Plan Transition Kit. Bringing the Future to You. A guide to your new investment options

Transcription

1 The Boston University Retirement Plan and the Boston University Supplemental Retirement and Savings Plan Plan Transition Kit A guide to your new investment options Bringing the Future to You

2 ii Your Guide to the Improved Boston University Retirement Plan and the Supplemental Retirement and Savings Plan This introductory transition kit provides you with details about significant changes to Boston University s retirement plans and changes that will affect all participants, and will require some action by all participants by December 6th. On January 1, 2014, Boston University will implement a new investment structure for the Boston University Retirement Plan and the Supplemental Retirement and Savings Plan. This guide will help you: Learn about the new investment structure Review key dates and educational resources Understand what elections you need to make by December 6th The investment election period is open now and will be open through December 6th. Log on to to make your elections.

3 1 Bringing the Future to You When it comes to saving for retirement, we all have one primary goal: to accumulate the assets we ll need for our lifetime. Boston University is committed to offering retirement benefits that will provide income in your retirement years. The University is pleased to introduce some changes to the Boston University Retirement Plan and the Supplemental Retirement and Savings Plan changes that will make its plans even better. As you know, securing the income you ll need in retirement will take careful planning on your part. The new investment structure brings the future to you, making your options easier to understand, while preserving access to the rich spectrum of investments you ve had in the past. Specifically, we re restructuring your investment options to: Improve your ability to plan for retirement; Streamline and simplify your investment options; Reduce costs on average; and Enable the University to comply with updated regulations to 403(b) plans. Broadly speaking, you will have two ways to invest: First, after completing an analysis of the current investment options, asset diversification, management style, fund objectives, return on investments, fees associated with the funds, and the retirement needs of our multigenerational workforce, we have selected a group of highquality funds. The investment options include target retirement funds, mutual funds, and annuities. The University will monitor these funds to ensure that they continue to meet certain standards. Secondly, you ll have access to a self-directed brokerage account, which offers a broad range of funds. These funds are not monitored by the University. Be sure to review all your investment options to ensure that you diversify your account and safeguard your retirement income. A new car. A new home. College for your child. No doubt, you have some other important savings goals in mind. But consider this: You can t take a loan for retirement. This is your chance to assess your options and take steps to ensure that, when you reach retirement, your income will go the distance. The New Structure The University is streamlining our investment options into the following categories: Selected Investments Vanguard Target Retirement Funds Core Mutual Funds Core Annuity Accounts Other Investments BrokerageLink Each category offers different advantages. You can choose investments from one category or mix investments as you see fit. What s not changing? You continue to contribute 3% of your base salary plus additional supplemental contributions. The amount the University contributes on your behalf. You decide how to invest all contributions.

4 2 Table of Contents Take a fresh look at your Boston University Retirement Plan and the Supplemental Retirement and Savings Plan. We encourage you to use this guide as a resource to help you make the best investment decisions for your future. 3 An overview of the new investment structure 4 A closer look at the new investment structure 4 The Selected Investments 4 Vanguard Target Retirement Funds 6 Core Mutual Funds 7 Core Annuities 8 Other investments 8 BrokerageLink self-directed brokerage account 9 What do I need to do? 10 What will happen to existing balances and future contributions? 10 Investments at Fidelity 20 Important information for investments at TIAA-CREF 22 About BrokerageLink 27 How to make your investment election 29 If you take no action 30 Key dates 34 The blackout period in December for TIAA-CREF balances 35 Your next steps

5 3 An overview of the new investment structure A new investment structure is being offered for the Boston University Retirement Plan and the Supplemental Retirement and Savings Plan. In the past, you could choose from a long list of investments nearly 300 which was great for savvy investors but challenging for others. Moving forward, the new structure will continue to offer robust options for experienced investors. But it will also help others navigate the investment options and make their choices. Each option allows you to choose investments based on your desired level of involvement. Selected Investments Other Investments Vanguard Target Retirement Funds Core Mutual Funds Core Annuities BrokerageLink How Fees Are Assessed Today Currently, the Plans administrative services costs are paid for by participants indirectly through offsets attributable to the asset-based fees of the investment options in the Plans. The funds in the Plans investment lineup generate enough offsets to cover the cost of the Plans administrative services, which include items such as Fidelity recordkeeping and administration fees, as well as expenses related to the trustee and custody of the Plans assets, accounting fees, legal compliance, participant education, and communications. While this is a common approach to allocating plan administration expenses to retirement plan participants, the actual fees are not directly deducted from your account or reflected on your account statement. New Fixed Plan Administration Fee Effective January, 1, 2014, the overall expenses associated with the new investment structure will be lower than what the Plans pay today and participants will have greater transparency. Therefore, beginning in April 2014, participants with an account at Fidelity will be assessed a fixed quarterly fee of $16.25, which will be deducted directly from participant accounts and reflected on their Fidelity participant account statements. It s important to note that this change only affects participant accounts at Fidelity. Accounts at TIAA-CREF will continue to be charged as a percent of assets. Before investing in any investment option, consider the investment objectives, risks, charges, and expenses. Contact Fidelity at or TIAA-CREF at for a mutual fund or variable annuity prospectus or, if available, a summary prospectus. For information on TIAA-CREF Annuity Accounts, contact TIAA-CREF to request a fact sheet. Read them carefully.

6 4 A closer look at the new investment structure The University is streamlining your investment options into four categories, each of which offers different advantages. All you have to do is select the fund or funds in the different categories, based on the level of involvement that s comfortable for you. Let s take a closer look at your choices. The Selected Investments The Selected Investments have been specifically chosen by BU, as a result of a careful review, and provide participants with the option of managing their own asset allocations or allowing professional investment managers to balance the investments. The funds are professionally managed and monitored on a quarterly basis. The three types of Selected Investments, Vanguard Target Retirement funds, Core Mutual Funds, and Core Annuity Accounts are presented below. You can elect to invest in all of these categories. Vanguard Target Retirement Funds One-Stop Shopping * The Vanguard Target Retirement Funds may be a good choice for you if you want to play a less active role in managing your retirement portfolio and want the asset allocation expertise of professional investment managers. The Vanguard Target Retirement Funds are low-cost Target Retirement Funds that correspond to a range of target retirement years or the year in which you will turn 65, and automatically rebalance between stocks and bonds to become more conservative as you approach retirement (as shown in the table on the next page). Many employees may find this option is best for them. Vanguard Target Retirement Funds are designed for investors expecting to retire around the year indicated in each fund s name. Each fund is managed to gradually become more conservative over time as it approaches its target date. The investment risk of each Vanguard Target Retirement Fund changes over time as the fund s asset allocation changes. The funds are subject to the volatility of the financial markets, including that of equity and fixed-income investments in the United States and abroad, and may be subject to risks associated with investing in high-yield, small-cap, commodity-linked, and foreign securities. The principal invested is not guaranteed at any time, including at or after the target dates. Please refer to the fund descriptions enclosed in this packet for specific fund information. * It is your responsibility to select and monitor your investments to make sure they continue to reflect your financial situation, risk tolerance, and time horizon. Most investment professionals suggest that you reexamine your investment approach at least annually or when your situation changes.

