Multiple Investment Options to Build the Right 529 Plan

The iShares 529 Plan Portfolios

Flexibility is the name of the game with the iShares 529 Plan. And, with the lowest average portfolio asset-based fees among Advisor-sold 529 plans, flexibility is provided at a low cost.

Choose from two types of managed portfolios, or you can build a custom allocation around the investment choices you deem appropriate for your client's individual needs.

7 Year of Enrollment Portfolios

Simply select the iShares portfolio whose year of enrollment most closely corresponds to the year the beneficiary plans to begin college. Then, in the years to come, that portfolio will gradually (and automatically) shift its asset allocation from a more aggressive and earnings-oriented mix of investments to a more conservative and preservation-oriented mix of investments. If you and your client are looking for a dynamic and managed approach to college savings, this is a smart way to go.

4 Asset Allocation Portfolios

These static portfolios are engineered to match a specific risk profile that you identify for your clients. The investment allocation of these portfolios will remain generally fixed over time. You control when - or even if - your client's assets switch to a different asset allocation.

16 Custom Portfolios

If you'd rather roll up your sleeves and build your client a customized college savings portfolio using individual portfolios, the iShares 529 Plan can make it happen. Choose among domestic or international equity, real estate, or fixed income portfolios to create your customized portfolio. These portfolios invest in the same funds as iShares Asset Allocation and Year-of-Enrollment Portfolios.

Savings Portfolio (FDIC-Insured)

The FDIC-Insured Savings Portfolio option is available for clients who are interested in the preservation of principal. The Savings Portfolio, managed by Sallie Mae Bank, seeks to provide income consistent with the preservation of principal and invests 100% of its assets in the Sallie Mae High-Yield Savings Account (HYSA).1

 

  • What is the Savings Portfolio?

    The Savings Portfolio invests all of its assets in the Sallie Mae High-Yield Savings Account (HYSA). The HYSA is held in an omnibus savings account insured by the Federal Deposit Insurance Corporation (FDIC). Contributions to and earnings on the investments in the Savings Portfolio are insured by the FDIC on a pass-through basis to each Account Owner up to $250,000, the maximum amount set by federal law.

  • Who is the FDIC?

    The Federal Deposit Insurance Corporation (FDIC) is an independent agency of the federal government to preserve and promote public confidence in the U.S. financial system by insuring deposits in banks and thrift institutions a pre-determined maximum set by law; by identifying, monitoring and addressing risks to the deposit insurance funds; and by limiting the effect on the economy and the financial system when a bank or thrift institution fails.

  • Are my investment options insured?

    Except for the Savings Portfolio, investments in iShares 529 Plan are not insured by the FDIC. Contributions to and earnings on the investments in the Savings Portfolio are insured by the FDIC on a pass-through basis to each Account Owner up to $250,000, the maximum amount set by federal law. The amount of FDIC insurance provided to an Account Owner is based on the total of: (a) the value of an Account Owner's investment in the Savings Portfolio; and (b) the value of all other accounts held by the Account Owner at Sallie Mae Bank, as determined by Sallie Mae Bank and FDIC regulations.

  • How much does the FDIC insurance cover?

    Contributions to and earnings on the investments in the Savings Portfolio are insured by the FDIC on a pass-through basis to each Account Owner up to $250,000, the maximum amount set by federal law. The amount of FDIC insurance provided to an Account Owner is based on the total of: (a) the value of an Account Owner's investment in the Savings Portfolio; and (b) the value of all other accounts held by the Account Owner at Sallie Mae Bank, as determined by Sallie Mae Bank and FDIC regulations.

  • Is the rate guaranteed?

    No. Investments in the Savings Portfolio will earn a varying rate of interest. Click here for the most current APY.

5 Things You Should Know About ETFs
The iShares 529
Plan Difference
Your clients expect that you're always looking out for their best interests. The iShares 529 Plan sets the bar for education savings plans by offering the flexibility, low cost, diversification and transparency you've come to expect.
5 Things You Should Know About ETFs
The iShares 529
Plan Difference
5 Things You Should Know About ETFs
Your clients expect that you're always looking out for their best interests. The iShares 529 Plan sets the bar for education savings plans by offering the flexibility, low cost, diversification and transparency you've come to expect.