HOW
TO BUY SHARES
See "Additional Information About How to Buy Shares" in Part III of this SAI for general
information about the purchase of fund shares.
Investment Minimums
The minimum initial investment
for each fund, except Dreyfus Inflation Adjusted Securities Fund (Class I), Dreyfus Liquid Assets (Class
2), Dreyfus Short Term Income Fund (Class P) and the Institutional Money Funds, is $1,000 for full-time
or part-time employees of the Manager or any of its affiliates, directors of the Manager, board members
of a fund advised by the Manager, or the spouse or minor child of any of the foregoing. The minimum
initial investment for each fund, except Dreyfus Inflation Adjusted Securities Fund (Class I), Dreyfus
Liquid Assets (Class 2), Dreyfus Short-Intermediate Municipal Bond Fund (Class A), Dreyfus Short Term
Income Fund (Class P) and the Institutional Money Funds, is $50 for full-time or part-time employees
of the Manager or any of its affiliates who elect to have a portion of their pay directly deposited into
their fund accounts.
Shares of each fund, except Dreyfus Inflation Adjusted Securities Fund (Class I), Dreyfus
Liquid Assets (Class 2), Dreyfus Short Term Income Fund (Class P) and the Institutional Money Funds,
are offered without regard to the minimum initial or subsequent investment requirements to investors
purchasing fund shares through wrap fee accounts or other fee based programs.
Shares of each fund, except
Dreyfus Inflation Adjusted Securities Fund (Class I), Dreyfus Liquid Assets (Class 2), Dreyfus Short-Intermediate
Municipal Bond Fund (Class A), Dreyfus Short Term Income Fund (Class P) and the Institutional Money Funds,
are offered without regard to the minimum initial investment requirements to fund board members who elect
to have all or a portion of their compensation for serving in that capacity automatically invested in
the fund.
Each
fund, except Dreyfus Liquid Assets (Class 2), Dreyfus Short-Intermediate Municipal Bond Fund and the
Institutional Money Funds, reserves the right to offer fund shares without regard to minimum purchase
requirements to government-sponsored programs or to employees participating in certain Retirement Plans
or other programs where contributions or account information can be transmitted in a manner and form
acceptable to the fund.
Dreyfus Institutional Preferred Money Market Fund's and Dreyfus Institutional Preferred
Plus Money Market Fund's minimum initial investment requirement will be waived in connection with investments
in the fund by other funds managed by the Manager.
Purchase of Institutional Money Funds
Holders
of Classic shares of Dreyfus Institutional Reserves Money Fund or Classic shares of Dreyfus Institutional
Reserves Treasury Fund who received their shares in exchange for Classic shares of the relevant BNY Hamilton
Fund in connection with the reorganization of BNY Hamilton Funds may purchase additional Classic shares
of the relevant fund by check, wire or Dreyfus TeleTransfer Privilege or through Dreyfus Automatic Asset
Builder, the Dreyfus Payroll Savings Plan or Dreyfus Government Direct Deposit Privilege, as described
under "Shareholder Services" in Part III of this SAI.
Dreyfus TeleTransfer
Privilege
You may purchase shares of each fund except Dreyfus Liquid Assets (Class 2) and the
Institutional Money Funds (excluding Classic shares) by telephone or online if you have supplied the
necessary information on the Account Application or have filed a Shareholder Services Form with the Transfer
Agent. The proceeds will be transferred between the bank account designated in one of these documents
and your fund account. Only a bank account maintained in a domestic financial institution which is an
ACH member may be so designated.
II-1
Reopening an Account
You may reopen an account in each fund, except
in Dreyfus Inflation Adjusted Securities Fund (Class I), Dreyfus Liquid Assets (Class 2), and the Institutional
Money Funds, with a minimum investment of $100 without filing a new Account Application during the calendar
year the account is closed or during the following calendar year, provided the information on the old
Account Application is still applicable.
Information Regarding the Offering of
Share Classes
The share classes of each fund with more than one class are offered as described in
the relevant fund's prospectus and as follows:
On March 13, 2012, outstanding Class B shares of Dreyfus Intermediate
Term Income Fund, Dreyfus Natural Resources Fund and The Dreyfus Third Century Fund converted to Class
A shares.
On
March 13, 2012, outstanding Class B shares of Dreyfus Short-Intermediate Municipal Bond Fund and Dreyfus
Short Term Income Fund converted to Class D shares.
Class I shares of Dreyfus Natural Resources Fund
and Dreyfus Inflation Adjusted Securities Fund are offered to certain other funds in The Dreyfus Family
of Funds.
Holders
of Class I shares of The Dreyfus Third Century Fund who have held their shares since June 5, 2003 may
continue to purchase Class I shares of the fund for their existing accounts whether or not they would
otherwise be eligible to do so.
Class Z shares of The Dreyfus Third Century Fund are offered to
those shareholders of the fund whose fund account existed on August 30, 1999 and continues to exist at
the time of purchase of the Class Z shares. In addition, certain broker-dealers and other financial
institutions maintaining accounts in the fund on August 30, 1999 may open new accounts in Class Z shares
of the fund on behalf of Retirement Plans and "wrap accounts" or similar programs. Class Z shares generally
are not available for new accounts.
Class 2 shares of Dreyfus Liquid Assets are offered only to clients
of certain Service Agents that have entered into an agreement with the Distributor. Class 2 shares may
not be purchased directly by individuals, although Service Agents may purchase shares for accounts maintained
by individuals.
Prior to February 4, 2009, Dreyfus Natural Resources Fund and The Dreyfus Third Century
Fund offered Class T shares.
Class A
General information about the
public offering price of Class A shares of the Multi-Class Funds can be found in Part III of this SAI
under "Additional Information About How to Buy SharesClass A." The public offering price for Class
A shares of each of Dreyfus Short-Intermediate Municipal Bond Fund and Dreyfus Intermediate Term Income
Fund is the net asset value per share of that class, plus a sales load as shown below:
|
|
|
|
Dreyfus Short-Intermediate Municipal Bond Fund
Total Sales
Load*Class A Shares
|
Amount
of Transaction
|
As a % of offering price
per
share
|
As a % of net asset
value per share
|
Dealers' reallowance as a % of
offering price
|
Less
than $100,000
|
2.50
|
2.60
|
2.25
|
$100,000 to less than $250,000
|
2.00
|
2.10
|
1.75
|
$250,000 to less than $500,000
|
1.50
|
1.50
|
1.25
|
$500,000 to less than $1,000,000
|
1.00
|
1.00
|
0.75
|
$1,000,000 or more
|
-0-
|
-0-
|
-0-
|
*
Due
to rounding, the actual sales load you pay may be more or less than that calculated using these percentages.
II-2
|
|
|
|
Dreyfus Intermediate
Term Income Fund
Total
Sales Load*Class A Shares
|
Amount
of Transaction
|
As a % of offering price
per
share
|
As a % of net asset
value per share
|
Dealers' reallowance as a % of
offering price
|
Less
than $50,000
|
4.50
|
4.71
|
4.25
|
$50,000 to less than $100,000
|
4.00
|
4.17
|
3.75
|
$100,000 to less than $250,000
|
3.00
|
3.09
|
2.75
|
$250,000 to less than $500,000
|
2.50
|
2.56
|
2.25
|
$500,000 to less than $1,000,000
|
2.00
|
2.04
|
1.75
|
$1,000,000
or more
|
-0-
|
-0-
|
-0-
|
*
Due to rounding,
the actual sales load you pay may be more or less than that calculated using these percentages.
Class
A shares of Multi-Class Funds, including Dreyfus Short-Intermediate Municipal Bond Fund and Dreyfus Intermediate
Term Income Fund, purchased without an initial sales load as part of an investment of $1,000,000 or more
may be assessed at the time of redemption a 1% CDSC if redeemed within one year of purchase. The Distributor
may pay Service Agents an up-front commission of up to 1% of the net asset value of Class A shares purchased
by their clients as part of a $1,000,000 or more investment in Class A shares that are subject to a CDSC.
If the Service Agent waives receipt of such commission, the CDSC applicable to such Class A shares will
not be assessed at the time of redemption.
Right of Accumulation
Dreyfus Short-Intermediate
Municipal Bond Fund
.
Reduced sales loads apply to any purchase of Class A shares of the fund by you and any related Purchaser
where the aggregate investment including such purchase is $100,000 or more. If, for example, you previously
purchased and still hold Eligible Shares, or combination thereof, with an aggregate current value of
$90,000 and subsequently purchase Class A shares of the fund having a current value of $20,000, the sales
load applicable to the subsequent purchase would be reduced to 2.0% of the offering price. All present
holdings of Eligible Shares may be combined to determine the current offering price of the aggregate
investment in ascertaining the sales load applicable to each subsequent purchase.
HOW TO REDEEM SHARES
See
"Additional Information About How to Redeem Shares" in Part III of this SAI for general information about
the redemption of fund shares.
|
|
Fund
|
Services*
|
Dreyfus Natural Resources Fund
|
Dreyfus TeleTransfer Privilege
Redemption
through an Authorized Entity
Reinvestment Privilege
Wire Redemption Privilege
|
Dreyfus Inflation Adjusted Securities Fund
|
Dreyfus TeleTransfer Privilege
Redemption through an Authorized Entity
Redemption
through Compatible Computer Facilities
Wire Redemption Privilege
|
Dreyfus
Institutional Cash Advantage Fund
Dreyfus Institutional Preferred Money Market Fund
Dreyfus Institutional
Preferred Plus Money Market Fund
|
Redemption through Compatible Computer Facilities Wire Redemption Privilege
|
Dreyfus Institutional Reserves Money Fund
Dreyfus Institutional Reserves Treasury
Fund
Dreyfus Institutional Reserves Treasury Prime Fund
|
Dreyfus TeleTransfer Privilege (Classic shares only)
Redemption through Compatible
Computer Facilities
Wire Redemption Privilege
|
II-3
|
|
Fund
|
Services*
|
Dreyfus Intermediate Term Income Fund
|
Checkwriting Privilege (Class A only)**
Dreyfus TeleTransfer Privilege
Reinvestment
Privilege
Redemption through an Authorized Entity
Wire Redemption Privilege
|
Dreyfus Liquid Assets
|
Checkwriting Privilege (Class 1 only)
Dreyfus TeleTransfer Privilege (Class 1 only)
Wire
Redemption Privilege
|
Dreyfus Worldwide Dollar Money Market Fund
|
Checkwriting Privilege
Dreyfus TeleTransfer Privilege
Wire
Redemption Privilege
|
Dreyfus Short-Intermediate Municipal Bond Fund
|
Checkwriting Privilege (Class A and D only)
Dreyfus TeleTransfer
Privilege
Redemption through an Authorized Entity
Reinvestment Privilege
Wire Redemption Privilege
|
Dreyfus Short Duration Bond Fund
Dreyfus Short Term Income Fund
|
Checkwriting Privilege (Class D and Z only)
Dreyfus TeleTransfer Privilege
Redemption
through an Authorized Entity
Wire Redemption Privilege
|
The
Dreyfus Fund Incorporated
|
Dreyfus TeleTransfer Privilege
Redemption
through an Authorized Entity
Wire Redemption Privilege
|
The
Dreyfus Third Century Fund
|
Dreyfus TeleTransfer Privilege
Reinvestment
Privilege
Redemption through an Authorized Entity
Redemption through Compatible Computer Facilities
Wire
Redemption Privilege
|
____________________________
*
Institutional Direct accounts are not eligible for online services.
**
Investors beneficially
owning Institutional shares as of the date such shares were redesignated Class I shares and who continuously
held fund shares since that date also are eligible for the Checkwriting Privilege.
Institutional Money Funds.
Each fund ordinarily will make
payment for shares on the same or next business day after receipt by Dreyfus Investments Division or
other authorized entity of a redemption request in proper form.
Wire Redemption Privilege
Institutional
Money Funds (excluding Classic shares).
By using this privilege the investor authorizes the fund
and the Transfer Agent to act on telephone redemption instructions from any person representing himself
or herself to be an authorized representative of the investor, and reasonably believed by the fund or
the Transfer Agent to be genuine. Redemption proceeds will be transferred by Federal Reserve wire only
to a bank that is a member of the Federal Reserve System.
Dreyfus Institutional Preferred Money Market Fund and Dreyfus Institutional Preferred
Plus Money Market Fund
. The fund reserves the right to refuse any request made by telephone and
may limit the amount involved or the number of telephone redemptions. This privilege may be modified
or terminated at any time by the Transfer Agent or the fund. Shares for which certificates have been
issued may not be redeemed by telephone.
SHAREHOLDER SERVICES
The following shareholder services apply to the funds.
See
"Additional Information About Shareholder Services" in Part III of this SAI for more information.
II-4
|
|
Fund
|
Services*
|
Dreyfus Intermediate
Term Income Fund
Dreyfus
Natural Resources Fund
The
Dreyfus Third Century Fund
|
Fund Exchanges
Dreyfus Auto-Exchange Privilege
Dreyfus Automatic Asset Builder
®
Dreyfus
Government Direct Deposit Privilege
Dreyfus Payroll Savings Plan
Dreyfus Dividend Options
Automatic
Withdrawal Plan
Letter of Intent
Corporate Pension/Profit-Sharing and Retirement Plans
|
Dreyfus Institutional Cash Advantage Fund
Dreyfus Institutional Preferred Money Market
Fund
Dreyfus Institutional Preferred Plus Money Market Fund
Dreyfus Institutional Reserves Treasury
Prime Fund
|
Fund Exchanges
1
Dreyfus Auto-Exchange Privilege
2
|
Dreyfus Short Term Income Fund
The Dreyfus Fund Incorporated
|
Fund Exchanges
3
Dreyfus Auto-Exchange Privilege
Dreyfus
Automatic Asset Builder
®
Dreyfus
Government Direct Deposit Privilege
Dreyfus Payroll Savings Plan
4
Dreyfus Dividend Options
Automatic Withdrawal Plan
Corporate
Pension/Profit-Sharing and Retirement Plans
|
______________________
*
Class
Y shares (offered by certain funds) only have the Fund Exchanges shareholder service, as described below.
Institutional Direct accounts are not eligible for online services.
1
Prime
shares of Dreyfus Institutional Preferred Money Market Fund may be exchanged for shares of Dreyfus Institutional
Preferred Plus Money Market Fund, and shares of Dreyfus Institutional Preferred Plus Money Market Fund
may be exchanged for Prime shares of Dreyfus Institutional Preferred Money Market Fund. For holders
of Dreyfus Institutional Cash Advantage Fund, shares may be exchanged for shares of a corresponding class
of any of the Dreyfus Cash Management Funds.
2
For
holders of shares of both Dreyfus Institutional Preferred Money Market Fund and Dreyfus Institutional
Preferred Plus Money Market Fund, the privilege operates between Prime shares of Dreyfus Institutional
Preferred Money Market Fund and shares of Dreyfus Institutional Preferred Plus Money Market Fund (or
vice versa). Holders of shares of Dreyfus Institutional Cash Advantage Fund may purchase, in exchange
for shares of one class of the fund, shares of a corresponding class of any of the Dreyfus Cash Management
Funds.
3
For
Dreyfus Short Term Income Fund, Class D and Class P shares may be exchanged for shares of any class of
another fund in the Dreyfus Family of Funds open to direct investment by individuals.
