CONTENTS
Fee Table ................................................................. 1
Financial Highlights ...................................................... 2
Investment Objectives, Policies and Techniques ............................ 3
Investment Adviser and Administrator ...................................... 6
Distributions and Taxes ................................................... 7
Performance ............................................................... 8
Miscellaneous Information ................................................. 8
Shareholder's Manual
How to Open an Account .................................................... 9
How to Buy Shares ......................................................... 10
How to Exchange Shares .................................................... 11
How to Redeem Shares ...................................................... 11
Special Shareholder Services and Other Information ........................ 13
[LOGO]
JANUS MONEY MARKET FUND
JANUS GOVERNMENT MONEY MARKET FUND
JANUS TAX-EXEMPT MONEY MARKET FUND
Investor Shares
100 Fillmore Street, Suite 300
Denver, CO 80206-4923
1-800-525-3713
February 15, 1995 as supplemented July 24, 1995
Janus Money Market Fund, Janus Government Money Market Fund and Janus Tax-Exempt
Money Market Fund (individually a "Fund" and collectively the "Funds") are
designed for investors who seek maximum current income consistent with stability
of capital. This prospectus offers a separate class of shares of each Fund
(collectively, the "Shares") to the general public. Each Fund is a separate
series of Janus Investment Fund (the "Trust"), an open-end management investment
company. Each Fund invests exclusively in high quality money market instruments.
The Funds are recently organized and have a limited operating history. AN
INVESTMENT IN A FUND IS NEITHER INSURED NOR GUARANTEED BY THE U.S. GOVERNMENT.
THERE IS NO ASSURANCE THAT A FUND WILL BE ABLE TO MAINTAIN A STABLE NET ASSET
VALUE OF $1.00 PER SHARE.
The Funds are no-load funds. They sell and redeem the Shares at net asset value
without any sales charges, commissions or redemption fees. There are no Rule
12b-1 plans or deferred sales charges. There is no minimum initial investment if
shareholders choose the automatic monthly investing option described at page 9.
Otherwise, the minimum initial investment is $1,000 ($250 for IRAs, most other
retirement plans and Uniform Gifts/Transfers to Minors accounts) and the minimum
subsequent investment is $50. An exchange program among other Janus funds is
also available. For complete details on how to purchase, redeem and exchange
Shares, please see the Shareholder's Manual beginning at page 9.
This Prospectus contains information about the Shares that prospective investors
should consider before investing and should be read carefully and retained for
future reference. Additional information about the Shares is contained in the
Statement of Additional Information ("SAI") dated February 15, 1995, as
supplemented July 24, 1995, which is filed with the Securities and Exchange
Commission ("SEC") and is incorporated by reference into this Prospectus. The
SAI is available upon request and without charge by writing or calling the Funds
at the address or telephone number shown above.
THESE SECURITIES HAVE NOT BEEN APPROVED OR DISAPPROVED BY THE SEC OR ANY STATE
SECURITIES COMMISSION NOR HAS THE SEC OR ANY STATE SECURITIES COMMISSION PASSED
UPON THE ACCURACY OR ADEQUACY OF THIS PROSPECTUS. ANY REPRESENTATION TO THE
CONTRARY IS A CRIMINAL OFFENSE.
This Prospectus does not constitute an offer to sell securities in any state or
other jurisdiction to any person to whom it is unlawful to make such an offer in
such state or other jurisdiction.
<PAGE>
FEE TABLE
SHAREHOLDER TRANSACTION EXPENSES (Applicable to each Fund)
Sales Load Imposed on Purchases None
Sales Load Imposed on Reinvested Dividends None
Deferred Sales Load None
Redemption Fees* None
Exchange Fee None
* An $8 service fee may be charged for redemptions by wire.
<TABLE>
<CAPTION>
ANNUAL OPERATING EXPENSES*
(Expressed as a percentage of average net assets)
Management Fee Other Expenses Total Operating Expenses
<S> <C> <C> <C>
Janus Money Market Fund-Investor Shares .10% .50% .60%
Janus Government Money Market Fund-Investor Shares .10% .50% .60%
Janus Tax-Exempt Money Market Fund-Investor Shares .10% .50% .60%
</TABLE>
EXAMPLE*
You would indirectly pay the following expenses on a $1,000 investment, assuming
a 5% annual return, with or without redemption at the end of each period:
1 Year 3 Years
Janus Money Market Fund-Investor Shares $6 $19
Janus Government Money Market Fund-Investor Shares $6 $19
Janus Tax-Exempt Money Market Fund-Investor Shares $6 $19
*The fees and expenses in the table and example above are based on the estimated
fees and expenses that the Shares expect to incur in their initial fiscal year,
net of fee waivers from the investment adviser. Without such waivers, the
Management Fee, Other Expenses and Total Operating Expenses are estimated to be
.20%, .50% and .70%, respectively. See "Investment Adviser and Administrator"
for a more detailed discussion of the fees.
THE EXPENSES IN THE EXAMPLE ABOVE SHOULD NOT BE CONSIDERED A REPRESENTATION OF
PAST OR FUTURE EXPENSES AND ACTUAL EXPENSES MAY BE GREATER OR LESS THAN THOSE
SHOWN. THE ASSUMED 5% ANNUAL RETURN IS HYPOTHETICAL AND SHOULD NOT BE CONSIDERED
A REPRESENTATION OF PAST OR FUTURE ANNUAL RETURNS, WHICH MAY BE GREATER OR LESS
THAN THE ASSUMED AMOUNT.
The purpose of the preceding table and example is to assist the investor in
understanding the various costs and expenses that an investor in each Fund will
bear directly or indirectly. These expenses are described in greater detail
under "Investment Adviser and Administrator."
JANUS MONEY MARKET FUNDS-INVESTOR SHARES PROSPECTUS FEBRUARY 15, 1995
AS SUPPLEMENTED JULY 24, 1995
1
<PAGE>
FINANCIAL HIGHLIGHTS
The unaudited information below is for the semiannual period ended April 30,
1995. Expense and income ratios have been annualized while total returns have
not been annualized.
<TABLE>
<CAPTION>
Janus Janus Janus
Money Market Government Money Market Tax-Exempt Money Market
Investor Shares Fund(1) Fund(1) Fund(1)
--------------- ------------ ----------------------- -----------------------
<S> <C> <C> <C>
1. Net asset value, beginning of period $1.00 $1.00 $ 1.00
Income from investment operations:
2. Net investment income .01 .01 --*
3. Net gains or (losses) on securities
(both realized and unrealized) -- -- --
4. Total from investment operations .01 .01 --
Less distributions:
5. Dividends (from net investment income) (.01) (.01) --*
6. Distributions (from capital gains) -- -- --
7. Total distributions (.01) (.01) --
8. Net asset value, end of period $1.00 $1.00 $ 1.00
9. Total return 1.13% 1.12% .70%
10. Net assets, end of period (in thousands) $398,345 $78,537 $52,088
11. Ratio of expenses to average net assets .60%(2) .60%(2) .60%(2)
12. Ratio of net investment income
to average net assets 5.55% 5.45% 3.54%
</TABLE>
*Amounts are less than $.01 per share.
(1)Period from February 15, 1995 (inception) through April 30, 1995.
(2)The ratio of expenses to average net assets was .70% before voluntary
reduction of fees.
