<PAGE>
Annual Report
- --------------------------------------
Premier Global
Investing, Inc.
- --------------------------------------
October 31, 1995
[LOGO]
<PAGE>
Premier Global Investing, Inc.
- -------------------------------------------------------------------------------
Letter to Shareholders
Dear Shareholder:
During the past twelve months, the U.S. has been the best- performing
major global market. Its performance has been driven by a number of factors
including strong corporate profit growth, falling interest rates, and the
expectation of responsible fiscal management in Washington. Although the
U.S. economy has slowed during the second half of the year, the market
believes that the Fed has achieved a soft landing. This has created a
positive environment for global assets. For the majority of the year, Premier
Global Investing, Inc. has been overweight the U.S. market with large
holdings in the financial and healthcare sectors.
For the twelve months ended October 31, 1995, the total return for
Premier Global Investing Class A shares was 4.72%, and for Class B shares was
3.96%.* For the same period, the Morgan Stanley Capital International World
Index was 9.48%.** For this period the Global Fund Index was 4.17% according
to Lipper.*** The Fund's Class C and Class R shares commenced operations on
9/5/95. For the period from 9/5/95 to 10/31/95 the Fund's Class C shares'
aggregate total return was -.32% and for Class R shares it was .44%.*
Taking a Theme Approach
The Fund takes a theme approach to investing, identifying several themes
and applying them globally. As discussed in our semi-annual letter, two of
our major themes this year have been falling U.S. interest rates and the
clarification of U.S. healthcare policy. We have also invested heavily in
companies which are restructuring in order to remain competitive in a global
marketplace. A fourth theme is economic growth in Asia. Each theme was
profitable for the portfolio during the period.
Falling Worldwide Interest Rates
Our primary theme this year has been falling worldwide interest rates.
As economic growth slowed in the major markets, governments globally
responded by easing monetary policy. World growth was further restrained by
the still unresolved financial and real estate crises in Japan. This was the
perfect environment for financial stocks to outperform. We were heavily
overweight the U.S. banks and had investments in Japanese and Asian banks.
In Hong Kong, where interest rates are directly linked to U.S. rates, the
property stocks recovered on anticipation of a recovery in the real estate
market and we had significant holdings in the property companies. This theme
has represented about 35% of the Fund for the duration of the period and has
added more than 2% of performance.
Clarification of U.S. Healthcare Policy
At the end of 1994, the healthcare sector had been battered down on the
expectation of onerous healthcare legislation. Our decision to take a major
position in this sector was based on three assumptions: there would be no
healthcare bill, the industrywide consolidation would continue, and a number
of companies had promising drugs in development. Given this excellent
investment outlook, the sector represented good value. A number of European
drug companies also stood to benefit in this environment because of their
significant exports to the U.S. Our investments in both European and U.S.
drug companies have represented over 20% of the portfolio during the period.
These positions have added over 3% of performance over the year.
Restructuring in the Global Marketplace
The entrance, in recent years, of the developing countries into the
mainstream global economy has significantly altered the world's competitive
environment. The emergence of Southeast Asia, China, the former Soviet Union
and India is putting increasing pressures on established companies which
primarily manufacture in developed countries to reduce their high cost bases.
This has forced a number of companies to restructure. We have approached
the restructuring theme from two angles, investing in
<PAGE>
companies which either have divested themselves of their peripheral
businesses and/or manufacture productivity-enhancing technology.
Grace (W.R.) and Co. and duPont (E.I.) de Nemours, two companies we held
during the fiscal year, are good examples of the former. Each of these
companies had pursued diversification strategies that penalized
profitability. By divesting itself of its non-core businesses, each company
has realized value for the Fund.
cisco Systems, one of the mostly globally competitive networking software
companies, is an example of the latter. Computers and networks provide
companies with powerful tools that greatly increase efficiency at a
relatively low cost. While the use of computers is well-established in the
U.S. market, it is just beginning in Europe and Asia. The restructuring
theme has been very profitable to the portfolio during the year and remains a
core theme.
Rising Wealth in Asia
We have participated in the rising wealth and development in Asia by
investing in infrastructure and consumer companies. In Malaysia, we have had
significant investments in construction companies involved in major
infrastructure projects. Unfortunately, because of negative macroeconomic
developments, the Malaysian market has been weak this year and our
investments have been no exception. On the positive side, we have made money
in Indonesia by investing in consumer stocks such as Matahari Putra Prima, a
rapidly expanding retail chain catering to lower income customers. Overall,
Indonesia has contributed 4% to the portfolio over the year, while Malaysia
has cost 1% to the portfolio.
Japan
As we discussed in our semi-annual letter, we had been anticipating an
economic recovery in Japan this year. From the January earthquake to the
more recent Daiwa bank scandal, much has happened to derail this recovery.
The stock market has responded to this environment with increased volatility
and no clear trend. Although the Fund remained underweight for most of the
year, we had a heavy concentration in financial and real estate stocks. We
had purchased these stocks on the assumption that the government would enact
legislation to sort out the financial and real estate market. This did not
occur, and the problem has continued to compound, negatively affecting the
performance of financial stocks. Our Japanese stocks cost the portfolio over
4% during the period and explain much of the portfolio underperformance
against the world index.
You will notice that the cash position of the Fund has been further
reduced from prior periods. This reflects the compelling values available in
global growth stocks.
I consider it a privilege to be managing assets on your behalf. I will
endeavor to serve you to my best abilities.
Sincerely,
Kelly McDermott
Portfolio Manager
November 20, 1995
New York, N.Y.
