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                                                     VAN KAMPEN AMERICAN CAPITAL
 
JULY 21, 1997 SUPPLEMENT TO STATEMENTS OF ADDITIONAL INFORMATION
 
                 Statement of Additional Information dated December 29, 1996
                 as previously supplemented on January 21, 1997
                 VKAC Corporate Bond Fund
                 VKAC Emerging Growth Fund
                 VKAC High Income Corporate Bond Fund
 
                 Statement of Additional Information dated December 29, 1996
                 VKAC Government Target Fund
 
                 Statement of Additional Information dated February 28, 1997
                 VKAC Small Capitalization Fund
 
                 Statement of Additional Information dated March 28, 1997
                 VKAC Growth and Income Fund
                 VKAC High Yield Municipal Fund
 
                 Statement of Additional Information dated October 28, 1996
                 as previously supplemented January 21, 1997
                 VKAC Pace Fund
 
                 Statement of Additional Information dated September 28, 1996
                 as previously supplemented on January 21, 1997
                 VKAC Reserve Fund
                 VKAC Global Equity Fund
                 VKAC Global Government Securities Fund
 
                 Statement of Additional Information dated January 28, 1997
                 VKAC U.S. Government Trust for Income
 
     The section of the Statement of Additional Information entitled the
Trustees and Officers is hereby supplemented by adding Philip B. Rooney,
effective April 14, 1997, and Richard M. DeMartini, effective May 31, 1997, as
Trustees of the Fund.
 
     Mr. Rooney is Vice Chairman and Director of The ServiceMaster Company, a
business and consumer services company since May of 1997. Mr. Rooney is a
Director of Illinois Tool Works, Inc., a manufacturing company; the Urban
Shopping Centers Inc., a retail mall management company; and Stone Container
Corp., a paper manufacturing company. Trustee, University of Notre Dame.
Formerly, President and Chief Executive Officer, Waste Management Inc., an
environmental services company, and prior to that President and Chief Operating
Officer, Waste Management Inc. Trustee of each of the funds in the Fund Complex.
Mr. Rooney's principal business address is One ServiceMaster Way, Downers Grove,
IL 60515, and his date of birth is 07/08/44.
 
     Mr. DeMartini is President and Chief Operating Officer, Dean Witter
Capital, a division of Dean Witter Reynolds Inc. Mr. DeMartini is a Director of
InterCapital Funds, Dean Witter Distributors, Inc. and Dean Witter Trust
Company. Trustee of the TCW/DW Funds. Director of the National Healthcare
Resources, Inc. Formerly Vice Chairman of the Board of the National Association
of Securities Dealers, Inc. and Chairman of the Board of The Nasdaq Stock
Market, Inc. Trustee of each of the funds in the Fund Complex. Mr. DeMartini's
principal business address is Two World Trade Center, 66th Floor, New York, NY
10048, and his date of birth is 10/12/52.
 
     Dennis J. McDonnell resigned as a Trustee of the Fund, effective May 31,
1997.