JANUS MONEY MARKET FUNDS-INVESTOR SHARES PROSPECTUS FEBRUARY 15, 1995
AS SUPPLEMENTED JULY 24, 1995
2
<PAGE>
INVESTMENT OBJECTIVES, POLICIES AND TECHNIQUES
Unless otherwise stated, the investment objectives and policies set forth in
this Prospectus are not fundamental and may be changed by the Trustees of the
Trust (the "Trustees") without shareholder approval. Shareholders will be
notified of material changes in investment objectives or policies. If there is a
change in the investment objective or policies of any Fund, shareholders should
consider whether that Fund remains an appropriate investment in light of their
then current financial position and needs. The Funds are subject to additional
investment policies and restrictions described in the Statement of Additional
Information, some of which are fundamental and may not be changed without
shareholder approval.
INVESTMENT OBJECTIVES
The investment objective of each of Janus Money Market Fund and Janus Government
Money Market Fund is to seek maximum current income to the extent consistent
with stability of capital. The investment objective of Janus Tax-Exempt Money
Market Fund is to seek maximum current income that is exempt from federal income
taxes to the extent consistent with stability of capital. There can be no
assurance that a Fund will achieve its investment objective or that the Shares
will be able to maintain a stable net asset value of $1.00 per share.
COMMON INVESTMENT POLICIES
The Funds will invest only in eligible high quality, short-term money market
instruments that present minimal credit risks, as determined by Janus Capital
Corporation, the Funds' investment adviser ("Janus Capital"), pursuant to
procedures adopted by the Trustees. Each Fund may invest only in U.S.
dollar-denominated instruments that have a remaining maturity of 397 days or
less (as calculated pursuant to Rule 2a-7 under the Investment Company Act of
1940 ("1940 Act") and will maintain a dollar-weighted average portfolio maturity
of 90 days or less.
Except to the limited extent permitted by Rule 2a-7 and except for U.S.
Government Securities (as defined below), each Fund will not invest more than 5%
of its total assets in the securities of any one issuer. A guarantor is not
considered an issuer for the purpose of this limit provided that the value of
all securities held by a Fund that are issued or guaranteed by that institution
does not exceed 10% of the Fund's total assets. In the case of Janus Tax-Exempt
Money Market Fund, up to 25% of its assets may be invested without regard to the
foregoing limitations. To ensure adequate liquidity, no Fund may invest more
than 10% of its net assets in illiquid securities, including repurchase
agreements maturing in more than seven days and certain time deposits that are
subject to early withdrawal penalties and mature in more than seven days.
Because the Funds are typically used as a cash management vehicle, they intend
to maintain a high degree of liquidity. Janus Capital determines and monitors
the liquidity of portfolio securities under the supervision of the Trustees.
Ratings.
High quality money market instruments include those that (i) are rated (or, if
unrated, are issued by an issuer with comparable outstanding short-term debt
that is rated) in one of the two highest rating categories for short-term debt
by any two nationally recognized statistical rating organizations ("NRSROs") or,
if only one NRSRO has issued a rating, by that NRSRO or (ii) are otherwise
unrated and determined by Janus Capital to be of comparable quality. Each Fund,
except Janus Tax-Exempt Money Market Fund, will invest at least 95% of its total
assets in securities in the highest rating category (as determined pursuant to
Rule 2a-7). Descriptions of the rating categories of Standard & Poor's Ratings
Services, Moody's Investors Service, Inc., and certain other NRSROs are
contained in the SAI as is a further description of the Funds' investment
policies.
Although each Fund only invests in high quality money market instruments, an
investment in a Fund is subject to risk even if all securities in a Fund's
portfolio are paid in full at maturity. All money market instruments, including
U.S. Government Securities, can change in value as a result of changes in
interest rates, the issuer's actual or perceived creditworthiness or the
issuer's ability to meet its obligations.
TYPES OF SECURITIES
JANUS MONEY MARKET FUND
Janus Money Market Fund pursues its objective by investing primarily in high
quality commercial paper and obligations of financial institutions. The Fund may
also invest in U.S. Government Securities (as defined below) and municipal
securities, although the Fund expects to invest in such securities to a lesser
degree.
Debt Securities.
The Fund may invest in debt obligations of domestic issuers, including
commercial paper (short-term promissory notes issued by companies to finance
their, or their affiliates', current obligations), notes and bonds, and variable
amount master demand notes. The Fund may invest in privately issued commercial
paper which is restricted as to disposition under the federal securities laws.
In general, any sale of this paper may not be made absent registration under the
Securities Act of 1933 (the "1933 Act") or the availability of an appropriate
exemption therefrom. Pursuant to the provisions of Section 4(2) of the 1933 Act,
however, some privately issued commercial paper is eligible for resale to
institutional investors, and accordingly, Janus Capital may determine that a
liquid market exists for that paper pursuant to guidelines adopted by the
Trustees.
Obligations of Financial Institutions.
The Fund may invest in obligations of financial institutions. Examples of
obligations in which the Fund may invest include negotiable certificates of
deposit, bankers' acceptances and time deposits of U.S. banks (including savings
and loan associations) having total assets in excess of one billion dollars and
U.S. branches of foreign banks having total assets in excess of ten billion
dollars. The Fund may also invest in Eurodollar and Yankee bank obligations as
discussed below.
JANUS MONEY MARKET FUNDS-INVESTOR SHARES PROSPECTUS FEBRUARY 15, 1995
AS SUPPLEMENTED JULY 24, 1995
3
<PAGE>
Certificates of deposit represent an institution's obligation to repay funds
deposited with it that earn a specified interest rate over a given period.
Bankers' acceptances are negotiable obligations of a bank to pay a draft which
has been drawn by a customer and are usually backed by goods in international
trade. Time deposits are non-negotiable deposits with a banking institution that
earn a specified interest rate over a given period. Fixed time deposits, which
are payable at a stated maturity date and bear a fixed rate of interest,
generally may be withdrawn on demand by the Fund but may be subject to early
withdrawal penalties that could reduce the Fund's yield. Unless there is a
readily available market for them, time deposits that are subject to early
withdrawal penalties and that mature in more than seven days will be treated as
illiquid securities.
Eurodollar or Yankee Obligations.
The Fund may invest in Eurodollar and Yankee bank obligations. Eurodollar bank
obligations are dollar-denominated certificates of deposit or time deposits
issued outside the U.S. capital markets by foreign branches of U.S. banks and by
foreign banks. Yankee bank obligations are dollar-denominated obligations issued
in the U.S. capital markets by foreign banks.
Eurodollar (and to a limited extent, Yankee) bank obligations are subject to
certain sovereign risks. One such risk is the possibility that a foreign
government might prevent dollar-denominated funds from flowing across its
borders. Other risks include: adverse political and economic developments in a
foreign country; the extent and quality of government regulation of financial
markets and institutions; the imposition of foreign withholding taxes; and
expropriation or nationalization of foreign issuers.
U.S. Government Securities.
The Fund may invest without limit in U.S. Government Securities as described
below under "Janus Government Money Market Fund."
Municipal Securities.
The Fund may invest in obligations of states, territories or possessions of the
United States and their subdivisions, authorities and corporations as described
below under "Janus Tax-Exempt Money Market Fund." These obligations may pay
interest that is exempt from federal income taxation.
JANUS GOVERNMENT MONEY MARKET FUND
Janus Government Money Market Fund pursues its objective by investing
exclusively in obligations issued and/or guaranteed as to principal and interest
by the United States government or by its agencies and instrumentalities and
repurchase agreements secured by such obligations.
U.S. Government Securities.