* Total Return includes reinvestment of dividends and any capital gains
paid, without taking into account the maximum initial sales charge in the
case of Class A shares, or the applicable contingent deferred sales charge
imposed on redemptions in the case of Class B and Class C shares.
** SOURCE: LIPPER ANALYTICAL SERVICES, INC. -- Unlike the Fund which may
invest in various types of securities and engage in different investment
techniques, the the Morgan Stanley Capital International World Index is an
unmanaged index of global stock market performance, consisting of equity
securities.
***Source: Lipper Analytical Services, Inc -- The Lipper Global Fund Index,
which is calculated by Lipper Analytical Services, Inc., measures performance
of the top 30 funds in the global fund category. At least 25% of the
portfolios are invested in securities traded outside the United States.
<PAGE>
Premier Global Investing, Inc. October 31, 1995
- -------------------------------------------------------------------------------
COMPARISON OF CHANGE IN VALUE OF $10,000 INVESTMENT IN PREMIER GLOBAL
INVESTING, INC. CLASS A SHARES AND THE MORGAN STANLEY
CAPITAL INTERNATIONAL WORLD INDEX
$14,100 Premier Global Investing (Class A Shares)
$13,370 Morgan Stanley Capital International World Index*
1/31/92 9,549 10,000
10/31/92 10,451 9,419
10/31/93 12,088 11,963
10/31/94 12,767 12,878
10/31/95 13,370 14,100
*Source: Lipper Analytical Services, Inc.
Average Annual Total Returns
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Class A Shares Class B Shares
- ------------------------------------------------------------- -----------------------------------------------------------------
% Return Reflecting
% Return Applicable Contingent
Reflecting % Return Deferred Sales
% Return Without Maximum Initial Assuming No Charge Upon
Period Ended 10/31/95 Sales Charge Sales Charge (4.5%) Period Ended 10/31/95 Redemption Redemtion*
- --------------------- ---------------- ------------------- --------------------- ----------- ---------------------
<S> <C> <C> <C> <C> <C>
1 Year 4.72% 0.03% 1 Year 3.96% (0.04)%
From Inception (1/31/92) 9.39 8.05 From Inception (1/15/93) 8.29 7.35
</TABLE>
Actual Aggregate Total Returns
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Class C Shares Class R Shares
- ------------------------------------------------------------ ----------------------------------------------
% Return Reflecting
Applicable Contingent
% Return Deferred Sales
Assuming No Charge Upon
Period Ended 10/31/95 Redemption Redemption ** Period Ended 10/31/95
- ----------------------- ------------- -------------------- -----------------------
<S> <C> <C> <C>
From Inception (9/5/95) 0.32% (0.68)% From Inception (9/5/95) 0.44%
</TABLE>
Past performance is not predictive of future performance.
The above graph compares a $10,000 investment made in Class A shares of
Premier Global Investing, Inc. on 1/31/92 (Inception Date) to a $10,000
investment made in the Morgan Stanley Capital International World Index on
that date. All dividends and capital gain distributions are reinvested.
Performance for Class B shares, Class C shares and Class R shares will vary
from the performance of Class A shares shown above due to differences in
charges and expenses.
The Fund's performance shown in the line graph takes into account the maximum
initial sales charge on Class A shares and all other applicable fees and
expenses. The Morgan Stanley Capital International World Index, which is the
property of Morgan Stanley & Co. Incorporated, is a widely accepted,
unmanaged index of global stock market performance, including the United
States, Canada, Europe, Australia, New Zealand and the Far East and includes
net dividends reinvested. The Index does not take into account charges, fees
and other expenses. Further information relating to Fund performance,
including expense reimbursements, if applicable, is contained in the
Condensed Financial Information section of the Prospectus and elsewhere in
this report.
* Maximum contingent deferred sales charge for Class B shares is 4% and is
reduced to 0% after six years.
**Maximum contingent deferred sales charge for Class C shares is 1% within
one year of the date of purchase.
<PAGE>
Premier Global Investing, Inc.
- -------------------------------------------------------------------------------
Statement of Investments October 31, 1995
<TABLE>
<CAPTION>
Common Stocks--87.6% Shares Value
------------ --------------
<S> <C> <C>
Austria--.9% Austria Mikro Systeme International............. 6,650 $ 1,231,109
------------
Canada--1.6% Abitibi Price................................... 125,000 2,187,500
------------
Finland--1.2% Valmet, Ser. A.................................. 61,000 1,696,641
------------
France--1.1% BIC............................................. 16,000 1,520,532
------------
Germany-1.8% Mannesmann A.G................................. 7,500 2,467,863
------------
Hong Kong--15.7% Amoy Properties................................. 2,100,000 2,023,671
Cheung Kong Holdings............................ 375,000 2,114,862
HSBC Holdings PLC............................... 225,000 3,274,156
Hong Kong & China Gas........................... 1,100,000 1,785,668
Hutchison Whampoa............................... 875,000 4,821,498
Hysan Development............................... 640,000 1,630,837
New World Infrastructure ..................(a,b) 100,000 175,915
Sun Hung Kai Properties......................... 420,000 3,354,676
Wharf Holdings.................................. 865,000 2,920,256
------------
22,101,539
------------
Indonesia--3.0% Astra International............................. 530,000 1,062,335
Hanjaya Mandala Sampoerna....................... 150,000 1,387,665
Matahari Putra Prima............................ 877,500 1,836,178
------------
4,286,178
------------
Italy--.5% Del Rigo SPA, A.D.R............................ 14,500 299,063
Gucci Group, N.V............................... 13,000 390,000
------------
689,063
------------
Japan--9.7% Asahi Bank...................................... 125,000 1,248,164
Dai-Ichi Kangyo Bank............................ 11,000 186,295
Mitsubishi Heavy Industries..................... 190,000 1,467,548
Mitsubishi Materials............................ 285,000 1,288,987
NKK............................................. 840,000 2,031,131
Nippon Telegraph & Telephone.................... 326 2,680,858
Sanwa Bank...................................... 105,000 1,788,546
Sumitomo Metal & Mining......................... 170,000 1,343,024
Takashimaya..................................... 120,000 1,668,135
------------
13,702,688
------------
Malaysia--4.6% Malayan Banking Berhad.......................... 300,000 2,422,213
Renong Berhad................................... 1,525,000 2,330,445
United Engineers................................ 275,000 1,711,304
------------
6,463,962
------------
</TABLE>
<PAGE>
Premier Global Investing, Inc.
