Charles A. Jaffe | Keep an eye on retirement fund

It was the kind of notice that millions of mutual fund investors get - and ignore - over the course of the year, a simple two-page message about a change of funds in the retirement plan. Like most notices that retirement funds are being changed, it was probably greeted with a shrug of the shoulders and a sigh of resignation.

But investors in retirement plans across the country can learn something from the subtle changes that went into effect in early October in the Savings Plus Program for California state employees. Changes in the plan created an ideal template for investors trying to size up changes being made in their own retirement plan. California's Department of Personnel Administration told affected shareholders last month that five funds in the plan were being replaced, and the money would move into separate accounts or to a lower-cost share class of their existing fund. ...