| UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 |
| FORM N-CSR |
| CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT INVESTMENT COMPANIES |
| Investment Company Act file number | 811- 6325 |
| Dreyfus Midcap Index Fund, Inc. (Exact name of Registrant as specified in charter) |
| c/o The Dreyfus Corporation 200 Park Avenue New York, New York 10166 (Address of principal executive offices) (Zip code) |
| Michael A. Rosenberg, Esq. 200 Park Avenue New York, New York 10166 (Name and address of agent for service) |
| Registrant's telephone number, including area code: | (212) 922-6000 |
| Date of fiscal year end: | 10/31 | |
| Date of reporting period: | 10/31/09 | |
| FORM N-CSR |
| Item 1. | Reports to Stockholders. |
Save time. Save paper. View your next shareholder report online as soon as it’s available. Log into www.dreyfus.com and sign up for Dreyfus eCommunications. It’s simple and only takes a few minutes.
The views expressed in this report reflect those of the portfolio manager only through the end of the period covered and do not necessarily represent the views of Dreyfus or any other person in the Dreyfus organization. Any such views are subject to change at any time based upon market or other conditions and Dreyfus disclaims any responsibility to update such views.These views may not be relied on as investment advice and, because investment decisions for a Dreyfus fund are based on numerous factors, may not be relied on as an indication of trading intent on behalf of any Dreyfus fund.
Not FDIC-Insured • Not Bank-Guaranteed • May Lose Value
| Contents | |
| THE FUND | |
| 2 | A Letter from the Chairman and CEO |
| 3 | Discussion of Fund Performance |
| 6 | Fund Performance |
| 7 | Understanding Your Fund’s Expenses |
| 7 | Comparing Your Fund’s Expenses With Those of Other Funds |
| 8 | Statement of Investments |
| 21 | Statement of Financial Futures |
| 22 | Statement of Assets and Liabilities |
| 23 | Statement of Operations |
| 24 | Statement of Changes in Net Assets |
| 25 | Financial Highlights |
| 26 | Notes to Financial Statements |
| 35 | Report of Independent Registered Public Accounting Firm |
| 36 | Important Tax Information |
| 37 | Board Members Information |
| 40 | Officers of the Fund |
| FOR MORE INFORMATION | |
| Back Cover | |
The Fund
| Dreyfus Midcap Index Fund, Inc. |
A LETTER FROM THE CHAIRMAN AND CEO
Dear Shareholder:
We are pleased to present this annual report for Dreyfus Midcap Index Fund, covering the 12-month period from November 1, 2008, through October 31, 2009.
Reports of positive economic growth over the third quarter of 2009 may have signaled the end of the deep recession that technically began in December 2007. Signs that the U.S. economy finally has turned a corner include inventory rebuilding among manufacturers, improvements in home sales and prices, and an increase in consumer spending.These and other positive developments helped fuel a sustained stock market rally since the early spring, with the most beaten-down securities generally leading the rebound. Higher-quality stocks have participated in the rally, but have so far lagged on a relative performance basis.
In our judgment, the financial markets currently appear poised to enter into a new phase in which underlying fundamentals, not bargain hunting, are likely to drive investment returns. Of course, the best strategy for your portfolio depends not only on your view of the economy’s direction, but on your current financial needs, future goals and attitudes toward risk.Your financial advisor can help you decide which investments have the potential to benefit from a recovery while guarding against the risks that may accompany unexpected market developments.
For information about how the fund performed during the reporting period, as well as market perspectives, we have provided a Discussion of Fund Performance.
Thank you for your continued confidence and support.
| Jonathan R. Baum Chairman and Chief Executive Officer The Dreyfus Corporation November 16, 2009 |
2
DISCUSSION OF FUND PERFORMANCE
For the period of November 1, 2008, through October 31, 2009, as provided by Thomas Durante, CFA, Portfolio Manager
Fund and Market Performance Overview
For the 12-month period ended October 31, 2009, Dreyfus Midcap Index Fund produced a total return of 17.89%.1 The Standard & Poor’s MidCap 400 Index (“S&P 400 Index”), the fund’s benchmark, produced a total return of 18.18% for the same period.2,3
Midcap stocks fell sharply over the first four months of an especially volatile reporting period, but they went on to recover all of those losses and more during a rally that began in March 2009 and continued through the reporting period’s end. The difference in returns between the fund and the benchmark was primarily the result of transaction costs and operating expenses that are not reflected in the benchmark’s return.
The Fund’s Investment Approach
The fund seeks to match the total return of the S&P 400 Index by generally investing in all 400 stocks in the S&P 400 Index, in proportion to their respective weightings.The fund may also use stock index futures as a substitute for the sale or purchase of stocks.The S&P 400 Index is composed of 400 stocks of midsize domestic companies across 10 economic sectors. Each stock is weighted by its market capitalization; that is, larger companies have greater representation in the S&P 400 Index than smaller ones.
Equity Markets Bottomed in March, Then Surged Higher
The reporting period began in the midst of the most severe recession since the 1930s, which had been exacerbated by a credit crisis that nearly led to the collapse of the global banking system. In the weeks prior to the start of the reporting period, the U.S. government effectively nationalized insurer AIG and mortgage agencies Fannie Mae and Freddie Mac; Lehman Brothers filed for bankruptcy; and other major
The Fund 3
| DISCUSSION OF FUND PERFORMANCE (continued) |
firms were sold to former rivals. Congress passed the $700 billion Troubled Assets Relief Program (TARP), and the Federal Reserve Board (the “Fed”) pumped liquidity into the system to shore up the nation’s banks.
As the reporting period began, job losses continued to mount, and consumer confidence plunged. In November 2008, The National Bureau of Economic Research officially declared that the U.S. economy had been in a recession since late 2007. The Fed subsequently reduced its target for the overnight federal funds rate to a range between 0% and 0.25%, where it remained through the balance of the reporting period.
In early 2009, the U.S. economy continued to weaken. Home prices fell sharply in January, and more than 650,000 jobs per month were lost in February and March,driving the unemployment rate higher.Meanwhile, consumer confidence reached its lowest level since recordkeeping began in 1967. In an effort to stimulate the economy, the U.S. government enacted the $787 billion American Recovery and Reinvestment Act and took steps to rescue the nation’s major automakers.
After bottoming in early March, the S&P 400 Index staged an impressive rebound through the reporting period’s end.The equity markets were buoyed by signs that the remedial programs implemented by government and monetary authorities were gaining traction. By the reporting period’s end, stock prices and commodity prices had risen sharply, consumer and corporate sentiment had improved, and the U.S. recession appeared to be nearing a conclusion.
S&P 400 Index Posted Gains in All Market Sectors
Although all of the market sectors represented in the S&P 400 Index posted positive absolute returns for the reporting period, some of its better performers stemmed from the consumer discretionary area, where specialty retailers, automobile repair companies and online travel and entertainment firms rebounded from the steep declines of 2008. In addition, many of these stocks benefited from cost-cutting measures and promotional programs designed to entice customers.
4
This was especially true for clothing retailers and restaurants, the latter of which also benefited from reduced food prices.
The S&P 400 Index’s gains within the technology sector can be attributed to software developers that help companies improve productivity and semiconductor equipment producers serving the wireless and cellular markets. In the industrials sector, machinery and construction-and-engineering stocks tied to the mining and defense industries fared particularly well. Materials stocks also posted relatively strong results, particularly chemical producers that benefited from reduced raw materials costs.
While none of the S&P 400 Index’s sectors reported a negative absolute return during the reporting period, a number of regional banks and thrifts faltered due to weakness in their mortgage-related businesses and expectations that local commercial real estate markets would encounter rising vacancy rates and refinancing challenges.
Index Funds Offer Diversification Benefits
As an index fund, we attempt to replicate the returns of the S&P 400 Index by closely approximating its composition. In our view, an investment in a broadly diversified midcap index fund, such as Dreyfus Midcap Index Fund, may help investors in their efforts to manage the risks associated with midcap investing by limiting the impact on the overall portfolio of unexpected losses in any single industry group or holding.
November 16, 2009
| 1 | Total return includes reinvestment of dividends and any capital gains paid. Past performance is no guarantee of future results. Share price and investment return fluctuate such that upon redemption, fund shares may be worth more or less than their original cost. |
| 2 | SOURCE: LIPPER INC. — Reflects reinvestment of dividends and, where applicable, capital gain distributions.The Standard & Poor’s MidCap 400 Index is a widely accepted, unmanaged total return index measuring the performance of the midsize company segment of the U.S. market. |
| 3 | “Standard & Poor’s®,”“S&P®” and “Standard & Poor’s MidCap 400 Index” are trademarks of The McGraw-Hill Companies, Inc., and have been licensed for use by the fund.The fund is not sponsored, endorsed, sold or promoted by Standard & Poor’s and Standard & Poor’s makes no representation regarding the advisability of investing in the fund. |
The Fund 5
| Average Annual Total Returns as of 10/31/09 | ||||||
| 1 Year | 5 Years | 10 Years | ||||
| Fund | 17.89% | 2.85% | 5.97% | |||
† Source: Lipper Inc.
