Fund Changes Effective On or Around July 8, 2024

INVESTMENT OPTION REPLACEMENTS AND TARGET DATE PORTFOLIO REALLOCATION

In a continual effort to assist you in meeting your retirement goals, the CRA Board of Directors has decided to adjust the allocations of the investment options and add a 2065 vintage for the custom target date portfolios. In addition, there will be two investment option replacements.

As part of the ongoing process of evaluating and monitoring the investment options in the core menu as well as in the target date portfolios, the CRA Board of Directors, with the recommendation of their investment consultant, Innovest Portfolio Solutions, will be making changes to the allocations of the investment options within each of the Target Date Portfolios, adding a 2065 vintage for participants planning to retire around the year 2065, and replacing two investment options, effective July 8, 2024.

Investment Option Replacements and Addition:

Old Investment OptionNew Investment OptionSimilar Investment Style & ObjectiveOffered in Core MenuOffered in Target Date PortfoliosRationale*
American Beacon International Equity (AAERX)Dodge & Cox International Stock (DOXFX)YesYesYesImproved Historical Performance and Lower Expenses.
iMGP Alternative Strategies (MASFX)Goldman Sachs Absolute Return Tracker (GARUX)YesNoYesiMGP Alternative Strategies has management team, style consistency, and asset flow concerns. Goldman Sachs Absolute Return Tracker has a lower expense ratio.
N/ACRA 2065N/AN/AYesGive participants who plan on retiring around the year 2065 an opportunity to invest in a custom target date portfolio designed for a 2065 retirement time horizon.

* Additional information on the funds can be found on the Investment Fund Details page at:
cra-online.org/your-plans/investment-fund-details-and-options

Funds Being Replaced

American Beacon International Equity (AAERX)
The American Beacon International Equity fund has been on watch for organization, asset base, and overall concerns. After a formal review and evaluation of comparable international value funds, the Board decided to make a change. The American Beacon International Equity fund will be replaced with the Dodge & Cox International Stock fund.

iMGP Alternative Strategies (MASFX)
The iMGP Alternative Strategies fund has been on watch for people, style consistency, asset base, and overall concerns. After a formal review and evaluation of comparable low-correlated hedge funds, the Board decided to make a change. The iMGP Alternative Strategies fund will be replaced with the Goldman Sachs Absolute Return Tracker fund.

Funds Being Added

Dodge & Cox International (DOXFX)
The Dodge & Cox International fund seeks long-term growth by investing in international companies that appear to be temporarily undervalued but have a favorable outlook for long-term growth. The investment team uses a multifaceted value process, focusing on company-specific fundamentals when developing an investment thesis. As a result, the team may invest in securities with low valuations or companies exhibiting strong prospects that may not be fully priced into the market.

Goldman Sachs Absolute Return Tracker (GARUX)
The Goldman Sachs Absolute Return Tracker fund seeks to deliver long‐term total returns consistent with approximate return and risk patterns of a diversified universe of hedge funds. The portfolio managers of the fund follow a disciplined portfolio construction process as well as an extensive risk management and monitoring process.

Target Date Asset Allocation Changes

The asset allocation for each target date portfolio is based on an average retirement age of 65 and average life expectancy of age 90. The portfolios are allocated for the average investor to utilize during their working years and into retirement. Every portfolio contains a mix of distinct types of mutual funds (i.e. stocks, and bonds, domestic and international, value and growth), which automatically become more conservative as the investors age. The allocations below are part of the automatic process to adjust risk as the stated targeted retirement date draws nearer.

The new CRA Target Date Portfolio asset allocations are as follows (effective July 8, 2024):

