Barclays Global Investors and Upromise Investments have introduced the iShares 529 Plan.
It’ll be the first 529 plan designed with portfolios that invest exclusively in iShares Exchange Traded Funds (ETFs) and targeted specifically to fee-based advisory business.
The plan is a low-priced, no-load advisor sold option available only to fee-based advisors. Advisors can now apply many of the benefits of the ETF investment vehicle to the 529 market through three types of portfolios available in the iShares 529 Plan. These include: Year-of-Enrollment Portfolios, based on the amount of time until a child enters college; Asset Allocation Portfolios, based on risk profile or desired asset allocation; and Custom iShares Portfolios, based on individual investing choices in domestic equity, international equity, real estate or fixed income