STAGECOACH FUNDS, INC.
Supplement dated August 15, 1997
to the Prospectuses dated February 1, 1997
describing the Class A and Class B shares of the following Funds:
Asset Allocation Fund Equity Value Fund
Aggressive Growth Fund Growth and Income Fund
Balanced Fund Small Cap Fund
Corporate Stock Fund U.S. Government Allocation Fund
Diversified Income Fund
The following paragraph is applicable only to the Aggressive Growth, Asset
Allocation, Corporate Stock, Small Cap and U.S. Government Allocation Funds:
On July 23, 1997 the Board of Directors of Stagecoach Funds, Inc. (the
"Company") approved a plan to reorganize the master/feeder structure of the
Funds into a stand-alone structure (the "Reorganization"). When the
Reorganization occurs, the Funds will withdraw their investments in the
corresponding Master Portfolios and instead will invest directly in a portfolio
of securities. Each Fund will retain Wells Fargo Bank, the investment adviser to
the Master Portfolios (and Barclays Global Fund Advisors ("BGFA"), as
sub-adviser, where applicable), to manage its assets directly, in substantially
the same manner as Wells Fargo Bank (and BGFA, where applicable) currently
manages each Master Portfolio's assets and for the same advisory fee level. The
Reorganization is expected to take place on or about December 15, 1997.
The following paragraph is deleted in its entirety:
Waivers for Investments of Proceeds From Other Investments
Purchases may be made at NAV, without payment of a front-end sales charge,
to the extent that: (i) you are investing proceeds from a redemption of shares
of another open-end investment company on which you paid a front-end sales
charge, and (ii) such redemption occurred within thirty (30) days prior to the
date of the purchase order. You must notify a Fund and/or the transfer agent at
the time you place such purchase order of your eligibility for the waiver of
front-end sales charges and provide satisfactory evidence thereof (e.g., a
confirmation of the redemption and the sales charges paid). Such purchases may
not be made at net asset value to the extent the proceeds are from a redemption
of shares of another open-end investment company that is affiliated with the
Company on which you paid a contingent-deferred sales charge upon redemption.
The following paragraphs are amended and/or added as follows:
Waivers for Certain Parties
Class A shares may be purchased without a front-end sales charge by
directors, officers and employees ( and their spouses, parents, children,
siblings, grandparents, grandchildren, father in-law, mother in-law, brother
in-law, sister in-law, aunts, uncles, nieces, and nephews; herein, "relatives")
of the Company, Stephens, its affiliates and other broker/dealers that have
entered into agreements with Stephens to sell such shares. Class A shares also
may be purchased without a front-end sales charge by present and retired
directors, officers and employees (and their relatives) of Wells Fargo Bank and
its affiliates if Wells Fargo Bank and/or the respective affiliates agree. Class
A shares also may be purchased without a front-end sales charge by employee
benefit and thrift plans for such persons and by any investment advisory, trust
or other fiduciary account (other than certain individual retirement accounts)
that is maintained, managed or advised by Wells Fargo Bank, Stephens or their
affiliates. In addition, Class A shares may be purchased without payment of a
front-end sales charge with proceeds from a required minimum distribution from
any Individual Retirement Account ("IRA"), Simplified Employee Pension Plan or
other self-directed retirement plan for which Wells Fargo Bank serves as
trustee, provided that the proceeds are invested in a Fund within 30 days of
such distribution and such distribution is required as a result of reaching age
70 1/2. Class A shares of the Aggressive Growth Fund are available, without a
front-end sales charge, to institutions purchasing shares for the sole purpose
of creating a unit investment trust for exclusive distribution through Wells
Fargo Securities, Inc.
Class A Shares may be purchased without a front-end sales charge by the
following types of investors when the trades are placed through an omnibus
account maintained with a Fund by a broker/dealer---trust companies; deferred
compensation plans and the trusts used to finance these plans; investment
advisers and financial planners who charge a management, consulting or other fee
for their services and who place trades on their own behalf if the clients'
accounts are linked to the master account of such investment adviser or
financial planner on the books and records of the broker/dealer.
