[front cover]
AMERICAN CENTURY
Fund Profile
[american century logo (reg.sm)]
American
Century
International Growth Fund
This profile summarizes key information about the fund that is included in the
fund's Prospectus. The fund's Prospectus includes additional information about
the fund, including a more detailed description of the risks associated with
investing in the fund, that you may want to consider before you invest.
[photos of woman and girls blowing bubbles, men talking, woman at computer]
July 26, 1999
INVESTOR CLASS
You may obtain the Prospectus and other information about the fund at no cost
by calling us at 1-800-345-2021, accessing our Web site or visiting one of our
Investor Centers. See the back cover for additional telephone numbers and our
address.
INTERNATIONAL GROWTH FUND
1. WHAT IS THE FUND'S INVESTMENT OBJECTIVE?
International Growth seeks capital growth by investing primarily in foreign
equity securities of issuers in developed countries.
2. WHAT IS THE FUND'S INVESTMENT STRATEGY?
The fund managers use a growth investment strategy developed by American
Century to invest in stocks of foreign companies that they believe will
increase in value over time. This strategy looks for companies with earnings
and revenue growth. Ideally, the fund managers look for companies whose
earnings and revenues are not only growing, but growing at a successively
faster, or accelerating, pace. This strategy is based on the premise that,
over the long term, the stocks of companies with earnings and revenue growth
have a greater-than-average chance to increase in value.
The managers use a bottom-up approach to select stocks to buy for the fund.
That means they first look for strong, growing companies to invest in,
rather than allocating investments by country or region or simply buying any
company in a growing industry or sector. The fund managers track financial
information for thousands of companies to identify trends in the companies'
earnings and revenues. This information is used to help the fund managers
select or decide to continue to hold the stocks of companies they believe
will be able to sustain their growth and to sell stocks of companies whose
growth begins to slow down.
In addition to locating strong companies with earnings and revenue growth,
the fund managers believe that it is important to diversify the fund's
holdings across different countries and geographical regions to attempt to
manage the risks of an international portfolio. For this reason, the fund
managers also consider the prospects for relative economic growth among
countries or regions, economic and political conditions, expected inflation
rates, currency exchange fluctuations, and tax considerations when making
investments.
The fund managers do not attempt to time the market. Instead, they intend to
keep the fund essentially fully invested in stocks regardless of the
movement of stock prices generally.
International Growth will have at least 65% of its assets invested at all
times in equity securities of issuers in developed countries. The fund
considers developed countries to include Australia, Austria, Belgium,
Canada, Denmark, Finland, France, Germany, Ireland, Italy, Japan, the
Netherlands, New Zealand, Norway, Portugal, Spain, Sweden, Switzerland, the
United Kingdom and the United States.
Additional information about International Growth's investments is available
in its annual and semiannual reports. In these reports you will find a
discussion of the market conditions and investment strategies that
significantly affected the fund's performance during the most recent fiscal
period. You may get these reports at no cost by calling us.
3. WHAT ARE THE SIGNIFICANT RISKS OF INVESTING IN THE FUND?
* The value of International Growth's shares depends on the value of the
stocks and other securities it owns. The value of the individual securities
that the fund owns will go up and down depending on the performance of the
companies that issued them, general market and economic conditions, and
investor confidence.
* As with all funds, at any given time the value of your shares of
International Growth may be worth more or less than the price you paid. If
you sell your shares when the value is less than the price you paid, you
will lose money.
* An investment in the fund is not a bank deposit, and it is not insured or
guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other
government agency.
* Investing in foreign securities has certain unique risks that make it
generally riskier than investing in U.S. stocks. These risks include
increased exposure to political, social and economic events in world
markets; limited availability of public information; less developed trading
markets; less
International Growth American Century Investments
developed regulatory practices; and a lack of uniform financial reporting
practices compared to those that apply in the United States. In addition,
foreign securities are subject to currency risk, meaning that because the
fund's investments are generally held in foreign currencies, the fund could
experience gains or losses based solely on a change in the exchange rate
between the fund's foreign currencies and the U.S. dollar.
In summary, International Growth is intended for investors who find foreign
securities an appropriate investment and who are willing to accept the risk
associated with the fund's investment strategy. An investment in the fund is
not appro-priate for investors who are unable to tolerate fluctuations in
the value of their investment.
Fund Performance
The following bar chart shows the actual performance of International
Growth's Investor Class shares for each calendar year since the fund's
inception on May 9, 1991. The bar chart indicates the volatility of the
fund's historical returns from year to year. The bar chart and the
performance information below are not intended to indicate how the fund will
perform in the future.
[data shown in bar chart]
Calendar Year-By-Year Returns (1)
1998 19.01%
1997 19.72%
1996 14.43%
1995 11.89%
1994 -4.76%
1993 42.65%
1992 4.84%
(1) As of June 30, 1999, the end of the most recent calendar quarter,
International Growth's year-to-date return was 7.10%.
The highest and lowest quarterly returns for the period reflected in the bar
chart are:
Highest Lowest
------- ------
International Growth 18.32% (4Q 1993) -17.94% (3Q 1998)
The following table shows the average annual return of the fund's Investor
Class shares for the periods indicated. The Morgan Stanley Capital
International Europe, Australia, Far East (EAFE) Index, an unmanaged index
that reflects no operating costs, is included as a benchmark for performance
comparisons.
1 YEAR 5 YEARS LIFE OF FUND(1)
------ ------- ---------------
AVERAGE ANNUAL TOTAL RETURNS (PERIOD ENDED JUNE 30, 1999)
---------------------------------------------------------
International Growth 1.25% 13.76% 14.75%
MSCI EAFE Index 7.62% 8.21% 8.46%(2)
(1 )The inception date for International Growth is May 9, 1991.
