The source for our stable value fund data is through the providers themselves. After each calendar quarter, providers supply Fi360 with updated fund data. The updated fund data is present in the Retirement Product Evaluator and factsheets about 6 weeks after quarter end.
Category: Basics
- Data As Of Date: The quarter end date the stable value fund was updated.
- Fund AUM: Assets currently under management for this particular product. Includes all share class variations.
- Fund Family Name: Parent company that manufacturers this product.
- Inception Date: Inception date of the product.
- Objective: Stated objective for this product.
- Plan Type Availability: The list of plan types this product can be used within.
- Strategy: Stated strategy for this product. How it might differ from other products in the marketplace.
- Website: Website of the product manufacturer where an advisor can get more details.
Category: Expenses
- Acquired Fund Fee: Operational fees and expenses related to other funds in which this product invests. As a result, a pro-rata share of the Other Expense of each underlying fund, as provided in its most recent audited financial report, is reported.
- Other Fee: Operational fees and expenses including but not limited to, accounting and valuation services, custody services, legal and auditing.
- Total Expense Rank: The percentile rank of the Total Expense Ratio within it's peer group. 1 being the cheapest and 100 being the most expensive.
- Total Expense Rank (w/o rev share): The percentile rank of the Total Expense Ratio (w/o rev share) within it's peer group. 1 being the cheapest and 100 being the most expensive.
- Total Expense Ratio: Total expense ratio for the product including all fees paid to the manufacturer and any 3rd party such as a separate trustee, wrap provider, recordkeeper and/or advisor. Would include revenue sharing payments if applicable.
- Total Expense Ratio (w/o rev share): Total expense ratio for the product including all fees paid to the manufacturer and any 3rd party such as a wrap provider and trustee. Does not include any revenue sharing payments if applicable.
- Trustee Fee: Fees paid to a person or entity that is responsible for overseeing the management of a Stable Value Fund
- Wrap Fee: Fees paid to the issuer(s) of the wrap contracts used within the stable value product. In many products, this includes multiple issuers with varying levels of involvement. A wrap contract is a type of stable value investment contract that provides an assurance of principal and accumulated interest for a designated portfolio of associated assets within a stable value investment option. The fee is usually paid to banks, insurance companies, or other financial institutions that issue the wrap contract.
Category: Flexibility
- Availability: An indication of the portability for this product. Is it available only with a given recordkeeping product or is it available within many recordkeeping products.
- Competing Funds Description: The product's specific competing funds description and terms. In most cases, a competing fund such as a money market or short-term bond fund is allowed if an Equity Wash is in place.
- Competing Funds Provision: A yes/no indication as whether this product has a competing fund provision or not. In most cases, a competing fund such as a money market or short-term bond fund is allowed if an Equity Wash is in place.
- Equity Wash: A yes/no indication as whether this product has an equity wash or not. An equity wash is a contractual provision in stable value that requires any transfer a participant makes from stable value to a competing option (for example, a money market fund or a short-term bond fund) to first invest in another investment option not designated as a competing option for a period of time, usually 90 days. This provision is designed to reduce arbitrage, thereby protecting the participants and the stable value returns over the long term
- Equity Wash Description: The product's specific equity wash description and terms. An equity wash is a contractual provision in stable value that requires any transfer a participant makes from stable value to a competing option (for example, a money market fund or a short-term bond fund) to first invest in another investment option not designated as a competing option for a period of time, usually 90 days. This provision is designed to reduce arbitrage, thereby protecting the participants and the stable value returns over the long term
- Max Put Provision: The product's # of months that is applicable for their put provision. A stable value put provision describes the ability of a plan to exit a stable value fund at contract value, subject to a specified notice period such as 12 months.
- Put Provision: A yes/no indication as whether this product has a put provision or not. A stable value put provision describes the ability of a plan to exit a stable value fund at contract value, subject to a specified notice period such as 12 months.
- Put Provision Description: The product's specific put provision description and terms. A stable value put provision describes the ability of a plan to exit a stable value fund at contract value, subject to a specified notice period such as 12 months.
- Recordkeeper Availability: A list of specific recordkeeping products in which this product is available.
Category: Fund Structure
- # Investment Managers: The number of investment managers which are involved in supporting a portion of this product. This is commonly 1 but can be spread across multiple managers.
- # Wrap Providers: The number of wrap providers which are issuing wrap contracts for this product.
- Duration - 0 to 1 Years: The % of the underlying portfolio that is invested in securities with a duration between 0 - 1 year. Portfolio duration is a measure of the sensitivity of a portfolio's value to changes in interest rates. Duration can measure how long it takes, in years, for an investor to be repaid the bond’s price by the bond’s total cash flows.
