INSPIRE. INNOVATE. INVEST.

Transcription

1 INSPIRE. INNOVATE. INVEST. Learn How to Plan for Your Retirement LSU 403(b) AND ROTH 403(b) SUPPLEMENTAL RETIREMENT PLANS Your Guide to Upcoming Changes

2 GET READY FOR THE EXCITING CHANGES AHEAD Reduction of management and recordkeeping fees A simplified investment lineup Increased education on supplemental retirement plan options Starting September 2018, new investment options will be available through Fidelity Investments, TIAA, and VALIC, for the LSU 403(b) and Roth 403(b) Supplemental Retirement Plans ( LSU Supplemental 403(b) Plan ). Read the plan change highlights to understand what is taking place in your LSU Supplemental 403(b) Plan. Review the new investment lineup and key dates. Please review this guide to learn how these important changes may affect you and your investment options in the LSU Supplemental 403(b) Plan. Table of contents Page Plan Change Highlights 3 Investment Options Overview 7 How the Investment Option Changes Will Affect Accounts at Each Vendor 10 Key Dates 21 Resources Available 22 RESOURCES AVAILABLE Fidelity Fidelity netbenefits.com/lsu TIAA TIAA TIAA.org/lsusystemtda CALL VALIC CLICK VALIC lsu.valic.com MEET SCHEDULE AN APPOINTMENT Fidelity TIAA VALIC Meet with your Fidelity Retirement Planner by calling or visit netbenefits.com/lsu and click the Contact Us tab, then Meet. If you would like to schedule an appointment with a local TIAA financial consultant, call weekdays, 7 a.m. to 7 p.m. (CT) or visit TIAA.org/schedulenow. Call the VALIC Baton Rouge office at to schedule an appointment. 2

3 LOUISIANA STATE UNIVERSITY SUPPLEMENTAL RETIREMENT PLAN A special note for former employees, including MetLife & Voya participants, grandfathered participants, retired employees, alternate payees, and plan beneficiaries with account balances in the LSU Supplemental 403(b) Plan: Some of the information enclosed may not apply to you. However, your account balance may be affected by the change to the new investment lineup, so please read this material carefully. Whether your retirement is right around the corner or years away, continue to closely monitor your overall financial plan. If you have any questions regarding the information in this guide or your retirement plan, contact your investment vendor or visit their website. PLAN CHANGE HIGHLIGHTS Investing in yourself for retirement is about to get easier with the LSU Supplemental 403(b) Plan. LSU is pleased to introduce a new simplified investment structure to help faculty and staff build a diversified retirement savings portfolio in the LSU Supplemental 403(b) Plan. As part of LSU s commitment to ensure the LSU Supplemental 403(b) Plan keeps up with changes in financial markets and meets legal requirements, the LSU Benefits Administration worked with a team of experts to review our current plans and solicits proposals for service enhancements from vendors. What is changing? VENDOR CHANGES On September 1, 2018, MetLife and Voya will no longer be available vendors in the LSU Supplemental 403(b) Plan. Contributions directed to MetLife or Voya will end with the last payroll in August. Those with a MetLife or Voya contribution only will need to enroll via MyRetirementManager.com to continue contributions with one of the three active vendors: TIAA, and VALIC. Your contributions will be effective with the first payroll following your enrollment with an active vendor. Please note that you can change your contributions to any desired allocations starting with your first payroll in September (see chart on page 6 for details). If you have balances with MetLife or Voya they will remain unless you initiate an individual transfer to an available vendor(s): TIAA, and VALIC. Should you decide to transfer your balance to another vendor follow these steps: Contact your new vendor and your current vendor and complete their contract exchange form. Go to MyRetirementManager.com and complete an In-Service Exchange certificate. Submit the In-Service Exchange certificate and both vendors contract exchange form to your new vendor. 3

4 INVESTMENT OPTION CHANGES A new investment option lineup will be offered at TIAA, and VALIC. Many of the current investment options will no longer be available. As a result, all eligible existing balances and future contributions will be transferred to a Vanguard Institutional Target Date Fund. See the Target Date Fund Age Chart on page 9 for details and also review additional details in your vendor s section to learn how your investments may be affected. Review the investment options that will be available in the LSU Supplemental 403(b) Plan. The investments chosen provide lower overall investment fees and expenses and will continue to be monitored by LSU Benefits Administration. Representatives from TIAA, and VALIC will be available to help you with these changes. To view a schedule of events visit netbenefits.com/lsu. RECORDKEEPING FEES AND INVESTMENT MANAGEMENT COSTS Going forward, the following are the new recordkeeping fees and average investment management costs. + TIAA VALIC Fidelity Effective Fall 2018 NEW Recordkeeping Cost % 0.125% 0.38% 0.13% Effective Fall 2018 NEW Investment Cost %* 0.17% 0.17% 0.17% Effective Fall 2018 NEW Total Cost % 0.295% 0.55% 0.30% Prior to 9/5/18 Average Recordkeeping & Investment Management Cost % 0.93% *Unweighted average. WHAT DOES THIS COST SAVINGS MEAN TO YOU? Investment fees (expense ratios) reflect the operating and management expenses of each investment option. Usually, investment fees are deducted from an investment option s gross assets and reflected in the net asset value, thus reducing the investment return of the fund. Fees can vary among investment options depending on investment strategy and management style. Savings example: An employee contributes $500 per month for 30 years ($180,000 total) Average Annual Return Total Annual Fees Account Value After 30 Years Amount Paid in Fees 6% 0.93%* $411,528 $78,601 6% 0.30%* $462,976 $27,152 4 *Unweighted average. + The examples and average investment management costs above were provided by A.J. Gallagher. Fidelity Investments is not responsible for its content.

