Report 
 
      
Registrant:   Vkac Government Securities Fund — List all N-SARs

Annual Report for the 2nd-half period ended at fiscal year end:  12/31/95

Were there any Answer File errors in the Filing?  None FoundNone Found by SEC InfoNot Checked by the FilerOne or more Found by SEC Info
Was the Answer File completed by the Registrant?  Yes

Is this an Amendment to a previous Report?  No
Is this a change to a previous Report?      No
 
Registrant 
 
 1.
SEC CIK:      744376
SEC File #:   811-04003

Telephone #:  713-993-0500
 
 2.
Address:      2800 Post Oak Blvd.
              Houston, TX  77056
 
 3.
Is this the first Form N-SAR filed by the Registrant?  No
 
 4.
Is this the final Form N-SAR filed by the Registrant?  No
 
 
Funds/Series 
↑Top of Form N-SAR 
     
                                                                               
 7.
Is the Registrant a Funds/Series (multiple portfolios) company?  No
 
Investment Adviser 
 
 8.1
Name:         Van Kampen American Capital Asset Mgt., Inc.
Role:         Adviser
SEC File #:   801-08286
Location:     Houston, TX
 
Principal Underwriter 
 
11.1
Name:         Van Kampen American Capital Distributors, Inc.
SEC File #:   008-19903
Location:     Oakbrook Terrace, IL
 
Shareholder Servicing/Transfer Agent 
 
12.1
Name:         Access Investors Services, Inc.
SEC File #:   084-01621
Location:     Kansas City, MO
 
Independent Public Accountant 
 
13.1
Name:         Price Waterhouse LLP
Location:     Houston, TX
 
Custodian 
 
15.1
Name:         State Street Bank & Trust Co.
Role:         Custodian
Location:     Boston, MA

Type of custody:  Section 17(f)(1) — Bank
 
18.
Does the Registrant’s/Series’ Custodian(s) maintain some or all of the
Registrant’s/Series’ securities in a central depository or book-entry
system pursuant to Rule 17f-4?  Yes
 
Family of Investment Companies 
 
19.
Is the Registrant/Series part of a “family” of investment companies?  Yes

Total number of registered management investment companies, Series
and portfolios (excluding any Unit Investment Trusts) in the family:  34

The Identification Code of the family for Form N-SAR Filings:  ACFHOUSTON
 
Brokerage Commissions Paid on Portfolio Transactions 
 
20.
The brokers who received the largest amount of gross brokerage
commissions during the period:
 
20.1
Broker:       Greenwich Capital Markets, Inc.
IRS #:        13-2697091
Commissions paid ($000s):  437
 
20.2
Broker:       Credit Agricole
IRS #:        13-3518368
Commissions paid ($000s):  422
 
20.3
Broker:       Prudential Securities, Inc.
IRS #:        22-2347366
Commissions paid ($000s):  254
 
20.4
Broker:       Smith Barney, Inc.
IRS #:        13-1912900
Commissions paid ($000s):  228
 
20.5
Broker:       Greenwich Partners, Inc.
Commissions paid ($000s):  9
 
21.
Total brokerage commissions paid by the Registrant during the period:
  Aggregate paid ($000s):  1,350
 
Portfolio Transactions with Entities Acting as Principals 
 
22.
The entities acting as principals with whom the Registrant did the
largest amount of portfolio transactions, based on total value of
principal, during the period:
 
22.1
Entity:       Salomon Brothers, Inc.
IRS #:        13-3082694
Registrant’s purchases ($000s):  3,791,430
Registrant’s sales ($000s):  651,598
 
22.2
Entity:       SBC Capital Markets, Inc.
Registrant’s purchases ($000s):  3,475,579
 
22.3
Entity:       Nomura Securities International, Inc.
IRS #:        13-2642206
Registrant’s purchases ($000s):  1,513,314
Registrant’s sales ($000s):  1,441,191
 
22.4
Entity:       Lehman Brothers, Inc.
IRS #:        13-2518466
Registrant’s purchases ($000s):  2,175,157
Registrant’s sales ($000s):  759,261
 
