Rule 497(e)
Registration No. 33-75340
GUINNESS FLIGHT ASIA BLUE CHIP FUND
GUINNESS FLIGHT ASIA SMALL CAP FUND
GUINNESS FLIGHT CHINA & HONG KONG FUND
GUINNESS FLIGHT GLOBAL GOVERNMENT BOND FUND
Supplement Dated March 10, 1997 to
Prospectus Dated: October 3, 1996
Guinness Flight Investment Management Limited (the "Adviser") currently
serves as each Fund's investment adviser pursuant to a separate Investment
Advisory Agreement (the "Current Advisory Agreement") for each Fund. The Adviser
is a wholly-owned subsidiary of Guinness Flight Global Asset Management Limited
("GFGAM").
Pursuant to an agreement between Guinness Mahon Holdings plc, the
parent of GFGAM, and Hambro PLC, Hambro Fund Management PLC will be acquired by
GFGAM (which will be renamed Guinness Flight Hambro Limited) (the "Purchase").
After the transaction Guinness Mahon Holdings plc and Hambro PLC will each own
42.68%, and management will own the remaining 14.64%, of Guinness Flight Hambro
Limited. Consummation of this transaction is contingent upon the parties
entering into certain other agreements.
As required by the Investment Company Act of 1940, as amended (the
"1940 Act"), the current advisory agreement (the "Current Agreement") between
each Fund and the Adviser provides for its automatic termination upon its
"assignment" (as defined in the 1940 Act). Consummation of the Purchase may be
deemed to result in an assignment of each Current Agreement and, consequently,
to terminate each Current Agreement in accordance with its terms. The Board of
Directors of the Funds met on March 9, 1997 and approved a new advisory
agreement subject to shareholder vote. Shareholder approval of a new advisory
agreement will be solicited and a Special Meeting will be held on May 1, 1997 to
consider approval of the new advisory agreement.
