PARSIPPANY, N.J. – May 3, 2004 – New York Life Investment Management LLC (NYLIM) announced today the launch of the MainStay Floating Rate Fund.  NYLIM will act as manager of the Fund, capitalizing on an established floating rate management team and the fixed-income management expertise of NYLIM’s Securities Investment group. 

“Investing in a floating rate fund may make sense for anyone seeking an income oriented asset that mitigates interest rate risk,” observed Anthony Malloy, portfolio manager of the MainStay Floating Rate Fund.  “Particularly in today’s environment, where interest rates are at historically low levels, this is an attractive way to participate in the fixed income market.  In a rising interest rate environment, floating rate assets generally have experienced less price volatility than fixed income investments.”

With over $1.7 billion in floating rate assets under management as of March 31, 2004, the Fund’s management team collectively represents over 80 years of investment expertise in the class. The group has grown over time since Malloy joined the firm in 1999, building as the business was growing. 

The Fund will seek to provide high current income by investing primarily in a diversified portfolio of floating rate loans.  The Fund may also purchase fixed income debt securities and money market securities or instruments.

MainStay Funds are available across all major asset categories, including equity, fixed income, high yield, and international.  The Funds provide active and quantitative management across a variety of investment approaches.

New York Life Investment Management LLC and its affiliates, with more than $181 billion in assets under management as of March 31, 2004, provide a wide range of investment services to institutional, individual, corporate, public, and Taft-Hartley clients, including institutional asset management, retail investments, retirement services, guaranteed products, real estate investments, and alternative investments.  For more information, visit the New York Life Investment Management website at www.nylim.com.

Please call 1-800-624-6782 for a MainStay Funds prospectus. Investors are asked to consider the investment objectives, risks, and charges and expenses of the investment carefully before investing. The prospectus contains this and other information about the investment company.  Please read the prospectus carefully before investing.

Please remember that investment objectives may not be met as the underlying investment options are subject to market risk and fluctuate in value.

Floating rate funds are generally considered to have speculative characteristics that involve default risk of principal and interest, collateral impairment, non-diversification, borrower industry concentration and limited liquidity on a quarterly basis.

Securities distributed by NYLIFE Distributors LLC, 169 Lackawanna Avenue, Parsippany, New Jersey 07054.