Federal Reserve SmartBenefits Thrift Plan investment options?

[zesty]

I was considering applying for a Federal Reserve bank position and found out that they don't use the TSP, they have a separate 401k/Thrift Plan. Try as I might, I could not find out what investment options they offer in their plan or the ERs for any of the options.

Does anyone know if this information is publicly available somewhere?

 

[brewer12345]

Dunno about public details, but the plan is good. Expense ratios of 25bp or less, mostly index funds. They match 7% and you vest 20% per year. There is also a cash balance pension that you vest in after 5 years and once you start payments you can use 401k money to buy more pension credit.

 

[zesty]

OK cool, thanks. I always thought that the Fed used the TSP, but just found out recently that it actually uses a separate provider. I was just trying to find out if they offer anything like small value funds, REIT funds, etc in addition to total market funds.

Even if they don't have anything like that, the benefits and pension are really nice!

 

[brewer12345]

OK cool, thanks. I always thought that the Fed used the TSP, but just found out recently that it actually uses a separate provider. I was just trying to find out if they offer anything like small value funds, REIT funds, etc in addition to total market funds.

Even if they don't have anything like that, the benefits and pension are really nice!

Federal Reserve Board staffers (the people who work in DC) are feddle gubmint employees. They are on the federal pension system, I believe have access to the TSP, etc. Federal Reserve Bank staffers (around the country) are private market employees just like the minions at Wal Mart, IBM, etc. Different proposition, although neither are unionized (unlike the other federal bank regulators). It is not uncommon for Federal Reserve Bank employees to transfer to the Federal Reserve Board and turn their years of FR Bank service into credit toward a Board/federal pension.

I always used a all-in-one fund, but IIRC the plan for the FR Banks does have international, REIT, small cap, etc. funds if you wish to slice and dice.

 

[zesty]

Interesting, I had no idea about the difference between the board and the bank. I would never be able to handle DC though, so the bank would have to do for me.

I did find one site (https://www.futureadvisor.com/401k/federal-reserve-system) which lists the following investment options:

• 2014-Select Maturity Bond 0.15%
• 2016-Select Maturity Bond 0.15%
• 2018-Select Maturity Bond 0.15%
• 2020-Select Maturity Bond 0.15%
• Aggressive 0.10%
• Bond Index 0.03%
• Conservative 0.05%
• Emerging Markets Equity 0.15%
• Equity Index 0.03%
• Government Securities 0.03%
• Interest Income 0.17%
• International Equity 0.45%
• Moderate 0.08%
• REIT Index 0.08%
• Small Company Equity 0.03%
• TIPS Index 0.05%

I'm not sure if it's correct, but if it's correct, those are some pretty good options. International is surprisingly high but I have most of my international in taxable already.

 

[brewer12345]

Interesting, I had no idea about the difference between the board and the bank. I would never be able to handle DC though, so the bank would have to do for me.

I did find one site (https://www.futureadvisor.com/401k/federal-reserve-system) which lists the following investment options:

• 2014-Select Maturity Bond 0.15%
• 2016-Select Maturity Bond 0.15%
• 2018-Select Maturity Bond 0.15%
• 2020-Select Maturity Bond 0.15%
• Aggressive 0.10%
• Bond Index 0.03%
• Conservative 0.05%
• Emerging Markets Equity 0.15%
• Equity Index 0.03%
• Government Securities 0.03%
• Interest Income 0.17%
• International Equity 0.45%
• Moderate 0.08%
• REIT Index 0.08%
• Small Company Equity 0.03%
• TIPS Index 0.05%

I'm not sure if it's correct, but if it's correct, those are some pretty good options. International is surprisingly high but I have most of my international in taxable already.

That looks right. There used to be a stable value fund offered, but they took it away. I was not happy about that.

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