7 5 Fund Name Ticker Symbol Date of Birth Range for Age 65 Target Retirement Years Expense Ratio Vanguard Target Retirement Income Fund Investor Shares VTINX Before 1943 Before % Vanguard Target Retirement 2010 Fund Investor Shares VTENX 1/1/ /31/ % Vanguard Target Retirement 2015 Fund Investor Shares VTXVX 1/1/ /31/ % Vanguard Target Retirement 2020 Fund Investor Shares VTWNX 1/1/ /31/ % Vanguard Target Retirement 2025 Fund Investor Shares VTTVX 1/1/ /31/ % Vanguard Target Retirement 2030 Fund Investor Shares VTHRX 1/1/ /31/ % Vanguard Target Retirement 2035 Fund Investor Shares VTTHX 1/1/ /31/ % Vanguard Target Retirement 2040 Fund Investor Shares VFORX 1/1/ /31/ % Vanguard Target Retirement 2045 Fund Investor Shares VTIVX 1/1/ /31/ % Vanguard Target Retirement 2050 Fund Investor Shares VFIFX 1/1/ /31/ % Vanguard Target Retirement 2055 Fund Investor Shares VFFVX 1/1/ /31/ % Vanguard Target Retirement 2060 Fund Investor Shares VTTSX 1993 and later 2058 and later 0.18% Timeline was selected by the plan sponsor. Expense ratios are as of 9/3/2013.

8 6 Core Mutual Funds Create Your Own Mix If you know your investment objectives and want to play a more active role in building a diversified portfolio, this may be the best choice for you. You are offered the flexibility to design a diverse portfolio without having to sort through many fund choices. Participants looking for a specific asset allocation or to complement their total portfolio of investments may be best suited to choose from among the Core Mutual Funds. Refer to the fund descriptions in this packet for more information about these funds. The Core Mutual Funds Ticker Symbol Investment Type Expense Ratio Short-Term Redemption Fee* (Fee % / Holding Period) Vanguard Prime Money Market Fund Institutional Shares VMRXX Short Term 0.09% N/A Vanguard Intermediate-Term Bond Index Fund Institutional Shares VBIMX Bond Diversified 0.07% N/A PIMCO Total Return Fund Institutional Class PTTRX Bond Diversified 0.46% N/A Vanguard Inflation-Protected Securities Fund Institutional Shares VIPIX Bond Inflation-Protected 0.07% N/A Vanguard Institutional Index Fund Institutional Shares VINIX Domestic Equity Large Blend 0.04% N/A Fidelity Contrafund Class K FCNKX Domestic Equity Large Growth 0.63% N/A Domini Social Investment Trust Social Equity Fund Institutional Class DIEQX Domestic Equity Large Blend 0.83% 2% / 30 days Vanguard Extended Market Index Fund Institutional Shares VIEIX Domestic Equity Mid Blend 0.12% N/A Fidelity Low-Priced Stock Fund Class K FLPKX Domestic Equity Mid Blend 0.76% 1.5% / 90 days DFA U.S. Small Cap Portfolio Institutional Class DFSTX Domestic Equity Small Blend 0.37% N/A * A short-term trading fee will not be charged as part of this reallocation. If you request a change either before or after this transition without satisfying the required holding period indicated in the chart, you may incur a short-term trading fee. The Class K share class will remain available for Fidelity Low-Priced Stock Fund Class K and Fidelity Contrafund Class K. Expense ratios are as of 9/3/2013.

9 7 Core Mutual Funds (continued) The Core Mutual Funds Ticker Symbol Investment Type Expense Ratio Short-Term Redemption Fee* (Fee % / Holding Period) Vanguard Total International Stock Index Fund Institutional Shares VTSNX International/Global Diversified 0.12% N/A Causeway International Value Fund Class Institutional CIVIX International/Global Diversified 0.99% 2% / 60 days Harding Loevner Global Equity Portfolio Institutional Class HLMVX International/Global Diversified 1.02% N/A DFA Emerging Markets Core Equity Portfolio Institutional Class DFCEX International/Global Emerging Markets 0.68% N/A E.I.I. Global Property Fund Class Institutional EIIGX International/Global Specialty 1.02% N/A * A short-term trading fee will not be charged as part of this reallocation. If you request a change either before or after this transition without satisfying the required holding period indicated in the chart, you may incur a short-term trading fee. Core Annuities Build Annuity Income into Your Mix Fund Name Type of Annuity TIAA Traditional Guaranteed CREF Money Market Variable CREF Inflation-Linked Bond Variable CREF Stock Variable Ensuring adequate lifetime income is a primary reason you save for retirement. In fact, the goal of saving for retirement isn t just to build wealth, it s to replace the income you were earning when you were working. A low-cost annuity can be a valuable component of a well-diversified retirement portfolio, both before and during retirement. And unlike mutual funds, an annuity offers the opportunity to receive the assurance of a lifetime income in retirement, subject to the claims-paying ability of the issuing company. You have access to several annuity accounts the TIAA Traditional Annuity, the CREF Stock Account, the CREF Money Market Account, and the CREF Inflation-Linked Bond Account.

10 8 Core Annuities (continued) The TIAA Traditional Annuity is a guaranteed annuity account backed by TIAA s claims-paying ability. It guarantees your principal and a contractually specified minimum interest rate, plus it offers the opportunity for additional amounts in excess of this guaranteed rate. These additional amounts are declared on a year-by-year basis by the TIAA Board of Trustees. Additional amounts are not guaranteed for future years. The CREF Stock Account, CREF Money Market Account, and CREF Inflation-Linked Bond Account are variable annuity accounts whose rates of return will fluctuate with the market. Please refer to the account descriptions you receive in this packet for more information on the TIAA-CREF investment options. Annuity account options are available through annuity contracts issued by TIAA or CREF. These contracts are designed for retirement or other long-term goals, and offer a variety of income options, including lifetime income. Payments from the variable annuity accounts are not guaranteed and will rise or fall based on investment performance. Information was provided by TIAA-CREF. Fidelity Investments is not responsible for its content. Other investments BrokerageLink self-directed brokerage account A World of Choices A BrokerageLink account combines the convenience of your workplace retirement savings plan with the additional flexibility of a brokerage account. For those desiring the most investment flexibility and choice, BrokerageLink gives you expanded investment choices and the opportunity to more actively manage your retirement contributions. This category offers the widest range of investment options. However, if you lack the time or expertise to actively manage your portfolio, a self-directed brokerage account may not be appropriate for your needs. The University will not select or monitor the investments available in BrokerageLink. Certain ongoing transactions in the Brokerage- Link account may carry additional fees and the investment funds may have higher expense ratios than the Core Mutual Funds. Please review the Fidelity BrokerageLink Participant Acknowledgment Form and Commission Schedule, available at before choosing this category. Regardless of which investments you choose, you will be able to make additional changes to your account once the transition is completed in January.

11 9 What do I need to do? u Make your elections choose funds that meet your savings goals. u If you take no action, you will default to a Vanguard Target Retirement Fund based on your age. This does not apply to existing balances in the TIAA-CREF annuity accounts or MetLife Fixed Account. YOUR MOST IMPORTANT STEP TAKE ACTION to make your investment elections. Take action and elect your investment choices from the new Selected Investments categories or use BrokerageLink. If you do not want your fund selections to default to the Vanguard Target Retirement Funds as described on pages 4 and 5, you must elect your investment funds from among the new fund lineup, which is detailed on pages 6 7, or choose BrokerageLink.

12 10 What will happen to existing balances and future contributions? Investments at Fidelity Future contributions Beginning in January 2014, all future contributions will be invested according to your elections made during the election period (October 4th to December 6th, 2013) at If no election is made, your contributions will be invested in a Vanguard Target Retirement Fund based on your age. Existing balances Beginning in January 2014, all existing balances will be invested according to your elections made during the election period (October 4th to December 6th) at If you would like to keep your current Fidelity investment option as is, you must select the BrokerageLink choice. This is unless your investment option is Fidelity Low Priced Stock Fund Class K or Fidelity Contrafund Class K, in which case you do not have to select BrokerageLink. If no election is made, your balances will be invested in a Vanguard Target Retirement Fund based on your age. This does not apply to existing balances in the MetLife Fixed Account, which will remain in your account. Funds without short-term redemption fees will transfer on December 31, Funds with shortterm redemption fees will transfer on March 31, 2014, in order to ensure no short-term redemption fees are charged as a part of the move to your new elections. Please see pages to determine when your fund balances will transfer. It s important to note that the short-term redemption fee will not apply if you choose the BrokerageLink option. Except for the investment options listed on pages 20, 21, 23, 24, and 25, your investments will move to the same investments in BrokerageLink or in kind on December 31, The Fidelity Class K share funds will not move in kind but will be liquidated, and the new share class will be repurchased, which will change the expense ratio for these funds. Balances in other funds that are not eligible to move in kind to BrokerageLink (funds listed on page 23) will default to a Vanguard Target Retirement Fund based on your age. See pages 24 and 25 for more details on the new expense ratios, the BrokerageLink choice, and the unique consideration for certain investments.

