AMERICAN CENTURY GOVERNMENT INCOME TRUST
497K3B, 1999-10-26
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[front cover]
                                AMERICAN CENTURY

                                  Fund Profile

[american century logo (reg.sm)]
American
Century

                           Capital Preservation Fund

  This profile summarizes key information about the fund that is included in the
  fund's Prospectus. The fund's Prospectus includes additional information about
   the  fund, including a more detailed description of the risks associated with
         investing in the fund, that you may want to consider before you invest.

  [photos of woman and girls blowing bubbles, men talking, woman at computer]

                                                               OCTOBER 25, 1999

                                                                  INVESTOR CLASS

   You may obtain the Prospectus and other information about the fund at no cost
  by calling us at 1-800-345-2021, accessing our Web site or visiting one of our
   Investor Centers. See the back cover for additional telephone numbers and our
                                                                        address.




CAPITAL PRESERVATION FUND

1. WHAT IS THE FUND'S INVESTMENT OBJECTIVE?

    Capital Preservation is a money market fund that seeks maximum safety and
    liquidity, and to pay shareholders the highest rate of return consistent
    with this objective.

2. WHAT IS THE FUND'S INVESTMENT STRATEGY?

    The fund managers buy very short-term U.S. Treasury securities that are
    guaranteed by the direct full faith and credit pledge of the U.S.
    government.

    The fund managers may purchase securities in a number of different ways to
    seek higher rates of return. For example, by using when-issued and forward
    commitment transactions, the fund managers may purchase securities in
    advance to generate additional income.

    Additional information about Capital Preservation's investments is available
    in its annual and semiannual reports. In these reports you will find a
    discussion of the market conditions and investment strategies that
    significantly affected the fund's performance during the most recent fiscal
    period. You may get these reports at no cost by calling us.

3. WHAT ARE THE SIGNIFICANT RISKS OF INVESTING IN THE FUND?

    * An investment in the fund is not a bank deposit, and it is not insured or
    guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other
    government agency. Although the fund seeks to preserve the value of your
    investment at $1.00 per share, it is possible to lose money by investing in
    the fund.

    * Because very short-term securities are among the safest securities
    available, the interest they pay is among the lowest for income-paying
    securities. Accordingly, the yield on this fund will likely be lower than
    funds that invest in longer-term or lower-quality securities.

    FUND PERFORMANCE

    The following bar chart shows the actual performance of Capital
    Preservation's Investor Class shares for each of the last 10 calendar years.
    The bar chart indicates the volatility of the fund's historical returns from
    year to year. The bar chart and the performance information below are not
    intended to indicate how the fund will perform in the future.

[data shown in bar chart]
<TABLE>
   Calendar Year-By-Year Returns (1)
<S>                    <C>     <C>     <C>     <C>     <C>     <C>     <C>     <C>     <C>    <C>
                       1998    1997    1996    1995    1994    1993    1992    1991    1990   1989
Capial Preservation    4.92%   4.97%   4.85%   5.32%   3.63%   2.65%   3.31%   5.62%   7.64%  8.28%
</TABLE>

        (1) As of September 30, 1999, the end of the most recent calendar
            quarter, Capital Preservation's year-to-date return was 3.22%.

    The highest and lowest quarterly returns for the period reflected in the bar
    chart are:

                              Highest                 Lowest

    Capital Preservation      2.12% (2Q 1989)         0.63% (2Q 1993)

    The following table shows the average annual total returns of the fund's
    Investor Class shares for the periods indicated. The 90-Day Treasury Bill
    Index, an unmanaged index that reflects no operating costs, is included as a
    benchmark for performance comparisons. For current performance information,
    including yields, please call us or access our Web site.

<TABLE>
                                   1 YEAR          5 YEARS       10 YEARS      LIFE OF FUND(1)

     AVERAGE ANNUAL TOTAL RETURNS (PERIOD ENDED SEPTEMBER 30, 1999)
<S>                                 <C>             <C>            <C>             <C>
         Capital Preservation       4.39%           4.89%          4.80%           5.28%

         90-Day Treasury
           Bill Index               4.54%           5.12%          5.02%           7.00%(2)
</TABLE>

        (1) The inception date for Capital Preservation is October 13, 1972.

        (2) Since October 31, 1972, the date nearest the fund's inception for
            which data are available.


Capital Preservation                          American Century Investments


4. WHAT ARE THE FUND'S FEES AND EXPENSES?

    There are no sales loads, fees or other charges

    * to buy fund shares directly from American Century

    * to reinvest dividends in additional shares

    * to exchange into the Investor Class shares of other American Century funds

    * to redeem your shares

    The following table describes the fees and expenses that you will pay if you
    buy and hold shares of the fund.


     ANNUAL FUND OPERATING EXPENSES
     (EXPENSES THAT ARE DEDUCTED FROM FUND ASSETS)

         Management Fee                                      0.47%(1)

         Distribution and Service (12b-1) Fees               None

         Other Expenses                                      0.00%(2)

         Total Annual Fund Operating Expenses                0.47%


        (1) Based on expenses incurred during the fund's most recent fiscal
            year. The fund has a stepped fee schedule. As a result, the fund's
            management fee rate generally decreases as fund assets increase.

        (2) Other expenses, which include the fees and expenses of the fund's
            independent trustees, their legal counsel and interest, are expected
            to be less than 0.005% for the current fiscal year.

           EXAMPLE

             Assuming you . . .
             * invest $10,000 in the fund
             * redeem all of your shares at the end of the periods shown below
             * earn a 5% return each year
             * incur the same operating expenses as shown above

             . . . your cost of investing in the fund would be:

                      1 year           3 years         5 years          10 years

                       $48              $151            $263              $591

             Of course, actual costs may be higher or lower. Use this example to
             compare the costs of investing in other funds.

5. WHO ARE THE FUND'S INVESTMENT ADVISOR AND PORTFOLIO MANAGERS?

    American Century Investment Management, Inc. provides investment advisory
    and management services for the fund. American Century uses teams of
    portfolio managers, assistant portfolio managers and analysts working
    together to manage its mutual funds. Identified below are the portfolio
    managers that manage Capital Preservation:

    BETH BUNNELL HUNTER, Portfolio Manager, has been a member of the team that
    manages the Capital Preservation Fund since joining American Century in July
    1999. Before joining American Century, she worked for Calvert Asset
    Management company as a Portfolio Trading Analyst from 1994 to 1996 and as a
    Portfolio Manager from 1996 to June 1999. She has a bachelor of arts from
    the University of Washington-Seattle.

    DENISE TABACCO, Portfolio Manager, has been a member of the team that
    manages Capital Preservation since May 1996. She joined American Century in
    1988, becoming a member of its portfolio department in 1991. She was
    promoted to Portfolio Manager in 1995. She has a bachelor's degree in
    accounting from San Diego University and an MBA in finance from Golden Gate
    University.

6. HOW DO I BUY FUND SHARES?

    American Century offers several ways to purchase shares

    * Complete and return an application along with an investment check payable
    to American Century Investments

    * If you already have an American Century account, call us or access our Web
    site to exchange shares from another American Century fund

    * Call us and send your investment by bank wire transfer

    Your initial investment must be at least $2,500 ($1,000 for traditional and
    Roth IRAs). If your redemption activity causes the value of your account to
    fall below this account minimum, your shares may be redeemed involuntarily.


Capital Preservation                                           Fund Profile


7. HOW DO I SELL FUND SHARES?

    You may sell all or part of your fund shares on any business day by writing
    or calling us. You also may exchange your shares in Capital Preservation for
    shares in nearly 70 other mutual funds offered by American Century.
    Depending on the options you select when you open your account, some
    restrictions may apply. For your protection, some redemption requests
    require a signature guarantee.

8. HOW ARE FUND DISTRIBUTIONS MADE AND TAXED?

    Dividends are declared and available for redemption daily. Because Capital
    Preservation is a money market fund, its distributions generally will be
    taxed as ordinary income. If the fund's share price were to go up or down,
    its annual distributions also could include capital gains or losses.
    Distributions are reinvested automatically in additional shares unless you
    choose another option.

    Distributions will generally be exempt from most state income taxes. Consult
    your tax advisor to see if the fund's income is exempt in your state.

9. WHAT SERVICES ARE AVAILABLE?

    American Century offers several ways to make it easier for you to manage
    your account, such as

    * telephone transactions
    * wire and electronic funds transfers
    * 24-hour Automated Information Line transactions
    * 24-hour online Internet account access and transactions

    You will find more information about these choices in Your Guide to American
    Century Services, which you may request by calling us, accessing our Web
    site or visiting one of our Investor Centers.

    Information contained in the services guide pertains to shareholders who
    invest directly with American Century rather than through an
    employer-sponsored retirement plan or financial intermediary.

    If you own or are considering purchasing fund shares through an
    employer-sponsored retirement plan or financial intermediary, your ability
    to purchase shares of the fund, exchange them for shares of other American
    Century funds, and redeem them will depend on the terms of your plan or
    financial intermediary. If you have questions about investing in an
    employer-sponsored retirement plan or through a financial intermediary, call
    a Service Representative at 1-800-345-3533.

- --------------------------------------------------------------------------------
[american century logo (reg.sm)]
American
Century

AMERICAN CENTURY INVESTMENTS
P.O. BOX 419200
KANSAS CITY, MISSOURI 64141-6200

INVESTOR RELATIONS
1-800-345-2021 or 816-531-5575

AUTOMATED INFORMATION LINE
1-800-345-8765

FAX
816-340-7962

TELECOMMUNICATIONS DEVICE FOR THE DEAF
1-800-634-4113 or 816-444-3485

BUSINESS, NOT-FOR-PROFIT AND
EMPLOYER-SPONSORED RETIREMENT PLANS
1-800-345-3533

Visit our Web site at WWW.AMERICANCENTURY.COM

SH-PRF-17894   9910                                   Funds Distributor, Inc.
<PAGE>
[front cover]
                                AMERICAN CENTURY

                                  Fund Profile

[american century logo (reg.sm)]
American Century
Brokerage

                           Capital Preservation Fund

  This profile summarizes key information about the fund that is included in the
  fund's Prospectus. The fund's Prospectus includes additional information about
   the  fund, including a more detailed description of the risks associated with
         investing in the fund, that you may want to consider before you invest.

  [photos of woman and girls blowing bubbles, men talking, woman at computer]

                                                               OCTOBER 25, 1999

                                                                  INVESTOR CLASS

   You may obtain the Prospectus and other information about the fund at no cost
  by calling us at 1-888-345-2071, accessing our Web site or visiting one of our
   Investor Centers. See the back cover for additional telephone numbers and our
                                                                        address.




CAPITAL PRESERVATION FUND

1. WHAT IS THE FUND'S INVESTMENT OBJECTIVE?

    Capital Preservation is a money market fund that seeks maximum safety and
    liquidity, and to pay shareholders the highest rate of return consistent
    with this objective.

2. WHAT IS THE FUND'S INVESTMENT STRATEGY?

    The fund managers buy very short-term U.S. Treasury securities that are
    guaranteed by the direct full faith and credit pledge of the U.S.
    government.

