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THE BURNHAM FUND INC.
SUPPLEMENT DATED NOVEMBER 17, 1995
TO PROSPECTUS DATED APRIL 28, 1995
On page 7 in the Section 'Risk Factors' after the first partial paragraph
on the right side of the page, the following paragraph is added:
The Fund may invest temporarily up to 5% of its assets in repurchase
agreements as further discussed in the Statement of Additional Information.
On page 16, the last paragraph of the section 'Management' is hereby
revised as follows:
Mr. Jon M. Burnham, President and Chief Executive Officer of the Fund,
has the primary responsibility for the day-to-day management of the Fund's
investment portfolio. Mr. I.W. Burnham is the Chairman of the Fund and the
Honorary Chairman of the Adviser and Distributor. The Adviser and
Distributor are owned and/or controlled by Messrs. I.W. Burnham and Jon M.
Burnham.
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THE BURNHAM FUND INC.
SUPPLEMENT DATED NOVEMBER 17, 1995 TO
STATEMENT OF ADDITIONAL INFORMATION
DATED APRIL 28, 1995
On page 4, the following paragraph is added to the section 'Investment
Techniques' before the paragraph entitled 'Lending Portfolio Securities':
Repurchase Agreements. The Fund may enter into 'repurchase agreements'
with State Street Bank and Trust Company (the 'Custodian'). Repurchase
agreements are agreements pursuant to which securities are acquired by a
fund from a third party with the understanding that the securities will be
repurchased by the seller at a fixed price on an agreed date. Repurchase
agreements permit the Fund to keep all of its assets at work while
retaining 'overnight' flexibility in pursuit of investments of a
longer-term nature. The use of repurchase agreements involves certain
risks. For example, in the event a seller of securities under a repurchase
agreement defaults on its repurchase obligation, the Fund might suffer a
loss to the extent that the proceeds from the sale of the collateral were
less than the repurchase price. If the seller becomes the subject of
bankruptcy proceedings, the Fund might be delayed or incur additional costs
in selling the collateral. Finally, it is possible that the Fund may not be
able to substitute its interest in the underlying securities. To minimize
these risks, the Fund requires continual maintenance of collateral with the
Custodian in an amount equal to, or in excess of, the market value of the
securities which are the subject of a repurchase agreement plus any accrued
interest.
On pages 13-14, under the section 'Directors and Officers of the Fund' the
following changes are made:
I.W. Burnham, II*, Chairman and Director.
Jon M. Burnham,* President, Chief Executive Officer and Director.
Debra B. Hyman, Executive Vice President.
Michael E. Barna, First Vice President, Chief Financial Officer,
Treasurer and Secretary.