13 11 Here are the funds transferring on December 31, Fund Name Ticker Expense Ratio Short-Term Redemption Fee Fidelity Asset Manager 20% FASIX 0.54% N/A Fidelity Asset Manager 30% FTANX 0.59% N/A Fidelity Asset Manager 40% FFANX 0.59% N/A Fidelity Asset Manager 50% FASMX 0.70% N/A Fidelity Asset Manager 60% FSANX 0.78% N/A Fidelity Asset Manager 70% FASGX 0.77% N/A Fidelity Asset Manager 85% FAMRX 0.82% N/A Fidelity Balanced Fund Class K FBAKX 0.48% N/A Fidelity Blue Chip Growth Fund Class K FBGKX 0.74% N/A Fidelity Blue Chip Value Fund FBCVX 0.77% N/A Fidelity Capital Appreciation Fund Class K FCAKX 0.81% N/A Fidelity Cash Reserves FDRXX 0.38% N/A Fidelity Conservative Income Bond Fund FCONX 0.40% N/A Fidelity Contrafund Class K FCNKX 0.63% N/A Fidelity Convertible Securities Fund FCVSX 0.76% N/A Fidelity Corporate Bond Fund FCBFX 0.45% N/A Fidelity Disciplined Equity Fund Class K FDEKX 0.39% N/A Fidelity Dividend Growth Fund Class K FDGKX 0.77% N/A Fidelity Equity Dividend Income Fund Class K FETKX 0.54% N/A Fidelity Equity-Income Fund Class K FEIKX 0.54% N/A Fidelity Fifty FFTYX 0.83% N/A Fidelity Focused Stock Fund FTQGX 0.93% N/A Fidelity Four-in-One Index Fund FFNOX 0.24% N/A Fidelity Freedom K 2000 Fund FFKBX 0.39% N/A Fidelity Freedom K 2005 Fund FFKVX 0.46% N/A Fidelity Freedom K 2010 Fund FFKCX 0.51% N/A Fidelity Freedom K 2015 Fund FKVFX 0.52% N/A

14 12 Funds transferring on December 31, 2013 (continued) Fund Name Ticker Expense Ratio Short-Term Redemption Fee Fidelity Freedom K 2020 Fund FFKDX 0.55% N/A Fidelity Freedom K 2025 Fund FKTWX 0.60% N/A Fidelity Freedom K 2030 Fund FFKEX 0.62% N/A Fidelity Freedom K 2035 Fund FKTHX 0.66% N/A Fidelity Freedom K 2040 Fund FFKFX 0.66% N/A Fidelity Freedom K 2045 Fund FFKGX 0.68% N/A Fidelity Freedom K 2050 Fund FFKHX 0.68% N/A Fidelity Freedom K 2055 Fund FDENX 0.69% N/A Fidelity Freedom K Income Fund FFKAX 0.39% N/A Fidelity Fund Class K FFDKX 0.42% N/A Fidelity Global Bond Fund FGBFX 1.28% N/A Fidelity Global Strategies Fund FDYSX 0.93% N/A Fidelity GNMA Fund FGMNX 0.45% N/A Fidelity Government Income Fund FGOVX 0.45% N/A Fidelity Government Money Market Fund SPAXX 0.42% N/A Fidelity Growth & Income Portfolio Class K FGIKX 0.54% N/A Fidelity Growth Company Fund Class K FGCKX 0.77% N/A Fidelity Growth Discovery Fund Class K FGDKX 0.72% N/A Fidelity Independence Fund Class K FDFKX 0.66% N/A Fidelity Inflation-Protected Bond Fund FINPX 0.45% N/A Fidelity Institutional Short-Intermediate Government Fund FFXSX 0.45% N/A Fidelity Intermediate Bond Fund FTHRX 0.45% N/A Fidelity Intermediate Government Income Fund FSTGX 0.45% N/A Fidelity International Bond Fund FINUX 1.26% N/A Fidelity Investment Grade Bond Fund FBNDX 0.45% N/A Fidelity Large Cap Core Enhanced Index Fund FLCEX 0.45% N/A Fidelity Large Cap Growth Enhanced Index Fund FLGEX 0.45% N/A

15 13 Funds transferring on December 31, 2013 (continued) Fund Name Ticker Expense Ratio Short-Term Redemption Fee Fidelity Large Cap Stock Fund FLCSX 0.85% N/A Fidelity Large Cap Value Enhanced Index Fund FLVEX 0.47% N/A Fidelity Magellan Fund Class K FMGKX 0.39% N/A Fidelity Mega Cap Stock Fund FGRTX 0.70% N/A Fidelity Money Market Fund SPRXX 0.42% N/A Fidelity Money Market Trust Retirement Government Money Market Portfolio FGMXX 0.42% N/A Fidelity Money Market Trust Retirement Money Market Portfolio FRTXX 0.42% N/A Fidelity Mortgage Securities Fund FMSFX 0.45% N/A Fidelity New Millennium Fund FMILX 0.96% N/A Fidelity OTC Portfolio Class K FOCKX 0.77% N/A Fidelity Puritan Fund Class K FPUKX 0.48% N/A Fidelity Short-Term Bond Fund FSHBX 0.45% N/A Fidelity Stock Selector All Cap Fund Class K FSSKX 0.61% N/A Fidelity Stock Selector Large Cap Value Fund FSLVX 0.57% N/A Fidelity Stock Selector Mid Cap Fund FSSMX 0.59% N/A Fidelity Strategic Dividend & Income Fund FSDIX 0.81% N/A Fidelity Strategic Income Fund FSICX 0.70% N/A Fidelity Telecom and Utilities Fund FIUIX 0.83% N/A Fidelity Total Bond Fund FTBFX 0.45% N/A Fidelity Treasury Only Money Market Fund FDLXX 0.42% N/A Fidelity Trend Fund FTRNX 0.89% N/A Fidelity U.S. Government Reserves FGRXX 0.32% N/A Fidelity Value Discovery Fund Class K FVDKX 0.68% N/A Fidelity Value Fund Class K FVLKX 0.54% N/A Fidelity Value Strategies Fund Class K FVSKX 0.71% N/A PIMCO RealRetirement 2020 Fund Institutional Class PRWIX 1.29% N/A PIMCO RealRetirement 2030 Fund Institutional Class PRLIX 1.38% N/A

