Me again. I am stumped and I don't blame you for not continuing our discussion.Your experience is noteworthy. Dan started this thread two years ago and he stopped too. You guys have a business to run. I don't. Here is the situation. If you cannot run a fiduciary business with k-12, I wonder how Scotty can do it. He wrote an excellent book on how to do it. Because TIAA has also backed out of the k12 market. And VOYA our new 457b TPA does not take their job of enrolling people in the 457(b) seriously, despite some on our advisory committee calling them on this to their faces. Some of us are extremely angry at VOYA. They are not prepared and have demonstrated very little commitment to LAUSD, the 2nd largest district in the country with a supportive committee, and probably the most knowledgeable committee in the country. Some committee members have done a lot of work to get them in front of teachers when it is their job to do this! I am just speculating but they are not making a lot of money with a .25% fee. Its always back to costs, isn't it?
I think until the few of us advocates here across the country can somehow, someway expose the powerful teacher's unions from their sleep, reform is years away. I don't know what else to say. Even many of the good posters here just want to talk about asset allocation, low costs and respond to some good investing articles found on the web. That's all great, but it's not going to help reform the system. Its great for us intellectually, but not for those new teachers who are still getting sold fixed annuities, or for older teachers who have tens of thousands in an annuity and their agent is changing one annuity for another just to get a commission. These actions are so unethical and wrong, and yet, another generation of teachers will be ex ploided.
The biggest resistance is SILENCE. And I don't blame you for withdrawing from K12 because teachers like their unions, and have pension plans, plus teachers stock market fear ex ploited by highly paid insurance agents trained to do that over and over again for decades with great success. What is equally puzzling, the savvy teacher investors know more than me, and very smart and well aware there is a problem, but they keep quiet too. Still my take on this situation is only from the absolute SILENCE from both the unions and the savvy teacher investors. When people in my professional rarely discuss the 403b and the annuity ripoff despite all of the news reports for decades, it is very difficult to assess the situation. SILENCE is powerful and impossible to work with.
I think the so-called 403b reform movement is stalled. Piecemeal help from the few teachers who come here to help change their districts and unions is great, but we have been doing that here since 2001. It's just not enough. I thought that the 403b series in the NY Times article last fall might be a game changer. I have said it here before and I will say it again, it didn't move the needle one iota. Tara and many people who post here participated for months to get people to talk, it was tough. Teachers are afraid of not only the stock market but afraid of talking to the press too, and standing up to their unions or their districts to do better with the 403b. There is resistance everywhere.
Its back to the drawing table, and it's just another challenge. Or like EdLaFave said that I may be getting too old and ole fashion cause I still like TIAA. :- ). Heck personally, I have been waiting for somebody like an EdLaFave to finish the job. I am not the right person but I just do what I can with my limitations. My advantage is persistence. I will never give up, but the movement needs a reassessment and fresh ideas. What we are doing now is not enough.
Just trying to bring some realism, because good things take time. I just never thought that after 25 years, we have not reformed the 403b system successfully. And it's because of the powerful teachers' unions. We made some movement. And I will keep pressing with my amateurish activism.
Does any of this make sense to you Dave? What would you suggest?