Nebraska State Farm College Savings Plan, Lincoln, is overhauling the investment options offered by the $520 million 529 plan, said Deborah Godkin, managing director at First National Bank of Omaha, the plan's program manager.
Effective Aug. 6, the plan is creating four tiers of options: U.S. equity, non-U.S. equity, fixed income and cash equivalents.
Under U.S. equity, the plan is adding the State Street Global Advisors S&P 500 index fund, Vanguard Group's Extended Market ETF and REIT ETF; and for international equity, SSGA's MSCI ACWI ex-U.S. index fund. Under fixed income, the plan will add BlackRock's iShares Core U.S. Aggregate ETF, Dimensional Fund Advisors' World ex-U.S. Government Fixed Income Portfolio, and the Vanguard Short-Term Bond ETF and Vanguard Short-Term Inflation-Protected Securities ETF; and under cash equivalents, Goldman Sachs Asset Management's Financial Square Government money market fund and an FDIC-insured bank savings account.
The funds replace OppenheimerFunds, which was originally hired in 2008 as investment manager and service provider for the plan and managed all funds. The shifts are the result of the change in the plan to a self-directed service model in June 2017.