TC Union College Fund Change FES PPT

Report
Making the Most
of Your Financial Future
Union College Retirement Plan
Enhancements Effective March 1, 2013
Today’s agenda
 Retirement Plan enhancements
 Making investment decisions and how TIAA-CREF can help
 Action steps
 Q&A
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The basics of the Plan stay the same
Employee or Employer
Contribution Rates/Schedules
No change
Eligibility Requirements
No change
Vesting Schedule
No change
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New investment choices: Benefits
1
Access to streamlined investment choices
2
Opportunities for greater diversification
3
Low cost investment choices
4
Choices designed to help you seek a secure retirement
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Three approaches to investing
A tiered approach offers flexibility and choices for all investors
Tier 1
Tier 2
Tier 3
Target-date funds
Passive options
Actively managed investment options
Investment Approach:
One-step approach to investing.
Your investment allocation is
professionally managed and is based
on your anticipated retirement date.
Investments are broadly diversified
among stocks, bonds, short-term fixed
income and inflation-protected assets.
Investment Approach:
It is an investment process that
aims to replicate the returns of a
specific market index (i.e., an
equity or fixed-income index).
Investment Approach:
A portfolio manager makes specific
investment decisions and actively
manages the investment portfolio
with the goal of outperforming its
benchmark (or market index).
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Union Plan enhancements
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Investment options
Tier 1
Tier 2
Tier 3
Target-date funds
Passive Investment options
Actively managed investment options
 TIAA-CREF Lifecycle Index 2010 Fund –
Premier Class (TLTPX)
 TIAA-CREF Bond Index Fund –
Retirement Class (TBIRX)
 CREF Stock
(Variable Annuity)
 TIAA-CREF Lifecycle Index 2015 Fund –
Premier Class (TLFPX)
 TIAA-CREF Emerging Markets Equity
Index Fund – Retirement Class (TEQSX)
 CREF Social Choice Account
(Variable Annuity)
 TIAA-CREF Equity Index Fund –
Retirement Class (TIQRX)
 CREF Growth Account (Variable Annuity)
 TIAA-CREF Lifecycle Index 2020 Fund –
Premier Class (TLWPX)
 TIAA-CREF Lifecycle Index 2025 Fund –
Premier Class (TLVPX)
 TIAA-CREF Lifecycle Index 2030 Fund –
Premier Class (TLHPX)
 TIAA-CREF Lifecycle Index 2035 Fund –
Premier Class (TLYPX)
 TIAA-CREF Lifecycle Index 2040 Fund –
Premier Class (TLPRX)
 TIAA-CREF Lifecycle Index 2045 Fund –
Premier Class (TLMPX)
 TIAA-CREF Lifecycle Index 2050 Fund –
Premier Class (TLLPX)
 TIAA-CREF Lifecycle Index 2055 Fund –
Premier Class (TTIPX)
 TIAA-CREF Lifecycle Index Retirement
Income Fund – Premier Class (TLIPX)
 TIAA-CREF International Equity Index
Fund – Retirement Class (TRIEX)
 TIAA-CREF Large-Cap Value Index
Fund – Retirement Class (TRCVX)
 TIAA-CREF Small-Cap Blend Index
Fund – Retirement Class (TRBIX)
 Vanguard Mid-Cap Index Fund Signal
(VMISX)
 CREF inflation Linked Bond Account
(Variable Annuity)
 TIAA Real Estate Account
(Variable Annuity)
 TIAA Traditional Annuity
(Guaranteed Annuity)
 CREF Money Market Account
(Variable Annuity)
 Vanguard REIT Index Fund Signal
(VGRSX)
 Vanguard Short-Term Bond Index Fund
Signal (VBSSX)
 Vanguard Long-Term Bond Index Investor
(VBLTX)
* Any guarantees under annuities issued by TIAA are subject to TIAA's claims-paying ability. TIAA Traditional is a guaranteed insurance contract
and not an investment for Federal Securities Law purposes.
* Investing involves risk of loss of principal.
