Having recently added one of the (MSU-led) information sessions with some of those same concerns, it was suggested to compare the expense ratios of funds available through your current provider vs Fidelity vs TIAA-CREF. For example, I checked the Vanguard Target Date X retirement funds and at least in the range i checked (2030-2050), all the funds had the same expense ratio (at least to two significant figures since that's all I could find on the web sites) with Vanguard directly or via the same funds offered by Fidelity or TIAA-CREF (Yes, you will still get Vanguard Target Date Retirement Funds even though we no longer have Vanguard as an option. Conspiracy theorists, have at it...)

Beyond that, you could go to StraightLine or any other investment agency (on your own dime) to get an outside opinion.

Whether MSU is receiving any added value/benefits or the nature of such, I couldn't say. The official party line seems to be compliance with new federal regulations (although I have not seen actual documentation of said regulations), with a mix of "most people didn't even know we had 6 vendors" (the merit of which as a reason for eliminating 4 of them, I will leave to the reader).

Carl

Carl Bussema III
Information Technologist
Michigan State University Outreach & Engagement
Phone: (517) 353-8977 • Fax: (517) 432-9541 
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On Tue, Nov 15, 2011 at 7:52 AM, Laurence Bates <[log in to unmask]> wrote:

A number of people have raised concerns about the MSU Retirement Consolidation Changes such as the added value that MSU is receiving in either goods or services to limit the number of retirement vendors, and the costs for faculty and staff who wish to retain their previously preferred vendor.  Since this involves money that belongs to current and future MSU retirees and not MSU, I wondered if there was a non-MSU affiliated web site that I could point people to who wanted to consider these issues.

 

Laurence

 

 

From: [log in to unmask] [mailto:[log in to unmask]] On Behalf Of Rich Tibbals
Sent: Monday, November 14, 2011 5:50 PM
To: Laurence Bates
Cc: [log in to unmask]
Subject: Re: [MSUNAG] MSU Retirement Consolidation Changes

 

Laurence,

What do you mean by objective source?  What are you hearing in your college?

--Rich

On Mon, Nov 14, 2011 at 4:12 PM, Laurence Bates <[log in to unmask]> wrote:

I have been reviewing the MSU Retirement Consolidation Changes and wondered if anyone is receive requests from faculty about a more objective source of information.  What advice are you giving?

 

Laurence

 

 

Laurence A. Bates

College of Education

Michigan State University

217E Erickson Hall

East Lansing

MI 48824

517-355-2178

[log in to unmask]

 

An exuberant rationalist...

 




--
Rich

Richard C. Tibbals
Director of Technology and Facilities
College of Communication Arts and Sciences
Michigan State University
287 Comm Arts Bldg.
East Lansing, Mi   48824-1212

Voice: 517-432-5674
Fax:517-432-1244

infotech.cas.msu.edu