San Jose (Calif.) Deferred Compensation Advisory Committee approved the removal of the Vanguard Federal Money Market Fund from the investment options lineup of the city's $1.1 billion 457 plan.
The committee approved the removal of the money market fund managed by Vanguard Group at its Sept. 21 meeting, confirmed Amy Morton, senior benefits analyst in the city's human resources department.
The fund had $20 million in assets in the plan as of June 30 and will be moved to the plan's stable value option, which had $247 million in assets in the plan as of that date.
Hyas Group, the plan's new investment consultant, recommended the change as part of a restructuring of the plan's investment options lineup.
The committee voted to revisit other recommendations at its Dec. 14 meeting. Other recommendations included adding new core fixed income and international value equity options; consolidating equity investment options; removing global fixed income, international small cap, emerging markets equity and real estate asset classes; and replacing midcap value, small-cap growth and socially responsible investment options.
Whether any of those recommendations will be adjusted for the December meeting has yet to be determined.
Hyas Group is assisting.
