CREDIT SUISSE WARBURG PINCUS FUNDS
(FORMERLY DLJ MUTUAL FUNDS)
CREDIT SUISSE WARBURG PINCUS BLUE CHIP FUND
CREDIT SUISSE WARBURG PINCUS VALUE FUND
CREDIT SUISSE WARBURG PINCUS SMALL COMPANY VALUE FUND
CREDIT SUISSE WARBURG PINCUS STRATEGIC GROWTH FUND
CREDIT SUISSE WARBURG PINCUS TECHNOLOGY FUND
CREDIT SUISSE WARBURG PINCUS DEVELOPING MARKETS FUND
CREDIT SUISSE WARBURG PINCUS INTERNATIONAL EQUITY II FUND
CREDIT SUISSE WARBURG PINCUS FIXED INCOME II FUND
CREDIT SUISSE WARBURG PINCUS MUNICIPAL TRUST FUND
CREDIT SUISSE WARBURG PINCUS HIGH INCOME FUND
CREDIT SUISSE WARBURG PINCUS MUNICIPAL MONEY FUND
CREDIT SUISSE WARBURG PINCUS U.S. GOVERNMENT MONEY FUND
FEBRUARY 28, 2001 PROSPECTUS
As with all mutual funds, the Securities and Exchange Commission has not
approved these funds, nor has it passed upon the adequacy or accuracy of this
PROSPECTUS. It is a criminal offense to state otherwise.
An investment in any of the Funds is not a deposit of any bank and is not
insured or guaranteed by the Federal Deposit Insurance Corporation or any other
government agency.
WARBURG PINCUS FUNDS
PART OF CREDIT SUISSE ASSET MANAGEMENT
CONTENTS
CREDIT SUISSE WARBURG PINCUS FUNDS' RISK/RETURN SUMMARY ............ 4
SUMMARY OF CREDIT SUISSE WARBURG PINCUS FUND EXPENSES .............. 16
ANNUAL FUND OPERATING EXPENSES ..................................... 17
RECENT DEVELOPMENTS ................................................ 22
PURCHASE INFORMATION ............................................... 24
CREDIT SUISSE WARBURG PINCUS FUNDS' INVESTMENT OBJECTIVES AND
POLICIES ........................................................... 26
ADDITIONAL INFORMATION ON INVESTMENT POLICIES AND RISKS ............ 39
FUND MANAGEMENT .................................................... 42
HOW TO BUY AND SELL SHARES ......................................... 44
OTHER SHAREHOLDER INFORMATION ...................................... 51
ADDITIONAL SHAREHOLDER SERVICES .................................... 56
DISTRIBUTION CHARGES ............................................... 57
DIVIDEND AND DISTRIBUTION INFORMATION .............................. 58
TAXES .............................................................. 58
FINANCIAL HIGHLIGHTS ............................................... 59
FOR MORE INFORMATION ............................................... back cover
THIS PART OF THE PROSPECTUS SUMMARIZES EACH FUND'S INVESTMENT OBJECTIVE,
PRINCIPAL INVESTMENT STRATEGIES AND PRINCIPAL RISKS. THIS SECTION ALSO CONTAINS
LIMITED PERFORMANCE DATA. MORE INFORMATION ABOUT THE CREDIT SUISSE WARBURG
PINCUS FUNDS IS CONTAINED IN "CREDIT SUISSE WARBURG PINCUS FUNDS' INVESTMENT
OBJECTIVES AND POLICIES," AND "ADDITIONAL INFORMATION ON INVESTMENT POLICIES AND
RISKS." PLEASE READ THE ENTIRE PROSPECTUS CAREFULLY BEFORE INVESTING AND SAVE IT
FOR FUTURE REFERENCE.
3
CREDIT SUISSE WARBURG PINCUS FUNDS' RISK/RETURN SUMMARY
CREDIT SUISSE WARBURG PINCUS DOMESTIC EQUITY FUNDS
THE CREDIT SUISSE WARBURG PINCUS BLUE CHIP FUND
The Credit Suisse Warburg Pincus Blue Chip Fund's investment objective is
long-term capital appreciation. The Fund seeks to achieve its objective by
investing in companies that offer long-term capital appreciation. The Fund
invests in common stock, securities convertible into common stock and other
equity securities of well-known and established companies. The Fund takes a
long-term view of each stock it buys, holding each company until its long-term
growth potential no longer meets the Fund's requirements. Generally, the Fund
attempts to identify companies with growth rates that will exceed that of the
S&P 500 Index. The Credit Suisse Warburg Pincus Blue Chip Fund is "sector
neutral." This means that its investments are allocated to industries in
proportion to the sector allocation of the S&P 500 Index, with the exception of
the electric and the gas utilities sectors. In the opinion of the Adviser, this
strategy enables the Fund to properly diversify its portfolio within the most
important and central realm of the U.S. equity universe. The Fund may also make
an investment to earn income when its Adviser believes that it will not
compromise the investment objective. To achieve this objective, the Fund may
invest up to 35% of the value of its assets in investment-grade fixed income
securities, including bonds, debentures, notes, asset and mortgage-backed
securities and money market instruments such as commercial paper and bankers'
acceptances and other financial instruments. The Fund may also invest in
non-U.S. securities.
Like any investment, an investment in the Credit Suisse Warburg Pincus
Blue Chip Fund is subject to risk and you could lose money. While investments
are selected that Credit Suisse Asset Management, LLC ("CSAM" or the "Adviser")
believes will experience long-term appreciation, their value could decline. The
Fund is subject to risks that affect equity securities markets in general, such
as general economic conditions and adverse changes (generally increases) in
interest rates. These and other factors could adversely affect your investment.
The following chart and table illustrate the risk and the variability of
the Fund's returns by showing the rate of return from year to year and how
annual returns for 1, 5 and 10 years compare to those of the S&P 500 Composite
Index, which is a broad measure of market performance. The Fund's past
performance is not necessarily an indication of how it will perform in the
future.
CALENDAR YEAR TOTAL RETURNS
[BAR CHART]
1991 28.00%
1992 2.00%
1993 14.00%
1994 -4.00%
1995 24.00%
1996 20.00%
1997 28.00%
1998 28.00%
1999 28.00%
2000 -4.00%
The annual returns referenced in the bar chart are for the calendar years
ended December 31 and do not include sales charges. If sales charges were
included, the annual returns would be lower than those shown.
During the 10-year period shown in the bar chart for Class A shares, the
highest return for a quarter was 21.16% (quarter ending 12/31/98) and the lowest
return for a quarter was -9.22% (quarter ending 9/30/98).
4
AVERAGE ANNUAL TOTAL RETURNS
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(FOR THE PERIODS ENDING DECEMBER 31, 2000) PAST YEAR PAST 5 YEARS PAST 10 YEARS
- -----------------------------------------------------------------------------------------------------
BLUE CHIP FUND CLASS A (9.78)% 17.96% 14.91%
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BLUE CHIP FUND CLASS B* (8.59)% N/A N/A
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BLUE CHIP FUND CLASS D** (4.04)% N/A N/A
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S&P 500*** (9.11)% 18.33% 17.46%
- -----------------------------------------------------------------------------------------------------
The Average Annual Total Returns for the Fund reflect the maximum
applicable sales charges currently in effect. The Fund commenced offering Class
C and Common Class shares on February 28, 2000 and August 1, 2000, respectively.
Therefore, the Fund does not yet have a full calendar year of performance
information for these classes.
* The since inception (February 28, 1996) average annual total return for
Class B shares for the period ending December 31, 2000 was 17.54%.
** The since inception (May 13, 1999) average annual total return for Class D
shares for the period ending December 31, 2000 was 6.42%.
*** The S&P 500 -Registered Trademark- is the Standard & Poor's Composite Index
of 500 Stocks, a widely recognized, unmanaged index of common stock prices.
The returns for the S&P 500 do not include any sales charges, fees or other
expenses.
THE CREDIT SUISSE WARBURG PINCUS VALUE FUND
The Credit Suisse Warburg Pincus Value Fund's investment objective is
long-term capital appreciation and continuity of income. The Fund seeks to
achieve its objective by investing in dividend paying common stock and by
diversifying its investments among different industries and different companies.
Securities are selected on the basis of their investment merit and their
potential for appreciation in value and/or income, with a focus on stability.
The Adviser identifies companies that it believes are undervalued and waits for
the market to discover that value. A portion of the Fund may be invested in debt
securities that are of investment-grade quality, U.S. Government securities and
money market instruments. The Fund may also invest in securities of non-U.S.
based issuers or issuers that do business principally outside of the U.S., which
we refer to as non-U.S. securities. There is no fixed percentage of the Fund's
assets that must be invested in any particular type of security.
Like any investment, an investment in the Credit Suisse Warburg Pincus
Value Fund is subject to risk and you could lose money. While the Fund seeks
investments that will appreciate in value and/or provide income, the Adviser
could select securities that will decline in value and provide no income.
The Fund is also subject to risks that affect equity securities markets in
general, such as general economic conditions and adverse changes (generally
increases) in interest rates. These and other factors could adversely affect
your investment.
The following chart and table illustrate the risk and the variability of
the Fund's returns by showing the rate of return from year to year and how
annual returns for 1, 5 and 10 years compare to those of the S&P 500 Composite
Index, which is a broad measure of market performance. The Fund's past
performance is not necessarily an indication of how it will perform in the
future.
CALENDAR YEAR TOTAL RETURNS
[BAR CHART]
1991 24.00%
1992 6.00%
1993 16.00%
1994 -2.00%
1995 30.00%
1996 22.00%
1997 33.00%
1998 19.00%
1999 10.00%
2000 8.00%
The annual returns referenced in the bar chart are for the calendar years
ended December 31 and do not include sales charges. If sales charges were
included, the annual returns would be lower than those shown.
During the 10-year period shown in the bar chart for Class A shares, the
highest return for a quarter was 16.00% (quarter ending 12/31/98) and the lowest
return for a quarter was -9.35% (quarter ending 9/30/98).
5
AVERAGE ANNUAL TOTAL RETURNS
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(FOR THE PERIODS ENDING DECEMBER 31, 2000) PAST YEAR PAST 5 YEARS PAST 10 YEARS
- -----------------------------------------------------------------------------------------------------
VALUE FUND CLASS A 2.11% 16.68% 15.33%
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VALUE FUND CLASS B* 3.62% N/A N/A
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VALUE FUND CLASS D** 8.64% N/A N/A
- -----------------------------------------------------------------------------------------------------
S&P 500*** (9.11)% 18.33% 17.46%
- -----------------------------------------------------------------------------------------------------
The Average Annual Total Returns for the Fund reflect the maximum
applicable sales charges currently in effect. The Fund commenced offering Class
C and Common Class shares on February 28, 2000 and August 1, 2000, respectively.
Prior to the date of this prospectus, the Fund had not yet offered Advisor Class
shares. Therefore, the Fund does not yet have a full calendar year of
performance information for these classes.
* The since inception (February 28, 1996) average annual total return for
Class B shares for the period ending December 31, 2000 was 16.51%.
** The since inception (April 30, 1999) average annual total return for Class
D shares for the period ending December 31, 2000 was 7.17%.
*** The S&P 500 -Registered Trademark- is the Standard & Poor's Composite Index
of 500 Stocks, a widely recognized, unmanaged index of common stock prices.
The returns for the S&P 500 do not include any sales charges, fees or other
expenses.
THE CREDIT SUISSE WARBURG PINCUS SMALL COMPANY VALUE FUND
The Credit Suisse Warburg Pincus Small Company Value Fund's investment
objective is a high level of growth of capital. The Fund seeks to achieve its
objective by investing in common stock and other equity securities of
"small-cap" companies that appear to be undervalued. Companies with market
capitalizations of $2 billion or less at the time of purchase are considered to
be small-cap companies.
This Fund's investment objective causes it to be riskier than other funds
and you could lose money. While the Fund seeks investments that provide a high
level of growth of capital, they may decline in value. You should not invest in
this Fund if your principal objective is assured income or capital preservation.
Investments in small-cap companies often involve greater risks than investments
in larger, more established companies. Small-cap companies may have less
management experience, fewer financial resources, and limited product
diversification, all of which may increase risks.
The frequency and trading volume for securities of small-cap companies are
substantially less than for larger companies. This can result in greater and
more abrupt price fluctuations and can cause small-cap stocks to be less liquid
than securities of larger companies. The Fund is also subject to risks that
affect equity securities markets in general, such as general economic conditions
and adverse changes (generally increases) in interest rates. These and other
factors could adversely affect your investment.
The following chart and table illustrate the risk and the variability of
the Fund's returns by showing the rate of return from year to year and how
annual returns for 1, 5 and 10 years compare to those of the Russell 2000 Index,
which is a broad measure of market performance. The Fund's past performance is
not necessarily an indication of how it will perform in the future.
CALENDAR YEAR TOTAL RETURNS
[BAR CHART]
1991 51.00%
1992 18.00%
1993 22.00%
1994 -1.00%
1995 20.00%
1996 15.00%
1997 26.00%
1998 -5.00%
1999 1.00%
2000 27.00%
The annual returns referenced in the bar chart are for the calendar years
ended December 31 and do not include sales charges. If sales charges were
included, the annual returns would be lower than those shown.
During the 10-year period shown in the bar chart for Class A shares, the
highest return for a quarter was 17.81% (quarter ending 3/31/91) and the lowest
return for a quarter was -18.15% (quarter ending 9/30/98).
6
AVERAGE ANNUAL TOTAL RETURNS
- -----------------------------------------------------------------------------------------------------
(FOR THE PERIODS ENDING DECEMBER 31, 2000) PAST YEAR PAST 5 YEARS PAST 10 YEARS
- -----------------------------------------------------------------------------------------------------
SMALL COMPANY VALUE FUND CLASS A 19.75% 10.87% 15.80%
- -----------------------------------------------------------------------------------------------------
SMALL COMPANY VALUE FUND CLASS B* 22.10% N/A N/A
- -----------------------------------------------------------------------------------------------------
RUSSELL 2000** (3.02)% 10.31% 15.53%
- -----------------------------------------------------------------------------------------------------
The Average Annual Total Returns for the Fund reflect the maximum
applicable sales charges currently in effect. The Fund commenced offering Class
C and Common Class shares on February 28, 2000 and August 1, 2000, respectively.
Prior to the date of this prospectus, the Fund had not yet offered Class D
shares. Therefore, the Fund does not yet have a full calendar year of
performance information for these classes.
* The since inception (February 28, 1996) average annual total return for
Class B shares for the period ending December 31, 2000 was 11.36%.
** The Russell 2000 Index is an unmanaged index of common stock prices and is
composed of the 2,000 smallest companies in the Russell 3000 Index. The
Russell 3000 Index is composed of 3,000 of the largest U.S. companies by
market capitalization. The returns for the Russell 2000 Index do not
include any sales charges, fees or other expenses.
THE CREDIT SUISSE WARBURG PINCUS STRATEGIC GROWTH FUND
THE BOARD OF TRUSTEES OF THE FUND HAS APPROVED, SUBJECT TO SHAREHOLDER
APPROVAL, AT A MEETING SCHEDULED FOR MARCH 23, 2001, THE TRANSFER OF ALL OF THE
ASSETS AND LIABILITIES OF THE FUND IN EXCHANGE FOR SHARES OF THE WARBURG, PINCUS
FOCUS FUND, INC., A SIMILAR FUND IN THE WARBURG PINCUS FAMILY OF FUNDS. SEE
"RECENT DEVELOPMENTS" FOR ADDITIONAL INFORMATION.
The Credit Suisse Warburg Pincus Strategic Growth Fund's investment
objective is long-term growth of capital. The Fund seeks to achieve this
objective by investing in equity securities of a limited number of large,
carefully selected companies that the Adviser believes will achieve superior
growth. The Fund intends to hold securities of approximately 50-60 companies,
which may fluctuate depending on the Adviser's view of market conditions. The
Fund seeks to achieve superior performance as compared to other U.S. domestic
growth funds.
Like any investment, an investment in the Credit Suisse Warburg Pincus
Strategic Growth Fund is subject to risk, and you could lose money. While the
Adviser believes that the investments it selects will experience long-term
appreciation, their value could decline. Growth companies are typically
characterized by higher price-to-earnings and price-to-book ratios, lower
dividend yields, greater volatility, and higher historical and predicted
earnings. The Fund is also subject to risks that affect equity securities
markets in general, such as general economic conditions and adverse changes
(generally increases) in interest rates. Because the Fund normally invests in a
smaller number of securities than many other equity funds, an investment in this
Fund has the risk that changes in the value of a single security may have a more
significant effect, either negative or positive, on the Fund's net asset value.
These and other factors could adversely affect your investment.
The following chart and table illustrate the risk and the variability of
the Fund's returns by showing the highest and lowest quarterly returns for the
Fund's first full calendar year and how the annual returns for 1 year and from
inception compare to those of the S&P 500 Barra Index, which is a broad measure
of market performance. The Fund's past performance is not necessarily an
indication of how it will perform in the future.
CALENDAR YEAR TOTAL RETURNS
[BAR CHART]
2000 -16.00%
The annual return referenced in the bar chart is for the calendar year
ended December 31 and does not include sales charges. If sales charges were
included, the annual return would be lower than shown.
During the 1-year period shown in the bar chart for Common Class shares,
the highest return for a quarter was 8.79% (quarter ending 3/31/00) and the
lowest return for a quarter was -18.18% (quarter ending 12/31/00). 2000 was the
first full calendar year of operations.
7
AVERAGE ANNUAL TOTAL RETURNS
- --------------------------------------------------------------------------------------------------
(FOR THE PERIODS ENDING DECEMBER 31, 2000) PAST YEAR FROM INCEPTION ON 11/18/99
- --------------------------------------------------------------------------------------------------
STRATEGIC GROWTH FUND COMMON CLASS (15.93)% (7.33)%
- --------------------------------------------------------------------------------------------------
S&P 500 BARRA INDEX* (22.08)% (15.35)%
- --------------------------------------------------------------------------------------------------
Common Class shares are not subject to a sales charge. Therefore, the
Average Annual Total Returns for the Fund do not reflect the maximum applicable
sales charges currently in effect. If sales charges were included, the annual
total returns would be lower than those shown. The Fund commenced offering Class
A shares, Class B shares and Class C shares on August 1, 2000. Therefore, the
Fund does not have a full calendar year of performance for these shares.
* The S&P 500 Barra Index is comprised of those companies within the S&P 500
Index with higher ratios of market price to book value than other companies
within the S&P 500 Index. The returns for the S&P 500 Barra Index do not
include any sales charges, fees or other expenses.
THE CREDIT SUISSE WARBURG PINCUS TECHNOLOGY FUND
The Credit Suisse Warburg Pincus Technology Fund's investment objective is
growth of capital. The Fund seeks to achieve this objective by investing in a
broad number of industries that comprise the U.S. domestic technology sector.
Under normal market conditions, the Fund invests at least 65% of its assets in
technology companies. The Fund seeks to create a blend of stocks in companies
that include, but are not limited to, the computer hardware, computer software,
electronics, semiconductor, semiconductor capital equipment, telecommunication
equipment, telecommunication services, and internet industries.
Like any investment, an investment in the Credit Suisse Warburg Pincus
Technology Fund is subject to risk and you could lose money. While the Fund
seeks investments that will appreciate in value, the Adviser could select
securities that will decline in value and provide no income. Technology stocks,
especially those of smaller, less-seasoned companies tend to be more volatile
than the overall stock market. When stock prices fall, you should expect the
value of your investment to fall as well, possibly to a greater extent than the
decline in equity markets generally. The fact that the Fund concentrates in a
single sector increases risk and volatility as compared to more diverse funds.
This is because factors that affect that sector are likely to directly affect
the Fund's performance, both negatively and positively. Even if the overall
direction of equity prices is upward, if technology stocks are headed lower,
Fund performance could be adversely affected. For example, technology companies
could be hurt by such factors as market saturation, price competition, and the
advent of competing technologies. The Fund is also subject to risks that affect
equity securities markets in general, such as general economic conditions and
adverse changes (generally increases) in interest rates. These and other factors
could adversely affect your investment.
The following chart and table illustrate the risk and the variability of
the Fund's returns by showing the highest and lowest quarterly returns for the
Fund's first full calendar year and how the annual returns for 1 year and from
inception compare to those of the Chase H & Q Technology Index, which is a broad
measure of market performance. The Fund's past performance is not necessarily an
indication of how it will perform in the future.
CALENDAR YEAR TOTAL RETURNS
[BAR CHART]
2000 -29.00%
The annual returns referenced in the bar chart are for the calendar year
ended December 31 and do not include sales charges. If sales charges were
included, the annual returns would be lower than those shown.
During the 1-year period shown in the bar chart for Common Class shares,
the highest return for a quarter was 26.49% (quarter ending 3/31/00) and the
lowest return for a quarter was -37.75% (quarter ending 12/31/00). 2000 was the
first full calendar year of operations.
8
AVERAGE ANNUAL TOTAL RETURNS
- --------------------------------------------------------------------------------------------------
(FOR THE PERIODS ENDING DECEMBER 31, 2000) PAST YEAR FROM INCEPTION ON 11/18/99
- --------------------------------------------------------------------------------------------------
TECHNOLOGY FUND COMMON CLASS (29.00%) (10.85%)
- --------------------------------------------------------------------------------------------------
CHASE HAMBRECHT & QUIST TECHNOLOGY INDEX* (35.35%) (18.07%)
- --------------------------------------------------------------------------------------------------
Common Class shares are not subject to a sales charge. Therefore, the
Average Annual Total Returns for the Fund do not reflect the maximum applicable
sales charges currently in effect. If sales charges were included, the annual
returns would be lower than those shown. The Fund commenced offering Class A
shares, Class B shares, and Class C shares on August 1, 2000 and Class D shares
on September 1, 2000. Therefore, the Fund does not have a full calendar year of
performance for these shares.
* The Chase H & Q Technology Index is comprised of a cross-section of
computer hardware, computer software, communications, semiconductor,
information services and internet services companies. The returns for the
Chase H & Q Technology Index do not include any sales charges, fees or
other expenses.
CREDIT SUISSE WARBURG PINCUS INTERNATIONAL FUNDS
THE CREDIT SUISSE WARBURG PINCUS DEVELOPING MARKETS FUND
THE BOARD OF TRUSTEES OF THE FUND HAS APPROVED, SUBJECT TO SHAREHOLDER
APPROVAL, AT A MEETING SCHEDULED FOR MARCH 23, 2001, THE TRANSFER OF ALL OF THE
ASSETS AND LIABILITIES OF THE FUND IN EXCHANGE FOR SHARES OF THE WARBURG, PINCUS
EMERGING MARKETS FUND, INC., A SIMILAR FUND IN THE WARBURG PINCUS FAMILY OF
FUNDS. SEE "RECENT DEVELOPMENTS" FOR ADDITIONAL INFORMATION.
The Credit Suisse Warburg Pincus Developing Markets Fund's investment
objective is to provide long-term growth of capital by primarily investing in
common stocks and other equity securities of companies from developing
countries. The Fund seeks to achieve its objective by investing in securities of
issuers in countries included in the Morgan Stanley Capital Index ("MSCI")
Emerging Markets Free Index. The Fund's investment approach is to seek to
minimize country and sector risk by maintaining country and sector neutrality,
with weightings close to those of the MSCI Emerging Markets Free Index.
This Fund's investment objective causes it to be riskier than other mutual
funds and you could lose money. While the Fund seeks investments that provide a
high level of growth of capital, they may decline in value. The Fund invests
primarily in non-U.S. securities (securities of non-U.S. based issuers or
issuers that do business principally outside the United States) of issuers in
developing markets. Investments in non-U.S. securities present additional risks
including greater price volatility and a lack of liquidity. Investments in
developing markets present further risks because they tend to be smaller, less
mature and less stable than investments in developed markets. The Fund is also
subject to risks that affect equity securities markets in general, such as
general economic conditions and adverse changes in interest and foreign exchange
rates. These and other factors could adversely affect your investment.
The following chart and table illustrate the risk and the variability of
the Fund's returns by showing the rate of return from year to year and how
annual returns for 1 and 5 years and from inception compare to those of the MSCI
Emerging Markets Free Index, which is a broad measure of market performance. The
Fund's past performance is not necessarily an indication of how it will perform
in the future.
CALENDAR YEAR TOTAL RETURNS
[BAR CHART]
1996 4.00%
1997 -6.00%
1998 -22.00%
1999 69.00%
2000 -38.00%
The annual returns referenced in the bar chart are for the calendar years
ended December 31 and do not include sales charges. If sales charges were
included, the annual returns would be lower than those shown.
During the 5-year period shown in the bar chart for Class A shares, the
highest return for a quarter was 27.74% (quarter ending 12/31/99) and the lowest
return for a quarter was -21.96% (quarter ending 6/30/98). 1996 was the first
full calendar year of operations.
9
AVERAGE ANNUAL TOTAL RETURNS
- --------------------------------------------------------------------------------------------------------------
(FOR THE PERIODS ENDING DECEMBER 31, 2000) PAST YEAR PAST 5 YEARS FROM INCEPTION ON 9/8/95
- --------------------------------------------------------------------------------------------------------------
DEVELOPING MARKETS FUND CLASS A (41.60)% (5.47)% (5.56)%
- --------------------------------------------------------------------------------------------------------------
DEVELOPING MARKETS FUND CLASS B (41.01)% (5.09)% (5.26)%
- --------------------------------------------------------------------------------------------------------------
MSCI EMERGING MARKETS FREE INDEX* (30.61)% (4.17)% (4.46)%
- --------------------------------------------------------------------------------------------------------------
The Average Annual Total Returns for the Fund reflect the maximum
applicable sales charges currently in effect.
The Fund commenced offering Class C shares and Common Class shares on
February 28, 2000 and August 1, 2000, respectively. Therefore, the Fund does not
yet have a full calendar year of performance information for these classes.
* The MSCI Emerging Markets Free Index is an unmanaged index composed of a
sample of companies representative of the market structure of developing
countries worldwide. The index is the property of Morgan Stanley & Co.
Incorporated. The returns for the Index do not include any sales charges,
fees or other expenses.
THE CREDIT SUISSE WARBURG PINCUS INTERNATIONAL EQUITY II FUND
The Credit Suisse Warburg Pincus International Equity II Fund's investment
objective is long-term growth of capital by investing in equity securities from
established non-U.S. markets. The Fund seeks to achieve this objective by
focusing on investment selection based primarily on the recommendations of CSFB
International Research. The Fund invests in securities of issuers in the
developed countries of Europe, Australia and the Far East ("EAFE"), using
disciplined, quantitative methods in its attempt to minimize country, industry
and financial risks. The Fund is country and sector neutral and will seek to
maintain its weightings close to those of the MSCI EAFE Index.
Like any investment, an investment in the Fund is subject to risk and you
could lose money. While the Fund selects investments that the Adviser believes
will appreciate in value, those securities could decline in value and provide no
income. The Fund invests primarily in non-U.S. securities (securities of
non-U.S. based issuers or issuers that do business principally outside the
United States). Investments in non-U.S. securities present additional risks
including greater price volatility and a lack of liquidity. The Fund is also
subject to risks that affect equity securities markets in general, such as
general economic conditions and adverse changes in interest (generally
increases) and foreign exchange rates. These and other factors could adversely
affect your investment.
The following chart and table illustrate the risk and the variability of
the Fund's returns by showing the rate of return from year to year and how
annual returns for 1 year and 5 years and from inception compare to those of the
MSCI-EAFE -Registered Trademark- Index, which is a broad measure of market
performance. The Fund's past performance is not necessarily an indication of how
it will perform in the future.
CALENDAR YEAR TOTAL RETURNS
[BAR CHART]
1996 6.00%
1997 7.00%
1998 18.00%
1999 28.00%
2000 -15.00%
The annual returns, referenced in the bar chart are for the calendar years
ended December 31 and do not include sales charges. If sales charges were
included, the annual returns would be lower than those shown.
During the 5-year period shown in the bar chart for Class A shares, the
highest return for a quarter was 19.76% (quarter ending 12/31/99) and the lowest
return for a quarter was -15.46% (quarter ending 9/30/98). 1996 was the first
full calendar year of operations.
10
AVERAGE ANNUAL TOTAL RETURNS
- -------------------------------------------------------------------------------------------------------
(FOR THE PERIODS ENDING DECEMBER 31, 2000) PAST YEAR PAST 5 YEARS SINCE INCEPTION*
- -------------------------------------------------------------------------------------------------------
INTERNATIONAL EQUITY II FUND CLASS A (19.94)% 6.51% 6.38%
- -------------------------------------------------------------------------------------------------------
INTERNATIONAL EQUITY II FUND CLASS B (19.00)% 6.94% 6.74%
- -------------------------------------------------------------------------------------------------------
INTERNATIONAL EQUITY II FUND CLASS D** (14.84)% N/A N/A
- -------------------------------------------------------------------------------------------------------
MSCI-EAFE*** (13.96)% 7.43% 8.09%
- -------------------------------------------------------------------------------------------------------
The Average Annual Returns for the Fund reflect the maximum applicable
sales charges.
The Fund commenced offering Class C and Common Class shares on February 28,
2000 and August 1, 2000, respectively. Therefore, the Fund does not yet have a
full calendar year of performance information for these classes.
* Inception date of Class A and Class B shares was September 8, 1995 and
Class D shares was May 13, 1999.
** The since inception (May 13, 1999) average annual total return for Class D
shares for the period ending December 31, 2000 was 3.26%.
*** The MSCI-EAFE -Registered Trademark- is an unmanaged index composed of a
sample of companies representative of the market structure of European and
Pacific Basin Countries. The index is the property of Morgan Stanley & Co.
Incorporated. The returns for the Index do not include any sales charges,
fees or other expenses.
CREDIT SUISSE WARBURG PINCUS FIXED INCOME FUNDS
THE CREDIT SUISSE WARBURG PINCUS FIXED INCOME II FUND
THE BOARD OF TRUSTEES OF THE FUND HAS APPROVED, SUBJECT TO SHAREHOLDER
APPROVAL, AT A MEETING SCHEDULED FOR MARCH 23, 2001, THE TRANSFER OF ALL OF THE
ASSETS AND LIABILITIES OF THE FUND IN EXCHANGE FOR SHARES OF THE WARBURG PINCUS
CREDIT SUISSE WARBURG PINCUS FIXED INCOME FUND, A SIMILAR FUND IN THE WARBURG
PINCUS FAMILY OF FUNDS. SEE "RECENT DEVELOPMENTS" FOR ADDITIONAL INFORMATION.
