<PAGE> 1
SUPPLEMENT DATED JULY 24, 1995
TO PROSPECTUSES OF:
AMERICAN CAPITAL COMSTOCK FUND, INC.
AMERICAN CAPITAL CORPORATE BOND FUND, INC.
AMERICAN CAPITAL EMERGING GROWTH FUND, INC.
AMERICAN CAPITAL ENTERPRISE FUND, INC.
AMERICAN CAPITAL EQUITY INCOME FUND, INC.
AMERICAN CAPITAL GLOBAL MANAGED ASSETS FUND, INC.
AMERICAN CAPITAL GOVERNMENT SECURITIES, INC.
AMERICAN CAPITAL HARBOR FUND, INC.
AMERICAN CAPITAL HIGH YIELD INVESTMENTS, INC.
AMERICAN CAPITAL PACE FUND, INC.
AMERICAN CAPITAL REAL ESTATE SECURITIES FUND, INC.
AMERICAN CAPITAL TEXAS MUNICIPAL SECURITIES, INC.
AMERICAN CAPITAL U.S. GOVERNMENT TRUST FOR INCOME
AND
AMERICAN CAPITAL WORLD PORTFOLIO SERIES, INC.
1. On July 21, 1995, the shareholders of the funds listed above (the "Funds")
approved the reorganization of the Funds under Delaware law as business trusts
and elected a board of 14 trustees. It is anticipated that the reorganizations
will be completed within the next 60 days.
2. Effective August 1, 1995, the rights of accumulation available to investors
will be expanded.
For purposes of determining volume discounts, cumulative purchase discounts
and amounts covered by letters of intent an investor may combine shares of
any open-end investment company (other than Van Kampen Merritt Money Market
Fund ("VK Money Market"), Van Kampen Merritt Tax Free Money Market Fund
("VK Tax Free"), American Capital Reserve Fund, Inc. ("Reserve") and The
Govett Funds, Inc.) distributed by Van Kampen American Capital
Distributors, Inc., (the "Participating Funds"). For additional information
see "Purchase of Shares" herein.
3. Effective August 1, 1995, the exchange privilege available to shareholders
will be expanded.
A shareholder will be permitted to exchange his or her shares in any
Participating Fund other than American Capital Government Target Series for
shares of the same class of shares of any other Participating Fund without
sales charge, provided that shares of certain Van Kampen American Capital
fixed-income funds are subject to a 30-day holding period requirement. A
shareholder will also be permitted to exchange his or her shares in a
Participating Fund for shares of VK Money Market, VK Tax Free or Reserve
subject to certain conditions. For additional conditions applicable to the
exchange privilege, see the "Exchange Privilege" section of "Shareholder
Services" herein.
<PAGE> 2
SUPPLEMENT DATED JULY 24, 1995
TO THE
STATEMENT OF ADDITIONAL INFORMATION OF
AMERICAN CAPITAL COMSTOCK FUND, INC.
AMERICAN CAPITAL CORPORATE BOND FUND, INC.
AMERICAN CAPITAL EMERGING GROWTH FUND, INC.
AMERICAN CAPITAL ENTERPRISE FUND, INC.
AMERICAN CAPITAL EQUITY INCOME FUND, INC.
AMERICAN CAPITAL GLOBAL MANAGED ASSETS FUND, INC.
AMERICAN CAPITAL GOVERNMENT SECURITIES, INC.
AMERICAN CAPITAL HARBOR FUND, INC.
AMERICAN CAPITAL HIGH YIELD INVESTMENTS, INC.
AMERICAN CAPITAL PACE FUND, INC.
AMERICAN CAPITAL REAL ESTATE SECURITIES FUND, INC.
AMERICAN CAPITAL TEXAS MUNICIPAL SECURITIES, INC.
AMERICAN CAPITAL U.S. GOVERNMENT TRUST FOR INCOME
AND
AMERICAN CAPITAL WORLD PORTFOLIO SERIES, INC.
