Core Investment Funds

You have the flexibility to choose how your Unclassified Plan contributions are invested. You may choose your own investment mix from any of the funds offered by the State Board of Investment (SBI).


Consider this approach if you . . .

  • are a hands-on, knowledgeable investor.

  • have a working knowledge of asset allocation, diversification, and long-term investment horizon.

  • are comfortable researching and making sure your retirement portfolio has the right mix of asset classes.

  • understand the importance of monitoring your account to ensure the funds you chose continue to meet your retirement goals.


Or, if you prefer, you can simplify investing with a Target Retirement Fund.

 

Core Investment Funds

Funds appear in order of highest to lowest risk/potential reward. You can invest in any combination of these investment options.

Fund Name & Fact Sheet                         

 Fund Description                                         

Broad International Stock Fund

The fund seeks returns by investing in the stock of companies outside the U.S. Typically, a majority of this fund is invested in the largest international stock markets (United Kingdom, Japan, France, Canada, Germany, and Switzerland). Most of the remainder is invested in other well-established markets in Europe and the Pacific region. In addition, a portion of the fund is invested in developing countries or "emerging markets" around the world (Asia, Latin America, Eastern Europe, the Middle East, and Africa).

Foreign investments involve special risks, including currency fluctuation, taxation differences and political developments. Equity securities of companies located in emerging markets involve greater risks than investing in more established markets, including currency fluctuations, political developments, and share liquidity.

U.S. Stock Actively Managed Fund

This fund seeks returns from capital appreciation (increases in the market value of its stocks) by investing almost exclusively in stocks of U.S. companies.

U.S. Stock Index Fund

This fund's objective is to generate high returns that track the returns of the U.S. stock market.

Balanced Fund

The fund's target asset mix is:  60% common stock, 35% bond, and 5% cash (holdings vary daily).The fund seeks returns from both capital appreciation (increases in the market value of stocks and bonds) and current yield (dividends from stock and interest on bonds).

Bond Fund

The fund invests in high-quality government and corporate bonds and mortgage securities that have intermediate to long-term maturation, between 3 and 20 years.

Keep in mind:  Any returns from the fund generally will move in the opposite direction of interest rate changes. you must be willing to assume some risk with your investment because the fund could register losses in periods when interest rates are rising.

Stable Value Fund

The fund is designed to maintain the value of a participant's original investment and to provide competitive returns using longer maturing (3-5 years) securities than typically found in a money market-type account. The assets in the fund are invested in a well diversified portfolio of high quality fixed income securities with strong credit ratings. The fund also invests in contracts issued by highly rated insurance companies and banks which are structured to provide principal protection for the fund's diversified bond portfolios, regardless of daily market changes.

Money Market Fund

The fund seeks to maintain the value of a participant's original investment and seeks to earn interest that is competitive with short-term money market rates. The fund owns a range of high-quality, short-term securities with an average maturity of generally 90 days or less.

The Money Market Fund is not guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other government agency. Although the fund seeks to preserve the value of your investment at $1 per share, it is possible to lose money by investing in the fund.

 

Important Note:
All Minnesota Supplemental Investment Fund investments are not guaranteed and are subject to investment risk including the possible loss of principal. The investment return and principal value of the security will fluctuate so that when redeemed, may be worth more or less than the original investment.

Equity securities of small and mid-sized companies may be more volatile than securities of larger, more established companies. Asset allocation and balanced investmen options and models are subject to the risks of the underlying funds, which can be a mix of stock/stock funds and bond/bond funds. A bond fund's yield, share price and total return change daily and are based on changes in interest rates, market conditions, economic and political news, and the quality and maturity of its investments. In general, bond prices fall when interest rates rise and vice versa.

Although data is gathered from reliable sources. the completeness of accuracy of the data shown cannot be guaranteed. All information is most current as it is provided by the data shown.