4
For Dreyfus Short
Term Income Fund, applies only to Class D shares.
|
|
Fund*
|
Services**
|
Dreyfus Liquid Assets
Dreyfus
Short Duration Bond Fund
Dreyfus Worldwide Dollar Money Market Fund
|
Fund Exchanges
5
Dreyfus
Auto-Exchange Privilege
5
Dreyfus
Automatic Asset Builder
®
6
Dreyfus
Government Direct Deposit Privilege
6
Dreyfus
Payroll Savings Plan
6
Dreyfus
Dividend Options
6
Automatic
Withdrawal Plan
6
Corporate
Pension/Profit-Sharing and Retirement Plans
|
II-5
|
|
Fund*
|
Services**
|
Dreyfus Institutional
Reserves Money Fund
Dreyfus
Institutional Reserves Treasury Fund
|
Fund Exchanges
Dreyfus Auto-Exchange Privilege
7
Dreyfus Automatic Asset Builder
®
8
Dreyfus Government Direct
Deposit Privilege
8
Dreyfus
Payroll Savings Plan
8
Automatic
Withdrawal Plan
8
|
Dreyfus Inflation Adjusted Securities Fund
|
Fund Exchanges
9
Dreyfus
Auto-Exchange Privilege
Dreyfus Automatic Asset Builder
®
Dreyfus Government Direct Deposit Privilege
Dreyfus
Payroll Savings Plan
Dreyfus Dividend Options
Automatic Withdrawal Plan
|
Dreyfus
Short-Intermediate Municipal Bond Fund
|
Fund Exchanges
10
Dreyfus
Auto-Exchange Privilege
Dreyfus Automatic Asset Builder
®
Dreyfus Government Direct Deposit Privilege
Dreyfus
Payroll Savings Plan
Dreyfus Dividend Options
Automatic Withdrawal Plan
Letter of Intent
|
__________________
5
Holders
of Class 2 shares of Dreyfus Liquid Assets should contact their Service Agent for information.
6
For
Dreyfus Liquid Assets, applies only to Class 1 shares.
7
Holders of Classic shares may purchase, in exchange
for Classic shares, shares of certain funds in the Dreyfus Family of Funds of which the investor is a
shareholder.
8
Applies only to Classic shares received in exchange for Classic shares of the relevant
BNY Hamilton Fund in connection with the reorganization of such BNY Hamilton Fund.
9
Investor shares
and Class I shares may be exchanged for shares of any class of another fund in the Dreyfus Family of
Funds open to direct investment by individuals.
10
Class D shares
may be exchanged for shares of any class of another fund in the Dreyfus Family of Funds open to direct
investment by individuals.
DISTRIBUTION PLANS, SERVICE PLANS AND SHAREHOLDER SERVICES PLANS
The following
Plans apply to the funds.
See "Additional Information About Distribution Plans, Service Plans
and Shareholder Services Plans" in Part III of this SAI for more information about the Plans.
II-6
|
|
|
|
Fund
|
Class(es)
*
|
Plan (12b-1 or servicing)
**
|
Key
Features
***
|
Dreyfus Intermediate Term Income Fund
Dreyfus Natural Resources Fund
Dreyfus Short-Intermediate
Municipal Bond Fund
The Dreyfus Third Century Fund
|
Class C
|
Distribution Plan
(12b-1)
|
The fund pays the Distributor
0.75% for distributing these shares. The Distributor may pay one or more Service Agents in respect of
advertising, marketing and other distribution services, and determines the amounts, if any, to be paid
to Service Agents and the basis on which such payments are made.
|
Dreyfus
Inflation Adjusted Securities Fund
Dreyfus Intermediate Term Income Fund
Dreyfus Liquid Assets
Dreyfus
Natural Resources Fund
Dreyfus Short-Intermediate Municipal Bond Fund
Dreyfus Short Term Income
Fund
The Dreyfus Third Century Fund
|
Class A
Class C
Class 1
Class P
Investor
|
Shareholder Services Plan (servicing)
|
The fund pays the Distributor 0.25% for the provision of certain
services to the shareholders of these classes. Services 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. Pursuant to the Plan,
the Distributor may make payments to certain Service Agents in respect of these services.
|
Dreyfus Short Duration Bond Fund
The Dreyfus Third Century Fund
|
Class Z
|
Shareholder Services Plan (servicing)
|
The fund reimburses the Distributor an amount not to exceed 0.25% for certain allocated
expenses of providing personal services and/or maintaining shareholder accounts; these services 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.
|
II-7
|
|
|
|
Fund
|
Class(es)
*
|
Plan (12b-1 or servicing)
**
|
Key
Features
***
|
Dreyfus Worldwide
Dollar Money Market Fund
|
N/A
|
Shareholder Services Plan (servicing)
|
The fund reimburses the Distributor
an amount not to exceed 0.25% for certain allocated expenses of providing personal services and/or maintaining
shareholder accounts; these services 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.
|
Dreyfus
Short Term Income Fund
|
Class D
|
Shareholder Services Plan (servicing)
|
The fund pays the Distributor 0.20% for the provision of certain
services to the shareholders of this class. Services 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 certain Service Agents in respect of these services.
|
II-8
|
|
|
|
Fund
|
Class(es)
*
|
Plan (12b-1 or servicing)
**
|
Key
Features
***
|
Dreyfus Short-Intermediate Municipal Bond Fund
|
Class D
|
Service Plan
(12b-1)
|
The fund pays the Distributor 0.10% for distributing these shares, servicing shareholder
accounts and advertising and marketing. The Distributor may pay one or more Service Agents in respect
of shares owned by shareholders with whom the Service Agent has a servicing relationship or for whom
the Service Agent is the dealer or holder of record and determines the amounts, if any, to be paid to
Service Agents and the basis on which such payments are made. Pursuant to the Plan, Class D shares bear
(i) the costs of preparing, printing and distributing prospectuses and SAIs used other than for regulatory
purposes or distribution to existing shareholders, and (ii) the costs associated with implementing and
operating the Plan (such as costs of printing and mailing service agreements), the aggregate of such
amounts not to exceed in any fiscal year of the fund the greater of $100,000 or .005%.
|
Dreyfus Short Duration Bond Fund
|
Class D
|
Service Plan
(12b-1)
|
The fund pays the Distributor
0.25% for distributing these shares, servicing shareholder accounts and advertising and marketing. The
Distributor may pay one or more Service Agents in respect of shares owned by shareholders with whom the
Service Agent has a servicing relationship or for whom the Service Agent is the dealer or holder of record
and determines the amounts, if any, to be paid to Service Agents and the basis on which such payments
are made.
|
II-9
|
|
|
|
Fund
|
Class(es)
*
|
Plan (12b-1 or servicing)
**
|
Key
Features
***
|
Dreyfus Institutional Cash Advantage Fund
Dreyfus Institutional Preferred Money Market
Fund
Dreyfus Institutional Reserves Money Fund
Dreyfus Institutional Reserves Treasury Fund
Dreyfus
Institutional Reserves Treasury Prime Fund
|
Administrative Advantage
Investor Advantage
Participant Advantage
Reserve
Hamilton
Agency
Premier
Classic
|
Service Plan
(12b-1)
|
The fund pays the Distributor fees as disclosed in the prospectus for distributing these
shares, for advertising and marketing and for providing certain services to shareholders of these classes.
Services include 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 certain Service Agents in respect of these services. Generally, the Service Agent will provide
(1) holders of Administrative Advantage, Investor Advantage or Participant Advantage shares with a consolidated
statement; (2) holders of Investor Advantage or Participant Advantage shares checkwriting privileges;
and (3) holders of Participant Advantage shares with automated teller machine access and bill paying
services. Generally, the Service Agent may provide holders of Reserve, Hamilton, Agency, Premier or
Classic shares a consolidated statement, checkwriting privileges, automated teller machine access and
bill paying services.
|
______________
*
As
applicable to the funds listed (not all funds have all classes shown).
**
The
parenthetical indicates whether the Plan is pursuant to Rule 12b-1 under the 1940 Act or is a type of
servicing plan not adopted pursuant to Rule 12b-1.
***
Amounts
expressed as an annual rate as a percentage of the value of the average daily net assets attributable
to the indicated class of fund shares or the fund, as applicable.
INVESTMENTS, INVESTMENT TECHNIQUES AND RISKS
The following charts, which supplement
and should be read together with the information in the prospectus, indicate some of the specific investments
and investment techniques applicable to your fund. Additional policies and restrictions are described
in the prospectus and below in the next section (see "Investment Restrictions").
See "Additional
Information About Investments, Investment Techniques and Risks" in Part III of this SAI for more information,
including important risk disclosure, about the investments and investment techniques applicable to your
fund.
II-10
Funds other
than Money Market Funds
|
|
|
|
|
|
|
|
Fund
|
Equity Securities
1
|
IPOs
|
U.S. Government Securities
2
|
Corporate Debt Securities
|
High Yield and Lower-Rated Securities
3
|
Zero Coupon, Pay-in-Kind and
Step-Up Securities
|
Inflation-Indexed Securities (other than TIPS)
|
Dreyfus Inflation Adjusted Securities Fund
|
|
|
ü
|
ü
|
|
ü
|
ü
|
Dreyfus Intermediate Term Income Fund
|
ü
|
|
ü
|
ü
|
ü
|
ü
|
ü
|
Dreyfus Natural Resources Fund
|
ü
|
ü
|
ü
|
|
|
|
|
Dreyfus Short Duration Bond Fund
|
ü
|
|
ü
|
ü
|
ü
|
ü
|
ü
|
Dreyfus Short-Intermediate
Municipal Bond Fund
|
|
|
ü
|
|
|
ü
(municipal securities only)
|
|
Dreyfus
Short Term Income Fund
|
ü
|
|
ü
|
ü
|
ü
|
ü
|
ü
|
The Dreyfus Fund Incorporated
|
ü
|
ü
|
ü
|
ü
|
|
|
|
The
Dreyfus Third Century Fund
|
ü
|
ü
|
ü
|
|
|
|
|
1
Except as otherwise noted, (1) includes common and preferred stock,
convertible securities and warrants and (2) each fund, except The Dreyfus Third Century Fund, is limited
to investing 5% of its net assets in warrants, except that this limitation does not apply to warrants
purchased by a fund that are sold in units with, or attached to, other securities. The Dreyfus Third
Century Fund may not purchase warrants in excess of 2% of its net assets. The Dreyfus Fund Incorporated
is not subject to (2).
For The Dreyfus Fund Incorporated, includes common stock and convertible
securities.
2
For Dreyfus Natural
Resources Fund and Dreyfus Short-Intermediate Municipal Bond Fund, see "Money Market Instruments" below.
3
Each of Dreyfus Intermediate Term Income Fund and Dreyfus Short
Term Income Fund may invest up to 20% of its assets in fixed income securities rated below investment
grade and as low as Caa by Moody's or CCC by S&P or Fitch or the unrated equivalent as determined
by the Adviser.
Dreyfus
Short Duration Bond Fund may invest up to up to 5% of its assets in fixed-income securities rated below
investment grade or the unrated equivalent as determined by the Adviser.
II-11
|
|
|
|
|
|
Fund
|
Variable
and
Floating Rate Securities
|
Loans
|
Mortgage-Related Securities
|
Asset-
Backed Securities
|
Collateralized Debt Obligations
|
Dreyfus Inflation Adjusted
Securities Fund
|
ü
|
|
ü
|
ü
|
|
Dreyfus Intermediate Term Income Fund
|
ü
|
ü
(municipal securities only)
|
ü
|
ü
|
ü
|
Dreyfus Natural Resources Fund
|
|
|
|
|
|
Dreyfus
Short Duration Bond Fund
|
ü
|
ü
(municipal securities only)
|
ü
|
ü
|
|
Dreyfus Short-Intermediate
Municipal Bond Fund
|
ü
|
ü
(municipal securities only)
|
|
|
|
Dreyfus
Short Term Income Fund
|
ü
|
ü
(municipal securities only)
|
ü
|
ü
|
ü
|
The Dreyfus Fund Incorporated
|
|
|
|
|
|
The
Dreyfus Third Century Fund
|
|
|
|
|
|
II-12
|
|
|
|
|
|
|
|
|
Fund
|
Municipal
Securities
4
|
Funding Agreements
|
REITs
|
Money
Market Instruments
5
|
Foreign
Securities
6
|
Emerging Markets
|
Depositary Receipts
|
Sovereign Debt Obligations and Brady Bonds
|
Dreyfus
Inflation Adjusted Securities Fund
|
|
|
ü
|
ü
|
ü
|
ü
|
|
|
Dreyfus Intermediate Term Income Fund
|
ü
|
|
ü
|
ü
|
ü
|
ü
|
|
|
Dreyfus Natural Resources Fund
|
|
|
ü
|
ü
|
ü
(up to 45% of assets)
|
ü
|
ü
|
|
Dreyfus Short Duration Bond
Fund
|
ü
|
|
ü
|
ü
|
ü
(up to 30% of assets)
|
ü
(up to 5% of assets)
|
|
ü
|
Dreyfus Short-Intermediate
Municipal Bond Fund
|
ü
|
|
|
ü
|
|
|
|
|
Dreyfus Short Term Income Fund
|
ü
|
|
ü
|
ü
|
ü
|
ü
|
|
|
The Dreyfus Fund Incorporated
|
|
|
|
ü
|
ü
(up to 20% of assets)
|
ü
|
ü
|
|
The
Dreyfus Third Century Fund
|
|
|
|
ü
|
ü
7
|
|
ü
|
|
4
Dreyfus
Intermediate Term Income Fund and Dreyfus Short Term Income Fund each currently intends to invest no
more than 25% of its assets in municipal securities; however, this percentage may be varied from time
to time without shareholder approval.
5
Includes short-term U.S. Government
securities, bank obligations, repurchase agreements and commercial paper. Except for Dreyfus Short-Intermediate
Municipal Bond Fund, generally (1) when the Adviser determines that adverse market conditions exist,
a fund may adopt a temporary defensive position and invest up to 100% of its assets in money market instruments,
and (2) a fund also may purchase money market instruments when it has cash reserves or in anticipation
of taking a market position. The Dreyfus Third Century Fund also may invest in corporate bonds under
such circumstances but is limited to bank obligations issued in this country and those issued in dollar
denominations by the foreign branches of U.S. banks. In addition, Dreyfus Inflation Adjusted Securities
Fund, Dreyfus Intermediate Term Income Fund, Dreyfus Short Duration Bond Fund and Dreyfus Short Term
Income Fund each may invest in money market instruments as part of its investment strategy.
For Dreyfus Short-Intermediate
Municipal Bond Fund, from time to time, on a temporary basis other than for temporary defensive purposes
(but not to exceed 20% of the value of the fund's net assets) or for temporary defensive purposes, the
fund may invest in taxable short-term investments ("Taxable Investments") consisting of: notes of issuers
having, at the time of purchase, a quality rating within the two highest grades of a Rating Agency; obligations
of the U.S. Government, its agencies or instrumentalities; commercial paper rated not lower than P-1
by Moody's, A-1 by S&P or F-1 by Fitch; certificates of deposit of U.S. domestic banks, including
foreign branches or domestic banks, with assets of $1 billion or more; time deposits; bankers' acceptances
and other short-term obligations and repurchase agreements in respect of any of the foregoing. Under
normal market conditions, the fund anticipates that not more than 5% of the value of its total assets
will be invested in any one category of Taxable Investments.
6
Dreyfus
Intermediate Term Income Fund and Dreyfus Short Term Income Fund each may invest up to 30% of its total
assets in fixed-income securities of foreign issuers, including those of issuers in emerging markets.
7
Does not include foreign government obligations and securities
of supranational entities.
II-13
|
|
|
|
|
|
|
Fund
|
Eurodollar and Yankee Dollar Investments
|
Investment
Companies
|
ETFs
|
Exchange-Traded
Notes
|
Futures Transactions
|
Options Transactions
8
|
Dreyfus
Inflation Adjusted Securities Fund
|
|
ü
|
|
|
ü
|
ü
|
Dreyfus Intermediate Term Income Fund
|
|
ü
|
|
|
ü
|
ü
|
Dreyfus Natural Resources Fund
|
|
ü
|
ü
|
|
ü
9
|
ü
|
Dreyfus Short Duration Bond Fund
|
|
ü
|
|
|
ü
|
ü
|
Dreyfus Short-Intermediate Municipal Bond Fund
|
|
ü
|
|
|
ü
|
ü
|
Dreyfus Short Term Income Fund
|
|
ü
|
|
|
ü
|
ü
|
The Dreyfus Fund Incorporated
|
|
ü
|
ü
|
|
ü
|
ü
|
The Dreyfus Third Century Fund
|
|
ü
|
|
|
|
ü
|
8
Each
of Dreyfus Intermediate Term Income Fund, Dreyfus Short-Intermediate Municipal Bond Fund and The Dreyfus
Fund Incorporated (1) is limited to investing 5% of its assets, represented by the premium paid, in the
purchase of call and put options and (2) may write (
i.e.
, sell) covered call and put option contracts to the extent of 20% of
the value of its net assets at the time such option contracts are written.