U.S. Government Securities shall have the meaning set forth in the 1940 Act. The
1940 Act defines U.S. government securities to include securities issued or
guaranteed by the U.S. government, its agencies and instrumentalities and has
been interpreted to include repurchase agreements collateralized and municipal
securities refunded with escrowed U.S. government securities ("U.S. Government
Securities"). U.S. Government Securities in which the Fund may invest include
U.S. Treasury securities and obligations issued or guaranteed by U.S. government
agencies and instrumentalities that are backed by the full faith and credit of
the U.S. government, such as those guaranteed by the Small Business
Administration or issued by the Government National Mortgage Association. In
addition, U.S. Government Securities in which the Fund may invest include
securities supported primarily or solely by the creditworthiness of the issuer,
such as securities of the Federal National Mortgage Association, the Federal
Home Loan Mortgage Corporation and the Tennessee Valley Authority. There is no
guarantee that the U.S. government will support securities not backed by its
full faith and credit. Accordingly, although these securities have historically
involved little risk of loss of principal if held to maturity, they may involve
more risk than securities backed by the full faith and credit of the U.S.
government.
JANUS TAX-EXEMPT MONEY MARKET FUND
Janus Tax-Exempt Money Market Fund pursues its objective by investing primarily
in municipal securities whose interest is exempt from federal income taxes,
including the federal alternative minimum tax. Although the Fund will attempt to
invest substantially all of its assets in municipal securities whose interest is
exempt from federal income taxes, the Fund reserves the right to invest up to
20% of the value of its net assets in securities whose interest is federally
taxable. Additionally, when its portfolio manager is unable to locate investment
opportunities with desirable risk/reward characteristics, the Fund may invest
without limit in cash and cash equivalents, including obligations that may be
federally taxable (See "Taxable Investments").
Municipal Securities.
The municipal securities in which the Fund may invest include municipal notes
and short-term municipal bonds. Municipal notes are generally used to provide
for the issuer's short-term capital needs and generally have maturities of 397
days or less. Examples include tax anticipation and revenue anticipation notes,
which generally are issued in anticipation of various seasonal revenues, bond
anticipation notes, construction loan notes and tax-exempt commercial paper.
Short-term municipal bonds may include "general obligation bonds," which are
secured by the issuer's pledge of its faith, credit and taxing power for payment
of principal and interest; "revenue bonds," which are generally paid from the
revenues of a particular facility or a specific excise tax or other source; and
"industrial development bonds," which are issued by or on behalf of public
authorities to provide funding for various privately operated industrial and
commercial facilities. The Fund may also invest in high quality participation
interests in municipal securities. A more detailed description of various types
of municipal securities is contained in Appendix B in the SAI.
When the assets and revenues of an agency, authority, instrumentality or other
political subdivision are separate from those of the
JANUS MONEY MARKET FUNDS-INVESTOR SHARES PROSPECTUS FEBRUARY 15, 1995
AS SUPPLEMENTED JULY 24, 1995
4
<PAGE>
government creating the issuing entity and a security is backed only by the
assets and revenues of the issuing entity, that entity will be deemed to be the
sole issuer of the security. Similarly, in the case of an industrial development
bond backed only by the assets and revenues of the non-governmental issuer, the
non-governmental issuer will be deemed to be the sole issuer of the bond.
At times, the Fund may invest more than 25% of the value of its total assets in
tax-exempt securities that are related in such a way that an economic, business,
or political development or change affecting one such security could similarly
affect the other securities; for example, securities whose issuers are located
in the same state, or securities whose interest is derived from revenues of
similar type projects. The Fund may also invest more than 25% of its assets in
industrial development bonds or participation interests therein.
Yields on municipal securities are dependent on a variety of factors, including
the general conditions of the money market and of the municipal bond and
municipal note markets, the size of a particular offering, the maturity of the
obligation and the rating of the issue. The achievement of the Fund's investment
objective is dependent in part on the continuing ability of the issuers of
municipal securities in which the Fund invests to meet their obligations for the
payment of principal and interest when due. Obligations of issuers of municipal
securities are subject to the provisions of bankruptcy, insolvency and other
laws affecting the rights and remedies of creditors, such as the Bankruptcy
Reform Act of 1978, as amended. Therefore, the possibility exists, that as a
result of litigation or other conditions, the ability of any issuer to pay, when
due, the principal of and interest on its municipal securities may be materially
affected.
Municipal Leases.
The Fund may invest in municipal leases or participation interests therein.
Municipal leases are municipal securities which may take the form of a lease or
an installment purchase or conditional sales contract. Municipal leases are
issued by state and local governments and authorities to acquire a wide variety
of equipment and facilities.
Lease obligations may not be backed by the issuing municipality's credit and may
involve risks not normally associated with general obligation bonds and other
revenue bonds. For example, their interest may become taxable if the lease is
assigned and the holders may incur losses if the issuer does not appropriate
funds for the lease payment on an annual basis, which may result in termination
of the lease and possible default. Janus Capital may determine that a liquid
market exists for municipal lease obligations pursuant to guidelines established
by the Trustees.
Taxable Investments.
As discussed above, although the Fund will attempt to invest substantially all
of its assets in municipal securities whose interest is exempt from federal
income tax, the Fund may under certain circumstances invest in certain
securities whose interest is subject to such taxation. These securities include:
(i) short-term obligations of the U.S. government, its agencies or
instrumentalities, (ii) certificates of deposit, bankers' acceptances and
interest-bearing savings deposits of banks having total assets of more than one
billion dollars and whose deposits are insured by the Federal Deposit Insurance
Corporation, (iii) commercial paper and (iv) repurchase agreements as described
below covering any of the securities described in items (i)-(iii) above or any
other obligations of the U.S. government, its agencies or instrumentalities.
COMMON INVESTMENT TECHNIQUES
Participation Interests.
The Funds may invest in participation interests in any type of security in which
the Funds may invest. A participation interest gives a Fund an undivided
interest in the underlying securities in the proportion that the Fund's
participation interest bears to the total principal amount of the underlying
securities. Participation interests usually carry a demand feature, as described
below, backed by a letter of credit or guarantee of the institution that issued
the interests permitting the holder to tender them back to the institution.
Demand Features.
The Funds may invest in securities that are subject to puts and stand-by
commitments ("demand features"). Demand features give the Fund the right to
resell securities at specified periods prior to their maturity dates to the
seller or to some third party at an agreed-upon price or yield. Securities with
demand features may involve certain expenses and risks, including the inability
of the issuer of the instrument to pay for the securities at the time the
instrument is exercised, non-marketability of the instrument and differences
between the maturity of the underlying security and the maturity of the
instrument. Securities may cost more with demand features than without them.
Demand features can serve three purposes: to shorten the maturity of a variable
or floating rate security, to enhance the instrument's credit quality and to
provide a source of liquidity. Demand features are often issued by third party
financial institutions, generally domestic and foreign banks. Accordingly, the
credit quality and liquidity of the Funds' investments may be dependent in part
on the credit quality of the banks supporting the Funds' investments. This will
result in exposure to risks pertaining to the banking industry, including the
foreign banking industry. Brokerage firms and insurance companies also provide
certain liquidity and credit support.
Variable and Floating Rate Securities.
The securities in which the Funds invest may have variable or floating rates of
interest. These securities pay interest at rates that are adjusted periodically
according to a specified formula, usually with reference to some interest rate
index or market interest rate. Securities with ultimate maturities of greater
than 397 days may be purchased only pursuant to Rule 2a-7. Under that Rule, only
those long-term instruments that have demand features which comply with certain
requirements and certain variable rate U.S. Government Securities may be
purchased. Similar to fixed rate debt instruments, variable and floating rate
instruments are subject to changes in value based on changes in market interest
rates or changes in the issuer's or guarantor's creditworthiness. The rate of
interest on securities purchased
JANUS MONEY MARKET FUNDS-INVESTOR SHARES PROSPECTUS FEBRUARY 15, 1995
AS SUPPLEMENTED JULY 24, 1995
5
<PAGE>
by a Fund may be tied to short-term Treasury or other government securities or
indices on securities that are permissible investments of the Funds, as well as
other money market rates of interest. The Funds will not purchase securities
whose values are tied to interest rates or indexes that are not appropriate for
the duration and volatility standards of a money market fund.
