[LOGO] LIMITED TERM
NEW YORK
MUNICIPAL FUND
TAX-FREE INCOME FOR CAUTIOUS NEW YORK INVESTORS
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ANNUAL REPORT
December 31, 1998
[LOGO] OPPENHEIMER FUNDS(R)
THE RIGHT WAY TO INVEST
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LIMITED TERM NEW YORK MUNICIPAL FUND IS THE #1 PERFORMING OTHER STATES
SHORT-INTERMEDIATE MUNICIPAL DEBT FUND FOR THE 3- AND 5-YEAR PERIOD ENDED
12/31/98, AS RATED BY LIPPER.
THESE RANKINGS INCLUDED 14 FUNDS FOR THE 3-YEAR PERIOD AND 6 FUNDS FOR THE
5-YEAR PERIOD. WITHIN THE SAME CATEGORY, THE FUND WAS ALSO SECOND OUT OF 19
FUNDS FOR THE 1-YEAR PERIOD.*
*Lipper Analytical Services, Inc. is an independent mutual fund monitoring
service. Limited Term New York Municipal Fund is characterized by Lipper as an
Other States Short-Intermediate Municipal Debt Fund. Lipper performance does not
take sales charges into consideration and assumes the reinvestment of dividends
and capital gains distributions. Sales charges, if included, would affect
results. Past performance is not predictive of future results.
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"FIELDING'S APPROACH HAS SO FAR BEEN UNBEATABLE IN ITS
EXPLOITATION OF SMALL MARKET INEFFICIENCIES. THERE IS NO
BETTER NEW YORK SHORT-TERM FUND."
MORNINGSTAR'S LIMITED TERM NEW YORK MUNICIPAL FUND ANALYSIS,
---------------------------------------------
NOVEMBER 21, 1998
LIMITED TERM NEW YORK MUNICIPAL FUND (CLASS A SHARES) HAS RECEIVED MORNINGSTAR'S
HIGHEST 5-STAR OVERALL RANKING AS OF DECEMBER 31, 1998. THE 3-YEAR AND 5-YEAR
MORNINGSTAR RANKINGS FOR THE PERIOD ENDED 12/31/98 ARE BOTH FIVE STARS. 1577 AND
1040 MUNICIPAL BOND FUNDS WERE RATED FOR THESE 3- AND 5-YEAR PERIODS,
RESPECTIVELY.*
* Overall star rankings are based on a weighted average of the Fund's 3- and
5-year rankings. Ten percent of the funds in an investment category receive five
stars (highest), 22.5% receive four stars (above average), 35% receive three
stars (average), 22.5% receive two stars (below average), and 10% receive one
star (lowest). Morningstar, Inc. is a nationally recognized independent mutual
fund rating service. Morningstar proprietary star rankings reflect historical
risk-adjusted total return as of December 31, 1998. The rankings are subject to
change every month. Rankings are based on past performance, after considering
sales charges and costs, and are no guarantee of future results. Morningstar
rankings are calculated from the fund's three- and five-year average annual
returns in excess of 90-day Treasury bill returns with appropriate fee
adjustments, and a risk factor that reflects fund performance below 90-day
T-bill returns. Investment return and principal value on an investment in the
Fund will fluctuate so that an investor's shares, when redeemed, may be worth
more or less than their original cost.
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DEAR SHAREHOLDER,
[PHOTO OF BRIDGET A. MACASKILL PRESIDENT
Limited Term New York Municipal Fund]
In retrospect, 1998 has been an unsettling year for the financial
markets. Around the world, stock and bond markets experienced considerable
instability, with particular tumult being felt in Southeast Asia, Russia and
Latin America. The U.S. stock market was not immune from the extreme volatility,
as it climbed to record levels through July before correcting sharply in the
third quarter and rebounding to new highs in the fourth quarter. In the bond
market, yields on U.S. Treasury securities declined to record lows before rising
modestly late in the year.
Does the swift recovery of the U.S. stock market and the favorable
economic environment for the bond market mean that domestic stocks and bonds
will continue to prosper? We are optimistic over the long term, but we do expect
that concerns about corporate earnings growth in a slow-growth economy will
contribute to more stock market volatility in 1999. In the bond market, the
Federal Reserve Board's decisions to reduce short-term interest rates should
help create a positive climate for fixed-income securities. While lower interest
rates are generally good for bond prices, it will become more difficult for bond
funds to maintain their dividends at current levels if yields decline further.
As an Oppenheimer fund shareholder, you may wonder how this potential
volatility will affect you. If you maintain a long-term perspective, as we do,
short-term volatility over the coming months should have little bearing on your
ability to achieve your future financial goals. That's why we continue to
suggest that you adhere to your long-term investment plan. In fact, we are very
encouraged that most of our shareholders stayed the course during last summer's
stock market correction, avoiding the temptation of selling into a temporarily
declining market.
Finally, I would like to thank those shareholders that contacted us about
our revised account statement. Response has been very positive, and we are
pleased that many of you find the new format easier to read and more
informative. If you have any questions about the new statement or any other
matter, please don't hesitate to call us at 1-800-525-7048. In the meantime,
thank you for choosing OppenheimerFunds, The Right Way to Invest.
================================================================================
Sincerely,
/s/ Bridget A. Macaskill
Bridget A. Macaskill
January 20, 1999
1 LIMITED TERM NEW YORK MUNICIPAL FUND
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THE ROCHESTER WAY
Founded in 1959, OppenheimerFunds, Inc. is one of the most respected
mutual fund managers nationwide today. Including subsidiaries, the firm manages
more than $95 billion in assets (as of December 31, 1998), including more than
65 funds with more than 4 million shareholder accounts.
The Rochester Division of OppenheimerFunds, Inc. located in Rochester, New
York, is dedicated to the investment management and distribution of regional
municipal bond funds. These Funds - Rochester Fund Municipals, the Limited Term
New York Municipal Fund, and, as of January 1, 1999, the Oppenheimer
Pennsylvania Municipal Fund, pursue an investment approach that is intentionally
limited to specific sectors and regions of the municipal market.(1)
Refined since the inception of Rochester Fund Municipals in May of 1986,
the unique investment approach of these Rochester Funds has proven to be
beneficial. By conducting intensive research within the universe of either New
York or Pennsylvania municipal bonds, the portfolio management team has been
able to apply unique strategies relating to the municipal bond market.
DIVERSITY ACROSS NEW YORK STATE
In addition to the more conventional municipal bonds available throughout
New York, the `Rochester style' of management includes researching small issues,
"story" bonds, unrated bonds, and callable bonds.(2) If, through diligent credit
research and active portfolio management, we believe these bonds can enhance
fund performance and/or yield, we attempt to include them in the portfolio.
While it is true that these types of bonds are often not considered by
other funds, the Limited Term New York Municipal Fund is not your typical fund.
In essence, it is our opinion that a portfolio of 40 AAA insured bonds of
similar maturities issued by four or five entities may look great, but offers
little real world diversification. Similarly, while unrated bonds may not appeal
to an individual investor, there can be a significant total return advantage to
carefully researched unrated bonds when part of a broadly diversified portfolio.
We believe there are great, often overlooked, opportunities available, and
that there can be a place for such "alternative" holdings in a well-diversified
fund. In fact, as of December 31, 1998, the Limited Term New York Municipal
Fund's portfolio consisted of more than 1000 different securities.
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(1) The Oppenheimer Pennsylvania Municipal Fund is not available in all states.
Please consult your financial advisor for more details.
(2) Small issues are typically less liquid than equivalent quality large issues.
However, buyers of small debt are often better able to negotiate terms from the
issuer. And, while lower rated and unrated bonds generally involve greater risk
than bonds in the higher rated categories as determined by S&P and Moody's
rating services, in a well-diversified fund, we believe the credit risk is
justified by the higher yields obtained.
2 LIMITED TERM NEW YORK MUNICIPAL FUND
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COMMUNITY SUPPORT
When you invest in municipal securities through a mutual fund, your
dollars are being put to work primarily in your state's communities - buildings
and school systems, hospitals and fire districts. To encourage and reward
resident support of these municipal activities, the interest paid on them is
often exempt from federal and state personal income taxes. For residents of New
York State, the interest is also free from any applicable New York City income
taxes.
Many investors consider this the primary advantage of a municipal bond
fund like the Limited Term New York Municipal Fund. But it should also be
acknowledged that municipal bonds provide financing for much of the
infrastructure of the communities in which we live.
During 1998, your investment in the Limited Term New York Municipal Fund
helped provide financing for a wide variety of worthwhile projects in New York
State. Public and private colleges, primary schools for special education and
mortgages for first-time home buyers are just a few of the programs that benefit
from your investment.
When you review the enclosed listing of the Fund's portfolio of issues,
you're likely to find many projects that help to improve the standard of living
in your community. It's one of the --admittedly few --advantages of the current
tax code: the ability to earn tax-free income and be supportive of the great
state of New York.(1)
(1) A portion of the Fund's income may be subject to income taxes. Capital gains
distributions, if any, are taxable as capital gains. For investors subject to
the alternative minimum tax, a portion of the Fund's distributions may increase
that tax.
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THE FUND'S DIVERSIFIED PORTFOLIO*
BY MUNICIPAL SECTOR ON 12/31/98 AS A PERCENTAGE OF INVESTMENTS
General Obligation 22.0%
Municipal Leases 9.3%
Hospital/Healthcare 8.6%
Electric Utilities 7.9%
Single-Family Housing 7.6%
Multi-Family Housing 7.4%
Highways/Railways 6.3%
Resource Recovery 5.8%
Marine/Aviation Facilities 5.4%
Higher Education 5.2%
Non Profit Organization 2.8%
Corporate Backed 2.4%
Sales Tax Revenue 1.8%
Water Utilities 1.7%
Manufacturing,
Non-Durable Goods 1.6%
Education 1.6%
Pollution Control 1.1%
Other 1.5%
Total 100.0%
* Portfolio data are as of 12/31/98, and are subject to change. Portfolio data
are dollar-weighted based on total market value of investments.
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3 LIMITED TERM NEW YORK MUNICIPAL FUND
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TO FELLOW SHAREHOLDERS,
[PHOTO OF RONALD H. FIELDING,CFA
Senior Vice President OppenheimerFunds, Inc.]
Portfolio Manager, Limited Term New York Municipal Fund, since inception
September 18, 1991
We are pleased to provide shareholders of Limited Term New York
Municipal Fund with this 1998 Annual Report and announce that the Fund was able
to meet its goal of high tax-free income with low share price fluctuation during
the year for all share classes.(1) In fact, Lipper Analytical Services, Inc.,
ranks Limited Term New York Municipal Fund (Class A Shares) highest in its
category for 30-day SEC Yield as of December 31, 1998.(2) (That's among 20 other
funds in the Other States Short-Intermediate Municipal Debt Fund category as of
12/31/98.)
The Fund's dividend yield for Class A Shares at Net Asset Value was 4.63%,
which translates into a return equivalent to 8.6% from a taxable investment for
those investors in the top combined New York City, New York State and federal
tax bracket.(3)
And we are also delighted to report that the Fund preserved its price per
share during the course of 1998: the Fund's Net Asset Value exhibited a modest
increase from $3.34 on December 31, 1997 to $3.37 at year end 1998, reflecting
the boring but otherwise respectable performance of the municipal bond market.
Of additional interest to investors wondering about the future should be
the current ratio of municipal bond yields to U.S. Treasury yields. During the
more volatile moments of 1998's equity markets, the "flight to quality" by
American investors impacted the yields on U.S Treasuries to such a degree that
the yields of municipal bonds, New York issues included, became relatively more
attractive than they have in many years. And this yield comparison is on a
pre-tax basis - the after tax implications of such an environment can be more
rewarding still. (This issue is discussed elsewhere within this report, but we
urge you to revisit the advantages of municipal bond and bond fund investing
with your financial advisor.)
All told, we are optimistic as we enter 1999. We believe conditions for
investing in municipal bonds should remain hospitable as very low inflation,
economic growth and government surpluses appear likely to continue. We will
continue to adhere to the Fund's goal of offering long-term investors high
tax-free yields and monitoring the New York municipal market carefully in an
attempt to provide our investors with relatively low share price volatility.
In this, our 8th year since the Fund's inception, we continue to
appreciate your support, and look forward to serving your investment needs in
the years ahead.
Sincerely,
================================================================================
/s/ Ronald H. Fielding
Ronald H. Fielding
February 1, 1999
(1) Investors should be aware that, although this Fund has never had either any
ordinary taxable income or capital gains distributions, a portion of the Fund's
income still might be subject to income taxes. For investors subject to the
alternative minimum tax, a portion of the Fund's distributions may increase that
tax. Please see page 42 for details.
(2) As of 12/31/98. Standardized yield (based on net investment income for the
30-day period ended 12/31/98) is annualized and divided by period-end offering
price. Falling net asset values will tend to artificially raise yields.
(3) As of 12/31/98. Calculation of dividend yield based on last distribution
does not include sales charges, which if included, would change performance
results. All performance information provided represents past performance and is
not predictive of future investment performance. The investment return and
principal value of an investment in the fund will fluctuate with market
conditions, so that shares, on any given day or when redeemed, may be worth more
or less than their original cost.
4 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
MANAGEMENT'S DISCUSSION & ANALYSIS
The Limited Term New York Municipal Fund provides individual investors
with the potential to earn a high level of income exempt from federal, New York
State and New York City personal income taxes.(1) However, that is only part of
the story, for the Fund also seeks to provide a specific balance between risk
and return. By recognizing that share-price volatility is significantly related
to maturity, the Fund seeks to maintain lower volatility than the average
long-term municipal fund by managing to an average effective maturity of 5 years
or less. Furthermore, by investing in a wide variety of carefully researched
issues, it seeks to provide investors with a yield competitive to that of
longer-term New York municipal funds.
In 1998, we believe we met our goals. According to Lipper Analytical
Services, a respected authority on mutual fund performance statistics, as of
December 31, 1998, Limited Term New York Municipal Fund Class A Shares provided
a distribution yield of 4.63% at Net Asset Value, slightly more than the 4.42%
median yield of 99 longer-term New York municipal bond funds.(2) Further, we
observe that this result was obtained with significantly lower share price
volatility than the average long-term fund.
Regarding distributions, we attempt to keep the monthly dividend as high
and consistent as is prudent. However, the Fund's dividend can be expected to
vary from year to year because of the Fund's policy to maintain a relatively
short average maturity of its portfolio.(3) The Fund's policy of seeking to
maintain a steady dividend for its Class A shares did not materially affect
portfolio management strategies during its last fiscal year.
The Fund's total return at Net Asset Value for the 1998 year was 5.94%.4
For Class A shareholders, the Fund's 12 monthly distributions totaling $.164
represented approximately 82% of the Fund's total return, with the 3 cent gain
in share value comprising the remainder. Once again, we feel that we have been
successful in providing investors with relatively strong total returns by
managing specifically for yield.
More than ever before, 1998 was the year that investors learned the power
behind the nuances of interest rates. Long-term municipal rates rose during
early 1998, fell from May through September, and declined slightly in the last
quarter. While short-term rates remained stable early in the year, the actions
of the Federal Reserve Board, under the leadership of Chairman Alan Greenspan,
directed three distinct twenty-five basis point reductions in short-term
interest rates during the fourth quarter in an effort to bolster both world and
U.S. economies. These actions were generally viewed positively, and bond prices
rose, as bond yields became more attractive relative to short-term interest
rates.
The New York economy continues to gain strength. Both the City and State
recorded a surplus for their respective fiscal years. And New York City was
buoyed by strong tax revenues through the year, driven in part by the profits
registered by yet another strong year on Wall Street. This gave a particular
boost to New York City general obligation bonds, which were upgraded to A3 from
Baa1 by Moody's Investors Service, and to A- from BBB+ by Standard & Poor's
Ratings Services. Credit upgrades were prevalent throughout the state during the
past year as issues we have always believed in, such as Long Island Lighting and
Niagara Mohawk, were also upgraded benefiting the Fund's performance.
1998 saw a large supply of new issues in the New York municipal bond
market, a cause for concern quickly alleviated by a matching level of demand.
However, voters may remember numerous election campaign attacks on the State's
increase in debt caused by such new issuance. Investors in the Fund
- --------------------------------------------------------------------------------
YIELDS
For the 30 days ended 12/31/98
Dividend Yield Standardized
NAV MOP Yield
CLASS A 4.63% 4.47% 3.72%
CLASS B 3.74% 3.74% 3.07%
CLASS C 3.76% 3.76% 3.09%
CLASS X 4.02% 4.02% 3.32%
- --------------------------------------------------------------------------------
Dividend yield at MOP (based on last distribution) and standardized yield (based
on net investment income for the 30-day period ended 12/31/98) are annualized
and divided by period-end offering price. Dividend yield at NAV does not include
sales charges. Falling net asset values will tend to artificially raise yields.
Class X Shares are currently closed to additional investments.
TOTAL RETURN (AS OF 12/31/98)
Cumulative Average Annual
CLASS A SHARES NAV MOP NAV MOP
================================================================================
1 YEAR 5.94% 2.23% 5.94% 2.23%
5 YEARS 31.29% 26.70% 5.60% 4.85%
LIFE(9/18/91) 64.81% 59.04% 7.10% 6.58%
CLASS B SHARES
================================================================================
1 YEAR 5.13% 1.13% 5.13% 1.13%
LIFE(5/1/97) 11.32% 8.32% 6.64% 4.91%
CLASS C SHARES
================================================================================
1 YEAR 5.15% 4.15% 5.15% 4.15%
LIFE(5/1/97) 11.02% 11.02% 6.48% 6.48%
CLASS X SHARES
================================================================================
1 YEAR 5.38% 2.88% 5.38% 2.88%
LIFE(5/1/95) 25.02% 24.02% 6.28% 6.05%
Total returns include changes in share price and reinvestment of dividends and
capital gains distributions in a hypothetical investment for the periods shown.
MOP stands for Maximum Offering Price, and calculations for Class A returns at
MOP include the 3.50% maximum initial sales charge. Class B returns at MOP
include the applicable contingent deferred sales charge of 4% (1-year) and 3%
(life of class). Class C returns for the 1-year period include the contingent
deferred sales charge of 1%. Class X returns at MOP show results of hypothetical
investments on 12/31/97 and 5/01/95, after deduction of the applicable
contingent deferred sales charge of 2.50% (1-year) and 1% (life-of-class). An
explanation of the different performance calculations is in the Fund's
prospectus. Class B and C shares are subject to an annual 0.75% asset-based
sales charge. Class X shares are subject to an annual 0.50% asset-based sales
charge. NAV stands for Net Asset Value, and returns at NAV do not reflect
payment of any sales charge. The Fund's performance may from time to time be
subject to substantial short-term changes, particularly during periods of market
or interest rate volatility. For updates on the fund's performance, please
contact your financial advisor, call us at 1-800-525-7048 or visit our website,
www.oppenheimerfunds.com.
(1) A portion of the Fund's income distributions may be subject to income taxes.
Capital gains distributions, if any, are taxable as capital gains. For investors
subject to the alternative minimum tax, a portion of the Fund's distributions
may increase that tax.
(2) Long-term bond and bond funds generally offer higher yields and greater
volatility than shorter-term bonds and bond funds. Please refer to the table for
the Fund's standardized performance figures. Lipper calculations do not include
sales charges, which, if included, would affect results.
(3) The Fund attempts to pay dividends on Class A shares at a constant level.
There is no assurance that it will be able to do so. The Board of Trustees may
change the targeted dividend rate at any time without prior notice to
shareholders. Additionally, the amount of those dividends and the dividends paid
on Class B, Class C and Class X shares may vary over time, depending upon market
conditions, the composition of the Fund's portfolio, and expenses borne by the
particular class of shares. Dividends and distributions paid on Class A shares
will generally be higher than dividends for Class B, Class C and Class X shares,
which normally have higher expenses than Class A. The Fund cannot guarantee that
it will pay any dividends or distributions.
(4) Please refer to the table for the Fund's standardized performance figures.
5 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
should be aware that we find no cause for alarm in these electioneering
platforms. Debt is more accurately weighted when compared to the borrower's
ability to pay, and the level of New York State's personal income--ultimately
the source for taxation to service this debt--is higher than ever before.
During the past year, the Fund crossed the billion-dollar threshold in
assets and the thousand-issue milestone, with 1054 different bonds as of
12/31/98. There was a slight increase in the average dollar weighted credit
rating of the Fund's portfolio during 1998 and a slight lowering of its
duration.(5)
Remaining fully invested throughout the year, the Fund's investment
strategy continued to consider issues across a broad range of market sectors,
maturities, coupons and call features. For the past several years, we pursued
utility tax-exempt bonds aggressively, believing that fears of deregulation
created numerous buying opportunities. (The credit upgrades of Long Island
Lighting and Niagara Mohawk referenced earlier give tangible support to our
opinion.) And, while the Fund did decrease its percentage of holdings of
healthcare bonds this year, investors should also be relieved to know that over
90% of these holdings have a "belt and suspenders" credit support of both the
hospital's revenues and backup guarantees of U.S. government FHA insurance, bank
letters of credit, or New York State appropriations.
As we look towards 1999 we anticipate world markets, the impending Year
2000 event and "irrational exuberance" will continue to create fluctuations in
the nation's economy, but believe it is unlikely that any of these events will
lead to crisis. We believe the general strength of the New York State economy to
be excellent, that taxes, necessary to repay debt, will continue, and that
municipal bonds will offer investors good after-tax yields and returns on a
relative basis.
We will continue to manage the portfolio with an eye to reducing overall
portfolio risk and adding value to the investment process. We believe that
investors will benefit from our well-balanced portfolio. Going forward, we see
modest but continued economic growth, very low inflation and the potential for
more stable interest rates, if not further modest reductions--all combining to
create attractive values for municipal securities.
Naturally, as we uncover new opportunities, the Fund's portfolio holdings
and allocations are subject to change.
(5) Duration is a measure of the Fund's volatility in response to changes in
interest rates. Duration is directly related to price sensitivity to interest
rate changes.
COMPARING THE FUND'S PERFORMANCE TO THE MARKET.
These graphs detail the performance of a hypothetical $10,000 investment
in each class of shares of the Fund held until December 31, 1998. In the case of
Class A shares, performance is measured from inception of the class on September
18, 1991. In the case of Class B and Class C shares, performance is measured
from inception of the respective class on May 1, 1997. In the case of Class X
shares, performance is measured from inception of the class on May 1, 1995. The
Fund's performance reflects the deduction of the 3.50% maximum initial sales
charge on Class A shares, and the applicable contingent deferred sales charge
for Class B, Class C and Class X shares. The graphs assume that all dividends
and capital gains distributions, if any, were reinvested in additional shares.
The Fund's performance is compared to the performance of that of the
Lehman Brothers Municipal Bond Index and the Merrill Lynch Municipal Index (3-7
years). The Lehman Brothers Municipal Bond Index is an unmanaged index of a
broad range of investment-grade municipal bonds that is widely regarded as a
measure of the performance of the general municipal bond market, i.e. municipal
bonds that are exempt from federal tax, but not necessarily New York State or
City taxes. The Merrill Lynch Municipal Index (3-7 years) is a subset of the
Merrill Lynch Municipal Master Index and consists of municipal bonds having
remaining maturities of between three and seven years. Therefore, it includes
municipal bonds having maturities that more closely resemble those of the
municipal bonds in which the Fund invests. While a comparison to the performance
of the general municipal bond market is of interest, the Fund's investments are
focused primarily on bonds having shorter maturities to attempt to reduce the
effect of interest rate volatility. Index performance reflects the reinvestment
of dividends but does not consider the effect of capital gains or transaction
costs, and none of the data in the graphs that follow shows the effect of taxes.
The Fund's performance reflects the effects of Fund business and operating
expenses. While index comparisons may be useful to provide a benchmark for the
Fund's performance, it must be noted that the Fund's investments are not limited
to the securities in the index. The performance of the Fund is also compared to
the Consumer Price Index, a non-securities index that measures changes in the
inflation rate.
