MARSHALL FUNDS, INC.
SUPPLEMENT TO COMBINED PROSPECTUS DATED DECEMBER 31, 1995
The following information is a supplement to your combined prospectus dated
December 31, 1995. We're providing it to advise you of some changes in the
portfolios of Marshall Funds offered to investors.
I. Effective September 1, 1996, Marshall Funds will be offering a new
portfolio to shareholders, the MARSHALL SMALL-CAP STOCK FUND (`SMALL CAP
FUND'). You may purchase shares of the SMALL-CAP FUND directly by calling
Marshall Funds Investor Services (`MFIS'') at 414-287-8555 or 1-800-236-
8554, or by exchanging shares of any other Marshall Fund through the
exchange privilege described on page 15 of your Marshall Funds combined
prospectus. You must receive a copy of the SMALL CAP FUND'S prospectus
from MFIS before you invest. Please read the prospectus carefully before
investing or sending money. SMALL-CAP FUND may also be purchased through
M&I Brokerage Services, Inc.
II. Effective September 3, 1996, shares of the MARSHALL SHORT-TERM TAX-
FREE FUND will no longer be offered to the public. As such, all references
to the MARSHALL SHORT-TERM TAX-FREE FUND are deleted from the prospectus.
III. Also effective September 3, 1996, in addition to purchasing or
redeeming Marshall Funds shares through MFIS or M&I Brokerage Services,
investors may purchase or redeem shares through any other authorized
broker-dealer, financial institution or service provider.
Please insert the following paragraph as the third paragraph under
the section entitled `How to Buy Fund Shares'' on page 12 of the combined
prospectus:
`You may place a purchase order through any authorized broker-dealer or
financial institution, including a broker-dealer or financial institution
that may charge a transaction fee for this service. If you purchase Fund
shares through a program of services offered or administered by broker-
dealer, financial institution, or other service provider, you should read
the program materials, including information relating to fees, in
connection with the Funds' prospectus. Certain features of the Funds may
not be available or may be modified in connection with the program of
services provided.''
Please insert the following as the second paragraph of the sub-
section entitled `Net Asset Value'' on page 13 of the combined prospectus:
`It is the responsibility of MFIS, M&I Brokerage Services, any authorized
broker-dealer, financial institution or other service provider that has
entered into a sales or servicing agreement with the Funds, their
distributor, or administrative or shareholder servicing agent, to promptly
submit purchase orders to the Funds. Orders placed through one of these
entities are considered received when the Funds are notified of the
purchase or redemption order.''
September 9, 1996
G01010-07 (9/96)
MAR 608066