    The fund managers may purchase securities in a number of different ways to
    seek higher rates of return. For example, by using when-issued and forward
    commitment transactions, the fund managers may purchase securities in
    advance to generate additional income.

    Additional information about Capital Preservation's investments is available
    in its annual and semiannual reports. In these reports you will find a
    discussion of the market conditions and investment strategies that
    significantly affected the fund's performance during the most recent fiscal
    period. You may get these reports at no cost by calling us.

3. WHAT ARE THE SIGNIFICANT RISKS OF INVESTING IN THE FUND?

    * An investment in the fund is not a bank deposit, and it is not insured or
    guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other
    government agency. Although the fund seeks to preserve the value of your
    investment at $1.00 per share, it is possible to lose money by investing in
    the fund.

    * Because very short-term securities are among the safest securities
    available, the interest they pay is among the lowest for income-paying
    securities. Accordingly, the yield on this fund will likely be lower than
    funds that invest in longer-term or lower-quality securities.

    FUND PERFORMANCE

    The following bar chart shows the actual performance of Capital
    Preservation's Investor Class shares for each of the last 10 calendar years.
    The bar chart indicates the volatility of the fund's historical returns from
    year to year. The bar chart and the performance information below are not
    intended to indicate how the fund will perform in the future.

[data shown in bar chart]
<TABLE>
   Calendar Year-By-Year Returns (1)
<S>                    <C>     <C>     <C>     <C>     <C>     <C>     <C>     <C>     <C>    <C>
                       1998    1997    1996    1995    1994    1993    1992    1991    1990   1989
Capial Preservation    4.92%   4.97%   4.85%   5.32%   3.63%   2.65%   3.31%   5.62%   7.64%  8.28%
</TABLE>

        (1) As of September 30, 1999, the end of the most recent calendar
            quarter, Capital Preservation's year-to-date return was 3.22%.

    The highest and lowest quarterly returns for the period reflected in the bar
    chart are:

                              Highest                 Lowest

    Capital Preservation      2.12% (2Q 1989)         0.63% (2Q 1993)

    The following table shows the average annual total returns of the fund's
    Investor Class shares for the periods indicated. The 90-Day Treasury Bill
    Index, an unmanaged index that reflects no operating costs, is included as a
    benchmark for performance comparisons. For current performance information,
    including yields, please call us or access our Web site.

<TABLE>
                                   1 YEAR          5 YEARS       10 YEARS      LIFE OF FUND(1)

     AVERAGE ANNUAL TOTAL RETURNS (PERIOD ENDED SEPTEMBER 30, 1999)

<S>                                 <C>             <C>           <C>             <C>
         Capital Preservation       4.39%           4.89%         4.80%           5.28%

         90-Day Treasury
           Bill Index               4.54%           5.12%         5.02%           7.00%(2)
</TABLE>

        (1) The inception date for Capital Preservation is October 13, 1972.

        (2) Since October 31, 1972, the date nearest the fund's inception for
            which data are available.


Capital Preservation                          American Century Investments


4. WHAT ARE THE FUND'S FEES AND EXPENSES?

    There are no sales loads, fees or other charges

    * to buy fund shares directly from American Century

    * to reinvest dividends in additional shares

    * to exchange into the Investor Class shares of other American Century funds

    * to redeem your shares

    The following table describes the fees and expenses that you will pay if you
    buy and hold shares of the fund.


     ANNUAL FUND OPERATING EXPENSES
     (EXPENSES THAT ARE DEDUCTED FROM FUND ASSETS)

         Management Fee                                     0.47%(1)

         Distribution and Service (12b-1) Fees              None

         Other Expenses                                     0.00%(2)

         Total Annual Fund Operating Expenses               0.47%


        (1) Based on expenses incurred during the fund's most recent fiscal
            year. The fund has a stepped fee schedule. As a result, the fund's
            management fee rate generally decreases as fund assets increase.

        (2) Other expenses, which include the fees and expenses of the fund's
            independent trustees, their legal counsel and interest, are expected
            to be less than 0.005% for the current fiscal year.

           EXAMPLE

             Assuming you . . .
             * invest $10,000 in the fund
             * redeem all of your shares at the end of the periods shown below
             * earn a 5% return each year
             * incur the same operating expenses as shown above

             . . . your cost of investing in the fund would be:

                       1 year         3 years        5 years         10 years

                        $48            $151           $263             $591

             Of course, actual costs may be higher or lower. Use this example to
             compare the costs of investing in other funds.

5. WHO ARE THE FUND'S INVESTMENT ADVISOR AND PORTFOLIO MANAGERS?

    American Century Investment Management, Inc. provides investment advisory
    and management services for the fund. American Century uses teams of
    portfolio managers, assistant portfolio managers and analysts working
    together to manage its mutual funds. Identified below are the portfolio
    managers for the Capital Preservation team:

    BETH BUNNELL HUNTER, Portfolio Manager, has been a member of the team that
    manages the Capital Preservation Fund since joining American Century in July
    1999. Before joining American Century, she worked for Calvert Asset
    Management as a Portfolio Trading Analyst from 1994 to 1996 and as a
    Portfolio Manager from 1996 to June 1999. She has a bachelor of arts from
    the University of Washington-Seattle.

    DENISE TABACCO, Portfolio Manager, has been a member of the team that
    manages Capital Preservation since 1995. She joined American Century in
    1988, becoming a member of its portfolio department in 1991. She was
    promoted to Portfolio Manager in 1995. She has a bachelor's degree in
    accounting from San Diego University and an MBA in finance from Golden Gate
    University.

6. HOW DO I BUY FUND SHARES?

    American Century Brokerage offers several ways to purchase shares

    * Complete and return a brokerage application along with an investment check
    payable to American Century Brokerage

    * If you already have an American Century Brokerage account, simply contact
    us by writing, calling or accessing our Web site

    * Call us and send your investment by bank wire transfer

    Your initial investment in your brokerage account must be at least $2,500.
    If your redemption activity causes the value of your account to fall below
    this account minimum, your shares may be redeemed involuntarily.

7. HOW DO I SELL FUND SHARES?

    The most convenient way for you to sell money market fund shares in your
    brokerage account is to use our CheckWriting feature. If you do not have
    checks, you can call us during business hours or send us a letter requesting
    a redemption check or bank wire. Bank wires require a minimum redemption of
    $1,000 and a $20 fee applies. In addition, we will automatically sell
    sufficient shares in Capital Preservation when you direct us to make other
    investments in your brokerage account.

    Depending on the options you select when you open your account, some
    restrictions may apply. For your protection, some redemption requests may
    require a signature guarantee.


Capital Preservation                                           Fund Profile


8. HOW ARE FUND DISTRIBUTIONS MADE AND TAXED?

    Dividends are declared and available for redemption daily. Because Capital
    Preservation is a money market fund, its distributions generally will be
    taxed as ordinary income. If the fund's share price were to go up or down,
    its annual distributions also could include capital gains or losses.
    Distributions are reinvested automatically in additional shares unless you
    choose another option.

    Distributions will generally be exempt from most state income taxes. Consult
    your tax advisor to see if the fund's income is exempt in your state.

9. WHAT SERVICES ARE AVAILABLE?

    American Century Brokerage offers several ways to make it easier for you to
    manage your account, such as

    * telephone transactions

    * wire and electronic funds transfers

    * TeleSelect Automated Information and Trading Line Transactions

    * 24-hour online Internet account access and transactions

    You will find more information about these choices in our Brokerage
    Information Kit, which you may request by calling us, accessing our Web site
    or visiting one of our Investor Centers.

- --------------------------------------------------------------------------------
[american century logo (reg.sm)]
American Century
Brokerage

AMERICAN CENTURY BROKERAGE, INC.
P.O. BOX 419146
KANSAS CITY, MISSOURI 64141-6146

BROKERAGE ASSOCIATE
1-888-345-2071

FAX
650-967-9627

TELESELECT AUTOMATED INFORMATION
AND TRADING LINE
1-888-345-2091

TELECOMMUNICATIONS DEVICE FOR THE DEAF
1-800-634-4113

SEP-IRA SERVICES
1-800-345-3533, ext. 4210

Visit our Web site at WWW.AMERICANCENTURY.COM

BK-PRF-17931   9910                                   Funds Distributor, Inc.
<PAGE>
[front cover]
                                AMERICAN CENTURY

                                  Fund Profile

[american century logo (reg.sm)]
American
Century

                      Government Agency Money Market Fund

  This profile summarizes key information about the fund that is included in the
  fund's Prospectus. The fund's Prospectus includes additional information about
   the  fund, including a more detailed description of the risks associated with
         investing in the fund, that you may want to consider before you invest.

  [photos of woman and girls blowing bubbles, men talking, woman at computer]

                                                               OCTOBER 25, 1999

                                                                  INVESTOR CLASS

   You may obtain the Prospectus and other information about the fund at no cost
  by calling us at 1-800-345-2021, accessing our Web site or visiting one of our
   Investor Centers. See the back cover for additional telephone numbers and our
                                                                        address.

GOVERNMENT AGENCY MONEY MARKET FUND

1. WHAT IS THE FUND'S INVESTMENT OBJECTIVE?

    Government Agency Money Market seeks to pay the highest rate of return while
    maintaining liquidity and safety of principal. The fund invests exclusively
    in short-term obligations of the U.S. government, its agencies and
    instrumentalities. The fund seeks to purchase only those securities with
    income that will be exempt from state income tax.

2. WHAT IS THE FUND'S INVESTMENT STRATEGY?

    The fund managers buy very short-term securities issued by the U.S.
    government, its agencies and instrumentalities. The U.S. government provides
    varying levels of financial support to these agencies and instrumentalities.

    The fund managers also may buy very short-term U.S. Treasury securities that
    are guaranteed by the direct full faith and credit pledge of the U.S.
    government.

    The fund managers may purchase securities in a number of different ways to
    seek higher rates of return. For example, by using when-issued and forward
    commitment transactions, the fund manager may purchase securities in advance
    to generate additional income.

    Additional information about Government Agency Money Market's investments is
    available in its annual and semiannual reports. In these reports you will
    find a discussion of the market conditions and investment strategies that
    significantly affected the fund's performance during the most recent fiscal
    period. You may get these reports at no cost by calling us.

3. WHAT ARE THE SIGNIFICANT RISKS OF INVESTING IN THE FUND?

    * An investment in the fund is not a bank deposit, and it is not insured or
    guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other
    government agency. Although the fund seeks to preserve the value of your
    investment at $1.00 per share, it is possible to lose money by investing in
    the fund.

    * Because very short-term securities are among the safest securities
    available, the interest they pay is among the lowest for income-paying
    securities. Accordingly, the yield on this fund will likely be lower than
    funds that invest in longer-term or lower-quality securities.

    FUND PERFORMANCE

    The following bar chart shows the actual performance of Government Agency
    Money Market's Investor Class shares for each year since the fund's
    inception on December 5, 1989. The bar chart indicates the volatility of the
    fund's historical returns from year to year. The bar chart and the
    performance information below are not intended to indicate how the fund will
    perform in the future.