5 LOUISIANA STATE UNIVERSITY SUPPLEMENTAL RETIREMENT PLAN What is not changing? The Optional Retirement Plan (ORP) administered by Teachers Retirement System of Louisiana (TRSL) will continue. Additionally, the removal of Voya as an active vendor for the LSU Supplemental 403(b) Plan does not affect the ORP; Voya will remain an active ORP vendor. TIAA, and VALIC will continue as the investment vendors for the LSU Supplemental 403(b) Plan. Your participation with these vendors will continue with reduced recordkeeping fees. The LSU Supplemental 403(b) Plan design and rules all remain unchanged. Contributions, eligibility, loan guidelines, and distributions all remain the same. Your current payroll contribution amount directed to TIAA, and VALIC will not change. However, you can always make contribution changes at MyRetirementManager.com. Beneficiary information currently on file with TIAA, and VALIC remain. However, you can designate a beneficiary for your account by contacting your selected vendor. Outstanding loans with your current vendor will not be affected and payments should continue to be repaid as normal. No changes will be made to the payment amount, payment date, or other terms of your loan. Why is LSU making these changes? The changes will result in lower costs to you, as a participant, which means improved retirement savings in your accounts. In addition, the changes will help in making the selection of your investment choices easier. 5

6 What do I need to do? If you are currently directing contributions to MetLife or Voya and wish to avoid missing a monthly contribution, you must enroll with TIAA, or VALIC and enter your new contribution in MyRetirementManager.com according to the payroll schedule below: Payroll Frequency Last date to elect new vendor or future contributions will be suspended LSU Health Shreveport Location Monthly Participants 09/15/2018 Bi-Weekly Participants 09/07/2018 LSU Baton Rouge Paid Locations Monthly Participants 09/15/2018 Bi-Weekly Participants 09/08/2018 Monthly Academic Payroll Participants 09/08/2018 LSU Health New Orleans Location Monthly Participants 09/13/2018 Semi-Monthly Participants 09/05/2018 Bi-Weekly Participants 09/06/2018 LSU HealthCare Services Division Monthly Participants 09/13/2018 Bi-Weekly Participants 09/06/2018 The new investment option lineup will be available for contributions beginning with the first payroll in September. This means all money will only be allowed to be invested in the new investment option lineup. If your contributions or balances are in an investment option that will no longer be part of the new investment lineup, they will be moved to the LSU Supplemental 403(b) Plan s default investment option with your chosen vendor.* We encourage you to review the Investment Options Overview to learn how your contributions and balances may be affected. *Exceptions apply. See your vendor s section of this guide for details. 6

7 LOUISIANA STATE UNIVERSITY SUPPLEMENTAL RETIREMENT PLAN INVESTMENT OPTIONS OVERVIEW The investment options in your LSU Supplemental 403(b) Plan give you a choice of investments that cover the major asset investment classes: stocks, bonds, and short-term investments. The investment options also give you the flexibility to build your own strategy to help meet your needs. The investments listed below will become your total offering of available investment options in the LSU Supplemental 403(b) Plan at each available investment vendor. This means these options will be the only available investment options going forward. Investment Option Ticker Symbol Gross Expense Ratio+ Available Through: TIAA Traditional N/A N/A TIAA VALIC Fixed Interest Option N/A N/A VALIC Vanguard Federal Money Market Fund Investor Shares VMFXX 0.11% ishares U.S. Aggregate Bond Index Fund Class K WFBIX 0.06% PGIM Total Return Bond Fund - Class R6* PTRQX 0.41% CREF Stock R2 QCSTPX 0.37% TIAA Vanguard Equity-Income Fund VEIRX 0.17% Vanguard 500 Index Fund VFIAX 0.04% Fidelity 500 Index Fund - Premium Class FUSVX 0.035% Fidelity Fidelity Contrafund K6 FLCNX 0.45% Fidelity Vanguard U.S. Growth Fund Admiral Shares VWUAX 0.30% Vanguard Mid-Cap Index Fund VIMAX 0.05% Fidelity Mid Cap Index Fund - Premium Class FSCKX 0.05% Fidelity + As of July 23, *As of June 6, 2018, this fund changed its name from Prudential Total Return Bond Fund Class Q. See the fund s prospectus for any additional details. 7

8 Investment Option DFA U.S. Targeted Value Portfolio Institutional Class Ticker Symbol Gross Expense Ratio+ DFFVX 0.37% Available Through: Vanguard Small-Cap Index Fund VSMAX 0.05% Fidelity Small Cap Index Fund - Premium Class FSSVX 0.05% Fidelity Vanguard Explorer Fund VEXRX 0.32% Vanguard International Value Fund Investor Shares Vanguard Total International Stock Index Fund American Funds EuroPacific Growth Fund Class R-6 Income Fund Institutional Shares 2015 Fund Institutional Shares 2020 Fund Institutional Shares 2025 Fund Institutional Shares 2030 Fund Institutional Shares 2035 Fund Institutional Shares 2040 Fund Institutional Shares 2045 Fund Institutional Shares 2050 Fund Institutional Shares 2055 Fund Institutional Shares VTRIX 0.40% VTIAX 0.11% RERGX 0.49% VITRX 0.09% VITVX 0.09% VITWX 0.09% VRIVX 0.09% VTTWX 0.09% VITFX 0.09% VIRSX 0.09% VITLX 0.09% VTRLX 0.09% VIVLX 0.09% *As of 06/12/2018, this fund changed its name from Prudential Total Return Bond Fund Class Q. See the fund s prospectus for any 2060 additional details. Fund Institutional Shares 2065 Fund Institutional Shares VILVX 0.09% VSXFX 0.09% 8 + As of July 23, 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 percentage 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.com for updates.

