Stable value funds provide great returns, much better than money market accounts. There is a price to be paid for that. Stable value funds are guaranteed investment contracts and any termination may lead to a market value adjustment (MVA).<\/p>\n
An MVA is a monetary adjustment, or fee, stated within a stable value fund contract. This fee is paid as the result of the plan sponsor\u2019s withdrawal before the provisions outlined in the contract are met.<\/p>\n
Plan participants in the Bed Bath and Beyond\u2019s 401(k) plan learned that, the hard way. The plan\u2019s termination with Empower, set off a MVA, adding more insult to injury to people who lost their jobs. Before you terminate the plan or switch providers, check the stable value adjustment for any MVA.<\/p>\n
<\/span><\/p>","protected":false},"excerpt":{"rendered":" Stable value funds provide great returns, much better than money market accounts. There is a price to be paid for that. Stable value funds are guaranteed investment contracts and any termination may lead to a market value adjustment (MVA). An … Continue reading