[data shown in bar chart]
<TABLE>
   Calendar Year-By-Year Returns (1)
<S>                  <C>      <C>      <C>      <C>       <C>      <C>      <C>      <C>      <C>
                     1998     1997     1996     1995      1994     1993     1992     1991     1990
Government Agency
Money Market         5.07%    5.07%    4.93%    5.50%     3.75%    2.68%    3.39%    6.01%    8.34%
</TABLE>

        (1) As of September 30, 1999, the end of the most recent calendar
            quarter, Government Agency Money Market's year-to-date return was
            3.42%.

    The highest and lowest quarterly returns for the period reflected in the bar
    chart are:

                              Highest                 Lowest

    Government Agency
    Money Market              2.06% (1Q 1990)         0.65% (2Q 1993)

    The following table shows the average annual total returns of the fund's
    Investor Class shares for the periods indicated. The 90-Day Treasury Bill
    Index, an unmanaged index that reflects no operating costs, is included as a
    benchmark for performance comparisons. For current performance information,
    including yields, please call us or access our Web site.


Government Agency Money Market                American Century Investments


                                        1 YEAR       5 YEARS     LIFE OF FUND(1)

     AVERAGE ANNUAL TOTAL RETURNS (PERIOD ENDED SEPTEMBER 30, 1999)

        Government Agency
          Money Market                   4.65%        5.04%         4.95%

        90-Day Treasury Bill Index       4.54%        5.12%         4.95%(2)

        (1) The inception date for Government Agency Money Market is December 5,
            1989.

        (2) Since December 31, 1989, the date nearest the fund's inception for
            which data are available.

4. WHAT ARE THE FUND'S FEES AND EXPENSES?

    There are no sales loads, fees or other charges

    * to buy fund shares directly from American Century

    * to reinvest dividends in additional shares

    * to exchange into the Investor Class shares of other American Century funds

    * to redeem your shares

    The following table describes the fees and expenses that you will pay if you
    buy and hold shares of the fund.


     ANNUAL FUND OPERATING EXPENSES
     (EXPENSES THAT ARE DEDUCTED FROM FUND ASSETS)

        Management Fee                                        0.47%(1)

        Distribution and Service (12b-1) Fees                 None

        Other Expenses                                        0.00%(2)

        Total Annual Fund Operating Expenses                  0.47%


        (1) Based on expenses incurred during the fund's most recent fiscal
            year. The fund has a stepped fee schedule. As a result, the fund's
            management fee rate generally decreases as fund assets increase.

        (2) Other expenses, which include the fees and expenses of the fund's
            independent trustees, their legal counsel and interest, are expected
            to be less than 0.005% for the current fiscal year.

           EXAMPLE

             Assuming you . . .
             * invest $10,000 in the fund
             * redeem all of your shares at the end of the periods shown below
             * earn a 5% return each year
             * incur the same operating expenses as shown above

             . . . your cost of investing in the fund would be:

                       1 year          3 years        5 years        10 years

                        $48             $151           $263            $591

             Of course, actual costs may be higher or lower. Use this example to
             compare the costs of investing in other funds.

5. WHO ARE THE FUND'S INVESTMENT ADVISOR AND PORTFOLIO MANAGERS?

    American Century Investment Management, Inc. provides investment advisory
    and management services for the fund. American Century uses teams of
    portfolio managers, assistant portfolio managers and analysts working
    together to manage its mutual funds. Identified below are the portfolio
    managers that manage Government Agency Money Market:

    BETH BUNNELL HUNTER, Portfolio Manager, has been a member of the team that
    manages Government Agency Money Market since joining American Century in
    July 1999. Before joining American Century, she worked for Calvert Asset
    Management Company as a Portfolio Trading Analyst from 1994 to 1996 and as a
    Portfolio Manager from 1996 to June 1999. She has a bachelor of arts from
    the University of Washington-Seattle.

    DENISE TABACCO, Portfolio Manager, has been a member of the team that
    manages Government Agency Money Market since May 1996. She joined American
    Century in 1988, becoming a member of its portfolio department in 1991. She
    was promoted to Portfolio Manager in 1995. She has a bachelor's degree in
    accounting from San Diego University and an MBA in finance from Golden Gate
    University.

6. HOW DO I BUY FUND SHARES?

    American Century offers several ways to purchase shares

    * Complete and return an application along with an investment check payable
    to American Century Investments

    * If you already have an American Century account, call us or access our Web
    site to exchange shares from another American Century fund

    * Call us and send your investment by bank wire transfer

    Your initial investment must be at least $2,500 ($1,000 for traditional and
    Roth IRAs). If your redemption activity causes the value of your account to
    fall below this account minimum, your shares may be redeemed involuntarily.

7. HOW DO I SELL FUND SHARES?

    You may sell all or part of your fund shares on any business day by writing
    or calling us. You also may exchange your shares in Government Agency Money
    Market for shares in nearly 70 other mutual funds offered by American
    Century. Depending on the options you select when you open your account,
    some restrictions may apply. For your protection, some redemption requests
    require a signature guarantee.


Government Agency Money Market                                 Fund Profile


8. HOW ARE FUND DISTRIBUTIONS MADE AND TAXED?

    Dividends are declared and available for redemption daily. Because
    Government Agency Money Market is a money market fund, its distributions
    generally will be taxed as ordinary income. If the fund's share price were
    to go up or down, its annual distributions also could include capital gains
    or losses. Distributions are reinvested automatically in additional shares
    unless you choose another option.

    Distributions will generally be exempt from most state income taxes. Consult
    your tax advisor to see if the fund's income is exempt in your state.

9. WHAT SERVICES ARE AVAILABLE?

    American Century offers several ways to make it easier for you to manage
    your account, such as

    * telephone transactions
    * wire and electronic funds transfers
    * 24-hour Automated Information Line transactions
    * 24-hour online Internet account access and transactions

    You will find more information about these choices in Your Guide to American
    Century Services, which you may request by calling us, accessing our Web
    site or visiting one of our Investor Centers.

    Information contained in the services guide pertains to shareholders who
    invest directly with American Century rather than through an
    employer-sponsored retirement plan or financial intermediary.

    If you own or are considering purchasing fund shares through an
    employer-sponsored retirement plan or financial intermediary, your ability
    to purchase shares of the fund, exchange them for shares of other American
    Century funds, and redeem them will depend on the terms of your plan or
    financial intermediary. If you have questions about investing in an
    employer-sponsored retirement plan or through a financial intermediary, call
    a Service Representative at 1-800-345-3533.


- --------------------------------------------------------------------------------
[american century logo (reg.sm)]
American
Century

AMERICAN CENTURY INVESTMENTS
P.O. BOX 419200
KANSAS CITY, MISSOURI 64141-6200

INVESTOR RELATIONS
1-800-345-2021 or 816-531-5575

AUTOMATED INFORMATION LINE
1-800-345-8765

FAX
816-340-7962

TELECOMMUNICATIONS DEVICE FOR THE DEAF
1-800-634-4113 or 816-444-3485

BUSINESS, NOT-FOR-PROFIT AND
EMPLOYER-SPONSORED RETIREMENT PLANS
1-800-345-3533

Visit our Web site at WWW.AMERICANCENTURY.COM

SH-PRF-17895   9910                                   Funds Distributor, Inc.
<PAGE>
[front cover]
                                AMERICAN CENTURY

                                  Fund Profile

[american century logo (reg.sm)]
American
Century

                            Short-Term Treasury Fund

  This profile summarizes key information about the fund that is included in the
  fund's Prospectus. The fund's Prospectus includes additional information about
   the  fund, including a more detailed description of the risks associated with
         investing in the fund, that you may want to consider before you invest.

  [photos of woman and girls blowing bubbles, men talking, woman at computer]

                                                               OCTOBER 25, 1999

                                                                  INVESTOR CLASS

   You may obtain the Prospectus and other information about the fund at no cost
  by calling us at 1-800-345-2021, accessing our Web site or visiting one of our
   Investor Centers. See the back cover for additional telephone numbers and our
                                                                        address.




SHORT-TERM TREASURY FUND

1. WHAT IS THE FUND'S INVESTMENT OBJECTIVE?

    Short-Term Treasury seeks the highest level of current income exempt from
    state income tax while maintaining safety of capital.

2. WHAT IS THE FUND'S INVESTMENT STRATEGY?

    The fund managers buy short-term U.S. Treasury securities guaranteed by the
    direct full faith and credit pledge of the U.S. government.

    The fund managers also may buy short-term securities issued by the U.S.
    government, its agencies and instrumentalities. The U.S. government provides
    varying levels of financial support to these agencies and instrumentalities.
    The fund managers may invest up to 35% of the fund's total assets in these
    securities.

    The fund managers may purchase securities in a number of different ways to
    seek higher rates of return. For example, by using when-issued and forward
    commitment transactions, the fund managers may purchase securities in
    advance to generate additional income.

    The weighted average maturity of the fund is expected to be between 13
    months and three years.

    Additional information about Short-Term Treasury's investments is available
    in its annual and semiannual reports. In these reports you will find a
    discussion of the market conditions and investment strategies that
    significantly affected the fund's performance during the most recent fiscal
    period. You may get these reports at no cost by calling us.

3. WHAT ARE THE SIGNIFICANT RISKS OF INVESTING IN THE FUND?

    * Interest rate changes affect the fund's share value. Generally, when
    interest rates rise, the fund's share value will decline. The opposite is
    true when interest rates decline. This interest rate risk is higher for
    Short-Term Treasury than for funds that have shorter weighted average
    maturities, such as money market funds.

    * As with all funds, your shares may be worth more or less at any given time
    than the price you paid for them. If you sell your shares when the value is
    less than the price you paid, you will lose money.

    * An investment in the fund is not a bank deposit, and it is not insured or
    guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other
    government agency.

    In summary, Short-Term Treasury is intended for investors who seek the
    highest level of current income exempt from state income tax while
    maintaining safety of capital and who are willing to accept the risks
    associated with the fund's investment strategy.

    FUND PERFORMANCE

    The following bar chart shows the actual performance of Short-Term
    Treasury's Investor Class shares for each calendar year since the fund's
    inception on September 8, 1992. The bar chart indicates the volatility of
    the fund's historical returns from year to year. The bar chart and the
    performance information below are not intended to indicate how the fund will
    perform in the future.


[data shown in bar chart]
   Calendar Year-By-Year Returns (1)
                         1998      1997      1996      1995      1994      1993
Short-Term Treasury      6.44%     6.11%     4.12%     9.93%     0.15%     5.32%

        (1) As of September 30, 1999, the end of the most recent calendar
            quarter, Short-Term Treasury's year-to-date return was 1.76%.

    The highest and lowest quarterly returns for the period reflected in the bar
    chart are:

                              Highest                 Lowest

    Short-Term Treasury       3.14% (1Q 1995)         -0.54% (1Q 1994)


Short-Term Treasury                           American Century Investments


    The following table shows the average annual total returns of the fund's
    Investor Class shares for the periods indicated. The Salomon 1- to 3-Year
    Treasury/Agency Index, an unmanaged index that reflects no operating costs,
    is included as a benchmark for performance comparisons. The fund's benchmark
    was changed from the Lehman 1- to 3-Year Government Securities Index
    beginning January 1, 1999. The fund's advisor believes the new index better
    represents the broad market for U.S. Treasury and Agency Securities. For
    current performance information, including yields, please call us or access
    our Web site.

