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KEMPER EQUITY FUNDS
SUPPLEMENT TO PROSPECTUS
DATED DECEMBER 31, 1996
Kemper Aggressive Growth Fund
Kemper Blue Chip Fund
Kemper Growth Fund
Kemper Quantitative Equity Fund
Kemper Small Capitalization Equity Fund
Kemper Technology Fund
Kemper Total Return Fund
Kemper Value+Growth Fund
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KEMPER GLOBAL INCOME FUND
KEMPER INTERNATIONAL FUND
SUPPLEMENT TO PROSPECTUS
DATED MARCH 1, 1997
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KEMPER FIXED INCOME FUNDS
SUPPLEMENT TO PROSPECTUS
DATED DECEMBER 20, 1996
Kemper Adjustable Rate U.S. Government Fund
Kemper Diversified Income Fund
Kemper U.S. Government Securities Fund
Kemper High Yield Fund
Kemper Income and Capital Preservation Fund
Kemper Portfolios comprised of the following series:
Kemper U.S. Mortgage Fund
Kemper Short-Intermediate Government Fund
Kemper Cash Reserves Fund
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KEMPER ASIAN GROWTH FUND
SUPPLEMENT TO PROSPECTUS
DATED APRIL 1, 1997
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KEMPER TAX-FREE INCOME FUNDS
SUPPLEMENT TO PROSPECTUS
DATED DECEMBER 20, 1996
Kemper National Tax-Free Income Series
comprised of the following two series:
Kemper Municipal Bond Fund
Kemper Intermediate Municipal Bond Fund
Kemper State Tax-Free Income Series
comprised of the following eight series:
Kemper California Tax-Free Income Fund
Kemper Florida Tax-Free Income Fund
Kemper Michigan Tax-Free Income Fund
Kemper New Jersey Tax-Free Income Fund
Kemper New York Tax-Free Income Fund
Kemper Ohio Tax-Free Income Fund
Kemper Pennsylvania Tax-Free Income Fund
Kemper Texas Tax-Free Income Fund
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INVESTMENT MANAGER AND PRINCIPAL UNDERWRITER
Zurich Insurance Company ("Zurich") has entered into a definitive agreement
with Scudder, Stevens & Clark, Inc. ("Scudder") pursuant to which Zurich will
acquire approximately 70% of Scudder. Upon completion of the transaction,
Scudder will change its name to Scudder Kemper Investments, Inc. ("SKI"), and
Zurich Kemper Investments, Inc. ("ZKI") will be operated either as a subsidiary
of SKI or as part of SKI. Consummation of the transaction is subject to a number
of contingencies. Because the transaction would constitute an assignment of the
Funds' investment management agreements with ZKI and, where applicable, Rule
12b-1 agreements under the Investment Company Act of 1940, it is anticipated
that ZKI would seek approval of new agreements by the Funds' boards and
shareholders. If the contingencies are timely met, the transaction is expected
to close in the fourth quarter of 1997. Zurich will own 69.5% of SKI and senior
employees of SKI will hold the remaining 30.5%. SKI will be headquartered in New
York City and the chief executive officer of SKI will be Edmond D. Villani,
Scudder's president and chief executive officer. Mr. Villani will also join
Zurich's Corporate Executive Board. A transition team comprised of
representatives from ZKI,
Zurich, and Scudder has been formed to make recommendations regarding combining
the operations of Scudder and ZKI.
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Richard L. Vandenberg is the portfolio manager of Kemper Diversified Income
Fund, Kemper U.S. Government Securities Fund, Kemper U.S. Mortgage Fund and
Kemper Short-Intermediate Government Fund. He has served as portfolio manager or
co-manager of those Funds since March, 1996. As reflected in the prospectus, he
is also portfolio co-manager of Kemper Adjustable Rate U.S. Government Fund. Mr.
Vandenberg joined ZKI, the investment manager of the Funds, in March, 1996 and
is a Senior Vice President of ZKI and a Vice President of the Funds for which he
serves as portfolio manager or co-manager. Prior to joining ZKI, he was a senior
vice president and portfolio manager of an unaffiliated investment management
firm from 1992 to 1995. He received a B.B.A. and M.B.A., both in Finance,
Investments and Banking, from the University of Wisconsin, Madison, Wisconsin.
SPECIAL PROMOTION
From August 1, 1997 until September 30, 1997 ("Special Offering Period"),
Zurich Kemper Distributors, Inc. ("ZKDI"), the principal underwriter for the
Funds, intends to reallow the full applicable sales charge with respect to Class
A shares of Kemper Aggressive Growth Fund, Kemper Blue Chip Fund, Kemper Total
Return Fund and Kemper Value+Growth Fund purchased during the Special Offering
Period (not including shares acquired at net asset value). ZKDI also intends to
pay an additional commission of .50% with respect to Class B shares of Kemper
Aggressive Growth Fund, Kemper Blue Chip Fund, Kemper Total Return and Kemper
Value+Growth Fund purchased during the Special Offering Period, not including
exchanges or other transactions for which commissions are not paid.
July 30, 1997
KMF-1J (7/97)
ZKDI 706162 (LOGO)printed on recycled paper
