mcgill university savings program · sun life | mcgill university savings program 3 your move to...

Life’s brighter under the sun

July, 2020

• Your move to Sun Life• Investment options• Taking action

McGill University Savings Program


Your move to Sun Life

Sun Life | McGill University Savings Program 3

Your move to Sun Life

We’re pleased to announce that starting in August 2020, Sun Life Financial will start to perform record keeping services for the McGill University Savings Program

Take advantage of what your program has to offer:

• Registered Retirement Income Fund (RRIF)

• Life Income Fund (LIF)

McGill University Pension Plan (MUPP) - Part A & Part B

• New! Variable Benefit

Your other McGill University Voluntary Savings Plans (VSP)

• Retirement Savings Plan (RSP)

• Retirement Savings Plan (RSP) - Spousal

• Locked-In Retirement Account (LIRA)

• New! Tax-Free Savings Account (TFSA)

Sun Life | McGill University Savings Program

About your McGill University Pension Plan (MUPP)

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Here’s what’s happening

• Sun Life will now perform recordkeeping services

• Your beneficiary information, investment instructions, and other personal data, will be transferred from Morneau Shepell

• No change to investment lineup

• Before the move to Sun Life, you may wish to verify your MUPP and group RSP closing balances

• If you wish to make any changes to your current investment funds, do so before Aug 11 at 8:00am ET

• Withdrawals or transfers out (if permitted) must be completed before 4:00pm ET on Aug 11

• Changes to your future investment instructions must be completed by July 15 at 4:00pm ET

• Access to the Morneau Shepell information will be available until December 31, 2020

• Watch for your final statement at the end of 2020

Part A & Part B



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NEW! Variable Benefit

• An additional settlement option

• Income paid from your MUPP

• Retain access to investment options offered under MUPP

• Investment earnings continue to grow on a tax-sheltered basis

• Within prescribed limits, provides you with flexibility and control for when and how much retirement income to withdraw

• If you are younger than 72 years of age you can start and stop payments at any time

• No action is needed until you are ready to begin to withdraw your money as retirement income

Part A & Part B



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NEW! Pension Option for Supplemental Retirement Benefit Value (SRBV)

• An additional settlement option if you are entitled to the SRBV arising from the defined benefit minimum provision

• You may now select a monthly lifetime pension option, payable from the MUPP

• Previously this additional amount was only payable at the time of settlement as a transfer to an authorized instrument

• No action is needed until you are ready to settle

Part A only


About your other McGill University Savings Plans

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Here’s what’s happening

The following group plans will be available to all McGill employees:

• Registered Retirement Savings Plan (RSP)

• Retirement Savings Plan (RSP) - Spousal

• Locked-In Retirement Income Account (LIRA)

• New! Tax-Free Savings Account (TFSA)

• Deadline to enrol in an RRSP at Morneau Shepell was June 19/20 as previously communicated

• Deadline for lump sum contributions at Morneau Shepell was June 30/20 as previously communicated

• If you wish to make any changes to your current investment funds, do so before Aug 11 at 8:00am ET

• Withdrawals or transfers out (if permitted) must be completed before 4:00pm ET on Aug 11

• Changes to your future investment instructions must be completed by July 15 at 4:00pm ET

• There’s no change to the existing investments. There is a new type of Glide Path fund, called Multi-Risk Target Date funds that will be available.

Starting August 31, 2020


New! Tax-Free Savings Account (TFSA)

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• Great for all kinds of saving goals

• After-tax contributions

• No tax on any investment earnings

• There’s a contribution limit, which may change from time to time

• You can carry forward unused contribution room, and get back room for any money you’ve taken out in previous years


New! Morningstar ® investment profile sheets

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• Your old quarterly profile sheets have been replaced and upgraded with Morningstar’s investment tools and services.

• Morningstar investment profile sheetsprovide in-depth details about your McGill investments.


Investment Options


Investments vary by risk & return

Returns

RiskHigh

High

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Cash

Fixed Income

Equity


Know your investment personality

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Help me do itMulti-risk target date

(MUPP & voluntary savings plans)

Target risk(Voluntary savings plans only)

Let me do itChoose from the lineup of funds offered under

each product


Asset allocation tool(formerly called Investment Profile Questionnaire)

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Help me do it - MUPP and VSP (Voluntary Savings Plans)

Fund category Fund name FMF*

MUPPFMF*

VSP

Multi-risk target date

2020, 2025, 2030, 2035, 2040, 2045, 2050, 2055, 2060, 2065 Conservative Profile

2020, 2025, 2030, 2035, 2040, 2045, 2050, 2055, 2060, 2065 Moderate Profile

2020, 2025, 2030, 2035, 2040, 2045, 2050, 2055, 2060, 2065 Aggressive Profile

0.72% -

0.87%

0.83% -

0.88%

0.84% -

0.88

0.27% -

0.29%

0.26% -

0.28%

0.26% -

0.28%

Pick the fund with this year (2032)

Age you want to retire (65)

Year you were born (1967) + =

Choosing the right fund…

*Fund Management Fees as at April 30th , 2020

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FMF (formerly called MER)


Help me do it - MUPP & VSPNew! Multi-risk target date funds

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Note: Portfolio mixes are for illustration purposes only, and do not represent actual allocation of funds.


