RULE 497(e)
33-34841
811-6011
THE MONTGOMERY FUNDS
Supplement dated July 1, 1998, to the
Prospectus
dated October 15, 1998, as supplemented
For the Montgomery Equity Income Fund--Class R Shares
Effective immediately, William T. King, CFA, has taken full responsibility for,
and is the lead portfolio manager of, the Equity Income Fund. Mr. King is a
portfolio manager and principal with the Manager. Mr. King has been a portfolio
manager of the Equity Income Fund since 1996. From 1994 through 1996 he was a
senior analyst with the Manager, focusing on Financials, Pharmaceuticals,
Electrical Products, Forest Products, Energy, Printing & Publishing, Autos and
Diversified Industries. Prior to that, Mr. King held portfolio management and
analyst positions with Merus Capital Management, SEI and Kaiser Industries.
<PAGE>
RULE 497(e)
33-34841
811-6011
THE MONTGOMERY FUNDS
Supplement dated July 1, 1998, to the
Prospectus
dated October 15, 1998
For the Montgomery Equity Income Fund--Class P Shares
Effective immediately, William T. King, CFA, has taken full responsibility for,
and is the lead portfolio manager of, the Equity Income Fund. Mr. King is a
portfolio manager and principal with the Manager. Mr. King has been a portfolio
manager of the Equity Income Fund since 1996. From 1994 through 1996 he was a
senior analyst with the Manager, focusing on Financials, Pharmaceuticals,
Electrical Products, Forest Products, Energy, Printing & Publishing, Autos and
Diversified Industries. Prior to that, Mr. King held portfolio management and
analyst positions with Merus Capital Management, SEI and Kaiser Industries.
