Mercer Short Duration Fixed Income Fund Class Y-3 · NASDAQ:MSDYX

Mercer Short Duration Fixed Income Fund Class Y-3 — gl 2020 dont miss mercers april 2 washington briefing

45 slides from Mercer Short Duration Fixed Income Fund Class Y-3's investor presentation, Apr 2, 2020

Slide 1: Law and Policy Group Briefing, April 2, 2020
April 2, 2020 Law and Policy Group welcome to brighter
Slide 3: Speakers
Speakers Dorian Z. Smith Geoff Manville Kaye Pestaina Ellen Stone Margaret Berger Carol Silverman Partner, National Director, Government Principal Principal Principal Partner Practice Leader for Relations Mercer’s Law and Policy Group Copyright © 2020 Mercer (US) Inc. All rights reserved. 3
Slide 4: Congress eyeing 'Phase 4' emergency bill
Congress eyeing ‘Phase 4’ emergency bill Potential benefits items • New federal paid sick leave, FMLA requirements for large employers • Support for employer-based health care system • Federal COBRA subsidies • More encouragement of telehealth services • Aid for health insurers, federal reinsurance
Slide 6: COVID-19 legislation and guidance: Health and leave items
COVID-19 legislation and guidance Health and leave items • Benefit-specific rules: • Coverage for COVID-19 testing and related services; preventive care rule change • Telehealth • Treatment of over-the-counter (OTC) items • Non-health item: student loans • Health Insurance Portability and Accountabi
Slide 7: COVID-19 testing: No cost sharing for tests, related services
COVID-19 testing No cost sharing for tests, related services • All insured and self-insured group health plans must cover coronavirus tests and related services without cost sharing or prior authorization (grandfathered and nongrandfathered; not excepted benefits) — changes are temporary • Test itse
Slide 8: COVID-19 testing: Additional requirements
COVID-19 testing Additional requirements • Coverage of different COVID-19 tests; broader than just those FDA approved • Reimbursement of COVID-19 tests: • Requirement on healthcare providers to post cash price of the test on their public website • In-network provider: Plans and issuers must reimburs
Slide 9: Telehealth: HSA and other changes enhance use of telehealth
Telehealth HSA and other changes enhance use of telehealth • Legislation permits HDHPs to cover telehealth and other remote care services before deductible; individual will still be eligible for health savings account (HSA) contributions (temporary for plan years beginning on or before 12/31/21) • E
Slide 10: Over-the-counter (OTC) drug reimbursement
Over-the-counter (OTC) drug reimbursement Permanent change Eliminates the Affordable Care HSAs, flexible spending Menstrual care products will be Effective: Expenses incurred Act’s ban on pretax accounts (FSAs), health treated as a medical expense after 12/31/19 reimbursement for OTC drugs reimburse
Slide 11: Tax exclusion for student loans
Tax exclusion for student loans Temporary change • Phase 3 legislation allows employers to pay an employee’s qualifying student loans on a tax-free basis up to $5,250 • Applies to payments made from date of enactment (3/18/20) until the end of 2020 • Employer would need to have a written educational
Slide 12: HIPAA and other confidentiality law changes
HIPAA and other confidentiality law changes Waivers and new rules to be issued • Several sets of guidance from Department of Health and Human Services (HHS) address use and disclosure of protected health information during this national emergency • Waivers of specific HIPAA rules for providers are n
Slide 13: Paid sick leave
Paid sick leave Employers with fewer than 500 employees must provide up to two weeks (80 hours) of paid sick leave for employees unable to work/telework. • Employee qualifying reasons: 1. Federal, state or local quarantine or isolation order 2. Self-quarantine recommendation by a health care provide
Slide 14: Paid sick leave: Benefit amounts while on leave
Paid sick leave Benefit amounts while on leave What is regular rate of pay? Qualifying reasons 1, 2 & 3 • Average of the regular rate over a period of up to six months prior to the • Greater of the applicable minimum wage or regular leave; maximum 80 hours of paid sick rate of pay up to $511 per day
Slide 15: Paid family and medical leave
Paid family and medical leave Employers with fewer than 500 employees must provide up to 12 weeks of leave (10 weeks paid) • Only one new employee qualifying reason: • Employee is unable to work/telework due • Private employers with fewer than to closure of child’s school/child care 500 employees de
Slide 16: Paid family and medical leave: Benefit amounts
Paid family and medical leave Benefit amounts while on leave • First two weeks of family leave unpaid (potential overlap with new paid sick leave benefit) • New family, medical and paid leave to care for child whose school or child care facility is closed (10 weeks paid) • Pay up to two-thirds of em
Slide 17: Paid sick, family and medical leave: Implementation issues
Paid sick, family and medical leave Some implementation issues • Variety of implementation questions (check FAQs) — coordination with employer leave, etc. • Temporary 30-day nonenforcement (3/18/20  4/17/20) if employer acts reasonably and in good faith • Notice: workplace poster issued; for employ
Slide 18: Payroll tax credit
Payroll tax credit Paid sick and paid family leave For new emergency sick and family leave To maintain group health coverage • Applies to business and tax-exempt • Tax credit will be increased by the amount of an organizations covered by the new leave employers qualified health care expenses for pro
Slide 20: CARES Act: Relief for plan participants — overview
CARES Act Relief for plan participants — overview • Relief for “qualified individuals” • Coronavirus-related distributions • Increased plan loan cap • Suspension of plan loan repayments • Relief for all defined contribution (DC) plan participants (but not DB plan participants) • Suspension of requir
Slide 21: Relief for plan participants — qualified individuals
CARES Act Relief for plan participants — qualified individuals “Qualified individual” — a participant who meets any of the following: • Is diagnosed with COVID-19 or SARS-CoV-2 by a CDC- approved test • Has a spouse or dependent diagnosed with COVID-19 or SARS-CoV-2 • Experiences adverse financial c
Slide 22: Relief for plan participants — Coronavirus-related distributions
CARES Act Relief for plan participants — Coronavirus-related distributions • Coronavirus-related distributions (CRDs): • Can be made until Dec. 31, 2020 • Limited to $100,000 (all plans in employer’s controlled group) • Any distribution in 2020 may qualify as CRDs (including before enactment) • Tax
Slide 23: Coronavirus-related distributions (cont.)
