SUPPLEMENT TO THE PROSPECTUS
DATED MARCH 31, 1997
MASON STREET FUNDS, INC.
FUND MANAGERS
Varun Mehta, Director - Public Bonds of Northwestern Investment Management
Company, has been the manager for the Select Bond Fund and the fixed income
securities in the Asset Allocation Fund since March 31, 1997. He joined
Northwestern Mutual Life in March, 1997. From 1993 through March, 1997, Mr.
Mehta was with the Ameritech Investment Management Department serving as
Portfolio Manager - Fixed Income and, previously, as Portfolio
Research Manager - Fixed Income. Mr. Mehta has his undergraduate degree
from the University of Bombay. He received a Masters degree in Business
Management from the Indian Institute of Management and an M.B.A. from the
University of Chicago Graduate School of Business. Mr. Mehta is a Chartered
Financial Analyst.
Gary R. Clemons, Senior Vice President, Portfolio Management/Research of
Templeton Investment Counsel, Inc., is the manager for the International
Equity Fund, replacing Marc S. Joseph on May 23, 1997. Mr. Clemons joined
Templeton Investment Counsel in 1993. Prior to joining Templeton Investment
Counsel, Mr. Clemons worked as a portfolio manager/research analyst for
Templeton Quantitative Advisors in New York, a subsidiary of
Templeton International. Mr. Clemons holds an M.B.A. with emphasis in finance
from the University of Wisconsin-Madison and a B.S. degree from the
University of Nevada-Reno.
Timothy S. Collins, Director - High Yield Bonds of Northwestern Investment
Management Company, has replaced Steven P. Swanson as the portfolio manager of
the High Yield Bond Fund. Mr. Collins joined Northwestern Mutual Life in 1986.
He received a B.A. degree from St. Norbert College and an M.B.A. from the
University of Wisconsin-Madison. Mr. Collins is a Chartered Financial Analyst.
He also manages high yield fixed income securities of Northwestern Mutual Life.
The following are the two managers for the Growth and Income Stock Fund,
replacing Lisa Waller Oram in March, 1997:
Henry D. Cavanna, Managing Director of J.P. Morgan Investment Management
Inc., joined J.P. Morgan in 1971. Mr. Cavanna is a senior U.S. equity
portfolio manager in the U.S. Equity and Balanced Accounts Group. He received
his B.A. degree from Boston College and L.L.B. degree from the University of
Pennsylvania.
Michael J. Kelly, Vice President of J.P. Morgan Investment Management Inc.,
joined J.P. Morgan in 1985. Mr. Kelly is an institutional portfolio manager
with responsibility for several employee benefit, foundation and endowment
clients of J.P. Morgan. Mr. Kelly has an undergraduate degree from Gettysburg
College and an M.B.A. from The Wharton School of the University of
Pennsylvania. Mr. Kelly is a Chartered Financial Analyst.
THE PROSPECTUS IS ALSO AMENDED AS FOLLOWS:
(1) The first sentence of the last paragraph in the first column on page 22 of
the Prospectus is modified to read as follows:
"Shares purchased by current or retired officers, directors, employees,
agents,employees of agents, and employees of agencies of Mason Street Funds,
Northwestern Mutual Life, NMIS, Northwestern Investment Management
Company, the Transfer Agent or the Distributor, or their spouses or children
under the age of 21 or trust or retirement plans for their benefit."
(2) A sixth Special Waiver is added at the top of the second column on page
22 of the Prospectus to read as follows:
"- Shares purchased for group annuity separate accounts for employee
benefit or retirement plans."(3) The second bullet point prior to
"Reinstatement Privilege" in the second column on page 22 of the
Prospectus is amended to read as follows: "- Purchases by qualified
retirement plans and nonqualified deferred compensation plans with an
initial investment of $250,000 or more, or which have at least 50
eligible participants; and"
(4) The last sentence in the first column on page 25 of the Prospectus is
modified to read as follows:
"Personal third party checks will not be accepted."
[LOGO]
The date of this Prospectus Supplement is January 15, 1998.
HOL03 78517
