Transamerica Core Bond Ret Opt

The Transamerica Core Bond Fund, a Transamerica Life Insurance Company^ Separate Account, invests exclusively in the Diversified Core Bond Fund (Investor Class), a mutual fund, which had an inception date of December 31, 1977. The mutual fund is sub-advised by BlackRock Advisors Inc. since 2001 and managed by Scott Amero since 2001.

Best suited for investors who seek to maximize return through investment in US Government, asset-backed and mortgage-backed securities, corporate securities, and to a lesser extent, convertible, high yield and international fixed income securities. Under normal circumstances the Diversified Core Bond Fund invests at least 80% of its net assets in bonds and related investments. It also invests in securities of foreign issuers. Investment grade debt securities carry a rating of at least BBB from Standard & Poor’s or Baa from Moody’s or are comparable quality as determined by the mutual fund’s advisers. The mutual fund’s dollar-weighted average maturity generally is between five and fifteen years (and does not exceed thirty years) under normal circumstances.

Intended for investors who seek a higher level of current income than is generally available from short-term securities and are willing to accept the greater price fluctuations associated with higher levels of income. Longer-term bonds generally tend to produce higher income than shorter maturity bonds, however, the prices of longer-term bonds will fluctuate more sharply when interest rates go up or down.

There are no Investment Management or Administrative Charges applicable to this Separate Account. However, the assets in this Separate Account are subject to the total operating expenses (expense ratio) of the underlying mutual fund, which were 0.96% as of November 30, 2005. (Source: Morningstar, Inc.) There may also be charges to your balance in the Separate Accounts for Contract Asset Charges, discontinuance charges or service fees, as applicable under your contract.