Savingforcollege.com Announces Quarterly List of Best-Performing 529 Plans
August 24 2009 - 7:00AM
PR Newswire (US)
Newest installment of its 529 Plan Performance Rankings show Kansas
and South Carolina at the top NEW YORK, Aug. 24
/PRNewswire-FirstCall/ -- According to a new study released by
Savingforcollege.com, the Schwab 529 College Savings Plan,
sponsored by the state of Kansas, and South Carolina's Future
Scholar 529 College Savings Plan came in first or second among all
direct-sold 529 savings plans in three-year and five-year
investment performance for the period ending June 30, 2009. The
full 529 Plan Performance Rankings showing one-year, three-year,
and five-year rankings for all direct-sold 529 plans can be viewed
at http://www.savingforcollege.com/articles/view.php?id=330. (Logo:
http://www.newscom.com/cgi-bin/prnh/20040122/FLTHLOGO) The Schwab
529 College Savings Plan is distributed by discount broker Charles
Schwab & Co. and by independent advisers associated with
Schwab. The plan is managed by American Century Investment
Management Inc., but it uses mutual funds from a wide variety of
fund firms in its age-based and asset-allocation options. Kansas
has another direct-sold 529 plan called Learning Quest that scored
in the top 5 for three-year performance. South Carolina's Future
Scholar is available only to South Carolina residents on a
direct-sold basis. (An advisor-sold plan is sold nationally.) The
plan is managed by Columbia Management Distributors, Inc. and
features Columbia Funds mutual funds. Other top five direct-sold
finishers in either one-, three, or five-year performance
categories included two of Nevada's plans (USAA and Upromise), West
Virginia's SMART529 Select plan that uses DFA funds, and plans from
Iowa, Missouri, New York, Ohio, and Utah. "The second quarter of
2009 was a period of strong recovery for many 529 plans," commented
Savingforcollege.com founder Joseph Hurley. "Just as with IRAs,
accounts invested at least partially in stocks regained some of the
value lost over the many months since 2007." In producing its
rankings, Savingforcollege.com compared the reported investment
performance of a subset of portfolios from each 529 savings plan.
Portfolios were selected based on their mix of stocks, bonds, and
money-market funds, allowing for an apples-to-apples comparison in
seven different asset-allocation categories. Savingforcollege.com
also produces rankings for advisor-sold 529 plans, available
through a subscription. Rankings are updated each quarter. One-year
Composite Performance Rankings (52 plans ranked) Ranking Plan
Underlying investments 1 Kansas: Schwab 529 College Savings Plan**
Multiple fund families 2 Nevada: USAA College Savings Plan* USAA
mutual funds 3 South Carolina: Future Scholar 529 College Savings
Plan (Direct-sold)* Columbia mutual funds 4 West Virginia: SMART529
Select DFA funds 5 New York: New York's 529 College Savings Program
- Direct Plan Vanguard funds 6 Missouri: MOST - Missouri's 529
College Savings Plan (Direct-sold) Multiple fund families 7 Nevada:
The Vanguard 529 Savings Plan Vanguard funds 8 Nevada: The Upromise
College Fund Vanguard funds 9 Utah: Utah Educational Savings Plan
(UESP) Trust Treasurer's fund and Vanguard funds 10 Maryland:
College Savings Plans of Maryland - College Investment Plan T. Rowe
Price funds Three-year Composite Performance Rankings (43 plans
ranked) Ranking Plan Underlying investments 1 South Carolina:
Future Scholar 529 College Savings Plan (Direct-sold)* Columbia
mutual funds 2 Kansas: Schwab 529 College Savings Plan** Multiple
fund families 3 Ohio: Ohio CollegeAdvantage 529 Savings Plan
Multiple fund families 4 Missouri: MOST - Missouri's 529 College
Savings Plan (Direct-sold) Multiple fund families 5 Kansas:
Learning Quest 529 Education Savings Program (Direct-sold) American
Century and Vanguard funds 6 Nevada: The Upromise College Fund
Vanguard funds 7 Nevada: The Vanguard 529 Savings Plan Vanguard
funds 8 Iowa: College Savings Iowa Vanguard funds 9 Arkansas: GIFT
College Investing Plan Vanguard funds 10 Utah: Utah Educational
Savings Plan (UESP) Trust Treasurer's fund and Vanguard funds
Five-year Composite Performance Rankings (30 plans ranked) Ranking
Plan Underlying investments 1 Kansas: Schwab 529 College Savings
Plan** Multiple fund families 2 South Carolina: Future Scholar 529
College Savings Plan (Direct-sold)* Columbia mutual funds 3 Utah:
Utah Educational Savings Plan (UESP) Trust Treasurer's fund and
Vanguard funds 4 Iowa: College Savings Iowa Vanguard funds 5
Nevada: The Upromise College Fund Vanguard funds 6 Nebraska:
College Savings Plan of Nebraska (Direct-sold) Multiple fund
families 7 Nevada: The Vanguard 529 Savings Plan Vanguard funds 8
New Jersey: NJBEST 529 College Savings Plan* Franklin Templeton
funds 9 Wisconsin: EdVest (Direct-sold) Wells Fargo and Vanguard
funds 10 Alaska: T. Rowe Price College Savings Plan T. Rowe Price
funds * Resident-only or member-only investment options **
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