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MFS HIGH INCOME FUND
MFS OTC FUND
Supplement to the Current Prospectus
Each Fund has adopted a new market timing policy which will replace, effective
January 1, 1997, its current policy as disclosed under the heading "Information
Concerning Shares of the Fund - Purchases - General - Right to Reject Purchase
Orders/Market Timing" in the Prospectus. The new policy is as follows:
Right to Reject Purchase Orders/Market Timing: Purchases and exchanges
should be made for investment purposes only. The Fund and MFD each
reserve the right to reject or restrict any specific purchase or
exchange request. In the event that the Fund or MFD rejects an exchange
request, neither the redemption nor the purchase side of the exchange
will be processed.
The Fund is not designed for professional market timing organizations
or other entities using programmed or frequent exchanges. The Fund
defines a "market timer" as an individual, or organization acting on
behalf of one or more individuals, if (i) the individual or
organization makes three or more exchange requests out of the Fund per
calendar year and (ii) any one of such exchange requests represents
shares equal in value to 1/2 of 1% or more of the Fund's net assets at
the time of the request. Accounts under common ownership or control,
including accounts administered by market timers, will be aggregated
for purposes of this definition.
As noted above, the Fund and MFD each reserve the right to reject or
restrict any specific purchase and exchange request, and, in addition,
may impose specific limitations with respect to market timers,
including delaying for up to seven days the purchase side of an
exchange request by market timers or specifically rejecting or
otherwise restricting purchase and exchange requests by market timers.
In the event that any individual or entity is determined either by the
Fund or MFD, in its sole discretion, to be a market timer with respect
to any calendar year, the Fund and/or MFD will reject all exchange
requests into the Fund during the remainder of that calendar year.
Other funds in the MFS Family of Funds may have different and/or more
restrictive policies with respect to market timers than the Fund. These
policies are disclosed in the prospectuses of these other MFS Funds.
The date of this Supplement is November 1, 1996.