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New investment options
These new options include funds from well-known investment companies:
Fund Name
Ticker Symbol
TIAA-CREF Bond Index Fund – Retirement Class
TBIRX
TIAA-CREF Emerging Markets Equity Index Fund – Retirement Class
TEQSX
TIAA-CREF Equity Index Fund – Retirement Class
TIQRX
TIAA-CREF International Equity Index Fund – Retirement Class
TRIEX
TIAA-CREF Large-Cap Value Index Fund – Retirement Class
TRCVX
TIAA-CREF Small-Cap Blend Index Fund – Retirement Class
TRBIX
TIAA-CREF Lifecycle Index 2010 Fund – Premier Class
TLTPX
TIAA-CREF Lifecycle Index 2015 Fund – Premier Class
TLFPX
TIAA-CREF Lifecycle Index 2020 Fund – Premier Class
TLWPX
TIAA-CREF Lifecycle Index 2025 Fund – Premier Class
TLVPX
TIAA-CREF Lifecycle Index 2030 Fund – Premier Class
TLHPX
TIAA-CREF Lifecycle Index 2035 Fund – Premier Class
TLYPX
TIAA-CREF Lifecycle Index 2040 Fund – Premier Class
TLPRX
TIAA-CREF Lifecycle Index 2045 Fund – Premier Class
TLMPX
TIAA-CREF Lifecycle Index 2050 Fund – Premier Class
TLLPX
TIAA-CREF Lifecycle Index 2055 Fund – Premier Class
TTIPX
TIAA-CREF Lifecycle Index Retirement Income Fund – Prem Cl
TLIPX
Vanguard Mid-Cap Index Fund Signal
VMISX
Vanguard REIT Index Fund Signal
VGRSX
Vanguard Short-Term Bond Index Fund Signal
VBSSX
Vanguard Long-Term Bond Index Investor
VBLTX
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Investment menu mapping
Funds in the left-hand column will be removed from the Union College
investment menu. Any accumulations will be transferred to the corresponding
replacement fund in the right-hand column.
Closing Investment Options
Ticker Symbol
Replacement Investment Options
Ticker Symbol
TIAA-CREF Growth & Income Fund –
Retirement Class
TRGIX
▸
TIAA-CREF Equity Index Fund –
Retirement Class
TIQRX
TIAA-CREF International Equity Fund –
Retirement Class
TRERX
▸
TIAA-CREF International Equity Index
Fund – Retirement Class
TRIEX
TIAA-CREF Large-Cap Value Fund –
Retirement Class
TRLCX
▸
TIAA-CREF Large Cap Value Index
Fund – Retirement
TRCVX
TIAA-CREF Mid-Cap Growth Fund –
Retirement Class
TRGMX
▸
Vanguard Mid-Cap Index Fund Signal
VMISX
TIAA-CREF Mid-Cap Value Fund –
Retirement Class
TRVRX
▸
Vanguard Mid-Cap Index Fund Signal
VMISX
TIAA-CREF Real Estate Securities
Fund – Retirement Class
TRRSX
▸
Vanguard REIT Index Fund Signal
VGRSX
TIAA-CREF Small-Cap Equity Fund –
Retirement Class
TRSEX
▸
TIAA-CREF Small-Cap Blend Index
Fund – Retirement Class
TRBIX
TIAA-CREF Social Choice Equity Fund –
Retirement Class
TRSCX
▸
CREF Social Choice Account
Variable Annuity
TIAA-CREF S&P 500 Index Fund –
Retirement Class
TRSPX
▸
TIAA-CREF Equity Index Fund –
Retirement Class
TIQRX
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Investment menu mapping (continued)
Closing Investment Options
Ticker Symbol
Replacement Investment Options
Ticker Symbol
TIAA-CREF Lifecycle 2050 Fund –
Retirement Class
TLFRX
▸
TIAA-CREF Lifecycle Index 2050 Fund –
Premier Class
TLLPX
TIAA-CREF Lifecycle Retirement Income
Fund – Retirement Class
TLIRX
▸
TIAA-CREF Lifecycle Index Retirement
Income Fund – Prem Cl
TLIPX
TIAA-CREF Lifecycle 2010 Fund –
Retirement Class
TCLEX
▸
TIAA-CREF Lifecycle Index 2010 Fund –
Premier Class
TLTPX
TIAA-CREF Lifecycle 2015 Fund –
Retirement Class
TCLIX
▸
TIAA-CREF Lifecycle Index 2015 Fund –
Premier Class
TLFPX
TIAA-CREF Lifecycle 2020 Fund –
Retirement Class
TCLTX
▸
TIAA-CREF Lifecycle Index 2020 Fund –
Premier Class
TLWPX
TIAA-CREF Lifecycle 2025 Fund –
Retirement Class
TCLFX
▸
TIAA-CREF Lifecycle Index 2025 Fund –
Premier Class
TLVPX
TIAA-CREF Lifecycle 2030 Fund –
Retirement Class
TCLNX
▸
TIAA-CREF Lifecycle Index 2030 Fund –
Premier Class
TLHPX
TIAA-CREF Lifecycle 2035 Fund –
Retirement Class
TCLRX
▸
TIAA-CREF Lifecycle Index 2035 Fund –
Premier Class
TLYPX
TIAA-CREF Lifecycle 2040 Fund –
Retirement Class
TCLOX
▸
TIAA-CREF Lifecycle Index 2040 Fund –
Premier Class
TLPRX
TIAA-CREF Lifecycle 2045 Fund –
Retirement Class
TTFRX
▸
TIAA-CREF Lifecycle Index 2045 Fund –
Premier Class
TLMPX
TIAA-CREF Lifecycle 2055 Fund –
Retirement Class
TTRLX
▸
TIAA-CREF Lifecycle Index 2055 Fund –
Premier Class
TTIPX
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Restricted investment options
Certain investment options will be restricted from new contributions.