(2 )Benchmark from April 30, 1991.
4. WHAT ARE THE FUND'S FEES AND EXPENSES?
There are no sales loads, fees or other charges
* to buy fund shares directly from American Century
* to reinvest dividends in additional shares
* to exchange into the Investor Class shares of other American Century fund
* to redeem your shares
The following table describes the fees and expenses that you will pay if you
buy and hold shares of the fund.
ANNUAL FUND OPERATING EXPENSES
(EXPENSES THAT ARE DEDUCTED FROM FUND ASSETS)
---------------------------------------------
Management Fee 1.33%(1)
Distribution and Service (12b-1) Fees None
Other Expenses(2) 0.00%
Total Annual Fund Operating Expenses 1.33%
(1 )Based on expenses incurred during the fund's most recent fiscal
year. The fund has a stepped fee schedule. As a result, the fund's
management fee rate generally decreases as fund assets increase.
(2 )Other expenses, which include the fees and expenses of the fund's
independent directors, their legal counsel and interest, were less than
0.005% for the most recent fiscal year.
International Growth Fund Profile
EXAMPLE
Assuming you . . .
* invest $10,000 in the fund
* redeem all of your shares at the end of the periods shown below
* earn a 5% return each year
* incur the same operating expenses as shown above
. . . your cost of investing in the fund would be:
1 year 3 years 5 years 10 years
$135 $420 $725 $1,592
Of course, actual costs may be higher or lower. Use this example to
compare the costs of investing in other funds.
5. WHO ARE THE FUND'S INVESTMENT ADVISOR AND PORTFOLIO MANAGERS?
American Century Investment Management, Inc. provides investment advisory
and management services for the fund. American Century uses teams of
portfolio managers, assistant portfolio managers and analysts working
together to manage its mutual funds. Identified below are the portfolio
managers for the International Growth team:
HENRIK STRABO, Senior Vice President and Chief Investment Officer,
International Equities, has been a member of the team that manages
International Growth since April 1994. He joined American Century in 1993 as
an Investment Analyst and was promoted to Portfolio Manager in April 1994.
He has a bachelor's degree in business from the University of Washington.
MARK S. KOPINSKI, Senior Vice President and Portfolio Manager, has been a
member of the team that manages International Growth since rejoining
American Century in April 1997. Before rejoining American Century, he served
as Vice President and Portfolio Manager at Federated Investors, Inc. from
June 1995 to March 1997. Prior to 1995, he served as Vice President and a
member of the team that managed International Growth and International
Discovery. He has a bachelor's degree in business administration from
Monmouth College and an MA in Asian studies from the University of Illinois.
6. HOW DO I BUY FUND SHARES?
American Century offers several ways to purchase shares
* Complete and return the enclosed application along with an investment
check payable to American Century Investments
* If you already have an American Century account, call us or access our Web
site to exchange shares from another American Century fund
* Call us and send your investment by bank wire transfer
Your initial investment must be at least $2,500 ($1,000 for traditional
IRAs, Roth IRAs and UGMA/UTMA accounts). If your redemption activity causes
the value of your account to fall below this account minimum, your shares
may be redeemed involuntarily.
7. HOW DO I SELL FUND SHARES?
You may sell all or part of your fund shares on any business day by writing
or calling us. You also may exchange your shares in International Growth for
shares in nearly 70 other mutual funds offered by American Century.
Depending on the options you select when you open your account, some
restrictions may apply. For your protection, some redemption requests
require a signature guarantee.
8. HOW ARE FUND DISTRIBUTIONS MADE AND TAXED?
International Growth pays distributions of substantially all of its income
once a year, usually in December. Distributions from realized capital gains
are paid twice a year, usually in March and December. Distributions may be
taxable as ordinary income, capital gains or a combination of the two.
Capital gains are taxed at different rates depending on the length of time
the fund held the securities that were sold. Fund shareholders also may be
able to claim a foreign tax credit for any foreign income taxes paid by the
fund. Distributions are reinvested automatically in additional shares unless
you choose another option.
International Growth American Century Investments
9. WHAT SERVICES ARE AVAILABLE?
American Century offers several ways to make it easier for you to manage
your account, such as
* telephone transactions
* wire and electronic funds transfers
* 24-hour Automated Information Line transactions
* 24-hour online Internet account access and transactions
You will find more information about these choices in Your Guide to American
Century Services, which you may request by calling us, accessing our Web
site or visiting one of our Investor Centers.
Information contained in the services guide pertains to shareholders who
invest directly with American Century rather than through an
employer-sponsored retirement plan or financial intermediary.
If you own or are considering purchasing fund shares through an
employer-sponsored retirement plan or financial intermediary, your ability
to purchase shares of the fund, exchange them for shares of other American
Century funds, and redeem them will depend on the terms of your plan or
financial intermediary. If you have questions about investing in an
employer-sponsored retirement plan or through a financial intermediary, call
a Service Representative at 1-800-345-3533.
International Growth Fund Profile
- --------------------------------------------------------------------------------
[american century logo (reg.sm)]
American
Century
AMERICAN CENTURY INVESTMENTS
P.O. BOX 419200
KANSAS CITY, MISSOURI 64141-6200
INVESTOR RELATIONS
1-800-345-2021 or 816-531-5575
AUTOMATED INFORMATION LINE
1-800-345-8765
FAX
816-340-7962
TELECOMMUNICATIONS DEVICE FOR THE DEAF
1-800-634-4113 or 816-444-3485
BUSINESS, NOT-FOR-PROFIT AND
EMPLOYER-SPONSORED RETIREMENT PLANS
1-800-345-353
Visit our Web site at WWW.AMERICANCENTURY.COM
SH-PRF-16952 9907 Funds Distributor, Inc.
