Today I received a note that Maryland's ORP (403b) program is changing some of its TIAA-CREF lineup. Of particular note is that although TIAA CREF is one of the 2 plan providers, they're dumping CREF Stock, Growth, and Global Equity VAs for actively managed funds. To my amazement, the 3 replacement funds all have noticeably higher ERs:
CREF Stock Account Ticker Symbol: QCSTIX Net Expense Ratio: 0.30%
CREF Growth Account Ticker Symbol: QCGRIX Net Expense Ratio: 0.23%
CREF Global Equities Account Ticker Symbol: QCGRIX Net Expense Ratio: 0.27%
Hartford Core Equity Fund Ticker Symbol: HAITX Net Expense Ratio: 0.39%
T. Rowe Price Instl Large Cap Growth Fund Ticker Symbol: TRLGX Net Expense Ratio: 0.56%
Victory RS Global Fund Ticker Symbol: RGGRX Net Expense Ratio: 0.55%
They did swap VINIX (.04) with lower-priced VIIIX (.02) for a passive index, which was nice to see.
Granted, I am all-in with the LCV AF RWMGX (.29) in my 403B and would be glad to start regularly putting some money into TRLGX now that I have access to a solid TRP fund there. That said, while none of these fund fees are especially egregious in my view, I still find a retirement plans' move toward funds with *higher* ERs to be rather odd, especially in 2020 ... and articularly for a state university system that normally qualifies for the lowest-cost class in funds.
(Yes I'm making enquiries.)
.... which reminds me again why I don't like or trust state investment boards or advisors.