SUPPLEMENT DATED JUNE 30, 1997
TO PROSPECTUS DATED JANUARY 16, 1997
FOR INSTITUTIONAL SHARES OF THE FOLLOWING FUNDS:
Morgan Grenfell Global Fixed Income Fund
Morgan Grenfell International Fixed Income Fund
Morgan Grenfell Emerging Markets Debt Fund
Effective March 1, 1997, Morgan Grenfell Investment Services Ltd.
agreed to reduce: (1) its management fee for Morgan Grenfell Emerging Markets
Debt Fund from an annual rate of 1.50% to 1.00% of the Fund's average daily net
assets and (2) its management fee and make arrangements to the extent necessary
to limit Net Operating Expenses for institutional shares of the Fund to 1.25% of
the Fund's average daily net assets. Previously, the expense cap for
institutional shares of the Fund had been 1.50%.
Based upon Morgan Grenfell Emerging Markets Debt Fund's new management
fee rate and expense cap and assuming a 5% annual return, an investor in
institutional shares of the Fund would pay the following expenses on a $1,000
investment over the following periods:
1 Year 3 Years 5 Years 10 Years
------ ------- ------- --------
$15 $47 $82 $179
Each Fund is no longer prohibited from investing more than 5% of its
total assets in purchased options other than protective put options. However,
for the remainder of the current fiscal year, no Fund intends to exceed this 5%
limit other than on a temporary basis.
Each Fund is no longer prohibited from investing more than 5% of its
net assets in restricted securities (i.e., securities that are subject to
restrictions on resale because they are not registered in reliance on the
exemption for non-public offerings under the Securities Act of 1933 (excluding
Rule 144A and Regulation S securities)). Most restricted securities are also
illiquid, and each Fund will continue to limit its investments in illiquid
securities to 15% of its net assets.
David Dowsett is a member of the portfolio management team that manages
Morgan Grenfell Emerging Markets Debt Fund's investments. Mr. Dowsett's
professional experience is as follows:
<PAGE>
Portfolio Manager, Emerging Markets Debt,
MGIS (since 1995); Portfolio Manager, Morgan
Grenfell International Funds Management Ltd.
(since 1994); BA, Durham University (1991-1994).
Effective June 30, 1997, Neil Jenkins no longer serves as a
co-portfolio manager of Morgan Grenfell Global Fixed Income Fund or Morgan
Grenfell International Fixed Income Fund. Ian Kelson and Annette Fraser continue
to serve as co-portfolio managers of these two Funds.
<PAGE>
SUPPLEMENT DATED JUNE 30, 1997
TO PROSPECTUS DATED JANUARY 16, 1997
AS REVISED MARCH 18, 1997
FOR INSTITUTIONAL SHARES OF THE FOLLOWING FUNDS:
Morgan Grenfell International Equity Fund
Morgan Grenfell Global Equity Fund
Morgan Grenfell European Equity Fund
Morgan Grenfell Pacific Basin Equity Fund
Morgan Grenfell Internatioal Small Cap Equity Fund
Morgan Grenfell Japanese Small Cap Equity Fund
Morgan Grenfell European Small Cap Equity Fund
Morgan Grenfell Emerging Markets Equity Fund
Morgan Grenfell Global Fixed Income Fund
Morgan Grenfell International Fixed Income Fund
Morgan Grenfell Emerging Markets Debt Fund
Richard Lamb, Christopher Getley and Stephanie Scofield no longer serve
as co-portfolio managers of Morgan Grenfell Emerging Markets Equity Fund.
Accordingly, references to these individuals in the Prospectus should be
disregarded. Neil Jenkins now serves as a co-portfolio manager of Morgan
Grenfell Emerging Markets Equity Fund, along with Christopher Turner, who
continues to serve as a co-portfolio manager of the Fund. Messrs. Jenkins and
Turner are assisted in managing the Fund by Alan Nesbit.
