Prospectus Supplement Oct. 8, 1999*
American Express Platinum Variable Annuitysm
43415 A (8/99)
SHAREHOLDER MEETINGS
At the recent regular meetings, shareholders of the American Express(R) Variable
Portfolio Funds (formerly the Retirement Annuity Mutual Funds and referred to in
this supplement as the "Funds," or individually as the "Fund") approved the
following proposals:
1. Change the Fund Name from IDS Life to AXP. Shareholders of all Funds approved
the name change from IDS Life to AXP. AXP is an abbreviated form of the name of
the funds' investment manager, American Express Financial Corporation (AEFC).
The Funds also added the words "Variable Portfolio" to their name. For example,
IDS Life Capital Resource Fund changed to AXP Variable Portfolio - Capital
Resource Fund. In addition, some Funds changed their names to reflect
similarities with the retail funds with the same investment objectives, as shown
in the following table.
<TABLE>
<CAPTION>
Fund Names
- - ------------------------------------------------------- -----------------------------------------------------
Current Name Proposed Name
- - ------------------------------------------------------- -----------------------------------------------------
<S> <C>
- - ------------------------------------------------------- -----------------------------------------------------
IDS Life Investment Series, Inc. AXPsm Variable Portfolio - Investment Series, Inc.
-IDS Life Aggressive Growth Fund -AXPsm Variable Portfolio - Strategy Aggressive
Fund
-IDS Life Capital Resource Fund -AXPsm Variable Portfolio - Capital Resource
Fund
-IDS Life Growth Dimensions Fund -AXPsm Variable Portfolio - New Dimensions Fund
-AXPsm Variable Portfolio - International Fund
-IDS Life International Equity Fund
- - ------------------------------------------------------- -----------------------------------------------------
- - ------------------------------------------------------- -----------------------------------------------------
IDS Life Managed Fund, Inc. AXPsm Variable Portfolio - Managed Series, Inc.
-IDS Life Managed Fund -AXPsm Variable Portfolio - Managed Fund
- - ------------------------------------------------------- -----------------------------------------------------
- - ------------------------------------------------------- -----------------------------------------------------
IDS Life Moneyshare Fund, Inc. AXPsm Variable Portfolio - Money Market Series, Inc.
-AXPsm Variable Portfolio - Cash Management Fund
-IDS Life Moneyshare Fund
- - ------------------------------------------------------- -----------------------------------------------------
- - ------------------------------------------------------- -----------------------------------------------------
IDS Life Special Income Fund, Inc. AXPsm Variable Portfolio - Income Series, Inc.
-IDS Life Global Yield Fund -AXPsm Variable Portfolio - Global Bond Fund
-IDS Life Income Advantage Fund -AXPsm Variable Portfolio - Extra Income Fund
-IDS Life Special Income Fund -AXPsm Variable Portfolio - Bond Fund
- - ------------------------------------------------------- -----------------------------------------------------
</TABLE>
Where the Fund has changed its name, the Fund will have certain characteristics
of the retail fund. After a transition period, which will vary by Fund, the Fund
will have substantially the same investment policies, goals and objectives as
the retail fund. In addition, the Fund will be managed by the same portfolio
manager and will have substantially similar strategies, techniques and
characteristics as the retail fund. However, the Fund is not the same as the
retail fund. The Fund will have its own portfolio holdings and its own fees and
operating expenses. Therefore, the performance of the Fund will likely be
greater or less than the performance of the retail fund.