<PAGE>
[front cover]
AMERICAN CENTURY
Fund Profile
[american century logo (reg.sm)]
American
Century
Global Growth Fund
This profile summarizes key information about the fund that is included in the
fund's Prospectus. The fund's Prospectus includes additional information about
the fund, including a more detailed description of the risks associated with
investing in the fund, that you may want to consider before you invest.
[photos of woman and girls blowing bubbles, men talking, woman at computer]
July 26, 1999
INVESTOR CLASS
You may obtain the Prospectus and other information about the fund at no cost
by calling 8us at 1-800-345-2021, accessing our Web site or visiting one of our
Investor Ce8nters. See the back cover for additional telephone numbers and our
8 address.
GLOBAL GROWTH FUND
1. WHAT IS THE FUND'S INVESTMENT OBJECTIVE?
Global Growth seeks capital growth by investing primarily in equity
securities of issuers in developed countries worldwide, including the United
States.
2. WHAT IS THE FUND'S INVESTMENT STRATEGY?
The fund managers use a growth investment strategy developed by American
Century to invest in stocks of U.S. and foreign companies that they believe
will increase in value over time. This strategy looks for companies with
earnings and revenue growth. Ideally, the fund managers look for companies
whose earnings and revenues are not only growing, but growing at a
successively faster, or accelerating, pace. This strategy is based on the
premise that, over the long term, the stocks of companies with earnings and
revenue growth have a greater-than-average chance to increase in value.
The managers use a bottom-up approach to select stocks to buy for the fund.
That means they first look for strong, growing companies to invest in,
rather than allocating investments by country or region or simply buying any
company in a growing industry or sector. The fund managers track financial
information for thousands of companies to identify trends in the companies'
earnings and revenues. This information is used to help the fund managers
select or decide to continue to hold the stocks of companies they believe
will be able to sustain their growth and to sell stocks of companies whose
growth begins to slow down.
In addition to locating strong companies with earnings and revenue growth,
the fund managers believe that it is important to diversify the fund's
holdings across different countries and geographical regions to attempt to
manage the risks of an international portfolio. For this reason, the fund
managers also consider the prospects for relative economic growth among
countries or regions, economic and political conditions, expected inflation
rates, currency exchange fluctuations, and tax considerations when making
investments.
The fund managers do not attempt to time the market. Instead, they intend to
keep the fund essentially fully invested in stocks regardless of the
movement of stock prices generally.
Global Growth will have at least 65% of its assets invested at all times in
equity securities of issuers in developed countries. The fund considers
developed countries to include Australia, Austria, Belgium, Canada, Denmark,
Finland, France, Germany, Ireland, Italy, Japan, the Netherlands, New
Zealand, Norway, Portugal, Spain, Sweden, Switzerland, the United Kingdom,
and the United States.
Additional information about Global Growth's investments is available in its
semiannual report. In this report you will find a discussion of the market
conditions and investment strategies that significantly affected the fund's
performance during the most recent fiscal period. You may get this report at
no cost by calling us.
3. WHAT ARE THE SIGNIFICANT RISKS OF INVESTING IN THE FUND?
* The value of Global Growth's shares depends on the value of the stocks and
other securities it owns. The value of the individual securities that the
fund owns will go up and down depending on the performance of the companies
that issued them, general market and economic conditions, and investor
confidence.
* As with all funds, at any given time the value of your shares of Global
Growth may be worth more or less than the price you paid. If you sell your
shares when the value is less than the price you paid, you will lose money.
* An investment in the fund is not a bank deposit, and it is not insured or
guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other
government agency.
* Investing in foreign securities has certain unique risks that make it
generally riskier than investing in U.S. stocks. These risks include
increased exposure to political, social and economic events in world
markets; limited availability of public information; less developed trading
markets; less developed regulatory practices; and a lack of uniform
financial reporting practices compared to those that apply in the United
States. In addition, foreign securities are subject to currency risk,
meaning that because the fund's investments are generally held in foreign
currencies, the fund could experience gains or losses based solely on a
change in the exchange rate between the fund's foreign currencies and the
U.S. dollar.
Global Growth American Century Investments
In summary, Global Growth is intended for investors who find U.S. and
foreign growth securities an appropriate investment and who are willing to
accept the risk associated with the fund's investment strategy. An
investment in the fund is not appropriate for investors who are unable to
tolerate fluctuations in the value of their investment.
4. WHAT ARE THE FUND'S FEES AND EXPENSES?
There are no sales loads, fees or other charges
* to buy fund shares directly from American Century
* to reinvest dividends in additional shares
* to exchange into the Investor Class shares of other American Century fund
* to redeem your shares
The following table describes the fees and expenses that you will pay if you
buy and hold shares of the fund.
ANNUAL FUND OPERATING EXPENSES
(EXPENSES THAT ARE DEDUCTED FROM FUND ASSETS)
Management Fee 1.30%(1)
Distribution and Service (12b-1) Fees None
Other Expenses(2) 0.00%
Total Annual Fund Operating Expenses 1.30%
(1 )The fund has a stepped fee schedule. As a result, the fund's
management fee rate generally decreases as fund assets increase.
(2 )Other expenses, which include the fees and expenses of the fund's
independent directors, their legal counsel and interest, are expected to
be less than 0.005% for the current fiscal year.
EXAMPLE
Assuming you . . .
* invest $10,000 in the fund
* redeem all of your shares at the end of the periods shown below
* earn a 5% return each year
* incur the same operating expenses as shown above
. . . your cost of investing in the fund would be:
1 year 3 years
$132 $410
Of course, actual costs may be higher or lower. Use this example to
compare the costs of investing in other funds.