Past performance is not predictive of future performance.The fund’s performance shown in the graph and table does not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. The above graph compares a $10,000 investment made in Dreyfus Midcap Index Fund, Inc. on 10/31/99 to a $10,000 investment made in the Standard & Poor’s MidCap 400 Index (the “Index”) on that date. All dividends and capital gain distributions are reinvested.
The fund’s performance shown in the line graph takes into account all applicable fees and expenses.The Index is a widely accepted, unmanaged total return index measuring the performance of the midsize company segment of the U.S. stock market. Unlike a mutual fund, the Index is not subject to charges, fees and other expenses. Investors cannot invest directly in any index. Further information relating to fund performance, including expense reimbursements, if applicable, is contained in the Financial Highlights section of the prospectus and elsewhere in this report.
6
UNDERSTANDING YOUR FUND’S EXPENSES (Unaudited)
As a mutual fund investor, you pay ongoing expenses, such as management fees and other expenses. Using the information below, you can estimate how these expenses affect your investment and compare them with the expenses of other funds.You also may pay one-time transaction expenses, including sales charges (loads) and redemption fees, which are not shown in this section and would have resulted in higher total expenses. For more information, see your fund’s prospectus or talk to your financial adviser.
Review your fund’s expenses
The table below shows the expenses you would have paid on a $1,000 investment in Dreyfus Midcap Index Fund, Inc. from May 1, 2009 to October 31, 2009. It also shows how much a $1,000 investment would be worth at the close of the period, assuming actual returns and expenses.
| Expenses and Value of a $1,000 Investment assuming actual returns for the six months ended October 31, 2009 |
| Expenses paid per $1,000† | $2.75 | |
| Ending value (after expenses) | $1,181.30 |
COMPARING YOUR FUND’S EXPENSES WITH THOSE OF OTHER FUNDS (Unaudited)
Using the SEC’s method to compare expenses
The Securities and Exchange Commission (SEC) has established guidelines to help investors assess fund expenses. Per these guidelines, the table below shows your fund’s expenses based on a $1,000 investment, assuming a hypothetical 5% annualized return. You can use this information to compare the ongoing expenses (but not transaction expenses or total cost) of investing in the fund with those of other funds.All mutual fund shareholder reports will provide this information to help you make this comparison. Please note that you cannot use this information to estimate your actual ending account balance and expenses paid during the period.
| Expenses and Value of a $1,000 Investment assuming a hypothetical 5% annualized return for the six months ended October 31, 2009 |
| Expenses paid per $1,000† | $2.55 | |
| Ending value (after expenses) | $1,022.68 |
† Expenses are equal to the fund’s annualized expense ratio of .50%, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period).
The Fund 7
| STATEMENT OF INVESTMENTS October 31, 2009 |
| Common Stocks—97.7% | Shares | Value ($) | ||
| Consumer Discretionary—15.4% | ||||
| 99 Cents Only Stores | 96,003 a,b | 1,091,554 | ||
| Aaron’s | 113,036 a | 2,831,552 | ||
| Advance Auto Parts | 199,822 | 7,445,368 | ||
| Aeropostale | 141,039 a,b | 5,293,194 | ||
| American Eagle Outfitters | 434,254 | 7,595,102 | ||
| American Greetings, Cl. A | 82,143 | 1,670,789 | ||
| AnnTaylor Stores | 120,748 a,b | 1,566,102 | ||
| Barnes & Noble | 81,738 a | 1,357,668 | ||
| Blyth | 12,668 | 448,827 | ||
| Bob Evans Farms | 65,107 a | 1,710,361 | ||
| BorgWarner | 243,201 a | 7,373,854 | ||
| Boyd Gaming | 119,540 b | 879,814 | ||
| Brink’s Home Security Holdings | 94,393 b | 2,924,295 | ||
| Brinker International | 215,079 | 2,718,599 | ||
| Callaway Golf | 132,421 a | 905,760 | ||
| Career Education | 144,842 a,b | 3,018,507 | ||
| Carmax | 459,356 b | 9,035,532 | ||
| Cheesecake Factory | 125,489 b | 2,281,390 | ||
| Chico’s FAS | 373,402 a,b | 4,462,154 | ||
| Chipotle Mexican Grill, Cl. A | 66,018 a,b | 5,379,807 | ||
| Coldwater Creek | 117,788 a,b | 677,281 | ||
| Collective Brands | 135,252 a,b | 2,508,925 | ||
| Corinthian Colleges | 183,350 a,b | 2,907,931 | ||
| Dick’s Sporting Goods | 182,675 b | 4,144,896 | ||
| Dollar Tree | 186,490 b | 8,416,294 | ||
| DreamWorks Animation SKG, Cl. A | 156,971 b | 5,023,072 | ||
| Foot Locker | 326,392 | 3,420,588 | ||
| Fossil | 99,399 b | 2,656,935 | ||
| Gentex | 290,027 | 4,643,332 | ||
| Guess? | 121,223 a | 4,430,701 | ||
| Hanesbrands | 199,564 a,b | 4,314,574 | ||
| Harte-Hanks | 79,599 a | 934,492 | ||
| International Speedway, Cl. A | 63,244 | 1,613,354 | ||
| ITT Educational Services | 65,913 a,b | 5,955,240 | ||
| J Crew Group | 115,280 a,b | 4,701,118 |
8
| Common Stocks (continued) | Shares | Value ($) | ||
| Consumer Discretionary (continued) | ||||
| John Wiley & Sons, Cl. A | 87,852 | 3,094,147 | ||
| Lamar Advertising, Cl. A | 115,808 a,b | 2,814,134 | ||
| Life Time Fitness | 84,734 a,b | 1,826,018 | ||
| LKQ | 295,125 b | 5,096,809 | ||
| Marvel Entertainment | 101,480 b | 5,070,956 | ||
| Matthews International, Cl. A | 62,701 | 2,303,008 | ||
| MDC Holdings | 77,952 | 2,542,794 | ||
| Mohawk Industries | 117,044 a,b | 5,012,995 | ||
| NetFlix | 93,664 a,b | 5,006,341 | ||
| NVR | 12,173 a,b | 8,061,813 | ||
| Panera Bread, Cl. A | 65,549 a,b | 3,931,629 | ||
| PetSmart | 260,901 | 6,139,001 | ||
| Phillips-Van Heusen | 108,498 | 4,356,195 | ||
| Priceline.com | 88,008 a,b | 13,886,782 | ||
| Regis | 116,308 a | 1,888,842 | ||
| Rent-A-Center | 136,902 b | 2,513,521 | ||
| Ross Stores | 261,173 | 11,494,224 | ||
| Ryland Group | 91,473 a | 1,696,824 | ||
| Saks | 332,388 a,b | 1,864,697 | ||
| Scholastic | 52,510 a | 1,305,924 | ||
| Scientific Games, Cl. A | 133,362 b | 1,876,403 | ||
| Service Corporation International | 528,883 | 3,633,426 | ||
| Sotheby’s | 137,889 a | 2,186,920 | ||
| Strayer Education | 29,181 a | 5,922,868 | ||
| Thor Industries | 75,069 | 1,968,309 | ||
| Timberland, Cl. A | 94,304 b | 1,525,839 | ||
| Toll Brothers | 284,857 a,b | 4,933,723 | ||
| Tupperware Brands | 131,911 | 5,938,633 | ||
| Under Armour, Cl. A | 77,869 a,b | 2,090,783 | ||
| Urban Outfitters | 267,024 a,b | 8,379,213 | ||
| Warnaco Group | 94,802 b | 3,842,325 | ||
| Wendy’s/Arby’s Group, Cl. A | 776,678 | 3,067,878 | ||
| Williams-Sonoma | 216,357 a | 4,063,184 | ||
| WMS Industries | 110,090 b | 4,401,398 | ||
| 270,076,518 |
The Fund 9
| STATEMENT OF INVESTMENTS (continued) |
| Common Stocks (continued) | Shares | Value ($) | ||
| Consumer Staples—3.7% | ||||
| Alberto-Culver | 178,056 | 4,775,462 | ||
| BJ’s Wholesale Club | 116,892 a,b | 4,094,727 | ||
| Church & Dwight | 146,568 | 8,336,788 | ||
| Corn Products International | 157,028 | 4,425,049 | ||
| Energizer Holdings | 144,689 b | 8,807,219 | ||
| Flowers Foods | 161,799 a | 3,779,625 | ||
| Hansen Natural | 152,531 a,b | 5,513,996 | ||
| Lancaster Colony | 40,668 | 1,975,651 | ||
| NBTY | 127,594 b | 4,645,698 | ||
| PepsiAmericas | 118,021 | 3,450,934 | ||
| Ralcorp Holdings | 118,024 b | 6,337,889 | ||
| Ruddick | 84,452 a | 2,256,557 | ||
| Smithfield Foods | 287,058 a,b | 3,829,354 | ||
| Tootsie Roll Industries | 54,645 a | 1,355,742 | ||
