<PAGE> 1
THE EMPIRE BUILDER TAX FREE BOND FUND
Supplement Dated September 23, 1997
to the Prospectus Dated July 1, 1997
On page 8 of the Prospectus under the subtopic, "Futures and Options", the
following information is added after the second full paragraph:
The Fund may also purchase and sell, subject to the limitations set forth
in the Prospectus, futures and options on U.S. Treasury securities ("Treasury
Futures") in order to hedge against interest rate changes or other general
changes in market values which would be expected to affect the value of the New
York Tax Exempt Bonds which the Fund owns or expects to purchase. Changes in
value in Treasury Futures resulting from interest rate changes or other general
market conditions may not be as closely correlated with the value of New York
Tax Exempt Bonds as changes in value of the Index. However, Treasury Futures
generally offer greater liquidity than futures contracts on the Index, which
reduces the risk that the Fund will not be able to liquidate a position in a
futures contract, and may also make Treasury Futures a more effective hedging
tool than futures on the Index in some market conditions.
INVESTORS SHOULD RETAIN THIS SUPPLEMENT WITH
THEIR PROSPECTUS FOR FUTURE REFERENCE
902005
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THE EMPIRE BUILDER TAX FREE BOND FUND
Supplement Dated September 23, 1997
to the Statement of Additional Information Dated July 1, 1997
On page 5 of the Statement of Additional Information the following
sentence should be added to the end of the first paragraph titled, "Special
Risks of Transactions in Futures Contracts and Related Options -- Hedging
Risks."
In addition to the degree of correlation to the prices of the Fund's
portfolio securities, the Adviser will also consider the liquidity of the
market in which that applicable futures contract is traded.
INVESTORS SHOULD RETAIN THIS SUPPLEMENT WITH
THEIR PROSPECTUS FOR FUTURE REFERENCE.
