Retirement Savings Plan

The goal of the KEMET 401(k) plan in to... (Select all that apply)?

Teach employees how to invest

To be the sole source of retirement income

To be no more than 1/3rd of an individuals long term savings plan (personal savings and social security comprise the other 2/3rds.

To be a source of income while the employee is still actively employed

Other

How satisfied are you with the performance of the 401 (k) plan?

What is more important to you as a member of the Investment Committee

Funds with the lowest fees as compared to their competitors

Funds who continually outperform their benchmarks and competitors

There is a small movement in the retirement industry recommending employers only offer target date funds.

Workers are delegating back to their employer the asset-allocation decision, says Stephen P. Utkus, principal of the Vanguard Center for Retirement Research. Put another way, workers are delegating to their employer, who is then delegating to the plan provider it has hired, to run a target-date fund within a 401(k). The T.D.F is typically comprised of a mix of mutual funds run by the plan provider.

What is your opinion in only offering target date funds?

I agree, lets simplify the investment election process

I like more information and committee discussion before providing my thoughts

I think its important we offer a mix of investment choices between stocks, bonds and target date funds

Target date funds are another fad. I prefer we stay with stock, bonds and index funds

What value do you see we achieve by offering funds in each of the investment classes (i.e., large cap, mid cap, small cap, bond and target date funds, etc)

Should plan participants be allowed to take loans from their retirement savings

Yes

Should plan participants be able to take in-service distribution at age 59.5 while they are still working at KEMET?

Yes

How many years do most people live beyond age 65

Should KEMET continue to service a retiree's 401(k) plan throughout their retirement

Yes

At retirement, which distribution choice (options) should we offer?

At retirement, employees should only have the option to receive a lump sum. Thereby decreasing our long-term administrative cost.

At retirement, employees should have an option for a full or partial distribution (with a partial distribution, employee continues to access 401(k) to request withdrawals.

At retirement, in addition to choosing a full or partial distribution, employees should be given the option to receive automatic distribution without having to go online and make a withdrawal (this is most similar to receiving a pension check each month)