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Reallocation of Assets to the Strategic Small Cap Value Master Portfolio Within Multistyle Funds

SAN FRANCISCO – June 21, 2006 – The Strategic Small Cap Value master portfolio was developed to provide an opportunity to introduce additional investment styles into the small-cap value style portion of our multistyle funds1. Wells Fargo Advantage Funds® is employing a systematic process to efficiently implement the Strategic Small Cap Value diversification strategy, and, on June 20, 2006, Wells Fargo Advantage Funds completed Phase IV of this effort and reallocated additional assets from the Small Company Value Portfolio to the Strategic Small Cap Value Portfolio. The resulting allocation to the Strategic Small Cap Value Portfolio is now approximately 90% of the small-cap value style allocation within the multistyle funds. The remaining 10% continues to be allocated to the Peregrine Small Company Value style.

Prior to June 20, the Strategic Small Cap Value Portfolio was subadvised by two teams at Wells Capital Management: the Disciplined Value team led by Robert Costomiris (which became part of Wells Capital Management in 2005 following the acquisition of Strong Capital Management) and the Benson Value team (which became part of Wells Capital Management through an acquisition of this firm in November 2003). In conjunction with the reallocation of assets on June 20, we also introduced a new investment team within the portfolio that is managed by I. Charles Rinaldi-the Small Cap Value team. The Small Cap Value team also became part of Wells Capital Management in 2005 following the acquisition of Strong.

Below is a timeline of events for the Strategic Small Cap Value master portfolio:

Phase I: January 31, 2006:
  • Launched new master portfolio.
  • Initial allocation to the new master portfolio was approximately 25% of the small-cap value style within the multistyle funds.

Phase II: February 15, 2006:
  • Reallocated assets to the Strategic Small Cap Value Portfolio.
  • New allocation was approximately 50% of the small-cap value style allocation within the multistyle funds.

Phase III: April 19, 2006:
  • Reallocated assets to the Strategic Small Cap Value Portfolio.
  • New allocation was approximately 70% of the small-cap value style allocation within the multistyle funds.
  • Introduced new style, the Benson SMID Value style, to the Portfolio.

Phase IV: June 20, 2006:
  • Reallocated assets to the Strategic Small Cap Value Portfolio.
  • New allocation was approximately 90% of the small-cap value style allocation within the multistyle funds.
  • Introduced new style, the Rinaldi Small Cap Value style, to the Portfolio.

Additional reallocations from the Small Company Value Portfolio to the Strategic Small Cap Value Portfolio may occur later this year. In addition, one or more other small-cap value investment teams may be added to the Strategic Small Cap Value Portfolio at a later date. We will continue to provide updates when any of these events take place.

If you have any questions about the Strategic Small Cap Value master portfolio, please contact us at 1-800-222-8222.

1 The Wells Fargo Advantage Funds' multistyle funds include the Wells Fargo Advantage Aggressive Allocation Fund, the Wells Fargo Advantage Conservative Allocation Fund, the Wells Fargo Advantage Diversified Equity Fund, the Wells Fargo Advantage Diversified Small Cap Fund, the Wells Fargo Advantage Growth Balanced Fund, the Wells Fargo Advantage Growth Equity Fund, and the Wells Fargo Advantage Moderate Balanced Fund.

Stock funds should only be considered for long-term goals as values fluctuate in response to the activities of individual companies and general market and economic conditions. Bond fund values fluctuate in response to the financial condition of individual issuers, general market and economic conditions, and changes in interest rates. In general, when interest rates rise, bond fund values fall and investors may lose principal value. Some funds, including non-diversified funds and funds investing in foreign investments, high yield bonds, small- and mid-cap stocks and/or more volatile segments of the economy, entail additional risk and may not be appropriate for all investors. Consult a Fund's prospectus for additional information on these and other risks.