COMPARISON OF CHANGE IN VALUE OF $10,000 HYPOTHETICAL INVESTMENTS IN LIMITED
TERM NEW YORK MUNICIPAL FUND, LEHMAN BROTHERS MUNICIPAL BOND INDEX AND MERRILL
LYNCH MUNICIPAL INDEX
CLASS A SHARES
[Line graph omitted]
Average Annual Total Return of Class A Shares of the Fund at 12/31/98(1) 1 Year
2.23% 5 Year 4.85% Life of Class 6.58%
CLASS B SHARES
[Line graph omitted]
Average Annual Total Return of Class B Shares of the Fund at 12/31/98(2) 1 Year
1.12% Life of Class 4.91%
CLASS C SHARES
[Line graph omitted]
Average Annual Total Return of Class C Shares of the Fund at 12/31/98(3) 1 Year
4.15% Life of Class 6.48%
CLASS X SHARES
[Line graph omitted]
Average Annual Total Return of Class C Shares of the Fund at 12/31/98(4) 1 Year
2.88% Life of Class 6.05%
(1) The average annual total returns are shown net of the applicable 3.50%
maximum initial sales charge.
(2) Class B shares of the Fund were first publicly offered on 5/1/97. The
average annual total returns are shown net of the applicable 4% and 3%
contingent deferred sales charges, respectively, for the one-year period and the
life of the class. The ending account value in the graph is net of the
applicable 3% contingent deferred sales charge.
(3) Class C shares of the Fund were first publicly offered on 5/1/97. The
average annual total returns are shown net of the applicable 1% contingent
deferred sales charge for the one-year period.
(4) Class X shares of the Fund were first publicly offered on 5/1/95. The
average annual total returns are shown net of the applicable 2.5% and 1.5%
contingent deferred sales charge for the one-year period and the life of the
class. Class X shares are currently closed to investors.
Past performance is not predictive of future performance. Please note: graphs
are not drawn to the same scale.
6 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
The Rochester Portfolio Management Team
[Photo of Portfolio Management Team (l to r)]
ANTHONY A. TANNER, CFA
Vice President and Portfolio Manager, Rochester Division
Joined the Rochester Funds Investment Team in June, 1991
RONALD H. FIELDING, CFA
Senior Vice President, Portfolio Manager and Chief Strategist, Rochester
Division
Founded the Rochester Funds Investment Team in May, 1983
[Photo of Portfolio Management Team (l to r)]
DANIEL G. LOUGHRAN, CFA
Vice President and Senior Research Analyst, Rochester Division
Joined the Rochester Funds Investment Team in October, 1994
RICHARD A. STEIN, CFA
Vice President - Credit Analysis, Rochester Division
Joined the Rochester Funds Investment Team in May, 1993
Most investors recognize that the greatest advantage of fund investing is
professional management: the devotion of an investment team to direct the fund's
portfolio, reduce the potential impact of adversity, and to create an investment
with the potential to earn strong yields.
The strengths of our portfolio management -- our `Rochester Style'--
support this potential. In addition to reviewing the broad spectrum of New York
municipal issues generally available, the management team pursues special
situations that are often overlooked by the market in general. For example, we
analyze unrated issues to determine the true risks involved and their value as
an addition to the portfolio. In our opinion, some of these issues offer
significant yield advantages that more than offset the increase in credit risk.
Managing the Limited Term New York Municipal Fund also requires we
consider a variety of issues with wide ranging maturities. When combined within
the portfolio, these issues all average to an effective "limited term" maturity
of no more than 5 years. Unlike funds that limit the scope of their research
criteria to only those bonds with a specific maturity, this laddered approach
not only diversifies (broadens) the Fund, but has the potential to both reduce
risk and increase yield as well.
Evaluating these unique opportunities takes time and effort, but we
believe that, if you're paying for portfolio management, you should receive the
extra effort and resources necessary to enhance the portfolio and produce
potentially greater returns.
Ron Fielding, the Fund's Portfolio Manager since inception in September of
1991, directs the long term investment strategies and overall composition of the
portfolio. Under his management, the Fund's Portfolio Management Team researches
investment opportunities and responds to the variety of issues presented in
the New York State market.
7 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
WHY NOW IS A GOOD TIME FOR TAXABLE EQUIVALENT YIELD
As of December 31, 1998, the opinion of many municipal bond fund managers -
including us - is that municipal bonds are "cheap to Treasuries." And, while
that may be a convoluted turn of phrase, it means good news to municipal bond
and bond fund investors as they ponder investment outcomes in 1999 and beyond.
During the later months of 1998, demand for municipal bonds did not keep
pace with the demand for U.S. Treasury bonds, as global investors sought
guaranteed investment returns secure from growing international instabilities.
This demand served, in part, to decrease the yield on Treasury bonds, making
Treasuries 'rich' and narrowing the spread, or difference, between their yields
and the yields on municipal bonds of comparative maturities.
Consider the example: On December 31, 1998, 5-year insured New York City
municipal bonds yielded 3.8%, while the 5-year Treasury yielded 4.5%. But, while
a highly rated municipal bond yields only 84% of its comparative Treasury, this
is before any tax implications. On a pre-tax basis, the taxable equivalent yield
on such a hypothetical investment could jump to 7.1%.
Nearly 60% more yield than the comparable maturity Treasury bond for
investors in the highest possible tax bracket.(1)
Municipal bonds aren't typically this cheap relative to Treasuries, as the
spread between the two yields tends to be considerably wider, because both
issuers and investors of municipal debt recognize the significance of tax
equivalent yields.
To help you appreciate the significance, refer to the chart below. It will
help you determine what you would need to earn from a taxable investment to
match the hypothetical tax-free yields shown. (The specific yields depicted are
not intended to be representative of any Rochester Fund, and are shown for
illustrative purposes only.)
(1) The value of Treasuries, if held to maturity, is fixed; principal is
guaranteed and interest is fixed.
YIELD PERCENTAGE COMPARISON
AS OF 12/31/98
5-Year Treasury Yield 4.5
5-Year Insured New York City Bond Yield 3.8
Taxable Equivalent Yield 7.1
Data Source: Bloomberg Business News Taxable
equivalent yield assumes the maximum combined
federal, New York State and New York City income
tax bracket. All figures are calculated as of 12/31/98.
TAX EXEMPT VS. TAXABLE YIELDS
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C>
Effective Tax This Taxable Rate Effective Tax Taxable Rate Needed
Bracket NYC Needed to Equal Bracket NYS to Equal Current
1999 Taxable Income Residents Current Tax-Free Rate Residents Tax-Free Rate
- -------------------------------------------------------------------------------------------------------------------------------
Single Return Joint Return 4.5% 5.0% 5.5% 4.5% 5.0% 5.5%
- -------------------------------------------------------------------------------------------------------------------------------
$25,001-$25,750 $40,001-$43,050 24.0% 5.9% 6.6% 7.2% 20.8% 5.7% 6.3% 7.0%
$25,751-$62,450 $43,051-$104,050 35.7% 7.0% 7.8% 8.6% 32.9% 6.7% 7.5% 8.2%
$62,451-$130,250 $104,051-$158,550 38.4% 7.3% 8.1% 8.9% 35.7% 7.0% 7.8% 8.6%
$130,251-$283,150 $158,551-$283,150 42.8% 7.9% 8.8% 9.6% 40.4% 7.6% 8.4% 9.2%
over $283,150 over $283,150 46.0% 8.3% 9.3% 10.2% 43.7% 8.0% 8.9% 9.8%
</TABLE>
The tax information and brackets listed above are believed to be current.
The table assumes that an investor's highest tax bracket applies to the change
in taxable income resulting from a switch between taxable and non-taxable
investments, that the investor is not subject to the alternative minimum tax and
that state tax payments are fully deductible from federal tax payments. Your
actual tax bracket will vary depending on your income, investments and
deductions. You should consult your tax adviser regarding current tax
legislation and how tax laws affect your own personal financial situation.
8 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
<TABLE>
<CAPTION>
============================================================================================================================
STATEMENT OF INVESTMENTS December 31, 1998
- ----------------------------------------------------------------------------------------------------------------------------
Effective
Face Maturity Market
Amount Description Coupon Maturity Date * Value
============================================================================================================================
MUNICIPAL BONDS AND NOTES--101.2%
============================================================================================================================
NEW YORK--86.4%
<S> <C> <C> <C> <C> <C>
$ 409,336 Albany Hsg. Authority 0.000 % 10/01/12 10/01/02(a) $ 112,224
1,975,000 Albany IDA (H. Johnson Office Park) 5.250 03/01/18 03/01/99(d) 1,996,172
200,000 Albany IDA (Port of Albany) 6.250 02/01/05 04/24/02(c) 210,796
60,000 Albany IDA (Spectrapark) 7.250 12/01/99 -- 61,346
50,000 Albany IDA (Spectrapark) 7.500 12/01/03 12/01/99(b) 51,116
3,525,000 Albany IDA (Spectrapark) 7.600 12/01/09 (s) 12/01/99(b) 3,605,370
40,000 Albany Parking Authority 0.000 09/15/02 -- 33,748
25,000 Albany Parking Authority 0.000 09/15/03 -- 20,054
625,000 Albany Parking Authority 0.000 09/15/04 -- 454,550
20,000 Albany Parking Authority 0.000 09/15/05 -- 14,513
1,610,000 Albany Parking Authority 6.850 11/01/12 (s) 11/01/01(b) 1,754,530
5,040,000 Albany Parking Authority 7.150 09/15/16 (s) 09/15/01(b) 5,408,676
275,000 Albany Water Finance Authority 7.500 12/01/17 (s) 12/01/99(b) 281,421
645,000 Allegany County IDA (Alfred University) 6.900 09/01/99 -- 660,177
100,000 Allegany County IDA (Atlantic Richfield) 6.625 09/01/16 09/01/02(b) 108,605
4,800,000 Amherst IDA (Amherst Rink) 5.550 10/01/17 (s) 10/01/09(b) 4,990,752
430,000 Babylon IDA (WWH Ambulance) 7.000 09/15/01 09/27/00(c) 447,299
60,000 Baldwinsville Devel. Corp. 7.200 06/01/10 (s) 07/01/99(b) 61,666
710,000 Batavia Hsg. Authority (Trocaire Place) (i) 7.650 04/01/08 05/11/04(c) 713,550
200,000 Battery Park City Authority 5.650 12/01/13 (s) 12/01/99(b) 200,268
680,000 Blauvelt Volunteer Fire Company 6.000 10/15/08 10/03/04(c) 694,919
40,000 Brookhaven GO 6.400 10/01/10 10/01/02(b) 44,072
185,000 Brookhaven IDA (Dowling College) 6.200 03/01/01 -- 192,370
195,000 Brookhaven IDA (Dowling College) 6.300 03/01/02 -- 205,690
205,000 Brookhaven IDA (Dowling College) 6.400 03/01/03 -- 219,473
1,240,000 Carnegie Redevelopment Corp. 6.250 09/01/05 11/02/02(c) 1,307,766
1,550,000 Carnegie Redevelopment Corp. 6.500 09/01/11 05/17/09(c) 1,672,961
490,000 Clifton Park IDA (Caldor) 11.250 12/01/12 12/01/99(b) 503,798
835,000 Clifton Springs Hospital & Clinic 7.000 01/01/01 01/16/00(c) 856,960
35,000 Colonie IDA (Homeowner Association) 7.250 10/01/02 04/01/99(b) 35,134
20,000 Cortland County IDA (Paul Bunyon Products) 8.000 07/01/00 (s) 07/01/99(b) 20,442
275,000 Dutchess County IDA (Bard College) 6.500 11/01/03 -- 300,415
1,175,000 Dutchess County Res Rec (Solid Waste) 6.800 01/01/10 (s) 12/01/02(g) 1,324,178
290,000 Elmira HDC 7.500 08/01/08 02/01/99(b) 299,054
20,000 Elmira HDC 7.500 08/01/09 02/01/99(b) 20,624
440,000 Erie County IDA (FMC Corp.) 6.000 02/01/03 (s) 02/01/99(b) 456,047
245,000 Erie County IDA (Medaille College) 7.400 12/30/02 02/19/01(c) 261,114
35,000 Erie County IDA (Medishield) 7.200 08/01/04 02/01/99(b) 35,191
660,000 Erie County IDA (Mercy Hospital) 5.900 06/01/03 12/12/01(c) 676,421
2,410,000 Franklin County IDA (COP) 8.125 08/01/06 02/16/04(c) 2,787,767
1,390,000 Franklin County IDA (Correctional Facilities) 6.375 11/01/02 05/31/01(c) 1,436,718
60,000 Franklin County IDA (Correctional Facilities) 6.750 11/01/12 (s) 11/01/02(b) 65,456
2,120,000 Franklin County SWMA 6.000 06/01/05 11/19/03(c) 2,208,256
1,350,000 Franklin County SWMA 6.125 06/01/09 12/28/07(c) 1,402,636
130,000 Genesee County IDA (USGC) 7.250 05/01/14 05/01/99(b) 136,318
870,000 Hamilton Elderly Hsg. Corp. 11.250 01/01/15 (s) 05/01/99(b) 906,462
15,000 Hempstead IDA (UCP) 7.500 10/01/09 10/01/99(b) 15,589
1,080,000 Herkimer County IDA (Burrows Paper) 7.250 01/01/01 07/09/00(c) 1,105,801
3,000,000 Herkimer County IDA (Burrows Paper) 8.000 01/01/09 10/28/05(c) 3,256,440
2,700,000 Herkimer Hsg. Authority 7.150 03/01/11 (s) 04/06/05(g) 2,955,933
</TABLE>
9 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
<TABLE>
<CAPTION>
============================================================================================================================
STATEMENT OF INVESTMENTS December 31, 1998
- ----------------------------------------------------------------------------------------------------------------------------
Effective
Face Maturity Market
Amount Description Coupon Maturity Date * Value
============================================================================================================================
<S> <C> <C> <C> <C> <C>
$ 2,000,000 Housing NY Corp. 5.500 % 11/01/10 11/01/05(b) $ 2,085,340
440,000 Hudson IDA (Have, Inc.) 7.125 12/01/07 05/27/04(c) 463,681
90,000 Islip IDA (WJL Realty) 7.400 03/01/99 -- 90,172
1,160,000 Islip Res Rec 5.850 07/01/02 -- 1,240,980
330,000 Jamestown GO 7.000 03/15/99 -- 332,647
250,000 Jamestown GO 7.000 03/15/00 -- 260,615
2,965,000 Jamestown Hsg. Authority 6.125 07/01/10 12/30/05(c) 3,116,037
18,265,000 L.I. Power Authority 5.750 12/01/24 06/01/08(b) 19,589,943
70,752 Locke Fire District #1 (i) 7.500 07/01/02 03/21/01(c) 75,974
1,300,000 Lockport HDC 6.000 10/01/18 10/01/09(b) 1,368,822
1,570,000 Madison County IDA (Morrisville College) 6.750 07/01/07 10/11/03(c) 1,649,238
200,000 Medina Hsg. Corp. 8.250 08/15/11 (s) 02/15/99(b) 206,600
560,000 Middleton IDA (Fleurchem) 7.125 12/01/08 01/15/05(c) 590,481
700,000 Middleton IDA (Southwinds) 7.250 03/01/03 04/21/01(c) 735,168
5,000 Monroe County Airport Authority (GRIA) 0.000 01/01/04 -- 4,110
2,590,000 Monroe County Airport Authority (GRIA) 7.250 01/01/09 (s) 01/01/00(b) 2,734,392
8,610,000 Monroe County COP 8.050 01/01/11 07/01/99(b) 8,972,395
30,000 Monroe County GO 6.100 05/01/03 -- 30,577
2,625,000 Monroe County IDA (Al Sigl Center) 6.125 12/15/08 12/07/04(c) 2,896,976
1,090,000 Monroe County IDA (Al Sigl Center) 6.375 12/15/05 03/13/03(c) 1,141,263
1,135,000 Monroe County IDA (Al Sigl Center) 6.750 12/15/10 01/31/09(c) 1,211,647
10,000 Monroe County IDA (Cohber) 7.500 12/01/00 06/01/99(b) 10,271
100,000 Monroe County IDA (Cohber) 7.550 12/01/01 06/01/99(b) 102,366
820,000 Monroe County IDA (Geva Theatre) 7.750 04/01/02 11/02/00(c) 822,517
360,000 Monroe County IDA (Geva Theatre) 7.750 04/01/03 -- 361,105
1,840,000 Monroe County IDA (Piano Works) 6.625 11/01/06 04/08/03(c) 1,948,174
300,000 Monroe County IDA (Roberts Wesleyan College) 6.200 09/01/05 -- 308,871
170,000 Monroe County IDA (West End Business) 6.750 12/01/04 09/27/02(c) 179,872
885,000 Montgomery County IDA (Amsterdam) (i) 6.500 01/15/03 02/17/01(c) 619,500
50,000 MTA Service Contract 7.000 07/01/09 (s) 07/01/01(b) 54,938
75,000 MTA Service Contract, Series 5 6.000 07/01/18 (s) 07/01/01(b) 77,159
6,495,000 MTA Service Contract, Series 7 5.625 07/01/16 (s) 07/01/05(b) 6,748,954
150,000 MTA Service Contract, Series P 5.750 07/01/15 (s) 07/01/05(b) 157,431
12,865,000 MTA Service Contract, Series P 5.750 07/01/15 (s) 07/01/03(b) 13,502,332
2,785,000 MTA Service Contract, Series R 5.200 07/01/08 -- 2,970,954
5,160,000 MTA Service Contract, Series R 5.200 07/01/08 -- 5,504,533
2,915,000 MTA Service Contract, Series R 5.300 07/01/09 -- 3,126,104
1,420,000 MTA Service Contract, Series R 5.300 07/01/09 -- 1,522,836
3,640,000 MTA Service Contract, Series R 5.500 07/01/17 (s) 07/01/10(b) 3,811,735
7,945,000 MTA, Series A 5.500 07/01/14 07/01/10(b) 8,428,453
5,000,000 MTA, Series A 5.500 07/01/15 07/01/10(b) 5,270,900
15,000 MTA, Series H 5.500 07/01/14 02/01/99(b) 15,000
65,000 MTA, Series K 6.250 07/01/11 (s) 07/01/02(b) 71,084
20,000 Nassau County GO 6.375 05/15/13 05/15/02(b) 21,835
345,000 Nassau County IDA (ACLDD) 7.250 10/01/04 06/06/02(c) 365,100
895,000 New Rochelle IDA (CNR) 6.000 07/01/02 01/26/01(c) 954,428
260,000 New Rochelle IDA (CNR) 6.300 07/01/03 -- 283,431
275,000 New Rochelle IDA (CNR) 6.400 07/01/04 -- 299,821
245,000 Newark Sr. Citizen Hsg. Corp. 9.000 03/01/11 03/01/99(b) 264,294
2,035,000 Newark/Wayne Community Hospital 7.600 09/01/15 (s) 04/26/03(g) 2,201,666
1,000,000 Niagara County IDA (Niagara University) 5.250 10/01/18 (s) 10/01/10(b) 1,028,920
1,750,000 Niagara County IDA (Sevenson Hotel) 5.750 05/01/03 04/30/01(c) 1,771,665
</TABLE>
10 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
<TABLE>
<CAPTION>
============================================================================================================================
STATEMENT OF INVESTMENTS December 31, 1998
- ----------------------------------------------------------------------------------------------------------------------------
Effective
Face Maturity Market
Amount Description Coupon Maturity Date * Value
============================================================================================================================
<S> <C> <C> <C> <C> <C>
$ 1,290,000 Niagara Falls HDC (Niagara Towers) 5.150 % 10/01/10 01/23/09(c) $ 1,315,671
115,000 Niagara Frontier Transit Authority 7.000 02/15/00 02/15/99(b) 117,645
575,000 North Country Devel. Authority 6.600 07/01/02 -- 595,982
2,995,000 North Country Devel. Authority 6.750 07/01/12 (s) 07/01/99(b) 3,106,504
170,000 NYC GO 0.000 04/01/00 -- 162,205
2,000,000 NYC GO 0.000 08/15/00 -- 1,880,620
