File Nos. 333-13185; 811-7839
Rule 497(e)
CONSECO FUND GROUP
CLASS Y SHARES
SUPPLEMENT DATED MAY 7, 1997
TO PROSPECTUS DATED JANUARY 2, 1997
The second paragraph under the section entitled How to Buy Shares
on page 13 has been modified to clarify the definition of institutional
investors and now reads as follows:
In order to buy class Y shares you must qualify as an
institutional investor. Institutional investors may include,
but are not limited to, the following: (i) tax qualified
retirement plans which have (a) at least $10 million in plan
assets, (b) have 750 or more employees eligible to participate
at the time of purchase, or (c) certify that they will have
projected annual contributions of $2.5 million or more, (ii)
banks and insurance companies purchasing shares for their own
account, (iii) investment companies not affiliated with the
Adviser, (iv) tax-qualified retirement plans of the Adviser or
b r o ker-dealer wholesalers and their affiliates, or (v)
endowments, foundations and other charitable organizations.<PAGE>