5. WHO ARE THE FUND'S INVESTMENT ADVISOR AND PORTFOLIO MANAGERS?
American Century Investment Management, Inc. provides investment advisory
and management services for the fund. American Century uses teams of
portfolio managers, assistant portfolio managers and analysts working
together to manage its mutual funds. Identified below are the portfolio
managers for the Global Growth team:
HENRIK STRABO, Senior Vice President and Chief Investment Officer,
International Equities, has been a member of the team that manages Global
Growth since its inception in December 1998. He joined American Century in
1993 as an Investment Analyst and was promoted to Portfolio Manager in April
1994. He has a bachelor's degree in business from the University of
Washington.
BRADLEY AMOILS, Portfolio Manager, has been a member of the team that
manages Global Growth since its inception in December 1998. He joined
American Century in July 1997 as an Investment Analyst and was promoted to
Portfolio Manager in November 1998. Prior to joining American Century, he
served as a Securities Analyst for Oppenheimer Funds from January 1996 to
June 1997 and an Analyst at Clay Finlay Asset Management from March 1995 to
December 1995. He has a bachelor of science and doctorate of medicine from
the University of Witwatersrand-Johannesburg-South Africa and an MBA from
Columbia University Graduate School of Business.
6. HOW DO I BUY FUND SHARES?
American Century offers several ways to purchase shares
* Complete and return the enclosed application along with an investment
check payable to American Century Investments
* If you already have an American Century account, call us or access our Web
site to exchange shares from another American Century fund
* Call us and send your investment by bank wire transfer
Your initial investment must be at least $2,500 ($1,000 for traditional
IRAs, Roth IRAs and UGMA/UTMA accounts). If your redemption activity causes
the value of your account to fall below this account minimum, your shares
may be redeemed involuntarily.
Global Growth Fund Profile
7. HOW DO I SELL FUND SHARES?
You may sell all or part of your fund shares on any business day by writing
or calling us. You also may exchange your shares in Global Growth for shares
in nearly 70 other mutual funds offered by American Century. Depending on
the options you select when you open your account, some restrictions may
apply. For your protection, some redemption requests require a signature
guarantee.
8. HOW ARE FUND DISTRIBUTIONS MADE AND TAXED?
Global Growth pays distributions of substantially all of its income once a
year, usually in December. Distributions from realized capital gains are
paid twice a year, usually in March and December. Distributions may be
taxable as ordinary income, capital gains or a combination of the two.
Capital gains are taxed at different rates depending on the length of time
the fund held the securities that were sold. Fund shareholders also may be
able to claim a foreign tax credit for any foreign income taxes paid by the
fund. Distributions are reinvested automatically in additional shares unless
you choose another option.
9. WHAT SERVICES ARE AVAILABLE?
American Century offers several ways to make it easier for you to manage
your account, such as
* telephone transactions
* wire and electronic funds transfers
* 24-hour Automated Information Line transactions
* 24-hour online Internet account access and transactions
You will find more information about these choices in Your Guide to American
Century Services, which you may request by calling us, accessing our Web
site or visiting one of our Investor Centers.
Information contained in the services guide pertains to shareholders who
invest directly with American Century rather than through an
employer-sponsored retirement plan or financial intermediary.
If you own or are considering purchasing fund shares through an
employer-sponsored retirement plan or financial intermediary, your ability
to purchase shares of the fund, exchange them for shares of other American
Century funds, and redeem them will depend on the terms of your plan or
financial intermediary. If you have questions about investing in an
employer-sponsored retirement plan or through a financial intermediary, call
a Service Representative at 1-800-345-3533.
- --------------------------------------------------------------------------------
[american century logo (reg.sm)]
American
Century
AMERICAN CENTURY INVESTMENTS
P.O. BOX 419200
KANSAS CITY, MISSOURI 64141-6200
INVESTOR RELATIONS
1-800-345-2021 or 816-531-5575
AUTOMATED INFORMATION LINE
1-800-345-8765
FAX
816-340-7962
TELECOMMUNICATIONS DEVICE FOR THE DEAF
1-800-634-4113 or 816-444-3485
BUSINESS, NOT-FOR-PROFIT AND
EMPLOYER-SPONSORED RETIREMENT PLANS
1-800-345-353
Visit our Web site at WWW.AMERICANCENTURY.COM
SH-PRF-16954 9907 Funds Distributor, Inc.
<PAGE>
[front cover]
AMERICAN CENTURY
Fund Profile
[american century logo (reg.sm)]
American
Century
Emerging Markets Fund
This profile summarizes key information about the fund that is included in the
fund's Prospectus. The fund's Prospectus includes additional information about
the fund, including a more detailed description of the risks associated with
investing in the fund, that you may want to consider before you invest.
[photos of woman and girls blowing bubbles, men talking, woman at computer]
July 26, 1999
INVESTOR CLASS
You may obtain the Prospectus and other information about the fund at no cost
by calling us at 1-800-345-2021, accessing our Web site or visiting one of our
Investor Centers. See the back cover for additional telephone numbers and our
address.
EMERGING MARKETS FUND
1. WHAT IS THE FUND'S INVESTMENT OBJECTIVE?
Emerging Markets seeks capital growth by investing primarily in equity
securities of emerging market companies.
2. WHAT IS THE FUND'S INVESTMENT STRATEGY?
The fund managers use a growth investment strategy developed by American
Century to invest in stocks of emerging market companies that they believe
will increase in value over time. This strategy looks for companies with
earnings and revenue growth. Ideally, the fund managers look for companies
whose earnings and revenues are not only growing, but growing at a
successively faster, or accelerating, pace. This strategy is based on the
premise that, over the long term, the stocks of companies with earnings and
revenue growth have a greater-than-average chance to increase in value.