<PAGE>
The following telefacsimile number is amended as follows:
Initial Purchases by Wire
3. ........Telefacsimile: (415) 546-0280
The following two paragraphs are added under the prospectus section "The
Funds and Management -- Portfolio Managers" for the Aggressive Growth Fund and
Small Cap Fund:
Mr. Kenneth Lee became a portfolio co-manager to the Small Cap Master
Portfolio as of June 18, 1997 and is responsible for providing fundamental
security analysis and portfolio management. Mr. Lee joined Wells Fargo Bank in
1993 and went from Investment Operations to the Portfolio Management group in
1995. Prior to 1993 he worked as an associate at Wells Fargo Nikko Investment
Advisors and at Dean Witter Reynolds (Morgan Stanley Dean Witter Discover) and
has over 8 years experience in the industry. He holds bachelor degrees both in
economics and in organizational studies from the University of California at
Davis and is working toward his chartered financial analyst designation.
Mr. Chris Greene joined Wells Fargo Bank on April 1, 1997, to work as
portfolio co-manager of the Capital Appreciation Master Portfolio. Immediately
prior to joining Wells Fargo Bank, Mr. Greene worked for three years in the
Mergers & Acquisitions group for Hambrecht & Quist, an investment banking firm
focusing on growth companies. Before that he worked for two years at GB Capital
Management and prior to that worked at Wood Island Associates, firms focusing on
equity and fixed-income securities. He has over five years experience in the
industry. Mr. Greene received his B.A. in Economics from Claremont McKenna
College.
SUPP SC0201(8/97)
SUPP SC0203(8/97)
SUPP SC0518(8/97)
SUPP SC0521(8/97)
<PAGE>
STAGECOACH FUNDS, INC.
Supplement dated August 15, 1997
to the Prospectuses dated February 1, 1997
describing the Class A and Class B shares of the following Funds:
Arizona Tax-Free Oregon Tax-Free
California Tax-Free Bond Ginnie Mae
California Tax-Free Income Intermediate Bond
National Tax-Free Short-Intermediate U.S. Government Income
The following paragraph is deleted in its entirety:
Waivers for Investments of Proceeds From Other Investments
Purchase may be made at NAV, without payment of a front-end sales charge,
to the extent that: (i) you are investing proceeds from a redemption of shares
of another open-end investment company on which you paid a front-end sales
charge, and (ii) such redemption occurred within thirty (30) days prior to the
date of the purchase order. You must notify a Fund and/or the transfer agent at
the time you place such purchase order of your eligibility for the waiver of
front-end sales charges and provide satisfactory evidence thereof (e.g., a
confirmation of the redemption and the sales charges paid). Such purchases may
not be made at net asset value to the extent the proceeds are from a redemption
of shares of another open-end investment company that is affiliated with the
Company on which you paid a contingent-deferred sales charge upon redemption.
The following paragraphs are amended and/or added as follows:
Waivers for Certain Parties
Class A shares may be purchased without a front-end sales charge by
directors, officers and employees (and their spouses, parents, children,
siblings, grandparents, grandchildren, father in-law, mother in-law, brother
in-law, sister in-law, aunts, uncles, nieces, and nephews; herein, "relatives")
of the Company, Stephens, its affiliates and other broker/dealers that have
entered into agreements with Stephens to sell such shares. Class A shares also
may be purchased without a front-end sales charge by present and retired
directors, officers and employees (and their relatives) of Wells Fargo Bank and
its affiliates if Wells Fargo Bank and/or the respective affiliates agree. Class
A shares also may be purchased without a front-end sales charge by employee
benefit and thrift plans for such persons and by any investment advisory, trust
or other fiduciary account (other than certain individual retirement accounts)
that is maintained, managed or advised by Wells Fargo Bank, Stephens or their
affiliates. In addition, Class A shares may be purchased without payment of a
front-end sales charge with proceeds from a required minimum distribution from
any Individual Retirement Account ("IRA"), Simplified Employee Pension Plan or
other self-directed retirement plan for which Wells Fargo Bank serves as
trustee, provided that the proceeds are invested in a Fund within 30 days of
such distribution and such distribution is required as a result of reaching age
70 1/2.
