A cache subsystem may comprise a multi-way set associative cache and a data memory that holds a contiguous block of memory defined by an address stored in a register. Local variables (e.g., Java local variables) may be stored in the data memory. The data memory preferably is adapted to store two groups of local variables. A first group comprises local variables associated with finished methods and a second group comprises local variables associated with unfinished methods. Further, local variables are saved to, or fetched from, external memory upon a context change based on a threshold value differentiating the first and second groups. The first value may comprise a threshold address or an allocation bit associated with each of a plurality of lines forming the data memory.

 
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