Ivy Fund
Ivy Bond Fund
Ivy Growth Fund
Ivy Growth with Income Fund
Ivy US Emerging Growth Fund
Supplement Dated April 13, 1999
to Prospectus Dated April 30, 1998
*
The following paragraph is added to page 1:
Shares of the Funds are not deposits or obligations of, or guaranteed or
endorsed by, any bank, nor are they federally insured by the Federal Deposit
Insurance Corporation, the Federal Reserve Board or any other agency. Investment
in a Fund's shares involves risk, including the possible loss of principal.
*
The fourth paragraph under "Investment Manager" on page 12 is replaced with:
Ivy Growth Fund pays a fee that is equal, on an annual basis, to 0.85%
of the first $350 million in average net assets, reduced to 0.75% on average net
assets in excess of $350 million.
Ivy Growth with Income Fund pays a fee that is equal, on an annual
basis, to 0.75% of its average net assets.
*
The "Portfolio Management" section on page 13 is replaced in its entirety as
follows:
Portfolio Management:
Investment management teams comprised of portfolio managers and
analysts conduct in-depth research and analysis to support the investment
decision process for all Ivy domestic equity and fixed income funds.
The Fixed Income Team manages Ivy Bond Fund. Members of the Team
include Michael Borowsky, Brian Barrett, Richard Gluck and Wayne Steinman. Mr.
Borowsky is primarily responsible for the selection of the Fund's high yield
bonds and emerging market debt. Prior to joining the team in 1994, he was a
fixed income specialist at Lehwald, Orosey and Pepe. He holds an MBA from Nova
Southeastern University.
The Domestic Equity Team manages Ivy Growth with Income Fund. Members
of the Team include Paul P. Baran, James W. Broadfoot, and Keith J. Maher.
Ivy Growth Fund is managed by the following individuals:
o Paul P. Baran, Senior Vice President of IMI and portfolio manager
for Ivy Growth Fund since 1998. Prior to joining IMI in 1998, Mr.
Baran was Senior Vice President/Chief Investment Officer of
Central Fidelity National Bank. He has 24 years of professional
investment experience and is a Chartered Financial Analyst.
o James W. Broadfoot, President of IMI, Vice President of the Trust,
and portfolio manager for Ivy Growth Fund since 1994. Prior to
joining the organization in 1990, Mr. Broadfoot was the principal
in an investment counsel firm specializing in emerging growth
companies. He has 25 years of professional investment experience
and is a Chartered Financial Analyst.
o Barbara J. Trebbi, Senior Vice President of IMI and portfolio
manager for Ivy Growth Fund since 1993. Ms. Trebbi joined the
organization in 1988 and has 10 years of professional investment
experience. She is a Chartered Financial Analyst.
James W. Broadfoot also manages Ivy US Emerging Growth Fund. He has
managed the Fund since its inception in 1993.
*
The following replaces the last paragraph in the section entitled "Initial Sales
Charge Alternative - Class A Shares" on page 15:
IMDI may from time to time pay a bonus or other cash incentive to
dealers (other than IMDI) including, for example, those which employ a
registered representative who sells a minimum dollar amount of the shares of a
Fund and/or other funds distributed by IMDI during a specified time period.
*
The following is inserted as the last paragraph under the section entitled
"Qualifying for a Reduced Sales Charge" on page 16:
Each Fund may, from time to time, waive the initial sales charge on its
Class A shares sold to clients of certain dealers meeting criteria established
by the Distributor. This privilege will apply only to Class A shares of a Fund
that are purchased using proceeds obtained by such clients through redemption of
another mutual fund's shares on which a sales charge was paid. Purchases must be
made within 60 days of redemption from the other fund, and the Class A shares
purchased are subject to a 1.00% CDSC on shares redeemed within the first year
after purchase.
*
[LOGO]
Via Mizner Financial Plaza
700 South Federal Highway
Boca Raton, Florida 33432
1-800-456-5111
16IUSXX0499
Ivy Fund
Ivy Bond Fund
Ivy Growth Fund
Ivy Growth with Income Fund
Ivy US Emerging Growth Fund
Supplement Dated April 13, 1999
to Statement of Additional Information Dated April 30, 1998
*
The following is inserted as the last paragraph under the section entitled
"Additional Rights and Privileges-Initial Sales Charge Shares" on page 24:
Each Fund may, from time to time, waive the initial sales charge on its
Class A shares sold to clients of The Legend Group and United Planners Financial
Services of America, Inc. This privilege will apply only to Class A Shares of a
Fund that are purchased using all or a portion of the proceeds obtained by such
clients through redemptions of shares of a mutual fund (other than one of the
Funds) on which a sales charge was paid (the "NAV transfer privilege").
