University of Oklahoma Selects Fidelity as Provider

Fidelity Investments has been selected by the University of Oklahoma (OU) as the sole administrative service provider for its 401(a), 457 and 403(b) defined contribution retirement plans.
Fidelity’s offering to OU employees includes comprehensive education and investment guidance, technology with online enrollment capabilities, and a broad array of investment options designed to meet various investor needs and preferences.The university’s retirement plans include more than 10,000 participants, representing approximately $1.2 billion in retirement savings.

“Fidelity demonstrated an understanding of the University’s desired goals and expectations for the plans’ recordkeeping and represented the best value to the University,” said Chris Kuwitzky, chief financial officer and chairman of the Retirement Plans Management Committee, University of Oklahoma.

John Ragnoni, executive vice president, Tax Exempt Business, Fidelity Investments, noted: “In addition to easing the administrative burden of maintaining multiple providers within their retirement plans, consolidation has increasingly become a solution for many not-for-profit employers, like the University of Oklahoma, in helping minimize fiduciary risk and exposure and delivering a more beneficial plan for employees.”

Pru Launches Three Fixed Income Funds

Prudential Investments has begun offering three new fixed income funds.

According to the announcement, the funds are the Prudential Floating Rate Income Fund, the Prudential Absolute Return Bond Fund, and the Prudential Emerging Markets Debt Local Currency Fund. Prudential Investments is the mutual fund family of Prudential Financial Inc.

The Prudential Absolute Return Bond Fund (A: PADAX): seeks “to generate positive returns over time regardless of market conditions by investing across a broad range of sectors and securities,” the company reported.The fund’s “flexible strategy uses a variety of investment techniques, which may include managing duration and credit quality, yield curve positioning, and currency exposure.”

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The Prudential Floating Rate Income Fund (A: FRFAX): invests primarily in floating rate loans and other floating rate debt securities. Prudential said that floating rates loans have historically offered attractive yield and stability in times of rising interest rates.

The Prudential Emerging Markets Debt Local Currency Fund (A: EMDAX) invests primarily in currencies and fixed income securities denominated in the local currencies of emerging market countries. “Many of these countries are growing faster, have less debt, and maintain lower national budget deficits than their counterparts in developed countries,” according to the announcement.

The portfolio managers for all three funds are part of Prudential Fixed Income, which has about $270 billion in assets under management as of December 31, 2010. The principal managers for each fund average more than 20 years of industry experience, according to the announcement.

“Today’s historically low interest rates have many investors concerned that if rates start rising, it could have a negative impact on their bond investments,” said Judy Rice, president of Prudential Investments. “Two of our new funds help protect against changing market conditions and may reduce interest rate risk, while the third fund focuses on helping investors take advantage of growing opportunities in developing markets.”

More information is available at http://www.prudentialfunds.com.

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