The Credit Suisse Warburg Pincus Fixed Income II Fund's investment
objective is to provide as high a level of total return as is consistent with
capital preservation by investing principally in debt securities, including,
without limitation, convertible and non-convertible debt securities of foreign
and domestic companies, including both well-known and established and new and
lesser-known companies. The Fund seeks to achieve its objective by investing
primarily in a diversified portfolio of high-grade intermediate-term corporate
bonds and U.S. Government securities, as well as in commercial paper and
obligations issued or guaranteed by national or state banks. In addition, the
Adviser actively manages the maturities of the securities in the portfolio in
response to the Adviser's anticipation of the movement of interest rates and
relative yields. The Fund seeks to limit risk by selecting investment-grade debt
securities.
While the Fund seeks investments that will satisfy its investment
objective, the investments could decline in value and you could lose money.
Concerns about an issuer's ability to repay its borrowings or to pay interest
will adversely affect the value of its securities.
The Fund is subject to risks that affect the bond markets in general, such
as general economic conditions and adverse changes (generally increases) in
interest rates. As interest rates rise, absent other factors, bond prices and
the value of your investments will fall. The Fund is also subject to the risk
that, in seeking to enhance total return, the Adviser will incorrectly forecast
changes in interest rates or improperly assess the value of debt securities.
These and other factors could adversely affect your investment.
11
The following chart and table illustrate the risk and the variability of
the Fund's returns by showing the rate of return from year to year and how
annual returns for 1, 5 and 10 years compare to those of the Lehman Brothers
Government/Corporate Intermediate Bond Index, which is a broad measure of market
performance. The Fund's past performance is not necessarily an indication of how
it will perform in the future.
CALENDAR YEAR TOTAL RETURNS
[BAR CHART]
1991 14.00%
1992 7.00%
1993 10.00%
1994 -4.00%
1995 15.00%
1996 3.00%
1997 8.00%
1998 8.00%
1999 -1.00%
2000 9.00%
The annual returns referenced in the bar chart are for the calendar years
ended December 31 and do not include sales charges. If sales charges were
included, the annual returns would be lower than those shown.
During the 10-year period shown in the bar chart for Class A shares, the
highest return for a quarter was 5.09% (quarter ending 12/31/91) and the lowest
return for a quarter was -2.88% (quarter ending 3/31/94).
AVERAGE ANNUAL TOTAL RETURNS
- -----------------------------------------------------------------------------------------------------
(FOR THE PERIODS ENDING DECEMBER 31, 2000) PAST YEAR PAST 5 YEARS PAST 10 YEARS
- -----------------------------------------------------------------------------------------------------
FIXED INCOME II FUND CLASS A 3.70% 4.08% 6.18%
- -----------------------------------------------------------------------------------------------------
FIXED INCOME II FUND CLASS B* 4.14% N/A N/A
- -----------------------------------------------------------------------------------------------------
FIXED INCOME II FUND CLASS D** 9.22% N/A N/A
- -----------------------------------------------------------------------------------------------------
LEHMAN INDEX*** 10.12% 6.11% 7.36%
- -----------------------------------------------------------------------------------------------------
The Average Annual Total Returns for the Fund reflect the maximum
applicable sales charges currently in effect. The Fund commenced offering Class
C and Common Class shares on February 28, 2000 and August 1, 2000, respectively.
Therefore, the Fund does not yet have a full calendar year of performance
information for these classes.
* The since inception (February 28, 1996) average annual total return for
Class B shares for the period ending December 31, 2000 was 4.67%.
** The since inception (April 30, 1999) average annual total return for Class
D shares for the period ending December 31, 2000 was 5.37%.
*** The Lehman Brothers Government/Corporate Intermediate Bond Index is
comprised of securities in the Lehman Brothers Government/Corporate Bond
Index that have maturities of 5-10 years. The Lehman Brothers
Government/Corporate Bond Index includes the Lehman Brothers Government
Bond Index and the Lehman Brothers Corporate Bond Index and does not
include sales charges, fees or expenses in its calculation.
THE CREDIT SUISSE WARBURG PINCUS MUNICIPAL TRUST FUND
THE BOARD OF TRUSTEES OF THE FUND HAS APPROVED, SUBJECT TO SHAREHOLDER
APPROVAL, AT A MEETING SCHEDULED FOR MARCH 23, 2001, THE TRANSFER OF ALL OF THE
ASSETS AND LIABILITIES OF THE FUND IN EXCHANGE FOR SHARES OF THE WARBURG, PINCUS
MUNICIPAL BOND FUND, INC., A SIMILAR FUND IN THE WARBURG PINCUS FAMILY OF FUNDS.
SEE "RECENT DEVELOPMENTS" FOR ADDITIONAL INFORMATION.
The Credit Suisse Warburg Pincus Municipal Trust Fund's investment
objective is to provide as high a level of total return as is consistent with
capital preservation by investing principally in high-grade tax-exempt municipal
securities. By high-grade tax-exempt municipal securities, we mean securities
rated Aaa, Aa, A or MIG-1 by Moody's or AAA, AA, A or SP-1 by S&P. It is
important to note that unlike most other municipal bond funds, the Fund's
objective is not to provide current income that is exempt from federal and/or
state income tax. The Fund seeks to achieve its objective by investing primarily
in a diversified portfolio of high-grade, intermediate-term municipal
securities. In addition, the Adviser actively manages the maturities of the
securities in the portfolio in response to the Adviser's anticipation of the
movement of interest rates and relative yields. Certain investments are selected
that the Adviser believes are undervalued. The Fund attempts to limit risk by
selecting investment-grade debt securities and by maintaining an average
maturity of between five and ten years.
12
While the Fund seeks investments that will satisfy its investment
objective, these investments could decline in value and you could lose money.
Concerns about an issuer's ability to repay its borrowings or to pay interest
will adversely affect the value of its securities. The Fund is also subject to
the risk that, in seeking to enhance total return, the Adviser will incorrectly
forecast changes in interest rates or improperly assess the value of municipal
securities. Like all bond funds, this Fund is subject to risks that affect the
bond markets in general, such as general economic conditions and adverse changes
(generally increases) in interest rates. As interest rates rise, absent other
factors, bond prices and the value of your investment will fall. The Fund is
also subject to risks of investing in municipal securities. These risks include
uncertainties regarding the securities' tax status, political and legislative
changes and the rights of their holders. These and other factors could adversely
affect your investment.
The following chart and table illustrate the risk and the variability of
the Fund's returns by showing the rate of return from year to year and how
annual returns for 1 and 5 years and from inception compare to those of The
Lehman Brothers Seven Year Municipal Bond Index, which is a broad measure of
market performance. The Fund's past performance is not necessarily an indication
of how it will perform in the future.
CALENDAR YEAR TOTAL RETURNS
[BAR CHART]
1994 -3.00%
1995 12.00%
1996 4.00%
1997 8.00%
1998 5.00%
1999 -1.00%
2000 7.00%
The annual returns referenced in the bar chart are for the calendar years
ended December 31 and do not include sales charges. If sales charges were
included, the annual returns would be lower than those shown.
During the 7-year period shown in the bar chart for Class A shares, the
highest return for a quarter was 4.52% (quarter ending 3/31/95) and the lowest
return for a quarter was -4.18% (quarter ending 3/31/94). 1994 was the first
full calendar year of operations.
AVERAGE ANNUAL TOTAL RETURNS
- ---------------------------------------------------------------------------------------------------------------
(FOR THE PERIODS ENDING DECEMBER 31, 2000) PAST YEAR PAST 5 YEARS FROM INCEPTION ON 7/28/93
- ---------------------------------------------------------------------------------------------------------------
MUNICIPAL TRUST FUND CLASS A 2.23% 3.45% 3.77%
- ---------------------------------------------------------------------------------------------------------------
MUNICIPAL TRUST FUND CLASS B* 2.50% N/A N/A
- ---------------------------------------------------------------------------------------------------------------
LBSYMBI** 9.07% 5.40% 5.65%***
- ---------------------------------------------------------------------------------------------------------------
The Average Annual Total Returns for the Fund reflect the maximum
applicable sales charges currently in effect. The Fund commenced offering Class
C and Common Class shares on February 28, 2000 and August 1, 2000, respectively.
Therefore, the Fund does not yet have a full calendar year of performance
information for these classes.
* The since inception (February 28, 1996) average annual total return for
Class B shares for the period ending December 31, 2000 was 3.76%.
** The Lehman Brothers Seven Year Municipal Bond Index ("LBSYMBI") is
comprised of municipal securities having an average approximate maturity of
seven years and does not include sales charges, fees or expenses in its
calculation.
*** For comparative purposes the value of the index on 7/31/93 is used for the
beginning value on 7/28/93.
THE CREDIT SUISSE WARBURG PINCUS HIGH INCOME FUND
The Credit Suisse Warburg Pincus High Income Fund's primary investment
objective is to provide a high level of current income and a secondary objective
is capital appreciation. The Fund seeks to achieve its objective by investing in
fixed income securities of U.S. issuers that are rated below investment-grade
quality or unrated fixed income securities deemed to be of comparable quality.
Lower grade fixed income securities are commonly known as "junk bonds."
This investment objective causes it to be riskier than other mutual funds
and you could lose money. Investments in lower grade securities are subject to
special risks, including greater price volatility and a greater risk of loss of
principal and non-payment of interest. The market value of longer maturity debt
securities, like those held
13
by the Fund, is more sensitive to interest rate changes than the market value of
shorter maturity debt securities. The Fund is not recommended for investors
whose principal objectives are assured income or capital preservation. This Fund
is designed for investors willing to assume additional risk in return primarily
for the potential for high current income and secondarily capital appreciation.
The following chart and table illustrate the risk and the variability of
the Fund's returns by showing the highest and lowest quarterly returns for the
Fund's first full calendar year and how the annual returns for 1 year and from
inception compare to those of Lipper Open-End High Yield Bond Fund Index, which
is a broad measure of market performance. The Fund's past performance is not
necessarily an indication of how it will perform in the future.
CALENDAR YEAR TOTAL RETURNS
[BAR CHART]
2000 -5.00%
The annual returns referenced in the bar chart are for the calendar year
ended December 31 and do not include sales charges. If sales charges were
included, the annual returns would be lower than those shown.
During the 1-year period shown in the bar chart for Class A shares, the
highest return for a quarter was 2.89% (quarter ending 12/31/99) and the lowest
return for a quarter was -4.17% (quarter ending 12/31/00). 2000 was the first
full calendar year of operations.
AVERAGE ANNUAL TOTAL RETURNS
- -------------------------------------------------------------------------------------------
(FOR THE PERIODS ENDING DECEMBER 31, 2000) PAST YEAR SINCE INCEPTION*
- -------------------------------------------------------------------------------------------
HIGH INCOME FUND CLASS A (9.20)% (2.48)%
- -------------------------------------------------------------------------------------------
HIGH INCOME FUND CLASS B (8.90)% (2.03)%
- -------------------------------------------------------------------------------------------
HIGH INCOME FUND CLASS D** (4.40)% (2.04)%
- -------------------------------------------------------------------------------------------
LIPPER OPEN-END HIGH YIELD BOND FUND INDEX*** (9.71)% (3.91)%
- -------------------------------------------------------------------------------------------
The Average Annual Total Returns for the Fund reflect the maximum
applicable sales charges currently in effect. The Fund commenced offering Class
C and Common Class shares on February 28, 2000 and August 1, 2000, respectively.
Therefore, the Fund does not yet have a full calendar year of performance for
these classes.
* Inception for Class A and Class B shares on March 8, 1999 and Class D
shares on May 13, 1999.
** The since inception (May 13, 1999) average annual total return for Class D
shares for the period ending December 31, 2000 was -2.04%.
*** The Lipper Open-End High Yield Bond Fund Index is comprised of open-end
mutual funds that invest primarily in high yield debt securities. The Index
does not include sales charges, fees or expenses in its calculation.
THE CREDIT SUISSE WARBURG PINCUS MUNICIPAL MONEY FUND
The Credit Suisse Warburg Pincus Municipal Money Fund's investment
objective is maximum current income, consistent with liquidity and safety of
principal, that is exempt from Federal income taxation to the extent described
herein. The Fund seeks to achieve this objective by investing in municipal
securities. The Fund earns income at current money market rates, and its yield
generally reflects short-term interest rates which vary from day to day. Such
municipal securities will have varying lengths of maturities but will generally
have remaining maturities of one year or less. In general, securities with
longer maturities are more vulnerable to price changes, although they may
provide higher yields.
Like any money market fund investment, this investment is not insured or
guaranteed by the Federal Deposit Insurance Corporation or any other government
agency.
The Fund seeks to preserve the value of your investment at $1.00 per
share, however, it is possible to lose money by investing in the Fund.
Because this Fund began operations in February, 1997, the first full
calendar year of performance was 1998. The Fund's past performance is not
necessarily an indication of how it will perform in the future.
14
CALENDAR YEAR TOTAL RETURNS
[BAR CHART]
1998 3.00%
1999 2.00%
2000 3.00%
During the 3-year period shown in the bar chart, the highest return for a
quarter was 0.90% (quarter ending 12/31/00) and the lowest return for a quarter
was 0.52% (quarter ending 3/31/99). The annual returns are for the calendar
years ended December 31.
AVERAGE ANNUAL TOTAL RETURNS
- -------------------------------------------------------------------------------------------------
(FOR THE PERIODS ENDING DECEMBER 31, 2000) PAST YEAR FROM INCEPTION ON 2/24/97
- -------------------------------------------------------------------------------------------------
MUNICIPAL MONEY FUND 3.35% 2.84%
- -------------------------------------------------------------------------------------------------
Seven Day Yield as of December 31, 2000 was 3.81%.
THE CREDIT SUISSE WARBURG PINCUS U.S. GOVERNMENT MONEY FUND
The Credit Suisse Warburg Pincus U.S. Government Money Fund's investment
objective is maximum current income, consistent with liquidity and safety of
principal. The Fund seeks to achieve its objective by investing in a portfolio
of U.S. Government securities, including issues of the U.S. Treasury and other
government agencies, which generally have remaining maturities of one year or
less and collateralized repurchase agreements.
Like any money market fund investment, this investment is not insured or
guaranteed by the Federal Deposit Insurance Corporation or any other government
agency. The Fund seeks to preserve the value of your investment at $1.00 per
share, however, it is possible to lose money by investing in the Fund. The Fund
earns income at current market rates, and its yield generally reflects
short-term interest rates, which vary from day to day.
Because this Fund began operations in February 1997, the first full
calendar year of performance was 1998. The Fund's past performance is not
necessarily an indication of how it will perform in the future.
CALENDAR YEAR TOTAL RETURNS
[BAR CHART]
1998 5.00%
1999 4.00%
2000 6.00%
During the 3 year period shown in the bar chart, the highest return for a
quarter was 1.44% (quarter ending 9/30/00) and the lowest return for a quarter
was 1.00% (quarter ending 3/31/99). The annual returns are for the calendar
years ended December 31.
AVERAGE ANNUAL TOTAL RETURNS
- -------------------------------------------------------------------------------------------------
(FOR THE PERIODS ENDING DECEMBER 31, 2000) PAST YEAR FROM INCEPTION ON 2/24/97
- -------------------------------------------------------------------------------------------------
U.S. GOVERNMENT MONEY FUND 5.55% 4.85%
- -------------------------------------------------------------------------------------------------
Seven Day Yield as of December 31, 2000 was 5.54%.
15
SUMMARY OF CREDIT SUISSE WARBURG PINCUS FUND EXPENSES
SHAREHOLDER TRANSACTION EXPENSES
This table describes the fees and expenses that you may pay if you buy and
hold shares of the Credit Suisse Warburg Pincus Funds.
- --------------------------------------------------------------------------------------------------------------------------
EQUITY FUNDS*
- --------------------------------------------------------------------------------------------------------------------------
SHAREHOLDER FEES: COMMON ADVISOR
(THESE FEES ARE PAID DIRECTLY FROM YOUR INVESTMENT.) CLASS A(1) CLASS B(2) CLASS C CLASS D CLASS CLASS
- --------------------------------------------------------------------------------------------------------------------------
Maximum sales charge (load) imposed on purchases
(as a percentage of offering price) 5.75% NONE NONE NONE NONE NONE
- --------------------------------------------------------------------------------------------------------------------------
Maximum sales charge (load) imposed on reinvested
dividends (as a percentage of offering price) NONE NONE NONE NONE NONE NONE
- --------------------------------------------------------------------------------------------------------------------------
Maximum deferred sales charge (load)
(as a percentage of original purchase price or
redemption proceeds, as applicable) NONE 4%(3) 1%(4) NONE NONE NONE
- --------------------------------------------------------------------------------------------------------------------------
Redemption Fees NONE NONE NONE NONE NONE NONE
- --------------------------------------------------------------------------------------------------------------------------
Exchange Fee NONE NONE NONE NONE NONE NONE
- --------------------------------------------------------------------------------------------------------------------------
- --------------------------------------------------------------------------------------------------------------------------
MONEY
FIXED INCOME FUNDS** FUNDS***
- --------------------------------------------------------------------------------------------------------------------------
SHAREHOLDER FEES: COMMON
(THESE FEES ARE PAID DIRECTLY FROM YOUR INVESTMENT.) CLASS A(1) CLASS B(2) CLASS C CLASS D CLASS
- --------------------------------------------------------------------------------------------------------------------------
Maximum sales charge (load) imposed on purchases
(as a percentage of offering price) 4.75% NONE NONE NONE NONE NONE
- --------------------------------------------------------------------------------------------------------------------------
Maximum sales charge (load) imposed on reinvested
dividends (as a percentage of offering price) NONE NONE NONE NONE NONE NONE
- --------------------------------------------------------------------------------------------------------------------------
Maximum deferred sales charge (load)
(as a percentage of original purchase price or
redemption proceeds, as applicable) NONE 4%(3) 1%(4) NONE NONE NONE
- --------------------------------------------------------------------------------------------------------------------------
Redemption Fees NONE NONE NONE NONE NONE NONE
- --------------------------------------------------------------------------------------------------------------------------
Exchange Fee NONE NONE NONE NONE NONE NONE
- --------------------------------------------------------------------------------------------------------------------------
* Includes the Credit Suisse Warburg Pincus Blue Chip Fund, the Credit Suisse
Warburg Pincus Value Fund, the Credit Suisse Warburg Pincus Small Company
Value Fund, the Credit Suisse Warburg Pincus Strategic Growth Fund, the
Credit Suisse Warburg Pincus Technology Fund, the Credit Suisse Warburg
Pincus Developing Markets Fund and the Credit Suisse Warburg Pincus
International Equity II Fund.
** Includes the Credit Suisse Warburg Pincus Fixed Income II Fund, the Credit
Suisse Warburg Pincus Municipal Trust Fund and the Credit Suisse Warburg
Pincus High Income Fund.
*** Includes the Credit Suisse Warburg Pincus Municipal Money Fund and the
Credit Suisse Warburg Pincus U.S. Government Money Fund.
(1) The maximum sales charge imposed is reduced for larger purchases. Purchases
of $1,000,000 or more are not subject to an initial sales charge but may be
subject to a 1% CDSC (Contingent Deferred Sales Charge) on redemptions made
within one year of purchase. See "Other Shareholder Information."
(2) Class B shares of each Fund automatically convert to Class A shares after
eight years. The effect of the automatic conversion feature is reflected in
the Examples that follow. See "Other Shareholder Information."
(3) 4% during the first year decreasing 1% annually to 0% after the fourth
year.
(4) 1% during the first year.
16
ANNUAL FUND OPERATING EXPENSES
These examples help you compare the cost of investing in the Funds with the
cost of investing in other mutual funds. They assume that you invest $10,000 in
the applicable Fund for the periods indicated and then sell all of your shares
at the end of those periods. The examples also assume that your investment has a
5% return each year and that the Fund's operating expenses remain the same. For
each Fund that has Waived Fees, as explained in the footnotes below, the After 1
Year Examples and the first year in each of the other Examples reflect the
Waived Fees. For the Credit Suisse Warburg Pincus Strategic Growth Fund and the
Credit Suisse Warburg Pincus Technology Fund, the Waived Fees are also reflected
in the 3, 5 and 10 Year Examples through the period ended October 31, 2002.
Although your actual costs may be higher or lower, based on these assumptions
your costs would be:
ANNUAL FUND OPERATING EXPENSES
(EXPENSES THAT ARE DEDUCTED FROM FUND ASSETS -- REFLECTING CURRENT FEES)*
- ---------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS COMMON
BLUE CHIP FUND CLASS A CLASS B CLASS C CLASS D CLASS
- ---------------------------------------------------------------------------------------------------------------------------
Management Fee .61% .61% .61% .61% .61%
Distribution (12b-1) and Service Fees(a) .25% 1.00% 1.00% .00% .25%
Other Expenses .37% .37% .37% .37% .37%
- ---------------------------------------------------------------------------------------------------------------------------
TOTAL ANNUAL FUND OPERATING EXPENSES 1.23% 1.98% 1.98% .98% 1.23%
- ---------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS COMMON ADVISOR
VALUE FUND CLASS A CLASS B CLASS C CLASS D CLASS CLASS
- ---------------------------------------------------------------------------------------------------------------------------
Management Fee .58% .58% .58% .58% .58% .58%
Distribution (12b-1) and Service Fees(a) .25% 1.00% 1.00% .00% .25% .50%(b)
Other Expenses .35% .35% .35% .35% .35% .35%
- ---------------------------------------------------------------------------------------------------------------------------
TOTAL ANNUAL FUND OPERATING EXPENSES 1.18% 1.93% 1.93% .93% 1.18% 1.43%
- ---------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS COMMON
SMALL COMPANY VALUE FUND CLASS A CLASS B CLASS C CLASS D CLASS
- ---------------------------------------------------------------------------------------------------------------------------
Management Fee .81% .81% .81% .81% .81%
Distribution (12b-1) and Service Fees(a) .25% 1.00% 1.00% .00% .25%
Other Expenses .42% .42% .42% .42% .42%
- ---------------------------------------------------------------------------------------------------------------------------
TOTAL ANNUAL FUND OPERATING EXPENSES 1.48% 2.23% 2.23% 1.23% 1.48%
- ---------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS COMMON
STRATEGIC GROWTH FUND CLASS A CLASS B CLASS C CLASS
- ---------------------------------------------------------------------------------------------------------------------------
Management Fee .75% .75% .75% .75%
Distribution (12b-1) and Service Fees(a) .25% 1.00% 1.00% .25%
Other Expenses 1.42% 1.42% 1.42% 1.42%
- ---------------------------------------------------------------------------------------------------------------------------
TOTAL ANNUAL FUND OPERATING EXPENSES 2.42% 3.17% 3.17% 2.42%
- ---------------------------------------------------------------------------------------------------------------------------
Waived Fees(c) (1.23)% (1.23)% (1.23)% (1.23)%
- ---------------------------------------------------------------------------------------------------------------------------
TOTAL EXPENSES LESS WAIVED FEES 1.19% 1.94% 1.94% 1.19%
- ---------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS COMMON
TECHNOLOGY FUND CLASS A CLASS B CLASS C CLASS D CLASS
- ---------------------------------------------------------------------------------------------------------------------------
Management Fee .88% .88% .88% .88% .88%
Distribution (12b-1) and Service Fees(a) .25% 1.00% 1.00% .00% .25%
Other Expenses 1.03% 1.03% 1.03% 1.03% 1.03%
TOTAL ANNUAL FUND OPERATING EXPENSES 2.16% 2.91% 2.91% 1.91% 2.16%
Waived Fees(d) (.77)% (.77)% (.77)% (.77)% (.77)%
- ---------------------------------------------------------------------------------------------------------------------------
TOTAL EXPENSES LESS WAIVED FEES 1.39% 2.14% 2.14% 1.14% 1.39%
- ---------------------------------------------------------------------------------------------------------------------------
17
- ---------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS COMMON
DEVELOPING MARKETS FUND(e) CLASS A CLASS B CLASS C CLASS
- ---------------------------------------------------------------------------------------------------------------------------
Management Fee 1.25% 1.25% 1.25% 1.25%
Distribution (12b-1) and Service Fees(a) .25% 1.00% 1.00% .25%
Other Expenses 1.31% 1.31% 1.31% 1.31%
- ---------------------------------------------------------------------------------------------------------------------------
TOTAL ANNUAL FUND OPERATING EXPENSES 2.81% 3.56% 3.56% 2.81%
- ---------------------------------------------------------------------------------------------------------------------------
Waived Fees(f) (.66)% (.66)% (.66)% (.66)%
- ---------------------------------------------------------------------------------------------------------------------------
TOTAL EXPENSES LESS WAIVED FEES 2.15% 2.90% 2.90% 2.15%
- ---------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS COMMON
INTERNATIONAL EQUITY II FUND(e) CLASS A CLASS B CLASS C CLASS D CLASS
- ---------------------------------------------------------------------------------------------------------------------------
Management Fee 1.00% 1.00% 1.00% 1.00% 1.00%
Distribution (12b-1) and Service Fees(a) .25% 1.00% 1.00% .00% .25%
Other Expenses .61% .61% .61% .61% .61%
- ---------------------------------------------------------------------------------------------------------------------------
TOTAL ANNUAL FUND OPERATING EXPENSES 1.86% 2.61% 2.61% 1.61% 1.86%
- ---------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS COMMON
FIXED INCOME II FUND CLASS A CLASS B CLASS C CLASS D CLASS
- ---------------------------------------------------------------------------------------------------------------------------
Management Fee .59% .59% .59% .59% .59%
Distribution (12b-1) and Service Fees(a) .25% 1.00% 1.00% .00% .25%
Other Expenses .36% .36% .36% .36% .36%
- ---------------------------------------------------------------------------------------------------------------------------
TOTAL ANNUAL FUND OPERATING EXPENSES 1.20% 1.95% 1.95% .95% 1.20%
- ---------------------------------------------------------------------------------------------------------------------------
Waived Fees(g) (.25)% (.25)% (.25)% (.25)% (.25)%
- ---------------------------------------------------------------------------------------------------------------------------
TOTAL EXPENSES LESS WAIVED FEES .95% 1.70% 1.70% .70% .95%
- ---------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS COMMON
MUNICIPAL TRUST FUND CLASS A CLASS B CLASS C CLASS
- ---------------------------------------------------------------------------------------------------------------------------
Management Fee .63% .63% .63% .63%
- ---------------------------------------------------------------------------------------------------------------------------
Distribution (12b-1) and Service Fees(a) .25% 1.00% 1.00% .25%
Other Expenses .59% .59% .59% .59%
TOTAL ANNUAL FUND OPERATING EXPENSES 1.47% 2.22% 2.22% 1.47%
Waived Fees(h) (.52)% (.52)% (.52)% (.52)%
- ---------------------------------------------------------------------------------------------------------------------------
TOTAL EXPENSES LESS WAIVED FEES .95% 1.70% 1.70% .95%
- ---------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS COMMON
HIGH INCOME FUND CLASS A CLASS B CLASS C CLASS D CLASS
- ---------------------------------------------------------------------------------------------------------------------------
Management Fee .70% .70% .70% .70% .70%
- ---------------------------------------------------------------------------------------------------------------------------
Distribution (12b-1) and Service Fees(a) .25% 1.00% 1.00% .00% .25%
Other Expenses 1.53% 1.53% 1.53% 1.53% 1.53%
TOTAL ANNUAL FUND OPERATING EXPENSES 2.48% 3.23% 3.23% 2.23% 2.48%
Waived Fees(i) (1.38)% (1.38)% (1.38)% (1.38)% (1.38)%
- ---------------------------------------------------------------------------------------------------------------------------
TOTAL EXPENSES LESS WAIVED FEES 1.10% 1.85% 1.85% .85% 1.10%
- ---------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS CREDIT SUISSE WARBURG PINCUS
MUNICIPAL MONEY FUND U.S. GOVERNMENT MONEY FUND
- ---------------------------------------------------------------------------------------------------------------------------
Management Fee .40% Management Fee .40%
Distribution (12b-1) and Service Fees(a,j) .25% Distribution (12b-1) and Service Fees(a,j) .25%
Other Expenses .46% Other Expenses .46%
TOTAL ANNUAL FUND OPERATING EXPENSES 1.11% TOTAL ANNUAL FUND OPERATING EXPENSES 1.11%
Waived Fees(k) (.21)% Waived Fees(l) (.21)%
TOTAL EXPENSES LESS WAIVED FEES .90% TOTAL EXPENSES LESS WAIVED FEES .90%
18
EXAMPLES+
- ------------------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS COMMON
COMMON BLUE CHIP FUND CLASS A CLASS B** CLASS B*** CLASS C** CLASS C*** CLASS D CLASS
- ------------------------------------------------------------------------------------------------------------------------------------
1 Year $ 693 $ 601 $ 201 $ 301 $ 201 $ 100 $ 125
3 Years 943 821 621 621 621 312 390
5 Years 1,212 1,068 1,068 1,068 1,068 542 676
10 Years 1,978 2,113 2,113 2,306 2,306 1,201 1,489
- ------------------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS COMMON ADVISOR
VALUE FUND CLASS A CLASS B** CLASS B*** CLASS C** CLASS C*** CLASS D CLASS CLASS
- ------------------------------------------------------------------------------------------------------------------------------------
1 Year 688 596 196 296 196 95 120 146
3 Years 928 806 606 606 606 296 375 452
5 Years 1,187 1,042 1,042 1,042 1,042 515 649 782
10 Years 1,924 2,059 2,059 2,254 2,254 1,143 1,432 1,713
- ------------------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS COMMON
SMALL COMPANY VALUE FUND CLASS A CLASS B** CLASS B*** CLASS C** CLASS C*** CLASS D CLASS
- ------------------------------------------------------------------------------------------------------------------------------------
1 Year 717 626 226 326 226 125 151
3 Years 1,016 897 697 697 697 390 468
5 Years 1,336 1,195 1,195 1,195 1,195 676 808
10 Years 2,242 2,376 2,376 2,565 2,565 1,489 1,768
- ------------------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS COMMON
STRATEGIC GROWTH FUND CLASS A CLASS B** CLASS B*** CLASS C** CLASS C*** CLASS
- ------------------------------------------------------------------------------------------------------------------------------------
1 Year 689 597 197 297 197 121
3 Years 1,057 940 740 740 740 511
5 Years 1,574 1,438 1,438 1,438 1,438 1,060
10 Years 2,989 3,122 3,122 3,299 3,299 2,561
- ------------------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS COMMON
TECHNOLOGY FUND CLASS A CLASS B** CLASS B*** CLASS C** CLASS C*** CLASS D CLASS
- ------------------------------------------------------------------------------------------------------------------------------------
1 Year 708 617 217 317 217 116 142
3 Years 1,068 951 751 751 751 446 523
5 Years 1,531 1,393 1,393 1,393 1,393 884 1,014
10 Years 2,806 2,939 2,939 3,119 3,119 2,103 2,367
- ------------------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS COMMON
DEVELOPING MARKETS FUND CLASS A CLASS B** CLASS B*** CLASS C** CLASS C*** CLASS
- ------------------------------------------------------------------------------------------------------------------------------------
1 Year 781 693 293 393 293 218
3 Years 1,337 1,231 1,031 1,031 1,031 809
5 Years 1,919 1,789 1,789 1,789 1,789 1,426
10 Years 3,487 3,617 3,617 3,784 3,784 3,090
- ------------------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS COMMON
INTERNATIONAL EQUITY II FUND CLASS A CLASS B** CLASS B*** CLASS C** CLASS C*** CLASS D CLASS
- ------------------------------------------------------------------------------------------------------------------------------------
1 Year 753 664 264 364 264 164 189
3 Years 1,126 1,011 811 811 811 508 585
5 Years 1,523 1,385 1,385 1,385 1,385 876 1,006
10 Years 2,629 2,762 2,762 2,944 2,944 1,911 2,180
- ------------------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS COMMON
FIXED INCOME II FUND CLASS A CLASS B** CLASS B*** CLASS C** CLASS C*** CLASS D CLASS
- ------------------------------------------------------------------------------------------------------------------------------------
1 Year 567 573 173 273 173 72 97
3 Years 814 788 588 588 588 278 356
5 Years 1,080 1,029 1,029 1,029 1,029 501 636
10 Years 1,839 2,060 2,060 2,255 2,255 1,144 1,432
- ---------------------------------------------------------------------------------------------------------------------------
19
- ---------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS COMMON
MUNICIPAL TRUST FUND CLASS A CLASS B** CLASS B*** CLASS C** CLASS C*** CLASS
- ---------------------------------------------------------------------------------------------------------------------------
1 Year 567 573 173 273 173 97
3 Years 869 844 644 644 644 414
5 Years 1,193 1,142 1,142 1,142 1,142 753
10 Years 2,106 2,324 2,324 2,514 2,514 1,713
- ---------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS COMMON
HIGH INCOME FUND CLASS A CLASS B** CLASS B*** CLASS C** CLASS C*** CLASS D CLASS
- ---------------------------------------------------------------------------------------------------------------------------
1 Year 582 588 188 288 188 87 112
3 Years 1,085 1,066 866 866 866 564 641
5 Years 1,614 1,569 1,569 1,569 1,569 1,069 1,196
10 Years 3,058 3,263 3,263 3,436 3,436 2,457 2,712
- ---------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS CREDIT SUISSE WARBURG PINCUS
MUNICIPAL MONEY FUND++ U.S. GOVERNMENT MONEY FUND++
- ---------------------------------------------------------------------------------------------------------------------------
1 Year 92 1 Year 92
3 Years 332 3 Years 332
5 Years 591 5 Years 591
10 Years 1,333 10 Years 1,333
* Effective February 1, 2001, Credit Suisse Asset Management Securities, Inc.