- Duration - 1 to 3 Years: The % of the underlying portfolio that is invested in securities with a duration between 1 - 3 years. Portfolio duration is a measure of the sensitivity of a portfolio's value to changes in interest rates. Duration can measure how long it takes, in years, for an investor to be repaid the bond’s price by the bond’s total cash flows.
- Duration - 10+ Years: The % of the underlying portfolio that is invested in securities with a duration greater than 10 years. Portfolio duration is a measure of the sensitivity of a portfolio's value to changes in interest rates. Duration can measure how long it takes, in years, for an investor to be repaid the bond’s price by the bond’s total cash flows.
- Duration - 3 to 5 Years: The % of the underlying portfolio that is invested in securities with a duration between 3 - 5 years. Portfolio duration is a measure of the sensitivity of a portfolio's value to changes in interest rates. Duration can measure how long it takes, in years, for an investor to be repaid the bond’s price by the bond’s total cash flows.
- Duration - 5 to 7 Years: The % of the underlying portfolio that is invested in securities with a duration between 5 - 7 years. Portfolio duration is a measure of the sensitivity of a portfolio's value to changes in interest rates. Duration can measure how long it takes, in years, for an investor to be repaid the bond’s price by the bond’s total cash flows.
- Duration - 7 to 10 Years: The % of the underlying portfolio that is invested in securities with a duration between 7 - 10 years. Portfolio duration is a measure of the sensitivity of a portfolio's value to changes in interest rates. Duration can measure how long it takes, in years, for an investor to be repaid the bond’s price by the bond’s total cash flows.
- Fitch Rating: Fitch Rating provided on the insurance company offering this product.
- GIC Allocation: The % of the portfolio that is based on guaranteed investment contracts. GICs are obligations purchased from insurance companies or banks that pay a predetermined rate of interest until they mature. GICs are supported by the general account assets of the insurer like an insurance policy.
- Max Issuer Concentration: The maximum % of the portfolio that is related to a given issuer.
- Max Sector Concentration: The maximum % of the portfolio that is invested in a given sector.
- Min Credit Quality Used: The minimum credit quality of the underlying portfolio within the stable value product that has more than a 1% allocation.
- Moody Rating: Moody Rating provided on the insurance company offering this product.
- Portfolio Duration: The portfolio duration (in years) for the stable value product. The overall duration of the stable value portfolio will vary depending on the stable value manager and the needs of the plan sponsor but could generally range from one to six years. Portfolio duration is a measure of the sensitivity of a portfolio's value to changes in interest rates. Duration can measure how long it takes, in years, for an investor to be repaid the bond’s price by the bond’s total cash flows.
- Quality – A: The % of the underlying portfolio that is invested in securities with a rating of A.
- Quality – AA: The % of the underlying portfolio that is invested in securities with a rating of AA.
- Quality – AAA: The % of the underlying portfolio that is invested in securities with a rating of AAA.
- Quality – BBB: The % of the underlying portfolio that is invested in securities with a rating of BBB.
- Quality - Below IG: The % of the underlying portfolio that is invested in securities with a rating of Below Investment Grade.
- Quality - Not Rated: The % of the underlying portfolio that is invested in securities with a rating of Not Rated.
- S&P Rating: S&P Rating provided on the insurance company offering this product.
- SAC Allocation: The % of the portfolio that is based on separate account contracts. SACs are owned by a life insurance company and distinct from its general account. The separate accounts in which stable value strategies participate contain fixed-income securities that are overseen by an asset management firm, which may be affiliated with the insurance company.
- Sector – Agency: The % of the underlying portfolio that is invested in agency securities.
- Sector - Asset Backed Security: The % of the underlying portfolio that is invested in asset backed securities.
- Sector – Cash: The % of the underlying portfolio that is invested in cash.
- Sector - Commercial MBS: The % of the underlying portfolio that is invested in commercial mortgage-backed securities.
- Sector – Corporate: The % of the underlying portfolio that is invested in corporate securities.
- Sector – Foreign: The % of the underlying portfolio that is invested in foreign securities.
- Sector - Local Muni: The % of the underlying portfolio that is invested in local municipality securities.
- Sector – MBS: The % of the underlying portfolio that is invested in mortgage-backed securities.
- Sector – Other: The % of the underlying portfolio that is invested in other securities.
- Sector – Treasury: The % of the underlying portfolio that is invested in treasury securities.
- STIF Allocation: The % of the portfolio that is based on short term investments. A short-term investment fund (STIF) is a type of investment fund which invests in money market investments of high quality and low risk.
- SYN Allocation: The % of the portfolio that is based on synthetic investment contracts. Synthetic contracts include two pieces: a fixed- income portfolio that the fund (or plan) owns, and a book value contract from an insurance company or bank. The contract allows the fund to transact with the portfolio at book value.
