<PAGE>
497(e) File Nos. 333-15119 and 811-07893
SUPPLEMENT DATED AUGUST 24, 1998 TO PROSPECTUS DATED MAY 1, 1998
FOR
CITISELECT(R) VIP FOLIO 200
CITISELECT(R) VIP FOLIO 300
CITISELECT(R) VIP FOLIO 400
CITISELECT(R) VIP FOLIO 500
The sixth paragraph appearing in the "Management -- Investment Manager"
section on page 12 is deleted and replaced with the following:
SMALL CAPITALIZATION GROWTH SECURITIES
This portion of the Funds' portfolios has been managed by Lawrence P.
Keblusek since August 1998. Mr. Keblusek's biographical information is
contained under "Management -- Investment Manager" above.
SUPPLEMENT DATED AUGUST 24, 1998 TO PROSPECTUS DATED MAY 1, 1998
FOR
CITIFUNDS(SM) SMALL CAP GROWTH VIP PORTFOLIO
The third paragraph appearing in the "Management -- Investment Manager"
section on page 7 is deleted and replaced with the following:
Lawrence P. Keblusek, U.S. Chief Investment Officer of Citibank since
1995, has been the portfolio manager of the Fund since August 1998. Prior
to joining Citibank in 1995, Mr. Keblusek, who has 25 years experience in
the investment management industry, was Senior Vice President and Director
of Portfolio Management for The Northern Trust Company with responsibility
for investment performance in the organization's High Net Worth, Corporate
and Institutional and Mutual Fund Group. Earlier in his career, Mr.
Keblusek held senior investment positions with Maryland National Bank and
the National Bank of Washington.