("CSAMSI") and PFPC, Inc. ("PFPC") began providing administrative services.
Administrative services previously were provided by DLJAM and CSAM without
charge to the Funds (although DLJAM, and then CSAM, were entitled to
reimbursement from the Credit Suisse Warburg Pincus Opportunity Funds and
the Credit Suisse Warburg Pincus Select Funds). Although these services are
now provided for a total rate not to exceed .18% of average daily net
assets, if the new investment advisory agreement is approved, CSAM will
limit average annual expenses from the date of the acquisition of DLJ,
November 3, 2000, until November 3, 2002 to the annualized levels
previously paid by each Fund measured over the 60-day period ended on
November 3, 2000. As a result, it is not anticipated that there will be any
increase in the average annualized operating expense ratio of any of the
Funds through November 3, 2002 due to the retention of new
co-administrators. This limit is not reflected in the fee tables and
examples above. PFPC continues to provide accounting services, but no
longer pursuant to a separate agreement.
** Assumes reinvestment of all dividends and redemption at end of period.
*** Assumes reinvestment of all dividends and no redemption at end of period.
+ Ten year figures assume conversion of Class B shares to Class A shares at
the end of the eighth year following the date of purchase.
++ Shares purchased directly into a Money Fund will not be subject to a CDSC
and therefore expenses paid will remain unaffected by redemption.
(a) The Fund has adopted a Rule 12b-1 plan for the indicated classes of shares
that allows the Fund to pay distribution fees for the sale and distribution
of those classes of shares out of the assets applicable to those classes.
Because these fees are paid out over time, they will increase the cost of
your investment and may cost you more than paying other types of sales
charges. A portion of the 12b-1 fee represents an asset-based sales charge.
(b) The maximum amount payable for distributing these shares is .75 of 1% of
the average daily net assets attributable to this Class. The Board of
Trustees is currently limiting the amount payable to .50 of 1% of the
average daily net assets attributable to the Class.
(c) The Adviser has undertaken, in writing, to limit Total Expenses of the
Credit Suisse Warburg Pincus Strategic Growth Fund to 1.19% for the Fund's
Class A and Common Class shares and 1.94% for the Fund's Class B and Class
C shares. This arrangement will remain in place at least until October 31,
2002.
(d) The Adviser has undertaken, in writing, to limit Total Expenses of the
Credit Suisse Warburg Pincus Technology Fund to 1.14% per year for the
Fund's Class D shares, 1.39% per year for the Fund's Class A and Common
Class shares, and 2.14% for the Fund's Class B and Class C shares. This
arrangement will remain in place at least until October 31, 2002.
20
(e) The expense ratios for each class of shares of the Credit Suisse Warburg
Pincus Developing Markets Fund and the Credit Suisse Warburg Pincus
International Equity II Fund are higher than those paid by most other
investment companies, but Credit Suisse Asset Management, LLC (as Adviser)
believes that the fees are comparable to those paid by investment companies
of similar investment orientation. On November 1, 2000, following the
termination of the sub-adviser to the International Equity II Fund, the
investment advisory fee was reduced to 1% of the average annual net assets
of the Fund.
(f) The Adviser has undertaken, in writing, to limit Total Expenses of the
Credit Suisse Warburg Pincus Developing Markets Fund to 2.15% per year for
the Fund's Class A and Common Class shares and 2.90% for the Fund's Class B
and Class C shares. This arrangement will remain in place at least until
October 31, 2001.
(g) The Adviser has undertaken, in writing, to limit Total Expenses of the
Credit Suisse Warburg Pincus Fixed Income II Fund to .70% for the Fund's
Class D shares, to .95% for the Fund's Class A and Common Class shares and
to 1.70% for the Fund's Class B and Class C shares. This arrangement will
remain in place at least until October 31, 2001.
(h) The Adviser has undertaken, in writing, to limit Total Expenses of the
Credit Suisse Warburg Pincus Municipal Trust Fund to .95% per year for the
Fund's Class A and Common Class shares and to 1.70% for the Fund's Class B
and Class C shares. This arrangement will remain in place at least until
October 31, 2001.
(i) The Adviser has undertaken, in writing, to limit Total Expenses of the
Credit Suisse Warburg Pincus High Income Fund to .85% per year for the
Fund's Class D shares and 1.10% for the Fund's Class A shares and Common
Class shares, and 1.85% for the Fund's Class B and Class C shares. This
arrangement will remain in place at least until October 31, 2001.
(j) The maximum allowable amount payable for distributing these shares is .40
of 1% of the average daily net assets of each Money Fund. The Board of
Trustees has currently limited the amount payable to .25 of 1% of the
average daily net assets of each Money Fund.
(k) The Adviser has undertaken, in writing, to limit Total Expenses of the
Credit Suisse Warburg Pincus Municipal Money Fund to .90% per year. This
arrangement will remain in place at least until October 31, 2001.
(l) The Adviser has undertaken, in writing, to limit Total Expenses of the
Credit Suisse Warburg Pincus U.S. Government Money Fund to .90% per year.
This arrangement will remain in place at least until October 31, 2001.
21
RECENT DEVELOPMENTS
The names of the DLJ Focus Funds, the DLJ Opportunity Funds and the DLJ
Select Funds have changed to the Credit Suisse Warburg Pincus Capital Funds, the
Credit Suisse Warburg Pincus Opportunity Funds and the Credit Suisse Warburg
Pincus Select Funds, respectively. The names of each Fund have also changed, as
indicated on the front page of this Prospectus.
The consummation of the previously announced acquisition of Donaldson,
Lufkin & Jenrette, Inc. ("DLJ") by Credit Suisse Group ("Credit Suisse")
occurred on November 3, 2000, following which the assets and business of DLJ
Asset Management Group, Inc. ("DLJAM") were transferred to CSAM. As a result,
and pursuant to approval by the Board of Trustees of each of the Credit Suisse
Warburg Pincus Capital Funds, the Credit Suisse Warburg Pincus Opportunity Funds
and the Credit Suisse Warburg Pincus Select Funds (each a "Fund" and
collectively the "Funds"), CSAM has succeeded DLJAM as investment adviser to the
Funds pursuant to interim advisory agreements (the "Interim Advisory
Agreements"). The Interim Investment Advisory Agreements terminate at the
earlier of April 2, 2001 and the approval by shareholders of the Funds of new
investment advisory agreements with CSAM.
To rationalize the management of the Funds and the Warburg Pincus family of
funds managed by CSAM ("Warburg Pincus Funds"), CSAM has proposed, and the Board
of Trustees of the relevant Funds have approved for submission to shareholders
at meetings scheduled for March 23, 2001: (i) new investment advisory agreements
with CSAM on the same economic terms as the Interim Advisory Agreements; (ii)
the replacement of all the current Trustees of the Funds, other than Peter F.
Krogh, with trustees of the Warburg Pincus Funds; and (iii) as more fully
explained below, the combinations of certain series of the Funds (the "Acquired
Funds") into similar funds within the Warburg Pincus Funds (the "Acquiring
Funds").
On December 18, 2000, Credit Suisse Asset Management Securities, Inc.
("CSAMSI") became the distributor of the Funds. Effective February 1, 2001, the
Funds retained CSAMSI and PFPC, Inc. ("PFPC") as co-administrators to each of
the Funds for a total rate not to exceed .18% of each Funds' average daily net
assets. DLJAM and then CSAM provided administrative services to the Funds
without charge prior to February 1, 2001 (although DLJAM, and later CSAM, were
entitled to reimbursement from the Funds of the Credit Suisse Warburg Pincus
Select Funds and the Credit Suisse Warburg Pincus Opportunity Funds). However,
CSAM has agreed to assume DLJAM's undertaking to limit total annual operating
expenses until October 31, 2001, or October 31, 2002, as the case may be, and to
limit average annual expenses from the date of the acquisition of DLJ, November
3, 2000, until November 3, 2002 to the annualized levels previously paid by each
of the Funds measured over the 60-day period ended on the date of the
acquisition of DLJ. Consequently, it is not anticipated that there will be any
increase in the average annualized operating expense ratio of a Fund until
November 3, 2002 as a result of the retention of new co-administrators. Further,
accounting services previously provided by PFPC pursuant to a separate agreement
will be provided by PFPC under its new co-administration agreement.
Effective February 6, 2001, State Street Bank and Trust Company ("State
Street") became the transfer agent for the Fund's Common Class (former Class R)
shares. The Board has approved the retention of State Street as transfer agent
for the Fund's other classes of shares.
MERGERS. The Board of Trustees for each of the Acquired Funds listed below
has approved, subject to shareholder approval, the transfer to the Acquiring
Fund listed below of all of the assets and liabilities of the Acquired Fund in
exchange for shares of the Acquiring Fund.
ACQUIRED FUND ACQUIRING FUND
------------- --------------
Credit Suisse Warburg Pincus Fixed Income II Fund Warburg Pincus Fixed Income Fund
Credit Suisse Warburg Pincus Municipal Trust Fund Warburg, Pincus Municipal Bond Fund, Inc.
Credit Suisse Warburg Pincus Developing Markets Fund Warburg, Pincus Emerging Markets Fund, Inc.
Credit Suisse Warburg Pincus Strategic Growth Fund Warburg, Pincus Focus Fund, Inc.
Each of the Acquiring Funds has an investment objective and strategies
substantially similar to the investment objective and strategies of the
corresponding Acquired Fund. Shareholders of each Acquired Fund would receive on
a tax-free basis shares of the relevant Acquiring Fund with the same net asset
value as their shares of the Acquired Fund. The investment advisory fees of the
Acquiring Funds would in each case be the same as the relevant Acquired Funds,
and CSAM has agreed to reimburse expenses of each Acquiring Fund as necessary so
that for the two-year period following the consummation of each acquisition the
annualized expense ratio of each Acquired
22
Fund would not increase above its expense ratio for the 60-day period prior to
consummation of the acquisitions. Each acquisition would be consummated promptly
after receipt of shareholder approval. If an acquisition of an Acquired Fund is
not approved, such Fund will continue to engage in business as a series of the
Fund and the Board of the Acquired Fund will consider other possible courses of
action available to it, including resubmitting the proposal to shareholders.
The Board of Trustees of the Credit Suisse Warburg Pincus Capital Funds has
approved the transfer of all of the assets and liabilities of the Warburg,
Pincus Small Company Value II Fund, Inc. and the Warburg, Pincus Value II Fund,
Inc. in exchange for shares of the Credit Suisse Warburg Pincus Small Company
Value Fund and the Credit Suisse Warburg Pincus Value Fund, respectively. These
acquisitions are subject to the approval of shareholders of the relevant
Warburg, Pincus Fund and, if approved, are expected to be consummated in early
June, 2001.
23
PURCHASE INFORMATION
Shares of the Credit Suisse Warburg Pincus Municipal Money Fund and the
Credit Suisse Warburg Pincus U.S. Government Money Fund (the "Money Funds") or
Class A, Class B or Class C shares of the other Funds may be purchased directly
by using the Share Purchase Application found in this Prospectus, or through
CSAMSI, the Funds' distributor, or by contacting your securities dealer. Common
Class shares of the Funds may be purchased directly by using the application
available at the Shareholder Service Center or downloaded from WWW.WARBURG.COM.
See "How to Buy and Sell Shares -- 2. For Common Class Shares." Common Class
shares may also be purchased through a variety of financial services firms such
as banks, brokers and financial advisors. Advisor Class Shares of the Credit
Suisse Warburg Pincus Value Fund are available for purchase through certain
eligible institutions and financial services firms and not by individual
investors directly.
The minimum initial investment in each Fund is $1,000 ($2,000 for Common
Class shares). The minimum for additional investments is $25 ($50 for Common
Class shares). These minimums are waived for certain types of accounts. Share
certificates will not be issued for full or fractional shares of the Funds.
Further information can be obtained from Credit Suisse Warburg Pincus Funds at
the address and telephone number shown on the back cover of this Prospectus. See
"How to Buy and Sell Shares" and "Other Shareholder Services."
The Funds, except the Money Funds, offer Class A, Class B, Class C and
Common Class shares. The Credit Suisse Warburg Pincus Blue Chip Fund, Credit
Suisse Warburg Pincus Value Fund, Credit Suisse Warburg Pincus Small Company
Value Fund, Credit Suisse Warburg Pincus Technology Fund, Credit Suisse Warburg
Pincus International Equity II Fund, Credit Suisse Warburg Pincus Fixed Income
II Fund and Credit Suisse Warburg Pincus High Income Fund also offer Class D
shares. The Credit Suisse Warburg Pincus Value Fund also offers Advisor Class
shares.
Class A shares may be purchased at the net asset value per share of the
Fund plus an initial sales charge imposed at the time of purchase and may be
subject to a contingent deferred sales charge ("CDSC") in cases where the
initial sales charge was not applied because of the size of the purchase. Class
B shares may be purchased at the net asset value per share, but are subject to a
CDSC upon redemption. The CDSC applicable to Class B shares declines from 4% for
redemptions made during the first year of purchase to zero after four years.
Class C shares may be purchased at the net asset value per share, but are
subject to a 1% CDSC if redeemed within the first year of purchase. Common Class
shares may be purchased at the net asset value per share without any initial
sales charge or CDSC. Advisor Class shares may be purchased without any initial
sales charge or CDSC. Class D shares are offered without any initial sales
charge or CDSC to employees of Credit Suisse First Boston ("CSFB") and its
subsidiaries that are eligible to participate in the Employee Savings and
Retirement Plan of Credit Suisse First Boston, certain investment advisory or
brokerage clients of CSAM or its affiliates, and certain employee benefit plans
for employees of CSAM or its affiliates. CSFB employees should contact the CSFB
Hotline at 1-800-588-6200 concerning how to purchase Class D shares. See "How to
Buy and Sell Shares."
Shares of the Money Funds may be purchased at a price equal to the net
asset value per share of each Money Fund, which is expected to be $1.00 per
share. See "Net Asset Value" in the side-bar included on this page.
The Credit Suisse Warburg Pincus Blue Chip Fund, the Credit Suisse Warburg
Pincus Value Fund, the Credit Suisse Warburg Pincus Small Company Value Fund,
the Credit Suisse Warburg Pincus Fixed Income II Fund and the Credit Suisse
Warburg Pincus Municipal Trust Fund are each a series of the Credit Suisse
Warburg Pincus Capital Funds. The Credit Suisse Warburg Pincus International
Equity II Fund, the Credit Suisse Warburg Pincus Developing Markets Fund, the
Credit Suisse Warburg Pincus High Income Fund, the Credit Suisse Warburg Pincus
Municipal Money Fund and the Credit Suisse Warburg Pincus U.S. Government Money
Fund are each a series of the Credit Suisse Warburg Pincus Opportunity Funds.
The Credit Suisse Warburg Pincus Strategic Growth Fund and the Credit Suisse
Warburg Pincus Technology Fund are each a series of the Credit Suisse Warburg
Pincus Select Funds.
The Credit Suisse Warburg Pincus Opportunity Funds, Credit Suisse Warburg
Pincus Capital Funds, and Credit Suisse Warburg Pincus Select Funds are
different legal entities and are separately offering their Funds through this
Prospectus. Based on the advice of counsel, the Funds believe that the potential
liability of each Fund with respect to the disclosure in this Prospectus extends
only to the disclosure relating to that Fund.
24
NET ASSET VALUE:
Net asset value per share (or "NAV") is determined separately for each
class by taking the total assets of each class of a Fund and subtracting its
total liabilities and then dividing the difference by the total number of shares
outstanding in each class.
The NAV is determined at the close of the New York Stock Exchange each day
that the New York Stock Exchange is open for trading. The price at which a
purchase or redemption is effected is based on the next calculation of NAV after
the order is placed.
For the Money Funds, the NAV is expected to be maintained at a constant
$1.00 per share, although this price is not guaranteed.
For purposes of computing NAV, the securities in each Money Fund's
portfolio are valued at amortized cost, which minimizes the effect of changes in
a security's market value and helps maintain a stable $1.00 per share price.
However, there is a risk that we will sell a security for a price that is higher
or lower than amortized cost. Such an event could have an effect on our ability
to maintain an NAV of $1.00 per share.
In calculating the NAV of the Credit Suisse Warburg Pincus Funds, except
the Money Funds, each Fund's investments are valued at their current market
value determined on the basis of market quotations or, if such quotations are
not readily available, such other method as the Trustees of the applicable Fund
believe in good faith would accurately reflect their fair value.
The investment objectives and policies of each Fund are set forth below.
There can be, of course, no assurance that any Fund will achieve its investment
objective. The Funds' investment objectives are fundamental policies that cannot
be changed without the approval of the shareholders of the applicable Fund. The
Board of Trustees of a Fund may change non-fundamental policies without
shareholder approval.
25
CREDIT SUISSE WARBURG PINCUS FUNDS'
INVESTMENT OBJECTIVES AND POLICIES
CREDIT SUISSE WARBURG PINCUS BLUE CHIP FUND
GOAL: The investment objective of the Credit Suisse Warburg Pincus Blue
Chip Fund is long-term capital appreciation. Investments are made based on their
potential for long-term capital appreciation. The Credit Suisse Warburg Pincus
Blue Chip Fund may make an investment to earn income when, in the opinion of the
Adviser, such an investment will not compromise the Credit Suisse Warburg Pincus
Blue Chip Fund's investment objective.
STRATEGY: The Credit Suisse Warburg Pincus Blue Chip Fund invests in common
stock, securities convertible into common stock and other equity securities
(e.g., preferred stock and interests in master limited partnerships). It invests
primarily in well-known and established companies (generally, companies in
operation for more than three years). The Fund may occasionally invest in new
and unseasoned companies which, in the opinion of the Adviser, have the
potential for long-term capital appreciation.
The Adviser applies extensive research that has been conducted primarily by
research analysts employed by Credit Suisse First Boston on the growth prospects
of stocks that are considered for the Fund's portfolio. Target companies
normally have market capitalizations of at least $1 billion at the time of
purchase. Generally, the Adviser attempts to identify companies with growth
rates that will exceed that of the S&P 500 Index. The Credit Suisse Warburg
Pincus Blue Chip Fund is "sector neutral." This means that its investments are
allocated to industries in proportion to the sector allocation of the S&P 500
Index, with the exception of the electric and the gas utilities sectors. Other
factors considered in the selection of securities include the economic and
political outlook, the value of a particular security relative to another
security, trends in the determinants of corporate profits, and management
capability and practices. See "Risks for the Credit Suisse Warburg Pincus Blue
Chip Fund and the Credit Suisse Warburg Pincus Value Fund."
INVESTMENTS: Under normal circumstances, the Credit Suisse Warburg Pincus
Blue Chip Fund invests at least 65% of its total assets in equity securities of
companies that the Adviser believes have above-average long-term capital
appreciation potential. For temporary defensive purposes, the Credit Suisse
Warburg Pincus Blue Chip Fund may invest in investment-grade short-term
fixed-income securities, enter into repurchase agreements and hold cash. A
temporary defensive position could affect the Fund's ability to achieve its
investment objective. In addition, the Fund may invest in equity securities
selected on a basis other than the potential for long-term capital appreciation.
The Fund may invest up to 35% of the value of its assets in investment-grade
fixed-income securities, including bonds, debentures, notes, asset and
mortgage-backed securities and money market instruments such as commercial paper
and bankers'-acceptances and other financial instruments. The Fund may invest in
both listed and unlisted securities and may also:
- invest up to 10% of the value of its total assets in non-U.S.
securities;
- invest no more than 10% of its net assets in restricted securities or
other instruments with no ready market;
- invest up to 5% of its total assets in warrants; and
- attempt to minimize the effect of a market decline on the value of its
securities, subject to market conditions, by writing covered call
options on securities or stock indices. See "Additional Information on
Investment Policies and Risks."
CREDIT SUISSE WARBURG PINCUS VALUE FUND
GOAL: The investment objective of the Credit Suisse Warburg Pincus Value
Fund is long-term capital appreciation and continuity of income.
STRATEGY: The Credit Suisse Warburg Pincus Value Fund pursues its
investment objective by investing principally in dividend-paying common stock
and by diversifying its investments among different industries and companies.
Securities are selected based on the Adviser's evaluation of their investment
merit and their potential for appreciation in value and/or income. The selection
of securities on the basis of their capital appreciation or income potential
does not ensure against possible loss in value.
INVESTMENTS: The Credit Suisse Warburg Pincus Value Fund invests in common
stock, preferred stock and securities convertible into common stock. The Credit
Suisse Warburg Pincus Value Fund may invest in debt securities that are of
investment-grade quality at the time of purchase (including bonds, debentures,
notes and asset
26
and mortgage-backed securities), U.S. government securities, municipal
securities (including general and special obligation securities and industrial
revenue bonds) and money market instruments. See "Additional Information on
Investment Policies and Risks -- Mortgage and Asset-Backed Securities and
Investment-Grade Debt Securities." There is no fixed proportion of the Credit
Suisse Warburg Pincus Value Fund's assets that must be invested in particular
types of securities. The percentage of assets invested in various types of
securities may be changed from time to time by the Adviser.
The Credit Suisse Warburg Pincus Value Fund invests in both listed and
unlisted securities. The Credit Suisse Warburg Pincus Value Fund may invest in
non-U.S. securities and restricted securities. To minimize the effect of a
market decline in the value of its securities, the Fund may, depending on market
conditions, write covered call options on securities or stock indices. The Fund
may invest up to 10% of its assets in non-U.S. securities and up to 10% of its
assets in restricted securities. For additional information on the use, risks
and costs of the above referenced policies and practices, see "Additional
Information on Investment Policies and Risks."
RISKS FOR THE CREDIT SUISSE WARBURG PINCUS BLUE CHIP FUND AND THE CREDIT SUISSE
WARBURG PINCUS VALUE FUND:
Like any investment, an investment in the Credit Suisse Warburg Pincus Blue
Chip Fund or Credit Suisse Warburg Pincus Value Fund is subject to risk and you
could lose money. While the Funds seek investments that will appreciate in value
and/or provide income, the value of the securities could decline and provide no
income.
The Funds are subject to risks that affect equity securities markets in
general, such as general economic conditions and adverse changes in interest
rates (generally increases). If the value of equity markets in general declines,
you can expect the value of your investment in the Funds to decline, possibly to
a greater extent than the decline in equity markets generally.
The Credit Suisse Warburg Pincus Blue Chip Fund may invest in new and
unseasoned companies. Stocks of these companies tend to be more volatile than
stocks of larger and more established companies. In addition, because stocks are
selected on the basis of their appreciation potential, they tend to be more
risky than many investments that provide current income.
The Credit Suisse Warburg Pincus Value Fund may invest in debt securities.
Debt securities are subject to risks that the issuer will not repay its
borrowings or pay interest. They are also subject to the risk of declines in
value because of increases in interest rates and decreases in the credit quality
of the issuer.
The Credit Suisse Warburg Pincus Blue Chip Fund and the Credit Suisse
Warburg Pincus Value Fund may each invest in unlisted securities. Investments in
unlisted securities may be less liquid and more volatile than investments in
listed securities and could result in losses to the Funds if they had to be sold
quickly.
The Credit Suisse Warburg Pincus Blue Chip Fund and the Credit Suisse
Warburg Pincus Value Fund may each invest in non-U.S. securities. Non-U.S.
securities carry the same risks as securities of U.S. companies and the added
risks of being traded in less liquid markets than U.S. securities. Non-U.S.
securities are also issued by companies that are not subject to U.S. reporting
requirements and involve political systems, economies and markets that may not
be as developed as in the U.S. See "Additional Information on Investment
Policies and Risks."
CREDIT SUISSE WARBURG PINCUS SMALL COMPANY VALUE FUND
GOAL: The investment objective of the Credit Suisse Warburg Pincus Small
Company Value Fund is a high level of growth of capital. The Credit Suisse
Warburg Pincus Small Company Value Fund is not intended for investors whose
principal objective is assured income or preservation of capital.
STRATEGY: The Credit Suisse Warburg Pincus Small Company Value Fund invests
primarily in common stock and may also invest in securities convertible into
common stock, preferred stock, other equity securities, bonds or other debt
securities as described below. Under normal market conditions, at least 65% of
the Fund's assets are invested in equity securities of small market
capitalization companies. "Small-cap" companies, for purposes of this Fund, are
considered to be companies with market capitalizations of $2 billion or less at
the time of purchase. If the market capitalization of a small-cap company in
which the Fund has invested increases to a level above $2 billion, the
investment adviser will continue to hold the securities of that company until
the investment adviser determines that the company no longer has growth
potential.
27
INVESTMENTS: The Credit Suisse Warburg Pincus Small Company Value Fund
pursues its investment objective by employing a value-oriented investment
approach. This means that the Adviser seeks securities that appear to be
underpriced. The Adviser looks for stocks issued by companies with proven
management, consistent earnings, sound finances and strong potential for market
growth. By investing in such companies, the Credit Suisse Warburg Pincus Small
Company Value Fund tries to enhance its potential for appreciation and limit the
risk of decline in the value of its portfolio. The Credit Suisse Warburg Pincus
Small Company Value Fund focuses on the fundamentals of each small-cap company
instead of trying to anticipate what changes might occur in the stock market,
the economy, or the political environment. This approach differs from that used
by many other funds investing in small-cap company stocks. Those other funds
often buy stocks of companies they believe will have above-average earnings
growth, based on anticipated future developments. In contrast, the Credit Suisse
Warburg Pincus Small Company Value Fund's securities are generally selected with
the belief that they are currently undervalued based on existing conditions and
that their earning power or franchise value does not appear to be reflected in
their current stock price. To further reduce risk, the Credit Suisse Warburg
Pincus Small Company Value Fund diversifies its holdings among many companies
and industries. The Adviser also considers whether a company has an established
presence in its industry, a product or market niche and whether management owns
a significant stake in the company.
The Credit Suisse Warburg Pincus Small Company Value Fund may also invest
in special situation companies. A special situation company is a company whose
value may increase within a reasonable period of time solely by reason of a
development particularly or uniquely applicable to that company. The securities
of these companies may be affected by particular developments unrelated to
business conditions generally. These investments may fluctuate without relation
to general market trends. In general, the principal risk associated with
investing in special situation companies is the potential decline in the value
of these securities likely to occur if the anticipated development fails to take
place. Examples of special situation companies are companies that are being
reorganized or merged, have unusual new products, enjoy particular tax
advantages, or acquire new management.
The Credit Suisse Warburg Pincus Small Company Value Fund invests primarily
in common stock. It may also invest in securities convertible into common stock,
preferred stock, investment-grade debt securities (including bonds, debentures,
notes, asset and mortgage-backed securities), U.S. Government Securities,
municipal securities (including general and special obligation securities and
industrial revenue bonds), money market instruments (such as commercial paper
and bankers' acceptances) and other financial instruments.
The Credit Suisse Warburg Pincus Small Company Value Fund may also invest
in unlisted securities and securities traded in the over-the-counter markets.
The Credit Suisse Warburg Pincus Small Company Value Fund may allocate a larger
percentage of its assets to unlisted securities than would a typical large
company mutual fund. The Credit Suisse Warburg Pincus Small Company Value Fund
may also:
- purchase or sell options on securities and on indices to seek to
enhance return or hedge its portfolio;
- purchase or sell financial futures contracts and options thereon for
hedging and risk management purposes;
- invest up to 20% of total assets in non-U.S. securities;
- invest up to 5% of total assets in rights or warrants; and
- invest not more than 10% of net assets in instruments having no ready
market.
However, the Fund does not invest in restricted securities.
RISKS FOR THE CREDIT SUISSE WARBURG PINCUS SMALL COMPANY VALUE FUND:
The investment objective for the Credit Suisse Warburg Pincus Small Company
Value Fund causes it to be riskier than other funds and you could lose money.
While it seeks investments that will provide a high level of growth of capital,
they may decline in value. You should not invest in the Credit Suisse Warburg
Pincus Small Company Value Fund if your principal objective is assured income or
capital preservation. While smaller companies generally have the potential for
rapid growth, they often involve greater risks than investments in larger, more
established companies. Small companies may have less management experience,
fewer financial resources, and limited product diversification.
In addition, in many instances the frequency and trading volume for
securities of smaller companies are substantially less than those of larger
companies, causing such securities to be subject to greater and more abrupt
price fluctuations and to be less liquid than securities of larger companies.