| Universal | 51,265 a | 2,132,111 | ||
| 65,716,802 | ||||
| Energy—6.4% | ||||
| Arch Coal | 338,942 a | 7,341,484 | ||
| Bill Barrett | 80,294 a,b | 2,487,508 | ||
| Cimarex Energy | 173,886 a | 6,809,376 | ||
| Comstock Resources | 97,883 a,b | 4,022,012 | ||
| Encore Acquisition | 115,245 b | 4,272,132 | ||
| Exterran Holdings | 131,744 a,b | 2,691,530 | ||
| Forest Oil | 234,628 a,b | 4,598,709 | ||
| Frontier Oil | 220,806 | 3,060,371 | ||
| Helix Energy Solutions Group | 191,408 a,b | 2,628,032 | ||
| Helmerich & Payne | 219,880 a | 8,359,838 | ||
| Mariner Energy | 211,559 b | 2,695,262 | ||
| Newfield Exploration | 276,586 b | 11,345,558 | ||
| Oceaneering International | 114,374 b | 5,844,511 | ||
| Overseas Shipholding Group | 49,561 a | 1,945,269 | ||
| Patriot Coal | 155,497 a,b | 1,757,116 | ||
| Patterson-UTI Energy | 322,947 a | 5,031,514 | ||
| Plains Exploration & Production | 289,148 b | 7,662,422 | ||
| Pride International | 361,955 b | 10,699,390 | ||
| Quicksilver Resources | 245,928 a,b | 3,000,322 |
10
| Common Stocks (continued) | Shares | Value ($) | ||
| Energy (continued) | ||||
| Southern Union | 258,681 | 5,062,387 | ||
| Superior Energy Services | 164,704 b | 3,559,253 | ||
| Tidewater | 107,810 | 4,492,443 | ||
| Unit | 85,736 a,b | 3,350,563 | ||
| 112,717,002 | ||||
| Financial—17.9% | ||||
| Affiliated Managers Group | 86,865 a,b | 5,515,059 | ||
| Alexandria Real Estate Equities | 90,528 a,c | 4,903,902 | ||
| AMB Property | 304,940 a,c | 6,702,581 | ||
| American Financial Group | 163,796 | 4,029,382 | ||
| AmeriCredit | 207,870 a,b | 3,668,905 | ||
| Apollo Investment | 336,345 a | 3,027,105 | ||
| Arthur J. Gallagher & Co. | 210,945 | 4,706,183 | ||
| Associated Banc-Corp | 269,315 | 3,449,925 | ||
| Astoria Financial | 173,365 | 1,730,183 | ||
| BancorpSouth | 152,751 a | 3,449,118 | ||
| Bank of Hawaii | 100,702 | 4,471,169 | ||
| BRE Properties | 108,037 a,c | 2,941,847 | ||
| Brown & Brown | 244,308 | 4,487,938 | ||
| Camden Property Trust | 133,711 a,c | 4,847,024 | ||
| Cathay General Bancorp | 101,606 a | 897,181 | ||
| City National | 90,329 a | 3,402,693 | ||
| Commerce Bancshares | 144,312 | 5,535,808 | ||
| Corporate Office Properties Trust | 120,852 c | 4,011,078 | ||
| Cousins Properties | 182,158 c | 1,333,397 | ||
| Cullen/Frost Bankers | 125,075 a | 5,852,259 | ||
| Duke Realty | 467,005 c | 5,249,136 | ||
| Eaton Vance | 245,960 a | 6,982,804 | ||
| Equity One | 69,030 a,c | 1,029,928 | ||
| Essex Property Trust | 58,640 a,c | 4,408,555 | ||
| Everest Re Group | 127,023 | 11,113,242 | ||
| Federal Realty Investment Trust | 127,121 a,c | 7,503,953 | ||
| Fidelity National Financial, Cl. A | 481,757 | 6,537,442 | ||
| First American | 194,655 | 5,915,565 | ||
| First Niagara Financial Group | 381,655 | 4,900,450 | ||
| FirstMerit | 178,379 | 3,380,282 |
The Fund 11
| STATEMENT OF INVESTMENTS (continued) |
| Common Stocks (continued) | Shares | Value ($) | ||
| Financial (continued) | ||||
| Fulton Financial | 359,267 a | 2,967,545 | ||
| Hanover Insurance Group | 106,114 | 4,464,216 | ||
| HCC Insurance Holdings | 234,141 | 6,178,981 | ||
| Highwoods Properties | 147,766 a,c | 4,066,520 | ||
| Horace Mann Educators | 83,093 | 1,032,846 | ||
| Hospitality Properties Trust | 254,041 c | 4,905,532 | ||
| International Bancshares | 104,746 a | 1,555,478 | ||
| Jefferies Group | 256,316 a,b | 6,689,848 | ||
| Jones Lang LaSalle | 86,948 a | 4,073,514 | ||
| Liberty Property Trust | 232,759 c | 6,836,132 | ||
| Macerich | 193,381 a,c | 5,762,754 | ||
| Mack-Cali Realty | 163,333 c | 5,055,156 | ||
| Mercury General | 75,068 a | 2,736,979 | ||
| Nationwide Health Properties | 221,709 c | 7,150,115 | ||
| New York Community Bancorp | 726,165 | 7,835,320 | ||
| NewAlliance Bancshares | 225,138 | 2,494,529 | ||
| Old Republic International | 501,660 a | 5,357,729 | ||
| Omega Healthcare Investors | 173,718 a,c | 2,633,565 | ||
| PacWest Bancorp | 56,316 a | 956,246 | ||
| Potlatch | 83,871 a,c | 2,340,840 | ||
| Protective Life | 178,495 | 3,436,029 | ||
| Raymond James Financial | 207,377 | 4,896,171 | ||
| Rayonier | 165,066 c | 6,368,246 | ||
| Realty Income | 217,457 a,c | 5,040,653 | ||
| Regency Centers | 168,392 a,c | 5,649,552 | ||
| Reinsurance Group of America | 151,745 | 6,995,445 | ||
| SEI Investments | 271,666 | 4,746,005 | ||
| SL Green Realty | 160,219 a,c | 6,210,088 | ||
| StanCorp Financial Group | 103,309 | 3,792,473 | ||
| SVB Financial Group | 69,599 a,b | 2,870,959 | ||
| Synovus Financial | 958,888 a | 2,128,731 | ||
| TCF Financial | 233,214 a | 2,758,922 | ||
| Trustmark | 106,102 a | 2,010,633 | ||
| UDR | 317,017 a,c | 4,558,704 | ||
| Unitrin | 100,978 | 1,979,169 | ||
| Valley National Bancorp | 298,686 a | 3,966,550 |
12
| Common Stocks (continued) | Shares | Value ($) | ||
| Financial (continued) | ||||
| W.R. Berkley | 281,032 | 6,947,111 | ||
| Waddell & Reed Financial, Cl. A | 179,105 | 5,025,686 | ||
| Washington Federal | 221,399 a | 3,796,993 | ||
| Webster Financial Corp. | 134,711 a | 1,523,581 | ||
| Weingarten Realty Investors | 217,801 a,c | 4,029,319 | ||
| Westamerica Bancorporation | 61,507 a | 2,940,035 | ||
| Wilmington Trust | 146,262 a | 1,762,457 | ||
| 314,511,451 | ||||
| Health Care—11.9% | ||||
| Affymetrix | 147,340 b | 770,588 | ||
| Beckman Coulter | 142,897 | 9,192,564 | ||
| Bio-Rad Laboratories, Cl. A | 40,372 b | 3,608,853 | ||
| Cerner | 140,328 a,b | 10,670,541 | ||
| Charles River Laboratories | ||||
| International | 137,446 a,b | 5,019,528 | ||
| Community Health Systems | 193,304 b | 6,046,549 | ||
| Covance | 133,379 a,b | 6,893,027 | ||
| Edwards Lifesciences | 117,807 b | 9,064,071 | ||
| Endo Pharmaceuticals Holdings | 244,339 b | 5,473,194 | ||
| Gen-Probe | 105,329 b | 4,394,326 | ||
| Health Management Associates, Cl. A | 512,583 a,b | 3,126,756 | ||
| Health Net | 218,779 b | 3,261,995 | ||
| Henry Schein | 188,043 a,b | 9,934,312 | ||
| Hill-Rom Holdings | 128,308 | 2,513,554 | ||
| Hologic | 535,076 b | 7,908,423 | ||
| IDEXX Laboratories | 122,272 a,b | 6,250,545 | ||
| Immucor | 144,007 a,b | 2,574,845 | ||
| Kindred Healthcare | 79,437 b | 1,167,724 | ||
| Kinetic Concepts | 127,392 a,b | 4,228,140 | ||
| LifePoint Hospitals | 114,535 a,b | 3,244,777 | ||
| Lincare Holdings | 141,709 a,b | 4,451,080 | ||
| Masimo | 107,397 a,b | 2,853,538 | ||
| Medicis Pharmaceutical, Cl. A | 119,355 a | 2,526,745 | ||
| Mettler-Toledo International | 70,277 b | 6,852,008 | ||
| Omnicare | 245,694 a | 5,324,189 | ||
| OSI Pharmaceuticals | 122,091 a,b | 3,933,772 |
The Fund 13
| STATEMENT OF INVESTMENTS (continued) |
| Common Stocks (continued) | Shares | Value ($) | ||
| Health Care (continued) | ||||
| Owens & Minor | 87,715 a | 3,586,666 | ||
| Perrigo | 163,455 a | 6,078,891 | ||
| Pharmaceutical Product Development | 248,125 a | 5,347,094 | ||
| Psychiatric Solutions | 118,543 a,b | 2,446,728 | ||
| Resmed | 157,480 b | 7,749,591 | ||
| STERIS | 120,783 a | 3,534,111 | ||
| Techne | 77,662 | 4,854,652 | ||
| Teleflex | 83,714 | 4,164,772 | ||
| Thoratec | 118,969 a,b | 3,124,126 | ||
| United Therapeutics | 98,034 a,b | 4,170,366 | ||
| Universal Health Services, Cl. B | 102,371 | 5,696,946 | ||
| Valeant Pharmaceuticals International | 143,695 a,b | 4,224,633 | ||
| Varian | 59,412 b | 3,041,894 | ||
| VCA Antech | 178,318 a,b | 4,247,535 | ||
| Vertex Pharmaceuticals | 375,083 b | 12,587,785 | ||
