Rule 497(e)
File No. 002-75503
MAXIM SERIES FUND, INC.
August 12, 1999 Supplement to
the May 1, 1999 Prospectus
On page 1of the prospectus and throughout the prospectus, wherever the Maxim
Founders Blue Chip Portfolio is referenced, please delete this disclosure and
replace with the following: Maxim Founders Growth & Income Portfolio (formerly
the Maxim Founders Blue Chip Portfolio).
On Page 13of the prospectus, please delete the disclosures regarding the
benchmark index for Maxim Value Index Portfolio and Maxim Growth Index Portfolio
and replace with the following:
Portfolio
o Maxim Value Index Portfolio S&P/BARRA Value Index.1
o Maxim Growth Index Portfolio S&P/BARRA Growth Index.1
- --------
1 Standard & Poor's and BARRA are not sponsors of, or in any other way
affiliated with, the Maxim Growth Index and Maxim Value Index Portfolios or
Maxim Series Fund.
On Pages 15 and 16 of the prospectus, please delete the disclosures regarding
the average annual return for one year, five years and since inception for the
period ending December 31, 1998, for the Maxim Growth Index and Maxim Value
Index, respectively, and replace with the following:
<TABLE>
<S> <C> <C> <C> <C> <C> <C>
One Year Five Year Since Inception
Growth Index Portfolio 37.28% 24.47% 24.22%
S&P/BARRA Growth Index 42.09% 27.75% 27.22%
</TABLE>
+ The inception date for the Portfolio was December 1, 1993. On July 26, 1999,
pursuant to a vote of the majority of shareholders, the Portfolio changed its
investment objective so that it now seeks investment results that track the
total return of the common stocks that comprise the S&P/BARRA Growth Index.
Prior to the change in objective, the Portfolio compared its performance to that
of the Russell 1000 Growth Index. Consistent with its change in investment
objective, the Portfolio now compares its performance to that of the S&P/BARRA
Growth Index, the Portfolio's new benchmark index.
<TABLE>
<S> <C> <C> <C> <C> <C> <C>
One Year Five Year Since Inception
Value Index Portfolio 14.48% 19.82% 19.78%
S&P/BARRA Value Index 14.67% 19.66% 19.44%
</TABLE>
+ The inception date for the Portfolio was December 1, 1993. On July 26, 1999,
pursuant to a vote of the majority of shareholders, the Portfolio changed its
investment objective so that it now seeks investment results that track the
total return of the common stocks that comprise the S&P/BARRA Value Index. Prior
to the change in objective, the Portfolio compared its performance to that of
the Russell 1000 Value Index. Consistent with its change in investment
objective, the Portfolio now compares its performance to that of the S&P/BARRA
Value Index, the Portfolio's new benchmark index.
On pages 25 and 26 of the prospectus, please delete the disclosures regarding
the Russell 1000 Value Index and Russell 1000 Growth Index and replace with the
following:
The S&P/BARRA Growth Index (the "Growth Index") is a widely recognized,
unmanaged index that contains half of the market value of the S&P 500 stock
index. The Growth Index is comprised of the stocks representing half of the
total market value of the S&P 500 stock index with the highest price-to-book
value ratios.
The S&P/BARRA Value Index (the "Value Index") is a widely recognized, unmanaged
index that contains the other half of the market value of the S&P 500 stock
index. The Value Index is comprised of the stocks representing half of the total
market value of the S&P 500 stock index with the lowest price-to-book value
ratios.
On pages 51 and 52 of the prospectus, please delete the disclosure regarding the
Maxim Value Index Portfolio and Maxim Growth Index Portfolio, respectively, and
replace with the following:
MAXIM SERIES FUND, INC.
