Prospectus Supplement dated December 12, 1997, to the following Prospectuses:
The JPM Institutional Emerging Markets Equity Fund, dated February 28, 1997
The JPM Institutional European Equity Fund, dated April 30, 1997
The JPM Institutional International Bond Fund, dated December 27, 1996
The JPM Institutional Japan Equity Fund, dated April 30, 1997
The JPM Institutional U.S. Equity Fund, dated September 26, 1997
The JPM Institutional U.S. Small Company Fund, dated September 26, 1997
Introduction. The Funds listed above invest in Portfolios along with other
investors, including non-U.S. funds managed by Morgan. These non-U.S. funds are
scheduled to reorganize by transferring their assets to other non-U.S. funds
managed by Morgan in December and January.
Portfolio Redemptions. Each Portfolio expects to receive a substantial
redemption request from its non-U.S. feeder Fund in connection with the
reorganization. These redemptions will not reduce the net assets of the Funds,
but they will reduce the size of the Portfolios by approximately the following
amounts: Emerging Markets Equity, $452.1 million; European Equity, $469.2
million; Non-U.S. Fixed Income, $225.8 million; Japan Equity, $264.8 million;
U.S. Equity, $164.9 million; and U.S. Small Company, $521.5 million. After the
redemptions, the Portfolios' assets are expected to be approximately as follows:
Emerging Markets Equity, $355.6 million; European Equity, $14.9 million;
Non-U.S. Fixed Income, $6.8 million; Japan Equity, $4.0 million; U.S. Equity,
$745.8 million; and U.S. Small Company, $707.6 million. Morgan will continue to
manage each Fund in accordance with its prospectus.
Expense Ratios. As a result of the redemptions, the total expense ratio of The
JPM Institutional Emerging Markets Equity Fund will be capped until further
notice at its pre-redemption expense ratio, currently estimated to be 1.45%. The
expense ratios of the other listed Funds will not change as they are subject to
the expense caps described in their propsectuses.
