . . 5.65 1,679,476
5,000 5.71%, 12/01/95 FRN . . . . . . . . . . . 5.83 4,999,483
22,300 5.80%, 11/20/97 FRN . . . . . . . . . . . 5.75 22,326,669
2,960 5.85%, 11/01/96 FRN . . . . . . . . . . . 5.65 2,965,583
------------
31,971,211
------------
FEDERAL FARM CREDIT BANK--14.0%
2,500 11/10/95 . . . . . . . . . . . . . . . . 5.63 2,496,481
500 5.60%, 7/01/96 . . . . . . . . . . . . . 5.69 499,677
4,000 5.76%, 6/20/96 FRN. . . . . . . . . . . . 5.81 3,998,732
10,000 5.77%, 9/03/96 FRN. . . . . . . . . . . . 5.77 10,000,000
2,000 6.76%, 2/28/96 . . . . . . . . . . . . . 6.71 2,000,184
------------
18,995,074
------------
FEDERAL HOME LOAN
MORTGAGE CORP.--13.3%
4,700 1/02/96 . . . . . . . . . . . . . . . . . 5.60 4,654,671
1,000 11/06/95 . . . . . . . . . . . . . . . . 5.62 999,219
6,000 11/01/95 . . . . . . . . . . . . . . . . 5.85 6,000,000
500 5/01/96 . . . . . . . . . . . . . . . . . 5.88 485,137
1,000 3/29/96 . . . . . . . . . . . . . . . . . 5.97 975,291
4,000 4/01/96 . . . . . . . . . . . . . . . . . 6.20 3,895,289
1,000 6.45%, 4/08/96 . . . . . . . . . . . . . 6.52 999,705
------------
18,009,312
------------
FEDERAL HOME LOAN BANK--7.7%
2,000 2/14/96 . . . . . . . . . . . . . . . . . 6.20 1,963,834
4,500 4.36%, 4/25/96 . . . . . . . . . . . . . 5.78 4,468,576
1,500 5.97%, 7/18/96 . . . . . . . . . . . . . 5.97 1,500,000
2,500 5.99%, 9/18/96 . . . . . . . . . . . . . 5.99 2,500,000
------------
10,432,410
------------
TOTAL INVESTMENTS--99.7%
(amortized cost
$135,281,013) . . . . . . . . . . . . . . 135,281,013
Other assets less
liabilities--0.3% . . . . . . . . . . . . 434,020
------------
NET ASSETS--100%
(offering and redemption
price of $1.00 per share;
135,765,374 shares
outstanding). . . . . . . . . . . . . . . $135,715,033
------------
------------
- --------------------------------------------------------------------------------
</TABLE>
GLOSSARY OF TERMS:
FRN Floating Rate Note
See notes to financial statements.
<PAGE>
STATEMENT OF OPERATIONS
SIX MONTHS ENDED OCTOBER 31, 1995 (UNAUDITED)
ACM INSTITUTIONAL RESERVES - PRIME PORTFOLIO
- --------------------------------------------------------------------------------
<TABLE>
<S> <C> <C>
INVESTMENT INCOME
Interest . . . . . . . . . . . . . . . . . . . . $7,717,552
EXPENSES
Advisory fee (Note B). . . . . . . . . . . . . . $258,143
Registration fees. . . . . . . . . . . . . . . . 59,971
Custodian fees . . . . . . . . . . . . . . . . . 31,850
Transfer agency. . . . . . . . . . . . . . . . . 12,022
Audit and legal fees . . . . . . . . . . . . . . 3,799
Directors' fees. . . . . . . . . . . . . . . . . 2,762
Amortization of organization expenses. . . . . . 1,936
Printing . . . . . . . . . . . . . . . . . . . . 1,450
Miscellaneous. . . . . . . . . . . . . . . . . . 3,312
--------
Total expenses . . . . . . . . . . . . . . . . . 375,245
Less: expense reimbursement. . . . . . . . . . . (117,102) 258,143
-------- ----------
Net investment income. . . . . . . . . . . . . . 7,459,409
REALIZED LOSS ON INVESTMENTS
Net realized loss on investments . . . . . . . . (38,206)
----------
NET INCREASE IN NET ASSETS FROM OPERATIONS . . . . $7,421,203
----------
----------
</TABLE>
STATEMENTS OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------------------------------------------------------
SIX MONTHS ENDED
OCTOBER 31, 1995 YEAR ENDED
(UNAUDITED) APRIL 30, 1995
---------------- --------------
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS
Net investment income. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $7,459,409 $8,084,553
Net realized loss on investments . . . . . . . . . . . . . . . . . . . . . . . . . (38,206) (77,316)