9 LOUISIANA STATE UNIVERSITY SUPPLEMENTAL RETIREMENT PLAN Many investment options currently offered through the LSU Supplemental 403(b) Plan will no longer be available. As a result, all eligible existing balances and future contributions will be transferred to a Vanguard Institutional Target Date Fund. See the Target Date Fund Age Chart below for details. If you wish to investment your LSU Supplemental 403(b) Plan in investments other than the Vanguard Institutional Target Date Fund, you will be able to exchange your balances and reset your investment elections to the any of the new investment options on or after September 5, Please make sure to carefully review this information and contact your chosen vendor with questions. Target Date Fund Age Chart Your contributions and eligible existing balances as indicated in the section titled How the Investment Options Changes Will Affect Accounts at Each Vendor will be transferred to a Vanguard Institutional Target Date Fund. LSU has chosen the Vanguard Institutional Target Date Fund based on your date of birth and the assumption that you will retire at age 65. Simply find your date of birth range, in the chart listed below, to determine to which Vanguard Institutional Target Date Fund your contributions and all eligible existing balances at TIAA, and VALIC will be directed. Vanguard Institutional Target Date Funds are designed for investors expecting to retire around the year indicated in each fund. The funds gradually become more conservative over time, with a corresponding change in investment risk. They are subject to the volatility of the financial markets, including that of equity and fixed-income investments in the U.S. and abroad, and may be subject to risks associated with investing in high-yield, small-cap, commodity-related, and foreign securities. Principal invested is not guaranteed at any time, including at or after the funds target dates. For more information on the Vanguard Institutional Target Date Funds, log on to your vendor s website. Date of Birth Fund Name Retirement Date Range Before January 1, 1948 January 1,1948 December 31, 1952 January 1, 1953 December 31, 1957 January 1, 1958 December 31, 1962 January 1, 1963 December 31, 1967 January 1, 1968 December 31, 1972 January 1, 1973 December 31, 1977 January 1, 1978 December 31, 1982 January 1, 1983 December 31, 1987 January 1, 1988 December 31, 1992 January 1, 1993 December 31, 1997 January 1, Income Fund Institutional Shares 2015 Fund Institutional Shares 2020 Fund Institutional Shares 2025 Fund Institutional Shares 2030 Fund Institutional Shares 2035 Fund Institutional Shares 2040 Fund Institutional Shares 2045 Fund Institutional Shares 2050 Fund Institutional Shares 2055 Fund Institutional Shares 2060 Fund Institutional Shares 2065 Fund Institutional Shares Before Date-of-birth ranges were selected by A.J. Gallagher.

10 netbenefits.com/lsu HOW THE INVESTMENT OPTION CHANGES WILL AFFECT ACCOUNTS AT EACH VENDOR The following investment notices were provided by TIAA, and VALIC. Review your vendor s notice to determine how the investment option changes may affect your account. Keep in mind that the new investment options will be available at TIAA and VALIC only. NEW Investment Options at Fidelity Effective at 3 p.m. (CT) on September 4, 2018, the following investment options will be available at Fidelity: Fund Name American Funds EuroPacific Growth Fund Class R-6 DFA U.S. Targeted Value Portfolio Institutional Class Fidelity 500 Index Fund - Premium Class* Fidelity Contrafund K6 Fidelity Mid Cap Index Fund - Premium Class* Fidelity Small Cap Index Fund - Premium Class* ishares U.S. Aggregate Bond Index Fund Class K PGIM Total Return Bond Fund - Class R6** Vanguard Equity-Income Fund Vanguard Explorer Fund Vanguard Federal Money Market Fund Investor Shares 2015 Fund Institutional Shares 2020 Fund Institutional Shares 2025 Fund Institutional Shares 2030 Fund Institutional Shares 2035 Fund Institutional Shares 2040 Fund Institutional Shares 2045 Fund Institutional Shares 2050 Fund Institutional Shares 2055 Fund Institutional Shares 2060 Fund Institutional Shares 2065 Fund Institutional Shares Income Fund Institutional Shares Vanguard International Value Fund Investor Shares Vanguard Total International Stock Index Fund Vanguard U.S. Growth Fund Admiral Shares Ticker RERGX DFFVX FUSVX FLCNX FSCKX FSSVX WFBIX PTRQX VEIRX VEXRX VMFXX VITVX VITWX VRIVX VTTWX VITFX VIRSX VILTX VTRLX VIVLX VILVX VSXFX VITRX VTRIX VTIAX VWUAX 10 *The following funds will remain open for future contributions and exchanges; however, the balances in these select funds will be transferred to a Vanguard Institutional Target Date Fund. **As of June 12, 2018, this fund changed its name from Prudential Total Return Bond Fund Class Q. See the fund's prospectus for any additional details.

