Anchor Pathway Fund
Supplement to the Prospectus dated January 29, 1998
On August 19, 1998, SunAmerica Inc. ("SunAmerica") entered into
an agreement with American International Group, Inc. ("AIG").
Under the terms of the agreement, SunAmerica Inc. will merge with
and into AIG, and consequently, SunAmerica Asset Management Corp.
("SAAMCo"), which acts as investment adviser of Anchor Pathway
Fund (the "Fund"), will become a subsidiary of AIG. SAAMCo will
not change its name and no organizational changes are currently
planned which would affect services provided to the Fund. As a
result of the merger, contract owners of record as of October 30,
1998 are being asked to submit voting instructions for the
approval of a new investment advisory and management agreement
with SAAMCo, to take effect upon consummation of the merger, as
well as certain other matters. The new agreement will be
identical to the current agreement in all respects except for its
effective date and termination date and will have no effect on
the fees or expenses payable by the Fund or its contract owners.
The merger transaction is expected to be consummated in late 1998
or early 1999.
Dated: November 3, 1998