------------ ------------
Net increase in net assets from operations . . . . . . . . . . . . . . . . . . . . 7,421,203 8,007,237
DIVIDENDS TO SHAREHOLDERS FROM:
Net investment income. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (7,459,409) (8,084,553)
CAPITAL STOCK TRANSACTIONS
Net increase . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 81,742,781 89,756,927
------------ ------------
Total increase . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 81,704,575 89,679,611
NET ASSETS
Beginning of period. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 197,789,392 108,109,781
------------ ------------
End of period. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $279,493,967 $197,789,392
------------ ------------
------------ ------------
- ------------------------------------------------------------------------------------------------------------------------------
</TABLE>
See notes to financial statements.
<PAGE>
STATEMENT OF OPERATIONS
SIX MONTHS ENDED OCTOBER 31, 1995 (UNAUDITED)
ACM INSTITUTIONAL RESERVES - GOVERNMENT PORTFOLIO
- --------------------------------------------------------------------------------
<TABLE>
<S> <C> <C>
INVESTMENT INCOME
Interest . . . . . . . . . . . . . . . . . . . . $3,919,934
EXPENSES
Advisory fee (Note B). . . . . . . . . . . . . . $131,970
Registration fees. . . . . . . . . . . . . . . . 47,122
Custodian fees . . . . . . . . . . . . . . . . . 28,289
Transfer agency. . . . . . . . . . . . . . . . . 12,175
Audit and legal fees . . . . . . . . . . . . . . 3,768
Amortization of organization expenses. . . . . . 3,680
Directors' fees. . . . . . . . . . . . . . . . . 2,822
Printing . . . . . . . . . . . . . . . . . . . . 1,150
Miscellaneous. . . . . . . . . . . . . . . . . . 2,697
--------
Total expenses . . . . . . . . . . . . . . . . . 233,673
Less: expense reimbursement. . . . . . . . . . . (101,703) 131,970
-------- ----------
Net investment income. . . . . . . . . . . . . . 3,787,964
REALIZED LOSS ON INVESTMENTS
Net realized loss on investments . . . . . . . . (30,529)
----------
NET INCREASE IN NET ASSETS FROM OPERATIONS . . . . $3,757,435
----------
----------
</TABLE>
STATEMENTS OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------------------------------------------------------
SIX MONTHS ENDED
OCTOBER 31, 1995 YEAR ENDED
(UNAUDITED) APRIL 30, 1995
---------------- --------------
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS
Net investment income. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $3,787,964 $4,532,827
Net realized loss on investments . . . . . . . . . . . . . . . . . . . . . . . . . (30,529) (23,230)
------------ ------------
Net increase in net assets from operations . . . . . . . . . . . . . . . . . . . . 3,757,435 4,509,597
DIVIDENDS TO SHAREHOLDERS FROM:
Net investment income. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (3,787,964) (4,532,827)
CAPITAL STOCK TRANSACTIONS
Net increase . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7,579,258 27,878,851
------------ ------------
Total increase . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7,548,729 27,855,621
NET ASSETS
Beginning of period. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 104,409,872 76,554,251
------------ ------------
End of period. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $111,958,601 $104,409,872
------------ ------------
------------ ------------
- ------------------------------------------------------------------------------------------------------------------------------
</TABLE>
See notes to financial statements.
