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Supplement to the
Mitchell Hutchins LIR Select Money Fund
Prospectus dated July 31, 1998
Dear Investor, June 11, 1999
PaineWebber Incorporated ("PaineWebber"), the distributor of the Fund,
may pay shareholder servicing fees to banks and broker-dealers that make
Institutional shares of the Fund available to their customers. The cost of these
shareholder servicing fees will be borne by PaineWebber or Mitchell Hutchins
Asset Management Inc., the investment adviser to the Fund, and will not be
charged to or reimbursed by the Fund. The rate of the shareholder servicing fees
will be based upon the average daily net asset value of Institutional shares
held through the bank or broker-dealer by its institutional customers.
Shareholder servicing fees paid under these arrangements by PaineWebber will be
determined on a negotiated basis with the bank or broker providing the services,
taking into consideration such factors as the nature of services provided and
the size and number of institutional shareholders being serviced by the bank or
broker-dealer.
