FORUM FUNDS INC
497, 1996-09-17
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                                     FORUM FUNDS

                              DAILY ASSETS TREASURY FUND
                             DAILY ASSETS GOVERNMENT FUND
                                DAILY ASSETS CASH FUND


                    Supplement to Prospectus Dated August 1, 1996


Shares of Daily Assets Government Fund currently are not offered for sale.

Shares of Daily Assets Cash Fund currently are not offered for sale.  Shares
will be offered for sale on October 1, 1996.



September 1, 1996


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