<PAGE>
STATEMENT OF OPERATIONS
SIX MONTHS ENDED OCTOBER 31, 1995 (UNAUDITED)
ACM INSTITUTIONAL RESERVES - TAX-FREE PORTFOLIO
- --------------------------------------------------------------------------------
<TABLE>
<S> <C> <C>
INVESTMENT INCOME
Interest . . . . . . . . . . . . . . . . . . . . $1,092,680
EXPENSES
Advisory fee (Note B). . . . . . . . . . . . . . $53,524
Registration fees. . . . . . . . . . . . . . . . 49,670
Custodian fees . . . . . . . . . . . . . . . . . 25,031
Transfer agency. . . . . . . . . . . . . . . . . 10,151
Audit and legal fees . . . . . . . . . . . . . . 4,713
Directors' fees. . . . . . . . . . . . . . . . . 4,224
Amortization of organization expenses. . . . . . 3,680
Printing . . . . . . . . . . . . . . . . . . . . 800
Miscellaneous. . . . . . . . . . . . . . . . . . 1,811
--------
Total expenses . . . . . . . . . . . . . . . . . 153,604
Less: expense reimbursement. . . . . . . . . . . (100,080) 53,524
-------- ----------
Net investment income. . . . . . . . . . . . . . 1,039,156
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
Net realized loss on investments . . . . . . . . (66,686)
Net change in unrealized appreciation of investments (151)
----------
Net loss on investments. . . . . . . . . . . . . (66,837)
----------
NET INCREASE IN NET ASSETS FROM OPERATIONS . . . . $ 972,319
----------
----------
</TABLE>
STATEMENTS OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------------------------------------------------------
SIX MONTHS ENDED
OCTOBER 31, 1995 YEAR ENDED
(UNAUDITED) APRIL 30, 1995
---------------- --------------
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS
Net investment income. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,039,156 $1,069,590
Net realized loss on investments . . . . . . . . . . . . . . . . . . . . . . . . . (66,686) (11,019)
Net change in unrealized appreciation of investments . . . . . . . . . . . . . . . (151) (154,369)
----------- -----------
Net increase in net assets from operations . . . . . . . . . . . . . . . . . . . . 972,319 904,202
DIVIDENDS TO SHAREHOLDERS FROM:
Net investment income. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (1,039,156) (1,069,590)
CAPITAL STOCK TRANSACTIONS
Net increase (decrease). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 41,860,933 (133,564)
OTHER CAPITAL CONTRIBUTIONS. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0 154,387
----------- -----------
Total increase (decrease). . . . . . . . . . . . . . . . . . . . . . . . . . . . . 41,794,096 (144,565)
NET ASSETS
Beginning of period. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 35,497,157 35,641,722
----------- -----------
End of period. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $77,291,253 $35,497,157
----------- -----------
----------- -----------
- ------------------------------------------------------------------------------------------------------------------------------
</TABLE>
See notes to financial statements.
<PAGE>
STATEMENT OF OPERATIONS
SIX MONTHS ENDED OCTOBER 31, 1995 (UNAUDITED)
ACM INSTITUTIONAL RESERVES - TRUST PORTFOLIO
- --------------------------------------------------------------------------------
<TABLE>
<S> <C> <C>
INVESTMENT INCOME
Interest . . . . . . . . . . . . . . . . . . . . $4,201,376
EXPENSES
Advisory fee (Note B). . . . . . . . . . . . . . $315,458
Registration fees. . . . . . . . . . . . . . . . 48,950
Custodian fees . . . . . . . . . . . . . . . . . 28,676
Transfer agency. . . . . . . . . . . . . . . . . 10,610
Audit and legal fees . . . . . . . . . . . . . . 5,120
Directors' fees. . . . . . . . . . . . . . . . . 2,762
Printing . . . . . . . . . . . . . . . . . . . . 700
Miscellaneous. . . . . . . . . . . . . . . . . . 1,711
--------
Total expenses . . . . . . . . . . . . . . . . . 413,987
Less: expense reimbursement. . . . . . . . . . . (63,478) 350,509
-------- ----------
Net investment income. . . . . . . . . . . . . . 3,850,867
REALIZED LOSS ON INVESTMENTS
Net realized loss on investments . . . . . . . . (30,219)
----------
NET INCREASE IN NET ASSETS FROM OPERATIONS . . . . $3,820,648
----------
----------
</TABLE>
STATEMENTS OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------------------------------------------------------
SIX MONTHS ENDED
OCTOBER 31, 1995 YEAR ENDED
(UNAUDITED) APRIL 30, 1995
---------------- --------------
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS
Net investment income. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $3,850,867 $3,667,921
Net realized loss on investments . . . . . . . . . . . . . . . . . . . . . . . . . (30,219) (16,775)
------------ ------------
Net increase in net assets from operations . . . . . . . . . . . . . . . . . . . . 3,820,648 3,651,146
DIVIDENDS TO SHAREHOLDERS FROM:
Net investment income. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (3,850,867) (3,667,921)
CAPITAL STOCK TRANSACTIONS
Net increase . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26,568,891 72,386,158
------------ ------------
Total increase . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26,538,672 72,369,383
NET ASSETS
Beginning of period. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 109,176,361 36,806,978
------------ ------------
End of period. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $135,715,033 $109,176,361
------------ ------------
------------ ------------
- ------------------------------------------------------------------------------------------------------------------------------
</TABLE>
See notes to financial statements.
