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SUPPLEMENT DATED SEPTEMBER 1, 1997
REPLACING THE SUPPLEMENT DATED APRIL 1, 1997
TO PROSPECTUSES DATED OCTOBER 31, 1996
OF
SIERRA TRUST FUNDS
P.O. BOX 5118
WESTBORO, MASSACHUSETTS 01581-5118
The Prospectuses, dated October 31, 1996, as supplemented, for the Sierra Trust
Funds (the "Trust") are amended and supplemented as follows:
In the section "THE FUNDS IN DETAIL -- SIERRA ADVISORS, ITS AFFILIATES AND
SERVICE PROVIDERS -- ADVISOR," add the following paragraph after the second
paragraph:
On July 1, 1997, Great Western Financial Corporation ("GWFC"), the
indirect parent of Sierra Advisors, the Fund's investment advisor, and
Washington Mutual, Inc. ("Washington Mutual"), a publicly held
financial services company, closed a previously announced Agreement
and Plan of Merger resulting in the merger of GWFC with and into a
wholly-owned subsidiary of Washington Mutual (the "Merger"). As a
result of the Merger, Sierra Advisors is an indirect subsidiary of
Washington Mutual.
The Prospectuses for the GLOBAL MONEY, U.S. GOVERNMENT MONEY, CALIFORNIA MONEY,
SHORT TERM HIGH QUALITY BOND, SHORT TERM GLOBAL GOVERNMENT, U.S. GOVERNMENT,
CORPORATE INCOME, CALIFORNIA MUNICIPAL, FLORIDA INSURED MUNICIPAL, CALIFORNIA
INSURED INTERMEDIATE MUNICIPAL, NATIONAL MUNICIPAL, GROWTH AND INCOME, GROWTH,
EMERGING GROWTH AND INTERNATIONAL GROWTH FUNDS of the Trust are, in addition,
amended and supplemented as follows:
In the section "THE FUNDS IN DETAIL -- SIERRA ADVISORS, ITS AFFILIATES AND
SERVICE PROVIDERS -- SUB-ADVISORS" under the paragraph beginning "SCUDDER," add
the following paragraph after the first paragraph:
Scudder, Stevens & Clark, Inc. ("Scudder") has entered into an
agreement with The Zurich Group ("Zurich"), an international insurance
and financial services organization, to form a new global investment
organization. Under the agreement, Scudder will combine with Zurich's
subsidiary, Zurich Kemper Investment, Inc. to form Scudder Kemper
Investments, Inc. After the transaction is completed, Zurich will own
approximately 70% of the new organization with the balance owned by
the new organization's officers and employees. Subject to certain
conditions being met, including regulatory approvals, the transaction
is expected to close in the fourth quarter of 1997.
In the section "THE FUNDS IN DETAIL -- SIERRA ADVISORS, ITS AFFILIATES AND
SERVICE PROVIDERS -- SUB-ADVISORS" under the paragraph beginning "VAN KAMPEN,"
add the following paragraph after the first paragraph:
On May 31, 1997, Morgan Stanley Group Inc. ("Morgan Stanley") and Dean
Witter, Discover & Co. closed a previously announced Agreement and
Plan of Merger to form Morgan Stanley, Dean Witter, Discover & Co.
Prior thereto, Morgan Stanley Group Inc. was the parent of Van Kampen
American Capital Management Inc. ("Van Kampen"), the investment
sub-advisor of the California Municipal Fund, Florida Insured
Municipal Fund, California Insured Intermediate Municipal Fund and
National Municipal Fund. Van Kampen is now a subsidiary of Morgan
Stanley, Dean Witter, Discover & Co.
PLEASE RETAIN THIS SUPPLEMENT FOR FUTURE REFERENCE
