Supplement to November 1, 1999 Citizens Funds Prospectus as Supplemented January
4, 2000 as Supplemented March 2, 2000
This Supplement relates to the Citizens Small Cap Index Fund. The fund started
operations on December 28, 1999.
On page 5, under "Citizens Small Cap Index Fund - Principal Investment
Strategies," the second paragraph is deleted in its entirety and the following
is substituted:
During normal market conditions, at least 65% of the companies that make up the
Citizens Small Cap Index will have market capitalizations in the range of $50
million to $3.5 billion at the time they are selected for the Index. The fund
tries to achieve a 95% correlation, before expenses, with the performance of the
Citizens Small Cap Index. Initially, the fund will be of a relatively small size
so that it will not be practical for the fund to invest in all of the companies
that make up the Citizens Small Cap Index. Once the fund reaches a size where it
is practical to do so, the fund expects that under normal market conditions it
will maintain at least an 80% match between the fund's equity holdings and the
composition of the Citizens Small Cap Index.
On page 9, the following information is added at the end of the paragraph
entitled "Passive Investing Risk" (which begins on page 8):
For some time after it starts operations, the Citizens Small Cap Index Fund may
have a more difficult time matching the performance of the Citizens Small Cap
Index, because during that period the fund will not be invested in many of the
companies that make up the Index. In addition, the fund may delay buying some
stocks when the fund's managers believe that their market prices are inflated as
a result of temporary market factors (e.g., where the market prices
significantly exceed recent average prices). This trading approach could hurt
the fund's performance if the prices of those stocks go up and the fund buys
them at even higher prices.
On pages 18 and 20, the following replaces the information relating to the
Citizens Small Cap Index Fund contained in the tables:
Annual Fund Operating Expenses
(expenses that are deducted from assets)
<TABLE>
<CAPTION>
- -------------------------------------------------------------------------------------------------------
Total Annual
Management Distribution Other Operating Fee Net
Fund Fees Fees Expenses Expenses Waiver Expenses
- -------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Citizens Small
Cap Index Fund 0.50% 0.25% 5.93% 6.68% 5.13% 1.55%
Standard Shares
- -------------------------------------------------------------------------------------------------------
</TABLE>
Example
<TABLE>
<CAPTION>
- ----------------------------------------------------------------------------------------------
Fund One Year Three Years Five Years Ten Years
- ----------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Citizens Small $158 $1,954 $3,203 $6,145
Cap Index Fund
Standard Shares
- ----------------------------------------------------------------------------------------------
</TABLE>
<PAGE>
On page 23, under "Citizens Small Cap Index Fund," the third sentence of the
first paragraph is deleted and the following is substituted:
During normal market conditions, at least 65% of the companies that make up the
Citizens Small Cap Index will have market capitalizations in the range of $50
million to $3.5 billion at the time they are selected for the Index.
On page 23, under "Citizens Small Cap Index Fund," the first sentence of the
second paragraph is deleted and the following is substituted:
The fund tries to achieve a 95% correlation, before expenses, with the
performance of the Index.
On page 23 (carrying over to page 24), under "Citizens Small Cap Index Fund,"
the following sentence is added immediately prior to the last sentence of the
second paragraph:
Once the fund reaches a size where it is practical to do so, the fund expects
that under normal market conditions it will maintain at least an 80% match
between the fund's equity holdings and the composition of the Citizens Small Cap
Index.
On page 24, the last sentence of the first full paragraph is deleted and the
following is substituted:
The fund's turnover rate is not expected to exceed 35% annually.
On page 27, the paragraph under "Working Assets Money Market Fund," is deleted
and the following is substituted:
The Working Assets Money Market Fund is managed by a team of experienced
investment professionals employed by Citizens Advisers.
On page 27, the last sentence of the paragraph under "Citizens Index Fund and
Citizens Small Cap Index Fund," is deleted and the following sentence is
substituted:
Ms. Collier is assisted by Citizens Advisers' investment management staff in the
day-to-day management of these funds.
