RBC Funds Inc. announced today that it has received unitholder approval to make changes to a number of funds in the Royal Mutual Funds no-load family of funds.

The Royal Japanese Stock Fund will be merged into Royal Asian Growth Fund. The Royal Asian Growth Fund’s investment objective will also change to permit the fund to invest in equity securities of companies located or having a principal business interest in the Pacific Rim, including Japan. The fund’s name will change to Royal Asian Equity Fund with the renewal of the fund’s prospectus in July 2002.

The Royal Global Technology Sector Fund will be merged into Royal e-Commerce Fund. The Royal e-Commerce Fund adopted the investment objectives of the Royal Global Technology Sector Fund and the fund’s name will revert back to the Royal Global Technology Sector Fund with the renewal of the fund’s prospectus in July 2002.

The Royal Premium Canadian Index Fund will be merged into Royal Canadian Index Fund. The investment objective of the continuing fund remains the same.

The Royal Premium U.S. Index Fund will be merged into Royal U.S. Index Fund. The investment objective of the continuing fund remains the same.

The Royal Canadian Small Cap Fund will be merged into Royal Canadian Growth Fund. The investment objective of the continuing fund remains the same.

The investment objective of Royal Mortgage Fund was changed to provide the fund greater flexibility for its underlying investment selection. This change will allow the portfolio manager to maintain a similar level of current income and volatility within the fund but increase the level of liquidity and diversification of the fund’s holdings. Overall, the fund will remain a conservatively managed short-term fixed income fund. As such, concurrent to the prospectus renewal, the fund will be renamed the Royal Canadian Short-Term Income Fund.

The changes are scheduled to take place after the close of business of June 28.