On July 21, 1995, the following persons were elected directors/trustees of
each of the above listed funds:
<TABLE>
<CAPTION>
PRINCIPAL OCCUPATIONS OR
NAME, ADDRESS AND AGE EMPLOYMENT IN PAST 5 YEARS
- --------------------------------------- ---------------------------------------------------------------
<S> <C>
J. Miles Branagan...................... Co-founder, Chairman, Chief Executive Officer and President of
Strafford Hall MDT Corporation, a company which develops, manufactures,
Suite 200 markets and services medical and scientific equipment. A
1009 Slater Road Director/Trustee of each of the Van Kampen American Capital
Harrisville, NC 27560 Funds.
Age: 63
Richard E. Caruso...................... Founder, Chairman and Chief Executive Officer, Integra Life
Two Radnor Station, Suite 314 Sciences Corporation, a firm specializing in life sciences.
King of Prussia Road Trustee of Susquehanna University and First Vice President, The
Radnor, PA 19087 Baum School of Art. Founder and Director of Uncommon Individual
Age: 52 Foundation, a youth development foundation. Director of
International Board of Business Performance Group, London
School of Economics. Formerly, Director of First Sterling Bank,
and Executive Vice President and a Director of LFC Financial
Corporation, a provider of lease and project financing. A
Director/Trustee of each of the Van Kampen American Capital
Funds.
Philip P. Gaughan...................... Prior to February, 1989, Managing Director and Manager of
9615 Torresdale Avenue Municipal Bond Department, W. H. Newbold's Sons & Co. A
Philadelphia, PA 19114 Director/Trustee of each of the Van Kampen American Capital
Age: 66 Funds.
Roger Hilsman.......................... Professor of Government and International Affairs Emeritus,
251-1 Hamburg Cove Columbia University. A Director/Trustee of each of the Van
Lyme, CT 06371 Kampen American Capital Funds.
Age: 75
R. Craig Kennedy....................... President and Director, German Marshall Fund of the United
1341 E. 50th Street States. Formerly, advisor to the Dennis Trading Group Inc.
Chicago, IL 60615 Prior to 1992, President and Chief Executive Officer, Director
Age: 43 and member of the Investment Committee of the Joyce Foundation,
a private foundation. A Director/Trustee of each of the Van
Kampen American Capital Funds.
</TABLE>
<PAGE> 3
<TABLE>
<CAPTION>
PRINCIPAL OCCUPATIONS OR
NAME, ADDRESS AND AGE EMPLOYMENT IN PAST 5 YEARS
- --------------------------------------- ---------------------------------------------------------------
<S> <C>
Donald C. Miller....................... Prior to 1992, Director of Royal Group, Inc., a company in
415 North Adams insurance related businesses. Formerly Vice Chairman and
Hinsdale, IL 60521 Director of Continental Illinois National Bank and Trust
Age: 75 Company of Chicago and Continental Illinois Corporation.
Co-Chairman of the Board and a Director/Trustee of each of the
Van Kampen American Capital Funds.
Jack E. Nelson......................... President of Nelson Investment Planning Services, Inc., a
423 Country Club Drive financial planning company and registered investment adviser.
Winter Park, FL 32789 President of Nelson Investment Brokerage Services Inc., a
Age: 59 member of the National Association of Securities Dealers, Inc.
and Securities Investors Protection Corp. A Director/Trustee of
each of the Van Kampen American Capital Funds.
Don G. Powell*......................... President, Chief Executive Officer and a Director of VK/AC
2800 Post Oak Blvd. Holding, Inc. and Van Kampen American Capital and Chairman,
Houston, TX 77056 Chief Executive Officer and a Director of Van Kampen American
Age: 55 Capital Distributors, Inc., and Van Kampen American Capital
Asset Management, Inc. (the "Adviser"). Director and Executive
Vice President of ACCESS, Van Kampen American Capital Services,
Inc. and Van Kampen American Capital Trust Company. Director,
Trustee or Managing General Partner of each of the Van Kampen
American Capital Funds and other open-end investment companies
and closed-end investment companies advised by the Adviser and
its affiliates.
