NORWEST ADVANTAGE FUNDS
SUPPLEMENT DATED APRIL 23, 1999
TO CURRENT PROSPECTUS
This Supplement addresses the following matters:
o The reorganization of the Norwest Advantage Funds into new funds of Wells
Fargo Funds Trust as part of the combination of the Stagecoach and Norwest
Advantage fund families;
o Changes to the funds' sales charge structure and enhancements to sales
charge reduction programs; and
o Changes to the way you purchase, redeem and exchange fund shares.
FUND REORGANIZATIONS
On March 25, 1999, the Board of Trustees of Norwest Advantage Funds
approved the reorganization of each Norwest Advantage Fund into a new
portfolio of Wells Fargo Funds Trust. The reorganizations are part of a
plan to consolidate the Stagecoach and Norwest Advantage fund families
following last November's merger of Wells Fargo & Company and Norwest
Corporation. Norwest Advantage Funds will present each proposed fund
reorganization to the fund's shareholders for their approval at a special
shareholders' meeting that is planned for August 1999.
If shareholders approve the reorganizations, each Norwest Advantage Fund
will reorganize into a corresponding Wells Fargo Funds Trust portfolio
that has substantially similar investment objectives and, except as noted
below, investment policies. In general, the Wells Fargo Funds Trust
portfolios will not combine with other funds of the Stagecoach or Norwest
Advantage fund families.
The reorganizations contemplate, however, that each of the following
Norwest Advantage Funds will reorganize into a portfolio of Wells Fargo
Funds Trust that may have somewhat different investment policies from
those of the fund and may combine with other Stagecoach or Norwest
Advantage funds:
Norwest Advantage Funds Wells Fargo Funds Trust
----------------------- -----------------------
Valugrowth Stock Fund Growth Fund
Small Company Stock Fund Small Cap Fund
Total Return Bond Fund Income Fund
Exchange Shares of Money Market Fund
Ready Cash Investment Fund
You may not purchase shares of the Wells Fargo Funds Trust portfolios
until after the reorganizations occur, but you currently may purchase
shares of substantially similar funds within the Stagecoach or Norwest
Advantage fund families.
You need not act with respect to the reorganizations at this time or make
any changes to your investments. Norwest Advantage Funds and Wells Fargo
Funds Trust will mail proxy materials to you in June if you are a
shareholder as of May 6, 1999. These materials will describe the
reorganizations in detail, including any effect on expense ratios. If you
buy fund shares after that date, you will not be entitled to vote those
shares on the fund's reorganization, but you may request a copy of the
proxy materials.
You should be aware that, for certain share classes of certain Funds,
expense ratio increases of up to 0.28% are contemplated. In other cases,
expense ratios are expected to remain unchanged. THE REORGANIZATIONS ARE
<PAGE>
EXPECTED TO BE TAX-FREE TRANSACTIONS. THE REORGANIZATIONS WILL NOT
TRIGGER ANY SALES CHARGES.
If you have any questions or, after early June, if you want to request
a copy of the proxy materials, you should call 1-800-394-0736.
CHANGES IN SALES CHARGES
Beginning May 17, 1999, the sales load structure for A Shares and B
Shares will change to the structure set forth below. This information
about the funds' sales charge structure replaces all corresponding
information about sales charges in your current Prospectus. The sales
load structure for A and B share classes of the Stable Income Fund will
not change. Please refer to a current copy of your Prospectus for
information on the load structures of this fund.
A SHARES*
BREAKPOINT LOAD
FIXED INCOME
AND TAX-FREE FIXED
EQUITY FUNDS INCOME FUNDS
less than $50,000 5.75% 4.50%
$50,000-99,999 4.75% 4.00%
$100,000-249,999 3.75% 3.50%
$250,000-499,999 2.75% 2.50%
$500,000-999,999 2.00% 2.00%
greater than $1,000,000 0.00% 0.00%
*If you redeem A Shares purchased without a sales charge within one year
of the date of purchase, the funds may impose a 1.00% charge. This charge
is based on the lower of the NAV of the shares redeemed on the date of
purchase or the date of redemption.
B SHARES
If you purchase B Shares of any fund after May 17, 1999, those shares
will not convert into A Shares until the beginning of the eighth year
after your purchase. You will pay a CDSC on these B Shares as follows if
you redeem them before they convert:
<TABLE>
<S> <C> <C> <C> <C> <C> <C> <C> <C>
------------------------------------------------------------------------------------------------------------------------
YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5 YEAR 6 YEAR 7
------------------ ------------ ------------- ------------- --------------- --------------- ------------- --------------
CDSC 5% 4% 3% 3% 2% 1% 0%
------------------------------------------------------------------------------------------------------------------------
</TABLE>
EXCHANGES
Beginning May 17, 1999, if you exchange A Shares of a fund for A Shares
of another fund with a higher sales load, you will not be required to pay
the difference in the sales load.
SALES CHARGE REDUCTION PROGRAM ENHANCEMENTS:
A SHARES
Beginning May 17, 1999, if you purchase A Shares of a Norwest Advantage
Fund, that purchase may count towards reductions of sales charges for
purchases of Class A shares of funds in the Stagecoach fund family.
Currently, through Rights of Accumulation, you may reduce the sales
charges you pay on A Shares of Norwest Advantage Funds by accumulating
purchases of different Norwest Advantage Funds to reach one of the
breakpoints listed in this Supplement. You also may pay a lower sales
charge by signing a Statement of Intention to invest a specific amount
over a certain period of time. Beginning May 17, 1999, you may use your
Norwest Advantage Funds Right of Accumulation or Statement of Intention
to accumulate purchases of different Norwest Advantage Funds AND
STAGECOACH FUNDS to reach a breakpoint in the sales charges for A Shares.
<PAGE>
B SHARES
Beginning May 17, 1999, a fund will not charge any CDSC for your
withdrawal of B Shares under an Automatic Withdrawal Plan, provided that
your aggregate withdrawal of the fund's shares under the Plan does not
exceed 10% annually of your B Shares shareholdings of the fund, based on
the anniversary date of the Plan.
CHANGES TO PURCHASES, REDEMPTIONS AND EXCHANGES OF FUND SHARES
After May 17, 1999, you should use the following new addresses when
mailing or wiring funds to your Norwest Advantage Funds account or
sending written requests to the transfer agent:
BY REGULAR MAIL: Norwest Advantage Funds
P.O. Box 8265
Boston, MA 02266-8265
BY OVERNIGHT MAIL ONLY TO: Norwest Advantage Funds
Attn: CCSU
Boston Financial
66 Brooks Drive
Braintree, MA 02184
BY WIRE TO: State Street Bank & Trust
Boston, MA
ABA 011000028
FNF: (Norwest Advantage Fund name]
AC: 9905-434-8
For Further Credit: _____________
(Name on Norwest Advantage Fund Account
and Fund Account Number)
You should use these addresses instead of those currently set forth in
the section of your current Prospectus describing how to buy and sell
fund shares. All other information in that section remains unchanged.
YOUR CURRENT SHAREHOLDER SERVICES TELEPHONE NUMBER WILL REMAIN THE SAME.
FOR INFORMATION ON YOUR ACCOUNT, YOU SHOULD CONTINUE TO CALL
1-612-667-8833 (MINNEAPOLIS/ST. PAUL) OR 1-800-338-1348 (ELSEWHERE) AND
PRESS OPTION 3.