Dreyfus
Natural Resources Fund also may purchase and sell options in respect of specific commodities (or baskets
of specific commodities) or commodity indices. An option on a commodity index is similar to an option
in respect of specific commodities, except that settlement does not occur by delivery of the commodities
comprising the index. Instead, the option holder receives an amount of cash if the closing level of
the index upon which the option is based is greater than in the case of a call, or less than in the case
of a put, the exercise price of the option. Thus, the effectiveness of purchasing or writing index options
will depend upon price movements in the level of the index rather than the price of a particular commodity.
The fund also may purchase cash-settled options on commodity index swaps in pursuit of its investment
objective. Index swaps involve the exchange by the fund with another party of cash flows based upon
the performance of an index or a portion of an index of securities, which usually includes dividends,
or commodities. A cash-settled option on a swap gives the purchaser the right, but not the obligation,
in return for the premium paid, to receive an amount of cash equal to the value of the underlying swap
as of the exercise date.
The
Dreyfus Third Century Fund may only write (
i.e.
,
sell) covered call option contracts on securities owned by the fund to the extent of 20% of the value
of its net assets at the time such option contracts are written and may purchase call options only to
close out open positions.
9
Dreyfus Natural Resources
Fund may invest in commodity futures contracts and options thereon. A commodity futures contract is
an agreement between two parties, in which one party agrees to buy a commodity, such as an energy, agricultural
or metal commodity, from the other party at a later date at a price and quantity agreed-upon when the
contract is made. The commodities which underlie commodity futures contracts may be subject to additional
economic and non-economic variables, such as drought, floods, weather, livestock disease, embargoes,
tariffs, and international economic, political and regulatory developments. These factors may have a
larger impact on commodity prices and commodity-linked instruments, including futures contracts than
on traditional securities. Certain commodities are also subject to limited pricing flexibility because
of supply and demand factors. Others are subject to broad price fluctuations as a result of the volatility
of the prices for certain raw materials and the instability of supplies of other materials. These additional
variables may create additional investment risks which subject the fund's investments to greater volatility
than investments in traditional securities. Dreyfus Natural Resources Fund currently intends to limit
the amount of its assets invested in commodity futures and options thereon to no more than 10% of its
assets, represented by the liquidation value of the contract.
II-14
|
|
|
|
|
|
|
Fund
|
Swap Transactions
|
Credit Linked Securities
|
Credit Derivatives
|
Structured Securities and Hybrid
Instruments
10
|
Participatory Notes
|
Custodial Receipts
|
Dreyfus Inflation Adjusted Securities Fund
|
ü
|
ü
|
ü
|
ü
|
|
|
Dreyfus
Intermediate Term Income Fund
|
ü
|
ü
|
ü
|
ü
|
|
ü
(municipal securities only)
|
Dreyfus
Natural Resources Fund
|
ü
11
|
|
|
ü
12
|
|
|
Dreyfus Short Duration Bond Fund
|
ü
|
ü
|
ü
|
ü
|
|
ü
(municipal securities only)
|
Dreyfus Short-Intermediate Municipal Bond Fund
|
ü
|
ü
|
ü
|
|
|
ü
(municipal securities only)
|
Dreyfus Short Term Income Fund
|
ü
|
ü
|
ü
|
ü
|
|
ü
(municipal securities only)
|
The Dreyfus Fund Incorporated
|
|
|
|
|
|
|
The
Dreyfus Third Century Fund
|
|
|
|
|
|
|
10
For
Dreyfus Inflation Adjusted Securities Fund, Dreyfus Intermediate Term Income Fund and Dreyfus Short Term
Income Fund, structured notes only.
11
To
a limited extent, the fund may gain exposure to the commodity markets by investing in commodity swap
agreements, including swap agreements on commodity indexes and specific commodities. For example, an
investment in a commodity swap agreement may involve the exchange of floating-rate interest payments
for the total return on a commodity index. In a total return commodity swap, the fund will receive the
price appreciation of a commodity index, a portion of the index, or a single commodity in exchange for
paying an agreed-upon fee. If the commodity swap is for one period, the fund may pay a fixed fee, established
at the outset of the swap. However, if the term of the commodity swap is more than one period, with
interim swap payments, the fund may pay an adjustable or floating fee. With a "floating" rate, the fee
may be pegged to a base rate, such as LIBOR, and is adjusted each period. Therefore, if interest rates
increase over the term of the swap contract, the fund may be required to pay a higher fee at each swap
reset date.
12
The fund also may invest in structured securities or hybrid instruments
whose return is based on, or otherwise determined by reference to, a commodity, commodity index or commodity-related
instrument.
II-15
|
|
|
|
|
|
Fund
|
Foreign Currency Transactions
|
Commodities
|
Short-Selling
13
|
Lending
Portfolio Securities
|
Borrowing Money
14
|
Dreyfus Inflation Adjusted
Securities Fund
|
ü
|
|
ü
|
ü
|
ü
|
Dreyfus Intermediate Term Income
Fund
|
ü
|
|
ü
|
ü
|
ü
|
Dreyfus Natural Resources Fund
|
ü
|
|
ü
|
ü
|
ü
|
Dreyfus Short Duration Bond
Fund
|
ü
|
|
ü
|
ü
|
ü
|
Dreyfus Short-Intermediate
Municipal Bond Fund
|
|
|
|
ü
|
ü
|
Dreyfus Short Term Income Fund
|
ü
|
|
|
ü
|
ü
|
The Dreyfus Fund Incorporated
|
ü
|
|
ü
|
ü
|
ü
|
The Dreyfus Third Century Fund
|
|
|
|
ü
|
ü
|
13
Dreyfus Natural Resources Fund, Dreyfus Short Duration Bond Fund
and The Dreyfus Fund Incorporated (1) will not sell securities short if, after effect is given to any
such short sale, the total market value of all securities sold short would exceed 25% of the value of
the fund's net assets (also applies to Dreyfus Inflation Adjusted Securities Fund and Dreyfus Intermediate
Term Income Fund) and (2) at no time will more than 15% of the value of the fund's net assets be in deposits
on short sales against the box. Additionally, Dreyfus Natural Resources Fund, Dreyfus Short Duration
Bond Fund and The Dreyfus Fund Incorporated may not make a short sale which results in the fund having
sold short in the aggregate more than 5% of the outstanding securities of any class of issuer.
14
Dreyfus Short Duration Bond Fund, Dreyfus Short-Intermediate Municipal
Bond Fund, The Dreyfus Fund Incorporated and The Dreyfus Third Century Fund each currently intends to
borrow money only for temporary or emergency (not leveraging) purposes in an amount up to 15% of the
value of its total assets (including the amount borrowed) valued at the lesser of cost or market, less
liabilities (not including the amount borrowed) at the time the borrowing is made.
Dreyfus Inflation Adjusted Securities Fund currently intends to
borrow money only for temporary or emergency (not leveraging) purposes; however, the fund, along with
Dreyfus Intermediate Term Income Fund, Dreyfus Natural Resources Fund, Dreyfus Short Duration Bond Fund
and Dreyfus Short Term Income Fund, may borrow for investment purposes on a secured basis through entering
into reverse repurchase agreements.
II-16
|
|
|
|
|
|
Fund
|
Borrowing Money for Leverage
14
|
Reverse Repurchase Agreements
|
Forward Commitments
|
Forward Roll Transactions
|
Illiquid Securities
|
Dreyfus Inflation Adjusted Securities Fund
|
|
ü
|
ü
|
ü
|
ü
|
Dreyfus Intermediate Term Income Fund
|
ü
|
ü
|
ü
|
ü
|
ü
|
Dreyfus Natural Resources Fund
|
ü
|
ü
|
ü
|
|
ü
|
Dreyfus Short Duration Bond Fund
|
|
ü
|
ü
|
ü
|
ü
|
Dreyfus Short-Intermediate Municipal Bond Fund
|
|
|
ü
|
|
ü
|
Dreyfus Short Term Income Fund
|
ü
|
ü
|
ü
|
ü
|
ü
|
The Dreyfus Fund Incorporated
|
|
|
|
|
ü
|
The Dreyfus Third Century Fund
|
|
|
|
|
ü
|
II-17
Money Market
Funds
|
|
|
|
|
|
Fund
|
U.S.
Government Securities
15
|
Repurchase Agreements
16
|
Bank Obligations
17
|
Loans
|
Floating and Variable Rate Obligations
|
Dreyfus
Institutional Cash Advantage Fund
|
ü
|
ü
|
ü
|
ü
(municipal securities
only)
|
ü
|
Dreyfus Institutional Preferred
Money Market Fund
|
ü
|
ü
|
ü
|
ü
(municipal securities only)
|
ü
|
Dreyfus Institutional Preferred Plus Money Market Fund
|
ü
|
ü
|
ü
|
ü
(municipal
securities only)
|
ü
|
Dreyfus Institutional Reserves
Money Fund
|
ü
|
ü
|
ü
|
ü
(municipal securities only)
|
ü
|
Dreyfus Institutional Reserves Treasury Fund
|
ü
|
ü
18
|
|
|
ü
|
Dreyfus Institutional Reserves
Treasury Prime Fund
|
ü
|
|
|
|
ü
|
Dreyfus Liquid Assets
|
ü
|
ü
|
ü
|
ü
(municipal securities
only)
|
ü
|
Dreyfus Worldwide Dollar Money
Market Fund
|
ü
|
ü
|
ü
|
ü
|
ü
|
15
Dreyfus
Institutional Reserves Treasury Fund normally invests only in U.S. Treasury securities backed by the
full faith and credit of the U.S. Government and in repurchase agreements, including tri-party repurchase
agreements, collateralized by U.S. Treasury securities and other securities issued or guaranteed as to
principal and interest by the U.S. Government.
Dreyfus Institutional Reserves Treasury Prime
Fund normally invests only in U.S. Treasury securities backed by the full faith and credit of the U.S.
Government.
16
Except with respect to Dreyfus Institutional Reserves
Treasury Fund, these repurchase agreements may be collateralized by securities other than U.S. Government
securities, such as corporate bonds, asset-backed securities and privately-issued mortgage-related securities,
of investment grade or below investment grade credit quality ("credit collateral").
17
Normally,
Dreyfus Institutional Cash Advantage Fund, Dreyfus Institutional Preferred Money Market Fund, Dreyfus
Institutional Preferred Plus Money Market Fund, Dreyfus Liquid Assets and Dreyfus Worldwide Dollar Money
Market Fund each invests at least 25% of its assets in domestic or dollar-denominated foreign bank obligations.
18
These repurchase agreements must be
collateralized by U.S. Treasury securities, except that up to 20% of the fund's net assets may consist
of repurchase agreements collateralized by other securities issued or guaranteed as to principal and
interest by the U.S. Government.
II-18
|
|
|
|
|
|
Fund
|
Asset-Backed
Securities
|
Commercial
Paper
|
Investment Companies
|
Municipal
Securities
|
Foreign Securities
19
|
Dreyfus Institutional Cash Advantage Fund
|
ü
|
ü
|
ü
|
ü
(up to 25%
of assets)
|
ü
|
Dreyfus Institutional Preferred
Money Market Fund
|
ü
|
ü
|
ü
|
ü
(up to 25% of assets)
|
ü
|
Dreyfus Institutional Preferred Plus Money Market Fund
|
ü
|
ü
|
ü
|
ü
(up to 25% of assets)
|
ü
|
Dreyfus Institutional Reserves
Money Fund
|
ü
|
ü
|
ü
|
ü
(up to 25% of assets)
|
ü
|
Dreyfus Institutional Reserves Treasury Fund
|
|
|
ü
|
|
|
Dreyfus Institutional Reserves Treasury Prime Fund
|
|
|
ü
|
|
|
Dreyfus Liquid Assets
|
ü
|
ü
|
ü
|
ü
(up to 25%
of assets)
|
ü
|
Dreyfus Worldwide Dollar Money
Market Fund
|
ü
|
ü
|
ü
|
ü
(up to 25% of assets)
|
ü
|
19
Dreyfus Institutional Preferred Money Market Fund may invest only
in securities issued by foreign branches of domestic banks, domestic and foreign branches of foreign
banks and commercial paper issued by foreign issuers.
II-19
|
|
|
|
|
|
|
Fund
|
Illiquid Securities
|
Borrowing Money
20
|
Reverse Repurchase Agreements
|
Forward Commitments
|
Interfund Borrowing
and Lending Program
|
Lending
Portfolio Securities
21
|
Dreyfus Institutional Cash Advantage Fund
|
ü
|
ü
|
ü
|
ü
|
ü
|
|
Dreyfus Institutional Preferred Money Market Fund
|
ü
|
ü
|
ü
|
ü
|
ü
|
ü
|
Dreyfus Institutional Preferred Plus Money Market Fund
|
ü
|
ü
|
ü
|
ü
|
ü
|
ü
|
Dreyfus Institutional Reserves Money Fund
|
ü
|
ü
|
ü
|
ü
|
ü
|
ü
|
Dreyfus Institutional Reserves
Treasury Fund
|
|
ü
|
ü
|
ü
|
ü
|
ü
|
Dreyfus Institutional Reserves Treasury Prime Fund
|
|
ü
|
|
ü
|
ü
|
ü
|
Dreyfus Liquid Assets
|
ü
|
ü
|
ü
|
|
ü
|
|
Dreyfus
Worldwide Dollar Money Market Fund
|
ü
|
ü
|
ü
|
ü
|
ü
|
ü
|
20
Dreyfus
Institutional Preferred Money Market Fund, Dreyfus Institutional Preferred Plus Money Market Fund, Dreyfus
Institutional Cash Advantage Fund, Dreyfus Institutional Reserves Money Fund, Dreyfus Institutional Reserves
Treasury Fund, Dreyfus Institutional Reserves Treasury Prime Fund, Dreyfus Liquid Assets and Dreyfus
Worldwide Dollar Money Market Fund each currently intends to borrow for temporary or emergency (not leveraging)
purposes. However, Dreyfus Institutional Preferred Money Market Fund, Dreyfus Institutional Preferred
Plus Money Market Fund, Dreyfus Institutional Cash Advantage Fund and Dreyfus Institutional Reserves
Money Fund, each may borrow for investment purposes on a secured basis through entering into reverse
repurchase agreements.
21
Other than pursuant to the Interfund Borrowing and
Lending Program.
INVESTMENT
RESTRICTIONS
"Fundamental Policies" may not be changed without approval of the
holders of a majority of the fund's outstanding voting securities (as defined in the 1940 Act). "Nonfundamental
Policies" may be changed at any time, without shareholder approval, by a vote of a majority of the board
members and in compliance with applicable law and regulatory policy.
Fundamental Policies
Except
as may be otherwise disclosed in the prospectus, each fund's investment objective is a Fundamental Policy.
Dreyfus Short-Intermediate Municipal Bond Fund's policy with respect to the investment of at least 80%
of its net assets is a Fundamental Policy (see "Policies Related to Fund Names" below). Additionally,
as a matter of Fundamental Policy, each fund, as indicated, may not (with respect to Dreyfus Institutional
Reserves Money Fund, Dreyfus Institutional Reserves Treasury Fund and Dreyfus Institutional Reserves
Treasury Prime Fund, except as described below or as otherwise permitted by the 1940 Act, the SEC or
other authority with appropriate jurisdiction, and disclosed to investors, each fund, as indicated, may
not):
1.
Borrowing
Dreyfus Institutional Cash
Advantage Fund, Dreyfus Institutional Preferred Money Market Fund, Dreyfus Institutional Preferred Plus
Money Market Fund, Dreyfus Institutional Reserves Money Fund, Dreyfus Institutional Reserves Treasury
Fund, Dreyfus Institutional Reserves Treasury Prime Fund, Dreyfus Liquid
II-20
Assets, Dreyfus
Worldwide Dollar Money Market Fund and The Dreyfus Third Century Fund.
Borrow money, except to
the extent permitted under the 1940 Act (which currently limits borrowing to no more than 33-1/3% of
the value of the fund's total assets).