When making large sales of portfolio securities, it may be necessary for the
Credit Suisse Warburg Pincus Small Company Value Fund to sell such
28
securities at discounts from quoted prices or to execute a series of small sales
over an extended period of time. These factors cause an investment in the Credit
Suisse Warburg Pincus Small Company Value Fund to be riskier than an investment
in a typical "large company" mutual fund.
The Credit Suisse Warburg Pincus Small Company Value Fund also is subject
to risks that affect equity securities markets in general, such as general
economic conditions and adverse changes in interest rates. These factors also
could adversely affect an investment in the Fund. If the value of equity markets
in general declines, the value of your investment in the Credit Suisse Warburg
Pincus Small Company Value Fund could also decline, possibly to a greater extent
than the decline in equity markets generally.
The Credit Suisse Warburg Pincus Small Company Value Fund may invest in
various types of debt securities. Debt securities are subject to the risk that
the issuer will not repay its borrowings or pay interest. They are also subject
to the risk of declines in value because of increases in interest rates and
decreases in the perceived credit quality of the issuer.
The Fund may also invest in unlisted securities. Investments in unlisted
securities may be less liquid and more volatile than investments in listed
securities and could result in losses if they had to be sold quickly.
The Fund may also invest in non-U.S. securities. Not only do non-U.S.
securities carry the same risks as securities of U.S. companies, they also have
the added risks of generally being traded in less liquid markets than U.S.
securities, involve political systems, economies and markets that may not be as
developed as in the U.S. and may be issued by companies that are not subject to
reporting requirements that are as rigorous as those imposed on U.S. issuers.
The Fund also may invest in options, warrants and financial futures
contracts. Selecting options, warrants and financial futures contracts involves
determinations as to how a particular security, index, interest rate, or
currency will change. If the Adviser is wrong in its prediction, the Fund could
lose money. In addition, such instruments may not be available, or if available,
may be too expensive to utilize. See "Additional Information on Investment
Policies and Risks."
CREDIT SUISSE WARBURG PINCUS STRATEGIC GROWTH FUND
GOAL: The investment objective of the Credit Suisse Warburg Pincus
Strategic Growth Fund is long-term growth of capital. Investments are made based
on their potential for superior growth.
STRATEGY: The Fund seeks to achieve this objective by investing in equity
securities of a limited number of large, carefully selected companies that the
Adviser believes will achieve superior growth. Unlike most equity funds, the
Fund focuses on a relatively small number of intensely researched companies. The
Fund seeks to achieve superior performance as compared to other U.S. domestic
growth funds.
The Adviser applies extensive research that has been conducted primarily by
research analysts employed by Credit Suisse First Boston on the growth prospects
of stocks that are considered for the Fund's portfolio. Unlike many equity
funds, the Credit Suisse Warburg Pincus Strategic Growth Fund seeks to limit the
number of Fund holdings to companies that offer the highest potential for
capital appreciation. The Fund intends to hold securities of approximately 50-60
companies, which may fluctuate depending on the Adviser's view of market
conditions. Growth companies tend to be concentrated in the technology, health
care, consumer, financial, telecommunications and commercial services sectors.
By emphasizing Credit Suisse First Boston research in the portfolio stock
selection, this Fund will try to deliver superior performance as compared to the
U.S. domestic growth fund peer universe. Other factors considered in the
selection of securities include the economic and political outlook, the value of
a particular security relative to another security, trends in the determinants
of corporate profits, and management capability and practices. See "Additional
Information on Investment Policies and Risks."
INVESTMENTS: Under normal circumstances, the Credit Suisse Warburg Pincus
Strategic Growth Fund invests at least 85% of its total assets in equity
securities in U.S. companies that the Adviser believes have above-average
long-term capital appreciation potential. The Adviser expects the average market
capitalization of companies in the portfolio to be in the range of companies
that are included in the Standard & Poor's 500 Index. The Fund may invest in
both listed and unlisted securities and may also:
- invest up to 10% of the value of its total assets in non-U.S.
securities;
- invest no more than 15% of its net assets in illiquid securities;
29
- invest up to 5% of its total assets in warrants;
- attempt to minimize the effect of a market decline on the value of its
securities, subject to market conditions, by writing covered call
options on securities or stock indices. See "Additional Information on
Investment Policies and Risks"; and
- invest in investment-grade fixed income securities, including bonds,
debentures, notes and money market instruments such as commercial
paper and bankers acceptances and other financial instruments.
For additional information on the use, risks and costs of the above
referenced policies and practices, see "Additional Information on Investment
Policies and Risks."
CREDIT SUISSE WARBURG PINCUS TECHNOLOGY FUND
GOAL: The Credit Suisse Warburg Pincus Technology Fund's investment
objective is growth of capital.
STRATEGY: The Credit Suisse Warburg Pincus Technology Fund seeks to achieve
this objective by investing in a broad number of industries that comprise the
U.S. domestic technology sector. Under normal market conditions, the Fund
invests at least 65% of its assets in technology companies. The Fund seeks to
create a blend of stocks in companies that include the computer hardware,
computer software, electronics, semiconductor, semiconductor capital equipment,
telecommunication equipment, telecommunication services and internet industries.
Stock selection reflects a growth approach and is based on fundamental research
that assesses a company's prospects for above-average earnings. The research
applied by the Adviser is conducted primarily by research analysts employed by
Credit Suisse First Boston. In addition, the Adviser also obtains research from
other investment firms.
INVESTMENTS: The Credit Suisse Warburg Pincus Technology Fund invests in
common stock, preferred stock and securities convertible into common stock. The
Fund will normally invest 80% of its assets in securities of companies
principally engaged in offering, developing products, processes or services that
will provide technological advances and improvements. The types of companies
include computer hardware, computer software, electronics, semiconductor,
telecommunication equipment, telecommunication services and internet industries.
The Fund may invest in listed and unlisted securities, well-known and
established companies and in new and unseasoned companies. The Fund will not
invest more than 25% of its total assets in any one industry. The Fund may also:
- attempt to minimize the effect of a market decline on the value of its
securities, subject to market conditions, by writing covered call
options on securities or stock indices;
- invest up to 10% of its assets in non-U.S. securities;
- invest up to 15% of its net assets in illiquid securities; and
- invest in investment-grade fixed income securities, including bonds,
debentures, notes and money market instruments such as commercial
paper and bankers-acceptances and other financial instruments.
RISKS FOR THE CREDIT SUISSE WARBURG PINCUS TECHNOLOGY FUND AND THE CREDIT SUISSE
WARBURG PINCUS STRATEGIC GROWTH FUND:
Like any investment, an investment in the Credit Suisse Warburg Pincus
Technology Fund or Credit Suisse Warburg Pincus Strategic Growth Fund is subject
to risk and you could lose money. While the Funds seek investments that will
appreciate in value, the value of the securities could decline and provide no
income. The Funds are subject to market risks that affect equity securities
markets in general, such as general economic conditions and adverse changes in
interest rates (generally increases). If the value of equity markets in general
declines, you can expect the value of your investment in the Funds to decline,
possibly to a greater extent than the decline in equity markets generally. The
Funds are also subject to investment risk, which is the possibility that the
returns from a specific type of stock will perform worse than the overall stock
market or other market sectors. Other general risks include the following:
The Credit Suisse Warburg Pincus Technology Fund invests in technology
companies. The fact that the Fund concentrates in a single sector increases risk
and volatility as compared to a fund with a more diversified portfolio. This is
because factors that affect that sector are likely to directly affect the Fund's
performance, both negatively and positively. Even if the overall direction of
equity prices is upward, if technology stocks are headed lower, Fund performance
could be adversely affected. Certain factors or market conditions that affect
technology companies could have an impact on the Fund's net asset value and
performance. For example, companies in the rapidly
30
changing technology sector often face unusually high price volatility, both in
terms of gains and losses. Products or services that at first appear promising
may not prove commercially successful or may become obsolete quickly. Earnings
disappointments could also result in sharp price declines. In addition, stocks
of small, less seasoned companies, tend to be more volatile than the overall
market.
The Credit Suisse Warburg Pincus Strategic Growth Fund will limit the
number of companies in its portfolio. As a result, changes in the value of one
security are more likely to have a greater effect on the Fund's net asset value
than other U.S. domestic growth funds with more diversified portfolios.
In addition, each Fund may from time to time take temporary defensive
positions that are inconsistent with a Fund's investment strategies in
attempting to respond to adverse market conditions. If a Fund takes a temporary
defensive position, the Fund may not achieve its investment objective.
THE CREDIT SUISSE WARBURG PINCUS INTERNATIONAL FUNDS
CREDIT SUISSE WARBURG PINCUS DEVELOPING MARKETS FUND
GOAL: The investment objective of the Credit Suisse Warburg Pincus
Developing Markets Fund is long-term growth of capital by investing primarily in
common stocks and other equity securities of companies from developing
countries. Under normal market conditions, the Fund invests at least 65% of its
assets in equity securities of developing countries.
STRATEGY: The Credit Suisse Warburg Pincus Developing Markets Fund seeks to
achieve this objective by investing in securities of issuers in countries
included in the Morgan Stanley Capital Index ("MSCI") Emerging Markets Free
Index. The Fund's investment approach is to seek to minimize country and sector
risk by maintaining country and sector neutrality, with weightings close to
those of the MSCI Emerging Markets Free Index.
INVESTMENTS: Equity securities include common and preferred stock,
warrants, rights or options that are convertible into common stock, debt
securities that are convertible into common stock, depositary receipts for those
securities and other classes of stock that may exist. The Fund may purchase
non-U.S. securities in the form of sponsored or unsponsored depositary receipts
or other securities representing underlying shares of non-U.S. issuers. The Fund
may purchase a limited amount of restricted or otherwise illiquid securities.
The Fund may enter into forward foreign currency exchange contracts to attempt
to protect the value of its assets against future changes in the level of
currency exchange rates. The Fund may purchase and sell financial futures
contracts and options thereon which are traded on a commodities exchange or
board of trade for certain hedging, return enhancement and risk management
purposes. The Fund may purchase and sell financial futures contracts and related
options, without limitation, for bona fide hedging purposes. Subject to the
foregoing, the value of all financial futures contracts sold will not exceed the
total market value of the Fund's portfolio. These futures contracts and related
options will be on financial indices and foreign currencies or groups of foreign
currencies.
As used in this Prospectus, a company in a developing country is an entity
for which either the principal securities trading market is in a developing
country, it is organized under the laws in a developing country or it has its
principal office in a developing country. The Fund invests primarily in
countries represented within the MSCI Emerging Markets Free Index. Those
countries currently include Argentina, Brazil, Chile, China, Colombia, Czech
Republic, Greece, Hungary, India, Indonesia, Israel, Jordan, Korea, Malaysia,
Mexico, Pakistan, Peru, Philippines, Poland, Russia, South Africa, Sri Lanka,
Taiwan, Thailand, Turkey and Venezuela. The Fund generally does not invest more
than 25% of its total assets in developing countries not represented within the
MSCI Emerging Markets Free Index.
RISKS FOR THE CREDIT SUISSE WARBURG PINCUS DEVELOPING MARKETS FUND:
Like any investment, an investment in the Credit Suisse Warburg Pincus
Developing Markets Fund is subject to risk and you could lose money. While the
Fund selects investments that the Fund believes will experience long-term
appreciation, their value could decline. The Fund is also subject to risks that
affect equity securities markets in general, such as general economic conditions
and adverse changes (generally increases) in interest rates.
There are certain risks involved in investing in non-U.S. securities, in
addition to the risks inherent in U.S. investments. These risks may include
currency fluctuations, currency revaluations, adverse political and economic
developments, currency exchange blockages, foreign governmental laws or
restrictions, reduced public information concerning issuers, and the lack of
uniform accounting, auditing and financial reporting standards and other
regulatory practices and requirements comparable for domestic companies.
31
Furthermore, non-U.S. securities may be less liquid and more volatile than
comparable U.S. securities. There is also a possibility of expropriation,
nationalization, confiscatory taxation, and limitations on use or removal of
funds or assets. Investments in non-U.S. securities may result in higher
expenses due to currency conversions, brokerage commissions which generally are
higher than U.S. commissions and the expense of maintaining securities with
non-U.S. custodians.
In addition to the general risks of investing in non-U.S. securities,
characteristics of developing countries may affect certain investments, such as
national policies that restrict foreign investment and the absence of developed
legal structures governing private property and private and foreign investments.
The typically small size of securities markets and the possibility of a low or
nonexistent volume of trading in developing countries may also result in a lack
of liquidity and substantial price volatility.
You should be aware that investing in developing countries generally
involves exposure to economic structures that are generally less diverse and
mature, and to political systems with less stability than those of developed
countries.
For additional information on the use, risks and costs of the above
referenced policies and practices, see "Additional Information on Investment
Policies and Risks."
CREDIT SUISSE WARBURG PINCUS INTERNATIONAL EQUITY II FUND
GOAL: The investment objective of the Credit Suisse Warburg Pincus
International Equity II Fund is long-term growth of capital by investing
primarily in equity securities from established non-U.S. markets. During normal
market conditions, the Fund invests most of its assets in securities of issuers
from at least three different countries outside the United States. The Fund may
invest in securities of companies incorporated in the United States but having
their principal activities and interests outside of the United States.
STRATEGY: The Fund seeks to achieve this objective by focusing on stock
selection based primarily on the recommendations of CSFB International Research.
The Fund invests in the developed countries of Europe, Australia and the Far
East ("EAFE"), using disciplined, quantitative methods in its attempt to
minimize country, industry and financial risks. The Fund is country and sector
neutral and seeks to maintain its weightings close to those of the MSCI-EAFE
Index. Those countries currently include Australia, Austria, Belgium, Denmark,
Finland, France, Germany, Hong Kong, Ireland, Italy, Japan, the Netherlands, New
Zealand, Portugal, Singapore, Spain, Sweden, Switzerland, and the United
Kingdom.
INVESTMENTS: Equity securities include common and preferred stock,
warrants, rights or options that are convertible into common stock, debt
securities that are convertible into common stock, depositary receipts for those
securities and other classes of stock that may exist. The Fund may purchase
non-U.S. securities in the form of sponsored or unsponsored depositary receipts
or other securities representing underlying shares of non-U.S. issuers. The
Adviser anticipates that, subject to market conditions, depositary receipts may
represent a substantial portion of the Fund's investments. This Fund may invest
a limited amount of its assets in restricted or otherwise illiquid securities.
The Fund may enter into forward foreign currency exchange contracts to protect
the value of its assets against future changes in the level of currency exchange
rates. The Fund may purchase and sell financial futures contracts and options
thereon which are traded on a commodities exchange or board of trade for certain
hedging, return enhancement and risk management purposes. The Fund may purchase
and sell financial futures contracts and related options, without limitation,
for bona fide hedging purposes. Subject to the foregoing, the value of all
financial futures contracts sold will not exceed the total market value of the
Fund's portfolio. These futures contracts and related options will be on
financial indices and foreign currencies or groups of foreign currencies.
ADRS:
ADRs are depositary receipts typically issued by a U.S. bank or trust
company which evidence ownership of underlying securities issued by a non-U.S.
corporation.
EDRs and GDRs are depositary receipts typically issued by non-U.S. banks or
trust companies, although they also may be issued by U.S. banks or trust
companies, and evidence ownership of underlying securities issued by either a
non-U.S. or a U.S. corporation.
32
RISKS FOR THE CREDIT SUISSE WARBURG PINCUS INTERNATIONAL EQUITY II FUND:
Like any investment, an investment in the Credit Suisse Warburg Pincus
International Equity II Fund is subject to risk and you could lose money. While
the Fund selects investments the Fund believes will experience long-term
appreciation, their value could decline.
The Fund is also subject to risks that affect equity securities markets in
general, such as general economic conditions and adverse changes (generally
increases) in interest rates.
There are certain risks involved in investing in non-U.S. securities, in
addition to the risks inherent in U.S. investments. These risks may include
currency fluctuations, currency revaluations, adverse political and economic
developments, currency exchange blockages, foreign governmental laws or
restrictions, reduced public information concerning issuers, and the lack of
uniform accounting, auditing and financial reporting standards and other
regulatory practices and requirements comparable for domestic companies.
Furthermore, non-U.S. securities may be less liquid and more volatile than
comparable U.S. securities. There is also a possibility of expropriation,
nationalization, confiscatory taxation, and limitations on use or removal of
funds or assets. Investments in non-U.S. securities may result in higher
expenses due to currency conversions, brokerage commissions which generally are
higher than U.S. commissions and the expense of maintaining securities with
non-U.S. custodians.
For additional information on the use, risks and costs of the above
referenced policies and practices, see "Additional Information on Investment
Policies and Risks."
THE CREDIT SUISSE WARBURG PINCUS FIXED INCOME FUNDS
CREDIT SUISSE WARBURG PINCUS FIXED INCOME II FUND
GOAL: The investment objective of the Credit Suisse Warburg Pincus Fixed
Income II Fund is to provide as high a level of total return as is consistent
with capital preservation by investing principally in debt securities,
including, without limitation, convertible and nonconvertible debt securities of
domestic and foreign companies, including both well-known and established and
new and lesser-known companies. Total return means the sum of net investment
income (if any) and realized and unrealized gains less losses. Capital
preservation means minimizing the risk of capital loss in a period of falling
prices (rising interest rates) for debt securities.
STRATEGY: The Fund invests in and holds debt securities that the Adviser
believes will maximize total return at a level consistent with capital
preservation. The average maturity of the Fund's portfolio is adjusted based on
the Adviser's assessment of relative yields on debt securities and expectations
of future interest rate patterns.
A change in the price of a debt security generally is inversely related to
market interest rates. This means that the value of the Fund's investments will
tend to decrease during periods of rising interest rates and to increase during
periods of falling rates. In general, as the average maturity of the portfolio
increases, so does the potential volatility in share price. As a matter of
fundamental policy, the Fund will invest at least 80% of the value of its total
assets in debt securities. In normal circumstances, the Credit Suisse Warburg
Pincus Fixed Income II Fund invests at least 65% of the value of its total
assets in fixed income securities. However, the Fund may hold cash and
short-term fixed income securities and may enter into repurchase agreements for
temporary defensive purposes as determined by the Adviser without regard to the
above limits. A temporary defensive position could affect the Fund's ability to
achieve its investment objective.
INVESTMENTS: The Credit Suisse Warburg Pincus Fixed Income II Fund may
invest in bonds, including municipal bonds (taxable and tax-exempt) and other
debt securities rated Aaa, Aa, A or MIG-1 by Moody's Investors Service, Inc.
("Moody's"), or AAA, AA, A or SP-1 by Standard & Poor's Ratings Group ("S&P"),
U.S. Government Securities, obligations issued or guaranteed by national or
state bank holding companies, and commercial paper rated Prime-1 by Moody's or
A-1+ or A-1 by S&P.
The Credit Suisse Warburg Pincus Fixed Income II Fund may also invest not
more than 25% of its total assets in lower-rated debt securities that are not
rated below BBB or SP-2 by S&P or Baa or MIG-2 by Moody's to the extent the
Adviser views such investments as consistent with this Fund's investment
objective. See "Additional Information on Investment Policies and Risks" for a
description of securities rated BBB by S&P and Baa by Moody's. The Credit Suisse
Warburg Pincus Fixed Income II Fund may enter into repurchase agreements,
terminable within seven days or less, involving U.S. Treasury securities, with
member banks of the Federal Reserve
33
System or primary dealers in U.S. Government Securities. The Credit Suisse
Warburg Pincus Fixed Income II Fund may invest up to 10% of its assets in
restricted securities and in instruments having no ready market value.
CREDIT SUISSE WARBURG PINCUS MUNICIPAL TRUST FUND
GOAL: The investment objective of the Credit Suisse Warburg Pincus
Municipal Trust Fund is to provide as high a level of total return as is
consistent with capital preservation by investing principally in high-grade
tax-exempt municipal securities. This investment objective, unlike that of most
other municipal bond funds, is NOT to provide current income exempt from federal
and/or state income tax. Total return means the sum of net investment income and
capital gains less capital losses. The Fund intends to distribute annually its
net capital gains. Such distributions, if any, will be taxable to a shareholder
as capital gain. See "Dividend and Distribution Information" and "Taxes."
STRATEGY: The Credit Suisse Warburg Pincus Municipal Trust Fund attempts to
maximize total return by actively managing the maturities of the bonds in its
portfolio to reflect the Adviser's assessment of anticipated interest rate
movements and relative yields. The Credit Suisse Warburg Pincus Municipal Trust
Fund currently maintains an average maturity of between 5 and 10 years in order
to help reduce the interest rate risk associated with investing in long-term
bonds. However, the Fund may adjust this average maturity as the Adviser's views
on interest rate movements change, shortening maturities in periods of rising
interest rates and lengthening maturities in periods of falling interest rates.
The Fund attempts to supplement total return by identifying and purchasing
undervalued municipal securities.
As with any fixed income investment, the success of these strategies
depends upon the Adviser's ability to accurately forecast changes in interest
rates and to assess the value of municipal securities. You should be aware that
there are no assurances that the Fund's investment strategies will be
successful. See "Risks for the Credit Suisse Warburg Pincus Fixed Income II Fund
and the Credit Suisse Warburg Pincus Municipal Trust Fund."
INVESTMENTS: The Credit Suisse Warburg Pincus Municipal Trust Fund seeks to
achieve its objective by investing primarily in a diversified portfolio of
high-grade, intermediate-term municipal securities. Municipal securities fall
into two principal classes: bonds and notes, both of which may have fixed,
variable or floating rates of interest. The Fund invests in tax-exempt municipal
bonds and notes which are rated Aaa, Aa, A or MIG-1 by Moody's or AAA, AA, A or
SP-1 by S&P. The Fund may also invest up to 25% of its total assets in
lower-rated municipal securities to the extent the Adviser views such
investments as consistent with this Fund's investment objective. See "Additional
Information on Investment Policies and Risks -- Investment-Grade Debt
Securities" for a description of securities rated BBB by S&P and Baa by Moody's.
The Fund may also invest in unrated municipal securities when the Adviser
believes they are of comparable quality to that of rated securities and are
consistent with the Fund's objective and policies.
Because a change in the market value of a debt security generally is
inversely related to market interest rates, the market value of the Credit
Suisse Warburg Pincus Municipal Trust Fund's investments will tend to decrease
during periods of rising interest rates and to increase during periods of
falling rates. In general, as the average maturity of the portfolio increases,
so does the potential volatility in share price. Fluctuations in market value of
the Credit Suisse Warburg Pincus Municipal Trust Fund's portfolio resulting from
fluctuations in interest rates will generally be greater at times when the
average maturity of the Credit Suisse Warburg Pincus Municipal Trust Fund's
portfolio is longer.
The Credit Suisse Warburg Pincus Municipal Trust Fund may enter into
repurchase agreements terminable within seven days or less. The Fund may also
invest in restricted securities, in instruments having no ready market value and
municipal bonds that are subject to the alternative minimum tax. The Credit
Suisse Warburg Pincus Municipal Trust Fund reserves the right to hold cash and
short-term fixed income securities and to enter into repurchase agreements as
necessary for temporary defensive or emergency purposes as determined by the
Adviser, without regard for the above limitation. A temporary defensive position
could affect the Fund's ability to achieve its investment objective. Dividends
of the Credit Suisse Warburg Pincus Municipal Trust Fund will consist of income
exempt from federal income tax, income subject to the federal alternative
minimum tax ("AMT"), and taxable ordinary income and capital gains. See
"Dividend and Distribution Information" and "Taxes."
34
RISKS FOR THE CREDIT SUISSE WARBURG PINCUS FIXED INCOME II FUND AND CREDIT
SUISSE WARBURG PINCUS MUNICIPAL TRUST FUND:
While these Funds seek investments that will satisfy their investment
objectives, the Funds' investments could decline in value and you could lose
money. Concerns about an issuer's ability to repay its borrowings or to pay
interest will adversely affect the value of its securities. The Funds' Adviser
seeks to limit this risk generally by selecting higher-quality debt securities.
In addition, the Funds are subject to risks that affect the bond markets in
general, such as general economic conditions and adverse changes (generally
increases) in interest rates.
Each Fund may invest in unlisted securities. Unlisted securities may be
less liquid and more volatile than listed securities and could result in losses
if they had to be sold quickly. The Credit Suisse Warburg Pincus Municipal Trust
Fund is also subject to risks of investing in municipal securities. These risks
include uncertainties regarding the tax status of a particular security,
political and legislative changes and the rights of their holders. These factors
could adversely affect your investment.
HIGH QUALITY RATINGS:
High Quality Ratings are Aaa, Aa, A or MIG-1 by Moody's, or AAA, AA, A or
SP-1 by S&P.
CREDIT SUISSE WARBURG PINCUS HIGH INCOME FUND
GOAL: The Credit Suisse Warburg Pincus High Income Fund's primary
investment objective is to provide a high level of current income and a
secondary objective is capital appreciation. This Fund is not recommended for
investors whose principal objective is assured income or capital preservation.
STRATEGY: This Fund seeks to achieve its investment objectives by investing
in fixed-income securities, including corporate bonds and notes, convertible
securities and preferred stocks, that are rated in the lower rating categories
of the established rating services (Baa or lower by Moody's and BBB or lower by
S&P), or, if unrated, are of comparable quality. Securities rated Baa or lower
by Moody's and BBB or lower by S&P are commonly known as "junk bonds." These
bonds are considered by those rating agencies to have speculative
characteristics. These bonds can be expected to provide higher yields. However
these securities may be subject to greater market fluctuations and risk of loss
of income and principal than lower yielding, higher-rated fixed-income
securities. Investment in such high-yield securities entails relatively greater
risk of loss of income and principal.
INVESTMENTS: This Fund seeks to achieve its objective by investing
primarily in a diversified portfolio of lower-rated fixed-income securities
including convertible and non-convertible debt securities and preferred stock.
The Fund may also hold assets in cash or cash equivalents. This Fund generally
does not invest in common stocks, rights or other equity securities. From time
to time, the Fund may acquire or hold such securities (if consistent with its
objectives) when they are acquired in unit offerings with fixed-income
securities or in connection with an actual or proposed conversion, exchange or
restructuring of fixed-income securities.
Selection and supervision by the Adviser of the Fund of investments in
lower-rated fixed-income securities involves continuous analysis of individual
issuers, general business conditions and other factors. The furnishing of these
services does not, of course, guarantee successful results. The Adviser's
analysis of issuers includes, among other things, historic and current financial
conditions, current and anticipated cash flow and borrowing requirements, value
of assets in relation to historical cost, strength of management, responsiveness
to business conditions, credit standing, and current and anticipated results of
operations. Analysis of general business conditions and other factors may
include anticipated changes in economic activity and interest rates, the
availability of new investment opportunities, and the economic outlook for
specific industries. While the Adviser considers as one factor in its credit
analysis the ratings assigned by the rating services, the Adviser performs its
own independent credit analysis of issuers and consequently, the Credit Suisse
Warburg Pincus High Income Fund may invest, without limit, in unrated
securities. The Fund's ability to achieve its investment objective may depend on
the Adviser's own credit analysis to a greater extent than the funds that invest
in higher-rated securities.
Although the Credit Suisse Warburg Pincus High Income Fund primarily
invests in lower-rated securities, it will generally not invest in securities
rated at the time of investment in the lowest rating categories (Ca or below for
Moody's and CC or below for S&P). Securities which are subsequently downgraded
may continue to be held and will be sold only if, in the judgment of the
Adviser, it is advantageous to do so.
35
RISKS FOR THE CREDIT SUISSE WARBURG PINCUS HIGH INCOME FUND:
While the Credit Suisse Warburg Pincus High Income Fund seeks investments
that will satisfy its investment objective, the Fund's investments could decline
in value and you could lose money. Concerns about an issuer's ability to repay
its borrowings or to pay interest will adversely affect the value of its
securities. The Fund is also subject to risks that affect the bond markets in
general, such as general economic conditions and adverse changes (generally
increases) in interest rates.
The market value of longer maturity debt securities, like those held by the
Fund, is more sensitive to interest rate changes than the market value of
shorter maturity debt securities. In addition, the Fund's investments in lower
grade securities will subject investors to greater risk than normally
experienced in other fixed income securities.
Lower grade securities are regarded as being predominantly speculative as
to the issuer's ability to pay the principal and interest. Issuers of lower
grade securities are more likely to experience financial stress in periods of
economic downturn or rising interest rates. The issuer's ability to service its
debt may be adversely affected by poor management, inability to meet business
forecasts or unavailability of additional financing.
There is a higher default rate with lower grade securities because they may
be unsecured or subordinate to other securities of the issuer. There are fewer
dealers in lower grade securities which may make the market for these securities
less liquid and cause larger differences in prices quoted than that of
higher-rated fixed income securities.
In addition, the Fund may incur additional expense when it is required to
seek recovery upon a default or restructuring.
THE CREDIT SUISSE WARBURG PINCUS MONEY FUNDS
CREDIT SUISSE WARBURG PINCUS MUNICIPAL MONEY FUND
GOAL: The Credit Suisse Warburg Pincus Municipal Money Fund seeks maximum
current income, consistent with liquidity and safety of principal, that is
exempt from Federal income taxation to the extent described herein.
STRATEGY: The Fund pursues its objectives by investing at least 80% of its
total assets in municipal securities. One hundred percent of the securities the
Fund invests in are high quality having remaining maturities of one year or
less, although their maturities may extend to 397 days. The Fund reserves the
right to lower the percentage of investments in municipal securities if economic
or political conditions warrant. To increase the Fund's ability to reach its
investment objectives, the dollar-weighted average maturity of its portfolio
securities is always 90 days or less. In general, securities with longer
maturities are more vulnerable to price changes, although they may provide
higher yields. It is possible that a major change in interest rates or a default
on the Credit Suisse Warburg Pincus Municipal Money Fund's investments could
cause its net asset value per share to deviate from $1.00.
INVESTMENTS: Normally, substantially all the Credit Suisse Warburg Pincus
Municipal Money Fund's income will be exempt from Federal income taxation. Such
income may be subject to state or local and/or Federal AMT income taxes. The
Fund invests in municipal notes and short-term municipal bonds, which may have
fixed, variable or floating rates of interest. Municipal securities with
variable rates may include participation interests in industrial development
bonds which may be backed by letters of credit from banking or other financial
institutions. The letters of credit of any single institution in respect of all
variable rate obligations will not cover more than the allowable percentage of
the Credit Suisse Warburg Pincus Municipal Money Fund's total assets in
accordance with Rule 2a-7 under the Investment Company Act of 1940, as amended
("1940 Act"). For a more complete discussion of Municipal Securities, see
"Additional Information on Investment Policies and Risks -- Municipal
Securities." All of the Fund's municipal securities at the time of purchase are
rated within the two highest quality ratings of Moody's or S&P's, or judged by
the Adviser to be of comparable quality.