16 14 Funds transferring on December 31, 2013 (continued) Fund Name Ticker Expense Ratio Short-Term Redemption Fee PIMCO RealRetirement 2040 Fund Institutional Class PROIX 1.45% N/A PIMCO RealRetirement 2050 Fund Institutional Class PRMIX 1.46% N/A PIMCO RealRetirement Income and Distribution Fund Institutional Class PRIEX 1.27% N/A Select Money Market Portfolio FSLXX 0.30% N/A Spartan 500 Index Fund Institutional Class FXSIX 0.05% N/A Spartan Inflation-Protected Bond Index Fund Fidelity Advantage Class Spartan Intermediate Treasury Bond Index Fund Fidelity Advantage Class Spartan Long-Term Treasury Bond Index Fund Fidelity Advantage Class Spartan Short-Term Treasury Bond Index Fund Fidelity Advantage Class FSIYX 0.10% N/A FIBAX 0.10% N/A FLBAX 0.10% N/A FSBAX 0.10% N/A Spartan U.S. Bond Index Fund Institutional Class FXSTX 0.07% N/A Strategic Advisers Core Income Multi-Manager Fund FWHBX 1.02% N/A Strategic Advisers Core Multi-Manager Fund FLAUX 1.04% N/A Strategic Advisers Growth Multi-Manager Fund FMELX 0.88% N/A Strategic Advisers Value Multi-Manager Fund FKMOX 1.32% N/A Vanguard 500 Index Fund Signal Class VIFSX 0.05% N/A Vanguard Developed Markets Index Fund Investor Shares VDMIX 0.20% N/A Vanguard Extended Market Index Fund Signal Shares VEMSX 0.14% N/A Vanguard Growth Index Fund Signal Shares VIGSX 0.10% N/A Vanguard Inflation-Protected Securities Fund Admiral Shares VAIPX 0.10% N/A Vanguard Intermediate-Term Treasury Fund Admiral Shares VFIUX 0.10% N/A Vanguard Long-Term Treasury Fund Admiral Shares VUSUX 0.10% N/A Vanguard Prime Money Market Fund Investor Class VMMXX 0.16% N/A Vanguard Short-Term Treasury Fund Admiral Shares VFIRX 0.10% N/A Vanguard Total Stock Market Index Fund Signal Shares VTSSX 0.05% N/A Vanguard Value Index Fund Signal Shares VVISX 0.10% N/A

17 15 Here are the funds transferring on March 31, Fund Name Ticker Expense Ratio Short-Term Redemption Fee* (Fee % / Holding Period) Fidelity Canada Fund FICDX 0.77% 1.5% / 90 days Fidelity Capital & Income Fund FAGIX 0.73% 1% / 90 days Fidelity China Region Fund FHKCX 1.04% 1.5% / 90 days Fidelity Diversified International Fund Class K FDIKX 0.84% 1% / 30 days Fidelity Emerging Asia Fund FSEAX 0.94% 1.5% / 90 days Fidelity Emerging Europe, Middle East, Africa (EMEA) Fund FEMEX 1.37% 1.5% / 90 days Fidelity Emerging Markets Discovery Fund FEDDX 3.07% 2% / 90 days Fidelity Emerging Markets Fund Class K FKEMX 0.87% 1.5% / 90 days Fidelity Europe Capital Appreciation Fund FECAX 0.95% 1% / 30 days Fidelity Europe Fund FIEUX 0.83% 1% / 30 days Fidelity Export and Multinational Fund Class K FEXKX 0.65% 0.75% / 30 days Fidelity Floating Rate High Income Fund FFRHX 0.71% 1% / 60 days Fidelity Focused High Income Fund FHIFX 0.81% 1% / 90 days Fidelity Global Balanced Fund FGBLX 1.04% 1% / 30 days Fidelity Global Commodity Stock Fund FFGCX 1.10% 1% / 30 days Fidelity Global Equity Income Fund FGILX 2.18% 1% / 30 days Fidelity Global High Income Fund FGHNX 0.96% 1% / 90 days Fidelity Growth Strategies Fund Class K FAGKX 0.48% 1.5% / 90 days Fidelity High Income Fund SPHIX 0.72% 1% / 90 days Fidelity International Capital Appreciation Fund FIVFX 1.22% 1% / 30 days Fidelity International Discovery Fund Class K FIDKX 0.84% 1% / 30 days Fidelity International Enhanced Index Fund FIENX 0.63% 1% / 30 days Fidelity International Growth Fund FIGFX 1.28% 1% / 30 days Fidelity International Real Estate Fund FIREX 1.19% 1.5% / 90 days Fidelity International Small Cap Fund FISMX 1.36% 2% / 90 days Fidelity International Small Cap Opportunities Fund FSCOX 1.47% 2% / 90 days * A short-term trading fee will not be charged as part of this reallocation. If you request a change either before or after this transition without satisfying the required holding period indicated in the chart, you may incur a short-term trading fee.

18 16 Funds transferring on March 31, 2014 (continued) Fund Name Ticker Expense Ratio Short-Term Redemption Fee* (Fee % / Holding Period) Fidelity International Value Fund FIVLX 1.13% 1% / 30 days Fidelity Japan Fund FJPNX 1.09% 1.5% / 90 days Fidelity Japan Smaller Companies Fund FJSCX 1.05% 1.5% / 90 days Fidelity Latin America Fund FLATX 1.02% 1.5% / 90 days Fidelity Leveraged Company Stock Fund Class K FLCKX 0.69% 1.5% / 90 days Fidelity Low-Priced Stock Fund Class K FLPKX 0.76% 1.5% / 90 days Fidelity Mid Cap Enhanced Index Fund FMEIX 0.62% 0.75% / 30 days Fidelity Mid Cap Value Fund FSMVX 0.85% 0.75% / 30 days Fidelity Mid-Cap Stock Fund Class K FKMCX 0.51% 0.75% / 30 days Fidelity Nasdaq Composite Index Fund FNCMX 0.58% 0.75% / 90 days Fidelity New Markets Income Fund FNMIX 0.87% 1% / 90 days Fidelity Nordic Fund FNORX 1.08% 1.5% / 90 days Fidelity Overseas Fund Class K FOSKX 0.51% 1% / 30 days Fidelity Pacific Basin Fund FPBFX 1.28% 1.5% / 90 days Fidelity Real Estate Income Fund FRIFX 0.90% 0.75% / 90 days Fidelity Real Estate Investment Portfolio FRESX 0.84% 0.75% / 90 days Fidelity Small Cap Discovery Fund FSCRX 1.06% 1.5% / 90 days Fidelity Small Cap Enhanced Index Fund FCPEX 0.76% 1.5% / 90 days Fidelity Small Cap Growth Fund FCPGX 1.03% 1.5% / 90 days Fidelity Small Cap Stock Fund FSLCX 0.72% 2% / 90 days Fidelity Small Cap Value Fund FCPVX 1.13% 1.5% / 90 days Fidelity Stock Selector Small Cap Fund FDSCX 1.07% 1.5% / 90 days Fidelity Strategic Real Return Fund FSRRX 0.75% 0.75% / 60 days Fidelity Total Emerging Markets Fund FTEMX 1.60% 1.5% / 90 days Fidelity Total International Equity Fund FTIEX 1.16% 1% / 30 days Fidelity Ultra-Short Bond Fund FUSFX 0.45% 0.25% / 60 days Fidelity Worldwide Fund FWWFX 1.11% 1% / 30 days

19 17 Funds transferring on March 31, 2014 (continued) Fund Name Ticker Expense Ratio Short-Term Redemption Fee* (Fee % / Holding Period) Select Air Transportation Portfolio FSAIX 0.94% 0.75% / 30 days Select Automotive Portfolio FSAVX 0.91% 0.75% / 30 days Select Banking Portfolio FSRBX 0.85% 0.75% / 30 days Select Biotechnology Portfolio FBIOX 0.81% 0.75% / 30 days Select Brokerage and Investment Management Portfolio FSLBX 1.79% 0.75% / 30 days Select Chemicals Portfolio FSCHX 0.83% 0.75% / 30 days Select Communications Equipment Portfolio FSDCX 0.93% 0.75% / 30 days Select Computers Portfolio FDCPX 0.85% 0.75% / 30 days Select Construction and Housing Portfolio FSHOX 0.86% 0.75% / 30 days Select Consumer Discretionary Portfolio FSCPX 0.86% 0.75% / 30 days Select Consumer Finance Portfolio FSVLX 0.89% 0.75% / 30 days Select Consumer Staples Portfolio FDFAX 0.81% 0.75% / 30 days Select Defense and Aerospace Portfolio FSDAX 0.84% 0.75% / 30 days Select Electronics Portfolio FSELX 0.84% 0.75% / 30 days Select Energy Portfolio FSENX 0.82% 0.75% / 30 days Select Energy Service Portfolio FSESX 0.82% 0.75% / 30 days Select Environment and Alternative Energy Portfolio FSLEX 0.99% 0.75% / 30 days Select Financial Services Portfolio FIDSX 0.96% 0.75% / 30 days Select Gold Portfolio FSAGX 0.93% 0.75% / 30 days Select Health Care Portfolio FSPHX 0.79% 0.75% / 30 days Select Industrial Equipment Portfolio FSCGX 0.82% 0.75% / 30 days Select Industrials Portfolio FCYIX 0.85% 0.75% / 30 days Select Insurance Portfolio FSPCX 0.87% 0.75% / 30 days Select IT Services Portfolio FBSOX 0.86% 0.75% / 30 days Select Leisure Portfolio FDLSX 0.85% 0.75% / 30 days Select Materials Portfolio FSDPX 0.85% 0.75% / 30 days Select Medical Delivery Portfolio FSHCX 0.84% 0.75% / 30 days