Mortgage- and Asset-Backed Securities.
Janus Money Market Fund and Janus Government Money Market Fund may purchase
fixed or adjustable rate mortgage-backed securities issued by the Government
National Mortgage Association, Federal National Mortgage Association or the
Federal Home Loan Mortgage Corporation. In addition, Janus Money Market Fund may
purchase other asset-backed securities, including securities backed by
automobile loans, equipment leases or credit card receivables. These securities
directly or indirectly represent a participation in, or are secured by and
payable from, fixed or adjustable rate mortgage or other loans which may be
secured by real estate or other assets. Unlike traditional debt instruments,
payments on these securities include both interest and a partial payment of
principal. Prepayments of the principal of underlying loans may shorten the
effective maturities of these securities and may result in a Fund having to
reinvest proceeds at a lower interest rate.
Repurchase Agreements.
Each Fund may seek additional income by entering into repurchase agreements with
respect to obligations that could otherwise be purchased by a Fund. Repurchase
agreements are transactions in which a Fund purchases securities and
simultaneously commits to resell those securities to the seller at an
agreed-upon price on an agreed-upon future date. The resale price reflects a
market rate of interest that is not related to the coupon rate or maturity of
the purchased securities. If the seller of the securities underlying a
repurchase agreement fails to pay the agreed resale price on the agreed delivery
date, a Fund may incur costs in disposing of the collateral and may experience
losses if there is any delay in its ability to do so.
Reverse Repurchase Agreements.
Each Fund may enter into reverse repurchase agreements. Reverse repurchase
agreements are transactions in which a Fund sells a security and simultaneously
commits to repurchase that security from the buyer at an agreed upon price on an
agreed upon future date. This technique will be used only for temporary or
emergency purposes, such as meeting redemption requests or to earn additional
income on portfolio securities.
Delayed Delivery Securities.
Each Fund may purchase securities on a when-issued or delayed delivery basis.
Securities so purchased are subject to market price fluctuation from the time of
purchase but no interest on the securities accrues to a Fund until delivery and
payment for the securities take place. Accordingly, the value of the securities
on the delivery date may be more or less than the purchase price. Forward
commitments will be entered into only when a Fund has the intention of taking
possession of the securities, but a Fund may sell the securities before the
settlement date if deemed advisable.
Borrowing and Lending.
Each Fund may borrow money for temporary or emergency purposes in amounts up to
25% of its total assets. A Fund may not mortgage or pledge securities except to
secure permitted borrowings. As a fundamental policy, a Fund will not lend
securities or other assets if, as a result, more than 25% of its total assets
would be lent to other parties; however, the Funds do not currently intend to
engage in securities lending. Each Fund intends to seek permission from the SEC
to borrow money from or lend money to other funds that permit such transactions
and are advised by Janus Capital. There is no assurance that such permission
will be granted.
Portfolio Turnover.
Because the Funds invest in securities with relatively short-term maturities,
each Fund is expected to have a high portfolio turnover rate. However, a high
turnover rate should not increase a Fund's costs because brokerage commissions
are not normally charged on the purchase and sale of money market instruments.
Joint Accounts.
The Funds have requested exemptive relief from the SEC to permit the Funds and
other funds advised by Janus Capital to invest in certain money market
instruments through a joint account. Accordingly, the Funds may purchase such
instruments through a joint account if such relief is granted.
INVESTMENT ADVISER AND ADMINISTRATOR
INVESTMENT ADVISER
Each Fund has a separate Investment Advisory Agreement with Janus Capital
Corporation, 100 Fillmore Street, Suite 300, Denver, Colorado 80206-4923. Janus
Capital has served as investment adviser to Janus Fund since 1970 and currently
serves as investment adviser to all of the Janus funds, as well as adviser or
subadviser to other mutual funds and individual, corporate, charitable and
retirement accounts. Kansas City Southern Industries, Inc., a publicly traded
holding company whose primary subsidiaries are engaged in transportation and
financial services ("KCSI"), owns approximately 83% of the outstanding voting
stock of Janus Capital. Thomas H. Bailey, the President and Chairman of the
Board of Janus Capital, owns approximately 12% of its voting stock and by
agreement with KCSI selects a majority of Janus Capital's Board.
Pursuant to the Investment Advisory Agreements, Janus Capital furnishes
continuous advice and recommendations concerning each Fund's investments. Each
of the Funds has agreed to compensate Janus Capital for its advisory services by
the monthly payment of a fee at the annual rate of 0.20% of the value of the
average daily net assets of each Fund. Until at least the period ending June 16,
1996, however, Janus Capital has agreed to waive a portion of its fee and
accordingly, the advisory fee of each Fund will initially be calculated at the
annual rate of 0.10% of the value of each Fund's average daily net assets.
JANUS MONEY MARKET FUNDS-INVESTOR SHARES PROSPECTUS FEBRUARY 15, 1995
AS SUPPLEMENTED JULY 24, 1995
6
<PAGE>
ADMINISTRATOR
Each of the Funds has also entered into an Administration Agreement with Janus
Capital, pursuant to which Janus Capital furnishes certain administrative,
compliance and accounting services for the Funds, pays the costs of printing
reports and prospectuses for existing shareholders, provides office space for
the Funds and pays the salaries, fees and expenses of all Fund officers and of
those Trustees who are affiliated with Janus Capital. Administrative services
provided by Janus Capital under the Agreements include custody and transfer
agency services. Janus Capital is paid a fee, calculated daily and paid monthly,
at the annual rate of 0.50% of the value of the average daily net assets of each
Fund attributable to Shares for services rendered pursuant to the Administration
Agreements.
Each Fund pays all of its expenses not assumed by Janus Capital, including
auditing fees and independent Trustees' fees and expenses. For the fiscal year
ending October 31, 1995, Janus Capital has undertaken to reimburse the Funds for
audit fees and expenses and the fees and expenses of Fund Trustees who are not
affiliated with Janus Capital.
PORTFOLIO TRANSACTIONS
Purchase and sales of securities on behalf of each Fund are executed by brokers
and dealers selected by Janus Capital. Broker-dealers are selected on the basis
of their ability to obtain best price and execution for the Funds' transactions
and recognizing brokerage, research and other services provided to the Fund and
to Janus Capital. Janus Capital may also consider payments made by brokers
effecting transactions for a Fund i) to the Fund or ii) to other persons on
behalf of the Fund for services provided to the Fund for which it would be
obligated to pay. The Funds' Trustees have also authorized the Funds to place
portfolio transactions on an agency basis with a broker-dealer that is
affiliated with Janus Capital. Agency trades, if any, that are placed with such
affiliated party serve to reduce certain expenses of the Funds. The Statement of
Additional Information further explains the selection of broker-dealers.
PERSONAL INVESTING
Janus Capital permits investment personnel to purchase and sell securities for
their own accounts subject to Janus Capital's policy governing personal
investing. Janus Capital's policy requires investment and other personnel to
conduct their personal investment activities in a manner that Janus Capital
believes is not detrimental to the Funds and Janus Capital's other advisory
clients. See the SAI for more detailed information.
DISTRIBUTIONS AND TAXES
Dividends representing substantially all of the net investment income and any
net realized gains on sales of securities are declared daily, Saturdays, Sundays
and holidays included, and distributed on the last business day of each month.
Distributions will be reinvested in Shares of a Fund or paid in cash at the
election of the shareholder. If no election is made, all distributions will be
reinvested in additional Shares of a Fund.
