Savers Flooding Stable Value Funds May Have Limited Access
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Galliard Capital Management Inc.’s stable-value funds, designed to preserve principal in tumultuous times, drew more than four times the usual inflows in August as market volatility increased, said managing partner John Caswell.
Investors in retirement plans administered by Wells Fargo & Co. moved $850 million into the funds that month, while at Aon Hewitt, a benefits manager, about $1 of every $5 transferred by plan participants was put in a stable-value fund.