20 18 Funds transferring on March 31, 2014 (continued) Fund Name Ticker Expense Ratio Short-Term Redemption Fee* (Fee % / Holding Period) Select Medical Equipment and Systems Portfolio FSMEX 0.83% 0.75% / 30 days Select Multimedia Portfolio FBMPX 0.88% 0.75% / 30 days Select Natural Gas Portfolio FSNGX 0.87% 0.75% / 30 days Select Natural Resources Portfolio FNARX 0.86% 0.75% / 30 days Select Pharmaceuticals Portfolio FPHAX 0.85% 0.75% / 30 days Select Retailing Portfolio FSRPX 0.86% 0.75% / 30 days Select Software and Computer Services Portfolio FSCSX 0.82% 0.75% / 30 days Select Technology Portfolio FSPTX 0.81% 0.75% / 30 days Select Telecommunications Portfolio FSTCX 0.87% 0.75% / 30 days Select Transportation Portfolio FSRFX 0.89% 0.75% / 30 days Select Utilities Portfolio FSUTX 0.83% 0.75% / 30 days Select Wireless Portfolio FWRLX 0.90% 0.75% / 30 days Spartan Emerging Markets Index Fund Fidelity Advantage Class Spartan Extended Market Index Fund Fidelity Advantage Class Spartan Global ex U.S. Index Fund Fidelity Advantage Class Spartan International Index Fund Fidelity Advantage Class Spartan Mid Cap Index Fund Fidelity Advantage Class Spartan Real Estate Index Fund Fidelity Advantage Class Spartan Small Cap Index Fund Fidelity Advantage Class Spartan Total Market Index Fund Fidelity Advantage Class FPMAX 0.35% 1.5% / 90 days FSEVX 0.07% 0.75% / 90 days FSGDX 0.28% 1% / 90 days FSIVX 0.17% 1% / 90 days FSCKX 0.22% 0.75% / 30 days FSRVX 0.20% 0.75% / 90 days FSSVX 0.33% 1.5% / 90 days FSTVX 0.07% 0.5% / 90 days Strategic Advisers Emerging Markets Fund of Funds FLILX 2.26% 1.5% / 90 days Strategic Advisers Income Opportunities Fund of Funds FSADX 10.83% 1% / 90 days Strategic Advisers International Multi-Manager Fund FMJDX 1.29% 1% / 30 days Strategic Advisers Small-Mid Cap Multi-Manager Fund FNAPX 1.23% 1.5% / 90 days Expense ratios are as of 9/3/2013.

21 19 Unique considerations for those with MetLife Fixed Account Balances On December 31, 2013 (after 4 p.m. Eastern time), all your future contributions will be directed to the fund elections you have made at during the enrollment period (October 4th to December 6th). If you do not make an election, then your future contributions will default to the Vanguard Target Retirement Funds and your existing balances will remain in the MetLife Fixed Account.

22 20 Important information for investments at TIAA-CREF Future contributions Beginning in January 2014, all future contributions will be invested according to your elections made during the election period (October 4 to December 6, 2013) at If no election is made, your contributions will be invested in a Vanguard Target Retirement Fund at Fidelity. Existing balances Because of the contracts under which TIAA-CREF maintains all their annuity accounts, your existing balances in the investment options below cannot move to funds in the new lineup without your permission. Even if you elect a different investment option during the investment election period for your existing balance, your TIAA-CREF balances in the annuity accounts listed below will remain invested with TIAA-CREF. TIAA Traditional Annuity TIAA Real Estate Account CREF Stock Account CREF Equity Index Account CREF Inflation-Linked Bond Account CREF Global Equities Account CREF Bond Market Account CREF Growth Account CREF Money Market Account CREF Social Choice Account It s important to mention that while you will be able to retain your existing balances within these TIAA-CREF investment options, they will be frozen to future contributions, rebalancing, and exchanges. Future contributions may only be directed to the four remaining open Core Annuity choices listed at the bottom of page 7. Additionally, you will not be allowed to trade or rebalance within the former options unless the trades are being directed to one of the four remaining options.

23 21 The TIAA Traditional Annuity, the CREF Stock Account, the CREF Money Market Account, and the CREF Inflation-Linked Bond Account will remain as choices in the new fund structure and balances will remain in your account even if you make new elections. Any existing balances you may have in the TIAA-CREF mutual funds listed below will be transferred according to the reelection you make. TIAA-CREF Growth & Income Fund Institutional TIAA-CREF International Equity Fund Institutional TIAA-CREF Lifecycle Retirement Income Fund Institutional TIAA-CREF Large-Cap Value Fund Institutional TIAA-CREF Lifecycle 2010 Fund Institutional TIAA-CREF Lifecycle 2015 Fund Institutional TIAA-CREF Lifecycle 2020 Fund Institutional TIAA-CREF Lifecycle 2025 Fund Institutional TIAA-CREF Lifecycle 2030 Fund Institutional TIAA-CREF Lifecycle 2035 Fund Institutional TIAA-CREF Lifecycle 2040 Fund Institutional TIAA-CREF Lifecycle 2045 Fund Institutional TIAA-CREF Lifecycle 2050 Fund Institutional TIAA-CREF Mid-Cap Growth Fund Institutional TIAA-CREF Mid-Cap Value Fund Institutional TIAA-CREF Real Estate Securities Fund Institutional TIAA-CREF S&P 500 Index Fund Institutional TIAA-CREF Small-Cap Equity Fund Institutional TIAA-CREF Social Choice Equity Fund Institutional Please note that if you choose BrokerageLink and you have any of the TIAA-CREF funds listed directly above, then your funds will be transferred to a Vanguard Target Retirement Fund because these funds are not available in BrokerageLink. After the transfer to the Vanguard Target Retirement Fund is complete, you may transfer your assets to any of the newly available investment options. Please note that if you have an existing Roth balance in the plans, you will not be able to transfer existing balances into the Core Annuity Accounts because the Roth contribution option is not offered at TIAA-CREF. In addition, you cannot choose to make future Roth contributions to the Core Annuity Accounts for the same reason.

