Press Release

Release No. 0406-05
May 19, 2006

CLAYMORE/RAYMOND JAMES SB-1 EQUITY FUND
RAISES $200 MILLION FROM COMMON SHARE IPO

ST. PETERSBURG, Fla. – The Claymore/Raymond James SB-1 Equity Fund – a new closed-end fund seeking to provide capital appreciation by investing substantially all of its net assets in a portfolio consisting of equity securities rated Strong Buy 1 (SB-1) by U.S.-based equity research analysts from Raymond James, the Fund’s Sub-Adviser – has priced its initial public offering of shares of common stock, according to Executive Vice President of the Raymond James Equity Capital Markets Group Jeff Trocin.  The Fund’s IPO was underwritten and sole managed by Raymond James & Associates.

The Fund offered 10 million shares at a price of $20, representing $200 million, and will begin trading on the New York Stock Exchange (NYSE) today under the symbol “RYJ.”

“Raymond James is excited that our accomplished team of equity research analysts are being recognized with this fund comprising their Strong Buy 1- rated stocks,” Trocin stated. “More important, investors will have the ability to own those securities in a balanced portfolio without many of the costs associated with investing in them individually. The firm’s research department has been widely recognized by top industry ratings organizations and studies for more than a decade.” 

Claymore Advisors, LLC, an affiliate of Claymore Securities, Inc., will manage the investment portfolio and serve as the Fund’s investment adviser. Based in Lisle, Ill., Claymore Securities, Inc. is a privately-held financial services company offering unique investment solutions for financial advisors and their clients. As of April 30, Claymore entities have provided supervision, management, servicing or distribution on approximately $14 billion in assets through closed-end funds, unit investment trusts, mutual funds and separately managed accounts.

The Fund intends to distribute substantially all of its net investment income, if any, and any net long-term capital gains to common shareholders on an annual basis. The Fund also includes an automatic open-end conversion feature that seeks to address discounts to net asset value. The Fund’s Declaration of Trust provides that (beginning after 18 months from the date of the prospectus) if the Fund’s common shares close on the NYSE for 75 consecutive trading days at a price that is a 10% or greater discount from the net asset value of the Fund’s common shares, the Fund will commence promptly the process necessary to convert the Fund into an open-end mutual fund.  Although the Fund’s Declaration of Trust requires the Fund to convene a special shareholder meeting at which the Fund’s shareholders can affirmatively vote to maintain the Fund’s status as a closed-end fund, there is no assurance that such vote would be obtained.

There can be no assurance that the Fund will achieve its investment objectives. Past performance does not guarantee future results. The value of any closed-end fund will fluctuate with the value of the underlying securities. Historically, closed-end funds often trade at a discount to their net asset value. An investment in the Fund is subject to certain risks and other considerations, including, but not limited to: equity risk; investment risk including the possible loss of the entire principal amount invested, management risk, risks relating to Raymond James equity securities ratings and other business activities of Raymond James, tax treatment of distributions, derivatives risk, counterparty risk, small and medium company risk, liquidity risk, market disruption and geopolitical risk, other investment companies risk, lack of operating history, foreign security risk, REIT and MLP risk, among others.

Investors should carefully consider the investment objective and policies, risk considerations, and charges and expenses of the Fund before they invest. The prospectus contains this and other information relevant to an investment in the Fund. Investors should read the prospectus carefully before they invest or send money. For a prospectus, please contact a securities representative or Claymore Securities, Inc. at 2455 Corporate West Drive, Lisle, IL, 60532 or 800-345-7999. The Fund’s common shares do not represent a deposit or obligation of, and are not guaranteed or endorsed by, any bank or other insured depository institution, and are not insured by the Federal Deposit Insurance Corporation or any other governmental agency.

Raymond James Financial (NYSE-RJF) is a Florida-based diversified holding company providing financial services to individuals, corporations and municipalities through its subsidiary companies. Its three wholly owned broker/dealers, Raymond James & Associates, Raymond James Financial Services and Raymond James Ltd. have more than 4,800 financial advisors serving 1.4 million accounts in 2,200 locations throughout the United States, Canada  and overseas. In addition, total client assets are approximately $167 billion, of which approximately $31 billion are managed by the firm’s asset management subsidiaries.

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Additional information on the fund is available at claymore.com/RYJ.
For analyst inquiries, please contact Greg Drake at gdrake@claymore.com or 630-505-3700.
For press inquiries, please contact Jeff Keele at jkeele@claymore.com or 630-505-3700 or

For more information, contact Tammy Eitel at tammy.eitel@raymondjames.com or 727-567-2824.
Please visit the Raymond James Press Center at raymondjames.com/media.htm.