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Retirement Plan core investment Menu Update

Michigan State University reviews the investment options available through the 403(b) Retirement Plan and the 457(b) Deferred Compensation Plan accounts to make sure we continue to help MSU employees meet their financial goals and investment objectives.  As a result, we have the following updates to the core investment menu options that will be effective in April 2019:

Fidelity and TIAA Core Investment Menus

The Principal Real Estate Securities Fund , which is categorized as a real estate investment fund, will be added to both the Fidelity and TIAA core investment menus in April. Through the ongoing review process, it was determined that this fund is a more consistent real estate option for the core menus at both retirement vendors. The following are more details on the changes:

  • For the Fidelity core menu, the Principal Real Estate Securities Fund will be replacing the Cohen & Steers Institutional Realty Shares fund in April. On the effective transaction date, the balance will be transferred from the current fund to the new fund, and then any future contributions will go into the new fund.
  • For the TIAA core menu, the Principal Real Estate Securities Fund will be added as a new investment option in April. The TIAA Real Estate Account variable annuity that is currently on the core menu will be frozen, meaning no new contributions or transfers will be allowed into this fund after the effective transaction date, and any balance in this fund will remain in the fund (and will NOT be transferred to the new fund). However, the participant will have the choice to leave the balance in the current variable annuity fund or to direct TIAA to transfer the balance into the new real estate fund. All new contributions and transfers after the effective transaction date will go into the new real estate fund.

Participants of the MSU 403(b) Retirement Plan and the MSU 457(b) Deferred Compensation Plan will receive communications with more detail, including the April effective transaction date, from their retirement vendor (Fidelity or TIAA) in March.

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