1,500,000 NYC GO 0.000 02/01/01 -- 1,383,180
630,000 NYC GO 0.000 04/01/01 -- 577,181
50,000 NYC GO 0.000 08/15/01 -- 45,149
1,460,000 NYC GO 0.000 02/01/02 -- 1,289,049
1,000,000 NYC GO 0.000 02/01/03 -- 842,890
18,125,000 NYC GO 5.125 08/01/10 02/01/08(b) 19,108,644
2,000,000 NYC GO 5.375 08/01/15 08/01/10(b) 2,087,620
20,000 NYC GO 5.500 10/01/14 10/01/05(b) 20,865
15,000 NYC GO 5.600 12/01/10 06/01/99(b) 15,070
10,000 NYC GO 5.625 10/01/13 10/01/05(b) 10,463
15,000 NYC GO 5.625 08/01/14 08/01/06(b) 15,744
140,000 NYC GO 5.750 08/15/11 08/15/05(b) 149,047
45,000 NYC GO 5.750 05/15/12 05/15/05(b) 49,075
45,000 NYC GO 5.750 05/15/12 05/15/05(b) 47,442
20,000 NYC GO 5.750 08/15/12 08/15/05(b) 21,126
20,000 NYC GO 5.750 08/15/12 08/15/03(b) 21,859
35,000 NYC GO 5.750 05/15/13 05/15/05(b) 36,979
465,000 NYC GO 5.750 08/01/13 08/01/09(b) 504,971
80,000 NYC GO 5.750 08/15/13 08/15/05(b) 84,502
280,000 NYC GO 5.750 08/15/13 08/15/05(b) 295,758
55,000 NYC GO 5.750 10/15/13 10/15/09(b) 59,212
130,000 NYC GO 5.750 02/01/14 (s) 02/01/08(b) 139,655
5,000 NYC GO 5.750 05/15/14 05/15/03(b) 5,446
10,000 NYC GO 5.750 05/15/14 05/15/03(b) 10,537
1,665,000 NYC GO 5.750 08/15/14 08/15/05(b) 1,758,706
65,000 NYC GO 5.750 08/18/14 08/15/05(b) 68,658
135,000 NYC GO 5.750 02/01/15 (s) 02/01/08(b) 143,689
170,000 NYC GO 5.750 08/01/15 08/01/05(b) 179,301
25,000 NYC GO 5.750 08/01/15 08/01/05(b) 26,478
75,000 NYC GO 5.750 08/15/15 08/15/05(b) 79,125
605,000 NYC GO 5.750 08/15/16 08/15/05(b) 635,438
70,000 NYC GO 5.750 02/01/19 (s) 02/01/08(b) 74,202
60,000 NYC GO 5.800 08/01/13 08/01/05(b) 63,481
445,000 NYC GO 5.875 03/15/13 03/15/06(b) 484,325
50,000 NYC GO 6.000 08/01/06 08/01/99(b) 50,831
5,000 NYC GO 6.000 08/01/06 08/01/99(a) 5,085
45,000 NYC GO 6.000 08/01/06 08/01/99(b) 45,675
1,750,000 NYC GO 6.000 04/15/09 -- 1,962,817
30,000 NYC GO 6.000 08/01/10 08/01/03(b) 32,601
55,000 NYC GO 6.000 02/01/11 02/01/06(b) 60,747
50,000 NYC GO 6.000 02/15/11 02/15/05(b) 55,839
25,000 NYC GO 6.000 02/15/11 02/15/07(b) 27,433
30,000 NYC GO 6.000 08/01/11 02/01/99(b) 30,065
5,000 NYC GO 6.000 08/01/11 02/01/99(b) 5,011
15,000 NYC GO 6.000 02/15/12 02/15/05(b) 16,752
90,000 NYC GO 6.000 02/15/12 02/15/05(b) 98,761
</TABLE>
11 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
<TABLE>
<CAPTION>
============================================================================================================================
STATEMENT OF INVESTMENTS December 31, 1998
- ----------------------------------------------------------------------------------------------------------------------------
Effective
Face Maturity Market
Amount Description Coupon Maturity Date * Value
============================================================================================================================
<S> <C> <C> <C> <C> <C>
$ 30,000 NYC GO 6.000 % 08/01/12 02/01/99(b) $ 30,066
15,000 NYC GO 6.000 02/15/14 02/15/05(b) 16,726
20,000 NYC GO 6.000 02/15/14 02/15/05(b) 21,834
15,000 NYC GO 6.000 02/15/15 02/15/05(b) 16,726
25,000 NYC GO 6.000 02/15/15 02/15/05(b) 27,292
15,000 NYC GO 6.000 05/15/15 05/15/05(b) 16,489
20,000 NYC GO 6.000 05/15/15 05/15/05(b) 21,654
10,000 NYC GO 6.000 08/01/16 (s) 08/01/06(b) 10,863
50,000 NYC GO 6.000 08/01/16 (s) 08/01/06(b) 55,065
1,130,000 NYC GO 6.000 08/01/17 (s) 08/01/07(b) 1,233,192
1,530,000 NYC GO 6.000 08/01/17 (s) 08/01/07(b) 1,669,720
55,000 NYC GO 6.000 05/15/19 05/15/03(a) 60,529
10,000 NYC GO 6.000 05/15/19 05/15/03(b) 10,649
10,000 NYC GO 6.000 02/15/25 02/15/07(b) 10,734
100,000 NYC GO 6.125 08/01/10 08/01/04(b) 110,720
65,000 NYC GO 6.125 08/01/11 08/01/04(b) 71,848
2,500,000 NYC GO 6.250 08/01/08 08/01/06(b) 2,830,625
30,000 NYC GO 6.250 10/01/08 10/01/02(b) 33,062
15,000 NYC GO 6.250 10/01/08 10/01/02(b) 16,440
10,550,000 NYC GO 6.250 08/01/09 08/01/06(b) 11,945,237
205,000 NYC GO 6.250 08/01/10 08/01/06(b) 231,558
75,000 NYC GO 6.250 08/01/10 08/01/04(b) 83,502
2,000,000 NYC GO 6.250 08/01/12 08/01/06(b) 2,242,580
4,270,000 NYC GO 6.250 08/01/13 08/01/06(b) 4,767,455
5,000 NYC GO 6.250 04/01/16 04/01/06(b) 5,731
45,000 NYC GO 6.250 04/01/16 04/01/06(b) 49,503
10,000 NYC GO 6.250 08/01/16 08/01/02(b) 10,803
40,000 NYC GO 6.250 08/01/17 (s) 08/01/06(b) 44,215
45,000 NYC GO 6.250 08/01/19 08/01/02(b) 48,639
75,000 NYC GO 6.250 08/01/21 08/01/02(b) 78,891
175,000 NYC GO 6.300 08/15/08 08/15/05(b) 199,363
875,000 NYC GO 6.300 08/15/08 08/15/05(b) 982,712
45,000 NYC GO 6.375 02/15/06 02/15/05(a) 51,164
955,000 NYC GO 6.375 02/15/06 -- 1,069,504
90,000 NYC GO 6.375 08/01/06 08/01/02(a) 99,238
530,000 NYC GO 6.375 08/01/06 08/01/02(b) 578,511
670,000 NYC GO 6.375 08/01/07 08/01/02(a) 738,775
1,445,000 NYC GO 6.375 08/01/07 08/01/02(b) 1,565,802
2,835,000 NYC GO 6.375 08/15/09 08/15/05(a) 3,247,294
10,665,000 NYC GO 6.375 08/15/09 08/15/05(b) 12,020,202
395,000 NYC GO 6.375 08/01/10 08/01/05(a) 452,176
1,495,000 NYC GO 6.375 08/01/10 08/01/05(b) 1,684,192
215,000 NYC GO 6.375 08/15/10 08/15/05(a) 246,267
815,000 NYC GO 6.375 08/15/10 08/15/05(b) 918,562
30,000 NYC GO 6.375 08/15/11 08/15/05(a) 34,363
105,000 NYC GO 6.375 08/15/11 08/15/05(b) 118,051
2,100,000 NYC GO 6.375 08/01/12 08/15/05(a) 2,405,403
7,900,000 NYC GO 6.375 08/01/12 08/15/05(b) 8,819,165
15,000 NYC GO 6.500 08/01/05 08/01/02(a) 16,586
95,000 NYC GO 6.500 08/01/05 08/01/02(b) 104,088
20,000 NYC GO 6.500 08/01/06 08/01/02(b) 21,913
600,000 NYC GO 6.500 02/15/08 02/15/05(a) 686,226
</TABLE>
12 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
<TABLE>
<CAPTION>
============================================================================================================================
STATEMENT OF INVESTMENTS December 31, 1998
- ----------------------------------------------------------------------------------------------------------------------------
Effective
Face Maturity Market
Amount Description Coupon Maturity Date * Value
============================================================================================================================
<S> <C> <C> <C> <C> <C>
$ 20,000 NYC GO 6.500 % 08/01/08 08/01/02(a) $ 22,115
105,000 NYC GO 6.500 08/01/08 08/01/02(b) 115,044
4,275,000 NYC GO 6.500 08/01/11 08/01/02(a) 4,731,613
8,725,000 NYC GO 6.500 08/01/11 08/01/02(b) 9,543,143
35,000 NYC GO 6.500 08/01/12 08/01/02(a) 38,738
65,000 NYC GO 6.500 08/01/12 08/01/02(b) 70,799
25,000 NYC GO 6.500 08/01/13 08/01/02(a) 27,670
55,000 NYC GO 6.500 08/01/13 08/01/02(b) 60,157
22,000 NYC GO 6.500 08/01/14 08/01/05(a) 25,342
78,000 NYC GO 6.500 08/01/14 08/15/05(b) 87,966
5,000 NYC GO 6.500 12/01/15 06/01/99(b) 5,098
10,000 NYC GO 6.500 08/01/16 08/01/05(a) 11,519
40,000 NYC GO 6.500 08/01/16 08/01/05(b) 44,867
10,000 NYC GO 6.500 08/01/19 08/01/05(b) 11,519
70,000 NYC GO 6.500 08/01/19 (s) 08/01/05(b) 78,517
1,175,000 NYC GO 6.600 02/15/10 02/15/05(a) 1,350,181
270,000 NYC GO 6.600 02/15/10 (s) 02/15/05(b) 305,616
4,625,000 NYC GO 6.600 10/01/16 10/01/02(a) 5,143,000
9,375,000 NYC GO 6.600 10/01/16 10/01/02(b) 10,271,156
9,800,000 NYC GO 6.625 02/15/14 02/15/05(a) 11,274,312
200,000 NYC GO 6.625 02/15/14 02/15/05(b) 224,638
1,520,000 NYC GO 6.750 10/01/05 10/01/02(a) 1,701,549
30,000 NYC GO 6.750 10/01/05 10/01/02(b) 33,232
25,000 NYC GO 6.750 10/01/06 10/01/02(b) 27,958
15,000 NYC GO 6.750 10/01/06 10/01/02(b) 16,522
5,000 NYC GO 6.750 01/15/12 01/15/99(b) 5,076
55,000 NYC GO 6.750 10/01/17 10/01/02(a) 61,508
15,000 NYC GO 7.000 08/15/99 02/15/99(b) 15,182
210,000 NYC GO 7.000 02/01/00 02/01/99(b) 211,714
50,000 NYC GO 7.000 02/01/00 02/01/99(b) 50,401
10,000 NYC GO 7.000 08/01/00 02/01/99(b) 10,107
65,000 NYC GO 7.000 02/01/01 02/01/99(b) 69,549
425,000 NYC GO 7.000 02/01/01 02/01/99(b) 428,272
20,000 NYC GO 7.000 02/01/01 02/01/99(b) 20,161
5,000 NYC GO 7.000 02/01/02 02/01/99(a) 5,485
20,000 NYC GO 7.000 08/15/02 02/15/99(b) 20,289
35,000 NYC GO 7.000 02/01/03 02/01/99(b) 35,285
5,000 NYC GO 7.000 08/01/05 08/01/99(b) 5,054
2,860,000 NYC GO 7.000 02/01/06 02/01/02(a) 3,173,313
390,000 NYC GO 7.000 02/01/06 02/01/02(b) 429,214
60,000 NYC GO 7.000 12/01/06 06/01/99(b) 61,402
365,000 NYC GO 7.000 08/01/07 -- 433,792
5,000 NYC GO 7.000 08/01/07 02/01/99(b) 5,054
5,000 NYC GO 7.000 12/01/08 06/01/99(b) 5,111
5,000 NYC GO 7.000 02/01/09 02/01/99(b) 5,039
5,000 NYC GO 7.000 08/01/09 02/01/99(b) 5,052
10,000 NYC GO 7.000 08/01/09 02/01/99(b) 10,107
715,000 NYC GO 7.000 10/01/09 10/01/02(a) 805,798
15,000 NYC GO 7.000 10/01/09 10/01/02(b) 16,745
50,000 NYC GO 7.000 10/01/10 10/01/02(a) 56,406
5,000 NYC GO 7.000 10/01/10 10/01/02(b) 5,582
5,000 NYC GO 7.000 12/01/10 06/01/99(b) 5,111
</TABLE>
13 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
<TABLE>
<CAPTION>
============================================================================================================================
STATEMENT OF INVESTMENTS December 31, 1998
- ----------------------------------------------------------------------------------------------------------------------------
Effective
Face Maturity Market
Amount Description Coupon Maturity Date * Value
============================================================================================================================
<S> <C> <C> <C> <C> <C>
$ 5,000 NYC GO 7.000 % 02/01/11 02/01/99(a) $ 5,040
30,000 NYC GO 7.000 02/01/12 02/01/99(b) 30,240
8,960,000 NYC GO 7.000 10/01/13 10/01/02(a) 10,097,830
185,000 NYC GO 7.000 10/01/13 10/01/02(b) 206,238
25,000 NYC GO 7.000 10/01/14 10/01/02(a) 28,203
25,000 NYC GO 7.000 10/01/15 10/01/99(b) 25,697
2,000,000 NYC GO 7.000 02/01/16 02/01/02(b) 2,194,180
10,000 NYC GO 7.000 08/01/16 08/01/02(a) 11,234
5,000 NYC GO 7.000 08/01/16 08/01/02(b) 5,546
1,360,000 NYC GO 7.000 08/15/16 08/15/04(a) 1,585,094
70,000 NYC GO 7.000 10/01/16 10/01/99(b) 71,821
15,000 NYC GO 7.000 02/01/17 02/01/02(b) 16,456
20,000 NYC GO 7.000 02/01/18 02/01/02(b) 21,942
35,000 NYC GO 7.000 10/01/18 10/01/99(b) 35,976
15,000 NYC GO 7.000 10/01/19 10/01/99(b) 15,390
10,000 NYC GO 7.100 02/01/04 02/01/99(b) 10,074
100,000 NYC GO 7.100 08/15/07 08/15/04(a) 116,864
2,010,000 NYC GO 7.100 02/01/09 02/01/02(a) 2,235,763
265,000 NYC GO 7.100 02/01/09 02/01/02(b) 292,406
170,000 NYC GO 7.100 02/01/10 02/01/02(a) 189,094
30,000 NYC GO 7.100 02/01/10 02/01/02(b) 33,103
25,000 NYC GO 7.200 08/01/01 02/01/99(b) 25,267
5,000 NYC GO 7.200 08/01/02 08/01/00(a) 5,369
30,000 NYC GO 7.200 08/01/02 08/01/00(b) 31,982
5,000 NYC GO 7.200 02/01/05 02/01/99(a) 5,041
1,450,000 NYC GO 7.200 08/15/08 08/15/04(b) 1,701,473
20,000 NYC GO 7.200 02/01/15 02/01/02(a) 22,302
100,000 NYC GO 7.250 02/01/07 02/01/99(b) 100,836
5,000 NYC GO 7.250 02/01/07 02/01/99(b) 5,040
15,000 NYC GO 7.250 08/15/17 08/15/99(b) 15,596
5,000,000 NYC GO 7.250 08/15/19 08/15/04(a) 5,887,400
360,000 NYC GO 7.250 08/15/24 08/15/01(a) 392,911
10,000 NYC GO 7.250 08/15/24 (s) 08/15/01(b) 10,799
500,000 NYC GO 7.400 02/01/00 -- 521,855
10,000 NYC GO 7.400 08/15/00 02/15/99(b) 10,147
265,000 NYC GO 7.400 02/01/02 -- 293,458
20,000 NYC GO 7.400 02/01/02 -- 22,071
5,000 NYC GO 7.500 08/01/01 08/01/99(b) 5,191
5,000 NYC GO 7.500 08/15/01 02/15/99(b) 5,062
90,000 NYC GO 7.500 08/15/03 08/15/99(b) 93,582
20,000 NYC GO 7.500 12/01/03 12/01/99(b) 20,360
10,125,000 NYC GO 7.500 02/01/04 02/01/02(b) 11,288,565
15,000 NYC GO 7.500 02/01/05 02/01/02(a) 16,855
65,000 NYC GO 7.500 02/01/05 02/01/02(b) 72,470
5,000 NYC GO 7.500 08/15/05 02/15/99(b) 5,062
6,450,000 NYC GO 7.500 02/01/06 02/01/02(b) 7,191,234
20,000 NYC GO 7.500 08/15/06 08/15/99(b) 20,796
220,000 NYC GO 7.500 02/01/07 02/01/02(b) 245,282
2,425,000 NYC GO 7.500 02/01/09 02/01/02(b) 2,703,681
15,000 NYC GO 7.500 03/15/09 03/15/00(b) 15,973
155,000 NYC GO 7.500 03/15/09 03/15/00(b) 164,475
50,000 NYC GO 7.625 02/01/13 02/01/02(a) 56,412
</TABLE>
14 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
<TABLE>
<CAPTION>
============================================================================================================================
STATEMENT OF INVESTMENTS December 31, 1998
- ----------------------------------------------------------------------------------------------------------------------------
Effective
Face Maturity Market
Amount Description Coupon Maturity Date * Value
============================================================================================================================
<S> <C> <C> <C> <C> <C>
$ 3,980,000 NYC GO 7.650 % 02/01/07 02/01/02(a) $ 4,493,261
40,000 NYC GO 7.650 02/01/07 02/01/02(b) 44,769
295,000 NYC GO 7.700 02/01/09 02/01/02(a) 333,468
5,000 NYC GO 7.700 02/01/09 02/01/02(b) 5,603
370,000 NYC GO 7.750 08/15/01 08/15/99(b) 385,292
595,000 NYC GO 7.750 08/15/05 08/15/01(a) 664,912
55,000 NYC GO 7.750 08/15/05 08/15/01(b) 60,998
310,000 NYC GO 7.750 08/15/06 08/15/01(a) 346,425
205,000 NYC GO 7.750 08/15/06 08/15/01(b) 227,355
1,460,000 NYC GO 7.750 08/15/07 02/01/03(a) 1,631,550
40,000 NYC GO 7.750 08/15/07 08/15/01(b) 44,362
1,530,000 NYC GO 7.750 08/15/09 08/15/01(a) 1,709,775
25,000 NYC GO 7.750 08/15/09 08/15/01(b) 27,726
55,000 NYC GO 7.750 02/01/10 02/01/02(b) 62,148
5,000 NYC GO 7.750 02/01/10 02/01/02(b) 5,611
45,000 NYC GO 7.750 08/15/11 08/15/01(a) 50,287
160,000 NYC GO 7.750 08/15/12 08/15/01(a) 178,800
20,000 NYC GO 7.750 08/15/12 08/15/01(b) 22,168
5,000 NYC GO 7.875 08/01/00 02/01/99(b) 5,093
40,000 NYC GO 7.875 08/01/04 08/01/00(b) 43,166
15,000 NYC GO 8.000 08/01/01 02/01/99(b) 15,276
5,000 NYC GO 8.000 08/01/03 02/01/99(b) 5,093
1,560,000 NYC GO 8.000 08/01/03 08/01/01(a) 1,750,585
125,000 NYC GO 8.000 08/01/03 08/01/01(b) 139,229
110,000 NYC GO 8.250 11/15/10 11/15/01(a) 125,429
5,000 NYC GO 8.250 08/01/11 08/01/01(b) 5,597
1,355,000 NYC GO CAB 0.000 (t) 05/15/14 05/15/08(b) 1,159,568
10,000 NYC GO DIAMONDS 0.000 (t) 08/01/07 08/01/02(b) 8,592
11,870,000 NYC GO Indexed Inverse Floater 2.730 (r) 08/15/10 08/15/05(b) 12,603,566
2,000,000 NYC GO LIMO 0.000 (t) 02/01/04 02/01/00(b) 2,051,940
1,950,000 NYC GO LIMO 0.000 (t) 02/01/07 02/01/02(e) 1,727,895
115,000 NYC GO PRAMS 0.000 (t) 10/01/06 10/01/02(b) 98,941
50,000 NYC GO PRAMS 0.000 (t) 02/01/12 02/01/02(b) 45,126
500,000 NYC HDC (Barclay Avenue) 5.750 04/01/07 07/29/03(c) 522,990
1,715,000 NYC HDC (Multi-Family) 6.550 10/01/15 (s) 04/01/03(b) 1,845,340
110,000 NYC HDC (Multi-Family) 7.300 06/01/10 (s) 06/01/01(b) 117,560
30,000 NYC HDC (Multi-Family) 7.350 06/01/19 (s) 06/01/01(b) 32,095
9,810,000 NYC HDC (Multi-Family), Series A 5.500 11/01/09 (s) 05/01/08(b) 10,450,201
5,000,000 NYC HDC (Multi-Family), Series A 5.625 05/01/12 (s) 05/01/08(b) 5,287,750
5,145,000 NYC HDC (Multi-Family), Series B 5.700 11/01/13 (s) 05/01/05(b) 5,343,700
1,540,000 NYC HDC (Multi-Family), Series B 5.850 05/01/26 (s) 05/01/05(b) 1,605,943
1,970,000 NYC HDC (Pass Through Certificate) (i) 6.500 09/20/03 11/20/02(c) 2,074,154
705,000 NYC HDC (South Bronx Cooperatives) 8.100 09/01/23 (s) 08/24/00(g) 748,936
1,670,000 NYC HDC (South Williamsburg Cooperatives) 7.900 02/01/23 (s) 01/27/00(g) 1,746,569
2,600,000 NYC Health & Hospital Corp. 5.625 02/15/13 (s) 02/15/05(b) 2,783,508
1,000,000 NYC Hsg. Authority, Series A 5.650 07/01/10 (s) 05/17/09(g) 1,056,790
1,985,000 NYC IDA (Acme Architectural Products) 5.875 11/01/09 10/23/05(c) 1,989,863
960,000 NYC IDA (ALA Realty) 7.000 12/01/05 03/06/03(c) 1,034,323
1,800,000 NYC IDA (American Airlines) 6.900 08/01/24 08/01/04(b) 1,995,768
4,030,000 NYC IDA (American Airlines) 7.750 07/01/19 07/01/99(b) 4,122,085
8,540,000 NYC IDA (American Airlines) 8.000 07/01/20 07/01/99(b) 8,736,932
575,000 NYC IDA (Amster Novelty) (u) 7.375 12/01/05 07/27/02(c) 373,750
</TABLE>
15 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
<TABLE>
<CAPTION>
============================================================================================================================
STATEMENT OF INVESTMENTS December 31, 1998
- ----------------------------------------------------------------------------------------------------------------------------
Effective
Face Maturity Market
Amount Description Coupon Maturity Date * Value
============================================================================================================================
<S> <C> <C> <C> <C> <C>
$ 740,000 NYC IDA (Atlantic Veal & Lamb) 7.250 % 12/01/08 12/30/04(c) $ 781,425
370,000 NYC IDA (BHMS) 7.500 01/01/07 11/07/03(c) 386,291
2,095,000 NYC IDA (Blood Center) 6.800 05/01/02 03/22/01(c) 2,287,970
785,000 NYC IDA (CCM) 5.750 11/01/08 02/22/04(c) 788,509
310,000 NYC IDA (CCM) 5.750 11/01/08 10/08/04(c) 310,434
700,000 NYC IDA (CCM) 7.250 12/01/06 11/02/03(c) 742,077
360,000 NYC IDA (CNR) 6.200 09/01/10 (s) 09/01/05(b) 397,382
615,000 NYC IDA (College of Aeronautics) 5.500 05/01/12 05/01/10(b) 636,199
450,000 NYC IDA (College of Aeronautics) 5.500 05/01/13 05/01/10(b) 462,388
1,205,000 NYC IDA (Composite Offering XIV), Series C 7.625 11/01/09 (s) 05/01/99(b) 1,210,880
1,026,876 NYC IDA (Cummins Engine) 6.500 03/01/05 04/30/02(c) 1,033,992
740,000 NYC IDA (EPG) 7.400 07/30/02 03/01/01(c) 799,045
1,000,000 NYC IDA (Essie Cosmetics) 5.500 11/01/08 10/13/04(c) 1,002,710
45,000 NYC IDA (Federation Protestant Welfare) 6.950 11/01/11 (s) 11/01/01(b) 48,973
1,815,000 NYC IDA (Friends Seminary School) 6.125 12/01/07 11/30/03(c) 1,827,179
1,440,000 NYC IDA (Gabrielli Truck Sales) 7.250 12/01/07 05/23/04(c) 1,506,427
1,515,000 NYC IDA (JBFS) 6.500 12/15/02 07/13/01(c) 1,587,690
450,000 NYC IDA (Koenig Manufacturing) 7.375 12/01/10 05/08/06(c) 476,059
25,000 NYC IDA (Lighthouse) 6.375 07/01/10 (s) 07/01/02(b) 27,534
150,000 NYC IDA (Lighthouse) 6.500 07/01/22 (s) 07/01/02(b) 165,811
1,340,000 NYC IDA (Little Red Schoolhouse) 5.750 11/01/07 03/15/04(c) 1,341,353
2,000,000 NYC IDA (Northwest Airlines) 6.000 06/01/27 06/01/09(b) 2,067,160
435,000 NYC IDA (Ohel Children's Home and Family
Services) 7.125 03/15/03 05/08/01(c) 447,393
2,965,000 NYC IDA (Plaza Packaging) 7.650 12/01/09 (s) 12/01/99(b) 3,100,412
695,000 NYC IDA (Precision Gear) 5.875 11/01/09 10/26/05(c) 694,986
650,000 NYC IDA (Promotional Slideguide) 7.000 12/01/05 03/15/03(c) 694,544