22.5
Entity:       Merrill Lynch, Inc.
IRS #:        13-5674085
Registrant’s purchases ($000s):  1,631,555
Registrant’s sales ($000s):  1,276,552
 
22.6
Entity:       Greenwich Capital Markets, Inc.
IRS #:        13-2697091
Registrant’s purchases ($000s):  1,662,352
Registrant’s sales ($000s):  1,113,431
 
22.7
Entity:       Donaldson Lufkin & Jenrette Securities, Inc.
IRS #:        13-2741729
Registrant’s purchases ($000s):  893,561
Registrant’s sales ($000s):  1,584,688
 
22.8
Entity:       Nationsbank
IRS #:        75-0520130
Registrant’s purchases ($000s):  1,295,013
Registrant’s sales ($000s):  1,066,463
 
22.9
Entity:       Smith Barney, Inc.
IRS #:        13-1912900
Registrant’s purchases ($000s):  1,056,927
Registrant’s sales ($000s):  1,268,509
 
22.10
Entity:       Bear Stearns & Co., Inc.
IRS #:        13-3299429
Registrant’s purchases ($000s):  681,404
Registrant’s sales ($000s):  1,187,752
 
23.
Total purchase/sale transactions by the Registrant during the period:
   Aggregate purchases ($000s):  21,693,817
   Aggregate sales ($000s):  12,365,653
 
Holdings of Securities Issued by Registrant’s/Series’ Brokers or Dealers 
 
24.
At period end, did the Registrant/Series hold any securities of the
Registrant’s/Series’ regular brokers or dealers, or of the parents of
such brokers or dealers, that derive more than 15% of gross revenue from
securities-related activities?  Yes

25.

The brokers or dealers, or their parents (issuers):
 
25.1
Name:         SBC Capital Markets, Inc.
Type of security owned:  Debt
Value of securities owned at period end ($000s):  17,905
 
25.2
Name:         (See a prior Form N-SAR for who was...)  Deleted
 
Considerations which Affected the Participation of Brokers or Dealers 
 
26.
Considerations which affected the participation of brokers or dealers or
other entities in commissions or other compensation paid on portfolio
transactions of the Registrant:

Consideration?
Sales of the Registrant’s/Series’ shares ...............................  Yes
Receipt of investment research and statistical info ....................  Yes
Receipt of quotations for portfolio valuations .........................  Yes
Ability to execute portfolio transactions to obtain the best price
  and execution ........................................................  Yes
Receipt of telephone line and wire services ............................  No
Broker or Dealer which is an affiliated person .........................  No
An arrangement to return or credit part or all of commissions or
  profits thereon...
    To an Investment Adviser or Principal Underwriter, or to an
      affiliated person of either ......................................  No
    To the Registrant ..................................................  No
Other ..................................................................  No
 
Investment Company Type 
 
27.
Is the Registrant an “open-end” investment company?  Yes, Open-End
 
Sales and Repurchases 
 
28.
Monthly total Net Asset Value (NAV) of sales and repurchases of the
Registrant’s/Series’ shares:
 
1st Month of period:  ($000s)
    Total NAV of shares sold:
      New sales (including exchanges) ............................
 18,794
      Reinvestment of dividends and distributions ................
 8,840
      Other ......................................................
 –
    Total NAV of shares redeemed & repurchased (inc. exchanges) ..
 41,865
2nd Month:
    Total NAV of shares sold:
      New sales (including exchanges) ............................
 8,535
      Reinvestment of dividends and distributions ................
 8,806
      Other ......................................................
 –
    Total NAV of shares redeemed & repurchased (inc. exchanges) ..
 40,678
3rd Month:
    Total NAV of shares sold:
      New sales (including exchanges) ............................
 45,136
      Reinvestment of dividends and distributions ................
 8,730
      Other ......................................................
 –
    Total NAV of shares redeemed & repurchased (inc. exchanges) ..
 57,082
4th Month:
    Total NAV of shares sold:
      New sales (including exchanges) ............................
 48,841
      Reinvestment of dividends and distributions ................
 8,740
      Other ......................................................
 –
    Total NAV of shares redeemed & repurchased (inc. exchanges) ..
 83,605
5th Month:
    Total NAV of shares sold:
      New sales (including exchanges) ............................
 10,668
      Reinvestment of dividends and distributions ................
 8,721
      Other ......................................................
 –
    Total NAV of shares redeemed & repurchased (inc. exchanges) ..
 38,899
6th Month:
    Total NAV of shares sold:
      New sales (including exchanges) ............................
 22,818
      Reinvestment of dividends and distributions ................
 8,688
      Other ......................................................
 –
    Total NAV of shares redeemed & repurchased (inc. exchanges) ..
 76,478

