THE
PARK AVENUE
PORTFOLIO
Supplement dated July 15, 1999
to Prospectus dated May 1, 1999
This Supplement should be retained with the Prospectus for future
reference.
The following replaces certain information contained in the Example on
page 9 of The Park Avenue Portfolio prospectus for The Guardian Park Avenue
Small Cap Fund.
If you sold all of your shares at the end of the periods shown, the costs of
investing in the Fund would be:
1 year 3 years 5 years 10 years
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Class A shares $ 578 $ 849 $1,141 $1,969
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<PAGE>
The following replaces the table of "Annual fees and expenses deducted from the
Fund's assets" on page 13 of The Park Avenue Portfolio prospectus for The
Guardian Asset Allocation Fund:
Annual fees and expenses deducted from the Fund's assets
(as a percentage of average net assets)
Management Distribution Other
Share class fees(1) (12b-1) fees expenses(2) Total
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Class A shares 0.65% 0.00% 0.39% 1.04%
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Class B shares 0.65% 0.75% 0.39% 1.79%
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Institutional Class shares 0.65% 0.00% 0.14% 0.79%
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NOTES
(1) The fees and expenses shown for the Asset Allocation Fund do not reflect
management fee waivers by GISC that reduce the effective annual
rate of management fees to 0.50%
(2) Includes Administrative Service Fee of 0.25% for Class A and Class B
shares.
The following replaces the Example on page 13 of The Park Avenue Portfolio
prospectus for The Guardian Asset Allocation Fund:
EXAMPLE
The example on the right allows you to compare the cost of investing in the Fund
with the cost of investing in other mutual funds. The example assumes:
o you invest $10,000 at the start of the periods shown
o the Fund invests 60% of its assets in equities, 40% of its assets in debt
and zero in cash throughout the periods shown
o your investment has a 5% return each year
o the Fund's operating expenses do not change.
The ten-year figures shown reflect the conversion of Class B shares to Class A
shares after the eighth anniversary of purchase.
Using these assumptions the costs of investing in the Fund would be as shown in
the table below. Your actual costs may be higher or lower than those reflected
here.
If you sold all of your shares at the end of the periods shown, the costs of
investing in the Fund would be:
1 year 3 years 5 years 10 years
- --------------------------------------------------------------------------------
Class A shares $ 551 $ 766 $ 998 $1,664
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Class B shares $ 482 $ 763 $1,070 $1,908
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Institutional Class shares $ 81 $ 252 $ 439 $ 978
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If you did not sell any of your shares at the end of the periods shown, the
costs of investing in the Fund would be:
1 year 3 years 5 years 10 years
- --------------------------------------------------------------------------------
Class A shares $ 551 $ 766 $ 998 $1,664
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Class B shares $ 182 $ 563 $ 970 $1,908
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Institutional Class shares $ 81 $ 252 $ 439 $ 978
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<PAGE>
The following replaces certain information contained in the Example on page 18
of The Park Avenue Portfolio prospectus for The Guardian Baillie Gifford
International Fund:
If you sold all of your shares at the end of the periods shown, the costs of
investing in the Fund would be:
1 year 3 years 5 years 10 years
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Institutional Class shares $ 133 $ 415 $ 718 $1,579
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<PAGE>
The following replaces the table of "Annual fees and expenses deducted from the
Fund's assets" on page 38 of The Park Avenue Portfolio prospectus for The
Guardian Cash Management Fund:
Annual fees and expenses deducted from the Fund's assets(1)
(as a percentage of average net assets)
Management Distribution Other
fees (12b-1) fees expenses(2) Total
- --------------------------------------------------------------------------------
Class A shares 0.50% 0.00% 0.54% 1.04%
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Class B shares 0.50% 0.75% 0.57% 1.82%
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NOTES
(1) The fees and expenses in the table do not reflect GISC's assumption of
ordinary operating expenses that exceed 0.85% of the average daily net
assets of the Fund for both classes of shares.
(2) Includes Administrative Service Fee of 0.25% for Class A and Class B
shares.
<PAGE>
The following replaces the paragraph entitled Small Cap Fund under the section
"Portfolio Managers" on page 52 of the prospectus:
Larry A. Luxenberg and Catherine McRae are co-managers of The Guardian Park
Avenue Small Cap Fund. Larry A. Luxenberg, who oversees the Fund's management,
has managed or co-managed this Fund since its inception in May 1997. He also
co-manages The Guardian Park Avenue Fund. Mr. Luxenberg, Vice President, Equity
Securities, has been with Guardian Life for the past 15 years.
Catherine McRae, who has primary responsibility for the day-to-day operations of
the Fund, has been an equity analyst with Guardian Life since May 1998. From
1992 to 1994 she was a senior equity analyst and managing director at ING Baring
Furman Selz. Prior to that, she worked 11 years as an equity analyst and 6 years
in corporate finance for various companies.
Allen Klee and Daniel Breslin round out the Small Cap Fund management team.
Allen Klee has been Director, Equity Securities, Investments, for Guardian Life
since August 1998. From June 1995 until August 1998 he was Director, Fixed
Income Credit Analysis, Investments. He began working for Guardian Life in 1993
as a Senior Credit Analyst, Investments. Daniel Breslin has been an Equity
Analyst for Guardian Life since 1996. Prior to that he was a quantitative
analyst for Guardian Life beginning in September 1993.