Shares purchased by wire on a day on which the Funds calculate their net asset
value will receive that day's dividend if the purchase is effected at or prior
to 3:00 p.m. (New York time) for the Janus Money Market and Janus Government
Money Market Funds and 12:00 p.m. (New York time) for the Janus Tax-Exempt Money
Market Fund. Otherwise, such Shares begin to accrue dividends on the following
business day. Orders for purchase accompanied by a check or other negotiable
bank draft will be accepted and effected as of 4:00 p.m. (New York time) on the
day of receipt and such Shares will begin to accrue dividends on the first
business day following receipt of the order.
Redemption orders effected on any particular day will generally receive
dividends declared through the day of redemption. However, redemptions made by
wire which are received prior to 3:00 p.m. (New York time) for the Janus Money
Market and Janus Government Money Market Funds and 12:00 p.m. (New York time)
for the Janus Tax-Exempt Money Market Fund will result in Shares being redeemed
that day. Proceeds of such a redemption will normally be sent to the
predesignated account on that day, and that day's dividend will not be received.
Requests for redemptions made by wire which are received after 3:00 p.m. (12:00
p.m. for Janus Tax-Exempt Money Market Fund) will be processed on that day and
receive that day's dividend, but will not be wired until the following business
day.
Distributions for all of the Funds (except Janus Tax-Exempt Money Market Fund)
are taxable income and are subject to federal income tax (except for
shareholders exempt from income tax), whether such distributions are received in
cash or are reinvested in additional Shares. Full information regarding the tax
status of income dividends and any capital gains distributions will be mailed to
shareholders for tax purposes on or before January 31st of each year. Because
the Funds are money market funds, they do not anticipate making any capital
gains distributions.
Janus Tax-Exempt Money Market Fund anticipates that substantially all income
dividends it pays will be exempt from federal income tax. However, dividends
attributable to interest on taxable investments, together with distributions
from any net realized capital gains, are taxable. In addition, interest on
certain private activity bonds is a preference item for purposes of the
individual and corporate alternative minimum taxes. To the extent that the Fund
earns such income, shareholders who are subject to the alternative minimum tax
must include such income as a preference item. The Fund will advise shareholders
of the percentage of dividends, if any, subject to the alternative minimum tax.
Dividends and capital gains distributions may also be subject to state and local
taxes. In certain states some portion of dividends and distributions (depending
on the sources of the Fund's net income) of Janus Tax-Exempt Money Market Fund
may be exempt from state and local taxes. Shareholders should
JANUS MONEY MARKET FUNDS-INVESTOR SHARES PROSPECTUS FEBRUARY 15, 1995
AS SUPPLEMENTED JULY 24, 1995
7
<PAGE>
consult their own tax advisor regarding exemption from any applicable state and
local tax, as well as the tax treatment of any dividends or distributions from
the Shares.
The Funds intend to comply with provisions of the Internal Revenue Code
applicable to investment companies, and thus it is not expected that any of the
Funds will be required to pay any federal income or excise taxes. The SAI
further explains the Funds' tax status.
PERFORMANCE
The Shares may measure performance in several ways, including "yield,"
"effective yield," and "tax equivalent yield" (for Janus Tax-Exempt Money Market
Fund only). Yield is a way of showing the rate of income the Shares earn on
investments as a percentage of the Share price. Yield represents the income,
less expenses generated by an investment, in the Shares over a seven-day period
expressed as an annual percentage rate. Effective yield is similar in that it is
calculated over the same time frame, but instead the net investment income is
compounded and then annualized. Due to the compounding effect, the effective
yield will normally be higher than the yield.
Shares of Janus Tax-Exempt Money Market Fund may also quote tax-equivalent
yield, which shows the taxable yield an investor would have to earn before taxes
to equal such Shares' tax-free yield. A tax-equivalent yield is calculated by
dividing such Shares' tax-exempt yield by the result of one minus a stated
federal tax rate. Only that portion of the Fund's income that is tax-exempt is
adjusted in this calculation.
Performance figures are based upon historical results and are not intended to
indicate future performance.
From time to time in advertisements or sales material, the Funds may discuss the
Shares' performance ratings or other information as published by recognized
statistical or rating services, such as Lipper Analytical Services, Inc.,
IBC/Donoghue's Money Fund Report, Morningstar or by publications of general
interest, such as Forbes or Money. In addition, the Funds may compare the
Shares' yield to those of certain U.S. Treasury obligations or other money
market instruments.
MISCELLANEOUS INFORMATION
ORGANIZATION
Each Fund is an open-end management investment company registered under the 1940
Act as a series of the Trust, which was created on February 11, 1986. Each Fund
currently offers two classes of shares by separate prospectuses. The Shares
offered by this Prospectus are available to the general public, while
Institutional Shares of each Fund are available only to institutional clients,
including corporations, foundations and trusts, meeting certain initial
investment requirements. Because the expenses of each class may differ, the
performance of each class is expected to differ. If you would like additional
information, please call 1-800-525-3713.
TRUSTEES
The Trustees oversee the business affairs of the Trust and are responsible for
major decisions relating to each Fund's investment objective and policies. The
Trustees delegate the day-to-day management of the Funds to the officers of the
Trust and meet quarterly to review the Funds' investment policies, performance,
expenses and other business affairs. In approving the use of a single combined
prospectus, the Trustees considered the possibility that one Fund might be
liable for misstatements in this Prospectus regarding information concerning
another Fund.
VOTING RIGHTS
The Trust is not required to hold annual shareholder meetings. However, special
meetings may be called for a specific class of shares, a specific Fund, or for
the Trust as a whole, for purposes such as electing or removing Trustees,
terminating or reorganizing the Trust, changing fundamental policies or voting
on matters when required by the 1940 Act. Separate votes are taken by a separate
class of shares only if a matter affects or requires the vote of just those
Shares. Shareholders are entitled to cast one vote for each Share they own.
CUSTODIAN, TRANSFER AGENT AND DISTRIBUTOR
United Missouri Bank, N.A., P.O. Box 419226, Kansas City, Missouri 64141-6226,
is the custodian of the Funds' assets. The custodian holds each Fund's assets in
safekeeping and collects and remits the income thereon subject to the
instructions of each Fund.
Janus Service Corporation ("Janus Service"), P.O. Box 173375, Denver, Colorado
80217-3375, a wholly-owned subsidiary of Janus Capital, provides transfer agency
and shareholder services for the Funds.
Janus Distributors, Inc. ("Janus Distributors"), 100 Fillmore Street, Suite 300,
Denver, Colorado 80206-4923, a wholly-owned subsidiary of Janus Capital, is a
distributor of the Shares.
JANUS MONEY MARKET FUNDS-INVESTOR SHARES PROSPECTUS FEBRUARY 15, 1995
AS SUPPLEMENTED JULY 24, 1995
8
<PAGE>
SHAREHOLDER'S MANUAL
HOW TO OPEN AN ACCOUNT
ESTABLISHING YOUR ACCOUNT
The New Account Application enclosed with this Prospectus describes many of the
more common types of registrations, as well as many of the options available to
you as a shareholder in the Funds. A special application is required for Janus
Individual Retirement Accounts ("IRAs") and other retirement plans described
under "Retirement Plans." After reviewing the appropriate application, carefully
complete, sign and forward it, along with your check payable to Janus Funds, to
one of the addresses shown below:
Via Regular Mail Via Express Mail-Overnight Delivery
Janus Funds Janus Funds
P.O. Box 173375 100 Fillmore Street, Suite 300
Denver, CO 80217-3375 Denver, CO 80206-4923
JANUS NO MINIMUM INITIAL INVESTMENT PROGRAM(R)
The minimum initial investment for most regular accounts is $1,000 and the
minimum initial investment for an IRA, Simplified Employee Pension Plan ("SEP"),
Profit Sharing or Money Purchase Pension Plan, or Uniform Gifts/Transfers to
Minors account (UGMA/UTMA) is $250. The minimum initial investment is waived for
Section 403(b)(7) plans that participate in the automatic group billing purchase
program and for accounts that elect the automatic monthly investing option ($50
minimum monthly payment). If you discontinue the automatic monthly investing
option before your account reaches the required minimum initial investment, then
the Funds reserve the right to close your account in accordance with the
procedures described under "How to Redeem Shares." For more detailed information
on automatic monthly investing, see "How to Buy Shares."