The managers use a bottom-up approach to select stocks to buy for the fund.
That means they first look for strong, growing companies to invest in,
rather than allocating investments by country or region or simply buying any
company in a growing industry or sector. The fund managers track financial
information for thousands of companies to identify trends in the companies'
earnings and revenues. This information is used to help the fund managers
select or decide to continue to hold the stocks of companies they believe
will be able to sustain their growth and to sell stocks of companies whose
growth begins to slow down.
In addition to locating strong companies with earnings and revenue growth,
the fund managers believe that it is important to diversify the fund's
holdings across different countries and geographical regions to attempt to
manage the risks of an international portfolio. For this reason, the fund
managers also consider the prospects for relative economic growth among
countries or regions, economic and political conditions, expected inflation
rates, currency exchange fluctua- tions, and tax considerations when making
investments.
The fund managers do not attempt to time the market. Instead, they intend to
keep the fund essentially fully invested in stocks regardless of the
movement of stock prices generally.
Emerging Markets will have at least 65% of its assets invested at all times
in equity securities of companies located in emerging market countries and
companies that derive a significant portion of their business from emerging
market countries. The fund considers emerging market countries to include
all countries except Australia, Austria, Belgium, Canada, Denmark, Finland,
France, Germany, Ireland, Italy, Japan, the Netherlands, New Zealand,
Norway, Portugal, Spain, Sweden, Switzerland, the United Kingdom and the
United States.
Additional information about Emerging Markets' investments is available in
its annual and semiannual reports. In these reports you will find a
discussion of the market conditions and investment strategies that
significantly affected the fund's performance during the most recent fiscal
period. You may get these reports at no cost by calling us.
3. WHAT ARE THE SIGNIFICANT RISKS OF INVESTING IN THE FUND?
* The value of Emerging Markets' shares depends on the value of the stocks
and other securities it owns. The value of the individual securities that
the fund owns will go up and down depending on the performance of the
companies that issued them, general market and economic conditions, and
investor confidence.
* As with all funds, at any given time the value of your shares of Emerging
Markets may be worth more or less than the price you paid. If you sell your
shares when the value is less than the price you paid, you will lose money.
* An investment in the fund is not a bank deposit, and it is not insured or
guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other
government agency.
Emerging Markets American Century Investments
* Investing in foreign securities has certain unique risks that make it
generally riskier than investing in U.S. stocks. These risks include
increased exposure to political, social and economic events in world
markets; limited availability of public information; less developed trading
markets; less developed regulatory practices; and a lack of uniform
financial reporting practices compared to those that apply in the United
States. In addition, foreign securities are subject to currency risk,
meaning that because the fund's investments are generally held in foreign
currencies, the fund could experience gains or losses based solely on a
change in the exchange rate between the fund's foreign currencies and the
U.S. dollar.
* Investing in emerging market companies is also riskier than investing in
foreign securities generally. Emerging market countries may have unstable
governments and/or economies that are subject to sudden change. These
changes may be magnified by the countries' financial markets, resulting in
significant volatility to the fund's investments. These countries also may
lack the legal, business and social framework to support securities markets.
In summary, Emerging Markets is intended for investors who find foreign
securities an appropriate investment and who are willing to accept the
increased risk of investing in emerging market companies. An investment in
the fund is not appropriate for investors who are unable to tolerate rapid
fluctuations in the value of their investment.
Fund Performance
The following bar chart shows the actual performance of Emerging Markets'
Investor Class shares for each calendar year since the fund's inception on
September 30, 1997. The bar chart indicates the volatility of the fund's
historical returns from year to year. The bar chart and performance
information below are not intended to indicate how the fund will perform in
the future.
[data shown in bar chart]
Calendar Year-By-Year Returns (1)
1998 -18.90%
(1 )As of June 30, 1999, the end of the most recent calendar quarter,
Emerging Markets' year-to-date return was 43.95%.
The highest and lowest quarterly returns for the period reflected in the bar
chart are:
Highest Lowest
------- ------
Emerging Markets 31.18% (2Q 1999) -24.62% (3Q 1998)
The following table shows the average annual return of the fund's Investor
Class shares for the periods indicated. The Morgan Stanley Capital
International Emerging Markets Free Index, an unmanaged index that reflects
no operating costs, is included as a benchmark for performance comparisons.
1 YEAR LIFE OF FUND(1)
------ ---------------
AVERAGE ANNUAL TOTAL RETURNS (PERIOD ENDED JUNE 30, 1999)
---------------------------------------------------------
Emerging Markets 25.13% -1.38%
MSCI Emerging Markets Free Index 28.71% -8.18%
(1 )The inception date for Emerging Markets is September 30, 1997.
4. WHAT ARE THE FUND'S FEES AND EXPENSES?
There are no sales loads, fees or other charges
* to buy fund shares directly from American Century
* to reinvest dividends in additional shares
* to exchange into the Investor Class shares of other American Century fund
* to redeem your shares
The following table describes the fees and expenses that you will pay if you
buy and hold shares of the fund.
ANNUAL FUND OPERATING EXPENSES
(EXPENSES THAT ARE DEDUCTED FROM FUND ASSETS)
---------------------------------------------
Management Fee 2.00%(1)
Distribution and Service (12b-1) Fees None
Other Expenses(2) 0.00%
Total Annual Fund Operating Expenses 2.00%
(1 )Based on expenses incurred during the fund's most recent fiscal
year. The fund has a stepped fee schedule. As a result, the fund's
management fee rate generally decreases as fund assets increase.
(2 )Other expenses, which include the fees and expenses of the fund's
independent directors, their legal counsel and interest, were less than
0.005% for the most recent fiscal year.
Emerging Markets Fund Profile
EXAMPLE
Assuming you . . .