- -------------------------------------------------------------------------------
Statement of Investments (continued) October 31, 1995
<TABLE>
<CAPTION>
Common Stocks (continued) Shares Value
------------ --------------
<S> <C> <C>
Netherlands--1.0% Vendex International, N.V...................... 25,000 $ 720,393
Vendex International, N.V...................(b) 25,000 720,393
------------
1,440,786
------------
Singapore--7.0% DBS Land........................................ 825,000 2,440,552
Jardine Matheson Holdings....................... 300,000 1,830,000
Malayan Credit.................................. 325,000 595,718
Overseas Union Bank............................. 525,000 3,269,639
Wing Tai Holdings............................... 1,000,000 1,733,900
------------
9,869,809
------------
Sweden--6.8% Astra AB, Ser. A................................ 105,000 3,863,379
IRO AB ......................................(b) 128,000 1,563,447
Svedala Industrial.............................. 85,000 2,159,768
WM-Data AB Ser. B............................... 54,350 1,999,759
------------
9,586,353
------------
Switzerland--4.4% BBC Brown Boveri A.G........................... 1,800 2,087,714
Roche Holding A.G.............................. 320 2,324,967
Sandoz A.G..................................... 2,200 1,815,411
------------
6,228,092
------------
United Kingdom--1.8% SmithKline Beecham, A.D.R...................... 50,000 2,593,750
------------
United States--26.5% Actava Group.................................(a) 110,000 1,911,250
Allied Signal................................... 65,700 2,792,250
American Home Products ......................... 40,000 3,545,000
Applied Materials............................(a) 80,000 4,010,000
Boeing.......................................... 35,000 2,296,875
cisco Systems................................(a) 52,000 4,030,000
Comcast, Cl. A (Non-voting)..................... 50,000 893,750
Cree Research................................(a) 120,000 2,947,500
First Union..................................... 42,000 2,084,250
Ford Motor...................................... 80,000 2,300,000
Pfizer.......................................... 46,000 2,639,250
Reliance Group Holdings......................... 150,000 1,106,250
Union Carbide................................... 65,000 2,461,875
Viacom, Cl. B................................(a) 50,000 2,500,000
Witco........................................... 65,000 1,836,250
------------
37,354,500
------------
TOTAL COMMON STOCKS
(cost $116,708,426)........................... $123,420,365
------------
------------
</TABLE>
<PAGE>
Premier Global Investing, Inc.
- -------------------------------------------------------------------------------
Statement of Investments (continued) October 31, 1995
<TABLE>
<CAPTION>
Principal
Short-Term Investments--12.5% Amount Value
- ---------------------------------------------------------------------------- ---------- ------------
<S> <C> <C>
U.S. Treasury Bills: 5.16%, 12/7/95.................................. $ 846,000 $ 841,702
5.21%, 12/14/95................................. 2,385,000 2,370,142
5.17%, 12/21/95................................. 6,918,000 6,868,052
5.15%, 12/28/95................................. 1,796,000 1,781,183
5.28%, 1/11/96.................................. 5,761,000 5,700,452
------------
TOTAL SHORT-TERM INVESTMENTS
(cost $17,562,483)............................ $ 17,561,531
------------
------------
TOTAL INVESTMENTS (cost $134,270,909)............................................... 100.1% $140,981,896
------ ------------
------ ------------
LIABILITIES, LESS CASH AND RECEIVABLES.............................................. (.1%) $ (180,219)
------ ------------
------ ------------
NET ASSETS.......................................................................... 100.0% $140,801,677
------ ------------
------ ------------
</TABLE>
Notes to Statement of Investments:
- -------------------------------------------------------------------------------
(a) Non-income producing.
(b) Security exempt from registration under Rule 144A of the Securities Act
of 1933. These securities may be resold in transactions exempt from
registration, normally to qualified institutional buyers. At October 31,
1995, these securities amounted to $2,459,755 or 1.75% of net assets.
See notes to financial statements.
<PAGE>
Premier Global Investing, Inc.