24 22 About BrokerageLink If your current fund selection is no longer part of the Selected Investments or if you would like to consider selecting from a broad range of mutual funds, you may open a BrokerageLink account. If you would like to do so, you may contact Fidelity at to request a BrokerageLink Acknowledgement form. If you would like to keep your eligible existing mutual fund balances in the same investment options (a transfer in kind), you may do so through a one-time in-kind balance transfer, with no transaction costs, no initial minimum balance, and no minimum transfer amount requirements. An in-kind balance transfer means that your holdings will not be bought or sold; your holdings will simply transfer to your BrokerageLink account. It s very important to note that there are many current funds that are not eligible for the in-kind transfer. The Fidelity Class K share funds will not move in kind but will be liquidated, and the new share class will be repurchased, which will change the expense ratio for these funds. If you choose BrokerageLink, existing balances in the Fidelity Low-Priced Stock Fund Class K and the Fidelity Contrafund Class K will not transfer they will remain in your account. Balances in other funds that are not eligible to move in kind to BrokerageLink (funds listed on page 23) will default to a Vanguard Target Retirement Fund based on your age. Please see page 23 for a list of the investment options that are not eligible. You can take part in this in-kind transfer provided you have chosen the BrokerageLink option during the investment election period AND completed a Fidelity BrokerageLink Participant Acknowledgment Form prior to the deadline of Friday, December 6, 2013, at 4 p.m. Eastern time. Before you decide to move forward with the transfer in kind, you should know that it is an all-or-nothing move. This means that you cannot choose to move only one or two funds. Your entire retirement plan account balance at Fidelity will need to be transferred to a BrokerageLink account. You can always transfer balances in your BrokerageLink account to one of the investments options available under the Selected Investments after January 1, However, the initial transfer in kind must include all your eligible mutual funds in their entirety. All the balances at Fidelity are eligible for the transfer in kind, except for the funds noted on pages 23, 24, and 25.

25 23 Investment options not eligible to move in kind to BrokerageLink Vanguard Extended Market Index Fund Signal Shares Vanguard Growth Index Fund Signal Shares Vanguard Inflation-Protected Securities Fund Admiral Shares Vanguard Intermediate-Term Treasury Fund Admiral Shares Vanguard Long-Term Treasury Fund Admiral Shares Vanguard Short-Term Treasury Fund Admiral Shares Vanguard Total Stock Market Index Fund Signal Shares Vanguard Value Index Fund Signal Shares Spartan 500 Index Fund Institutional Class Spartan U.S. Bond Index Fund Institutional Class Strategic Advisers Core Income Multi-Manager Fund Strategic Advisers Core Multi-Manager Fund Strategic Advisers Emerging Markets Fund of Funds Strategic Advisers Growth Multi-Manager Fund Strategic Advisers Income Opportunities Fund of Funds Strategic Advisers International Multi-Manager Fund Strategic Advisers Small-Mid Cap Multi-Manager Fund Strategic Advisers Value Multi-Manager Fund Vanguard 500 Index Fund Signal Class There is no fee to take part in the in-kind transfer, but please keep in mind that there may be fees associated with future transactions you perform in your BrokerageLink account. Please note that if you choose BrokerageLink and you have any existing balances in the TIAA CREF mutual funds listed previously on page 21, they will be initially transferred to a Vanguard Target Retirement Fund. You will be able to make exchanges into the new investment lineup once the blackout restriction is completed. See the Key dates section for more information. All the balances in the Fidelity Class K share funds listed on the next page are not eligible for the transfer in kind. They will be moved to a different share class. This means that the expenses associated with these funds will be higher than they were as Class K funds. Please remember that if you choose BrokerageLink, existing balances in the Fidelity Low Priced Stock Fund Class K and the Fidelity Contrafund Class K will not transfer they will remain in your account. Please be aware that there will be a restriction on making investment changes from December 28 to December 31, During this period, you will be unable to make investment changes in your account until the restrictions have been removed.

26 24 BrokerageLink (continued) Current Fidelity Class K Share Fund Current Expense Ratio Would move to New BrokerageLink Fund Share Class BrokerageLink Expense Ratio Fidelity Balanced Fund Class K 0.48% â Fidelity Balanced Fund Fidelity Blue Chip Growth Fund Class K 0.74% â Fidelity Blue Chip Growth Fund Fidelity Capital Appreciation Fund Class K 0.81% â Fidelity Capital Appreciation Fund Fidelity Disciplined Equity Fund Class K 0.39% â Fidelity Disciplined Equity Fund Fidelity Diversified International Fund Class K 0.84% â Fidelity Diversified International Fund Fidelity Dividend Growth Fund Class K 0.77% â Fidelity Dividend Growth Fund Fidelity Emerging Markets Fund Class K 0.87% â Fidelity Emerging Markets Fund Fidelity Equity Dividend Income Fund Class K 0.54% â Fidelity Equity Dividend Income Fund Fidelity Equity-Income Fund Class K 0.54% â Fidelity Equity- Income Fund Fidelity Export and Multinational Fund Class K 0.65% â Fidelity Export & Multinational Fund Fidelity Freedom K 2000 Fund 0.39% â Fidelity Freedom K 2005 Fund 0.46% â Fidelity Freedom K 2010 Fund 0.51% â Fidelity Freedom K 2015 Fund 0.52% â Fidelity Freedom K 2020 Fund 0.55% â Fidelity Freedom K 2025 Fund 0.60% â Fidelity Freedom K 2030 Fund 0.62% â Fidelity Freedom K 2035 Fund 0.66% â Fidelity Freedom K 2040 Fund 0.66% â Fidelity Freedom K 2045 Fund 0.68% â Fidelity Freedom K 2050 Fund 0.68% â Fidelity Freedom K 2055 Fund 0.69% â Fidelity Freedom K Income Fund 0.39% â Fidelity Freedom 2000 Fund Fidelity Freedom 2005 Fund Fidelity Freedom 2010 Fund Fidelity Freedom 2015 Fund Fidelity Freedom 2020 Fund Fidelity Freedom 2025 Fund Fidelity Freedom 2030 Fund Fidelity Freedom 2035 Fund Fidelity Freedom 2040 Fund Fidelity Freedom 2045 Fund Fidelity Freedom 2050 Fund Fidelity Freedom 2055 Fund Fidelity Freedom Income Fund 0.60% 0.90% 0.96% 0.54% 1.01% 0.93% 1.09% 0.67% 0.68% 0.82% 0.45% 0.53% 0.61% 0.62% 0.65% 0.72% 0.74% 0.79% 0.79% 0.80% 0.81% 0.82% 0.45%

27 25 BrokerageLink (continued) Current Fidelity Class K Share Fund Current Expense Ratio Would move to New BrokerageLink Fund Share Class BrokerageLink Expense Ratio Fidelity Fund Class K 0.42% â Fidelity Fund 0.56% Fidelity Growth & Income Portfolio Class K 0.54% â Fidelity Growth & Income Portfolio Fidelity Growth Company Fund Class K 0.77% â Fidelity Growth Company Fund Fidelity Growth Discovery Fund Class K 0.64% â Fidelity Growth Discovery Fund Fidelity Growth Strategies Fund Class K 0.48% â Fidelity Growth Strategies Fund Fidelity Independence Fund Class K 0.66% â Fidelity International Discovery Fund Class K 0.84% â Fidelity Independence Fund Fidelity International Discovery Fund Fidelity Leveraged Company Stock Fund Class K 0.69% â Fidelity Leveraged Company Stock Fund Fidelity Magellan Fund Class K 0.39% â Fidelity Magellan Fund Fidelity Mid-Cap Stock Fund Class K 0.51% â Fidelity Mid-Cap Stock Fund Fidelity OTC Portfolio Class K 0.77% â Fidelity OTC Portfolio Fidelity Overseas Fund Class K 0.51% â Fidelity Overseas Fund Fidelity Puritan Fund Class K 0.48% â Fidelity Puritan Fund Fidelity Stock Selector All Cap Fund Class K 0.61% â Fidelity Stock Selector Fidelity Value Discovery Fund Class K 0.68% â Fidelity Value Discovery Fund 0.71% 0.90% 0.88% 0.73% 0.78% 1.01% 0.86% 0.51% 0.66% 0.91% 0.69% 0.59% 0.73% 0.87% Fidelity Value Fund Class K 0.54% â Fidelity Value Fund 0.68% Fidelity Value Strategies Fund Class K 0.71% â Fidelity Value Strategies Fund Expense ratios are as of 9/3/ % Action required if you elect the BrokerageLink choice Please note that if you select the transfer-in-kind option for your eligible existing balances, you will need to establish a BrokerageLink account. You can open a BrokerageLink account by calling a Fidelity Representative at , from 8:30 a.m. to midnight Eastern time, or by visiting the BU Election site at during the election period (October 4th to December 6th, 2013) to download an application.