50,000 NYC IDA (Sharif Designs) 7.375 11/01/09 05/01/99(b) 50,154
3,255,000 NYC IDA (St. Bernard's School) 6.125 12/01/11 09/29/06(c) 3,268,118
50,000 NYC IDA (St. Christopher Ottilie) 6.750 07/01/99 -- 50,870
215,000 NYC IDA (Streamline Plastics) 7.125 12/01/05 03/21/03(c) 227,190
13,180,000 NYC IDA (Terminal One Group Assoc.) 6.000 01/01/15 (s) 01/01/04(b) 14,086,652
170,000 NYC IDA (Terminal One Group Assoc.) 6.000 01/01/19 (s) 01/01/06(b) 180,834
1,135,000 NYC IDA (Terminal One Group Assoc.) 6.125 01/01/24 (s) 01/01/04(b) 1,207,833
160,000 NYC IDA (United Nations School) 6.050 12/01/05 -- 174,206
170,000 NYC IDA (United Nations School) 6.100 12/01/06 -- 186,293
180,000 NYC IDA (United Nations School) 6.150 12/01/07 -- 198,439
1,900,000 NYC IDA (Visy Paper) 7.550 01/01/05 06/21/02(c) 2,031,309
4,000,000 NYC IDA (Visy Paper) 7.800 01/01/16 (s) 01/01/06(b) 4,446,200
60,000 NYC IDA, Series B 8.125 11/01/09 (s) 05/01/99(b) 60,947
275,000 NYC Municipal Water Finance Authority 5.750 06/15/16 (s) 06/15/07(b) 295,911
40,000 NYC Municipal Water Finance Authority 5.750 06/15/18 (s) 06/15/04(b) 41,835
140,000 NYC Municipal Water Finance Authority 5.750 06/15/18 (s) 06/15/04(b) 146,423
25,000 NYC Public Hsg. Authority 6.000 01/01/04 07/01/99(b) 25,599
2,085,000 NYS COP 7.625 03/01/09 (s) 05/18/01(g) 2,282,470
2,670,000 NYS Dorm (4201 Schools Program) 5.250 07/01/13 07/01/11(b) 2,775,251
3,340,000 NYS Dorm (4201 Schools Program) 5.250 07/01/14 07/01/11(b) 3,453,727
2,000,000 NYS Dorm (4201 Schools Program) 5.250 07/01/15 07/01/11(b) 2,054,780
1,300,000 NYS Dorm (853 Schools Program) 5.500 07/01/18 07/01/10(b) 1,372,982
30,000 NYS Dorm (Adelphi University) 8.000 07/01/02 07/01/99(b) 30,565
25,000 NYS Dorm (Adelphi University) 8.200 07/01/05 07/01/99(b) 25,475
200,000 NYS Dorm (Adelphi University) 8.250 07/01/06 07/01/99(b) 203,808
700,000 NYS Dorm (Albany County Airport) 5.250 04/01/11 -- 737,590
</TABLE>
16 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
<TABLE>
<CAPTION>
============================================================================================================================
STATEMENT OF INVESTMENTS December 31, 1998
- ----------------------------------------------------------------------------------------------------------------------------
Effective
Face Maturity Market
Amount Description Coupon Maturity Date * Value
============================================================================================================================
<S> <C> <C> <C> <C> <C>
$ 20,000 NYS Dorm (Albany Law School) 7.900 % 07/01/01 07/01/99(b) $ 20,176
3,130,000 NYS Dorm (City University) 5.250 07/01/14 07/01/10(b) 3,278,769
1,500,000 NYS Dorm (City University) 5.500 07/01/05 -- 1,620,105
2,020,000 NYS Dorm (City University) 5.500 07/01/06 -- 2,189,478
1,050,000 NYS Dorm (City University) 5.600 07/01/10 (s) 07/01/05(b) 1,113,682
1,900,000 NYS Dorm (City University) 6.000 07/01/10 07/01/06(b) 2,112,078
35,000 NYS Dorm (City University) 6.000 07/01/16 (s) 07/01/00(b) 35,670
50,000 NYS Dorm (Dept. of Health) 5.900 07/01/09 07/01/04(b) 54,416
15,000 NYS Dorm (ECC) 7.100 07/01/09 (s) 07/01/99(b) 15,049
635,000 NYS Dorm (Hebrew School) 5.625 02/01/17 02/01/09(b) 668,934
10,000 NYS Dorm (Higher Education) 8.200 12/01/99 06/01/99(b) 10,084
70,000 NYS Dorm (Higher Education) 8.500 06/01/03 (s) 12/01/99(b) 70,614
1,000,000 NYS Dorm (Ideal Senior Living Center) 5.900 08/01/26 08/01/06(b) 1,060,780
90,000 NYS Dorm (Iroquois Nursing) 7.000 02/01/15 02/01/01(b) 96,184
40,000 NYS Dorm (Jewish Geriatric) 7.150 08/01/14 08/01/04(b) 46,219
50,000 NYS Dorm (Jewish Geriatric) 7.350 08/01/29 (s) 08/01/04(b) 57,623
20,000 NYS Dorm (JGB Health Facilities) 7.000 07/01/09 (s) 07/01/99(b) 20,058
25,000 NYS Dorm (Manhattan College) 6.500 07/01/19 (s) 07/01/02(b) 27,256
750,000 NYS Dorm (MEET) 5.375 07/01/12 06/18/10(c) 755,085
1,300,000 NYS Dorm (Mental Health) 5.625 02/15/21 (s) 02/15/09(b) 1,373,892
75,000 NYS Dorm (MHMC) 8.625 07/01/10 (s) 07/01/99(b) 75,257
10,000,000 NYS Dorm (Montefiore Medical Center) 5.250 02/01/15 02/15/09(b) 10,375,400
35,000 NYS Dorm (Mount Sinai) 6.750 07/01/15 (s) 07/01/01(b) 38,003
50,000 NYS Dorm (Nursing Homes) 5.500 07/01/10 (s) 07/01/07(b) 53,263
225,000 NYS Dorm (NY Medical College) 6.875 07/01/03 -- 252,250
1,150,000 NYS Dorm (Nyack Hospital) 6.250 07/01/13 (s) 03/31/08(g) 1,236,054
90,000 NYS Dorm (Park Ridge Hsg.) 7.850 02/01/29 02/01/99(b) 92,056
1,290,000 NYS Dorm (PCP) 7.800 12/01/05 (s) 06/01/99(b) 1,335,305
5,000 NYS Dorm (RGH) 8.750 07/01/02 (s) 07/01/99(b) 5,496
75,000 NYS Dorm (St. Francis G&H) 7.375 08/01/10 08/01/00(b) 81,108
20,000 NYS Dorm (St. Vincent's Hospital) 5.750 08/01/15 08/01/06(b) 21,541
25,000 NYS Dorm (St. Vincent's Hospital) 7.375 08/01/11 08/01/01(b) 27,557
20,480,000 NYS Dorm (State University) 5.500 05/15/16 05/15/10(b) 21,626,266
1,150,000 NYS Dorm (State University) 5.750 05/15/10 05/15/08(b) 1,265,069
3,600,000 NYS Dorm (State University) 5.750 05/15/16 (s) 05/15/08(b) 3,856,896
610,000 NYS Dorm (State University) 6.000 05/15/17 05/15/00(b) 628,025
8,730,000 NYS Dorm (State University) 6.375 05/15/14 05/15/03(a) 9,794,187
2,935,000 NYS Dorm (State University) 7.000 05/15/16 (s) 05/15/00(b) 3,118,408
115,000 NYS Dorm (State University) 7.000 05/15/16 (s) 05/15/00(b) 122,267
70,000 NYS Dorm (State University) 7.125 05/15/09 05/15/99(b) 72,392
3,565,000 NYS Dorm (Suffolk-Judicial) 9.000 10/15/01 (s) 04/15/99(b) 3,888,167
155,000 NYS Dorm (Suffolk-Judicial) 9.000 10/15/01 (s) 04/15/99(b) 171,683
1,500,000 NYS Dorm (Suffolk-Judicial) 9.250 04/15/06 (s) 04/15/99(b) 1,671,915
1,000,000 NYS Dorm (Teresian House) 5.250 07/01/17 07/01/09(b) 1,005,210
55,000 NYS Dorm (UCC) 5.625 07/01/12 (s) 07/01/04(b) 58,887
280,000 NYS Dorm (UCC) 5.625 07/01/14 (s) 07/01/06(b) 292,970
35,000 NYS Dorm (UCC) 5.875 07/01/16 (s) 07/01/09(b) 37,287
1,250,000 NYS Dorm (UCC) 6.200 07/01/15 (s) 07/01/05(b) 1,361,062
3,305,000 NYS Dorm (United Health Services) 5.500 08/01/17 02/01/10(b) 3,487,072
300,000 NYS Dorm (United Health Services) 7.150 08/01/07 02/01/00(a) 317,418
145,000 NYS Dorm (University of Rochester) 6.500 07/01/09 (s) 07/01/99(b) 147,569
20,000 NYS Dorm (University of Rochester) 6.500 07/01/09 (s) 07/01/99(b) 20,351
</TABLE>
17 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
<TABLE>
<CAPTION>
============================================================================================================================
STATEMENT OF INVESTMENTS December 31, 1998
- ----------------------------------------------------------------------------------------------------------------------------
Effective
Face Maturity Market
Amount Description Coupon Maturity Date * Value
============================================================================================================================
<S> <C> <C> <C> <C> <C>
$ 870,000 NYS Dorm (Wesley Gardens) 5.850 % 08/01/26 08/01/09(b) $ 933,493
200,000 NYS Environ. (Consolidated Water) 7.150 11/01/14 (s) 11/01/04(b) 218,888
115,000 NYS Environ. (Huntington Res Rec) 7.375 10/01/99 -- 116,570
7,550,000 NYS Environ. (Huntington Res Rec) 7.500 10/01/12 (s) 10/01/99(b) 7,902,509
20,000 NYS Environ. (New Rochelle Water) 6.400 12/01/24 06/01/02(b) 21,219
330,000 NYS Environ. (RSP) 7.100 04/01/01 -- 355,103
50,000 NYS Environ. (State Park Infrastructure) 5.750 03/15/13 (s) 03/15/04(b) 52,415
15,000 NYS ERDA (Central Hudson G&E) 6.250 06/01/07 (s) 06/01/99(b) 15,027
10,000 NYS ERDA (Central Hudson G&E) 7.375 10/01/14 10/01/99(b) 10,568
6,115,000 NYS ERDA (Con Ed) 6.750 01/15/27 01/15/01(b) 6,475,540
6,690,000 NYS ERDA (Con Ed) 6.750 01/15/27 01/15/01(b) 7,093,875
9,290,000 NYS ERDA (Con Ed) 6.750 01/15/27 01/15/01(b) 9,847,121
1,280,000 NYS ERDA (Con Ed) 7.250 11/01/24 05/01/99(b) 1,307,955
85,000 NYS ERDA (Con Ed) 7.250 11/01/24 05/01/99(b) 86,105
8,100,000 NYS ERDA (Con Ed) 7.500 07/01/25 07/01/99(b) 8,334,900
160,000 NYS ERDA (Con Ed) 7.500 01/01/26 01/01/00(b) 167,240
325,000 NYS ERDA (LILCO) 6.900 08/01/22 01/21/03(b) 367,266
145,000 NYS ERDA (LILCO) 6.900 08/01/22 02/01/02(b) 161,502
260,000 NYS ERDA (LILCO) 7.150 09/01/19 06/14/02(b) 292,344
205,000 NYS ERDA (LILCO) 7.150 09/01/19 06/15/02(b) 224,885
615,000 NYS ERDA (LILCO) 7.150 06/01/20 06/15/02(b) 674,655
540,000 NYS ERDA (LILCO) 7.150 12/01/20 06/15/02(b) 598,790
940,000 NYS ERDA (LILCO) 7.150 02/01/22 06/15/02(b) 1,056,936
20,000 NYS ERDA (LILCO) 7.150 02/01/22 06/15/02(b) 22,177
170,000 NYS ERDA (LILCO) 7.500 12/01/06 (s) 12/01/99(b) 170,474
470,000 NYS ERDA (LILCO) (i) 7.800 12/01/09 (s) 12/01/99(b) 477,144
15,000 NYS GO 6.000 11/15/07 11/15/02(b) 16,366
40,000 NYS GO 6.600 12/01/14 06/01/99(b) 41,350
80,000 NYS HFA (Children's Rescue) 7.400 11/01/00 -- 82,126
65,000 NYS HFA (Children's Rescue) 7.500 05/01/01 -- 67,064
140,000 NYS HFA (Children's Rescue) 7.500 11/01/01 -- 145,326
114,000 NYS HFA (General Hsg.) 6.500 11/01/03 -- 116,547
10,000 NYS HFA (General Hsg.) 6.600 11/01/05 11/01/00(b) 10,224
30,000 NYS HFA (General Hsg.) 6.600 11/01/06 11/01/00(b) 30,673
5,000 NYS HFA (H&NH) 5.500 11/01/05 05/01/99(a) 5,330
5,000 NYS HFA (H&NH) 5.500 11/01/12 05/01/99(a) 5,288
15,000 NYS HFA (H&NH) 5.875 11/01/10 11/01/01(b) 15,372
10,000 NYS HFA (H&NH) 5.875 11/01/11 11/01/01(b) 10,248
5,000 NYS HFA (H&NH) 5.900 11/01/03 05/01/99(a) 5,435
30,000 NYS HFA (H&NH) 5.900 11/01/05 05/01/99(a) 33,203
5,000 NYS HFA (H&NH) 5.900 11/01/10 05/01/99(a) 5,689
35,000 NYS HFA (H&NH) 6.000 11/01/14 05/01/99(b) 35,335
10,000 NYS HFA (H&NH) 6.375 11/01/01 -- 10,753
20,000 NYS HFA (H&NH) 6.875 11/01/99 -- 20,445
10,000 NYS HFA (H&NH) 6.875 11/01/04 05/01/99(a) 10,131
5,000 NYS HFA (H&NH) 6.875 11/01/05 05/01/99(a) 5,067
660,000 NYS HFA (H&NH) 6.875 11/01/07 (s) 05/01/99(a) 721,307
5,000 NYS HFA (H&NH) 6.875 11/01/09 05/01/99(a) 5,470
3,000 NYS HFA (H&NH) 6.875 11/01/10 05/01/99(a) 3,283
590,000 NYS HFA (H&NH) 7.000 11/01/17 11/01/99(b) 717,298
1,435,000 NYS HFA (Health Facility) 6.000 05/01/07 -- 1,608,291
2,165,000 NYS HFA (Health Facility) 6.000 05/01/08 05/01/06(b) 2,413,390
</TABLE>
18 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
<TABLE>
<CAPTION>
============================================================================================================================
STATEMENT OF INVESTMENTS December 31, 1998
- ----------------------------------------------------------------------------------------------------------------------------
Effective
Face Maturity Market
Amount Description Coupon Maturity Date * Value
============================================================================================================================
<S> <C> <C> <C> <C> <C>
$ 7,465,000 NYS HFA (Health Facility) 7.900 % 11/01/99 08/02/99(c) $ 7,589,740
1,590,000 NYS HFA (HELP/Bronx) 8.050 11/01/05 (s) 11/01/99(b) 1,653,489
120,000 NYS HFA (Meadow Manor) 7.750 11/01/19 (s) 05/01/99(b) 121,465
125,000 NYS HFA (Monroe County Health Facilities) 7.625 05/01/05 (s) 03/28/00(g) 135,917
475,000 NYS HFA (Multi-Family) 0.000 11/01/08 11/01/06(b) 300,019
240,000 NYS HFA (Multi-Family) 0.000 11/01/09 11/01/06(b) 142,764
10,000 NYS HFA (Multi-Family) 0.000 11/01/10 11/01/06(b) 5,554
100,000 NYS HFA (Multi-Family) 0.000 11/01/11 11/01/06(b) 52,234
1,580,000 NYS HFA (Multi-Family) 0.000 11/01/12 11/01/06(b) 771,451
130,000 NYS HFA (Multi-Family) 0.000 11/01/13 11/01/06(b) 59,489
1,000,000 NYS HFA (Multi-Family) 6.100 08/15/16 (s) 08/15/08(b) 1,074,440
2,015,000 NYS HFA (Multi-Family) 6.100 08/15/28 (s) 08/15/06(b) 2,188,270
25,000 NYS HFA (Multi-Family) 6.200 08/15/12 (s) 08/15/02(b) 26,631
2,060,000 NYS HFA (Multi-Family) 6.250 08/15/14 (s) 08/15/04(b) 2,234,317
150,000 NYS HFA (Multi-Family) 6.250 08/15/23 (s) 08/15/02(b) 159,000
1,000,000 NYS HFA (Multi-Family) 6.450 08/15/14 (s) 08/15/02(b) 1,064,490
350,000 NYS HFA (Multi-Family) 6.850 11/01/19 (s) 11/01/04(b) 383,894
100,000 NYS HFA (Multi-Family) 6.950 08/15/12 (s) 08/15/02(b) 109,017
1,875,000 NYS HFA (Multi-Family) 6.950 08/15/24 (s) 07/02/02(g) 1,986,862
40,000 NYS HFA (Multi-Family) 7.300 11/01/04 11/01/99(b) 41,288
359,000 NYS HFA (Multi-Family) 7.450 11/01/28 (s) 10/30/99(g) 372,735
1,040,000 NYS HFA (Multi-Family) 7.750 11/01/20 (s) 10/24/00(g) 1,108,401
570,000 NYS HFA (Multi-Family) 8.000 11/01/08 (s) 09/19/00(g) 616,489
400,000 NYS HFA (Multi-Family) 10.000 11/15/99 (s) -- 402,116
5,000 NYS HFA (Non Profit) 6.000 11/01/12 11/01/00(b) 5,106
45,000 NYS HFA (Non Profit) 6.100 11/01/99 -- 46,000
5,000 NYS HFA (Non Profit) 6.200 11/01/06 05/01/99(b) 5,111
40,000 NYS HFA (Non Profit) 6.200 11/01/08 05/01/99(b) 40,881
60,000 NYS HFA (Non Profit) 6.200 11/01/11 05/01/99(b) 61,326
40,000 NYS HFA (Non Profit) 6.400 11/01/00 -- 40,888
15,000 NYS HFA (Non Profit) 6.400 11/01/02 11/01/00(b) 15,333
25,000 NYS HFA (Non Profit) 6.400 11/01/04 11/01/00(b) 25,549
25,000 NYS HFA (Non Profit) 6.400 11/01/05 11/01/00(b) 25,549
5,000 NYS HFA (Non Profit) 6.400 11/01/06 11/01/00(b) 5,109
10,000 NYS HFA (Non Profit) 6.400 11/01/08 11/01/00(b) 10,218
80,000 NYS HFA (Non Profit) 6.400 11/01/09 11/01/01(b) 81,746
5,000 NYS HFA (Non Profit) 6.400 11/01/11 11/01/00(b) 5,109
10,000 NYS HFA (Non Profit) 6.400 11/01/13 05/01/99(b) 10,218
10,000 NYS HFA (Non Profit) 6.500 11/01/00 -- 10,224
60,000 NYS HFA (Non Profit) 6.500 11/01/02 -- 61,321
5,000 NYS HFA (Non Profit) 6.500 11/01/03 -- 5,112
25,000 NYS HFA (Non Profit) 6.600 11/01/00 05/01/99(b) 25,561
30,000 NYS HFA (Non Profit) 6.600 11/01/01 -- 30,667
10,000 NYS HFA (Non Profit) 6.600 11/01/02 05/01/99(b) 10,221
225,000 NYS HFA (Non Profit) 6.600 11/01/03 -- 230,053
75,000 NYS HFA (Non Profit) 6.600 11/01/05 05/01/99(b) 76,688
50,000 NYS HFA (Non Profit) 6.600 11/01/05 11/01/00(b) 51,125
15,000 NYS HFA (Non Profit) 6.600 11/01/06 11/01/00(b) 15,338
5,000 NYS HFA (Non Profit) 6.600 11/01/07 05/01/99(b) 5,113
10,000 NYS HFA (Non Profit) 6.600 11/01/09 05/01/99(b) 10,224
15,000 NYS HFA (Non Profit) 6.600 11/01/09 05/01/99(b) 15,338
15,000 NYS HFA (Non Profit) 6.600 11/01/10 05/01/99(b) 15,338
</TABLE>
19 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
<TABLE>
<CAPTION>
============================================================================================================================
STATEMENT OF INVESTMENTS December 31, 1998
- ----------------------------------------------------------------------------------------------------------------------------
Effective
Face Maturity Market
Amount Description Coupon Maturity Date * Value
============================================================================================================================
<S> <C> <C> <C> <C> <C>
$ 15,000 NYS HFA (Non Profit) 6.600 % 11/01/11 11/01/03(b) $ 15,339
5,000 NYS HFA (Non Profit) 6.600 11/01/11 05/01/99(b) 5,113
25,000 NYS HFA (Non Profit) 6.600 11/01/13 05/01/99(b) 25,564
10,000 NYS HFA (Non Profit) 6.750 11/01/00 05/01/99(b) 10,225
20,000 NYS HFA (Non Profit) 6.750 11/01/01 05/01/99(b) 20,451
100,000 NYS HFA (Non Profit) 6.750 11/01/04 05/01/99(b) 104,180
5,000 NYS HFA (Non Profit) 6.750 11/01/05 05/01/99(b) 5,109
5,000 NYS HFA (Non Profit) 6.750 11/01/08 05/01/99(b) 5,113
15,000 NYS HFA (Non Profit) 6.750 11/01/09 05/01/99(b) 15,339
1,420,000 NYS HFA (Non Profit) 6.750 11/01/11 05/01/99(b) 1,464,474
61,000 NYS HFA (Non Profit) 6.875 11/01/10 05/01/99(b) 61,805
20,000 NYS HFA (Non Profit) (i) 6.500 11/01/01 -- 20,446
195,000 NYS HFA (Phillips Village) 6.700 02/15/02 -- 203,880
250,000 NYS HFA (Phillips Village) 6.700 08/15/02 -- 263,050
175,000 NYS HFA (Phillips Village) 6.900 02/15/04 -- 185,738
85,000 NYS HFA (Phillips Village) 6.900 08/15/04 -- 90,652
65,000 NYS HFA (Service Contract) 5.625 09/15/13 (s) 09/15/05(b) 68,373
100,000 NYS HFA (Service Contract) 5.875 03/15/11 (s) 09/15/05(b) 106,137
410,000 NYS HFA (Simeon Dewitt) 8.000 11/01/18 (s) 05/01/99(b) 413,436
113,000 NYS HFA (Westchester/HELP) 7.500 11/01/00 (s) 05/01/99(b) 113,382
40,000 NYS HFA (Westchester/HELP) 7.550 11/01/02 05/01/00(b) 41,145
5,500,000 NYS LGAC 5.375 04/01/14 (s) 08/15/06(b) 5,765,045
9,900,000 NYS LGAC 5.500 04/01/21 (s) 04/01/05(b) 10,202,247
50,000 NYS LGAC 6.000 04/01/18 (s) 04/01/02(b) 54,351
710,000 NYS LGSC (SCSB) 6.375 12/15/09 07/18/05(c) 750,328
5,000 NYS Medcare (AOFMH) 6.500 11/01/19 11/01/01(b) 5,411
685,000 NYS Medcare (Beth Israel Medical Center) 7.125 11/01/06 (s) 05/01/99(b) 703,495
290,000 NYS Medcare (Beth Israel Medical Center) 7.200 11/01/14 (s) 05/01/99(b) 290,905
100,000 NYS Medcare (Brookdale Hospital) 6.250 08/15/15 (s) 02/15/05(b) 109,270
260,000 NYS Medcare (Brookdale Hospital) 6.600 02/15/03 -- 287,992
615,000 NYS Medcare (Brookdale Hospital) 6.600 08/15/03 -- 687,748
20,000 NYS Medcare (Buffalo General Hospital) 6.000 08/15/14 08/15/06(b) 21,348
10,000 NYS Medcare (Central Suffolk Hospital) 5.875 11/01/05 12/12/03(c) 9,993
365,000 NYS Medcare (Downtown Hospital) 6.550 02/15/06 02/15/05(a) 421,736
945,000 NYS Medcare (Downtown Hospital) 6.550 08/15/06 02/15/05(a) 1,091,891
40,000 NYS Medcare (H&NH) 5.650 08/15/02 -- 41,866
100,000 NYS Medcare (H&NH) 5.650 08/15/13 08/15/05(b) 107,697
745,000 NYS Medcare (H&NH) 5.750 02/15/05 -- 771,723
4,500,000 NYS Medcare (H&NH) 5.750 08/15/19 (s) 08/15/04(b) 4,664,475
210,000 NYS Medcare (H&NH) 5.950 08/15/09 08/15/02(b) 221,724
10,000 NYS Medcare (H&NH) 6.100 08/15/13 (s) 08/15/02(b) 10,983
790,000 NYS Medcare (H&NH) 6.125 02/15/14 (s) 02/15/04(b) 885,511
835,000 NYS Medcare (H&NH) 6.125 02/15/14 (s) 02/15/04(b) 887,830
30,000 NYS Medcare (H&NH) 6.150 02/15/02 02/15/99(b) 32,184
25,000 NYS Medcare (H&NH) 6.200 08/15/22 08/15/02(b) 26,635
100,000 NYS Medcare (H&NH) 6.250 02/15/15 08/15/05(b) 110,107
2,570,000 NYS Medcare (H&NH) 6.400 08/15/14 08/15/04(b) 2,815,718
75,000 NYS Medcare (H&NH) 6.400 11/01/14 (s) 05/01/02(b) 81,754
3,210,000 NYS Medcare (H&NH) 6.500 08/15/12 (s) 08/15/02(b) 3,559,441
570,000 NYS Medcare (H&NH) 6.500 08/15/12 (s) 08/15/02(b) 623,683
25,000 NYS Medcare (H&NH) 6.550 08/15/12 08/15/02(b) 27,440
760,000 NYS Medcare (H&NH) 7.100 11/01/99 -- 777,548
</TABLE>