<PAGE>
NOTES TO FINANCIAL STATEMENTS
OCTOBER 31, 1995 (UNAUDITED) ACM INSTITUTIONAL RESERVES, INC.
- --------------------------------------------------------------------------------
NOTE A: SIGNIFICANT ACCOUNTING POLICIES
ACM Institutional Reserves, Inc. (the "Fund") is an open-end investment company
registered under the Investment Company Act of 1940. The Fund operates as a
series company currently issuing four classes of capital stock: Prime Portfolio,
Government Portfolio, Tax-Free Portfolio and Trust Portfolio. Each series is
considered to be a separate entity for financial reporting and tax purposes. The
following is a summary of significant accounting policies followed by the Fund.
1. VALUATION OF SECURITIES.
Securities in which the Fund invests are traded primarily in the over-the-
counter market and are valued at amortized cost, under which method a portfolio
instrument is valued at cost and any premium or discount is amortized on a
constant basis to maturity. Amortization of premium is charged to income.
Accretion of market discount is credited to unrealized gain.
2. ORGANIZATION EXPENSES.
The organization expenses of the Fund are being amortized against income on a
straight-line basis through August 1995 on Prime Portfolio and through July 1996
on Government and Tax-Free Portfolios, respectively.
3. FEDERAL INCOME TAXES.
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
investment company taxable income and net realized gains, if applicable, to its
shareholders. Therefore, no provisions for federal income or excise taxes are
required.
4. DIVIDENDS.
The Fund declares dividends daily from net investment income and automatically
reinvests such dividends in additional shares at net asset value. Net realized
capital gains on investments, if any, are expected to be distributed near
calendar year end. Dividends paid by Tax-Free Portfolio from net investment
income for the six months ended October 31, 1995 are exempt from federal income
taxes. However, certain shareholders may be subject to the alternative minimum
tax (AMT).
5. GENERAL.
Interest income is accrued daily. Security transactions are recorded on the date
securities are purchased or sold. Realized gain (loss) from security
transactions is recorded on the identified cost basis.
- --------------------------------------------------------------------------------
NOTE B: ADVISORY FEE AND TRANSACTIONS WITH AN AFFILIATE OF THE ADVISER.
The Fund pays its Adviser, Alliance Capital Management L.P., an advisory fee at
the annual rate of .20 of 1% of average daily net assets for the Prime,
Government and Tax-Free Portfolios and .45 of 1% of average daily net assets for
the Trust Portfolio. The Adviser has agreed to reimburse the Prime, Government
and Tax-Free Portfolios to the extent that their annual aggregate operating
expenses (excluding taxes, brokerage, interest and, where permitted,
extraordinary expenses) exceed .20 of 1% of their average daily net assets for
any fiscal year, and in regard to the Trust Portfolio, exceed .50 of 1% of its
average daily net assets. For the six months ended October 31, 1995,
reimbursement was $117,102, $101,703, $100,080, and $63,478 for the Prime,
Government, Tax-Free and Trust Portfolios, respectively. The Prime, Government,
Tax-Free and Trust Portfolios compensate Alliance Fund Services, Inc. (a wholly-
owned subsidiary of the Adviser) for providing personnel and facilities to
perform transfer agency services. Such compensation for the Prime, Government
and Tax-Free Portfolios, for the six months ended October 31, 1995, amounted to
$9,016 per portfolio. Such compensation for the Trust Portfolio, for the six
months ended October 31, 1995, amounted to $8,372.
