SUNAMERICA INCOME FUNDS

Supplement to the Prospectus dated February 28, 2001

	On August 23, 2001, the Board of Trustees of SunAmerica
Income Funds approved certain changes to the High Income,
Diversified Income and Tax Exempt Insured Funds (the "Funds").
The changes are intended to permit the Funds to utilize the
resources of American General Investment Management, L.P. (the
"Subadviser"), a recently acquired affiliate of SunAmerica Asset
Management Corp. ("SAAMCo"), the Funds' investment adviser.
These changes were approved in connection with the
reorganization of North American Funds into SunAmerica Funds and
are anticipated to enable the Subadviser to manage the Funds in
a manner similar to that used for the corresponding North
American Funds. Subject to the completion of the reorganization,
the following changes will take effect on or about November 9,
2001:

* American General Investment Management, L.P. will serve as
Subadviser to the Funds pursuant to a subadvisory agreement
with SAAMCo, which will continue to serve as the investment
adviser.

* The investment objective of each of the High Income Fund and
Diversified Income Fund will be changed to an objective that
is more similar to the objective of the North American Fund
with which it will be reorganized. Currently, the investment
objective of the High Income Fund is "maximum current
income," and the investment objective of the Diversified
Income Fund is a 'high level of current income consistent
with moderate investment risk, with preservation of capital
as a secondary objective."  The investment objective of each
of these Funds will be changed to a "high level of total
return." Upon the changes in investment objective the Funds
names will also be changed. The High Income Fund will change
its name to the "High Yield Bond Fund" and the Diversified
Income Fund will change its name to the "Strategic Income
Fund."

*  The fundamental investment policy regarding borrowing has
	changed. The change in investment restrictions will increase
	the SunAmerica Diversified Income and SunAmerica High Income
	Funds' ability to borrow for temporary and emergency purposes
	from 5% of total assets to 33-1/3% of total net assets. This
	change will provide the investment adviser with greater
	investment flexibility in managing the portfolio for each of
	the Funds, and will make the policy consistent with the
	policy of the corresponding North American Funds.

* With respect to the SunAmerica U.S. Government Securities
Fund, the Board of Trustees of SunAmerica Income Funds
approved a reduction in the management fee. The fee will be
calculated at the annual rate of 0.65% on the first $200
million of the average daily net assets, 0.62% on the next
$200 million of such assets, and 0.55% of the average daily
net assets in excess of $400 million. In addition, the Board
of Trustees agreed to reduce the limits on the U.S.
Government Securities Funds net annual operating expenses for
Class A, B and II shares of the Fund to 1.32%, 2.00% and
2.05% respectively, of daily net assets. SAAMCo will waive
fees and reimburse expenses should the total annual fund
operating expenses be higher than these limits. The expense
reimbursements will continue indefinitely, subject to
termination by the Board, including a majority of the
Independent Trustees.

* The Board has agreed with SAAMCo to terminate the existing
contractual fee waivers and reimbursement arrangements that
apply to Class II shares of the GNMA, Diversified Income, and
Tax Exempt Funds. The contractual net expense ratios
applicable to the U.S. Government Securities Fund are
described above.  The Adviser plans to continue voluntarily
waiving expenses of the GNMA Fund as described in the
prospectus.




September 17, 2001