Purchases eligible for the NAV transfer privilege must be made within 60 days of
redemption from the other fund, and the Class A shares purchased are subject to
a 1.00% CDSC on shares redeemed within the first year after purchase. The NAV
transfer privilege also applies to Fund shares purchased directly by clients of
such dealers as long as their accounts are linked to the dealer's master
account. The normal service fee, as described in the "Initial Sales Charge
Alternative - Class A Shares" section of the Prospectus, will be paid to those
dealers in connection with these purchases. IMDI may from time to time pay a
special cash incentive to The Legend Group or United Planners Financial Services
of America, Inc. in connection with sales of shares of a Fund by its registered
representatives under the NAV transfer privilege. Additional information on
sales charge reductions or waivers may be obtained from IMDI at the address
listed on the cover of this Statement of Additional Information.
*
[LOGO]
Via Mizner Financial Plaza
700 South Federal Highway
Boca Raton, Florida 33432
1-800-456-5111
IVY FUND
Ivy Asia Pacific Fund
Ivy Canada Fund
Ivy China Region Fund
Ivy Developing Nations Fund
Ivy Global Fund
Ivy Global Natural Resources Fund
Ivy Global Science & Technology Fund
Ivy International Fund
Ivy International Fund II
Ivy International Small Companies Fund
Ivy Pan-Europe Fund
Ivy South America Fund
Supplement Dated April 13, 1999
to Prospectus Dated April 30, 1998
*
On April 7, 1999, Ivy Canada Fund was reorganized into Ivy Global
Natural Resources Fund. Accordingly, shares of Ivy Canada Fund are no longer
available for purchase.
*
The following paragraph is added to page 1:
Shares of the Funds are not deposits or obligations of, or guaranteed or
endorsed by, any bank, nor are they federally insured by the Federal Deposit
Insurance Corporation, the Federal Reserve Board or any other agency. Investment
in a Fund's shares involves risk, including the possible loss of principal.
*
Ivy International Fund is removed from list of Funds in the fourth paragraph
under "Investment Manager" on page 25.
*
The following paragraph is inserted after the fourth paragraph under "Investment
Manager" on page 25:
Ivy International Fund: For IMI's business management services, Ivy
International Fund pays IMI a fee that is equal, on an annual basis, to 1.00% of
the first $2.5 billion of the Fund's average net assets, reduced to 0.90% on
average net assets in excess of $2.5 billion.
*
The following paragraph is added after the fifth paragraph under "Investment
Manager" on page 25:
As of February 1, 1999, Henderson Investment Management Limited
("Henderson Investors"), 3 Finsbury Avenue, London, England EC2M 2PA, serves as
subadviser with respect to approximately 50% of Ivy International Small
Companies Fund's net assets. For this service, IMI pays Henderson Investors a
monthly fee that is equal, on an annual basis, to 0.50% of the portion of the
Fund's average net assets managed by Henderson Investors. Henderson Investors is
an indirect, wholly owned subsidiary of AMP Limited, an Australian life
insurance and financial services company located at AMP Building, 24th Floor, 33
Alfred Street, Sydney, New South Wales 2000 Australia.
*
The "Portfolio Management" section on page 25 is replaced in its entirety as
follows:
Portfolio Management:
Investment management teams comprised of portfolio managers and
analysts conduct in-depth research and analysis to support the investment
decision process for all Ivy international equity funds.
The Ivy International Equity Team manages Ivy Asia Pacific Fund, Ivy
China Region Fund, Ivy Developing Nations Fund, Ivy Pan-Europe Fund, Ivy South
America Fund and that portion of Ivy International Small Companies Fund's assets
advised by IMI. Members of the Team include Justin Lu, Oleg A. Makhorine, Moira
McLachlan, Jonathan Q. Tang, Barbara J. Trebbi and Michael G. Landry, in his
capacity as Chief Investment Officer of IMI.
