COLONIAL SMALL CAP VALUE FUND
Supplement to the October 30, 1998, Class Z Share Prospectus
The Fund's Prospectus is amended as follows:
(1) The sixth paragraph on the front cover to the Prospectus is revised in its
entirety as follows:
The following eligible institutional investors may purchase Class Z shares:
(i) any retirement plan with aggregate assets of at least $5 million at the
time of purchase of Class Z shares and which purchases shares directly from
Liberty Funds Distributor, Inc. (Distributor) or through a third party
broker-dealer; (ii) any insurance company, trust company or bank purchasing
shares for its own account; and (iii) any endowment, investment company or
foundation. In addition, Class Z shares may be purchased directly or by
exchange by any clients of investment advisory affiliates of the
Distributor provided that these clients meet certain criteria established
by the Distributor and its affiliates.
(2) The sub-caption "Borrowing of Money" under the caption HOW THE FUND PURSUES
ITS OBJECTIVE AND CERTAIN RISK FACTORS is revised in its entirety as
follows:
Borrowing of Money. The Fund may borrow money from banks, other affiliated
funds and other entities to the extent permitted by law for temporary or
emergency purposes up to 33 1/3% of its total assets.
SC-36/766G-0299 February 26, 1999