11 LOUISIANA STATE UNIVERSITY SUPPLEMENTAL RETIREMENT PLAN Investment Options Being Removed at Fidelity When the market closes, generally 3 p.m. (CT) on September 4, 2018, most of the current investment options offered through the LSU Supplemental 403(b) Plan at Fidelity will no longer be available and will be removed. As a result, all existing balances and future contributions will be transferred to a Vanguard Institutional Target Date Fund. See the Target Date Fund Age Chart for details. The transfer of balances will appear as an exchange on your account history and quarterly statement. Should you wish to change your investments you may do so on or after September 5, Note the Fidelity Contrafund share class will change. Existing balances and future contributions will be transferred to the Fidelity Contrafund K6 (FLCNX). In addition, Fidelity BrokerageLink will be eliminated as an investment option in the LSU Supplemental 403(b) Plan. If you have a remaining balance in BrokerageLink, those assets will remain. However, all future contributions will be transferred to a Vanguard Institutional Target Date Fund. If you are a participant with the managed account service (Fidelity Personalized Planning & Advice) your existing balances will map to a Vanguard Institutional Target Date Fund on September 4, 2018, at 3 p.m. (CT). The balances will then be diversified into a new portfolio in the new investment lineup on September 5, No action is required. Default Investment Change Effective at 3 p.m. (CT) on September 4, 2018, all existing balances and future contributions will be transferred to a Vanguard Institutional Target Date Fund, the plan s default investment option. See the Target Date Fund Age Chart for details. Please note that you can change your contributions to any desired allocations as soon as the new funds are available. Fee Reduction As of October 1, 2018, Fidelity will reduce the recordkeeping fee for the LSU Supplemental 403(b) Plan from 20 basis points (0.20%) to 13 basis points (0.13%). The plan administrative fees (investment management costs) will be reduced for the LSU Supplemental 403(b) Plan from 50 basis points (0.50%) to an average of 17 basis points (0.17%). Your quarterly account statement will include these fees. Action to Consider No action is required on your part as a result of these changes. You can review or make updates to your account by logging on to netbenefits.com/lsu or by calling the Fidelity Retirement Service Center at , Monday through Friday, between 7 a.m. and 11 p.m. (CT) to speak with a Customer Service Representative. Need In-Person Help? A dedicated Fidelity Retirement Planner is frequently on site conducting one-on-one appointments. If you have questions or would like to discuss the changes with your local representative, please call to schedule an appointment at or visit netbenefits.com/lsu. Before investing in any mutual fund, consider the investment objectives, risks, charges, and expenses. Contact Fidelity for a prospectus or, if available, a summary prospectus containing this information. Read it carefully. Investing involves risk, including risk of loss. This document provides only a summary of the main features of the LSU Supplemental 403(b) Plan, and the Plan document will govern in the event of any discrepancies. Fidelity Personalized Planning & Advice at Work is a service of Fidelity Personal and Workplace Advisors LLC and Strategic Advisers LLC. Both are registered investment advisers, are Fidelity Investments companies, and may be referred to as we, or our within. For more information, refer to the Terms and Conditions of the Program. When used herein, Fidelity Personalized Planning & Advice refers exclusively to Fidelity Personalized Planning & Advice at Work. This service provides advisory services for a fee. 11

12 TIAA.org/lsusystemtda Enrollment As part of the changes to the LSU Supplemental 403(b) Plan, LSU has decided to issue TIAA Retirement Choice Plus (RCP) contracts going forward. On or about August 31, 2018, RCP contracts will be issued for any TIAA participant who is currently contributing to TIAA or holds a balance in mutual funds at TIAA. Once the new contract is issued, you will receive an enrollment confirmation from TIAA that will provide additional information about your new account. Your current beneficiary designation will be applied to your new account. For those interested in enrolling with TIAA for the first time you can start the enrollment process by going to How your future contributions and current account balances will be affected Your future contributions and mutual fund balance(s) will be transferred to the Vanguard Institutional Target Retirement Fund that corresponds to the year you turn age 65. For example, if you will turn 65 in 2044, contributions will be directed to the 2045 Fund. The week of September 10, 2018, your current mutual fund balance(s) are scheduled to be transferred to your new TIAA account. Any annuity balance(s) you have with TIAA will remain in your existing account(s), although no new contributions, rollovers or transfers may be made to these accounts. You can continue to transfer balances among the available annuity options. If you would like to transfer balances to your new account, contact a TIAA financial consultant for more information. Understanding your new contracts There are a few differences between your legacy contracts and RCP contracts. Most of the differences apply to the TIAA Traditional Annuity and are highlighted below. If you re thinking about transferring some or all of your legacy account balances to your new contract, make sure you understand the differences before you initiate a transfer. Under the RCP contract, TIAA Traditional has a rate guarantee that is between 1% and 3%, determined annually, which may be lower than the guaranteed rate in your legacy contract.* The adjustable rate guarantee in the new contracts allows TIAA to be more responsive to the prevailing interest rate environment and provides the potential for higher credited rates through the crediting of additional amounts.** When TIAA Traditional balances are transferred out of a legacy contract, you risk giving up a favorable crediting rate(s) on older contributions. Moving money from a legacy contract to a new contract is a permanent decision. Money cannot be moved back into legacy contracts. For details, see the Contract Comparison chart located at TIAA.org/contractcomparison. If you have questions, call * Guarantees are subject to TIAA s claims-paying ability. ** TIAA s Board of Trustees declares whether additional amounts will be paid in March of each year. Additional amounts are not guaranteed. Such additional amounts, when declared, remain in effect for the declaration year, which begins each March 1 for accumulating annuities and January 1 for payout annuities. Additional amounts are not guaranteed for periods other than the period in which they were declared. 12

