FUND PROFILE
Tax-Managed Value
INVESTOR CLASS
February 26, 1999
[american century logo(reg.sm)]
American
Century
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This profile summarizes key information about the fund that is included in the
fund's Prospectus. The fund's Prospectus has additional information about the
fund, including a more detailed description of the risks associated with
investing in the fund, that you may want to consider before you invest. You may
obtain the Prospectus and other information about the fund at no cost by
calling us at 1-800-345-2021, accessing our Web site or visiting one of our
Investor Centers. See the back cover for additional telephone numbers and our
address.
TWENTIETH CENTURY GROUP
AMERICAN CENTURY INVESTMENTS
TAX-MANAGED VALUE
1. WHAT IS THE FUND'S INVESTMENT OBJECTIVE?
The Tax-Managed Value Fund seeks long-term capital growth by investing
primarily in common stocks while attempting to minimize the impact of
federal taxes on shareholder returns.
2. WHAT IS THE FUND'S INVESTMENT STRATEGY?
The fund manager uses a value investment strategy to look for stocks of
medium to large companies that the fund manager believes are undervalued at
the time of purchase. Companies may be undervalued due to market declines,
poor economic conditions, actual or anticipated bad news regarding the
issuer or its industry, or because they have been overlooked by other
investors. To identify these companies, the fund manager looks for
companies with earnings, cash flows and/or assets that may not be reflected
accurately in the companies' stock prices.
To minimize taxable distributions, the fund manager employs the
following tax-sensitive techniques that may, from time to time, be
inconsistent with the fund's objective of long-term capital growth:
*The fund manager seeks to minimize realized capital gains by keeping
portfolio turnover low and generally holding its investments for long
periods.
*The fund manager seeks to minimize realized capital gains when selling the
shares of a specific company by analyzing the fund's holdings of that
company to determine which shares were purchased at what price and
typically selling those shares bought at the highest price.
*The fund manager may seek to minimize realized capital gains by selling
securities to realize capital losses. Realized capital losses can offset
realized capital gains, thereby reducing capital gains distributions to the
fund's shareholders.
*The fund manager seeks to minimize taxable dividend income when possible
by investing in stocks with lower dividend yields.
While the fund seeks to minimize taxable distributions to shareholders,
it may realize taxable gains and earn some dividends. For example, the fund
manager may elect to sell a security, even if the sale results in a taxable
gain, if it determines the tax impact of the sale is outweighed by other
factors. Such other factors may include the investment risk of holding the
security or the availability of a replacement security that has a better
potential return. In addition, redemptions by fund shareholders could
require the fund to sell securities, potentially resulting in capital
gains. At the fund manager's discretion, payment of the redemption price
may, under certain circumstances, be made in whole or in part by a
distribution in kind of securities from the fund, in lieu of cash.
Investors who frequently redeem their shares generate additional
transactional costs for the fund and may cause the fund to recognize
capital gains and greater brokerage commissions that must be borne by the
fund's remaining shareholders. To encourage long-term investing, the fund
applies a 2.0% redemption fee to shares held for less than one year. The
fees will be paid directly to the fund and will be used to help reimburse
the fund for costs incurred by the fund when buying and selling securities
3. WHAT ARE THE SIGNIFICANT RISKS OF INVESTING IN THE FUND?
*As with all funds, at any given time, the value of your shares of the fund
may be worth more or less than the price you paid. If you sell your shares
when the value is less than the price you paid, you will lose money
*An investment in the fund is not a bank deposit and it is not insured or
guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other
government agency.
*The value of Tax-Managed Value's shares depends on the value of the stocks
and other securities it owns. The value of the individual securities the
fund owns will go up and down depending on the performance of the companies
that issued them, general market and economic conditions, and investor
confidence.
*If the market does not consider the individual stocks purchased by the
fund to be undervalued, the value of the fund's shares may not rise as high
as other funds and may in fact decline, even if stock prices are generally
increasing.
Tax-Managed Value American Century Investments
*Market performance tends to be cyclical, and in the various cycles,
certain investment styles may fall in and out of favor. If the market is
not favoring the fund's style, the fund's gains may not be as big as, or
its losses may be bigger than, other equity funds using different
investment styles.
*While the fund seeks to minimize taxable distributions to shareholders, it
may realize capital gains on the sale of investment securities and earn
dividend income. For example, the fund manager may elect to sell a security
even if it results in a taxable gain if it determines the tax impact of the
sale is outweighed by other factors (such as the investment risk of the
security). Federal tax laws require the fund to make distributions of such
gains and income to its shareholders. Distributions may be taxable as
ordinary income, capital gains or a combination of the two.
In summary, Tax-Managed Value is intended for investors who seek
long-term capital growth on an after-tax basis and who are willing to
accept the risks associated with the fund's investment strategy.
4. WHAT ARE THE FUND'S FEES AND EXPENSES?
There are no sales loads, fees or other charges to buy fund shares
directly from American Century, to reinvest dividends in additional shares
or to exchange into the Investor Class shares of other American Century
funds. THE FUND CHARGES A REDEMPTION FEE OF 2.0% OF THE VALUE OF THE SHARES
SOLD WITHIN ONE YEAR OF THEIR PURCHASE.
The following table describes the fees and expenses that you will pay if
you buy and hold shares of the fund.