Class A Shares may be purchased without a front-end sales charge by the
following types of investors when the trades are placed through an omnibus
account maintained with a Fund by a broker/dealer---trust companies; deferred
compensation plans and the trusts used to fund these plans; investment advisers
and financial planners who charge a management, consulting or other fee for
their services and who place trades on their own behalf if the clients' accounts
are linked to the master account of such investment adviser or financial planner
on the books and records of the broker/dealer.
The following telefacsimile number is amended as follows:
Initial Purchases by Wire
3. ........Telefacsimile: (415) 546-0280
SUPP SC0519(8/97)
SUPP SC0520(8/97)
SUPP SC0206(8/97)
SUPP SC0207(8/97)
<PAGE>
STAGECOACH FUNDS, INC.
Small Cap Fund
Institutional Class
Supplement dated August 15, 1997
to the Prospectus dated February 1, 1997
On July 23, 1997 the Board of Directors of Stagecoach Funds, Inc. (the
"Company") approved a plan to reorganize the master/feeder structure of the
Small Cap Fund into a stand-alone structure (the "Reorganization"). When the
Reorganization occurs, the Fund will withdraw its investments in the Small Cap
Master Portfolio and instead will invest directly in a portfolio of securities.
The Fund will retain Wells Fargo Bank, the investment adviser to the Master
Portfolio, to manage its assets directly, in substantially the same manner as
Wells Fargo Bank currently manages the Master Portfolio's assets and for the
same advisory fee level. The Reorganization is expected to take place on or
about December 15, 1997.
The following paragraph is added under the prospectus section "The Funds and
Management -- Portfolio Managers":
Mr. Kenneth Lee became a portfolio co-manager to the Small Cap Master
Portfolio as of June 18, 1997 and is responsible for providing fundamental
security analysis and portfolio management. Mr. Lee joined Wells Fargo Bank in
1993 and went from Investment Operations to the Portfolio Management group in
1995. Prior to 1993 he worked as an associate at Wells Fargo Nikko Investment
Advisors and at Dean Witter Reynolds (Morgan Stanley Dean Witter Discover) and
has over 8 years experience in the industry. He holds bachelor degrees both in
economics and in organizational studies from the University of California at
Davis and is working toward his chartered financial analyst designation.
SUPP SC0113(8/97)
<PAGE>
STAGECOACH FUNDS, INC.
Supplement dated August 15, 1997
to the Prospectus dated February 1, 1997
describing the Class A shares of the following Funds:
Money Market Mutual Fund
California Tax-Free Money Market Mutual Fund
Government Money Market Mutual Fund
National Tax-Free Money Market Mutual Fund
Treasury Money Market Mutual Fund
The following telefacsimile number is amended as follows:
Initial Purchases by Wire
3. ........Telefacsimile: (415) 546-0280
The following applies only to the National Tax-Free Money Market Mutual
Fund:
On July 23, 1997 the Board of Directors of Stagecoach Funds, Inc. (the
"Company") approved a plan to reorganize the master/feeder structure of the
National Tax-Free Money Market Mutual Fund into a stand-alone structure (the
"Reorganization"). When the Reorganization occurs, the Fund will withdraw its
investment in the Tax-Free Money Market Master Portfolio and instead will invest
directly in a portfolio of securities. The Fund will retain Wells Fargo Bank,
the investment adviser to the Master Portfolio, to manage its assets directly,
in substantially the same manner as Wells Fargo Bank currently manages the
Master Portfolio's assets and for the same advisory fee level. The
Reorganization is expected to take place on or about December 15, 1997.
SUPP SC0204(8/97)
SUPP SC0522(8/97)
