August 12, 2002

Vantagepoint Replaces Subadvisers on Two Funds

Aug. 9, 2002 -- ICMA Retirement Corp. (ICMA-RC) said it made subadviser changes on two funds, its flagship $2.2-billion Vantagepoint Growth Fund (VPGRX) and its $726-million Vantagepoint Aggressive Opportunities Fund (VPAOX).

On the Growth fund, Peregrine Capital Management replaced TCW Investment Management Co., which managed 25% of the fund's assets. In addition, the fund terminated Atlanta Capital Management Co. as subadviser and reallocated their assets to the fund's two other existing subadvisers, Brown Capital Management and Tukman Capital Management.

The Growth fund also reduced its index portfolio component, managed by Barclay's Global Investors, to 5% from 20%. The assets were moved to Brown Capital Management and Tukman Capital Management.

ICMA-RC said the change was made "to increase the possibility of the fund's potential for competitive returns from active management."

The company said Peregrine's style is the same as TCW's: a concentrated portfolio of larger growth companies. Based in Minneapolis, Peregrine manages $10.7-billion, primarily in pension fund assets. The fund's allocation is now:

SUBADVISER (investment style)ALLOCATION %

Fidelity Management (small to mid-cap themes) 25.0

Peregrine Capital Management (concentrated growth) 25.0

Brown Capital Management (mid/large-cap GARP)22.5

Tukman Capital Management (large-cap contrarian growth) 22.5

Barclay's Global Investors (Index) 5.0

On the Aggressive Opportunities fund, TCW Investment Management Co. and MFS Institutional Advisors have been replaced as subadvisers by Wellington Management Co. and Southeastern Asset Management.

Based in Boston, Wellington pursues small-cap growth stocks worldwide, while Memphis-based Southeastern focuses on stocks around the world trading significantly below their value. Both have been selected to "increase the fund's return potential from higher risk growth opportunities around the world," ICMA-RC said.

The fund's other subadviser, Roxbury Capital Management, remains. The Aggressive Opportunities fund's allocation is:

SUBADVISER (investment style)ALLOCATION %

Roxbury Capital Management (quality growth companies) 33.3

Southeastern Asset Management (worldwide special situations) 33.3

Wellington Management Company (smaller-cap growth, worldwide) 33.3

For the 12-month period ended July 31, the Growth fund dropped 22.9%, while the average large-cap growth portfolio sank 28.8% over that period.

For the 12-month period ended July 31, the Aggressive Opportunities fund plunged 38.8%, while the average small-cap growth portfolio fell 29.1% over that period.

Vantagepoint funds are managed by Vantagepoint Investment Advisors (VIA), a wholly owned subsidiary of ICMA-RC.

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