- -------------------------------------------------------------------------------
Statement of Assets and Liabilities October 31, 1995
<TABLE>
<S> <C> <C>
ASSETS:
Investments in securities, at value
(cost $134,270,909)--see statement................................... $140,981,896
Receivable for investment securities sold............................... 1,811,736
Dividends and interest receivable....................................... 212,761
Receivable for subscriptions to Common Stock............................ 1,079
Prepaid expenses........................................................ 48,680
------------
143,056,152
LIABILITIES:
Due to The Dreyfus Corporation.......................................... $ 91,421
Due to Distributor...................................................... 77,280
Due to Custodian........................................................ 334,386
Net unrealized depreciation on forward currency
exchange contracts--Note 4(a)........................................ 1,074,173
Payable for Common Stock redeemed....................................... 300,270
Payable on forward currency exchange contracts--Note 4(a)............... 159,644
Accrued expenses........................................................ 217,301 2,254,475
---------- ------------
NET ASSETS.................................................................. $140,801,677
------------
------------
REPRESENTED BY:
Paid-in capital......................................................... $126,621,203
Accumulated undistributed investment income--net........................ 1,272,910
Accumulated undistributed net realized gain on investments and
foreign currency transactions........................................ 7,266,478
Accumulated net unrealized appreciation on investments and
foreign currency transactions........................................ 5,641,086
------------
NET ASSETS at value......................................................... $140,801,677
------------
------------
Shares of Common Stock outstanding:
Class A Shares
(300 million shares of $.001 par value authorized)................... 4,258,813
------------
------------
Class B Shares
(300 million shares of $.001 par value authorized)................... 4,542,154
------------
------------
Class C Shares
(300 million shares of $.001 par value authorized)................... 63
------------
------------
Class R Shares
(300 million shares of $.001 par value authorized)................... 66
------------
------------
NET ASSET VALUE per share:
Class A Shares
($68,584,476 / 4,258,813 shares)..................................... $16.10
------
------
Class B Shares
($72,215,128 / 4,542,154 shares)..................................... $15.90
------
------
Class C Shares
($1,003 / 63.091 shares)............................................. $15.90
------
------
Class R Shares
($1,070 / 66.423 shares)............................................. $16.11
------
------
</TABLE>
See notes to financial statements.
<PAGE>
Premier Global Investing, Inc.
- -------------------------------------------------------------------------------
Statement of Operations year ended October 31, 1995
<TABLE>
<S> <C> <C>
INVESTMENT INCOME:
Income:
Cash dividends (net of $123,933 foreign taxes withheld at source)..... $ 2,056,288
Interest.............................................................. 1,880,421
-----------
Total Income...................................................... $ 3,936,709
Expenses:
Management fee--Note 3(a)............................................. 1,095,386
Distribution fees--Note 3(b).......................................... 556,801
Shareholder servicing costs--Note 3(c)................................ 552,231
Custodian fees........................................................ 120,211
Professional fees..................................................... 61,508
Registration fees..................................................... 48,834
Directors' fees and expenses--Note 3(d)............................... 20,386
Dividends on securities sold short.................................... 7,500
Shareholders' reports................................................. 1,394
Miscellaneous......................................................... 20,755
-----------
Total Expenses.................................................... 2,485,006
-----------
INVESTMENT INCOME--NET............................................ 1,451,703
-----------
REALIZED AND UNREALIZED GAIN ON INVESTMENTS:
Net realized gain (loss) on investments--Note 4(a):
Long transactions (including options transactions and foreign
currency transactions)............................................ $ 7,693,441
Short sale transactions............................................... (123,129)
Net realized gain on forward currency exchange contracts--Note 4(a);
Short transactions.................................................... 1,061,496
Net realized (loss) on financial futures--Note 4(a):
Long transactions..................................................... (52,225)
Short transactions.................................................... (1,346,794)
-----------
Net Realized Gain..................................................... 7,232,789
Net unrealized (depreciation) on investments, securities sold short and
foreign currency transactions [including $349,538 net unrealized
appreciation on financial futures and ($65,343) net unrealized
(depreciation) on options written].................................... (2,841,964)
-----------
NET REALIZED AND UNREALIZED GAIN ON INVESTMENTS................... 4,390,825
-----------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS........................ $ 5,842,528
-----------
-----------
</TABLE>
See notes to financial statements.
<PAGE>
Premier Global Investing, Inc.
- -------------------------------------------------------------------------------
Statement of Changes in Net Assets
<TABLE>
<CAPTION>
Year Ended October 31,
------------------------------
1994 1995
------------ ------------
<S> <C> <C>
OPERATIONS:
Investment income--net............................................... $ 892,059 $ 1,451,703
Net realized gain on investments..................................... 2,894,178 7,232,789
Net unrealized appreciation (depreciation) on investments for the year 2,120,318 (2,841,964)
------------ ------------
Net Increase In Net Assets Resulting From Operations............. 5,906,555 5,842,528
------------ ------------
DIVIDENDS TO SHAREHOLDERS FROM:
Investment income--net:
Class A shares..................................................... (360,444) (718,624)
Class B shares..................................................... (147,982) (198,110)
Class C shares..................................................... -- --
Class R shares..................................................... -- --
Net realized gain on investments:
Class A shares..................................................... (2,787,429) (1,189,446)
Class B shares..................................................... (1,716,592) (1,188,660)
Class C shares..................................................... -- --
Class R shares..................................................... -- --
------------ ------------
Total Dividends.................................................. (5,012,447) (3,294,840)
------------ ------------
CAPITAL STOCK TRANSACTIONS:
Net proceeds from shares sold:
Class A shares..................................................... 28,481,082 10,636,355
Class B shares..................................................... 38,967,304 6,041,105
Class C shares..................................................... -- 1,000
Class R shares..................................................... -- 1,067
Dividends reinvested:
Class A shares..................................................... 2,760,814 1,803,995
Class B shares..................................................... 1,812,914 1,335,890
Class C shares..................................................... -- --
Class R shares..................................................... -- --
Cost of shares redeemed:
Class A shares..................................................... (28,186,931) (24,001,138)
Class B shares..................................................... (4,777,156) (13,478,681)
Class C shares..................................................... -- --
Class R shares..................................................... -- --
------------ ------------
Increase (Decrease) In Net Assets From Capital Stock Transactions 39,058,027 (17,660,407)
------------ ------------
Total Increase (Decrease) In Net Assets........................ 39,952,135 (15,112,719)
NET ASSETS:
Beginning of year.................................................... 115,962,261 155,914,396
------------ ------------
End of year (including undistributed investment income--net:
$737,941 in 1994 and $1,272,910 in 1995)........................... $155,914,396 $140,801,677
------------ ------------
------------ ------------
</TABLE>
<TABLE>
<CAPTION>
Shares
-------------------------------------------------------------------------------------------
Class A Class B Class C Class R
-------------------------- ------------------------ ------------ ------------
Year Ended October 31, Year Ended October 31, Period Ended Period Ended
-------------------------- ------------------------ October 31, October 31,
1994 1995 1994 1995 1995* 1995*
---------- ---------- --------- --------- ------------ ------------
<S> <C> <C> <C> <C> <C> <C>
CAPITAL SHARE TRANSACTIONS:
Shares sold.................. 1,803,615 688,193 2,481,600 396,520 63 66
Shares issued for dividends..