RETIREMENT PLANS
If you are eligible, you may set up your account under a tax-sheltered
retirement plan. These plans let you save for retirement and shelter your
investment income from current income taxes. A contribution to these plans may
be deductible from your taxable income, depending upon your personal tax
situation. Distributions from these plans are generally subject to ordinary
income tax and may be subject to an additional 10% tax if withdrawn prior to age
59 1/2. However, you must start withdrawals no later than April 1 of the year
after you reach age 70 1/2.
The following is a summary of types of plans and does not constitute tax advice.
You may wish to consult your tax advisor if you are interested in any of these
plans. Because income from Janus Tax-Exempt Money Market Fund is generally
tax-exempt, it is not available for a retirement plan.
o Individual Retirement Account: If you are under age 70 1/2, you can
contribute up to the lesser of $2,000 or 100% of your compensation annually
to an IRA. If your spouse is not employed, you can contribute up to $2,250
annually to two IRAs in any manner, as long as no more than $2,000 is
contributed to a single plan. Contributions to IRAs are tax deductible only
if you and your spouse are not covered by existing qualified retirement
plans or, if covered, your incomes do not exceed certain amounts. However,
whether your contributions are deductible or not, the income and capital
gains on your IRA are not taxed until they are withdrawn. For details, see
the Janus IRA booklet, which is available upon request by calling
1-800-525-3713.
o Simplified Employee Pension Plan: This is an arrangement that allows
employers (including sole proprietors) to make contributions toward their
own and their employees' retirement without becoming involved in more
complex retirement plans. A SEP requires an IRA (a SEP-IRA) to be set up
for each SEP participant.
o Profit Sharing or Money Purchase Pension Plan: These plans are open to
corporations, partnerships and sole proprietors to benefit their employees
and themselves.
o Section 403(b)(7) Plan: Employees of educational organizations or other
qualifying, tax-exempt organizations may be eligible to participate in a
Section 403(b)(7) Plan.
Investors Fiduciary Trust Company serves as custodian for the IRAs, SEPs, Profit
Sharing Plans, Money Purchase Pension Plans and Section 403(b)(7) Plans offered
by the Funds. Such IRAs, SEPs or Plans are charged an annual fee of $12 per Fund
account, including any account with any of the Janus funds. There is a maximum
annual fee of $24 per taxpayer identification number. The annual fee usually
will be deducted during December of each year or upon redemption of the account,
or it may be paid anytime prior to its automatic deduction from the account. In
lieu of the annual fee, a special nonrefundable lifetime fee of $100 may be
paid. This fee covers all retirement accounts discussed above that are
maintained under the same taxpayer identification number with all of the Janus
funds, and carries over to spousal beneficiaries who transfer or roll over the
plan assets to a plan in their name upon the death of the participant, as long
as the accounts remain with Janus on a continuing basis.
These plans require the completion of a separate application. Please call
1-800-525-3713 for additional information.
JANUS MONEY MARKET FUNDS-INVESTOR SHARES PROSPECTUS FEBRUARY 15, 1995
AS SUPPLEMENTED JULY 24, 1995
9
<PAGE>
<TABLE>
- ------------------------------------------------------------------------------------------------------------------------------------
MINIMUM PURCHASE AMOUNTS
<CAPTION>
Minimum Initial Purchase
Type of Account With Automatic Investing Without Automatic Investing Minimum Subsequent Investment
- --------------- ------------------------ --------------------------- -----------------------------
<S> <C> <C> <C>
Regular Account $ 0 $1,000 $ 50
IRA/SEP Accounts $ 0 $ 250 $ 50
Section 403(b)(7) Plans $ 0* $ 250 $ 0*
Other Pension Plans $ 0 $ 250 $ 50
UGMA/UTMA $ 0 $ 250 $ 50
- ------------------------------------------------------------------------------------------------------------------------------------
</TABLE>
*Subject to participation in an automatic group billing purchase program.
The Funds reserve the right to suspend the offering of shares for a period of
time and to reject any specific purchase request.
If you have any questions, please call 1-800-525-3713.
Taxpayer Identification Numbers
On the New Account Application or other appropriate form, you must furnish your
Fund with your taxpayer identification number and state whether or not you are
subject to backup withholding, certified under penalties of perjury as
prescribed by the Internal Revenue Code and regulations. Dividends and capital
gains distributions in an account without proper certification will be subject
to a 31% federal backup withholding.
Choosing a Distribution Option
When you fill out the application for your account, you may choose from several
distribution options:
You may invest your income dividends and capital gains distributions in
additional Shares. This option is assigned automatically if no other choice is
made.
You may receive your income dividends and capital gains distributions in cash if
you make this selection on the application.
You may receive either your income dividends or capital gains distributions in
cash and reinvest the other in additional Shares.
You may change your distribution option at any time by writing the Funds or
calling 1-800-525-3713. This request for change must be received prior to the
record date for the distribution being changed. In addition, you may provide
written instructions to automatically invest your dividends and/or capital gains
distributions into another previously established account with any of the Janus
funds.
HOW TO BUY SHARES
Additional Purchases From the Funds
Once you have opened a Janus funds account, you may purchase additional Shares
($50 minimum) for such account or open additional accounts with other Funds at
any time through a number of different methods described below. Purchases to
403(b)(7) Plans are generally made by the employer through an automatic group
billing purchase program.
Through Automatic Monthly Investing: Automatic monthly investing allows you to
authorize your Fund to debit your bank account monthly for the purchase of
Shares. The minimum monthly payment under the automatic investing program is
$50. To establish the automatic monthly investing option, complete the Automatic
Investing section of the application and include a voided, unsigned check or
deposit slip from the bank account to be debited or call 1-800-525-3713 for the
appropriate form if your account is already set up.
By Payroll Deduction: This option allows you to have all or a portion of your
paycheck invested directly into your Fund account. To obtain information on
establishing this program, call 1-800-525-3713. Purchases through payroll
deduction are employer initiated and Janus cannot establish this option for the
investor.
By Mail: When sending payments for additional purchases by mail, please note the
numbers for your Fund and your account(s) on the check and include the
remittance stub from a confirmation statement. On additional purchases for IRAs,
SEPs, Profit Sharing or Money Purchase Pension accounts, be sure to indicate
whether the payment is a rollover or a regular contribution. If it is a regular
contribution, indicate the year for which the contribution is being made.
Your check should be made payable to Janus Funds and sent as follows:
Via Regular Mail
Janus Funds
P.O. Box 173375
Denver, CO 80217-3375
Via Express Mail-Overnight Delivery
Janus Funds
100 Fillmore Street, Suite 300
Denver, CO 80206-4923
By Wire: Purchases by wire may be accepted only for additions to existing
accounts. Please call 1-800-525-3713 for current wire instructions.
By Systematic Exchanges: You may invest regularly into one or more established
accounts with any of the Janus funds by systematically exchanging a specific
dollar amount ($50 minimum) from another account in the Funds. The exchanges are
processed automatically any day of the month. Please call 1-800-525-3713 for
information on how to establish this option.