2. New Distribution Plan. Fund shareholders approved a new distribution plan
(also known as a 12b-1 plan) of 0.125% of average daily net assets that
will provide additional services and education. The Board of Directors of
the Fund approved this 12b-1 plan. It will be implemented on September 21,
1999. The following tables reflect this new 12b-1 fee and replaces the
tables in your prospectus for the IDS Life funds:
<PAGE>
<TABLE>
<CAPTION>
Annual operating expenses of the funds
(as a percentage of average daily net assets):
- - ------------ -------------- ------------- ------- -------- ------------- --------- ----------- ------------
AIM V.I. AIM V.I. AIM AXP VP AXP VP Cash AXP VP AXP VP AXP VP New
Capital International V.I. Bond Management Extra Managed Dimensions
Appreciation Equity Fund Value Income
Fund Fund
- - ------------ -------------- ------------- ------- -------- ------------- --------- ----------- ------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
- - ------------ -------------- ------------- ------- -------- ------------- --------- ----------- ------------
Management .62% .75% .61% .60% .50% .62% .59% .61%
fees
- - ------------ -------------- ------------- ------- -------- ------------- --------- ----------- ------------
- - ------------ -------------- ------------- ------- -------- ------------- --------- ----------- ------------
12b-1 fees .00% .00% .00% .13% .13% .13% .13% .13%
- - ------------ -------------- ------------- ------- -------- ------------- --------- ----------- ------------
- - ------------ -------------- ------------- ------- -------- ------------- --------- ----------- ------------
Other ..05% .16% .05% .07% .06% .09% .04% .06%
expenses
- - ------------ -------------- ------------- ------- -------- ------------- --------- ----------- ------------
- - ------------ -------------- ------------- ------- -------- ------------- --------- ----------- ------------
Total .67% .91% .66% .80% .69% .84% .76% .80%
- - ------------ -------------- ------------- ------- -------- ------------- --------- ----------- ------------
</TABLE>
<TABLE>
<CAPTION>
- - ------------ -------------- --------------- -------------- ---------------- -----------------
Dreyfus Dreyfus Small Dreyfus Oppenheimer Oppenheimer
Disciplined Company Stock Socially Global Main Street
Stock Portfolio Responsible Securities Fund Growth Fund
Portfolio Growth
- - ------------ -------------- --------------- -------------- ---------------- -----------------
<S> <C> <C> <C> <C> <C>
- - ------------ -------------- --------------- -------------- ---------------- -----------------
Management .75% .75% .75% .68% .74%
fees
- - ------------ -------------- --------------- -------------- ---------------- -----------------
- - ------------ -------------- --------------- -------------- ---------------- -----------------
12b-1 fees .00% .00% .00% .00% .00%
- - ------------ -------------- --------------- -------------- ---------------- -----------------
- - ------------ -------------- --------------- -------------- ---------------- -----------------
Other .13% .23% .05% .06% .05%
expenses
- - ------------ -------------- --------------- -------------- ---------------- -----------------
- - ------------ -------------- --------------- -------------- ---------------- -----------------
Total .88% .98% .80% .74% .79%
- - ------------ -------------- --------------- -------------- ---------------- -----------------
- - ------------ -------------- ----------------- ------------- --------------- -----------------
Oppenheimer Putnam VT Putnam VT Putnam VT Wright Catholic
Strategic International Growth & Vista Fund Values Equity
Bond Fund Growth & Income Income Class IB Investment
Class IB Class IB Portfolio
- - ------------ -------------- ----------------- ------------- --------------- -----------------
- - ------------ -------------- ----------------- ------------- --------------- -----------------
Management .74% .80% .46% .65% .75%
fees
- - ------------ -------------- ----------------- ------------- --------------- -----------------
- - ------------ -------------- ----------------- ------------- --------------- -----------------
12b-1 fees .00% .15% .15% .15% .50%
- - ------------ -------------- ----------------- ------------- --------------- -----------------
- - ------------ -------------- ----------------- ------------- --------------- -----------------
Other .06% .19% . 04% .12% .00%
expenses
- - ------------ -------------- ----------------- ------------- --------------- -----------------
- - ------------ -------------- ----------------- ------------- --------------- -----------------
Total .80% 1.14% .65% .92% 1.25%
- - ------------ -------------- ----------------- ------------- --------------- -----------------
- - ------------ -------------- -----------------
Wright Wright Selected
International Blue Chip
Blue Chip Equities
Equities Portfolio
Portfolio
- - ------------ -------------- -----------------
- - ------------ -------------- -----------------
Management .75% .55%
fees
- - ------------ -------------- -----------------
- - ------------ -------------- -----------------
12b-1 fees 1.10% .00%
- - ------------ -------------- -----------------
- - ------------ -------------- -----------------
Other .00% .60%
expenses
- - ------------ -------------- -----------------
- - ------------ -------------- -----------------
Total 1.85% 1.15%
- - ------------ -------------- -----------------
</TABLE>
1Operating expenses of the underlying funds at Dec. 31, 1998.
