Federated Capital Appreciation Fund
CLASS A SHARES
CLASS B SHARES
CLASS C SHARES
A portfolio of Federated Equity Funds
SUPPLEMENT TO PROSPECTUS DATED DECEMBER 31, 1999
Please add the following as the third paragraph on page 15 of the
prospectus under the section entitled THE FUND'S PORTFOLIO MANAGERS ARE:
"David P. Gilmore has been a Portfolio Manager of the Fund since September
2000. Mr. Gilmore joined Federated in August 1997 as an Investment Analyst. He
was promoted to Senior Investment Analyst in July 1999 and became an Assistant
Vice President of the Fund's Adviser in July 2000. Mr. Gilmore was a Senior
Associate with Coopers & Lybrand from January 1992 to May 1995. He attended the
University of Virginia, where he earned his M.B.A., from September 1995 to May
1997. Mr. Gilmore has a B.S. from Liberty University."
Bernard Picchi, Arthur J. Barry, James E. Grefenstette and J. Thomas Madden
remain as Portfolio Managers to the Fund.
September 30, 2000
(LOGO)
Federated Capital Appreciation Fund
Federated Investors Funds
5800 Corporate Drive
Pittsburgh, PA 15237-7000
1-800-341-7400
WWW.FEDERATEDINVESTORS.COM
--------------------------
Federated Securities Corp., Distributor
Cusip 314172701
Cusip 314172800
Cusip 314172883
25831 (9/00)
515373
