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Tactical Equity Allocation Model Triggers Shift for Wells Fargo Advantage WealthBuilder Tactical Equity PortfolioSM

The Wells Fargo Advantage WealthBuilder Tactical Equity Portfolio uses a quantitative Tactical Equity Allocation (TEA) Model to determine the proportion of assets invested among the different equity styles in the Portfolio. This is a proprietary model that seeks to enhance the Portfolio’s performance by shifting emphasis among equity styles depending on market conditions.

During the third quarter of 2008, the TEA Model reached a trigger point that resulted in a shift away from international stocks and toward domestic stocks. To make a change in our asset allocation emphasis, we need confirmation of a change in both market-based and fundamental indicators. Both fundamental and market-based indicators switched toward domestic stocks during the third quarter. The alignment of both of these indicators – fundamental and market-based – triggered the shift toward domestic stocks. The current change marks the ninth shift since inception of the TEA Model in 1997. This shift follows a shift that occurred during the second quarter of 2008, when the model shifted from a large-cap stock emphasis to a small-cap stock emphasis.

Asset Allocation Shift Overview

About the Wells Fargo Advantage WealthBuilder PortfoliosSM
The Wells Fargo Advantage WealthBuilder Portfolios were first introduced in 1997 and are part of our long history of pioneering asset allocation strategies. The WealthBuilder Portfolios in the series use a fund-of-funds approach composed of both proprietary and nonproprietary mutual funds and offer investors a range of portfolios to match their risk profile. The portfolio managers apply the disciplines of Tactical Asset Allocation and Tactical Equity Allocation modeling to help manage risk and to capitalize on rotating market cycles.

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Wells Fargo Advantage Funds® skillfully guides institutions, financial advisors, and individuals through the investment terrain to help them reach their financial objectives. Everything we do on behalf of our investors is built on the standards of integrity established by our parent company, Wells Fargo & Company; the expertise of our unique blend of independent investment teams; and the collaborative level of superior service that is our trademark.

Balanced funds may invest in stocks and bonds. Stock values fluctuate in response to the activities of individual companies and general market and economic conditions. Bond 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 values fall and investors may lose principal value. The use of derivatives may reduce returns and/or increase volatility. Certain investment strategies tend to increase the total risk of an investment (relative to the broader market). This Fund is exposed to alternative investment risk, foreign investment risk, high-yield securities risk, mortgage- and asset-backed securities risk, and small company investment risk. Consult the Fund's prospectus for additional information on these and other risks.