Dreyfus Natural Resources Fund, Dreyfus Short Duration Bond Fund, Dreyfus Short-Intermediate
Municipal Bond Fund and The Dreyfus Fund Incorporated
. Borrow money, except to the extent permitted
under the 1940 Act (which currently limits borrowing to no more than 33-1/3% of the value of the fund's
total assets). For purposes of this Fundamental Policy, the entry into options, forward contracts, futures
contracts, including those relating to indices, and options on futures contracts or indices shall not
constitute borrowing.
Dreyfus
Inflation Adjusted Securities Fund, Dreyfus Intermediate Term Income Fund and Dreyfus Short Term Income
Fund.
Borrow money, except to the extent permitted under the 1940 Act (which currently limits
borrowing to no more than 33-1/3% of the value of the fund's total assets). For purposes of this Fundamental
Policy, the entry into options, futures contracts, including those relating to indices, and options on
futures contracts or indices shall not constitute borrowing.
2.
Commodities
Dreyfus Institutional
Reserves Money Fund, Dreyfus Institutional Reserves Treasury Fund and Dreyfus Institutional Reserves
Treasury Prime Fund
. Invest in physical commodities or physical commodities contracts.
Dreyfus Institutional
Cash Advantage Fund, Dreyfus Institutional Preferred Money Market Fund and Dreyfus Institutional Preferred
Plus Money Market Fund
. Invest in commodities.
Dreyfus Inflation Adjusted Securities Fund, Dreyfus Intermediate
Term Income Fund and Dreyfus Short Term Income Fund.
Invest in commodities, except that the fund
may purchase and sell futures contracts, including those relating to indices, and options on futures
contracts or indices.
Dreyfus
Natural Resources Fund.
Invest in commodities, except that the fund may purchase and sell options,
forward contracts, futures contracts, including those relating to indices, and options on futures contracts
or indices. (This restriction shall not prohibit the fund, subject to restrictions described in its
prospectus and this SAI, from purchasing, selling or entering into futures contracts, options on futures
contracts, foreign currency forward contracts, foreign currency options, or any interest rate, securities-related
or foreign currency-related hedging instrument, including swap agreements and other derivative instruments,
subject to compliance with any applicable provisions of the federal securities or commodities law.)
The Dreyfus Fund
Incorporated.
Purchase and sell commodities, except that the fund may purchase and sell options,
forward contracts, futures contracts, including those relating to indices, and options on futures contracts
or indices.
Dreyfus
Short Duration Bond Fund
. Purchase or sell physical commodities, except that the fund may purchase
and sell options, forward contracts, futures contracts, including those related to indices, and options
on futures contracts or indices, and enter into swap agreements and other derivative instruments that
are commodities or commodity contracts.
3.
Issuer Diversification
Dreyfus Institutional
Reserves Money Fund, Dreyfus Institutional Reserves Treasury Fund and Dreyfus Institutional Reserves
Treasury Prime Fund
. Invest more than 5% of its assets in the obligations of any single issuer,
except that up to 25% of the value of the fund's total assets may be invested, and securities issued
or guaranteed by the U.S. Government, or its agencies or instrumentalities and securities of other investment
companies may be purchased, without regard to any such limitation.
Dreyfus Inflation Adjusted Securities Fund and Dreyfus Intermediate
Term Income Fund.
Invest more than 5% of its assets in the obligations of any single issuer,
except that up to 25% of the value of the fund's total
II-21
assets may be invested, and securities issued or guaranteed by the U.S. Government,
or its agencies or instrumentalities may be purchased, without regard to any such limitation.
The Dreyfus Fund Incorporated.
Invest more than 5% of the market value of its net assets in the securities of any one issuer, except
that up to 25% of the value of the fund's total assets may be invested, and securities issued or guaranteed
by the U.S. Government, or its agencies or instrumentalities may be purchased, without regard to such
limitation.
Dreyfus
Institutional Preferred Money Market Fund and Dreyfus Institutional Preferred Plus Money Market Fund.
Invest more than 5% of its assets in the obligations of any one issuer, except that up to 25% of the
value of the fund's total assets may be invested without regard to any such limitation.
Dreyfus Institutional Cash Advantage
Fund.
Invest more than 5% of its assets in the obligations of any single issuer, except that
up to 25% of the value of the fund's total assets may be invested, and securities issued or guaranteed
by the U.S. Government, its agencies or instrumentalities may be purchased, without regard to any such
limitation.
Dreyfus
Liquid Assets.
Invest more than 15% of its assets in the obligations of any one bank or invest
more than 5% of its assets in the obligations of any one issuer, except that up to 25% of the value of
the fund's total assets may be invested without regard to any such limitation. Notwithstanding the foregoing,
to the extent required by rules of the SEC, the fund will not invest more than 5% of its assets in the
obligations of any one bank.
The
Dreyfus Third Century Fund.
Purchase the securities of any issuer if such purchase would cause
more than 5% of the value of its total assets to be invested in securities of such issuer (except securities
of the U.S. Government or any instrumentality thereof).
Dreyfus Worldwide Dollar Money Market Fund.
Invest more
than 15% of its assets in the obligations of any one bank, or invest more than 5% of its assets in the
obligations of any other issuer, except that up to 25% of the value of the fund's total assets may be
invested without regard to any such limitations. Notwithstanding the foregoing, to the extent required
by the rules of the SEC, the fund will not invest more than 5% of its assets in the obligations of any
one bank.
Dreyfus Inflation
Adjusted Securities Fund, Dreyfus Institutional Cash Advantage Fund, Dreyfus Institutional Reserves Money
Fund, Dreyfus Institutional Reserves Treasury Fund, Dreyfus Institutional Reserves Treasury Prime Fund,
Dreyfus Intermediate Term Income Fund and The Dreyfus Fund Incorporated
. Hold more than 10% of
the outstanding voting securities of any single issuer. This Fundamental Policy applies only with respect
to 75% of the fund's total assets.
The Dreyfus Third Century Fund.
Purchase the securities of any issuer if
such purchase would cause the fund to hold more than 10% of the outstanding voting securities of such
issuer.
4.
Industry Concentration
Dreyfus Institutional Reserves Treasury Fund and Dreyfus Institutional
Reserves Treasury Prime Fund.
Invest more than 25% of the value of its total assets in the securities
of issuers in any single industry, provided that there shall be no limitation on the purchase of obligations
issued or guaranteed by the U.S. Government, its agencies or instrumentalities or as otherwise permitted
by the SEC.
Dreyfus
Institutional Reserves Money Fund
. Invest more than 25% of the value of its total assets in the
securities of issuers in any single industry, provided that there shall be no limitation on the purchase
of obligations issued by banks or issued or guaranteed by the U.S. Government, its agencies or instrumentalities
or as otherwise permitted by the SEC.
Dreyfus Inflation Adjusted Securities Fund, Dreyfus Intermediate Term Income Fund,
Dreyfus Short Duration Bond Fund, Dreyfus Short Term Income Fund and The Dreyfus Fund Incorporated
.
Invest more than 25% of
II-22
the value of its total assets in the securities of issuers in any single industry, provided
that there shall be no limitation on the purchase of obligations issued or guaranteed by the U.S. Government,
its agencies or instrumentalities.
Dreyfus Natural Resources Fund.
Invest more than 25% of the value of its
total assets in the securities of issuers in any single industry, provided that there shall be no limitation
on the purchase of obligations issued or guaranteed by the U.S. Government, its agencies or instrumentalities.
The natural resources sector, in general, is not considered an industry for purposes of this Fundamental
Policy.
Dreyfus Short-Intermediate
Municipal Bond Fund.
Invest more than 25% of its assets in the securities of issuers in any single
industry; provided that there shall be no such limitation on the purchase of Municipal Bonds and, for
temporary defensive purposes, securities issued by banks and obligations issued or guaranteed by the
U.S. Government, its agencies or instrumentalities. For purposes of this Fundamental Policy, industrial
development bonds, where the payment of principal and interest is the ultimate responsibility of companies
with the same industry, are grouped together as an "industry."
Dreyfus Worldwide Dollar Money Market Fund.
Invest less
than 25% of its total assets in securities issued by banks or invest more than 25% of its assets in the
securities of issuers in any other industry, provided that there shall be no limitation on the purchase
of obligations issued or guaranteed by the U.S. Government, its agencies or instrumentalities. Notwithstanding
the foregoing, for temporary defensive purposes the fund may invest less than 25% of its assets in bank
obligations.
Dreyfus
Institutional Cash Advantage Fund.
Invest less than 25% of its total assets in securities issued
by banks or invest more than 25% of its total assets in the securities of issuers in any other industry,
provided that there shall be no limitation on the purchase of obligations issued or guaranteed by the
U.S. Government, its agencies or instrumentalities. Notwithstanding the foregoing, for temporary defensive
purposes the fund may invest less than 25% of its assets in bank obligations.
Dreyfus Institutional Preferred Money
Market Fund and Dreyfus Institutional Preferred Plus Money Market Fund.
Invest less than 25%
of its total assets in securities issued by banks or invest more than 25% in the securities of issuers
in any other industry, provided that there shall be no limitation on the purchase of obligations issued
or guaranteed by the U.S. Government, its agencies or instrumentalities. Notwithstanding the foregoing,
for temporary defensive purposes the fund may invest less than 25% of its assets in bank obligations.
Dreyfus Liquid
Assets.
Invest less than 25% of its assets in obligations issued by banks or invest more than
25% of its assets in the securities of issuers in any other industry, provided that there shall be no
limitation on the purchase of obligations issued or guaranteed by the U.S. Government, its agencies or
instrumentalities. Notwithstanding the foregoing, for temporary defensive purposes the fund may invest
less than 25% of its assets in bank obligations.
The Dreyfus Third Century Fund.
Concentrate its investments in any particular
industry or industries, except that the fund may invest up to 25% of the value of its total assets in
a single industry.
5.
Loans
Dreyfus Institutional Reserves Money
Fund, Dreyfus Institutional Reserves Treasury Fund, Dreyfus Institutional Reserves Treasury Prime Fund
and Dreyfus Short Duration Bond Fund.
Lend any securities or make loans to others, except to
the extent permitted under the 1940 Act (which currently limits such loans to no more than 33-1/3% of
the value of the fund's total assets). For purposes of this Fundamental Policy, the purchase of debt
obligations (including acquisitions of loans, loan participations or other forms of debt instruments)
and the entry into repurchase agreements shall not constitute loans by the fund. Any loans of portfolio
securities will be made according to guidelines established by the SEC and the board.
Dreyfus Intermediate Term Income Fund,
Dreyfus Short-Intermediate Municipal Bond Fund, Dreyfus Short Term Income Fund and The Dreyfus Fund Incorporated
.
Make loans to others, except through the purchase of
II-23
debt obligations and the entry into repurchase agreements; however, the fund may lend
its portfolio securities in an amount not to exceed 33-1/3% of the value of its total assets. Any loans
of portfolio securities will be made according to guidelines established by the SEC and the board.
Dreyfus Inflation
Adjusted Securities Fund and The Dreyfus Third Century Fund.
Lend any securities or make loans
to others, except to the extent permitted under the 1940 Act (which currently limits such loans to no
more than 33-1/3% of the value of the fund's total assets) or as otherwise permitted by the SEC. For
purposes of this Fundamental Policy, the purchase of debt obligations (including acquisitions of loans,
loan participations or other forms of debt instruments) and the entry into repurchase agreements shall
not constitute loans by the fund. Any loans of portfolio securities will be made according to guidelines
established by the SEC and the board.
Dreyfus Natural Resources Fund.
Lend any securities or make loans to others,
if, as a result, more than 33-1/3% of its total assets would be lent to others, except that this limitation
does not apply to the purchase of debt obligations and the entry into repurchase agreements. However,
the fund may lend its portfolio securities in an amount not to exceed 33-1/3% of the value of the fund's
total assets. Any loans of portfolio securities will be made according to guidelines established by
the SEC and the board.
Dreyfus
Institutional Cash Advantage Fund, Dreyfus Institutional Preferred Money Market Fund and Dreyfus Institutional
Preferred Plus Money Market Fund
. Lend any securities or make loans to others, except to the
extent permitted under the 1940 Act (which currently limits such loans to no more than 33-1/3% of the
value of the fund's total assets), and except as otherwise permitted by interpretations or modifications
by, or exemptive or other relief from, the SEC or other authority with appropriate jurisdiction, and
disclosed to investors. For purposes of this Fundamental Policy, the purchase of debt obligations (including
acquisitions of loans, loan participations or other forms of debt instruments) and the entry into repurchase
agreements shall not constitute loans by the fund. Any loans of portfolio securities will be made according
to guidelines established by the SEC and the board.
Dreyfus Worldwide Dollar Money Market Fund.
Lend securities
or make loans to others, except to the extent permitted under the 1940 Act (which currently limits such
loans to no more than 33-1/3% of the value of the fund's total assets), or interpretations or modifications
by, or exemptive or other relief from, the SEC or other authority with appropriate jurisdiction, and
disclosed to investors. For purposes of this Fundamental Policy, the purchase of debt obligations (including
acquisitions of loans, loan participations or other forms of debt instruments) and the entry into repurchase
agreements shall not constitute loans by the fund. Any loans of portfolio securities will be made according
to guidelines established by the SEC and the board.
Dreyfus Liquid Assets.
Make loans to others or lend any
securities, except as otherwise permitted by the 1940 Act (which currently limits such loans to no more
than 33-1/3% of the value of the fund's total assets), or interpretations or modifications by, or exemptive
or other relief from, the SEC or other authority with appropriate jurisdiction, and disclosed to investors.
For purposes of this Fundamental Policy, the purchase of debt obligations (including acquisitions of
loans, loan participations or other forms of debt instruments) and the entry into repurchase agreements
shall not constitute loans by the fund. Any loans of portfolio securities will be made according to
guidelines established by the SEC and the board.
6.
Margin
Dreyfus Natural Resources Fund and The
Dreyfus Fund Incorporated.
Purchase securities on margin, but the fund may make margin deposits
in connection with transactions in options, forward contracts, futures contracts, including those related
to indices, and options on futures contracts or indices.
Dreyfus Short Duration Bond Fund.
Purchase securities
on margin, but the fund may make margin deposits in connection with transactions in options, forward
contracts, futures contracts, and options on futures contracts.
Dreyfus Liquid Assets and Dreyfus Worldwide Dollar Money Market
Fund
. Purchase securities on margin.
II-24
Dreyfus Institutional
Cash Advantage Fund, Dreyfus Institutional Preferred Money Market Fund and Dreyfus Institutional Preferred
Plus Money Market Fund.
Purchase or sell securities on margin.
The Dreyfus Third Century Fund.
Purchase
securities on margin, but the fund may obtain such short-term credit as may be necessary for the clearance
of purchases and sales of securities.
7.
Real Estate
Dreyfus Institutional
Reserves Treasury Fund and Dreyfus Institutional Reserves Treasury Prime Fund
. Purchase, hold
or deal in real estate, or oil, gas or other mineral leases or exploration or development programs.
Dreyfus Institutional
Reserves Money Fund.
Purchase, hold or deal in real estate, or oil, gas or other mineral leases
or exploration or development programs, but the fund may purchase and sell securities that are secured
by real estate or issued by companies that invest or deal in real estate or REITs and may acquire and
hold real estate or interests therein through exercising rights or remedies with regard to such securities.
Dreyfus Liquid
Assets and Dreyfus Worldwide Dollar Money Market Fund.
Purchase or sell real estate, REIT securities,
commodities, or oil and gas interests.
Dreyfus Short-Intermediate Municipal Bond Fund.
Purchase or sell real estate,
commodities or commodity contracts, or oil and gas interests, but this shall not prevent the fund from
purchasing and selling options, forward contracts, futures contracts, including those relating to indices,
and options on futures contracts or indices.
Dreyfus Inflation Adjusted Securities Fund, Dreyfus Intermediate Term Income Fund
and Dreyfus Short Term Income Fund.
Purchase, hold or deal in real estate, or oil, gas or other
mineral leases or exploration or development programs, but the fund may purchase and sell securities
that are secured by real estate or issued by companies that invest or deal in real estate. In particular,
the fund may purchase mortgage-backed securities and REIT securities.
Dreyfus Institutional Cash Advantage
Fund, Dreyfus Institutional Preferred Money Market Fund and Dreyfus Institutional Preferred Plus Money
Market Fund
. Purchase, hold or deal in real estate, or oil, gas or other mineral leases or exploration
or development programs, but the fund may purchase and sell securities that are secured by real estate
or issued by companies that invest in or deal in real estate.
