DRESDNER RCM CAPITAL FUNDS, INC.
SUPPLEMENT DATED AUGUST 24, 1998
TO THE COMBINED PROSPECTUS AND STATEMENT OF ADDITIONAL INFORMATION
DATED MAY 1, 1998
The following information replaces in its entirety the fourth full
paragraph in the Section entitled "The Investment Manager" at page 21
of the Combined Prospectus and Statement of Additional Information:
Dresdner manages, operates and makes all decisions regarding the day-
to-day business and affairs of the Investment Manager, subject to the
oversight of Dresdner RCM's Board of Managers.
The following information replaces the similar information in the
Section entitled "Directors and Officers" at page 20 of the Combined
Prospectus and Statement of Additional Information:
Dresdner RCM Small Cap Fund
G. Nicholas Farwell. Mr. Farwell is a primary portfolio manager of the
Small Cap Fund since its inception. He was also a primary portfolio
manager of the Growth Equity Fund from 1984-1997. He is a member of
the Investment Manager's Portfolio Management Team and a Managing
Director of the Investment Manager, with which he has been associated
since 1980.
Matthew L. Blazei. Mr. Blazei is a primary portfolio manager of the
Small Cap Fund and has managed one or more of its portfolios since
1996. He has research and management responsibilities for small cap
securities and is a Director of the Investment Manager, with which he
has been associated since 1988.
The following information supplements and should be read in
conjunction with the similar information on the Cover Page and in the
Sections entitled "Synopsis" and "Investment Objectives and Policies"
at pages 1 and 7, respectively, of the Combined Prospectus and
Statement of Additional Information:
Dresdner RCM Small Cap Fund
The Fund's investment objective is to seek appreciation of capital by
investing, during normal market conditions, at least 80% of its
investments in equity and equity-related securities of small-sized
concerns. "Small-sized concerns" is defined as encompassing companies
whose equity securities have a total market capitalization of up to
approximately $1 billion at the time of acquisition. Under normal
market conditions, the Fund will invest at least 65% of its total
assets in equity and equity-related securities of such concerns.
Under normal market conditions, the Fund will not purchase the equity
and equity-related securities of companies whose equity securities
have a total market capitalization of greater than approximately $1.5
billion at the time of acquisition. The Fund will not be required to
sell portfolio securities solely on account of the fact that the
market capitalization of the issuer's equity securities has exceeded
$1.5 billion, or be prevented from purchasing or be required to sell
other portfolio securities as a result of such change. However, the
Fund will sell portfolio securities of an issuer whose market
capitalization, as of the end of the most recent calendar quarter,
exceeded $2.0 billion. Although the market capitalization of
portfolio securities at the time of purchase is used for compliance
purposes, the Fund anticipates that the average market capitalization
of the portfolio at market value generally will approximate the
average market capitalization of the securities that comprise the
Russell 2000 Index. As of the date hereof, the average market
capitalization of the Russell 2000 Index is $1.016 billion.