2Annualized operating expenses of underlying mutual funds at Dec. 31, 1998.
3Total Portfolio Expenses of the OCC Accumulation Trust Portfolios are limited
by OpCap Advisors so that their respective annualized operating expenses (net of
any expense offsets) do not exceed 1.00% of average daily net assets for the
Equity, Managed, Small Cap and U.S. Government Income Portfolios. Without such
limitation and without giving effect to any expense offsets, the Management
Fees, Other Expenses and Total Portfolio Expenses for U.S. Government Income
Portfolio would have been: .60%, .60% and 1.20%, respectively.
4The figuresgiven above are based on gross expenses before expense offset
arrangements, for the year ended Dec. 31, 1988, for these funds. As of the date
of this prospectus, certain fees are being reduced by the respective investment
managers or service providers for certain of the underlying funds, in each case
on a voluntary basis. Without such reductions, the "Management fees," "Other
expenses" and "Total" that would have been incurred for the last completed
fiscal year would be: 0.72%, 0.02% and 0.74%, respectively, for Janus Aspen
Series Balanced Portfolio, and 0.67%, 0.07% and 0.74%, respectively for Janus
Aspen Series Worldwide Growth Portfolio. See the Portfolio' prospectus for a
discussion of fee reductions.
<PAGE>
5Based on estimated expenses.
6Figures in the "Other Expenses" and "Total" columns are restated from the
amounts you would have incurred in 1998 to reflect fee and reimbursement or
waiver arrangements. If their had been no reimbursement of expenses by
Chancellor LGT Asset Management and no expense reductions, the actual expenses
of each fund, expressed as a percentage of net assets, with "Management fees"
stated first, the "Other expenses" followed by "Total," would have been as
follows: GT Global Variable Latin America Fund, 1.00%, .66%, 1.66%; and GT
Global Variable New Pacific Fund, 1.00%, .78%, 1.78%
Example:
You would pay the following expenses on a $1,000 investment, assuming a 5%
annual return and full withdrawal at the end of each time period:
<TABLE>
<CAPTION>
- - ------------ -------------- ------------- --------- --------- ------------- --------- ---------- ------------
AIM V.I. AIM V.I. AIM AXP VP AXP VP Cash AXP VP AXP VP AXP VP New
Capital International V.I. Bond Management Extra Managed Dimensions
Appreciation Equity Fund Value Income
Fund Fund
- - ------------ -------------- ------------- --------- --------- ------------- --------- ---------- ------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
- - ------------ -------------- ------------- --------- --------- ------------- --------- ---------- ------------
1 Year $107.22 $109.68 $107.12 $108.50 $107.38 $108.91 $108.09 $108.50
- - ------------ -------------- ------------- --------- --------- ------------- --------- ---------- ------------
- - ------------ -------------- ------------- --------- --------- ------------- --------- ---------- ------------
3 Years $148.53 $155.94 $148.23 $152.39 $149.00 $153.63 $151.16 $152.39
- - ------------ -------------- ------------- --------- --------- ------------- --------- ---------- ------------
- - ------------ -------------- ------------- --------- --------- ------------- --------- ---------- ------------
5 Years $167.46 $179.82 $166.94 $173.91 $168.23 $175.97 $171.85 $173.91
- - ------------ -------------- ------------- --------- --------- ------------- --------- ---------- ------------
- - ------------ -------------- ------------- --------- --------- ------------- --------- ---------- ------------
10 Years $252.16 $276.93 $251.11 $265.13 $253.72 $269.25 $261.00 $265.13
- - ------------ -------------- ------------- --------- --------- ------------- --------- ---------- ------------
</TABLE>
- - ------------ -------------- ----------- ------------ ------------- ------------
Dreyfus Dreyfus Dreyfus Oppenheimer Oppenheimer
Disciplined Small Socially Global Main Street
Stock Company Responsible Securities Growth Fund
Portfolio Stock Growth Fund
Portfolio
- - ------------ -------------- ----------- ------------ ------------- ------------