Dreyfus Short Duration Bond Fund.
Purchase or sell real
estate, but the fund may purchase and sell securities that are secured by real estate or issued by companies
that invest or deal in real estate or REITs and may acquire and hold real estate or interests therein
through exercising rights or remedies with regard to such securities.
The Dreyfus Third Century Fund.
Purchase,
hold or deal in commodities or commodity contracts, in oil, gas, or other mineral exploration or development
programs, or in real estate but this shall not prohibit the fund from investing, consistent with Nonfundamental
Policy No. 5 below, in securities of companies engaged in oil, gas or mineral investments or activities.
This limitation shall not prevent the fund from investing in securities issued by a REIT, provided that
such trust is not permitted to invest in real estate or in interests other than mortgages or other security
interests.
The Dreyfus Fund
Incorporated.
Purchase, hold or deal in real estate, but the fund may purchase and sell securities
that are secured by real estate or issued by companies that invest or deal in real estate or REITs.
8.
Senior Securities
Dreyfus Institutional Reserves Money Fund, Dreyfus Institutional
Reserves Treasury Fund, Dreyfus Institutional Reserves Treasury Prime Fund and Dreyfus Short Duration
Bond Fund.
Issue any senior security
II-25
(as such term is defined in Section 18(f) of the 1940 Act), except insofar as the fund
may be deemed to have issued a senior security by reason of borrowing money in accordance with the fund's
borrowing policies.
Dreyfus
Short-Intermediate Municipal Bond Fund.
Issue any senior security (as such term is defined in
Section 18(f) of the 1940 Act), except to the extent the activities permitted by Fundamental Policy Nos.
1 and 7 and Nonfundamental Policy No. 3 may be deemed to give rise to a senior security.
Dreyfus Natural Resources Fund.
Issue any senior security (as such term is defined in Section 18(f) of the 1940 Act), except to the
extent the activities permitted by Fundamental Policy Nos. 1 and 2 and Nonfundamental Policy Nos. 3 and
8 may be deemed to give rise to a senior security.
Dreyfus Inflation Adjusted Securities Fund, Dreyfus Intermediate
Term Income Fund and Dreyfus Short Term Income Fund.
Issue any senior security (as such term
is defined in Section 18(f) of the 1940 Act), except to the extent the activities permitted by Fundamental
Policy Nos. 1 and 2 and Nonfundamental Policy No. 3 may be deemed to give rise to a senior security.
Dreyfus Institutional
Cash Advantage Fund, Dreyfus Institutional Preferred Money Market Fund and Dreyfus Institutional Preferred
Plus Money Market Fund
. Issue any senior security (as such term is defined in Section 18(f) of
the 1940 Act).
9.
Short Sales
Dreyfus Short-Intermediate Municipal
Bond Fund.
Sell securities short or purchase securities on margin, but the fund may make margin
deposits in connection with transactions in options, forward contracts, futures contracts, including
those relating to indices, and options on futures contracts or indices.
The Dreyfus Third Century Fund.
Sell
any security short or engage in the purchase and sale of put, call, straddle, or spread options or combinations
thereof, or in writing such options, except that the fund may write and sell covered call option contracts
on securities owned by the fund up to, but not in excess of, 20% of the market value of its net assets
at the time such option contracts are written. The fund may also purchase call options for the purpose
of terminating its outstanding obligations with respect to securities upon which covered call option
contracts have been written. In connection with the writing of covered call options, the fund may pledge
assets to an extent not greater than 20% of the market value of its total net assets at the time such
options are written.
10.
Underwriting
Dreyfus Inflation Adjusted Securities
Fund, Dreyfus Institutional Cash Advantage Fund, Dreyfus Institutional Preferred Money Market Fund, Dreyfus
Institutional Preferred Plus Money Market Fund, Dreyfus Institutional Reserves Money Fund, Dreyfus Institutional
Reserves Treasury Fund, Dreyfus Institutional Reserves Treasury Prime Fund, Dreyfus Intermediate Term
Income Fund, Dreyfus Liquid Assets, Dreyfus Natural Resources Fund, Dreyfus Short Term Income Fund, Dreyfus
Worldwide Dollar Money Market Fund and The Dreyfus Fund Incorporated
. Act as an underwriter of
securities of other issuers, except to the extent the fund may be deemed an underwriter under the Securities
Act by virtue of disposing of portfolio securities.
Dreyfus Short Duration Bond Fund.
Act as an underwriter
of securities of other issuers, except to the extent the fund may be deemed an underwriter under the
Securities Act in connection with the purchase and sale of portfolio securities.
Dreyfus Short-Intermediate Municipal
Bond Fund.
Underwrite the securities of other issuers, except that the fund may bid separately
or as part of a group for the purchase of Municipal Bonds directly from an issuer for its own portfolio
to take advantage of the lower purchase price available, and except to the extent the fund may be deemed
an underwriter under the Securities Act by virtue of disposing of portfolio securities.
The Dreyfus Third Century Fund.
Act as an underwriter of securities of other issuers.
II-26
11.
Investing for Control
The Dreyfus Third Century Fund.
Invest in the securities
of a company for the purpose of exercising management or control, but the fund will vote the securities
it owns in its portfolio as a shareholder in accordance with its views.
12.
Other
The Dreyfus Third
Century Fund.
Purchase securities of any company having less than three years' continuous operating
history (including that of any predecessors) if such purchase would cause the value of the fund's investments
in all such securities to exceed 5% of the value of its net assets.
With respect to Dreyfus Short-Intermediate Municipal
Bond Fund, for purposes of industry concentration determinations, municipal securities, where the payment
of principal and interest for such securities is derived solely from a specific project, are grouped
together as an "industry."
In addition to
the Fundamental Policies described above, the following Fundamental Policies also apply to The Dreyfus
Third Century Fund:
·
The
fund's special considerations described in the prospectus will not be changed without shareholder approval.
The board may from time to time without shareholder approval adopt additional criteria or restrictions
governing the fund's investments if the board determines that the new criteria or restrictions are consistent
with the fund's objective of investing in a socially responsible manner. Any such new criteria or restrictions
would not be fundamental policies of the fund and could be subsequently terminated or changed by the
board at any time without shareholder approval.
·
The
fund may not purchase or retain the securities of any issuer if officers or board members of the fund
or of the Manager, who own beneficially more than 1/2 of 1% of the securities of such issuer, together
own beneficially more than 5% of the securities of such issuer.
·
The fund may not purchase from or sell to any of its
officers or board members, or firms of which any of them are members, any securities (other than capital
stock of the fund), but such persons or firms may act as brokers for the fund for customary commissions.
·
The
fund may not purchase warrants in excess of 2% of the value of its net assets. Such warrants shall be
valued at fair market value, except that warrants acquired by the fund in units or attached to securities
shall be deemed to be without value, for purposes of this restriction only.
Except for Dreyfus Natural
Resources Fund, references to commodities or commodity contracts in the Fundamental
Policies described above are to physical commodities or contracts in respect of physical commodities,
typically natural resources or agricultural products, and are not intended to refer to instruments that
are strictly financial in nature and are not related to the purchase or delivery of physical commodities.
Nonfundamental
Policies
As a Nonfundamental Policy, which may be changed at any time, without
shareholder approval, by a vote of a majority of the board members and in compliance with applicable
law and regulatory policy, each fund, as indicated, may not:
II-27
1.
Investing for Control
Dreyfus Inflation Adjusted Securities Fund, Dreyfus Intermediate
Term Income Fund and Dreyfus Short Term Income Fund
. Invest in the securities of a company for
the purpose of exercising management or control, but the fund will vote the securities it owns in its
portfolio as a shareholder in accordance with its views.
Dreyfus Liquid Assets, Dreyfus Institutional Reserves Money Fund,
Dreyfus Institutional Reserves Treasury Fund, Dreyfus Institutional Reserves Treasury Prime Fund
,
Dreyfus Short-Intermediate Municipal
Bond Fund and Dreyfus Worldwide Dollar Money Market Fund.
Invest in companies for the purpose
of exercising control.
The
Dreyfus Fund Incorporated.
Invest in the securities of a company for the purpose of management
or the exercise of control, but the fund votes the securities it owns in its portfolio as a shareholder
in accordance with its own views.
Dreyfus Short Duration Bond Fund.
Invest in companies for the purpose of
exercising control.
2.
Margin
Dreyfus Institutional Reserves Money
Fund, Dreyfus Institutional Reserves Treasury Fund and Dreyfus Institutional Reserves Treasury Prime
Fund
. Purchase securities on margin, except for use of short-term credit necessary for clearance
of purchases and sales of portfolio securities.
Dreyfus Inflation Adjusted Securities Fund, Dreyfus Intermediate Term Income Fund
and Dreyfus Short Term Income Fund.
Purchase securities on margin, but the fund may make margin
deposits in connection with transactions in futures, including those relating to indices, and options
on futures or indices.
3.
Pledging Assets
Dreyfus Natural Resources Fund.
Pledge, mortgage or hypothecate its assets, except to the extent necessary to secure permitted borrowings
and to the extent related to the purchase of securities on a when-issued or forward commitment basis
and the deposit of assets in escrow in connection with writing covered put and call options and collateral
and initial or variation margin arrangements with respect to options, forward contracts, futures contracts,
including those related to indices, and options on futures contracts or indices.
Dreyfus Short-Intermediate Municipal
Bond Fund.
Pledge, hypothecate, mortgage or otherwise encumber its assets, except to the extent
necessary to secure permitted borrowings and to the extent related to the deposit of assets in escrow
in connection with the purchase of securities on a when-issued or delayed-delivery basis and collateral
and initial or variation margin arrangements with respect to options, forward contracts, futures contracts,
including those related to indices, and options on futures contracts or indices.
Dreyfus Inflation Adjusted Securities
Fund, Dreyfus Intermediate Term Income Fund and Dreyfus Short Term Income Fund.
Pledge, mortgage
or hypothecate its assets, except to the extent necessary to secure permitted borrowings and to the extent
related to the purchase of securities on a when-issued or forward commitment basis and the deposit of
assets in escrow in connection with writing covered put and call options and collateral and initial or
variation margin arrangements with respect to options, futures contracts, including those relating to
indices, and options on futures contracts or indices.
Dreyfus Institutional Reserves Money Fund and Dreyfus Institutional
Reserves Treasury Fund.
Pledge, hypothecate, mortgage or otherwise encumber its assets, except
to the extent necessary to secure permitted borrowings; to facilitate engaging in repurchase agreement
transactions; and to the extent related to the purchase of securities on a when-issued, forward commitment
or delayed-delivery basis and the deposit of assets in escrow in connection with collateral and initial
or variation margin arrangements with respect to permitted transactions.
II-28
Dreyfus Institutional
Reserves Treasury Prime Fund.
Pledge, hypothecate, mortgage or otherwise encumber its assets,
except to the extent necessary to secure permitted borrowings and to the extent related to the purchase
of securities on a when-issued, forward commitment or delayed-delivery basis and the deposit of assets
in escrow in connection with collateral and initial or variation margin arrangements with respect to
permitted transactions.
Dreyfus
Liquid Assets and Dreyfus Worldwide Dollar Money Market Fund.
Pledge, hypothecate, mortgage or
otherwise encumber its assets, except to the extent necessary to secure permitted borrowings; to facilitate
engaging in repurchase agreement transactions; and in connection with the purchase of securities on a
when-issued or forward commitment basis.
Dreyfus Short Duration Bond Fund.
Pledge, mortgage, hypothecate or otherwise
encumber its assets, except to the extent necessary to secure permitted borrowings and to the extent
related to the purchase of securities on a when-issued or forward commitment basis and in connection
with writing covered put and call options and margin arrangements with respect to options, forward contracts,
futures contracts, including those relating to indices, and options on futures contracts or indices.
Dreyfus Institutional
Cash Advantage Fund, Dreyfus Institutional Preferred Money Market Fund and Dreyfus Institutional Preferred
Plus Money Market Fund.
Pledge, mortgage, hypothecate or otherwise encumber its assets, except
to the extent necessary to secure permitted borrowings; to facilitate engaging in repurchase agreement
transactions; and to the extent related to the deposit of assets in escrow in connection with the purchase
of securities on a when-issued or forward commitment basis.
The Dreyfus Third Century Fund.
Pledge, mortgage, hypothecate
or otherwise encumber its assets, except to the extent necessary to secure permitted borrowings.
The Dreyfus Fund
Incorporated.
Pledge, mortgage, hypothecate or otherwise encumber its assets, except to the extent
necessary to secure permitted borrowings and to the extent related to the purchase of securities on a
when-issued or forward commitment basis and the deposit of assets in escrow in connection with writing
covered put and call options and collateral and initial or variation margin arrangements with respect
to options, forward contracts, futures contracts, including those relating to indices, and options on
futures contracts or indices.
4.
Purchase Securities of Other Investment
Companies
Dreyfus Liquid
Assets, Dreyfus Institutional Reserves Money Fund, Dreyfus Institutional Reserves Treasury Fund, Dreyfus
Institutional Reserves Treasury Prime Fund, Dreyfus Short-Intermediate Municipal Bond Fund and Dreyfus
Worldwide Dollar Money Market Fund
. Invest in securities of other investment companies, except
to the extent permitted under the 1940 Act.
Dreyfus Inflation Adjusted Securities Fund, Dreyfus Intermediate Term Income Fund,
Dreyfus Natural Resources Fund, Dreyfus Short Duration Bond Fund, Dreyfus Short Term Income Fund and
The Dreyfus Third Century Fund.
Purchase securities of other investment companies, except to
the extent permitted under the 1940 Act.
The Dreyfus Fund Incorporated.
Purchase any securities issued by any investment
company, except to the extent permitted under the 1940 Act.
5.
Illiquid
Investments
Dreyfus
Liquid Assets, Dreyfus Institutional Cash Advantage Fund, Dreyfus Institutional Reserves Money Fund,
Dreyfus Institutional Reserves Treasury Fund, Dreyfus Institutional Reserves Treasury Prime Fund and
Dreyfus Worldwide Dollar Money Market Fund.
Enter into repurchase agreements providing for settlement
in more than seven days after notice or purchase securities which are illiquid if, in the aggregate,
more than 5% of the value of the fund's total assets would be so invested.
II-29
Dreyfus Inflation
Adjusted Securities Fund, Dreyfus Intermediate Term Income Fund, Dreyfus Natural Resources Fund, Dreyfus
Short Duration Bond Fund, Dreyfus Short Term Income Fund, The Dreyfus Fund Incorporated and The Dreyfus
Third Century Fund
. Enter into repurchase agreements providing for settlement in more than seven
days after notice or purchase securities which are illiquid if, in the aggregate, more than 15% of the
value of the fund's net assets would be so invested.
Dreyfus Short-Intermediate Municipal Bond Fund.
Enter
into repurchase agreements providing for settlement in more than seven days after notice or purchase
securities which are illiquid (which securities could include participation interests (including municipal
lease/purchase agreements) that are not subject to the demand feature described in the fund's prospectus,
and floating and variable rate demand obligations as to which the fund cannot exercise the demand feature
described in the fund's prospectus on less than seven days' notice and as to which there is no secondary
market), if, in the aggregate, more than 15% of its net assets would be so invested.
Dreyfus Institutional Preferred Money
Market Fund and Dreyfus Institutional Preferred Plus Money Market Fund.
Enter into repurchase
agreements providing for settlement in more than seven days after notice or purchase securities which
are illiquid if, in the aggregate, more than 5% of the value of the fund's net assets would be so invested.
6.
Short Sales
Dreyfus Liquid Assets, Dreyfus Institutional Reserves Money Fund,
Dreyfus Institutional Reserves Treasury Fund, Dreyfus Institutional Reserves Treasury Prime Fund and
Dreyfus Worldwide Dollar Money Market Fund.
Sell securities short.
7.
Investment
in Other than Municipal Bonds
Dreyfus
Short-Intermediate Municipal Bond Fund.
Purchase securities other than Municipal Bonds and taxable
investments and those arising out of transactions in futures and options or as otherwise provided in
the fund's prospectus.