The Credit Suisse Warburg Pincus Municipal Money Fund may also invest
without limitation in tax-exempt municipal securities subject to the AMT. See
"Dividend and Distribution Information" and "Taxes."
The Credit Suisse Warburg Pincus Municipal Money Fund may invest to a
limited extent in stand-by commitments, delayed-delivery, when-issued securities
and other illiquid securities. This Fund may also invest a small percentage of
its net assets in municipal leases, which are leases or installment purchases
used by state and local governments as a means to acquire property, equipment or
facilities without involving debt issuance limitations. The Fund may from time
to time invest in taxable securities including obligations of the U.S.
Government and its agencies, high quality certificates of deposit and bankers'
acceptances, prime commercial paper, and repurchase agreements.
36
CASH EQUIVALENTS:
The International Funds may from time to time take a defensive position by
holding all or a portion of the Fund in other types of securities, including
commercial paper, bankers' acceptances, short-term debt securities (corporate
and government) or government and high quality money market securities of U.S.
and non-U.S. issuers, repurchase agreements, time deposits or cash (foreign
currencies or U.S. dollars). The International Funds may also temporarily hold
cash and invest in high quality foreign or domestic money market instruments
with up to 35% of their assets, pending investment of proceeds from new sales of
International Funds' shares or to meet ordinary daily cash needs.
RISKS FOR THE CREDIT SUISSE WARBURG PINCUS MUNICIPAL MONEY FUND:
Like any money market fund investment, this investment is not insured or
guaranteed by the Federal Deposit Insurance Corporation or any other government
agency. This fund seeks to preserve the value of your investment at $1.00 per
share; however, it is possible to lose money by investing in this Fund. To seek
to reduce investment risk, the Credit Suisse Warburg Pincus Municipal Money Fund
may not invest in the securities of any one issuer, (except the U.S.
Government), in excess of the percentage of the Credit Suisse Warburg Pincus
Municipal Money Fund's total assets allowed under Rule 2a-7 of the 1940 Act.
The Credit Suisse Warburg Pincus Municipal Money Fund earns income at
current money market rates and its yield varies from day to day and generally
reflects current short-term interest rates and other market conditions. It is
important to note that neither the Credit Suisse Warburg Pincus Municipal Money
Fund nor its yield are insured or guaranteed by the U.S. Government.
For additional information on the use, risks and costs of the above
referenced policies and practices, see "Additional Information on Investment
Policies and Risks."
CREDIT SUISSE WARBURG PINCUS U.S. GOVERNMENT MONEY FUND
GOAL: The Credit Suisse Warburg Pincus U.S. Government Money Fund seeks
maximum current income, consistent with liquidity and safety of principal.
STRATEGY: This Fund pursues its objectives by maintaining a portfolio of
high quality money market securities, including the types described in the
succeeding paragraph, which at the time of investment generally have remaining
maturities of one year or less. Some maturities may extend to 397 days. The
dollar weighted average maturity of the Credit Suisse Warburg Pincus U.S.
Government Money Fund's portfolio securities will vary, but will always be 90
days or less. In general, securities with longer maturities are more vulnerable
to price changes, although they may provide higher yields. It is possible that a
major change in interest rates or a default on the Credit Suisse Warburg Pincus
U.S. Government Money Fund's investments could cause its net asset value per
share to deviate from $1.00.
INVESTMENTS: The Fund invests in U.S. Government Securities, including
issues of the U.S. Treasury, such as bills, certificates of indebtedness, notes
and bonds, and issues of agencies and instrumentalities established under the
authority of an act of Congress, including variable rate obligations such as
floating rate notes. The Fund also invests in repurchase agreements that are
collateralized in full each day by eligible mortgage related securities or the
types of securities listed above. These agreements are entered into with
"primary dealers" (as designated by the Federal Reserve Bank of New York) in
U.S. Government Securities. This type of investment could create a loss to the
Fund if, in the event of a dealer default, the proceeds from the sale of the
collateral were less than the repurchase price. In addition, if the seller of
repurchase agreements becomes insolvent, the Fund's right to dispose of the
securities might be restricted.
In addition to the investments listed, the Money Funds may take temporary
defensive measures by holding other types of securities which are permitted by
Rule 2a-7 of the 1940 Act.
RISKS FOR THE CREDIT SUISSE WARBURG PINCUS U.S. GOVERNMENT MONEY FUND:
Like any money market fund investment, this investment is not insured or
guaranteed by the Federal Deposit Insurance Corporation or any other government
agency.
This Fund seeks to preserve the value of your investment at $1.00 per
share, however, it is possible to lose money by investing in this Fund.
37
The Credit Suisse Warburg Pincus U.S. Government Money Fund earns income at
current money market rates and its yield will vary from day to day and generally
reflects current short-term interest rates and other market conditions.
It is important to note that neither the Credit Suisse Warburg Pincus U.S.
Government Money Fund nor its yield is insured or guaranteed by the U.S.
Government.
TO MAINTAIN PORTFOLIO DIVERSIFICATION AND REDUCE INVESTMENT RISK, THE MONEY
FUNDS DO NOT:
(1) borrow money, except from banks on a temporary basis or through
entering into reverse repurchase agreements to be used exclusively to
facilitate the orderly maturation and sale of portfolio securities
during any periods of abnormally heavy redemption requests (the
borrowings are not used to purchase investments); or
(2) pledge, hypothecate or in any manner transfer, as security for
indebtedness, its assets, except to secure permitted borrowings.
For additional information on the use, risks and costs of the above referenced
policies and practices, see "Additional Information on Investment Policies and
Risks."
38
ADDITIONAL INFORMATION ON INVESTMENT POLICIES AND RISKS
The following general investment policies and risks supplement those set
forth above for each Fund.
EQUITY SECURITIES. "Equity securities" include common stock, preferred
stock (including convertible preferred stock), bonds convertible into common or
preferred stock, rights and warrants, equity interests in trusts and depositary
receipts for equity securities.
CONVERTIBLE SECURITIES. A "convertible security" is a bond or preferred
stock which may be converted at a stated price within a specified period of time
into a certain quantity of the common or preferred stock of the same or a
different issuer. Convertible securities have characteristics of both bonds and
equity securities. Like a bond, a convertible security tends to increase in
market value when interest rates decline and tends to decrease in market value
when interest rates rise. However, the price of a convertible security is also
influenced by the market value of the underlying stock. The price of a
convertible security tends to increase as the market value of the underlying
stock rises, whereas it tends to decrease as the market value of the underlying
stock declines.
WARRANTS. A "warrant" gives the holder thereof the right to buy equity
securities at a specific price during a specified period of time. Warrants tend
to be more volatile than the underlying security, and if at a warrant's
expiration date the security is trading at a price below the price set in the
warrant, the warrant will expire worthless. Conversely, if at the expiration
date the underlying security is trading at a price higher than the price set in
the warrant, the holder of the warrant can acquire the security at a price below
its market value.
MORTGAGE-BACKED SECURITIES. Except for the Credit Suisse Warburg Pincus
Municipal Trust Fund, the Credit Suisse Warburg Pincus Funds may invest in
mortgage-backed securities. "Mortgage-backed securities" are securities that
directly or indirectly represent a participation in, or are secured by and
payable from mortgage loans on real property, including pass-through securities
such as Ginnie Mae, Fannie Mae and Freddie Mac Certificates. The yield and
credit characteristics of mortgage-backed securities differ in a number of ways
from traditional fixed income securities. The major differences typically
include more frequent interest and principal payments, usually monthly, and the
possibility that prepayment of principal may be made at any time. Prepayment
rates are influenced by changes in current interest rates and a variety of other
factors. In general, changes in the rate of prepayment on a security will change
the yield to maturity of that security. Under certain interest rate or
prepayment rate scenarios, a Fund may fail to recoup fully its investment in
such securities notwithstanding the credit quality of the issuers of such
securities. Based on historic prepayment patterns, amounts available for
reinvestment are likely to be greater during a period of declining interest
rates and, thus, are likely to be reinvested at lower interest rates, than
during a period of rising interest rates. Mortgage-backed securities may
decrease in value as a result of increases in interest rates and may benefit
less than other fixed income securities from declining interest rates because of
the risk of prepayment.
ASSET-BACKED SECURITIES. Except for the Credit Suisse Warburg Pincus
Municipal Trust Fund, the Credit Suisse Warburg Pincus Funds may invest in
asset-backed securities. "Asset-backed securities" have similar structural
characteristics to mortgage-backed securities, but the underlying assets include
assets such as motor vehicle installment sales or installment loan contracts,
leases of various types of real and personal property and receivables from
revolving credit agreements, rather than mortgage loans or interests in mortgage
loans. Asset-backed securities present certain risks that are not present in
mortgage-backed securities; primarily, these securities do not have the benefit
of the same security interest in the related collateral. There is the
possibility that recoveries of repossessed collateral may not, in some cases, be
available to support payments on these securities. For example, in the event
that the collateral underlying an asset-backed security must be disposed of, it
may be difficult to convert that collateral into a stream of payments to be paid
to the holders of the security.
MUNICIPAL SECURITIES. "Municipal securities" are either bonds or notes.
Municipal bonds, which are longer-term debt obligations meeting long-term
capital needs, are either "general obligation" bonds or "revenue" bonds. Payment
of principal and interest on general obligation bonds is secured by the issuing
municipality's pledge of its full faith and credit and taxing power. Payment on
revenue bonds is met from the revenues obtained from a certain facility, class
of facilities, special excise or other tax, but not from general tax revenues.
Variations on these two classifications exist, such as revenue bonds backed by a
municipality's general taxing power, or general obligation bonds backed by
limited taxing power.
Municipal notes are short-term debt obligations generally maturing in one
year or less meeting short-term capital needs and are also either "general
obligation" or "revenue" debt securities. They include tax anticipation notes,
revenue anticipation notes, bond anticipation notes, construction loan notes and
tax-exempt commercial paper.
39
Municipal securities may have fixed, variable or floating rates of
interest. Variable and floating rate securities pay interest at rates that are
adjusted periodically, according to a specified formula, in order to minimize
fluctuation in the value of the principal of the securities. A "variable"
interest rate adjusts at predetermined intervals (e.g., daily, weekly, or
monthly), while a "floating" interest rate adjusts whenever a specified
benchmark rate (such as the bank prime lending rate) changes.
The Credit Suisse Warburg Pincus Municipal Money Fund and Credit Suisse
Warburg Pincus Municipal Trust Fund may invest in variable rate obligations.
Such adjustments minimize changes in the market value of the obligation, and in
the case of the Credit Suisse Warburg Pincus Municipal Money Fund enhances the
ability of such Fund to maintain a stable $1.00 net asset value. See "Net Asset
Value."
INVESTMENT-GRADE DEBT SECURITIES. All of the Credit Suisse Warburg Pincus
Funds may invest in debt securities of investment-grade quality.
"Investment-grade debt securities" are debt securities rated in one of the four
highest rating categories by a nationally recognized statistical rating
organization, such as S&P or Moody's. Investment-grade debt securities may also
include debt securities believed by the Adviser (on the basis of criteria
believed by the Adviser to be comparable to that applied by such rating
agencies) to be of comparable quality to debt securities so rated by the rating
agencies.
Debt securities rated Baa or higher by Moody's or BBB or higher by S&P are
investment-grade securities. Securities rated BBB are regarded by S&P as having
an adequate capacity to pay interest and repay principal; while such securities
normally exhibit adequate protection parameters, adverse economic conditions or
changing circumstances are more likely, in the opinion of S&P, to lead to a
weakened capacity to pay interest and repay principal for debt in this category
than in higher rated categories.
Securities rated Baa by Moody's are considered to be medium-grade
obligations. These securities are neither highly protected nor poorly secured.
The rating organization determines that interest payments and principal security
appear to be adequate for the present but certain protective elements may be
lacking or may be characteristically unreliable over any great length of time.
For a more complete description of Moody's and S&P's ratings, see the Appendix
to the Statement of Additional Information of each of the Credit Suisse Warburg
Pincus Funds. The investment-grade limitations referenced for each Fund are
applicable at the time of initial investment and a Fund may determine to retain
securities of issuers which have had their credit characteristics downgraded.
REPURCHASE AGREEMENTS. The Credit Suisse Warburg Pincus Funds may enter
into a repurchase agreement with member banks of the Federal Reserve System or
"primary dealers" (as designated by the Federal Reserve Bank of New York) in
such securities. Repurchase agreements permit a Fund to keep all of its assets
at work while retaining "overnight" flexibility in pursuit of investments of a
longer-term nature. The Adviser requires continual maintenance of collateral
with a Fund's custodian in an amount equal to, or in excess of, the market value
of the securities that are the subject of a repurchase agreement. In the event a
counterparty defaults on its repurchase obligation, a Fund might suffer a loss
to the extent that the proceeds from the sale of the collateral are less than
the repurchase price. If the counterparty becomes the subject of bankruptcy
proceedings, the Fund might be delayed in selling the collateral.
NON-U.S. SECURITIES. All of the Credit Suisse Warburg Pincus Funds, except
the Money Funds and the Credit Suisse Warburg Pincus Municipal Trust Fund, may
invest in securities of issuers outside of the United States, which we refer to
as "non-U.S. securities." There are additional risks involved in investing in
non-U.S. securities. These risks include those resulting from fluctuations in
currency exchange rates, revaluation of currencies, and the possible imposition
of currency exchange blockages. In addition, there are risks associated with
future adverse political and economic developments and a limited availability of
public information concerning issuers. Non-U.S. issuers typically are subject to
different accounting, auditing and financial reporting standards. Securities of
many non-U.S. companies may be less liquid and their prices more volatile than
those of domestic companies. There is the possibility of expropriation,
nationalization, confiscatory taxation and limitations on the use or removal of
Funds or other assets of a non-U.S. issuer, including the withholding of
dividends.
Non-U.S. securities may be subject to taxes imposed by foreign governments
that would reduce the net yield on such securities. Investment in non-U.S.
securities may result in higher expenses due to the cost of converting foreign
currency into U.S. dollars, the payment of fixed brokerage commissions on
foreign exchanges (which generally are higher than commissions on U.S.
exchanges) and the expense of maintaining securities with non-U.S. custodians.
40
Investments in non-U.S. securities include securities issued by European
issuers. On January 1, 1999, the countries participating in the European
Monetary Union ("EMU") implemented a new currency unit, the Euro, which is
reshaping financial markets, banking systems and monetary policies in Europe and
other parts of the world. Although it is not possible to predict the eventual
impact of the Euro implementation plan on the Funds, the transition to the Euro
may change the economic environment and behavior of investors, particularly in
European markets. Certain European investments may be subject to additional
risks as a result of this conversion. These risks include adverse tax and
accounting consequences, as well as difficulty in processing transactions. The
Funds are aware of such potential problems and are coordinating ways to prevent
or alleviate their adverse impact on the Funds.
INVESTMENT COMPANIES. Certain Funds may invest a limited amount of their
assets in shares of other investment companies. Investments in other mutual
funds may involve the payment of substantial premiums above the value of such
investment companies' portfolio securities. In addition, such investments are
subject to limitations under the 1940 Act and market availability. Currently,
the International Funds, the Credit Suisse Warburg Pincus Strategic Growth Fund,
the Credit Suisse Warburg Pincus Technology Fund and the Credit Suisse Warburg
Pincus Municipal Money Fund may invest in such investment companies if, in the
judgment of the Adviser, the potential benefits of such investments justify the
payment of any applicable premium or sales charge. As a shareholder in an
investment company, these Funds would bear its ratable share of that investment
company's expenses, including its advisory and administrative fees. At the same
time shareholders of these Funds would continue to pay their own management fees
and other expenses.
OPTIONS. A call option is a contract that gives the holder the right to buy
from the seller the security underlying the call option at a pre-determined
price while a put option is a contract that gives the buyer the right to require
the seller to purchase the security underlying the put option at a
pre-determined price. The Credit Suisse Warburg Pincus Blue Chip Fund and the
Credit Suisse Warburg Pincus Value Fund may write covered call options on
individual securities or stock indices. For these Funds, this practice will only
be used to minimize the effect of a market decline in the value of securities in
their respective portfolios. We cannot guarantee that, should a Fund seek to
enter into such transactions, it could do so at all or on terms that are
acceptable. The Credit Suisse Warburg Pincus Small Company Value Fund may
purchase or sell put and call options on individual securities or stock indices
as a means of achieving additional return or of hedging the value of its
portfolio. The International Funds may purchase and sell put and call options on
securities, currencies and financial indices that are traded on U.S. or non-U.S.
securities exchanges or in the over-the-counter market. Options traded in the
over-the-counter market are considered illiquid investments. The International
Funds may purchase and sell financial futures contracts and options thereon
which are traded on a commodities exchange or board of trade for certain
hedging, return enhancement and risk management purposes in accordance with
regulations of the CFTC. These futures contracts and related options will be on
financial indices and foreign currencies or groups of foreign currencies.
Each of the Credit Suisse Warburg Pincus Strategic Growth Fund's, Credit
Suisse Warburg Pincus Technology Fund's and International Fund's successful use
of options and financial futures depends on the ability of the Adviser to
predict the direction of the market and is subject to various additional risks.
The investment techniques and skills required to use options and futures
successfully are different from those required to select international
securities for investment. The ability of each of these Funds to close out an
option or futures position depends on a liquid secondary market. There is no
assurance that liquid secondary markets will exist for any particular option or
futures contract at any particular time. The inability to close options and
futures positions also could have an adverse impact on each Fund's ability to
effectively hedge its portfolio. There is also the risk of loss by the Funds of
margin deposits or collateral in the event of bankruptcy of a broker with whom
the Funds have an open position in an option, a futures contract or related
option.
LOWER-GRADE SECURITIES. The Credit Suisse Warburg Pincus High Income Fund
purchases lower-grade securities. "Lower-grade securities" are regarded as being
predominantly speculative as to the issuer's ability to make payments of
principal and interest. Investment in these securities involves substantial
risk. Lower-grade securities are commonly referred to as "junk bonds." Issuers
of lower-grade securities may be highly leveraged and may not have traditional
methods of financing. The risks associated with acquiring the securities of
these issuers generally are greater than is the case with higher-rated
securities. For example, during an economic downturn or a sustained period of
rising interest rates, issuers of lower-grade securities may be more likely to
experience financial stress, especially if such issuers are highly leveraged.
The risk of loss due to default is significantly greater for the holders of
lower-grade securities because such securities may be unsecured and may be
subordinate to other securities of the issuer.
41
FUND MANAGEMENT
As discussed under "Recent Developments," on November 3, 2000, DLJ, the
indirect parent of DLJAM was acquired by Credit Suisse. Following the
acquisition, CSAM succeeded DLJAM as Adviser of the Credit Suisse Warburg Pincus
Funds pursuant to Interim Advisory Agreements. CSAM, located at 466 Lexington
Avenue, New York, New York 10017-3147, is a member of Credit Suisse Asset
Management, the institutional asset management arm of Credit Suisse Group, one
of the world's leading banks. As of December 31, 2000, Credit Suisse Asset
Management companies managed approximately $93 billion in the U.S. and $298
billion globally. Except as set forth below, the investment personnel involved
in the management of the Funds has not changed.
Effective November 1, 2000, the Subadvisory Agreement with AXA Investor
Managers GS Ltd. ("AXA") pursuant to which AXA acted as subadviser of the Credit
Suisse Warburg Pincus Developing Markets Fund and Credit Suisse Warburg Pincus
International Equity II Fund (the "International Funds") was terminated by
mutual agreement of the parties. At that time, the Adviser became solely
responsible for investment management of the International Funds.
THE FEES PAID FOR THE FISCAL YEAR ENDED OCTOBER 31, 2000 WERE AS FOLLOWS:
- -----------------------------------------------------------------------------------------------------------------
FUND* % OF AVERAGE NET ASSETS FEES PAID
- -----------------------------------------------------------------------------------------------------------------
Credit Suisse Warburg Pincus Blue Chip Fund .61% $1,338,293
- -----------------------------------------------------------------------------------------------------------------
Credit Suisse Warburg Pincus Value Fund .58% $1,442,618
- -----------------------------------------------------------------------------------------------------------------
Credit Suisse Warburg Pincus Small Company Value Fund .81% $1,622,703
- -----------------------------------------------------------------------------------------------------------------
Credit Suisse Warburg Pincus Strategic Growth Fund .75% $ 47,380
- -----------------------------------------------------------------------------------------------------------------
Credit Suisse Warburg Pincus Technology Fund .88% $ 208,699
- -----------------------------------------------------------------------------------------------------------------
Credit Suisse Warburg Pincus Developing Markets Fund 1.25% $ 262,585
- -----------------------------------------------------------------------------------------------------------------
Credit Suisse Warburg Pincus International Equity II Fund 1.25% $ 809,279
- -----------------------------------------------------------------------------------------------------------------
Credit Suisse Warburg Pincus Fixed Income II Fund .59% $ 837,673
- -----------------------------------------------------------------------------------------------------------------
Credit Suisse Warburg Pincus Municipal Trust Fund .625% $ 163,791
- -----------------------------------------------------------------------------------------------------------------
Credit Suisse Warburg Pincus High Income Fund .70% $ 98,962
- -----------------------------------------------------------------------------------------------------------------
Credit Suisse Warburg Pincus Municipal Money Fund .40% $ 223,580
- -----------------------------------------------------------------------------------------------------------------
Credit Suisse Warburg Pincus U.S. Government Money Fund .40% $ 256,602
- -----------------------------------------------------------------------------------------------------------------
* The Credit Suisse Warburg Pincus Strategic Growth Fund and the Credit
Suisse Warburg Pincus Technology Fund commenced operations on November 18,
1999. Accordingly, the percentages shown represent the annual fees payable
pursuant to the advisory agreements.
THE FOLLOWING INDIVIDUALS ARE RESPONSIBLE FOR MANAGEMENT OF THE CREDIT SUISSE
WARBURG PINCUS FUNDS.
Cathy A. Jameson is the portfolio manager of the Credit Suisse Warburg
Pincus Fixed Income II Fund, a position she has held since the Fund was started
in 1986. Ms. Jameson is a Vice President of the Credit Suisse Warburg Pincus
Capital Funds. She is also a Managing Director of CSAM, which she joined as a
result of Credit Suisse's acquisition of DLJ.
Roger W. Vogel serves as the primary portfolio manager of the Credit Suisse
Warburg Pincus Small Company Value Fund and as of February, 2000, the Credit
Suisse Warburg Pincus Value Fund. He has acted as the portfolio co-manager of
the Credit Suisse Warburg Pincus Blue Chip Fund, the Credit Suisse Warburg
Pincus Value Fund, and the Credit Suisse Warburg Pincus Small Company Value Fund
since July 1993. Mr. Vogel is a Vice President of the Credit Suisse Warburg
Pincus Capital Funds, and a Managing Director of CSAM, which he joined as a
result of Credit Suisse's acquisition of DLJ. Prior to becoming associated with
the Funds, Mr. Vogel was a Vice President and portfolio manager with Chemical
Banking Corp.
Marybeth B. Leithead is the portfolio manager of the Credit Suisse Warburg
Pincus Municipal Trust Fund, a position she has held since the commencement of
its operations on July 28, 1993. Ms. Leithead is also a Vice President of the
Credit Suisse Warburg Pincus Capital Funds and a Director of CSAM, which she
joined as a result of Credit Suisse's acquisition of DLJ.
42
Hugh M. Neuburger is the primary portfolio manager of the Credit Suisse
Warburg Pincus Blue Chip Fund, Credit Suisse Warburg Pincus Strategic Growth
Fund and Credit Suisse Warburg Pincus Technology Fund. He has also served as the
co-portfolio manager of the Credit Suisse Warburg Pincus Blue Chip Fund, the
Credit Suisse Warburg Pincus Value Fund and the Credit Suisse Warburg Pincus
Small Company Value Fund since August 1995, and the Credit Suisse Warburg Pincus
Developing Markets Fund and the Credit Suisse Warburg Pincus International
Equity II Fund since November 2000. Mr. Neuburger is a Managing Director of
CSAM, which he joined as a result of Credit Suisse's acquisition of DLJ.
William D. Butler, a Vice President of CSAM, which he joined as a result of
Credit Suisse's acquisition of DLJ, serves as co-portfolio manager of the Credit
Suisse Warburg Pincus Technology Fund. Mr. Butler joined DLJAM as an Equity
Analyst in 1998 after spending three years as a Senior Consultant at BARRA Inc.,
advising institutional money managers on equity risk management, performance
attribution and portfolio construction.
Luisa Michel is the co-portfolio manager of the Credit Suisse Warburg
Pincus Developing Markets Fund and the Credit Suisse Warburg Pincus
International Equity II Fund and Vice President of CSAM, with which she has been
associated since 1998. Ms. Michel joined CSAM as a result of Credit Suisse's
acquisition of DLJ. From 1993 to 1998, Ms. Michel was a Senior International
Credit Analyst at Merrill, Lynch, Pierce, Fenner and Smith Inc. focusing on
Latin America. From 1989 to 1991, she acted as a lending officer for
Manufacturers Hanover Trust Company.
Effective December 8, 2000, Richard Lindquist assumed the role of portfolio
manager for the Credit Suisse Warburg Pincus High Income Fund. Mr. Lindquist is
a Managing Director of CSAM and heads CSAM's high yield management team. Mr.
Lindquist joined CSAM in 1995 as a result of CSAM's acquisition of CS First
Boston Investment Corp., which he joined in 1989. Previously, he managed high
yield portfolios at Prudential Insurance Company of America and a high yield
mutual fund at T. Rowe Price Associates. Mr. Lindquist also assumed the role of
portfolio manager for the DLJ High Yield Bond Fund. Mr. Lindquist is a Chartered
Financial Analyst.
43
HOW TO BUY AND SELL SHARES
1. BUYING SHARES OF THE MONEY FUNDS OR CLASS A, CLASS B OR CLASS C SHARES OF
THE OTHER CREDIT SUISSE WARBURG PINCUS FUNDS
OPENING AN ACCOUNT:
Decide whether your first payment will be delivered by check or wire.
Initial payment must be at least $1,000.
BY CHECK USING U.S. MAIL:
Complete an application and send it along with a check made payable to the
Credit Suisse Warburg Pincus Funds to:
Credit Suisse Warburg Pincus Funds
PFPC, Inc.
P.O. Box 61503
King of Prussia, PA 19406-3101
BY CHECK USING U.S. OVERNIGHT DELIVERY:
Complete an application and send it along with a check made payable to the
Credit Suisse Warburg Pincus Funds to:
Credit Suisse Warburg Pincus Funds
PFPC, Inc.
211 S. Gulph Road
King of Prussia, PA 19406-3101
BY WIRE:
Call Credit Suisse Warburg Pincus Funds at 1-800-225-8011 (option #2) to
obtain an account number. A representative will instruct you to send a
completed, signed application to the Transfer Agent, PFPC, Inc. ("Transfer
Agent"). Your account cannot be opened without a completed, signed
application and a Fund account number.
CONTACT YOUR BANK TO ARRANGE A WIRE TRANSFER TO:
Boston Safe Deposit & Trust
ABA #: 011001234
Credit: (Insert Name of Your Fund)
ACCT#: 006068
FBO (Shareholder name and account number)
Your wire instructions must also include: the name of the Fund, your
account number and the name(s) of the account holders.
An account at the Fund will be established once the application and check
are received in good order.
If you purchase shares of the Money Funds through a wire transfer, you
will be eligible to receive the daily dividend declared on the date of
purchase, as long as the Transfer Agent is notified of such purchase by 12:00
noon. The funds must be received by the Transfer Agent by 4:00 p.m.
Investors may also purchase shares of the Credit Suisse Warburg Pincus
Funds through their securities dealer. For shares purchased through a securities
dealer or by clients of an eligible institution: call your broker or service
representative for instructions in opening an account. Investors may be charged
separate fees if they effect transactions through a securities dealer or
eligible institution. In addition, securities dealers may offer an automatic
sweep for the shares of the Money Funds in the operation of cash accounts for
their customers. Shares of the Money Funds purchased through an automatic sweep
by 1:00 p.m. are eligible to receive that day's daily dividend. For more
information, contact your securities dealer. Other information regarding
purchasing shares is contained in each Fund's Statement of Additional
Information.
Shareholder accounts established on behalf of the following types of plans
will be exempt from the Fund's minimum and additional investment amounts: 401(k)
Plans, 403(b) Plans, 457 Plans, SEP Plans, and SIMPLE Plans. An account
established for the Funds' Class D shares will also be exempt from the Funds'
minimum and subsequent purchase requirements. In addition, the Funds reserve the
right to waive their minimum purchase requirements.
44
Additional investments may be made at any time by sending a check payable
to the Funds along with an investment stub found at the bottom of the Funds'
Shareholder Statement form. If the stub is not available, you may send a check
payable to the "Credit Suisse Warburg Pincus Funds" directly to the Transfer
Agent at the address listed above. Please reference the account number to be
credited on the check, as well as the Fund you have selected to purchase.
SELLING SHARES OF THE MONEY FUNDS OR CLASS A, CLASS B OR CLASS C SHARES OF
THE OTHER CREDIT SUISSE WARBURG PINCUS FUNDS
Will you be requesting a redemption of your holdings in the Credit Suisse
Warburg Pincus Funds through the Funds' Telephone Redemption Privilege?
YES.
Call 1-800-225-8011 to sell your shares. Requests for redemptions of more
than $50,000 must be made in writing and be accompanied by a signature
guarantee.
(A "signature guarantee" is a signature guaranteed by an eligible bank,
broker, dealer, credit union, national securities exchange, registered
securities association, clearing agency or savings association.)
Remember, the Money Funds require a minimum account size of $750 and the
other Credit Suisse Warburg Pincus Funds require a minimum account size of $250
for Class A, Class B or Class C shares.
NO.
FOR SHARES HELD AT THE FUND, WRITE TO THE FUND AT:
Credit Suisse Warburg Pincus Funds
PFPC, Inc. P.O. Box 61503
(211 S. Gulph Road)*
King of Prussia, PA 19406-3101
Remember, any Class A, Class B or Class C account that has less than $250
(or $750 in the case of the Money Funds), the Fund may redeem.
*FOR OVERNIGHT DELIVERY.
For shares purchased through a broker-dealer: call your broker or
securities dealer representative.
Your redemption will be processed at the net asset value per share, next
computed following the receipt of your request in proper form. If you own Class
B or Class C shares or purchased Class A shares without paying an initial sales
charge, any applicable CDSC will be applied to the net asset value and deducted
from your redemption. The value of your shares may be more or less than your
investment depending on the net asset value of your Fund on the day you redeem.
The Credit Suisse Warburg Pincus Funds have a minimum account size of $250
for Class A, Class B and Class C shares and $750 for shares of the Money Funds.
