FAST FACTS
- The Trustees offer participants a broad range of investment options including the Fidelity Freedom Blend Commingled Pools. You can direct the money in your Individual Account into as many of these investment options as you would like.
- You may change how the money in your Individual Account is allocated at any time.
- The assets in your Individual Account that you do not allocate will be invested in the Fidelity Freedom Blend Commingled Pool that corresponds to your age (the Plan’s “Default Investment Option”).
This Plan is designed to comply with Section 404(c) of ERISA and Title 29, Section 2550.404c-1 of the Code of Federal Regulations. Generally, this means that the Plan provides you the opportunity to exercise control over the assets in your Individual Account and the opportunity to choose from a broad range of investment alternatives.
In consultation with the Plan’s investment consultant, the Trustees select a diverse range of investment options to be offered to participants. From this lineup of investment options, you are given the discretion to choose how your Individual Account is invested.
The Trustees’ goals in selecting the investment options available to participants are: (1) to obtain the highest return consistent with safe and prudent financial management and (2) to offer participants diverse investment options so as to minimize risk. The Plan retains an investment consultant who provides the Trustees with advice on how best to achieve these goals.
It’s Your Choice
As a general rule, you may direct or redirect the investment options in which your Individual Account is to be invested on a daily basis and, separately, direct or redirect the investment of future contributions made on your behalf. Please note, however, that market timing and other excessive trading in the form of frequent purchases and sales of mutual fund shares and similar investment options can harm investment performance by increasing transaction costs and disrupting the portfolio manager’s investment strategy. Accordingly, you will be prohibited from transferring into most mutual funds and similar investment options if you have transferred into and out of the same investment option within a certain number of days. Certain investment options are not subject to this rule, and this rule does not prohibit you from transferring out of any option at any time. In addition to these automated procedures, Fidelity monitors transactions in all investment options to detect excessive trading and may take additional steps as necessary to prevent such activity. Purchases and sales resulting from contributions, distributions and certain other transactions are excluded when determining whether trading activity is excessive.
Each year the Plan provides you with written disclosure information regarding the Plan’s Default Investment Option and important information regarding each of the Plan’s other investment options, this disclosure notice includes information regarding restrictions on excessive trading.
While you have the right to direct the investment of your Individual Account, the Trustees have an ongoing duty to ensure that the administrative procedures, policy guidelines, and investment fund selection and monitoring necessitated by this type of investment program are established and carried out in a thorough and prudent manner. The Plan retains an investment consultant to assist the Trustees with these duties.
Fidelity© Portfolio Advisory Service at Work (PAS-W)
Some Participants may choose to have their Individual Account investments actively managed by a team of professionals at Fidelity. Once you elect this service, Fidelity will construct a model portfolio based on your unique situations and goals based on the responses you provide Fidelity prior to opting into the PAS-W program and from time to time thereafter. Your portfolio will be monitored and rebalanced periodically to reflect changes in the market or your personal situation. There is a fee associated with this service, but the fee will not exceed more than 1% of your managed portfolio; moreover, your Individual Account will be credited back the actual dollar amount of any investment management fees (in the case of Fidelity investment options) or distribution and servicing fees (in the case of non-Fidelity investment options) payable to Fidelity for investment options used in the service. You may opt out of the PAS-W program at any time.
Default Investment Option
If you choose not to direct the investment of all or any portion of the money in your Individual Account, and do not wish to take advantage of the PAS-W program, the balance of your account that you do not self-direct will be invested in the option selected by the Trustees for all Individual Accounts for which no direction is received. This is the Plan’s “Default Investment Option.” The Trustees have selected the age-appropriate Fidelity Freedom Blend Commingled Pool as the Plan’s Default Investment Option. Each of the Fidelity Freedom Blend Commingled Pools are collective investment trusts managed by Fidelity Institutional Asset Management.
The Fidelity Freedom Blend Commingled Pools are “lifecycle” investment options or “target date” investment options. As lifecycle options, the Fidelity Freedom Blend Commingled Pools have an asset allocation mix that is more aggressive when you are younger and becomes more conservative as you near retirement. The underlying investment options that make up a Fidelity Freedom Blend Commingled Pool may invest in U.S. equities, non-U.S. equities, U.S. investment grade bonds, long-term U.S. Treasury bonds, long and short-term U.S. inflation-protected bonds, international bonds, and other assets. In general, as an individual gradually approaches retirement, the asset allocation of his or her age-appropriate Fidelity Freedom Blend Commingled Pool will adjust—incrementally rolling out of equities and into fixed income investments.