reinvested................. 180,445 123,731 119,192 92,194 -- --
Shares redeemed.............. (1,793,995) (1,560,618) (307,947) (879,387) -- --
---------- ---------- --------- --------- ----- -----
Net Increase (Decrease)
In Shares Outstanding.. 190,065 (748,694) 2,292,845 (390,673) 63 66
---------- ---------- --------- --------- ----- -----
---------- ---------- --------- --------- ----- -----
<FN>
- --------------
* From September 5, 1995 (commencement of initial offering) to October 31,
1995.
</TABLE>
See notes to financial statements.
<PAGE>
Premier Global Investing, Inc.
- ------------------------------------------------------------------------------
Financial Highlights
Contained below is per share operating performance data for a share of
Common Stock outstanding, total investment return, ratios to average net
assets and other supplemental data for each year indicated. This information
has been derived from the Fund's financial statements.
<TABLE>
<CAPTION>
Class A Shares
--------------------------------------------------------
Year Ended October 31,
--------------------------------------------------------
PER SHARE DATA: 1992(1) 1993 1994 1995
------- ------ ------ ------
<S> <C> <C> <C> <C>
Net asset value, beginning of year.............. $12.50 $13.68 $15.58 $15.78
------ ------ ------ ------
Investment Operations:
Investment income--net.......................... .05 .10 .15 .24
Net realized and unrealized gain on
investments .................................. 1.13 2.01 .71 .47
------ ------ ------ ------
Total from Investment Operations.............. 1.18 2.11 .86 .71
------ ------ ------ ------
Distributions:
Dividends from investment income-net -- (.09) (.08) (.15)
Dividends from net realized gain on investments -- (.12) (.58) (.24)
------ ------ ------ ------
Total Distributions........................... -- (.21) (.66) (.39)
------ ------ ------ ------
Net asset value, end of year.................... $13.68 $15.58 $15.78 $16.10
====== ====== ====== ======
TOTAL INVESTMENT RETURN(2).......................... 9.44%(3) 15.66% 5.62% 4.72%
RATIOS/SUPPLEMENTAL DATA:
Ratio of operating expenses to average
net assets.................................... 1.76%(3) 1.66% 1.38% 1.31%
Ratio of dividends on securities sold short
to average net assets......................... -- .01% .01% .01%
Ratio of net investment income to
average net assets............................ .74%(3) .98% .95% 1.38%
Portfolio Turnover Rate......................... 208.70%(3) 179.28% 156.98% 229.90%
Net Assets, end of year (000's Omitted)......... $35,669 $75,066 $79,017 $68,584
<FN>
- --------------
(1) From January 31, 1992 (commencement of operations) to October 31, 1992.
(2) Exclusive of sales load.
(3) Not annualized.
</TABLE>
See notes to financial statements.
<PAGE>
Premier Global Investing, Inc.
- -------------------------------------------------------------------------------
Financial Highlights (continued)
Contained below is per share operating performance data for a share of
Common Stock outstanding, total investment return, ratios to average net
assets and other supplemental data for each year indicated. This information
has been derived from the Fund's financial statements.
<TABLE>
<CAPTION>
Class B Shares Class C Shares Class R Shares
----------------------------------- -------------- --------------
Year Ended October 31, Period Ended Period Ended
----------------------------------- October 31, October 31,
PER SHARE DATA: 1993(1) 1994 1995 1995(2) 1995(2)
------- ------ ------ ------------ ------------
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of year................. $13.51 $15.49 $15.59 $15.85 $16.04
------ ------ ------ ------ ------
Investment Operations:
Investment income (loss)--net..................... (.01) .06 .10 (.01) .01
Net realized and unrealized gain on investments... 1.99 .67 .49 .06 .06
------ ------ ------ ------ ------
Total from Investment Operations................ 1.98 .73 .59 .05 .07
------ ------ ------ ------ ------
Distributions:
Dividends from investment income--net............. -- (.05) (.04) -- --
Dividends from net realized gain on investments... -- (.58) (.24) -- --
------ ------ ------ ------ ------
Total Distributions............................. -- (.63) (.28) -- --
------ ------ ------ ------ ------
Net asset value, end of year...................... $15.49 $15.59 $15.90 $15.90 $16.11
------ ------ ------ ------ ------
------ ------ ------ ------ ------
TOTAL INVESTMENT RETURN(3)............................ 14.66%(4) 4.82% 3.96% .32%(4) .44%(4)
RATIOS/SUPPLEMENTAL DATA:
Ratio of operating expenses to average net assets 1.96%(4) 2.15% 2.06% .35%(4) .18%(4)
Ratio of dividends on securities sold short to
average net assets.............................. .01%(4) -- .01% -- --
Ratio of net investment income (loss) to average
net assets...................................... (.18%)(4) .23% .62% (.09%)(4) .08%(4)
Portfolio Turnover Rate........................... 179.28% 156.98% 229.90% 229.90% 229.90%
Net Assets, end of year (000's Omitted)........... $40,897 $76,897 $72,215 $1 $1
<FN>
- ---------------
(1) From January 15, 1993 (commencement of initial offering) to October 31,
1993.