You may be requested to increase your balance if it falls below these levels.
The Funds reserve the right to close such account and send the proceeds to you.
A Fund will not redeem involuntarily any shareholder account with an aggregate
balance of less than these levels based solely on the market movement of such
Fund's shares.
For information concerning circumstances in which redemptions may be
effected through the delivery of in-kind portfolio securities, see your
Statement of Additional Information.
PURCHASING ADDITIONAL SHARES
Decide if you are making additional purchases by mail, wire, or automatic
investment. If using mail or wire, please check to make sure funds meet the
$25.00 minimum.
BY MAIL:
Complete the investment stub found at the bottom of the Funds' shareholder
statement form, or if an investment stub is not available, reference on the
check the account number to be credited and the Fund you have selected to
purchase and mail to:
Credit Suisse Warburg Pincus Funds
PFPC, Inc.
P.O. Box 61503
King of Prussia, PA 19406-3101
45
BY WIRE:
Please call the Transfer Agent at 800-225-8011 (option #2) to notify them
of the impending wire.
PROVIDE YOUR BANK WITH FUNDS AND WITH THE FOLLOWING INFORMATION:
Boston Safe Deposit & Trust
ABA #: 011001234
Credit: (Insert Name of Your Fund)
ACCT#: 006068
FBO (Shareholder name and account number)
PURCHASE SHOULD REFERENCE YOUR NAME, ACCOUNT NUMBER, AND NAME OF FUND.
AUTOMATIC INVESTMENT PROGRAM:
The automatic investment program requires purchases of at least $25.00.
Fill out the application, designating the automatic investment option and
provide your bank information. The Fund automatically deducts payment from
your account on a regular basis.
PROVIDE YOUR BANK WITH FUNDS AND WITH THE FOLLOWING INFORMATION:
Boston Safe Deposit & Trust
ABA #: 011001234
Credit: (Insert Name of Your Fund)
ACCT#: 006068
FBO (Shareholder name and account number)
Shares of the Money Funds or Class A, Class B or Class C shares of the
other Credit Suisse Warburg Pincus Funds may be purchased directly by using the
Share Purchase Application found in the prospectus, or through CSAMSI, or by
contacting your securities dealer. Shareholders should read the prospectus
carefully before investing in the Funds.
The minimum initial investment in each Fund is $1,000 ($2,000 for Common
Class shares). The minimum for additional investments is $25 ($50 for Common
Class shares). The minimum initial and minimum additional investment may be
waived for retirement accounts. There is a maximum purchase limitation in the
Funds' Class B shares of $250,000 and $1,000,000 in the Funds' Class C shares.
Each of the Funds, except the Money Funds, offers Class A, Class B and Class C
shares. Class A shares may be purchased at a price equal to net asset value of
the Fund plus an initial sales charge imposed at the time of purchase. On a
purchase of $1,000,000 or more, there is no initial sales charge, but there
could be a CDSC if the shares are redeemed within one year of purchase. Class B
shares may be purchased for net asset value, but may be subject to a CDSC upon
redemption. The CDSC declines from 4% during the first year of purchase to zero
after four years. Class B shares will convert to Class A shares approximately
eight years from the time of purchase. Class C shares may be purchased for net
asset value, but may be subject to a 1% CDSC if redeemed in the first year.
Shares of the Money Funds may be purchased at a price equal to the net asset
value per share which is expected to be $1.00.
2. BUYING COMMON CLASS SHARES OF THE CREDIT SUISSE WARBURG PINCUS FUNDS.
A. PURCHASES OF COMMON CLASS THROUGH FINANCIAL-SERVICES FIRMS
You can buy and sell Common Class shares through a variety of
financial-services firms such as banks, brokers and financial advisors. The
Credit Suisse Warburg Pincus Funds have authorized these firms (and other
intermediaries that the firms may designate) to accept orders. When an
authorized firm or its designee has received your order, it is considered
received by the fund and will be priced at the next-computed NAV.
Financial-services firms may charge transaction fees or other fees that you
could avoid by investing directly with the fund. Please read their program
materials of the particular firm for any special provisions or additional
service features that may apply to your investment. Certain features of the
Common Class shares, such as the minimum initial or subsequent investment
amounts, may be modified.
46
B. PURCHASING COMMON CLASS SHARES DIRECTLY
OPENING AN ACCOUNT
Your account application provides us with key information we need to set up
your account correctly. It also lets you authorize services that you may find
convenient in the future.
If you need an application, call our Shareholder Service Center to receive
one by mail or fax. Or you can download it from our Internet Web site:
www.warburg.com.
You can make your initial investment by check or wire. The "By Wire" method
in the "Buying Common Class Shares" table below enables you to buy shares on a
particular day at that day's closing NAV.
ADDING TO AN ACCOUNT
You can add to your account in a variety of ways, as shown in the table. If
you want to use Automated Clearing House (ACH) transfer, be sure to complete the
"ACH on Demand" section of the Common Class shares account application.
INVESTMENT CHECKS
Checks should be made payable in U.S. dollars to Credit Suisse Warburg
Pincus Funds. Unfortunately, we cannot accept "starter" checks that do not have
your name preprinted on them. We also cannot accept checks payable to you or to
another party and endorsed to the order of Credit Suisse Warburg Pincus Funds.
These types of checks may be returned to you and your purchase order may not be
processed.
WIRE INSTRUCTIONS
State Street Bank and Trust Company
ABA# 0110 000 28
Attn: Mutual Funds/Custody Dept.
[Credit Suisse Warburg Pincus Fund Name]
DDA# 9904-649-2
F/F/C: [Account Number and Registration]
HOW TO REACH US
Shareholder Service Center
Toll free: 800-WARBURG
(800-927-2874)
Fax: 646-354-5026
MAIL:
Credit Suisse Warburg Pincus Funds
P.O. Box 9030
Boston, MA 02205-9030
Overnight/Courier Service
Boston Financial Data Services, Inc.
Attn: Credit Suisse Warburg Pincus Funds
66 Brooks Drive
Braintree, MA 02184
INTERNET WEB SITE
www.warburg.com
47
BUYING COMMON CLASS SHARES
OPENING AN ACCOUNT ADDING TO AN ACCOUNT
BY CHECK
- Complete the NEW - Make your check
ACCOUNT APPLICATION. payable to Credit
For IRAs use the Suisse Warburg
UNIVERSAL IRA Pincus Funds.
APPLICATION.
- Make your check - Write the account
payable to Credit number and the fund
Suisse Warburg name on your check.
Pincus Funds.
- Mail to Credit - Mail to Credit
Suisse Warburg Suisse Warburg
Pincus Funds. Pincus Funds.
- Minimum amount is
$100.
BY EXCHANGE
- Call our Shareholder - Call our Shareholder
Service Center to Service Center to
request an exchange. request an exchange.
Be sure to read the
current prospectus - Minimum amount is
for the new fund. $250.
Also please observe
the minimum initial - If you do not have
investment. telephone
privileges, mail or
- If you do not have fax a letter of
telephone instruction signed
privileges, mail or by all shareholders.
fax a letter of
instruction signed
by all shareholders.
BY WIRE
- Complete and sign - Call our Shareholder
the NEW ACCOUNT Service Center by 4
APPLICATION. For p.m. ET to inform us
IRAs use the of the incoming
UNIVERSAL IRA wire. Please be sure
APPLICATION. to specify your
name, the account
- Call our Shareholder number and the fund
Service Center and name on your wire
fax the signed NEW advice.
ACCOUNT APPLICATION
by 4 p.m. ET. - Wire the money for
receipt that day.
- Shareholder Services
will telephone you - Your purchase will
with your account be effective at the
number. Please be next NAV calculated
sure to specify your after we receive
name, the account your order in proper
number and the fund form.
name on your wire
advice. - Minimum amount is
$500
- Wire your initial
investment for
receipt that day.
- Mail the original,
signed application
to Credit Suisse
Warburg Pincus
Funds.
BY AUTOMATED CLEARING
HOUSE (ACH) TRANSFER
- Cannot be used to - Call our Shareholder
open a new account. Service Center to
request an ACH
transfer from your
bank.
- Your purchase will
be effective at the
next NAV calculated
after we receive
your order in proper
form.
- Minimum amount is
$50, subject to
other minimum
investment
requirements.
- Requires ACH on
Demand privileges.
48
SELLING COMMON CLASS SHARES
SELLING SOME OR ALL OF YOUR SHARES CAN BE USED FOR
BY MAIL
Write us a letter of - Accounts of any
instruction that includes: type.
- your name(s) and - Sales of any amount.
signature(s)
For IRAs please use the
- the fund name and IRA DISTRIBUTION REQUEST
account number FORM.
- the dollar or share
amount you want to
sell
- how to send the
proceeds
Obtain a signature
guarantee or other
documentation, if
required (see "Selling
Shares in Writing").
Mail the materials to
Credit Suisse Warburg
Pincus Funds.
If only a letter of
instruction is required,
you can fax it to the
Shareholder Service
Center.
BY EXCHANGE
- Call our Shareholder - Accounts with
Service Center to telephone
request an exchange. privileges.
Be sure to read the
current prospectus If you do not have
for the new fund. telephone privileges,
Also please observe mail or fax a letter of
the minimum initial instruction signed by all
investment. shareholders to exchange
shares.
BY PHONE
Call our Shareholder - Non-IRA accounts
Service Center to request with telephone
a redemption. You can privileges.
receive the proceeds as:
- a check mailed to
the address of
record ($100
minimum)
- an ACH transfer to
your bank ($50
minimum)
- a wire to your bank
($500 minimum)
See "By Wire or ACH
Transfer" for details.
BY WIRE OR ACH TRANSFER
- Complete the "Wire - Non-IRA accounts
Instructions" or with wire-redemption
"ACH on Demand" or ACH on Demand
section of your NEW privileges.
ACCOUNT APPLICATION.
- Requests by phone or
- For federal-funds mail.
wires, proceeds will
be wired on the next
business day. For
ACH transfers,
proceeds will be
delivered within two
business days.
49
SELLING COMMON CLASS SHARES IN WRITING
Some circumstances require a written sell order, along with a signature
guarantee. These include:
- - accounts whose address of record has been changed within the past 30 days
- - redemptions in certain large amounts (other than by exchange)
- - requests to send the proceeds to a different payee or address
- - shares represented by certificates, which must be returned with
your sell order
A signature guarantee helps protect against fraud. You can obtain one from
most banks or securities dealers, but not from a notary public.
RECENTLY PURCHASED COMMON CLASS SHARES
For fund shares purchased other than by bank wire, bank check, U.S.
Treasury check, certified check or money order, the funds will delay payment of
your cash redemption proceeds until the check or other purchase payment clears,
which generally takes up to 10 calendar days from the day of purchase. At any
time during this period, you may exchange into another fund.
LOW-BALANCE ACCOUNTS OF COMMON CLASS SHARES
If your account balance falls below the minimum required to keep it open
due to redemptions or exchanges, the fund may ask you to increase your balance.
If it is still below the minimum after 60 days, the fund may close your account
and mail you the proceeds.
- - Minimum to Keep an Account Open: $2,000
3. ADVISOR CLASS AND CLASS D SHARES.
Advisor Class shares may be purchased through certain eligible institutions
and financial services firms. Class D shares are offered exclusively to
employees of CSFB and its subsidiaries that are eligible to participate in the
Employee Savings and Retirement Plan of Credit Suisse First Boston, certain
investment advisory or brokerage clients of CSAM or its affiliates, and certain
employee benefit plans for employees of CSAM or its affiliates. CSFB employees
should contact the CSFB Hotline at 1-800-588-6200 to learn how to purchase Class
D shares.
50
OTHER SHAREHOLDER INFORMATION
CLASSES OF SHARES AND SALES CHARGES
The Credit Suisse Warburg Pincus Funds, except the Money Funds, offer Class
A shares, Class B shares, Class C shares and Common Class shares to the general
public. The Advisor Class shares of the Credit Suisse Warburg Pincus Value Fund
are available for purchase through certain eligible institutions and financial
services firms. Class D shares are offered exclusively to employees of CSFB and
its subsidiaries who are eligible to participate in the Employee Savings and
Retirement Plan of Credit Suisse First Boston, certain investment advisory or
brokerage clients of CSAM or its affiliates, and certain employee benefit plans
for employees of CSAM or its affiliates. Class D shares are only offered by the
Credit Suisse Warburg Pincus Blue Chip Fund, the Credit Suisse Warburg Pincus
Value Fund, the Credit Suisse Warburg Pincus Small Company Value Fund, the
Credit Suisse Warburg Pincus Technology Fund, the Credit Suisse Warburg Pincus
Fixed Income II Fund, the Credit Suisse Warburg Pincus High Income Fund and the
Credit Suisse Warburg Pincus International Equity II Fund. Shares held in each
Fund are normally entitled to one vote (with proportional voting for fractional
shares) for all purposes.
Each class is identical in all respects except that each class bears
different distribution service fees (except for Class D shares, which are not
subject to any distribution service fees and are offered only to a limited group
of investors). Each class has different exchange privileges and only Class B
shares have a conversion feature. Class A, Class B, Class C, Common Class and
Advisor Class shareholders have exclusive voting rights relating to their
respective class's 12b-1 Plan.
CLASS A SHARES
OFFERING PRICE:
The offering price for Class A shares (with a sales charge) is NAV plus the
applicable sales charge (unless you are entitled to a waiver).
The offering price for Class A shares of the Funds is the net asset value
plus the applicable sales charge from the schedule below:
INITIAL SALES CHARGE -- CLASS A
CREDIT SUISSE WARBURG PINCUS FIXED INCOME FUNDS (1)
- -----------------------------------------------------------------------------------------------------------------
AMOUNT PURCHASED AS A % OF AMOUNT AS A % OF OFFERING COMMISSION TO
INVESTED PRICE DEALER/AGENT AS A % OF
OFFERING PRICE
- -----------------------------------------------------------------------------------------------------------------
Less than $50,000 4.99% 4.75% 4.25%
- -----------------------------------------------------------------------------------------------------------------
$50,000 to less than 4.71% 4.50% 4.00%
$100,000
- -----------------------------------------------------------------------------------------------------------------
$100,000 to less than 3.63% 3.50% 3.25%
$250,000
- -----------------------------------------------------------------------------------------------------------------
$250,000 to less than 2.56% 2.50% 2.25%
$500,000
- -----------------------------------------------------------------------------------------------------------------
$500,000 to less than 2.04% 2.00% 1.75%
$1,000,000
- -----------------------------------------------------------------------------------------------------------------
$1,000,000 or more 0 0 1.00%*
- -----------------------------------------------------------------------------------------------------------------
51
CREDIT SUISSE WARBURG PINCUS EQUITY FUNDS (2)
- -----------------------------------------------------------------------------------------------------------------
AMOUNT PURCHASED AS A % OF AMOUNT AS A % OF OFFERING COMMISSION TO
INVESTED PRICE DEALER/AGENT AS A % OF
OFFERING PRICE
- -----------------------------------------------------------------------------------------------------------------
Less than $50,000 6.10% 5.75% 5.00%
- ----------------------------------------------------------------------------------------------------------------
$50,000 to less than 4.99% 4.75% 4.00%
$100,000
- ----------------------------------------------------------------------------------------------------------------
$100,000 to less than 3.90% 3.75% 3.00%
$250,000
- ----------------------------------------------------------------------------------------------------------------
$250,000 to less than 2.56% 2.50% 2.00%
$500,000
- ----------------------------------------------------------------------------------------------------------------
$500,000 to less than 2.04% 2.00% 1.75%
$1,000,000
- ----------------------------------------------------------------------------------------------------------------
$1,000,000 or more 0 0 1.00%*
- ----------------------------------------------------------------------------------------------------------------
(1) The Credit Suisse Warburg Pincus Fixed Income Funds include the Credit
Suisse Warburg Pincus Fixed Income II Fund, the Credit Suisse Warburg
Pincus Municipal Trust Fund and the Credit Suisse Warburg Pincus High
Income Fund.
(2) The Credit Suisse Warburg Pincus Equity Funds include the Credit Suisse
Warburg Pincus Blue Chip Fund, the Credit Suisse Warburg Pincus Value Fund,
the Credit Suisse Warburg Pincus Small Company Value Fund, the Credit
Suisse Warburg Pincus Strategic Growth Fund, the Credit Suisse Warburg
Pincus Technology Fund, the Credit Suisse Warburg Pincus Developing Markets
Fund and the Credit Suisse Warburg Pincus International Equity II Fund.
* On purchases of $1,000,000 or more, there is no initial sales charge
although there could be a Limited CDSC (as described below). The
Distributor may pay the dealer a fee of up to 1% as follows: 1% on
purchases up to and including $3 million, .50% on the next $47 million,
.25% on purchase amounts over $50 million. In addition, Class A shares
issued upon conversion of Class B shares of the Funds are not subject to an
initial sales charge.
From time to time, the Distributor may re-allow the full amount of the
sales charge to brokers as a commission for sales of such shares.
In addition, investors may be charged a fee by a securities dealer if they
effect transactions through a broker or agent.
THE INITIAL SALES CHARGE IS WAIVED FOR THE FOLLOWING SHAREHOLDERS OR
TRANSACTIONS:
(1) investment advisory clients of the Adviser;
(2) officers, Trustees and retired Trustees of the Funds, directors or trustees
of other investment companies managed by the Adviser, officers, directors
and full-time employees of the Adviser and of its wholly-owned subsidiaries
or parent entities ("Related Entities"); or the spouse, siblings, children,
parents or grandparents of any such person or any such person's spouse
(collectively, "relatives"), or any trust or individual retirement account
or self-employed retirement plan for the benefit of any such person or
relative; or the estate of any such person or relative, if such sales are
made for investment purposes (such shares may not be resold except to the
Funds);
(3) certain employee benefit plans for employees of the Advisers and Related
Entities;
(4) full-time employees of the Funds' Transfer Agent or an entity that provides
distribution to the Funds, an agent or broker of a dealer that has a sales
agreement with the Distributor, for their own account or an account of a
relative of any such person, or any trust or individual retirement account
or self-employed retirement plan for the benefit of any such person or
relative; or the estate of any such person or relative, if such sales are
made for investment purposes (such shares may not be resold except to the
Funds);
(5) shares purchased by registered investment advisers on behalf of fee-based
accounts or by broker-dealers that have sales agreements with the Funds and
for which shares have been purchased on behalf of wrap fee client accounts
and for which such registered investment advisers or broker-dealers perform
advisory, custodial, record keeping or other services;
52
(6) shareholders who received shares in the Credit Suisse Warburg Pincus Funds
as a result of the merger of Neuwirth Fund, Inc., Pine Street Fund, Inc. or
deVegh Mutual Fund, Inc., and who have maintained their investment in such
shares;
(7) shares purchased for 401(k) Plans, 403(b) Plans and 457 Plans; and
employee benefit plans sponsored by an employer; non-U.S. nationalized
pension plans; and
(8) Class B shares which are automatically converted to Class A shares.
REDUCED SALES CHARGES ARE AVAILABLE TO PARTICIPANTS IN THE FOLLOWING PROGRAMS:
LETTER OF INTENT. By initially investing at least $1,000 and submitting a
Letter of Intent to the Funds' Distributor or Transfer Agent, you may purchase
shares of a Credit Suisse Warburg Pincus Fund over a 13-month period at the
reduced sales charge, which applies, to the aggregate amount of the intended
purchases stated in the Letter. The Letter only applies to purchases made up to
90 days before the date of the Letter.
RIGHT OF ACCUMULATION. For investors who already have an account with the
Funds, reduced sales charges based upon the Funds' sales charge schedules are
applicable to subsequent purchases. The sales charge on each additional purchase
is determined by adding the current net asset value of the shares the investor
currently owns to the amount being invested. The Right of Accumulation is
illustrated by the following example: If a previous purchase currently valued in
the amount of $50,000 had been made subject to a sales charge and the shares are
still held, a current purchase of $50,000 will qualify for a reduced sales
charge (i.e., the sales charge on a $100,000 purchase).
The reduced sales charge is applicable only to current purchases. It is the
investor's responsibility to notify the Transfer Agent at the time of subsequent
purchases that the account is eligible for the Right of Accumulation.
CONCURRENT PURCHASES. To qualify for a reduced sales charge, you may
combine concurrent purchases of shares purchased in any Credit Suisse Warburg
Pincus Fund. For example, if the investor concurrently invests $25,000 in one
Fund and $25,000 in another, the sales charge would be reduced to reflect a
$50,000 purchase. In order to exercise the Concurrent Purchases privilege, the
investor must notify the Distributor or Transfer Agent prior to his or her
purchase.
COMBINED PURCHASE PRIVILEGE. By combining the investor's holdings of shares
in any Credit Suisse Warburg Pincus Fund, the investor can reduce the initial
sales charges on any additional purchases of Class A shares. The investor may
also use these combinations under a Letter of Intent. This allows the investor
to make purchases over a 13-month period and qualify the entire purchase for a
reduction in initial sales charges on Class A shares. A combined purchase of
$1,000,000 or more may trigger the payment of a dealer's commission and the
applicability of a Limited CDSC. See "Other Shareholder Information -- Class A
Limited CDSC."
REINSTATEMENT PRIVILEGE. The Reinstatement Privilege permits shareholders
to reinvest the proceeds provided by a redemption of a Fund's Class A shares
within 120 days from the date of redemption without an initial sales charge. It
is the investor's responsibility to notify the Transfer Agent prior to his or
her purchase in order to exercise the Reinstatement Privilege. In addition, a
CDSC paid to the Distributor will be eligible for reimbursement at the current
net asset value of the applicable Fund if a shareholder reinstates his Fund
account holdings within 120 days from the date of redemption.
CLASS B SHARES
You may choose to purchase Class B shares at the Fund's net asset value
although such shares may be subject to a CDSC when you redeem your investment.
The CDSC does not apply to investments held for more than four years or shares
received pursuant to dividend reinvestment.
53
Where the CDSC is imposed, the amount of the CDSC will depend on the number
of years that you have held the shares according to the table on this page. The
CDSC will be assessed on an amount equal to the lesser of the then current net
asset value or the original purchase price of the shares identified for
redemption.
- --------------------------------------------------------------------------------
YEAR AFTER PURCHASE CDSC PERCENTAGE
- --------------------------------------------------------------------------------
1st 4%
----------------------------------------------------
2nd 3%
----------------------------------------------------
3rd 2%
----------------------------------------------------
4th 1%
----------------------------------------------------
After 4th year None
----------------------------------------------------
THE CDSC ON CLASS B SHARES WILL BE WAIVED FOR THE FOLLOWING SHAREHOLDERS OR
TRANSACTIONS:
(1) shares received pursuant to the exchange privilege which are currently
exempt from a CDSC;
(2) redemptions as a result of shareholder death or disability (as defined in
the Internal Revenue Code of 1986, as amended);
(3) redemptions made pursuant to a Credit Suisse Warburg Pincus Fund's
systematic withdrawal plan pursuant to which up to 1% monthly or 3%
quarterly of an account (excluding dividend reinvestments) may be
withdrawn, provided that no more than 12% of the total market value of an
account may be withdrawn over any 12 month period. Shareholders who elect
systematic withdrawals on a semi-annual or annual basis are not eligible
for the waiver; and
(4) liquidations, distributions or loans from the following types of retirement
plan accounts:
-Section 401(k) retirement Plans;
-Section 403(b) Plans; or
-Section 457 Plans; and
(5) A redemption related to minimum distributions from retirement plans or
accounts at age 70 1/2, which are required without penalty pursuant to the
Internal Revenue Code.
Redemptions effected by the Funds pursuant to their right to liquidate a
shareholder's account with a current net asset value of less than $250 will not
be subject to the CDSC. In addition, Class B shares held for eight years after
purchase will be automatically converted in Class A shares and accordingly will
no longer be subject to the CSDC.
CLASS A LIMITED CDSC. A Limited Contingent Deferred Sales Charge ("Limited
CDSC") will be imposed by the Funds upon certain redemptions of Class A shares
(or shares into which such Class A shares are exchanged) made within 12 months
of purchase, if such purchases were made at net asset value and triggered the
payment by the Distributor of the dealer's commission described above (i.e.,
purchases of $1,000,000 or more).
The Limited CDSC will be paid to the Distributor and will be equal to the
lesser of 1% of:
- - the net asset value at the time of purchase of the Class A
shares being redeemed; or
- - the net asset value of such Class A shares at the
time of redemption.
For purposes of this formula, the "net asset value at the time of purchase"
will be the net asset value at the time of purchase of such Class A shares even
if those shares are later exchanged, and in the event of an exchange of such
Class A shares, the "net asset value of such shares at the time of redemption"
will be the net asset value of the shares into which the Class A shares have
been exchanged. The Limited CDSC on Class A shares will be waived on redemptions
made pursuant to a Credit Suisse Warburg Pincus Fund's systematic withdrawal
plan under the same circumstances as outlined in item (3) above related to the
waiver of the CDSC on Class B shares.
CLASS C SHARES
You may choose to purchase Class C shares at the Fund's net asset value,
although such shares will be subject to a 1% CDSC if you redeem your shares
within 1 year. If you exchange your shares for Class C shares of another Credit
Suisse Warburg Pincus Fund, the 1% CDSC also will apply to those Class C shares.
The 1-year period for the CDSC begins with the date of your original purchase,
not the date of the exchange for the other Class C shares. The
54
1% CDSC on Class C shares will be waived under the circumstances that would
result in a waiver of the CDSC on Class B shares. Class C shares are subject to
a distribution fee of 1.00% of average daily net assets.
CLASS D SHARES
Class D shares are offered only to employees of CSFB and its subsidiaries
who are eligible to participate in the Employee Savings and Retirement Plan of
Credit Suisse First Boston, certain investment advisory or brokerage clients of
CSAM or its affiliates, and certain employee benefit plans for employees of CSAM
or its affiliates. Class D shares are not subject to any sales charges or
distribution fees. CSFB employees should contact the CSFB 401(k) Hotline at
1-800-588-6200 to learn how to purchase Class D shares.
COMMON CLASS SHARES
You may choose to purchase Common Class shares at the Fund's net asset
value. Common Class shares are not subject to any initial or contingent deferred
sales charge, but there is a distribution fee of .25% of average daily net
assets. The Distributor, the Adviser or their affiliates may make additional
payments out of their own resources to institutions for providing distribution,
administrative, accounting and/or other services with respect to Common Class
shares. Under certain circumstances, the Funds, on behalf of the Series, may
reimburse a portion of these payments.
ADVISOR CLASS SHARES
Advisor Class shares of the Credit Suisse Warburg Pincus Value Fund are
available for purchase through certain institutions and financial services firms
and are not available to individual investors directly. These shares will be
offered without a front end sales load or a contingent deferred sales charge but
will be charged a shareholder service fee payable at an annual rate of up to
.25%, and a distribution and/or administrative services fee payable at an annual
rate of up to .50% of the average daily net assets of such class. The aggregate
distribution and/or shareholder services fee payable by the Advisor Class may
not exceed .75% of the average daily net assets relating to that class. The
Board of Trustees is currently limiting the amount payable to .50 of 1% of the
average daily net assets relating to that class. Payments may be made to an
institution directly out of assets of the Fund attributable to the class or by
the Distributor on the Fund's behalf. The Distributor, the Adviser or their
affiliates may make additional payments out of their own resources to
institutions for providing distribution, administrative, accounting and/or
other services with respect to Advisor Class shares. Under certain
circumstances, the Fund, on behalf of the Series, may reimburse a portion
of these payments.
55
ADDITIONAL SHAREHOLDER SERVICES
EXCHANGE PRIVILEGE. You may exchange shares of a Fund for shares offered
under the same class of another Credit Suisse Warburg Pincus Fund or for shares
of the Money Funds. Class A shares may also be exchanged for Common Class shares
of another Credit Suisse Warburg Pincus Fund. After about July 1, 2001, Common
Class shares of Credit Suisse Warburg Pincus Funds may be exchanged for Common
Class shares of funds in the Warburg, Pincus family of funds (and VICE VERSA).
Shareholders whose initial investment was directly into a Money Fund may
exchange such shares for either Class A, Class B, Class C, or Common Class of
another Credit Suisse Warburg Pincus Fund. Shares of each Money Fund purchased
pursuant to the Credit Suisse Warburg Pincus Funds' exchange privilege will be
eligible for exchange into another Credit Suisse Warburg Pincus Fund provided
that the exchange is directed into the same class of shares upon which the
initial investment was made. Shareholders whose initial investment was invested
directly into a Money Fund will, upon an exchange request, automatically be
exchanged into Class A shares of the requested Fund (unless otherwise indicated
on the purchase application or by written notice). You should be aware that for
federal income tax purposes an exchange is treated as a sale and a purchase of
shares which may result in recognition of a gain or loss.
THE FOLLOWING PRIVILEGES ARE PROVIDED BY THE TRANSFER AGENT AND DO NOT APPLY TO
CLASS D OR ADVISOR CLASS SHARES:
AUTOMATIC MONTHLY INVESTMENT PLAN. You may elect on the Application to make
additional investments in a Fund automatically by authorizing Credit Suisse
Warburg Pincus to withdraw funds from your bank or other cash account and
purchase additional shares with those funds. You select the date (either the
10th, 15th or 20th of each month) and amount (subject to a minimum of $25 for
Class A, Class B or Class C shares or $50 for Common Class shares). The plan may
be terminated at any time without penalty by you or the Fund.
AUTOMATIC EXCHANGE PLAN. You may authorize the Credit Suisse Warburg Pincus
Funds in advance to exchange a set dollar amount of shares in one Fund for
shares of the same class of another Fund or for shares of the Money Funds on a
monthly, quarterly, semi-annual or annual basis under an Automatic Exchange
Plan. The minimum exchange amount under the Automatic Exchange Plan is $50.
These exchanges are subject to the terms of the Exchange Privilege described
above. This service is not available for Common Class shares.
DIVIDEND DIRECTION OPTION. Any Class A, Class B or Class C shareholder may
elect on the Application to have his or her dividends paid to another
individual. All shareholders may elect to have his or her dividends directed for
reinvestment within the same class of another Fund provided that an existing
account in such other Fund is maintained by the shareholder.
SYSTEMATIC WITHDRAWAL PLAN. Any Class A, Class B or Class C shareholder who
owns or purchases shares of a Fund having a current net asset value of at least
$10,000 may establish a Systematic Withdrawal Plan under which the shareholder
or a third party will receive payment by check in a stated amount of not less
than $50 on a monthly, quarterly, semi-annual or annual basis. A CDSC which may
otherwise be imposed on a redemption will be waived in connection with
redemptions made pursuant to Credit Suisse Warburg Pincus Funds' Systematic
Withdrawal Plan up to 1% monthly or 3% quarterly of an account (excluding
dividend reinvestment) not to exceed 12% over any 12 month rolling period.
