West Virginia State Treasurer's Office

The agenda for the meeting includes the consideration of the previous Regular Quarterly Board Meeting Minutes from December 3, 2025. Key discussion items involve the Chairman's Report, covering a Financial Update and operational updates for both the SMART529 and Jumpstart programs. Furthermore, the board will address reports from the Investment Committee and Program Manager (Hartford Funds), as well as the Program Investment Consultant (Capital Cities). Other business includes consideration of funds for the Watch List, a Hartford Funds Product Proposal, a Capital Cities Structure Review, and consideration of the 3rd Annual SMART529 Promotional Sweepstakes. An educational session titled "Following a Playbook- Setting Yourself Up for Investment Success" will immediately follow the adjournment.

The Investment Committee meeting addressed several key items. The committee confirmed that responsibilities outlined in the Investment Committee Charter for the fiscal year ended June 30, 2025, have been completed, and no changes to the Charter were recommended. A Quarterly Investment Report from Capital Cities was presented, covering market volatility, equity returns driven by Large Cap Growth Index performance, Fixed Income results, and a breakdown of sector performance. The report detailed the investment status of The Hartford SMART529, SMART529 Select, and SMART529 WV Direct plans using a stoplight monitoring grid, noting specific funds requiring attention under The Hartford SMART529. No funds were recommended for escalation to the Watch List. Finally, the committee reviewed suggested changes to the Investment Policy Statement (IPS), including an expansion of the Guidelines and Investment Policy section and the addition of several terms.

The meeting addressed several key agenda items for the West Virginia College and Jumpstart Savings Programs. Discussions included the consideration of contributions and distributions processing for Jumpstart Savings, including approving a transfer of $20,000 to seed reserve accounts. The Board accepted the Audit Committee and Investment Committee reports from June 11, 2025. A significant action involved authorizing the conversion and closure of The Hartford SMART529 Class B Shares to lower cost Class A Share positions. Furthermore, the Board awarded a contract for SMART529 Investment Consulting Services following an RFP process. The Chairman's Report provided financial updates, including key fund balances, and operational updates on the SMART529 plan, noting significant account growth and asset valuation. The Jumpstart Savings Program update highlighted a revised launch date of October 1, 2025, for new platform enhancements due to delays in key deliverables. The Investment Committee recommended, and the full Board subsequently approved, the repeal and replacement of the Investment Policy Statement dating from August 2024 with a new draft version. Reports from the Program Manager (Hartford Funds) detailed market performance, call center metrics, and the implementation of federal legislation changes impacting qualified expenses. The Investment Consultant (Capital Cities) provided a detailed market review, noting positive equity market performance and steady fixed income returns, while reviewing fund performance across the three SMART529 plans.

The Investment Committee Meeting included a review of the NEPC Quarterly Investment Report, a consideration of recommendations for funds to be placed on a Watch List, and a recommendation for the final closure of The Hartford SMART529 Class B Shares. The plan performance was reported as somewhat muted due to volatile markets, but relatively strong across all three SMART529 plans. Four funds remain on the Exception Report, including the Hartford Mid-Cap Fund, which also remains on the Watch List.

The meeting included a SMART529 operational and financial update, and a Jumpstart Savings Program update. The board discussed contributions and distributions processing for the Jumpstart Savings Program, and also reviewed the Audit Committee and Investment Committee reports. Additionally, the program manager's quarterly report from Hartford Funds and the investment consultant quarterly report from NEPC were presented. The board considered funds for the watch list, the final closure of The Hartford SMART529 Class B Shares, and a SMART529 Select update from Dimensional Funds. An executive session was held to discuss the SMART529 Investment Consulting Services Contract.