US GLOBAL INVESTORS FUNDS
497, 1997-04-29
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GRAPHICS:  Stars screened (watermarked) behind text.
           Picture of front cover of prospectus wrap beside each fund
           described below

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DISCOVER OUR STAR FUNDS

U.S. GLOBAL INVESTORS' STARS ARE SHINING BRIGHT. 
The following funds received top honors from Morningstar. 

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U.S. REAL ESTATE FUND                     U.S. GLOBAL RESOURCES FUND 
*****                                     ****
Invests for growth and income             Invests for growth in the suppliers of
in REITs and other real estate            natural resources of all kinds. 
stocks. Can enhance any portfolio.       
                                        
UNITED SERVICES NEAR-TERM TAX FREE FUND   U.S. TAX FREE FUND                    
*****                                     *****   
Invests ininvestment-grade municipal      Invests for a high level of current  
bonds and provides monthly tax-free       income exempt from federal income 
dividends.                                taxation. A great investment for 
                                          reducing your tax bill.

U.S. ALL AMERICAN EQUITY FUND             CHINA REGION OPPORTUNITY FUND         
*****                                     *****                               
A fund starring America's best-known      Diversified throughout the strongest
blue chips: Wal-Mart, McDonalds,          of China's expanding industries, 
Toys R Us and more.                       this fund stands to gain from the 
                                          world's fastest growing economic
                                           region.

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P.S. Did you know the U.S.  Government  Securities Savings Fund was ranked #1 by
Lipper  Analytical  Service  for the past five  years?  If you are looking for a
superior,  higher yield and instant liquidity,  the U.S.  Government  Securities
Savings Fund is the right choice for you.
                                                          _____________________
                                                         |                    |
                 Call today for a FREE investment guide. |GRAPHIC: U.S. Global| 
                               1-800-557-2297, ext. 171  |   Investors, logo  |
                                        www.usfunds.com  |____________________|

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For more  information,  including charges and expenses,  call  1-800-US-FUNDS or
visit us on the web at  www.usfunds.com.  Please read the  prospectus  carefully
before investing;  it details the special risks,  including political,  currency
and economic  risks,  of investing in emerging  markets.  U.S. stands for United
Services.  Lipper  Analytical  Services  ranked the U.S.  Government  Securities
Savings Fund #5 and #1 for the one- and  five-year  periods ended 3/31/97 out of
115  and 79  government  money  market  funds,  respectively.  Morningstar  is a
nationally  recognized  fund rating  service which awards  rankings that reflect
historical,  risk-adjusted performance. It awards five stars to funds in the top
10% of their category, four stars to funds in the next 22.5%, three stars to the
next 35%,  two stars to the next 22.5% and one star to funds in the bottom  10%.
The U.S. All American  Equity Fund,  China  Opportunity  Fund,  U.S. Real Estate
Fund, U.S. Global Resources Fund,  United Services  Near-Term Tax Free Fund, and
U.S. Tax Free Funds received 5, 5, 5, 4, 5, and 5 stars out of 3048,  939, 3048,
3048,  1751,  and 1751  funds for the 1-year  period and 3, n/a,  1, 2, 4, and 4
stars out of 1076, n/a, 1076, 1076, 601, and 601 funds for the 5-year period and
1, n/a,  n/a, 1, n/a, and 3 stars out of 601,  n/a, n/a, 601, n/a, and 267 funds
for the 10-year period, respectively.



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