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SHAREHOLDER FEES
(FEES PAID DIRECTLY FROM YOUR INVESTMENT)
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Redemption Fee
Shares held less than one year 2.0%
Shares held for one year or more None
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ANNUAL FUND OPERATING EXPENSES
(EXPENSES THAT ARE DEDUCTED FROM FUND ASSETS)
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Management Fee(1) 1.10%
Distribution and Service (12b-1) Fees None
Other Expenses(2) 0.00%
Total Annual Fund Operating Expenses 1.10%
(1)The fund has a stepped fee schedule. As a result, the fund's
management fees generally decrease as fund assets increase.
(2)Other expenses include the fees and expenses of the fund's
independent directors, their legal counsel, interest and extraordinary
expenses and are expected to be less than .005% of the fund's assets
during the fund's first fiscal year.
EXAMPLE
Assuming you . . .
* invest $10,000 in the fund
* redeem your shares at the end of the periods shown below
* earn a 5% return each year
* incur the same fund operating expenses shown above
. . . your cost of investing in the fund would be:
1 year 3 years
$320 $349
You would pay the following expenses if you did not redeem your
shares at the end of the periods shown below:
1 year 3 years
$112 $349
Of course, actual costs may be higher or lower. Use this example to
compare the costs of investing in other funds.
5. WHO ARE THE FUND'S INVESTMENT ADVISOR AND PORTFOLIO MANAGERS?
American Century Investment Management, Inc. provides investment
advisory and management services for the fund. American Century uses teams
of portfolio managers, assistant portfolio managers and analysts working
together to manage its mutual funds. The portfolio manager on the
Tax-Managed Value team is identified as follows:
Fund Profile Tax-Managed Value
MARK MALLON, Senior Vice President, Managing Director and Portfolio
Manager, joined American Century in April 1997. From August 1978 until he
joined American Century, Mr. Mallon was employed in several positions by
Federated Investors, and had served as President and Chief Executive
Officer of Federated Investment Counseling and Executive Vice President of
Federated Research Corporation since January 1990. He has a bachelor of
arts from Westminster College and an MBA from Cornell University. He is a
Chartered Financial Analyst.
CHARLES RITTER, Vice President and Portfolio Manager, joined American
Century in December 1998. Before joining the company, he spent 15 years as
a vice president and port-folio manager for Federated Investors. He has a
bachelor's degree in mathematics and a master's in economics from Carnegie
Mellon University. He also has an MBA from the University of Chicago. He is
a Chartered Financial Analyst.
6. HOW DO I BUY FUND SHARES?
* Complete and return the enclosed application
* Call us and exchange shares from another American Century fund
* Call us and send your investment by bank wire transfer
Your initial investment must be at least $10,000. If the value of your
account falls below this account minimum, your shares may be redeemed
involuntarily.
7. HOW DO I SELL FUND SHARES?
You may sell all or part of your fund shares on any business day by
writing or calling us. You also may exchange your shares in Tax-Managed
Value for shares in nearly 70 other mutual funds offered by American
Century. Depending on the options you select when you open your account,
some restrictions may apply. For your protection, some redemption requests
require a signature guarantee.
IF YOU SELL YOUR SHARES OF TAX-MANAGED VALUE WITHIN ONE YEAR OF THEIR
PURCHASE, YOU WILL PAY A REDEMPTION FEE OF 2.0% OF THE VALUE OF THE SHARES
SOLD.
8. HOW ARE FUND DISTRIBUTIONS MADE AND TAXED?
Tax-Managed Value pays distributions of substantially all of its income.
Distributions from realized capital gains are paid once a year, usually in
December. Distributions may be taxable as ordinary income, capital gains or
a combination of the two. Capital gains are taxed at different rates
depending on the length of time the fund held the securities that were
sold.
9. WHAT SERVICES ARE AVAILABLE?
American Century offers several ways to make it easier for you to manage
your account, such as:
* telephone transactions
* wire and electronic funds transfers
* 24-hour Automated Information Line transactions
* 24-hour online Internet account access and transactions
You will find more information about these choices in our Investor
Services Guide, which you may request by calling us, accessing our Web site
or visiting one of our Investor Centers.
Information contained in our Investor Services Guide pertains to
shareholders who invest directly with American Century rather than through
an employer-sponsored retirement plan or through a financial intermediary.
If you own or are considering purchasing fund shares through an
employer-sponsored retirement plan or financial intermediary, your ability
to purchase shares of the fund, exchange them for shares of other American
Century funds and redeem them will depend on the terms of your plan or
financial intermediary. If you have questions about investing in an
employer-sponsored retirement plan or through a financial intermediary,
call an Institutional Service Representative at 1-800-345-3533.
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[american century logo(reg.sm)]
American
Century
AMERICAN CENTURY INVESTMENTS
P.O. BOX 419200
KANSAS CITY, MISSOURI 64141-6200
WWW.AMERICANCENTURY.COM
INVESTOR SERVICES
1-800-345-2021 or 816-531-5575
AUTOMATED INFORMATION LINE
1-800-345-8765
CORPORATE; NOT-FOR-PROFIT; FOUNDATIONS;
ENDOWMENTS; KEOGH; SEP-, SARSEP- AND
SIMPLE-IRA; AND 403(B) SERVICES
1-800-345-3533
TELECOMMUNICATIONS DEVICE FOR THE DEAF
1-800-634-4113 or 816-444-3485
FAX
816-340-7962
SH-PRF-15140 9902 Funds Distributor, Inc.