28 26 How BrokerageLink will work You may move your balances in kind to BrokerageLink during the re-enrollment period. After January 1, 2014, if you wish to transfer assets from the Selected Investments to BrokerageLink, the minimum initial amount must be $500 and only 95% of your future contributions are allowed to transfer to BrokerageLink. Five percent must remain in the Selected Investments. Open your BrokerageLink Account You can transfer assets from the BrokerageLink Core Account back to your Selected Investments BrokerageLink Core Account Transfer from the BrokerageLink Core Account to purchase mutual funds Future contributions to the Selected Investments can be contributed to BrokerageLink Set up an automatic transfer of your contributions OR Transfer when you want to Automatically transfer contributions from the Core Account to your mutual funds OR Transfer from the Core Account when you want to Fidelity FundsNetwork mutual funds You can sell mutual funds and move assets back to the BrokerageLink Core Account for future mutual fund purchases Important note! Only 95% of your future contributions are allowed to transfer to BrokerageLink. Five percent must remain in your Selected Investments. In January, you may also choose to have your future contributions go to your BrokerageLink account. There is no minimum amount for ongoing payroll contributions, but only 95% of your future contributions are allowed to transfer to BrokerageLink. Five percent must remain in your Selected Investments. The funds that transfer in kind will automatically transfer to the same funds in BrokerageLink. If you choose to invest future contributions or transfer assets into your BrokerageLink account, they will first go to the BrokerageLink Core Account (the Fidelity Cash Reserves Fund) until you make a new purchase. However, if you select the automatic contribution feature for payroll deductions, your future contributions will move from the BrokerageLink Core Account to the fund(s) you have selected in your BrokerageLink account. If you wish to establish the automatic contribution feature in your BrokerageLink account in January, please contact Fidelity in January for assistance. Loans are not permitted from your BrokerageLink account. If you wish to take a loan from your BrokerageLink account, you must transfer those assets into a Vanguard Target Retirement Fund and/ or a Core Mutual Fund. The loan amount that is available to you under the Supplemental Retirement

29 27 and Savings Plan includes the balance in your BrokerageLink account. Once the transfer has been processed, you can request a loan. Withdrawals are also not permitted from your BrokerageLink account. If you wish to make a withdrawal from your BrokerageLink account, you must transfer those assets into a Vanguard Target Retirement Fund and/or a Core Mutual Fund. Once the transfer has been processed, you can request a withdrawal. The balances in the BrokerageLink account are subject to expense and management fees associated with the fund in which they are invested. In most cases, the expense will be higher than the fund choices available to you under the Selected Investments. If you would like to view a listing of the mutual funds available in BrokerageLink, visit the BU Investment Election Website at or at fundresearch.fidelity.com/mutual-funds/fund-families. Please also review the fact sheet and application commission schedule for a complete listing of brokerage fees and other important information. You can find these at the BU Investment Election Website, at If you have any questions about BrokerageLink or would like to set up an account, contact Fidelity at How to make your investment election To review information on the plans and transition details and to make your investment elections, visit from October 4 to December 6, When you are ready, take the following steps: Verify your identity. Provide an address. Create a password. Create a security answer. Proceed to make your investment elections. Please note that the investment election period starts Friday, October 4, 2013, at 9 a.m. and ends on Friday, December 6, 2013, at 4 p.m. Eastern time. Making your elections On the website you will be asked to make two elections using the new investment structure the first is your investment election for future contributions as of January 2014, and the second is your investment election for the transfer of existing balances. Links will be included on the site to help you view your current account balances.

30 28 Other important information Please note that the password you create will be used when you visit the site throughout the investment election period. The password will expire at 4 p.m. Eastern time on Friday, December 6, 2013, when the investment election period ends. You may change your elections as often as you want during the enrollment period. The election on file when the enrollment period ends, on December 6th, will be considered your final election and applied on January 1, available Monday through Friday (excluding New York Stock Exchange holidays), between 8 a.m. and midnight Eastern time. You may also contact BU Human Resources at hrben@bu.edu. Scan this with your smartphone to visit the election website If you have any questions on this process, you are invited to contact the BU Service Center at Fidelity Investments at Representatives are Visit from October 4 to December 6, For illustrative purposes only. If you would like to change your current contribution amount Please log on to Employee Self-Service on BUworks ( and select Retirement Plan Enrollment under the Benefits & Pay tab.

31 29 If you take no action If you take no action, your current retirement savings plan balances and future contributions will be defaulted to the Vanguard Target Retirement Fund closest to the year in which you turn 65, as shown in the grid on page 5, as of December 31, If you have balances at TIAA-CREF, please see pages for more information about existing TIAA-CREF balances. If you would like to pick a Target Retirement Fund other than for the year closest to when you will turn 65, elect the fund during the investment election period (October 4 to December 6, 2013). See pages 27 and 28 for more information on the investment election period. As mentioned previously, your funds may transfer on two different dates because some of the current funds have short-term redemption fees. If you are invested in funds that do not have a short-term redemption fee or if you are invested in funds that do have a short-term redemption fee and choose BrokerageLink as your election, the transfer of your balances will occur on December 31, If you are invested in funds that do have shortterm redemption fees and you do not choose BrokerageLink, then the transfer of your balances will occur on March 31, Lists of the funds that are subject to short-term redemption fees are on pages Please review the information on pages for more details on how your current contributions and existing balances will transfer. Important information before we move on Attend a workshop or make a one-on-one appointment to discuss your choices and the new fund structure. To view a schedule of workshops and webinars, log on to To schedule a one on one appointment with a Fidelity representative, visit or call (Phone consultations are also available.) To schedule a one-on-one appointment with TIAA-CREF, call Descriptions and fund performance history of all new funds can be found in the separate Investment Descriptions Booklet and Comparative Chart enclosed in this packet.

32 30 Key dates Review the calendar of events to understand how plan activities may affect you during the transition period. Key date Activity What does this mean to you? Starting Now! New BU Retirement Plan Change Web pages are available. The new Boston University Retirement Plan Change Web pages provide you with transition details, helpful tools, and access to the workshop and webinar schedules as well as being your portal to the investment election website, which will be available starting October 4. Visit to learn more! Fidelity Workplace Planning and Guidance Consultants and TIAA CREF representatives are available for individual consultations. On-campus workshops and webinars will be available October through November. To schedule a one-on-one appointment with a Fidelity representative, visit or call To schedule a oneon-one appointment with TIAA-CREF, call Review the onsite schedule of events by visiting and plan to attend a session that best fits your schedule to learn more about the changes. Friday, October 4, 2013, at 9 a.m. Eastern time The investment election period begins. You can make your elections for how your account will transfer to the new fund structure. Access the investment election website at from October 4 to December 6, For information about your TIAA-CREF account or to designate or change a beneficiary for your TIAA-CREF account, call TIAA-CREF at To schedule a consultation with a TIAA-CREF Consultant, call TIAA-CREF at You may also contact Human Resources at hrben@bu.edu or call Majella Keane at , Edwin Ramones at , Kathryn Mohan at , or Tricia Lee at with any questions you may have.

