Will any of my current investments be changed?
Because we are improving the investment options offered in the Plan, some old options will no longer be available, and some other options are changing for the better. If you currently invest in investment options that are being replaced, your investments will automatically transition to their replacements.
Upon the transition date, investors in the age-based options, the Social Choice option, and the Principal Plus Interest option will experience re-allocations of their investments automatically.
Age-Based Portfolios to College Enrollment Year Portfolio
If you invested in the “age-based” portfolio options (for example, the “Age 0-4 Years” portfolio), we will automatically transition those assets to a College Enrollment Year portfolio based on the beneficiary’s date of birth and an assumption that the beneficiary will enroll in college at age 18. We will use the following methodology for transitioning all assets in the age-based portfolio options:
If a date of birth is listed for the beneficiary, it's used to transition any previous age-based portfolio assets into the mapped portfolio below.
| If the Beneficiary's Date of Birth is... | Mapped (New) Portfolio | |
|---|---|---|
| From | To | |
| 9/1/2017 | 9/7/2018 | College Enrollment Year 2036 |
| 9/1/2016 | 8/31/2017 | College Enrollment Year 2035 |
| 9/1/2015 | 8/31/2016 | College Enrollment Year 2034 |
| 9/1/2014 | 8/31/2015 | College Enrollment Year 2033 |
| 9/1/2013 | 8/31/2014 | College Enrollment Year 2032 |
| 9/1/2012 | 8/31/2013 | College Enrollment Year 2031 |
| 9/1/2011 | 8/31/2012 | College Enrollment Year 2030 |
| 9/1/2010 | 8/31/2011 | College Enrollment Year 2029 |
| 9/1/2009 | 8/31/2010 | College Enrollment Year 2028 |
| 9/1/2008 | 8/31/2009 | College Enrollment Year 2027 |
| 9/1/2007 | 8/31/2008 | College Enrollment Year 2026 |
| 9/1/2006 | 8/31/2007 | College Enrollment Year 2025 |
| 9/1/2005 | 8/31/2006 | College Enrollment Year 2024 |
| 9/1/2004 | 8/31/2005 | College Enrollment Year 2023 |
| 9/1/2003 | 8/31/2004 | College Enrollment Year 2022 |
| 9/1/2002 | 8/31/2003 | College Enrollment Year 2021 |
| 9/1/2001 | 8/31/2002 | College Enrollment Year 2020 |
| 9/1/2000 | 8/31/2001 | College Enrollment Year 2019 |
| 9/1/1999 | 8/31/2000 | College Enrollment Year 2018 |
| 9/1/1998 | 8/31/1999 | College Enrollment Year 2017 |
| 9/1/1997 | 8/31/1998 | College Enrollment Year 2016 |
| 9/1/1996 | 8/31/1997 | College Enrollment Year 2015 |
| 9/1/1995 | 8/31/1996 | College Enrollment Year 2014 |
| 9/1/1994 | 8/31/1995 | College Enrollment Year 2013 |
| Born before 9/1/1994 | FDIC-Insured Option | |
If we do not have a date of birth on file for the beneficiary, we will transition the assets to the college enrollment year portfolio whose underlying asset allocation most closely matches that of the age-based portfolio in which you currently invest, see below:
| Previous Portfolio | Mapped (New) Portfolio |
|---|---|
| Age Band 0-4 years | College Enrollment Year 2034 |
| Age Band 5-8 years | College Enrollment Year 2029 |
| Age Band 9-10 years | College Enrollment Year 2026 |
| Age Band 11-12 years | College Enrollment Year 2024 |
| Age Band 13-14 years | College Enrollment Year 2022 |
| Age Band 15 years | College Enrollment Year 2021 |
| Age Band 16 years | College Enrollment Year 2020 |
| Age Band 17 years | College Enrollment Year 2019 |
| Age Band 18 years & over | College Enrollment Year 2016 |
Changes to the Social Choice Investment Option
If you invested in the Social Choice investment option, we will automatically transition your assets to a new Social Choice Balanced investment option. The prior Social Choice option included only U.S. stocks. The new Social Choice Balanced option is a globally diversified portfolio of stocks and bonds, while still being invested with a socially responsible mandate.
Replacing the Principal Plus Interest Option
Finally, if you invested in the Principal Plus Interest Option, your assets will transition gradually, over a period of four years, to a new FDIC-Insured Option. 20% of those assets will transition immediately, and 20% will transition one, two, three, and four years from the transition date.
We have also made some improvements inside several other investment options. These improvements will happen for all investors in those options and no action is necessary. Please remember that you can change your investment options in your account twice per calendar year.