Purdue qualifies for lower fees on two Vanguard investment options

July 7, 2011

Purdue retirement program assets in two Vanguard funds within the University’s lineup have now reached a level that qualifies the program for new investment options having lower expense ratios. The expense ratio is the management fee charged to participants by the investment company.

As a result, at the market close on July 12, 2011, Purdue assets in the Current Investment Options listed below will be transferred to the New Investment Options. The funds are part of the lineup for the defined contribution and voluntary savings retirement plans. Faculty and staff are not required to take any action because of these changes.

Current Investment Option:
Vanguard 500 Index Fund Signal Class
Fund Code: 42883
Expense Ratio:*0.06
Transfers to New Investment Option:
Vanguard Institutional Index Fund Institutional Shares
Fund Code: 45124
Expense Ratio:*0.04

Current Investment Option:
Vanguard Total Bond Market Index Fund
Signal Shares
Fund Code: 42911
Expense Ratio:* 0.11
Transfers to New Investment Option:
Vanguard Total Bond Market Index Fund Institutional Shares
Fund Code: 47082
Expense Ratio:* 0.07
* The information above is as of June 28, 2011.

The transfer of balances will appear as an exchange on the employee’s account history and quarterly statement, and the employee may receive a prospectus because of the transaction.

Fidelity will send an email notice of this change to all faculty and staff for whom Fidelity has an email address. All other participants will receive a letter at their home addresses. For more information, log on to the Purdue-dedicated Fidelity NetBenefits site at www.plan.fidelity.com/purdue and then click "Plan Changes."