[LOGO] GE FUNDS
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SUPPLEMENT DATED SEPTEMBER 18, 1998
TO PROSPECTUS DATED AUGUST 31, 1998
GE SMALL-CAP VALUE EQUITY FUND
The following supplements the front-end sales charge information for the
GE Small-Cap Value Equity Fund (the "Small-Cap Value Fund") included in the
chart on page 50:
During the period from October 1, 1998 through January 31, 1999, the
Distributor will reallow to dealers an amount up to the entire front-end
sales charge on purchases of Class A shares of the Small-Cap Value Fund.
After January 31, 1999, such purchases will be subject to the applicable
Maximum Dealers' Reallowance.
GE TAX-EXEMPT FUND
The following replaces the first sentence of the fifth full paragraph
on page 30 under the section entitled "Investment Objectives and
Management Policies -- GE Tax-Exempt Fund" (the "Tax-Exempt Fund"):
The Tax-Exempt Fund is expected to have an effective duration ranging from
75% to 125% of the duration of the Lehman Brothers 10-Year Municipal Index
(the "Lehman Index"). As of June 30, 1998, the duration of the Lehman Index
was 6.83 years.
