Age-Based Target Individual Investment Policy Statement

More investment options now

More college options later

The CollegeCounts 529 Fund offers investment flexibility and diversity backed by well-respected fund families.

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Work with your investment professional to familiarize yourself with our three categories of investment portfolios and select the one that’s right for you: age-based, target, or individual fund portfolios. And don’t worry if you change your mind. The IRS allows an account owner to change the investment portfolio once per calendar year or upon a change of beneficiary.

Age-Based Portfolios

Overview: The professionally designed age-based portfolios focus your investment strategy on the current age of the beneficiary. The objective is to create growth potential in the early years and reduce fluctuations in the account as college approaches. You choose the option (aggressive, moderate, or conservative) that matches your investing style.

Investor Profile: College savers who are looking for an investment portfolio that automatically adjusts over time as the beneficiary gets closer to college age.

Target Portfolios

Overview: These six diversified investment portfolios ranging from aggressive to conservative provide a set asset allocation of equity (stock), fixed income (bond), and money market investments. The portfolio you select will be rebalanced on an ongoing basis to maintain the targeted asset allocation regardless of the age of the beneficiary.

Investor Profile: College savers who want a mix of stocks, bonds, real estate, and/or money market investments that keeps the same asset allocation over time.

Individual Fund Portfolios

Overview: The 24 individual fund portfolios representing multiple asset classes can be more volatile than the broadly diversified age-based portfolios or the target portfolios, but they allow you the freedom to tailor your choices to meet specific education investment goals. You select a combination of individual funds that range from lower risk/lower return to higher risk/higher return investment options.

Investor Profile: College savers looking to customize their investment strategy utilizing various investment classes.

Risk Considerations

You can lose money by investing in a portfolio. Each of the age-based, target, and individual fund portfolios involves investment risks, which are described in the Program Disclosure Statement and which should be considered before investing. International investments involve risks such as currency fluctuations, economic instability, and political developments. Additional risks may be associated with emerging markets. Small and midsize companies may increase the risk of fluctuations in the value of your investment. Portfolios that invest in bonds are subject to risks such as interest rate risk, credit risk, and inflation risk. As interest rates rise, the prices of bonds will fall. The value of your account will fluctuate with market conditions. When you withdraw funds, you may have more or less than your total contributions to the account. For more risk information on the portfolios and the underlying funds in which they invest, see the Program Disclosure Statement.

The CollegeCounts 529 Fund is a qualified tuition program under Section 529 of the Internal Revenue Code that is sponsored by the State of Alabama and administered by the Board of Trustees of the ACES Trust Fund (the “Trust” and plan issuer). Union Bank & Trust Company serves as Program Manager. Accounts and investments under the CollegeCounts 529 Fund are not insured or guaranteed by the FDIC, the State of Alabama, the State Treasurer of Alabama, the Board, the Trust, the Program, Union Bank & Trust Company, Northern Trust Securities, Inc., or any other entity.

Before investing, you should consider the investment objectives, risks, fees, expenses, and tax consequences associated with the Program. All of this information is contained in the Program Disclosure Statement. Please read it carefully before investing.

If you or your beneficiary is not an Alabama resident, consider whether your home state or the home state of your designated beneficiary offers a qualified tuition program that provides a state tax deduction or other benefits to residents who invest in that program.

Not FDIC Insured. No Bank Guarantee.May Lose Value.