Purchases Through Broker-Dealers
You may also purchase and sell Shares of the Funds through some broker-dealers
and other Processing Organizations (as defined below). Although broker-dealers
will sell and redeem Shares at net asset value, they may charge you a fee for
this service.
JANUS MONEY MARKET FUNDS-INVESTOR SHARES PROSPECTUS FEBRUARY 15, 1995
AS SUPPLEMENTED JULY 24, 1995
10
<PAGE>
Net Asset Value
The net asset value ("NAV") of the Shares is determined at the close of the
regular trading session of the New York Stock Exchange (normally 4:00 p.m., New
York time) each day that the Exchange is open. NAV per share is determined by
dividing the total value of the securities and other assets, less liabilities,
by the total number of Shares outstanding. Portfolio securities are valued at
their amortized cost. Amortized cost valuation involves valuing an instrument at
its cost and thereafter assuming a constant amortization to maturity (or such
other date as permitted by Rule 2a-7) of any discount or premium. If fluctuating
interest rates cause the market value of a Fund's portfolio to deviate more than
1/2 of 1% from the value determined on the basis of amortized cost, the Trustees
will consider whether any action, such as adjusting the Share's NAV to reflect
current market conditions, should be initiated to prevent any material dilutive
effect on shareholders.
Paying for Your Shares
Purchase orders accompanied by a check or other negotiable bank draft will be
accepted and effected as of 4:00 p.m. (New York time) on the day of receipt.
Purchase orders received by wire transfer in the form of Federal funds will be
processed at the NAV per share as determined at the close of the New York Stock
Exchange next occurring after your order is received and accepted. All purchases
should be made in U.S. dollars and checks should be drawn on U.S. banks and made
payable to Janus Funds. Cash, credit cards, third party checks and credit card
checks will not be accepted.
The Funds reserve the right to cancel any purchase if payment for the
transaction does not clear or the amount of the purchase is otherwise not
collected. If the Funds are unable to debit your predesignated bank account on
the day of purchase, they may make additional attempts to do so. You will be
responsible for any fees imposed by your bank and for losses that may be
incurred as a result of any decline in the value of the canceled purchase. Janus
Service and the Funds shall have authority to act as your agent to redeem shares
in your account(s) in order to cover any such losses due to fluctuations in
Share price. Any profit on such cancellation will accrue to the Fund. When
purchases are made by check or automatic monthly investment, your Fund may hold
payments on redemptions until the investment being redeemed has been held in the
account for 15 days.
Share Certificates
Share certificates are not available for the Shares in order to maintain the
general liquidity that is representative of a money market fund and to help
facilitate transactions in shareholder accounts.
HOW TO EXCHANGE SHARES
The Janus funds include several funds with a variety of investment objectives.
You may exchange your Shares for shares of any other Janus fund that is
available to the public and registered in your state of residence.
Exchanges may be made in writing or by telephone. See "How to Redeem Shares" for
signature requirements on written instructions. All accounts are automatically
eligible for the telephone exchange privilege.
Important Points to Remember When Making Exchanges:
o Be sure to read the prospectus of the fund into which you want to exchange
and carefully consider that fund's investment objective.
o Exchanges may be made only in amounts of $1,000 or more, or for the
complete value of the account if less than $1,000.
o You may make up to four exchanges out of each of the non-money market Janus
funds during the calendar year. This limit helps minimize the disruptive
effect of redemptions on each fund's net asset base and reduces each fund's
administrative expenses. There is currently no limit on exchanges out of
the Shares described in this prospectus.
o Exchanges are effected at the NAV next determined after the exchange
request is received.
o Each exchange represents the sale of shares from one fund and the purchase
of shares in another, which may produce a gain or loss for federal income
tax purposes. Because the Funds seek to maintain a stable net asset value
per Share, it is not anticipated that a sale of Shares will produce a
taxable gain or loss.
o If you have received certificates for shares of non-money market funds,
exchanges may not be made until those certificates are returned to your
fund in proper form.
o Exchanges will be accepted only if the registration of the two accounts is
identical.
The Funds reserve the right to reject any exchange request and to modify or
terminate the exchange privilege at any time.
HOW TO REDEEM SHARES
Partial or Complete Redemptions
You may redeem all or a portion of your Shares on any business day that the New
York Stock Exchange is open. Please note that same-day wire redemptions are not
available on banking holidays. Your Shares will be redeemed at the next NAV
calculated after your Fund has received your redemption request in good order
and meeting all the requirements of this Prospectus. Shareholders who redeem all
their Shares in a Fund will receive the NAV of such Shares and all declared but
unpaid dividends on such Shares. Payment will be made within seven days of
receipt of a valid redemption request.
If payment for the Shares being redeemed has been made by check or automatic
monthly investment, the Funds may delay the mailing of your redemption proceeds
for up to 15 days to allow the purchase payment to clear.
In Writing: To redeem all or part of your Shares in writing, send a letter of
instruction as follows:
Via Regular Mail
Janus Funds
P.O. Box 173375
Denver, CO 80217-3375
Via Express Mail-Overnight Delivery
Janus Funds
100 Fillmore Street, Suite 300
Denver, CO 80206-4923
The letter should specify the name of your Fund, the number of Shares or dollars
being redeemed, the account number, the name(s) on the account, your name and
your daytime
JANUS MONEY MARKET FUNDS-INVESTOR SHARES PROSPECTUS FEBRUARY 15, 1995
AS SUPPLEMENTED JULY 24, 1995
11
<PAGE>
telephone number. Please also note the following signature and signature
guarantee requirements on redemption requests that apply to your type of
account:
o Individual, Joint Tenants, Tenants in Common: Letter of instruction signed
by each person included in the registration, exactly as the names are shown
on the account.
o Custodian: Letter of instruction signed by the custodian exactly as shown
in the registration and indicating his/her capacity as custodian.
o Sole Proprietor, General Partner: Letter of instruction signed by the
authorized individual(s) and indicating their capacity.
o Corporation, Association: Letter of instruction signed by the person(s)
authorized to act on the account and a current certified copy of the
corporate resolution.
o Trust: Letter of instruction signed by the trustee(s). If the name of the
trustee(s) does not appear in the registration of the account, a
certificate of incumbency dated within 60 days must also be submitted.
o IRA: Letter of instruction signed by the account owner exactly as
registered. If you do not want federal income tax withheld from your
redemption, your letter must state that you elect not to have such
withholding apply. In addition, your letter must state whether the
distribution is normal (after age 59 1/2) or premature (before age 59 1/2)
and if premature, whether any exceptions such as death or disability apply
with regard to the 10% additional tax on early distributions.
o Other Registrations (not included above): Please call 1-800-525-3713 for
further instructions.
In addition to the above requirements, a signature guarantee is required if the
redemption:
o exceeds $100,000, or
o is being made payable other than exactly as registered, or
o is being mailed to an address which has been changed within 10 days of the
redemption request, or
o is being mailed to an address other than the one on record.
The Funds reserve the right to require a signature guarantee under other
circumstances or to reject or delay a redemption on certain legal grounds.
A signature guarantee is a widely accepted way to protect you and the Funds by
verifying the signature on your request. The Funds will honor a signature
guarantee from acceptable financial institutions such as banks, savings and loan
associations, trust companies, credit unions, brokers and dealers, registered
securities associations and clearing agencies. A signature guarantee may not be
provided by a notary public. If you live outside the United States, a foreign
bank properly authorized to do business in your country of residence or a U.S.
Consulate may be able to authenticate your signature.