<PAGE>
NOTES TO FINANCIAL STATEMENTS (CONTINUED) ACM INSTITUTIONAL RESERVES, INC.
- --------------------------------------------------------------------------------
NOTE C: INVESTMENT TRANSACTIONS.
At October 31, 1995, the cost of securities for federal income tax purposes was
the same as the cost for financial reporting purposes for all portfolios. For
federal income tax purposes, the Prime Portfolio had a capital loss carryforward
at April 30, 1995 of $118,050, of which $1,377 expires in 1999, $3,535 in 2000,
$6,777 in 2001, $29,045 in 2002 and $77,316 in the year 2003; the Government
Portfolio had a capital loss carryforward of $61,605, of which $1,340 expires in
2000, $9,174 in 2001 and $51,091 in the year 2002; the Tax-Free Portfolio had a
capital loss carryforward of $6,278, of which $87 expires in 2000 and $6,191 in
the year 2002; and the Trust Portfolio had a capital loss carryforward of
$20,122, of which $3,347 expires in 2002 and $16,775 in the year 2003.
- --------------------------------------------------------------------------------
NOTE D: CAPITAL STOCK.
There are 1,000,000,000 shares of $.01 par value capital stock authorized. At
October 31, 1995, capital paid-in aggregated $279,650,223 on Prime Portfolio,
$112,073,965 on Government Portfolio, $77,375,221 on Tax-Free Portfolio, and
$135,765,374 on Trust Portfolio. Transactions, all at $1.00 per share, were as
follows:
<TABLE>
<CAPTION>
SIX MONTHS ENDED
OCTOBER 31, 1995 YEAR ENDED
(UNAUDITED) APRIL 30, 1995
---------------- --------------
<S> <C> <C>
PRIME PORTFOLIO
Shares sold. . . . . . . . . . . . . . . . . 1,636,517,513 1,407,213,884
Shares issued on reinvestments of dividends. 7,459,409 8,106,776
Shares redeemed. . . . . . . . . . . . . . . (1,562,234,141) (1,325,563,733)
-------------- --------------
Net increase . . . . . . . . . . . . . . . . .81,742,781 89,756,927
-------------- --------------
-------------- --------------
<CAPTION>
SIX MONTHS ENDED
OCTOBER 31, 1995 YEAR ENDED
(UNAUDITED) APRIL 30, 1995
---------------- --------------
<S> <C> <C>
GOVERNMENT PORTFOLIO
Shares sold. . . . . . . . . . . . . . . . . 524,460,041 608,886,851
Shares issued on reinvestments of dividends. 3,787,964 4,548,358
Shares redeemed. . . . . . . . . . . . . . . (520,668,747) (585,556,358)
-------------- --------------
Net increase . . . . . . . . . . . . . . . . 7,579,258 27,878,851
-------------- --------------
-------------- --------------
<CAPTION>
SIX MONTHS ENDED
OCTOBER 31, 1995 YEAR ENDED
(UNAUDITED) APRIL 30, 1995
---------------- --------------
<S> <C> <C>
TAX-FREE PORTFOLIO
Shares sold. . . . . . . . . . . . . . . . . 286,985,320 295,718,756
Shares issued on reinvestments of dividends. 1,039,152 1,075,771
Shares redeemed. . . . . . . . . . . . . . . (246,163,539) (296,928,091)
-------------- --------------
Net increase (decrease). . . . . . . . . . . 41,860,933 (133,564)
-------------- --------------
-------------- --------------
<CAPTION>
SIX MONTHS ENDED
OCTOBER 31, 1995 YEAR ENDED
(UNAUDITED) APRIL 30, 1995
---------------- --------------
<S> <C> <C>
TRUST PORTFOLIO
Shares sold. . . . . . . . . . . . . . . . . 491,833,078 415,936,022
Shares issued on reinvestments of dividends. 3,850,867 3,675,366
Shares redeemed. . . . . . . . . . . . . . . (469,115,054) (347,225,230)
-------------- --------------
Net increase . . . . . . . . . . . . . . . . 26,568,891 72,386,158
-------------- --------------
-------------- --------------
</TABLE>
<PAGE>
NOTES TO FINANCIAL STATEMENTS (CONTINUED) ACM INSTITUTIONAL RESERVES, INC.
