Rule 497(e)
Registration No. 2-82143
FUNDAMENTAL FUNDS
NEW YORK MUNI FUND
THE CALIFORNIA MUNI FUND
FUNDAMENTAL U.S. GOVERNMENT STRATEGIC
INCOME FUND
TAX-FREE MONEY MARKET FUND
HIGH-YIELD MUNICIPAL BOND FUND
Supplement Dated July 16, 1997
Prospectus Dated April 30, 1997
Each of Fundamental's mutual funds have adopted, subject to shareholder
approval, an Agreement and Plan of Reorganization (the "Plan") under which each
fund (the "Fundamental Fund") will transfer all of its assets and liabilities to
a newly-created corresponding series of The Tocqueville Trust (the "Tocqueville
Fund") in exchange for shares of the Tocqueville Fund. Shareholders of each
Fundamental Fund will receive shares of the corresponding Tocqueville Fund equal
in value to their shares in the Fundamental Fund. Shareholders will not have to
pay a sales load upon receiving shares of the Tocqueville Fund.
The corresponding Tocqueville Fund will have investment objectives,
policies and restrictions substantially identical to those of the Fundamental
Fund. The Board of Trustees of the Tocqueville Funds is comprised of individuals
other than those who currently serve as Directors (Trustees) of the Fundamental
Funds. Tocqueville Asset Management L.P. is the investment adviser to the
Tocqueville Funds.
Fundamental's Board Members determined that the Plan would be in the
best interests of shareholders of the Fundamental Funds and recommended that
shareholders of each of the Fundamental Funds approve the Plan at a meeting
anticipated to be held in the Fall of 1997.
Tocqueville Asset Management L.P. serves as investment adviser to four
mutual funds and a number of private accounts. Tocqueville Asset Management L.P.
has approximately $720 million in assets under management.
