January 2020 Fund Menu Change
The Kansas City Police Department Deferred Compensation Committee recently assessed the current investment options available in your Plan. The current Hartford Schroder US Midcap Opportunities Fund recently changed its investment objective from small/mid-cap to purely mid-cap.
To maintain the original investment objective for participants, the Committee approved a replacement small/mid-cap option provided by the same investment adviser. An additional benefit of this change is a reduction in investment management expenses. We’re excited to bring you an updated investment lineup.
What to expect
On January 16, 2020, the following change will be made to your investment lineup:
|Assets invested in and contributions to:||Ticker/Gross Expense Ratio||Will be directed to:||Ticker/Gross Expense Ratio|
|Hartford Schroder US Midcap Opportunities Fund - Class SDR||SMDRX / 0.86%||Schroder US Small & Mid Cap Equity Trust Class 3||N/A / 0.75%|
The new investment option is a Collective Investment Trust (CIT), rather than a mutual fund. CITs are collective investment vehicles through which multiple investors invest collectively in securities. CITs are regulated by the Office of the Comptroller of the Currency, not the SEC. Only retirement plans can invest in CITs. CITs may have lower expense fees and charges than a comparable mutual fund. CITs do not have a prospectus, but a fact sheet will be available on the Plan’s website (expected in February) with details about the CIT.
Gross expense ratios represent the fund’s total operating expenses expressed as a percentage of the assets held in the fund. Your expenses may be less than the gross expense ratio.
No action is required. These changes will be made to your investment lineup. If you’d like to invest your assets in another replacement investment other than the what’s indicated above, you can do so before 3 p.m. Central time on January 15, 2020.
We're here to help
If you have any questions or need additional information, contact our solutions center at 877-677-3678. Our specialists are available Monday through Friday, 7 a.m. to 10 p.m. and Saturday, 8 a.m. to 5 p.m. Central time.