The new October 2021 Heads Up newsletter is posted!

Cybersecurity Awareness; Required Minimum Distribution Checklist

This newsletter features an overview of your personal account security, and provides tips for keeping your account safe and secure. The IRS Required Minimum Distribution is back in 2021. Page two of the newsletter provides education and a check list for you to manage this distribution which is due by December 31st.

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.

The new July 2021 Heads Up newsletter is posted!

DAP – Best in Class 401(k) Plan; Pretax versus Roth 401(k) Contributions

This newsletter features a comparison of Pretax 401(k) versus Roth 401(k) contributions.

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 is updated monthly on this website under the Resources & Planning tab. There is also monthly performance posted under the Tracking Investments tab.

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

The lower fee Vanguard Target Retirement Funds were added to the DAP investment menu on May 12, 2021. The below notice was mailed to you April 1st:

Required Notice – Vanguard TDF – Lower Fee Share Class Notification

If you were invested in a Vanguard Target Retirement Fund on May 12th, you were automatically exchanged into the lower fee fund. It is the same fund at a lower fee.

Before the change, Vanguard only allowed the retail share class of the Vanguard Target Retirement Funds to be offered to the DAP participants. These funds had an annual expense factor of 0.12% to 0.15% depending on the fund you were invested in.

Vanguard now allows the institutional share class of the Vanguard Target Retirement Funds to be offered to the DAP participants. These funds have an annual expense factor of 0.09% for all of the funds.

There is a 0.03% to 0.06% annual fee savings to the DAP participants by replacing the retail share class with the institutional share class.

Now all of our participants have access to these low cost target date funds.

The new Heads Up newsletter is posted!

2020 Plan Overview & Performance

This six page newsletter features a detailed overview of the DAP investment menu, fund performance and fees.  There is a list of the top 10 most popular DAP funds and an announcement of the lower cost Vanguard Target Retirement Funds coming on May 12th.

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 is updated monthly on this website under the Resources & Planning tab. There is also monthly performance posted under the Tracking Investments tab.

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

The Plan Fees & Expenses are covered in the new Heads Up newsletter, the January 2021 Issue – Click here for the Heads Up Newsletter – Understanding Your Plan Fees & Expenses

This Heads Up Newsletter is posted under the Knowledge Center Tab, in the Heads Up Library. Here you will find all of the Heads Up newsletters, providing investment education that transcends time.

The new Heads Up newsletter covers the DAP Plan Fees & Expenses in detail.

Performance and investment details is updated monthly on this website under the Resources & Planning tab. There is also monthly performance posted under the Tracking Investments tab.

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

The Third Quarter Heads Up newsletter is posted!

Investing in a Volatile Market; Safeguarding Your Retirement Assets

This Heads Up Newsletter is posted under the Knowledge Center Tab, in the Heads Up Library. Here you will find all of the Heads Up newsletters, providing investment education that transcends time. You will learn about the value of being a long-term investor in a volatile market and the value of one percent on future retirement income.  There is also security tips for you to protect your retirement accounts and an explanation of the DAP recordkeeper’s (Empower Retirement) security practices.

Performance and investment details is updated monthly on this website under the Resources & Planning tab. There is also monthly performance posted under the Tracking Investments tab.

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

You received an Account Information Letter dated September 2, 2020. The purpose of this letter is to inform you of your account information on record with the Directed Account Plan.  This letter is sent out annually and often causes confusion for our participants. There are three sections that have generated questions from our participants. I have made a Q & A list to address these questions:

• Q – Why does the letter welcome me to the DAP when I have been a long time participant?   
  • A – This sentence should have been removed from the letter. We apologize for the confusion that this statement caused. There was a boiler plate template letter used and the sentence should have been omitted before delivery.  You are a much appreciated current member of the DAP and you are always welcome in the DAP!
• Q – Why does the letter confirm information that was received on my account when I did not make any changes to my account recently?   
  • A – This letter is delivered each year so that you can review important account information on record with the DAP. It provides an opportunity for you to review your account information. If you notice incorrect information you may correct it online at www.dap401k.com or call the Empower Customer Service Center at 1-844-861-4327. You may also call Michelle at the DAP Office at 314-739-7373. The account information contained in this letter may have been received any time over the 27 years that the DAP has been serving you.
• Q –  Can you explain why I do not recognize my investment election in ?
  • A – This is not your Current Balance Investment Election. This is the Contribution Balance Investment Election or the investment election for future deposits or contributions to your DAP account. There are two investment elections that you may make at any time. 1) The investment election for you existing or current balance. 2)The investment election for any future deposits or employer contributions into your account.  Most of the former TWA Pilots and their beneficiaries have never established a Contribution Balance Investment Election (also called Future Allocation Investment Election) because they are not active employees and do not receive employer contributions.  However, you most likely receive future deposits for investment manager revenue credits or asset based fee credits. In absence of you making an investment election, you are defaulted into the qualified default investment alternative (QDIA). The QDIA for the Directed Account Plan is the Vanguard Target Retirement Fund for your age. Therefore, most of the former TWA pilots and their beneficiaries will see a Vanguard Target Retirement Fund in this section. If you would like to choose a fund other than your default Vanguard Target Retirement Fund for your age, you may take action online at dap401k.com or by phone at 1-844-861-4327.  There are two changes that you would need to make to have your current and future balance invested in the same fund.
    • • 1) Rebalance your current balance – You will notice that there is small amount of money in a Vanguard Target Retirement Fund on your statement. You may direct the Vanguard Target Retirement Fund be moved to your current balance investment election. Over time, you had credits build up in the Vanguard Target Retirement Fund since that was the default for future deposits to your account.
      • 2) Change your Future Allocation Investment Election – Once you make this change, next year your Current Balance Investment Election on this letter will show your investment election rather than the Target Retirement Fund default.

If you have further questions, please do not hesitate to call Michelle at the DAP Office at 314-739-7373 and she will assist you with the website or will conference you in with a call center representative to get you on a recorded line to make your investment elections.

The DAP Plan Overview is posted!

This DAP Plan Overview presentation can be opened with this link DAP Plan Overview
and is also posted under the Knowledge Center Tab.   The presentation covers investment education topics such as:

• Your Retirement Income
• Benefits of Investing in the DAP
• Investing in Your Retirement Accounts
• Overview of the DAP Investment Menu

The Second Quarter Heads Up newsletter is posted!

CARES Act Provisions Added to the DAP; Investing: The Nuts and Bolts

This Heads Up Newsletter is posted under the Knowledge Center Tab, in the Heads Up Library. Here you will find all of the Heads Up newsletters, providing investment education that transcends time. This issue explains the COVID-19 related CARES Act provisions added to the DAP to provide support to our participants during this unprecedented time.  There is also an article covering the nuts and bolts of investing.

Performance and investment details is updated monthly on this website under the Resources & Planning tab. There is also monthly performance posted under the Tracking Investments tab.

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

The First Quarter Heads Up Newsletter is posted! The DAP is one of 34 2020 Best in Class 401(k) Plans.  The full list is posted at: https://www.plansponsor.com/awards/2020-best-in-class-401k-plans/

You will learn more about the DAP’s Best in Class award in the April Heads Up issue. There is also education on how active employees can adjust their savings rate online. This six page issue provides detailed fund information such as  investment performance, management fees, and assets allocations as of December 31, 2019.  Every year we report this detailed fund information to our participants.

There is a commentary from the DAP Investment Advisor, Mercer, that addresses the novel coronavirus outbreak. This message was written as of March 19th and there have been many new developments since that time with regards to COVID-19.

This issue is capped off with a list of several past Heads Up issues with market volatility investment education. Here is a link to these articles:

Watch the Donut, Not the Hole

Slow and Steady Wins the Race

When the Teacup Rattles in the Saucer

Market Volatility – The Millennium Looms

Market Declines – A History Lesson

Put Down that Watch, You Can’t Time the Market

Market Declines – A lesson Revisited

Tips for Surviving the Next Disaster

Staying the Course

Riding Along with the Ups and Downs

What is Market Volatility?

There is an archive of all DAP newsletters under the “Knowledge Center” tab, “Heads Up Library”.