33 31 Key date Activity What does this mean to you? Friday, December 6, 2013, at 4 p.m. Eastern time The investment election period closes. Please make your elections prior to this cutoff date. Wednesday, January 1, 2014 All future balances are directed to the new investment lineup. All other investment options are frozen to new contributions and fund exchanges. The new investment structure is the only option available in the plans. Unless you made an active election during the enrollment period, all future contributions will be directed to a Vanguard Target Retirement Fund. Key dates unique to existing balances at Fidelity Key date Activity What does this mean to you? Friday, December 6, 2013, at 4 p.m. Eastern time If you wish to transfer balances to a BrokerageLink account, a completed Fidelity BrokerageLink Participant Acknowledgment Form must be received by this date in order for you to participate in the one-time in-kind balance transfer to BrokerageLink. You will need to complete and return a Participant Acknowledgment Form to Fidelity prior to December 6th. If Fidelity Investments does not receive your application by December 6th, any funds directed to the BrokerageLink option will be transferred in kind into a restricted self-directed brokerage account until a completed Participant Acknowledgment Form is received. This means that you will not be able to make any trades in this account until the Participant Acknowledgment Form is received. You can request a BrokerageLink acknowledgment form by calling a Fidelity Representative at , from 8:30 a.m. to midnight Eastern Time, or by visiting during the election window (October 4 to December 6, 2013) to download an acknowledgment form. Tuesday, December 24, 2013 Final 2013 payroll contributions will be sent to Fidelity. Changes to future contribution elections will be frozen until January 2, This will allow Fidelity to update the new elections received from October 4 to December 6, Contact Fidelity on January 2, 2013, to change your future contributions. (continued next page)

34 32 Key dates (continued) Key date Activity What does this mean to you? Friday, December 27, 2013, at 4 p.m. Eastern time (Only applicable to participants with Fidelity balances transferring to BrokerageLink) If you elected to transfer Fidelity Class K share fund balances to a BrokerageLink account, any Fidelity Class K share funds will not move in kind but will be liquidated, and the new share class will be repurchased, which will change the expense ratio for these funds. This will allow the new share class funds to transfer to the BrokerageLink account on December 31, Tuesday, December 31, 2013, at 4 p.m. Eastern time (Only applicable to participants with Fidelity balances transferring to BrokerageLink) If you elected to transfer balances to a BrokerageLink account, the transfer in kind to BrokerageLink will occur. Eligible funds will transfer to BrokerageLink in kind. Balances in any funds that are not eligible for BrokerageLink will transfer to a Vanguard Target Retirement Fund based on your age. Tuesday, December 31, 2013 Future contributions for all funds and balances of funds without short-term redemption fees will transfer to your elections. Contact the BU Retirement Plan Service Center at Fidelity Investments at to review your balances or make changes. Thursday, January 2, 2014 Any Fidelity balances transferred to a Vanguard Target Retirement Fund, Core Mutual Fund, or BrokerageLink will be available to view at Fidelity. Contact the BU Retirement Plan Service Center at Fidelity Investments at to review your balances or make changes. Week of January 5, 2014 (Only applicable to participants with Fidelity balances transferring to TIAA-CREF) Any Fidelity balances transferred to the TIAA-CREF annuity accounts will be available for participants who elected to move balances from Fidelity to TIAA-CREF. Contact TIAA-CREF at to review your balances. Monday, March 31, 2014 Remaining balances of funds with short-term redemption fees will transfer to your elections. Contact the BU Retirement Plan Service Center at Fidelity Investments at to review your balances or make changes. The effective date of plan changes and the end of the transition period depend upon the accurate, timely transfer of data. To ensure accurate data transfer, the delivery of services and investment options described in this brochure could be delayed.

35 33 Key dates unique to existing balances at TIAA-CREF Key date Activity What does this mean to you? Friday, December 20, 2013, at 4 p.m. Eastern time The blackout period will begin for assets at TIAA-CREF that will be transferred to the new investment structure. To help facilitate these changes, you temporarily will be unable to direct or diversify investments in your individual accounts, or to obtain a loan or distribution from the plan at TIAA-CREF. More details on the blackout period will be provided to you in November. Friday, January 3, 2014 The blackout period is expected to end at TIAA-CREF. During the blackout period, contact TIAA CREF at to find out whether the blackout period has ended, or go to for any updates on the blackout period. Week of January 19, 2014 (Only applicable to participants with TIAA-CREF balances transferring to the new investment options) The blackout period at Fidelity is expected to end for assets transferring from TIAA-CREF that will be invested in the new investment structure. You will have full access to your account balances, will be able to make exchanges among investment options, and may request a distribution. During the blackout period, contact the BU Retirement Plan Service Center at Fidelity Investments at to find out whether the blackout period has ended, or go to for any updates on the blackout period. The effective date of plan changes and the end of the transition period depend upon the accurate, timely transfer of data. If this does not occur, the delivery of services and investment options described in this brochure could be delayed.

36 34 The blackout period in December for TIAA-CREF balances Starting on December 20, 2013, and ending the week of January 19, 2014, there will be a blackout period in order to complete the plans transition to the new investment options. During this blackout period, your balances will be transferred and reconciled, as appropriate. You will be unable to change investments in your individual account, complete account transactions, or request a distribution or loan from the plans. Your account will continue to be invested in the Fidelity Money Market Trust Retirement Money Market Portfolio from January 2, 2014, until the end of the blackout period. Any interest earned in the Fidelity Money Market Trust Retirement Money Market Portfolio during the blackout period will be allocated to participant accounts at the end of the blackout period. Your plan contributions will also continue during the blackout period. The blackout period is a necessary step to ensure the accuracy of your retirement account. It is possible for the blackout period to end earlier than scheduled, and you will be notified if it does. Carefully consider how the blackout period may affect your financial planning, especially as it relates to the transactions listed below. If you have balances at Fidelity, the blackout period will not apply. During the blackout period, contact the BU Retirement Plan Service Center at Fidelity Investments at to find out whether the blackout period has ended. During the blackout period, you CAN CANNOT Contribute to your account. Take a distribution. Review balances. Initiate a loan. Contact Fidelity and TIAA-CREF to help answer your questions. Exchange between investment options. Attend a one-on-one consultation. Remember! Take action from October 4 to December 6, 2013, and elect your investments at Help is available to you every step of the way! Call the BU Retirement Plan Service Center at Fidelity Investments at , or visit for additional information about the new investment structure.

37 35 YOUR NEXT STEPS The Boston University Retirement Plan and the Supplemental Retirement and Savings Plan continue to be a great way to help you save for your retirement. Follow these steps to learn how your account will be handled during the rollout of the new investment structure. u Use this guide as a resource to understand the new investment structure. u Review the key dates listed on pages u Attend a workshop or meet with a representative from Fidelity Investments or TIAA-CREF. u Make your election at between October 4th and December 6th.

38 36 A self-directed brokerage account is not for everyone. If you are an investor who is willing to take on the potential for more risk and you are prepared to assume the responsibility of more closely monitoring this portion of your portfolio, it could be appropriate for you. However, if you do not feel comfortable actively managing a portfolio beyond those offered through your plan s standard investment options, then a self-directed brokerage account may not be appropriate for you. Additional fees apply to a brokerage account, please refer to the fact sheet and commission schedule for a complete listing of brokerage fees. Remember, it is always your responsibility to ensure that the options you select are consistent with your particular situation including your goals, time horizon, and risk tolerance. A mutual fund expense ratio is the total annual fund or class operating expenses (before waivers or reimbursements) paid by the fund and stated as a percent of the fund s total net assets. For other types of investments, the figure in the expense ratio field reflects similar information, but may have been calculated differently than for mutual funds. Mutual fund data comes from the fund s prospectus. For non mutual fund investment options, the information has been provided by the plan sponsor, the investment option s manager or the trustee. When no ratio is shown for these options it is because none was available. There may be fees and expenses associated with the investment option. Expense information changes periodically. Please consult NetBenefits for updates. Keep in mind that investing involves risk. The value of your investment will fluctuate over time and you may gain or lose money. TIAA-CREF and Fidelity Investments are independent entities and are not legally affiliated. In the event of any discrepancy between the descriptions in this brochure and the controlling plan documents, the language in the controlling plan documents will govern. Fidelity Brokerage Services LLC, Member NYSE, SIPC 900 Salem Street, Smithfield, RI FMR LLC. All rights reserved.

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