BERGER FUNDS

                       SUPPLEMENT DATED SEPTEMBER 3, 2002

On September 3, 2002, Stilwell Financial Inc. ("Stilwell"), the parent company
of Berger Financial Group LLC ("Berger"), announced its intention to consolidate
all of its investment advisory operations under Janus Capital Management LLC
("Janus"). As the transaction is presently contemplated, Berger, the investment
adviser to the Berger Funds, will be consolidated into Janus and Berger will
cease to exist.

It is anticipated that portfolio management of the following Berger Funds, which
are advised by subadvisers to Berger, will not be affected:

         Berger Small Cap Value Fund
         Berger Mid Cap Value Fund
         Berger Large Cap Value Fund
         Berger Small Cap Value Fund II

It is presently anticipated that a change in portfolio management of the
following Berger Funds will occur:

         Berger Growth Fund
         Berger Large Cap Growth Fund
         Berger Mid Cap Growth Fund
         Berger Small Company Growth Fund
         Berger Balanced Fund
         Berger International Fund
         Berger International CORE Fund
         International Equity Fund
         Berger Information Technology Fund

The Trustees of the Berger Funds, not Janus or Stilwell, will be responsible for
selecting a new adviser for these funds. The Trustees have begun considering the
alternatives. Berger will continue to provide investment advisory and
administrative services to the Berger Funds until the completion of the
transaction. It is anticipated that the consolidation of Stilwell will be
completed in the first quarter of 2003.