8.
Puts/Calls
Dreyfus Inflation Adjusted Securities
Fund, Dreyfus Intermediate Term Income, Dreyfus Natural Resources Fund and Dreyfus Short Term Income
Fund.
Purchase, sell or write puts, calls or combinations thereof, except as described in its
prospectus and this SAI.
Dreyfus
Liquid Assets and Dreyfus Worldwide Dollar Money Market Fund
. Write or purchase put or call options or combinations thereof.
With respect to each fund,
if a percentage restriction is adhered to at the time of investment, a later change in percentage resulting
from a change in values or assets will not constitute a violation of such restriction, except as otherwise
required by the 1940 Act. With respect to the funds' policies pertaining to borrowing, however, if borrowings
exceed 33-1/3% of the value of a fund's total assets as a result of a change in values or assets, the
fund must take steps to reduce such borrowings within three days (not including Sundays and holidays)
thereafter at least to the extent of such excess.
Dreyfus Inflation Adjusted Securities Fund, Dreyfus Natural Resources
Fund and Dreyfus Short Duration Bond Fund have adopted policies prohibiting them from operating as funds-of-funds
in reliance on Section 12(d)(1)(F) or Section 12(d)(1)(G) of the 1940 Act.
Policies
Related to Fund Names
Each of the following funds invests, under normal circumstances,
at least 80% of its net assets, plus any borrowings for investment purposes (for funds that may borrow
for investment purposes), in the instruments (or other instruments with similar economic characteristics)
described below. Each fund has adopted a policy to provide its
II-30
shareholders
with at least 60 days' prior notice of any change in its policy to so invest its assets (except for certain
funds that have adopted such policy as a Fundamental Policy as indicated above).
|
|
Fund
|
Investment
|
Dreyfus Inflation Adjusted
Securities Fund
|
Two separate tests: (1) inflation-indexed
securities and (2) investment grade securities
|
Dreyfus Intermediate Term Income
Fund
Dreyfus Short Term Income Fund
|
Fixed-income securities of U.S. and foreign issuers rated investment grade or the unrated
equivalent as determined by the Manager
|
Dreyfus Natural Resources Fund
|
Stocks of companies in the
natural resources and natural resources related sectors
|
Dreyfus
Short Duration Bond Fund
|
Bonds (or other instruments
with similar economic characteristics)
|
Dreyfus Short-Intermediate
Municipal Bond Fund
|
Municipal Bonds
|
DIVIDENDS AND DISTRIBUTIONS
Dreyfus Inflation Adjusted Securities Fund, Dreyfus Institutional
Reserves Money Fund, Dreyfus Institutional Reserves Treasury Fund, Dreyfus Institutional Reserves Treasury
Prime Fund, Dreyfus Institutional Cash Advantage Fund, Dreyfus Institutional Preferred Money Market Fund,
Dreyfus Institutional Preferred Plus Money Market Fund, Dreyfus Intermediate Term Income Fund, Dreyfus
Liquid Assets, Dreyfus Short Duration Bond Fund, Dreyfus Short-Intermediate Municipal Bond Fund, Dreyfus
Short Term Income Fund and Dreyfus Worldwide Dollar Money Market Fund
Each fund ordinarily declares
dividends from its net investment income on each business day, which is every day the NYSE or, with respect
to Dreyfus Institutional Reserves Money Fund, Dreyfus Institutional Cash Advantage Fund, Dreyfus Institutional
Preferred Money Market Fund, Dreyfus Institutional Preferred Plus Money Market Fund, Dreyfus Liquid Assets
and Dreyfus Worldwide Dollar Money Market Fund only, the Transfer Agent is open for business.
INFORMATION
ABOUT THE FUNDS' ORGANIZATION AND STRUCTURE
Each fund is an open-end management investment
company. Listed below are the forms of organization of each fund company, its corresponding fund series
(if any), the dates of organization and each fund's subclassification as "diversified" or "non-diversified"
under the 1940 Act. The fund companies (in bold) listed below are either Maryland corporations or Massachusetts
business trusts. If one or more funds are listed in italics thereunder, then such fund company is a
"series" company, and investments are made through, and shareholders invest in, the fund series shown.
References in this SAI to a "fund" generally refer to the series of a series company; if no such funds
are listed under a bold fund company name, then it is not organized as a series company and the term
"fund" refers to such fund company.
|
|
|
|
Name
|
State
of Organization
|
Date of Organization*
|
Diversification Classification
|
|
|
|
|
Dreyfus Institutional Cash Advantage
Funds
|
Massachusetts
|
May 21, 1993
|
|
Dreyfus Institutional Cash Advantage Fund
|
|
|
Diversified
|
Dreyfus Institutional Preferred
Money Market Funds
|
Massachusetts
|
May 21, 1993
|
|
Dreyfus Institutional Preferred Money Market Fund
|
|
|
Diversified
|
II-31
|
|
|
|
Name
|
State of Organization
|
Date of Organization*
|
Diversification Classification
|
|
|
|
|
Dreyfus
Institutional Preferred Plus Money Market Fund
|
|
|
Diversified
|
Dreyfus Institutional Reserves
Funds
|
Massachusetts
|
January 10, 2008**
|
|
Dreyfus Institutional Reserves Money Fund
|
|
|
Diversified
|
Dreyfus
Institutional Reserves Treasury Fund
|
|
|
Diversified
|
Dreyfus
Institutional Reserves Treasury Prime Fund
|
|
|
Diversified
|
Dreyfus Investment Grade Funds,
Inc.
|
Maryland
|
June 26, 1992
|
|
Dreyfus Inflation Adjusted Securities Fund
|
|
|
Diversified
|
Dreyfus
Intermediate Term Income Fund
|
|
|
Diversified
|
Dreyfus Short Term Income Fund
|
|
|
Non-diversified
|
Dreyfus
Liquid Assets, Inc.
|
Maryland
|
September 6, 1973
|
Diversified
|
Dreyfus Opportunity Funds
|
Massachusetts
|
May 21, 1993
|
|
Dreyfus Natural Resources Fund
|
|
|
Non-diversified
|
Dreyfus
Premier Short-Intermediate Municipal Bond Fund
|
Massachusetts
|
October 29, 1986
|
|
Dreyfus Short-Intermediate Municipal Bond Fund
|
|
|
Non-diversified
|
Dreyfus
Short Duration Bond Fund
|
Massachusetts
|
September 19, 1986
|
Diversified
|
Dreyfus Worldwide Dollar Money
Market Fund, Inc.
|
Maryland
|
February 2, 1989
|
Diversified
|
The Dreyfus Fund Incorporated
|
Maryland
|
January 2, 1947
|
Diversified
|
The Dreyfus Third Century Fund,
Inc.
|
Delaware
Maryland
|
May 6, 1971
Reorganized
as a Maryland corporation on October 9, 1981
|
Diversified
|
*
As
a result of legal requirements relating to the formation of Massachusetts business trusts, there may
have been a significant period of time between the dates of organization and commencement of operations
for funds organized in this structure, during which time no business or other activities were conducted.
**
Prior to Dreyfus
Institutional Reserves Funds commencing operations, the fund participated in a tax-free reorganization
where each series of the fund received the assets of a corresponding series of BNY Hamilton Funds.
II-32
CERTAIN EXPENSE ARRANGEMENTS
AND OTHER DISCLOSURES
Dreyfus
Inflation Adjusted Securities Fund, Dreyfus Intermediate Term Income Fund, Dreyfus Short Term Income
Fund and Dreyfus Worldwide Dollar Money Market Fund.
The Manager has agreed that if in any fiscal
year the aggregate expenses of the fund, exclusive of taxes, brokerage, interest on borrowings and (with
the prior written consent of the necessary state securities commissions) extraordinary expenses, but
including the management fee, exceed the expense limitation of any state having jurisdiction over the
fund, the fund may deduct from the payment to be made to the Manager under the fund's agreement with
the Manager, or the Manager will bear, such excess expense to the extent required by state law. Such
deduction or payment, if any, will be estimated daily, and reconciled and effected or paid, as the case
may be, on a monthly basis.
Dreyfus Liquid
Assets.
The Manager has agreed that if in any fiscal year the fund's aggregate expenses, exclusive
of taxes, brokerage, interest and (with the prior written consent of the necessary state securities commissions)
extraordinary expenses, but including the management fee, exceed 1% of the value of the fund's average
net assets for the fiscal year, the Manager will refund to the fund, or bear, the excess over 1%. Such
expense reimbursement, if any, will be estimated, reconciled and paid on a monthly basis.
Dreyfus Short Duration Bond Fund.
The Manager has agreed
that if in any fiscal year the aggregate expenses of the fund, exclusive of taxes, brokerage, interest
on borrowings and (with the prior written consent of the necessary state securities commissions) extraordinary
expenses, but including the management fee, exceed 1-1/2% of the average value of the fund's net assets
for the fiscal year, the fund may deduct from the payment to be made to the Manager under the fund's
agreement with the Manager, or the Manager will bear, such excess expense. Such deduction or payment,
if any, will be estimated daily, and reconciled and effected or paid, as the case may be, on a monthly
basis.
Dreyfus Short-Intermediate Municipal
Bond Fund.
The Manager has agreed that if in any fiscal year the aggregate expenses of the fund,
exclusive of taxes, brokerage, interest on borrowings and (with the prior written consent of the necessary
state securities commissions) extraordinary expenses, but including the management fee, exceed, with
respect to Class D shares, 1-1/2% of the value of the fund's average net assets attributable to Class
D shares for the fiscal year, the fund may deduct from the payment to be made to the Manager under the
fund's agreement with the Manager, or the Manager will bear, such excess expense. Such deduction or
payment, if any, will be estimated daily, and reconciled and effected or paid, as the case may be, on
a monthly basis.
The Dreyfus Fund
Incorporated.
The Manager has agreed that if the aggregate expenses of the fund, exclusive of
taxes and brokerage commissions but including the management fee, exceed 1% of the value of the fund's
average daily net assets for any full fiscal year, the Manager will bear such expenses or refund to the
fund the amount of such excess.
The
Dreyfus Third Century Fund.
The Manager has agreed that if, in any fiscal year, the aggregate
expenses of the fund, exclusive of taxes, brokerage, interest and (with the prior written consent of
the necessary state securities commissions) extraordinary expenses, but including the management fee,
exceed, with respect to Class Z of the fund, 1-1/2% of the average value of the fund's net assets attributable
to its Class Z shares, the fund may deduct from the fees to be paid to the Manager, or the Manager will
bear, the excess expense. For each fiscal year of the fund, the Manager will pay or bear such excess
on a pro rata basis in proportion to the relative fees otherwise payable pursuant to the fund's agreement
with the Manager. Such deduction or payment, if any, will be estimated, reconciled and effected or paid,
as the case may be, on a monthly basis and will be limited to the amount of fees otherwise payable to
the Manager under the fund's agreement with the Manager.
COUNSEL AND INDEPENDENT REGISTERED PUBLIC ACCOUNTING
FIRM
Except for The Dreyfus Third Century Fund, Stroock & Stroock & Lavan LLP, 180
Maiden Lane, New York, New York 10038-4982, as counsel for the funds, has rendered its opinion
as to certain legal matters regarding the due authorization and valid issuance of the shares being sold
pursuant to the funds' prospectuses. For The Dreyfus Third Century Fund, Fulbright & Jaworski
L.L.P., 666 Fifth Avenue, New York, New York 10103-3198, as counsel for the fund, has rendered its opinion
as to certain legal matters regarding the due authorization and valid issuance of the shares being sold
pursuant to the fund's prospectus.
II-33
Ernst
& Young LLP, 5 Times Square, New York, New York 10036-6530, an independent registered public accounting
firm, has been selected to serve as the independent registered public accounting firm for the funds.
II-34
PART
III
ADDITIONAL INFORMATION ABOUT HOW TO BUY SHARES
See the prospectus and "How to Buy Shares" in
Part II of this SAI to determine which sections of the discussion below apply to your fund.
Except as may be otherwise
described in "How to Buy SharesInformation Regarding the Offering of Share Classes" in Part II
of this SAI or in the prospectus, fund shares may be purchased through the Distributor or Service Agents
that have entered into service agreements with the Distributor. The initial investment must be accompanied
by the Account Application. If required information is missing from your Account Application, it may
be rejected. If an account is established pending receipt of requested information, it may be restricted
to liquidating transactions only and closed if requested information is not received within specified
time frames. Subsequent purchase requests may be sent directly to the Transfer Agent or your Service
Agent or as otherwise described in the prospectus. Shares of the funds will only be issued against full
payment. You will be charged a fee if a check used to purchase fund shares is returned unpayable. Effective
July 1, 2011 the funds issue shares in book entry form only and no longer issue share certificates.
Each
fund reserves the right to reject any purchase order. No fund will establish an account for a "foreign
financial institution," as that term is defined in Treasury rules implementing Section 312 of the USA
PATRIOT Act. Foreign financial institutions include: foreign banks (including foreign branches of U.S.
depository institutions); foreign offices of U.S. securities broker-dealers, futures commission merchants
and mutual funds; non-U.S. entities that, if they were located in the United States, would be securities
broker-dealers, futures commission merchants or mutual funds; and non-U.S. entities engaged in the business
of currency dealer or exchanger or money transmitter. No fund will accept cash, travelers' checks or
money orders as payment for shares.
Service Agents may impose certain conditions on their clients which
are different from those described in the prospectus and this SAI and, to the extent permitted by applicable
regulatory authority, may charge their clients direct fees. You should consult your Service Agent in
this regard. As discussed under "Management Arrangements
Distributor" in Part III of this SAI, Service Agents may receive revenue
sharing payments from Dreyfus or the Distributor. The receipt of such payments could create an incentive
for a Service Agent to recommend or sell fund shares instead of other mutual funds where such payments
are not received. Please contact your Service Agent for details about any payments it may receive in
connection with the sale of fund shares or the provision of services to a fund.
The Code imposes various limitations
on the amount that may be contributed to certain Retirement Plans or government sponsored programs.
These limitations apply with respect to participants at the Retirement Plan level and, therefore, do
not directly affect the amount that may be invested in a fund by a Retirement Plan or government sponsored
programs. Participants and plan sponsors should consult their tax advisors for details.
Investment Minimums
Each fund reserves the right to vary further the initial and subsequent
investment minimum requirements at any time.
Except as may be otherwise described in "How to Buy SharesInvestment
Minimums" in Part II of this SAI, shares of each fund are offered without regard to the minimum initial
investment requirements to fund board members who elect to have all or a portion of their compensation
for serving in that capacity automatically invested in the fund.
Purchase
of Institutional Money Funds and Cash Management Funds (not applicable to Institutional Direct accounts)
In
addition to the purchase information which may be described in "How to Buy Shares
Purchase of Institutional Money Funds" in Part II
of this SAI, shares may be purchased by wire, by telephone or through a compatible automated interface
or trading system. All payments should be made in U.S. dollars and, to avoid fees and delays, should
be drawn only on U.S. banks. To place an order by telephone or to determine whether their automated
facilities are compatible with the fund, investors should call Dreyfus Investments Division at 1-800-346-3621.
III-1
In-Kind Purchases
Certain funds may, at their discretion, permit
the purchases of shares through an "in-kind" exchange of securities. Any securities exchanged must meet
the investment objective, policies and limitations of the fund, must have a readily ascertainable market
value, must be liquid and must not be subject to restrictions on resale. The market value of any securities
exchanged, plus any cash, must be at least equal to the fund's minimum initial investment. Shares purchased
in exchange for securities generally cannot be redeemed for fifteen days following the exchange in order
to allow time for the transfer to settle.
Securities accepted by a fund will be valued in the same manner
as the fund values its assets. Any interest earned on the securities following their delivery to the
fund and prior to the exchange will be considered in valuing the securities. All interest, dividends,
subscription or other rights attached to the securities become the property of the fund, along with the
securities. The exchange of securities for fund shares may be a taxable transaction to the shareholder.
For further information about "in-kind" purchases, call 1-800-DREYFUS (inside the U.S. only).