<TABLE>
                                            1 YEAR         5 YEARS       LIFE OF FUND(1)

     AVERAGE ANNUAL TOTAL RETURNS (PERIOD ENDED SEPTEMBER 30, 1999)

<S>                                          <C>            <C>              <C>
        Short-Term Treasury                  2.37%          5.61%            4.78%

        Lehman 1- to 3-Year
           Government Securities Index       3.19%          6.35%            5.39%(2)

        Salomon 1- to 3-Year
           Treasury/Agency Index             3.25%          6.35%            5.39%(2)
</TABLE>

        (1) The inception date for Short-Term Treasury is September 8, 1992.

        (2) Since September 30, 1992, the date nearest the fund's inception for
            which data are available.

4. WHAT ARE THE FUND'S FEES AND EXPENSES?

    There are no sales loads, fees or other charges

    * to buy fund shares directly from American Century

    * to reinvest dividends in additional shares

    * to exchange into the Investor Class shares of other American Century funds

    * to redeem your shares

    The following table describes the fees and expenses that you will pay if you
    buy and hold shares of the fund.


     ANNUAL FUND OPERATING EXPENSES
     (EXPENSES THAT ARE DEDUCTED FROM FUND ASSETS)

         Management Fee                                         0.51%(1)

         Distribution and Service (12b-1) Fees                  None

         Other Expenses                                         0.00%(2)

         Total Annual Fund Operating Expenses                   0.51%

        (1) Based on expenses incurred during the fund's most recent fiscal
            year. The fund has a stepped fee schedule. As a result, the fund's
            management fee rate generally decreases as fund assets increase.

        (2) Other expenses include the fees and expenses of the fund's
            independent trustees, their legal counsel and interest, are expected
            to be less than 0.005% for the current fiscal year.

           EXAMPLE

             Assuming you . . .
             * invest $10,000 in the fund
             * redeem all of your shares at the end of the periods shown below
             * earn a 5% return each year
             * incur the same operating expenses as shown above

             . . . your cost of investing in the fund would be:

                        1 year         3 years         5 years        10 years

                         $52            $163            $285            $640

             Of course, actual costs may be higher or lower. Use this example to
             compare the costs of investing in other funds.


5. WHO ARE THE FUND'S INVESTMENT ADVISOR AND PORTFOLIO MANAGERS?

    American Century Investment Management, Inc. provides investment advisory
    and management services for the fund. American Century uses teams of
    portfolio managers, assistant portfolio managers and analysts working
    together to manage its mutual funds. Identified below is the portfolio
    manager who leads the team that manages Short-Term Treasury:

    NEWLIN RANKIN, Senior Portfolio Manager, has been a member of the team that
    manages Short-Term Treasury since March 1996. He joined American Century in
    1994. He has a bachelor's degree in decision science and an MBA in
    international finance from the University of San Francisco.

6. HOW DO I BUY FUND SHARES?

    American Century offers several ways to purchase shares

    * Complete and return an application along with an investment check payable
    to American Century Investments

    * If you already have an American Century account, call us or access our Web
    site to exchange shares from another American Century fund

    * Call us and send your investment by bank wire transfer

    Your initial investment must be at least $2,500 ($1,000 for traditional and
    Roth IRAs). If your redemption activity causes the value of your account to
    fall below this account minimum, your shares may be redeemed involuntarily.


Short-Term Treasury                                            Fund Profile


7. HOW DO I SELL FUND SHARES?

    You may sell all or part of your fund shares on any business day by writing
    or calling us. You also may exchange your shares in Short-Term Treasury for
    shares in nearly 70 other mutual funds offered by American Century.
    Depending on the options you select when you open your account, some
    restrictions may apply. For your protection, some redemption requests
    require a signature guarantee.

8. HOW ARE FUND DISTRIBUTIONS MADE AND TAXED?

    Short-Term Treasury pays distributions of substantially all of its income
    monthly. Distributions may be taxable as ordinary income, capital gains, or
    a combination of the two. Capital gains are taxed at different rates
    depending on the length of time the fund held the securities that were sold.
    Distributions are reinvested automatically in additional shares unless you
    choose another option.

    Distributions will generally be exempt from most state income taxes. Consult
    your tax advisor to see if the fund's income is exempt in your state.

9. WHAT SERVICES ARE AVAILABLE?

    American Century offers several ways to make it easier for you to manage
    your account, such as

    * telephone transactions
    * wire and electronic funds transfers
    * 24-hour Automated Information Line transactions
    * 24-hour online Internet account access and transactions

    You will find more information about these choices in Your Guide to American
    Century Services, which you may request by calling us, accessing our Web
    site or visiting one of our Investor Centers.

    Information contained in the services guide pertains to shareholders who
    invest directly with American Century rather than through an
    employer-sponsored retirement plan or financial intermediary.

    If you own or are considering purchasing fund shares through an
    employer-sponsored retirement plan or financial intermediary, your ability
    to purchase shares of the fund, exchange them for shares of other American
    Century funds, and redeem them will depend on the terms of your plan or
    financial intermediary. If you have questions about investing in an
    employer-sponsored retirement plan or through a financial intermediary, call
    a Service Representative at 1-800-345-3533.


- --------------------------------------------------------------------------------
[american century logo (reg.sm)]
American
Century

AMERICAN CENTURY INVESTMENTS
P.O. BOX 419200
KANSAS CITY, MISSOURI 64141-6200

INVESTOR RELATIONS
1-800-345-2021 or 816-531-5575

AUTOMATED INFORMATION LINE
1-800-345-8765

FAX
816-340-7962

TELECOMMUNICATIONS DEVICE FOR THE DEAF
1-800-634-4113 or 816-444-3485

BUSINESS, NOT-FOR-PROFIT AND
EMPLOYER-SPONSORED RETIREMENT PLANS
1-800-345-3533

Visit our Web site at WWW.AMERICANCENTURY.COM

SH-PRF-17896   9910                                   Funds Distributor, Inc.
<PAGE>
[front cover]
                                AMERICAN CENTURY

                                  Fund Profile

[american century logo (reg.sm)]
American
Century

                                   GNMA Fund

  This profile summarizes key information about the fund that is included in the
  fund's Prospectus. The fund's Prospectus includes additional information about
    the fund, including a more detailed description of the risks associated with
         investing in the fund, that you may want to consider before you invest.

  [photos of woman and girls blowing bubbles, men talking, woman at computer]

                                                               OCTOBER 25, 1999

                                                                  INVESTOR CLASS

   You may obtain the Prospectus and other information about the fund at no cost
  by calling us at 1-800-345-2021, accessing our Web site or visiting one of our
   Investor Centers. See the back cover for additional telephone numbers and our
                                                                        address.




GNMA FUND

1. WHAT IS THE FUND'S INVESTMENT OBJECTIVE?

    GNMA seeks high current income while maintaining liquidity and safety of
    principal by investing primarily in GNMA certificates.

2. WHAT IS THE FUND'S INVESTMENT STRATEGY?

    The fund managers primarily buy certificates issued by the Government
    National Mortgage Association (GNMA). Unlike many other mortgage-backed
    securities, the timely payment of principal and interest on these
    certificates is guaranteed by GNMA. GNMA's payment guarantee is stronger
    than most other government agencies' because it is backed by the full faith
    and credit of the U.S. government. This means that the fund managers receive
    the fund's share of payments regardless of whether the ultimate borrowers
    make their payments.

    The fund managers may also buy U.S. government securities. The U.S.
    government, its agencies and instrumentalities issue these securities. These
    securities include mortgage-backed securities. The U.S. government's
    financial support of these agencies and instrumentalities varies.

    The fund managers may purchase securities in a number of different ways to
    seek higher rates of return. For example, the fund managers may purchase
    securities in advance through when-issued and forward commitment
    transactions.

    Additional information about GNMA's investments is available in its annual
    and semiannual reports. In these reports you will find a discussion of the
    market conditions and investment strategies that significantly affected the
    fund's performance during the most recent fiscal period. You may get these
    reports at no cost by calling us.

3. WHAT ARE THE SIGNIFICANT RISKS OF INVESTING IN THE FUND?

    * When interest rates change, the fund's share value will be affected.
    Generally, when interest rates rise, the fund's share value will decline.
    The opposite is true when interest rates decline. This interest rate risk is
    higher for GNMA than for funds that have shorter weighted average
    maturities, such as money market funds.

    * GNMA invests in mortgage-backed securities. When homeowners refinance
    their mortgages to take advantage of declining interest rates, their
    existing mortgages are prepaid. The mortgages, which back the securities
    purchased by GNMA, may be prepaid in this fashion. Because of this
    "prepayment risk," the fund may benefit less from declining interest rates
    than other short-term funds.

    * As with all funds, your shares may be worth more or less at any given time
    than the price you paid for them. If you sell your shares when the value is
    less than the price you paid, you will lose money.

    * An investment in the fund is not a bank deposit, and it is not insured or
    guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other
    government agency.

    In summary, GNMA is intended for investors who seek high current income that
    is consistent with investment in GNMA certificates and who are willing to
    accept the risks associated with the fund's investment strategy.

    FUND PERFORMANCE

    The following bar chart shows the actual performance of GNMA's Investor
    Class shares for each of the last 10 calendar years. The bar chart indicates
    the volatility of the fund's historical returns from year to year. The bar
    chart and the performance information below are not intended to indicate how
    the fund will perform in the future.


[data shown in bar chart]
<TABLE>
   Calendar Year-By-Year Returns (1)
<S>         <C>      <C>      <C>      <C>      <C>      <C>      <C>      <C>      <C>      <C>
            1998     1997     1996     1995     1994     1993     1992     1991     1990     1989
GNMA        6.33%    8.79%    5.21%   15.86%   -1.67%    6.59%    7.67%   15.56%   10.15%   13.90%
</TABLE>

        (1) As of September 30, 1999, the end of the most recent calendar
            quarter, GNMA's year-to-date return was 0.79%.


GNMA                                          American Century Investments


    The highest and lowest quarterly returns for the period reflected in the bar
    chart are:

                              Highest                 Lowest

    GNMA                      7.68% (2Q 1989)         -2.39% (1Q 1994)

    The following table shows the average annual total returns of the fund's
    Investor Class shares for the periods indicated. The Salomon Brothers
    30-year GNMA Index, an unmanaged index that reflects no operating costs, is
    included as a benchmark for performance comparisons. For current performance
    information, including yields, please call us or access our Web site.

<TABLE>
                                  1 YEAR        5 YEARS      10 YEARS      LIFE OF FUND(1)

     AVERAGE ANNUAL TOTAL RETURNS (PERIOD ENDED SEPTEMBER 30, 1999)

<S>                               <C>            <C>           <C>            <C>
         GNMA                     1.65%          7.37%         7.78%          8.28%

         Salomon Brothers
           30-Year GNMA Index     2.58%          8.08%         8.32%          9.18%(2)
</TABLE>

        (1) The inception date for GNMA is September 23, 1985.

