Education Trust of Alaska 529 Plan Recognized with Gold Medal Accolade

Education Trust of Alaska 529 Plan Recognized with Gold Medal Accolade

November 1, 2024

The Education Trust of Alaska (Trust) is pleased to announce that one of its three 529 plans, the T. Rowe Price College Savings Plan, was awarded a Morningstar Medalist Rating of Gold for 2024. Morningstar Inc.'s annual rating is based on several factors, including the Trust's level of oversight and due diligence. Morningstar rated 59 plans this year, but only five received the gold accolade. Alaska 529 was not assessed in the ratings but is identical to the T. Rowe Price College Savings Plan with the exception of its University of Alaska Portfolio.

The report highlighted the hard work of the Trust. "The laudable oversight and governance practices by the Education Trust of Alaska merit an Above Average Parent Rating. Luke Fulp, the Trust administrator since February 2023, has demonstrated commendable attentiveness to the plan and is supported by a well-tenured team, including Executive Director Lael Oldmixon. Oldmixon provides continuity for the Trust, and her contributions to the plan's stewardship serve as an advantage." The report further honored the Trust's "proactive engagement by advocating for fee reductions and demanding clarity on investment decisions" as well as T. Rowe Price's "investment prowess," and progressive glide path for its enrollment-based portfolios.

"With or without the gold rating, I'm proud of the work we do at the Education Trust of Alaska and with our three 529 plans. T. Rowe Price is an experienced leader in designing high-performing portfolio options for account owners to benefit their future education-goers. We are grateful for the creative, innovative people who built the foundation of our program and the process through which they have designed our excellent investment lineup," said Lael Oldmixon.

The Trust's 529 plans significantly benefit the University of Alaska system. Although 529 beneficiaries may use their assets at schools nationwide, many choose to enroll at UA. In FY24, 3,600 beneficiaries enrolled at UA and infused $20.5 million into the system through qualified education expenses like tuition, housing, meal plans, and other fees.

In 2021, the Trust launched a comprehensive communications campaign targeting non-resident beneficiaries. The campaign articulates the opportunities available within the UA system and is an invitation to have the adventure of a lifetime in Alaska at the in-state rate.

The University of Alaska serves as trustee of theEducation Trust of Alaskathrough the Board of Regents. The Trust's purpose is to help individuals save for education through tax-advantaged savings and investments in accordance with Section 529 of the IRS Tax Code. The 529 plans are open to any person who is a resident of or organized in a state, territory, district, or commonwealth of the United States.