Help me do it – VSP (Voluntary Savings Plan)


Target risk

McGill VSP Conservative Profile

McGill VSP Moderate Profile

McGill VSP Aggressive Profile

0.30%

0.29%

0.29%


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FMF (formerly called MER)


Help me do it - Target risk funds

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Note: Portfolio mixes are for illustration purposes only, and do not represent actual allocation of funds.


Let me do it – MUPP (McGill University Pension Plan)


BalancedMcGill Balanced Account

McGill Socially-Responsible Investment (SRI) Pool

1.00%

0.31%

Money market McGill Money Market Pool 0.18%

Bond (Fixed income) McGill Fixed Income Pool 0.50%

Equity/ Foreign equity McGill Equity Pool 0.64%


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FMF (formerlycalled MER)


Let me do it – VSP (Voluntary Savings Plans)


Money market TDAM Emerald Canadian Short Term Investment 0.33%

Bond (Fixed income) PH&N Bond 0.31%

Canadian equity TDAM Low Volatility Canadian Equity 0.36%

U.S. equity TDAM U.S. Market Index (Reg only in RRSP) 0.21%

International equity TDAM International Equity Index 0.21%


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FMF (formerlycalled MER)

How your fees compare

1Source: Morningstar Global Fund Investor Experience Study: Oct. 3, 2017, page 36.

Fund category (domiciled) Median retail fees1

Bond (Fixed income) 1.15%

Equity 2.23%

Allocation 2.02%


Less is more

$48,568 $51,365

$0

$10,000

$20,000

$30,000

$40,000

$50,000

2% 1%

$213,718

$255,010

$190,000

$200,000

$210,000

$220,000

$230,000

$240,000

$250,000

$260,000

2% 1%

Savings after 10 years (Total contributions $40,000)

Savings after 30 years (Total contributions $120,000)

$41,292

more$2,797

more

Assumptions: $4,000 annual contribution | 5.5% total rate of return

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Investment performance

my financial centre > Accounts > Investment performance

• Compare funds

• Get historical rates of return

• Learn about fund objectives

New! Morningstar ® investment profile sheetsYou’ll need your sign-in ID and password

(Replaces current quarterly profile sheets)


Tools and services


Tools and resources at Sun Life

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my Sun Life Mobile app

Download it today from Google Play and the Apple App Store

mySunLife.ca

Your annual statement

Consider going paperless – we’ll email you when your statements are available

Customer Care Center

8 a.m. to 8 p.m. ET | Any business day

Register for online access

• From within McGill's network use Single Sign on

• Easiest and most secure method to register

• Or go to mySunLife.ca and select Register

• You will need:

• Account number (67022 plus 9 digit numeric McGill ID)

• First name, last name, date of birth & Postal Code


Available early to mid September 2020

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On mySunLife.ca

• my plan

• Check your account balances

• Review and update investments

• Morningstar ® investment profile sheets and tools

• Review/update your beneficiary

• Asset Allocation tool

• Chat Live now


Coming Soon! Available early to mid October 2020

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On mySunLife.ca

• The Retirement Planner – including illustrations with a retirement date post age 65

• Part A terminated member quotes

•Age 65 member letters

•Defined Benefit (DB) minimum values

•Available by the end of 2020 – a decumulation feature will be added to the Retirement Planner to help you compare your future income options


Retirement planner

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Next steps


Next Steps – MUPP (McGill University Pension Plan)

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Use Single Sign Onto register

for your sign-in ID and

password or go tomySunLife.ca

Manageyour

accountonline

1 2 3Review yourinvestments

and Beneficiarydesignation


Next steps – Existing RRSP members

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1 2 3Use Single Sign On

to register for your

sign-in ID andpassword or go to

mySunLife.ca

Review yourinvestments & Beneficiary at

mySunLife.ca

ManageYour account

online atmySunLife.ca

3


Designate a Beneficiary

& choose investments at mySunLife.ca

Manageyour account

online atmySunLife.ca

Enrol inWorkday

1 2 4Use Single Sign Onto register

for your sign-in ID and

password or go tomySunLife.ca

Next steps – New RRSP & TFSA members

3


Key dates

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No changes between August 11, 4:00 pm ET and August 31, 8:00am ET

Week of Sept 7th Watch for your welcome and asset transfer letters

August 31, 2020 Your account at Sun Life is opened

First week of August Complete your enrolment (New RSP / TFSA)

Early to mid September Visit mySunLife.ca

Early to mid October Retirement planner, DB minimum value & Termination quote available on mySunLife.ca


Making changes is easy

Payroll contributions RRSP & TFSA

WorkdayVoluntary contributions (as applicable)

Personal info

Workday

Your investments

mySunLife.ca > my financial centre >Requests > Change investments

OR Call the Sun Life CCC

Your beneficiary

mySunLife.ca > my financial centre >Quick Links >Beneficiary infoORPrint, sign and return the form

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Financial wellness webinar series

Choose the topics, dates and times that work for you

• Connect with your money

• Where there is a will there's a way

• Your health and your wealth – What’s the connection?

• 5 steps to boost your financial health

SunLife.ca/MyMoney

http://www.sunlife.ca/mymoney


The information provided is of a general nature and should not be construed as personal financial or legal advice. Neither Sun Life Financial or its affiliates guarantees the accuracy or completeness of any such information. The information should not be acted on without obtaining counsel from your professional advisors (registered as Financial Security Advisors in Quebec) applicable to your particular set of facts.

Group Retirement Services are provided by Sun Life Assurance Company of Canada, a member of the Sun Life Financial group of companies.

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