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Rembrandt Funds(R)
Supplement dated January 1, 1997 to
Prospectus dated April 30, 1996
This Supplement dated January 1, 1997 supersedes and replaces any existing
supplements to the Prospectus. This Supplement provides new and additional
information beyond that contained in the Prospectus and should be retained and
read in conjunction with the Prospectus.
Effective January 1, 1997, the name of the Global Fixed Income Fund (the
"Fund") was changed to the International Fixed Income Fund to better reflect the
Fund's orientation to non-U.S. issuers. As a result of this change, the
following paragraph relating to the Fund's investment policies replaces the
seventh paragraph on page 27 of the prospectus:
The International Fixed Income Fund will invest as fully as feasible
(at least 65% of its assets) in investment quality fixed income securities
of issuers in at least three of the following countries: Austria,
Australia, Belgium, Canada, Switzerland, Germany, Denmark, Spain, Finland,
United Kingdom, Italy, Ireland, Japan, Luxembourg, The Netherlands, Sweden,
New Zealand, France and Norway.
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Effective January 1, 1997, because of the merger of LaSalle National Trust,
N.A. with and into LaSalle National Bank, all references to LaSalle National
Trust, N.A. throughout the Prospectus should be read as reference to LaSalle
National Bank.
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Due to a reorganization involving the Advisor and its direct and indirect
parent companies, the second and third paragraph on page 36 of the Prospectus is
hereby replaced with the following information regarding the Advisor:
LaSalle Street Capital Management, Ltd. was organized in March, 1991
under the laws of the State of Delaware. The Advisor manages assets for
common and collective trusts, corporations, unions, governments, insurance
companies and charitable organizations and provides investment advisory
services to LaSalle National Bank.
As of December 31, 1996, the Advisor became a direct, wholly-owned
subsidiary of ABN AMRO North America, Inc., which is an indirect wholly-
owned subsidiary of ABN AMRO Holding N.V., a Netherlands company.
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The sixth paragraph on page 30 of the Prospectus is hereby replaced with
the following paragraph in order to clarify the investment policies of the Tax-
Exempt Money Market Fund:
The Tax-Exempt Money Market Fund invests at least 80% of its total
assets in eligible securities issued by or on behalf of the states,
territories and possessions of the United States and the District of
Columbia and their political subdivisions, agencies and instrumentalities,
the interest of which, in the opinion of bond counsel for the issuer, is
exempt from federal income tax (collectively, "Municipal Securities"). In
pursuing this policy, the Fund may purchase municipal bonds, municipal
notes, tax-exempt commercial paper rated in the two highest short-term
rating categories by an NRSRO in accordance with SEC regulations at the
time of investment or, if unrated, determined by the Advisor to be of
comparable quality, and shares of tax exempt money market funds.
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At a meeting on September 20, 1996, the Board of Trustees of the Rembrandt
Funds(R) (the "Trust") approved a new category of investors eligible for a sales
charge waiver. In connection with this addition, the following disclosure is
added to the Eligibility for Reduced Sales Charge, Other Circumstances section
on page 17 of the Trust's prospectus:
"; and (xi) existing customers of LaSalle National Bank and its banking
affiliates."
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The first paragraph under The Administrator section on page 37 of the
Prospectus should be replaced with the following:
"SEI Fund Resources (the "Administrator"), a Delaware business trust,
provides the Trust with administrative services, including fund accounting,
regulatory reporting, necessary office space, equipment, personnel and
facilities. SEI Financial Management Corporation, a wholly-owned subsidiary
of SEI Corporation ("SEI"), is the owner of all beneficial interest in the
Administrator."
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The "OPTIONS," "STOCK INDEX FUTURES," "SWAPS, CAPS, FLOORS AND COLLARS" and
"WHEN-ISSUED AND DELAYED DELIVERY SECURITIES" sections of the Description of
Permitted Investments and Risk Factors have been revised to remove the
requirement that any segregated account maintained by the Trust in connection
with these investments contain high grade debt securities.
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Effective September 1996, the Portfolio Manager for the Intermediate
Government Fixed Income Fund and Limited Volatility Fixed Income Fund is Mark W.
Karstrom and the
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Portfolio Manager for the Tax-Exempt Fixed Income Fund and the fixed income
portion of the Balanced Fund is Charles H. Self, III. The seventh and eighth
paragraphs on page 36 of the Prospectus should be replaced with the following:
"Mark W. Karstrom, Vice President of the Advisor, has served
as portfolio manager for the Intermediate Government Fixed Income Fund
and the Limited Volatility Fixed Income Fund since September, 1996. Mr.
Karstrom joined the Advisor in August 1996. He served as Vice
President, Portfolio Manager with Norwest and a predecessor firm from
May 1985 to July 1996.
"Charles H. Self, III, Senior Vice President of the Advisor, has
served as portfolio manager for the Fixed Income Fund since October
1995 and the Tax-Exempt Fixed Income Fund and the fixed income portion
of the Balanced Fund since September 1996. Mr. Self joined the Advisor
in October 1995. He served as a Vice President with CSI Asset Management
from December 1988 to July 1995."
Effective June 1996, the Portfolio Manager for the Manager for the
Global Fixed Income Fund is Rogier Crijns. The fifth paragraph on page 37 under
the heading "The Sub-Advisor" of the Prospectus should be replaced with the
following:
"Mr. Rogier Crijns, an officer of the Sub-Advisor, has served as
portfolio manager for the Global Fixed Income Fund since June 1996. Mr.
Crijns has worked as a portfolio manager within the ABN AMRO network
since 1990."
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PLEASE RETAIN THIS SUPPLEMENT FOR FUTURE REFERENCE
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