Total of all months:  ($000s)
    Total NAV of shares sold:
      New sales (including exchanges) ............................
 154,792
      Reinvestment of dividends and distributions ................
 52,525
      Other ......................................................
 –
    Total NAV of shares redeemed & repurchased (inc. exchanges) ..
 338,607

Total NAV of the Registrant’s/Series’ share sales during the period
subject to a sales load ($000s):  26,444
 
Sales Load (Front-End or Deferred) and Fees (Redemption or Maintenance) 
 
29.
Was a front-end sales load deducted from any share sales during the
period?  Yes
 
30.
Total front-end sales loads collected from sales (including exchanges)
by Principal Underwriter or by any underwriter which is an affiliated
person of the Principal Underwriter, of the Registrant’s/Series’ shares
during the period ($000s):  1,134

The maximum sales load rate in effect at period end as a percentage of
the offering price:  4.75%
The minimum sales load rate in effect at period end as a percentage of
the offering price:  0.0%
 
31.
Net amount retained by the Registrant’s/Series’ Principal Underwriter or
by any underwriter or dealer which is an affiliated person of the
Principal Underwriter thereof from front-end sales loads collected from
sales of the Registrant’s/Series’ shares during the period ($000s):  77

Amount by which payout by the Registrant’s/Series’ Principal Underwriter
or by any underwriter which is an affiliated person of the Principal
Underwriter thereof to persons or entities selling the
Registrant’s/Series’ shares exceeded that reported in Item 30 ($000s):  0
 
32.
Amount the Registrant’s/Series’ Principal Underwriter and any
underwriters or dealers which are affiliated persons of the Principal
Underwriter paid to dealers which are not affiliated persons of the
Principal Underwriter for selling the Registrant’s/Series’ shares that
were sold with a front-end sales load during the period ($000s):  930
 
33.
Amount paid to a captive retail sales force of the Registrant’s/Series’
Principal Underwriter or of any underwriter or dealer which is an
affiliated person of the Principal Underwriter for selling the
Registrant’s shares that were sold with a front-end sales load during
the period ($000s):  127
 
34.
Did the Registrant/Series impose a deferred or contingent deferred sales
load during the period?  Yes
 
35.
Total deferred or contingent deferred sales loads collected during the
period from redemptions and repurchases of the Registrant’s/Series’
shares ($000s):  1,186
 
36.
Did the Registrant/Series retain all monies collected from the deferred
or contingent deferred sales loads during the period?  No

The net amount the Registrant/Series retained from deferred or
contingent deferred sales loads ($000s):  0
 
37.
Did the Registrant/Series impose a redemption fee other than a deferred
or contingent sales load during the period?  No
 
39.
Were any account maintenance fees or other administrative fees imposed
directly on shareholders during the period?  No
 
Payment Plan for the Distribution of Fund Shares 
 
40.
During the period, did the Registrant/Series have a plan of distribution
adopted pursuant to Rule 12b-1?  Yes
 
41.
During the period, did the Registrant/Series use its assets directly to
make payments under the 12b-1 plan?  Yes
 
42.
For the period, the percentage of total dollars paid directly by the
Registrant/Series under the 12b-1 plan for each of the following:

Percentage of Total Amount Paid  (%)
Advertising ............................................................
 –
Printing & mailing of prospectuses to other than current shareholders ..
 –
Payments to underwriters ...............................................
 100
Payments to brokers or dealers .........................................
 –
Direct payments to sales personnel .....................................
 –
Payments to banks and savings & loans ..................................
 –
Other uses, including payments to its Investment Adviser separate
  from the advisory fee ................................................
 –
Unallocated payments made for a combination of such services ...........
 –
 
