Frequently Asked Questions: Consolidation of CUIT and RCT Trusts
After examining the current structure, the Boards of both Trusts came to the conclusion that merging the two Trusts would serve the needs of participants more effectively.
What are the benefits of consolidation?
The consolidated Trust will be governed by a single Board of Trustees, offering our participants a single body representing their interests and ensuring that the legal structures underpinning our Funds are uniform across all Funds.
The new structure will facilitate the introduction of new products that may not have been possible under the old structure and could speed the process of introducing those products.
Over time, the new structure should provide additional efficiencies and economies of scale, potentially reducing costs for our participants.
Do I need to sign anything? Do you need participant approval to make this change?
No. Given the nature of the change and the fact that the Funds in both Trusts will be unaffected, you don’t need to do anything. In fact, participants really will not be impacted by the consolidation – the managers, expenses, investment objectives and performance history of all of the CUIT and RCT Funds will be unaffected. The only significant change from a participant perspective will be that the three current RCT Funds will be renamed as CUIT Funds.
Do I need to order new checks? Should I wait to order checks?
No. Your current checks will still be valid and there is no need to order a new supply due to the merger. If you need more checks, you can go ahead and order them.
Will my current debit card still work?
Yes, your debit card will work as it always has. When your current card expires, we will send a new one with the CUIT name replacing the current RCT logo.
What happens if I forget and send in a transaction with the wrong Fund name?
We fully anticipate that it may take a while to get used to the new Fund names. All transactions will continue to be processed as always, even if the Fund is referred to as an RCT Fund. Similarly, if you happen to use an old form with the RCT name still on it, our Service Center will go ahead and process the transaction.