Systematic withdrawals elected on a semi-annual or annual basis are not eligible
for the waiver. Common Class shareholders have available the Automatic
Withdrawal Plan for making automatic monthly, quarterly, semiannual or annual
withdrawals of $250 or more.
CHECKWRITING PRIVILEGES. Shareholders of the Money Funds may redeem shares
by writing checks of at least $100 against their account balance. Investments in
the Money Funds will continue to earn dividends until a shareholder's check is
presented to the Money Funds for payment. Checks will be returned by the
Transfer Agent if there are insufficient shares to meet the withdrawal amount.
You should not attempt to close an account by check because the exact
balance at the time the check clears will not be known when the check is
written. There is currently no charge to shareholders for checkwriting, but the
Money Funds reserve the right to impose a charge in the future. The Money Funds
may modify, suspend or terminate checkwriting privileges at any time upon notice
to shareholders and will terminate checkwriting privileges without notice for
accounts whose assets are exchanged completely out of the Money Funds. In
addition, Boston Safe Deposit & Trust., as agent for the Transfer Agent in
processing redemptions via the checkwriting privilege, reserves the right to
terminate checkwriting privileges at any time without notice to you.
Checkwriting privileges are not available for accounts subject to a CDSC.
56
SAVEMYMONEY PROGRAM. Available to Common Class shareholders of certain
Funds, SaveMyMoney-SM- is a low minimum, automatic investing program that makes
it easy to build a mutual fund portfolio. For an initial investment of $250
along with a minimum $50 monthly investment, you can invest in Common Class
shares. The SaveMyMoney Program will automatically transfer the monthly
investment amount you designate from your bank account.
RETIREMENT PLANS. Credit Suisse Warburg Pincus Funds offer a range of
qualified retirement plans including Traditional, Educational and Roth IRAs,
SEPs, SIMPLE plans and other pension and profit sharing plans. Semper Trust
Company serves as custodian under these prototype retirement plans and charges
an annual account maintenance fee of $15 per participant, regardless of the
number of Funds selected. To transfer your IRA to Credit Suisse Warburg Pincus,
use the IRA TRANSFER/DIRECT ROLLOVER FORM. If you are opening a new IRA, you
will also need to complete the UNIVERSAL IRA APPLICATION. Please consult your
tax professional concerning your IRA eligibility and tax situation. For more
information you should write or telephone the Transfer Agent at 1-800-225-8011.
For a more detailed explanation of the retirement plans offered by the Funds,
see each Fund's Statement of Additional Information.
TRANSFERS/GIFTS TO MINORS. Depending on state laws, you can set up a
custodial account under the Uniform Transfers-to-Minors Act (UTMA) or the
Uniform Gifts-to-Minors Act (UGMA). Please consult your tax professional about
these types of accounts.
Additional information concerning shareholder services is available by
contacting the Funds at the address or telephone number listed on the last page
of this Prospectus.
THE FUNDS DO NOT PERMIT MARKET-TIMING. DO NOT INVEST IN THESE FUNDS IF YOU
ARE A MARKET-TIMER. THE FUNDS RESERVE THE RIGHT TO IMPOSE SHORT-TERM REDEMPTION
FEES TO DISCOURAGE MARKET-TIMING IN THE FUNDS.
DISTRIBUTION CHARGES
Each Fund has adopted 12b-1 Plans pursuant to the rules of the 1940 Act.
These plans allow each Fund to collect distribution and service fees for the
sale and servicing of the individual classes of each Fund's shares. Since these
fees are paid out of each Fund's assets on an on-going basis, over time these
fees will increase the cost of your investment. These fees may cost you more
than paying other types of sales charges. Effective as of August 1, 2000, the
limitation on annual distribution and service fees for Class A shares of the
Credit Suisse Warburg Pincus Blue Chip Fund, Credit Suisse Warburg Pincus Value
Fund, Credit Suisse Warburg Pincus Small Company Value Fund, Credit Suisse
Warburg Pincus Fixed Income II Fund and Credit Suisse Warburg Pincus Municipal
Trust Fund was reduced from 0.30% to 0.25%. Effective as of the date of this
Prospectus, the limitation on annual distribution and service fees for the
Advisor Class of the Credit Suisse Warburg Pincus Value Fund has been reduced
from 0.75% to 0.50%. The Funds do not pay any of the expenses for distributing
Class D shares.
DISTRIBUTION AND SERVICE FEES:
Distribution and service fees are used to pay the Distributor to promote
the sale of shares and the servicing of accounts of each Fund.
The expenses incurred by the Distributor under the 12b-1 Plans include the
preparation, printing and distribution of prospectuses, sales brochures and
other promotional materials sent to prospective shareholders. They also include
purchasing radio, television, newspaper and other advertising and compensating
the Distributor's employees or employees of the Distributor's affiliates for
their distribution assistance.
Distribution fees also allow the Distributor to compensate broker/dealers
or other persons or entities for providing distribution assistance, as well as
financial intermediaries for providing administrative and accounting services
for their account holders. In addition to commissions and maintenance fees paid
to broker/dealers the Distributor may from time to time pay additional
compensation to broker/dealers in connection with the sale of shares. Such
additional amounts may be utilized to provide additional compensation to
registered representatives of such broker/dealers who sell shares of the Fund.
On some occasions, such compensation will be conditioned on the sale of a
specified minimum dollar amount of the shares of the Funds during a specific
period of time. Such incentives may take the form of payment for meals,
entertainment, or attendance at educational seminars and associated expenses
such as travel and lodging. Such broker/dealers may elect to receive cash
incentives of equivalent amounts in lieu of such payments.
57
DIVIDEND AND DISTRIBUTION INFORMATION
Dividends are declared daily and paid monthly to shareholders of the Money
Funds, the Credit Suisse Warburg Pincus Fixed Income II Fund, the Credit Suisse
Warburg Pincus Municipal Trust Fund and the Credit Suisse Warburg Pincus High
Income Fund from net investment income. Dividends are paid to shareholders of
the Credit Suisse Warburg Pincus Value Fund quarterly, if net investment income
has been earned, and to shareholders of the Credit Suisse Warburg Pincus Blue
Chip Fund, the Credit Suisse Warburg Pincus Small Company Value Fund, the Credit
Suisse Warburg Pincus Strategic Growth Fund, the Credit Suisse Warburg Pincus
Technology Fund and the International Funds once a year. Capital gains earned in
any of the Funds are normally distributed to shareholders once a year, shortly
after the Funds' fiscal year end. For purposes of this calculation, net
investment income consists of all accrued interest and dividend income on Fund
assets less the Fund expenses applicable to that dividend period.
For your convenience, dividends and capital gains are automatically
reinvested in your Fund. If you ask us to pay the distributions in cash, the
Fund will send you a check instead of purchasing more shares of your Fund. You
will receive a confirmation that shows the payment amount and a summary of all
transactions. Checks are normally mailed within five business days of the
payment date.
TAXES
As with any investment, you should consider how your investment in the
Funds will be taxed. If your account is not a tax-deferred retirement account,
you should be aware of these tax consequences. For federal income tax purposes,
a Fund's income and short-term capital gain distributions are taxed as ordinary
income. Long-term capital gain distributions are taxed as long-term capital
gains. Your distributions may also be subject to state and local income taxes.
The distributions are taxable when they are paid, whether you receive them in
cash or participate in the dividend reinvestment program. Each January, your
Fund will mail you a form indicating the federal tax status of your dividend and
capital gain distributions. For individuals, long-term capital gains are
generally subject to a maximum tax rate of 20%. If you hold shares in a
tax-deferred retirement account, your distributions will be taxed when you
receive a distribution from your tax-deferred account.
Distributions to shareholders of tax-exempt interest income earned by the
Credit Suisse Warburg Pincus Municipal Trust Fund and the Credit Suisse Warburg
Pincus Municipal Money Fund are not subject to federal income tax if, at the
close of each quarter of each Fund's taxable year, at least 50% of the value of
each Fund's total assets consists of tax-exempt obligations. Both Funds intend
to meet this requirement. Because the Credit Suisse Warburg Pincus Municipal
Trust Fund and Credit Suisse Warburg Pincus Municipal Money Fund can invest in
taxable municipal bonds and other taxable securities as well as tax-exempt
municipal bonds, the portion of their dividends exempt from or subject to
regular federal income taxes cannot be predicted. In addition, these
distributions may also be subject to state and local taxes.
If you are subject to the AMT, you should be aware that a portion of the
distributions out of tax-exempt interest earned by the Credit Suisse Warburg
Pincus Municipal Trust Fund and the Credit Suisse Warburg Pincus Municipal Money
Fund may be taxable.
When you redeem your shares, the tax treatment of any gains or losses may
be affected by the length of time for which you hold your shares.
As a shareholder, you must provide your Fund with a correct taxpayer
identification number (generally your Social Security number) and certify that
you are not subject to backup withholding. If you fail to do so, the IRS can
require your Fund to withhold 31% of your taxable distributions and redemptions.
Federal law also requires your Fund to withhold 30% or the applicable tax treaty
rate from dividends paid to certain non-resident alien, non-U.S. partnership and
non-U.S. corporation shareholder accounts.
Please see the Statement of Additional Information for your Fund for more
information on the tax consequences of your investment. You should also consult
your own tax adviser for further information.
THE TAXPAYER RELIEF ACT OF 1997:
The Taxpayer Relief Act of 1997 made certain changes to capital gains tax
rates. Under this law, certain taxpayers will pay a lower tax rate when it comes
to capital gains.
The Fund will provide information relating to the portion of any Fund
distribution that is eligible for the reduced capital gains tax rate.
58
FINANCIAL HIGHLIGHTS
The financial highlights table is intended to help you understand your
Fund's financial performance for the past 5 years (or, if shorter, the period of
the Fund's operations.) Certain information reflects financial results for a
single Fund share. The total returns in the table represent the rate that an
investor would have earned (or lost) on an investment in the indicated Fund
(assuming reinvestment of all dividends and distributions). This information has
been audited by Ernst & Young LLP, the Funds' independent auditors, whose
unqualified reports, along with the Funds' financial statements, are included in
the Statements of Additional Information, which are available upon request.
Additional information about the performance of the Funds is contained in each
Fund's annual report to shareholders, which may be obtained without charge.
Prior to February 28, 1996, the Credit Suisse Warburg Pincus Capital Funds
offered only a single class of shares. Accordingly, the data presented below
with respect to Class A shares of the Credit Suisse Warburg Pincus Capital Funds
for periods prior to such date have been obtained from the financial statements
for the Credit Suisse Warburg Pincus Capital Funds' sole class of shares
outstanding during such prior fiscal years. Also, Class R shares of the Fund are
now designated Common Class.
59
NET ASSET NET NET REALIZED TOTAL DIVIDENDS
VALUE INVESTMENT AND UNREALIZED FROM FROM NET
BEGINNING INCOME/ GAINS/(LOSSES) INVESTMENT INVESTMENT
OF PERIOD (LOSS) ON SECURITIES OPERATIONS INCOME
- ---------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS BLUE CHIP FUND
CLASS A
Year Ended October 31, 2000 ...................... $21.27 $(0.04)* $2.92 $2.88 $ --
Year Ended October 31, 1999 ...................... 16.52 (0.03)* 5.04 5.01 --
Year Ended October 31, 1998 ...................... 14.56 (0.00)*+ 2.88 2.88 (0.02)
Year Ended October 31, 1997 ...................... 12.69 0.03 3.07 3.10 (0.05)
Year Ended October 31, 1996 ...................... 11.35 0.05 2.11 2.16 (0.04)
CLASS B
Year Ended October 31, 2000 ...................... 20.75 (0.20)* 2.85 2.65 --
Year Ended October 31, 1999 ...................... 16.25 (0.17)* 4.93 4.76 --
Year Ended October 31, 1998 ...................... 14.41 (0.12)* 2.86 2.74 --
Year Ended October 31, 1997 ...................... 12.63 (0.03) 3.02 2.99 (0.03)
Year Ended October 31, 1996+ ..................... 11.88 (0.01) 0.76 0.75 --
CLASS C
Year Ended October 31, 2000++++ .................. 20.01 (0.17)* 1.95 1.78 --
CLASS D
Year Ended October 31, 2000 ...................... 21.27 0.02* 2.92 2.94 --
Year Ended October 31, 1999++ .................... 20.29 0.01* 0.97 0.98 --
COMMON CLASS
Year Ended October 31, 2000++++++ ................ 22.55 (0.02)* 0.02 -- --
- -----------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS VALUE FUND
CLASS A
Year Ended October 31, 2000 ...................... $23.49 $0.16* $0.16 $0.32 $(0.12)
Year Ended October 31, 1999 ...................... 22.60 0.12* 2.87 2.99 (0.09)
Year Ended October 31, 1998 ...................... 20.09 0.20* 3.51 3.71 (0.17)
Year Ended October 31, 1997 ...................... 17.18 0.21 4.59 4.80 (0.21)
Year Ended October 31, 1996 ...................... 14.57 0.27 2.93 3.20 (0.24)
CLASS B
Year Ended October 31, 2000 ...................... 23.37 --*+ 0.38 0.38 --
Year Ended October 31, 1999 ...................... 22.55 (0.04)* 2.88 2.84 (0.01)
Year Ended October 31, 1998 ...................... 20.06 0.04* 3.50 3.54 (0.02)
Year Ended October 31, 1997 ...................... 17.15 0.08 4.58 4.66 (0.07)
Year Ended October 31, 1996+ ..................... 16.05 0.14 1.11 1.25 (0.15)
CLASS C
Year Ended October 31, 2000++++ .................. 20.87 (0.01)* 3.50 3.49 (0.03)
CLASS D
Year Ended October 31, 2000 ...................... 23.50 0.23* 0.04 0.27 (0.18)
Year Ended October 31, 1999+++ ................... 23.73 0.10* (0.26) (0.16) (0.07)
COMMON CLASS
Year Ended October 31, 2000+++++ ................. 22.44 0.02* 2.13 2.15 (0.04)
60
DISTRIBUTIONS
FROM NET ASSET
CAPITAL TOTAL VALUE TOTAL
GAINS DISTRIBUTIONS END OF PERIOD RETURN**
- ------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS BLUE CHIP FUND
CLASS A
Year Ended October 31, 2000 ...................... $(1.61) $(1.61) $22.54 14.39%
Year Ended October 31, 1999 ...................... (0.26) (0.26) 21.27 30.77
Year Ended October 31, 1998 ...................... (0.90) (0.92) 16.52 21.00
Year Ended October 31, 1997 ...................... (1.18) (1.23) 14.56 26.48
Year Ended October 31, 1996 ...................... (0.78) (0.82) 12.69 20.32
CLASS B
Year Ended October 31, 2000 ...................... (1.61) (1.61) 21.79 13.58
Year Ended October 31, 1999 ...................... (0.26) (0.26) 20.75 29.73
Year Ended October 31, 1998 ...................... (0.90) (0.90) 16.25 20.20
Year Ended October 31, 1997 ...................... (1.18) (1.21) 14.41 25.66
Year Ended October 31, 1996+ ..................... -- -- 12.63 6.40
CLASS C
Year Ended October 31, 2000++++ .................. -- -- 21.79 8.90
CLASS D
Year Ended October 31, 2000 ...................... (1.61) (1.61) 22.60 14.69
Year Ended October 31, 1999++ .................... -- -- 21.27 4.83
COMMON CLASS
Year Ended October 31, 2000++++++ ................ -- -- 22.55 0.00
- ------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS VALUE FUND
CLASS A
Year Ended October 31, 2000 ...................... $(0.69) $(0.81) $24.62 8.44%
Year Ended October 31, 1999 ...................... (2.01) (2.10) 23.49 14.37
Year Ended October 31, 1998 ...................... (1.03) (1.20) 22.60 19.14
Year Ended October 31, 1997 ...................... (1.68) (1.89) 20.09 30.53
Year Ended October 31, 1996 ...................... (0.35) (0.59) 17.18 22.60
CLASS B
Year Ended October 31, 2000 ...................... (0.69) (0.69) 24.44 7.66
Year Ended October 31, 1999 ...................... (2.01) (2.02) 23.37 13.66
Year Ended October 31, 1998 (1.03) (1.05) 22.55 18.29
Year Ended October 31, 1997 ...................... (1.68) (1.75) 20.06 29.59
Year Ended October 31, 1996+ ..................... -- (0.15) 17.15 7.67
CLASS C
Year Ended October 31, 2000++++ .................. -- (0.03) 24.39 17.02
CLASS D
Year Ended October 31, 2000 ...................... (0.69) (0.87) 24.64 8.75
Year Ended October 31, 1999+++ ................... -- (0.07) 23.50 (0.67)
COMMON CLASS
Year Ended October 31, 2000+++++ ................. -- (0.04) 24.63 9.96
NET ASSETS RATIO OF RATIO OF NET
END OF EXPENSES INVESTMENT INCOME PORTFOLIO
PERIOD TO AVERAGE (LOSS) TO AVERAGE TURNOVER
(000 OMITTED) NET ASSETS(2) NET ASSETS(2) RATE
- -----------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS BLUE CHIP FUND
CLASS A
Year Ended October 31, 2000 ...................... $159,945 1.14% (0.19)% 26.0%
Year Ended October 31, 1999 ...................... 135,677 1.23 (0.16) 34.7
Year Ended October 31, 1998 ...................... 97,078 1.29 (0.02) 21.0
Year Ended October 31, 1997 ...................... 82,926 1.36 0.21 41.1
Year Ended October 31, 1996 ...................... 68,096 1.48 0.47 60.6
CLASS B
Year Ended October 31, 2000 ...................... 50,233 1.85 (0.91) 26.0
Year Ended October 31, 1999 ...................... 32,783 1.93 (0.86) 34.7
Year Ended October 31, 1998 ...................... 17,438 1.99 (0.72) 21.0
Year Ended October 31, 1997 ...................... 10,378 2.06 (0.51) 41.1
Year Ended October 31, 1996+ ..................... 3,177 2.17(1) (0.34)(1) 60.6
CLASS C
Year Ended October 31, 2000++++ .................. 4,412 1.32 (0.91) 26.0
CLASS D
Year Ended October 31, 2000 ...................... 23,029 0.85 0.07 26.0
Year Ended October 31, 1999++ .................... 4,839 1.17(1) 0.07(1) 34.7
COMMON CLASS
Year Ended October 31, 2000++++++ ................ 1,002 0.27 (0.11) 26.0
- ------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS VALUE FUND
CLASS A
Year Ended October 31, 2000 ...................... $162,871 1.08% 0.71% 55.4%
Year Ended October 31, 1999 ...................... 174,213 1.11 0.52 24.5
Year Ended October 31, 1998 ...................... 163,936 1.13 0.92 32.7
Year Ended October 31, 1997 ...................... 145,586 1.22 1.15 19.8
Year Ended October 31, 1996 ...................... 113,803 1.36 1.68 44.0
CLASS B
Year Ended October 31, 2000 ...................... 41,194 1.80 (0.01) 55.4
Year Ended October 31, 1999 ...................... 41,144 1.81 (0.18) 24.5
Year Ended October 31, 1998 ...................... 33,325 1.83 0.22 32.7
Year Ended October 31, 1997 ...................... 19,664 1.92 0.39 19.8
Year Ended October 31, 1996+ ..................... 6,545 1.99(1) 1.06(1) 44.0
CLASS C
Year Ended October 31, 2000++++ .................. 496 1.28 (0.03) 55.4
CLASS D
Year Ended October 31, 2000 ...................... 46,708 0.80 1.00 55.4
Year Ended October 31, 1999+++ ................... 48,152 0.97(1) 0.99(1) 24.5
COMMON CLASS
Year Ended October 31, 2000+++++ ................. 96 0.43 0.07 55.4
61
NET ASSET NET NET REALIZED TOTAL DIVIDENDS
VALUE INVESTMENT AND UNREALIZED FROM FROM NET
BEGINNING INCOME/ GAINS/(LOSSES) INVESTMENT INVESTMENT
OF PERIOD (LOSS) ON SECURITIES OPERATIONS INCOME
- ------------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS SMALL COMPANY VALUE FUND
CLASS A
Year Ended October 31, 2000 ...................... $20.52 $ 0.06* $4.05 $4.11 $(0.04)
Year Ended October 31, 1999 ...................... 19.54 0.06* 1.01 1.07 (0.07)
Year Ended October 31, 1998 ...................... 23.34 0.07* (2.55) (2.48) (0.06)
Year Ended October 31, 1997 ...................... 18.41 0.07 5.66 5.73 (0.08)
Year Ended October 31, 1996 ...................... 16.61 0.09 2.16 2.25 (0.04)
CLASS B
Year Ended October 31, 2000 ...................... 20.13 (0.09)* 3.96 3.87 --
Year Ended October 31, 1999 ...................... 19.23 (0.14)* 1.06 0.92 --
Year Ended October 31, 1998 ...................... 23.12 (0.09)* (2.55) (2.64) --
Year Ended October 31, 1997 ...................... 18.34 (0.02) 5.57 5.55 (0.05)
Year Ended October 31, 1996+ ..................... 17.41 (0.02) 0.95 0.93 --
CLASS C
Year Ended October 31, 2000++++ .................. 17.96 (0.07)* 4.05 3.98 --
COMMON CLASS
Year Ended October 31, 2000+++++ ................. 21.35 0.02* 1.25 1.27 --
- ------------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS STRATEGIC GROWTH FUND
COMMON CLASS
Year Ended October 31, 2000++++++ ................ $10.00 $(0.05)* $0.99 $0.94 $ --
CLASS A
Year Ended October 31, 2000+++++++ ............... 11.07 (0.02)* (0.12) (0.14) --
CLASS B
Year Ended October 31, 2000+++++++ ............... 11.07 (0.04)* (0.10) (0.14) --
CLASS C
Year Ended October 31, 2000+++++++ ............... 11.07 (0.04)* (0.10) (0.14) --
- ------------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS TECHNOLOGY FUND
COMMON CLASS
Year Ended October 31, 2000++++++ ................ $10.00 $(0.14)* $2.93 $2.79 $ --
CLASS A
Year Ended October 31, 2000+++++++ ............... 13.30 (0.04)* (0.47) (0.51) --
CLASS B
Year Ended October 31, 2000+++++++ ............... 13.30 (0.07)* (0.46) (0.53) --
CLASS C
Year Ended October 31, 2000+++++++ ............... 13.30 (0.06)* (0.47) (0.53) --
CLASS D
Year Ended October 31, 2000++++++++ .............. 15.79 (0.02)* (2.98) (3.00) --
62
DISTRIBUTIONS
FROM NET ASSET
CAPITAL TOTAL VALUE TOTAL
GAINS DISTRIBUTIONS END OF PERIOD RETURN**
- --------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS SMALL COMPANY VALUE FUND
CLASS A
Year Ended October 31, 2000 ...................... ($2.05) ($2.09) $22.54 21.69%
Year Ended October 31, 1999 ...................... (0.02) (0.09) 20.52 5.47
Year Ended October 31, 1998 ...................... (1.26) (1.32) 19.54 (11.20)
Year Ended October 31, 1997 ...................... (0.72) (0.80) 23.34 32.48
Year Ended October 31, 1996 ...................... (0.41) (0.45) 18.41 13.80
CLASS B
Year Ended October 31, 2000 ...................... (2.05) (2.05) 21.95 20.80
Year Ended October 31, 1999 ...................... (0.02) (0.02) 20.13 4.75
Year Ended October 31, 1998 ...................... (1.25) (1.25) 19.23 (11.98)
Year Ended October 31, 1997 ...................... (0.72) (0.77) 23.12 31.55
Year Ended October 31, 1996+ ..................... -- -- 18.34 5.28
CLASS C
Year Ended October 31, 2000++++ .................. -- -- 21.94 22.16
COMMON CLASS
Year Ended October 31, 2000+++++ ................. -- -- 22.62 5.95
- --------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS STRATEGIC GROWTH FUND
COMMON CLASS
Year Ended October 31, 2000++++++ ................ $ -- $ -- $10.94 9.40%
CLASS A
Year Ended October 31, 2000+++++++ ............... -- -- 10.93 (1.26)
CLASS B
Year Ended October 31, 2000+++++++ ............... -- -- 10.93 (1.26)
CLASS C
Year Ended October 31, 2000+++++++ ............... -- -- 10.93 (1.26)
- --------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS TECHNOLOGY FUND
COMMON CLASS
Year Ended October 31, 2000++++++ ................ $ -- $ -- $12.79 27.90%
CLASS A
Year Ended October 31, 2000+++++++ ............... -- -- 12.79 (3.83)
CLASS B
Year Ended October 31, 2000+++++++ ............... -- -- 12.77 (3.98)
CLASS C
Year Ended October 31, 2000+++++++ ............... -- -- 12.77 (3.98)
CLASS D
Year Ended October 31, 2000++++++++ .............. -- -- 12.79 (19.00)
NET ASSETS RATIO OF RATIO OF NET
END OF EXPENSES INVESTMENT INCOME PORTFOLIO
PERIOD TO AVERAGE (LOSS) TO AVERAGE TURNOVER
(000 OMITTED) NET ASSETS(2) NET ASSETS(2) RATE
- ---------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS SMALL COMPANY VALUE FUND
CLASS A
Year Ended October 31, 2000 ...................... $188,501 1.39% 0.28% 41.6%
Year Ended October 31, 1999 ...................... 188,192 1.37 0.33 29.6
Year Ended October 31, 1998 ...................... 237,873 1.29 0.30 41.5
Year Ended October 31, 1997 ...................... 283,001 1.35 0.37 21.1
Year Ended October 31, 1996 ...................... 227,716 1.47 0.48 35.1
CLASS B
Year Ended October 31, 2000 ...................... 17,255 2.10 (0.43) 41.6
Year Ended October 31, 1999 ...................... 19,257 2.07 (0.71) 29.6
Year Ended October 31, 1998 ...................... 22,284 1.99 (0.40) 41.5
Year Ended October 31, 1997 ...................... 18,395 2.05 (0.32) 21.1
Year Ended October 31, 1996+ ..................... 6,305 2.15(1) (0.34)(1) 35.1
CLASS C
Year Ended October 31, 2000++++ .................. 220 1.42 (0.33) 41.6
COMMON CLASS
Year Ended October 31, 2000+++++ ................. 105 0.34 0.09 41.6
- ----------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS STRATEGIC GROWTH FUND
COMMON CLASS
Year Ended October 31, 2000++++++ ................ $8,263 1.13% (0.43)% 21.4%
CLASS A
Year Ended October 31, 2000+++++++ ............... 100 0.30 (0.17) 21.4
CLASS B
Year Ended October 31, 2000+++++++ ............... 359 0.48 (0.34) 21.4
CLASS C
Year Ended October 31, 2000+++++++ ............... 38 0.48 (0.35) 21.4
- ----------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS TECHNOLOGY FUND
COMMON CLASS
Year Ended October 31, 2000++++++ ................ $28,726 1.31% (1.03)% 14.2%
CLASS A
Year Ended October 31, 2000+++++++ ............... 2,913 0.35 (0.29) 14.2
CLASS B
Year Ended October 31, 2000+++++++ ............... 1,277 0.53 (0.47) 14.2
CLASS C
Year Ended October 31, 2000+++++++ ............... 479 0.54 (0.48) 14.2
CLASS D
Year Ended October 31, 2000++++++++ .............. 3,292 0.18 (0.15) 14.2
63
NET ASSET NET NET REALIZED TOTAL DIVIDENDS
VALUE INVESTMENT AND UNREALIZED FROM FROM NET
BEGINNING INCOME/ GAINS/(LOSSES) INVESTMENT INVESTMENT
OF PERIOD (LOSS) ON SECURITIES OPERATIONS INCOME
- --------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS FIXED INCOME II FUND
CLASS A
Year Ended October 31, 2000 ..................... $ 9.83 $ 0.52 $ (0.02) $ 0.50 $ (0.52)
Year Ended October 31, 1999 ..................... 10.46 0.50 (0.53) (0.03) (0.50)
Year Ended October 31, 1998 ..................... 10.16 0.53 0.30 0.83 (0.53)
Year Ended October 31, 1997 ..................... 10.07 0.58 0.09 0.67 (0.58)
Year Ended October 31. 1996 ..................... 10.22 0.58 (0.15) 0.43 (0.58)
CLASS B
Year Ended October 31, 2000 ..................... 9.83 0.45 (0.02) 0.43 (0.45)
Year Ended October 31, 1999 ..................... 10.46 0.43 (0.53) (0.10) (0.43)
Year Ended October 31, 1998 ..................... 10.16 0.46 0.30 0.76 (0.46)
Year Ended October 31, 1997 ..................... 10.07 0.50 0.09 0.59 (0.50)
Year Ended October 31, 1996+ .................... 10.22 0.34 (0.15) 0.19 (0.34)
CLASS C
Year Ended October 31, 2000++++ ................. 9.69 0.25 0.12 0.37 (0.25)
CLASS D
Year Ended October 31, 2000 ..................... 9.83 0.55 (0.02) 0.53 (0.55)
Year Ended October 31, 1999+++ .................. 10.09 0.26 (0.26) -- (0.26)
COMMON CLASS
Year Ended October 31, 2000+++++ ................ 9.71 0.14 0.10 0.24 (0.14)
+ For the period February 28, 1996 (commencement of offering of Class B
shares) to October 31, 1996.
++ For the period May 13, 1999 (commencement of offering of Class D
shares) to October 31, 1999.
+++ For the period April 30, 1999 (commencement of offering of Class D
shares) to October 31, 1999.
++++ For the period February 28, 2000 (commencement of offering of Class C
shares) to October 31, 2000.
+++++ For the period August 1, 2000 (commencement of offering of Common Class
shares by all Funds except Credit Suisse Warburg Pincus Strategic
Growth Fund and Credit Suisse Warburg Pincus Technology Fund) to
October 31, 2000.
++++++ For the period November 18, 1999 (commencement of operations) to
October 31, 2000.
+++++++ For the period August 1, 2000 (the commencement of offering of Class A,
Class B and Class C shares by the Credit Suisse Warburg Pincus
Strategic Growth Fund and Credit Suisse Warburg Pincus Technology Fund)
to October 31, 2000.
++++++++ For the period September 1, 2000 (the commencement of offering of Class
D shares) to October 31, 2000.
* Based on average shares outstanding.
** Total return is calculated assuming an initial investment made at the
net asset value at the beginning of the period, reinvestments of all
dividends and distributions at net asset value during the period, and
redemption on the last day of the period. An initial sales charge or
contingent deferred sales charge is not reflected in the calculation of
total return.
