MetLife Stable Value

Traditional and Separate Account GIC solutions may not be a viable way for all plan sponsors to offer their participants access to the benefits of investing in stable value. For such plans, Collective Investment Trusts (CITs) may be a more appropriate solution. CITs allow smaller plans to “pool” their assets together in order to achieve the same basic objectives as larger individually managed accounts. 

Utilizing a collective trust arrangement provides:

• Fee structures that best fit your plan sponsor’s situation
• Flexibility in revenue sharing that might not otherwise be available to smaller plans
• More efficient trading and administration
• Plan participants with the same access to the principal protection and guaranteed interest benefits of traditional and separate account GICs.

MetLife provides you with access to collective investment trust partners that offer separate account commingled solutions that best fit your plan sponsor’s needs.

Benefits to the plan sponsor include:

• Book value accounting
• Guarantee¹ of principal plus accrued interest for participant-initiated withdrawals
• Responsive credited rate
• Assortment of funds available from leading investment managers
• True performance measurement
• Custody and valuation integrated in product
• No termination fees

1 Guarantees are subject to the financial strength and claims-paying ability of Metropolitan Life Insurance Company.

General account or “Traditional” GICs are issued and guaranteed by insurance companies and backed by the insurer’s general account. The investor’s assets become part of the overall “pool” of the insurer’s liabilities, and are invested with all of the insurance companies general account assets as part of its investment strategy.  Key features of a Traditional GIC include:

• Guaranteed¹ rate of return for life of contract backed by the claims paying ability of the Metropolitan Life Insurance Company’s general account
• Investment in the insurance company’s general account
• Book value accounting for participant-directed Defined Contribution plans

1 Guarantees are subject to the financial strength and claims-paying ability of Metropolitan Life Insurance Company.

Separate Account GICs are not held in the insurer’s general account, but instead are invested in one or more individually managed, or commingled (pooled with other assets) separate accounts, adding investment flexibility, control and security in one comprehensive package.