VANGUARD TRUSTEES EQUITY FUND, 497, 1998-06-04

VANGUARD TRUSTEES EQUITY FUND
497, 1998-06-04

Previous: MEDITRUST OPERATING CO, 424B5, 1998-06-04

Next: NATIONWIDE MUTUAL INSURANCE CO, SC 14D1/A, 1998-06-04




                  VANGUARD/TRUSTEES' EQUITY FUND-U.S. PORTFOLIO
                              PROSPECTUS SUPPLEMENT
                                  JUNE 4, 1998


The Board of Trustees  of  Vanguard/Trustees'  Equity  Fund-U.S.  Portfolio  has
proposed a tax-free  reorganization  of the U.S.  Portfolio into Vanguard Growth
and  Income  Portfolio.  In  anticipation  of  a  possible  reorganization,  the
following changes have been made:

          1. The U.S. Portfolio has been closed to new accounts.

          2.  Franklin  Portfolio  Associates,  investment adviser to the Growth
              and Income  Portfolio,  has replaced  Geewax,  Terker & Company as
              investment  adviser to the U.S.  Portfolio.  Pending  approval and
              implementation of the proposed reorganization, Franklin has agreed
              to manage the U.S. Portfolio for an annualized fee of 0.08% of its
              average net assets.

Both changes became effective on May 21, 1998.