Prospectus Statement -- Jan. 21, 2002*

AXP Research Opportunities Fund S-6356-99 J (9/01)

The "Investment Strategy" section on page three of the prospectus has been
revised to reflect changes to the strategies as follows:

PRINCIPAL INVESTMENT STRATEGIES
The Fund invests primarily in securities of companies included in the Standard &
Poor's 500 Composite Stock Price Index (S&P 500 Index). The S&P 500 Index is an
unmanaged market index used to measure the total return of the U.S. stock
market. The Fund invests in those securities that are believed to offer the
potential for long-term growth. Although the Fund invests primarily in common
stocks that comprise the S&P 500 Index, it is not an index fund, it may own
companies not included in the index, and its results will likely differ from the
index. The selection of common stocks is the primary decision in building the
investment portfolio.

In pursuit of the Fund's goal, American Express Financial Corporation (AEFC),
the Fund's investment manager, chooses investments by:

o  Utilizing a proprietary research rating system that AEFC has developed to
   rate securities on a daily basis based on each company's merits and its
   industry grouping(s).

o  Focusing on fundamental analysis to identify companies with:
   -- effective management,
   -- financial strength,
   -- competitive market position, and
   -- growth potential.

o  Buying those securities that AEFC's research analysts believe offer the
   greatest potential for long-term growth. Typically, the Fund's sector
   weightings will align with those of the S&P 500 Index.

In evaluating whether to sell a security, AEFC considers, among other factors,
whether:

   -- the security is no longer attractive relative to alternative investments,
   -- the security has reached AEFC's price objective, earnings and/or growth
      expectations,
   -- political, economic, market downturn or other events could affect the
      company's performance, and
   -- the company continues to meet the other standards described above.

During weak or declining markets, the Fund may invest more of its assets in
money market securities. Although the Fund primarily will invest in these
securities to avoid losses, this type of investing could prevent the Fund from
achieving its investment objective. During these times, AEFC may make frequent
securities trades that could result in increased fees, expenses, and taxes.


The following revision applies to the "Investment Manager" section of the AXP
Research Opportunities Fund. The following paragraph replaces the paragraph on
James Johnson:

Joan Kampmeyer has been with American Express Financial Corp. since 1992. She
has 16 years of experience in the industry. Joan has served as a senior analyst
and portfolio manager with American Express. Her prior experience includes seven
years as vice president in Norwest Corp.'s investment banking unit and five
years as assistant treasurer at Jostens, Inc. In November 1998, Joan was
promoted to Portfolio Manager with responsibility for American Express Asset
Management Group's research-driven products, including Bottom-up Research Picks
and Research Core. She received her CFA designation in 1986 and is a member of
the Twin Cities Society of Security Analysts. Joan is a Phi Beta Kappa graduate
of the University of Minnesota, with a BA degree in French and an MBA degree in
finance.


S-6356-12 A (1/02)
Valid until next update.

*Destroy Sept. 29, 2002