(2) From September 5, 1995 (commencement of initial offering) to October 31,
1995.
(3) Exclusive of sales load.
(4) Not annualized.
</TABLE>
See notes to financial statements.
<PAGE>
Premier Global Investing, Inc.
- -------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS
NOTE 1--Significant Accounting Policies:
The Fund is registered under the Investment Company Act of 1940 ("Act")
as a non-diversified open-end management investment company. Premier Mutual
Fund Services, Inc. (the "Distributor") acts as the distributor of the Fund's
shares. The Distributor, located at One Exchange Place, Boston,
Massachusetts 02109, is a wholly-owned subsidiary of FDI Distribution
Services, Inc., a provider of mutual fund administration services, which in
turn is a wholly-owned subsidiary of FDI Holdings, Inc., the parent company
of which is Boston Institutional Group, Inc. The Dreyfus Corporation
("Manager") serves as the Fund's investment adviser. The Manager is a direct
subsidiary of Mellon Bank, N.A.
On January 23, 1995, the Fund's directors approved a change of the Fund's
name, effective February 28, 1995, from "Dreyfus Global Investing, Inc." to
"Premier Global Investing, Inc."
The Fund offers Class A, Class B, Class C and Class R shares. Class A
shares are subject to a sales charge imposed at the time of purchase, Class B
shares are subject to a contingent deferred sales charge imposed at the time
of redemption on redemptions made within six years of purchase, Class C
shares are subject to a contingent deferred sales charge imposed at the time
of redemption on redemptions made within one year of purchase and Class R
shares are sold at net asset value per share only to institutional investors.
Other differences between the four Classes include the services offered to
and the expenses borne by each Class and certain voting rights.
(a) Portfolio valuation: Investments in securities (including options and
financial futures) are valued at the last sales price on the securities
exchange on which such securities are primarily traded or at the last sales
price on the national securities market. Securities not listed on an
exchange or the national securities market, or securities for which there
were no transactions, are valued at the average of the most recent bid and
asked prices, except for open short positions, where the asked price is used
for valuation purposes. Bid price is used when no asked price is available.
Securities for which there are no such valuations are valued at fair value as
determined in good faith under the direction of the Board of Directors.
Investments denominated in foreign currencies are translated to U.S. dollars
at the prevailing rates of exchange.
(b) Foreign currency transactions: The Fund does not isolate that portion
of the results of operations resulting from changes in foreign exchange rates
on investments from the fluctuations arising from changes in market prices of
securities held. Such fluctuations are included with the net realized and
unrealized gain or loss from investments.
Net realized foreign exchange gains or losses arise from sales and
maturities of short-term securities, sales of foreign currencies, currency
gains or losses realized on securities transactions, the difference between
the amounts of dividends, interest, and foreign withholding taxes recorded on
the Fund's books, and the U.S. dollar equivalent of the amounts actually
received or paid. Net unrealized foreign exchange gains and losses arise
from changes in the value of assets and liabilities other than investments in
securities, resulting from changes in exchange rates. Such gains and losses
are included with net realized and unrealized gain or loss on investments.
(c) Securities transactions and investment income: Securities
transactions are recorded on a trade date basis. Realized gain and loss from
securities transactions are recorded on the identified cost basis.
<PAGE>
Premier Global Investing, Inc.
- -------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (continued)
Dividend income is recognized on the ex-dividend date and interest
income, including, where applicable, amortization of discount on investments,
is recognized on the accrual basis.
(d) Dividends to shareholders: Dividends are recorded on the ex-dividend
date. Dividends from investment income-net and dividends from net realized
capital gain are normally declared and paid annually, but the Fund may make
distributions on a more frequent basis to comply with the distribution
requirements of the Internal Revenue Code. To the extent that net realized
capital gain can be offset by capital loss carryovers, if any, it is the
policy of the Fund not to distribute such gain.
(e) Federal income taxes: It is the policy of the Fund to continue to
qualify as a regulated investment company, if such qualification is in the
best interests of its shareholders, by complying with the applicable
provisions of the Internal Revenue Code, and to make distributions of taxable
income sufficient to relieve it from substantially all Federal income and
excise taxes.
NOTE 2--Bank Line of Credit:
In accordance with an agreement with a bank, the Fund may borrow up to $5
million under a short-term unsecured line of credit. Interest on borrowings
is charged at rates which are related to Federal Funds rates in effect from
time to time.
During the year ended October 31, 1995, there were no borrowings under
the line of credit.