- Wrap Providers: A concatenated list of provider names which are issuing wrap contracts for this product.
Category: Management
- Manager Name(s): The name(s) of the managers which are responsible for running this product.
- Manager Tenure: The number of years in which the most senior manager has been in place for this product.
Category: Performance
- 10yr Return: The 10yr annualized return for the product as of the reported date. Returns are shown net of all fees including revenue sharing.
- 10yr Return Rank: The percentile rank of the 10yr Return within it's peer group. 1 being the highest return and 100 being the lowest return.
- 1yr Return: The 1yr annualized return for the product as of the reported date. Returns are shown net of all fees including revenue sharing.
- 1yr Return Rank: The percentile rank of the 1yr Return within it's peer group. 1 being the highest return and 100 being the lowest return.
- 3yr Return: The 3yr annualized return for the product as of the reported date. Returns are shown net of all fees including revenue sharing.
- 3yr Return Rank: The percentile rank of the 3yr Return within it's peer group. 1 being the highest return and 100 being the lowest return.
- 5yr Return: The 5yr annualized return for the product as of the reported date. Returns are shown net of all fees including revenue sharing.
- 5yr Return Rank: The percentile rank of the 5yr Return within it's peer group. 1 being the highest return and 100 being the lowest return.
- Gross Crediting Rate: The interest rate on the book value balance of a stable value product before adjusting for expenses and any special provision of the product. As determined by the contract, the crediting rate may remain fixed for the term of the transaction or may be reset at predetermined intervals. It is commonly referred to as the effective annual yield.
- Market to Book Ratio: This ratio takes the book value (value of deposits, plus accumulated interest, minus withdrawals) divided by the market value (amount an investment would be worth if it were sold at a specific time). A ratio higher than 100 is preferable. A ratio lower than 100 indicates that the value of the investments has fallen below the dollar amount contributed by participants (book value).
- Net Crediting Rate: The gross crediting rate less all applicable expenses for the fund including revenue sharing. The gross crediting rate is the interest rate on the book value balance of a stable value product before adjusting for expenses and any special provision of the product. As determined by the contract, the crediting rate may remain fixed for the term of the transaction or may be reset at predetermined intervals. It is commonly referred to as the effective annual yield.
- Qtr Return: The QTR return for the product as of the reported date. Returns are shown net of all fees including revenue sharing.
- YTD Return: The YTD return for the product as of the reported date. Returns are shown net of all fees including revenue sharing.
Category: Transparency
- Book Value Guarantee: A yes/no indication as whether this product has a book value guarantee or not. A book value guarantee is a feature of stable value funds that allows participant balances to be accounted for at book value. This means that the value of a participant’s account, including contributions and interest, is protected against any loss of principal.
- Book Value Guarantee Description: The description of what the book value guarantee is and how it is applied.
- Crediting Rate Floor (>0%): The lowest permissible interest crediting rate that a stable value fund may offer its investors.
- Crediting Rate Floor Description: The description of what the crediting rate floor is and how it is applied. The crediting rate floor is the lowest permissible interest crediting rate that a stable value fund may offer its investors.
- Crediting Rate Formula: The stated formula (if applicable) that the product is using to calculate the crediting rate.
Other:
- Peer group: "The peer group this product is classified in. Broadridge groups stable value investments into three categories.
- CIT - Instead of transferring assets to an insurance company, these types of funds are offered by an investment company/trustee. These contracts allow plans to retain possession of the underlying fixed income securities and pay the investment manager a fee. To maintain book value transactions for participants, investment managers contract with insurance companies to “wrap” the assets, or insure them. While participants now pay fees to both the investment manager and the wrap provider(s), the participants also receive a crediting rate tied directly to the performance of the underlying securities.
- General Account - A general account guaranteed interest contract (“GIC”) is issued by an insurance company to a plan sponsor that guarantees a rate of return for a specified period of time before it matures or can be reset. These funds often provide for a guaranteed minimum interest rate and declared crediting rates may never fall below a certain level. When a participant contributes to this type of fund, the assets are owned by the insurance company and the guaranteed rate of return is provided to the participant. When a participant withdraws from the contract, the insurance company will pay their principal contributions and any accumulated interest (i.e. book value.) In the event of liquidation of the insurance company, participants in the fund may have to wait for payment as the courts allocate the remaining assets to creditors according to state law.
- Separate Account - A separate account is similar to a traditional general account fund, but instead of participant contributions being directed to the general account of the insurance company, the plan assets are held in a separate account with the insurance company that is not subject to any other creditors. Separate Account contracts are off the shelf, and can be used by “anyone”. They’re single insurer (in most cases) wrapped by the provider, and have an underlying investment portfolio that is considered “insolvency remote”."
- Product Name: The name of the product.
- Share Class Name: The name of the share class within the product.