- --------------------------------------------------------------------------------
NOTE E: FINANCIAL HIGHLIGHTS.
Per share operating performance for a share outstanding throughout each period.
<TABLE>
<CAPTION>
SIX MONTHS ENDED YEAR ENDED APRIL 30, AUGUST 20, 1990(a)
OCTOBER 31, 1995 ---------------------------------------------------- THROUGH
(UNAUDITED) 1995 1994 1993 1992 APRIL 30, 1991
---------------- ---- ----- ---- ---- ------------------
<S> <C> <C> <C> <C> <C> <C>
PRIME PORTFOLIO
Net asset value, beginning of
period. . . . . . . . . . . . . . . $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
------- ------- ------- ------- ------- -------
INCOME FROM INVESTMENT OPERATIONS
Net investment income. . . . . . . . 0.0290 0.0502 0.0325 0.0353 0.0535 0.0506
------- ------- ------- ------- ------- -------
LESS: DISTRIBUTIONS
Dividends from net investment income (0.0290) (0.0502) (0.0325) (0.0353) (0.0535) (0.0506)
------- ------- ------- ------- ------- -------
Net asset value, end of period . . . $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
------- ------- ------- ------- ------- -------
------- ------- ------- ------- ------- -------
TOTAL RETURNS
Total investment return based on
net asset value (b). . . . . . . . 5.86%(c) 5.15% 3.30% 3.59% 5.50% 7.54%(c)
------- ------- ------- ------- ------- -------
------- ------- ------- ------- ------- -------
RATIOS/SUPPLEMENTAL DATA
Net assets, end of period
(in millions) . . . . . . . . . . . $279.5 $197.8 $108.1 $64.3 $25.0 $27.2
Ratio to average net assets of:
Expenses, net of waivers
and reimbursements. . . . . . . 0.20%(c) 0.20% 0.20% 0.18% 0.02% -0-
Expenses, before waivers
and reimbursements. . . . . . . 0.29%(c) 0.36% 0.42% 0.48% 0.81% 1.09%(c)
Net investment income (d). . . . . 5.78%(c) 5.24% 3.25% 3.42% 5.30% 6.84%(c)
<CAPTION>
SIX MONTHS ENDED YEAR ENDED APRIL 30, JULY 22, 1991(a)
OCTOBER 31, 1995 ---------------------------------- THROUGH
(UNAUDITED) 1995 1994 1993 APRIL 30, 1992
---------------- ---- ----- ---- ------------------
<S> <C> <C> <C> <C> <C>
GOVERNMENT PORTFOLIO
Net asset value, beginning of period . . . . $1.00 $1.00 $1.00 $1.00 $1.00
------- ------- ------- ------- -------
INCOME FROM INVESTMENT OPERATIONS
Net investment income. . . . . . . . . . . . 0.0287 0.0493 0.0315 0.0339 0.0377
------- ------- ------- ------- -------
LESS: DISTRIBUTIONS
Dividends from net investment income . . . . (0.0287) (0.0493) (0.0315) (0.0339) (0.0377)
------- ------- ------- ------- -------
Net asset value, end of period . . . . . . . $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
------- ------- ------- ------- -------
------- ------- ------- ------- -------
TOTAL RETURNS
Total investment return based on
net asset value (b). . . . . . . . . . . . 5.79%(c) 5.06% 3.20% 3.45% 4.98%(c)
------- ------- ------- ------- -------
------- ------- ------- ------- -------
RATIOS/SUPPLEMENTAL DATA
Net assets, end of period (in millions). . . $112.0 $104.5 $76.6 $73.2 $24.7
Ratio to average net assets of:
Expenses, net of waivers
and reimbursements. . . . . . . . . . . 0.20%(c) 0.20% 0.20% 0.18% 0.10%(c)
Expenses, before waivers
and reimbursements. . . . . . . . . . . 0.35%(c) 0.38% 0.36% 0.49% 0.86%(c)
Net investment income (d). . . . . . . . . 5.74%(c) 4.94% 3.15% 3.30% 4.86%(c)
</TABLE>
- --------------------------------------------------------------------------------
(a) Commencement of operations.
