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Retirement Corner

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The New UT Retirement Fund Line Up Is Here

On November 15, 2011, the University of Texas System introduced a new and improved offering of mutual fund and annuity products for the UT Optional Retirement Program (ORP), UTSaver Tax Sheltered Annuity (TSA) and the UTSaver Deferred Compensation Plan (DCP). 

The UT System worked in close partnership with the UTRetirement Program Providers to develop a line-up of best-of-class funds in each appropriate investment category.  Our goal was to ensure each employee has an opportunity to build a meaningful investment portfolio, while at the same time eliminating the redundancies of multiple funds in individual share classes. 

This review was necessitated by the increasing regulatory environment.  Stringent rules about fund fee disclosures will become effective soon for certain plans.  Although the UT System Retirement Programs are not subject to those rules yet, it is likely that our plans will be subject to those rules in the future.  Offering a large number of funds increases the responsibility for the plan sponsor to monitor those funds and also increases the opportunity to not meet due diligence requirements.  Therefore our commitment to ensuring the retirement plans remain compliant with the various regulations now and in the future, led to the current investment fund options.     

The end result of our efforts has been a stream-lined, efficient fund line up that has reduced participant confusion, eliminated redundancy and offered an array of funds that will enable participants to create a meaningful and effective investment portfolio.  Additionally, our retirement plans continue to offer self-directed brokerage accounts where a large number of funds are available for employees who wish to pursue that option. 

To learn more, please visit our website at www.utretirement.utsystem.edu.