13 LOUISIANA STATE UNIVERSITY SUPPLEMENTAL RETIREMENT PLAN LSU will introduce a new investment menu, remove several investment options from the lineup, and replace them with new options. Please note, TIAA Traditional and CREF Stock remain as available investment options on the new LSU investment menu (see page 7-8 for the full list of investment options). NEW Investment Options at TIAA Effective September 4, 2018, the following new investment options will be available at TIAA: Fund Name American Funds EuroPacific Growth Fund Class R-6 DFA U.S. Targeted Value Portfolio Institutional Class ishares U.S. Aggregate Bond Index Fund Class K PGIM Total Return Bond Fund - Class R6 Vanguard 500 Index Fund Vanguard Equity-Income Fund Vanguard Explorer Fund Vanguard Federal Money Market Fund Investor Shares 2015 Fund Institutional Shares 2020 Fund Institutional Shares 2025 Fund Institutional Shares 2030 Fund Institutional Shares 2035 Fund Institutional Shares 2040 Fund Institutional Shares 2045 Fund Institutional Shares 2050 Fund Institutional Shares 2055 Fund Institutional Shares 2060 Fund Institutional Shares 2065 Fund Institutional Shares Income Fund Institutional Shares Vanguard International Value Fund Investor Shares Vanguard Mid-Cap Index Fund Vanguard Small-Cap Index Fund Vanguard Total International Stock Index Fund Vanguard U.S. Growth Fund Admiral Shares Ticker RERGX DFFVX WFBIX PTRQX VFIAX VEIRX VEXRX VMFXX VITVX VITWX VRIVX VTTWX VITFX VIRSX VITLX VTRLX VIVLX VILVX VSXFX VITRX VTRIX VIMAX VSMAX VTIAX VWUAX 13

14 TIAA.org/lsusystemtda Restricted Investment Options at TIAA Effective September 4, 2018, the following investment options will be restricted to new contributions at TIAA in your current Group Voluntary Retirement Annuity contracts. The future contributions in the annuity below will be directed to a Vanguard Institutional Target Date Fund, the plan s default investment option as directed by LSU. See the Target Date Fund Age Chart for more details. Current Restricted Option CREF Bond Market Account R2 (Variable Annuity) CREF Equity Index Account R2 (Variable Annuity) CREF Global Equities Account R2 (Variable Annuity) CREF Growth Account R2 (Variable Annuity) CREF Inflation-Linked Bond Account R2 (Variable Annuity) CREF Money Market Account R2 (Variable Annuity) CREF Social Choice Account R2 (Variable Annuity) TIAA Real Estate Account (Variable Annuity) Ticker TCLEX TCLFX TCLIX TCLNX TCLOX TCLRX TCLTX TLFRX Removed Funds at TIAA The week of September 10, 2018, the following funds will be closed to new contributions at TIAA. The future contributions and current account balances in the funds below will be directed to a Vanguard Institutional Target Date Fund, the plan s default investment option as directed by LSU. See the Target Date Fund Age Chart for more details. Current Investment Option TIAA-CREF International Eq Retirement TIAA-CREF Large-Cap Value Retirement TIAA-CREF Lifecycle 2010 Retirement TIAA-CREF Lifecycle 2015 Retirement TIAA-CREF Lifecycle 2020 Retirement TIAA-CREF Lifecycle 2025 Retirement TIAA-CREF Lifecycle 2030 Retirement TIAA-CREF Lifecycle 2035 Retirement TIAA-CREF Lifecycle 2040 Retirement TIAA-CREF Lifecycle 2045 Retirement TIAA-CREF Lifecycle 2050 Retirement TIAA-CREF Lifecycle 2055 Retirement TIAA-CREF Lifecycle 2060 Retirement TIAA-CREF Lifecycle Retire Inc Retirement TIAA-CREF Mid-Cap Growth Retirement TIAA-CREF Mid-Cap Value Retirement TIAA-CREF Small-Cap Equity Retirement Ticker TRERX TRLCX TCLEX TCLIX TCLTX TCLFX TCLNX TCLRX TCLOX TTFRX TLFRX TTRLX TLXRX TLIRX TRGMX TRVRX TRSEX 14