David Rees............................. Contributing Columnist and, prior to 1995, Senior Editor of Los
1601 Country Club Drive Angeles Business Journal. A Director of Source Capital, Inc.,
Glendale, CA 91208 an investment company unaffiliated with Van Kampen American
Age: 71 Capital. A Director and the Second Vice President of
International Institute of Los Angeles. A Director/Trustee of
each of the Van Kampen American Capital Funds.
Jerome L. Robinson..................... President of Robinson Technical Products Corporation, a
115 River Road manufacturer and processor of welding alloys, supplies and
Edgewater, NJ 07020 equipment. Director of Pacesetter Software, a software
Age: 72 programming company specializing in white collar productivity.
Director of Panasia Bank. A Director/Trustee of each of the Van
Kampen American Capital Funds.
Lawrence J. Sheehan*................... Of Counsel to and formerly Partner (from 1969 to 1994) of the
1999 Avenue of the Stars law firm of O'Melveny & Myers, legal counsel to the Funds.
Suite 700 Director, FPA Capital Fund, Inc.; FPA New Income Fund, Inc.;
Los Angeles, CA 90067 FPA Perennial Fund, Inc.; Source Capital, Inc.; and TCW
Age: 63 Convertible Security Fund, Inc., investment companies
unaffiliated with Van Kampen American Capital. A
Director/Trustee of each of the Van Kampen American Capital
Funds.
Fernando Sisto......................... George M. Bond Chaired Professor and, prior to 1995, Dean of
Stevens Institute Graduate School and Chairman, Department of Mechanical
of Technology Engineering, Stevens Institute of Technology. Director of
Castle Point Station Dynalysis of Princeton, a firm engaged in engineering research.
Hoboken, NJ 07030 Co-Chairman of the Board and a Director/Trustee of each of the
Age: 70 Van Kampen American Capital Funds.
Wayne W. Whalen*....................... Partner in the law firm of Skadden, Arps, Slate, Meagher &
333 West Wacker Drive Flom, legal counsel to certain of the Van Kampen American
Chicago, IL 60606 Capital Funds. A Director/Trustee of each of the Van Kampen
Age: 55 American Capital Funds. He also is a Director/Trustee of the
Van Kampen Merritt Series Trust and closed-end investment
companies advised by an affiliate of the Adviser.
</TABLE>
<PAGE> 4
<TABLE>
<CAPTION>
PRINCIPAL OCCUPATIONS OR
NAME, ADDRESS AND AGE EMPLOYMENT IN PAST 5 YEARS
- --------------------------------------- ---------------------------------------------------------------
<S> <C>
William S. Woodside.................... Vice Chairman of the Board of LSG Sky Chefs, Inc., a caterer of
712 Fifth Avenue airline food. Formerly, Director of Primerica Corporation
40th Floor (currently known as The Traveler's Inc.). Formerly, Director of
New York, NY 10019 James River Corporation, a producer of paper products. Trustee,
Age: 73 and former President of Whitney Museum of American Art.
Formerly, Chairman of Institute for Educational Leadership,
Inc., Board of Visitors, Graduate School of The City University
of New York, Academy of Political Science. Trustee of Committee
for Economic Development. Director of Public Education Fund
Network, Fund for New York City Public Education. Trustee of
Barnard College. Member of Dean's Council, Harvard School of
Public Health. Member of Mental Health Task Force, Carter
Center. A Director/Trustee of each of the Van Kampen American
Capital Funds.
</TABLE>
- ---------------
* Such Director/Trustees are "interested persons" (within the meaning of Section
2(a)(19) of the Investment Company Act of 1940). Mr. Powell is an interested
person of the Adviser and the Funds by reason of his position with the
Adviser. Mr. Sheehan and Mr. Whalen are interested persons of the Adviser and
the Funds by reason of their firms having acted as legal counsel to the
Adviser or an affiliate thereof.
