A news release said the firm has licensed the IndexIQ
Active Value Small Cap Index to
Claymore Advisors, LLC, a provider of ETF investment
products, to create the Claymore/IndexIQ Small-Cap Value
ETF.
IndexIQ’s Active Value methodology uses a
proprietary analytical process in seeking to capture the
essence of a value investing strategy in a passively
managed, tax efficient index product, the company said.
“Low multiples alone do not make a stock
attractive. To avoid the classic value trap, we have
focused our research on identifying those companies that we
believe not only hold good intrinsic value, but that are
taking steps to unlock that value by investing capital to
support future growth,” said Adam Patti, Chief
Executive Officer of IndexIQ, in the news release.
The Claymore/IndexIQ Small-Cap Value ETF seeks
investment results that correspond generally to the
performance, before fees and expenses, of the IndexIQ
Active Value Small Cap Index.
NASDAQ Implements Sweeping Retirement Plan
Changes
April 25, 2007 (PLANSPONSOR.com) - NASDAQ Stock
Market Inc. has become the latest employer to turn away from
a defined benefit pension plan in favor of a 401(k) and other
programs.
In a regulatory filing with the Securities and
Exchange Commission (SEC), the company revealed that its
board approved a series of moves April 18 implementing a
variety of retirement savings changes.
The SEC document said the NASDAQ changes call
for:
a freeze of the Nasdaq Stock Market, Inc.
Pension Plan and The Nasdaq Stock Market, Inc.
Supplemental Executive Retirement Plan (SERP);
an amendment to The Nasdaq Stock Market, Inc.
401(k) Savings Plan (401(k) Plan) to put in place
profit sharing contributions based on a fixed formula
and discretionary profit sharing contributions;
and
a new non-qualified profit sharing plan called
The Nasdaq Stock Market, Inc. Supplemental Employer
Retirement Contribution Plan.
The company said the new retirement benefits would
be implemented on July 1, 2007.
According to the SEC filing, participants will only
accrue additional pension plan and SERP benefits through
April 30, 2007. However, participants will continue to
receive credit for future service for vesting in their
frozen accrued pension plan and SERP benefits and for
eligibility for an existing early retirement subsidy
under the pension plan.
The first part of the new retirement benefits,
which will be provided under the existing 401(k) Plan, is
available to all employees, including executive officers,
on the same terms, the company said in the SEC
filing.
Under the 401(k) Plan, NASDAQ will:
continue to match an employee’s contributions
up to 4% of salary;
make new fixed amount, tax-qualified
contributions to the 401(k), called the Basic
Employer Retirement Contributions (Basic ERC), within
specified guidelines based on years of service;
and
make additional fixed amount, tax-qualified
contributions, called Enhanced Employer Retirement
Contributions (Enhanced ERC), within specified
guidelines, for employees age 45 or older with at
least 10 years of service on December 31,
2006.
NASDAQ will also be able to make additional,
discretionary tax-qualified contributions to the 401(k)
plan, the company said.
The Supplemental ERC Plan will be available to
officers and non-officers whose base salaries are above
$225,000 in 2007, or whose total annual Basic and
Enhanced ERC contributions would be greater than the
permitted annual contribution limit, generally $45,000
for 2007.
Employees who cannot receive their full Basic and
Enhanced ERC contributions under the 401(k) plan due to
these Internal Revenue Service (IRS) Code limits will get
employer contributions that make up for the shortfall
through the Supplemental ERC Plan. As such, these
employees will continue to get the full Basic and
Enhanced ERC amounts that they would have been entitled
to but for these IRS limits, the company said.
NASDAQ will also have the discretion to make
additional "make-up" contributions to the Supplemental
ERC Plan if any part of the Basic or Enhanced ERC
contributions cannot be provided to higher paid employees
under the 401(k) Plan on account of separate IRS
nondiscrimination limitations.
NASDAQ's contributions to the Basic ERC, Enhanced
ERC and Supplemental ERC Plan will depend upon NASDAQ
achieving corporate financial goals that may be set each
year by the management compensation committee and are
expected to mirror the goals for NASDAQ's Executive
Corporate Incentive Plan, the company said in the
regulatory finding.
Employees may also direct the investment of their
Basic ERC and Enhanced ERC contributions among the
various mutual funds available under the 401(k) Plan.
Unlike the Pension Plan and SERP, the ERC benefits will
be immediately vested, the company said.