News & Articles

News

Lifetime Fund (Option C) Rate for 2020 - UPDATE for April 2020

Date: March 15, 2020
Option C Lifetime Fund is unique in offering long-term strategy and "do it for me" simplicity.

Due to extraordinary financial markets, the FCMM Board of Trustees has adjusted the earnings rate for the Lifetime Fund (Option C) to 2%, effective April 1, 2020.

Option C is a collective investment fund that aims to provide steady long-term earnings to the member. For more information and details, see Understanding Option C: The Steady Approach.

The rate previously announced starting in January 2020 was 4%. The rate in 2019 was 3.5%, 4% in 2018, and 3% in 2017.

Because of the long-term nature of the Option C Lifetime Fund, invested funds can be transferred to other Options only once in a 12-month period. The Lifetime Fund is structured to offer reliable value towards a monthly income benefit ("annuity") for which 100% of accrued value can be converted. If funds are instead transferred or withdrawn, a fair market value may be applied when accrued value is greater than current market value.

For more complete descriptions of these and other Options, see Retirement Plan Investment Options.