NOTE 3--Management Fee and Other Transactions With Affiliates:
(a) Pursuant to a management agreement ("Agreement") with the Manager,
the management fee is computed at the annual rate of .75 of 1% of the average
daily value of the Fund's net assets and is payable monthly. The Agreement
further provides for an expense reimbursement from the Manager should the
Fund's aggregate expenses, exclusive of taxes, brokerage, interest on
borrowings (which, in the view of Stroock & Stroock & Lavan, counsel to the
Fund, also contemplates dividends and interest accrued on securities sold
short) and extraordinary expenses, exceed the expense limitation of any state
having jurisdiction over the Fund, the Fund may deduct from the fee to be
paid to the Manager, or the Manager will bear, such excess expense to the
extent required by state law. The most stringent state expense limitation
applicable to the Fund presently requires reimbursement of expenses in any
full fiscal year that such expenses (excluding distribution expenses and
certain expenses as described above) exceed 21/2% of the first $30 million,
2% of the next $70 million and 11/2% of the excess over $100 million of the
average value of the Fund's net assets in accordance with California "blue
sky" regulations. There was no expense reimbursement for the year ended
October 31, 1995.
Dreyfus Service Corporation, a wholly-owned subsidiary of the Manager,
retained $20,752 during the year ended October 31, 1995 from commissions
earned on sales of the Fund's shares.
(b) Under the Distribution Plan adopted pursuant to Rule 12b-1 under the
Act, the Fund pays the Distributor for distributing the Fund's Class B and
Class C shares at an annual rate of .75 of 1% of the value of the average
daily net assets of Class B and Class C. During the year ended October 31,
1995, $556,800 was charged to the Fund for the Class B shares and $1 was
charged to the Fund for the Class C shares.
<PAGE>
Premier Global Investing, Inc.
- -------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (continued)
(c) Under the Shareholder Services Plan, the Fund pays the Distributor at
an annual rate of .25 of 1% of the value of the average daily net assets of
Class A, Class B and Class C shares for the provision of certain services.
The services provided may include personal services relating to shareholder
accounts, such as answering shareholder inquiries regarding the Fund and
providing reports and other information, and services related to the
maintenance of shareholder accounts. The Distributor may make payments to
Service Agents (a securities dealer, financial institution or other industry
professional) in respect of these services. The Distributor determines the
amounts to be paid to Service Agents. For the year ended October 31, 1995,
$179,528 and $185,600 were charged to Class A and Class B shares,
respectively, and no amounts were charged to Class C shares, by the
Distributor pursuant to the Shareholder Services Plan.
(d) Each director who is not an "affiliated person" as defined in the Act
receives from the Fund an annual fee of $1,000 and an attendance fee of $250
per meeting. The Chairman of the Board receives an additional 25% of such
compensation.
NOTE 4--Securities Transactions:
(a) The following summarizes the aggregate amount of purchases and sales
of investment securities and securities sold short, excluding short-term
securities, options transactions and forward currency transactions during the
year ended October 31, 1995:
<TABLE>
<CAPTION>
Purchases Sales
------------ ------------
<S> <C> <C>
Long transactions.............................................. $265,269,813 $255,382,847
Short sale transactions........................................ 6,960,430 5,166,957
------------ ------------
Total........................................................ $272,230,243 $260,549,804
------------ ------------
------------ ------------
</TABLE>
The Fund is engaged in short-selling which obligates the Fund to replace
the security borrowed by purchasing the security at current market value.
The Fund would incur a loss if the price of the security increases between
the date of the short sale and the date on which the Fund replaces the
borrowed security. The Fund would realize a gain if the price of the
security declines between those dates. Until the Fund replaces the borrowed
security, the Fund will maintain daily, a segregated account with a broker
and custodian, of cash and/or U.S. Government securities sufficient to cover
its short position. At October 31, 1995, there were no securities sold short
outstanding.
The following summarizes open forward currency exchange contracts at
October 31, 1995;
<TABLE>
<CAPTION>
Unrealized
U.S. Dollar Appreciation
Forward Currency Sale Contracts Proceeds Value (Depreciation)
------------------------------- ------------ ------------ --------------
<S> <C> <C> <C>
Swiss Francs, expiring 12/18/95................... $ 5,072,452 $ 5,404,688 $ (332,236)
German Deutschemarks, expiring 12/18/95.......... 2,048,487 2,159,311 (110,824)
Japanese Yen, expiring 12/18/95................... 10,823,047 10,805,975 17,072
Swedish Krona, expiring 12/18/95.................. 7,700,000 8,348,185 (648,185)
-----------
Total........................................... $(1,074,173)
-----------
-----------
</TABLE>
<PAGE>
Premier Global Investing, Inc.
- -------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (continued)
The Fund enters into forward currency exchange contracts in order to
hedge its exposure to changes in foreign currency exchange rates on its
foreign portfolio holdings. When executing forward currency exchange
contracts, the Fund is obligated to buy or sell a foreign currency at a
specified rate on a certain date in the future. With respect to sales of
forward currency exchange contracts, the Fund would incur a loss if the value
of the contract increases between the date the forward contract is opened and
the date the forward contract is closed. The Fund realizes a gain if the
value of the contract decreases between those dates. With respect to
purchases of forward currency exchange contracts, the Fund would incur a loss
if the value of the contract decreases between the date the forward contract
is opened and the date the forward contract is closed. The Fund realizes a
gain if the value of the contract increases between those dates. The Fund is
also exposed to credit risk associated with counter party nonperformance on
these forward currency exchange contracts which is typically limited to the
unrealized gains on such contracts that are recognized in the statement of
assets and liabilities.
