INVESCO ADVISOR FUNDS, INC.
Supplement dated April 11, 1997
to Prospectus Dated December 31, 1996
The Board of Directors of INVESCO Advisor Funds, Inc. ("Company"), at a
meeting held March 26, 1997, voted to approve a consolidation of the Company's
services with those of the A I M family of mutual funds. The Company's
investment adviser, INVESCO Services, Inc. ("ISI"), recently became affiliated
with A I M Management Group, Inc., a financial services holding company located
in Houston, Texas, through a merger described in a proxy statement that was
distributed to Company shareholders December 26, 1996. In order to implement the
proposed consolidation, shareholders of the Company will be asked to approve (1)
a new investment advisory contract with A I M Advisors, Inc. ("AIM") with terms
substantially identical to those of the Company's current investment advisory
contract with ISI, (2) amendments to the sub-advisory contracts for the
individual funds of the Company to reflect the substitution of AIM for ISI as
investment adviser (the identity of the current sub-advisers and the operative
terms of the sub-advisory contracts will not change), and (3) a new board of
directors consisting of persons who are currently directors of various A I M
funds. If these changes are approved by shareholders, A I M Distributors, Inc.
would become the Company's principal underwriter and certain other service
providers to the A I M funds would provide services to the Company. The proposed
changes are not expected to increase fees payable by the Company for services.
If approved by shareholders, the consolidation with the A I M family of mutual
funds is expected to be implemented at some time subsequent to August 1, 1997.
