How to Evaluate Stable Value Funds
Speakers during a Broadridge webinar discussed steps to evaluate the instruments, as well as what elements plan sponsors should consider.
Reported by
When performing due diligence during the selection of stable value funds, it is important to cover four main areas, said Matt Curtin, sales director, MetLife Stable Value Investments, during a Broadridge webinar, “Enhancing Your Stable Value Product Due Diligence.”
Plan sponsors should consider performance, historical gross crediting rates versus a peer median, historical market to book ratios versus a peer median, and expenses (share class versus a peer median), he said.
When it comes to performance, it is customary to look at three-month, year-to-date, one-year, three-year, five-year and 10-year performances, Curtin said.