* invest $10,000 in the fund
* redeem all of your shares at the end of the periods shown below
* earn a 5% return each year
* incur the same operating expenses as shown above
. . . your cost of investing in the fund would be:
1 year 3 years 5 years 10 years
$202 $623 $1,069 $2,305
Of course, actual costs may be higher or lower. Use this example to
compare the costs of investing in other funds.
5. WHO ARE THE FUND'S INVESTMENT ADVISOR AND PORTFOLIO MANAGERS?
American Century Investment Management, Inc. provides investment advisory
and management services for the fund. American Century uses teams of
portfolio managers, assistant portfolio managers and analysts working
together to manage its mutual funds. Identified below are the portfolio
managers for the Emerging Markets team:
MARK S. KOPINSKI, Senior Vice President and Portfolio Manager, has been a
member of the team that manages Emerging Markets since its inception in
September 1997. He rejoined American Century in April 1997. Before rejoining
American Century, he served as Vice President and Portfolio Manager at
Federated Investors, Inc. from June 1995 to March 1997. Prior to 1995, he
served as Vice President and a member of the team that managed International
Growth and International Discovery. He has a bachelor's degree in business
administration from Monmouth College and an MA in Asian studies from the
University of Illinois.
MICHAEL J. DONNELLY, Vice President and Portfolio Manager, has been a member
of the team that manages Emerging Markets since its inception in September
1997. He joined American Century in August 1997. From 1993 to 1997, he
served as Vice President and Portfolio Manager for Federated Investors, Inc.
He has a bachelor of arts from Yale University and an MBA in management,
international business and international finance from Kellogg Graduate
School of Management, Northwestern University. He is a Chartered Financial
Analyst.
6. HOW DO I BUY FUND SHARES?
American Century offers several ways to purchase shares
* Complete and return the enclosed application along with an investment
check payable to American Century Investments
* If you already have an American Century account, call us or access our Web
site to exchange shares from another American Century fund
* Call us and send your investment by bank wire transfer
Your initial investment must be at least $10,000. If your redemption
activity causes the value of your account to fall below this account
minimum, your shares may be redeemed involuntarily.
7. HOW DO I SELL FUND SHARES?
You may sell all or part of your fund shares on any business day by writing
or calling us. You also may exchange your shares in Emerging Markets for
shares in nearly 70 other mutual funds offered by American Century.
Depending on the options you select when you open your account, some
restrictions may apply. For your protection, some redemption requests
require a signature guarantee.
Emerging Markets American Century Investments
8. HOW ARE FUND DISTRIBUTIONS MADE AND TAXED?
Emerging Markets pays distributions of substantially all of its income once
a year, usually in December. Distributions from realized capital gains are
paid twice a year, usually in March and December. Distributions may be
taxable as ordinary income, capital gains or a combination of the two.
Capital gains are taxed at different rates depending on the length of time
the fund held the securities that were sold. Fund shareholders also may be
able to claim a foreign tax credit for any foreign income taxes paid by the
fund. Distributions are reinvested automatically in additional shares unless
you choose another option.
9. WHAT SERVICES ARE AVAILABLE?
American Century offers several ways to make it easier for you to manage
your account, such as
* telephone transactions
* wire and electronic funds transfers
* 24-hour Automated Information Line transactions
* 24-hour online Internet account access and transactions
You will find more information about these choices in Your Guide to American
Century Services, which you may request by calling us, accessing our Web
site or visiting one of our Investor Centers.
Information contained in the services guide pertains to shareholders who
invest directly with American Century rather than through an
employer-sponsored retirement plan or financial intermediary.
If you own or are considering purchasing fund shares through an
employer-sponsored retirement plan or financial intermediary, your ability
to purchase shares of the fund, exchange them for shares of other American
Century funds, and redeem them will depend on the terms of your plan or
financial intermediary. If you have questions about investing in an
employer-sponsored retirement plan or through a financial intermediary, call
a Service Representative at 1-800-345-3533.
Emerging Markets Fund Profile
- --------------------------------------------------------------------------------
[american century logo (reg.sm)]
American
Century
AMERICAN CENTURY INVESTMENTS
P.O. BOX 419200
KANSAS CITY, MISSOURI 64141-6200
INVESTOR RELATIONS
1-800-345-2021 or 816-531-5575
AUTOMATED INFORMATION LINE
1-800-345-8765
FAX
816-340-7962
TELECOMMUNICATIONS DEVICE FOR THE DEAF
1-800-634-4113 or 816-444-3485
BUSINESS, NOT-FOR-PROFIT AND
EMPLOYER-SPONSORED RETIREMENT PLANS
1-800-345-353
Visit our Web site at WWW.AMERICANCENTURY.COM
SH-PRF-16953 9907 Funds Distributor, Inc.
<PAGE>
[front cover]
AMERICAN CENTURY
Fund Profile
[american century logo (reg.sm)]
American
Century
International Discovery Fund
This profile summarizes key information about the fund that is included in the
fund's Prospectus. The fund's Prospectus includes additional information about
the fund, including a more detailed description of the risks associated with
investing in the fund, that you may want to consider before you invest.
[photos of woman and girls blowing bubbles, men talking, woman at computer]
APRIL 25, 1999
INVESTOR CLASS
You may obtain the Prospectus and other information about the fund at no cost
by calling us at 1-800-345-2021, accessing our Web site or visiting one of our
Investor Centers. See the back cover for additional telephone numbers and our
address.
INTERNATIONAL DISCOVERY FUND
1. WHAT IS THE FUND'S INVESTMENT OBJECTIVE?
International Discovery seeks capital growth by investing primarily in
equity securities of smaller foreign companies.
