Federated Kaufmann Small Cap Fund seeks capital appreciation over time
from small companies that operate in what appear to be profitable niche
markets. This is not an offer to buy or sell securities. Demmler 's 25 years of investment experience have spanned roles
in proprietary trading, traditional asset management and hedge funds
management.

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Government Bond Fund invests in longer-term U. Treasury securities with maturities of greater than 10
years. Information about these and other important subjects is in the fund's
prospectus, which you should read carefully before investing. Landes held several senior positions with Putnam, including
head of global investment research, chief investment officer and
portfolio manager of global asset allocation and currency, and chief
investment officer and portfolio manager of domestic fixed income. Demmler headed the mutual fund business for Bankers Trust ,
and has extensive sell-side fixed income trading and sales experience.oldmutual.

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"The entrance of institutions as major
investors in hedge funds has brought with it an increasing requirement
for greater investment process and holdings transparency on behalf of
managers, as well as institutional -caliber risk management and trading
platforms. Prior to establishing 2001 Capital, Mr.

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(3) For more information, visit
http://FederatedInvestors."
The founders of 2100 Capital, who previously worked together at
Putnam Investments, have extensive experience in all aspects of
traditional and hedge fund asset management, including portfolio
management, asset allocation, risk management, and marketing and
client service. Landes was
involved in the start-up and incubation of Putnam's hedge fund program
beginning in 2000, and was responsible with Mr. He
served with Putnam for 19 of his 24 years in the asset management
industry. At Putnam, Mr. The other will be a
fund of hedge funds investing in 30 to 35 independent hedge fund
managers and providing exposure to all major hedge fund investment
strategies.com.

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Utsch, Aash M. 31, 2005.
Mr.

About Old Mutual Asset Management

The member firms of Old Mutual Asset Management provide
high-quality, actively managed investment products in all major asset
classes and investment styles, with each firm focusing on its own
specialized area of expertise.

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Auriana, Hans P.

Federated Investors, Inc.

1 Duration is a measure of a security's price sensitivity to changes in
interest rates.

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He served as a key contributor to Putnam's alternative
investment business beginning in 1999, after managing Putnam 's
institutional product management group since 1996.

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The fund was selected from 438 small-cap
growth funds.S.6
billion as of December 31, 2004.

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31, 2005.
Although Lipper makes reasonable efforts to ensure the accuracy and
reliability of the data contained herein, the accuracy is not guaranteed by
Lipper.

Visit http://FederatedInvestors. Demmler beginning in
2003 for developing the overall hedge fund business strategy for
Putnam and parent Marsh + McLennan Companies. Gorman was associate
director of global equity research, associate director of quantitative
research , and co-head of global asset allocation, in which role he was
responsible for portfolio management as well as research. One will be a set of
proprietary multi-strategy funds, for which the underlying funds will
be managed either by 2100 Capital managers or by investment teams of
other Old Mutual Asset Management member firms.

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Shah, CFA, and John Ettinger,
CFA, who collectively bring more than 100 years of investment experience to
shareholders.(2) With nearly $78
million in assets, the fund is managed by Liam O'Connell and Donald T.
The Lipper award selection process began with Lipper calculating a
Consistent Return score for each fund for the three-year time period as of
December 31.

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Federated Kaufmann Small Cap Fund and Federated U.S. Government Bond Fund Earn Lipper Fund Awards

"Our investment management strategy is focused on providing investors
high-quality products with consistent returns," said John B. The fund is managed
by Lawrence E. The fund was selected from 143 U. You should consider the
fund's investment objectives, risks, charges and expenses carefully before you
invest.com

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Lipper, a leading global provider of
mutual fund research and analysis, based the awards on the calculation of
Consistent Return for the three-year period ending Dec. "We
appreciate Lipper's recognition of the skill and talent of our analysts and
portfolio managers with these awards.
Awards were presented March 21, 2006 in New York City, following an
afternoon of conference sessions with winning fund managers.
Small company stocks may be less liquid and subject to greater price
volatility than large company stocks.

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31, 2005. We expect the contributions of the 2100 Capital team to
benefit both our member firms and the clients they serve as this
market develops. Prior to joining
Putnam, Mr. Mr. The proprietary and non-proprietary funds will also be
differentiated by their having different expected-return/volatility
characteristics .

This category covers investment services that cater to businesses including asset and investment management , 401(K) and pension plan management, capital raising and financing services, and financial advisory services.

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Federated U. Users acknowledge that they have not relied upon any warranty,
condition , guarantee or representation made by Lipper. The group managed in aggregate $184. More information on Old Mutual is available at
www.

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Fisher, president
and chief executive officer, Federated Investment Advisory Companies.S.S. This index is produced by Merrill Lynch, Pierce, Fenner + Smith,
Inc ., Distributor

Gorman's 14-year investment career has focused on asset
allocation, quantitative and fundamental research, risk management,
and portfolio construction.

