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Filed Pursuant to Rule 497(e)
Registration File No.: 2-71560
2-71558
2-71559
33-41685
SUPPLEMENT TO THE PROSPECTUS DATED AUGUST 23, 1999, OF:
ACTIVE ASSETS MONEY TRUST
ACTIVE ASSETS GOVERNMENT SECURITIES TRUST
ACTIVE ASSETS TAX-FREE TRUST
ACTIVE ASSETS CALIFORNIA TAX-FREE TRUST
Beginning on a date in February, 2000, each above-named Fund (each a
"Fund") will be offered to participants in Dean Witter Reynolds' "Active Assets
Account for Business." With respect to participants in Active Assets Account for
Business, all references in the Prospectus to the "Client Account Agreement"
shall mean the "Business Client Account Agreement". Active Assets for Business
links the Funds, a commercial line of credit, a business debit card and a
business checking account. Participants in Active Assets for Business may invest
in any of the Funds in the same manner as the existing Active Assets Program,
except that:
(a) Participants in Active Assets for Business may elect that free
cash balances in their account be invested in any combination of
one or more Funds (rather than in a single Fund at a time); and
(b) Cash balances in an Active Assets for Business account will be
used to pay any principal and/or interest owed on the commercial
line of credit linked to the account before being invested in any
Fund shares.
The annual fee to participate in Active Assets for Business is $150.
Participants must also make an initial deposit of at least $20,000 into their
Active Assets for Business account. At any time, Dean Witter Reynolds may change
the minimum initial deposit requirement or the annual fees charged. Businesses
participating in the existing Active Assets Program must open an Active Assets
for Business account in order to obtain the services provided thereunder. For
details on Active Assets for Business, please read the Business Client Account
Agreement carefully.
In addition, beginning sometime on or about February 10, 2000, two
additional Funds, Active Assets Institutional Money Trust and Active Assets
Premier Money Trust, will be offered through the Active Assets Account Program.
These Funds will be offered through a separate prospectus which should be read
carefully prior to investing in the Funds. There is a minimum investment
requirement for investing in these Funds ($5 million for Active Assets Premier
Money Trust and $10 million for Active Assets Institutional Money Trust).
Currently, these Funds are not offered to participants in Active Assets for
Business.
January 26, 2000