The Ivy Global Equity Team manages Ivy Global Fund. Members of the
Team include Paul P. Baran, Justin Lu, Oleg A. Makhorine, Moira McLachlan,
Jonathan Q. Tang, Barbara J. Trebbi and Michael G. Landry, in his capacity as
Chief Investment Officer of IMI.
The Ivy Global Technology Team manages Ivy Global Science & Technology
Fund. Members of the Team include James W. Broadfoot and Keith J. Maher.
Frederick Sturm, a Senior Vice President of MFC, manages Ivy Global
Natural Resources Fund. Mr. Sturm has been the portfolio manager of Ivy Global
Natural Resources Fund since its inception in 1997. Mr. Sturm joined MFC in 1983
and has 12 years of professional investment experience. He is a Chartered
Financial Analyst and holds a graduate degree in commerce and finance from the
University of Toronto.
Hakan Castegren manages Ivy International Fund. Mr. Castegren is the
President of Northern Cross and has been the portfolio manager for Ivy
International Fund since its inception in 1986. He has more than 40 years of
professional investment experience and holds an MBA from the Stockholm School of
Economics.
Barbara J. Trebbi manages Ivy International Fund II. Ms. Trebbi is a
Senior Vice President of IMI and has been the portfolio manager for Ivy
International Fund II since its inception in 1997. Ms. Trebbi joined IMI in 1988
and has 10 years of professional investment experience. She is a Chartered
Financial Analyst and holds a graduate diploma from the London School of
Economics.
That portion of Ivy International Small Companies Fund's assets advised
by Henderson Investors is managed by a team of smaller companies fund managers.
Two members of the team focus on regional asset allocation for the Fund, while
stock selection within countries and regions is carried out by four specialist
regional managers who are supported by an additional eight team members across
the regions.
*
The following paragraph is added after the section entitled "IMI's Investment
Process" on page 26:
Henderson Investors' Investment Process: The investment process applied
by the Henderson Investors team combines top-down regional allocation decisions
with individual stock selection, based on bottom-up stock picking. Regional
allocation decisions are developed, using among other criteria, interest rates
and the economic cycle. This process is used to identify economies with
relatively strong prospects for real economic growth. Individual stock picking
in each region is bottom up, research driven and is carried out by specialist
regional fund managers seeking stocks with relatively attractive prospects for
earnings growth.
*
The following replaces the last paragraph in the section entitled "Initial Sales
Charge Alternative - Class A Shares" on page 28:
IMDI may from time to time pay a bonus or other cash incentive to
dealers (other than IMDI) including, for example, those which employ a
registered representative who sells a minimum dollar amount of the shares of a
Fund and/or other funds distributed by IMDI during a specified time period.
*
The following is inserted as the last paragraph under the section "Qualifying
for a Reduced Sales Charge" on page 29:
Each Fund may, from time to time, waive the initial sales charge on its
Class A shares sold to clients of certain dealers meeting criteria established
by the Distributor. This privilege will apply only to Class A shares of a Fund
that are purchased using proceeds obtained by such clients through redemption of
another mutual fund's shares on which a sales charge was paid. Purchases must be
made within 60 days of redemption from the other fund, and the Class A shares
purchased are subject to a 1.00% CDSC on shares redeemed within the first year
after purchase.
*
[LOGO]
Via Mizner Financial Plaza
700 South Federal Highway
Boca Raton, Florida 33432
1-800-456-5111
16INTLX0499
IVY FUND
Ivy Asia Pacific Fund
Ivy Canada Fund
Ivy China Region Fund
Ivy Developing Nations Fund
Ivy Global Fund
Ivy Global Natural Resources Fund
Ivy Global Science & Technology Fund
Ivy International Fund II
Ivy International Small Companies Fund
Ivy Pan-Europe Fund
Ivy South America Fund
ADVISOR CLASS SHARES
Supplement Dated April 13, 1999
to Prospectus Dated April 30, 1998
*
On April 7, 1999, Ivy Canada Fund was reorganized into Ivy Global
Natural Resources Fund. Accordingly, shares of Ivy Canada Fund are no longer
available for purchase.
*
The following paragraph is added to page 1:
Shares of the Funds are not deposits or obligations of, or guaranteed or
endorsed by, any bank, nor are they federally insured by the Federal Deposit
Insurance Corporation, the Federal Reserve Board or any other agency. Investment
in a Fund's shares involves risk, including the possible loss of principal.
