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PAINEWEBBER TACTICAL ALLOCATION FUND
SUPPLEMENT TO PROSPECTUS DATED JULY 1, 1996
August 6, 1996
Dear Investor,
This is a supplement to the Prospectus of PaineWebber Tactical Allocation
Fund, dated July 1, 1996. The purpose of this supplement is to notify
the Fund's shareholders of a change to its dividend policy. Effective
immediately PaineWebber Tactical Allocation Fund pays any dividends annually
from its net investment income. This means that the Fund's next dividend
is scheduled to be declared and paid in December 1996.
If you have any questions regarding PaineWebber Tactical Allocation Fund,
please call your Investment Executive at PaineWebber or one of its correspondent
firms.
