San Jose (Calif.) Deferred Compensation Advisory Committee approved changes to its investment options lineup of the city's $1.1 billion 457 plan, including the addition of new options for core fixed income and active international value equities.
The committee at its Dec. 14 meeting approved the addition of a passive core fixed-income fund managed by Fidelity Investments and an active international value equity fund managed by Vanguard Group, recently released meeting minutes show.
The new funds will be added as a result of a plan structure review conducted by investment consultant Hyas Group. The new funds do not replace any other funds.
Also within fixed income, the committee approved the addition of an active domestic core-plus fixed-income fund managed by Loomis Sayles & Co., which will replace an active global fixed-income fund managed by Franklin Templeton.
The committee also approved changes to domestic equity investment options, including the removal of an active domestic large-cap value equity fund managed by AMG Funds and the mapping of participants invested in the fund to an existing active domestic large-cap equity fund managed by Vanguard; the addition of an active domestic large-cap growth equity fund managed by T. Rowe Price Group and removal of two similar funds managed by Capital Group and Fidelity Investments; the addition of an active domestic midcap value equity fund managed by MFS Investment Management and removal of a similar fund managed by J.P. Morgan Asset Management; the addition of an active domestic small-cap growth equity fund managed by Hood River Capital Management and removal of a similar fund managed by Emerald Mutual Fund Advisers.
The committee also approved multiple share class changes to existing investment options, including moving its target-date fund lineup managed by Vanguard to collective investment trusts, from mutual funds.
The new lineup will consist of 15 investment options, a self-directed brokerage option and the target-date fund lineup.
Amy Morton, senior benefits analyst in the city's human resources department, could not be immediately reached for further information.
