United States
SECURITIES AND EXCHANGE COMMISSION ------------------------
WASHINGTON, D.C. 20549 OMB Approval
FORM N-17f-2 ------------------------
OMB Number 3235-0360
Certificate of Accounting of Securities and Similar Expires: July 31, 2006
Investments in the Custody of Estimated average burden
Management Investment Companies hours per response. 0.15
Pursuant to Rule 17f-2 [17 CFR 270.17f-2]
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1. Investment Company Act File Number:
811-524
Date examination completed: July 31, 2003
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2. State identification Number: N/A
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AL AK AZ AR CA CO
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CT DE DC FL GA HI
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ID IL IN IA KS KY
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LA ME MD MA MI MN
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MS MO MT NE NV NH
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NJ NM NY NC ND OH
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OK OR PA RI SC SD
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TN TX UT VT VA WA
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WV WI WY PUERTO RICO
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Other (specify):
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3. Exact name of investment company as specified in registration statement:
Dreyfus High Yield Strategies Fund
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4. Address of principal executive office (number, street, city, state, zip code)
200 Park Avenue, 55th Floor, New York, NY10166
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Independent Accountants' Report
The Board of Trustees of
Dreyfus High Yield Strategies Fund
We have examined management's assertion, included in the accompanying
Management Assertion Regarding Compliance With Certain Provisions of
the Investment Company Act of 1940, that the Dreyfus High Yield
Strategies Fund (the "Fund") complied with the requirements of
subsections (b) and (c) of Rule 17f-2 under the Investment Company
Act of 1940 as of July 31, 2003. Management is responsible for the
Fund's compliance with those requirements. Our responsibility is to
express an opinion on management's assertion about the Fund's
compliance based on our examination.
Our examination was made in accordance with attestation standards
established by the American Institute of Certified Public Accountants
and, accordingly, included examining, on a test basis, evidence about
the Fund's compliance with those requirements and performing such other
procedures as we considered necessary in the circumstances. Included
among our procedures were the following tests performed as of July 31,
2003, and with respect to agreement of security purchases and sales,
for the period from May 31, 2003 (the date of our last examination)
through July 31, 2003:
1) Examination of Mellon Bank N.A.'s (the "Custodian") security position
reconciliations for all securities held by sub custodians and in book
entry form;
2) Confirmation of all securities hypothecated, pledged or placed in
escrow with brokers;
3) Inspection of documentation of other securities held in safekeeping by the
Custodian but not included in 1) and 2) above;
4) Reconciliation between the Fund's accounting records and the custody
records as of July 31, 2003 and verified reconciling items;
5) Agreement of pending trade activity for each Fund as of July 31, 2003 to its
corresponding subsequent cash statements;
6) Agreement of Dreyfus Family of Funds' trade tickets for ten purchases
and five sales or maturities for the period May 31, 2003 (the date of our last
examination) through July 31, 2003, to the books and records of the Fund
noting that they had been properly recorded and subsequently settled;
7) Confirmation of all repurchase agreements with brokers/banks and
agreement of underlying collateral with the Custodian's records;
8) We reviewed Mellon Global Securities Services Report on Controls Placed in
Operation and Tests of Operating Effectiveness ("SAS 70 Report") for the period
January 1, 2002 through December 31, 2002 and noted no negative findings were
reported in the areas of Asset Custody and Control; and
9) We inquired of the Custodian who concurred that all control policies and
procedures detailed in Section IV Control Objectives, Controls and Tests of
Operating Effectiveness of the SAS 70 Report, have remained in operation and
functioned adequately from January 1, 2003 through July 31, 2003.
We believe that our examination provides a reasonable basis for our
opinion. Our examination does not provide a legal determination on the
Fund's compliance with specified requirements.
In our opinion, management's assertion that the Dreyfus High Yield
Strategies Fund complied with the requirements of subsections (b) and (c) of
Rule 17f-2 of the Investment Company Act of 1940 as of July 31, 2003, with
respect to securities reflected in the investment accounts of the Fund
is fairly stated, in all material respects.
This report is intended solely for the information and use of management
and the Board of Trustees of the Dreyfus High Yield Strategies Fund and
the Securities and Exchange Commission and is not intended to be and should
not be used by anyone other than these specified parties.
KPMG LLP
New York, New York
October 20, 2003
October 20, 2003
Management Statement Regarding Compliance With
Certain Provisions of the Investment Company Act of 1940
Management of the Dreyfus High Yield Strategies Fund (the "Fund"),
is responsible for complying with the requirements of subsections
(b) and (c) of Rule 17f-2, "Custody of Investments by Registered
Management Investment Companies," of the Investment Company Act of
1940. We are also responsible for establishing and maintaining
effective internal controls over compliance with those requirements.
Management has performed an evaluation of the Fund's compliance with
the requirements of subsections (b) and (c) of Rule 17f-2 as of
July 31, 2003 and from May 31, 2003 through July 31, 2003.
Based on this evaluation, Management asserts that the Fund was in
compliance with the requirements of subsections (b) and (c) of Rule
17f-2 of the Investment Company Act of 1940 as of July 31, 2003 and
from May 31, 2003 through July 31, 2003 with respect to
securities reflected in the investment accounts of the Fund.
Dreyfus High Yield Strategies Fund
James Windels
Treasurer