<PAGE>
PAINEWEBBER GLOBAL ENERGY FUND
PAINEWEBBER EUROPE GROWTH FUND
PAINEWEBBER GLOBAL GROWTH AND INCOME FUND
SUPPLEMENT TO PROSPECTUS DATED MARCH 1, 1995
THIS SUPPLEMENT SUPERSEDES AND REPLACES THE PRIOR SUPPLEMENT DATED
JUNE 21, 1995
THE FOLLOWING INFORMATION SUPPLEMENTS THE INFORMATION FOR PAINEWEBBER EUROPE
GROWTH FUND AND PAINEWEBBER GLOBAL GROWTH AND INCOME FUND:
The shareholders of PaineWebber Europe Growth Fund and PaineWebber
Global Growth and Income Fund (each a "Fund," collectively the "Funds") have
approved a Plan of Reorganization and Termination ("Reorganization") pursuant to
which all of the Funds' assets will be acquired and their liabilities assumed by
Mitchell Hutchins/Kidder, Peabody Global Equity Fund ("MH/KP Global Equity
Fund") in a tax-free reorganization. As a result of the Reorganization, the
Funds' assets will be combined with those of MH/KP Global Equity Fund, and each
Fund's shareholders will, on the closing date of the transaction (currently
anticipated to be on or around August 25, 1995), receive a number of full and
fractional shares of the corresponding Class of shares of MH/KP Global Equity
Fund having an aggregate value equal with those of MH/KP Global Equity Fund to
the value of the shareholders' holdings in the Funds.
In addition, each Fund's shareholders approved a new sub-advisory
agreement with GE Investment Management Incorporated for each Fund.
Sales of the Funds' shares have ceased; shares are no longer available
for purchase or exchange. Redemptions of Fund shares and exchanges of Fund
shares for shares of another PaineWebber or Mitchell Hutchins/Kidder, Peabody
mutual fund ("exchange redemptions") may be effected through the closing date of
the Reorganization. The $5.00 service fee on exchanges will be waived on all
exchange redemptions.
THE FOLLOWING INFORMATION SUPPLEMENTS THE INFORMATION FOR PAINEWEBBER GLOBAL
ENERGY FUND:
The board of trustees of PaineWebber Investment Series ("Trust") has
approved a Plan of Reorganization and Termination ("Reorganization") for
submission to the shareholders of PaineWebber Global Energy Fund (the "Fund"), a
series of the Trust, at a special meeting to be held on October 6, 1995. If the
proposed Reorganization is approved and implemented, all of the Fund's assets
will be acquired and its liabilities assumed by PaineWebber Growth and Income
Fund ("PW Growth and Income Fund") in a tax-free reorganization. As a result of
the Reorganization, the two funds' assets would be combined and each Fund
shareholder would, on the closing date of the transaction, receive a number of
full and fractional shares of the corresponding Class of shares of PW Growth and
Income Fund having an aggregate value equal to the value of the shareholder's
holdings in the Fund.
The meeting of the Fund's shareholders to consider the proposed
Reorganization will be held on October 6, 1995. There can be no assurance that
the Fund's shareholders will
<PAGE>
approve the Reorganization. If the Reorganization is approved, sales of all
Classes of Fund shares will cease on October 6, 1995, so that Fund shares will
no longer be available for purchase or exchange starting on October 9, 1995,
through the closing date of the Reorganization. Redemptions of Fund shares and
exchanges of Fund shares for shares of another PaineWebber or Mitchell
Hutchins/Kidder, Peabody mutual fund ("exchange redemptions") may be effected
through the closing date of the Reorganization. The $5.00 service fee on
exchanges will be waived on all exchange redemptions.
THE FOLLOWING INFORMATION REVISES AND SUPPLEMENTS THE INFORMATION APPEARING
UNDER THE CAPTIONS "PURCHASE OF SHARES" AND "REDEMPTION OF SHARES" IN THE
PROSPECTUS:
PURCHASE OF SHARES--PURCHASE OF SHARES THROUGH PAINEWEBBER OR
CORRESPONDENT FIRMS. The time by which payment for shares purchased is due at
PaineWebber has changed due to the implementation of "T+3" settlement
procedures. Payment is due on the third Business Day after the order is
received in PaineWebber's New York City offices. A "Business Day" is any day on
which the New York Stock Exchange, Inc. ("NYSE") is open for business.
REDEMPTION OF SHARES--REDEMPTION OF SHARES THROUGH PAINEWEBBER OR
CORRESPONDENT FIRMS. The time by which redemption proceeds will be paid to the
redeeming shareholder has also changed due to the implementation of "T+3."
Repurchase proceeds will be paid within three Business Days after receipt of the
request. "Business Day" is defined above.
Dated: August 11, 1995
