[Image] Scudder Classic Growth Fund Profile [Image]
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The fund profile, a supplement to the full prospectus, is designed as
an easy-to-read summary of fund risks, fees, and objectives. You can
click on any question to link to the Fund's prospectus and get more
information on that topic. Or, if you wish, you can proceed directly
to the Fund's prospectus. Once you have read the prospectus and
considered your investment goals, you can proceed to a Scudder Funds
application.
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Fund Profile
November 1, 1997
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1. What Are The Fund's Objectives?
Scudder Classic Growth Fund seeks to provide long-term growth of
capital and to keep the value of its shares more stable than other
growth mutual funds.
2. What Does The Fund Invest In?
Under normal market conditions, the Fund invests primarily in a
diversified portfolio of common stocks which the Fund's investment
adviser, Scudder, Stevens & Clark, Inc., believes offers above-average
appreciation potential yet, as a portfolio, offers the potential for
less share price volatility than other growth mutual funds. The
adviser focuses its investments in high quality, medium- to
large-sized U.S. companies with leading competitive positions. While
the Fund emphasizes U.S. investments, it can commit a portion of its
assets to equity securities of foreign growth companies that meet the
criteria applicable to domestic investments. Using in-depth
fundamental company research, along with proprietary financial
quality, stock rating and risk measures, the adviser looks for
companies with strong and sustainable earnings growth, a proven
ability to add value over time, and reasonable stock market
valuations.
The Fund may also purchase other types of equity securities including
securities convertible into common stocks, preferred stocks, rights
and warrants. In addition, the Fund may invest in foreign securities
that meet the same criteria as its domestic holdings. In addition, the
Fund may invest up to 20% of its assets in debt securities when the
adviser anticipates that the capital appreciation on debt securities
is likely to equal or exceed the capital appreciation on common stocks
over a selected time.
3. What Are The Risks Of Investing In The Fund?
While the Fund is broadly diversified and conservatively managed, with
attention paid to stock valuation and risk, the Fund's share price
will move up and down with changes in the general level of the
financial markets. While the Fund emphasizes U.S. investments, foreign
securities in which the Fund may invest often have less publicly
available information and are subject to different regulations than
domestic securities. Political events, changes in the perceived
creditworthiness of issuers, higher brokerage costs, fluctuating
national interest rates, foreign taxes and movements in foreign
currencies will affect the value of the Fund's foreign holdings which
determine the Fund's share price. You incur principal risk when you
invest because your shares, when sold, may be worth more or less than
what you paid for them.
4. For Whom Is This Fund Appropriate?
You may wish to consider this Fund if you are seeking capital growth
and less share price volatility than other growth mutual funds, and :
o plan to hold your investment for the long-term (at least 5 years
or more),
o can tolerate fluctuations in share price,
o have or plan to have other investments for the benefit of
diversification, and
o understand the risks of stock market investing.
5. What Are The Fund's Expenses And Fees?
There are two kinds of expenses that a shareholder may incur, directly
or indirectly, by investing in a mutual fund. These types of expenses,
as they relate to Scudder Classic Growth Fund are:
Shareholder transaction expenses --
Expenses charged directly to your account for various transactions.
Please note that there is a $5 service fee if you request redemption
proceeds via wire.
Sales Commission None
Commissions to Reinvest Dividends None
Redemption Fee None
Exchange Fee None
Annual Fund operating expenses (after expense maintenance) --
Expenses paid by the Fund before it distributes its net investment
income, expressed as a percentage of the Fund's average daily net
assets. Figures below have been estimated for the initial fiscal
year during which Scudder has agreed to maintain the total
annualized expenses of the Fund at not more than 1.25% of average
daily net assets. Had Scudder not done so, it is estimated that the
total operating expenses would have amounted to 2.15%, including
0.70% for management fees. Scudder will continue this expense
maintenance until December 31, 1997.
Investment management fee (after waiver) 0.00%
12b-1 fees None
Other expenses (after waiver) 1.25%
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Total Fund operating expenses (after waiver) 1.25%
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Example:
Assuming a 5% annual return and redemption at the end of each
period, the total expenses relating to a $1,000 investment would be:
1 Year 3 Years
$13 $40
This example assumes reinvestment of all dividends and distributions
and that the total Fund operating expenses listed above remain the
same each year. This example should not be considered a representation
of past or future expenses or return. Actual Fund expenses and return
vary from year to year and may be higher or lower than those shown.
6. How Has The Fund Performed Historically?
This chart shows how the Fund has performed since it commenced
operations on September 9, 1996, assuming reinvestment of all
distributions. Performance is historical and is no guarantee of future
results. Total return and principal value will fluctuate.
The Fund's Total Return for the period
ended September 30, 1997
One Year 46.05%
Life of Fund 49.94%
* Not annualized. If the adviser had not maintained the Fund's
expenses, total return would have been lower.
7. Who Manages The Fund?
The Fund's investment adviser is Scudder, Stevens & Clark, Inc., a
leading provider of U.S. and international investment management for
clients throughout the world. The Fund is managed by a team of Scudder
investment professionals who each play an important role in the Fund's
investment process.
Lead Portfolio Manager William F. Gadsden focuses on overall
investment strategy and has 14 years of investment industry experience
and joined Scudder in 1983. Bruce F. Beaty, Portfolio Manager, focuses
on securities selection and assists with the creation and
implementation of investment strategy for the Fund. He has 15 years of
investment industry experience and joined Scudder in 1991.
8. How Can I Invest?
To make it easy for you to open an account, you may invest by mail,
phone, fax, or in person. The minimum initial investment is $2,500,
except that shareholders may open an account with at least $1,000 if
an automatic investment plan of $100/month is established. Scudder
retirement plans and certain other accounts have similar or lower
minimum share balance requirements. A shareholder who maintains a
nonfiduciary account balance of less than $2,500 without establishing
an automatic investment plan, will be assessed an annual fee of
$10.00, payable to the Fund. Retirement accounts and certain other
accounts will not be assessed the $10.00 charge. You may also exchange
Fund shares free of charge within the Scudder Family of Funds.
9. How Can I Redeem Shares?
You may redeem shares at the current share price on any business day
by telephone, fax, or mail.
10. When Are Distributions Made?
The Fund typically makes distributions in November or December. You
may elect to receive distributions in cash or have them reinvested in
additional shares of the Fund.
Generally, dividends from net investment income are taxable to
shareholders as ordinary income. Long-term capital gains
distributions, if any, are taxable as long-term capital gains
regardless of the length of time shareholders have owned their shares.
Short-term capital gains and any other taxable income distributions
are taxable as ordinary income. A portion of dividends from net
investment income may qualify for the dividends-received deduction for
corporations.
11. What Services Does Scudder Provide?
As a shareholder, you'll enjoy:
o professional service from representatives who can answer your
questions and execute your transactions
o automated toll-free touchtone access to account information,
share prices and yields, and to perform transactions
o Scudder's quarterly shareholder newsletter, Scudder Perspectives
o regular, informative reports about the performance of your Fund
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[Image]Scudder wants you to make informed investment decisions. This
Fund Profile contains key information about the Fund. If you would
like more information before you invest, please consult the Fund's
accompanying prospectus. For details about the Fund's holdings or
recent investment strategies, please review the Fund's most recent
annual or semiannual report. The reports are free and may be ordered
by calling 1-800-225-2470.
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