<PAGE>
The Munder Funds
Supplement Dated October 27, 1998
to Prospectus Dated October 27, 1998
Class A, B and C Shares of:
Munder Balanced Fund, Munder Growth & Income Fund, Munder Growth Opportunities
Fund, Munder International Equity Fund, Munder Micro-Cap Equity Fund, Munder
Multi-Season Growth Fund, Munder NetNet Fund, Munder Real Estate Equity
Investment Fund, Munder Small-Cap Value Fund, Munder Small Company Growth Fund,
Munder Value Fund, Munder Framlington Emerging Markets Fund, Munder
Framlington Global Financial Services Fund, Munder Framlington Healthcare
Fund and Munder Framlington International Growth Fund
The Class A, B and C Shares of the Munder Growth Opportunities Fund and Munder
Framlington Global Financial Services Fund are not currently available for
purchase.
<PAGE>
The Munder Funds
Supplement Dated October 27, 1998
to Prospectus Dated October 27, 1998
Class A and B Shares of:
Munder All-Season Conservative Fund, Munder All-Season Moderate Fund and
Munder All-Season Aggressive Fund
The "FUND OPERATING EXPENSES" section in the Prospectus is hereby supplemented
as follows:
<TABLE>
<CAPTION>
Class Y Shares
--------------
<S> <C>
Accelerating Growth
Fund.......................................... .95%
</TABLE>
The "EXAMPLE" section in the Prospectus is hereby supplemented as follows:
EXAMPLE
This example shows the amount of expenses you would pay (directly or
indirectly) on a $1,000 investment in the Fund assuming (1) a 5% annual return
and (2) redemption at the end of the time periods (including the deduction of
the deferred sales charge, if any). THIS EXAMPLE IS NOT A REPRESENTATION OF PAST
OR FUTURE PERFORMANCE OR OPERATING EXPENSES; ACTUAL PERFORMANCE OR OPERATING
EXPENSES MAY BE LARGER OR SMALLER THAN THOSE SHOWN.
<TABLE>
<CAPTION>
CONSERVATIVE FUND MODERATE FUND AGGRESSIVE FUND
------------------------ ------------------------ -----------------------
CLASS A CLASS B CLASS A CLASS B CLASS A CLASS B
SHARES SHARES SHARES SHARES SHARES SHARES
-------- -------- -------- -------- -------- --------
<S> <C> <C> <C> <C> <C> <C>
1 YEAR
. Redemption........................... $ 64 $ 73 $ 66 $ 75 $ 67 $ 76
. No Redemption........................ $ 64 $ 22 $ 66 $ 23 $ 67 $ 24
3 YEARS
. Redemption........................... $ 94 $101 $ 98 $104 $101 $107
. No Redemption........................ $ 94 $ 68 $ 98 $ 71 $101 $ 75
5 YEARS
. Redemption........................... $126 $139 $132 $145 $137 $151
. No Redemption........................ $126 $117 $132 $122 $132 $128
10 YEARS
. Redemption........................... $216 $250 $228 $262 $239 $273
. No Redemption........................ $216 $250 $228 $262 $239 $273
</TABLE>
Based on the expenses for the Funds and the Underlying Funds shown above,
and assuming the neutral asset allocation for each Fund set forth below, the
average weighted expense ratio for each Fund, expressed as a percentage of each
Fund's average daily net assets, is estimated to be as follows:
<TABLE>
<CAPTION>
EXPENSE RATIO
---------------
CLASS A CLASS B
SHARES SHARES
--------- ---------
<S> <C> <C>
Conservative Fund................................... 1.45% 2.15%
Moderate Fund....................................... 1.56% 2.26%
Aggressive Fund..................................... 1.67% 2.37%
</TABLE>
The "FUND CHOICES--What are the Funds' Investments and Investment Practices?"
section in the Prospectus is hereby supplemented as follows:
<TABLE>
<CAPTION>
CONSERVATIVE FUND MODERATE FUND AGGRESSIVE FUND
----------------- ------------- ---------------
MINIMUM MAXIMUM MINIMUM MAXIMUM MINIMUM MAXIMUM
------- ------- ------- ------- ------- -------
<S> <C> <C> <C> <C> <C> <C>
Equity Funds
Accelerating Growth Fund....... 0% 5% 0% 10% 0% 15%
</TABLE>
<PAGE>
The "FUND CHOICES--What are the Underlying Funds' Investments and Investment
Practices?" section in the Prospectus is hereby supplemented as follows:
ACCELERATING GROWTH FUND
GOALS AND PRINCIPAL INVESTMENTS. The Fund's primary goal is to provide
long-term capital appreciation; its secondary goal is to provide income. Under
normal conditions, the Fund will invest at least 65% of its assets in Equity
Securities.
