Stable Value Fund Replacement
The Standard has informed the Trustees of the SUP Money Purchase Pension and 401(k) Plans that Bank of America has decided to discontinue its Stable Value Fund effective August 15, 2011. At the June 21 meeting of the Board, the Trustees selected the Charles Schwab Stable Value Retirement Fund as a replacement. The Charles Schwab fund has historically provided superior performance to the Bank of America product, but offers the same security for participants' account balances. The Trustees feel this will be a safe move for Plans participants' assets and a good opportunity to improve the overall investment growth in the Plans.
In the near future, Plans participants will receive a notification from The Standard in this regard. Participants will be asked to select between two options: Firstly, participants may choose to allow their existing account balances to automatically be moved from the discontinued Bank of America Stable Value Fund to the Charles Schwab Stable Value Retirement Fund. No action would be required of participants in this case. Alternatively, participants may choose to direct a portion or all of their account balances currently held in the Bank of America Stable Value Fund to any of the other investment options in the Plans. An investment selection form will be enclosed with the notification for this purpose. All participants' account balances in the Bank of America Stable Value Fund for which no new investment directives have been received by The Standard by the second week of August will be defaulted into the Charles Schwab Stable Value Retirement Fund.