        (2) Since September 30, 1985, the date nearest the fund's inception for
            which data are available.

4. WHAT ARE THE FUND'S FEES AND EXPENSES?

    There are no sales loads, fees or other charges

    * to buy fund shares directly from American Century

    * to reinvest dividends in additional shares

    * to exchange into the Investor Class shares of other American Century funds

    * to redeem your shares

    The following table describes the fees and expenses that you will pay if you
    buy and hold shares of the fund.


     ANNUAL FUND OPERATING EXPENSES
     (EXPENSES THAT ARE DEDUCTED FROM FUND ASSETS)

         Management Fee                               0.59%(1)

         Distribution and Service (12b-1) Fees        None

         Other Expenses                               0.00%(2)

         Total Annual Fund Operating Expenses         0.59%


        (1) Based on expenses incurred during the fund's most recent fiscal
            year. The fund has a stepped fee schedule. As a result, the fund's
            management fee rate generally decreases as fund assets increase.

        (2) Other expenses, which include the fees and expenses of the fund's
            independent trustees, their legal counsel and interest, are expected
            to be less than 0.005% for the current fiscal year.



           EXAMPLE

             Assuming you . . .
             * invest $10,000 in the fund
             * redeem all of your shares at the end of the periods shown below
             * earn a 5% return each year
             * incur the same operating expenses as shown above

             . . . your cost of investing in the fund would be:

                      1 year           3 years         5 years         10 years

                       $60              $189            $329             $736

             Of course, actual costs may be higher or lower. Use this example to
             compare the costs of investing in other funds.


5. WHO ARE THE FUND'S INVESTMENT ADVISOR AND PORTFOLIO MANAGERS?

    American Century Investment Management, Inc. provides investment advisory
    and management services for the fund. American Century uses teams of
    portfolio managers, assistant portfolio managers and analysts working
    together to manage its mutual funds. Identified below is the portfolio
    manager who leads the team that manages GNMA:

    CASEY COLTON, Vice President and Senior Portfolio Manager, has been a member
    of the team that manages GNMA since January 1994. He joined American Century
    in 1990. He has a bachelor's degree in business administration from San Jose
    State University and a master's degree from the University of Southern
    California. He is a Chartered Financial Analyst and a Certified Public
    Accountant.

6. HOW DO I BUY FUND SHARES?

    American Century offers several ways to purchase shares

    * Complete and return an application along with an investment check payable
    to American Century Investments

    * If you already have an American Century account, call us or access our Web
    site to exchange shares from another American Century fund

    * Call us and send your investment by bank wire transfer

    Your initial investment must be at least $2,500 ($1,000 for traditional and
    Roth IRAs). If your redemption activity causes the value of your account to
    fall below this account minimum, your shares may be redeemed involuntarily.


GNMA                                                           Fund Profile


7. HOW DO I SELL FUND SHARES?

    You may sell all or part of your fund shares on any business day by writing
    or calling us. You also may exchange your shares in GNMA for shares in
    nearly 70 other mutual funds offered by American Century. Depending on the
    options you select when you open your account, some restrictions may apply.
    For your protection, some redemption requests require a signature guarantee.

8. HOW ARE FUND DISTRIBUTIONS MADE AND TAXED?

    GNMA pays distributions of substantially all of its income monthly.
    Distributions may be taxable as ordinary income, capital gains, or a
    combination of the two. Capital gains are taxed at different rates depending
    on the length of time the fund held the securities that were sold.
    Distributions are reinvested automatically in additional shares unless you
    choose another option.

9. WHAT SERVICES ARE AVAILABLE?

    American Century offers several ways to make it easier for you to manage
    your account, such as

    * telephone transactions
    * wire and electronic funds transfers
    * 24-hour Automated Information Line transactions
    * 24-hour online Internet account access and transactions

    You will find more information about these choices in Your Guide to American
    Century Services, which you may request by calling us, accessing our Web
    site or visiting one of our Investor Centers.

    Information contained in the services guide pertains to shareholders who
    invest directly with American Century rather than through an
    employer-sponsored retirement plan or financial intermediary.

    If you own or are considering purchasing fund shares through an
    employer-sponsored retirement plan or financial intermediary, your ability
    to purchase shares of the fund, exchange them for shares of other American
    Century funds, and redeem them will depend on the terms of your plan or
    financial intermediary. If you have questions about investing in an
    employer-sponsored retirement plan or through a financial intermediary, call
    a Service Representative at 1-800-345-3533.

- --------------------------------------------------------------------------------
[american century logo (reg.sm)]
American
Century

AMERICAN CENTURY INVESTMENTS
P.O. BOX 419200
KANSAS CITY, MISSOURI 64141-6200

INVESTOR RELATIONS
1-800-345-2021 or 816-531-5575

AUTOMATED INFORMATION LINE
1-800-345-8765

FAX
816-340-7962

TELECOMMUNICATIONS DEVICE FOR THE DEAF
1-800-634-4113 or 816-444-3485

BUSINESS, NOT-FOR-PROFIT AND
EMPLOYER-SPONSORED RETIREMENT PLANS
1-800-345-3533

Visit our Web site at WWW.AMERICANCENTURY.COM

SH-PRF-17904   9910                                   Funds Distributor, Inc.
<PAGE>
[front cover]

                                American Century

                                  Fund Profile

[american century logo (reg.sm)]
American
Century

                        Intermediate-Term Treasury Fund

  This profile summarizes key information about the fund that is included in the
  fund's Prospectus. The fund's Prospectus includes additional information about
    the fund, including a more detailed description of the risks associated with
         investing in the fund, that you may want to consider before you invest.

  [photos of woman and girls blowing bubbles, men talking, woman at computer]

                                                               OCTOBER 25, 1999
                                                                  INVESTOR CLASS

   You may obtain the Prospectus and other information about the fund at no cost
  by calling us at 1-800-345-2021, accessing our Web site or visiting one of our
   Investor Centers. See the back cover for additional telephone numbers and our
                                                                        address.


INTERMEDIATE-TERM TREASURY FUND

1. WHAT IS THE FUND'S INVESTMENT OBJECTIVE?

    Intermediate-Term Treasury seeks the highest level of current income exempt
    from state income tax while maintaining safety of capital.

2. WHAT IS THE FUND'S INVESTMENT STRATEGY?

    The fund managers buy intermediate-term U.S. Treasury securities guaranteed
    by the direct full faith and credit pledge of the U.S. government.

    The fund managers also may buy intermediate-term securities issued by the
    U.S. government, its agencies and instrumentalities. The U.S. government
    provides varying levels of financial support to these agencies and
    instrumentalities. The fund managers may invest up to 35% of the fund's
    total assets in these securities.

    The fund managers may purchase securities in a number of different ways to
    seek higher rates of return. For example, by using when-issued and forward
    commitment transactions, the fund managers may purchase securities in
    advance to generate additional income.

    The weighted average maturity of the fund is expected to be between three
    and 10 years.

    Additional information about Intermediate-Term Treasury's investments is
    available in its annual and semiannual reports. In these reports you will
    find a discussion of the market conditions and investment strategies that
    significantly affected the fund's performance during the most recent fiscal
    period. You may get these reports at no cost by calling us.

3. WHAT ARE THE SIGNIFICANT RISKS OF INVESTING IN THE FUND?

    * Interest rate changes affect the fund's share value. Generally, when
    interest rates rise, the fund's share value will decline. The opposite is
    true when interest rates decline. This interest rate risk is higher for
    Intermediate-Term Treasury than for funds that have shorter weighted average
    maturities, such as money market and short-term bond funds.

    * As with all funds, your shares may be worth more or less at any given time
    than the price you paid for them. If you sell your shares when the value is
    less than the price you paid, you will lose money.

    * An investment in the fund is not a bank deposit, and it is not insured or
    guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other
    government agency.

    In summary, Intermediate-Term Treasury is intended for investors who seek
    the highest level of current income exempt from state income tax while
    maintaining safety of capital and who are willing to accept the risks
    associated with the fund's investment strategy.

    FUND PERFORMANCE

    The following bar chart shows the actual performance of Intermediate-Term
    Treasury's Investor Class shares for each of the last 10 calendar years. The
    bar chart indicates the volatility of the fund's historical returns from
    year to year. The bar chart and the performance information below are not
    intended to indicate how the fund will perform in the future.

[data shown in bar chart]
     Calendar-Year-By-Year Returns (1)
               1998        8.94%
               1997        8.38%
               1996        4.08%
               1995       13.70%
               1994       -2.34%
               1993        7.91%
               1992        6.55%
               1991       13.75%
               1990        9.20%
               1989       11.93%

        (1) As of September 30, 1999, the end of the most recent calendar
            quarter, Intermediate-Term Treasury's year-to-date return was
            -1.39%.


Intermediate-Term Treasury                    American Century Investments


    The highest and lowest quarterly returns for the period reflected in the bar
    chart are:

                                 Highest                 Lowest
Intermediate-Term Treasury    6.67% (2Q 1989)       -2.04% (1Q 1994)

      The following table shows the average annual total returns of the fund's
Investor Class shares for the periods indicated. The Salomon 3- to 10-Year
Treasury Index, an unmanaged index that reflects no operating costs, is included
as a benchmark for performance comparisons. For current performance information,
including yields, please call us or access our Web site.

<TABLE>
                                           1 YEAR      5 YEARS    10 YEARS    LIFE OF FUND(1)
AVERAGE ANNUAL TOTAL RETURNS (PERIOD ENDED SEPTEMBER 30, 1999)
<S>                                         <C>         <C>         <C>            <C>
    Intermediate-Term Treasury             -1.92%       6.55%       7.09%          8.42%
    Salomon 3- to 10-Year Treasury Index   -1.53%       7.21%       7.59%          9.41%(2)
</TABLE>

        (1) The inception date for Intermediate-Term Treasury is May 16, 1980.

        (2) Since May 31, 1980, the date nearest the fund's inception for which
            data are available.

4. WHAT ARE THE FUND'S FEES AND EXPENSES?

    There are no sales loads, fees or other charges

    * to buy fund shares directly from American Century

    * to reinvest dividends in additional shares

    * to exchange into the Investor Class shares of other American Century fund

    * to redeem your shares

    The following table describes the fees and expenses that you will pay if you
    buy and hold shares of the fund.

     ANNUAL FUND OPERATING EXPENSES
     (EXPENSES THAT ARE DEDUCTED FROM FUND ASSETS)
         Management Fee                             0.51%(1)
         Distribution and Service (12b-1) Fees      None
         Other Expenses                             0.00%(2)
         Total Annual Fund Operating Expenses       0.51%

        (1) Based on expenses incurred during the fund's most recent fiscal
            year. The fund has a stepped fee schedule. As a result, the
            management fee rate generally decreases as fund assets increase.

        (2) Other expenses, which include the fees and expenses of the fund's
            independent directors, their legal counsel and interest, were less
            than 0.005% for the current fiscal year.

