Currently, I am invested in the MassMutual Stable Value Diversified for my fixed portion in my 457b account. I also have available Vanguard Intermediate-Term Bond Index Fund Admiral Shares (VBILX). Now that rates are going to be getting cut, thinking of transferring to VBILX since the 30 day SEC yield is 4.64%. But I have a few questions I don't understand and was hoping for some clarification on.
Account details as follows:
1. MassMutual Stable Value Diversified
2. The current crediting rate is 4.08% . This rate will be credited from January 01, 2024 through March 31, 2024. Rate going down to 3.61% for next the next quarter (04/01/24 - 06/30/24). The current crediting rate is net of the Separate Account Fee (Separate Account Fee- 0.50% Book Value Account, Balance $36,242,614.83 Market to Book % 86.13%)
3 MONTHS1.01%
YTD0.68%
1 YR4.13%
3 YRS 3.85%
5 YRS 3.82%
-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
1. VBILX - ER 0.07%
2. Distribution yield as of 03/01/24: 3.59%
3 MONTHS1.98%
YTD-1.65%
1 YR3.96%
3 YRS -3.25%
5 YRS 1.04%
10 YRS 1.84%
Questions: Does VBILX give dividends or are the dividends listed under distribution on its fact sheet the proceeds from the 30 day SEC yield? If it does give dividends, an investor then would be collecting proceeds from the dividends and whatever the 30 day SEC yields?
How is the YTD calculated? If the current 30 SEC yields 4.64% and the current distribution yield is 3.59% why is the YTD return at -1.65% and 3 months only at 1.98%.
I understand that the Stable Value is less risky than VBILX, and the correlation between stocks/bonds seem to be closer than we thought, would there be any reasons why I should change my AA to VBILX over the stable value fund?
Account details as follows:
1. MassMutual Stable Value Diversified
2. The current crediting rate is 4.08% . This rate will be credited from January 01, 2024 through March 31, 2024. Rate going down to 3.61% for next the next quarter (04/01/24 - 06/30/24). The current crediting rate is net of the Separate Account Fee (Separate Account Fee- 0.50% Book Value Account, Balance $36,242,614.83 Market to Book % 86.13%)
3 MONTHS1.01%
YTD0.68%
1 YR4.13%
3 YRS 3.85%
5 YRS 3.82%
-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
1. VBILX - ER 0.07%
2. Distribution yield as of 03/01/24: 3.59%
3 MONTHS1.98%
YTD-1.65%
1 YR3.96%
3 YRS -3.25%
5 YRS 1.04%
10 YRS 1.84%
Questions: Does VBILX give dividends or are the dividends listed under distribution on its fact sheet the proceeds from the 30 day SEC yield? If it does give dividends, an investor then would be collecting proceeds from the dividends and whatever the 30 day SEC yields?
How is the YTD calculated? If the current 30 SEC yields 4.64% and the current distribution yield is 3.59% why is the YTD return at -1.65% and 3 months only at 1.98%.
I understand that the Stable Value is less risky than VBILX, and the correlation between stocks/bonds seem to be closer than we thought, would there be any reasons why I should change my AA to VBILX over the stable value fund?
Statistics: Posted by gtt561 — Sun Mar 17, 2024 9:16 am — Replies 0 — Views 21