Neil Jenkins no longer serves as co-portfolio manager of Morgan
Grenfell Global Fixed Income Fund and Morgan Grenfell International Fixed Income
Fund. Ian Kelson and Annette Fraser continue to serve as co-portfolio managers
of these two Funds.
The area of expertise and professional experience of Morgan Grenfell
Emerging Markets Equity Fund's new portfolio managers are as follows:
<PAGE>
Portfolio Manager Expertise Professional Experience
- ----------------- --------- ------------------------
Neil Jenkins Emerging Markets Director and Global Emerging
Markets Fixed Income Portfolio
Management, MGIS (since 1996);
Director, Morgan Grenfell
International Funds Management
Ltd. (MGIFM) (since 1995);
Vice President, the Trust
(since 1993); Director, Morgan
Grenfell Capital Management,
Inc. (MGCM) (1991-1996);
Morgan Grenfell, Moscow Office
(1988- 1990); Morgan Grenfell
& Company Ltd. (since 1985).
Alan Nesbit Emerging Markets Morgan Grenfell Asset
Management (MGAM) (since
1985); Responsibilities
include Latin American
equities (since 1991); Fund
Manager for the Morgan
Grenfell Latin American
Companies Trust; Director of
Morgan Grenfell Trust Managers
and MGAM.
<PAGE>
SUPPLEMENT DATED JUNE 30, 1997
TO PROSPECTUS DATED MARCH 7, 1997
FOR SERVICE SHARES OF THE FOLLOWING FUNDS:
Morgan Grenfell International Equity Fund
Morgan Grenfell Global Equity Fund
Morgan Grenfell European Equity Fund
Morgan Grenfell Pacific Basin Equity Fund
Morgan Grenfell International Small Cap Eqity Fund
Morgan Grenfell Japanese Small Cap Equity Fund
Morgan Grenfell European Small Cap Equity Fund
Morgan Grenfell Emerging Markets Equity Fund
Richard Lamb, Christopher Getley and Stephanie Scofield no longer serve
as co-portfolio managers of Morgan Grenfell Emerging Markets Equity Fund.
Accordingly, references to these individuals in the Prospectus should be
disregarded. Neil Jenkins now serves as a co-portfolio manager of Morgan
Grenfell Emerging Markets Equity Fund, along with Christopher Turner, who
continues to serve as a co-portfolio manager of the Fund. Messrs. Jenkins and
Turner are assisted in managing the Fund by Alan Nesbit.
The area of expertise and professional experience of Morgan Grenfell
Emerging Markets Equity Fund's new portfolio managers are as follows:
Portfolio Manager Expertise Professional Experience
- ----------------- --------- ------------------------
Neil Jenkins Emerging Markets Director and Global Emerging
Markets Fixed Income Portfolio
Management, MGIS (since 1996);
Director, Morgan Grenfell
International Funds Management
Ltd. (MGIFM) (since 1995);
Vice President, the Trust
(since 1993); Director, Morgan
Grenfell Capital Management,
Inc. (MGCM) (1991-1996);
Morgan Grenfell, Moscow Office
(1988- 1990); Morgan Grenfell
& Company Ltd. (since 1985).
<PAGE>
Alan Nesbit Emerging Markets Morgan Grenfell Asset
Management (MGAM) (since
1985); Responsibilities
include Latin American
equities (since 1991); Fund
Manager for the Morgan
Grenfell Latin American
Companies Trust; Director of
Morgan Grenfell Trust Managers
and MGAM.
<PAGE>
SUPPLEMENT DATED JUNE 30, 1997
TO PROSPECTUS DATED MARCH 7, 1997
FOR SERVICE SHARES OF THE FOLLOWING FUNDS:
Morgan Grenfell Global Fixed Income Fund
Morgan Grenfell International Fixed Income Fund
Morgan Grenfell Emerging Markets Debt Fund
Neil Jenkins no longer serves as a co-portfolio manager of Morgan
Grenfell Fixed Income Fund or Morgan Grenfell International Fixed Income Fund.
Ian Kelson and Annette Fraser continue to serve as co-portfolio managers of
these two Funds.
