We are excited to announce that you will soon benefit from the new Empower Personalized Experience at www.dap401k.com. Whether using the website or mobile apps, you will be able to your complete financial picture in an innovative and actionable way.

The process of moving over to the new experience will happen throughout the day next Wednesday, May 4^th; however, you will never be without access to your accounts online or the ability to complete transactions.  The website address (URL)/mobile apps and all user IDs and passwords will remain the same.

If you are enrolled in My Total Retirement (MTR)- Financial Advisory Services

On the day of migration, May 4th,  access to My Total Retirement may not be available.

There will be approximately 1.5 hours at the beginning of the migration that the call center won’t be able to assist you with opting in/opting out of MTR.

The Account Overview dashboard when you log in before the change.

When the move is complete, here is the new Account Overview dashboard with the new look and feel. 

If you have questions or concerns, please call Michelle in the DAP Office at 314-739-7373

Inflation has been on the minds of 401(K) plan participants since 2021. There was a commentary written by Kevin DiCiurcio, head of the Vanguard Capital Markets Model® research team on October 15, 2021 that addresses Inflation, Diversification and Asset Allocation. The biography of Kevin is included below and here is the link to the commentary.

Please Click Here for the Commentary – Inflation, Diversification and the 60/40 Portfolio

The Directed Account Plan Tier I – Asset Allocation investment options are for the investor who does not wish to be actively involved in the investment process. These funds offer a convenient, low-cost way to access a sophisticated diversification strategy of stocks and bonds, professional money management, and periodic rebalancing. Funds may be selected based upon either anticipated retirement date or risk preferences. There are two choices within the DAP’s Tier I – Asset Allocation Funds:

Target Risk Funds

Target Retirement Funds

Half of the DAP participants are directly invested in a DAP Asset Allocation Fund and most stay the course investing to and through retirement. An example of a 60/40 portfolio is the the Target Risk – Conservative Fund  with an allocation of 60% to equities and 40% to fixed income investments.

Kevin DiCiurcio is a senior investment strategist in Vanguard Investment Strategy Group. He is head of Vanguard Capital Markets Model® research team, which designs models for asset class return forecasts and quantitative portfolio construction. Within the team, Mr. DiCiurcio is responsible for managing the asset allocation of multiasset portfolios using quantitative modeling tools. He also conducts research related to portfolio construction and fixed income investing. Prior to this, Mr. DiCiurcio designed portfolios for Vanguard’s institutional clients using quantitative asset allocation tools and previously worked in Vanguard Risk Management Group supporting fixed income investment risk. Mr. DiCiurcio earned a B.S. in finance from the University of Richmond and an M.B.A. from Villanova University. He is a CFA® charterholder.

The new April 2022 Heads Up newsletter is posted.

2021 Plan Investment Performance; Highlighting the Diversified Inflation/Real Return Fund

This newsletter reviews the DAP investment option menu and 2021 investment performance. The 2021 financial markets were strong and the DAP investment options performed well as you will see in pages two through five of this newsletter. But 2022 presents a much different picture as our country experiences the biggest surge in inflation in nearly 40 years. Therefore, this Heads Up feature article starts with an excerpt from the Empower Retirement Insights article titled, “Six Things You Need to Know About Inflation” and ends with a focus on a DAP investment option that was created as a hedge against inflation – the Diversified Inflation/Real Return Fund.

All of the past Heads Up Newsletters are posted under the Knowledge Center Tab, in the Heads Up Library. Here you will find investment education that transcends time.

Performance and investment details are updated monthly on this website under the Tracking Investments tab.

Please call the DAP Office at 314-739-7373 with questions.

Vanguard lowered the expense ratio for the Target Retirement Fund Series Funds on February 11, 2022. The new expense ratio is an annual 0.08% (8 basis points) effective as of market close on February 11, 2022. (the prior annual fund expense ratio was 0.09%*)

If you are invested in a Vanguard Target Retirement Fund, you will notice that your fund name no longer has the word “institutional” in the name.  That is because Vanguard merged the Vanguard Target Institutional Funds in the Vanguard Target Retirement Funds at the same time as lowering the fees on February 11th. For example, if you were invested in the Vanguard Institutional Target Retirement Fund 2020, the new name is Vanguard Target Retirement Fund 2020. It is the same fund with a different name and a lower fee.

