PIMCO FUNDS
497, 1997-08-20
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                                   PIMCO Funds
                      Pacific Investment Management Series
                 Institutional and Administrative Share Classes

                       Supplement dated August 20, 1997 to
                         Prospectus dated July 15, 1997



     Effective  July 31, 1997  (commencement  of  operations),  Pasi  Hamalainen
serves as portfolio manager of the PIMCO Total Return Mortgage Fund.

     Investors  should retain this  Supplement  with the  Prospectus  for future
reference.






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