Dear Shareholder:
The Key Money Market Mutual Fund Prospectus is being revised. The following
statements correctly reflect the Key Money Market Mutual Funds investment
policies. The following supplement also provides important information about
the reorganization of the Key Mutual Funds. This information is important and
should be kept with a copy of your Prospectus.
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KeyFunds
Key Money Market Mutual Fund
Supplement Dated January 2, 1998
to the Prospectus Dated April 1, 1996
as previously supplemented
The prospectus of the above Fund is supplemented by replacing the fourth
paragraph on page 4 under Investment Objective and Policies with the
following:
INVESTMENT OBJECTIVE AND POLICIES
The Fund is limited to investment in securities issued or fully guaranteed as
to principal and interest by the United States Government, its agencies or
instrumentalities, or U.S. bank obligations. The Fund currently intends to
concentrate in securities issued or fully guaranteed as to principal and
interest by the United States Government, its agencies or instrumentalities,
and repurchase agreements with respect to such instruments. The Fund will
further limit its allowable investments to obligations of the U.S. Government
and to obligations of the following agencies and instrumentalities: Federal
Home Loan Banks, The Federal Home Loan Bank Board, the Tennessee Valley
Authority, Federal National Mortgage Association, Government National Mortgage
Association, Federal Home Loan Mortgage Corporation, Student Loan Marketing
Association and the Federal Farm Credit Bank.
On December 2, 1997, the Board of Directors unanimously recommended a
reorganization and liquidation of the Funds. The Boards recommendations and
more information are more fully described in the Combined Prospectus/Proxy
Statement that has been filed with the Securities and Exchange Commission, and
when effective, will be provided to shareholders of record on or about December
26, 1997. Shareholders will be asked to approve the reorganization and other
additional items as set forth in the Proxy Statement.
If the reorganization is approved by shareholders, shareholders of Key Money
Market Mutual Fund will become shareholders of the Victory Federal Money Market
Fund (Investor Class).
As a shareholder, your Funds assets will be exchanged for equivalent full
and fractional shares of the Victory Federal Money Market Fund listed above
without sales charges and on a tax-free basis.
Please insert this Supplement in the front of your Prospectus. Investors
wishing to obtain more information, should call the Fund at 800-KEY-FUND.
2KF-MMM-SUP4
