Supplement dated February 3, 1998 to the
Prospectus for the Pilgrim America Elite Series
Dated November 1, 1997
Change to Investment Management Fee paid by Pilgrim America High Yield Fund
On February 2, 1998, the Board of Directors of Pilgrim America Investment
Funds, Inc. (the "Company") approved an Amendment to the Investment Management
Agreement between the Company, on behalf of the Fund, and Pilgrim America
Investments, Inc. ("PAII") that changes the investment management fee paid by
the Pilgrim America High Yield Fund ("High Yield Fund") to a fee at an annual
rate of .60% of the average daily net assets of the Fund. No change has been
made to the investment management fee for the Pilgrim America MagnaCap Fund or
the Pilgrim Government Securities Income Fund.
The new fee for the High Yield Fund is subject to approval by the
shareholders of the Fund, and will become effective on April 17, 1998 if
approved. A shareholder meeting to vote on the Amendment is scheduled for April
16, 1998. Shareholders of record on February 18, 1998 will be entitled to vote
at the meeting.
If approved by shareholders, the new fee of .60% of the average daily net
assets of the Fund will replace the fee for the Fund as described on pages 4 and
24 of the Prospectus. All other terms of the Investment Management Agreement as
described in the Prospectus will remain the same.
