{"id":13789,"date":"2024-02-14T14:32:54","date_gmt":"2024-02-14T20:32:54","guid":{"rendered":"https:\/\/clearwater-wp-staging.clearwateranalytics.com\/?post_type=dictionary_pages&p=13789"},"modified":"2024-02-14T14:32:54","modified_gmt":"2024-02-14T20:32:54","slug":"stable-value-funds","status":"publish","type":"dictionary_pages","link":"https:\/\/clearwater-wp-staging.clearwateranalytics.com\/fr\/dictionary\/stable-value-funds\/","title":{"rendered":"Stable Value Funds"},"content":{"rendered":"","protected":false},"featured_media":0,"template":"","class_list":["post-13789","dictionary_pages","type-dictionary_pages","status-publish","hentry"],"acf":{"section_headline":"Stable Value Funds","section_subhead":"","content_builder":[{"acf_fc_layout":"wysiwyg","wysiwyg":"

What is a stable value fund?\u00a0<\/strong><\/p>\n

Stable value funds are conservative, lower-risk investment options available only to participants in certain defined contribution plans. That includes 401(k) retirement plans and 529 education savings plans.<\/span>\u00a0<\/span><\/p>\n

Stable value funds are offered by 82% of defined contribution plan sponsors as a capital preservation option, according to a<\/span> MetLife survey.<\/span><\/a>\u00a0<\/span><\/p>\n

In a stable value fund, the principal value of the fund is protected by special contracts called wrap contracts or wrap agreements through insurance companies, banks, and other financial institutions. There are different types of wrap contracts, including guaranteed investment contracts (GIC), separate account contracts, and synthetic GICs.\u00a0<\/span>\u00a0<\/span><\/p>\n

Stable value funds are <\/span>regulated by multiple agencies<\/span><\/a>, including the Department of Labor and Federal Reserve, and must follow accounting standards set by either the <\/span>Financial Accounting Standards Board<\/span><\/a> or <\/span>Governmental Accounting Standards Board<\/span><\/a>.<\/span>\u00a0<\/span><\/p>\n

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Why do people invest in stable value funds?\u00a0<\/strong><\/p>\n

Investors with low risk tolerance and those nearing or in retirement may view stable value funds as attractive options because they\u2019re designed to preserve capital while generating returns that can be higher than other low-risk options, such as money market funds. Stable value funds typically include a mix of bonds and fixed-income securities.<\/span>\u00a0<\/span><\/p>\n

Investors must be a participant in a defined contribution plan to invest in stable value funds.\u00a0<\/span>\u00a0<\/span><\/p>\n

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How does Clearwater help stable value fund managers and wrap issuers?\u00a0<\/strong><\/p>\n

Clearwater provides automated investment data management, accounting, and reporting specific to the needs of stable value fund managers and wrap issuers.<\/span>\u00a0<\/span><\/p>\n

The Clearwater for Stable Value solution delivers aggregated and reconciled investment data daily to power comprehensive views of stable value investments. Accounting, risk and compliance monitoring, and performance measurement are all integrated within a single solution. This transparency gives users a clear and accurate understanding of their portfolio.<\/span>\u00a0<\/span><\/p>\n

Clearwater for Stable Value stores contract data, reports daily book values, and\u202fcalculates crediting rates on the system. Managers can provide access to wrap issuers to view and approve crediting rates to expedite the quarterly rate reset process.\u202fUsers can also enter and track trade tickets and communicate fund flows with third parties.\u00a0<\/span>\u00a0<\/span><\/p>\n

Stable fund managers can easily tailor custom statements for their board, clients, prospective clients, wrappers, and key stakeholders.<\/span>\u00a0<\/span><\/p>\n

Clearwater for Stable Value provides stable fund managers and wrap issuers with a modern, web-based solution.\u00a0 With this technology, fund managers are able to create efficiency in their processes, communicate seamlessly with their teams and stakeholders, and gain control over their investment data management and reporting.\u00a0<\/span><\/p>\n

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Talk to an Expert\u00a0<\/strong><\/p>\n

To learn more about the benefits of Clearwater for Stable Value, provide your information in the form to schedule a tailored meeting with our experts.<\/span>\u00a0<\/span><\/p>\n

\u00a0<\/span><\/p>\n"}],"show_form":true,"form_headline":"Do you want to talk with an expert?","form_embed":"