2. WHAT IS THE FUND'S INVESTMENT STRATEGY?
The fund managers use a growth investment strategy developed by American
Century to invest in stocks of smaller foreign companies that they believe
will increase in value over time. This strategy looks for companies with
earnings and revenue growth. Ideally, the fund managers look for companies
whose earnings and revenues are not only growing, but growing at a
successively faster, or accelerating, pace. This strategy is based on the
premise that, over the long term, the stocks of companies with earnings and
revenue growth have a greater-than-average chance to increase in value.
The managers use a bottom-up approach to select stocks to buy for the fund.
That means they first look for strong, growing companies to invest in,
rather than allocating investments by country or region or simply buying any
company in a growing industry or sector. The fund managers track financial
information for thousands of companies to identify trends in the companies'
earnings and revenues. This information is used to help the fund managers
select or decide to continue to hold the stocks of companies they believe
will be able to sustain their growth and to sell stocks of companies whose
growth begins to slow down.
In addition to locating strong companies with earnings and revenue growth,
the fund managers believe that it is important to diversify the fund's
holdings across different countries and geographical regions to attempt to
manage the risks of an international portfolio. For this reason, the fund
managers also consider the prospects for relative economic growth among
countries or regions, economic and political conditions, expected inflation
rates, currency exchange fluctuations, and tax considerations when making
investments.
The fund managers do not attempt to time the market. Instead, they intend to
keep the fund essentially fully invested in stocks regardless of the
movement of stock prices generally.
International Discovery will have at least 65% of its assets invested at all
times in equity securities of smaller foreign companies.
Additional information about International Discovery's investments is
available in its annual and semiannual reports. In these reports you will
find a discussion of the market conditions and investment strategies that
significantly affected the fund's performance during the most recent fiscal
period. You may get these reports at no cost by calling us.
3. WHAT ARE THE SIGNIFICANT RISKS OF INVESTING IN THE FUND?
* The value of International Discovery's shares depends on the value of the
stocks and other securities it owns. The value of the individual securities
that the fund owns will go up and down depending on the performance of the
companies that issued them, general market and economic conditions, and
investor confidence.
* As with all funds, at any given time the value of your shares of
International Discovery may be worth more or less than the price you paid.
If you sell your shares when the value is less than the price you paid, you
will lose money.
* An investment in the fund is not a bank deposit, and it is not insured or
guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other
government agency.
* Investing in foreign securities has certain unique risks that make it
generally riskier than investing in U.S. stocks. These risks include
increased exposure to political, social and economic events in world
markets; limited availability of public information; less developed trading
markets; less developed regulatory practices; and a lack of uniform
financial reporting practices compared to those that apply in the United
States. In addition, foreign securities are subject to currency risk,
meaning that because the fund's
International Discovery American Century Investments
investments are generally held in foreign currencies, the fund could
experience gains or losses based solely on a change in the exchange rate
between the fund's foreign currencies and the U.S. dollar.
* Investing in smaller foreign companies presents unique risks in addition
to the risks of investing in foreign securities generally. Smaller companies
may have limited resources, trade less frequently and have less publicly
available information. They also may be more sensitive to changing economic
conditions and experience more price volatility.
In summary, International Discovery is intended for investors who find
foreign securities an appropriate investment and who are willing to accept
the risk of investing in smaller foreign companies. An investment in the
fund is not appropriate for investors who are unable to tolerate
fluctuations in the value of their investment.
Fund Performance
The following bar chart shows the actual performance of International
Discovery's Investor Class shares for each calendar year since the fund's
inception on April 1, 1994. The bar chart indicates the volatility of the
fund's historical returns from year to year. The bar chart and performance
information below are not intended to indicate how the fund will perform in
the future.
[data shown in bar chart]
Calendar Year-By-Year Returns (1)
1998 17.86%
1997 17.48%
1996 31.18%
1995 9.89%
(1 )As of June 30, 1999, the end of the most recent calendar quarter,
International Discovery's year-to-date return was 20.17%.
The highest and lowest quarterly returns for the period reflected in the bar
chart are:
Highest Lowest
------- ------
International Discovery 20.49% (1Q 1998) -19.91% (3Q 1998)
The following table shows the average annual return of the fund's Investor
Class shares for the periods indicated. The Morgan Stanley Capital
International Europe, Australia, Far East (EAFE) Index, an unmanaged index
that reflects no operating costs, is included as a benchmark for performance
comparisons.
1 YEAR 5 YEARS LIFE OF FUND(1)
------ ------- ---------------
AVERAGE ANNUAL TOTAL RETURNS (PERIOD ENDED JUNE 30, 1999)
---------------------------------------------------------
International Discovery 9.41% 19.12% 19.84%
MSCI EAFE Index 7.62% 8.21% 8.83%
(1) The inception date for International Discovery is April 1, 1994.
4. WHAT ARE THE FUND'S FEES AND EXPENSES?
There are no sales loads, fees or other charges
* to buy fund shares directly from American Century
* to reinvest dividends in additional shares
International Discovery charges a redemption fee of 2.0% of the value of any
shares sold within 180 days of their purchase. This redemption fee is
retained by the fund. It is intended to discourage short-term investment in
the fund as well as decrease the negative impact that short-term investors
have on the shareholders remaining in the fund. Otherwise, there are no fees
or charges to exchange fund shares into the Investor Class shares of other
American Century funds or to redeem your shares.
The following tables describe the fees and expenses that you will pay if you
buy and hold shares of the fund.
SHAREHOLDER FEES
(FEES PAID DIRECTLY FROM YOUR INVESTMENT)
-----------------------------------------
Redemption Fee
Shares held less than 180 days 2.0%(1)
Shares held for 180 days or more None
(1 )This redemption fee is retained by the fund.