- - ------------ -------------- ----------- ------------ ------------- ------------
1 Year $109.37 $110.40 $108.55 $107.94 $108.45
- - ------------ -------------- ----------- ------------ ------------- ------------
- - ------------ -------------- ----------- ------------ ------------- ------------
3 Years $155.01 $158.09 $152.55 $150.70 $152.24
- - ------------ -------------- ----------- ------------ ------------- ------------
- - ------------ -------------- ----------- ------------ ------------- ------------
5 Years $178.28 $183.40 $174.17 $171.08 $173.65
- - ------------ -------------- ----------- ------------ ------------- ------------
- - ------------ -------------- ----------- ------------ ------------- ------------
10 Years $273.86 $284.04 $265.65 $259.44 $264.62
- - ------------ -------------- ----------- ------------ ------------- ------------
<TABLE>
<CAPTION>
- - ------------ --------------- ------------- ------------- -------------- -------
Oppenheimer Putnam VT Putnam VT Putnam VT Wright
Strategic International Growth & Vista Fund Catholic
Bond Fund Growth & Income Class IB Values
Income Class IB Equity
Class IB Investment
Portfolio
- - ------------ --------------- ------------- ------------- -------------- ------------
<S> <C> <C> <C> <C> <C>
- - ------------ --------------- ------------- ------------- -------------- ------------
1 Year $108.55 $112.04 $107.02 $109.78 $113.17
- - ------------ --------------- ------------- ------------- -------------- ------------
- - ------------ --------------- ------------- ------------- -------------- ------------
3 Years $152.55 $163.00 $147.92 $156.24 $166.36
- - ------------ --------------- ------------- ------------- -------------- ------------
- - ------------ --------------- ------------- ------------- -------------- ------------
5 Years $174.17 $191.55 $166.42 $180.33 $197.12
- - ------------ --------------- ------------- ------------- -------------- ------------
- - ------------ --------------- ------------- ------------- -------------- ------------
10 Years $265.65 $300.11 $250.07 $277.94 $311.02
- - ------------ --------------- ------------- ------------- -------------- ------------
- - ------------ -------------- -----------
Wright Wright
International Selected
Blue Chip Blue Chip
Equities Equities
Portfolio Portfolio
- - ------------ -------------- -----------
- - ------------ -------------- -----------
1 Year $119.32 $112.14
- - ------------ -------------- -----------
- - ------------ -------------- -----------
3 Years $184.57 $163.30
- - ------------ -------------- -----------
- - ------------ -------------- -----------
5 Years $227.05 $192.06
- - ------------ -------------- -----------
- - ------------ -------------- -----------
10 Years $368.43 $301.11
- - ------------ -------------- -----------
</TABLE>
<PAGE>
You would pay the following expenses on the same investment assuming no
withdrawal or selection of an annuity payout plan at the end of each time
period:
<TABLE>
<CAPTION>
- - ------------ --------------- ------------- ---------- --------- ------------- --------- ---------- ------------
AIM V.I. AIM V.I. AIM V.I. AXP VP AXP VP Cash AXP VP AXP VP AXP VP New
Capital International Value Bond Management Extra Managed Dimensions
Appreciation Equity Fund Fund Income
Fund
- - ------------ --------------- ------------- ---------- --------- ------------- --------- ---------- ------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
- - ------------ --------------- ------------- ---------- --------- ------------- --------- ---------- ------------
1 Year $22.22 $24.68 $22.12 $23.50 $22.38 $23.91 $23.09 $23.50
- - ------------ --------------- ------------- ---------- --------- ------------- --------- ---------- ------------
- - ------------ --------------- ------------- ---------- --------- ------------- --------- ---------- ------------
3 Years $68.53 $75.94 $68.23 $72.39 $69.00 $73.63 $71.16 $72.39
- - ------------ --------------- ------------- ---------- --------- ------------- --------- ---------- ------------