In choosing Equity Securities, the Advisor considers, among other factors:
. the potential for accelerated earnings growth
. the maintenance of a substantial competitive advantage
. a focused management team
. a stable balance sheet.
PORTFOLIO MANAGEMENT. A committee of professional portfolio managers
employed by the Advisor makes investment decisions for the Fund.
The Fund is closed to new investments.
Investment Charts
EQUITY FUNDS
<TABLE>
<CAPTION>
- -----------------------------------------------------------------------------------------------
ACCELERATING
INVESTMENTS AND GROWTH
INVESTMENT PRACTICES FUND
- -----------------------------------------------------------------------------------------------
<S> <C>
FOREIGN SECURITIES. Includes securities issued by non-U.S. companies. 25%
Present more risks than U.S. securities.
- -----------------------------------------------------------------------------------------------
LOWER-RATED DEBT SECURITIES. Fixed Income Securities which are rated Y
below investment grade by Standard & Poor's Ratings Service, Moody's
Investors Service, Inc. or other nationally recognized rating agency.
Considered riskier than investment grade securities.
- -----------------------------------------------------------------------------------------------
INVESTMENT-GRADE ASSET BACKED SECURITIES. Includes debt securities N
backed by mortgages, installment sales contracts and credit card receivables.
- -----------------------------------------------------------------------------------------------
STRIPPED SECURITIES. Includes participations in trusts that hold U.S. N
Treasury and agency securities which represent either the interest
payments or principal payments on the securities or combination
of both.
- -----------------------------------------------------------------------------------------------
FORWARD FOREIGN CURRENCY EXCHANGE CONTRACTS. Obligations of a Fund Y
to purchase or sell a specific currency at a future date at a set price.
May decrease a Fund's loss due to a change in a currency value, but
also limits gains from currency changes.
- -----------------------------------------------------------------------------------------------
WHEN-ISSUED PURCHASES AND FORWARD COMMITMENTS. Agreement by a Fund to Y
purchase securities at a set price, with delivery and payment in the future.
The value of securities may change between the time the price is set and
payment. Not to be used for speculation.
- -----------------------------------------------------------------------------------------------
FUTURES AND OPTIONS ON FUTURES. (1) Contracts in which a Fund has the right Y
or the obligation, at maturity, to make delivery of or receive securities,
the cash value of an index, or foreign currency. Used for hedging purposes
or to maintain liquidity.
- -----------------------------------------------------------------------------------------------
OPTIONS. A Fund may buy options giving it the right to require a buyer to Y
buy a security held by the Fund (put options), buy options giving it the
right to require a seller to sell securities to the Fund (call options),
sell (write) options giving a buyer the right to require the Fund to buy
securities from the buyer or write options giving a buyer the right to
require the Fund to sell securities to the buyer, during a set time at a
set price. Options may relate to securities indices, individual securities,
foreign currencies or futures contracts. See the SAI for more details and
additional limitations.
- -----------------------------------------------------------------------------------------------
REVERSE REPURCHASE AGREEMENTS. A Fund sells securities and agrees to buy Y
them back later at an agreed upon time and price. A method to borrow money
for temporary purposes.
- -----------------------------------------------------------------------------------------------
REAL ESTATE INVESTMENT TRUSTS. Companies, usually traded publicly, that Y
manage a portfolio of real estate. Risks involved in such investments
include vulnerability to decline in real estate prices and new construction rates.
- -----------------------------------------------------------------------------------------------
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
- ---------------------------------------------------------------------------------------------------
ACCELERATING
INVESTMENTS AND GROWTH
INVESTMENT PRACTICES FUND
- ---------------------------------------------------------------------------------------------------
<S> <C>
SHORT SALES. A transaction in which the Fund sells a security it does not N
own in anticipation that the market price of that security will decline.
It must borrow the security sold short and deliver it to the broker-dealer
through which it made the short sale as collateral for its obligation to
deliver the security upon conclusion of the sale. May also sell securities
that it owns or has the right to acquire at no additional cost but does not
intend to deliver to the buyer, a practice known as selling short "against the box."
