To: HSA Consumer
From: myCafeteriaPlan as HSA Administrator and HealthcareBank, a division of Bell State Bank & Trust as HSA Custodian
This is to inform you of upcoming changes to the mutual funds currently offered in your HSA Investment Account. To better serve you, we are adding low cost, passively managed index funds, while at the same time removing two underperforming actively managed funds.
After careful research and analysis, HealthcareBank’s investment team made the decision to add Vanguard Index Funds to the list of mutual funds offered in your HSA Investment Account. Index funds are a lower cost alternative to actively managed mutual funds. Their returns tend to closely track the performance of the market category associated with the style of the fund. The enhanced line-up more closely aligns with investor expectations with regard to performance consistency and lower management fees.
Effective December 2, 2013 the following mutual funds were added to your HSA Investment Account:
|Vanguard Mid Cap Index||VIMSX|
|Vanguard Small Cap Index||NAESX|
|Vanguard Total International Stock Index||VGTSX|
|Vanguard Emerging Markets Stock Index||VEIEX|
|Vanguard Total World Stock Index||VTWSX|
|Vanguard Interim-Term Bond Index||VBIIX|
|Vanguard Total Bond Market Index||VBMFX|
The fund fact sheet and prospectus for each of these new mutual funds are available online through the HSA Consumer Portal at www.myCafeteriaPlan.com , select “View Investment Detail” and then select “Fund Performance.”
In addition, to further improve the available fund selections, we will be removing two underperforming, actively managed style specific funds. The Eaton Vance Large Cap Value I Fund (EILVX) and the BlackRock Flexible Equity Institutional Fund (CMVIX) have not met consistent performance expectations and will no longer be available. No action is required by you. As of the date of this communication, there were no investment elections or balances in these funds; therefore they have already been removed from the mutual fund lineup and the Investment Portal.
If you have any questions, please call 937-865-6500.
Published: December 6, 2013