CARES Act Relief for plan participants — Coronavirus-related distributions (cont.) Repayment permitted (not required) • Participants can repay all or part of their CRDs • Repayment allowed during 3-year period starting day after CRD • Participant can repay CRD to any employer plan that accepts rollo
Slide 24: Relief for plan participants — plan loan relief
CARES Act Relief for plan participants — plan loan relief • Temporary increase in plan loan cap • Lesser of $100,000 or their entire vested benefit • Available until Sept. 22, 2020 • One-year suspension of plan loan repayments • Applies to loan repayment due dates falling on or before Dec. 31, 2020
Slide 25: Relief for plan participants — suspension of RMDs from DC plans
CARES Act Relief for plan participants — suspension of RMDs from DC plans • RMDs from all DC plans suspended for 2020 • Includes RMDs to participants who: - Turned age 70-1/2 in 2019 but haven’t yet received their 2019 RMD - Received their first RMD prior to 2019 and are due subsequent RMD in 2020 •
Slide 26: Relief for plan participants — plan amendments
CARES Act Relief for plan participants — plan amendments • Plan amendment deadlines • Amendments due by end of the first plan year beginning on or after Jan. 1, 2022 - Dec. 31, 2022, for calendar-year plans • Sponsors of governmental plans have an additional two years • IRS can extend amendment dead
Slide 27: Defined benefit funding relief
CARES Act Defined benefit funding relief • All defined benefit (DB) contributions due during 2020 delayed until Jan. 1, 2021 • Quarterly contributions and year-end contributions • Regardless of plan year to which contribution would be attributed • Interest (at plan’s effective interest rate) is due
Slide 28: Defined benefit funding relief implications
CARES Act Defined benefit funding relief implications • IRS and Department of Labor (DOL) filings • 2019 Form 5500 will presumably be delayed - Schedule SB needs delay so all contributions can be included - Schedule 8955-SSA for reporting terminated vested participants • Annual funding notice • Adju
Slide 29: Defined benefit funding relief implications (cont.)
CARES Act Defined benefit funding relief implications (cont.) • Pension Benefit Guaranty Corporation (PBGC) • PBGC premiums: Contributions as late as Jan. 1, 2021, presumably can be used to reduce a plan’s unfunded vested benefits for determining variable-rate premiums • Since 2018, PBGC grants disa
Slide 30: Defined benefit restriction relief
CARES Act Defined benefit restriction relief • Plan sponsors can use prior AFTAP for any plan year that includes the 2020 calendar year • For calendar-year plan sponsors, 2019 AFTAP can apply to 2020 • For noncalendar-year plan sponsors, it appears the 2018 AFTAP would apply to both 2019 and 2020 pl
Slide 32: New challenges for compensation committees
New challenges for compensation committees • Compensation committees are making 2020 compensation decisions against the backdrop of a global pandemic and economic downturn • Employees face safety concerns, layoffs, pay cuts and large losses in their 401(k) plans • Forecasting financial results one t
Slide 33: What pay actions have companies taken?
What pay actions have companies taken? Suspension of salary increases One-time cash bonuses for active Making clear 2019 bonus employees payouts and 2020 LTI grants Executive salary reductions were made before crisis Board retainer reductions Employee support funds Voluntary pay waivers Highlighting
Slide 34: Managing incentive plans in uncertain times
Managing incentive plans in uncertain times Setting 2020 Managing 2020 Adjusting in- incentive plan goals equity grants progress awards • Postpone setting • Delay grants • Communicate with goals • Increase fixed-share employees that fair • Use shorter guidelines and appropriate performance periods •
Slide 35: CARES Act
CARES Act • The CARES Act provides up to $500 billion in loans, loan guarantees or other investments to “eligible businesses” as follows: • Air carriers, including other companies in airline industry ($29 billion), and businesses critical to national security ($17 billion) • Other eligible US busine
Slide 36: CARES Act: Compensation limits
CARES Act Compensation limits • Most eligible businesses that receive loans or loan guarantees must agree to the following compensation limits for the loan period plus one year • For air carriers (and air carrier contractors) that receive payroll support, limits begin March 24, 2020 and end March 24
Slide 37: CARES Act: Compensation limits (cont.)
CARES Act Compensation limits (cont.) • Officers and employees whose calendar-year 2019 total compensation exceeded $3 million may not receive, during any 12 consecutive months, total compensation exceeding: • $3 million plus • 50% of the excess over $3 million of 2019 total compensation CARES Act l
Slide 38: CARES Act: Workforce retention
CARES Act Workforce retention • Air carriers and businesses critical to national security receiving loans must maintain employment levels as of March 24, 2020 until Sept. 30, 2020 to the extent practicable • At a minimum, they cannot reduce employment levels by more than 10% • Air carriers and contr
Slide 39: CARES Act: Share buybacks and dividends
CARES Act Share buybacks and dividends • Generally, businesses may not repurchase shares or pay dividends from the date of the loan agreement until one year after loan is repaid • For air carriers and contractors receiving payroll support, these prohibitions apply until Sept. 30, 2021 • For mid-size
Slide 40: What should companies do now?
What should companies do now? No one-size-fits-all solution  Let the market stabilize before taking major Each company should consider: actions  Model potential award values to estimate Impact on Shareholder and possible windfalls or shortfalls company, peers proxy adviser  Track potential goal a
Slide 41: Law & Policy Group
Law & Policy Group www.Mercer.com/LawandPolicy Providing timely analysis of relevant legislative, regulatory, judicial and policy developments. Health, Wealth and Global news, views and analysis, written by Mercer legislative, regulatory and policy pros with practical insights for employers, plan sp
Slide 43: Get timely insights and commentary on US Health News
Get timely insights and commentary on US Health News Every week on US Health News, Mercer publishes our observations, research and best thinking on the most pressing healthcare issues and the transforming healthcare environment. Sign up for our weekly subscriber e-mail: www.ushealthnews.mercer.com C
Slide 44: Legal disclaimer
Legal disclaimer Mercer is not engaged in the practice of law, accounting, auditing or medicine. Any commentary in this report does not constitute and is not a substitute for legal, tax, auditing or medical advice or services. Mercer recommends that employers secure the advice of competent legal, ta
Slide 45: welcome to brighter
welcome to brighter