15 LOUISIANA STATE UNIVERSITY SUPPLEMENTAL RETIREMENT PLAN Default Investment Change Effective September 4, 2018, all future contributions in which you have not made an investment election will be directed to a Vanguard Institutional Target Date Fund, the plan s default investment option. See the Target Date Fund Age Chart for more details. Please note that you can change your contributions to any desired allocations as soon as the new funds are available. Fee Reduction When making decisions about your Louisiana State University (LSU) Supplemental Retirement Plan account, it s important to know there are fees associated with many of the plan s services and investments. Some fees may be paid by your employer; others may be paid by you, based on the services and investments you choose. A recent change impacts how your plan administration costs will be assessed. General administrative services Your plan charges an annual Administrative Fee to cover services such as recordkeeping, legal, accounting, investment advisory, and other plan and participant services.* Effective October 1, 2018, an annual Plan Servicing Fee of up to 0.125% ($1.25 per $1,000 invested) will be deducted from certain investments on a quarterly basis. This amount will be realized by assessing a fee or credit to each investment you choose within the plan. Each fee or credit will be applied to your account on the last business day of each quarter and is identified as a TIAA Plan Servicing Fee, or a Plan Servicing Credit, on your quarterly statements (see the Investment-specific services section below for more detail). Investment-specific services Each of the plan s investment options has a fee for investment management and associated services. Plan participants generally pay for these costs through what is called an expense ratio. Expense ratios are displayed as a percentage of assets. For example, an expense ratio of 0.50% means a plan participant pays $5 annually for every $1,000 in assets. Taking the expense ratio into consideration helps you to compare investment fees. In some cases, investment providers share in the cost of plan administration. This practice is called revenue sharing. An investment company may pay a portion of an investment option s expense ratio to TIAA, the recordkeeper, to help offset the cost of plan administration. If an investment s revenue sharing amount exceeds 0.125%, a Plan Servicing Credit will be applied. If the revenue sharing amount is less than 0.125%, the difference is applied as a Plan Servicing Fee. For information on investment-specific expenses and fees, please refer to the investment tables provided by TIAA. You can also find the expense ratios and other fees and expenses at TIAA.org/lsusystemtda or in the prospectuses at TIAA.org/performance. All things considered Fees are important, but they are just one factor in your decision-making process. In addition to fees and expenses, you should be sure your investment choices reflect your personal risk tolerance, the time frame until your retirement, and the appropriate balance allocation to suit your investment needs. *Plan servicing fees can be deducted from investment options in Retirement Choice and Retirement Choice Plus contracts. However, plan servicing fees cannot be deducted from annuities in Retirement Annuity, Group Retirement Annuity, Voluntary Retirement Annuity, and Group Voluntary Retirement Annuity contracts. 15

16 TIAA.org/lsusystemtda Actions to Consider Get advice. Has it been a while since you reviewed your investment mix? You re eligible to receive retirement plan investment advice at no additional cost. It s all about helping you retire on your terms. Select investments. Once your new account is issued, you can update your investment choices for future contributions and transferred balances. Check your beneficiary designation. TIAA will copy the beneficiary information you currently have on file to your new account. Because it s important to keep your beneficiary info up to date, please confirm your choice(s). Retirement Plan Loans. Beginning September 4, 2018, the current collateralized loan offering will be replaced with a new offering called Retirement Plan Loans. Moving to Retirement Plan Loans is consistent with current industry best practices and provides you with the flexibility to save for retirement and still have access to your savings through a loan if needed. With this change, active employees who participate in the plan can continue to request new loans. However, Retirement Plan Loans will not be available to former employees, including retirees. Outstanding loans will not be affected by the change to the new Retirement Plan Loan offering. Recurring transfers or rollovers. If you have any recurring transfers or rollovers in your legacy contracts, you will need to provide updated investment instructions. If you do not provide instructions, future transfers or rollovers may be automatically redirected to your new contracts and the default investment option for the plan. Please call TIAA at to provide updated instructions or to learn more. Need In-Person Help? A local TIAA representative is frequently on site conducting one-on-one appointments. If you would like to schedule an appointment, call weekdays, 7 a.m. to 7 p.m. (CT) or visit TIAA.org/schedulenow. If you have any questions or would like assistance selecting your new investment options, call TIAA at weekdays, 7 a.m. to 9 p.m., and Saturday, 8 a.m. to 5 p.m. (CT). This material is for informational or educational purposes only and does not constitute investment advice under ERISA. This material does not take into account any specific objectives or circumstances of any particular investor, or suggest any specific course of action. Investment decisions should be made based on the investor s own objectives and circumstances. Investment, insurance and annuity products are not FDIC insured, are not bank guaranteed, are not bank deposits, are not insured by any federal government agency, are not a condition to any banking service or activity, and may lose value. You should consider the investment objectives, risks, charges and expenses carefully before investing. Please call or go to tiaa.org/lsusystemtda for current product and fund prospectuses that contain this and other information. Please read the prospectuses carefully before investing. TIAA-CREF Individual & Institutional Services, LLC, Teachers Personal Investors Services, Inc., and Nuveen Securities, LLC, Members FINRA and SIPC, distribute securities products. Annuity contracts and certificates are issued by Teachers Insurance and Annuity Association of America (TIAA) and College Retirement Equities Fund (CREF), New York, NY. Each is solely responsible for its own financial condition and contractual obligations. Investment products may be subject to market and other risk factors. See the applicable product literature or visit tiaa.org/lsusystemtda for details Teachers Insurance and Annuity Association of America-College Retirement Equities Fund, 730 Third Avenue, New York, NY

17 VALIC Retirement Services Company P.O. Box 15648, Amarillo, TX lsu.valic.com New Investment Options at VALIC Effective August 30, 2018, the following new investment options will be available at VALIC: Fund Name ishares U.S. Aggregate Bond Index Fund Class K PGIM Total Return Bond Fund - Class R6* 2015 Fund Institutional Shares 2020 Fund Institutional Shares 2025 Fund Institutional Shares 2030 Fund Institutional Shares 2035 Fund Institutional Shares 2040 Fund Institutional Shares 2045 Fund Institutional Shares 2050 Fund Institutional Shares 2055 Fund Institutional Shares 2060 Fund Institutional Shares 2065 Fund Institutional Shares Income Fund Institutional Shares Vanguard Equity-Income Fund Vanguard International Value Fund Investor Shares Vanguard Total International Stock Index Fund Vanguard U.S. Growth Fund Admiral Shares Ticker WFBIX PTRQX VITVX VITWX VRIVX VTTWX VITFX VIRSX VITLX VTRLX VIVLX VILVX VSXFX VITRX VEIRX VTRIX VTIAX VWUAX *As of June 12, 2018, this fund changed its name from Prudential Total Return Bond Fund Class Q. See the fund's prospectus for any additional details. 17