| WellCare Health Plans | 88,272 b | 2,306,547 | ||
| 208,447,981 | ||||
| Industrial—14.6% | ||||
| Aecom Technology | 226,107 b | 5,706,941 | ||
| AGCO | 192,766 a,b | 5,418,652 | ||
| AirTran Holdings | 245,701 a,b | 1,039,315 | ||
| Alaska Air Group | 74,273 a,b | 1,910,302 | ||
| Alexander & Baldwin | 84,843 a | 2,446,024 | ||
| Alliant Techsystems | 68,994 a,b | 5,366,353 | ||
| AMETEK | 224,161 | 7,820,977 | ||
| BE Aerospace | 212,903 b | 3,774,770 | ||
| Brink’s | 93,793 | 2,225,708 | ||
| Bucyrus International | 156,668 a | 6,959,193 | ||
| Carlisle Cos. | 129,061 | 4,006,053 | ||
| Clean Harbors | 46,887 a,b | 2,646,771 | ||
| Con-way | 102,880 | 3,394,011 | ||
| Copart | 139,622 b | 4,491,640 | ||
| Corporate Executive Board | 69,758 | 1,674,890 | ||
| Corrections Corp. of America | 240,202 b | 5,750,436 | ||
| Crane | 99,273 | 2,764,753 | ||
| Deluxe | 104,866 | 1,492,243 |
14
| Common Stocks (continued) | Shares | Value ($) | ||
| Industrial (continued) | ||||
| Donaldson | 160,920 | 5,740,016 | ||
| Dycom Industries | 82,280 b | 812,926 | ||
| Federal Signal | 99,735 | 612,373 | ||
| FTI Consulting | 108,035 a,b | 4,408,908 | ||
| GATX | 96,188 a | 2,614,390 | ||
| Graco | 126,241 a | 3,476,677 | ||
| Granite Construction | 70,143 a | 2,003,284 | ||
| Harsco | 167,468 | 5,273,567 | ||
| Herman Miller | 114,147 | 1,763,571 | ||
| HNI | 95,270 a | 2,507,506 | ||
| Hubbell, Cl. B | 117,605 | 5,001,741 | ||
| IDEX | 168,302 | 4,784,826 | ||
| JB Hunt Transport Services | 181,332 | 5,450,840 | ||
| JetBlue Airways | 444,866 b | 2,206,535 | ||
| Joy Global | 213,323 | 10,753,612 | ||
| Kansas City Southern | 197,157 a,b | 4,777,114 | ||
| KBR | 334,483 | 6,846,867 | ||
| Kelly Services, Cl. A | 57,645 | 638,707 | ||
| Kennametal | 167,871 a | 3,955,041 | ||
| Kirby | 112,652 a,b | 3,807,638 | ||
| Korn/Ferry International | 94,880 a,b | 1,514,285 | ||
| Landstar System | 108,108 | 3,809,726 | ||
| Lennox International | 100,952 a | 3,399,054 | ||
| Lincoln Electric Holdings | 87,878 a | 4,168,932 | ||
| Manpower | 163,427 | 7,748,074 | ||
| Mine Safety Appliances | 60,967 a | 1,554,049 | ||
| MPS Group | 189,308 b | 2,559,444 | ||
| MSC Industrial Direct, Cl. A | 91,602 a | 3,943,466 | ||
| Navigant Consulting | 98,220 b | 1,398,653 | ||
| Nordson | 69,910 a | 3,689,151 | ||
| Oshkosh | 185,343 a | 5,793,822 | ||
| Pentair | 204,997 a | 5,965,413 | ||
| Rollins | 90,280 | 1,632,262 | ||
| Roper Industries | 189,312 a | 9,569,722 | ||
| Shaw Group | 174,262 b | 4,471,563 | ||
| SPX | 102,328 | 5,400,872 |
The Fund 15
| STATEMENT OF INVESTMENTS (continued) |
| Common Stocks (continued) | Shares | Value ($) | ||
| Industrial (continued) | ||||
| Terex | 226,903 a,b | 4,587,979 | ||
| Thomas & Betts | 109,904 b | 3,759,816 | ||
| Timken | 166,781 | 3,674,185 | ||
| Trinity Industries | 163,130 a | 2,753,634 | ||
| United Rentals | 124,447 a,b | 1,181,002 | ||
| URS | 174,988 b | 6,800,034 | ||
| Valmont Industries | 41,061 a | 2,967,478 | ||
| Wabtec | 99,223 a | 3,647,437 | ||
| Waste Connections | 167,032 b | 5,249,816 | ||
| Watson Wyatt Worldwide, Cl. A | 89,810 | 3,913,920 | ||
| Werner Enterprises | 90,780 | 1,702,125 | ||
| Woodward Governor | 115,879 | 2,724,315 | ||
| 255,905,400 | ||||
| Information Technology—14.5% | ||||
| 3Com | 815,953 a,b | 4,193,998 | ||
| ACI Worldwide | 72,247 b | 1,162,454 | ||
| Acxiom | 162,207 b | 1,862,136 | ||
| ADC Telecommunications | 198,218 a,b | 1,286,435 | ||
| ADTRAN | 115,716 a | 2,666,097 | ||
| Advent Software | 32,294 a,b | 1,234,277 | ||
| Alliance Data Systems | 111,085 a,b | 6,107,453 | ||
| ANSYS | 184,435 b | 7,484,372 | ||
| Arrow Electronics | 249,439 b | 6,320,784 | ||
| Atmel | 949,565 b | 3,532,382 | ||
| Avnet | 315,016 b | 7,806,096 | ||
| Avocent | 91,824 a,b | 2,283,663 | ||
| Broadridge Financial Solutions | 290,669 | 6,048,822 | ||
| Cadence Design Systems | 555,118 b | 3,391,771 | ||
| CommScope | 194,502 b | 5,255,444 | ||
| Cree | 209,405 a,b | 8,815,950 | ||
| Diebold | 139,525 | 4,219,236 | ||
| Digital River | 80,451 a,b | 1,836,696 | ||
| DST Systems | 82,229 b | 3,429,772 | ||
| Equinix | 80,260 a,b | 6,847,783 | ||
| F5 Networks | 164,123 b | 7,367,481 | ||
| FactSet Research Systems | 87,932 | 5,632,045 |
16
| Common Stocks (continued) | Shares | Value ($) | ||
| Information Technology (continued) | ||||
| Fair Isaac | 103,784 a | 2,109,929 | ||
| Fairchild Semiconductor International | 254,484 b | 1,903,540 | ||
| Gartner | 121,595 a,b | 2,264,099 | ||
| Global Payments | 167,894 a | 8,265,422 | ||
| Hewitt Associates, Cl. A | 172,848 b | 6,139,561 | ||
| Imation | 64,061 a | 565,018 | ||
| Informatica | 182,613 b | 3,876,874 | ||
| Ingram Micro, Cl. A | 340,635 b | 6,012,208 | ||
| Integrated Device Technology | 346,562 b | 2,037,785 | ||
| International Rectifier | 149,494 b | 2,732,750 | ||
| Intersil, Cl. A | 257,499 a | 3,231,612 | ||
| Itron | 84,084 a,b | 5,048,403 | ||
| Jack Henry & Associates | 176,487 | 4,071,555 | ||
| Lam Research | 263,999 b | 8,902,046 | ||
| Lender Processing Services | 197,928 | 7,877,534 | ||
| ManTech International, Cl. A | 45,679 a,b | 2,003,481 | ||
| Mentor Graphics | 203,540 b | 1,485,842 | ||
| Micros Systems | 166,855 b | 4,491,737 | ||
| National Instruments | 116,934 a | 3,122,138 | ||
| NCR | 333,975 b | 3,389,846 | ||
| NeuStar, Cl. A | 154,599 b | 3,571,237 | ||
| Palm | 333,851 a,b | 3,876,010 | ||
| Parametric Technology | 244,212 a,b | 3,641,201 | ||
| Plantronics | 100,170 | 2,415,099 | ||
| Polycom | 176,581 a,b | 3,791,194 | ||
| Quest Software | 129,033 b | 2,163,883 | ||
| RF Micro Devices | 548,953 b | 2,184,833 | ||
| Rovi | 207,891 b | 5,727,397 | ||
| SAIC | 436,165 b | 7,724,482 | ||
| Semtech | 128,774 b | 1,992,134 | ||
| Silicon Laboratories | 94,124 b | 3,943,796 | ||
| Solera Holdings | 145,225 | 4,679,150 | ||
| SRA International, Cl. A | 88,762 b | 1,665,175 | ||
| Sybase | 169,236 a,b | 6,694,976 | ||
| Synopsys | 303,279 b | 6,672,138 | ||
| Tech Data | 105,814 b | 4,066,432 |
The Fund 17
| STATEMENT OF INVESTMENTS (continued) |
| Common Stocks (continued) | Shares | Value ($) | ||
| Information Technology (continued) | ||||
| Trimble Navigation | 249,760 b | 5,237,467 | ||
| ValueClick | 183,507 b | 1,805,709 | ||
| Vishay Intertechnology | 393,236 b | 2,449,860 | ||
| Zebra Technologies, Cl. A | 123,292 b | 3,082,300 | ||
| 255,701,000 | ||||
| Materials—6.4% | ||||
| Albemarle | 190,876 | 6,027,864 | ||
| AptarGroup | 141,155 | 4,984,183 | ||
| Ashland | 153,589 | 5,304,964 | ||
| Cabot | 134,212 | 2,943,269 | ||
| Carpenter Technology | 90,483 | 1,902,857 | ||
| Cliffs Natural Resources | 273,128 a | 9,715,163 | ||
| Commercial Metals | 233,515 a | 3,465,363 | ||
| Cytec Industries | 100,139 | 3,321,611 | ||
| Greif, Cl. A | 72,134 | 3,860,612 | ||
| Louisiana-Pacific | 253,877 a,b | 1,332,854 | ||
| Lubrizol | 140,975 | 9,383,296 | ||
| Martin Marietta Materials | 92,861 a | 7,737,179 | ||
| Minerals Technologies | 38,447 | 1,893,899 | ||
| Olin | 164,449 a | 2,511,136 | ||
| Packaging Corp. of America | 215,879 a | 3,946,268 | ||
| Reliance Steel & Aluminum | 134,293 | 4,899,009 | ||
| RPM International | 270,450 | 4,765,329 | ||
| Scotts Miracle-Gro, Cl. A | 92,701 a | 3,765,515 | ||
| Sensient Technologies | 102,742 a | 2,598,345 | ||
| Sonoco Products | 208,276 | 5,571,383 | ||
| Steel Dynamics | 442,731 | 5,928,168 | ||