International Discovery Fund Profile
ANNUAL FUND OPERATING EXPENSES
(EXPENSES THAT ARE DEDUCTED FROM FUND ASSETS)
Management Fee 1.64%(1)
Distribution and Service (12b-1) Fees None
Other Expenses(2) 0.00%
Total Annual Fund Operating Expenses 1.64%
(1 )Based on expenses incurred during the fund's most recent fiscal
year. The fund has a stepped fee schedule. As a result, the fund's
management fee rate generally decreases as fund assets increase.
(2 )Other expenses, which include the fees and expenses of the fund's
independent directors, their legal counsel and interest, were less than
0.005% for the most recent fiscal year.
EXAMPLE
Assuming you . . .
* invest $10,000 in the fund
* redeem all of your shares at the end of the periods shown below
* earn a 5% return each year
* incur the same operating expenses as shown above
. . . your cost of investing in the fund would be:
1 year 3 years 5 years 10 years
$166 $514 $886 $1,929
Of course, actual costs may be higher or lower. Use this example to
compare the costs of investing in other funds.
5. WHO ARE THE FUND'S INVESTMENT ADVISOR AND PORTFOLIO MANAGERS?
American Century Investment Management, Inc. provides investment advisory
and management services for the fund. American Century uses teams of
portfolio managers, assistant portfolio managers and analysts working
together to manage its mutual funds. Identified below are the portfolio
managers for the International Discovery team:
HENRIK STRABO, Senior Vice President and Chief Investment Officer,
International Equities, has been a member of the team that manages
International Discovery since its inception in April 1994. He joined
American Century in 1993 as an Investment Analyst and was promoted to
Portfolio Manager in April 1994. He has a bachelor's degree in business from
the University of Washington.
MARK S. KOPINSKI, Senior Vice President and Portfolio Manager, has been a
member of the team that manages International Discovery since rejoining
American Century in April 1997. Before rejoining American Century, he served
as Vice President and Portfolio Manager at Federated Investors, Inc. from
June 1995 to March 1997. Prior to 1995, he served as Vice President and a
member of the team that managed International Growth and International
Discovery. He has a bachelor's degree in business administration from
Monmouth College and an MA in Asian studies from the University of Illinois.
BRIAN BRADY, Portfolio Manager, has been a member of the team that manages
International Discovery since November 1998. He joined American Century in
June 1994 as an Investment Analyst and was promoted to Portfolio Manager in
November 1998. Prior to joining American Century, he served as a Financial
Analyst for Chase Manhattan Bank. He has a bachelor's degree in finance from
Georgetown University and an MBA from Columbia University Graduate School of
Business.
6. HOW DO I BUY FUND SHARES?
American Century offers several ways to purchase shares
* Complete and return the enclosed application along with an investment
check payable to American Century Investments
* If you already have an American Century account, call us or access our Web
site to exchange shares from another American Century fund
* Call us and send your investment by bank wire transfer
Your initial investment must be at least $10,000. If your redemption
activity causes the value of your account to fall below this account
minimum, your shares may be redeemed involuntarily.
International Discovery American Century Investments
7. HOW DO I SELL FUND SHARES?
You may sell all or part of your fund shares on any business day by writing
or calling us. You also may exchange your shares in International Discovery
for shares in nearly 70 other mutual funds offered by American Century.
Depending on the options you select when you open your account, some
restrictions may apply. For your protection, some redemption requests
require a signature guarantee.
If you sell shares of International Discovery within 180 days of their
purchase, you will pay a redemption fee of 2.0% of the value of the shares
sold.
8. HOW ARE FUND DISTRIBUTIONS MADE AND TAXED?
International Discovery pays distributions of substantially all of its
income once a year, usually in December. Distributions from realized capital
gains are paid twice a year, usually in March and December. Distributions
may be taxable as ordinary income, capital gains or a combination of the
two. Capital gains are taxed at different rates depending on the length of
time the fund held the securities that were sold. Fund shareholders also may
be able to claim a foreign tax credit for any foreign income taxes paid by
the fund. Distributions are reinvested automatically in additional shares
unless you choose another option.
9. WHAT SERVICES ARE AVAILABLE?
American Century offers several ways to make it easier for you to manage
your account, such as
* telephone transactions
* wire and electronic funds transfers
* 24-hour Automated Information Line transactions
* 24-hour online Internet account access and transactions
You will find more information about these choices in Your Guide to American
Century Services, which you may request by calling us, accessing our Web
site or visiting one of our Investor Centers.
Information contained in the services guide pertains to shareholders who
invest directly with American Century rather than through an
employer-sponsored retirement plan or financial intermediary.
If you own or are considering purchasing fund shares through an
employer-sponsored retirement plan or financial intermediary, your ability
to purchase shares of the fund, exchange them for shares of other American
Century funds, and redeem them will depend on the terms of your plan or
financial intermediary. If you have questions about investing in an
employer-sponsored retirement plan or through a financial intermediary, call
a Service Representative at 1-800-345-3533.
International Discovery Fund Profile
- --------------------------------------------------------------------------------
[american century logo (reg.sm)]
American
Century
AMERICAN CENTURY INVESTMENTS
P.O. BOX 419200
KANSAS CITY, MISSOURI 64141-6200
INVESTOR RELATIONS
1-800-345-2021 or 816-531-5575
AUTOMATED INFORMATION LINE
1-800-345-8765
FAX
816-340-7962
TELECOMMUNICATIONS DEVICE FOR THE DEAF
1-800-634-4113 or 816-444-3485
BUSINESS, NOT-FOR-PROFIT AND
EMPLOYER-SPONSORED RETIREMENT PLANS
1-800-345-353
Visit our Web site at WWW.AMERICANCENTURY.COM
SH-PRF-16950 9907 Funds Distributor, Inc.
