RPB offers two tiers of investment choices–Tier 1 Managed Funds and Tier 2 Index Funds–to provide investors of all types with the flexibility to build a nest egg that will meet their specific goals and needs. Your own interest in—and knowledge of—investing will help you decide which fund choices are right for you.

To manage your investment elections, log in to InfoExpress and follow the prompts. You can change how your current account balances are invested and transfer money between funds every five business days. Vanguard has an additional frequent trading policy: if you move money out of a Tier 2 fund, you cannot move money back into the same Tier 2 fund for a period of 30 calendar days. Investment changes made before the NYSE closes (4PM Eastern) will be effective that day. Changes made after the NYSE close will be effective the following business day.

Summary of Plan Investment Choices

Tier 1: Managed Funds
If you don’t have the experience or desire to make regular investment decisions, you might choose one or more of the four managed funds in Tier 1, which are designed to meet various retirement savings objectives.

Fund Name Objective
Capital Appreciation Fund Seeks asset growth
Appreciation and Income Fund Seeks asset growth and income
Income Focused Fund Seeks to generate income
Capital Preservation Fund Seeks stability of principal

Tier 2: Index Funds
If you have the knowledge and interest to make your own asset allocation decisions—or if you work with a professional financial advisor—you might choose to put your savings into the Tier 2 index funds which represent a selection of asset classes, such as stocks, bonds, and real estate.

Fund Name Objective
Vanguard Institutional Index Fund (S&P 500) Seeks asset growth
Vanguard Developed Markets Index Fund (International) Seeks asset growth
Vanguard Small-Cap Index Fund Seeks asset growth
Vanguard Emerging Markets Index Fund Seeks asset growth
Vanguard Short-Term Bond Index Fund Seeks to generate income
Vanguard Short-Term Inflation-Protected Securities Index Fund Seeks to generate income and guard against inflation
Vanguard Total Bond-Market Index Fund Seeks to generate income and moderate asset growth
Vanguard Intermediate-Term Corporate Bond Index Fund Seeks to generate income
Vanguard REIT Index Fund Seeks to generate income and asset growth

Your Guide to Investment Choice Booklet

For more information, check out Your Guide to Investment Choice.

Performance Results

Fund Fact Sheets

Our two tiers of funds provide you with the flexibility to build a retirement portfolio based on your specific needs and goals as well as your interest in and knowledge of investing. You can use the following fact sheets to help decide which funds are right for you. Explore our booklet Your Guide to Investment Choice to learn more about investment strategy and the plan’s fund choices.

Tier 1 Managed Funds: A Simplified Approach to Strategically Diversified Investing

Capital Appreciation Fund
Appreciation and Income Fund
Income Focused Fund
Capital Preservation Fund
Summary of Holdings by Fund

Tier 2 Index Funds: Self-Directed Investing

Vanguard Institutional Index Fund (S&P 500)
Vanguard Developed Markets Index Fund (International)
Vanguard Small-Cap Index Fund
Vanguard Emerging Markets Index Fund
Vanguard Short-Term Bond Index Fund
Vanguard Short-Term Inflation-Protected Securities Index Fund
Vanguard Total Bond Market Index Fund
Vanguard Intermediate-Term Corporate Bond Index Fund
Vanguard REIT Index Fund

Fees

Fees for participating in the Reform Pension Plan vary depending on the participant’s fund election. Fees are expressed as a percentage of a participant’s account balance in basis points. (One basis point is 1/100th of a percent.)Unlike index funds, the RPB’s active managers in Tier 1 make investment decisions based on complex research, market forecasts and their own experience, which typically costs more than investing in index funds. This approach has been shown to improve investment returns and/or lower volatility over longer periods of time, especially in down markets and within certain asset classes. Because of the sizeable assets the RPB has under management, the fees for our managed funds are usually less than those available to an individual person who invests in a comparable fund.

Managed Fund Fees
Capital Appreciation Fund 52 basis points
Appreciation and Income Fund 45 basis points
Income Focused Fund 33 basis points
Capital Preservation Fund 39 basis points
Index Fund Fees
Vanguard Institutional Index Fund (S&P 500) 2 basis points
Vanguard Developed Markets Index Fund (International) 7 basis points
Vanguard Small-Cap Index Fund 6 basis points
Vanguard Emerging Markets Index Fund 14 basis points
Vanguard Short-Term Bond Index Fund 7 basis points
Vanguard Short-Term Inflation-Protected Securities Index Fund 7 basis points
Vanguard Total Bond Market Index Fund 5 basis points
Vanguard Intermediate-Term Corporate Bond Index Fund 7 basis points
Vanguard REIT Index Fund 10 basis points
Other Fees
All plan participants pay the following administrative fee for both Tier 1 and Tier 2 funds:
RPB Administration Fee 20 basis points
Custody, Record Keeping, and Investment Consulting Fee 6 basis points

Investment Choice FAQs

Click here for more information about the investments in our plan.