| Fidelity Freedom Blend Commingled Pool | Description |
|---|---|
| Fidelity Freedom Blend Income Commingled Pool | Seeks high total current income and, as a secondary objective, capital appreciation by investing primarily in a combination of Fidelity U.S. equity, non-U.S. equity, bond, and short-term pools and funds, some of which are actively managed and others of which are passively managed. |
| Fidelity Freedom Blend 2010, 2020, 2030, 2040, 2050, and 2060 Commingled Pool | Seeks high current income and, as a secondary objective, capital appreciation. The Fidelity Freedom Blend 2010, 2020, 2030, 2040, 2050, and 2060 Commingled Pools are designed for investors who anticipate retiring in or within a few years of the commingled pool’s target retirement year at or around age 65, investing primarily in a combination of Fidelity U.S. equity, non-U.S. equity, bond, and short-term pools and funds, some of which are actively managed and others of which are passively managed. Allocating assets among underlying Fidelity pools and funds according to a “strategic” asset allocation strategy that adjusts over time until it reaches an allocation similar to that of the Fidelity Freedom Blend Income Commingled Pool approximately 10 to 19 years after the target year. |
Fidelity Freedom Blend Commingled PoolThe Fidelity Freedom Blend Commingled Pool that corresponds with a Participant’s age is the Plan’s Default Investment Option. If you do not direct the investment of all or any portion of the money in your Individual Account, the balance of your account that you do not self-direct will be invested in an age-appropriate Fidelity Freedom Blend Commingled Pool. |
Changing Your Investments
You may make changes regarding how your Individual Account is invested by visiting https://nb.fidelity.com. You must establish a personal identification number (PIN), which you’ll need each time you wish to make changes to how the assets in your Individual Account are allocated among the Plan’s investment options. You can establish your PIN online or call 1-866-84UNION (1-866-848-6466). Again, if you do not direct the investment of your Individual Account, the balance will be invested in the age-appropriate Fidelity Freedom Blend Fund.
You may also make changes by calling 1-866- 84UNION (1-866-848-6466). Participant Services Representatives are available at this number on business days from 8:30 a.m. to Midnight (EST). Fidelity’s automated voice response system at the same telephone number is available on a 24-hour basis.
Your Investment Options
Fidelity and the Fund Office maintain a list of the investment options currently available to Participants. Note that the Trustees, in consultation with the Plan’s investment consultant, may occasionally make changes to these investment options depending on performance and other factors.
If the Trustees decide to add a new investment option to the Plan’s lineup of investment options, you will be notified and provided with information regarding the new investment option. If the Trustees decide to remove an investment option from the Plan’s menu of investment options, you will be notified in advance and, in the event you are invested in that investment option, given the opportunity to reinvestment the portion of your Individual Account invested in such option to another of the Plan’s investment options. If you do not affirmatively reinvest out of that option, the portion of your Individual Account invested in the investment option that is to be removed from the Plan’s menu of investment fund options will be reinvested in accordance with the terms of the notice you receive in advance of this change.
Your Individual Account at Your Fingertips
The Plan allows you to invest for your retirement and serves as a valuable part of your retirement savings goals. The goal is to build your Individual Account through contributions and investment returns, and the investment options you choose affect the long-term value of your Individual Account as do the fees and expenses related to the Plan. Therefore, it is important for you to have a clear understanding of the Plan’s investment options and the fees and expenses related to the Plan. At least once a year you will receive disclosures regarding the Plan’s Default Investment Option, specifics regarding each investment option’s performance and asset-based fee, and Plan administrative fees and expenses. In addition, you will receive a benefit statement on a quarterly basis that will advise you of your account balance at the end of each quarter. Nevertheless, like many Plan participants, you may wish to obtain information regarding your Individual Account and the Plan’s investment options on a more frequent basis. The Trustees encourage you to actively monitor your Individual Account and learn more about financial wellness and retirement planning by visiting Fidelity’s NetBenefits® online at http://nb.fidelity.com or by downloading Fidelity’s NetBenefits® mobile app from your iPhone® or Android. In addition to: providing up-to-date information about your Individual Account balance and investment performance, allowing you to change investment options, request paperwork, and obtain other important and timely information regarding the Plan and its investment options, NetBenefits® offers information about saving for retirement and resources to help you achieve financial wellness.
Access your Individual Account information at any time!Fidelity Investment’s automated service line can provide you with information about the funds available to you for investment and/or allow you to make changes to your account or through the Internet at https://nb.fidelity.com. If you prefer to talk to a Participant Services Representative, just call the same toll-free number any business day between 8:30 a.m. and Midnight (EST). To reach the automated service line or a Participant Services Representative call: 1-866-84UNION (1-866-848-6466) |