FundTickerCRA IncomeCRA 2010CRA 2015CRA 2020CRA 2025CRA 2030
U.S. Large Cap
Fidelity 500 IndexFXAIX5.00%7.00%8.00%9.00%10.00%11.00%
Dodge & Cox StockDOXGX2.50%3.00%3.50%4.00%4.50%5.50%
Harbor Capital Appreciation Retirement FundHNACX2.50%3.00%3.50%4.00%4.50%5.50%
U.S. Mid/Small Cap
Fidelity Mid Cap IndexFSMDX1.50%2.00%2.50%2.00%2.50%3.00%
Artisan Mid Cap InstlAPHMX1.50%2.00%2.50%2.00%2.50%3.00%
Fidelity Small Cap IndexFSSNX0.50%0.50%0.50%1.00%1.00%1.50%
Amer Beacom Small Cap Value R6AASRX0.50%0.50%0.50%1.00%1.00%1.50%
International Equity
Dodge & Cox International Stock XDOXFX4.50%5.50%6.00%6.50%7.50%9.00%
American Funds EuroPacific Growth R6RERGX4.50%5.50%6.00%6.50%7.50%9.00%
Emerging Markets
DFA Emerging Markets Core EquityDFCEX3.00%4.00%4.00%4.00%5.00%6.00%
Domestic Fixed Income
Metropolitan West Total Return Bond PlanMWTSX10.00%9.00%8.00%11.00%12.00%10.00%
JP Morgan Strategic Income Opportunities R6JSOZX4.50%4.00%3.50%5.50%6.00%5.00%
BlackRock Strategic Income Opportunities InstlBSIIX4.50%4.00%3.50%5.50%6.00%5.00%
Stable Value
CRA Book ValueN/A50.00%42.00%40.00%30.00%21.00%15.00%
Master Limited Partnerships
Tortoise MLP & Pipeline Fund Institutional ClassTORIX0.00%3.00%3.00%3.00%4.00%4.00%
Low Correlated Hedge Fund
Goldman Sachs Absolute Return Tracker R6GARUX5.00%5.00%5.00%5.00%5.00%5.00%
TOTAL100.00%100.00%100.00%100.00%100.00%100.00%
FundTickerCRA 2035CRA 2040CRA 2045CRA 2050CRA 2055CRA 2060CRA 2065
U.S. Large Cap
Fidelity 500 IndexFXAIX13.00%16.00%16.00%17.00%17.00%17.00%17.00%
Dodge & Cox StockDOXGX6.50%7.50%8.00%8.00%8.00%8.50%8.50%
Harbor Capital Appreciation Retirement FundHNACX6.50%7.50%8.00%8.00%8.00%8.50%8.50%
U.S. Mid/Small Cap
Fidelity Mid Cap IndexFSMDX3.50%4.00%4.50%4.50%4.50%5.00%5.00%
Artisan Mid Cap InstlAPHMX3.50%4.50%4.50%4.50%4.50%5.00%5.00%
Fidelity Small Cap IndexFSSNX2.00%2.00%2.00%2.00%2.00%2.00%2.00%
Amer Beacom Small Cap Value R6AASRX2.00%2.00%2.00%2.00%2.00%2.00%2.00%
International Equity
Dodge & Cox International Stock XDOXFX11.00%12.50%12.50%13.50%13.50%14.00%14.00%
American Funds EuroPacific Growth R6RERGX11.00%12.50%12.50%13.50%13.50%14.00%14.00%
Emerging Markets
DFA Emerging Markets Core EquityDFCEX7.00%8.00%9.00%9.00%9.00%9.00%9.00%
Domestic Fixed Income
Metropolitan West Total Return Bond PlanMWTSX8.00%7.00%4.00%5.00%5.00%4.00%4.00%
JP Morgan Strategic Income Opportunities R6JSOZX3.50%3.00%2.00%2.00%2.00%1.50%1.50%
BlackRock Strategic Income Opportunities InstlBSIIX3.50%3.00%2.00%2.00%2.00%1.50%1.50%
Stable Value
CRA Book ValueN/A11.00%4.00%4.00%4.00%4.00%4.00%4.00%
Master Limited Partnerships
Tortoise MLP & Pipeline Fund Institutional ClassTORIX4.00%4.00%4.00%5.00%5.00%5.00%5.00%
Low Correlated Hedge Fund
Goldman Sachs Absolute Return Tracker R6GARUX4.00%3.00%3.00%0.00%0.00%0.00%0.00%
TOTAL100.00%100.00%100.00%100.00%100.00%100.00%100.00%

The date in the name of the target date fund is the assumed date of retirement. The asset allocation becomes more conservative as the fund nears the target retirement date; however, the principal value of the fund is never guaranteed.

What should you do?

  • No action is required.
  • On July 8, 2024, when the Target Date Portfolios are reallocated, your current balance in your target date will be allocated to the new asset mix and future contributions will be directed into the new asset mix.
  • You may contact Empower at any time at 800-352-0313 or online at www.cra-online.org to check your account balance or redirect your current account balances and future contributions into any of the investment options available within the Plan.



Whom do I call for help?

Account Information

  • Balances
  • Investment Changes
  • Change Person Info

Contact: EMPOWER
800.352.0313 

You can always change how your money is invested any time after the transfer.

If you are invested in any of the CRA Target Date Portfolios, the underlying investment options will also be updated as result of this fund change.

Carefully consider the investment option’s objectives, risks, fees and expenses. Contact Empower for a prospectus, summary prospectus for SEC-registered products or disclosure document for unregistered products, if available, containing this information. Read each carefully before investing.

Past performance is not a guarantee of future results.

Investing involves risk, including possible loss of principal.

Foreign securities involve risks, such as currency fluctuations, economic changes and political developments. These risks may be heightened in emerging markets, which may also experience liquidity risk.

Fund changes may alter the risk exposure of an investment account. Some cash-alternative options (other than money market funds), such as guaranteed interest funds or stable value funds, may have withdrawal and transfer restrictions. Carefully consider the importance of a well- balanced and diversified investment portfolio, while considering all your assets, income and investments. Adjustments may be needed to realign the account with its desired investment strategy.

Asset allocation and balanced investment options and models are subject to the risks of their underlying investments.

Unless otherwise noted, investments are not deposits, insured by the FDIC or any federal government agency, or bank guaranteed and may lose value.

Securities, when presented, are offered and/or distributed by Empower Financial Services, Inc., Member FINRA/SIPC. EFSI is an affiliate of Empower Retirement, LLC; Empower Funds, Inc.; and registered investment adviser Empower Advisory Group, LLC. This material is for informational purposes only and is not intended to provide investment, legal or tax recommendations or advice.

Where data obtained from Morningstar, ©2024 Morningstar, Inc. All rights reserved. The data: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.

“EMPOWER” and all associated logos and product names are trademarks of Empower Annuity Insurance Company of America.

©2024 Empower Annuity Insurance Company of America. All rights reserved. RO3624140-0624

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