*Vanguard’s average fund expense ratio in 2020 was 0.09%, less than one-fifth that of the 0.54% industry average. Source: Vanguard and Morningstar as of 12/31/20. What Drove Jack Bogle To Upend Investing, Wall Street Journal, Jan. 18, 2019.

Market Volatility, and negative financial markets have become a daily story this month.  This is not the first time that our participants have experienced uncertain financial markets. The DAP participants have had to navigate many downturns during their 29 years of investing for retirement through the DAP.  Historically, the  declines worked themselves out and the financial markets trended upward over time. Please take time to read these 18 Heads Up newsletter articles pulled from the archives. Keep in mind that the markets go up and down. When the markets go down, it is a good time to re-educate ourselves and learn from history.

Investing in a Volatile Market – October 2020 Heads Up Issue

The Risk of Market Timing – July 2019 Heads Up Issue

Understanding Risk Tolerance – October 2018 Heads Up Issue

What is Market Volatility – April 2018 Heads Up Issue

Riding Along with the Ups and Downs – April 2015 Heads Up Issue

Staying the Course – April 2011 Heads Up Issue

Tips for Surviving the Next Market Disaster – October 2009 Heads Up Issue

Does Diversification Still Work? – July 2009 Heads Up Issue

Market Declines – A History Lesson Revisited – October 2008 Heads Up Issue

Market Timing – Put Down that Watch – You Can’t Time the Market – October 2007 Heads Up Issue 

Market Declines – A History Lesson – October 2002 Heads Up Issue

Investing Based on Time Horizon – November 2000 Heads Up Issue

Market Volatility – The Sky Isn’t Falling – November 1999 Heads Up Issue

Covering Risk – November 1997 Heads Up Issue

Return and  Risk – April 1996 Heads Up Issue

When the Teacup Rattles in Its Saucers – May 1996 Heads Up Issue

Slow and Steady Wins the Race – December 1994 Heads Up Issue

Watch the Donut not the Hole – August 1994 Heads Up Issue

The new January 2022 Heads Up newsletter is posted.

Plan Expense Overview – Understanding your Fees and Expenses

This newsletter focuses on your DAP plan fees and expenses. There is an overview of how your fees are charged and a list of your plan fees and expenses.

All of the past Heads Up Newsletters are posted under the Knowledge Center Tab, in the Heads Up Library. Here you will find investment education that transcends time.

Performance and investment details are updated monthly on this website under the Tracking Investments tab.

Please call the DAP Office at 314-739-7373 with questions.

A lower Fidelity Growth Co. Fund manager fee is coming soon. Effective December 16, 2021, the DAP participants will have access to the new Fidelity Growth Company Mutual Fund’s K6 share class. The fund’s fee will lower from 0.75% to 0.45% on December 16, 2021 when the DAP exchanges into the K6 share class.

CLICK HERE FOR THE FUND NOTICE

A lower administrative fee will be charged to your account. Directed Account Plan regularly reviews the fees charged for the Plan. Effective January 1, 2022, as a result of a recent review, the annual administrative fee will be reduced from 0.15% to 0.12%. The fee is charged monthly to your account. You will see the reduced fee starting with you first quarter 2022 quarterly account statement.

CLICK HERE FOR THE FUND NOTICE

An Asset Fee Credit will post to your DAP account on or about November 8, 2021 . The Directed Account Plan Board of Directors periodically reviews the growth in assets within the 401(k) Plan’s expense account.  During a recent review, the Board determined a portion of these assets could be redistributed to participants’ accounts. The amount to be distributed to your individual account will be pro-rated based on your current account balance and will post to your account in the month of November 2021.

You will see the amount in your 4th Quarter 2021 quarterly account statement under What activity took place this period?; it will be labeled as an “Expense adjustment.”

Mobile or Ipad Device logon to dap401k.com (your personal website access) now requires logon via an App. The next time you logon from your cell phone or Ipad/Surface, you will be prompted to download the App from the Iphone or Android store. You will only be able to access your account through the App going forward in order to protect your account. Empower Retirement, the DAP recordkeeper, uses state-of-art Cybersecurity protection for your DAP account.    Click Here to learn more about the Empower Security Guarantee and important steps you should take to protect your online accounts.