| Temple-Inland | 222,794 a | 3,442,167 | ||
| Terra Industries | 208,053 | 6,609,844 | ||
| Valspar | 211,049 | 5,354,313 | ||
| Worthington Industries | 122,849 a | 1,357,481 | ||
| 112,622,072 | ||||
| Telecommunication Services—.5% | ||||
| Cincinnati Bell | 443,029 b | 1,364,529 | ||
| Syniverse Holdings | 139,589 b | 2,391,160 | ||
| Telephone & Data Systems | 199,083 | 5,896,838 | ||
| 9,652,527 |
18
| Common Stocks (continued) | Shares | Value ($) | ||
| Utilities—6.4% | ||||
| AGL Resources | 161,117 | 5,632,650 | ||
| Alliant Energy | 230,667 | 6,126,515 | ||
| Aqua America | 285,520 a | 4,411,284 | ||
| Atmos Energy | 192,340 | 5,356,669 | ||
| Black Hills | 82,283 a | 2,005,237 | ||
| Cleco | 127,313 a | 3,150,997 | ||
| DPL | 241,818 | 6,127,668 | ||
| Energen | 149,528 | 6,561,289 | ||
| Great Plains Energy | 284,319 | 4,918,719 | ||
| Hawaiian Electric Industries | 192,789 a | 3,441,284 | ||
| IDACORP | 99,396 a | 2,792,034 | ||
| MDU Resources Group | 383,783 | 7,963,497 | ||
| National Fuel Gas | 167,326 | 7,586,561 | ||
| NSTAR | 222,703 a | 6,892,658 | ||
| NV Energy | 489,170 | 5,605,888 | ||
| OGE Energy | 202,099 | 6,713,729 | ||
| ONEOK | 219,738 | 7,956,713 | ||
| PNM Resources | 177,409 | 1,901,825 | ||
| UGI | 226,031 | 5,397,620 | ||
| Vectren | 170,654 | 3,846,541 | ||
| Westar Energy | 228,804 | 4,381,597 | ||
| WGL Holdings | 105,626 | 3,491,996 | ||
| 112,262,971 | ||||
| Total Common Stocks | ||||
| (cost $1,792,584,720) | 1,717,613,724 | |||
| Principal | ||||
| Short-Term Investments—.2% | Amount ($) | Value ($) | ||
| U.S. Treasury Bills; | ||||
| 0.10%, 12/17/09 | ||||
| (cost $3,919,476) | 3,920,000 d | 3,919,851 | ||
| Other Investment—2.1% | Shares | Value ($) | ||
| Registered Investment Company; | ||||
| Dreyfus Institutional Preferred | ||||
| Plus Money Market Fund | ||||
| (cost $35,792,000) | 35,792,000 e | 35,792,000 | ||
The Fund 19
| STATEMENT OF INVESTMENTS (continued) |
| Investment of Cash Collateral | ||||
| for Securities Loaned—21.4% | Shares | Value ($) | ||
| Registered Investment Company; | ||||
| Dreyfus Institutional Cash | ||||
| Advantage Plus Fund | ||||
| (cost $376,704,078) | 376,704,078 e | 376,704,078 | ||
| Total Investments (cost $2,209,000,274) | 121.4% | 2,134,029,653 | ||
| Liabilities, Less Cash and Receivables | (21.4%) | (375,864,935) | ||
| Net Assets | 100.0% | 1,758,164,718 | ||
| a | All or a portion of these securities are on loan.At October 31, 2009, the total market value of the fund’s securities on loan is $355,844,341 and the total market value of the collateral held by the fund is $376,704,078. |
| b | Non-income producing security. |
| c | Investment in Real Estate Investment Trust. |
| d | Held by a broker as collateral for open financial futures positions. |
| e | Investment in affiliated money market mutual fund. |
| Portfolio Summary (Unaudited)† | ||||||
| Value (%) | Value (%) | |||||
| Short-Term/ | Energy | 6.4 | ||||
| Money Market Investments | 23.7 | Materials | 6.4 | |||
| Financial | 17.9 | Utilities | 6.4 | |||
| Consumer Discretionary | 15.4 | Consumer Staples | 3.7 | |||
| Industrial | 14.6 | Telecommunication Services | .5 | |||
| Information Technology | 14.5 | |||||
| Health Care | 11.9 | 121.4 | ||||
| † Based on net assets. | ||||||
| See notes to financial statements. | ||||||
20
| STATEMENT OF FINANCIAL FUTURES October 31, 2009 |
| Market Value | Unrealized | |||||||
| Covered by | (Depreciation) | |||||||
| Contracts | Contracts ($) | Expiration | at 10/31/2009 ($) | |||||
| Financial Futures Long | ||||||||
| Standard & Poor’s | ||||||||
| Midcap 400 E-mini | 608 | 39,969,920 | December 2009 | (1,570,836) | ||||
| See notes to financial statements. | ||||||||
The Fund 21
| STATEMENT OF ASSETS AND LIABILITIES October 31, 2009 |
| Cost | Value | |||
| Assets ($): | ||||
| Investments in securities—See Statement of | ||||
| Investments (including securities on loan, | ||||
| valued at $355,844,341)—Note 1(b): | ||||
| Unaffiliated issuers | 1,796,504,196 | 1,721,533,575 | ||
| Affiliated issuers | 412,496,078 | 412,496,078 | ||
| Cash | 733,100 | |||
| Receivable for shares of Common Stock subscribed | 2,987,904 | |||
| Dividends and interest receivable | 903,786 | |||
| 2,138,654,443 | ||||
| Liabilities ($): | ||||
| Due to The Dreyfus Corporation and affiliates—Note 3(b) | 782,190 | |||
| Liability for securities on loan—Note 1(b) | 376,704,078 | |||
| Payable for shares of Common Stock redeemed | 1,956,187 | |||
| Payable for futures variation margin—Note 4 | 1,047,270 | |||
| 380,489,725 | ||||
| Net Assets ($) | 1,758,164,718 | |||
| Composition of Net Assets ($): | ||||
| Paid-in capital | 1,922,051,507 | |||
| Accumulated undistributed investment income—net | 14,045,116 | |||
| Accumulated net realized gain (loss) on investments | (101,390,448) | |||
| Accumulated net unrealized appreciation (depreciation) on | ||||
| investments [including ($1,570,836) net unrealized | ||||
| (depreciation) on financial futures] | (76,541,457) | |||
| Net Assets ($) | 1,758,164,718 | |||
| Shares Outstanding | ||||
| (200 million shares of $.001 par value Common Stock authorized) | 85,096,246 | |||
| Net Asset Value, offering and redemption price per share ($) | 20.66 | |||
| See notes to financial statements. | ||||
22
| STATEMENT OF OPERATIONS Year Ended October 31, 2009 |
| Investment Income ($): | ||
| Income: | ||
| Cash dividends: | ||
| Unaffiliated issuers | 26,916,831 | |
| Affiliated issuers | 77,167 | |
| Income from securities lending—Note 1(b) | 1,758,118 | |
| Interest | 23,554 | |
| Total Income | 28,775,670 | |
| Expenses: | ||
| Management fee—Note 3(a) | 3,678,942 | |
| Shareholder servicing costs—Note 3(b) | 3,678,942 | |
| Directors’ fees—Note 3(a) | 125,490 | |
| Loan commitment fees—Note 2 | 12,254 | |
| Interest expense—Note 2 | 155 | |
| Total Expenses | 7,495,783 | |
| Less—Directors’ fees reimbursed | ||
| by the Manager—Note 3(a) | (125,490) | |
| Net Expenses | 7,370,293 | |
| Investment Income—Net | 21,405,377 | |
| Realized and Unrealized Gain (Loss) on Investments—Note 4 ($): | ||
| Net realized gain (loss) on investments | (47,990,672) | |
| Net realized gain (loss) on financial futures | (6,484,488) | |
| Net Realized Gain (Loss) | (54,475,160) | |
| Net unrealized appreciation (depreciation) on investments (including | ||
| $5,671,079 net unrealized appreciation on financial futures) | 272,835,901 | |
| Net Realized and Unrealized Gain (Loss) on Investments | 218,360,741 | |
| Net Increase in Net Assets Resulting from Operations | 239,766,118 | |
| See notes to financial statements. | ||
The Fund 23
STATEMENT OF CHANGES IN NET ASSETS
| Year Ended October 31, | ||||
| 2009 | 2008 | |||
| Operations ($): | ||||
| Investment income—net | 21,405,377 | 25,092,328 | ||
| Net realized gain (loss) on investments | (54,475,160) | 97,805,864 | ||
| Net unrealized appreciation | ||||
| (depreciation) on investments | 272,835,901 | (1,019,902,517) | ||
| Net Increase (Decrease) in Net Assets | ||||
| Resulting from Operations | 239,766,118 | (897,004,325) | ||
| Dividends to Shareholders from ($): | ||||
| Investment income—net | (25,544,737) | (26,033,448) | ||
| Net realized gain on investments | (75,893,834) | (207,596,230) | ||
| Total Dividends | (101,438,571) | (233,629,678) | ||
| Capital Stock Transactions ($): | ||||
| Net proceeds from shares sold | 502,900,872 | 615,908,178 | ||
