THE LAZARD FUNDS, INC.

                   Supplement to Prospectus dated May 1, 2001



The following supplements the information in the "Principal Portfolio Managers"
section:

Herbert W. Gullquist and Patrick M. Mullin are the principal persons who are
primarily responsible for the day-to-day management of the assets of Small Cap
Portfolio.


The following replaces information on the redemption fee under "How to Sell
Shares-General" and "How to Sell Shares-Redemption Fee":

          Each Portfolio will impose a redemption fee equal to 1.00% of the net
          asset value of Fund shares acquired by purchase or exchange on or
          after April 21, 2002 and redeemed or exchanged within 30 days after
          such shares were acquired. This fee will be calculated based on the
          shares' net asset value at redemption and deducted from the redemption
          proceeds. The fee will be retained by the Portfolio and used primarily
          to offset the transaction costs that short-term trading imposes on the
          Portfolio and its remaining shareholders. The redemption fee will not
          apply to shares acquired through the reinvestment of dividends or
          distributions. For purposes of calculating the 30-day holding period,
          the Fund will first redeem shares acquired through the reinvestment of
          dividends or distributions and then will employ the "first in, first
          out" method, which assumes that the shares redeemed or exchanged are
          the ones held the longest. In addition, no redemption fee will be
          charged on the redemption or exchange of shares purchased through
          certain omnibus account and other service arrangements established by
          certain brokers and other financial intermediaries and approved by
          Lazard. The redemption fee may be waived, modified or terminated at
          any time, or from time to time.


March 13, 2002




                             THE LAZARD FUNDS, INC.

       Supplement to Statement of Additional Information dated May 1, 2001



The following replaces the information under the headings "How to Buy and How to
Sell Shares--Authorized Brokers, Redemption Fee":

               SERVICE AGENTS. The Fund has authorized one or more brokers and
          other financial intermediaries ("Service Agents") to accept on its
          behalf purchase and redemption orders. Service Agents are authorized
          to designate other intermediaries to accept purchase and redemption
          orders on the Fund's behalf. The Fund will be deemed to have received
          a purchase or redemption order when a Service Agent or, if applicable,
          a Service Agent's authorized designee, accepts the order. Customer
          orders will be priced at the respective Portfolio's net asset value
          next computed after such orders are accepted by a Service Agent or its
          authorized designee. Service Agents may charge their clients fees
          which would not apply to shares purchased through Lazard.

               REDEMPTION FEE. Each Portfolio will impose a redemption fee equal
          to 1.00% of the net asset value of Fund shares acquired by purchase or
          exchange on or after April 21, 2002 and redeemed or exchanged within
          30 days after such shares were acquired. This fee will be calculated
          based on the shares' net asset value at redemption and deducted from
          the redemption proceeds. The fee will be retained by the Portfolio and
          used primarily to offset the transaction costs that short-term trading
          imposes on the Portfolio and its remaining shareholders. The
          redemption fee will not apply to shares acquired through the
          reinvestment of dividends or distributions. For purposes of
          calculating the 30-day holding period, the Fund will first redeem
          shares acquired through the reinvestment of dividends or distributions
          and then will employ the "first in, first out" method, which assumes
          that the shares redeemed or exchanged are the ones held the longest.
          In addition, no redemption fee will be charged on the redemption or
          exchange of shares purchased through certain omnibus account and other
          service arrangements established by Service Agents and approved by
          Lazard. The redemption fee may be waived, modified or terminated at
          any time, or from time to time.


March 13, 2002