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RULE 497(e):
File Nos. 33-1922; 811-4506
THE PASADENA GROUP OF MUTUAL FUNDS
THE PASADENA GLOBAL GROWTH FUND
THE PASADENA SMALL & MID-CAP GROWTH FUND
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SUPPLEMENT DATED JANUARY 1, 1997 TO
PROSPECTUS DATED SEPTEMBER 1, 1996
For a limited time, the minimum initial investment for shares of
each of The Pasadena Global Growth Fund and The Pasadena Small & Mid-Cap
Growth Fund has been reduced to $25 per account for those investors eligible
to purchase shares at net asset value (see "Alternative Purchase Arrangements
- -- Purchase of Shares"). This offer is expected to be open from January 1,
1997 through February 28, 1997, but may be revoked by The Pasadena Group of
Mutual Funds at any time.