The Fund may purchase and write (sell) put and call options in order to
gain exposure to or protect against changes in the market. Used singly
and/or in combination, such investment techniques are used to enhance
performance. The following table summarizes the Fund's call options written
transactions for the year ended October 31, 1995:
<TABLE>
<CAPTION>
Options Terminated
-----------------------
Net
Number of Premiums Realized
Options Written: Contracts Received Cost Gain
---------------- --------- -------- -------- --------
<S> <C> <C> <C> <C>
Contracts outstanding October 31, 1994.......... 30 $186,249
Contracts written............................... -- --
-------- --------
30 186,249
-------- --------
Contracts Terminated;
Closed........................................ 30 186,249 $110,304 $75,945
-------- -------- -------- -------
-------- -------
Contracts outstanding October 31, 1995.......... -- $ --
-------- --------
-------- --------
</TABLE>
As a writer of call options, the Fund receives a premium at the outset
and then bears the market risk of unfavorable changes in the price of the
financial instrument underlying the option. Generally, the Fund would incur
a gain, to the extent of the premiums, if the price of the underlying
financial instrument decreases between the date the option is written and the
date on which the option is terminated. Generally, the Fund would realize a
loss, if the price of the financial instrument increases between those dates.
At October 31, 1995, there were no written call options outstanding.
The Fund may invest in financial futures contracts in order to gain
exposure to or protect against changes in the market. The Fund is exposed to
market risk as a result of changes in the value of the underlying financial
instruments. Investments in financial futures require the Fund to "mark to
market" on a daily basis, which reflects the change in the market value of
the contract at the close of each day's trading. Generally, variation margin
payments are made or received to reflect daily unrealized gains or
<PAGE>
Premier Global Investing, Inc.
- -------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (continued)
losses. When the contracts are closed, the Fund recognizes a realized
gain or loss. These investments require initial margin deposits with a
custodian, which consist of cash or cash equivalents, up to approximately 10%
of the contract amount. The amount of these deposits is determined by the
exchange or Board of Trade on which the contract is traded and is subject to
change. At October 31, 1995, there were no financial futures contracts
outstanding.
(b) At October 31, 1995, accumulated net unrealized appreciation on
investments was $5,636,815, consisting of $10,474,496 gross unrealized
appreciation and $4,837,681 gross unrealized depreciation, excluding foreign
currency transactions.
At October 31, 1995, the cost of investments for Federal income tax
purposes was substantially the same as the cost for financial reporting
purposes (see the Statement of Investments).
<PAGE>
Premier Global Investing, Inc.
- -------------------------------------------------------------------------------
Report of Ernst & Young LLP, Independent Auditors
Shareholders and Board of Directors
Premier Global Investing, Inc.
We have audited the accompanying statement of assets and liabilities of
Premier Global Investing, Inc. (formerly Dreyfus Global Investing, Inc.),
including the statement of investments, as of October 31, 1995, and the
related statement of operations for the year then ended, the statement of
changes in net assets for each of the two years in the period then ended, and
financial highlights for each of the years indicated therein. These
financial statements and financial highlights are the responsibility of the
Fund's management. Our responsibility is to express an opinion on these
financial statements and financial highlights based on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements and
financial highlights are free of material misstatement. An audit includes
examining, on a test basis, evidence supporting the amounts and disclosures
in the financial statements. Our procedures included confirmation of
securities owned as of October 31, 1995 by correspondence with the custodian
and brokers. An audit also includes assessing the accounting principles used
and significant estimates made by management, as well as evaluating the
overall financial statement presentation. We believe that our audits provide
a reasonable basis for our opinion.
In our opinion, the financial statements and financial highlights
referred to above present fairly, in all material respects, the financial
position of Premier Global Investing, Inc. at October 31, 1995, 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 indicated years, in conformity with generally accepted
accounting principles.
Ernst & Young LLP
New York, New York
December 8, 1995
<PAGE>
Premier Global Investing, Inc.
- -------------------------------------------------------------------------------
Important Tax Information (Unaudited)
In accordance with Federal tax law, the Fund elects to provide each
shareholder with their portion of the Fund's foreign taxes paid and the
income sourced from foreign countries. Accordingly, the Fund hereby makes
the following designations regarding its fiscal year ended October 31, 1995:
-- the total amount of taxes paid to foreign countries was $123,933.
-- the total amount of income sourced from foreign countries was $565,192.
As required by Federal tax law rules, shareholders will receive
notification of their proportionate share of foreign taxes paid and foreign
source income for the 1995 calendar year with Form 1099-DIV which will be
mailed by January 31, 1996.
<PAGE>
Premier Global Investing, Inc.
200 Park Avenue
New York, NY 10166
Manager
The Dreyfus Corporation
200 Park Avenue
New York, NY 10166
Custodian
The Bank of New York
90 Washington Street
New York, NY 10286
Transfer Agent &
Dividend Disbursing Agent
First Data Investor Services Group, Inc.
P.O. Box 9671
Providence, RI 02940
Further information is contained
in the Prospectus, which must
precede or accompany this report.
Printed in U.S.A. 092/633/664/764AR9510
COMPARISON OF CHANGE IN VALUE OF $10,000 INVESTMENT IN
PREMIER GLOBAL INVESTING, INC. CLASS A SHARES AND THE
MORGAN STANLEY CAPITAL INTERNATIONAL WORLD INDEX
EXHIBIT A:
_________________________________________________
| | | MORGAN STANLEY |
| | PREMIER | CAPITAL |
| PERIOD |GLOBAL INVESTING | INTERNATIONAL |
| |(CLASS A SHARES) | WORLD INDEX* |
|-----------|-----------------|------------------|
| 1/31/92 | 9,549 | 10,000 |
| 10/31/92 | 10,451 | 9,419 |
| 10/31/93 | 12,088 | 11,963 |
| 10/31/94 | 12,767 | 12,878 |
| 10/31/95 | 13,370 | 14,100 |
|------------------------------------------------|
* Source: Lipper Analytical Services, Inc.
