Supplement to Prospectus
By Supplement to Prospectus ("sticker") dated March 29, 1996, Ameritas Life
Insurance Corp. discloses the following:
The Investment Policy of Neuberger & Berman Advisers Management Trust, Limited
Maturity Bond Portfolio, at page 11-12 of the prospectus, is amended to read as
follows:
Invests in a diversified portfolio of fixed and variable rate debt
securities and seeks to increase income and preserve or enhance total
return by actively managing average portfolio duration in light of
market conditions and trends. May invest up to 10% of its net assets,
measured at the time of investment, in debt securities rated below
investment grade, or comparable unrated securities. The dollar-weighted
average portfolio duration may range up to five years.
The Objectives of Neuberger & Berman Advisers Management Trust, Limited Maturity
Bond Portfolio, at page 11- 12 of the prospectus, is amended to read as follows:
Seeks to provide the highest current income consistent with low risk to
principal and liquidity; and secondarily, total return.
The Investment Policy of Neuberger & Berman Advisers Management Trust, Growth
Portfolio, at page 12 of the prospectus, is amended to read as follows:
Invests in securities believed to have the maximum potential for
long-term capital appreciation. It does not seek to invest in
securities that pay dividends or interest, and any such income is
incidental. Expects to be almost fully invested in common stocks, often
of companies that may be temporarily out of favor in the market.
The Objectives of Neuberger & Berman Advisers Management Trust, Growth
Portfolio, at page 12 of the prospectus, is amended to read as follows:
Seeks capital appreciation without regard to income.
The Investment Policy of Neuberger & Berman Advisers Management Trust, Balanced
Portfolio, at page 12 of the prospectus, is amended to read as follows:
The investment adviser anticipates that investments will normally be
managed so that approximately 60% of the portfolio's total assets will
be invested in common stocks and the remaining assets will be invested
in debt securities. May invest up to 10% of the debt securities portion
of its investments, measured at the time of investment, in debt
securities below investment grade or in comparable unrated securities.
Depending upon the investment adviser's views on current market trends,
the common stock portion of the portfolio's investments may be adjusted
downward as low as 50% or upward to as high as 70%. At least 25% of
assets will be invested in fixed income securities.
The third, fourth, and fifth paragraphs under the heading "Fund Management
Fees", at pages 12-13 are deleted and replaced with the following:
Neuberger & Berman Advisers Management Trust (the "Trust") is divided
into portfolios ("Portfolios"), each of which invests all of its net
investable assets in a corresponding series ("Series") of Advisers
Managers Trust. Expenses in the following table reflect expenses of the
Portfolios and include each Portfolio's pro rata portion of the
operating expenses of each Portfolio's corresponding Series. The
Portfolios pay Neuberger & Berman Management, Inc. ("NBMI") an
administration fee based on the Portfolio's net asset value. Each
Portfolio's corresponding Series pays NBMI a management fee based on
the Series' average daily net assets. Accordingly, the table that
follows combines management fees at the Series level and administration
fees at the Portfolio level in a unified fee rate.
<PAGE>
NBMI provides investment management services to each Series that
include, among other things, making and implementing investment
decisions and providing facilities and personnel necessary to operate
the Series. NBMI provides administrative services to each Portfolio
that include furnishing similar facilities and personnel to the
Portfolio. With the Portfolio's consent, NBMI is authorized to
subcontract some of its responsibilities under its administration
agreement with the Portfolio to third parties.
Each Portfolio bears all expenses of its operations other than those
borne by NBMI as administrator of the Portfolio and as distributor of
its shares. Each Series bears all expenses of its operations other than
those borne by NBMI as investment manager of the Series. These expenses
include, but are not limited to, for the Portfolios and the Series,
legal and accounting fees and compensation for trustees who are not
affiliated with NBMI; for the Portfolios, transfer agent fees and the
cost of printing and sending reports and proxy materials to
shareholders; and for the Series, custodial fees for securities. Any
expenses which are not directly attributable to a specific Series are
allocated on the basis of the net assets of the respective Series.
The heading "Expenses" has been added above the chart at page 13.
The following headings have been added to Neuberger & Berman chart columns on
page 13: (from left to right) "Portfolio", "Investment Management &
Administration Fees," "Other Expenses".
The paragraph following the Neuberger & Berman footnote, on page 13, is amended
to read as follows:
The Advisers Management Trust has agreed to reimburse each Neuberger &
Berman Portfolio for its operating expenses and its pro rata share of
its corresponding Series' operating expenses, excluding the
compensation of Neuberger & Berman Management, taxes, interest,
extraordinary expenses, brokerage commissions, and transaction costs
that exceed 1% of the portfolio's average daily net asset value. This
undertaking is subject to termination on 60 days' prior written notice
to the Portfolio. In the absence of reimbursement, the Portfolio's
expenses may increase.