| Dividends reinvested | 96,156,519 | 222,298,818 | ||
| Cost of shares redeemed | (561,146,191) | (617,062,054) | ||
| Increase (Decrease) in Net Assets | ||||
| from Capital Stock Transactions | 37,911,200 | 221,144,942 | ||
| Total Increase (Decrease) in Net Assets | 176,238,747 | (909,489,061) | ||
| Net Assets ($): | ||||
| Beginning of Period | 1,581,925,971 | 2,491,415,032 | ||
| End of Period | 1,758,164,718 | 1,581,925,971 | ||
| Undistributed investment income—net | 14,045,116 | 19,837,771 | ||
| Capital Share Transactions (Shares): | ||||
| Shares sold | 28,098,936 | 24,423,951 | ||
| Shares issued for dividends reinvested | 6,107,554 | 7,791,794 | ||
| Shares redeemed | (32,581,387) | (23,798,731) | ||
| Net Increase (Decrease) in Shares Outstanding | 1,625,103 | 8,417,014 | ||
| See notes to financial statements. | ||||
24
FINANCIAL HIGHLIGHTS
The following table describes the performance for the fiscal periods indicated. Total return shows how much your investment in the fund would have increased (or decreased) during each period, assuming you had reinvested all dividends and distributions.These figures have been derived from the fund’s financial statements.
| Year Ended October 31, | ||||||||||
| 2009 | 2008 | 2007 | 2006 | 2005 | ||||||
| Per Share Data ($): | ||||||||||
| Net asset value, | ||||||||||
| beginning of period | 18.95 | 33.19 | 29.91 | 27.81 | 24.55 | |||||
| Investment Operations: | ||||||||||
| Investment income—neta | .26 | .31 | .38 | .28 | .28 | |||||
| Net realized and unrealized | ||||||||||
| gain (loss) on investments | 2.73 | (11.42) | 4.36 | 3.23 | 3.87 | |||||
| Total from Investment Operations | 2.99 | (11.11) | 4.74 | 3.51 | 4.15 | |||||
| Distributions: | ||||||||||
| Dividends from | ||||||||||
| investment income—net | (.32) | (.35) | (.28) | (.26) | (.16) | |||||
| Dividends from net realized | ||||||||||
| gain on investments | (.96) | (2.78) | (1.18) | (1.15) | (.73) | |||||
| Total Distributions | (1.28) | (3.13) | (1.46) | (1.41) | (.89) | |||||
| Net asset value, end of period | 20.66 | 18.95 | 33.19 | 29.91 | 27.81 | |||||
| Total Return (%) | 17.89 | (36.64) | 16.45 | 12.95 | 17.14 | |||||
| Ratios/Supplemental Data (%): | ||||||||||
| Ratio of total expenses | ||||||||||
| to average net assets | .51 | .51 | .51 | .50 | .50 | |||||
| Ratio of net expenses | ||||||||||
| to average net assets | .50 | .50 | .50 | .50 | .50 | |||||
| Ratio of net investment income | ||||||||||
| to average net assets | 1.45 | 1.16 | 1.20 | .95 | 1.04 | |||||
| Portfolio Turnover Rate | 21.72 | 24.48 | 22.53 | 16.05 | 19.54 | |||||
| Net Assets, end of period | ||||||||||
| ($ x 1,000) | 1,758,165 | 1,581,926 | 2,491,415 | 2,270,969 | 2,059,222 | |||||
| a Based on average shares outstanding at each month end. | ||||||||||
| See notes to financial statements. | ||||||||||
The Fund 25
NOTES TO FINANCIAL STATEMENTS
NOTE 1—Significant Accounting Policies:
Dreyfus Midcap Index Fund, Inc. (the “fund”) is registered under the Investment Company Act of 1940, as amended (the “Act”), as a non-diversified open-end management investment company. The fund’s investment objective is to match the performance of the Standard & Poor’s MidCap 400 Index.The Dreyfus Corporation (the “Manager” or “Dreyfus”), a wholly-owned subsidiary of The Bank of New York Mellon Corporation (“BNY Mellon”), serves as the fund’s investment adviser. MBSC Securities Corporation (the “Distributor”), a wholly-owned subsidiary of the Manager is the distributor of the fund’s shares, which are sold to the public without a sales charge.
The Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) has become the exclusive reference of authoritative U.S. generally accepted accounting principles (“GAAP”) recognized by the FASB to be applied by nongovernmental entities. Rules and interpretive releases of the Securities and Exchange Commission (“SEC”) under authority of federal laws are also sources of authoritative GAAP for SEC registrants. The ASC has superseded all existing non-SEC accounting and reporting standards. The fund’s financial statements are prepared in accordance with GAAP, which may require the use of management estimates and assumptions.Actual results could differ from those estimates.
The fund enters into contracts that contain a variety of indemnifications. The fund’s maximum exposure under these arrangements is unknown.The fund does not anticipate recognizing any loss related to these arrangements.
(a) Portfolio valuation: Investments in securities are valued at the last sales price on the securities exchange or national securities market on which such securities are primarily traded. Securities listed on the National Market System for which market quotations are available are valued at the official closing price or, if there is no official closing price that day, at the last sales price. 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
26
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. Registered investment companies that are not traded on an exchange are valued at their net asset value.When market quotations or official closing prices are not readily available, or are determined not to reflect accurately fair value, such as when the value of a security has been significantly affected by events after the close of the exchange or market on which the security is principally traded (for example, a foreign exchange or market), but before the fund calculates its net asset value, the fund may value these investments at fair value as determined in accordance with the procedures approved by the Board of Directors. Fair valuing of securities may be determined with the assistance of a pricing service using calculations based on indices of domestic securities and other appropriate indicators, such as prices of relevant American Depository Receipts and futures contracts. For other securities that are fair valued by the Board of Directors, certain factors may be considered such as: fundamental analytical data, the nature and duration of restrictions on disposition, an evaluation of the forces that influence the market in which the securities are purchased and sold, and public trading in similar securities of the issuer or comparable issuers. Financial futures are valued at the last sales price.
The fair value of a financial instrument is the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (i.e. the exit price). GAAP establishes a fair value hierarchy that prioritizes the inputs of valuation techniques used to measure fair value.This hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements).
Additionally, GAAP provides guidance on determining whether the volume and activity in a market has decreased significantly and whether such a decrease in activity results in transactions that are not orderly. GAAP requires enhanced disclosures around valuation inputs and techniques used during annual and interim periods.
The Fund 27
| NOTES TO FINANCIAL STATEMENTS (continued) |
Various inputs are used in determining the value of the fund’s investments relating to fair value measurements. These inputs are summarized in the three broad levels listed below:
Level 1—unadjusted quoted prices in active markets for identical investments.
Level 2—other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, etc.).
Level 3—significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments).
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.