43.
Total amount paid directly by the Registrant/Series pursuant to its
12b-1 plan ($000s):  9,417
 
44.
If an Investment Adviser or other affiliated person of the
Registrant/Series made unreimbursed payments pursuant to the 12b-1 plan,
the total amount of such payments ($000s):  0
 
Advisory Fee 
 
45.
Did the Registrant/Series have an advisory contract during the period?  Yes
 
46.
Did the Registrant/Series pay more than one Investment Adviser directly
for investment advice during the period?  No
 
47.
Was the Registrant’s/Series’ advisory fee based solely on a percentage
of its assets?  Yes
 
48.
Fee (single rate or step rates) applied to the Registrant’s/Series’
assets based on the advisory contract:
    Single-fee rate:  0.0%
    Step-fee rates:
      For 1st $000s:  1,000,000
        Annual rate:  0.54%
      Of next $000s:  1,000,000
        Annual rate:  0.515%
      Of next $000s:  1,000,000
        Annual rate:  0.49%
      Of next $000s:  1,000,000
        Annual rate:  0.44%
      Of next $000s:  1,000,000
        Annual rate:  0.39%
      Of next $000s:  1,000,000
        Annual rate:  0.34%
      Of next $000s:  1,000,000
        Annual rate:  0.29%
      & Above $000s:  7,000,000
        Annual rate:  0.24%
 
49.
Was the Registrant’s/Series’ advisory fee during the period based solely
on a percentage of its income?  No
 
50.
Was the Registrant’s/Series’ advisory fee during the period based on
some combined percentage of its income and assets?  No
 
51.
Was the Registrant’s/Series’ advisory fee during the period based in
whole or in part on its investment performance?  No
 
52.
Was the Registrant’s/Series’ advisory fee during the period based in
whole or in part on the assets, income or performance of other
Registrants?  No
 
53.
Were the expenses of the Registrant/Series limited or reduced at any
time during the period by some agreement or understanding other than by
Blue Sky Laws?  No
 
54.
Indicated below are whether services were supplied or paid for wholly or
in substantial part by Investment Adviser(s) or Administrator(s) in
connection with the advisory or administrative contract(s) but for which
the Adviser(s) or Administrator(s) are not reimbursed by the Registrant:

Provided to the Registrant?
Occupancy and office rental ............................................  Yes
Clerical and bookkeeping services ......................................  No
Accounting services ....................................................  No
Services of independent auditors .......................................  No
Services of outside counsel ............................................  No
Registration and filing fees ...........................................  No
Stationery, supplies and printing ......................................  Yes
Salaries & compensation of Registrant’s interested Directors ...........  Yes
Salaries & compensation of Registrant’s disinterested Directors ........  No
Salaries & compensation of Registrant’s Officers who aren’t Directors ..  Yes
Reports to current shareholders ........................................  No
Determination of offering and redemption prices ........................  No
Trading department .....................................................  Yes
Prospectus preparation and printing for current shareholders ...........  No
Other ..................................................................  Yes
 
Miscellaneous Info 
 
55.
Did the Registrant/Series have any of the following outstanding at any
time during the period which exceeded 1% of aggregate net assets:
    Overdrafts?  No
    Bank loans?  No
 
56.
During the period, did the Registrant’s/Series’ Investment Adviser(s)
have advisory clients other than investment companies?  No
 
57.
Did the Registrant/Series adjust the number of its shares outstanding by
means of a stock split or stock dividend?  No
 
Classification and Asset Allocation 
 
58.
Is the Registrant/Series a Separate Account of an insurance company?  No
 
59.
Is the Registrant/Series a management investment company?  Yes
 
60.
Was the Registrant/Series a diversified investment company at any time
during the period?  Yes

Was the Registrant/Series a diversified investment company at the end of
the period?  Yes
 
61.
The lowest minimum initial investment required by the Registrant/Series
from an investor that is not an employee or otherwise affiliated with
the Registrant/Series, its Investment Adviser, Principal Underwriter or
other affiliated entity:  $500
 
62.
Does the Registrant/Series invest primarily in debt securities,
including convertible debt securities, options & futures on debt
securities or indices of debt securities?  Yes

