I commend Pensions & Investments for its May 13 editorial in bringing to light the creation of the International Brotherhood of Teamsters' national 401(k) plan. National savings plans are indeed the start of something big. Union-sponsored 401(k) services will not only bring significant numbers of workers into important savings plans at minimal costs to employers, but will also positively affect the long term health of our micro- and macroeconomies.
However, this national 401(k) plan is not the first such plan brought by the Teamsters to serve its members. The Supplemental Income 401(k) Plan began receiving enrollment contributions in January 1995 and now has more than 40 employers including Lucky Stores, Southern Wine & Spirits, TCI Cable, Dreyer's Ice Cream and Bechtel. The plan - administered by Northwest Administrators Inc., managed by Transamerica Investment Services, advised Rael & Letson and represented by Van Kasper & Co. - offers participants unprecedented flexibility and simplicity and unequaled services and dedication to the concept of planning effectively for the future through a 401(k) plan.
There are no geographic, industry, or employee group size restrictions applied to the SIP 401(k). This plan is also open to all union members.
We have put together a team of industry leaders to offer a unique plan. We have a 24-hour 800 line for union members. Not only is there immediate responsiveness, the phone line is operated only by licensed personnel who are familiar specifically with the SIP 401(k). In addition to this services, we are developing an Internet World Wide Web site that will provide online access to a plan summary, enrollment and beneficiary forms, loan applications and performance information on investment vehicles offered within the frequently asked questions. The site also will have a retirement savings calculator to determine "what if" scenarios.
I wholeheartedly agree that the Teamster 401(k) plan is a benefit to workers and a long-term benefit to our national economy. I offer our Supplemental Income 401(k) Plan as another example of a great idea. Through experienced, personal service, we offer to workers an innovative, convenient, and secure way to save for their futures.
Raymond Brown
Senior Vice President
SIP 401(k) Representative
Van Kasper & Co.
San Francisco
Due to our erroneous completion of your questionnaire, we were omitted from your May 13 listing of 25 largest managers of enhanced domestic bond index assets and 25 largest managers of enhanced domestic stock index assets.
We are still a very active enhanced indexer in both these arenas. Our holdings of $852 million in enhanced bond index assets would place us 10th on your list. Our $1.077 billion in enhanced domestic stock index assets rank as 14th on you list.
David Colby
Director of Marketing Services
Pension Investments
Pacific Mutual Life Insurance Co.
Newport Beach, Calif.