           EXAMPLE
             Assuming you . . .
             * invest $10,000 in the fund
             * redeem all of your shares at the end of the periods shown below
             * earn a 5% return each year
             * incur the same operating expenses as shown above
             . . . your cost of investing in the fund would be:

                            1 year       3 years       5 years       10 years
                              $52          $164          $285           $640

            Of course, actual costs may be higher or lower. Use this example to
            compare the costs of investing in other funds.



5. WHO ARE THE FUND'S INVESTMENT ADVISOR AND PORTFOLIO MANAGERS?

    American Century Investment Management, Inc. provides investment advisory
    and management services for the fund. American Century uses teams of
    portfolio managers, assistant portfolio managers and analysts working
    together to manage its mutual funds. Identified below is the portfolio
    manager who leads the team that manages Intermediate-Term Treasury:

    ROBERT GAHAGAN, Vice President and Portfolio Manager, has been a member of
    the team that manages Intermediate-Term Treasury since January 1998. He
    joined American Century in 1983. He has a bachelor's degree in economics and
    an MBA from the University of Missouri-Kansas City.

6. HOW DO I BUY FUND SHARES?

    American Century offers several ways to purchase shares

    * Complete and return an application along with an investment check payable
    to American Century Investments

    * If you already have an American Century account, call us or access our Web
    site to exchange shares from another American Century fund

    * Call us and send your investment by bank wire transfer

    Your initial investment must be at least $2,500 ($1,000 for traditional and
    Roth IRAs). If your redemption activity causes the value of your account to
    fall below this account minimum, your shares may be redeemed involuntarily.


Intermediate-Term Treasury                                     Fund Profile


7. HOW DO I SELL FUND SHARES?

    You may sell all or part of your fund shares on any business day by writing
    or calling us. You also may exchange your shares in Intermediate-Term
    Treasury for shares in nearly 70 other mutual funds offered by American
    Century. Depending on the options you select when you open your account,
    some restrictions may apply. For your protection, some redemption requests
    require a signature guarantee.

8. HOW ARE FUND DISTRIBUTIONS MADE AND TAXED?

    Intermediate-Term Treasury pays distributions of substantially all of its
    income monthly. Distributions may be taxable as ordinary income, capital
    gains or a combination of the two. Capital gains are taxed at different
    rates depending on the length of time the fund held the securities that were
    sold. Distributions are reinvested automatically in additional shares unless
    you choose another option.

    Distributions will generally be exempt from most state income taxes. Consult
    your tax advisor to see if the fund's income is exempt in your state.

9. WHAT SERVICES ARE AVAILABLE?

    American Century offers several ways to make it easier for you to manage
    your account, such as

    * telephone transactions
    * wire and electronic funds transfers
    * 24-hour Automated Information Line transactions
    * 24-hour online Internet account access and transactions

    You will find more information about these choices in Your Guide to American
    Century Services, which you may request by calling us, accessing our Web
    site or visiting one of our Investor Centers.

    Information contained in the services guide pertains to shareholders who
    invest directly with American Century rather than through an
    employer-sponsored retirement plan or financial intermediary.

    If you own or are considering purchasing fund shares through an
    employer-sponsored retirement plan or financial intermediary, your ability
    to purchase shares of the fund, exchange them for shares of other American
    Century funds, and redeem them will depend on the terms of your plan or
    financial intermediary. If you have questions about investing in an
    employer-sponsored retirement plan or through a financial intermediary, call
    a Service Representative at 1-800-345-3533.

- --------------------------------------------------------------------------------
[american century logo (reg.sm)]
American
Century

AMERICAN CENTURY INVESTMENTS
P.O. BOX 419200
KANSAS CITY, MISSOURI 64141-6200

INVESTOR RELATIONS
1-800-345-2021 or 816-531-5575

AUTOMATED INFORMATION LINE
1-800-345-8765

FAX   816-340-7962

TELECOMMUNICATIONS DEVICE FOR THE DEAF
1-800-634-4113 or 816-444-3485

BUSINESS, NOT-FOR-PROFIT AND
EMPLOYER-SPONSORED RETIREMENT PLANS
1-800-345-353

Visit our Web site at   WWW.AMERICANCENTURY.COM    [link to web site with arrow]

SH-PRF-17907   9910                                   Funds Distributor, Inc.
<PAGE>
[front cover]

                                AMERICAN CENTURY

                                  Fund Profile

[american century logo (reg.sm)]
American
Century

                            Long-Term Treasury Fund

  This profile summarizes key information about the fund that is included in the
  fund's Prospectus. The fund's Prospectus includes additional information about
    the fund, including a more detailed description of the risks associated with
         investing in the fund, that you may want to consider before you invest.

  [photos of woman and girls blowing bubbles, men talking, woman at computer]

                                                               OCTOBER 25, 1999
                                                                  INVESTOR CLASS

   You may obtain the Prospectus and other information about the fund at no cost
  by calling us at 1-800-345-2021, accessing our Web site or visiting one of our
   Investor Centers. See the back cover for additional telephone numbers and our
                                                                        address.


LONG-TERM TREASURY FUND

1. WHAT IS THE FUND'S INVESTMENT OBJECTIVE?

    Long-Term Treasury seeks the highest level of current income exempt from
    state income tax.

2. WHAT IS THE FUND'S INVESTMENT STRATEGY?

    The fund managers buy long-term U.S. Treasury securities  guaranteed by the
    direct full faith and credit pledge of the  U.S. government.

    The fund managers also may buy long-term securities issued by the U.S.
    government, its agencies and instrumentalities. The U.S. government provides
    varying levels of financial support to these agencies and instrumentalities.
    The fund managers may invest up to 35% of the fund's total assets in agency
    securities.

    The fund managers may purchase securities in a number of different ways to
    seek higher rates of return. For example, by using when-issued and forward
    commitment transactions, the fund managers may purchase securities in
    advance to generate additional income.

    The weighted average maturity of the fund is expected to be between 10 and
    30 years.

    Additional information about Long-Term Treasury's investments is available
    in its annual and semiannual reports. In these reports you will find a
    discussion of the market conditions and investment strategies that
    significantly affected the fund's performance during the most recent fiscal
    period. You may get these reports at no cost by calling us.

3. WHAT ARE THE SIGNIFICANT RISKS OF INVESTING IN THE FUND?

    * Interest rate changes affect the fund's share value. Generally, when
    interest rates rise, the fund's share value will decline. The opposite is
    true when interest rates decline. This interest rate risk is higher for
    Long-Term Treasury than for funds that have shorter weighted average
    maturities, such as money market, short-term and intermediate-term bond
    funds.

    * As with all funds, your shares may be worth more or less at any given time
    than the price you paid for them. If you sell your shares when the value is
    less than the price you paid, you will lose money.

    * An investment in the fund is not a bank deposit, and it is not insured or
    guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other
    government agency.

    In summary, Long-Term Treasury is intended for investors who seek the
    highest level of current income exempt from state income tax and who are
    willing to accept the risks associated with the fund's investment strategy.

    FUND PERFORMANCE

    The following bar chart shows the actual performance of Long-Term Treasury's
    Investor Class shares for each calendar year since the fund's inception on
    September 8, 1992. The bar chart indicates the volatility of the fund's
    historical returns from year to year. The bar chart and the performance
    information below are not intended to indicate how the fund will perform in
    the future.

[data shown in bar chart]
     Calendar Year-By-Year Returns (1)
               1998      12.76%
               1997      14.76%
               1996      -1.36%
               1995      29.25%
               1994      -9.25%
               1993      17.64%

          (1) As of September 30, 1999, the end of the most recent calendar
          quarter, Long-Term Treasury's year-to-date return was -6.65%.


Long-Term Treasury                            American Century Investments


    The highest and lowest quarterly returns for the period reflected in the bar
    chart are:
                              Highest                 Lowest
    Long-Term Treasury        10.48% (2Q 1995)        -7.00% (1Q 1996)

    The following table shows the average annual total returns of the fund's
    Investor Class shares for the periods indicated. The Salomon Long-Term
    Treasury/Agency Index, an unmanaged index that reflects no operating costs,
    is included as a benchmark for performance comparisons. For current
    performance information, including yields, please call us or access our Web
    site.
                             1 YEAR      5 YEARS        LIFE OF FUND(1)
AVERAGE ANNUAL TOTAL RETURNS (PERIOD ENDED SEPTEMBER 30, 1999)
    Long-Term Treasury       -7.38%        9.38%            7.29%
    Salomon Long-Term
      Treasury/Agency Index  -7.73%        9.94%            8.14%(2)

        (1) The inception date for Long-Term Treasury is September 8, 1992.

        (2) Since September 30, 1992, the date nearest the fund's inception for
            which data are available.

4. WHAT ARE THE FUND'S FEES AND EXPENSES?

    There are no sales loads, fees or other charges

    * to buy fund shares directly from American Century

    * to reinvest dividends in additional shares

    * to exchange into the Investor Class shares of other American Century fund

    * to redeem your shares

    The following table describes the fees and expenses that you will pay if you
    buy and hold shares of the fund.


     ANNUAL FUND OPERATING EXPENSES
     (EXPENSES THAT ARE DEDUCTED FROM FUND ASSETS)
        Management Fee                              0.51%(1)
        Distribution and Service (12b-1) Fees       None
        Other Expenses                              0.00%(2)
        Total Annual Fund Operating Expenses        0.51%

        (1) Based on expenses incurred during the fund's most recent fiscal
            year. The fund has a stepped fee schedule. As a result, the fund's
            management fee rate generally decreases as fund assets increase.

        (2) Other expenses, which include the fees and expenses of the fund's
            independent trustees, their legal counsel and interest, are expected
            to be less than 0.005% for the current fiscal year.

           EXAMPLE
             Assuming you . . .
             * invest $10,000 in the fund
             * redeem all of your shares at the end of the periods shown below
             * earn a 5% return each year
             * incur the same operating expenses as shown above
             . . . your cost of investing in the fund would be:

                            1 year     3 years     5 years      10 years
                              $52        $163       $285          $640

            Of course, actual costs may be higher or lower. Use this example to
            compare the costs of investing in other funds.

5. WHO ARE THE FUND'S INVESTMENT ADVISOR AND PORTFOLIO MANAGERS?

    American Century Investment Management, Inc. provides investment advisory
    and management services for the fund. American Century uses teams of
    portfolio managers, assistant portfolio managers and analysts working
    together to manage its mutual funds. Identified below is the portfolio
    manager who leads the team that manages Long-Term Treasury:

    DAVID SCHROEDER, Vice President and Senior Portfolio Manager, has been a
    member of the team that manages Long-Term Treasury since September 1992. He
    joined American Century in 1990. He has a bachelor of arts from Pomona
    College.

6. HOW DO I BUY FUND SHARES?

    American Century offers several ways to purchase shares

    * Complete and return an application along with an investment check payable
    to American Century Investments

    * If you already have an American Century account, call us or access our Web
    site to exchange shares from another American Century fund

    * Call us and send your investment by bank wire transfer

    Your initial investment must be at least $2,500 ($1,000 for traditional and
    Roth IRAs). If your redemption activity causes the value of your account to
    fall below this account minimum, your shares may be redeemed involuntarily.


