<PAGE> 1
SUPPLEMENT TO THE PROSPECTUS
WARBURG PINCUS INSTITUTIONAL FUND -- SMALL COMPANY VALUE PORTFOLIO
The following information modifies certain information contained in the section
of the fund's Prospectus entitled "Performance Summary--Average Annual Total
Returns."
In light of the portfolio's value stock emphasis, the fund has changed its
performance benchmark from the Russell 2000 Index to the Russell 2000 Value
Index. The Russell 2000 Value Index is an unmanaged index (with no defined
objective) of those companies in the Russell 2000 Index with lower price-to-book
and lower forecasted growth values. For the one-year period ended December 31,
1999, and for the period October 31, 1997 (inception date of the portfolio)
through December 31, 1999, the average annual total returns for the Russell 2000
Value Index were -1.49% and -1.71%, respectively. The portfolio's average annual
total returns for the same periods were .42% and -7.34%, respectively.
Dated: May 2, 2000 WPINU-16-0500
