Vanderbilt University, Nashville, Tenn., hired Fidelity Investments as sole record keeper of its $3.4 billion 403(b) plan, said Erika Houser, manager, human resources communications.
Fidelity is currently one of four record keepers — along with TIAA-CREF, VALIC and Vanguard Group — and will become the sole provider in April.
The plan also will get a new investment option lineup. Ms. Houser said the university now offers “hundreds of funds” under the umbrellas of the four record keepers and once the transition to Fidelity is complete, a new three-tier structure of investment options will be offered.
The changes were due to the university deciding it wanted to “simplify the structure” of the plan and “streamline it a little bit,” she said.
Tier 1 will consist of a target-date fund lineup managed by Vanguard Group; Tier 2 will consist of a core lineup of 13 individual investment options; and Tier 3 will be a self-directed brokerage option.
Ms. Houser could not provide further information by press time.