*
The following paragraph is added after the fifth paragraph under the "Investment
Manager" section beginning on page 12:
As of February 1, 1999, Henderson Investment Management Limited
("Henderson Investors"), 3 Finsbury Avenue, London, England EC2M 2PA, serves as
subadviser with respect to approximately 50% of Ivy International Small
Companies Fund's net assets. For this service, IMI pays Henderson Investors a
monthly fee that is equal, on an annual basis, to 0.50% of the portion of the
Fund's average net assets managed by Henderson Investors. Henderson Investors is
an indirect, wholly owned subsidiary of AMP Limited, an Australian life
insurance and financial services company located at AMP Building, 24th Floor, 33
Alfred Street, Sydney, New South Wales 2000 Australia.
*
The "Portfolio Management" section on page 13 is replaced in its entirety as
follows:
Portfolio Management:
Investment management teams comprised of portfolio managers and
analysts conduct in-depth research and analysis to support the investment
decision process for all Ivy international equity funds.
The Ivy International Equity Team manages Ivy Asia Pacific Fund, Ivy
China Region Fund, Ivy Developing Nations Fund, Ivy Pan-Europe Fund, Ivy South
America Fund and that portion of Ivy International Small Companies Fund's assets
advised by IMI. Members of the Team include Justin Lu, Oleg A. Makhorine, Moira
McLachlan, Jonathan Q. Tang, Barbara J. Trebbi and Michael G. Landry, in his
capacity as Chief Investment Officer of IMI.
The Ivy Global Equity Team manages Ivy Global Fund. Members of the
Team include Paul P. Baran, Justin Lu, Oleg A. Makhorine, Moira McLachlan,
Jonathan Q. Tang, Barbara J. Trebbi and Michael G. Landry, in his capacity as
Chief Investment Officer of IMI.
The Ivy Global Technology Team manages Ivy Global Science & Technology
Fund. Members of the Team include James W. Broadfoot and Keith J. Maher.
Frederick Sturm, a Senior Vice President of MFC, manages Ivy Global
Natural Resources Fund. Mr. Sturm has been the portfolio manager of Ivy Global
Natural Resources Fund since its inception in 1997. Mr. Sturm joined MFC in 1983
and has 12 years of professional investment experience. He is a Chartered
Financial Analyst and holds a graduate degree in commerce and finance from the
University of Toronto.
Barbara J. Trebbi manages Ivy International Fund II. Ms. Trebbi is a
Senior Vice President of IMI and has been the portfolio manager for Ivy
International Fund II since its inception in 1997. Ms. Trebbi joined IMI in 1988
and has 10 years of professional investment experience. She is a Chartered
Financial Analyst and holds a graduate diploma from the London School of
Economics.
That portion of Ivy International Small Companies Fund's assets advised
by Henderson Investors is managed by a team of smaller companies fund managers.
Two members of the team focus on regional asset allocation for the Fund, while
stock selection within countries and regions is carried out by four specialist
regional managers who are supported by an additional eight team members across
the regions.
*
The following paragraph is added after the section entitled "IMI's Investment
Process" on page 13:
Henderson Investors' Investment Process: The investment process applied
by the Henderson Investors team combines top-down regional allocation decisions
with individual stock selection, based on bottom-up stock picking. Regional
allocation decisions are developed, using among other criteria, interest rates
and the economic cycle. This process is used to identify economies with
relatively strong prospects for real economic growth. Individual stock picking
in each region is bottom up, research driven and is carried out by specialist
regional fund managers seeking stocks with relatively attractive prospects for
earnings growth.
*
[LOGO]
Via Mizner Financial Plaza
700 South Federal Highway
Boca Raton, Florida 33432
1-800-456-5111
16INTLAC0499
Ivy Fund
Ivy Asia Pacific Fund
Ivy Canada Fund
Ivy China Region Fund
Ivy Developing Nations Fund
Ivy Global Fund
Ivy Global Natural Resources Fund
Ivy Global Science & Technology Fund
Ivy International Fund
Ivy International Fund II
Ivy International Small Companies Fund
Ivy Pan-Europe Fund
Ivy South America Fund
Supplement Dated April 13, 1999
to Statement of Additional Information Dated April 30, 1998
*
The following is inserted as the last paragraph under the section entitled
"Additional Rights and Privileges-Initial Sales Charge Shares" on page 36:
Each Fund may, from time to time, waive the initial sales charge on its
Class A shares sold to clients of The Legend Group and United Planners Financial
Services of America, Inc. This privilege will apply only to Class A Shares of a
Fund that are purchased using all or a portion of the proceeds obtained by such
clients through redemptions of shares of a mutual fund (other than one of the
Funds) on which a sales charge was paid (the "NAV transfer privilege").