18 VALIC Retirement Services Company P.O. Box 15648, Amarillo, TX lsu.valic.com Funds Deleted at VALIC Effective August 30, 2018, the following funds will be deleted with new contributions and existing balances transferred to a Vanguard Institutional Target Date Fund at VALIC. Fund Name American Funds AMCAP Fund Class R-6 American Funds Capital World Growth and Income Fund Class R-6 Fidelity Capital & Income Fund Fidelity Mid Cap Value Fund Fidelity Nasdaq Composite Index Fund JPMorgan Mid Cap Growth Fund Class R6 Mapping of Current and Future Allocations Ticker RAFGX RWIGX FAGIX FSMVX FNCMX JMGMX T. Rowe Price Real Estate Fund TRREX TIAA-CREF Social Choice Equity Fund Retirement Class Vanguard Inflation-Protected Securities Fund Vanguard Total Bond Market Index Fund Vanguard Windsor II Fund Admiral Shares TRSCX VAIPX VBTLX VWNAX Participants who are currently not using Guided Portfolio Services Effective August 30, 2018, all future contributions and assets currently being held in the deleted funds will be transferred to a Vanguard Institutional Target Date Fund, the plan s default investment option, for both existing and new contributions. All assets and allocations held in the fixed account will remain in the fixed account. Once the new fund lineup is available, you can direct all assets within your account and new contributions, as you deem appropriate. The transfer of balances will appear as a transfer of value on your account history and account statement. Participants who are currently using Guided Portfolio Services Effective August 30, 2018, all future contributions and assets currently being managed by Guided Portfolio Services will be transferred to the appropriate asset class with similar objectives, so there will be no change in the diversification of current allocations. All assets and allocations held in the fixed account will remain in the fixed account. All existing balances and future contributions in the Current Investment Option column will be transferred to the investments shown under the New Investment Options column on August 30, The transfer of balances will appear as a transfer of value on your account history and account statement. 18

19 LOUISIANA STATE UNIVERSITY SUPPLEMENTAL RETIREMENT PLAN Current Investment Option Ticker New Investment Option Ticker American Funds Capital World Growth and Income Fund Class R-6 American Funds AMCAP Fund Class R-6 American Funds EuroPacific Growth Fund Class R-6 DFA U.S. Targeted Value Portfolio Institutional Class Fidelity Capital & Income Fund Fidelity Nasdaq Composite Index Fund Fidelity Mid Cap Value Fund JPMorgan Mid Cap Growth Fund Class R6 RWIGX RAFGX RERGX DFFVX FAGIX FNCMX FSMVX JMGMX T. Rowe Price Real Estate Fund TRREX TIAA-CREF Social Choice Equity Fund Retirement Class TRSCX Vanguard 500 Index Fund Vanguard U.S. Growth Fund Admiral Shares American Funds EuroPacific Growth Fund Class R-6 DFA U.S. Targeted Value Portfolio Institutional Class ishares U.S. Aggregate Bond Index Fund Class K Vanguard U.S. Growth Fund Admiral Shares Vanguard Mid-Cap Index Fund Vanguard Mid-Cap Index Fund Vanguard 500 Index Fund Vanguard 500 Index Fund VFIAX VWUAX RERGX DFFVX WFBIX VWUAX VIMAX VIMAX VFIAX VFIAX VALIC Fixed Account FB124 VALIC Fixed Account FB124 Vanguard 500 Index Fund VFIAX Vanguard 500 Index Fund VFIAX Vanguard Explorer Fund VEXRX Vanguard Explorer Fund VEXRX Vanguard Federal Money Market Fund Investor Shares VMFXX Vanguard Federal Money Market Fund Investor Shares VMFXX Vanguard Inflation-Protected Securities Fund VAIPX ishares U.S. Aggregate Bond Index Fund Class K WFBIX Vanguard Mid-Cap Index Fund VIMAX Vanguard Mid-Cap Index Fund VIMAX Vanguard Small-Cap Index Fund VSMAX Vanguard Small-Cap Index Fund VSMAX Vanguard Total Bond Market Index Fund VBTLX ishares U.S. Aggregate Bond Index Fund Class K WFBIX Vanguard Windsor II Fund Admiral Shares VWNAX Vanguard Equity-Income Fund VEIRX The current annual cost of GPS Portfolio Manager is: 0.60% of assets per year for the first $100,000 in the program Plus 0.50% of assets per year for the next $150,000 in the program Plus 0.45% of assets per year for the next $250,000 in the program Effective October 1, 2018, the annual fee rate will be 45 basis points (0.45%) of assets per year. Thus, the first time this reduced rate will be applied will be on 12/31/2018 GPS balances. 19