- ---------------------------------------------------------------------------------------------------
ILLIQUID SECURITIES. Typically there is no ready market for these securities, 15%(2)
which inhibits the ability to sell them for full market value, or there are
legal restrictions on their resale by the Fund.
- ---------------------------------------------------------------------------------------------------
LENDING SECURITIES. A Fund may lend securities to financial institutions which 25%
pay for the use of the securities. May increase return. Slight risk of borrower
failing financially.
- ---------------------------------------------------------------------------------------------------
</TABLE>
Key:
Y = investment allowed without restriction
N = investment not allowed
(1) The limitation on margins and premiums for futures and options on futures
is 5% of a Fund's assets
(2) Based on net assets
<PAGE>
The Munder Funds
Supplement Dated October 27, 1998
to Prospectus Dated October 27, 1998
Class Y Shares of:
Munder All-Season Conservative Fund, Munder All-Season Moderate Fund and
Munder All-Season Aggressive Fund
The "FUND OPERATING EXPENSES" section in the Prospectus is hereby supplemented
as follows:
<TABLE>
<CAPTION>
Class Y Shares
--------------
<S> <C>
Accelerating Growth Fund............................................ .95%
</TABLE>
The "EXAMPLE" section in the Prospectus is hereby supplemented as follows:
EXAMPLE
This example shows the amount of expenses you would pay (directly or
indirectly) on a $1,000 investment in the Fund assuming (1) a 5% annual return
and (2) redemption at the end of the time periods (including the deduction of
the deferred sales charges, if any). THIS EXAMPLE IS NOT A REPRESENTATION OF
PAST OR FUTURE PERFORMANCE OR OPERATING EXPENSES; ACTUAL PERFORMANCE OR
OPERATING EXPENSES MAY BE LARGER OR SMALLER THAN THOSE SHOWN.
<TABLE>
<CAPTION>
CONSERVATIVE FUND MODERATE FUND AGGRESSIVE FUND
----------------- ------------- ---------------
<S> <C> <C> <C>
1 YEAR
. Redemption............. $ 12 $ 13 $ 14
. No Redemption.......... $ 12 $ 13 $ 14
3 YEARS
. Redemption............. $ 37 $ 40 $ 44
. No Redemption.......... $ 37 $ 40 $ 44
5 YEARS
. Redemption............. $ 64 $ 69 $ 75
. No Redemption.......... $ 64 $ 69 $ 75
10 YEARS
. Redemption............. $140 $152 $165
. No Redemption.......... $140 $152 $165
</TABLE>
Based on the expenses for the Funds and the Underlying Funds shown above,
and assuming the neutral asset allocation for each Fund set forth below, the
average weighted expense ratio for each Fund, expressed as a percentage of each
Fund's average daily net assets, is estimated to be as follows:
<TABLE>
<CAPTION>
EXPENSE RATIO
-------------
<S> <C>
Conservative Fund........................................................................ 1.15%
Moderate Fund............................................................................ 1.26%
Aggressive Fund.......................................................................... 1.37%
</TABLE>
The "FUND CHOICES--What are the Funds' Investments and Investment Practices?"
section in the Prospectus is hereby supplemented as follows:
<TABLE>
<CAPTION>
CONSERVATIVE FUND MODERATE FUND AGGRESSIVE FUND
------------------ ------------------ ------------------
MINIMUM MAXIMUM MINIMUM MAXIMUM MINIMUM MAXIMUM
-------- -------- -------- -------- -------- --------
<S> <C> <C> <C> <C> <C> <C>
Equity Funds
Accelerating Growth Fund............ 0% 5% 0% 10% 0% 15%
</TABLE>
<PAGE>
The "FUND CHOICES--What are the Underlying Funds' Investments and Investment
Practices?" section in the Prospectus is hereby supplemented as follows:
ACCELERATING GROWTH FUND
GOALS AND PRINCIPAL INVESTMENTS. The Fund's primary goal is to provide
long-term capital appreciation; its secondary goal is to provide income. Under
normal conditions, the Fund will invest at least 65% of its assets in Equity
Securities.
In choosing Equity Securities, the Advisor considers, among other factors:
. the potential for accelerated earnings growth
. the maintenance of a substantial competitive advantage
. a focused management team
. a stable balance sheet.