(b) Total investment return is calculated assuming an initial investment
made at the net asset value at the beginning of the period,
reinvestment of all dividends at net asset value during the period and
redemption on the last day of the period.
(c) Annualized.
(d) Net of expenses reimbursed or waived by the Adviser.
<PAGE>
NOTES TO FINANCIAL STATEMENTS (CONTINUED) ACM INSTITUTIONAL RESERVES, INC.
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SIX MONTHS ENDED YEAR ENDED APRIL 30, JULY 22, 1991(a)
OCTOBER 31, 1995 -------------------------------------- THROUGH
(UNAUDITED) 1995 1994 1993 APRIL 30, 1992
---------------- ---- ----- ---- ----------------
<S> <C> <C> <C> <C> <C>
TAX-FREE PORTFOLIO
Net asset value, beginning of period . . . . $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
------- ------- ------- ------- -------
INCOME FROM INVESTMENT OPERATIONS
Net investment income. . . . . . . . . . . . 0.0042 0.0326 0.0240 0.0287 0.0334
Net unrealized loss on investments . . . . . -0- (0.0048) -0- -0- -0-
------- ------- ------- ------- -------
Net increase in net asset value
from operations. . . . . . . . . . . . . . 0.0042 0.0278 0.0240 0.0287 0.0334
------- ------- ------- ------- -------
LESS: DISTRIBUTIONS
Dividends from net investment income . . . . (0.0042) (0.0326) (0.0240) (0.0287) (0.0334)
------- ------- ------- ------- -------
ADD: CAPITAL CONTRIBUTION
Capital Contributed by the Adviser . . . . . -0- 0.0048 -0- -0- -0-
------- ------- ------- ------- -------
Net asset value, end of period . . . . . . . $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
------- ------- ------- ------- -------
------- ------- ------- ------- -------
TOTAL RETURNS
Total investment return based on
net asset value (b). . . . . . . . . . . . 3.84%(c) 3.31% 2.43% 2.92% 4.40%(c)
------- ------- ------- ------- -------
------- ------- ------- ------- -------
RATIOS/SUPPLEMENTAL DATA
Net assets, end of period (in millions). . . $77.3 $35.0 $35.6 $40.9 $8.5
Ratio to average net assets of:
Expenses, net of waivers
and reimbursements. . . . . . . . . . . 0.20%(c) 0.20% 0.20% 0.18% 0.10%(c)
Expenses, before waivers
and reimbursements. . . . . . . . . . . 0.57%(c) 0.76% 0.69% 0.95% 2.08%(c)
Net investment income (d). . . . . . . . . 3.88%(c) 3.31% 2.40% 2.73% 4.01%(c)
<CAPTION>
SIX MONTHS ENDED YEAR ENDED APRIL 30, NOVEMBER 16, 1992(a)
OCTOBER 31, 1995 ----------------------------- THROUGH
(UNAUDITED) 1995 1994 APRIL 30, 1993
---------------- ----- ---- --------------------
<S> <C> <C> <C> <C>
TRUST PORTFOLIO
Net asset value, beginning of period . . . . . . . $ 1.00 $ 1.00 $ 1.00 $ 1.00
------- ------- ------- -------
INCOME FROM INVESTMENT OPERATIONS
Net investment income. . . . . . . . . . . . . . . 0.0274 0.0479 0.0309 0.0144
------- ------- ------- -------
LESS: DISTRIBUTIONS
Dividends from net investment income . . . . . . . (0.0274) (0.0479) (0.0309) (0.0144)
