NVEST BALANCED FUND
                            NVEST CAPITAL GROWTH FUND
                             NVEST HIGH INCOME FUND

     Supplement dated May 31, 2000 to Nvest Stock Funds and Nvest Bond Funds
                       Class ABC and Class Y Prospectuses
                             Each dated May 1, 2000

NVEST BALANCED FUND
Effective  May 12,  Jeff  Wardlow is the sole  portfolio  manager  for the Value
Component of the Equity Segment of the Fund.

Effective May 22, Kurt L. Wagner will  co-manage the Fixed Income Segment of the
Fund with John Hyll.  Accordingly,  the section of the Prospectus entitled "Meet
the Funds' Portfolio Managers" is updated as follows:

KURT L. WAGNER
Kurt Wagner has co-managed the  fixed-income  portion of BALANCED FUND since May
2000.  Mr. Wagner is Vice President and Portfolio  Manager of Loomis Sayles.  He
began his  investment  career in 1978 and has been at Loomis  Sayles since 1994.
Mr.  Wagner is also a  Chartered  Financial  Analyst  and  Chartered  Investment
Counselor.  He has an  M.B.A.  from  the  University  of  Chicago,  a B.A.  from
Haverford College and 22 years of investment experience.

NVEST CAPITAL GROWTH FUND
Nvest Capital Growth Fund Class Y is not offered at this time.

NVEST HIGH INCOME FUND
Effective May 22, Michael Millhouse and Curt Mitchell replace Gary Goodenough as
portfolio managers of the Fund.

Accordingly,  Mr.  Goodenough's  biographical  information in the section of the
Prospectuses  entitled "Meet the Funds' Portfolio Managers" is replaced with the
following:

MICHAEL J. MILLHOUSE
Michael  Millhouse has co-managed HIGH INCOME FUND since May 2000. Mr. Millhouse
is Executive Vice  President,  Chief  Investment  Officer and Director of Loomis
Sayles.  He began his  investment  career in 1978 and has been at Loomis  Sayles
since 1992. Mr.  Millhouse is also a Chartered  Financial  Analyst and Chartered
Investment  Counselor.  He received a B.S. and an M.B.A. from Indiana University
and has 23 years of investment experience.

CURT A. MITCHELL
Curt Mitchell has co-managed  HIGH INCOME FUND since May 2000.  Mr.  Mitchell is
Vice President,  Portfolio Manager and Manager of Fixed Income Trading of Loomis
Sayles.  He began his  investment  career in 1986 and has been at Loomis  Sayles
since 1995.  Prior to joining  Loomis  Sayles,  he was a Fixed Income  Portfolio
Manager with Firstar Investment Research & Management  Company.  Mr. Mitchell is
also a Chartered Financial Analyst and Chartered Investment Counselor. He has an
M.B.A. from the University of Illinois, a B.S. from Illinois Wesleyan University
and 14 years of investment experience.