Rule 497(e)
Registration No. 33-12738
FUNDAMENTAL FIXED INCOME FUND
FUNDAMENTAL U.S. GOVERNMENT STRATEGIC INCOME FUND
SUPPLEMENT DATED SEPTEMBER 11, 1997
TO
PROSPECTUS DATED APRIL 30, 1997
The following information supplements and supersedes any
contrary information contained in the Fund's Prospectus:
Fundamental Portfolio Advisors, Inc. (the "Manager") utilizes
an investment management committee to manage the assets of the Fund.
Until August 27, 1997, the committee was composed of the following
members: Christopher P. Culp, who also was affiliated with Tocqueville
Asset Management L.P., Vincent J. Malanga, a portfolio strategist
affiliated with the Manager, and Jane Tubis, a trading assistant
affiliated with the Manager. The current committee, following
Christopher P. Culp's removal, consists of Vincent J. Malanga and Jane
Tubis.
Christopher P. Culp, the former portfolio manager of another
fund in the Fundamental complex (the "Related Fund"), retained
Tocqueville Securities L.P. ("Tocqueville"), an affiliate of
Tocqueville Asset Management L.P., to effect certain portfolio purchase
transactions on behalf of the Related Fund. Questions were raised as to
whether commissions paid to Tocqueville were justified under the
circumstances and whether or not the Related Fund bore unnecessary
expenses as a result of certain sale and subsequent repurchase
transactions. At the directive of the Related Fund's Board, Tocqueville
agreed to pay $260,000 to the Related Fund.
It is anticipated that shareholders of the Fund will be asked
to consider and approve an Agreement and Plan of Reorganization
providing for the transfer of the Fund's assets to a separate,
newly-created Tocqueville Fund having the same investment policies and
objectives as those of the Fund at a special meeting of shareholders
scheduled to be held in the late Fall.
<PAGE>
Rule 497(e)
Registration No. 33-12738
FUNDAMENTAL FIXED INCOME FUND
TAX-FREE MONEY MARKET SERIES
SUPPLEMENT DATED SEPTEMBER 11, 1997
TO
PROSPECTUS DATED APRIL 30, 1997
The following information supplements and supersedes any
contrary information contained in the Fund's Prospectus:
Fundamental Portfolio Advisors, Inc. (the "Manager") utilizes
an investment management committee to manage the assets of the Fund.
Until August 27, 1997, the committee was composed of the following
members: Christopher P. Culp, who also was affiliated with Tocqueville
Asset Management L.P., Vincent J. Malanga, a portfolio strategist
affiliated with the Manager, and Jane Tubis, a trading assistant
affiliated with the Manager. The current committee, following
Christopher P. Culp's removal, consists of Vincent J. Malanga and Jane
Tubis.
Christopher P. Culp, the former portfolio manager of another
fund in the Fundamental complex (the "Related Fund"), retained
Tocqueville Securities L.P. ("Tocqueville"), an affiliate of
Tocqueville Asset Management L.P., to effect certain portfolio purchase
transactions on behalf of the Related Fund. Questions were raised as to
whether commissions paid to Tocqueville were justified under the
circumstances and whether or not the Related Fund bore unnecessary
expenses as a result of certain sale and subsequent repurchase
transactions. At the directive of the Related Fund's Board, Tocqueville
agreed to pay $260,000 to the Related Fund.
It is anticipated that shareholders of the Fund will be asked
to consider and approve an Agreement and Plan of Reorganization
providing for the transfer of the Fund's assets to a separate,
newly-created Tocqueville Fund having the same investment policies and
objectives as those of the Fund at a special meeting of shareholders
scheduled to be held in the late Fall.
<PAGE>
Rule 497(e)
Registration No. 33-12738
FUNDAMENTAL FIXED INCOME FUND
HIGH-YIELD MUNICIPAL BOND SERIES
SUPPLEMENT DATED SEPTEMBER 11, 1997
TO
PROSPECTUS DATED APRIL 30, 1997
The following information supplements and supersedes any
contrary information contained in the Fund's Prospectus:
Fundamental Portfolio Advisors, Inc. (the "Manager") utilizes
an investment management committee to manage the assets of the Fund.
Until August 27, 1997, the committee was composed of the following
members: Christopher P. Culp, who also was affiliated with Tocqueville
Asset Management L.P., Vincent J. Malanga, a portfolio strategist
affiliated with the Manager, and Jane Tubis, a trading assistant
affiliated with the Manager. The current committee, following
Christopher P. Culp's removal, consists of Vincent J. Malanga and Jane
Tubis.
Christopher P. Culp, the former portfolio manager of another
fund in the Fundamental complex (the "Related Fund"), retained
Tocqueville Securities L.P. ("Tocqueville"), an affiliate of
Tocqueville Asset Management L.P., to effect certain portfolio purchase
transactions on behalf of the Related Fund. Questions were raised as to
whether commissions paid to Tocqueville were justified under the
circumstances and whether or not the Related Fund bore unnecessary
expenses as a result of certain sale and subsequent repurchase
transactions. At the directive of the Related Fund's Board, Tocqueville
agreed to pay $260,000 to the Related Fund.
It is anticipated that shareholders of the Fund will be asked
to consider and approve an Agreement and Plan of Reorganization
providing for the transfer of the Fund's assets to a separate,
newly-created Tocqueville Fund having the same investment policies and
objectives as those of the Fund at a special meeting of shareholders
scheduled to be held in the late Fall.
