Third Quarter S&P 500 Sector Performance

Chart of the Week for October 15-21, 2004

Energy led the third quarter 2004 performance of the S&P 500 sectors. The booming cost of oil impacts many areas of the energy sector and is helping drive the energy market to be the strongest performer both for the quarter and year-to-date. Cyclical sectors such as consumer discretionary, materials and industrials were mixed despite the continued strength of the economy. Cyclical stocks have historically performed well during good economic times and suffered during downturns. Telecommunications has improved over the course of the year after being the lowest performer in 2003. The S&P 500 follows the stocks of 500 of the largest U.S. companies in the leading industries.

* This illustration was compiled by information provided by Baseline, which is a leading provider of information products and services to the investment community, with primary emphasis on the institutional equity market. Baseline is not affiliated with the ICMA-RC (“ ICMA-RC ”). The S&P 500 is market value-weighted index showing the change in the aggregate market of 500 stocks relative its base period and is a widely recognized, unmanaged index of common stock prices. You cannot invest directly in these indices; therefore, their performance does not reflect the expenses associated with the active management of a portfolio of open-ended investment company shares. The information and analysis contained herein is presumed to be accurate and is provided "as is," without warranty of any kind, either expressed or implied. This information is being provided for educational purposes and is not intended to be construed as or relied upon as investment advice. Individuals are advised to consider any new investment strategies carefully prior to implementing. Past performance does not guarantee future results. Investment returns and principal value will fluctuate, so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data illustrated. For performance data current to the most recent month end, contact ICMA-RC Services, LLC by calling 1-800-669-7400 or by writing to 777 North Capitol Street, NE, Washington, DC 20002-4240, or by visiting www.icmarc.org. Please consult both the current Vantagepoint Funds prospectus and MAKING SOUND INVESTMENT DECISIONS: A Retirement Investment Guide carefully for a complete summary of all fees, expenses, charges, financial highlights and investment objectives, risks and performance information prior to investing any money. Vantagepoint securities are distributed by ICMA-RC Services LLC, a broker dealer affiliate of ICMA-RC, member NASD/SIPC. For a current prospectus, contact ICMA-RC Services LLC, 777 North Capitol Street NE, Washington, DC 20002-4240. 1-800-669-7400.