MAXIM SERIES FUND, INC.
8515 East Orchard Road
Englewood, CO 80111
Jeffrey A. Engelsman
(303) 689-4285 - tel.
689-3827 - fax.
August 1, 1997
Via EDGAR
Securities and Exchange Commission
Re: Sticker to Maxim Series Fund, Inc. Prospectus
File Nos. 2-75503 and 811-3364
Dear Ladies and Gentlemen:
Attached is a revision to the Maxim Series Fund, Inc. ("Maxim")
Prospectus submitted pursuant to Rule 497(e). This "Sticker" is to be effective
August 1, 1997. The Sticker is necessary due to a change in investment objective
of the Maxim Small- Cap Index Portfolio. The Maxim Small-Cap Index Portfolio
changed its investment objective, effective August 1, 1997, pursuant to a
shareholder vote on July 30, 1997.
Should you have any questions regarding this filing, please do not
hesitate to call me at the above listed telephone number.
Very truly yours,
/s/ Jeffrey A. Engelsman
Jeffrey A. Engelsman
Attorney
<PAGE>
Rule 497(e)
File No. 811-3364
2-75503
Maxim Series Fund, Inc.
August 1, 1997
Insert on page 1 of the prospectus
Effective August 1, 1997 and continuing until October 24, 1997, Small-Cap Index
Portfolio will transition its holdings from securities which comprise the
Russell 2000 Index to those which comprise the S&P 600 Index in proportion to
their market-value weighting.
The new investment objective of the Small-Cap Index Portfolio will be as
follows:
hthe Small-Cap Index Portfolio will seek to provide investment results, before
fees, that correspond to the total return of the Standard & Poor's Small-Cap 600
Stock Index.
Insert on Page 22 of the Prospectus under the heading Small-Cap Index Portfolio
the following:
The investment objective of the Small-Cap Index Portfolio is to provide
investment results, before fees, that correspond to the total return of the
Standard & Poor's Small- Cap 600 Stock Index ("S&P 600 Index"). The S&P 600
Index is widely recognized and tracks an index of 600 small company stock
prices. The S&P 600 Index is designed to monitor the performance of publicly
traded common stock of the small company sector of the United States equities
market. The S&P 600 Index is market-weighted, meaning that each stock's
influence on the index's performance is directly proportional to that stock's
"market value" (the stock price multiplied by the number of outstanding shares).
The securities that comprise the S&P 600 Index are traded on the New York Stock
Exchange, the American Stock Exchange and the Nasdaq Stock Market.
Standard & Poor's Small-Cap 600 Stock Index and S&P 600 are a trademarks of The
McGraw-Hill Companies, Inc. and have been licensed for use by Maxim Series Fund,
Inc. The Portfolio is not sponsored, endorsed, sold or promoted by Standard &
Poor's and Standard & Poor's makes no representation regarding the advisability
of using this index.
The Portfolio will attempt to duplicate the performance of the S&P 600 Index
while keeping transaction costs low and minimizing portfolio turnover. To
achieve its investment objective, the Portfolio will purchase equity securities
that comprise the S&P 600 Index in proportion to their market-value weighting.
Like the index, the Portfolio will hold both dividend paying and non-dividend
paying common stocks.
From time to time adjustments may be made in the Portfolio's holdings due to a
change in the composition of the S&P 600 Index. The Portfolio will attempt to
achieve a correlation between its performance and that of the S&P 600 Index of
at least 0.95, without taking into account expenses. A correlation of 1.00 would
indicate perfect correlation, which would be achieved when the Portfolio's net
asset value, including the value of its dividends and capital gains
distributions, increases or decreases in exact proportion to changes in the S&P
600 Index. The Adviser will attempt to minimize any
2
<PAGE>
"tracking error" (the statistical measure of the difference between the
investment results of the Portfolio and that of the S&P 600 Index) in making
investments for the Portfolio. While the Small-Cap Index Portfolio tries to
remain invested in the S&P 600 Index securities as fully as possible, it must
manage cash flows resulting from the purchase and redemption of Portfolio
shares. Therefore, the Portfolio may also invest in U.S. dollar-denominated
short-term bonds, and money market instruments, including U.S. Government
securities, certificates of deposit, time deposits, bankers' acceptances and
repurchase agreements for these securities. The Portfolio may buy commercial
paper rated in one of the top two rating categories by an NRSRO or, if unrated,
determined to be of comparable quality by the Investment Adviser. Brokerage and
other transaction costs, as well as investment advisory fees for the Portfolio,
in addition to potential tracking errors, will tend to cause the Portfolio's
return to be lower than the return of the S&P 600 Index. In addition, there can
be no assurance as to how closely the Portfolio's performance will correspond to
the performance of the S&P 600 Index.
The Portfolio intends that, under normal circumstances, at least 80% of its
total assets will be invested in securities in the S&P 600 Index.
3