20 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
<TABLE>
<CAPTION>
============================================================================================================================
STATEMENT OF INVESTMENTS December 31, 1998
- ----------------------------------------------------------------------------------------------------------------------------
Effective
Face Maturity Market
Amount Description Coupon Maturity Date * Value
============================================================================================================================
<S> <C> <C> <C> <C> <C>
$ 115,000 NYS Medcare (H&NH) 7.100 % 11/01/00 -- $ 117,630
25,000 NYS Medcare (H&NH) 7.200 11/01/00 02/15/99(b) 25,579
685,000 NYS Medcare (H&NH) 7.200 11/01/01 05/01/99(b) 700,728
85,000 NYS Medcare (H&NH) 7.250 11/01/02 05/01/99(b) 86,955
395,000 NYS Medcare (H&NH) 7.250 11/01/03 05/01/99(b) 404,085
110,000 NYS Medcare (H&NH) 7.300 08/15/11 08/15/01(b) 118,086
250,000 NYS Medcare (H&NH) 7.350 02/15/29 (s) 08/15/99(b) 260,682
55,000 NYS Medcare (H&NH) 7.350 02/15/29 (s) 02/15/99(b) 57,538
30,000 NYS Medcare (H&NH) 7.350 02/15/29 (s) 02/15/99(b) 31,301
730,000 NYS Medcare (H&NH) 7.400 11/01/16 (s) 05/01/99(b) 747,045
5,000 NYS Medcare (H&NH) 7.500 02/15/09 02/15/99(b) 5,126
15,000 NYS Medcare (H&NH) 7.500 02/15/09 02/15/99(b) 15,370
170,000 NYS Medcare (H&NH) 7.600 02/15/29 02/15/99(b) 174,223
3,810,000 NYS Medcare (H&NH) 8.000 02/15/27 02/15/99(b) 3,860,482
30,000 NYS Medcare (H&NH) 8.000 02/15/28 02/15/99(b) 30,697
300,000 NYS Medcare (H&NH) 8.625 02/15/06 02/15/99(b) 301,215
605,000 NYS Medcare (H&NH) 9.375 11/01/16 (s) 05/01/99(b) 632,177
5,000 NYS Medcare (H&NH) (i) 7.900 02/15/08 08/15/00(b) 5,117
825,000 NYS Medcare (H&NH) (i) 9.000 02/15/26 02/15/99(b) 851,647
2,435,000 NYS Medcare (H&NH) (i) 10.000 11/01/06 (s) 05/01/99(b) 2,595,466
10,000 NYS Medcare (Hospital Insured Mortgage) 7.100 02/15/00 -- 10,410
1,915,000 NYS Medcare (Huntington Hospital) 6.500 11/01/14 (s) 11/01/04(b) 2,080,226
20,000 NYS Medcare (Mental Health) 0.000 08/15/01 -- 17,444
5,000 NYS Medcare (Mental Health) 0.000 02/15/03 02/15/99(b) 3,880
5,000 NYS Medcare (Mental Health) 0.000 08/15/03 02/15/99(b) 3,739
75,000 NYS Medcare (Mental Health) 5.550 08/15/01 02/15/99(b) 75,113
10,000 NYS Medcare (Mental Health) 5.700 02/15/03 02/15/99(b) 10,015
65,000 NYS Medcare (Mental Health) 6.000 02/15/11 (s) 02/15/99(b) 65,086
5,000 NYS Medcare (Mental Health) 6.100 08/15/13 (s) 08/15/02(b) 5,449
70,000 NYS Medcare (Mental Health) 6.375 08/15/14 (s) 08/15/04(b) 78,072
120,000 NYS Medcare (Mental Health) 6.375 08/15/14 (s) 08/15/04(b) 137,006
5,000 NYS Medcare (Mental Health) 6.375 08/15/14 (s) 08/15/04(b) 5,603
4,005,000 NYS Medcare (Mental Health) 6.375 08/15/14 (s) 08/15/04(b) 4,572,589
85,000 NYS Medcare (Mental Health) 6.500 08/15/24 (s) 08/15/04(b) 97,578
5,000 NYS Medcare (Mental Health) 6.500 08/15/24 (s) 08/15/04(b) 5,656
85,000 NYS Medcare (Mental Health) 6.850 08/15/00 -- 89,429
45,000 NYS Medcare (Mental Health) 7.000 02/15/01 -- 48,021
15,000 NYS Medcare (Mental Health) 7.100 02/15/02 08/15/99(b) 15,592
50,000 NYS Medcare (Mental Health) 7.200 08/15/00 -- 52,872
10,000 NYS Medcare (Mental Health) 7.200 02/15/04 08/15/99(b) 10,401
5,000 NYS Medcare (Mental Health) 7.300 08/15/10 (s) 08/15/99(b) 5,216
50,000 NYS Medcare (Mental Health) 7.300 02/15/21 (s) 08/15/01(b) 54,787
1,020,000 NYS Medcare (Mental Health) 7.375 02/15/14 (s) 08/12/99(g) 1,063,799
45,000 NYS Medcare (Mental Health) 7.400 08/15/00 -- 47,724
25,000 NYS Medcare (Mental Health) 7.400 02/15/02 02/15/00(b) 26,438
5,000 NYS Medcare (Mental Health) 7.400 02/15/03 08/15/01(b) 5,472
10,000 NYS Medcare (Mental Health) 7.500 08/15/07 (s) 02/15/01(b) 10,920
145,000 NYS Medcare (Mental Health) 7.625 02/15/07 08/15/01(b) 160,099
10,000 NYS Medcare (Mental Health) 7.625 08/15/07 08/15/01(b) 11,041
100,000 NYS Medcare (Mental Health) 7.625 02/15/08 (s) 02/15/99(b) 102,335
1,085,000 NYS Medcare (Mental Health) 7.700 02/15/18 (s) 02/15/99(b) 1,110,324
25,000 NYS Medcare (Mental Health) 7.750 08/15/10 (s) 02/15/00(b) 26,642
</TABLE>
21 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
<TABLE>
<CAPTION>
============================================================================================================================
STATEMENT OF INVESTMENTS December 31, 1998
- ----------------------------------------------------------------------------------------------------------------------------
Effective
Face Maturity Market
Amount Description Coupon Maturity Date * Value
============================================================================================================================
<S> <C> <C> <C> <C> <C>
$ 145,000 NYS Medcare (Mental Health) 7.800 % 02/15/19 (s) 02/15/99(b) $ 148,669
140,000 NYS Medcare (Mental Health) 7.875 08/15/15 (s) 02/15/99(b) 143,289
125,000 NYS Medcare (Mental Health) 7.875 08/15/15 (s) 02/15/99(b) 127,946
6,045,000 NYS Medcare (Mental Health) 7.875 08/15/20 (s) 08/15/00(b) 6,533,436
1,230,000 NYS Medcare (Mental Health) 8.250 02/15/99 -- 1,237,700
35,000 NYS Medcare (Mental Health) 8.250 08/15/99 04/01/99(b) 35,497
2,360,000 NYS Medcare (Mental Health) 8.875 08/15/07 (s) 02/15/99(b) 2,393,984
85,000 NYS Medcare (Montefiore Medical Center) 5.700 02/15/12 02/15/07(b) 92,210
30,000 NYS Medcare (North Shore University Hospital) 7.125 11/01/08 (s) 11/01/00(b) 32,573
20,000 NYS Medcare (North Shore University Hospital) 7.125 11/01/08 (s) 11/01/00(b) 21,635
145,000 NYS Medcare (North Shore University Hospital) 7.200 11/01/20 (s) 11/01/00(a) 157,621
165,000 NYS Medcare (Saranac Lake General Hospital) 7.875 11/01/10 (s) 10/01/00(g) 180,135
380,000 NYS Medcare (St. Francis Hospital) 7.625 11/01/21 (s) 05/01/99(b) 388,911
85,000 NYS Medcare (St. Luke's Hospital) 5.600 08/15/13 (s) 12/12/04(g) 89,113
70,000 NYS Medcare (St. Luke's Hospital) 5.625 08/15/18 (s) 12/12/04(g) 72,536
500,000 NYS Medcare (St. Luke's Hospital) 5.625 08/15/18 (s) 12/12/04(g) 517,830
110,000 NYS Medcare (St. Luke's Hospital) 7.375 02/15/19 (s) 02/15/00(b) 115,303
60,000 NYS Medcare (St. Luke's Hospital) 7.400 02/15/09 02/15/00(b) 63,739
90,000 NYS Medcare (St. Luke's Hospital) 7.500 11/01/11 (s) 11/01/99(b) 94,659
715,000 NYS Medcare (WHMC) 6.850 02/15/00 -- 744,043
250,000 NYS Medcare (WHMC) 6.950 02/15/01 -- 267,375
530,000 NYS Thruway Authority 0.000 01/01/01 -- 489,254
250,000 NYS Thruway Authority 0.000 01/01/05 -- 192,658
385,000 NYS Thruway Authority 0.000 01/01/06 -- 282,143
1,870,000 NYS Thruway Authority 5.250 04/01/13 04/01/10(b) 1,968,979
50,000 NYS Thruway Authority 5.500 04/01/15 (s) 04/01/07(b) 52,611
500,000 NYS Thruway Authority 6.000 04/01/11 04/01/07(b) 551,345
3,000,000 NYS Thruway Authority 6.000 04/01/12 04/01/07(b) 3,303,720
20,000 NYS UDC (Correctional Facilities) 0.000 01/01/99 -- 20,000
10,000 NYS UDC (Correctional Facilities) 0.000 01/01/00 -- 9,633
25,000 NYS UDC (Correctional Facilities) 0.000 01/01/03 -- 21,404
30,000 NYS UDC (Correctional Facilities) 0.000 01/01/07 -- 20,932
1,375,000 NYS UDC (Correctional Facilities) 5.250 01/01/13 (s) 01/01/06(b) 1,412,648
4,050,000 NYS UDC (Correctional Facilities) 5.500 01/01/15 (s) 01/01/05(b) 4,184,581
17,700,000 NYS UDC (Correctional Facilities) 5.500 01/01/15 (s) 01/01/05(b) 18,288,171
1,000,000 NYS UDC (Correctional Facilities) 5.700 01/01/16 (s) 01/01/09(b) 1,056,580
85,000 NYS UDC (Correctional Facilities) 5.750 01/01/13 (s) 01/01/05(b) 89,775
35,000 NYS UDC (South Mall) 0.000 01/01/03 -- 29,019
130,000 NYS UDC (South Mall) 0.000 01/01/05 -- 96,832
50,000 NYS UDC (South Mall) 0.000 01/01/05 06/24/04(c) 37,353
450,000 NYS UDC (South Mall) 0.000 01/01/11 04/08/08(c) 233,298
400,000 NYS UDC (South Mall) 0.000 01/01/11 04/08/08(c) 208,592
10,000,000 NYS UDC (Sub Lien) 5.500 07/01/16 (s) 07/01/08(b) 10,432,100
90,000 Oneida Healthcare Corp. 7.100 08/01/11 08/01/01(b) 96,949
1,150,000 Oneida-Herkimer SWMA 6.600 04/01/04 -- 1,273,924
3,045,000 Oneida-Herkimer SWMA 6.750 04/01/14 (s) 04/01/03(b) 3,439,084
155,000 Oneida-Herkimer SWMA 6.750 04/01/14 (s) 04/01/03(b) 166,901
110,000 Onondaga County IDA (Sysco Foods) 7.750 04/01/03 04/01/99(b) 111,269
8,650,000 Onondaga County Res Rec 6.625 05/01/00 11/06/99(c) 8,836,754
8,385,000 Onondaga County Res Rec 6.875 05/01/06 01/12/04(c) 8,903,361
7,350,000 Onondaga County Res Rec 7.000 05/01/15 (s) 05/01/02(b) 7,888,020
130,000 Orange County IDA (Glen Arden) 5.400 01/01/08 -- 131,282
</TABLE>
22 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
<TABLE>
<CAPTION>
============================================================================================================================
STATEMENT OF INVESTMENTS December 31, 1998
- ----------------------------------------------------------------------------------------------------------------------------
Effective
Face Maturity Market
Amount Description Coupon Maturity Date * Value
============================================================================================================================
<S> <C> <C> <C> <C> <C>
$ 1,485,000 Orange County IDA (Kingston Manufacturing) 7.250 % 11/01/03 12/25/01(c) $ 1,515,502
40,000 Orange County IDA (Mental Health) 6.000 05/01/08 -- 44,123
10,000 Orange County IDA (Mental Health) 6.125 05/01/16 (s) 05/01/06(b) 11,033
575,000 Oswego County IDA (SLRHF) 5.150 02/01/13 03/22/11(c) 591,968
1,805,000 Oswego County Res Rec 6.500 06/01/04 05/23/03(c) 1,935,790
1,750,000 Otsego County IDA (AOFMH) 5.350 10/01/17 (s) 10/01/10(b) 1,817,200
20,000 Pendelton, NY GO (i) 7.600 09/01/15 03/01/99(a) 20,549
50,000 Philadelphia, NY GO 7.500 12/15/09 -- 62,885
15,000 Port Authority NY/NJ 5.000 02/01/03 (s) 02/01/99(b) 15,014
75,000 Port Authority NY/NJ (Delta Airlines) 6.950 06/01/08 06/01/02(b) 80,657
1,000,000 Port Authority NY/NJ (KIAC) 6.750 10/01/11 (s) 05/03/10(c) 1,108,460
275,000 Port Authority NY/NJ (KIAC) 6.750 10/01/19 (s) 10/01/06(b) 304,827
10,000,000 Port Authority NY/NJ (KIAC) 7.000 10/01/07 05/02/05(c) 11,184,300
20,000 Port Authority NY/NJ, 52nd Series 9.000 11/01/14 (s) 11/01/99(b) 20,942
75,000 Port Authority NY/NJ, 67th Series 6.875 01/01/25 (s) 01/01/00(b) 78,240
25,000 Port Authority NY/NJ, 68th Series 7.250 08/15/09 02/15/00(b) 26,251
15,000 Port Authority NY/NJ, 68th Series 7.250 08/15/11 02/15/00(b) 15,716
90,000 Port Authority NY/NJ, 69th Series 7.125 06/01/25 (s) 06/01/00(b) 95,289
15,000 Port Authority NY/NJ, 70th Series 7.250 08/01/25 (s) 08/01/00(b) 15,811
100,000 Port Authority NY/NJ, 73rd Series 6.750 04/15/26 (s) 04/15/01(b) 106,548
30,000 Port Authority NY/NJ, 83rd Series 6.375 10/15/17 (s) 10/15/02(b) 32,833
15,000 Portchester Community Devel. Corp. 8.100 08/01/10 10/10/05(c) 16,078
1,275,000 Putnam County IDA (Brewster Plastics) 7.375 12/01/08 12/27/04(c) 1,370,778
120,000 Rensselaer Hsg. Authority (Renwyck) 7.650 01/01/11 (s) 08/25/02(g) 130,644
1,440,000 Rensselaer Municipal Leasing Corp. 6.250 06/01/04 12/28/02(c) 1,572,307
60,000 Rensselaer Municipal Leasing Corp. 6.900 06/01/24 06/01/04(b) 66,357
15,000 Riverhead HDC 8.250 08/01/10 (s) 02/01/99(b) 15,949
2,915,000 Rochester Hsg. Authority (Crossroads) 7.300 07/01/05 10/01/02(c) 3,191,867
745,000 Rochester Hsg. Authority (Stonewood) 5.900 09/01/09 03/17/05(c) 773,750
595,000 Rockland County IDA (DC) 7.000 03/01/03 04/21/01(c) 639,940
350,000 Rockland Gardens Hsg. Corp. 10.500 05/01/11 05/01/99(b) 376,600
50,000 Rome, NY GO 6.900 12/15/07 12/15/03(b) 56,520
225,000 Roxbury CSD GO 6.400 06/15/10 06/15/05(b) 251,420
235,000 Roxbury CSD GO 6.400 06/15/11 06/15/05(b) 262,032
190,000 Saratoga County IDA (ARC) 7.250 03/01/01 03/10/00(c) 194,790
360,000 Saratoga County IDA (City Center) 10.000 10/01/08 (s) 10/01/99(b) 374,400
1,945,000 Saratoga County IDA (Saratoga Sheraton) 6.750 12/31/07 08/14/03(c) 2,076,268
50,000 Schodack IDA (Hamilton Printing) 7.600 07/01/00 -- 50,294
60,000 Schodack IDA (Hamilton Printing) 7.625 07/01/01 -- 62,898
120,000 Schuyler County IDA (Cargill) 7.900 04/01/07 04/01/99(b) 123,472
5,000 SONYMA, Series 1 0.000 10/01/14 (s) 04/01/99(b) 1,159
200,000 SONYMA, Series 10-A 8.000 10/01/08 (s) 04/01/99(b) 204,340
70,000 SONYMA, Series 10-B 6.500 10/01/02 (s) 04/01/99(b) 70,118
15,000 SONYMA, Series 11 6.875 04/01/16 (s) 04/01/99(b) 15,044
30,000 SONYMA, Series 12 0.000 04/01/99 -- 29,608
60,000 SONYMA, Series 12 0.000 10/01/99 04/01/99(b) 57,428
100,000 SONYMA, Series 12 0.000 10/01/00 04/01/99(b) 88,769
30,000 SONYMA, Series 12 0.000 10/01/01 04/01/99(b) 24,651
30,000 SONYMA, Series 12 0.000 04/01/03 04/01/99(b) 21,920
695,000 SONYMA, Series 12 7.300 10/01/12 (s) 04/01/99(b) 701,999
240,000 SONYMA, Series 12 8.250 04/01/17 (s) 04/01/99(b) 243,679
315,000 SONYMA, Series 2 0.000 10/01/14 (s) 04/01/99(b) 71,303
</TABLE>
23 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
<TABLE>
<CAPTION>
============================================================================================================================
STATEMENT OF INVESTMENTS December 31, 1998
- ----------------------------------------------------------------------------------------------------------------------------
Effective
Face Maturity Market
Amount Description Coupon Maturity Date * Value
============================================================================================================================
<S> <C> <C> <C> <C> <C>
$ 65,000 SONYMA, Series 2 0.000 % 10/01/14 (s) 04/01/01(b) $ 14,793
100,000 SONYMA, Series 29-A 5.250 04/01/15 01/28/12(c) 102,205
25,000 SONYMA, Series 29-B 6.450 04/01/15 (s) 03/01/03(b) 26,802
445,000 SONYMA, Series 30-B 6.000 04/01/19 (s) 03/01/05(b) 458,363
165,000 SONYMA, Series 30-C 5.850 10/01/25 (s) 10/01/05(b) 171,691
10,000 SONYMA, Series 34 5.550 09/30/25 (s) 03/01/06(b) 10,261
65,000 SONYMA, Series 36-A 6.125 10/01/20 (s) 06/06/06(b) 67,681
100,000 SONYMA, Series 39 5.750 10/01/10 (s) 04/01/06(b) 104,505
55,000 SONYMA, Series 39 6.000 10/01/17 (s) 04/01/06(b) 58,271
50,000 SONYMA, Series 40-A 6.350 04/01/21 (s) 06/01/04(b) 52,660
30,000 SONYMA, Series 41-A 6.450 10/01/14 (s) 06/01/04(b) 32,769
50,000 SONYMA, Series 41-B 6.250 10/01/14 (s) 08/01/04(b) 54,202
35,000 SONYMA, Series 42 6.000 10/01/23 (s) 09/01/06(b) 36,314
25,000 SONYMA, Series 42 6.400 10/01/20 (s) 09/01/04(b) 26,234
50,000 SONYMA, Series 43 6.100 04/01/09 09/01/06(b) 52,204
25,000 SONYMA, Series 43 6.100 10/01/09 09/01/06(b) 26,102
690,000 SONYMA, Series 43 6.450 10/01/17 (s) 09/01/04(b) 751,362
125,000 SONYMA, Series 44 6.900 04/01/06 11/01/04(b) 135,078
50,000 SONYMA, Series 44 7.000 10/01/07 11/01/04(b) 53,787
25,000 SONYMA, Series 46 6.500 04/01/13 (s) 03/28/05(b) 27,228
65,000 SONYMA, Series 47 6.375 10/01/17 (s) 03/28/07(b) 70,764
50,000 SONYMA, Series 48 6.000 04/01/13 06/29/07(b) 53,462
1,770,000 SONYMA, Series 48 6.050 04/01/17 (s) 06/29/07(b) 1,893,564
25,000 SONYMA, Series 48 6.100 04/01/25 (s) 06/29/05(b) 26,829
10,000 SONYMA, Series 50 6.250 04/01/10 09/13/07(b) 10,705
25,000 SONYMA, Series 51 6.400 10/01/17 (s) 09/13/05(b) 27,269
50,000 SONYMA, Series 53 5.750 10/01/11 (s) 01/04/08(b) 53,441
280,000 SONYMA, Series 54 6.100 10/01/15 (s) 03/05/08(g) 302,249
135,000 SONYMA, Series 56 5.875 10/01/19 (s) 07/01/08(b) 141,506
90,000 SONYMA, Series 6 9.375 04/01/10 (s) 10/01/99(b) 92,718
13,105,000 SONYMA, Series 60 6.050 04/01/26 (s) 01/01/09(b) 14,092,069
1,000,000 SONYMA, Series 61 5.800 10/01/17 (s) 01/01/09(b) 1,058,320
200,000 SONYMA, Series 63 6.000 04/01/17 (s) 04/01/09(b) 215,372
75,000 SONYMA, Series 66 5.600 10/01/17 (s) 07/01/09(b) 78,082
1,000,000 SONYMA, Series 67 5.600 10/01/14 (s) 09/01/09(b) 1,046,540
500,000 SONYMA, Series 67 5.700 10/01/17 (s) 09/01/09(b) 526,510
4,000,000 SONYMA, Series 67 5.800 10/01/28 (s) 09/01/09(b) 4,244,760
75,000 SONYMA, Series 7 (i) 9.250 10/01/14 (s) 04/01/99(b) 77,000
45,000 SONYMA, Series 8-A 0.000 10/01/99 -- 42,892
250,000 SONYMA, Series 8-A 0.000 04/01/00 04/01/99(b) 230,283
30,000 SONYMA, Series 8-A 0.000 10/01/00 04/01/99(b) 26,725
85,000 SONYMA, Series 8-A 0.000 04/01/01 04/01/99(b) 73,072
70,000 SONYMA, Series 8-A 0.000 10/01/01 04/01/99(b) 58,171
85,000 SONYMA, Series 8-A 0.000 04/01/02 04/01/99(b) 68,275
70,000 SONYMA, Series 8-A 0.000 10/01/02 04/01/99(b) 54,351
385,000 SONYMA, Series 8-A 6.875 04/01/17 (s) 04/01/99(b) 397,416
90,000 SONYMA, Series 8-A 6.875 04/01/17 (s) 04/01/99(b) 90,194
120,000 SONYMA, Series 8-A 6.875 04/01/17 (s) 04/01/99(b) 120,281
50,000 SONYMA, Series 8-B 7.200 04/01/99 -- 50,276
435,000 SONYMA, Series 8-E 8.100 10/01/17 (s) 04/01/99(b) 444,788
5,000 SONYMA, Series 9-A 8.250 10/01/08 (s) 04/01/99(b) 5,080
75,000 SONYMA, Series 9-C 8.400 10/01/02 (s) 04/01/99(b) 75,601
</TABLE>
24 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
<TABLE>
<CAPTION>
============================================================================================================================
STATEMENT OF INVESTMENTS December 31, 1998
- ----------------------------------------------------------------------------------------------------------------------------
Effective
Face Maturity Market
Amount Description Coupon Maturity Date * Value
============================================================================================================================
<S> <C> <C> <C> <C> <C>
$ 70,000 SONYMA, Series AA 7.700 % 04/01/99 -- $ 70,353
15,000 SONYMA, Series EE-2 7.050 10/01/00 01/07/00(c) 15,506
85,000 SONYMA, Series EE-2 7.450 10/01/10 (s) 09/11/99(g) 87,916
1,100,000 SONYMA, Series EE-2 7.500 04/01/16 (s) 09/14/99(b) 1,138,104
125,000 SONYMA, Series EE-3 7.125 10/01/00 01/07/00(c) 128,561
50,000 SONYMA, Series EE-3 7.650 04/01/16 (s) 10/01/00(b) 52,364
50,000 SONYMA, Series EE-3 7.750 04/01/16 (s) 04/01/00(b) 52,401
100,000 SONYMA, Series EE-4 7.050 10/01/00 01/10/00(c) 102,593
115,000 SONYMA, Series EE-4 7.800 10/01/13 (s) 10/01/00(b) 120,980
50,000 SONYMA, Series HH-2 7.700 10/01/09 (s) 09/09/99(g) 51,536
14,715,000 SONYMA, Series HH-2 7.750 04/01/22 (s) 09/14/99(b) 15,182,348
25,000 SONYMA, Series HH-2 7.850 04/01/22 (s) 09/14/99(b) 25,938
185,000 SONYMA, Series HH-3 7.875 10/01/09 (s) 05/14/00(g) 193,395