Long-Term Treasury                                             Fund Profile


7. HOW DO I SELL FUND SHARES?

    You may sell all or part of your fund shares on any business day by writing
    or calling us. You also may exchange your shares in Long-Term Treasury for
    shares in nearly 70 other mutual funds offered by American Century.
    Depending on the options you select when you open your account, some
    restrictions may apply. For your protection, some redemption requests
    require a signature guarantee.

8. HOW ARE FUND DISTRIBUTIONS MADE AND TAXED?

    Long-Term Treasury pays distributions of substantially all of its income
    monthly. Distributions may be taxable as ordinary income, capital gains or a
    combination of the two. Capital gains are taxed at different rates depending
    on the length of time the fund held the securities that were sold.
    Distributions are reinvested automatically in additional shares unless you
    choose another option.

    Distributions will generally be exempt from most state income taxes. Consult
    your tax advisor to see if the fund's income is exempt in your state.

9. WHAT SERVICES ARE AVAILABLE?

    American Century offers several ways to make it easier  for you to manage
    your account, such as

    * telephone transactions
    * wire and electronic funds transfers
    * 24-hour Automated Information Line transactions
    * 24-hour online Internet account access and transactions

    You will find more information about these choices in Your Guide to American
    Century Services, which you may request by calling us, accessing our Web
    site or visiting one of our Investor Centers.

    Information contained in the services guide pertains to shareholders who
    invest directly with American Century rather than through an
    employer-sponsored retirement plan or financial intermediary.

    If you own or are considering purchasing fund shares through an
    employer-sponsored retirement plan or financial intermediary, your ability
    to purchase shares of the fund, exchange them for shares of other American
    Century funds, and redeem them will depend on the terms of your plan or
    financial intermediary. If you have questions about investing in an
    employer-sponsored retirement plan or through a financial intermediary, call
    a Service Representative at 1-800-345-3533.

AMERICAN CENTURY INVESTMENTS
P.O. BOX 419200
KANSAS CITY, MISSOURI 64141-6200

INVESTOR RELATIONS
1-800-345-2021 or 816-531-5575

AUTOMATED INFORMATION LINE
1-800-345-8765

FAX
816-340-7962

TELECOMMUNICATIONS DEVICE FOR THE DEAF
1-800-634-4113 or 816-444-3485

BUSINESS, NOT-FOR-PROFIT AND
EMPLOYER-SPONSORED RETIREMENT PLANS
1-800-345-353

Visit our Web site at   WWW.AMERICANCENTURY.COM    [link to web site with arrow]

SH-PRF-17908   9910                                   Funds Distributor, Inc.
<PAGE>
[front cover]

                                AMERICAN CENTURY

                                  Fund Profile

[american century logo (reg.sm)]
American
Century

                           Short-Term Government Fund

  This profile summarizes key information about the fund that is included in the
  fund's Prospectus. The fund's Prospectus includes additional information about
    the fund, including a more detailed description of the risks associated with
         investing in the fund, that you may want to consider before you invest.

  [photos of woman and girls blowing bubbles, men talking, woman at computer]

                                                               OCTOBER 25, 1999
                                                                  INVESTOR CLASS

   You may obtain the Prospectus and other information about the fund at no cost
  by calling us at 1-800-345-2021, accessing our Web site or visiting one of our
   Investor Centers. See the back cover for additional telephone numbers and our
                                                                        address.


SHORT-TERM GOVERNMENT FUND

1. WHAT IS THE FUND'S INVESTMENT OBJECTIVE?

    Short-Term Government seeks high current income while maintaining safety of
    principal.

2. WHAT IS THE FUND'S INVESTMENT STRATEGY?

    The fund managers buy short-term securities issued by the U.S. government,
    its agencies and instrumentalities, including mortgage-backed securities.
    The U.S. government provides varying levels of financial support to these
    agencies and instrumentalities. The fund managers also may buy short-term
    U.S. Treasury securities guaranteed by the direct full faith and credit
    pledge of the U.S. government.

    The fund managers may purchase securities in a number of different ways to
    seek higher rates of return. For example, by using when-issued and forward
    commitment transactions, the fund managers may purchase securities in
    advance to generate additional income.

    The weighted average maturity of the fund is expected to be three years or
    less.

    Additional information about Short-Term Government's investments is
    available in its annual and semiannual reports. In these reports you will
    find a discussion of the market conditions and investment strategies that
    significantly affected the fund's performance during the most recent fiscal
    period. You may get these reports at no cost by calling us.

3. WHAT ARE THE SIGNIFICANT RISKS OF INVESTING IN THE FUND?

    * Interest rate changes affect the fund's share value. Generally, when
    interest rates rise, the fund's share value will decline. The opposite is
    true when interest rates decline. This interest rate risk is higher for
    Short-Term Government than for funds that have shorter weighted average
    maturities, such as money market funds.

    * Short-Term Government invests in mortgage-backed securities. When
    homeowners refinance their mortgages to take advantage of declining interest
    rates, their existing mortgages are prepaid. The mortgages, which back the
    securities purchased by Short-Term Government, may be prepaid in this
    fashion. Because of this "prepayment risk," the fund may benefit less from
    declining interest rates than other short-term funds.

    * As with all funds, your shares may be worth more or less at any given time
    than the price you paid for them. If you sell your shares when the value is
    less than the price you paid, you will lose money.

    * An investment in the fund is not a bank deposit, and it is not insured or
    guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other
    government agency.

    In summary, Short-Term Government is intended for investors who seek high
    current income that is consistent with investment in securities issued by
    the U.S. government and its agencies and who are willing to accept the risks
    associated with the fund's investment strategy.

    FUND PERFORMANCE

    The following bar chart shows the actual performance of Short-Term
    Government's Investor Class shares for each of the last 10 calendar years.
    The bar chart indicates the volatility of the fund's historical returns from
    year to year. The bar chart and the performance information below are not
    intended to indicate how the fund will perform in the future.

[data shown in bar chart]
    Calendar Year-By-Year Returns (1)
              1998      6.04%
              1997      6.02%
              1996      4.11%
              1995      10.51%
              1994      -0.49%
              1993      4.17%
              1992      4.39%
              1991      11.64%
              1990      7.53%
              1989      9.99%


        (1) As of September 30, 1999, the end of the most recent calendar
            quarter, Short-Term Government's year-to-date return was 1.22%.


Short-Term Government                         American Century Investments


    The highest and lowest quarterly returns for the period reflected in the bar
    chart are:

                                Highest                 Lowest
    Short-Term Government       5.13% (2Q 1989)         -1.03% (1Q 1994)

    The following table shows the average annual total returns of the fund's
    Investor Class shares for the periods indicated. The Salomon 1- to 3-Year
    Treasury/Agency Index, an unmanaged index that reflects no operating costs,
    is included as a benchmark for performance comparisons. For current
    performance information, including yields, please call us or access our Web
    site.

<TABLE>
                                   1 YEAR     5 YEARS     10 YEARS     LIFE OF FUND(1)
AVERAGE ANNUAL TOTAL RETURNS (PERIOD ENDED SEPTEMBER 30, 1999)
<S>                                 <C>        <C>          <C>            <C>
         Short-Term Government      1.67%      5.53%        5.73%          6.90%
         Salomon 1- to 3-Year
            Treasury/Index          3.25%      6.35%        6.80%         8.03%(2)
</TABLE>

        (1) The inception date for Short-Term Government is December 15, 1982.

        (2) Since December 31, 1982, the date nearest the fund's inception for
            which data are available.

4. WHAT ARE THE FUND'S FEES AND EXPENSES?

    There are no sales loads, fees or other charges

    * to buy fund shares directly from American Century

    * to reinvest dividends in additional shares

    * to exchange into the Investor Class shares of other American Century fund

    * to redeem your shares

    The following table describes the fees and expenses that you will pay if you
    buy and hold shares of the fund.

     ANNUAL FUND OPERATING EXPENSES
      (EXPENSES THAT ARE DEDUCTED FROM FUND ASSETS)
        Management Fee                         0.59%(1)
        Distribution and Service (12b-1) Fees  None
        Other Expenses                         0.00%(2)
        Total Annual Fund Operating Expenses   0.59%

        (1) Based on expenses incurred during the fund's most recent fiscal
            year. The fund has a stepped fee schedule. As a result, the fund's
            management fee rate generally decreases as fund assets increase.

        (2) Other expenses, which include the fees and expenses of the fund's
            independent directors, their legal counsel and interest, are
            expected to be less than 0.005% for the current fiscal year.

           EXAMPLE
             Assuming you . . .
             * invest $10,000 in the fund
             * redeem all of your shares at the end of the periods shown below
             * earn a 5% return each year
             * incur the same operating expenses as shown above
              . . . your cost of investing in the fund would be:

                         1 year       3 years      5 years     10 years
                          $60          $189         $329         $736

            Of course, actual costs may be higher or lower. Use this example to
            compare the costs of investing in other funds.

5. WHO ARE THE FUND'S INVESTMENT ADVISOR AND PORTFOLIO MANAGERS?

    American Century Investment Management, Inc. provides investment advisory
    and management services for the fund. American Century uses teams of
    portfolio managers, assistant portfolio managers and analysts working
    together to manage its mutual funds. Identified below is the portfolio
    manager who leads the team that manages Short-Term Government:

    NEWLIN RANKIN, Senior Portfolio Manager, has been a member of the team that
    manages Short-Term Government since January 1995. He joined American Century
    in 1994. He has a bachelor's degree in decision science and an MBA in
    international finance from the University of San Francisco.

6. HOW DO I BUY FUND SHARES?

    American Century offers several ways to purchase shares

    * Complete and return an application along with an investment check payable
    to American Century Investments

    * If you already have an American Century account, call us or access our Web
    site to exchange shares from another American Century fund

    * Call us and send your investment by bank wire transfer

    Your initial investment must be at least $2,500 ($1,000 for traditional and
    Roth IRAs). If your redemption activity causes the value of your account to
    fall below this account minimum, your shares may be redeemed involuntarily.


Short-Term Government                                          Fund Profile


7. HOW DO I SELL FUND SHARES?

    You may sell all or part of your fund shares on any business day by writing
    or calling us. You also may exchange your shares in Short-Term Government
    for shares in nearly 70 other mutual funds offered by American Century.
    Depending on the options you select when you open your account, some
    restrictions may apply. For your protection, some redemption requests
    require a signature guarantee.

8. HOW ARE FUND DISTRIBUTIONS MADE AND TAXED?

    Short-Term Government pays distributions of substantially all of its income
    monthly. Distributions may be taxable as ordinary income, capital gains, or
    a combination of the two. Capital gains are taxed at different rates
    depending on the length of time the fund held the securities that were sold.
    Distributions are reinvested automatically in additional shares unless you
    choose another option.


9. WHAT SERVICES ARE AVAILABLE?

    American Century offers several ways to make it easier  for you to manage
    your account, such as

    * telephone transactions
    * wire and electronic funds transfers
    * 24-hour Automated Information Line transactions
    * 24-hour online Internet account access and transactions

    You will find more information about these choices in Your Guide to American
    Century Services, which you may request by calling us, accessing our Web
    site or visiting one of our Investor Centers.

