Supplement dated February 23, 1998 to the
Statement of Additional Information for
Pilgrim America MagnaCap Fund series of
Pilgrim America Investment Funds, Inc.
Dated November 1, 1997
The third paragraph under "Performance Information - Performance
Comparisons" on page 24 is hereby replaced with the following paragraph:
Reports and promotional literature may also contain the following
information: (1) a description of the gross national or domestic product and
populations, including but not limited to, age characteristics, of various
countries and regions in which the Fund may invest, as compiled by various
organizations, and projections of such information; (ii) the performance of
worldwide equity and debt markets; (iii) the capitalization of U.S. and foreign
stock markets prepared or published by the International Finance Corporation,
Morgan Stanley Capital International or a similar financial organization; (iv)
the geographic distribution of the Fund's portfolio; (v) the major industries
located in various jurisdictions; (vi) the number of shareholders in the Fund or
other Pilgrim America Funds and the dollar amount of the assets under
management; (vii) descriptions of investing methods such as dollar-cost
averaging, best day/worst day scenarios, etc.; (viii) comparisons of the average
price to earnings ratio, price to book ratio, price to cash flow and relative
currency valuations of the Fund and individual stocks in the Fund's portfolio,
appropriate indices and descriptions of such comparisons; (ix) quotes from the
portfolio manager of the Fund or other industry specialists; (x) lists or
statistics of certain of the Fund's holdings including, but not limited to,
portfolio composition, sector weightings, portfolio turnover rate, number of
holdings, average market capitalization, and modern portfolio theory statistics;
(xi) NASDAQ symbols for each class of shares of the Fund; and (xii) descriptions
of the benefits of working with investment professionals in selecting
investments.
