AARP Investment Program
from Scudder
SUPPLEMENT TO PROSPECTUS DATED
FEBRUARY 1, 1998
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Trusts AARP Mutual Funds
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AARP Cash Investment Funds AARP High Quality Money Fund
AARP Income Trust AARP High Quality Short Term Bond Fund
AARP GNMA and U.S. Treasury Fund
AARP Bond Fund for Income
AARP Tax Free Income Trust AARP High Quality Tax Free Money Fund
AARP Insured Tax Free General Bond Fund
AARP Growth Trust AARP Balanced Stock and Bond Fund
AARP Growth and Income Fund
AARP U.S. Stock Index Fund
AARP Global Growth Fund
AARP Capital Growth Fund
AARP International Growth and Income Fund
AARP Small Company Stock Fund
AARP Managed Investment AARP Diversified Income with Growth Portfolio
Portfolios Trust AARP Diversified Growth Portfolio
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The following supplements information found in the "Fund Organization"
section of the Funds' and Portfolios' prospectus:
EURO CONVERSION
The planned introduction of a new European currency, the Euro, may result in
uncertainties for European securities in the markets in which they trade and
with respect to the operation of each Fund or Portfolio, as applicable.
Currently, the Euro is expected to be introduced on January 1, 1999 by eleven
European countries that are members of the European Economic and Monetary
Union (EMU). The introduction of the Euro will require the redenomination of
European debt and equity securities over a period of time, which may result
in various accounting differences and/or tax treatments that otherwise would
not likely occur. Additional questions are raised by the fact that certain
other EMU members, including the United Kingdom, will not officially be
implementing the Euro on January 1, 1999. If the introduction of the Euro
does not take place as planned, there could be negative effects, such as
severe currency fluctuations and market disruptions.
Scudder Kemper Investments, Inc., the Funds' and Portfolios' Adviser, is
actively working to address Euro-related issues and understands that other
key service providers are taking similar steps. At this time, however, no one
knows precisely what the degree of impact will be. To the extent that the
market impact or effect on a portfolio holding is negative, it could hurt the
portfolio's performance.
December 28, 1998
