KENNEBEC FUNDS TRUST
U.S. Government Fund
California Tax-Free Fund
Equity Fund
Supplement Dated January 1, 1996
to Prospectus
Dated March 31, 1995
The following Supplement is provided to update and should be
read in conjunction with the information provided in the
Prospectus.
Effective January 1, 1996, the Equity Fund, a series of the
Kennebec Funds Trust, changed its name to the Equity Value
Fund.
Financial Highlights (unaudited)
The following supplementary financial information with respect
to the Funds is for the period April 3, 1995 (commencement of
operations) to September 30, 1995.
Selected data for a share of a Fund outstanding throughout the
period:
For the Period
April 3, 1995
(Commencement of
Operations) to
September 30, 1995
^^^
U.S. Government California Tax-Free
Fund Fund Equity Fund
Net asset value,
beginning of period $ 12.00 $ 12.00 $ 12.00
Income from investment operations:
Net investment income 0.35 0.29 0.11
Net realized and unrealized
gain on investments 0.51 0.10 1.42
Total income from investment
operations 0.86 0.39 1.53
Less dividends from net
investment income (0.35) (0.29) (0.10)
Net asset value, end of
period $ 12.51 $ 12.10 $ 13.43
Total return 7.19% 3.28% 12.80%
Ratios/Supplemental Data:
Net assets, end of
period (in thousands) $18,630 $38,300 $26,291
Ratio of expenses to
average net assets 1.09%(1) 0.81%(1)
1.64%(1)
Ratio of net investment
income to average net assets 5.69%(1) 4.93%(1)
1.93%(1)
Ratio of expenses to average
net assets without fee waivers 1.43%(1) 1.19%(1)
1.79%(1)
Ratio of net investment income
to average net assets
without fee waivers 5.35%(1) 4.55%(1)
1.78%(1)
Portfolio turnover
rate(2) 36.56%(1) 147.98%(1)
52.05%(1)
_______________
(1)Annualized.
(2)A portfolio turnover rate is, in general, the percentage
computed by taking the lesser of purchases or sales of
portfolio securities (excluding securities with a maturity
date of one year or less at the time of acquisition) for the
period and dividing it by the monthly average of the market
value of such securities during the period. Purchases and
sales of investment securities (excluding short-term
securities) for the period ended September 30, 1995 were
$19,332,045 and $2,121,922, respectively, for the U.S.
Government Fund, $64,450,216 and $26,935,185, respectively,
for the California Tax-Free Fund, and $22,968,962 and
$3,871,035, respectively, for the Equity Fund.
KENNEBEC FUNDS TRUST
U.S. Government Fund
California Tax-Free Fund
Equity Fund
Supplement Dated January 1, 1996
to Statement of Additional Information
Dated March 31, 1995
Effective January 1, 1996, the Equity Fund, a series of the
Kennebec Funds Trust, changed its name to the Equity Value
Fund.
The financial statements of the U.S. Government, California
Tax-Free and Equity Funds for the period April 3, 1995
(commencement of operations) to September 30, 1995, are
included in the Funds' Semi-Annual Report on pages 7-26 and
are unaudited for the period shown. A copy of the Semi-Annual
Report accompanies this Statement of Additional Information.
The following financial statements appearing in the Semi-
Annual Report for the period ended September 30, 1995, are
hereby incorporated into this Statement of Additional
Information by reference:
U.S. Government California Tax-Free
Fund Semi-Annual Report Page Fund Semi-Annual Report
Equity Fund Semi-Annual Report
Page
Page
Page
Statement of Assets and Liabilities,September
30, 1995 (Unaudited) 7 13 19
Statement of Investments, September 30, 1995
(Unaudited) 8-9 14-15 20-21
Statement of Operations,
April 3, 1995 10 16 22
(Commencement of Operations) to
September 30, 1995 (Unaudited)
Statement of Changes in
Net Assets, 11 17 23
April 3, 1995 (Commencement of
Operations) to September 30, 1995
(Unaudited)
Financial Highlights, April 3, 1995
(Commencement of Operations) to
September 30, 1995
(Unaudited) 12 18 24
Notes to Financial Statements, September 30,
1995 (Unaudited) 25-26 25-26 25-26
