Scudder (logo)
September 5, 1996
Dear Scudder Investor,
We're pleased to announce that Scudder Capital Growth Fund's Board of
Trustees has voted to change the Fund's management fee schedule to help
shareholders benefit from economies of scale provided by the Fund's growth.
The prospectus supplement on the reverse side is formal notice of changes
in Scudder Capital Growth Fund's management fee schedule that was voted on and
approved by the Fund's Board of Trustees on September 4, 1996.
If you have any questions about these changes, please call us at
1-800-225-2470, between 8 a.m. and 8 p.m., eastern time, Monday through Friday.
We will be happy to help you.
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)
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Scudder (logo)
Scudder Capital Growth Fund
Supplement to Prospectus
Dated February 1, 1996
On September 4, 1996, the Fund's Board of Trustees approved a new Investment
Management Agreement, which reduced the management fee payable to the Adviser on
assets in excess of $1.5 billion. The complete fee schedule is:
Annual Investment
Average daily net assets Management fee rate
- ------------------------ -------------------
First $500 million 0.75 of 1%
Exceeding $500 million 0.65 of 1%
Exceeding $1 billion 0.60 of 1%
Exceeding $1.5 billion 0.55 of 1%
The effect of this graduation is that increases in the Fund's net assets will
result in a lower annual fee rate and decreases in the Fund's net assets will
result in a higher annual fee rate.
As of September 5, 1996, the effective date of the new Investment Management
Agreement, the Fund's net assets were approximately $1.5 billion.
September 5, 1996