The percentage of net assets in each type at period end:

Debt — Short-Term Maturities
U.S. Treasury ...............................      0.0%
U.S. Government Agency ......................      0.0
Repurchase agreements .......................      0.6
State and Municipal – tax-free ..............      0.0
Bank certificates of deposit – domestic .....      0.0
Bank certificates of deposit – foreign ......      0.0
Bankers acceptances .........................      0.0
Commercial paper – taxable ..................      0.0
Time deposits ...............................      0.0
Options .....................................      0.0
All other ...................................      0.0

Debt — Intermediate & Long-Term Maturities
U.S. Treasury ...............................    50.1%
U.S. Government Agency ......................    51.7
State and Municipal – tax-free ..............      0.0
Corporate ...................................      0.0
All other ...................................      0.0

Non-Debt
Investments other than debt securities ......      0.0%
 
63.
The dollar-weighted average portfolio maturity at period end in days or,
if longer than one year, in years (to one decimal place):
    Days:     0
    Years:    6.0
 
64.
Is the timely payment of principal and interest on any of the
instruments listed in Item 62 insured or guaranteed by an entity other
than the issuer?  No

Is the issuer of any instrument covered in Item 62 delinquent or in
default as to payment of principal or interest at period end?  No
 
66.
Is the Registrant/Series a Fund that usually invests in equity
securities, options & futures on equity securities, indices of equity
securities or securities convertible into equity securities?  No
 
67.
Is the Registrant/Series a “balanced” Fund?  No
 
68.
Does the Registrant/Series have more than 50% of its net assets at
period end invested in the securities of issuers...
    Engaged primarily in production or distribution of precious metals?  No
    Located primarily in countries other than the United States?  No
 
69.
Is the Registrant/Series an index Fund?  No
 
Investment Practices 
 
70.
Activities that are permitted by the Registrant’s/Series’ investment
policies, and which were engaged in during the period:

Activity                                            Permitted Engaged In
Writing or investing in repurchase agreements?           Yes to both
Writing or investing in options on equities?             No        –
Writing or investing in options on debt securities?      Yes      No
Writing or investing in options on stock indices?        No        –
Writing or investing in interest rate futures?           Yes to both
Writing or investing in stock index futures?             No        –
Writing or investing in options on futures?              Yes      No
Writing or investing in options on stock index futures?  No        –
Writing or investing in other commodity futures?         No        –
Investments in restricted securities?                    Yes      No
Investments in shares of other investment companies?     No        –
Investments in securities of foreign issuers?            No        –
Currency exchange transactions?                          No        –
Loaning portfolio securities?                            No        –
Borrowing of money?                                      Yes      No
Purchases/sales by certain exempted affiliated persons?  Yes      No
Margin purchases?                                        No        –
Short selling?                                           Yes to both
 
Portfolio Turnover 
 
71.
Portfolio turnover rate for the period:
 
Purchases ($000s):  6,551,307
Sales ($000s):      7,238,914

Monthly average Value of portfolio ($000s):  2,832,582

Percent turnover (lesser of Purchases or Sales, divided by Value):  231%
 
Financial Info — Income and Expenses 
 
72.
The number of months covered by the values in Items 72 and 73:  12

Income  ($000s)
Net interest income ..............................................
 220,824
Net dividend income ..............................................
 –
Account maintenance fees .........................................
 –
Net other income .................................................
 –

Expenses  ($000s)
Advisory fees ....................................................
 14,931
Administrator fees ...............................................
 –
Salaries and other compensation ..................................
 –
Shareholder Servicing Agent fees .................................
 6,061
Custodian fees ...................................................
 177
Postage ..........................................................
 –
Printing expenses ................................................
 229
Directors’ fees ..................................................
 84
Registration fees ................................................
 87
Taxes ............................................................
 –
Interest .........................................................
 –
Bookkeeping fees paid to anyone performing this service ..........
 361
Auditing fees ....................................................
 45
Legal fees .......................................................
 19
Marketing/distribution payments, incl. Rule 12b-1 plan payments ..
 9,417
Amortization of organization expenses ............................
 –
Shareholder meeting expenses .....................................
 –
Other expenses ...................................................
 136
Total expenses ...................................................
 31,547

