KPM FUNDS INC
497, 1996-06-27
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                                 KPM FUNDS, INC.


                            SUPPLEMENT TO PROSPECTUS
                             DATED OCTOBER 16, 1995


         The  following  information  supplements  and replaces the  information
contained in the sections of the Fund's Prospectus entitled "Purchase of Shares"
and "Transfer Agent, Dividend Disbursing Agent and Custodian":

     Effective  July 1, 1996,  the Fund's  Custodian  is Union Bank & Trust Co.,
Lincoln, Nebraska. Payment for Fund's shares by bank wire should be addressed as
follows:

                            Union Bank & Trust Co.
                            ABA 104-910-795
                            Attn: Trust Dept
                            Lincoln, Nebraska  68506
                            For Account #6027566
                            Final Credit to:  KPM Funds, Inc.




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