April 12, 1996
Securities and Exchange Commission
Filing Desk
Judiciary Plaza
450 Fifth Street, N.W.
Washington, D.C. 20549
Re: Smith Breeden Series Fund
File Nos. 33-43089 and 811-6431
Ladies and Gentlemen:
Attached herewith for filing via E.D.G.A.R. on behalf of the Smith
Breeden Series Fund (the "Fund") pursuant to Rule 497(e) under the
Securities Act of 1933, as amended, is a copy of the supplement to
the Statement of Additional Information of the Fund dated August 1,
1995. The supplement reflects the addition of check writing to the
Smith Breeden Short Duration U.S. Government Series.
Please direct any comments or questions with respect to this filing
to Joseph T. Turo of Ropes & Gray, Counsel to the Fund, at (617)
951-7489, or to Marianthe S. Mewkill at (919) 967-7221.
Very truly yours,
Marianthe S. Mewkill
Vice President
MSM/clw
Att.
cc: J.B. Kittredge, Jr., Esq.
Joseph T. Turo, Esq.
Filed Pursuant to Rule 497(e)
1933 Act File No. 33-43089
1940 Act File No. 811-6431
SMITH BREEDEN SERIES FUND
SHORT DURATION U.S. GOVERNMENT SERIES
AND
INTERMEDIATE DURATION U.S. GOVERNMENT SERIES
Supplement Dated April 12, 1996
To Statement of Additional Information
Dated August 1, 1995
This is to supplement page 10 under "Additional Information
Regarding Purchases and Redemptions of Fund Shares," and
provides new information beyond that contained in the Statement
of Additional Information. This supplement should be read in
conjunction with the Statement of Additional Information.
Check Writing
In addition to telephone and written redemption requests,
the Short Duration U.S.Government Series now offers redemption
through check writing. Shareholders electing this option will
receive checks that may be used like personal or business checks.
There is no limit on the number of checks you may write. Checks
must be at least $100 and may not exceed $25,000. There is a
$30 fee for returned checks. Because dividends declared on
shares held in a shareholder's account, prior redemptions, and
possible changes in net asset value may cause the value of the
account to change, shareholders should not write a check for the
entire value of the account or close the account by writing a
check.
In using the check writing privilege, shareholders bear the
responsibility of ensuring that the check amount does not exceed
the value of their account on the day the check is presented to
the transfer agent for payment. The day the check is presented
for payment is the day the redemption of fund shares takes place.
If insufficent shares are in the account, the check will be
returned and no shares will be redeemed.
The clearing agent for the check writing facility is United
Missouri Bank. Shareholders utilizing check writing are subject
to United Missouri Bank's rules governing checking accounts.
However, this check writing facility is purely a means to redeem
fund shares. No facilities characteristic of bank accounts, such
as deposit insurance, are being provided along with the check
writing option.
If you would like to initiate check writing, please call
Shareholder Services at 1-800-221-3137.
u:\suplemnt\496.asc