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(NYSE: FII), one of the nation's largest investment managers, announced today
that two of its family of mutual funds received Lipper Fund Awards recognizing
their category-leading performance. Government fund classification for three-year risk
adjusted performance as of Dec. 31, 2005. is one of the largest investment managers in the
United States, managing $213.
2 Merrill Lynch 10+ Year Treasury Index is an unmanaged index which
includes U. Based on assets under management in
open-end funds.

Old Mutual Asset Management Establishes 2100 Capital

Business Editors

BOSTON----

New Diversified Alternative Investments Company Will Provide Fund
of Hedge Funds and Range of Multi-Strategy and Single Strategy Hedge
Funds

Old Mutual Asset Management, the U. "By launching the firm within Old
Mutual Asset Management, we achieve several of our key objectives:
partnership with a range of asset managers with existing hedge fund
offerings and expertise in all asset classes and investment styles,
affiliation with a strong financial parent, access to capital for
additional investment in our businesses, and operating support from a
partner who understands the needs of an entrepreneurial enterprise.oldmutualus.

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The $832 million fund uses a bottomup approach to portfolio
management with an emphasis on individual stock selection. Government Bond Fund (FEDBX) received the Lipper Fund Award
in the general U. Prior to his hedge fund
role, Mr.

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"
Federated Kaufmann Small Cap Fund (FKASX) received the Lipper Fund Award
in the small-cap growth fund classification for three-year risk adjusted
performance as of Dec. Federated
ranks in the top two percent of money market fund managers in the industry,
the top six percent of fixed-income fund managers and the top seven percent of
equity fund managers. The top-scoring Consistent Return fund within each
classification received the award.S. Landes.

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Past performance is no guarantee of future results. Consistent Return is a quantitative metric that incorporates two
characteristics: risk-adjusted return and the strength of the fund's
performance trend. The
company's product offerings will draw from strategies offered by other
Old Mutual Asset Management member firms, from 2100 Capital's in-house
investment teams , as well as from external managers not affiliated
with Old Mutual. More information on member firms , and
their investment teams and strategies, is available from the group's
Web site at www. The group's parent is Old Mutual plc,
an international financial services company based in London, with
operations in asset management, life assurance, banking and general
insurance.

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S. A diversified alternative
investments company, 2100 Capital will serve both the institutional
and retail marketplace , and provide a range of investments including a
fund of hedge funds, multi-strategy proprietary hedge fund portfolios,
a variety of single strategy hedge funds, a hedge fund seeding
capability, and in the longer term, private equity capabilities. In combination with the increased institutional acceptance
of hedge funds, the growing scope and complexity of the alternative
investments market calls for a specialist team dedicated to
understanding the unique needs of investors in this area."
Mr.

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Federated U.S.
Government funds.4 billion in assets as of Dec.com or
contact your investment professional for prospectuses.

Federated Securities Corp.
"The 2100 Capital platform has been developed through a long
process of studying the market to envision the ideal structure of a
diversified alternative investments company, from the point of view of
the investor," said Mr. In addition, 2100 Capital will make available its
state-of-the-art risk and trading platforms to other Old Mutual Asset
Management member firms wishing to outsource certain functions in
hedge fund management, as well as advising and providing assistance as
needed in product development, marketing , distribution and other areas
relating to the hedge fund and alternative investments market.

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With 136
mutual funds and various separately managed accounts, Federated provides
comprehensive investment management worldwide to 5,500 institutions and
intermediaries including corporations, government entities, insurance
companies, foundations and endowments, banks and broker/dealers.com.

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S.com for more fund information, including
updated monthly composition and performance.
For more complete information, visit http://FederatedInvestors. asset management group of
Old Mutual plc (LSE: OML ), today announced the establishment of 2100
Capital, a new firm formed by the group in conjunction with company
founders William Landes, PhD, chief executive officer and chief
investment officer; Joe Demmler, chief operating officer; and Steve
Gorman, CFA, director of research.
"Demand from large-scale institutional investors is transforming
the hedge fund industry," said Scott Powers, chief executive of Old
Mutual Asset Management.

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"
Mr.

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PITTSBURGH, Federated Investors, Inc . Treasury
and government agency securities with an average duration(1) of plus or minus
20 percent of the Merrill Lynch 10+ Year Treasury Index.
Ellenberger, who bring more than 20 years of combined investment experience to
the fund.
3 Strategic Insight, November 2005. Any use of the data for
analyzing, managing or trading financial instruments is at the user's own
risk. Powers continued: "The outstanding team leading 2100 Capital
has all the characteristics that we seek in the leadership of our
member firms: a passion for investment excellence in their chosen area
of focus, exceptional experience and expertise in that specialized
area, and a focus on innovation to address the evolving needs of
clients.
Joe, Steve, and I also accomplish what has been a goal for us: to
continue working together and enjoy what has been a terrific working
relationship while in the pursuit of offering great investment
products for clients. Gorman
is a recognized industry thought leader and has been published in the
Financial Analysts Journal and The Journal of Investing, and is a
contributor to the research foundation of the CFA Institute.
2100 Capital, based in Boston, will initially focus on offering
two types of absolute return products.