RCM EQUITY FUNDS, INC.
SUPPLEMENT DATED DECEMBER 30, 1997
TO RCM LARGE CAP GROWTH FUND PROSPECTUS
DATED JUNE 30, 1997
The following information replaces similar references
throughout the Prospectus:
The name of the Company and the Fund have changed to
Dresdner RCM Equity Funds, Inc. and Dresdner RCM Large Cap
Growth Fund, respectively.
The following information supplements and should be read in
conjunction with information on the cover page of the
Prospectus:
Shares of the Fund are not deposits, obligations of, or
endorsed or guaranteed in any way by, Dresdner Bank AG, or
any other depository institution. Shares of the Fund are
not insured by the Federal Deposit Insurance Corporation, or
any other agency, and are subject to investment risks,
including possible loss of principal amount invested.
The following information replaces similar information in
the section entitled "Summary of Fees and Expenses"
beginning on page 5 of the Prospectus:
The following information is designed to help you understand
various costs and expenses of the Fund that an investor may
bear directly or indirectly. The information is based on
the Fund's expected expenses for its first year of
operation, adjusted to reflect current fees, and should not
be considered a representation of future expenses or
returns. Actual expenses and returns may be greater or less
than those shown below.
Stockholder Transaction Expenses
Maximum sales load imposed on purchase (as a
percentage of offering price) None
Sales load imposed on reinvested dividends None
Deferred sales loads None
Redemption fees None
References throughout the Prospectus to a sales load are
eliminated.
Annual Fund Operating Expenses (as a percentage of average
net assets)
Investment management fees 0.70%
Rule 12b-1 expenses 0.15%
Other expenses
(after expense reduction*) 0.10%
Total Fund operating expenses
(after expense reduction*) 0.95%
Example of Portfolio Expenses 1 Year 3 Years
You would pay the following total
expenses on a $1,000 investment,
assuming (1) a 5% annual return
and (2) redemption at the end of
each time period. $10 $30
* Effective January 1, 1997, the Investment Manager has
voluntarily agreed, until at least December 31, 1998, to pay
the Fund on a quarterly basis the amount, if any, by which
ordinary operating expenses of the Company attributable to
the Fund for the quarter (except interest, taxes and
extraordinary expenses) exceed the annualized rate of 0.95%
of the value of the average daily net assets of the Fund.
In subsequent years, the Fund will reimburse the Investment
Manager for any such payments to the extent that the Fund's
operating expenses are otherwise below this expense cap.
(See Organization and Management.) Other expenses and total
Fund operating expenses for the first year of operation of
the Fund, without expense reduction, are estimated to be
1.72% and 2.42%, respectively, of the Fund's average daily
net assets.
The following information supplements and should be read in
conjunction with the section entitled "Who Manages the
Fund?" beginning on page 16 of the Prospectus:
Shares of the Fund are not deposits, obligations of, or
endorsed or guaranteed in any way by, Dresdner Bank AG, or
any other depository institution. Shares of the Fund are
not insured by the Federal Deposit Insurance Corporation, or
any other agency, and are subject to investment risks,
including possible loss of principal amount invested.
The following information replaces similar information in
the section entitled "What are the Fund's Management Fees?"
on page 17 of the Prospectus:
For the services rendered by the Investment Manager under
the Management Agreement, the Fund will pay a monthly fee to
the Investment Manager based on the average daily net assets
of the Fund. The fee shall be determined pursuant to the
following schedule:
Value of Securities and Cash of Fund Fee
the first $500 million 0.70% annually
above $500 million and below $1 billion 0.65% annually
above $1 billion 0.60% annually
The following information replaces similar information found
in the section entitled "Who is the Fund's Distributor?"
beginning on page 19 of the Prospectus:
Under the distribution plan, which is a "reimbursement
plan," the Fund pays the Distributor an annual fee of up to
0.15% of the Fund's average daily net assets as
reimbursement for certain expenses actually incurred by the
Distributor in connection with distribution of shares of the
Fund.
