View or download a PDF of the letter here.
AFREF wrote in opposition in opposition to the proposed changes to the S&P U.S. Indices Methodology and Dow Jones U.S. Total Stock Market Indices Methodology related to MegaCap companies.
Millions of retirees, workers, and their families invest their hard-earned money in index funds to secure a dignified retirement and meet other financial goals. In doing so, they rely on S&P and other index providers to supply diversified benchmarks reflecting the investable market, not speculative instruments they can gamble on. The proposed changes would shift index investing — long considered a safe, conservative investment strategy — in the direction of greater risk, posing questions for fiduciaries about the appropriateness of index fund investments for retirement savers and for regulators about how index providers should be regulated.