- - ------------ --------------- ------------- ---------- --------- ------------- --------- ---------- ------------
5 Years $117.46 $129.82 $116.94 $123.91 $118.23 $125.97 $121.85 $123.91
- - ------------ --------------- ------------- ---------- --------- ------------- --------- ---------- ------------
- - ------------ --------------- ------------- ---------- --------- ------------- --------- ---------- ------------
10 Years $252.16 $276.93 $251.11 $265.13 $253.72 $269.25 $261.00 $265.13
- - ------------ --------------- ------------- ---------- --------- ------------- --------- ---------- ------------
</TABLE>
- - ------------ ------------- ----------- ------------ ------------- -------------
Dreyfus Dreyfus Dreyfus Oppenheimer Oppenheimer
Disciplined Small Socially Global Main Street
Stock Company Responsible Securities Growth Fund
Portfolio Stock Growth Fund
Portfolio
- - ------------ ------------- ----------- ------------ ------------- -------------
- - ------------ ------------- ----------- ------------ ------------- -------------
1 Year $24.37 $25.40 $23.55 $22.94 $23.45
- - ------------ ------------- ----------- ------------ ------------- -------------
- - ------------ ------------- ----------- ------------ ------------- -------------
3 Years $75.01 $78.09 $72.55 $70.70 $72.24
- - ------------ ------------- ----------- ------------ ------------- -------------
- - ------------ ------------- ----------- ------------ ------------- -------------
5 Years $128.28 $133.40 $124.17 $121.08 $123.65
- - ------------ ------------- ----------- ------------ ------------- -------------
- - ------------ ------------- ----------- ------------ ------------- -------------
10 Years $273.86 $284.04 $265.65 $259.44 $264.62
- - ------------ ------------- ----------- ------------ ------------- -------------
- - ------------ -------------- ------------- ---------- ------------- -----------
Oppenheimer Putnam VT Putnam Putnam VT Wright
Strategic International VT Vista Fund Catholic
Bond Fund Growth & Growth & Class IB Values
Income Income Equity
Class IB Class IB Investment
Portfolio
- - ------------ -------------- ------------- ---------- ------------- -----------
- - ------------ -------------- ------------- ---------- ------------- -----------
1 Year $23.55 $27.04 $22.02 $24.78 $28.17
- - ------------ -------------- ------------- ---------- ------------- -----------
- - ------------ -------------- ------------- ---------- ------------- -----------
3 Years $72.55 $83.00 $67.92 $76.24 $86.36
- - ------------ -------------- ------------- ---------- ------------- -----------
- - ------------ -------------- ------------- ---------- ------------- -----------
5 Years $124.17 $141.55 $116.42 $130.33 $147.12
- - ------------ -------------- ------------- ---------- ------------- -----------
- - ------------ -------------- ------------- ---------- ------------- -----------
10 Years $265.65 $300.11 $250.07 $277.94 $311.02
- - ------------ -------------- ------------- ---------- ------------- -----------
- - ------------ -------------- -----------
Wright Wright
International Selected
Blue Chip Blue Chip
Equities Equities
Portfolio Portfolio
- - ------------ -------------- -----------
- - ------------ -------------- -----------
1 Year $34.32 $27.14
- - ------------ -------------- -----------
- - ------------ -------------- -----------
3 Years $104.57 $83.30
- - ------------ -------------- -----------
- - ------------ -------------- -----------
5 Years $177.05 $142.06
- - ------------ -------------- -----------
- - ------------ -------------- -----------
10 Years $368.43 $301.11
- - ------------ -------------- -----------
*In this example, the $30 annual contract administrative charge is approximated
as a 0.127% charge based on our average contract size. We entered into certain
arrangements under which we are compensated by the funds' advisers and/or
distributors for the administrative services we provide to the funds.
You should not consider this example as a representation of past or future
expenses. Actual expenses may be more or less than those shown.
43415-10 A (10/99)
*Destroy - next prospectus update
