NATIONWIDE INVESTING FOUNDATION II
497, 1996-08-23
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<PAGE>   1
                       SUPPLEMENT DATED AUGUST 23, 1996
                      PROSPECTUS DATED FEBRUARY 29, 1996
                                      
                          NATIONWIDE(R) FAMILY FUNDS
                                      
                       NATIONWIDE INVESTING FOUNDATION
                       -------------------------------
                          NATIONWIDE(R) GROWTH FUND
                              NATIONWIDE(R) FUND
                           NATIONWIDE(R) BOND FUND
                       NATIONWIDE(R) MONEY MARKET FUND
                                      
                      NATIONWIDE INVESTING FOUNDATION II
                      ----------------------------------
                      NATIONWIDE(R) TAX-FREE INCOME FUND
                  NATIONWIDE(R) U.S. GOVERNMENT INCOME FUND
                                      

This Supplement updates certain information contained in your Prospectus.

The following is hereby added to the cover page of the Prospectus.


Mutual funds, which are offered by Nationwide Financial Services,

- -    are not federally insured;

- -    are not obligations of the Nationwide Federal Credit Union;

- -    are not guaranteed by the Nationwide Federal Credit Union or any entity
     affiliated with the Nationwide Federal Credit Union; and

- -    involve investment risk, including the possible loss of principal.










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