3,600,000 SONYMA, Series HH-3 7.950 04/01/22 (s) 06/07/00(b) 3,764,016
30,000 SONYMA, Series HH-4 7.700 10/01/09 (s) 08/20/00(g) 31,172
325,000 SONYMA, Series II 0.000 04/01/05 04/01/99(b) 208,010
45,000 SONYMA, Series II 0.000 10/01/05 04/01/99(b) 27,707
35,000 SONYMA, Series II 0.000 04/01/06 04/01/02(b) 20,726
40,000 SONYMA, Series II 0.000 10/01/06 04/01/99(b) 22,787
90,000 SONYMA, Series II 0.000 04/01/07 04/01/99(b) 49,125
120,000 SONYMA, Series II 0.000 10/01/07 04/01/99(b) 62,995
580,000 SONYMA, Series II 0.000 10/01/08 04/01/99(b) 281,607
175,000 SONYMA, Series II 0.000 04/01/09 04/01/99(b) 81,704
300,000 SONYMA, Series II 0.000 10/01/09 04/01/99(b) 134,709
90,000 SONYMA, Series JJ 0.000 04/01/00 -- 86,231
10,000 SONYMA, Series JJ 0.000 10/01/00 -- 9,343
255,000 SONYMA, Series JJ 0.000 04/01/01 -- 229,322
95,000 SONYMA, Series JJ 0.000 10/01/01 -- 82,405
175,000 SONYMA, Series JJ 0.000 04/01/02 -- 146,134
40,000 SONYMA, Series JJ 0.000 10/01/02 -- 32,210
215,000 SONYMA, Series JJ 0.000 04/01/03 10/01/99(b) 166,548
75,000 SONYMA, Series JJ 0.000 10/01/03 10/01/99(b) 56,012
30,000 SONYMA, Series JJ 0.000 04/01/04 10/01/99(b) 21,538
10,000 SONYMA, Series JJ 0.000 10/01/04 10/01/99(b) 6,920
210,000 SONYMA, Series JJ 0.000 04/01/05 10/01/99(b) 140,009
185,000 SONYMA, Series JJ 0.000 10/01/05 10/01/99(b) 118,883
90,000 SONYMA, Series JJ 0.000 04/01/06 10/01/99(b) 55,550
425,000 SONYMA, Series JJ 0.000 10/01/06 10/01/99(b) 251,048
200,000 SONYMA, Series JJ 0.000 04/01/07 10/01/99(b) 114,584
125,000 SONYMA, Series JJ 0.000 10/01/07 10/01/99(b) 69,010
150,000 SONYMA, Series JJ 0.000 10/01/08 10/01/99(b) 76,839
275,000 SONYMA, Series JJ 7.500 10/01/17 (s) 10/01/99(b) 285,313
10,000 SONYMA, Series KK 7.050 10/01/99 04/07/99(c) 10,159
60,000 SONYMA, Series KK 7.800 10/01/20 (s) 10/01/99(b) 62,113
80,000 SONYMA, Series MM-1 7.500 04/01/13 (s) 02/04/01(b) 83,480
5,000 SONYMA, Series MM-1 7.600 10/01/02 02/04/01(b) 5,247
25,000 SONYMA, Series MM-1 7.650 10/01/03 02/04/01(b) 26,185
100,000 SONYMA, Series MM-1 7.700 10/01/04 02/04/01(b) 104,458
50,000 SONYMA, Series MM-1 7.750 04/01/05 02/04/01(b) 52,157
10,000 SONYMA, Series MM-2 7.550 04/01/02 10/01/00(b) 10,447
10,000 SONYMA, Series MM-2 7.700 10/01/05 10/01/00(b) 10,395
25,000 SONYMA, Series NN 7.100 04/01/02 01/01/00(b) 25,881
</TABLE>
25 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
<TABLE>
<CAPTION>
============================================================================================================================
STATEMENT OF INVESTMENTS December 31, 1998
- ----------------------------------------------------------------------------------------------------------------------------
Effective
Face Maturity Market
Amount Description Coupon Maturity Date * Value
============================================================================================================================
<S> <C> <C> <C> <C> <C>
$ 20,000 SONYMA, Series NN 7.150 % 10/01/03 01/01/00(b) $ 20,683
50,000 SONYMA, Series NN 7.450 10/01/10 (s) 01/01/00(b) 52,093
20,000 SONYMA, Series QQ 7.600 10/01/12 04/01/00(b) 20,790
2,135,000 SONYMA, Series QQ 7.700 10/01/12 04/01/00(b) 2,221,937
50,000 SONYMA, Series RR 7.600 10/01/10 (s) 10/01/00(b) 52,813
25,000 SONYMA, Series RR 7.700 10/01/10 (s) 10/01/00(b) 26,302
25,000 SONYMA, Series TT 6.850 10/01/01 -- 26,046
20,000 SONYMA, Series TT 6.950 04/01/02 -- 20,952
125,000 SONYMA, Series TT 7.150 04/01/04 04/01/01(b) 130,778
25,000 SONYMA, Series TT 7.200 10/01/05 04/01/01(b) 26,114
25,000 SONYMA, Series UU 6.850 10/01/99 -- 25,339
75,000 SONYMA, Series UU 6.950 04/01/00 -- 76,528
15,745,000 SONYMA, Series UU 7.650 10/01/23 04/01/01(b) 16,581,532
1,615,000 SONYMA, Series UU 7.750 10/01/23 (s) 04/01/01(b) 1,699,335
40,000 SONYMA, Series VV 6.600 04/01/00 -- 40,897
25,000 SONYMA, Series VV 6.800 10/01/02 -- 26,424
60,000 SONYMA, Series VV 6.900 04/01/03 -- 63,502
50,000 SONYMA, Series VV 7.000 04/01/04 10/01/01(b) 52,713
100,000 SONYMA, Series VV 7.000 10/01/04 10/01/01(b) 105,491
645,000 SONYMA, Series VV 7.250 10/01/07 (s) 10/01/01(b) 684,990
13,315,200 SONYMA, Series VV 7.375 10/01/11 (s) 10/01/01(b) 14,196,799
125,000 Springville HDC (Springbrook) 5.950 01/01/10 06/29/05(c) 132,241
965,000 St. Casimer's Elderly Hsg. Corp. 7.375 09/01/10 (s) 03/01/99(b) 995,533
1,215,000 St. Lawrence IDA (PACES) 5.875 06/30/07 11/24/03(c) 1,212,752
1,605,000 Suffolk County IDA (ACLDD) 5.750 03/01/06 11/04/02(c) 1,607,311
240,000 Suffolk County IDA (Dowling College) 6.500 12/01/06 -- 258,588
2,385,000 Suffolk County IDA (HFAS) 6.025 11/01/08 10/25/04(c) 2,399,072
1,035,000 Suffolk County IDA (Huntington Res Rec) (w) 5.150 10/01/99 -- 1,038,581
6,395,000 Suffolk County IDA (Huntington Res Rec) (w) 5.150 10/01/00 -- 6,481,524
6,875,000 Suffolk County IDA (Huntington Res Rec) (w) 5.350 10/01/01 -- 7,048,525
7,390,000 Suffolk County IDA (Huntington Res Rec) (w) 5.450 10/01/02 -- 7,654,858
7,945,000 Suffolk County IDA (Huntington Res Rec) (w) 5.500 10/01/03 -- 8,304,273
20,000 Suffolk County IDA (Marbar Assoc.) 8.150 03/01/04 03/01/99(b) 20,024
25,000 Suffolk County IDA (Marbar Assoc.) 8.200 03/01/05 03/01/99(b) 25,011
50,000 Suffolk County IDA (OBPWC) 7.000 11/01/02 07/14/01(c) 50,810
270,000 Suffolk County IDA (Printing Assoc.) (i) 6.800 (v) 12/01/00 07/01/99(f) 270,000
1,170,000 Suffolk County IDA (Rimland Facilities) (i) 6.000 (v) 12/01/04 12/01/99(f) 1,170,000
40,000 Suffolk County Water Authority 5.625 06/01/16 (s) 06/01/04(b) 41,713
2,315,000 Sunnybrook EHC 11.250 12/01/14 (s) 04/01/99(b) 2,476,471
345,000 Syracuse IDA (Rockwest Center I) (i) 7.250 06/01/03 07/26/01(c) 353,625
930,000 Syracuse IDA (Rockwest Center II) 7.000 12/01/05 03/25/03(c) 929,972
795,000 Syracuse IDA (St. Joseph's Hospital) 7.250 06/01/01 06/19/00(c) 838,439
195,000 Tompkins County IDA (Kendall at Ithaca) 7.875 06/01/15 (s) 06/01/05(b) 208,851
295,000 Tompkins Healthcare Corp. 10.800 02/01/28 08/01/05(b) 380,108
3,755,000 Tonawanda HDC (Tonawanda Towers) 6.150 10/01/11 09/05/06(c) 3,988,336
230,000 Triborough Bridge & Tunnel Authority 5.500 01/01/19 (s) 07/01/99(b) 230,205
85,000 Triborough Bridge & Tunnel Authority 6.000 01/01/13 (s) 01/01/00(b) 86,596
10,000 Triborough Bridge & Tunnel Authority 6.625 01/01/17 (s) 01/01/03(b) 10,710
13,050,000 Triborough Bridge & Tunnel Authority 6.875 01/01/15 (s) 01/01/01(b) 14,050,022
75,000 Tupper Lake HDC 8.125 10/01/10 03/15/02(b) 75,340
760,000 Union Hsg. Authority (Methodist Homes) 6.800 11/01/04 07/15/02(c) 799,756
6,975,000 United Nations Devel. Corp., Series B 5.400 07/01/14 (s) 07/01/99(b) 6,995,786
</TABLE>
26 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
<TABLE>
<CAPTION>
============================================================================================================================
STATEMENT OF INVESTMENTS December 31, 1998
- ----------------------------------------------------------------------------------------------------------------------------
Effective
Face Maturity Market
Amount Description Coupon Maturity Date * Value
============================================================================================================================
<S> <C> <C> <C> <C> <C>
$ 3,865,000 United Nations Devel. Corp., Series B 5.500 % 07/01/17 (s) 07/01/99(b) $ 3,891,050
4,000,000 United Nations Devel. Corp., Series B 5.600 07/01/26 07/01/99(b) 4,029,000
6,070,000 United Nations Devel. Corp., Series C 5.500 07/01/17 (s) 07/01/99(b) 6,110,912
500,000 Utica IDA (Utica College) 5.300 08/01/08 02/07/04(c) 510,790
55,000 Utica Sr. Citizen Hsg. Corp. (Brook Apartments) 0.000 01/01/99 -- 55,000
10,000 Utica Sr. Citizen Hsg. Corp. (Brook Apartments) 0.000 07/01/99 -- 9,548
40,000 Utica Sr. Citizen Hsg. Corp. (Brook Apartments) 0.000 01/01/02 -- 30,162
100,000 Utica Sr. Citizen Hsg. Corp. (Steinhorst
Apartments 6.500 04/15/08 (s) 10/07/04(g) 111,431
10,000 Valley Health Devel. Corp. 7.850 02/01/02 11/07/99(c) 10,636
95,000 Valley Health Devel. Corp. 11.300 02/01/07 08/01/00(b) 112,144
875,000 Valley Health Devel. Corp. 11.300 02/01/23 (s) 12/15/00(b) 1,029,560
95,000 Watervliet Elderly Hsg. Corp. 8.000 11/15/00 04/15/99(b) 96,313
95,000 Watervliet Elderly Hsg. Corp. 8.000 11/15/01 04/15/99(b) 96,313
100,000 Watervliet Elderly Hsg. Corp. 8.000 11/15/02 04/15/99(b) 101,382
45,000 Wayne County IDA (Hauser Machine) 7.700 12/01/09 12/01/01(d) 46,983
410,000 Westchester County IDA (BAH) 7.250 12/01/09 09/26/04(c) 448,179
1,000,000 Westchester County IDA (JBFS) 6.500 12/15/02 07/14/01(c) 1,051,850
510,000 Westchester County IDA (JDAM) 6.250 04/01/05 06/28/02(c) 539,942
1,000,000 Westchester County IDA (JDAM) 6.750 04/01/16 (s) 04/01/06(b) 1,074,120
150,000 Westchester County IDA (Westchester Airport) 5.950 08/01/24 (s) 08/01/01(b) 153,224
2,650,000 Westchester County IDA (WRC) 5.500 07/01/09 07/01/08(b) 2,797,446
1,000,000 Yonkers IDA (St. Joseph's Hospital), Series 98-B 5.900 03/01/08 03/01/06(c) 1,009,610
==============
1,025,210,988
==============
============================================================================================================================
U.S. POSSESSIONS--14.8%
300,000 American Samoa Power Authority 6.750 09/01/99 -- 306,537
700,000 American Samoa Power Authority 6.900 09/01/99 -- 715,827
700,000 American Samoa Power Authority 7.000 09/01/00 -- 733,747
13,635,000 Guam Airport Authority, Series B 6.600 10/01/10 (s) 10/01/03(b) 14,910,282
12,985,000 Guam Airport Authority, Series B 6.700 10/01/23 (s) 10/01/03(b) 14,178,581
14,075,000 Guam GO 5.375 11/15/13 (s) 11/15/05(b) 14,308,364
8,080,000 Guam GO 5.400 11/15/18 (s) 11/15/05(b) 8,170,496
2,750,000 Guam GO 5.750 09/01/04 03/01/99(b) 2,756,573
1,000,000 Guam GO 5.900 09/01/05 03/01/99(b) 1,002,480
1,000,000 Guam GO 6.000 09/01/06 03/01/99(b) 1,002,460
850,000 Guam Power Authority 5.250 10/01/13 07/08/10(c) 856,894
1,200,000 Guam Power Authority 6.300 10/01/12 (s) 10/01/02(b) 1,292,040
3,030,000 Guam Power Authority 6.375 10/01/08 (s) 10/01/02(b) 3,251,645
2,950,000 Guam Power Authority 6.625 10/01/14 (s) 10/01/04(b) 3,267,863
1,147,624 Puerto Rico Aqueduct & Sewer (i) 7.250 03/21/00 09/24/99(c) 1,166,101
3,525,000 Puerto Rico Commonwealth Infrastructure 7.500 07/01/09 (s) 07/01/99(b) 3,606,639
235,000 Puerto Rico Commonwealth Infrastructure 7.600 07/01/00 07/01/99(b) 240,461
30,000 Puerto Rico Commonwealth Infrastructure 7.700 07/01/01 07/01/99(b) 30,701
5,000 Puerto Rico Commonwealth Infrastructure 7.700 07/01/01 07/01/99(b) 5,117
1,915,000 Puerto Rico Commonwealth Infrastructure 7.750 07/01/08 (s) 07/01/99(b) 1,959,734
3,140,000 Puerto Rico Commonwealth Infrastructure 7.900 07/01/07 (s) 07/01/99(b) 3,213,727
2,771,851 Puerto Rico Dept. of Corrections Equipment
Lease (i) 9.000 01/08/03 03/01/01(c) 2,931,427
30,000 Puerto Rico Electric Power Authority 6.000 07/01/10 (s) 07/01/99(b) 30,401
25,000 Puerto Rico Electric Power Authority 6.000 07/01/16 (s) 07/01/04(b) 27,169
30,000 Puerto Rico Electric Power Authority 6.000 07/01/16 (s) 07/01/04(b) 33,066
50,000 Puerto Rico GO 6.000 07/01/14 (s) 07/01/02(b) 53,550
5,000 Puerto Rico GO 6.000 07/01/14 (s) 07/01/02(b) 5,389
</TABLE>
27 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
<TABLE>
<CAPTION>
============================================================================================================================
STATEMENT OF INVESTMENTS December 31, 1998
- ----------------------------------------------------------------------------------------------------------------------------
Effective
Face Maturity Market
Amount Description Coupon Maturity Date * Value
============================================================================================================================
<S> <C> <C> <C> <C> <C>
$ 1,800,000 Puerto Rico GO YCN 8.737 %(r) 07/01/08 (s) 07/01/02(b) $ 2,038,500
55,000 Puerto Rico HBFA 5.850 10/01/09 04/01/07(b) 58,341
410,000 Puerto Rico HBFA 6.100 10/01/15 (s) 04/01/07(b) 436,158
2,661,421 Puerto Rico Health Dept. Equipment Lease (i) 7.099 07/23/03 05/21/01(c) 2,744,431
25,000 Puerto Rico HFC 0.000 10/15/04 03/15/99(b) 16,479
45,000 Puerto Rico HFC 0.000 04/15/08 03/15/99(b) 22,804
10,000 Puerto Rico HFC 0.000 10/15/08 03/15/99(b) 4,882
125,000 Puerto Rico HFC 6.000 02/01/09 (s) 02/01/02(b) 129,270
100,000 Puerto Rico HFC 6.650 10/15/10 (s) 10/01/01(b) 105,799
10,000 Puerto Rico HFC 6.750 10/15/13 (s) 10/01/01(b) 10,576
45,000 Puerto Rico HFC 6.800 10/01/99 -- 45,722
5,000 Puerto Rico HFC 7.000 04/15/99 -- 5,031
40,000 Puerto Rico HFC 7.000 04/01/00 -- 41,054
10,000 Puerto Rico HFC 7.100 10/15/00 04/01/99(b) 10,216
10,000 Puerto Rico HFC 7.100 04/01/02 04/01/00(b) 10,530
615,000 Puerto Rico HFC 7.200 04/01/03 04/01/00(b) 648,321
65,000 Puerto Rico HFC 7.300 04/01/06 04/01/00(b) 68,600
55,000 Puerto Rico HFC 7.400 04/01/07 04/01/00(b) 58,112
20,000 Puerto Rico HFC 7.450 10/15/09 (s) 09/27/00(b) 21,055
10,000 Puerto Rico HFC 7.500 10/15/12 (s) 09/27/00(b) 10,527
3,600,000 Puerto Rico HFC 7.500 10/01/15 (s) 04/01/00(b) 3,808,044
7,295,000 Puerto Rico HFC 7.500 04/01/22 (s) 04/01/00(b) 7,722,049
390,000 Puerto Rico HFC 7.650 10/15/22 (s) 09/27/00(b) 411,641
3,450,000 Puerto Rico Highway & Transportation Authority 5.500 07/01/19 07/01/05(b) 3,563,091
25,000 Puerto Rico Highway & Transportation Authority 6.625 07/01/12 (s) 07/01/02(b) 27,317
806,412 Puerto Rico HR Vehicle Lease (i) 8.000 12/01/00 03/26/00(c) 826,225
82,274 Puerto Rico HR Vehicle Lease (i) 8.000 03/12/01 03/10/00(c) 84,643
275,000 Puerto Rico IMEPCF (Abbott Labs) 6.500 07/01/09 07/01/99(b) 281,188
500,000 Puerto Rico IMEPCF (Motorola) (q) 6.750 01/01/14 01/01/02(b) 547,635
3,500,000 Puerto Rico IMEPCF (PepsiCo) 6.250 11/15/13 11/15/02(b) 3,847,270
585,000 Puerto Rico IMEPCF (Squibb) 6.500 07/01/04 (s) 07/01/99(b) 600,210
3,270,000 Puerto Rico IMEPCF (Upjohn) 7.500 12/01/23 12/01/99(b) 3,378,531
100,000 Puerto Rico IMEPCF (Warner Lambert) 7.600 05/01/14 05/01/99(b) 104,341
1,450,000 Puerto Rico ITEMECF (MGH) 5.625 07/01/17 (s) 10/09/07(g) 1,488,933
1,995,000 Puerto Rico ITEMECF (MGH) 6.500 07/01/12 (s) 02/25/06(g) 2,169,822
1,045,000 Puerto Rico ITEMECF (RMH) 6.400 05/01/09 (s) 05/01/04(b) 1,136,260
247,874 Puerto Rico MA Bus Lease (i) 8.500 02/02/02 09/01/00(c) 257,323
514,384 Puerto Rico MA Carts Lease (i) 8.000 02/02/01 02/16/00(c) 526,302
597,741 Puerto Rico MA Equipment Lease (i) 8.000 01/26/02 08/24/00(c) 615,685
313,434 Puerto Rico MA Truck Lease (i) 8.500 10/15/01 08/06/00(c) 325,128
507,944 Puerto Rico Natural Res. Dept. Equipment
Lease (i) 7.250 11/23/01 09/10/00(c) 538,771
1,720,007 Puerto Rico Natural Res. Dept. Equipment
Lease (i) 7.250 10/26/03 04/26/02(c) 1,764,934
559,401 Puerto Rico Off. of the Governor Computer
Lease (i) 6.906 09/30/02 06/24/00(c) 566,701
55,000 Puerto Rico Port Authority 5.700 07/01/03 (s) 07/01/99(b) 55,809
50,000 Puerto Rico Port Authority 7.000 07/01/14 (s) 07/01/01(b) 54,254
115,000 Puerto Rico Port Authority 7.300 07/01/07 (s) 07/01/99(b) 115,229
100,000 Puerto Rico Port Authority (American Airlines) 6.300 06/01/23 06/01/03(b) 106,370
30,000 Puerto Rico Port Authority (i) 5.750 07/01/02 (s) 07/01/99(b) 30,033
127,796 Puerto Rico Port Authority Computer Lease (i) 9.000 05/15/99 -- 129,523
3,000,000 Puerto Rico Public Buildings Authority 5.700 07/01/16 (s) 07/01/03(b) 3,146,340
20,000 Puerto Rico Public Buildings Authority 6.000 07/01/12 (s) 07/01/99(b) 20,260
425,000 Puerto Rico Public Buildings Authority 6.000 07/01/12 07/01/99(b) 430,529
</TABLE>
28 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
<TABLE>
<CAPTION>
============================================================================================================================
STATEMENT OF INVESTMENTS December 31, 1998
- ----------------------------------------------------------------------------------------------------------------------------
Effective
Face Maturity Market
Amount Description Coupon Maturity Date * Value
============================================================================================================================
<S> <C> <C> <C> <C> <C>
$ 988,413 Puerto Rico State Courts Telephone System
Lease (i) 7.250 % 06/04/02 12/29/00(c) $ 1,041,244
155,000 Puerto Rico Urban Renewal 7.875 10/01/04 (s) 10/01/99(b) 162,164
58,273 Puerto Rico Vocational Rehab. Vehicle Lease (i) 8.000 02/17/02 09/15/00(c) 60,130
155,000 University of Puerto Rico 5.500 06/01/12 (s) 06/01/99(b) 156,269
195,000 University of V.I. 6.500 10/01/99 -- 197,927
500,000 University of V.I. 7.500 10/01/09 (s) 10/01/04(b) 568,600
500,000 University of V.I. 7.650 10/01/14 (s) 10/01/04(b) 570,955
662,000 V.I. GO (Hugo Insurance Claims Program) 7.750 10/01/06 (s) 06/19/01(g) 730,663
65,000 V.I. HFA 6.500 03/01/25 (s) 03/01/05(b) 69,567
5,000,000 V.I. Public Finance Authority 5.500 10/01/15 10/01/10(b) 5,143,500
2,830,000 V.I. Public Finance Authority 6.000 10/01/05 -- 2,972,830
175,000 V.I. Public Finance Authority 6.000 10/01/22 (s) 10/01/10(b) 183,022
1,500,000 V.I. Public Finance Authority 6.800 10/01/00 -- 1,588,335
2,000,000 V.I. Public Finance Authority 7.250 10/01/18 (s) 10/01/02(a) 2,283,080
2,000,000 V.I. Water & Power Authority 5.000 07/01/09 (s) -- 1,986,300
1,000,000 V.I. Water & Power Authority 5.300 07/01/21 (s) 07/01/10(b) 1,006,420
1,500,000 V.I. Water & Power Authority 7.200 01/01/02 01/18/01(c) 1,562,790
12,605,000 V.I. Water & Power Authority 7.400 07/01/11 (s) 05/09/01(g) 13,834,744
15,270,000 V.I. Water & Power Authority 8.500 01/01/10 (s) 07/01/99(b) 16,032,737
==============
175,358,868
==============
============================================================================================================================
TOTAL INVESTMENTS, AT VALUE (COST $1,158,704,566)--101.2% 1,200,569,856
LIABILITIES IN EXCESS OF OTHER ASSETS--(1.2%) (14,571,348)
--------------
NET ASSETS--100.0% $1,185,998,508
==============
</TABLE>
* Call Date, Put Date or Average Life of Sinking Fund, if applicable, as
detailed:
(a) Date of prerefunded call, or maturity date if escrowed to maturity.