PORTFOLIO MANAGEMENT. A committee of professional portfolio managers
employed by the Advisor makes investment decisions for the Fund.
The Fund is closed to new investments.
Investment Charts
EQUITY FUNDS
<TABLE>
<CAPTION>
ACCELERATING
INVESTMENTS AND GROWTH
INVESTMENT PRACTICES FUND
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
FOREIGN SECURITIES. Includes securities issued by non-U.S. companies. Present more risks than U.S. 25%
securities.
- -------------------------------------------------------------------------------------------------------------------------
LOWER-RATED DEBT SECURITIES. Fixed Income Securities which are rated below investment grade by Y
Standard & Poor's Ratings Service, Moody's Investors Service, Inc. or other nationally recognized
rating agency. Considered riskier than investment grade securities.
- -------------------------------------------------------------------------------------------------------------------------
INVESTMENT-GRADE ASSET BACKED SECURITIES. Includes debt securities backed by mortgages, installment N
sales contracts and credit card receivables.
- -------------------------------------------------------------------------------------------------------------------------
STRIPPED SECURITIES. Includes participations in trusts that hold U.S. Treasury and agency securities N
which represent either the interest payments or principal payments on the securities or combination
of both.
- -------------------------------------------------------------------------------------------------------------------------
FORWARD FOREIGN CURRENCY EXCHANGE CONTRACTS. Obligations of a Fund to purchase or sell a specific Y
currency at a future date at a set price. May decrease a Fund's loss due to a change in a currency
value, but also limits gains from currency changes.
- -------------------------------------------------------------------------------------------------------------------------
WHEN-ISSUED PURCHASES AND FORWARD COMMITMENTS. Agreement by a Fund to purchase securities at a set Y
price, with delivery and payment in the future. The value of securities may change between the time
the price is set and payment. Not to be used for speculation.
- -------------------------------------------------------------------------------------------------------------------------
FUTURES AND OPTIONS ON FUTURES. (1) Contracts in which a Fund has the right or the obligation, at Y
maturity, to make delivery of or receive securities, the cash value of an index, or foreign
currency. Used for hedging purposes or to maintain liquidity.
- -------------------------------------------------------------------------------------------------------------------------
OPTIONS. A Fund may buy options giving it the right to require a buyer to buy a security held by the Y
Fund (put options), buy options giving it the right to require a seller to sell securities to the
Fund (call options), sell (write) options giving a buyer the right to require the Fund to buy
securities from the buyer or write options giving a buyer the right to require the Fund to sell
securities to the buyer, during a set time at a set price. Options may relate to securities
indices, individual securities, foreign currencies or futures contracts. See the SAI for more
details and additional limitations.
- -------------------------------------------------------------------------------------------------------------------------
REVERSE REPURCHASE AGREEMENTS. A Fund sells securities and agrees to buy them back later at an agreed Y
upon time and price. A method to borrow money for temporary purposes.
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
- -------------------------------------------------------------------------------------------------------------------------
ACCELERATING
INVESTMENTS AND GROWTH
INVESTMENT PRACTICES FUND
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
REAL ESTATE INVESTMENT TRUSTS. Companies, usually traded publicly, that manage a portfolio of real Y
estate. Risks involved in such investments include vulnerability to decline in real estate prices
and new construction rates.
- -------------------------------------------------------------------------------------------------------------------------
SHORT SALES. A transaction in which the Fund sells a security it does not own in anticipation that N
the market price of that security will decline. It must borrow the security sold short and deliver
it to the broker-dealer through which it made the short sale as collateral for its obligation to
deliver the security upon conclusion of the sale. May also sell securities that it owns or has the
right to acquire at no additional cost but does not intend to deliver to the buyer, a practice known
as selling short "against the box."
- -------------------------------------------------------------------------------------------------------------------------
ILLIQUID SECURITIES. Typically there is no ready market for these securities, which inhibits the 15%(2)
ability to sell them for full market value, or there are legal restrictions on their resale by the
Fund.
- -------------------------------------------------------------------------------------------------------------------------
LENDING SECURITIES. A Fund may lend securities to financial institutions which pay for the use of the 25%
securities. May increase return. Slight risk of borrower failing financially.
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
Key:
Y = investment allowed without restriction
N = investment not allowed
(1) The limitation on margins and premiums for futures and options on futures
is 5% of a Fund's assets
(2) Based on net assets
