333-03147
497(e)
The Internet Fund, Inc.
344 Van Buren Street
North Babylon, New York 11704
Supplement dated March 25, 1999 to
Prospectus and Statement of Additional
Information dated March 9, 1998
On March 12, 1999, Kenetics Asset Management, Inc. (the
"Adviser") entered into an agreement pursuant to which its business and
substantially all of its assets will be sold to Lepercq, de Neuflize & Co.
Incorporated ("Lepercq").
If effectuated, this transaction will result in an "assignment"
of the Investment Advisory Contract with the Adviser. Under the Investment
Company Act of 1940, such an assignment will cause the automatic termination of
the Investment Advisory Contract. Therefore, as a condition to the closing of
the purchase, the shareholders of The Internet Fund, Inc. (the "Fund") will be
asked to approve a new Investment Advisory Contract with Lepercq.
The Adviser and Lepercq have indicated that the potential sale of
Adviser will have no immediate impact upon the Adviser's performance of its
responsibilities and obligations and Ryan Jacob will continue as the portfolio
manager of the Fund.
820821.3