------- ------- ------- -------
Net asset value, end of period . . . . . . . . . . $ 1.00 $ 1.00 $ 1.00 $ 1.00
------- ------- ------- -------
------- ------- ------- -------
TOTAL RETURNS
Total investment return based on
net asset value (b). . . . . . . . . . . . . . . 5.53%(c) 4.91% 3.14% 3.21%(c)
------- ------- ------- -------
------- ------- ------- -------
RATIOS/SUPPLEMENTAL DATA
Net assets, end of period (in millions). . . . . . $135.7 $109.2 $36.8 $5.3
Ratio to average net assets of:
Expenses, net of waivers
and reimbursements. . . . . . . . . . . . . . 0.50%(c) 0.49% 0.14% -0-
Expenses, before waivers
and reimbursements. . . . . . . . . . . . . . 0.59%(c) 0.82% 0.38% 2.69%(c)
Net investment income (d). . . . . . . . . . . . 5.49%(c) 5.31% 3.15% 3.17%(c)
</TABLE>
- --------------------------------------------------------------------------------
(a) Commencement of operations.
(b) Total investment return is calculated assuming an initial investment
made at the net asset value at the beginning of the period,
reinvestment of all dividends at net asset value during the period and
redemption on the last day of the period.
(c) Annualized.
(d) Net of expenses reimbursed or waived by the Adviser.
<PAGE>
ACM INSTITUTIONAL RESERVES, INC.
- --------------------------------------------------------------------------------
ACM INSTITUTIONAL RESERVES, INC.
1345 Avenue of the Americas
New York, New York 10105
Toll-free 1 (800) 237-5822
YIELDS. For current recorded yield information on the Fund, call on a touch-
tone telephone toll-free 1 (800) 251-0539 and press the following sequence
of keys: 1 * 16 # for the Prime Portfolio, 1 * 27 # for the Government
Portfolio, 1 * 38 # for the Tax-Free Portfolio and 1 * 0 # for the Trust
Portfolio.
FOR NON-TOUCH-TONE TELEPHONES, CALL TOLL-FREE 1 (800) 221-9513
BOARD OF DIRECTORS
JOHN D. CARIFA, CHAIRMAN
RUTH BLOCK
DAVID H. DIEVLER
JOHN H. DOBKIN
WILLIAM H. FOULK, JR.
JAMES M. HESTER
CLIFFORD L. MICHEL
ROBERT C. WHITE
OFFICERS
RONALD M. WHITEHILL, PRESIDENT
KATHLEEN A. CORBET, SENIOR VICE PRESIDENT
DREW BIEGEL, VICE PRESIDENT
JOHN F. CHIODI, JR., VICE PRESIDENT
RAYMOND J. PAPERA, VICE PRESIDENT
PAMELA F. RICHARDSON, VICE PRESIDENT
EDMUND P. BERGAN, JR., SECRETARY
MARK D. GERSTEN, TREASURER & CHIEF FINANCIAL OFFICER
JOSEPH J. MANTINEO, CONTROLLER
CUSTODIAN
STATE STREET BANK AND TRUST COMPANY
P.O. Box 1912
Boston, MA 02105
LEGAL COUNSEL
SEWARD & KISSEL
One Battery Park Plaza
New York, NY 10004
AUDITORS
MCGLADREY & PULLEN, LLP
555 Fifth Avenue
New York, NY 10017
TRANSFER AGENT
ALLIANCE FUND SERVICES, INC.
P.O. Box 1520
Secaucus, NJ 07096-1520
DISTRIBUTOR
ALLIANCE FUND DISTRIBUTORS, INC.
1345 Avenue of the Americas
New York, NY 10105
Distribution of this report other than to shareholders must be preceded or
accompanied by the Fund's current prospectus, which contains further information
about the Fund.