Information Pertaining to Purchase Orders
For certain institutions that have entered into
agreements with the Distributor, payment for the purchase of shares of funds other than money market
funds may be transmitted, and must be received by the Transfer Agent, within three business days after
the order is placed. If such payment is not received within three business days after the order is placed,
the order may be canceled and the institution could be held liable for resulting fees and/or losses.
Federal Funds (money market funds only)
. Shares of each fund are sold on a continuous basis at the
NAV per share next determined after an order and Federal Funds are received by the Transfer Agent or
other entity authorized to receive orders on behalf of the fund. If you do not remit Federal Funds,
your payment must be converted into Federal Funds. This usually occurs within one business day of receipt
of a bank wire and within two business days of receipt of a check drawn on a member bank of the Federal
Reserve System. Checks drawn on banks which are not members of the Federal Reserve System may take considerably
longer to convert into Federal Funds. Prior to receipt of Federal Funds, your money will not be invested
in the fund.
Dreyfus TeleTransfer Privilege
.
Except as may be otherwise described in "How to Buy SharesDreyfus TeleTransfer Privilege"
in Part II of this SAI, you may purchase fund shares by telephone or online if you have supplied the
necessary information on the Account Application or have filed a Shareholder Services Form with the Transfer
Agent. The proceeds will be transferred between the bank account designated in one of these documents
and your fund account. Only a bank account maintained in a domestic financial institution which is an
ACH member may be so designated.
Dreyfus TeleTransfer purchase orders may be made at any time.
If purchase orders are received prior to the time as of which the fund calculates its NAV (as described
in the prospectus) on any day the Transfer Agent and the NYSE are open for regular business, fund shares
will be purchased at the public offering price determined on that day. If purchase orders are made after
the time as of which the fund calculates its NAV on any day the Transfer Agent and the NYSE are open
for regular business, or made on Saturday, Sunday or any fund holiday (
e.g
., when the NYSE is not open for business)
fund shares will be purchased at the public offering price determined on the next bank business day following
such purchase order. To qualify to use the Dreyfus TeleTransfer Privilege, the initial payment for purchase
of shares must be drawn on, and redemption proceeds paid to, the same bank and account as are designated
on the Account Application or Shareholder Services Form on file. If the proceeds of a particular redemption
are to be sent to an account at any other bank, the request must be in writing and signature-guaranteed
as described below under "Additional Information About How to Redeem SharesShare Certificates;
Medallion Signature Guarantees." See "Additional Information About How to Redeem SharesDreyfus
TeleTransfer Privilege" below for more information. Dreyfus TeleTransfer Privilege enables investors
to make regularly scheduled investments and may provide investors with a convenient way to invest for
long-term financial goals, but does not guarantee a profit and will not protect an investor against loss
in a declining market.
Reopening an Account
. Except as may be otherwise described in "How
to Buy SharesReopening An Account" in Part II of this SAI, you may reopen an account with a minimum
investment of $100 without filing a new Account
III-2
Application
during the calendar year the account is closed or during the following calendar year, provided the information
on the old Account Application is still applicable.
Multi-Class Funds
. When purchasing
shares of a Multi-Class Fund, you must specify which class is being purchased. In many cases, neither
the Distributor nor the Transfer Agent will have the information necessary to determine whether a quantity
discount or reduced sales charge is applicable to a purchase. You or your Service Agent must notify
the Distributor whenever a quantity discount or reduced sales charge is applicable to a purchase and
must provide the Distributor with sufficient information at the time of purchase to verify that each
purchase qualifies for the privilege or discount.
Service Agents may receive different levels of compensation for
selling different classes of shares of the Multi-Class Funds.
Class A.
Except as may be otherwise described in "How to Buy SharesClass
A" in Part II of this SAI, and as described below with respect to: (a) Class A shares of a Multi-Class
Fund that is an equity fund purchased by shareholders who beneficially owned Class A shares of such fund
on November 30, 1996; and (b) Class T shares exchanged for Class A shares, the public offering price
for Class A shares of each Multi-Class Fund that is an equity fund is the NAV per share of that class
plus a sales load as shown below:
|
|
|
|
Total Sales
Load*Class A Shares
|
Amount
of Transaction
|
As a % of offering
price per share
|
As a % of NAV
per share
|
Dealers'
reallowance as a %
of offering price
|
|
|
|
|
Less than $50,000
|
5.75
|
6.10
|
5.00
|
|
|
|
|
$50,000 to less than $100,000
|
4.50
|
4.71
|
3.75
|
|
|
|
|
$100,000 to less than $250,000
|
3.50
|
3.63
|
2.75
|
|
|
|
|
$250,000 to less than $500,000
|
2.50
|
2.56
|
2.25
|
|
|
|
|
$500,000 to less than $1,000,000
|
2.00
|
2.04
|
1.75
|
|
|
|
|
$1,000,000 or more
|
-0-
|
-0-
|
-0-
|
____________________________
*
Due to rounding, the actual sales load you pay may be more or less than that calculated using these percentages.
The public offering
price for Class A shares of a Multi-Class Fund that is an equity fund purchased by shareholders who beneficially
owned Class A shares of such fund on November 30, 1996 is the NAV per share of that class plus a sales
load as shown below:
III-3
|
|
|
|
Total Sales
Load*
Class A Shares
|
Amount of Transaction
|
As
a % of offering
price per share
|
As a % of NAV
per share
|
Dealers' reallowance as a %
of
offering price
|
|
|
|
|
Less than $50,000
|
4.50
|
4.71
|
4.25
|
|
|
|
|
$50,000 to less than $100,000
|
4.00
|
4.17
|
3.75
|
|
|
|
|
$100,000 to less than $250,000
|
3.00
|
3.09
|
2.75
|
|
|
|
|
$250,000 to less than $500,000
|
2.50
|
2.56
|
2.25
|
|
|
|
|
$500,000 to less than $1,000,000
|
2.00
|
2.04
|
1.75
|
|
|
|
|
$1,000,000 or more
|
-0-
|
-0-
|
-0-
|
____________________________
*
Due to rounding, the actual sales load you pay may be more or less than that calculated using these percentages.
Effective
February 4, 2009 (the "Exchange Date"), Class T shares are no longer offered by any Multi-Class Fund.
Holders of Class T shares of a Multi-Class Fund as of the Exchange Date received automatically, in exchange
for their Class T shares of a fund, Class A shares of the fund having an aggregate NAV equal to the aggregate
value of the shareholder's Class T shares. For shareholders of a Multi-Class Fund who received Class
A shares of the fund in exchange for their Class T shares of the fund on the Exchange Date, the public
offering price for Class A shares of the fund is the NAV per share of Class A of the fund plus a sales
load as shown below:
|
|
|
|
Total Sales
Load*Class A Shares
|
Amount
of Transaction
|
As a % of offering
price per
share
|
As a % of NAV
per share
|
Dealers'
reallowance as a %
of offering price
|
|
|
|
|
Less than $50,000
|
4.50
|
4.71
|
4.00
|
|
|
|
|
$50,000 to less than $100,000
|
4.00
|
4.17
|
3.50
|
|
|
|
|
$100,000 to less than $250,000
|
3.00
|
3.09
|
2.50
|
|
|
|
|
$250,000 to less than $500,000
|
2.00
|
2.04
|
1.75
|
|
|
|
|
$500,000 to less than $1,000,000
|
1.50
|
1.52
|
1.25
|
|
|
|
|
$1,000,000 or more
|
-0-
|
-0-
|
-0-
|
____________________________
*
Due to rounding, the actual sales load you pay may be more or less than that calculated using these percentages.
Except
as may be otherwise described in "How to Buy Shares
Class A" in Part II of this SAI, the public offering price for Class
A shares of each Multi-Class Fund that is a bond fund is the NAV per share of that class plus a sales
load as shown below:
III-4
|
|
|
|
Total Sales
Load*Class A Shares
|
Amount
of Transaction
|
As a % of offering
price per
share
|
As a % of NAV
per share
|
Dealers'
reallowance as a %
of offering price
|
|
|
|
|
Less than $50,000
|
4.50
|
4.71
|
4.25
|
|
|
|
|
$50,000 to less than $100,000
|
4.00
|
4.17
|
3.75
|
|
|
|
|
$100,000 to less than $250,000
|
3.00
|
3.09
|
2.75
|
|
|
|
|
$250,000 to less than $500,000
|
2.50
|
2.56
|
2.25
|
|
|
|
|
$500,000 to less than $1,000,000
|
2.00
|
2.04
|
1.75
|
|
|
|
|
$1,000,000 or more
|
-0-
|
-0-
|
-0-
|
___________________________
* Due to rounding,
the actual
sales load you pay may be more or less than that calculated using these percentages.
Class A shares of a Multi-Class
Fund purchased without an initial sales load as part of an investment of $1,000,000 or more may be assessed
at the time of redemption a 1% CDSC if redeemed within one year of purchase. The Distributor may pay
Service Agents an up-front commission of up to 1% of the NAV of Class A shares purchased by their clients
as part of a $1,000,000 or more investment in Class A shares that are subject to a CDSC. If the Service
Agent waives receipt of such commission, the CDSC applicable to such Class A shares will not be assessed
at the time of redemption.
The scale of sales loads applies to purchases of Class A shares made by any Purchaser.
·
Class A Shares
Offered at NAV
. Full-time employees of member firms of FINRA and full-time employees of other
financial institutions which have entered into an agreement with the Distributor pertaining to the sale
of fund shares (or which otherwise have a brokerage-related or clearing arrangement with a FINRA member
firm or financial institution with respect to the sale of such shares) may purchase Class A shares for
themselves directly or pursuant to an employee benefit plan or other program (if fund shares are offered
to such plans or programs), or for their spouses or minor children, at NAV without a sales load, provided
they have furnished the Distributor with such information as it may request from time to time in order
to verify eligibility for this privilege. This privilege also applies to full-time employees of financial
institutions affiliated with FINRA member firms whose full-time employees are eligible to purchase Class
A shares at NAV. In addition, Class A shares are offered at NAV to full-time or part-time employees
of Dreyfus or any of its affiliates or subsidiaries, directors of Dreyfus, board members of a fund advised
by Dreyfus or its affiliates, or the spouse or minor child of any of the foregoing. Further, a charitable
organization investing $50,000 or more in fund shares and a charitable remainder trust (each as defined
in Section 501(c)(3) of the Code) may purchase Class A shares at NAV without payment of a sales charge,
provided that such Class A shares are purchased directly through the Distributor. Any such charitable
organization or charitable remainder trust that held Class A shares of a fund as of July 15, 2011, and
continues to hold such Class A shares, may purchase additional Class A shares of the fund at NAV without
a sales load whether or not purchasing such shares directly through the Distributor. Additional information
about purchasing Class A shares at NAV is in the prospectus.
A shareholder purchasing
fund shares through a Service Agent may no longer be eligible to purchase fund shares at NAV without
a sales load, if the nature of the shareholder's relationship, and/or the services the shareholder receives
from, the Service Agent changes. Please consult your Service Agent for further details.
·
Dealer Reallowance
. The dealer reallowance provided with respect to
Class A shares may be changed from time to time but will remain the same for all dealers. The Distributor,
at its own expense, may provide additional promotional incentives to dealers that sell shares of funds
advised or administered by
III-5
Dreyfus which are sold with a sales load, such as Class A shares. In some instances,
these incentives may be offered only to certain dealers who have sold or may sell significant amounts
of such shares. See "Management ArrangementsDistributor" below.
·
Right of
Accumulation
.
Except as may be otherwise described in "How to Buy SharesRight of Accumulation" in Part II of
this SAI, reduced sales loads apply to any purchase of Class A shares by you and any related Purchaser
where the aggregate investment including such purchase is $50,000 or more. If, for example, you previously
purchased and still hold Eligible Shares, or combination thereof, with an aggregate current market value
of $40,000 and subsequently purchase Class A shares of such fund having a current value of $20,000, the
sales load applicable to the subsequent purchase would be the sales load in effect for a transaction
in the range of $50,000 to less than $100,000. All present holdings of Eligible Shares may be combined
to determine the current offering price of the aggregate investment in ascertaining the sales load applicable
to each subsequent purchase.
To qualify for reduced sales loads, at the
time of purchase you or your Service Agent must notify the Distributor if orders are made by wire or
the Transfer Agent if orders are made by mail. The reduced sales load is subject to confirmation of
your holdings through a check of appropriate records.
·
Conversion of All Class B Shares
.
Effective as of the Effective Date, each Multi-Class Fund offering
Class B shares converted its outstanding Class B shares to Class A shares of the fund (or, for certain
funds, Class D shares of the fundsee "How to Buy Shares" in Part II of this SAI). Class B shares
are no longer offered by the funds and have been terminated as a separately designated class of each
fund.
On the Effective Date, holders of Class B shares of a fund received Class A shares (or,
as applicable, Class D shares) of the fund having an aggregate NAV equal to the aggregate NAV of the
shareholder's Class B shares. Each fund's Class A shares (or, as applicable, Class D shares) have a
lower total annual expense ratio than the fund's Class B shares. No front-end sales load or CDSC was
imposed in connection with the conversion. Any subsequent investments in a fund's Class A shares by
holders of Class A shares that were converted from Class B shares will be subject to the front-end sales
load applicable to the fund's Class A shares.
Class C
. The public offering price for Class C shares is the NAV
per share of that class. No initial sales charge is imposed at the time of purchase. A CDSC is imposed,
however, on redemptions of Class C shares made within the first year of purchase. See "Additional Information
About How to Redeem Shares
Contingent Deferred Sales ChargeMulti-Class Funds
Class C" below.
Class I
. The public
offering price for Class I shares is the NAV per share of that class.
Shareholders who received Class
I shares of a fund in exchange for Class Y shares of a corresponding Acquired Fund as a result of the
reorganization of such series may continue to purchase Class I shares of any fund in the Dreyfus Family
of Funds whether or not they would otherwise be eligible to do so. Additional information about eligibility
to purchase Class I shares is in the prospectus and may be in Part II of this SAI.
Institutions effecting transactions
in Class I shares for the accounts of their clients may charge their clients direct fees in connection
with such transactions.
Class Y.
The
public offering price for Class Y shares is the NAV per share of that class. Class Y shares of a fund
have established an exchange privilege between Class Y shares of other funds in the Dreyfus Family of
Funds, as well as between Class R shares of Dreyfus AMT-Free Municipal Reserves and Dreyfus Money Market
Reserves.
All Other Share Classes
. The public offering price is the NAV per share of the class.
Converting Shares
Under certain circumstances, shares of a fund with more than one
class may be converted from one class of shares to another class of shares of the same fund. The aggregate
dollar value of the shares of the class received upon any such conversion will equal the aggregate dollar
value of the converted shares on the date of the conversion. An
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investor
whose fund shares are converted from one class to another class will not realize taxable gain or loss
as a result of the conversion.
Taxpayer ID Number
Federal regulations require
that you provide a certified taxpayer identification number ("TIN") upon opening or reopening an account.
See the Account Application for further information concerning this requirement. Failure to furnish
a certified TIN could subject you to a $50 penalty imposed by the IRS.
Frequent Purchases and Exchanges (non-money market funds only)
The funds are intended to be
long-term investment vehicles and are not designed to provide investors with a means of speculating on
short-term market movements. A pattern of frequent purchases and exchanges can be disruptive to efficient
portfolio management and, consequently, can be detrimental to a fund's performance and its shareholders.
If fund management determines that an investor is following an abusive investment strategy, it may reject
any purchase request, or terminate the investor's exchange privilege, with or without prior notice.
Such investors also may be barred from purchasing shares of other funds in the Dreyfus Family of Funds.
Accounts under common ownership or control may be considered as one account for purposes of determining
a pattern of excessive or abusive trading. In addition, a fund may refuse or restrict purchase or exchange
requests for fund shares by any person or group if, in the judgment of fund management, the fund would
be unable to invest the money effectively in accordance with its investment objective and policies or
could otherwise be adversely affected or if the fund receives or anticipates receiving simultaneous orders
that may significantly affect the fund. If an exchange request is refused, the fund will take no other
action with respect to the fund shares until it receives further instructions from the investor. While
a fund will take reasonable steps to prevent excessive short-term trading deemed to be harmful to the
fund, it may not be able to identify excessive trading conducted through certain financial intermediaries
or omnibus accounts.