(b) Optional call date; corresponds to the most conservative yield
calculation.
(c) Average life due to mandatory (sinking fund) principal payments
prior to maturity.
(d) Date of mandatory put.
(e) Date of conversion.
(f) Effective maturity corresponding to variable coupon payment date.
(g) Average life due to mandatory (sinking fund) principal payments
prior to the applicable optional call date.
(i) Illiquid security--See Note 5 of Notes to Financial Statements.
(q) Represents securities sold under Rule 144A, which are exempt from
registration under the Securities Act of 1933, as amended. These
securities have been determined to be liquid under guidelines established
by the Board of Trustees. These securities amount to $547,635, or 0.05% of
the Fund's net assets, at December 31, 1998.
(r) Represents the current interest rate for a variable rate bond known as an
"inverse floater" which pays interest at a rate that varies inversely with
short-term interest rates. As interest rates rise, inverse floaters
produce less current income. Their price may be more volatile than the
price of a comparable fixed-rate security. Inverse floaters amount to
$14,642,066, or 1.19% of the Fund's total assets as of December 31, 1998.
(s) Security also has mandatory sinking fund principal payments prior to
maturity and an average life which is shorter than the stated final
maturity.
(t) Security will convert to a fixed coupon at a date prior to maturity. (u)
Non-income accruing security--Issuer is in default of interest payment.
(v) Represents the current interest rate for a variable rate security that
fluctuates as a percentage of prime rate.
(w) When-issued security--See Note 3 of Notes to Financial Statements.
See accompanying Notes to Financial Statements.
29 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
================================================================================
PORTFOLIO ABBREVIATIONS
- --------------------------------------------------------------------------------
To simplify the listing of securities in the Statement of Investments,
abbreviations are used per the table below:
ACLDD Adults and Children with Learning and
Developmental Disabilities
AOFMH Aurelia Osborn Fox Memorial Hospital
ARC Association of Retarded Citizens
BAH Beth Abraham Hospital
BHMS Brooklyn Heights Montessori School
CAB Capital Appreciation Bond
CCM Comprehensive Care Management
CNR College of New Rochelle
Con Ed Consolidated Edison Company
COP Certificate of Participation
CSD Central School District
DC Dominican College
Devel. Development
DIAMONDS Direct Investment of Accrued Municipals
ECC Erie Community College
EHC Elderly Housing Corporation
EPG Elmhurst Parking Garage
ERDA Energy Research and Development
Authority
G&E Gas and Electric
G&H Geriatric and Healthcare
GO General Obligation
GRIA Greater Rochester International Airport
H&NH Hospital and Nursing Home
HBFA Housing Bank and Finance Agency
HDC Housing Development Corporation
HELP Homeless Economic Loan Program
HFA Housing Finance Agency
HFAS Huntington First Aid Squad
HFC Housing Finance Corporation
HR House of Representatives
Hsg. Housing
IDA Industrial Development Authority
IMEPCF Industrial, Medical and Environmental
Pollution Control Facilities
ITEMECF Industrial, Tourist, Educational, Medical
and Environmental Community Facilities
JBFS Jewish Board of Family Services
JDAM Julia Dyckman Angus Memorial
L.I. Long Island
LGAC Local Government Assistance Corporation
LGSC Local Government Services Corporation
LILCO Long Island Lighting Corporation
LIMO Limited Interest Municipal Obligation
MA Municipality of Aquadilla
MEET Manhattan Eye, Ear and Throat
MGH Mennonite General Hospital
MHMC Montefiore Hospital and Medical Center
MTA Metropolitan Transit Authority
NJ New Jersey
NY New York
NYC New York City
NYS New York State
OBPWC Ocean Bay Park Water Corporation
PACES Potsdam Auxiliary & College Educational
Service
PCP Pooled Capital Program
PRAMS Prudential Receipts of Accrual Municipal
Securities
Res Rec Resource Recovery Facility
RGH Rochester General Hospital
RMH Ryder Memorial Hospital
RSP Riverbank State Park
SCSB Schuyler Community Services Board
SLRHF St. Luke Residential Healthcare Facility
SONYMA State of New York Mortgage Agency
SWMA Solid Waste Management Authority
UCC Upstate Community Colleges
UCP United Cerebral Palsy
UDC Urban Development Corporation
USGC United States Gypsum Company
V.I. United States Virgin Islands
WHMC Wyckoff Heights Medical Center
WRC Westchester Resco Company
WWH Wyandach/Wheatley Heights
YCN Yield Curve Note
30 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
================================================================================
INDUSTRY CONCENTRATIONS December 31, 1998
- --------------------------------------------------------------------------------
Distribution of investments by industry, as a percentage of total investments at
value, is as follows:
Industry Market Value Percent
================================================================================
General Obligation $263,740,829 22.0 %
Municipal Leases 112,312,234 9.3
Hospital/Healthcare 102,953,714 8.6
Electric Utilities 94,928,388 7.9
Single-Family Housing 91,065,547 7.6
Multi-Family Housing 88,318,438 7.4
Highways/Railways 76,071,066 6.3
Resource Recovery 69,537,578 5.8
Marine/Aviation Facilities 64,967,402 5.4
Higher Education 62,067,998 5.2
Non Profit Organization 33,697,242 2.8
Corporate Backed 29,418,232 2.4
Sales Tax Revenue 21,281,498 1.8
Water Utilities 20,680,047 1.7
Manufacturing, Non-Durable Goods 19,368,293 1.6
Education 19,256,694 1.6
Pollution Control 12,845,263 1.1
Other 18,059,393 1.5
----------------- ------------
$1,200,569,856 100.0 %
================= ============
================================================================================
SUMMARY OF RATINGS December 31, 1998 (Unaudited)
- --------------------------------------------------------------------------------
Distribution of investments by rating category, as a percentage of total
investments at value, is as follows:
Rating Percent
================================================================================
AAA 15.2 %
AA 9.6
A 47.6
BBB 22.8
BB 0.2
B 0.0
CCC 0.0
CC 0.0
C 0.0
Not Rated 4.6
------------
100.0 %
============
Bonds rated by any nationally recognized statistical rating organization are
included in the equivalent Standard & Poor's rating category. As a general
matter, unrated bonds may be backed by mortgage liens or equipment liens on the
underlying property, and also may be guaranteed. Bonds which are backed by a
letter of credit or by other financial institutions or agencies may be assigned
an investment grade rating by the Manager, which reflects the quality of the
guarantor, institution or agency. Unrated bonds may also be assigned a rating
when the issuer has rated bonds outstanding with comparable credit
characteristics, or when, in the opinion of the Manager, the bond itself
possesses credit characteristics which allow for rating. The unrated bonds in
the portfolio are predominantly smaller issuers which have not applied for a
bond rating. Only those unrated bonds which subsequent to purchase have not been
designated investment grade by the Manager are included in the "Not Rated"
category. For further information see "Credit Quality" in the Prospectus.
31 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
================================================================================
STATEMENT OF ASSETS AND LIABILITIES December 31, 1998
- --------------------------------------------------------------------------------
<TABLE>
<S> <C> <C>
ASSETS
Investments, at value (cost $1,158,704,566)--see accompanying statement $ 1,200,569,856
Cash 262,469
Receivables:
Interest 22,876,812
Investments sold 3,415,641
Shares of beneficial interest sold 3,233,075
Other 38,254
---------------
Total assets 1,230,396,107
---------------
LIABILITIES
Payables and other liabilities:
Investments purchased 43,131,803
Shares of beneficial interest redeemed 704,827
Dividends 318,123
Trustees' fees--Note 1 54,108
Other 188,738
---------------
Total liabilities 44,397,599
---------------
NET ASSETS $ 1,185,998,508
===============
=======================================================================================================
COMPOSITION OF NET ASSETS
Paid-in capital $ 1,153,938,014
Excess of distributions over net investment income (45,907)
Accumulated net realized loss on investment transactions (9,758,889)
Net unrealized appreciation on investments--Note 3 41,865,290
---------------
Net assets $ 1,185,998,508
===============
=======================================================================================================
NET ASSET VALUE PER SHARE
CLASS A SHARES:
Net asset value and redemption price per share (based on net assets of
$979,315,897 and 290,581,474 shares of beneficial interest outstanding) $ 3.37
Maximum offering price per share (net asset value plus sales charge of
3.50% of offering price) $ 3.49
- -------------------------------------------------------------------------------------------------------
CLASS B SHARES:
Net asset value, redemption price (excludes applicable contingent deferred sales
charge) and offering price per share (based on net assets of $64,388,087 and
19,127,581 shares of beneficial interest outstanding) $ 3.37
- -------------------------------------------------------------------------------------------------------
CLASS C SHARES:
Net asset value, redemption price (excludes applicable contingent deferred sales
charge) and offering price per share (based on net assets of $94,870,499 and
28,207,733 shares of beneficial interest outstanding) $ 3.36
- -------------------------------------------------------------------------------------------------------
CLASS X SHARES:
Net asset value, redemption price (excludes applicable contingent deferred sales
charge) and offering price per share (based on net assets of $47,424,025 and
14,045,974 shares of beneficial interest outstanding) $ 3.38
- -------------------------------------------------------------------------------------------------------
</TABLE>
See accompanying Notes to Financial Statements.
32 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
================================================================================
STATEMENT OF OPERATIONS For the Year Ended December 31, 1998
- --------------------------------------------------------------------------------
INVESTMENT INCOME
Interest $ 58,392,892
------------
EXPENSES
Management fees--Note 4 4,331,766
Distribution and service plan
fees--Note 4:
Class A 2,210,694
Class B 435,015
Class C 615,304
Class X 374,098
Transfer and shareholder servicing agent fees--Note 4:
Class A 435,707
Class B 33,320
Class C 34,207
Class X 34,657
Accounting service fees--Note 4 314,752
Registration and filing fees 144,469
Shareholder reports 135,933
Trustees' fees and expenses--Note 1 80,728
Legal, auditing and other professional fees 54,955
Custodian fees and expenses 48,662
Other 86,582
Interest 238,516
------------
Total expenses 9,609,365
------------
NET INVESTMENT INCOME 48,783,527
------------
REALIZED AND UNREALIZED GAIN (LOSS)
Net realized loss on investments (479,664)
Net change in unrealized appreciation
or depreciation on investments 10,408,295
------------
Net realized and unrealized gain 9,928,631
------------
NET INCREASE IN NET ASSETS
RESULTING FROM OPERATIONS $ 58,712,158
============
================================================================================
STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Year Ended December 31, 1998 1997
---- ----
<S> <C> <C>
OPERATIONS
Net investment income $ 48,783,527 $ 38,707,629
Net realized gain (loss) (479,664) 1,075,860
Net change in unrealized appreciation or depreciation 10,408,295 16,726,487
--------------- ---------------
Net increase in net assets resulting from operations 58,712,158 56,509,976
- -----------------------------------------------------------------------------------------------
DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS
Dividends from net investment income:
Class A (42,908,426) (35,761,666)
Class B (1,728,342) (287,084)
Class C (2,438,783) (369,152)
Class X (2,182,644) (2,357,890)
- -----------------------------------------------------------------------------------------------
BENEFICIAL INTEREST TRANSACTIONS
Net increase (decrease) in net assets resulting from
beneficial interest transactions--Note 2:
Class A 199,445,734 121,589,384
Class B 42,482,889 21,302,795
Class C 67,445,258 26,613,801
Class X (5,528,643) 10,459,393
- -----------------------------------------------------------------------------------------------
NET ASSETS
Total increase 313,299,201 197,699,557
Beginning of period 872,699,307 674,999,750
--------------- ---------------
End of period (including excess of distributions over
net investment income of $45,907 and undistributed
net investment income of $411,938, respectively) $ 1,185,998,508 $ 872,699,307
=============== ===============
</TABLE>
See accompanying Notes to Financial Statements.
33 LIMITED TERM NEW YORK MUNICIPAL FUNDS
<PAGE>
================================================================================
FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
CLASS A
------------------------------------------------------------------------------
Year Ended December 31,
1998 1997 1996 (b) 1995 1994
----------- ----------- ----------- ----------- -----------
<S> <C> <C> <C> <C> <C>
PER SHARE OPERATING DATA
Net asset value, beginning of period $ 3.34 $ 3.26 $ 3.28 $ 3.15 $ 3.33
----------- ----------- ----------- ----------- -----------
Income (loss) from investment operations:
Net investment income 0.16 0.17 0.17 0.18 0.16
Net realized and unrealized gain (loss) 0.03 0.08 (0.02) 0.13 (0.18)
----------- ----------- ----------- ----------- -----------
Total income (loss) from investment operations 0.19 0.25 0.15 0.31 (0.02)
----------- ----------- ----------- ----------- -----------
Dividends and distributions to shareholders:
Dividends from net investment income (0.16) (0.17) (0.17) (0.18) (0.16)
----------- ----------- ----------- ----------- -----------
Total dividends and distributions to shareholders (0.16) (0.17) (0.17) (0.18) (0.16)
----------- ----------- ----------- ----------- -----------
Net asset value, end of period $ 3.37 $ 3.34 $ 3.26 $ 3.28 $ 3.15
=========== =========== =========== =========== ===========
TOTAL RETURN, AT NET ASSET VALUE (D) 5.94% 8.01% 4.82% 10.01% (0.60%)
RATIOS/SUPPLEMENTAL DATA
Net assets, end of period (in thousands) $ 979,316 $ 771,828 $ 634,172 $ 567,537 $ 496,452
Average net assets (in thousands) $ 884,849 $ 677,376 $ 606,742 $ 520,990 $ 491,038
Ratios to average net assets:
Net investment income 4.80% 5.27% 5.37% 5.44% 5.12%
Expenses 0.82% 0.83%(f) 0.89%(f) 0.90%(f) 0.89%
Expenses (excluding interest) (g) 0.80% 0.81%(f) 0.83%(f) 0.84%(f) 0.84%
Portfolio turnover rate (h) 25.2% 27.1% 24.4% 22.3% 34.6%
==================================================================================================================================
</TABLE>
(a) For the period from May 1, 1995 (inception of offering) to December 31,
1995.
(b) On January 4, 1996, OppenheimerFunds, Inc. became the investment advisor
to the Fund.
(c) For the period from May 1, 1997 (inception of offering) to December 31,
1997.
(d) Assumes a hypothetical initial investment on the business day before the
first day of the fiscal period (or inception of offering), with all
dividends and distributions reinvested in additional shares on the
reinvestment date, and redemption at the net asset value calculated on the
last business day of the fiscal period. Sales charges are not reflected in
the total returns. Total returns are not annualized for periods of less
than one full year.
(e) Annualized.
(f) Expense ratio reflects the effect of expenses paid indirectly by the Fund.
(g) During the periods shown above, the Fund's interest expense was
substantially offset by the incremental interest income generated on bonds
purchased with borrowed funds.
(h) The lesser of purchases or sales of portfolio securities for a period,
divided by the monthly average of the market value of portfolio securities
owned during the period. Securities with a maturity or expiration date at
the time of acquisition of one year or less are excluded from the
calculation. Purchases and sales of investment securities (excluding
short-term securities) for the period ended December 31, 1998 were
$551,144,473 and $268,552,064, respectively.
See accompanying Notes to Financial Statements.
34 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
================================================================================
FINANCIAL HIGHLIGHTS (Continued)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
CLASS B CLASS C
-----------------------------------------------------------------------------
Year Ended December 31, Year Ended December 31,
1998 1997 (c) 1998 1997 (c)
---------- ---------- ---------- ----------
<S> <C> <C> <C> <C>
PER SHARE OPERATING DATA
Net asset value, beginning of period $ 3.34 $ 3.25 $ 3.33 $ 3.25
---------- ---------- ---------- ----------
Income from investment operations:
Net investment income 0.14 0.10 0.14 0.10
Net realized and unrealized gain 0.03 0.09 0.03 0.08
---------- ---------- ---------- ----------
Total income from investment operations 0.17 0.19 0.17 0.18
---------- ---------- ---------- ----------
Dividends and distributions to shareholders:
Dividends from net investment income (0.14) (0.10) (0.14) (0.10)
---------- ---------- ---------- ----------
Total dividends and distributions to shareholders (0.14) (0.10) (0.14) (0.10)
---------- ---------- ---------- ----------
Net asset value, end of period $ 3.37 $ 3.34 $ 3.36 $ 3.33
========== ========== ========== ==========
TOTAL RETURN, AT NET ASSET VALUE (D) 5.13% 5.89% 5.15% 5.58%
RATIOS/SUPPLEMENTAL DATA
Net assets, end of period (in thousands) $ 64,388 $ 21,500 $ 94,870 $ 26,862
Average net assets (in thousands) $ 43,620 $ 9,873 $ 61,717 $ 12,705
Ratios to average net assets:
Net investment income 3.97% 4.18%(e) 3.98% 4.22%(e)
Expenses 1.59% 1.56%(e)(f) 1.57% 1.54%(e)(f)
Expenses (excluding interest) (g) 1.57% 1.55%(e)(f) 1.55% 1.52(e)(f)
Portfolio turnover rate (h) 25.2% 27.1% 25.2% 27.1%
========================================================================================================================
</TABLE>
(a) For the period from May 1, 1995 (inception of offering) to December 31,
1995.
(b) On January 4, 1996, OppenheimerFunds, Inc. became the investment advisor
to the Fund.
(c) For the period from May 1, 1997 (inception of offering) to December 31,
1997.
(d) Assumes a hypothetical initial investment on the business day before the
first day of the fiscal period (or inception of offering), with all
dividends and distributions reinvested in additional shares on the
reinvestment date, and redemption at the net asset value calculated on the
last business day of the fiscal period. Sales charges are not reflected in
the total returns. Total returns are not annualized for periods of less
than one full year.
(e) Annualized.
(f) Expense ratio reflects the effect of expenses paid indirectly by the Fund.
(g) During the periods shown above, the Fund's interest expense was
substantially offset by the incremental interest income generated on bonds
purchased with borrowed funds.
(h) The lesser of purchases or sales of portfolio securities for a period,
divided by the monthly average of the market value of portfolio securities
owned during the period. Securities with a maturity or expiration date at
the time of acquisition of one year or less are excluded from the
calculation. Purchases and sales of investment securities (excluding
short-term securities) for the period ended December 31, 1998 were
$551,144,473 and $268,552,064, respectively.
See accompanying Notes to Financial Statements.
35 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
================================================================================
FINANCIAL HIGHLIGHTS (Continued)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
CLASS X
-----------------------------------------------------------------------
Year Ended December 31,
1998 1997 1996 (b) 1995 (a)
---------- ---------- ---------- ----------
<S> <C> <C> <C> <C>
PER SHARE OPERATING DATA
Net asset value, beginning of period $ 3.35 $ 3.27 $ 3.28 $ 3.21
---------- ---------- ---------- ----------
Income (loss) from investment operations:
Net investment income 0.15 0.16 0.16 0.11
Net realized and unrealized gain (loss) 0.03 0.08 (0.01) 0.07
---------- ---------- ---------- ----------
Total income from investment operations 0.18 0.24 0.15 0.18
---------- ---------- ---------- ----------
Dividends and distributions to shareholders:
Dividends from net investment income (0.15) (0.16) (0.16) (0.11)
---------- ---------- ---------- ----------
Total dividends and distributions to shareholders (0.15) (0.16) (0.16) (0.11)
---------- ---------- ---------- ----------
Net asset value, end of period $ 3.38 $ 3.35 $ 3.27 $ 3.28
========== ========== ========== ==========
TOTAL RETURN, AT NET ASSET VALUE (D) 5.38% 7.44% 4.59% 5.65%
RATIOS/SUPPLEMENTAL DATA
Net assets, end of period (in thousands) $ 47,424 $ 52,510 $ 40,828 $ 16,415
Average net assets (in thousands) $ 49,866 $ 49,563 $ 28,971 $ 8,869
Ratios to average net assets:
Net investment income 4.30% 4.75% 4.85% 5.21%(e)
Expenses 1.35% 1.35%(f) 1.38%(f) 0.90%(e)(f)
Expenses (excluding interest) (g) 1.32% 1.33%(f) 1.32%(f) 0.85%(e)(f)
Portfolio turnover rate (h) 25.2% 27.1% 24.4% 22.3%
========================================================================================================================
</TABLE>
(a) For the period from May 1, 1995 (inception of offering) to December 31,
1995.
(b) On January 4, 1996, OppenheimerFunds, Inc. became the investment advisor
to the Fund.
(c) For the period from May 1, 1997 (inception of offering) to December 31,
1997.
(d) Assumes a hypothetical initial investment on the business day before the
first day of the fiscal period (or inception of offering), with all
dividends and distributions reinvested in additional shares on the
reinvestment date, and redemption at the net asset value calculated on the
last business day of the fiscal period. Sales charges are not reflected in
the total returns. Total returns are not annualized for periods of less
than one full year.
(e) Annualized.
(f) Expense ratio reflects the effect of expenses paid indirectly by the Fund.
(g) During the periods shown above, the Fund's interest expense was
substantially offset by the incremental interest income generated on bonds
purchased with borrowed funds.
(h) The lesser of purchases or sales of portfolio securities for a period,
divided by the monthly average of the market value of portfolio securities
owned during the period. Securities with a maturity or expiration date at
the time of acquisition of one year or less are excluded from the
calculation. Purchases and sales of investment securities (excluding
short-term securities) for the period ended December 31, 1998 were
$551,144,473 and $268,552,064, respectively.
See accompanying Notes to Financial Statements.
36 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
NOTES TO FINANCIAL STATEMENTS
NOTE 1. SIGNIFICANT ACCOUNTING POLICIES
Limited Term New York Municipal Fund (the Fund) is a separate series of
Rochester Portfolio Series, a diversified, open-end management investment
company registered under the Investment Company Act of 1940, as amended. The
Fund's investment objective is to provide shareholders with as high a level of
income exempt from federal, New York State and New York City personal income
taxes as is consistent with its investment policies and prudent investment
management. The Fund intends to invest primarily in a portfolio of investment
grade obligations with a dollar weighted average effective maturity of five
years or less. The Fund's investment advisor is OppenheimerFunds, Inc. (the
Manager).
The Fund offers Class A, Class B and Class C shares. As of January 6, 1998, the
Fund is no longer offering Class X shares (Class X shares were designated as
Class B shares prior to May 1, 1997). Class A shares are sold with a front-end
sales charge. Class B, Class C and Class X shares may be subject to a contingent
deferred sales charge. All classes of shares have identical rights to earnings,
assets and voting privileges, except that each class has its own distribution
and/or service plan, expenses directly attributable to that class and exclusive
voting rights with respect to matters affecting that class. Class B and Class X
shares will automatically convert to Class A shares six years after the date of
purchase. The following is a summary of significant accounting policies
consistently followed by the Fund.