Expense reimbursements ($000s):   0

Net investment income ($000s):    189,277

Realized capital gains ($000s):   170,614
Realized capital losses ($000s):  100,742

Net unrealized appreciation during the period ($000s):  188,213
Net unrealized depreciation during the period ($000s):  0

Total income dividends for which the record date passed during the
period ($000s):  175,321
Dividends for a second class of shares ($000s):  19,031

Total capital gains distributions for which the record date passed
during the period ($000s):  0
 
73.
Distributions per share for which the record date passed during the
period, shown in fractions of a cent, if so declared:

Dividends from net investment income:    $0.0000

Distribution of capital gains:  $0.0000
Other distributions:            $0.0000
 
Financial Info — Condensed Balance Sheet Data 
 
74.
Assets  ($000s)
Cash .............................................................
 –
Repurchase agreements ............................................
 17,905
Short-term debt securities, other than repurchase agreements .....
 –
Long-term debt securities, including convertible debt ............
 2,907,679
Preferred, conv. preferred and adjustable-rate preferred stock ...
 –
Common stock .....................................................
 –
Options on equities ..............................................
 –
Options on all futures ...........................................
 –
Other investments ................................................
 –
Receivables from portfolio instruments sold ......................
 191,322
Receivables from affiliated persons ..............................
 –
Other receivables ................................................
 53,847
All other assets .................................................
 186
Total assets .....................................................
 3,170,939

Liabilities  ($000s)
Payables for portfolio instruments purchased .....................
 292,002
Amounts owed to affiliated persons ...............................
 3,899
Senior long-term debt ............................................
 –
Other liabilities:
  Reverse repurchase agreements ..................................
 –
  Short sales ....................................................
 –
  Written options ................................................
 –
  All other liabilities ..........................................
 18,189

Equity  ($000s)
Senior equity ....................................................
 –
Net assets of common shareholders ................................
 2,856,849

Number of shares outstanding (000s):   241,180
Number of shares outstanding of a second class of shares (000s):  29,582

Net Asset Value (NAV) per share (to nearest cent):  $0.00

Total number of shareholder accounts:  171,954

Total value of assets in segregated accounts ($000s):  1,060,129
 
75.
Monthly average net assets during the period ($000s):  2,894,043
 
Additional Disclosures 
 
77.
Did the Registrant file any additional Exhibits with the filing of this
Report (listed here and filed either herewith — as one of the ‘EX-99.*’
↑Exhibits in this Filing — or separately and incorporated by reference)?  Yes

EX-99.77B:  Accountant’s Report re: Internal Controls?  Yes

EX-99.77Q1: Other Disclosure?  Yes
 
Subsidiaries 
 
78.
Does the Registrant have any wholly-owned investment company
subsidiaries whose operating and financial data are consolidated with
that of the Registrant in this Report?  No
 
Fidelity Bond in Effect at Fiscal Year End 
 
80.
Insurer:      Ici Mutual Insurance Co.
2nd Insurer:  N/A

Aggregate face amount of coverage for the Registrant/Series on all bonds
on which it is named as an insured ($000s):  65,000
 
81.
Is the bond part of a joint fidelity bond(s) shared with other
investment companies or other entities?  Yes

How many other investment companies or other entities are covered by the
bond (counting each Fund/Series as a separate investment company):  103
 
82.
Does the mandatory coverage of the fidelity bond have a deductible?  No
 
83.
Were any claims with respect to this Registrant/Series filed under the
bond during the period?  No
 
84.
Were any losses incurred with respect to this Registrant/Series that
could have been filed as a claim under the fidelity bond but were not?  No
 
85.
Are the Registrant’s/Series’ Officers and Directors covered as Officers
and Directors of the Registrant/Series under any errors and omissions
insurance policy owned by the Registrant/Series or anyone else?  Yes

Were any claims filed under such policy during the period with respect
to the Registrant/Series?  No
 
 Signature 
 
↑Top of Form N-SAR 
     
                                                                               
/s/      Tanya Loden      
Name:   Tanya Loden
Title:  Controller