Give and Take

Chart of the Week for October 10-16, 2003

For much of the past two years large growth and large value stocks have traded in a tight range with neither substantially outperforming the other. For the twelve months ended September 2003 large value stocks performed better than their large growth counterparts. Prior to 2002, during the raging bull and crippling bear markets, large growth and value stocks diverged in performance by as much as forty percent. Currently twelve month returns for growth stocks (+22.4%) trail the returns of value stocks (+26.6%) by four percent. This convergence of returns shows that both styles of stocks are benefiting from the present recovery.

* This illustration was compiled by information provided by Ibbotson Associates, an organization, which is not affiliated with the ICMA-RC). This information is provided for educational purposes only and is not intended to be construed as or relied upon as investment advice. It does not have regard to the specific investment objectives, financial situation and the particular needs of any specific person. Individuals should seek financial advice regarding the appropriateness of any new investment strategy. S&P 500 is an Index of 500 Stocks, a widely recognized, unmanaged index of common stock prices. S&P/BARRA Value Index consists of market capitalization-weighted index of the stocks in the Standard & Poor’s 500 Index having the highest book to price ratios. S&P/BARRA Growth Index consists of market capitalization-weighted index of the stocks in the Standard & Poor’s 500 Index having the lowest book to price ratios. You cannot directly invest in these indices. The indices performance illustrated here do not reflect the expenses associated with the active management of a portfolio of open-ended investment company shares. Performance is historical and past performance is not indicative of future performance. Vantagepoint securities are distributed by ICMA-RC Services LLC, a broker dealer affiliate of ICMA-RC, member NASD/SIPC. ICMA-RC Services LLC, 777 North Capitol Street NE, Washington, DC 20002-4240. 1-800-669-7400.