§ 6-2. Investments.

(a) Board to select available investment funds.

(1) The Board of Trustees must select:

(i) 1 or more separate investment funds in which a member may elect to have the member's account invested; and

(ii) a default investment fund for the automatic investment of the account of a member who fails to make an affirmative investment election under subsection (b) of this section.

(2) From time to time, the Board may change any or all of the investment funds or the default investment fund. Any change must be communicated to members before its effective date.

(b) Members' investment elections.

(1) Each member will be provided a list that identifies the available investment funds (including the default investment fund) when commencing participation in the Retirement Savings Plan.

(2) In accordance with procedures established by the Board, each member may affirmatively elect to have the member's account invested in 1 or more of the listed investment funds.

(3) An affirmative investment election remains in effect until the member changes it by making a new election in accordance with the Board's procedures. A new election revokes all prior elections.

(4) As soon as administratively practicable after a member's affirmative investment election is received, the member's account must be invested in accordance with that election.

Unless and until a member makes an affirmative investment election under subsection (b) of this section, the member is deemed to have made an election to have the member's account invested automatically in the default investment fund.

(d) Fund gains and losses.

All gains and losses of an investment fund in which a member's account is invested will be allocated to that account based on established procedures applied on a uniform and nondiscriminatory basis.

(e) Fund fees and expenses.

All fees charged and expenses incurred by an investment fund in which a member's account is invested, including servicing fees paid by the investment fund to the Plan's third-party administrator, will be charged to that account based on established procedures applied on a uniform and nondiscriminatory basis.

(f) No liability for Investment Elections.

Neither the City nor the Board of Trustees is liable to a member, a beneficiary, or any other person for any loss resulting from:

(1) a member's affirmative investment election;

(2) a member's failure to make an affirmative investment election;

(3) a reasonable delay in implementing an affirmative investment election; or

(4) a reasonable delay in implementing a default investment under subsection (c) of this section.

(g) Applicability to Deferred Compensation Plan.

Voluntary deferrals made by a member to the City's Deferred Compensation Plan will be invested in accordance with the member's affirmative investment election under subsection (b) of this section or the member's default investment under subsection (c) of this section.