ADDITIONAL INFORMATION ABOUT HOW TO REDEEM SHARES
See the prospectus or "How
to Redeem Shares" in Part II of this SAI for fund-specific and other information about the redemption
of fund shares.
Except as may be otherwise described in "How to Redeem Shares" in Part II of this SAI,
each fund ordinarily will make payment for all shares redeemed within seven days after receipt by the
Transfer Agent of a redemption request in proper form, except as provided by the rules of the SEC. However,
if you have purchased fund shares by check, by Dreyfus TeleTransfer Privilege or through Dreyfus Automatic
Asset Builder
®
,
and subsequently submit a written redemption request to the Transfer Agent, you will receive proceeds
from the redemption once a sufficient period of time has passed to reasonably ensure that the purchase
check (including a certified or cashier's check) has cleared (normally eight business days). For a money
market fund, the fund may delay the redemption of such shares for such period; for a fund other than
a money market fund, the fund may delay sending the redemption proceeds for such period. In addition,
the fund will not honor redemption checks under the Checkwriting Privilege, and will reject requests
to redeem shares by wire or telephone, online or pursuant to the Dreyfus TeleTransfer Privilege, for
eight business days after receipt by the Transfer Agent of the purchase check, the Dreyfus TeleTransfer
purchase or the Dreyfus Automatic Asset Builder order against which such redemption is requested. These
procedures will not apply if your shares were purchased by wire payment, or if you otherwise have a sufficient
collected balance in your account to cover the redemption request. Fund shares will not be redeemed
until the Transfer Agent has received your Account Application.
If you hold shares of more than one class of
a fund with more than one class, any request for redemption must specify the class of shares being redeemed.
If you fail to specify the class of shares to be redeemed or if you own fewer shares of the class than
specified to be redeemed, the redemption request may be delayed until the Transfer Agent receives further
instructions from you or your Service Agent.
Except as may be otherwise described in "How to Redeem Shares" in
Part II of this SAI, the Wire Redemption Privilege, Dreyfus TeleTransfer Privilege and the Telephone
Exchange Privilege authorize the Transfer Agent to act on telephone (including over the Dreyfus Express
voice response system), letter or online instructions from any
III-7
person
representing himself or herself to be you, or a representative of your Service Agent, and reasonably
believed by the Transfer Agent to be genuine. The fund will require the Transfer Agent to employ reasonable
procedures, such as requiring a form of personal identification, to confirm that instructions are genuine
and, if it does not follow such procedures, the fund or the Transfer Agent may be liable for any losses
due to unauthorized or fraudulent instructions. Neither the fund nor the Transfer Agent will be liable
for following telephonic instructions reasonably believed to be genuine.
During times of drastic economic
or market conditions, you may experience difficulty in contacting the Transfer Agent by telephone or
online to request a redemption or exchange of fund shares. In such cases, you should consider using
the other redemption procedures described herein. Use of these other redemption procedures may result
in your redemption request being processed at a later time than it would have been if telephonic redemption
had been used. During the delay the NAV of non-money market funds may fluctuate.
Redemption Fee
Certain funds will deduct a redemption fee as described in the relevant funds' prospectuses.
Subject to the exceptions described in a fund's prospectus, shares held for less than the 60-day holding
period will be subject to the fund's redemption fee, whether held directly in your name or indirectly
through an intermediary, such as a broker, bank, investment adviser, recordkeeper for Retirement Plan
participants or any other third party. If you hold your shares through an intermediary's omnibus account,
the intermediary is responsible for imposing the fee and remitting the fee to the fund.
The redemption fee will be
charged and retained by a fund on shares sold before the end of the required holding period. The fund
will use the "first-in, first-out" method to determine the holding period for the shares sold. Under
this method, shares held the longest will be redeemed or exchanged first. The holding period commences
on the day after your purchase order is effective. For example, the holding period for shares purchased
on October 31 (trade date) begins on November 1 and ends on the 59
th
day, which is December 29. Thus, if you redeemed these shares
on December 29, you would be assessed the fee, but you would not be assessed the fee if you redeemed
on or after December 30.
A redemption fee generally is collected by deduction from the redemption proceeds, but
may be imposed by billing you if the fee is not imposed as part of the redemption transaction.
A
fund may postpone the effective date of the assessment of the redemption fee on the underlying shareholder
accounts within an omnibus account if an intermediary requires additional time to collect the fund's
redemption fee.
The fund may impose the redemption fee at the plan level for employee benefit plans
that hold shares on behalf of a limited number of employees. Plan sponsors of such benefit plans that
opt to impose redemption fees at the employee account level, rather than at the plan level, must enter
into agreements with Dreyfus that obligate the sponsor to collect and remit redemption fees at the employee
level and to provide to the fund, at its request, shareholder identity and transaction information.
The
funds' prospectuses contain information on transactions for which the redemption fee is waived. The
funds reserve the right to exempt additional transactions from the redemption fee.
Contingent Deferred Sales ChargeMulti-Class Funds
Class C
. A CDSC of 1% payable
to the Distributor is imposed on any redemption of Class C shares within one year of the date of purchase.
No CDSC will be imposed to the extent that the NAV of the Class C shares redeemed does not exceed (i)
the current NAV of Class C shares of the fund acquired through reinvestment of fund dividends or capital
gain distributions, plus (ii) increases in the NAV of your Class C shares above the dollar amount of
all your payments for the purchase of Class C shares held by you at the time of redemption.
If the aggregate value of Class
C shares redeemed has declined below their original cost as a result of the fund's performance, a CDSC
may be applied to the then-current NAV rather than the purchase price.
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In
determining whether a CDSC is applicable to a redemption, the calculation will be made in a manner that
results in the lowest possible rate. It will be assumed that the redemption is made first of amounts
representing Class C shares acquired pursuant to the reinvestment of dividends and distributions; then
of amounts representing the increase in NAV of Class C shares above the total amount of payments for
the purchase of Class C shares made during the preceding year; and finally, of amounts representing the
cost of shares held for the longest period.
For example, assume an investor purchased 100 shares of the fund
at $10 per share for a cost of $1,000. Subsequently, the shareholder acquired five additional shares
through the reinvestment of fund dividends. Within a year after the purchase the investor decided to
redeem $500 of the investment. Assuming at the time of the redemption the NAV had appreciated to $12
per share, the value of the investor's shares would be $1,260 (105 shares at $12 per share). The CDSC
would not be applied to the value of the reinvested dividend shares and the amount which represents appreciation
($260). Therefore, $240 of the $500 redemption proceeds ($500 minus $260) would be charged at a rate
of 1% for a total CDSC of $2.40.
Waiver of CDSC
. The CDSC may be waived in connection
with (a) redemptions made within one year after the death or disability, as defined in Section 72(m)(7)
of the Code, of the shareholder, (b) redemptions by employees participating in Retirement Plans or other
programs, (c) redemptions as a result of a combination of any investment company with the fund by merger,
acquisition of assets or otherwise, (d) a distribution following retirement under a tax-deferred retirement
plan or upon attaining age 70½ in the case of an IRA or Keogh plan or custodial account pursuant
to Section 403(b) of the Code and (e) redemptions pursuant to the Automatic Withdrawal Plan, as described
under "Additional Information About Shareholder Services
Automatic Withdrawal Plan" in Part III of this SAI. If a fund's board
determines to discontinue the waiver of the CDSC, the disclosure herein will be revised appropriately.
Any fund shares subject to a CDSC which were purchased prior to the termination of such waiver will
have the CDSC waived as provided in the fund's prospectus or this SAI at the time of the purchase of
such shares.
To qualify for a waiver of the CDSC, at the time of redemption you must notify the Transfer
Agent or your Service Agent must notify the Distributor. Any such qualification is subject to confirmation
of your entitlement.
Redemption Through an Authorized Entity
Except as may be otherwise
described in "How to Redeem SharesRedemption Through an Authorized Entity" in Part II of this SAI,
redemption orders received by an Authorized Entity by the close of trading on the floor of the NYSE on
any business day and transmitted to the Distributor or its designee in accordance with the Authorized
Entity's agreement with the Distributor are effected at the price determined as of the close of trading
on the floor of the NYSE on that day. Otherwise, the shares will be redeemed at the next determined
NAV. It is the responsibility of the Authorized Entity to transmit orders on a timely basis. The Authorized
Entity may charge the shareholder a fee for executing the order. This repurchase arrangement is discretionary
and may be withdrawn at any time.
Checkwriting Privilege
Certain
funds provide redemption checks ("Checks") automatically upon opening an account, unless you specifically
refuse the Checkwriting Privilege by checking the applicable "No" box on the Account Application. Checks
will be sent only to the registered owner(s) of the account and only to the address of record. The Checkwriting
Privilege may be established for an existing account by a separate signed Shareholder Services Form.
The Account Application or Shareholder Services Form must be manually signed by the registered owner(s).
Checks are drawn on your fund account and, except as may be otherwise described in "How to Redeem SharesCheckwriting
Privilege" in Part II of this SAI, may be made payable to the order of any person in the amount of $500
or more. When a Check is presented to the Transfer Agent for payment, the Transfer Agent, as your agent,
will cause the fund to redeem a sufficient number of full and fractional shares in your account to cover
the amount of the Check. Potential fluctuations in the NAV of a non-money market fund should be considered
in determining the amount of a Check. Dividends are earned until the Check clears. After clearance,
a copy of the Check will be returned to you. You generally will be subject to the same rules and regulations
that apply to checking accounts, although the election of this privilege creates only a shareholder-transfer
agent relationship with the Transfer Agent.
Except as may be otherwise described in "How to Redeem SharesCheckwriting
Privilege" in Part II of this SAI, Checks are free but the Transfer Agent will impose a fee for stopping
payment of a Check upon your request or if
III-9
the
Transfer Agent cannot honor a Check due to insufficient funds or other valid reason. If the amount of
the Check is greater than the value of the shares in your account, the Check will be returned marked
"insufficient funds." Checks should not be used to close your account.
You should date your Checks
with the current date when you write them. Please do not postdate your Checks. If you do, the Transfer
Agent will honor, upon presentment, even if presented before the date of the Check, all postdated Checks
which are dated within six months of presentment for payment if they are otherwise in good order. If
you hold shares in a Dreyfus sponsored IRA account, you may be permitted to make withdrawals from your
IRA account using checks furnished to you for this purpose.
Except with respect to money market funds, the
Checkwriting Privilege will be terminated immediately, without notice, with respect to any account which
is, or becomes, subject to backup withholding on redemptions. Any Check written on an account which
has become subject to backup withholding on redemptions will not be honored by the Transfer Agent. Institutional
Direct accounts are not eligible for the Checkwriting Privilege.
Wire
Redemption Privilege
Except as may be otherwise described under "How to Redeem SharesWire Redemption
Privilege" in Part II of this SAI, by using this privilege, you authorize the fund and the Transfer Agent
to act on telephone, letter or online redemption instructions from any person representing himself or
herself to be you, or a representative of your Service Agent, and reasonably believed by the fund or
the Transfer Agent to be genuine. Ordinarily, a fund other than a money market fund will initiate payment
for shares redeemed pursuant to the Wire Redemption Privilege on the next business day if the Transfer
Agent receives a redemption request in proper form prior to the time as of which the fund calculates
its NAV (as described in the prospectus); for a money market fund that receives a redemption request
in proper form prior to the time as of which the fund calculates its NAV, payment will be initiated the
same day and the shares will not receive the dividend declared on that day.
Except as may be otherwise
described under "How to Redeem SharesWire Redemption Privilege" in Part II of this SAI, redemption
proceeds ($1,000 minimum) will be transferred by Federal Reserve wire only to the commercial bank account
specified by you on the Account Application or Shareholder Services Form, or to a correspondent bank
if your bank is not a member of the Federal Reserve System. Fees ordinarily are imposed by such bank
and borne by the investor. Immediate notification by the correspondent bank to your bank is necessary
to avoid a delay in crediting the funds to your bank account. To change the commercial bank or account
designated to receive redemption proceeds, a written request must be sent to the Transfer Agent. In
most circumstances, this request must be signed by each shareholder, with each signature guaranteed as
described below under "Share Certificates; Medallion Signature Guarantees." Shares held in an Education
Savings Account may not be redeemed through the Wire Redemption Privilege.
Redemption through Compatible Automated
Facilities
Certain funds make available to institutions the ability to redeem shares through compatible
automated interface or trading system facilities. Investors desiring to redeem shares in this manner
should call Dreyfus Investments Division at 1-800-346-3621 to determine whether their automated facilities
are compatible and to receive instructions for redeeming shares in this manner.
Dreyfus TeleTransfer Privilege
Except as may be otherwise described in "How to Redeem SharesDreyfus
TeleTransfer Privilege" in Part II of this SAI, you may request by telephone (for regular accounts or
IRAs) or online (for regular accounts only) that redemption proceeds ($500 minimum) be transferred between
your fund account and your bank account. Except as may be otherwise described in "How to Redeem SharesTransaction
Fees" in Part II of this SAI or in the prospectus, transaction fees do not apply to Dreyfus TeleTransfer
redemptions. Only a bank account maintained in a domestic financial institution which is an ACH member
may be designated. You should be aware that if you have selected the Dreyfus TeleTransfer Privilege,
any request for a Dreyfus TeleTransfer transaction will be effected through the ACH system unless more
prompt transmittal specifically is requested. Redemption proceeds will be on deposit in your account
at an ACH member bank ordinarily two business days after receipt of the redemption
III-10
request.
Shares held in an Education Savings Account may not be redeemed through the Dreyfus TeleTransfer Privilege.
See "Additional Information About How to Buy Shares
Dreyfus TeleTransfer Privilege" above.
Reinvestment Privilege
Upon written request, you may reinvest up to the number of Class
A shares of a Multi-Class Fund you have redeemed, within 45 days of redemption, at the then-prevailing
NAV without a sales load, or reinstate your account for the purpose of exercising Fund Exchanges. Upon
reinstatement, if such shares were subject to a CDSC, your account will be credited with an amount equal
to the CDSC previously paid upon redemption of the shares reinvested. The Reinvestment Privilege may
be exercised only once.
Share Certificates; Medallion Signature
Guarantees
Share Certificates
.
Effective July 1, 2011 each
fund issues shares in book entry form only and no longer issues share certificates. Any certificates
representing fund shares to be redeemed must be submitted with the redemption request. Written redemption
requests must be signed by each shareholder, including each holder of a joint account, and each signature
must be guaranteed. Signatures on endorsed certificates submitted for redemption also must be guaranteed
as described below.
Medallion
Signature Guarantees
.
The Transfer Agent has adopted standards and procedures pursuant to which signature-guarantees
in proper form generally will be accepted from participants in the NYSE Medallion Signature Program,
the Securities Transfer Agents Medallion Program (STAMP) or the Stock Exchanges Medallion Program (SEMP).
Guarantees must be signed by an authorized signatory of the guarantor. No other types of signature
guarantees will be accepted. The Transfer Agent may request additional documentation from corporations,
executors, administrators, trustees or guardians, and may accept other suitable verification arrangements
from foreign investors, such as consular verification. For more information with respect to signature-guarantees,
please call one of the telephone numbers listed on the cover.
Redemption
Commitment
Each
fund has committed itself to pay in cash all redemption requests by any fund shareholder of record, limited
in amount during any 90-day period to the lesser of $250,000 or 1% of the value of the fund's net assets
at the beginning of such period. Such commitment is irrevocable without the prior approval of the SEC.
In the case of requests for redemption from the fund in excess of such amount, the fund's board reserves
the right to make payments in whole or in part in securities or other assets of the fund in case of an
emergency or any time a cash distribution would impair the liquidity of the fund to the detriment of
the existing shareholders. In such event, the securities would be valued in the same manner as the fund's
portfolio is valued. If the recipient sells such securities, brokerage charges would be incurred.
Suspension of Redemptions
The right of redemption may be suspended or the date of payment
postponed (a) during any period when the NYSE is closed (other than customary weekend and holiday closings),
(b) when the SEC determines that trading in the markets a fund ordinarily utilizes is restricted, or
when an emergency exists as determined by the SEC so that disposal of the fund's investments or determination
of its NAV is not reasonably practicable, or (c) for such other periods as the SEC by order may permit
to protect fund shareholders.
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