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March 26, 2009 DC Update

Released on 03/26/2009 at 12:00 AM

  • State Auditor Reports that Changes to the Deferred Compensation Plan Should Benefit Participants

    In March, the Office of Missouri State Auditor Susan Montee released a report of the findings from their audit of the State of Missouri Deferred Compensation Plan. The report indicates that the upcoming plan design changes provide simpler, more diversified investment options in the form of new target date funds. Referring to the old fund line-up, the report noted that many of the previous investment options underperformed their respective benchmarks and the many overlapping options did not offer participants enough of an opportunity to build a diversified portfolio. The auditor concluded the changes “should result in significant cost savings for plan participants,” because of the overall decrease in fund management fees and the target date funds “should also allow participants to improve investment returns relative to investment risk.”

    Read the message from the Auditor and the entire audit report on MOSERS' Website.

    Reminder: Please be sure employees are aware that Friday, March 27, 2009 is the deadline to opt out of the Deferred Compensation New Plan design. Other important dates and information are included in the Deferred Compensation New Plan Design Fact Sheet and Summary.