BENHAM TARGET MATURITIES TRUST
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SUPPLEMENT dated June 26, 1996 to Prospectus dated November 29, 1995
as Revised February 15, 1996
1. On page 17, under the heading "SHARE PRICE," the third and fourth
paragraphs are hereby amended to read as follows:
Investments are considered received only when your check or wired funds
are received by Benham. Wired funds are considered received on the day
they are deposited in Benham's bank account if they are deposited one
hour before the close of business on the Exchange, usually 12:00 p.m.
Pacific Time.
Investment and transaction instructions received by Benham on any
business day by mail at its office one hour prior to the close of
business on the Exchange, usually 12:00 p.m. Pacific Time, will receive
that day's price. Investments and instructions received after that
time, will receive the price determined on the next business day.
2. On page 21, the paragraph appearing under the subheading "PROCESSING YOUR
PURCHASE" is hereby amended to read as follows:
Shares will be purchased at the next NAV calculated after your
investment is received and accepted by The Benham Group or an
authorized subtransfer agent. An investment received and accepted one
hour before the close of business of the Exchange, normally 12:00 p.m.
Pacific Time, will be included in your account balance the same day. If
the investment is received after the above cutoff time, it will be
credited the following business day. The Funds reserve the right to
refuse any investment.
3. On page 24, under the subheading "BROKER-DEALER TRANSACTIONS," the first
paragraph is hereby amended to read as follows:
The Benham Group charges no sales commissions, or "loads," of any kind.
However, investors who do not choose to purchase or sell Fund shares
directly from BFS may purchase or sell Fund shares through registered
broker-dealers and other qualified service providers, who may charge
investors fees for their services. These broker-dealers and service
providers generally provide shareholder, administrative and/or
accounting services which would otherwise be provided by BFS as the
Funds' transfer agent. To accommodate these investors, BMC and its
affiliates have entered into agreements with some broker-dealers and
service providers to provide these services. Fees for such services are
borne normally by a Fund at the rates normally paid to BFS, which would
otherwise provide the services. Any distribution expenses associated
with these arrangements are borne by BMC.