Purchases eligible for the NAV transfer privilege must be made within 60 days of
redemption from the other fund, and the Class A shares purchased are subject to
a 1.00% CDSC on shares redeemed within the first year after purchase. The NAV
transfer privilege also applies to Fund shares purchased directly by clients of
such dealers as long as their accounts are linked to the dealer's master
account. The normal service fee, as described in the "Initial Sales Charge
Alternative - Class A Shares" section of the Prospectus, will be paid to those
dealers in connection with these purchases. IMDI may from time to time pay a
special cash incentive to The Legend Group or United Planners Financial Services
of America, Inc. in connection with sales of shares of a Fund by its registered
representatives under the NAV transfer privilege. Additional information on
sales charge reductions or waivers may be obtained from IMDI at the address
listed on the cover of this Statement of Additional Information.
*
[LOGO]
Via Mizner Financial Plaza
700 South Federal Highway
Boca Raton, Florida 33432
1-800-456-5111
IVY FUND
Ivy US Blue Chip Fund
Supplement Dated April 13, 1999
to Prospectus Dated November 2, 1998
*
The following replaces the last paragraph in the section entitled "Initial Sales
Charge Alternative - Class A Shares" on page 7:
IMDI may from time to time pay a bonus or other cash incentive to
dealers (other than IMDI) including, for example, those which employ a
registered representative who sells a minimum dollar amount of the shares of the
Fund and/or other funds distributed by IMDI during a specified time period.
*
The following is inserted as the last paragraph under the section "Qualifying
for a Reduced Sales Charge" on page 8:
The Fund may, from time to time, waive the initial sales charge on its
Class A shares sold to clients of certain dealers meeting criteria established
by the Distributor. This privilege will apply only to Class A shares of the Fund
that are purchased using proceeds obtained by such clients through redemption of
another mutual fund's shares on which a sales charge was paid. Purchases must be
made within 60 days of redemption from the other fund, and the Class A shares
purchased are subject to a 1.00% CDSC on shares redeemed within the first year
after purchase.
*
[LOGO]
Via Mizner Financial Plaza
700 South Federal Highway
Boca Raton, Florida 33432
1-800-456-5111
16IUSBC0499
Ivy Fund
Ivy US Blue Chip Fund
Supplement Dated April 13, 1999
to Statement of Additional Information Dated November 2, 1998
*
The following is inserted as the last paragraph under the section entitled
"Additional Rights and Privileges-Initial Sales Charge Shares" on page 15:
The Fund may, from time to time, waive the initial sales charge on its
Class A shares sold to clients of The Legend Group and United Planners Financial
Services of America, Inc. This privilege will apply only to Class A Shares of
the Fund that are purchased using all or a portion of the proceeds obtained by
such clients through redemptions of shares of a mutual fund (other than one of
the Funds) on which a sales charge was paid (the "NAV transfer privilege").
Purchases eligible for the NAV transfer privilege must be made within 60 days of
redemption from the other fund, and the Class A shares purchased are subject to
a 1.00% CDSC on shares redeemed within the first year after purchase. The NAV
transfer privilege also applies to Fund shares purchased directly by clients of
such dealers as long as their accounts are linked to the dealer's master
account. The normal service fee, as described in the "Initial Sales Charge
Alternative - Class A Shares" section of the Prospectus, will be paid to those
dealers in connection with these purchases. IMDI may from time to time pay a
special cash incentive to The Legend Group or United Planners Financial Services
of America, Inc. in connection with sales of shares of a Fund by its registered
representatives under the NAV transfer privilege. Additional information on
sales charge reductions or waivers may be obtained from IMDI at the address
listed on the cover of this Statement of Additional Information.
*
[LOGO]
Via Mizner Financial Plaza
700 South Federal Highway
Boca Raton, Florida 33432
1-800-456-5111
