The $102.9 billion Virginia Retirement System, Richmond, named Voya Financial as the third-party record keeper for its defined contribution plans Thursday, subject to final contract negotiations.
"We believe Voya's commitment to innovation, detailed knowledge of government plans and ability to provide exceptional service will lead to improved outcomes for VRS members as they prepare for their future and, ultimately, retirement," VRS Director Patricia S. Bishop said in a news release Thursday.
As of May 31, VRS had $6.5 billion in defined contribution plans assets across approximately 586,000 accounts, according to VRS public relations director Jeanne Chenault.
Voya will assume record keeping responsibilities for VRS defined contribution plans on January 1, 2025, after an 18-month transition period, according to the news release. Such plans include the Commonwealth of Virginia 457 Deferred Compensation Plan, the Virginia Cash Match Plan 401(a) and the defined contribution component of the Hybrid Retirement Plan.
In addition, Voya will serve as the record keeper "for VRS-sponsored optional retirement plans for political appointees and school superintendents, and as one of the provider choices for the optional plan for higher education," the news release states.
"It was exceedingly important to select a partner to advance the level of financial education and savings-support services we offer to our teachers, higher education personnel, state and local employees and our first responders," said A. Scott Andrews, chairman of the VRS Board of Trustees, in the release.
Voya currently oversees more than 3,700 government plans, representing over $139 billion in assets and more than 2.6 million participants, according to the news release.
