New Age-Based Fund Added To Ohio’s 529 Plan
Ohio’s 529 Plan, CollegeAdvantage, is adding the 2042 new college-enrollment-date fund to the Advantage Age-Based Portfolios (AABP). The new 2042 fund is the AABP investment option intended for children born between Aug. 1, 2022 and July 31, 2024. Ohio’s 529 Plan also implemented required conversion of the 2022 Fund accounts to the Graduate Fund. This conversion happens every two years per the design of the AABP option.
These two updates will take place on Friday, July 22, 2022.
Wilshire is the discretionary manager for the AABP, a unique and customize portfolio designed to take into account a beneficiary’s date of birth and year of college enrollment and expected investing time horizon. This option combines actively managed and passively managed investment options to reduce fees and relative risk, while enhancing performance potential.
Wilshire conducts a thorough review of the underlying funds in the AABP on a regular basis. The recent review resulted in a recommendation to add two new funds to the underlying funds: Vanguard Emerging Markets Select Stock Fund and DFA Global Real Estate Fund. Both of these funds will increase overall diversification by providing additional exposure to Emerging Markets and Global REITS. The new underlying funds are managed by well-respected, high quality asset management firms and we are able to add exposure to these funds at a very low cost.
Since Ohio’s 529 Plan, CollegeAdvantage, is changing our available investment options line-up, we are releasing a Supplement to the March 21, 2022 CollegeAdvantage Direct 529 Savings Plan Offering Statement and Participation Agreement to reflect these updates. The Supplement will be in effect beginning July 22, 2022.
In order to review the new Supplement to the CollegeAdvantage Direct 529 Savings Plan Offering Statement and Participation Agreement, please follow this link to review it online.
For a visual representation of the newest AABP fund, please review the latest Investment Option Chart.
If you have any questions, or if you need information or assistance with your account, please call CollegeAdvantage at 1-800-AFFORD-IT (233-6734). Our customer service representatives are available to assist you from 8:30 a.m. - 6 p.m. EST Monday through Friday. You may also send your non-account specific questions at your convenience via email to CustomerService@CollegeAdvantage.com.
Visit Ohio’s 529 Plan online to start saving today for your child’s future higher education. An investment in a 529 plan is an investment in your child where every dollar saved today is a dollar that doesn’t have to be borrowed later. A 529 account can be used for whatever comes after high school, including four-year colleges and universities, two-year community colleges or technical schools, trade or vocational schools, apprenticeships, or certificate programs. Learn, plan, and start an Ohio 529 Plan today at CollegeAdvantage.com.
Posted on March 27, 2023