The following is a summary of the inputs used as of October 31, 2009 in valuing the fund’s investments:
| Level 2—Other | Level 3— | |||||||
| Level 1— | Significant | Significant | ||||||
| Unadjusted | Observable | Unobservable | ||||||
| Quoted Prices | Inputs | Inputs | Total | |||||
| Assets ($) | ||||||||
| Investments in Securities: | ||||||||
| Equity Securities— | ||||||||
| Domestic† | 1,717,613,724 | — | — | 1,717,613,724 | ||||
| U.S. Treasury | ||||||||
| Securities | — | 3,919,851 | — | 3,919,851 | ||||
| Mutual Funds | 412,496,078 | — | — | 412,496,078 | ||||
| Other Financial | ||||||||
| Instruments†† | — | — | — | — | ||||
| Liabilities ($) | ||||||||
| Other Financial | ||||||||
| Instruments†† | (1,570,836) | — | — | (1,570,836) | ||||
† See Statement of Investments for industry classification.
Other financial instruments include derivative instruments, such as futures, forward foreign currency exchange contracts, swap contracts and options contracts. Amounts shown represent unrealized appreciation (depreciation), or in the case of options, market value at period end.
(b) Securities transactions and investment income: Securities transactions are recorded on a trade date basis. Realized gains and losses
28
from securities transactions are recorded on the identified cost basis. Dividend income is recognized on the ex-dividend date and interest income, including, where applicable, accretion of discount and amortization of premium on investments, is recognized on the accrual basis.
Pursuant to a securities lending agreement with The Bank of New York Mellon, a subsidiary of BNY Mellon and an affiliate of Dreyfus, the fund may lend securities to qualified institutions. It is the fund’s policy that, at origination, all loans are secured by collateral of at least 102% of the value of U.S. securities loaned and 105% of the value of foreign securities loaned. Collateral equivalent to at least 100% of the market value of securities on loan is maintained at all times. Collateral is either in the form of cash, which can be invested in certain money market mutual funds managed by the Manager, U.S. Government and Agency securities or letters of credit.The fund is entitled to receive all income on securities loaned, in addition to income earned as a result of the lending transaction. Although each security loaned is fully collateralized, the fund bears the risk of delay in recovery of, or loss of rights in, the securities loaned should a borrower fail to return the securities in a timely manner. During the period ended October 31, 2009,The Bank of New York Mellon earned $753,479 from lending fund portfolio securities, pursuant to the securities lending agreement.
(c) Affiliated issuers: Investments in other investment companies advised by the Manager are defined as “affiliated” in the Act.
(d) Dividends to shareholders: Dividends are recorded on the ex-dividend date. Dividends from investment income-net and dividends from net realized capital gains, if any, are normally declared and paid annually, but the fund may make distributions on a more frequent basis to comply with the distribution requirements of the Internal Revenue Code of 1986, as amended (the “Code”).To the extent that net realized capital gains can be offset by capital loss carryovers, it is the policy of the fund not to distribute such gains. Income and capital gain distributions are determined in accordance with income tax regulations, which may differ from GAAP.
The Fund 29
| NOTES TO FINANCIAL STATEMENTS (continued) |
(e) Federal income taxes: It is the policy of the fund to continue to qualify as a regulated investment company, if such qualification is in the best interests of its shareholders, by complying with the applicable provisions of the Code, and to make distributions of taxable income sufficient to relieve it from substantially all federal income and excise taxes.
As of and during the period ended October 31, 2009, the fund did not have any liabilities for any uncertain tax positions.The fund recognizes interest and penalties, if any, related to uncertain tax positions as income tax expense in the Statement of Operations. During the period, the fund did not incur any interest or penalties.
Each of the tax years in the four-year period ended October 31, 2009 remains subject to examination by the Internal Revenue Service and state taxing authorities.
At October 31, 2009, the components of accumulated earnings on a tax basis were as follows: undistributed ordinary income $12,099,987, accumulated capital losses $64,949,321 and unrealized depreciation $111,037,455.
The accumulated capital loss carryover is available for federal income tax purposes to be applied against future net securities profits, if any, realized subsequent to October 31, 2009. If not applied, the carryover expires in fiscal 2017.
The tax character of distributions paid to shareholders during the fiscal periods ended October 31, 2009 and October 31, 2008 were as follows: ordinary income $25,560,834 and $29,464,791 and long-term capital gains $75,877,737 and $204,164,887, respectively.
During the period ended October 31, 2009, as a result of permanent book to tax differences, primarily due to the tax treatment for real estate investment trusts and dividend reclassification, the fund decreased accumulated undistributed investment income-net by $1,653,295 and increased accumulated net realized gain (loss) on investments by the same amount. Net assets and net asset value per share were not affected by this reclassification.
30
NOTE 2—Bank Lines of Credit:
The fund participated with other Dreyfus-managed funds in a $145 million unsecured credit facility led by Citibank, N.A. and a $300 million unsecured credit facility provided by The Bank of New York Mellon (each, a “Facility”), each to be utilized primarily for temporary or emergency purposes, including the financing of redemptions. Effective October 14, 2009, the $145 million unsecured credit facility with Citibank, N.A., was increased to $215 million and the fund continues participation in the $300 million unsecured credit facility provided by The Bank of New York Mellon. In connection therewith, the fund has agreed to pay its pro rata portion of Facility fees for each Facility. Interest is charged to the fund based on rates determined pursuant to the terms of the respective Facility at the time of borrowing.
The average amount of borrowings outstanding under the Facilities during the period ended October 31, 2009, was approximately $11,000 with a related weighted average annualized interest rate of 1.40%.
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 .25% of the value of the fund’s average daily net assets and is payable monthly. Under the terms of the Agreement, the Manager has agreed to pay all the expenses of the fund, except management fees, brokerage fees and commissions, taxes, interest fees, commitment fees, Shareholder Services Plan fees, fees and expenses of non-interested Board members (including counsel fees) and extraordinary expenses. In addition, the Manager is required to reduce its fee in an amount equal to the accrued fees and expenses of the non-interested Board members (including counsel fees). Each Board member also serves as a Board member of other funds within the Dreyfus complex (collec-
The Fund 31
| NOTES TO FINANCIAL STATEMENTS (continued) |
tively, the “Fund Group”). Currently, the fund and 11 other funds (comprised of 33 portfolios) in the Dreyfus Family of Funds pay each Board member their respective allocated portion of an annual retainer of $85,000 and an attendance fee of $10,000 for each regularly scheduled Board meeting, an attendance fee of $2,000 for each separate in-person committee meeting that is not held in conjunction with a regularly scheduled Board meeting and an attendance fee of $1,000 for each Board meeting and separate committee meeting that is conducted by telephone. The Chairman of the Board receives an additional 25% of such compensation and the Audit Committee Chairman receives an additional $15,000 per annum. The fund also reimburses each Board member for travel and out-of-pocket expenses in connection with attending Board or committee meetings. Subject to the fund’s Emeritus Program Guidelines, Emeritus Board members, if any, receive 50% of the fund’s annual retainer fee and per meeting fee paid at the time the Board member achieves emeritus status.
(b) Under the Shareholder Services Plan, the fund pays the Distributor for the provision of certain services, at the annual rate of .25% of the value of the fund’s average daily net assets.The services provided may include personal services relating to shareholder accounts, such as answering shareholder inquiries regarding the fund and providing reports and other information, and services related to the maintenance of shareholder accounts. The Distributor may make payments to Service Agents (a securities dealer, financial institution or other industry professional) in respect of these services. The Distributor determines the amounts to be paid to Service Agents. During the period ended October 31, 2009, the fund was charged $3,678,942 pursuant to the Shareholder Services Plan.
The components of “Due to The Dreyfus Corporation and affiliates” in the Statement of Assets and Liabilities consist of: management fees $391,095 and shareholder services plan fees $391,095.
32
NOTE 4—Securities Transactions:
The aggregate amount of purchases and sales of investment securities, excluding short-term securities and financial futures, during the period ended October 31, 2009, amounted to $314,272,440 and $326,552,614, respectively.
The fund adopted the provisions of ASC Topic 815 “Derivatives and Hedging” which requires qualitative disclosures about objectives and strategies for using derivatives, quantitative disclosures about fair value amounts of gains and losses on derivative instruments and disclosures about credit-risk-related contingent features in derivative agreements. The disclosure requirements distinguish between derivatives, which are accounted for as “hedges” and those that do not qualify for hedge accounting. Because investment companies value their derivatives at fair value and recognize changes in fair value through the Statement of Operations, they do not qualify for such accounting. Accordingly, even though a fund’s investments in derivatives may represent economic hedges, they are considered to be non-hedge transactions for purposes of this disclosure.
Futures Contracts: In the normal course of pursuing its investment objectives, the fund is exposed to market risk, including equity price risk as a result of changes in value of underlying financial instruments. The fund may invest in financial futures contracts in order to manage its exposure to or protect against changes in the market.A futures contract represents a commitment for the future purchase or a sale of an asset at a specified date. Upon entering into such contracts, these investments require initial margin deposits with a broker, which consist of cash or cash equivalents.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.Accordingly, variation margin payments are received or made to reflect daily unrealized gains or losses which are recorded
The Fund 33
| NOTES TO FINANCIAL STATEMENTS (continued) |
in the Statement of Operations. Futures contracts are valued daily at the last sales price established by the Board of Trade or exchange upon which they are traded.When the contracts are closed, the fund recognizes a realized gain or loss.There is minimal counterparty credit risk to the fund with futures, since futures are exchange traded and the exchange’s clearinghouse, as counterparty to all exchange traded futures, guarantees the futures against default. Contracts open at October 31, 2009 are set forth in the Statement of Financial Futures.