If you’re currently contributing to the accounts in the left-hand column, your
future contributions will be “mapped” (redirected) to similar investment options
on the new investment menu (right-hand column). You may leave your existing
accumulation where it is or transfer balances to the new investment options.
Restricted Funds for Future Contributions
Replacement Fund for Future Contributions
CREF Bond Market Account
▸
TIAA-CREF Bond Index Fund – Retirement Class (TBIRX)
CREF Equity Index Account
▸
TIAA-CREF Equity Index Fund – Retirement Class (TIQRX)
CREF Global Equities Account
▸
TIAA-CREF International Equity Index Fund – Retirement Class (TRIEX)
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Investment decisions
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Investment and retirement planning
Early- and Midcareer Accumulation
Advice (on retirement
plan assets)
Established Career
Preretirement
“Am I saving enough?”
“Do I need to save more?”
“How should I invest?”
“Will I have enough?”
Pre- And PostRetirement Advice
“How should I take
my income?”
“Will it last?”
Advice recommendations
▸ Asset allocation
▸ Fund selection
▸ Savings/Deferral rate
* Using an advice methodology from Ibbotson Associates, Inc.
▸ Retirement age
▸ Annuitization methods
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Comprehensive investment advice and education
from TIAA-CREF
One-on-one
Online
Communications
Advice and
Counseling Sessions*
Web-Based
Resources
Mail, Email and
Printed Materials
 Planning based on goals,
risk tolerance and
retirement time horizon
Dedicated website:
www.tiaa-cref.org/union
 Transition materials and
new contracts mailed to
your home
 Personalized action
plan with specific
recommendations
TIAA-CREF’s social
media: Facebook, Twitter,
myretirement.org
 Informative enewsletters
and email updates
 Quarterly statements
with estimated retirement
projections TO retirement
illustrations and personal
rate of return
* Advice is provided on retirement plan assets using an advice methodology from Ibbotson Associates, Inc.
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Action steps
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After March 1, 2013
1
Review the enhanced investment menu at www.tiaa-cref.org/union.
2
Make changes to your allocation and/or portfolio if you wish.
3
If you do nothing:
1. Your original investment balances will stay in the annuity accounts as they
are today.
2. Your original investment balances in closed mutual funds will be transferred
to the mapped investments.
3. Your future contributions will be invested in the mapped investments.
4
Review your current allocations and beneficiary information.
5
Set up a one-on-one session to obtain advice and to ensure your current
contributions are in line with your retirement goals.
Not participating yet? Start today!
Contact your Benefits office representative, and enroll at www.tiaa-cref.org/union.
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We’re here for you
Online assistance:
www.tiaa-cref.org/union
 Research and view investment options
 Learn more about your plan
 Make changes to your account
Phone assistance:
800 842-2252
 Monday to Friday, 8 a.m. to 10 p.m. (ET)
 Saturday, 9 a.m. to 6 p.m. (ET)
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We’re here for you
Personalized advice on campus:
Call 800 732-8353, Monday to Friday 8 a.m. to 5 p.m. (ET), to schedule a confidential,
one-on-one appointment at no additional cost to you.
Drop-in Information Desk with a TIAA-CREF Financial Consultant:
TIAA-CREF will be on campus in February for individual counseling.
Date
Time
Location
Wednesday, February 13
10:30 a.m. – Noon,
3 p.m. – 5 p.m.
Reamer Campus Center, Room 204
Thursday, February 14
10:30 a.m. – Noon,
3 p.m. – 5 p.m.
Reamer Campus Center, Room 204
On campus counseling dates in March:
On campus counseling dates in April:
Date
Date
Monday, March 18
Monday, March 25
Thursday, March 21
Tuesday, April 2
Thursday, April 11
Monday, April 8
Monday, April 15
Wednesday, April 10
Tuesday, April 16
TIAA-CREF will conduct additional individual counseling sessions at Union College.
Call early to get your choice of date and time.
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Q&A
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Investment, insurance and annuity products are not FDIC insured, are not bank guaranteed, are
not bank deposits, are not insured by any federal government agency, are not a condition to
any banking service or activity and may lose value.
TIAA-CREF products may be subject to market and other risk factors. See the applicable
product literature, or visit tiaa-cref.org for details.
You should consider the investment objectives, risks, charges and
expenses carefully before investing. Please call 877 518-9161, or visit
www.tiaa-cref.org/union for a current prospectus that contains this and
other information. Please read the prospectus carefully before investing.
TIAA-CREF Individual & Institutional Services, LLC and Teachers Personal Investors Services, Inc.,
members FINRA, distribute securities products. Annuity contracts and certificates are issued by
Teachers Insurance and Annuity Association (TIAA) and College Retirement Equities Fund (CREF),
New York, NY.
tiaa-cref.org
© 2013 Teachers Insurance and Annuity Association-College Retirement Equities Fund (TIAA-CREF), 730 Third Avenue, New York, NY 10017
C8899
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