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HomeMy WebLinkAboutMINUTES - 10031995 - C38 TO: BOARD OF SUPERVISORS r� Contra FROM: Leslie T. Knight, Director of Human Resources -- Costa � ¢ DATE: October 3, 1995 County '_J SUBJECT. Approval of Amendment to the Group Annunity Contract (No. 60002) with ITTi Hartford SPECIFIC REOUEST(S)OR RECOMMENDATION(S)&BACKGROUND AND JUSTIFICATION RECOMMENDATION: Authorize the Director of Human Resources, on behalf of County and Districts participating in the County Deferred Compensation Plan, to execute an amendment agreement to the Group Annuity Contract No. GC 60002 with'the Hartford to add the Dividend and Growth Fund Account to the list of available.investment options. FINANCIAL IMPACT: None to the County. 'i BACKGROUND: ITT Hartford added a new investment option to it's portfolio in order to offer plan participants the ability to possibly earn higher rates of return while keeping the risk of investment as low as possible. ITT Hartford is!'offering this new investment option because they believe it offers the following investment advantages: • Improved chances for capital appreciation with stock in the nation's largest corporations. The fund's investment manager selects stocks issued by the 1,000 largest companies in the U.S. • Strong dividend income. Stocks selected for the fund must have above- average dividend yields and the ability to maintain those dividends. • Cushioned downside risk. The total return is comprised of dividend income and price appreciation. Because dividend income is generally more stable than price change, dividends help reduce total return volatility. The Deferred Compensation Advisory Committee and the Director of Human Resources recommend the Dividend and Growth Fund be added. This amend will allow ITT Hartford to offer this additional investment option to',interested plan members. CONTINUED ON ATTACHMENT: YES SIGNATURE: �. dtw RECOMMENDATION OF COUNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE APPROVE OTHER SIGNATURE (S), ACTION OF BOARD ON eA 9�S- APPROVED AS RECOMMENDED OTHER VOTE OF SUPERVISORS 1 HEREBY CERTIFY THAT THIS IS'A TRUE UNANIMOUS(ABSENT AND CORRECT COPY OF AN ACTION TAKEN AYES: NOES: AND ENTERED ON THE MINUTES OF THE BOARD ABSENT: ABSTAIN: OF SUPERVISORS ON THE DATE SHOWN. cc: Orginating Department : Human Resources ATTESTED '-t��-J 3 Ins- - County ns- COunty Counsel PHIL BATCHELOR.CLERK OF THE BOARD OF County Admini8tratOr SUPERVISORS AND COUNTY ADMINISTRATOR Auditor-Controller -Benefits Service Unit Human Resources - .DEPUTY M382 (10/88) 8Y