    Information contained in the services guide pertains to shareholders who
    invest directly with American Century rather than through an
    employer-sponsored retirement plan or financial intermediary.

    If you own or are considering purchasing fund shares through an
    employer-sponsored retirement plan or financial intermediary, your ability
    to purchase shares of the fund, exchange them for shares of other American
    Century funds, and redeem them will depend on the terms of your plan or
    financial intermediary. If you have questions about investing in an
    employer-sponsored retirement plan or through a financial intermediary, call
    a Service Representative at 1-800-345-3533.

- --------------------------------------------------------------------------------
[american century logo (reg.sm)]
American
Century

AMERICAN CENTURY INVESTMENTS
P.O. BOX 419200
KANSAS CITY, MISSOURI 64141-6200

INVESTOR RELATIONS
1-800-345-2021 or 816-531-5575

AUTOMATED INFORMATION LINE
1-800-345-8765

FAX
816-340-7962

TELECOMMUNICATIONS DEVICE FOR THE DEAF
1-800-634-4113 or 816-444-3485

BUSINESS, NOT-FOR-PROFIT AND
EMPLOYER-SPONSORED RETIREMENT PLANS
1-800-345-353

Visit our Web site at   WWW.AMERICANCENTURY.COM    [link to web site with arrow]

SH-PRF-17909   9910                                   Funds Distributor, Inc.
<PAGE>
[front cover]

                                AMERICAN CENTURY

                                  Fund Profile

[american century logo (reg.sm)]
American
Century

                        Inflation-Adjusted Treasury Fund

  This profile summarizes key information about the fund that is included in the
  fund's Prospectus. The fund's Prospectus includes additional information about
    the fund, including a more detailed description of the risks associated with
         investing in the fund, that you may want to consider before you invest.

  [photos of woman and girls blowing bubbles, men talking, woman at computer]

                                                               OCTOBER 25, 1999
                                                                  INVESTOR CLASS

   You may obtain the Prospectus and other information about the fund at no cost
  by calling us at 1-800-345-2021, accessing our Web site or visiting one of our
   Investor Centers. See the back cover for additional telephone numbers and our
                                                                        address.


INFLATION-ADJUSTED TREASURY FUND

1. WHAT IS THE FUND'S INVESTMENT OBJECTIVE?

    Inflation-Adjusted Treasury seeks total return and inflation protection
    consistent with investment in U.S. Treasury inflation-adjusted securities.

2. WHAT IS THE FUND'S INVESTMENT STRATEGY?

    The fund managers buy inflation-indexed U.S. Treasury securities guaranteed
    primarily by the direct full faith and credit pledge of the U.S. government.
    These inflation-indexed securities are designed to protect the future
    purchasing power of the money invested in them.

    The fund managers also may buy traditional U.S. Treasury securities that are
    not inflation-indexed. The fund managers also may buy inflation-indexed
    securities issued by U.S. government agencies and government-sponsored
    organizations.

    The fund managers may purchase securities in a number of different ways to
    seek higher rates of return. For example, by using when-issued and forward
    commitment transactions, the fund managers may purchase securities in
    advance to generate additional income.

    Additional information about Inflation-Adjusted Treasury's investments is
    available in its annual and semiannual reports. In these reports you will
    find a discussion of the market conditions and investment strategies that
    significantly affected the fund's performance during the most recent fiscal
    period. You may get these reports at no cost by calling us.

3. WHAT ARE THE SIGNIFICANT RISKS OF INVESTING IN THE FUND?

    * Inflation-indexed securities are designed to offer a return linked to
    inflation, which protects future purchasing power from the effects of
    inflation. Inflation-indexed securities may not trade at their face value.
    Inflation-indexed securities trade at prevailing real, or after inflation,
    interest rates. Changes in real interest rates affect the fund's share
    value.

    * As with all funds, your shares may be worth more or less at any given time
    than the price you paid for them. If you sell your shares when the value is
    less than the price you paid, you will lose money.

    * An investment in the fund is not a bank deposit, and it is not insured or
    guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other
    government agency.

    In summary, Inflation-Adjusted Treasury is intended for investors who seek
    total return that is consistent with investment in U.S. Treasury
    inflation-indexed securities and who are willing to accept the risks
    associated with the fund's investment strategy.

    FUND PERFORMANCE

    The following bar chart shows the actual performance of Inflation-Adjusted
    Treasury's Investor Class shares for each calendar year since the fund's
    inception on February 10, 1997. The bar chart indicates the volatility of
    the fund's historical returns from year to year. The bar chart and the
    performance information below are not intended to indicate how the fund will
    perform in the future.

[data shown in bar chart]
     Calendar Year-By-Year Returns (1)
              1998      3.45%

        (1) As of September 30, 1999, the end of the most recent calendar
            quarter, Inflation-Adjusted Treasury's year-to-date return was
            1.87%.

    The highest and lowest quarterly returns for the period reflected in the bar
    chart are:

                                  Highest               Lowest
    Inflation-Adjusted Treasury   2.27% (3Q 1998)       -0.37% (4Q 1998)

    The following table shows the average annual total returns of the fund's
    Investor Class shares for the periods indicated. The Salomon 10+ Years
    Treasury Index and the Salomon U.S. Inflation-Linked Index, unmanaged
    indices that reflect no operating costs, are included as benchmarks for
    performance comparisons. For current performance information, including
    yields, please call us or access our Web site.


Inflation-Adjusted Treasury                   American Century Investments


                                                 1 YEAR        LIFE OF FUND(1)

     AVERAGE ANNUAL TOTAL RETURNS (PERIOD ENDED SEPTEMBER 30, 1999)
        Inflation-Adjusted Treasury               1.50%         2.40%
        Salomon U.S. Inflation-Linked Index       1.86%         3.28%(2)
        Salomon 10+ Years Treasury Index         -7.68%         8.23%(2)

        (1) The inception date for Inflation-Adjusted Treasury is February 10,
            1997.

        (2) Since February 28, 1997, the date nearest the fund's inception for
            which data are available.

4. WHAT ARE THE FUND'S FEES AND EXPENSES?

    There are no sales loads, fees or other charges

    * to buy fund shares directly from American Century

    * to reinvest dividends in additional shares

    * to exchange into the Investor Class shares of other American Century fund

    * to redeem your shares

    The following table describes the fees and expenses that you will pay if you
    buy and hold shares of the fund.

     ANNUAL FUND OPERATING EXPENSES
     (EXPENSES THAT ARE DEDUCTED FROM FUND ASSETS)
         Management Fee                               0.51%(1)
         Distribution and Service (12b-1) Fees        None
         Other Expenses                               0.00%(2)
         Total Annual Fund Operating Expenses         0.51%

        (1) Based on expenses incurred during the fund's most recent fiscal
            year. The fund has a stepped fee schedule. As a result, the fund's
            management fee rate generally decreases as fund assets increase.

        (2) Other expenses, which include the fees and expenses of the fund's
            independent trustees, their legal counsel and interest, are expected
            to be less than 0.005% for the current fiscal year.

           EXAMPLE
             Assuming you . . .
             * invest $10,000 in the fund
             * redeem all of your shares at the end of the periods shown below
             * earn a 5% return each year
             * incur the same operating expenses as shown above
             . . . your cost of investing in the fund would be:

                       1 year          3 years        5 years          10 years
                        $52             $163           $285              $640

            Of course, actual costs may be higher or lower. Use this example to
            compare the costs of investing in other funds.


5. WHO ARE THE FUND'S INVESTMENT ADVISOR AND PORTFOLIO MANAGERS?

    American Century Investment Management, Inc. provides investment advisory
    and management services for the fund. American Century uses teams of
    portfolio managers, assistant portfolio managers and analysts working
    together to manage its mutual funds. Identified below is the portfolio
    manager who leads the team that manages Inflation-Adjusted Treasury:

    DAVID SCHROEDER, Vice President and Senior Portfolio Manager, has been a
    member of the team that manages Inflation-Adjusted Treasury since its
    inception in February 1997. He joined American Century in 1990. He has a
    bachelor of arts from Pomona College.

6. HOW DO I BUY FUND SHARES?

    American Century offers several ways to purchase shares

    * Complete and return an application along with an investment check payable
    to American Century Investments

    * If you already have an American Century account, call us or access our Web
    site to exchange shares from another American Century fund

    * Call us and send your investment by bank wire transfer

    Your initial investment must be at least $2,500 ($1,000 for traditional and
    Roth IRAs). If your redemption activity causes the value of your account to
    fall below this account minimum, your shares may be redeemed involuntarily.


Inflation-Adjusted Treasury                                    Fund Profile


7. HOW DO I SELL FUND SHARES?

    You may sell all or part of your fund shares on any business day by writing
    or calling us. You also may exchange your shares in Inflation-Adjusted
    Treasury for shares in nearly 70 other mutual funds offered by American
    Century. Depending on the options you select when you open your account,
    some restrictions may apply. For your protection, some redemption requests
    require a signature guarantee.

8. HOW ARE FUND DISTRIBUTIONS MADE AND TAXED?

    Inflation-Adjusted Treasury pays distributions of substantially all of its
    income, including "imputed income," monthly. Distributions may be taxable as
    ordinary income, capital gains or a combination of the two. Capital gains
    are taxed at different rates depending on the length of time the fund held
    the securities that were sold. Distributions are reinvested automatically in
    additional shares unless you choose another option.

    Distributions will generally be exempt from most state income taxes. Consult
    your tax advisor to see if the fund's income is exempt in your state.

9. WHAT SERVICES ARE AVAILABLE?

    American Century offers several ways to make it easier for you to manage
    your account, such as

    * telephone transactions
    * wire and electronic funds transfers
    * 24-hour Automated Information Line transactions
    * 24-hour online Internet account access and transactions

    You will find more information about these choices in Your Guide to American
    Century Services, which you may request by calling us, accessing our Web
    site or visiting one of our Investor Centers.

    Information contained in the services guide pertains to shareholders who
    invest directly with American Century rather than through an
    employer-sponsored retirement plan or financial intermediary.

    If you own or are considering purchasing fund shares through an
    employer-sponsored retirement plan or financial intermediary, your ability
    to purchase shares of the fund, exchange them for shares of other American
    Century funds and redeem them will depend on the terms of your plan or
    financial intermediary. If you have questions about investing in an
    employer-sponsored retirement plan or through a financial intermediary, call
    a Service Representative at 1-800-345-3533.

- --------------------------------------------------------------------------------
[american century logo (reg.sm)]
American
Century

AMERICAN CENTURY INVESTMENTS
P.O. BOX 419200
KANSAS CITY, MISSOURI 64141-6200

INVESTOR RELATIONS
1-800-345-2021 or 816-531-5575

AUTOMATED INFORMATION LINE
1-800-345-8765

FAX
816-340-7962

TELECOMMUNICATIONS DEVICE FOR THE DEAF
1-800-634-4113 or 816-444-3485

BUSINESS, NOT-FOR-PROFIT AND
EMPLOYER-SPONSORED RETIREMENT PLANS
1-800-345-353

Visit our Web site at   WWW.AMERICANCENTURY.COM    [link to web site with arrow]

SH-PRF-17910   9910                                   Funds Distributor, Inc.


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