64
DISTRIBUTIONS
FROM NET ASSET
CAPITAL TOTAL VALUE TOTAL
GAINS DISTRIBUTIONS END OF PERIOD RETURN**
- --------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS FIXED INCOME II FUND
CLASS A
Year Ended October 31, 2000 ..................... $ -- $ (0.52) $ 9.81 5.31%
Year Ended October 31, 1999 ..................... (0.10) (0.60) 9.83 (0.26)
Year Ended October 31, 1998 ..................... -- (0.53) 10.46 8.46
Year Ended October 31, 1997 ..................... -- (0.58) 10.16 6.84
Year Ended October 31. 1996 ..................... -- (0.58) 10.07 4.34
CLASS B
Year Ended October 31, 2000 ..................... -- (0.45) 9.81 4.57
Year Ended October 31, 1999 ..................... (0.10) (0.53) 9.83 (0.97)
Year Ended October 31, 1998 ..................... -- (0.46) 10.46 7.71
Year Ended October 31, 1997 ..................... -- (0.50) 10.16 6.10
Year Ended October 31, 1996+ .................... -- (0.34) 10.07 2.23
CLASS C
Year Ended October 31, 2000++++ ................. -- (0.25) 9.81 3.86
CLASS D
Year Ended October 31, 2000 ..................... -- (0.55) 9.81 5.62
Year Ended October 31, 1999+++ .................. -- (0.26) 9.83 0.04
COMMON CLASS
Year Ended October 31, 2000+++++ ................ -- (0.14) 9.81 2.44
NET ASSETS RATIO OF RATIO OF NET
END OF EXPENSES INVESTMENT INCOME PORTFOLIO
PERIOD TO AVERAGE (LOSS) TO AVERAGE TURNOVER
(000 OMITTED) NET ASSETS(2) NET ASSETS(2) RATE
- ---------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS FIXED INCOME II FUND
CLASS A
Year Ended October 31, 2000 ..................... $ 34,951 0.99% 5.38% 84.2%
Year Ended October 31, 1999 ..................... 43,060 1.00 4.91 84.3
Year Ended October 31, 1998 ..................... 47,834 1.00 5.24 114.0
Year Ended October 31, 1997 ..................... 54,755 1.00 5.74 119.3
Year Ended October 31. 1996 ..................... 56,388 1.00 5.72 90.2
CLASS B
Year Ended October 31, 2000 ..................... 3,256 1.70 4.67 84.2
Year Ended October 31, 1999 ..................... 4,471 1.70 4.21 84.3
Year Ended October 31, 1998 ..................... 5,849 1.70 4.50 114.0
Year Ended October 31, 1997 ..................... 3,375 1.70 4.99 119.3
Year Ended October 31, 1996+ .................... 1,629 1.70(1) 5.03(1) 90.2
CLASS C
Year Ended October 31, 2000++++ ................. 0(3) 1.70(1) 4.08(1) 84.2
CLASS D
Year Ended October 31, 2000 ..................... 95,471 0.70 5.67 84.2
Year Ended October 31, 1999+++ .................. 116,424 0.70(1) 6.30(1) 84.3
COMMON CLASS
Year Ended October 31, 2000+++++ ................ 22 0.99(1) 6.51(1) 84.2
+ Rounds to less than $0.01.
(1) Annualized
(2) See footnote (3) on page 70.
(3) Amount rounds to less than $1,000.
65
NET REALIZED
NET ASSET NET AND TOTAL DIVIDENDS
VALUE INVESTMENT UNREALIZED CONTRIBUTION FROM FROM NET
BEGINNING INCOME/ GAINS/(LOSSES) FROM INVESTMENT INVESTMENT
OF PERIOD (LOSS) ON SECURITIES SUB-ADVISER OPERATIONS INCOME
- -----------------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS MUNICIPAL TRUST FUND
CLASS A
Year Ended October 31, 2000 ................ $10.05 $0.39 $0.12 $-- $0.51 $(0.39)
Year Ended October 31, 1999 ................ 10.53 0.38 (0.48) -- (0.10) (0.38)
Year Ended October 31, 1998 ................ 10.29 0.38 0.24 -- 0.62 (0.38)
Year Ended October 31, 1997 ................ 10.01 0.45 0.28 -- 0.73 (0.45)
Year Ended October 31, 1996 ................ 10.06 0.43 (0.05) -- 0.38 (0.43)
CLASS B
Year Ended October 31, 2000 ................ 10.05 0.32 0.12 -- 0.44 (0.32)
Year Ended October 31, 1999 ................ 10.53 0.31 (0.48) -- (0.17) (0.31)
Year Ended October 31, 1998 ................ 10.29 0.32 0.24 -- 0.56 (0.32)
Year Ended October 31, 1997 ................ 10.01 0.37 0.28 -- 0.65 (0.37)
Year Ended October 31, 1996+ ............... 10.12 0.25 (0.11) -- 0.14 (0.25)
CLASS C
Year Ended October 31, 2000++++ ............ 9.88 0.19 0.17 -- 0.36 (0.19)
COMMON CLASS
Year Ended October 31, 2000+++++ ........... 10.04 0.10 0.05 -- 0.15 (0.10)
- -----------------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS INTERNATIONAL EQUITY II FUND
CLASS A
Year Ended October 31, 2000 ................ $14.00 $(0.06)* $(0.11) $-- $(0.17) $ --
Year Ended October 31, 1999 ................ 12.20 (0.06)* 2.56 -- 2.50 --
Year Ended October 31, 1998 ................ 11.42 (0.06)* 0.99 -- 0.93 (0.06)
Year Ended October 31, 1997 ................ 10.38 (0.07)* 1.11 -- 1.04 --
Year Ended October 31, 1996 ................ 9.58 (0.04)* 0.84 -- 0.80 --
CLASS B
Year Ended October 31, 2000 ................ 13.63 (0.16)* (0.12) -- (0.28) --
Year Ended October 31, 1999 ................ 11.98 (0.15)* 2.50 -- 2.35 --
Year Ended October 31, 1998 ................ 11.24 (0.15)* 0.98 -- 0.83 --
Year Ended October 31, 1997 ................ 10.29 (0.15)* 1.10 -- 0.95 --
Year Ended October 31, 1996 ................ 9.57 (0.13)* 0.85 -- 0.72 --
CLASS C
Year Ended October 31, 2000++++ ............ 13.35 (0.24)* (1.52) -- (1.76) --
CLASS D
Year Ended October 31, 2000 ................ 14.02 0.02* (0.17) -- (0.15) --
Year Ended October 31, 1999+++ ............. 12.69 (0.14)* 1.47 -- 1.33 --
COMMON CLASS
Year Ended October 31, 2000+++++ ........... 13.05 (0.11)* (0.89) -- (1.00) --
66
DISTRIBUTIONS TAX NET ASSET
FROM RETURN VALUE
CAPITAL OF TOTAL END OF TOTAL
GAINS CAPITAL DISTRIBUTIONS PERIOD RETURN(2)
- -----------------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS MUNICIPAL TRUST FUND
CLASS A
Year Ended October 31, 2000 ............ $ (0.08) $ -- $ (0.47) $ 10.09 5.20%
Year Ended October 31, 1999 ............ -- -- (0.38) 10.05 (1.02)
Year Ended October 31, 1998 ............ -- -- (0.38) 10.53 6.28
Year Ended October 31, 1997 ............ -- -- (0.45) 10.29 7.37
Year Ended October 31, 1996 ............ -- -- (0.43) 10.01 3.83
CLASS B
Year Ended October 31, 2000 ............ (0.08) -- (0.40) 10.09 4.45
Year Ended October 31, 1999 ............ -- -- (0.31) 10.05 (1.71)
Year Ended October 31, 1998 ............ -- -- (0.32) 10.53 5.54
Year Ended October 31, 1997 ............ -- -- (0.37) 10.29 6.62
Year Ended October 31, 1996+ ........... -- -- (0.25) 10.01 1.42
CLASS C
Year Ended October 31, 2000++++ ........ -- -- (0.19) 10.05 3.65
COMMON CLASS
Year Ended October 31, 2000+++++ ....... -- -- (0.10) 10.09 1.46
- -----------------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS INTERNATIONAL EQUITY II FUND
CLASS A
Year Ended October 31, 2000 ............ $ (1.78) $ -- $ (1.78) $ 12.05 (1.87)%
Year Ended October 31, 1999 ............ (0.70) -- (0.70) 14.00 21.76
Year Ended October 31, 1998 ............ (0.09) -- (0.15) 12.20 8.20
Year Ended October 31, 1997 ............ -- -- -- 11.42 10.02
Year Ended October 31, 1996 ............ -- -- -- 10.38 8.35
CLASS B
Year Ended October 31, 2000 ............ (1.78) -- (1.78) 11.57 (2.84)
Year Ended October 31, 1999 ............ (0.70) -- (0.70) 13.63 20.86
Year Ended October 31, 1998 ............ (0.09) -- (0.09) 11.98 7.43
Year Ended October 31, 1997 ............ -- -- -- 11.24 9.23
Year Ended October 31, 1996 ............ -- -- -- 10.29 7.52
CLASS C
Year Ended October 31, 2000++++ ........ -- -- -- 11.59 (13.18)
CLASS D
Year Ended October 31, 2000 ............ (1.78) -- (1.78) 12.09 (1.70)
Year Ended October 31, 1999+++ ......... -- -- -- 14.02 10.48
COMMON CLASS
Year Ended October 31, 2000+++++ ....... -- -- -- 12.05 (7.66)
RATIO OF RATIO OF
NET ASSETS EXPENSES TO NET INVESTMENT
END OF AVERAGE INCOME (LOSS) PORTFOLIO
PERIOD NET TO AVERAGE TURNOVER
(000 OMITTED) ASSETS(3) NET ASSETS(3) RATE
- -----------------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS MUNICIPAL TRUST FUND
CLASS A
Year Ended October 31, 2000 ................ $22,565 0.99% 3.92% 17.7%
Year Ended October 31, 1999 ................ 29,912 1.00 3.65 76.5
Year Ended October 31, 1998 ................ 44,306 1.00 3.78 51.5
Year Ended October 31, 1997 ................ 35,878 0.70 4.38 84.3
Year Ended October 31, 1996 ................ 38,794 0.80 4.26 79.3
CLASS B
Year Ended October 31, 2000 ................ 1,082 1.70 3.21 17.7
Year Ended October 31, 1999 ................ 1,044 1.70 2.94 76.5
Year Ended October 31, 1998 ................ 1,430 1.70 3.04 51.5
Year Ended October 31, 1997 ................ 546 1.40 3.66 84.3
Year Ended October 31, 1996+ ............... 489 1.23(1) 3.81(1) 79.3
CLASS C
Year Ended October 31, 2000++++ ............ 0(4) 1.70(1) 2.91(1) 17.7
COMMON CLASS
Year Ended October 31, 2000+++++ ........... 26 0.99(1) 4.01(1) 17.7
- -----------------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS INTERNATIONAL EQUITY II FUND
CLASS A
Year Ended October 31, 2000 ................ $52,966 2.03% (0.45)% 45.2%
Year Ended October 31, 1999 ................ 48,181 2.15 (0.44) 82.0
Year Ended October 31, 1998 ................ 44,286 2.15 (0.49) 69.7
Year Ended October 31, 1997 ................ 44,316 2.15 (0.59) 73.9
Year Ended October 31, 1996 ................ 42,170 2.15 (0.39) 94.1
CLASS B
Year Ended October 31, 2000 ................ 5,089 2.78 (1.22) 45.2
Year Ended October 31, 1999 ................ 5,527 2.90 (1.18) 82.0
Year Ended October 31, 1998 ................ 6,133 2.90 (1.24) 69.7
Year Ended October 31, 1997 ................ 6,821 2.90 (1.32) 73.9
Year Ended October 31, 1996 ................ 4,955 2.90 (1.25) 94.1
CLASS C
Year Ended October 31, 2000++++ ............ 141 2.59 (1.81) 45.2
CLASS D
Year Ended October 31, 2000 ................ 4,738 1.50 0.18 45.2
Year Ended October 31, 1999+++ ............. 1,586 1.90(1) (1.14)(1) 82.0
COMMON CLASS
Year Ended October 31, 2000+++++ ........... 138 1.63 (0.87) 45.2
67
NET REALIZED
NET ASSET NET AND TOTAL DIVIDENDS
VALUE INVESTMENT UNREALIZED CONTRIBUTION FROM FROM NET
BEGINNING INCOME/ GAINS/(LOSSES) FROM INVESTMENT INVESTMENT
OF PERIOD (LOSS) ON SECURITIES SUB-ADVISER OPERATIONS INCOME
- -----------------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS DEVELOPING MARKETS FUND
CLASS A
Year Ended October 31, 2000 .................. $9.95 $ (0.08)* $(1.28) $ -- $(1.36) $ --
Year Ended October 31, 1999 .................. 7.14 0.03* 2.58 0.23 2.84 (0.01)
Year Ended October 31, 1998 .................. 9.52 0.02* (2.40) -- (2.38) --
Year Ended October 31, 1997 .................. 9.96 (0.02)* (0.40) -- (0.42) --
Year Ended October 31, 1996 .................. 9.53 (0.01)* 0.44 -- 0.43 --
CLASS B
Year Ended October 31, 2000 .................. 9.66 (0.16)* (1.22) -- (1.38) --
Year Ended October 31, 1999 .................. 6.96 (0.03)* 2.50 0.23 2.70 --
Year Ended October 31, 1998 .................. 9.36 (0.04)* (2.36) -- (2.40) --
Year Ended October 31, 1997 .................. 9.86 (0.19)* (0.29) -- (0.48) --
Year Ended October 31, 1996 .................. 9.52 (0.08)* 0.42 -- 0.34 --
CLASS C
Year Ended October 31, 2000++++ .............. 12.35 (0.28)* (3.81) -- (4.09) --
COMMON CLASS
Year Ended October 31, 2000+++++ ............. 10.54 (0.19)* (1.76) -- (1.95) --
- -----------------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS MUNICIPAL MONEY FUND
Year Ended October 31, 2000 ................. . $1.00 $0.032 $ -- $ -- $0.032 $(0.032)
Year Ended October 31, 1999 .................. 1.00 0.023 -- -- 0.023 (0.023)
Year Ended October 31, 1998 .................. 1.00 0.027 -- -- 0.027 (0.027)
Year Ended October 31, 1997** ................ 1.00 0.020 -- -- 0.020 (0.020)
- -----------------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS U.S. GOVERNMENT MONEY FUND
Year Ended October 31, 2000 .................. $1.00 $0.053 $ -- $ -- $0.053 $(0.053)
Year Ended October 31, 1999 .................. 1.00 0.042 -- -- 0.042 (0.042)
Year Ended October 31, 1998 .................. 1.00 0.047 -- -- 0.047 (0.047)
Year Ended October 31, 1997** ................ 1.00 0.032 -- -- 0.032 (0.032)
68
DISTRIBUTIONS TAX NET ASSET
FROM RETURN VALUE
CAPITAL OF TOTAL END OF TOTAL
GAINS CAPITAL DISTRIBUTIONS PERIOD RETURN(2)
- ------------------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS DEVELOPING MARKETS FUND
CLASS A
Year Ended October 31, 2000 .................. $ -- $ -- $ -- $8.59 (13.67)%
Year Ended October 31, 1999 .................. -- (0.02) (0.03) 9.95 39.82
Year Ended October 31, 1998 .................. -- -- -- 7.14 (25.00)
Year Ended October 31, 1997 .................. (0.02) -- (0.02) 9.52 (4.18)
Year Ended October 31, 1996 .................. -- -- -- 9.96 4.51
CLASS B
Year Ended October 31, 2000 .................. -- -- -- 8.28 (14.29)
Year Ended October 31, 1999 .................. -- -- -- 9.66 38.79
Year Ended October 31, 1998 .................. -- -- -- 6.96 (25.64)
Year Ended October 31, 1997 .................. (0.02) -- (0.02) 9.36 (4.83)
Year Ended October 31, 1996 .................. -- -- -- 9.86 3.57
CLASS C
Year Ended October 31, 2000++++ .............. -- -- -- 8.26 (33.12)
COMMON CLASS
Year Ended October 31, 2000+++++ ............. -- -- -- 8.59 (18.50)
- -----------------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS MUNICIPAL MONEY FUND
Year Ended October 31, 2000 .................. $ -- $ -- $(0.032) $1.00 3.23%
Year Ended October 31, 1999 .................. -- -- (0.023) 1.00 2.37
Year Ended October 31, 1998 .................. -- -- (0.027) 1.00 2.72
Year Ended October 31, 1997** ................ -- -- (0.020) 1.00 2.90(1)
- -----------------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS U.S. GOVERNMENT MONEY FUND
Year Ended October 31, 2000 .................. $ -- $ -- $(0.053) $1.00 5.39%
Year Ended October 31, 1999 .................. -- -- (0.042) 1.00 4.26
Year Ended October 31, 1998 .................. -- -- (0.047) 1.00 4.79
Year Ended October 31, 1997** ................ -- -- (0.032) 1.00 4.68(1)
RATIO OF RATIO OF
NET ASSETS EXPENSES TO NET INVESTMENT
END OF AVERAGE INCOME (LOSS) PORTFOLIO
PERIOD NET TO AVERAGE TURNOVER
(000 OMITTED) ASSETS(3) NET ASSETS(3) RATE
- --------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS DEVELOPING MARKETS FUND
CLASS A
Year Ended October 31, 2000 .................. $13,294 2.15% (0.70)% 115.4%
Year Ended October 31, 1999 .................. 16,023 2.15 0.32 36.9
Year Ended October 31, 1998 .................. 16,355 2.15 0.22 43.6
Year Ended October 31, 1997 .................. 29,402 2.15 (0.17) 52.8
Year Ended October 31, 1996 .................. 36,918 2.15 (0.14) 26.8
CLASS B
Year Ended October 31, 2000 .................. 2,214 2.90 (1.43) 115.4
Year Ended October 31, 1999 .................. 2,685 2.90 (0.36) 36.9
Year Ended October 31, 1998 .................. 2,509 2.90 (0.50) 43.6
Year Ended October 31, 1997 .................. 4,941 2.90 (1.74) 52.8
Year Ended October 31, 1996 .................. 3,641 2.90 (0.83) 26.8
CLASS C
Year Ended October 31, 2000++++ .............. 12 1.97 (1.97) 115.4
COMMON CLASS
Year Ended October 31, 2000+++++ ............. 18 0.54 (0.54) 115.4
- --------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS MUNICIPAL MONEY FUND
Year Ended October 31, 2000 .................. $56,488 0.90% 3.17% N/A
Year Ended October 31, 1999 .................. 44,347 0.90 2.33 N/A
Year Ended October 31, 1998 .................. 57,778 0.90 2.68 N/A
Year Ended October 31, 1997** ................ 38,681 0.90(1) 2.87 N/A
- --------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS U.S. GOVERNMENT MONEY FUND
Year Ended October 31, 2000 .................. $59,926 0.90% 5.26% N/A
Year Ended October 31, 1999 .................. 59,877 0.90 4.19 N/A
Year Ended October 31, 1998 .................. 56,697 0.90 4.68 N/A
Year Ended October 31, 1997** ................ 35,174 0.90(1) 4.65(1) N/A
69
NET REALIZED
NET ASSET NET AND TOTAL DIVIDENDS
VALUE INVESTMENT UNREALIZED CONTRIBUTION FROM FROM NET
BEGINNING INCOME/ GAINS/(LOSSES) FROM INVESTMENT INVESTMENT
OF PERIOD (LOSS) ON SECURITIES SUB-ADVISER OPERATIONS INCOME
- ------------------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS HIGH INCOME FUND
CLASS A
Year Ended October 31, 2000 ............ $9.66 $0.88 $(0.86) $-- $0.02 $(0.88)
Year Ended October 31, 1999++ .......... 10.00 0.56 (0.34) -- 0.22 (0.56)
CLASS B
Year Ended October 31, 2000 ............ 9.66 0.81 (0.86) -- (0.05) (0.81)
Year Ended October 31, 1999++ .......... 10.00 0.50 (0.34) -- 0.16 (0.50)
CLASS C
Year Ended October 31, 2000++++ ........ 9.57 0.53 (0.84) -- (0.31) (0.53)
CLASS D
Year Ended October 31, 2000 ............ 9.65 0.90 (0.85) -- 0.05 (0.90)
Year Ended October 31, 1999+++ ......... 10.23 0.41 (0.58) -- (0.17) (0.41)
COMMON CLASS
Year Ended October 31, 2000+++++ ....... 9.21 0.21 (0.48) -- (0.27) (0.21)
* Based on average shares outstanding.
** Commencement of operations for the Credit Suisse Warburg Pincus
Municipal Money Fund and the Credit Suisse Warburg Pincus U.S.
Government Money Fund was February 24, 1997.
+ For the period February 28, 1996 (commencement of offering of Class B
shares) to October 31, 1996.
++ Commencement of operations for the Credit Suisse Warburg Pincus High
Income Fund was March 8, 1999.
+++ For the period May 13, 1999 (commencement of offering of Class D
shares) to October 31, 1999.
++++ For the period February 28, 2000 (commencement of offering of Class C
shares) to October 31, 2000.
+++++ For the period August 1, 2000 (commencement of offering of Common Class
shares by all Funds except Credit Suisse Warburg Pincus Strategic
Growth Fund and Credit Suisse Warburg Pincus Technology Fund) to
October 31, 2000.
(1) Annualized
(2) Total return is calculated assuming an initial investment made at the
net asset value at the beginning of the period, reinvestment of all
dividends and distributions at net asset value during the period, and
redemption on the last day of the period. An initial sales charge or
contingent deferred sales charge is not reflected in the calculation of
total return. Total return calculated for a period of less than one
year is not annualized except for the Money Funds. Total return for the
year end October 31, 1999 excluding the effect of the contribution from
the former sub-adviser for realized and unrealized securities losses
was 36.59% and 35.49% for the Credit Suisse Warburg Pincus Developing
Markets Fund Class A and B shares, respectively.
(3) Net of voluntary assumption by the investment adviser of expenses,
expressed as a percentage of average net assets, as follows: Credit
Suisse Warburg Pincus Strategic Growth Fund Common Class shares, 1.87%
(annualized) for the period 11/19/99 through 10/31/00, Credit Suisse
Warburg Pincus Strategic Growth Fund Class A, B and C shares, 1.87%,
1.87% and 1.87% (annualized), respectively for the period 8/1/00
through 10/31/00; Credit Suisse Warburg Pincus Technology Fund Common
Class shares, .83% (annualized) for the period 11/19/99 through
10/31/00, Credit Suisse Warburg Pincus Technology Fund Class A, B and C
shares, .83%, .83% and .83% (annualized), respectively for the period
8/1/00 through 10/31/00, Credit Suisse Warburg Pincus Technology Fund
Class D shares, .83% (annualized) for the period 9/1/00 through
10/31/00; Credit Suisse Warburg Pincus Fixed Income II Fund Class A
shares, .13%, .14%, .30%, .30%, and .34%, for the years ended 10/31/00,
99, 98, 97, and 96 respectively; Credit Suisse Warburg Pincus Fixed
Income II
70
DISTRIBUTIONS TAX NET ASSET
FROM RETURN VALUE
CAPITAL OF TOTAL END OF TOTAL
GAINS CAPITAL DISTRIBUTIONS PERIOD RETURN(2)
- ------------------------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS HIGH INCOME FUND
CLASS A
Year Ended October 31, 2000 ............ $(0.07) $-- $(0.95) $8.73 (0.06)%
Year Ended October 31, 1999++ .......... -- -- (0.56) 9.66 2.19
CLASS B
Year Ended October 31, 2000 ............ (0.07) -- (0.88) 8.73 (0.81)
Year Ended October 31, 1999++ .......... -- -- (0.50) 9.66 1.60
CLASS C
Year Ended October 31, 2000++++ ........ -- -- (0.53) 8.73 (3.31)
CLASS D
Year Ended October 31, 2000 ............ (0.07) -- (0.97) 8.73 0.29
Year Ended October 31, 1999+++ ......... -- -- (0.41) 9.65 (1.63)
COMMON CLASS
Year Ended October 31, 2000+++++ ....... -- -- (0.21) 8.73 (2.98)
RATIO OF RATIO OF
NET ASSETS EXPENSES TO NET INVESTMENT
END OF AVERAGE INCOME (LOSS) PORTFOLIO
PERIOD NET TO AVERAGE TURNOVER
(000 OMITTED) ASSETS(3) NET ASSETS(3) RATE
- ----------------------------------------------------------------------------------------------------------------------
CREDIT SUISSE WARBURG PINCUS HIGH INCOME FUND
CLASS A
Year Ended October 31, 2000 ............ $10,709 1.10% 9.35% 43.9%
Year Ended October 31, 1999++ .......... 10,488 1.10(1) 8.61(1) 188.4
CLASS B
Year Ended October 31, 2000 ............ 1,313 1.85 8.60 43.9
Year Ended October 31, 1999++ .......... 1,447 1.85(1) 7.83(1) 188.4
CLASS C
Year Ended October 31, 2000++++ ........ 78 1.85(1) 7.57(1) 43.9
CLASS D
Year Ended October 31, 2000 ............ 1,504 0.85 9.62 43.9
Year Ended October 31, 1999+++ ......... 926 0.85(1) 9.36(1) 188.4
COMMON CLASS
Year Ended October 31, 2000+++++ ....... 141 1.10(1) 9.14(1) 43.9
Fund Class B shares, .13%, .14%, .30%, and .30% for the years ended
10/31/00, 99, 98 and 97, and .34% (annualized) for the period 2/28/96
through 10/31/96; Fixed Income Class C shares, .13% (annualized) for
the period 2/28/00 through 10/31/00; Fixed Income Class D shares, .13%
for the year ended 10/31/00, and .14% (annualized) for the period
4/30/99 through 10/31/99; Fixed Income Common Class shares, .13%
(annualized) for the period 8/1/00 through 10/31/00; Credit Suisse
Warburg Pincus Municipal Trust Fund Class A shares, .53%, .42%, .41%,
.74%, and .64% for the years ended 10/31/00, 99, 98, 97, and 96,
respectively; Credit Suisse Warburg Pincus Municipal Trust Fund Class B
shares, .53%, .42%, .41% and .74% for the years ended 10/31/00, 99, 98
and 97, and .64% (annualized) for the period 2/28/96 through 10/31/96;
Credit Suisse Warburg Pincus Municipal Trust Fund Class C shares, .53%
(annualized) for the period 2/28/00 through 10/31/00; Credit Suisse
Warburg Pincus Municipal Trust Fund Common Class shares, .53%
(annualized) for the period 8/1/00 through 10/31/00; Credit Suisse
Warburg Pincus Developing Markets Fund Class A and Class B shares,
.72%, .76%, .61%, .34%, and .54% for the years ended 10/31/00, 99, 98,
97, and 96, respectively; Credit Suisse Warburg Pincus Developing
Markets Fund Class C shares, .72% (annualized) for the period 2/28/00
through 10/31/00; Credit Suisse Warburg Pincus Developing Markets Fund
Common Class shares, .72% (annualized) for the period 8/1/00 through
10/31/00; Credit Suisse Warburg Pincus International Equity II Fund
Class A and Class B shares, .04%, .10%, .18%, and .27% for the years
ended 10/31/99, 98, 97, and 96, respectively; Credit Suisse Warburg
Pincus International Equity II Fund Class D shares, 04% (annualized)
for the period 5/13/99 through 10/31/99; Credit Suisse Warburg Pincus
Municipal Money Fund, .09%, .14%, .15% and .40% (annualized) for the
years ended 10/31/00, 99, 98 and 97, respectively; Credit Suisse
Warburg Pincus U.S. Government Money Fund, .09% .19%, .25% and .45%
(annualized) for the years ended 10/31/00, 99, 98, and 97,
respectively; Credit Suisse Warburg Pincus High Income Fund Class A and
Class B shares, 1.53%, for the year ended 10/31/00 and 1.43%
(annualized) for the period 3/8/99 through 10/31/99; Credit Suisse
Warburg Pincus High Income Fund Class C shares, 1.53% (annualized) for
the period 2/28/00 through 10/31/00; Credit Suisse Warburg Pincus High
Income Fund Class D shares, 1.53% for the year ended 10/31/00 and 1.43%
(annualized) for the period 5/13/99 through 10/31/99; and Credit Suisse
Warburg Pincus High Income Fund Common Class shares, 1.53% (annualized)
for the period 8/1/00 through 10/31/00.
(4) Amount rounds to less than $1,000.
71
FOR MORE INFORMATION
More information about these Funds is available free upon request,
including the following:
ANNUAL/SEMIANNUAL REPORTS TO SHAREHOLDERS
Includes financial statements, portfolio investments and detailed
performance information.
The ANNUAL REPORT also contains a letter from the Funds' President
discussing market conditions and investment strategies that significantly
affected fund performance during the past fiscal year.
OTHER INFORMATION
A current STATEMENT OF ADDITIONAL INFORMATION (SAI) which provides more
details about the Funds is on file with the Securities and Exchange Commission
(SEC) and is incorporated by reference.
You may visit the SEC's Internet website (www.sec.gov) to view the SAI,
material incorporated by reference and other information. You can also obtain
copies by visiting the SEC's Public Reference Room in Washington, DC (phone
202-942-8090) or by sending your request and a duplicating fee to the SEC's
Public Reference Section, Washington, DC 20549-6009 or electronically at
publicinfo@sec.gov.
Shareholders may obtain any of these documents free of charge and may
obtain other information about the Funds by visiting the Funds' website
(www.warburg.com).
Further information about the Funds may be obtained by calling 800-225-8011
or by writing:
Credit Suisse Warburg Pincus Funds
PFPC, Inc.
P.O. Box 61503
King of Prussia, PA 19406-0903
SEC FILE NUMBERS:
Credit Suisse Warburg Pincus Capital Funds 811-04604
Credit Suisse Warburg Pincus Blue Chip Fund
Credit Suisse Warburg Pincus Value Fund
Credit Suisse Warburg Pincus Small Company Value Fund
Credit Suisse Warburg Pincus Fixed Income II Fund
Credit Suisse Warburg Pincus Municipal Trust Fund
Credit Suisse Warburg Pincus Opportunity Funds 811-9054
Credit Suisse Warburg Pincus Developing Markets Fund
Credit Suisse Warburg Pincus International Equity II Fund
Credit Suisse Warburg Pincus High Income Fund
Credit Suisse Warburg Pincus Municipal Money Fund
Credit Suisse Warburg Pincus U.S. Government Money Fund
Credit Suisse Warburg Pincus Select Funds 811-09531
Credit Suisse Warburg Pincus Strategic Growth Fund
Credit Suisse Warburg Pincus Technology Fund
WARBURG PINCUS FUNDS
PART OF CREDIT SUISSE ASSET MANAGEMENT
P.O. BOX 9030, BOSTON, MA 02205-9030
800-WARBURG (800-927-2874) - www.warburg.com
CREDIT SUISSE ASSET MANAGEMENT SECURITIES, INC., DISTRIBUTOR. CSWPF-1-0201