gl 2020 dont miss mercers april 2 washington briefing on 6ix

Mercer Short Duration Fixed Income Fund Class Y-3 — gl 2020 dont miss mercers april 2 washington briefing

Slide 1: Law and Policy Group Briefing, April 2, 2020

Slide 2: Agenda

Slide 3: Speakers

Slide 4: Congress eyeing 'Phase 4' emergency bill

Slide 5: Health and leave benefits

Slide 6: COVID-19 legislation and guidance: Health and leave items

Slide 7: COVID-19 testing: No cost sharing for tests, related services

Slide 8: COVID-19 testing: Additional requirements

Slide 9: Telehealth: HSA and other changes enhance use of telehealth

Slide 10: Over-the-counter (OTC) drug reimbursement

Slide 11: Tax exclusion for student loans

Slide 12: HIPAA and other confidentiality law changes

Slide 13: Paid sick leave

Slide 14: Paid sick leave: Benefit amounts while on leave

Slide 15: Paid family and medical leave

Slide 16: Paid family and medical leave: Benefit amounts

Slide 17: Paid sick, family and medical leave: Implementation issues

Slide 18: Payroll tax credit

Slide 19: Retirement benefits

Slide 20: CARES Act: Relief for plan participants — overview

Slide 21: Relief for plan participants — qualified individuals

Slide 22: Relief for plan participants — Coronavirus-related distributions

Slide 23: Coronavirus-related distributions (cont.)

Slide 24: Relief for plan participants — plan loan relief

Slide 25: Relief for plan participants — suspension of RMDs from DC plans

Slide 26: Relief for plan participants — plan amendments

Slide 27: Defined benefit funding relief

Slide 28: Defined benefit funding relief implications

Slide 29: Defined benefit funding relief implications (cont.)

Slide 30: Defined benefit restriction relief

Slide 31: Executive rewards

Slide 32: New challenges for compensation committees

Slide 33: What pay actions have companies taken?

Slide 34: Managing incentive plans in uncertain times

Slide 35: CARES Act

Slide 36: CARES Act: Compensation limits

Slide 37: CARES Act: Compensation limits (cont.)

Slide 38: CARES Act: Workforce retention

Slide 39: CARES Act: Share buybacks and dividends

Slide 40: What should companies do now?

Slide 41: Law & Policy Group

Slide 42: Stay informed on Coronavirus

Slide 43: Get timely insights and commentary on US Health News

Slide 44: Legal disclaimer

Slide 45: welcome to brighter