RIMCO MONUMENT FUNDS
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SUPPLEMENT TO THE COMBINED PROSPECTUS DATED JUNE 30, 1997
A. Please delete the "Expenses of the Funds--Money Market Funds" table on page 3
and replace it with the following:
EXPENSES OF THE FUNDS--MONEY MARKET FUNDS
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SHAREHOLDER TRANSACTION EXPENSES
Maximum Sales Charge Imposed on Purchases (as a percentage of offering price)............................. None
Maximum Sales Charge Imposed on Reinvested Dividends (as a percentage of offering price).................. None
Contingent Deferred Sales Charge (as a percentage of original purchase price or
redemption proceeds, as applicable)..................................................................... None
Redemption Fees (as a percentage of amount redeemed, if applicable)....................................... None
Exchange Fee.............................................................................................. None
ANNUAL FUND OPERATING EXPENSES
(As a percentage of average net assets)
PRIME MONEY MARKET FUND
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U.S. TREASURY CLASS A CLASS B
MONEY MARKET FUND SHARES SHARES
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Management Fee (after waiver)(1).................................. 0.42% 0.39% 0.39%
12b-1 Fee(2)...................................................... None None 0.42%
Total Other Expenses (after waiver)(3)............................ 0.21% 0.19% 0.19%
Total Annual Fund Operating Expenses (after waivers)(4)....... 0.63% 0.58% 1.00%
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(1) The management fee of each Fund has been reduced to reflect the voluntary
waiver by the investment adviser. The adviser can terminate this voluntary
waiver of expenses at any time at its sole discretion. With respect to each
Fund, the maximum management fee is 0.50%.
(2) The 12b-1 Fee for the Class B Shares of the Prime Money Market Fund has been
reduced to reflect the voluntary waiver by the distributor. The distributor can
terminate this voluntary waiver at any time at its sole discretion. The maximum
12b-1 Fee for the Class B Shares of the Prime Money Market Fund is 0.50%.
(3) Total other expenses have been reduced to reflect the voluntary waiver of a
portion of the administrative fee by the administrator. The administrator can
terminate this voluntary waiver at any time at its sole discretion.
(4) The Annual Fund Operating Expenses for the fiscal year ended April 30, 1997
were 0.57%, 0.51%, and 1.01% for U.S. Treasury Money Market Fund, Class A Shares
of Prime Money Market Fund, and Class B Shares of Prime Money Market Fund,
respectively. Absent the voluntary waiver of the management fees as described in
footnote (1) above, the Annual Fund Operating Expenses would have been: 0.70%
for the U.S. Treasury Money Market Fund, 0.68% for Class A Shares of the Prime
Money Market Fund, and 1.18% for the Class B Shares of the Prime Money Market
Fund.
The purpose of this table is to assist the investor in understanding the
various costs and expenses that a shareholder in the Funds will bear, either
directly or indirectly. For more complete descriptions of the various costs and
expenses, see "RIMCO Monument Funds Information." Wire-transferred redemptions
of less than $5,000 or in excess of one per month may be subject to additional
fees.
LONG-TERM SHAREHOLDERS MAY PAY MORE THAN THE ECONOMIC EQUIVALENT OF THE
MAXIMUM FRONT-END SALES CHARGES PERMITTED UNDER THE RULES OF THE NATIONAL
ASSOCIATION OF SECURITIES DEALERS, INC.
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PRIME MONEY MARKET FUND
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U.S. TREASURY CLASS A CLASS B
EXAMPLE MONEY MARKET FUND SHARES SHARES
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You would pay the following expenses on a $1,000 investment
assuming (1) 5% annual return; (2) redemption at the end of each time period.
1 Year.......................................................... $ 6 $ 6 $ 10
3 Years......................................................... $20 $ 19 $ 32
5 Years......................................................... $35 $ 32 $ 55
10 Years......................................................... $79 $ 73 $122
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The above examples are estimated based upon expected expenses for the fiscal
year ending April 30, 1998.
THE ABOVE EXAMPLES SHOULD NOT BE CONSIDERED A REPRESENTATION OF PAST OR
FUTURE EXPENSES. ACTUAL EXPENSES MAY BE GREATER OR LESS THAN THOSE SHOWN.
<PAGE>
B. Please delete the section entitled "Administrative Services" on page 28 and
replace it with the following:
"ADMINISTRATIVE SERVICES. Federated Services Company, a subsidiary of
Federated Investors, provides administrative personnel and services
(including certain legal and financial reporting services and transfer
agency services) necessary to operate the Funds. Through its subsidiaries,
Federated Services Company provides these at an annual rate of 0.16 of 1%
of the average aggregate daily net assets of the Trust. Federated Services
Company may choose voluntarily to waive a portion of its fee."
December 30, 1997
Federated Securities Corp., Distributor
Cusip 766730303 Cusip 766730105 Cusip 766730402 Cusip 766730204 Cusip
766730501 Cusip 766730600
G01269-04 (12/97) (Recycled Paper Logo)