20 VALIC Retirement Services Company P.O. Box 15648, Amarillo, TX lsu.valic.com Default Investment Change Effective August 30, 2018, assets in the deleted funds, as noted above, will be transferred to a Vanguard Institutional Target Date Fund, the plan s default investment option. See the Target Date Fund Age Chart on page 9 for details. Please note that you can change your contributions to any desired allocations as soon as the new funds are available. Fee Reduction As of July 1, 2018, VALIC reduced the fee for the LSU Supplemental 403(b) Plan from 42 basis points (0.42%) to 38 basis points (0.38%). Action to Consider To facilitate these fund changes, lsu.valic.com and our interactive telephone services will not be available for transactions on August 29, 2018, after 3 p.m. (CT). On August 31, 2018, all capabilities will be reactivated. During this transitional time, please contact the VALIC Client Care Center at For GPS (Portfolio Manager) participants no action is required on your part as a result of these changes. Non-GPS participants may want to consider if target date funds are an appropriate investment strategy for you. Need In-Person Help? A financial advisor is frequently on site conducting one-on-one appointments. If you have questions or would like to discuss the changes with your local representative, please call the VALIC Baton Rouge office at Remember investing involves risk, including the possible loss of principal. Investment values will fluctuate and there is no assurance that the objective of any fund will be achieved. Mutual fund shares are redeemable at the then-current net asset value, which may be more or less than their original cost. The principal value of an investment in a target date fund is not guaranteed at any time including at or after the target maturity date. The target date is the approximate date when investors plan to start withdrawing their money. The fund will gradually shift its emphasis from more aggressive investments to more conservative ones based on its target date. Investors should carefully consider the investment objectives, risks, fees, charges, and expenses before investing. This and other important information is contained in the prospectus, which can be obtained from your financial professional or at You can also request a copy by calling Read the prospectuses carefully before investing. VALIC is The Variable Annuity Life Insurance Company. VALIC Retirement Services Company is a wholly owned subsidiary of VALIC. Securities and investment advisory services offered through VALIC Financial Advisors, Inc. ( VFA ), member FINRA, SIPC, and an SEC-registered investment advisor. VFA registered representatives offer securities and other products under retirement plans and IRAs and to clients outside of such arrangements. Annuities issued by The Variable Annuity Life Insurance Company ( VALIC ), Houston, TX. Variable annuities distributed by its affiliate, AIG Capital Services, Inc. ( ACS ), member FINRA. Guarantees are backed by the claims-paying ability of VALIC and are not the responsibility of AIG. VALIC, VFA, and ACS are members of American International Group, Inc. ( AIG ). 20

21 LOUISIANA STATE UNIVERSITY SUPPLEMENTAL RETIREMENT PLAN KEY DATES Whether or not you are planning retirement in the near future, we encourage you to carefully consider how the following key dates may affect your retirement planning and your overall financial plan. Please contact your current vendor, if you have questions or if you would like to make changes to your account. KEY DATES* Mid-August through September PLAN ACTIVITY On-site help desks and information sessions will be available at all locations with all vendors. To view a schedule of events visit netbenefits.com/lsu. August 30, 2018 Investment options will be closed at VALIC. All existing balance(s) and future contributions in the closing funds at VALIC will be transferred to a Vanguard Institutional Target Date Fund. To facilitate the fund changes at VALIC, transactions will not be available on August 29, 2018, after 3 p.m. (CT). On August 31, 2018, all transactions will be available. September 1, 2018 September 4, 2018 September 5, 2018 Week of September 10, 2018 October 1, 2018 MetLife and Voya will no longer be available vendors in the LSU Supplemental 403(b) Plan. You can re-enroll at MyRetirementManager.com. Contributions directed to MetLife and Voya will end with the last payroll in August. You can now access the new investment options at TIAA and make changes to your balance(s) and future contributions. As of 3 p.m. (CT), all eligible existing balance(s) and future contributions in the closing funds at Fidelity will be transferred to a Vanguard Institutional Target Date Fund. You can now access the new investment options at Fidelity and make changes to your balance(s) and future contributions. All eligible existing balance(s) and future contributions in the restricted funds at TIAA will be transferred to a Vanguard Institutional Target Date Fund. Reduced recordkeeping fees and investment management costs are in effect for Fidelity and TIAA. VALIC s changes became effective on July 1, *The dates shown are based on the timing and accuracy of a variety of factors, including the transfer of data, receipt of instructions, and receipt of assets. Changes in any of these factors may result in changes to the dates and timing, including the dates on which, and thus the prices at which, assets in your account are sold and/or reinvested. 21

22 RESOURCES AVAILABLE Fidelity TIAA CALL VALIC CLICK Fidelity TIAA VALIC netbenefits.com/lsu TIAA.org/lsusystemtda lsu.valic.com MEET SCHEDULE AN APPOINTMENT Fidelity TIAA VALIC Meet with your Fidelity Retirement Planner by calling or visit netbenefits.com/lsu and click the Contact Us tab, then Meet. If you would like to schedule an appointment with a local TIAA financial consultant, call weekdays, 7 a.m. to 7 p.m. (CT) or visit TIAA.org/schedulenow. Call the VALIC Baton Rouge office at to schedule an appointment. 22

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24 Although this guide was prepared for the LSU Supplemental 403(b) Plan by Fidelity Investments for the convenience of plan participants, certain pages in it were supplied by non-fidelity investment providers. Each provider offering products and services to the plan or its participants is solely responsible for the content on its applicable pages and does not assume any responsibility or liability for the content supplied by any other provider., A.J. Gallagher, and Fidelity Investments are independent entities and are not legally affiliated. Fidelity Brokerage Services LLC, Member NYSE, SIPC, 900 Salem Street, Smithfield, RI FMR LLC. All rights reserved