[GRAPHIC: UNITED SERVICES FUNDS LETTERHEAD]
October 15, 1996
CONTACT
COMPANY
ADDRESS 1
ADDRESS 2
CITY, STATE ZIP
Dear (Contact),
Within the last six months U.S. Global Investors, Inc., formerly United Services
Advisors, has reorganized its corporate structure and refocused its vision, so
that we will take full advantage of the global boom that is taking place around
us.
Our most notable "big hit" successes that we believe will deliver significant
value growth for our GROW shareholders:
1. U.S. World Gold Fund- Over 26% return year-to-date and over $258
million in assets. One of the best 3 and 5-year returns in the
precious metals sector.
2. Bonnel Growth Fund- Over 25% return year-to-date and close to $100
million in assets. Art Bonnel, manager of the fund, has a solid track
record and earned a 45% return for the fund in 1995.
3. All American Equity Fund- Over 16% return year-to-date and very
popular among many investors as a "Blue Chip" growth fund that offers
access to some of America's greatest companies with only $100 down and
$30 a month thereafter, if they choose to invest in our ABC Investment
Plan(R).
4. Security Trust & Financial Company- A subsidiary of U.S. Global that
handles over $260 million in retirement monies including IRAs, 401(k)s
and 403(b)s.
5. U.S. Precious Metals and Natural Resources Portfolio*- An offshore
venture capital fund that invests predominantly in natural resources
in emerging markets. The average annual total rate of return for the
fund is over 300%. Recently recognized by Micropal as the #1 performer
in its category.
Our changes are causing people to take notice. Please review the enclosed
reports and if you have any questions or want more information, please call me
at 210-308-1214.
Best regards,
/s/ Stephanie Linkous
Stephanie Linkous
Asst. Vice President Communications
P.S. The Fiscal 1996 Annual Report is on its way!
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* Available only for sophistocated investors outside the United States.
For a free prospectus containing more complete information, including charges
and expenses, call 1-800-US-FUNDS. Please read the prospectus carefully before
investing. Past performance is no guarantee of future results. Investment return
and principal value will fluctuate. You may have a gain or a loss when you sell
shares. Average annual total rate of return for U.S. World Gold Fund for 1, 5
and 10 year periods ended 9/30/96, 28.69%, 18.85%, 7.49%, and respectively.
Average annual total rate of return for Bonnel Growth Fund for 1 year periods
ended 9/30/96, 21.11%; from inception, 35.22%. Average annual total rate of
return for U.S. All American Equity Fund for 1, 5 and 10 year periods ended
9/30/96, 20.08%, 11.96%, and 8.28% respectively. U.S. stands for United
Services.