MAXIM VALUE INDEX PORTFOLIO
FINANCIAL HIGHLIGHTS
Selected data for a share of capital stock of the portfolio for the years ended
December 31, 1998, 1997, 1996, 1995 and 1994 is as follows:
<TABLE>
<S> <C> <C> <C> <C> <C> <C>
Year Ended December 31,
1998 1997 1996 1995 1994
Net Asset Value, Beginning of Year $ 1.8136 1.4538 $ 1.2623 $ 0.9614 $ 1.0118
Income From Investment Operations
Net investment income 0.0279 0.0278 0.0298 0.0305 0.0253
Net realized and unrealized gain (loss) 0.2301 0.4631 0.2287 0.3198 (0.0504)
Total Income (Loss) From Investment
Operations 0.2580 0.4909 0.2585 0.3503 (0.0251)
Less Distributions
From net investment income (0.0278) (0.0278) (0.0298) (0.0359) (0.0253)
From net realized gains (0.1485) (0.1033) (0.0372) (0.0135)
Total Distributions (0.1763) (0.1311) (0.0670) (0.0494) (0.0253)
Net Asset Value, End of Year $ 1.8953 $ 1.8136 $ 1.4538 $ 1.2623 $ 0.9614
Total Return 14.48% 34.08% 20.63% 36.80% (2.49)%
Ratios/Supplemental Data
Net Assets, End of Year $ 326,339,498 $ 237,421,804 $ 122,283,026 $ 65,183,898 $ 25,610,474
Ratio of Expenses to Average Net Assets 0.60% 0.60% 0.60% 0.60% 0.60%
Ratio of Net Investment Income
to Average Net Assets 1.54% 1.83% 2.38% 2.87% 3.18%
Portfolio Turnover Rate 39.67% 26.03% 16.31% 18.11% 16.88%
</TABLE>
Portfolio turnover is calculated using the lesser of long-term purchases or
sales of portfolio securities for a period, divided by the monthly average of
the market value of the securities (excluding short-term securities) owned
during the period. Purchases and sales of investment securities for the year
ended December 31, 1998 were $177,712,342 and $111,264,436, respectively. Prior
to July 26, 1999, the Portfolio's investment objective was to seek investment
results that tracked the total return of the common stocks that comprised the
Russell 1000 Value Index.
<PAGE>
MAXIM SERIES FUND, INC.
MAXIM GROWTH INDEX PORTFOLIO
FINANCIAL HIGHLIGHTS
Selected data for a share of capital stock of the portfolio for the years ended
December 31, 1998, 1997, 1996, 1995, and 1994 are as follows:
<TABLE>
<S> <C> <C> <C> <C> <C> <C>
Year Ended December 31,
1998 1997 1996 1995 1994
Net Asset Value, Beginning of Year $ 1.8507 $ 1.4852 $ 1.3459 $ 1.0120 $ 1.0064
Income From Investment Operations
Net investment income 0.0070 0.0085 0.0114 0.0127 0.0133
Net realized and unrealized gain 0.6769 0.4241 0.2851 0.3432 0.0056
Total Income From Investment Operations 0.6839 0.4326 0.2965 0.3559 0.0189
Less Distributions
From net investment income (0.0070) (0.0085) (0.0114) (0.0165) (0.0133)
From net realized gains (0.1000) (0.0586) (0.1458) (0.0055)
Total Distributions (0.1070) (0.0671) (0.1572) (0.0220) (0.0133)
Net Asset Value, End of Year $ 2.4276 $ 1.8507 $ 1.4852 $ 1.3459 $ 1.0120
Total Return 37.28% 29.26% 22.10% 35.29% 1.93%
Ratios/Supplemental Data
Net Assets, End of Year $ 297,170,229 $ 162,975,760 $ 83,743,210 $ 43,515,299 $ 14,171,307
Ratio of Expenses to Average Net Assets 0.60% 0.60% 0.60% 0.60% 0.60%
Ratio of Net Investment Income
to Average Net Assets 0.36% 0.54% 0.83% 1.15% 1.57%
Portfolio Turnover Rate 26.48% 21.52% 41.55% 17.90% 18.50%
</TABLE>
Portfolio turnover is calculated using the lesser of long-term purchases or
sales of portfolio securities for a period, divided by the monthly average of
the market value of the securities (excluding short-term securities) owned
during the period. Purchases and sales of investment securities for the year
ended December 31, 1998 were $117,491,258 and $56,327,645, respectively. Prior
to July 26, 1999, the Portfolio's investment objective was to seek investment
results that tracked the total return of the common stocks that comprised the
Russell 1000 Growth Index.
