Scudder Small Company
Value Fund
Supplement to Prospectus
dated October 6, 1995
The following text replaces the section entitled "Transaction information --
Exchanging and redeeming shares."
Exchanging and redeeming shares
Upon the redemption or exchange of shares held less than one year, a fee of 1%
of the current net asset value of the shares will be assessed and retained by
the Fund for the benefit of the remaining shareholders. The fee is waived for
all shares purchased through certain retirement plans, including 401(k) plans,
403(b) plans, 457 plans, Keogh accounts, and Profit Sharing and Money Purchase
Pension Plans. However, if such shares are purchased through a broker, financial
institution or recordkeeper maintaining an omnibus account for the shares, such
waiver may not apply. (Before purchasing shares, please check with your account
representative concerning the availability of the fee waiver.) In addition, this
waiver does not apply to IRA and SEP-IRA accounts. This fee is intended to
encourage long-term investment in the Fund, to avoid transaction and other
expenses caused by early redemptions, and to facilitate portfolio management.
The fee is not a deferred sales charge, is not a commission paid to the Adviser
or its subsidiaries, and does not benefit the Adviser in any way. The Fund
reserves the right to modify the terms of or terminate this fee at any time. The
fee applies to redemptions from the Fund and exchanges to other Scudder funds,
but not to dividend or capital gains distributions which have been automatically
reinvested in the Fund. The fee is applied to the shares being redeemed or
exchanged in the order in which they were purchased. See "Exchanges and
Redemptions" in the Fund's Statement of Additional Information for a more
detailed description of the redemption fee.
June 17, 1996
<PAGE>
June 17, 1996
Dear Scudder Investor,
The prospectus supplement on the reverse side contains some important
information regarding Scudder Small Company Value Fund's redemption fee. This 1%
fee, charged upon redemption or exchange of shares held less than one year, is
waived for all shares purchased through certain retirement plans, including
401(k) plans, 403(b) plans, 457 plans, Keogh accounts, and Profit Sharing and
Money Purchase Pension Plans. However, if shares are purchased for a retirement
plan account through a broker, financial institution or recordkeeper who
maintains an omnibus account for the shares, the waiver may not apply. In
addition, this waiver does not apply to IRA and SEP-IRA accounts.
Please contact a Scudder Investor Relations representative at 1-800-225-2470
between 8 a.m. and 8 p.m., eastern time, Monday through Friday, should you have
any questions about this or any other Scudder Fund.
Sincerely,
/s/David S. Lee
David S. Lee
President, Scudder Investor Services, Inc.
This letter is for explanatory purposes and is not part of the prospectus
supplement on the reverse side.
(over, please)
