<PAGE>
MONUMENT SERIES FUND, INC.
SUPPLEMENT DATED MARCH 23, 1998
TO THE PROSPECTUS DATED JANUARY 2, 1998
Effective March 23, 1998, the section in the Prospectus entitled "TABLE OF FEES
AND EXPENSES" is hereby deleted in its entirety and supplemented as follows:
TABLE OF FEES AND EXPENSES
The following table is designed to help you understand the various fees and
expenses that you may bear, both directly and indirectly, by investing in the
Funds.
<TABLE>
<CAPTION>
AGGRESSIVE
SHAREHOLDER TRANSACTION EXPENSES GROWTH FUND GROWTH FUND
- -------------------------------- ----------- -----------
<S> <C> <C>
Maximum Sales Charge Imposed on Purchases(1)
(as a percentage of offering price). . . . . . . . . . . . . 4.75% 4.75%
Maximum Sales Charge Imposed on Reinvested
Income Dividends and Distributions . . . . . . . . . . . . . None None
Redemption Fees. . . . . . . . . . . . . . . . . . . . . . . None None
Exchange Fee . . . . . . . . . . . . . . . . . . . . . . . . None None
ANNUAL FUND OPERATING EXPENSES
- ------------------------------
(as a percentage of average net assets)
Advisory Fee . . . . . . . . . . . . . . . . . . . . . . . . 1.00% 1.00%
12b-1 Fees(2). . . . . . . . . . . . . . . . . . . . . . . . None(2) None(2)
Other Expenses(3). . . . . . . . . . . . . . . . . . . . . . 0.40%(3) 0.40%(3)
---- ----
Total Fund Operating Expenses(3) . . . . . . . . . . . . . 1.40%(3) 1.40%(3)
</TABLE>
- -------------------------
(1) Reduced rates apply to purchase payments over $50,000. See "Public
Offering Price" and "Rights of Accumulation."
(2) Each Fund has approved a Plan of Distribution pursuant to Rule 12b-1
providing for the payment of a maximum distribution fee, equal to 0.50% of its
average daily net assets, to Monument Distributors, Inc. the principal
underwriter for each Fund. See "Rule 12b-1 Plan." Distributors has agreed to
waive the distribution fee for the next 12 months. Long-term investors may pay
more than the economic equivalent of the maximum front end sales charges
permitted by the National Association of Securities Dealers.
(3) Other expenses for each Fund are based on estimated amounts for the current
fiscal year.
EXAMPLES. You would pay the following expenses on a $1,000 investment in
shares of a Fund, assuming (a) a 5% annual return and (b) redemption at the end
of each time period:
<TABLE>
<CAPTION>
1 YEAR 3 YEARS
------ -------
<S> <C> <C>
Growth Fund $62 $90
Aggressive Growth Fund $62 $90
</TABLE>
<PAGE>
The above examples assume payment of the maximum initial sales charge of 4.75%
at the time of purchase. The sales charge varies depending upon the amount of
Fund shares that an investor purchases. Accordingly, your actual expenses may
vary.
THE ABOVE EXAMPLES ARE NOT REPRESENTATIVE OF A PARTICULAR FUND'S ACTUAL OR
FUTURE EXPENSES OR PERFORMANCE, WHICH MAY BE GREATER OR LESS THAN THOSE SHOWN.
THE EXAMPLES ASSUME REINVESTMENT OF ALL INCOME DIVIDENDS AND CAPITAL GAIN
DISTRIBUTIONS AND A CONSTANT LEVEL OF TOTAL FUND OPERATING EXPENSES FOR EACH
YEAR.
Effective March 23, 1998, the section in the Prospectus entitled "BUYING,
REDEEMING, AND EXCHANGING SHARES - Public Offering Price" section in the
Prospectus is hereby deleted in its entirety and supplemented as follows:
<TABLE>
<CAPTION>
SALES CHARGE AS A PERCENTAGE OF AMOUNT PAID TO
------------------------------- DEALERS AS A
AMOUNT OF PURCHASE AT THE OFFERING NET AMOUNT PERCENTAGE OF
PUBLIC OFFERING PRICE PRICE INVESTED OFFERING PRICE
- --------------------- ----- -------- --------------
<S> <C> <C> <C>
$50,000 or less 4.75% 4.99% 4.00%
Over $50,000 through $100,000 3.50% 3.63% 3.00%
Over $100,000 through $1,000,000 2.50% 2.56% 2.25%
Above $1,000,000 0.25% 0.25% 0.25%
</TABLE>
