Rule 497(e)
File Nos. 2-98772
811-4347
GMO TRUST
PROSPECTUS SUPPLEMENT
DATED DECEMBER 19, 1995
TO
PROSPECTUS DATED SEPTEMBER 18, 1995
The GMO International Core Fund may be available through a broker or
dealer who may charge a transaction fee for purchases and redemptions of that
Fund's shares. This change is effective on the date hereof.
Each of the GMO Core Fund, GMO Tobacco-Free Core Fund, GMO Value
Allocation Fund, GMO Growth Allocation Fund, GMO U.S. Sector Allocation Fund,
GMO Core II Secondaries Fund and GMO Fundamental Value Fund (collectively
referred to on page 1 of the Prospectus as the "Domestic Equity Funds") may buy
exchange traded or over-the-counter put and call options, sell (write) covered
options and enter into futures contracts and options on futures contracts for
hedging and risk management. For greater detail concerning these practices,
please refer to "Description and Risks of Fund Investment Practices -- Futures
and Options" at page 30 in the Prospectus. This change is effective on the date
hereof.
Rule 497(e)
File Nos. 2-98772
811-4347
GMO TRUST
STATEMENT OF ADDITIONAL INFORMATION SUPPLEMENT
DATED DECEMBER 19, 1995
TO
STATEMENT OF ADDITIONAL INFORMATION DATED SEPTEMBER 18, 1995
The non-fundamental policy restriction of the Funds stated in paragraph
(c) on page 8 of GMO Trust's Statement of Additional Information has been
removed, effective on the date hereof. The non-fundamental policy previously
restricted the ability of certain Funds to write, purchase or sell options on
particular securities. The removal of this restriction is being made in
conjunction with a change to GMO Trust's Prospectus dated September 18, 1995 by
a Prospectus Supplement dated December 19, 1995, to reflect that each of the GMO
Core Fund, GMO Tobacco-Free Core Fund, GMO Value Allocation Fund, GMO Growth
Allocation Fund, GMO U.S. Sector Allocation Fund, GMO Core II Secondaries Fund
and GMO Fundamental Value Fund (collectively referred to on page 1 of the
Prospectus as the "Domestic Equity Funds") may now buy exchange traded or
over-the-counter put and call options, sell (write) covered options and enter
into futures contracts and options on futures contracts for hedging and risk
management.
