(SEC File Nos. 33-36962 / 811-6175)
MAINSTAY INSTITUTIONAL FUNDS INC.
Supplement dated October 23, 2000
to the Prospectus dated March 1, 2000
The Board of Directors of the Funds has approved a reduction in the
minimum investments required for purchasing shares of the Funds. These changes,
which are designed to encourage investment in the Funds by a greater number of
investors, are expected to become effective on or about January 2, 2001. At that
time, the minimum initial investment in a Fund will be $1,000, with a minimum of
$100 for each additional investment. Until that time, the current minimum
investment requirements, described at page 54 in the Shareholder Guide Section
of the Prospectus, remain in place. These changes will not result in any change
in the Funds' operations or in its current levels of fees and expenses. In
addition, Management has agreed to limit the Funds' annual total operating
expense ratios for the year ended December 31, 2001 to their December 31, 2000
levels.
Also to be effective on or about January 2, 2001, the Board has approved
the substitution of New York Life Investment Management LLC ("NYLIM") for
MainStay Management LLC as the Funds' Manager. In addition, the Funds currently
sub-advised by Monitor Capital Advisors LLC (the EAFE Index Fund, the Indexed
Bond Fund, the Indexed Equity Fund and the Asset Manager Fund) and by NYLIM (the
Money Market Fund) will be advised by NYLIM directly, without a subadvisor.
NYLIM, MainStay Management, and Monitor Capital are all wholly-owned
subsidiaries of New York Life Insurance Company. These changes will be made in
connection with a restructuring of the asset management business of New York
Life, and will not affect the investment personnel responsible for managing the
Funds' investments or any other aspect of the Funds' operations.
MSIPSO2 - 10/00