At October 31, 2009, the cost of investments for federal income tax purposes was $2,245,067,108; accordingly, accumulated net unrealized depreciation on investments was $111,037,455, consisting of $259,271,640 gross unrealized appreciation and $370,309,095 gross unrealized depreciation.
NOTE 5—Subsequent Events Evaluation:
Dreyfus has evaluated the need for disclosures and/or adjustments resulting from subsequent events through December 29, 2009, the date the financial statements were issued. This evaluation did not result in any subsequent events that necessitated disclosures and/or adjustments.
34
| REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM |
| Shareholders and Board of Directors Dreyfus Midcap Index Fund, Inc. |
We have audited the accompanying statement of assets and liabilities, including the statements of investments and financial futures, of Dreyfus Midcap Index Fund, Inc., as of October 31, 2009 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 the standards of the Public Company Accounting Oversight Board (United States).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.We were not engaged to perform an audit of the Fund’s internal control over financial reporting. Our audits included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Fund’s internal control over financial reporting. Accordingly, we express no such opinion.An audit also includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements and financial highlights, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. Our procedures included confirmation of securities owned as of October 31, 2009 by correspondence with the custodian and others. 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 Dreyfus Midcap Index Fund, Inc. at October 31, 2009, 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 U.S. generally accepted accounting principles.
IMPORTANT TAX INFORMATION (Unaudited)
In accordance with federal tax law, the fund hereby designates 77.00% of the ordinary dividends paid during the fiscal year ended October 31, 2009 as qualifying for the corporate dividends received deduction. For the fiscal year ended October 31, 2009, certain dividends paid by the fund may be subject to a maximum tax rate of 15%, as provided for by the Jobs and Growth Tax Relief Reconciliation Act of 2003. Of the distributions paid during the fiscal year, $7,923,260 represents the maximum amount that may be considered qualified dividend income. Shareholders will receive notification in early 2010 of the percentage applicable to the preparation of their 2009 income tax returns. Also, the fund hereby designates $.9293 per share as a long-term capital gain distribution per share paid on December 29, 2008 and also designates $.0270 per share as a long-term capital gain distribution paid on March 26, 2009.
36
Item 2. Code of Ethics.
The Registrant has adopted a code of ethics that applies to the Registrant's principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions. There have been no amendments to, or waivers in connection with, the Code of Ethics during the period covered by this Report.
Item 3. Audit Committee Financial Expert.
The Registrant's Board has determined that David P. Feldman, a member of the Audit Committee of the Board, is an audit committee financial expert as defined by the Securities and Exchange Commission (the "SEC"). David P. Feldman is "independent" as defined by the SEC for purposes of audit committee financial expert determinations.
Item 4. Principal Accountant Fees and Services.
(a) Audit Fees. The aggregate fees billed for each of the last two fiscal years (the "Reporting Periods") for professional services rendered by the Registrant's principal accountant (the "Auditor") for the audit of the Registrant's annual financial statements or services that are normally provided by the Auditor in connection with the statutory and regulatory filings or engagements for the Reporting Periods, were $36,350 in 2008 and $37,078 in 2009.
(b) Audit-Related Fees. The aggregate fees billed in the Reporting Periods for assurance and related services by the Auditor that are reasonably related to the performance of the audit of the Registrant's financial statements and are not reported under paragraph (a) of this Item 4 were $10,398 in 2008 and $5,276 in 2009. These services consisted of security counts required by Rule 17f-2 under the Investment Company Act of 1940, as amended.
The aggregate fees billed in the Reporting Periods for non-audit assurance and related services by the Auditor to the Registrant's investment adviser (not including any sub-investment adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser), and any entity controlling, controlled by or under common control with the investment adviser that provides ongoing services to the Registrant ("Service Affiliates"), that were reasonably related to the performance of the annual audit of the Service Affiliate, which required pre-approval by the Audit Committee were $-0- in 2008 and $-0- in 2009.
(c) Tax Fees. The aggregate fees billed in the Reporting Periods for professional services rendered by the Auditor for tax compliance, tax advice, and tax planning ("Tax Services") were $3,343 in 2008 and $3,517 in 2009. These services consisted of: (i) review or preparation of U.S. federal, state, local and excise tax returns; (ii) U.S. federal, state and local tax planning, advice and assistance regarding statutory, regulatory or administrative developments; (iii) tax advice regarding tax qualification matters and/or treatment of various financial instruments held or proposed to be acquired or held, and (iv) determination of Passive Foreign Investment Companies.
The aggregate fees billed in the Reporting Periods for Tax Services by the Auditor to Service Affiliates, which required pre-approval by the Audit Committee were $-0- in 2008 and $-0- in 2009.
(d) All Other Fees. The aggregate fees billed in the Reporting Periods for products and services provided by the Auditor, other than the services reported in paragraphs (a) through (c) of this Item, were $879 in 2008 and $425 in 2009. These services consisted of a review of the Registrant s anti-money laundering program.
The aggregate fees billed in the Reporting Periods for Non-Audit Services by the Auditor to Service Affiliates, other than the services reported in paragraphs (b) through (c) of this Item, which required pre-approval by the Audit Committee, were $-0- in 2008 and $-0- in 2009.
Note: In each of (b) through (d) of this Item 4, 100% of all services provided by the Auditor were pre-approved as required.
Audit Committee Pre-Approval Policies and Procedures. The Registrant's Audit Committee has established policies and procedures (the "Policy") for pre-approval (within specified fee limits) of the Auditor's engagements for non-audit services to the Registrant and Service Affiliates without specific case-by-case consideration. Pre-approval considerations include whether the proposed services are compatible with maintaining the Auditor's independence. Pre-approvals pursuant to the Policy are considered annually.
Non-Audit Fees. The aggregate non-audit fees billed by the Auditor for services rendered to the Registrant, and rendered to Service Affiliates, for the Reporting Periods were $7,879,835 in 2008 and $25,383,429 in 2009.
Auditor Independence. The Registrant's Audit Committee has considered whether the provision of non-audit services that were rendered to Service Affiliates, which were not pre-approved (not requiring pre-approval), is compatible with maintaining the Auditor's independence.
| Item 5. | Audit Committee of Listed Registrants. | |
| Not applicable. [CLOSED-END FUNDS ONLY] | ||
| Item 6. | Investments. | |
| (a) | Not applicable. | |
| Item 7. | Disclosure of Proxy Voting Policies and Procedures for Closed-End Management | |
| Investment Companies. | ||
| Not applicable. [CLOSED-END FUNDS ONLY] | ||
| Item 8. | Portfolio Managers of Closed-End Management Investment Companies. | |
| Not applicable. [CLOSED-END FUNDS ONLY, beginning with reports for periods ended | ||
| on and after December 31, 2005] | ||
| Item 9. | Purchases of Equity Securities by Closed-End Management Investment Companies and | |
| Affiliated Purchasers. | ||
| Not applicable. [CLOSED-END FUNDS ONLY] | ||
| Item 10. | Submission of Matters to a Vote of Security Holders. | |
| There have been no material changes to the procedures applicable to Item 10. | ||
Item 11. Controls and Procedures.
(a) The Registrant's principal executive and principal financial officers have concluded, based on their evaluation of the Registrant's disclosure controls and procedures as of a date within 90 days of the filing date of this report, that the Registrant's disclosure controls and procedures are reasonably designed to ensure that information required to be disclosed by the Registrant on Form N-CSR is recorded, processed, summarized and reported within the required time periods and that information required to be disclosed by the Registrant in the reports that it files or submits on Form N-CSR is accumulated and communicated to the Registrant's management, including its principal executive and principal financial officers, as appropriate to allow timely decisions regarding required disclosure.
(b) There were no changes to the Registrant's internal control over financial reporting that occurred during the second fiscal quarter of the period covered by this report that have materially affected, or are reasonably likely to materially affect, the Registrant's internal control over financial reporting.
Item 12. Exhibits.
(a)(1) Code of ethics referred to in Item 2.
(a)(2) Certifications of principal executive and principal financial officers as required by Rule 30a-2(a) under the Investment Company Act of 1940.
(a)(3) Not applicable.
(b) Certification of principal executive and principal financial officers as required by Rule 30a-2(b) under the Investment Company Act of 1940.
| SIGNATURES |
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the Registrant has duly caused this Report to be signed on its behalf by the undersigned, thereunto duly authorized.
Dreyfus Midcap Index Fund, Inc.
| By: | /s/ J. David Officer | |
| J. David Officer, | ||
| President | ||
| Date: | December 23, 2009 | |
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this Report has been signed below by the following persons on behalf of the Registrant and in the capacities and on the dates indicated.
| By: | /s/ J. David Officer | |
| J. David Officer, | ||
| President | ||
| Date: | December 23, 2009 | |
| By: | /s/ James Windels | |
| James Windels, | ||
| Treasurer | ||
| Date: | December 23, 2009 | |
| EXHIBIT INDEX |
(a)(1) Code of ethics referred to in Item 2.
(a)(2) Certifications of principal executive and principal financial officers as required by Rule 30a-2(a) under the Investment Company Act of 1940. (EX-99.CERT)
(b) Certification of principal executive and principal financial officers as required by Rule 30a-2(b) under the Investment Company Act of 1940. (EX-99.906CERT)