Montana University System goes with TIAA-CREF as single record keeper, revamps lineups

Montana University System, Helena, hired TIAA-CREF as the sole service provider/record keeper for its $729 million 401(a) and $191 million 403(b) defined contribution plans, confirmed Amy Berry, associate director of retirement benefits and pension plans, in an email.

New contributions and accounts will no longer be available with MetLife, VALIC or Voya Financial for the 403(b) plans. Assets currently on the platforms of MetLife, T. Rowe Price, VALIC or Voya will remain with these service providers unless the participant chooses to transfer those assets to the 403(b) plan with services provided by TIAA, which is an existing provider.

Meketa Investment Group, investment consultant for the university, selected the new investment options for both plans.

Transition materials on the university system's website show that during the week of Feb. 5, seven TIAA-CREF fund options and its lifecycle fund series will be replaced. TIAA's lifecycle funds will be replaced by target-date funds managed by Vanguard Group; its high-yield fund will be replaced by a Hotchkis & Wiley Capital Management high-yield option; the international equity index fund by Vanguard's Total International Stock Index Fund; its large-cap value index fund by Vanguard's 500 Index Admiral; its midcap growth and value funds replaced by Champlain Investment Partners' midcap core institutional funds; and TIAA-CREF's small-cap blend index fund replaced by an Aristotle Capital Management small-cap core equity fund.

The Baird Core Plus Bond Fund, managed by Baird Asset Management, and Goldman Sachs GQG Partners International Opportunities Fund, managed by Goldman Sachs Asset Management, have also been added to the lineup.