INVESTMENT VALUATION. Portfolio securities are valued as of the close of the New
York Stock Exchange on each trading day. Long- term debt securities are valued
by a portfolio pricing service approved by the Board of Trustees. Such
securities which cannot be valued by an approved portfolio pricing service are
valued using dealer-supplied valuations provided the Manager is satisfied that
the firm rendering the quotes is reliable and that the quotes reflect current
market value, or are valued under consistently applied procedures established by
the Board of Trustees to determine fair value in good faith.
SECURITIES PURCHASED ON A WHEN-ISSUED BASIS. Delivery and payment for securities
that have been purchased by the Fund on a forward commitment or when-issued
basis can take place a month or more after the transaction date. Normally the
settlement date occurs within six months of the purchase of municipal bonds and
notes. However, the Fund may, from time to time, purchase municipal securities
whose settlement date extends beyond six months and possibly as long as two
years or more beyond trade date. During this period, such securities do not earn
interest, are subject to market fluctuation and may increase or decrease in
value prior to their delivery. The Fund maintains, in a segregated account with
its custodian, assets with a market value equal to or greater than the amount of
its purchase commitments. The purchase of securities on a when-issued or forward
commitment basis may increase the volatility of the Fund's net asset value to
the extent the Fund makes such purchases while remaining substantially fully
invested. As of December 31, 1998, the Fund had entered into outstanding
when-issued or forward commitments (see Note 3).
ALLOCATION OF INCOME, EXPENSES, AND GAINS AND LOSSES. Income, expenses (other
than those attributable to a specific class) and gains and losses are allocated
daily to each class of shares based upon the relative proportion of net assets
represented by such class. Operating expenses directly attributable to a
specific class are charged against the operations of that class.
FEDERAL TAXES. The Fund intends to continue to comply with provisions of the
Internal Revenue Code applicable to regulated investment companies and to
distribute all of its taxable income, including any net realized gain on
investments not offset by loss carryovers, to shareholders. Therefore, no
federal income or excise tax provision is required. At December 31, 1998, the
Fund had available for federal income tax purposes an unused capital loss
carryover of approximately $9,730,000, which expires between 2002 and 2006.
TRUSTEES' FEES AND EXPENSES. The Fund has adopted a nonfunded retirement plan
for the Fund's independent trustees. Benefits are based on years of service and
fees paid to each trustee during the years of service. During the year ended
December 31, 1998, a provision of $45,909 was made for the Fund's projected
benefit obligations. No payments were made under this plan during 1998. At
December 31, 1998, the Fund had recognized an accumulated liability of $45,909.
DISTRIBUTIONS TO SHAREHOLDERS. The Fund intends to declare dividends separately
for Class A, Class B, Class C and Class X shares from net investment income each
day the New York Stock Exchange is open for business and pay such dividends
monthly. Distributions from net realized gains on investments, if any, will be
declared at least once each year.
37 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
NOTES TO FINANCIAL STATEMENTS (Continued)
CLASSIFICATION OF DISTRIBUTIONS TO SHAREHOLDERS. Net investment income (loss)
and net realized gain (loss) may differ for financial statement and tax
purposes. The character of distributions made during the year from net
investment income or net realized gains may differ from its ultimate
characterization for federal income tax purposes. Also, due to timing of
dividend distributions, the fiscal year in which amounts are distributed may
differ from the fiscal year in which the income or realized gain was recorded by
the Fund.
The Fund adjusts the classification of distributions to shareholders to reflect
the differences between financial statement amounts and distributions determined
in accordance with income tax regulations. Accordingly, during the year ended
December 31, 1998, amounts have been reclassified to reflect a decrease in
paid-in capital of $16,823, and a decrease in excess of distributions over net
investment income of $16,823.
CONCENTRATION IN NEW YORK ISSUERS. There are certain risks arising from
geographic concentration in any state. Certain revenue or tax related events in
a state may impair the ability of certain issuers of municipal securities to pay
principal and interest on their obligations.
EXPENSE OFFSET ARRANGEMENTS. Expenses paid indirectly represent a reduction of
custodian fees for earnings on cash balances maintained by the Fund.
OTHER. Investment transactions are accounted for on the date the investments are
purchased or sold (trade date). Interest income is accrued on a daily basis. In
computing net investment income, the Fund amortizes premiums and accretes
original issue discount, which is in accordance with federal income tax
requirements. For municipal bonds acquired after April 30, 1993 and subsequently
sold at a gain, market discount is accreted at the time of sale (to the extent
of the lesser of the accrued market discount or the disposition gain) and is
treated as taxable income, rather than capital gain. Realized gains and losses
on investments and unrealized appreciation and depreciation are determined on an
identified cost basis, which is the same basis used for federal income tax
purposes.
The preparation of financial statements in conformity with generally accepted
accounting principles requires management to make estimates and assumptions that
affect the reported amounts of assets and liabilities and disclosure of
contingent assets and liabilities at the date of the financial statements and
the reported amounts of income and expenses during the reporting period. Actual
results could differ from those estimates.
38 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
NOTES TO FINANCIAL STATEMENTS (Continued)
NOTE 2. SHARES OF BENEFICIAL INTEREST
The Fund has authorized an unlimited number of no par value shares of beneficial
interest of each class. Transactions in shares of beneficial interest were as
follows:
<TABLE>
<CAPTION>
YEAR ENDED YEAR ENDED
---------- ----------
DECEMBER 31, 1998 DECEMBER 31, 1997 (1)
----------------- ---------------------
SHARES AMOUNT SHARES AMOUNT
========================================================================================================
<S> <C> <C> <C> <C>
CLASS A:
Sold 85,263,031 $ 285,730,451 61,960,243 $ 204,296,595
Dividends and distributions
reinvested 8,362,718 28,044,127 7,129,620 23,469,719
Redeemed (34,100,531) (114,328,844) (32,348,973) (106,176,930)
------------- ------------- ------------- -------------
Net increase 59,525,218 $ 199,445,734 36,740,890 $ 121,589,384
============= ============= ============= =============
========================================================================================================
CLASS B:
Sold 13,306,853 $ 44,568,293 6,693,115 $ 22,129,658
Dividends and distributions
reinvested 360,864 1,209,382 57,825 191,859
Redeemed (983,181) (3,294,786) (307,895) (1,018,722)
------------- ------------- ------------- -------------
Net increase 12,684,536 $ 42,482,889 6,443,045 $ 21,302,795
============= ============= ============= =============
========================================================================================================
CLASS C:
Sold 22,535,160 $ 75,428,610 8,331,782 $ 27,526,872
Dividends and distributions
reinvested 552,623 1,849,561 85,390 283,099
Redeemed (2,936,551) (9,832,913) (360,671) (1,196,170)
------------- ------------- ------------- -------------
Net increase 20,151,232 $ 67,445,258 8,056,501 $ 26,613,801
============= ============= ============= =============
========================================================================================================
CLASS X:
Sold 5,830 $ 19,325 4,101,380 $ 13,420,326
Dividends and distributions
reinvested 443,451 1,488,806 493,631 1,628,470
Redeemed (2,094,913) (7,036,774) (1,395,249) (4,589,403)
------------- ------------- ------------- -------------
Net increase (decrease) (1,645,632) $ (5,528,643) 3,199,762 $ 10,459,393
============= ============= ============= =============
</TABLE>
(1) For the year ended December 31, 1997 for Class A and Class X shares and
for the period from May 1, 1997 (inception of offering) to December 31,
1997 for Class B and Class C shares.
NOTE 3. PORTFOLIO INFORMATION
At December 31, 1998, net unrealized appreciation on investments of $41,865,290
was composed of gross appreciation of $43,219,230, and gross depreciation of
$1,353,940.
Unrealized appreciation (depreciation) at December 31, 1998 based on cost of
investments for federal income tax purposes of $1,158,733,221 was:
Gross unrealized appreciation $ 43,192,642
Gross unrealized depreciation (1,356,007)
------------
Net unrealized appreciation $ 41,836,635
============
39 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
NOTES TO FINANCIAL STATEMENTS (Continued)
At December 31, 1998, investments in securities included issues that were
purchased on a when-issued or delayed delivery basis. The Fund has recorded
these commitments and is valuing the when-issued securities at current market
value on each trading day. In addition, the Fund has segregated sufficient
liquid debt securities with its custodian to cover these commitments. The Fund
intends to invest no more than 10% of its net assets in when-issued or delayed
delivery securities. The aggregate cost of securities purchased on a when-issued
or delayed delivery basis at December 31, 1998 was $29,640,000, which represents
2.50% of the Fund's net assets. Information concerning these securities is as
follows:
<TABLE>
<CAPTION>
VALUATION PER UNIT
FACE AMOUNT ACQUISITION DELIVERY COST PER AS OF
SECURITY (IN THOUSANDS) DATE DATE UNIT DECEMBER 31, 1998
===========================================================================================
Suffolk County IDA
(Huntington Res Rec):
<S> <C> <C> <C> <C> <C>
5.15% due 10/01/99 $1,035 1/28/97 7/29/99 100.000% 100.346%
5.15% due 10/01/00 6,395 1/28/97 7/29/99 100.000 101.353
5.35% due 10/01/01 6,875 1/28/97 7/29/99 100.000 102.524
5.45% due 10/01/02 7,390 1/28/97 7/29/99 100.000 103.584
5.50% due 10/01/03 7,945 1/28/97 7/29/99 100.000 104.522
===========================================================================================
</TABLE>
NOTE 4. MANAGEMENT FEES AND OTHER TRANSACTIONS WITH AFFILIATES
Management fees paid to the Manager were in accordance with the investment
advisory agreement with the Fund which provides for a fee of 0.50% of the first
$100 million of the Fund's average annual net assets, 0.45% of the next $150
million, 0.40% of the next $1,750 million, and 0.39% of the net assets in excess
of $2 billion. During the year ended December 31, 1998, the Fund paid $4,331,766
to the Manager for management and investment advisory services.
Accounting fees paid to the Manager were in accordance with the accounting
services agreement with the Fund which provides for an annual fee of $12,000 for
the first $30 million of net assets and $9,000 for each additional $30 million
of net assets. During the year ended December 31, 1998, the Fund paid $314,752
to the Manager for accounting and pricing services.
OppenheimerFunds Services (OFS), a division of the Manager, is the transfer and
shareholder servicing agent for the Fund and for other registered investment
companies. The Fund pays OFS an annual maintenance fee for each Fund shareholder
account and reimburses OFS for its out-of-pocket expenses. During the year ended
December 31, 1998, the Fund paid a total of $537,891 to OFS for transfer and
shareholder servicing agent fees.
For the year ended December 31, 1998, commissions (sales charges paid by
investors) on sales of Class A shares totaled $3,768,254, of which $509,884 was
retained by OppenheimerFunds Distributor, Inc. (OFDI), a subsidiary of the
Manager, as general distributor, and by an affiliated broker/dealer. Sales
charges advanced to broker/dealers by OFDI on sales of the Fund's Class A, Class
B and Class C shares totaled $1,394,666, $1,284,173 and $748,672, respectively.
Amounts paid to an affiliated broker/dealer for Class B and Class C shares were
$15,425 and $10,389, respectively. During the year ended December 31, 1998, OFDI
received contingent deferred sales charges of $10,477, $69,962, $50,046 and
$87,454, respectively, upon redemption of Class A, Class B, Class C and Class X
shares, as reimbursement for sales commissions advanced by OFDI at the time of
sale of such shares.
The Fund has adopted a Service Plan for Class A shares to reimburse OFDI for a
portion of its costs incurred in connection with the personal service and
maintenance of shareholder accounts that hold Class A shares. Reimbursement is
made quarterly at an annual rate that may not exceed 0.25% of the average annual
net assets of Class A shares of the Fund. OFDI uses the service fee to reimburse
brokers, dealers, banks and other financial institutions quarterly for providing
personal service and maintenance of accounts of their customers that hold Class
A shares. During the year ended December 31, 1998, OFDI paid $37,874 to an
affiliated broker/dealer as reimbursement for Class A personal service and
maintenance expenses.
40 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
NOTES TO FINANCIAL STATEMENTS (Continued)
The Fund has adopted Distribution and Service Plans for Class B and Class C
shares to compensate OFDI for its costs in distributing Class B and Class C
shares and servicing accounts. Under the Plans, the Fund pays OFDI an annual
asset-based sales charge of 0.75% per year on Class B and Class C shares for its
services rendered in distributing Class B and Class C shares. OFDI also receives
a service fee of 0.25% per year to compensate dealers for providing personal
services for accounts that hold Class B and Class C shares. Each fee is computed
on the average annual net assets of Class B and Class C shares, determined as of
the close of each regular business day. During the year ended December 31, 1998,
OFDI paid $2,243 to an affiliated broker/dealer as compensation for Class C
personal service and maintenance expenses and retained $393,188 and $555,357,
respectively, as compensation for Class B and Class C sales commissions and
service fee advances, as well as financing costs. If either Plan is terminated
by the Fund, the Board of Trustees may allow the Fund to continue payments of
the asset-based sales charge to OFDI for costs incurred in distributing shares
before the Plan was terminated. At December 31, 1998, OFDI had incurred excess
distribution and servicing costs of $1,802,894 for Class B and $1,248,644 for
Class C.
The Fund has adopted a Distribution and Service Plan for Class X shares to
compensate OFDI for its costs in distributing Class X shares and servicing
accounts. Under the Plan, the Fund may pay OFDI an annual asset-based sales
charge of up to 0.75% per year for its services rendered in distributing Class X
shares. Currently, the Board of Trustees has limited the asset-based sales
charge to 0.50% per year on Class X shares. OFDI also receives a service fee of
0.25% per year to compensate dealers for providing personal services for
accounts that hold Class X shares. Each fee is computed on the average annual
net assets of Class X shares, determined as of the close of each regular
business day. During the year ended December 31, 1998, OFDI paid $1,521 to an
affiliated broker/dealer as compensation for Class X personal service and
maintenance expenses and retained $246,974 as compensation for Class X sales
commissions and service fee advances, as well as financing costs. If the Plan is
terminated by the Fund, the Board of Trustees may allow the Fund to continue
payments of the asset-based sales charge to OFDI for costs incurred in
distributing shares before the Plan was terminated. At December 31, 1998, OFDI
had incurred excess distribution and servicing costs of $174,590 for Class X.
NOTE 5. ILLIQUID AND RESTRICTED SECURITIES
At December 31, 1998, investments in securities included issues that are
illiquid. A security may be considered illiquid if it lacks a readily-available
market or if its valuation has not changed for a certain period of time. The
Fund intends to invest no more than 15% of its net assets (determined at the
time of purchase and reviewed periodically) in illiquid securities. Certain
restricted securities, eligible for resale to qualified institutional investors,
are not subject to that limit. The aggregate value of illiquid securities
subject to this limitation at December 31, 1998 was $22,932,773, which
represents 1.93% of the Fund's net assets.
NOTE 6. BANK BORROWINGS
The Fund may borrow up to 10% of its total assets from a bank to purchase
portfolio securities, or for temporary and emergency purposes. The Fund has
entered into an agreement which enables it to participate with two other funds
managed by the Manager in an unsecured line of credit with a bank, which permits
borrowings up to $100 million, collectively. Interest is charged to each fund,
based on its borrowings, at a rate equal to the Federal Funds Rate plus 0.625%.
The Fund also pays a commitment fee equal to its pro rata share of the average
unutilized amount of the credit facility at a rate of 0.07% per annum. The
commitment fee allocated to the Fund for the year ended December 31, 1998 was
$5,662.
The Fund had no borrowings outstanding at December 31, 1998. For the year ended
December 31, 1998, the average monthly loan balance was $3,958,493 at an average
interest rate of 6.030%. The maximum amount of borrowings outstanding at any
month-end was $16,600,000.
41 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
REPORT OF INDEPENDENT ACCOUNTANTS
To the Shareholders and Board of Trustees of
Rochester Portfolio Series
In our opinion, the accompanying statement of assets and liabilities, including
the statement of investments, and the related statements of operations and of
changes in net assets and the financial highlights present fairly, in all
material respects, the financial position of Limited Term New York Municipal
Fund (the sole portfolio constituting Rochester Portfolio Series, hereafter
referred to as the Fund) at December 31, 1998, the results of its operations for
the year then ended, the changes in its net assets for each of the two years in
the period then ended and the financial highlights for each of the periods
indicated, in conformity with generally accepted accounting principles. These
financial statements and financial highlights (hereafter referred to as
financial statements) are the responsibility of the Fund's management; our
responsibility is to express an opinion on these financial statements based on
our audits. We conducted our audits of these financial statements in accordance
with generally accepted auditing standards which require that we plan and
perform the audit to obtain reasonable assurance about whether the financial
statements are free of material misstatement. An audit includes examining, on a
test basis, evidence supporting the amounts and disclosures in the financial
statements, assessing the accounting principles used and significant estimates
made by management, and evaluating the overall financial statement presentation.
We believe that our audits, which included confirmation of securities at
December 31, 1998 by correspondence with the custodian and brokers, provide a
reasonable basis for the opinion expressed above.
/s/ PricewaterhouseCoopers LLP
PRICEWATERHOUSECOOPERS LLP
Denver, Colorado
January 22, 1999
- --------------------------------------------------------------------------------
FEDERAL INCOME TAX INFORMATION (Unaudited)
In early 1999, shareholders received information regarding all dividends and
distributions paid to them by the Fund during calendar year 1998. Regulations of
the U.S. Treasury Department require the Fund to report this information to the
Internal Revenue Service.
None of the dividends paid by the Fund during the year ended December 31, 1998
are eligible for the corporate dividend-received deduction. 100% of the
dividends were derived from interest on municipal bonds and are not subject to
federal, New York State and New York City income taxes. For the state income tax
reporting purposes of non-New York State shareholders, the distribution breaks
down as follows: New York State (84.5%), Guam (3.1%), Puerto Rico (5.3%), Virgin
Islands (6.8%), American Samoa (0.3%).
During 1998, 20.7% of this tax-exempt income was derived from "private activity
bonds". These are municipal bonds used to finance privately operated facilities.
The interest on these bonds is not taxable for most investors. For the few
investors subject to the alternative minimum tax, the interest from these bonds
is considered a preference item.
The foregoing information is presented to assist shareholders in reporting
distributions received from the Fund to the Internal Revenue Service. Because of
the complexity of the federal regulations which may affect your individual tax
return and the many variations in state and local tax regulations, we recommend
that you consult your tax advisor for specific guidance.
42 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
LIMITED TERM NEW YORK MUNICIPAL FUND
OFFICERS AND TRUSTEES Bridget A. Macaskill, Chairman of the Board of
Trustees and President
John Cannon, Trustee
Paul Y. Clinton, Trustee
Thomas W. Courtney, Trustee
Robert G. Galli, Trustee
Lacy B. Herrmann, Trustee
George Loft, Trustee
Ronald H. Fielding, Vice President and Portfolio
Manager
George C. Bowen, Treasurer
Robert J. Bishop, Assistant Treasurer
Adele A. Campbell, Assistant Treasurer
Scott T. Farrar, Assistant Treasurer
Andrew J. Donohue, Secretary
Robert G. Zack, Assistant Secretary
INVESTMENT ADVISOR OppenheimerFunds, Inc.
DISTRIBUTOR OppenheimerFunds Distributor, Inc.
TRANSFER AND SHAREHOLDER OppenheimerFunds Services
SERVICING AGENT
CUSTODIAN OF Citibank, N.A.
PORTFOLIO SECURITIES
INDEPENDENT ACCOUNTANTS PricewaterhouseCoopers LLP
LEGAL COUNSEL Kirkpatrick & Lockhart LLP
This is a copy of a report to shareholders of Limited New York Municipal Fund.
This report must be preceded or accompanied by a Prospectus of Limited New York
Municipal Fund. For material information concerning the Fund, see the
Prospectus.
Shares of Oppenheimer funds are not deposits or obligations of any bank, are not
guaranteed by any bank, are not insured by the FDIC or any other agency, and
involve investment risks, including the possible loss of the principal amount
invested.
43 LIMITED TERM NEW YORK MUNICIPAL FUND
<PAGE>
[THIS PAGE INTENTIONALLY LEFT BLANK]
<PAGE>
OPPENHEIMERFUNDS FAMILY
REAL ASSET FUNDS
- --------------------------------------------------------------------------------
Real Asset Fund
Gold & Special Minerals Fund
GLOBAL STOCK FUNDS
- --------------------------------------------------------------------------------
Developing Markets Fund
International Small Company Fund
International Growth Fund
Global Growth & Income Fund
Global Fund
Quest Global Value Fund
STOCK FUNDS
- --------------------------------------------------------------------------------
Enterprise Fund
Discovery Fund
Quest Small Cap Value Fund
MidCap Fund
Large Cap Growth Fund
Capital Appreciation Fund
Quest Capital Value Fund
Growth Fund
Disciplined Value Fund
Quest Value Fund
STOCK & BOND FUNDS
- --------------------------------------------------------------------------------
Main Street Growth and Income Fund(1)
Quest Opportunity Value Fund
Total Return Fund
Quest Balanced Value Fund
Equity Income Fund
Disciplined Allocation Fund
Multiple Strategies Fund
Convertible Securities Fund
TAXABLE BOND FUNDS
- --------------------------------------------------------------------------------
International Bond Fund
World Bond Fund
High Yield Fund
Champion Income Fund
Strategic Income Fund
Bond Fund
U.S. Government Trust
Limited-Term Government Fund
MUNICIPAL BOND FUNDS
- --------------------------------------------------------------------------------
California Municipal Fund(2)
Florida Municipal Fund(2)
New Jersey Municipal Fund(2)
New York Municipal Fund(2)
Pennsylvania Municipal Fund(2)
Municipal Bond Fund
Insured Municipal Fund
Intermediate Municipal Fund
Rochester Division
Rochester Fund Municipals
Limited Term New York Municipal Fund
MONEY MARKET FUNDS(3)
- --------------------------------------------------------------------------------
Money Market Fund
Cash Reserves
(1) On 12/22/98, the Fund's name was changed from "Main Street Income & Growth
Fund".
(2) Available only to investors in certain states.
(3) An investment in money market funds is neither insured nor guaranteed by the
Federal Deposit Insurance Corporation or any other government agency. Although
these funds may seek to preserve the value of your investment at $1.00 per
share, it is possible to lose money by investing in these funds.
Oppenheimer funds are distributed by OppenheimerFunds Distributor, Inc.,
Two World Trade Center, New York, NY 10048-0203
((copyright mark)) Copyright 1999 OppenheimerFunds, Inc. All rights reserved.
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<PAGE>
[LOGO] LIMITED TERM
NEW YORK
MUNICIPAL FUND
THE ROCHESTER FUNDS
A Division of OppenheimerFunds, Inc.
350 Linden Oaks
Rochester, New York 14625-2807
716-383-1300
INVESTMENT ADVISER
OppenheimerFunds, Inc.
Two World Trade Center
New York, NY 10048-0203
DISTRIBUTOR
OppenheimerFunds Distributor, Inc.
Two World Trade Center
New York, NY 10048-0203
INDEPENDENT ACCOUNTANTS
PriceWaterhouseCoopers LLP
Denver, CO
CUSTODIAN
Citibank, N.A.
New York, NY
TRANSFER AND SHAREHOLDER SERVICES AGENT
OppenheimerFunds Services
P.O. Box 5270
Denver, CO 80217-5270
This Annual Report is for the information of shareholders of Limited Term
New York Municipal Fund. It must be preceded or accompanied by a current
prospectus for the Fund.
Shares of Oppenheimer funds are not deposits or obligations of any bank,
are not guaranteed by any bank, and are not insured by the FDIC or any other
agency and involve investment risks, including the possible loss of the
principal amount invested.
CALL OUR TOLL-FREE CUSTOMER SERVICE TODAY AT 1-800-525-7048 FOR MORE
INFORMATION ON HOW TO TAKE ADVANTAGE OF YOUR FINANCIAL RELATIONSHIP WITH THE
OPPENHEIMERFUNDS FAMILY.
RAO355.001.0199 February 28, 1999
- --------------------------------------------------------------------------------
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Bulk Rate
OppenheimerFunds Distributor, Inc. US Postage
Rochester Division PAID
350 Linden Oaks Rochester, NY
Rochester, NY 14625-2807 Permit No. 491
--------------