By Telephone: Shares in non-retirement accounts and IRAs automatically have the
telephone redemption privilege unless this option has been declined in writing
on the New Account Application. Existing shareholders may contact the Funds in
writing or by calling 1-800-525-3713 to decline this privilege. Please have the
following information available when you place your call: account number,
registration, address, social security number and pre-authorized bank account
information (if applicable).
Proceeds of the redemption will be mailed by check to the account name(s) and
address exactly as registered or wired to a pre-authorized bank account. If you
are opening a new account, you may establish the wire redemption option on the
New Account Application form. If you would like to establish this option on an
existing account, please call 1-800-525-3713 for additional information and the
proper form. Wire redemptions are not available for IRA accounts. To receive a
specific day's NAV, your call must be received before that day's close of the
New York Stock Exchange.
If a request for a wire redemption is received by 3:00 p.m. (New York time) for
Janus Money Market and Janus Government Money Market Funds and by 12:00 p.m.
(New York time) for Janus Tax-Exempt Money Market Fund, Shares will be redeemed
and the redemption amount wired to the shareholder's bank account on record that
day, although that day's dividends will not be received. After 3:00 p.m. (12:00
p.m. for Janus Tax-Exempt Money Market Fund), a redemption request will be
processed at that day's NAV and will include that day's dividends, but generally
will not be wired until the next business day.
There is a maximum of $100,000 per day on telephone redemptions by check. There
is no limitation on redemptions by wire; however, there is an $8 wire fee for
each wire and your bank may charge an additional fee to receive the wire.
By Electronic Transfer: Shares may also be redeemed by electronic transfer to a
pre-authorized bank account. There is no charge for this service and the
redemption will normally take two to three business days to reach the bank
account on record. This option can be added to an existing account by calling
1-800-525-3713 for the proper form.
By the Fund: Your account may be terminated by your Fund if, due to the exchange
or redemption of Shares, the value of the remaining Shares in your account, at
the current NAV, falls below the minimum investment required to open a new
account, or if the automatic monthly investing option is discontinued before
that minimum is attained, or if you engage in illegal or other conduct
detrimental to the Funds. In the case of insufficient account size, your Fund
will notify you that you have 60 days to increase your account to the minimum
required, or to reactivate the automatic monthly investing option, before
redeeming your account.
Systematic Withdrawals
If you have a regular account or are eligible for normal distributions from a
retirement plan, you may establish a systematic withdrawal program. Systematic
withdrawals allow you to redeem a fixed sum at regular intervals. If you
exchange all Shares out of an account on which the systematic withdrawal program
is in effect and you want to continue receiving systematic withdrawals, you will
need to provide specific instructions to continue that program on the account
into which you exchange. Please call 1-800-525-3713 for additional information.
JANUS MONEY MARKET FUNDS-INVESTOR SHARES PROSPECTUS FEBRUARY 15, 1995
AS SUPPLEMENTED JULY 24, 1995
12
<PAGE>
SPECIAL SHAREHOLDER SERVICES AND OTHER INFORMATION
Check Writing Privilege: Check writing privileges are available for all three
Funds. Checkbooks will be issued to shareholders who have completed the proper
section of the New Account Application or who have completed a Signature Draft
Card, which is available by calling 1-800-525-3713. Your checkbook will be
mailed approximately 10 days after the check writing privilege is requested.
Checks may be written for any amount over but not less than $250 per check.
Purchases made by check or the Automatic Monthly Investment program may not be
redeemed by a redemption check until the 15-day hold period has passed. All
checks written on the account must be signed by all account holders unless
otherwise specified on the original application or the subsequent Signature
Draft Card. The Funds reserve the right to terminate or modify the check writing
privilege at any time.
Janus Electronic Telephone Service ("JETS")(R)
JETS(R) offers you 24-hour access by TouchTone(TM) telephone to obtain
information on your account balance, to confirm your last transaction or the
last dividend posted to your account, to order duplicate account or tax
statements, to reorder checks or to exchange your Shares. JETS(R) can be
accessed by calling 1-800-525-6125. Calls on JETS(R) are limited to seven
minutes. For more information and an update on services provided through the
automated system, please call 1-800-525-3713.
During periods of unusual market or economic activity, you may experience
difficulty in reaching an investor service representative by telephone for the
purpose of redeeming or exchanging your Shares, due to the volume of calls
initiated by other shareholders. To alleviate any potential problems in that
regard, JETS(R) may be used to facilitate exchanges only. You should be mindful,
however, that your Fund will process written instructions when received, even if
you reach the Funds by telephone with alternate instructions prior to the time
your Fund receives your written instructions.
Telephone Instructions
You may initiate many transactions by telephone. The Funds and their agents will
not be responsible for any losses resulting from unauthorized transactions when
procedures designed to verify the identity of the caller are followed.
Investor Service Centers
Investor Service Centers have been established in Denver, Colorado and Kansas
City, Missouri for the convenience of those people living in or visiting either
of those areas who want to discuss the Funds or their accounts in person with an
investor service representative. The addresses for the Investor Service Centers
are:
100 Fillmore Street, Suite 100
Denver, Colorado 80206
3773 Cherry Creek North Drive, Suite 101
Denver, Colorado 80209
1004 Baltimore Ave., Suite 100
Kansas City, Missouri 64105
The Investor Service Centers are generally open during normal business hours.
Please call 1-800-525-3713 for details.
Transactions Through Processing Organizations
Shares of the Funds may be purchased and redeemed through a "Processing
Organization," which is a broker-dealer, bank or other financial institution,
or an organization that provides recordkeeping and consulting services to 401(k)
plans or other qualified plans, that purchases shares for its customers.
Processing Organizations may charge you a fee for this service and may require
different minimum initial and subsequent investments than the Funds. Processing
Organizations may also impose other charges and restrictions in addition to or
different from those applicable to shareholders who invest with the Funds
directly. The Processing Organization, rather than its customers, may be the
shareholder of record. The Funds are not responsible for the failure of any
Processing Organization to carry out its obligations to its customers.
Certain Processing Organizations may receive compensation from the Funds, the
Funds' transfer agent, Janus Capital or their affiliates.
Account Address and Name Changes
To change the address on your account, you may call the number below or send a
written request signed by all registered owners of your account. Please include
the name of your Fund(s), the account number(s), the name(s) on the account and
both the old and new addresses. Within the first 10 days of an address change, a
written redemption request must be accompanied by a signature guarantee and
telephone redemptions are permissible only if the redemption proceeds are wired.
See "How to Redeem Shares."
To change the name on an account, the Shares must be transferred to a new
account. Such a change generally requires written instructions with the
guaranteed signatures of all registered owners, as well as a New Account
Application and supporting legal documentation, if applicable. Please call
1-800-525-3713 for additional information.
Statements and Reports
Your Fund will send a statement of your account after every transaction that
affects your account balance or your account registration. Generally, a
statement with tax information will be mailed to you on or before January 31st
of each year, a copy of which will also be filed with the Internal Revenue
Service. Twice each year you will receive the financial statements of the Funds,
including a statement listing the Funds' portfolio securities. To reduce
expenses, only one copy of most Fund reports (such as the Funds' Annual Report)
may be mailed to all accounts with the same social security number. Upon
request, such reports will be mailed to all accounts in the same household.
Please call 1-800-525-3713 if you need additional reports sent each time.
Temporary Suspension of Services
The Funds or their agents may temporarily suspend telephone transactions and
other shareholder services described in this Prospectus upon reasonable notice
or to the extent that any circumstance reasonably beyond the control of the
Funds or their agents materially hampers the provision of such services.
JANUS MONEY MARKET FUNDS-INVESTOR SHARES PROSPECTUS FEBRUARY 15, 1995
AS SUPPLEMENTED JULY 24, 1995
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