IAI INVESTMENT FUNDS III INC
497J, 2000-03-01
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                       [DORSEY & WHITNEY LLP LETTERHEAD]

                              KATHLEEN L. PRUDHOMME
                                 (612) 343-7973
                               FAX (612) 340-8730
                        [email protected]

                                  March 1, 2000



Securities and Exchange Commission
450 Fifth Street N.W.
Washington, DC 20549



                  Re:      IAI Investment Funds III, Inc.
                           (File Nos. 33-10207, 811-4904)

Dear Sir or Madam:

                  Pursuant to Rule 497(j) under the Securities Act of 1933, as
amended, IAI Investment Funds III, Inc. ("Registrant"), certifies that:

                  1.       The form of Prospectus and Statement of Additional
                           Information that would have been filed under Rule
                           497(c) would not have differed from that contained in
                           the most recent amendment to Registant's registration
                           statement (Post-Effective Amendment No. 29 filed
                           March 1, 2000); and
                  2.       The text of the most recent amendment to the
                           registration statement has been filed electronically.

                                        Very truly yours,

                                        /s/ Kathleen L. Prudhomme

                                        Kathleen L. Prudhomme



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