Fremont Mutual Funds, Inc.

                        Supplement dated January 16, 2001
                                     to the
                       Prospectus dated February 10, 2000

FREMONT U.S. MICRO-CAP FUND:
On January 16, 2001,  the Fremont U.S.  Micro-Cap  Fund was re-opened to all new
investors.

FREMONT EMERGING MARKETS FUND:
On November 21, 2000,  BDT  Investment  Management  Limited (BDT Invest)  became
sub-advisor to the Fremont Emerging Markets Fund.

Henry Thornton, co-founder and CEO of BDT Invest, has managed the Fund since its
inception in June 1996.  He has over 15 years of  experience  investing in Asian
and Emerging Market securities.

Prior to  co-founding  BDT Invest in June 2000,  Mr.  Thornton was employed as a
portfolio  manager by the Fund's  previous  sub-advisor,  CMG First  State (Hong
Kong) LLC. As a result of a series of corporate  acquisitions,  three  different
firms: CMG First State (Hong Kong) LLC (1999-2000);  Nicholas-Applegate  Capital
Management  (Hong Kong)  (1997-1999);  and Credit Lyonnais  INTERNATIONAL  ASSET
MANAGEMENT (HK) LIMITED (1996-1997) have served as sub-advisor to the Fund since
its inception in 1996. Mr. Thornton was an employee of each  sub-advisor and was
responsible for management of the Fund.

FREMONT GLOBAL FUND:
On September 5, 2000,  William Powers,  Managing  Director,  assumed  management
responsibilities  for the  portfolio  of the  Fremont  Global  Fund  managed  by
Sub-Advisor,  Pacific  Investment  Management  Company (PIMCO).  Mr. Powers is a
senior member of PIMCO's portfolio management and investment strategy groups and
has been employed by PIMCO for over 10 years.